{"annotation_id":"f7a46d7e-e5e8-4ff2-ade0-a096c50893a2","file_hash":"b31879338deee4c043d4e065d6a264ff812fef7af754514ebd61e4a8b72ecd23","schema_id":"open/document-extraction","schema_version":"0.5.0","record":{"extraction_type":"boxes","producer":"pdf-extractor-v0.5.0","blocks":[{"id":"a8cb3ad5-89a3-46e7-94ca-a58cdb1c1e70","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":1,"box":{"x":116,"y":87,"width":296,"height":12}},{"id":"c7d38460-92d7-4f47-ab33-6fd3cf805547","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":1,"box":{"x":116,"y":103,"width":325,"height":12}},{"id":"80be8ee3-1ab3-4daf-860f-495631dae088","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":1,"box":{"x":116,"y":118,"width":266,"height":12}},{"id":"1a83ee26-c01e-4ada-94b8-5cba66099066","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":1,"box":{"x":116,"y":134,"width":232,"height":11}},{"id":"55560d07-ec21-45eb-80f3-8bd079b6dc24","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":1,"box":{"x":116,"y":150,"width":203,"height":11}},{"id":"e456312d-cbec-4b55-995e-82d3d5e27b9e","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":1,"box":{"x":116,"y":165,"width":331,"height":12}},{"id":"1bf4836a-b363-4ddf-a507-ff38dab09a80","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":1,"box":{"x":116,"y":180,"width":317,"height":12}},{"id":"3a0ae57e-a0d7-45b5-9644-6b4ec82ea90d","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":1,"box":{"x":116,"y":196,"width":301,"height":12}},{"id":"25f7eff0-3d53-4d7a-ac77-5f985bbffcc8","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":1,"box":{"x":116,"y":212,"width":248,"height":11}},{"id":"39657753-84c2-4335-984c-2a19f589cb7b","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":1,"box":{"x":116,"y":227,"width":332,"height":9}},{"id":"90e6bdb6-c9f9-417d-b119-87e4b644f771","block_type":"box","text":"BlackRock Funds","page_number":1,"box":{"x":116,"y":243,"width":127,"height":9}},{"id":"29198e02-8f04-46d1-88f1-cc01d393bc89","block_type":"box","text":"SM","page_number":1,"box":{"x":244,"y":242,"width":15,"height":6}},{"id":"73dac2ce-c80e-4d49-9440-602907b04455","block_type":"box","text":"BlackRock Funds II","page_number":1,"box":{"x":116,"y":258,"width":149,"height":9}},{"id":"b365c7bf-7353-477c-bbb8-fb4aad5fc5c3","block_type":"box","text":"BlackRock Funds III","page_number":1,"box":{"x":116,"y":274,"width":155,"height":9}},{"id":"e5b39fc9-68a9-4bd0-9efb-4b7d9615605c","block_type":"box","text":"BlackRock Funds IV","page_number":1,"box":{"x":116,"y":289,"width":154,"height":9}},{"id":"66705a7e-8944-4e18-a119-3183ff9c8963","block_type":"box","text":"BlackRock Funds V","page_number":1,"box":{"x":116,"y":305,"width":148,"height":9}},{"id":"b088d239-0ba1-45d4-8a67-cad5ca2f2e6c","block_type":"box","text":"BlackRock Funds VI","page_number":1,"box":{"x":116,"y":320,"width":154,"height":9}},{"id":"e46200a6-3fd2-48f5-ab11-8af6fee36fed","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":1,"box":{"x":116,"y":336,"width":292,"height":11}},{"id":"7c1af23c-a39c-45c9-8480-5f59831c9ba5","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":1,"box":{"x":116,"y":351,"width":213,"height":11}},{"id":"dc7e2cec-9cec-4ad2-ba7c-87564c58a786","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":1,"box":{"x":520,"y":87,"width":324,"height":12}},{"id":"3297d7f1-1f95-435b-a8a8-c102bc10ee44","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":1,"box":{"x":520,"y":103,"width":349,"height":12}},{"id":"6155c245-97a2-4b2e-9bfb-2a08fba02f1e","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":1,"box":{"x":520,"y":118,"width":335,"height":12}},{"id":"22025be5-64f8-4199-83e9-d6abaead500d","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":1,"box":{"x":520,"y":134,"width":296,"height":12}},{"id":"47549a26-f846-4921-b049-a73e36793c2b","block_type":"box","text":"BlackRock Liquidity Funds","page_number":1,"box":{"x":520,"y":149,"width":203,"height":12}},{"id":"b4a214a4-1cd0-4a1b-a9a8-43066b39e92d","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":1,"box":{"x":520,"y":165,"width":282,"height":12}},{"id":"c32ddc8a-6146-4481-a2a1-4b0087db92fc","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":1,"box":{"x":520,"y":180,"width":339,"height":12}},{"id":"8c93d2fa-3541-4942-adf2-992f3a2ad026","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":196,"width":282,"height":12}},{"id":"6cc708bc-521b-4440-8f6e-cda986c1243f","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":1,"box":{"x":520,"y":211,"width":252,"height":12}},{"id":"090fd2af-e6e0-47c1-b04d-1850a02957b4","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":1,"box":{"x":520,"y":227,"width":264,"height":9}},{"id":"0eda7493-353d-4334-9b83-39fd59649c6a","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":1,"box":{"x":520,"y":242,"width":208,"height":12}},{"id":"56e93ce4-2bb4-4fe1-8379-5666045f0cfd","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":1,"box":{"x":520,"y":258,"width":226,"height":11}},{"id":"930fedfb-e7a5-4e84-89b7-163e328005c3","block_type":"box","text":"BlackRock Series, Inc.","page_number":1,"box":{"x":520,"y":274,"width":166,"height":11}},{"id":"cb970102-13d7-47bb-b4fa-f740388f1991","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":289,"width":325,"height":12}},{"id":"eca98d31-4871-45c6-8dbc-b8028041acda","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":1,"box":{"x":520,"y":305,"width":288,"height":11}},{"id":"2c52ea28-2b21-459f-8bcf-212faf1e0b17","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":1,"box":{"x":520,"y":320,"width":282,"height":11}},{"id":"28332c49-0f0b-400d-87ca-543c0a00a6ad","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":1,"box":{"x":520,"y":336,"width":299,"height":11}},{"id":"2b9cd8d6-303e-43e1-b795-cd325d4ea5d9","block_type":"box","text":"Supplement dated October 16, 2026","page_number":1,"box":{"x":372,"y":378,"width":260,"height":12}},{"id":"3b05f960-05aa-421d-82af-f9929d4498ee","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":"fb747f7b-0744-409b-bbac-ab6a522ff073","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":"ff5dd7bd-3736-46dc-a86e-cf923167c35e","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":"3590472a-c53a-4cea-b0f4-7b8dc6928eeb","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":"ac955937-347c-451a-ab68-b11b9b8139e8","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":"f89ca7a7-16aa-4dc4-85ec-6ee44c2d5014","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":"d71cd049-bea9-421d-82d0-165c9c2b2647","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":"5e3f9c7e-0093-4143-b432-3724ed730c64","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":"eaeeda29-a677-430a-8caa-521a6d25786a","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":"5d0519f5-4571-4d03-aae9-acf98772c522","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":"210f7fea-bea3-4e80-97e1-8985792c789d","block_type":"box","text":"&Partners","page_number":1,"box":{"x":116,"y":584,"width":72,"height":9}},{"id":"b7519f11-be0d-4cf0-b820-7e5069abf556","block_type":"box","text":"AccuTech Systems Corporation","page_number":1,"box":{"x":116,"y":599,"width":219,"height":12}},{"id":"ac13e51e-f814-411b-a9ac-0a2b0c178420","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":1,"box":{"x":116,"y":615,"width":173,"height":10}},{"id":"86fee020-3a07-48e0-805d-26322275bebd","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":1,"box":{"x":116,"y":630,"width":215,"height":12}},{"id":"4b8b824b-b766-4270-a6a3-4f2505b83d29","block_type":"box","text":"Advisor Group, Inc.","page_number":1,"box":{"x":116,"y":646,"width":140,"height":11}},{"id":"02adbe9d-01d4-441e-9ebe-be424ae91f91","block_type":"box","text":"AE Wealth Management, LLC","page_number":1,"box":{"x":116,"y":661,"width":207,"height":12}},{"id":"afb22953-8d5d-4925-8d61-510c27fd3387","block_type":"box","text":"Alight Solutions LLC","page_number":1,"box":{"x":116,"y":677,"width":146,"height":11}},{"id":"3a719dfb-e2a3-49a3-8def-d0bf9262f272","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":1,"box":{"x":116,"y":692,"width":250,"height":11}},{"id":"48b7a215-0c6b-4b16-92d5-99002b800f9b","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":1,"box":{"x":116,"y":708,"width":314,"height":11}},{"id":"40666705-9910-4a59-a62e-11957cdc2960","block_type":"box","text":"Allianz Life Insurance Company of North America","page_number":1,"box":{"x":116,"y":723,"width":345,"height":12}},{"id":"2e916b3b-bf0a-49ce-9400-05d3c17dc4e1","block_type":"box","text":"Altruist Financial LLC","page_number":1,"box":{"x":116,"y":739,"width":154,"height":9}},{"id":"2570f671-9188-4563-8708-0c46a3f353d7","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":1,"box":{"x":116,"y":754,"width":313,"height":12}},{"id":"425e1040-183f-429c-ac41-e53d7200f5b6","block_type":"box","text":"American General Life Insurance Company","page_number":1,"box":{"x":116,"y":770,"width":295,"height":11}},{"id":"1bac7410-7cdf-4bc6-8bb9-4d63ea30bb67","block_type":"box","text":"American United Life Insurance Company","page_number":1,"box":{"x":116,"y":785,"width":288,"height":12}},{"id":"ab0190c7-f74b-4a1f-a715-e4ffb36f6fdd","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":1,"box":{"x":116,"y":801,"width":292,"height":11}},{"id":"52a68ba0-04c1-4d74-8d66-1e6644efcc8e","block_type":"box","text":"Anthem Securities LLC","page_number":1,"box":{"x":116,"y":816,"width":160,"height":9}},{"id":"bfe63261-b695-44c6-a960-afc5bdd44741","block_type":"box","text":"Argent Institutional Trust Company","page_number":1,"box":{"x":116,"y":832,"width":246,"height":11}},{"id":"cc767ffa-22b1-4e3f-96cc-28a8f75a30ea","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":1,"box":{"x":116,"y":847,"width":263,"height":11}},{"id":"a7029139-64ad-4a54-ae98-e6339bce04b7","block_type":"box","text":"Ascensus, Inc.","page_number":1,"box":{"x":116,"y":863,"width":102,"height":10}},{"id":"5cc8948c-b994-448f-80d2-895e77f48b70","block_type":"box","text":"Atomic Brokerage LLC","page_number":1,"box":{"x":116,"y":878,"width":165,"height":12}},{"id":"bf129001-9159-4ee1-905b-e3f41b7a2e1f","block_type":"box","text":"Avantax Investment Services, LLC","page_number":1,"box":{"x":116,"y":894,"width":242,"height":10}},{"id":"b90ebe18-33d4-44d8-8677-7757b2f218d6","block_type":"box","text":"Bancroft Capital LLC","page_number":1,"box":{"x":116,"y":909,"width":147,"height":12}},{"id":"9bf47129-0dac-43ca-9f64-1f38f779d0d2","block_type":"box","text":"Bank of America, N.A.","page_number":1,"box":{"x":520,"y":584,"width":161,"height":10}},{"id":"c428ff0b-eeb7-4917-8c6d-357a4b90594a","block_type":"box","text":"Bank of New York Mellon","page_number":1,"box":{"x":520,"y":599,"width":185,"height":9}},{"id":"c290cce3-dda7-45d0-b234-809e33a607df","block_type":"box","text":"Barclays Capital Inc.","page_number":1,"box":{"x":520,"y":615,"width":146,"height":11}},{"id":"329249e9-6a8c-482d-939d-c8df34dc65d9","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":1,"box":{"x":520,"y":630,"width":295,"height":11}},{"id":"1681faa3-93e7-49ff-b2c7-e2b9822a2c0a","block_type":"box","text":"Benefit Trust Company","page_number":1,"box":{"x":520,"y":646,"width":163,"height":11}},{"id":"0a227539-71d6-419b-9640-c94b887f8272","block_type":"box","text":"Beta Capital Securities LLC","page_number":1,"box":{"x":520,"y":661,"width":190,"height":12}},{"id":"1f9989bc-ee3d-4e88-a5dc-4c59b425c461","block_type":"box","text":"bfinance US Ltd.","page_number":1,"box":{"x":520,"y":677,"width":114,"height":9}},{"id":"1147bfc2-18c0-4186-a75d-0231d4a66710","block_type":"box","text":"BlackRock Advisors, LLC","page_number":1,"box":{"x":520,"y":692,"width":179,"height":11}},{"id":"21becc03-4764-47dd-87c0-296b648bff62","block_type":"box","text":"BMO Capital Markets Corp.","page_number":1,"box":{"x":520,"y":708,"width":191,"height":11}},{"id":"79270ea1-e8f2-44a0-a50d-6d57c30947c6","block_type":"box","text":"BNP Paribas","page_number":1,"box":{"x":520,"y":723,"width":85,"height":9}},{"id":"dd6510c5-9df5-46c1-a376-92b1291590a3","block_type":"box","text":"BNP Paribas Investment Partners UK Limited","page_number":1,"box":{"x":520,"y":739,"width":311,"height":9}},{"id":"50d29fd5-61e3-47e4-b179-b3f197e8c5cd","block_type":"box","text":"BNY Mellon, N.A.","page_number":1,"box":{"x":520,"y":754,"width":128,"height":11}},{"id":"5c235da5-0946-4a38-a319-c91b2c90046a","block_type":"box","text":"BofA Securities, Inc.","page_number":1,"box":{"x":520,"y":770,"width":141,"height":10}},{"id":"186fb98c-c8f1-4e3b-8347-60aea44cf601","block_type":"box","text":"BOKF, N.A.","page_number":1,"box":{"x":520,"y":785,"width":84,"height":11}},{"id":"2143b37d-1c08-41df-affa-dda32dc19bbf","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":1,"box":{"x":520,"y":801,"width":253,"height":11}},{"id":"631914bc-f976-43d1-9ec3-d5452b6a356d","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":1,"box":{"x":520,"y":816,"width":300,"height":12}},{"id":"40e68437-4450-426b-8c95-730ba080b81b","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":1,"box":{"x":520,"y":832,"width":327,"height":11}},{"id":"be86c0bf-ef7d-4fcf-8b06-b5a38b4e3b5d","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":1,"box":{"x":520,"y":847,"width":226,"height":9}},{"id":"860e8758-d553-444f-b77a-e60c6ffbc862","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":1,"box":{"x":520,"y":863,"width":210,"height":11}},{"id":"c186e163-c70e-44c2-92ba-cbaa4c8c13c2","block_type":"box","text":"Capital One, N.A.","page_number":1,"box":{"x":520,"y":878,"width":126,"height":12}},{"id":"31f79fea-d737-405e-b83c-9a020c118fb2","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":1,"box":{"x":520,"y":894,"width":212,"height":9}},{"id":"a5b80057-e264-48f7-a82a-3bc1d3bc2843","block_type":"box","text":"Cetera Advisors LLC","page_number":1,"box":{"x":520,"y":909,"width":144,"height":9}},{"id":"b8bfd806-59b1-4f7d-8633-f8deeb82816d","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":1,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"51076e08-f1ad-4d85-bf63-5b1f72d9184a","block_type":"box","text":"Cetera Financial Group","page_number":2,"box":{"x":116,"y":88,"width":162,"height":11}},{"id":"32e8676a-3e27-4529-99f4-6ffa40edb5ff","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":2,"box":{"x":116,"y":103,"width":227,"height":12}},{"id":"f87644f0-b4df-41c0-821e-d7c32dd300ed","block_type":"box","text":"Cetera Investment Services LLC","page_number":2,"box":{"x":116,"y":119,"width":224,"height":9}},{"id":"20f7d919-3fed-48ea-b88b-803e15219f63","block_type":"box","text":"CF Secured, LLC","page_number":2,"box":{"x":116,"y":134,"width":123,"height":11}},{"id":"db017b05-c697-418e-b99e-33478c08c57f","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":2,"box":{"x":116,"y":150,"width":192,"height":10}},{"id":"9400765d-1d57-473a-b264-b7413d1e4a78","block_type":"box","text":"Charles Schwab Trust Bank","page_number":2,"box":{"x":116,"y":165,"width":192,"height":9}},{"id":"22e9111f-1bab-4ae3-a54b-a68d86ea78da","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":2,"box":{"x":116,"y":181,"width":238,"height":11}},{"id":"7bf5e666-2627-4e7a-9700-a2204dece6d5","block_type":"box","text":"CIM Investment Management, Inc.","page_number":2,"box":{"x":116,"y":196,"width":241,"height":12}},{"id":"5a55e385-af94-43bf-b327-f5e4ae9d244f","block_type":"box","text":"Citco Securities, LLC","page_number":2,"box":{"x":116,"y":212,"width":151,"height":10}},{"id":"8833ffc5-0055-49e8-a6df-67efa497defe","block_type":"box","text":"CitiBank, National Association","page_number":2,"box":{"x":116,"y":227,"width":215,"height":11}},{"id":"324e8a37-92b8-4cfc-92f6-b89678106d5f","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":2,"box":{"x":116,"y":243,"width":212,"height":11}},{"id":"718790cd-e8b8-4ac1-8231-f70b0387399b","block_type":"box","text":"Citizens Bank","page_number":2,"box":{"x":116,"y":258,"width":99,"height":9}},{"id":"b069ac74-85e9-4fcc-ba15-fabe6c80c0a5","block_type":"box","text":"Citizens Business Bank","page_number":2,"box":{"x":116,"y":274,"width":163,"height":9}},{"id":"a3437dc5-c4ed-4ee2-9f45-ab0eb3d31aa0","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":2,"box":{"x":116,"y":289,"width":231,"height":12}},{"id":"b7a70e06-9ce4-473c-b830-4c274534b1b8","block_type":"box","text":"CMFG Life Insurance Company","page_number":2,"box":{"x":116,"y":305,"width":223,"height":11}},{"id":"723e9131-92e5-4793-b1b7-1bc91b42b638","block_type":"box","text":"Comerica Bank","page_number":2,"box":{"x":116,"y":320,"width":109,"height":9}},{"id":"9e8a2628-5bd9-4da2-b9bd-34b29fafa9a9","block_type":"box","text":"Commonwealth Financial Network","page_number":2,"box":{"x":116,"y":336,"width":242,"height":9}},{"id":"6726d8dc-9a42-45f7-a0a7-81fdcf575c30","block_type":"box","text":"Computershare Trust Company","page_number":2,"box":{"x":116,"y":351,"width":216,"height":12}},{"id":"ffcfcb7f-f554-4671-a787-33ae757fcb6c","block_type":"box","text":"Conduent HR Services, LLC","page_number":2,"box":{"x":116,"y":367,"width":198,"height":10}},{"id":"14c3d070-4efa-4ff2-8af9-ab6005b3db85","block_type":"box","text":"Delaware Life Insurance Company","page_number":2,"box":{"x":116,"y":382,"width":240,"height":12}},{"id":"d4ae382a-a40b-4d4b-bb05-f6fdc8a05876","block_type":"box","text":"Delaware Trust Company","page_number":2,"box":{"x":116,"y":398,"width":178,"height":11}},{"id":"c1c3d9f3-3c4c-473e-9cdf-e26e02a42e04","block_type":"box","text":"Deutsche Bank AG","page_number":2,"box":{"x":116,"y":413,"width":135,"height":9}},{"id":"feab9210-71aa-4e66-8806-3384b98d2d55","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":2,"box":{"x":116,"y":429,"width":285,"height":11}},{"id":"6519b92a-7c90-4d97-9dc7-6019b13a20fa","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":2,"box":{"x":116,"y":444,"width":232,"height":12}},{"id":"e8095f2c-9d12-472e-97e3-2fc27680dd37","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":2,"box":{"x":116,"y":460,"width":328,"height":10}},{"id":"b4ed30b1-9fc8-4732-aeef-5d8be52c8bce","block_type":"box","text":"Dynasty Financial Partners LLC","page_number":2,"box":{"x":116,"y":475,"width":223,"height":12}},{"id":"acbcde4e-5c0c-4027-a9f8-eece4d79f6fd","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":2,"box":{"x":116,"y":491,"width":200,"height":10}},{"id":"b961a506-fe87-45e6-91c8-5168e978d14a","block_type":"box","text":"Empire Fidelity Investments Life Insurance","page_number":2,"box":{"x":116,"y":506,"width":298,"height":12}},{"id":"5d255125-bee0-4ef3-939f-91cf90bd560f","block_type":"box","text":"Company","page_number":2,"box":{"x":116,"y":522,"width":69,"height":11}},{"id":"2944edee-1cb6-4e50-ba53-c43241304181","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":2,"box":{"x":116,"y":537,"width":349,"height":12}},{"id":"fe02693c-0207-48b7-8fdf-c8aaa99188d1","block_type":"box","text":"Empower Financial Services, Inc.","page_number":2,"box":{"x":116,"y":553,"width":232,"height":11}},{"id":"33ddccb7-e9ba-4d5d-a4fc-1918befb8882","block_type":"box","text":"Empower Life & Annuity Insurance Company of","page_number":2,"box":{"x":116,"y":568,"width":336,"height":12}},{"id":"fb657600-507d-45ae-9418-6573fafaae85","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":584,"width":74,"height":9}},{"id":"f9698f32-6ee3-4eb5-8256-2b1006c81115","block_type":"box","text":"Empower Plan Services, LLC","page_number":2,"box":{"x":116,"y":599,"width":205,"height":12}},{"id":"0e19612b-d53b-4027-8637-f0b9f10b50bd","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":2,"box":{"x":116,"y":615,"width":238,"height":11}},{"id":"ee0bdebd-83fa-4bfa-a7dc-02d918d0ffe5","block_type":"box","text":"Equitable Advisors, LLC","page_number":2,"box":{"x":116,"y":630,"width":174,"height":12}},{"id":"5a3e2b3f-718d-4650-839d-ab7e3ce8d316","block_type":"box","text":"Equitable Life Insurance Company","page_number":2,"box":{"x":116,"y":646,"width":240,"height":11}},{"id":"95ec6521-a885-4183-87de-eaac1f7b16e3","block_type":"box","text":"E*trade Savings Bank","page_number":2,"box":{"x":116,"y":661,"width":150,"height":12}},{"id":"82e12df2-cb63-4a34-962f-b8aacabafdb7","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":2,"box":{"x":116,"y":677,"width":262,"height":11}},{"id":"0bacbc33-bcb2-461f-bf5e-8c5a3cd942fd","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":2,"box":{"x":116,"y":692,"width":223,"height":12}},{"id":"556542e9-e368-4b42-a564-13f80dd064d3","block_type":"box","text":"Fidelity Investments Institutional Operations","page_number":2,"box":{"x":116,"y":708,"width":301,"height":11}},{"id":"507737f4-e17f-473c-a0ab-5455fa66f812","block_type":"box","text":"Company, Inc.","page_number":2,"box":{"x":116,"y":723,"width":98,"height":12}},{"id":"393bdfae-c80d-4943-8561-1cc22665af0a","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":2,"box":{"x":116,"y":739,"width":309,"height":11}},{"id":"aa33631e-9790-4aa5-a4a9-6977f8da26af","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":2,"box":{"x":116,"y":754,"width":178,"height":11}},{"id":"c76b0c07-e66b-4173-a833-7f1f24f24496","block_type":"box","text":"First Allied Securities, Inc.","page_number":2,"box":{"x":116,"y":770,"width":181,"height":10}},{"id":"f0b6397b-efac-4ab7-9b60-3d98d6b2054c","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":2,"box":{"x":116,"y":785,"width":269,"height":12}},{"id":"3b463c27-949c-4875-bc90-7025d44f9357","block_type":"box","text":"First Hawaiian Bank","page_number":2,"box":{"x":116,"y":801,"width":139,"height":9}},{"id":"3af35ee2-448f-4b29-b428-c6fb1baef260","block_type":"box","text":"First Republic Bank","page_number":2,"box":{"x":116,"y":816,"width":136,"height":12}},{"id":"3238c9fa-5e68-4c38-8132-a783df50cd13","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":2,"box":{"x":116,"y":832,"width":339,"height":11}},{"id":"efad6197-9470-4785-a45c-f22710d54501","block_type":"box","text":"Company of New York","page_number":2,"box":{"x":116,"y":847,"width":162,"height":12}},{"id":"c24c8861-c406-44cc-a26b-9045b6b4f3bc","block_type":"box","text":"First Symetra National Life Insurance Company of","page_number":2,"box":{"x":116,"y":863,"width":348,"height":11}},{"id":"a70a4946-822a-4516-bade-e5d0c8d7b0a5","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":878,"width":74,"height":9}},{"id":"fd9800fe-b8c8-400d-9c8e-b267b48233a4","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":2,"box":{"x":116,"y":894,"width":262,"height":11}},{"id":"5dfbee96-f9ee-4cf6-aa99-508d766293d1","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":2,"box":{"x":116,"y":909,"width":283,"height":12}},{"id":"a3d50c98-8303-4c98-a5c3-73ca43709c19","block_type":"box","text":"FNEX Capital, LLC","page_number":2,"box":{"x":520,"y":88,"width":141,"height":11}},{"id":"8a20ab56-64ce-4104-9ba9-d4b3921ac240","block_type":"box","text":"Forethought Life Insurance Company","page_number":2,"box":{"x":520,"y":103,"width":258,"height":12}},{"id":"96b3a172-8f45-42d1-912e-53f461bc57c3","block_type":"box","text":"FSC Securities Corporation","page_number":2,"box":{"x":520,"y":119,"width":190,"height":11}},{"id":"4e3df4b9-c881-48c3-8e39-9648101df2be","block_type":"box","text":"Genworth Life and Annuity Insurance Company","page_number":2,"box":{"x":520,"y":134,"width":331,"height":12}},{"id":"125c681c-4ecb-43fc-860b-c05267cef744","block_type":"box","text":"Genworth Life Insurance Company of New York","page_number":2,"box":{"x":520,"y":150,"width":336,"height":11}},{"id":"f87d19ef-1afc-476c-b9d9-5f915bcb2f65","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":2,"box":{"x":520,"y":165,"width":233,"height":11}},{"id":"0b5e78d1-ceaa-496b-b075-ea62e3b64e4b","block_type":"box","text":"Goldman Sachs & Co.","page_number":2,"box":{"x":520,"y":181,"width":156,"height":9}},{"id":"b9a48712-ff98-4463-8ff6-7c148c8f097c","block_type":"box","text":"Great Pacific Securities, LLC","page_number":2,"box":{"x":520,"y":196,"width":203,"height":11}},{"id":"4b229305-8450-43a5-803d-bd872a3683b2","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":2,"box":{"x":520,"y":212,"width":275,"height":11}},{"id":"949b3092-d703-4af5-a8a0-40d00062548f","block_type":"box","text":"Hancock Whitney Bank","page_number":2,"box":{"x":520,"y":227,"width":166,"height":12}},{"id":"45306b58-fc50-4db5-9fad-912c37cb4c80","block_type":"box","text":"Hartford Funds Management Company","page_number":2,"box":{"x":520,"y":243,"width":269,"height":11}},{"id":"9f027b08-8582-4bdf-b670-d01580e0680c","block_type":"box","text":"Hartford Securities Distribution Company, Inc.","page_number":2,"box":{"x":520,"y":258,"width":322,"height":12}},{"id":"defa5b0f-61bd-4ed6-8a89-09b6e830d142","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":2,"box":{"x":520,"y":274,"width":203,"height":10}},{"id":"547565e5-a63e-4cfd-bb6e-5a941069b70f","block_type":"box","text":"Hightower Securities, Inc.","page_number":2,"box":{"x":520,"y":289,"width":181,"height":12}},{"id":"f6846d9e-c965-4c2f-afeb-c53398ae603c","block_type":"box","text":"Hilltop Securities Inc.","page_number":2,"box":{"x":520,"y":305,"width":152,"height":11}},{"id":"ace6f5fd-ab56-4a95-a093-8287600e8871","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":2,"box":{"x":520,"y":320,"width":166,"height":11}},{"id":"cce3f552-27bb-4b67-a730-60bbe624bc02","block_type":"box","text":"Huntington Securities, Inc.","page_number":2,"box":{"x":520,"y":336,"width":186,"height":11}},{"id":"b7855f0f-cb78-46cd-8810-4daccd5e297b","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":2,"box":{"x":520,"y":351,"width":249,"height":11}},{"id":"957fa839-dcc8-4044-b5cc-c3a0e46e82e7","block_type":"box","text":"Integrity Life Insurance Company","page_number":2,"box":{"x":520,"y":367,"width":234,"height":11}},{"id":"97a468f1-87c2-4812-93b3-34219b8c5496","block_type":"box","text":"Interactive Brokers, LLC","page_number":2,"box":{"x":520,"y":382,"width":174,"height":11}},{"id":"21cd7ae7-ca9a-43cc-80f6-d12086d685e0","block_type":"box","text":"Investment Trust of California","page_number":2,"box":{"x":520,"y":398,"width":209,"height":9}},{"id":"bb0a8d60-44c4-410a-8b1c-b5bb7354a488","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":2,"box":{"x":520,"y":413,"width":287,"height":12}},{"id":"f78b2fe9-59fc-4c8a-ba10-51b7f90c511c","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":2,"box":{"x":520,"y":429,"width":193,"height":11}},{"id":"75e61ee4-8af8-463f-a8f5-787d404fc034","block_type":"box","text":"Jefferies LLC","page_number":2,"box":{"x":520,"y":444,"width":97,"height":9}},{"id":"7100405c-0356-4b75-ae8a-1121e6a41a89","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":2,"box":{"x":520,"y":460,"width":300,"height":11}},{"id":"e42507d9-ed3f-4243-b160-045c428272e2","block_type":"box","text":"Jefferson National Life Insurance Company of New","page_number":2,"box":{"x":520,"y":475,"width":354,"height":12}},{"id":"8e387f73-09ae-41a2-bf42-f9ef129a9e05","block_type":"box","text":"York","page_number":2,"box":{"x":520,"y":491,"width":39,"height":9}},{"id":"f242a553-0525-46d3-ae93-719d9bce4346","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":"4eafb00d-9444-4f0c-8568-3c801f992610","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":"561c1247-4250-47c4-a7c5-2f0065d3beb9","block_type":"box","text":"John Hancock Trust Company","page_number":2,"box":{"x":520,"y":537,"width":209,"height":12}},{"id":"48b4cabd-ede1-423a-90d0-38b2b5e01958","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":2,"box":{"x":520,"y":553,"width":199,"height":11}},{"id":"4757125b-4f97-433e-af5a-7b90af207c7b","block_type":"box","text":"Kestra Investment Services, LLC","page_number":2,"box":{"x":520,"y":568,"width":229,"height":11}},{"id":"9940a52e-8675-43c8-8f68-74c94fbdeb33","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":2,"box":{"x":520,"y":584,"width":274,"height":11}},{"id":"77810a14-9869-4fd8-a7e4-d169954ccc4b","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":2,"box":{"x":520,"y":599,"width":280,"height":12}},{"id":"25a861c1-04ec-44dd-8a2c-d97af5b97a73","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":2,"box":{"x":520,"y":615,"width":328,"height":11}},{"id":"d5782acd-becf-4127-b57d-8803b57606cb","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":2,"box":{"x":520,"y":630,"width":290,"height":12}},{"id":"ba819cb8-881b-4d07-86fa-162852a7548a","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":2,"box":{"x":520,"y":646,"width":233,"height":9}},{"id":"ea7d2982-8f72-4f31-ac9c-511c4f33c03a","block_type":"box","text":"Lombard International Life Assurance Company","page_number":2,"box":{"x":520,"y":661,"width":328,"height":12}},{"id":"636fe6ce-7682-4e23-96fd-4dae3e43dc1c","block_type":"box","text":"LPL Financial LLC","page_number":2,"box":{"x":520,"y":677,"width":132,"height":9}},{"id":"f05650f1-eb56-461c-8084-93040a739b7b","block_type":"box","text":"M&T Securities Inc.","page_number":2,"box":{"x":520,"y":692,"width":138,"height":9}},{"id":"a1f07ff9-55ef-416d-81fb-5c48da0041db","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":2,"box":{"x":520,"y":708,"width":291,"height":11}},{"id":"cc231a27-528d-454a-8d00-9590784e6d1f","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":2,"box":{"x":520,"y":723,"width":321,"height":12}},{"id":"fb60e5dd-33ec-4322-94a2-29c1f56a7b99","block_type":"box","text":"Members Life Insurance Company","page_number":2,"box":{"x":520,"y":739,"width":235,"height":11}},{"id":"9ae7c1b5-60e5-4bb0-8eb8-3ba4d95533ff","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":2,"box":{"x":520,"y":754,"width":353,"height":12}},{"id":"8e6b69a2-b190-477d-9590-59a35bc8d165","block_type":"box","text":"Metavante Corporation","page_number":2,"box":{"x":520,"y":770,"width":156,"height":11}},{"id":"b018caba-ebc7-4bf0-a611-60fc66245eea","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":2,"box":{"x":520,"y":785,"width":259,"height":12}},{"id":"beba2852-1fbd-4e5b-a0c8-415c7e0b6f73","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":2,"box":{"x":520,"y":801,"width":328,"height":11}},{"id":"54038659-bbbd-48e9-895a-129086e5eef2","block_type":"box","text":"Midland Life Insurance Company","page_number":2,"box":{"x":520,"y":816,"width":228,"height":12}},{"id":"45b70d41-1dfd-4bc6-99f5-5665f271bc47","block_type":"box","text":"Minnesota Life Insurance Company","page_number":2,"box":{"x":520,"y":832,"width":247,"height":11}},{"id":"d2fd798f-2fae-481d-b8e2-28ed135f2db8","block_type":"box","text":"Mischler Financial Group","page_number":2,"box":{"x":520,"y":847,"width":178,"height":12}},{"id":"59fba80b-9630-4bee-b73c-8c01c37cc76b","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":2,"box":{"x":520,"y":863,"width":195,"height":9}},{"id":"94922039-2811-4d19-8060-92708d43abec","block_type":"box","text":"MML Distributors, LLC","page_number":2,"box":{"x":520,"y":878,"width":169,"height":11}},{"id":"3cb13afd-bb56-4d66-98dc-56be49c04d1b","block_type":"box","text":"MML Investors Services, LLC","page_number":2,"box":{"x":520,"y":894,"width":212,"height":10}},{"id":"ec2dc4ef-1e3f-4367-8789-f3972e36e2c8","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":2,"box":{"x":520,"y":909,"width":189,"height":12}},{"id":"09f821f6-76d0-4296-bd43-39f12a7d458b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":2,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"f6548f54-fd97-4ee4-8414-dcce4cf8fe55","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":3,"box":{"x":116,"y":88,"width":232,"height":11}},{"id":"d85df401-0e6d-4c39-a844-3c4d40b833a5","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":3,"box":{"x":116,"y":103,"width":245,"height":12}},{"id":"98606117-8913-4af1-93f7-d65dceba6e0f","block_type":"box","text":"MUFG Union Bank, National Association","page_number":3,"box":{"x":116,"y":119,"width":289,"height":10}},{"id":"d709b249-492b-4296-afdd-548b878cce05","block_type":"box","text":"Nassau Life Insurance Company","page_number":3,"box":{"x":116,"y":134,"width":224,"height":12}},{"id":"d44dc3d7-0c30-47a5-af81-b937a4d44ea6","block_type":"box","text":"National Financial Services LLC","page_number":3,"box":{"x":116,"y":150,"width":226,"height":9}},{"id":"6e86f4d3-a7c5-4a97-a918-51b2cb1064b8","block_type":"box","text":"National Integrity Life Insurance Company","page_number":3,"box":{"x":116,"y":165,"width":296,"height":12}},{"id":"1e998205-bdfe-4d58-8e4f-2dd398cdffef","block_type":"box","text":"National Life Insurance Company","page_number":3,"box":{"x":116,"y":181,"width":234,"height":11}},{"id":"8240e67b-4320-4df2-a811-86d99466ff58","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":3,"box":{"x":116,"y":196,"width":245,"height":11}},{"id":"6c67a77a-ab3f-4dd3-b094-97e3cc05b5c2","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":3,"box":{"x":116,"y":212,"width":242,"height":9}},{"id":"dfb8b234-0319-4682-9470-8b6952beaa0c","block_type":"box","text":"Nationwide Retirement Solutions","page_number":3,"box":{"x":116,"y":227,"width":230,"height":9}},{"id":"098f42cd-030a-44c5-804e-1ac9f74fc3f4","block_type":"box","text":"NCB Federal Savings Bank","page_number":3,"box":{"x":116,"y":243,"width":191,"height":11}},{"id":"ffb8d1c0-77a0-488f-b449-29dd01dcc592","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":3,"box":{"x":116,"y":258,"width":288,"height":12}},{"id":"28ed7901-5a3a-464c-8b55-32caceb91ed3","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":3,"box":{"x":116,"y":274,"width":350,"height":11}},{"id":"623bdc7a-1ad4-4c8b-9350-9b87d75541bb","block_type":"box","text":"Newport Retirement Services, Inc.","page_number":3,"box":{"x":116,"y":289,"width":237,"height":12}},{"id":"87beb600-8f26-431e-8876-d1ddf695f545","block_type":"box","text":"Northbrook Bank & Trust Company","page_number":3,"box":{"x":116,"y":305,"width":249,"height":11}},{"id":"ada08833-ecd5-4c27-9800-a5a2a5a8c220","block_type":"box","text":"Northern Trust Company","page_number":3,"box":{"x":116,"y":320,"width":174,"height":12}},{"id":"b7bffdec-3fb2-489e-8aad-c9a64e5d9f5d","block_type":"box","text":"Northwestern Mutual Investment Services, LLC","page_number":3,"box":{"x":116,"y":336,"width":329,"height":10}},{"id":"bc83d1da-f6da-4c16-a278-36e833dd0495","block_type":"box","text":"Northwestern Mutual Life Insurance Company","page_number":3,"box":{"x":116,"y":351,"width":320,"height":12}},{"id":"93b46e76-dc3d-42c2-957e-3a2626b4f03d","block_type":"box","text":"NYLife Distributors LLC","page_number":3,"box":{"x":116,"y":367,"width":177,"height":9}},{"id":"c5116a2b-3116-4551-9415-e906e2c367a8","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":3,"box":{"x":116,"y":382,"width":175,"height":12}},{"id":"f7f954e3-e6cb-4294-8c77-77f118f79333","block_type":"box","text":"Orion Advisor Services, LLC","page_number":3,"box":{"x":116,"y":398,"width":203,"height":10}},{"id":"47a8dcb5-fce7-4083-84d0-dfca3620a23a","block_type":"box","text":"Osaic Wealth, Inc.","page_number":3,"box":{"x":116,"y":413,"width":129,"height":11}},{"id":"3834a791-1a4d-4bc9-933d-cf7884474b40","block_type":"box","text":"Pacific Life & Annuity Company","page_number":3,"box":{"x":116,"y":429,"width":230,"height":11}},{"id":"520a2a6d-6780-4759-a5bd-3cb188d8264a","block_type":"box","text":"Pacific Life Insurance Company","page_number":3,"box":{"x":116,"y":444,"width":223,"height":12}},{"id":"069a80bb-d36b-48db-939c-2d2a226c0f1c","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":3,"box":{"x":116,"y":460,"width":221,"height":10}},{"id":"d3348a54-829d-4a2d-beac-a92178ebae89","block_type":"box","text":"Park Avenue Securities LLC","page_number":3,"box":{"x":116,"y":475,"width":198,"height":9}},{"id":"313f2fdd-6edd-4609-8e38-600d62ce8e41","block_type":"box","text":"Penserra Securities LLC","page_number":3,"box":{"x":116,"y":491,"width":169,"height":9}},{"id":"c0064d52-3d01-4ee0-aaa0-042c1c2761d6","block_type":"box","text":"Pershing LLC","page_number":3,"box":{"x":116,"y":506,"width":99,"height":12}},{"id":"8d137ee5-2c4b-4398-b1a5-101d7ced9c44","block_type":"box","text":"PFPC Inc.","page_number":3,"box":{"x":116,"y":522,"width":73,"height":9}},{"id":"46e11f8d-1bd7-4022-ae79-38692b310c41","block_type":"box","text":"Piper Jaffray & Co.","page_number":3,"box":{"x":116,"y":537,"width":136,"height":12}},{"id":"7449b93e-67c3-4f17-89db-11e088df9e58","block_type":"box","text":"PNC Bank, National Association","page_number":3,"box":{"x":116,"y":553,"width":226,"height":10}},{"id":"dc68a198-11cb-49ab-975d-21c2e4c84c85","block_type":"box","text":"PNC Capital Markets LLC","page_number":3,"box":{"x":116,"y":568,"width":185,"height":12}},{"id":"90b2f52e-cb34-496c-b600-77b8a397b362","block_type":"box","text":"PNC Investments LLC","page_number":3,"box":{"x":116,"y":584,"width":158,"height":9}},{"id":"f2d6b214-98aa-4060-9072-b9d4b8a7eaf9","block_type":"box","text":"Principal Bank","page_number":3,"box":{"x":116,"y":599,"width":105,"height":12}},{"id":"16990201-52c1-4cde-b36a-5e5c34912bed","block_type":"box","text":"Principal Life Insurance Company","page_number":3,"box":{"x":116,"y":615,"width":237,"height":11}},{"id":"810b1067-695c-4f1c-b59a-a4c9b4619cc1","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":3,"box":{"x":116,"y":630,"width":332,"height":12}},{"id":"d52b66ba-4ff9-4dfc-ace5-1c2cf04c36fd","block_type":"box","text":"Protective Life Insurance Company","page_number":3,"box":{"x":116,"y":646,"width":244,"height":11}},{"id":"804add72-0310-4fa5-9576-161740449bc4","block_type":"box","text":"Pruco Life Insurance Company","page_number":3,"box":{"x":116,"y":661,"width":210,"height":12}},{"id":"94aca45b-ea54-4a13-9a00-233373b270db","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":3,"box":{"x":116,"y":677,"width":311,"height":11}},{"id":"1cd86485-9430-4f99-828f-cd69b8a4c27b","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":3,"box":{"x":116,"y":692,"width":257,"height":11}},{"id":"5c0298c1-2055-4b70-89c5-2555b71c7c04","block_type":"box","text":"Prudential Insurance Company of America","page_number":3,"box":{"x":116,"y":708,"width":289,"height":11}},{"id":"e4774c48-5526-42b7-a4ab-a73e2d97be5f","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":3,"box":{"x":116,"y":723,"width":237,"height":12}},{"id":"251c7899-c774-45ee-9eb7-90c18de58700","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":3,"box":{"x":116,"y":739,"width":272,"height":11}},{"id":"2dcb832e-2a81-4cb6-a219-47a07d4e3de0","block_type":"box","text":"RBC Capital Markets, LLC","page_number":3,"box":{"x":116,"y":754,"width":185,"height":12}},{"id":"56d2bbbb-61a0-4f32-a4eb-5de8fc298b66","block_type":"box","text":"Regions Bank","page_number":3,"box":{"x":116,"y":770,"width":95,"height":11}},{"id":"ec7859bf-6cf4-4059-96ce-bc4bf08b37e4","block_type":"box","text":"Reliance Trust Company","page_number":3,"box":{"x":116,"y":785,"width":168,"height":12}},{"id":"f045dac3-0b70-4ce7-80c7-bcf5abbe635f","block_type":"box","text":"Reliastar Life Insurance Company","page_number":3,"box":{"x":116,"y":801,"width":231,"height":11}},{"id":"4636e9f8-96ef-43d9-8da6-e3136965ff9f","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":3,"box":{"x":116,"y":816,"width":325,"height":12}},{"id":"63111289-b444-4071-85d0-790ce0dd988c","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":3,"box":{"x":116,"y":832,"width":207,"height":10}},{"id":"3a433a42-9fb7-4b9d-b31c-0247b36ba1f9","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":3,"box":{"x":116,"y":847,"width":311,"height":9}},{"id":"58a7a74f-0f09-481b-a6ff-ab894ecfb16f","block_type":"box","text":"RiverSource Life Insurance Company","page_number":3,"box":{"x":116,"y":863,"width":260,"height":11}},{"id":"d3a216b3-bf77-4237-987b-470366b041c9","block_type":"box","text":"SagePoint Financial, Inc.","page_number":3,"box":{"x":116,"y":878,"width":173,"height":12}},{"id":"05270a45-1b54-44fa-9d34-c57be0a98aa0","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":3,"box":{"x":116,"y":894,"width":252,"height":10}},{"id":"21d20ad8-6d04-4acd-9315-3a42666b43d3","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":3,"box":{"x":116,"y":909,"width":207,"height":12}},{"id":"2240e4d1-27aa-4907-9b5d-cf41049d4a99","block_type":"box","text":"Santander Bank, N.A.","page_number":3,"box":{"x":520,"y":88,"width":152,"height":10}},{"id":"d7bd0642-a25d-4e7f-a4fd-a157fc433a0a","block_type":"box","text":"Saturna Trust Company","page_number":3,"box":{"x":520,"y":103,"width":165,"height":12}},{"id":"27dc7528-7d5b-40e8-b7c1-8c825a6010f2","block_type":"box","text":"Securities America, Inc.","page_number":3,"box":{"x":520,"y":119,"width":167,"height":10}},{"id":"66fc4336-72a3-4374-8694-9340149b1e16","block_type":"box","text":"Securities Finance Trust Company","page_number":3,"box":{"x":520,"y":134,"width":238,"height":12}},{"id":"513f5ace-29db-429b-9220-bccc8b67d9d1","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":3,"box":{"x":520,"y":150,"width":286,"height":11}},{"id":"e8f85019-64b5-4495-bc7e-9dda347aea24","block_type":"box","text":"Security Financial Resources, Inc.","page_number":3,"box":{"x":520,"y":165,"width":235,"height":12}},{"id":"9f361aa0-c03f-4b76-97da-0f31c1870fca","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":3,"box":{"x":520,"y":181,"width":304,"height":11}},{"id":"0101cf86-8af6-4da7-9acf-c89bb81a4750","block_type":"box","text":"SEI Private Trust Company","page_number":3,"box":{"x":520,"y":196,"width":191,"height":12}},{"id":"0ae53e13-28ff-4e94-a275-ca2e51db7292","block_type":"box","text":"SG Americas Securities, LLC","page_number":3,"box":{"x":520,"y":212,"width":205,"height":10}},{"id":"ce750c95-b29f-40c2-90a7-e128163add5e","block_type":"box","text":"Silicon Valley Bank","page_number":3,"box":{"x":520,"y":227,"width":141,"height":12}},{"id":"4ece34b0-4f5a-4982-a969-d371609b3a64","block_type":"box","text":"Standard Insurance Company","page_number":3,"box":{"x":520,"y":243,"width":203,"height":11}},{"id":"1ad56a0b-d8a7-4eb1-8f54-185a51cfdd2b","block_type":"box","text":"Standard Retirement Services, Inc.","page_number":3,"box":{"x":520,"y":258,"width":239,"height":11}},{"id":"864b9079-77eb-487d-bd7e-a33830fd7311","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":3,"box":{"x":520,"y":274,"width":347,"height":11}},{"id":"bb8bd970-ad60-467c-8adc-608c71b391d9","block_type":"box","text":"State Farm Life Insurance Company","page_number":3,"box":{"x":520,"y":289,"width":249,"height":12}},{"id":"9b7a0de2-cce9-4a8d-ad9c-b5a00d201a81","block_type":"box","text":"State Farm VP Management Corp.","page_number":3,"box":{"x":520,"y":305,"width":237,"height":11}},{"id":"c9b5579a-bdbd-4e98-b54b-e1ea5642c113","block_type":"box","text":"State Street Bank and Trust Company","page_number":3,"box":{"x":520,"y":320,"width":259,"height":12}},{"id":"5d03aa3e-1ffa-47ee-b30c-4b0106bb094f","block_type":"box","text":"State Street Global Markets, LLC","page_number":3,"box":{"x":520,"y":336,"width":231,"height":10}},{"id":"55457b05-cd8a-45cf-94d2-c03fe91ce565","block_type":"box","text":"Stern Brothers & Co.","page_number":3,"box":{"x":520,"y":351,"width":147,"height":9}},{"id":"f9b0ad20-087a-4173-9e3d-c4c70ff59b83","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":3,"box":{"x":520,"y":367,"width":290,"height":11}},{"id":"295ed05b-a60e-4854-b7d6-e6c157331a49","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":3,"box":{"x":520,"y":382,"width":227,"height":12}},{"id":"adaf8145-629e-4a59-9fab-66536b2c2577","block_type":"box","text":"SVB Asset Management","page_number":3,"box":{"x":520,"y":398,"width":170,"height":11}},{"id":"84b6aed3-9bca-4f9f-b79e-d9b17a8ac1ac","block_type":"box","text":"Symetra Life Insurance Company","page_number":3,"box":{"x":520,"y":413,"width":232,"height":12}},{"id":"2513f924-417e-4e60-afc1-138e4cf2cc36","block_type":"box","text":"Syntal Capital Partners, LLC","page_number":3,"box":{"x":520,"y":429,"width":200,"height":11}},{"id":"766b59f2-8f5e-41f7-9d8b-61a97c0c5566","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":3,"box":{"x":520,"y":444,"width":310,"height":11}},{"id":"fafb6afe-eade-44d5-8ed9-a2cf7bd8170c","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance","page_number":3,"box":{"x":520,"y":460,"width":319,"height":11}},{"id":"013cd7ad-6fa7-42a7-8f4b-98031abb737a","block_type":"box","text":"Company","page_number":3,"box":{"x":520,"y":475,"width":69,"height":12}},{"id":"63ae555d-0284-413e-a868-5234acb3e9da","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":3,"box":{"x":520,"y":491,"width":301,"height":11}},{"id":"6c1d8143-29ed-4001-8f80-d8caf6188995","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":3,"box":{"x":520,"y":506,"width":204,"height":12}},{"id":"3b428d95-b8ac-41b5-8b66-18198a99de48","block_type":"box","text":"TD Ameritrade, Inc.","page_number":3,"box":{"x":520,"y":522,"width":141,"height":10}},{"id":"569033a9-2708-4f99-8f2d-4fb76510d840","block_type":"box","text":"TD Prime Services (US) LLC","page_number":3,"box":{"x":520,"y":537,"width":205,"height":11}},{"id":"f07a7e90-63d3-434e-8d23-f7206c4fb67a","block_type":"box","text":"Teachers Insurance and Annuity Association of","page_number":3,"box":{"x":520,"y":553,"width":325,"height":11}},{"id":"a36e582c-ad4a-435f-bdfb-22b6472f2283","block_type":"box","text":"America","page_number":3,"box":{"x":520,"y":568,"width":62,"height":9}},{"id":"21d37462-8c6e-4a85-9952-777ba4676c43","block_type":"box","text":"Tigress Financial Partners, LLC","page_number":3,"box":{"x":520,"y":584,"width":220,"height":11}},{"id":"a44db068-8c46-4fe1-9083-c5c47fffbca7","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":3,"box":{"x":520,"y":599,"width":335,"height":12}},{"id":"67fd02c2-29df-430c-bdb2-397028a83a5d","block_type":"box","text":"Transamerica Life Insurance Company","page_number":3,"box":{"x":520,"y":615,"width":268,"height":11}},{"id":"1db79bc3-8602-440f-8aee-42e0542ead76","block_type":"box","text":"Treasury Brokerage","page_number":3,"box":{"x":520,"y":630,"width":138,"height":12}},{"id":"576da2a6-c53e-4853-bf63-75763957edcf","block_type":"box","text":"Triad Advisors, LLC","page_number":3,"box":{"x":520,"y":646,"width":146,"height":10}},{"id":"8fe3b70a-b581-4bbb-bb4c-83336a0c39a8","block_type":"box","text":"Truist Bank","page_number":3,"box":{"x":520,"y":661,"width":80,"height":9}},{"id":"50d0aee2-ab5f-4bef-ab7f-391bb7c6f2cc","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":3,"box":{"x":520,"y":677,"width":210,"height":11}},{"id":"7b9867d8-30c9-4ed1-83f0-f7f8e93e1abe","block_type":"box","text":"U.S. Bank, National Association","page_number":3,"box":{"x":520,"y":692,"width":219,"height":11}},{"id":"d00c6572-0a37-4581-96b3-703d164bdb6f","block_type":"box","text":"UBATCO & Co.","page_number":3,"box":{"x":520,"y":708,"width":113,"height":9}},{"id":"9c8d766c-de71-484e-8fc7-375657d481e3","block_type":"box","text":"UBS Financial Services, Inc.","page_number":3,"box":{"x":520,"y":723,"width":194,"height":11}},{"id":"ee02c737-5b3f-474b-8b01-6790be233557","block_type":"box","text":"UBS Securities LLC","page_number":3,"box":{"x":520,"y":739,"width":139,"height":9}},{"id":"563cffb7-d1ef-43c1-8a86-e8a9a9488e89","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":3,"box":{"x":520,"y":754,"width":200,"height":11}},{"id":"ac27e642-c56e-4e8c-a07b-cb2bd0c0f08c","block_type":"box","text":"UMB Bank, National Association","page_number":3,"box":{"x":520,"y":770,"width":228,"height":10}},{"id":"14a5281f-7fe2-4799-900e-d2e09ee18ec4","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":"c16c8c29-f406-42de-88bd-08bbe1140c2a","block_type":"box","text":"New York","page_number":3,"box":{"x":520,"y":801,"width":70,"height":9}},{"id":"518c1db4-a16f-40f8-807f-b962cc4315f4","block_type":"box","text":"VALIC Retirement Services Company","page_number":3,"box":{"x":520,"y":816,"width":261,"height":12}},{"id":"6fdd8bac-eb5c-4348-8a1c-09a7ba3b4263","block_type":"box","text":"Vanguard Group, Inc.","page_number":3,"box":{"x":520,"y":832,"width":152,"height":11}},{"id":"aba0759f-ed79-48f6-b397-e8b24b4a674a","block_type":"box","text":"Vanguard Marketing Corporation","page_number":3,"box":{"x":520,"y":847,"width":230,"height":12}},{"id":"6982800d-176d-4165-a16d-45851ce18e70","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":3,"box":{"x":520,"y":863,"width":207,"height":11}},{"id":"319fd1a7-d5a9-4e6b-8aea-d761d2c5f4ad","block_type":"box","text":"Voya Financial Partners, LLC","page_number":3,"box":{"x":520,"y":878,"width":207,"height":12}},{"id":"9a4e6c43-84e5-47c6-bd14-99d4001eb4fc","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":3,"box":{"x":520,"y":894,"width":262,"height":11}},{"id":"1b00eba2-507f-45e4-82d4-46a58b7b2128","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":3,"box":{"x":520,"y":909,"width":263,"height":12}},{"id":"980e5123-7367-4949-87d5-5f81571da0bf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":3,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"af066d24-23ee-4ce7-ab78-628327b70245","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":4,"box":{"x":116,"y":88,"width":245,"height":11}},{"id":"5c702536-d4a8-45ef-96fd-6e4b5185abd2","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":4,"box":{"x":116,"y":103,"width":347,"height":12}},{"id":"4267bbf7-e7d1-4686-83fb-0649ed612e8b","block_type":"box","text":"Waddell & Reed, Inc.","page_number":4,"box":{"x":116,"y":119,"width":151,"height":10}},{"id":"f20ec486-7140-4f51-ada3-39e188f8363b","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":4,"box":{"x":116,"y":134,"width":192,"height":12}},{"id":"97583737-e6dc-4c44-bcae-a8ae709ba7c5","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":4,"box":{"x":116,"y":150,"width":322,"height":11}},{"id":"2c8515aa-9c78-4d2a-864e-208f36f3b2df","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":4,"box":{"x":116,"y":165,"width":168,"height":12}},{"id":"c8d63968-f540-4a33-89b4-00e39e83e6a1","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":4,"box":{"x":520,"y":88,"width":251,"height":11}},{"id":"20622a05-8519-4e78-bd8b-e66c791c37e3","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":4,"box":{"x":520,"y":103,"width":213,"height":12}},{"id":"467adf32-ec76-4c45-a65e-840d696e07d5","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":4,"box":{"x":520,"y":119,"width":198,"height":11}},{"id":"993828fc-4a1c-4ebd-8485-642965826d47","block_type":"box","text":"Wilmington Trust, National Association","page_number":4,"box":{"x":520,"y":134,"width":275,"height":12}},{"id":"8a46235d-1d02-4271-9bf6-41c2f5aaeac0","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":4,"box":{"x":520,"y":150,"width":238,"height":11}},{"id":"fc099170-67c0-4c7b-aadd-aca2cd0eb40a","block_type":"box","text":"ZB, National Association","page_number":4,"box":{"x":520,"y":165,"width":176,"height":11}},{"id":"a49c2a1c-fe50-41c4-aee2-ff6524ec4fdb","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":4,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"7fbc04d9-dd03-4318-896f-d562a4fcb502","block_type":"box","text":"Appendix A","page_number":5,"box":{"x":456,"y":87,"width":91,"height":12}},{"id":"1e4efedd-b2c9-43f0-80ff-70940d6e46af","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":5,"box":{"x":116,"y":118,"width":296,"height":12}},{"id":"9adb2304-a434-4943-bc2c-5d4df75def6e","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":5,"box":{"x":116,"y":149,"width":325,"height":12}},{"id":"aba4b1a6-8268-4fd3-8bf9-e857f0fd8a3a","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":5,"box":{"x":116,"y":180,"width":266,"height":12}},{"id":"3d9247e8-567c-4171-9ec5-391d820061e8","block_type":"box","text":"BATS: Securitized Total Return Series","page_number":5,"box":{"x":150,"y":196,"width":267,"height":9}},{"id":"38a2def3-ab46-4b38-8972-d3143fc3c447","block_type":"box","text":"BATS: Corporate Credit Total Return Series","page_number":5,"box":{"x":150,"y":212,"width":304,"height":11}},{"id":"3335bac6-2cb9-45ce-8100-a1b4c6692f45","block_type":"box","text":"BATS: High Income Municipal Series","page_number":5,"box":{"x":150,"y":227,"width":263,"height":12}},{"id":"f03fe8e5-8535-47b4-a416-615648b87f86","block_type":"box","text":"BATS: High Income Taxable Series","page_number":5,"box":{"x":150,"y":243,"width":248,"height":11}},{"id":"b0541a63-07ea-4fb0-97cb-85cf99e5eb4b","block_type":"box","text":"BATS: Mortgage Total Return Series","page_number":5,"box":{"x":150,"y":258,"width":256,"height":12}},{"id":"d1b6a60f-a677-4cef-b49e-15e596fe948d","block_type":"box","text":"BATS: Interest Rate Hedge Series","page_number":5,"box":{"x":150,"y":274,"width":235,"height":11}},{"id":"faf0924e-2c4f-4d61-a24b-c9972fc09b91","block_type":"box","text":"BATS: Short Duration Taxable Total","page_number":5,"box":{"x":150,"y":289,"width":254,"height":9}},{"id":"bd805dba-03ed-4fc2-8dde-1db6cd5d1898","block_type":"box","text":"Return Series","page_number":5,"box":{"x":150,"y":305,"width":95,"height":9}},{"id":"848f4433-5b77-4a5a-8a80-e0e69f3dbeae","block_type":"box","text":"BATS: Short Term Municipal Income Series","page_number":5,"box":{"x":150,"y":320,"width":306,"height":12}},{"id":"df548b19-dc2b-4de9-bb0c-472267bc3df5","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":5,"box":{"x":116,"y":351,"width":232,"height":11}},{"id":"0d4310f2-738b-403c-8fa8-b61a27183219","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":5,"box":{"x":116,"y":382,"width":203,"height":11}},{"id":"7543c2f1-07ec-4429-9d80-862c588a2a02","block_type":"box","text":"BlackRock Total Return Fund","page_number":5,"box":{"x":150,"y":398,"width":207,"height":9}},{"id":"7374ee67-b5b7-4578-93cb-a2826be0215a","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":5,"box":{"x":116,"y":429,"width":331,"height":11}},{"id":"d2664c8f-3eda-4766-b50a-dea627c062c6","block_type":"box","text":"BlackRock California Municipal Opportunities","page_number":5,"box":{"x":150,"y":444,"width":321,"height":12}},{"id":"bf5e508e-81ea-43c5-9813-c3be533a9089","block_type":"box","text":"Fund","page_number":5,"box":{"x":150,"y":460,"width":38,"height":9}},{"id":"26673e27-c38b-4a29-af8c-c8fae071e706","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":5,"box":{"x":116,"y":491,"width":317,"height":11}},{"id":"7312f626-8762-4431-824e-413f66f48150","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":5,"box":{"x":116,"y":522,"width":301,"height":11}},{"id":"279a344f-63be-47ba-961b-b5a683b325cb","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":5,"box":{"x":116,"y":553,"width":248,"height":11}},{"id":"75e55869-4702-4c4e-878f-f2dd36e2c643","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":5,"box":{"x":116,"y":584,"width":332,"height":9}},{"id":"35431490-7ae3-4188-ac31-1b960f54104d","block_type":"box","text":"BlackRock Summit Cash Reserves Fund","page_number":5,"box":{"x":150,"y":599,"width":278,"height":9}},{"id":"a43c1646-1182-41b4-9831-d458f2a0c032","block_type":"box","text":"BlackRock Funds","page_number":5,"box":{"x":116,"y":630,"width":127,"height":9}},{"id":"2c6da1ff-b788-45a6-8967-c5067c3d5f64","block_type":"box","text":"SM","page_number":5,"box":{"x":244,"y":630,"width":15,"height":6}},{"id":"c005ac75-d88b-4960-a469-4fbad00bd4e8","block_type":"box","text":"BlackRock Advantage Emerging Markets Fund","page_number":5,"box":{"x":150,"y":646,"width":325,"height":11}},{"id":"61c06b33-07e8-428a-b3d7-501f10b7ea0b","block_type":"box","text":"BlackRock Advantage International Fund","page_number":5,"box":{"x":150,"y":661,"width":281,"height":12}},{"id":"d5297c76-3a68-4bc3-927b-8950c8178a4b","block_type":"box","text":"BlackRock Advantage Large Cap Growth Fund","page_number":5,"box":{"x":150,"y":677,"width":320,"height":11}},{"id":"6fe2997b-7f16-4fae-872f-bb18f978f814","block_type":"box","text":"BlackRock Advantage Small Cap Core Fund","page_number":5,"box":{"x":150,"y":692,"width":302,"height":12}},{"id":"3f06c980-e861-4703-b99a-8e39ac809449","block_type":"box","text":"BlackRock Advantage Small Cap Growth Fund","page_number":5,"box":{"x":150,"y":708,"width":321,"height":11}},{"id":"01a89e61-e777-4b4a-abe6-3de2a4d0dfc5","block_type":"box","text":"BlackRock China A Opportunities Fund","page_number":5,"box":{"x":150,"y":723,"width":271,"height":12}},{"id":"e25f14ca-d1c7-4855-8845-b2b1a938817e","block_type":"box","text":"BlackRock Commodity Strategies Fund","page_number":5,"box":{"x":150,"y":739,"width":268,"height":11}},{"id":"301bbbda-baf7-437b-afa4-7a00fef6bd85","block_type":"box","text":"BlackRock Daily Reinvestment Stablecoin","page_number":5,"box":{"x":150,"y":754,"width":288,"height":12}},{"id":"c5d73427-d129-480b-a952-8d154b674982","block_type":"box","text":"Reserve Vehicle","page_number":5,"box":{"x":150,"y":770,"width":110,"height":9}},{"id":"5402ea36-c6f2-4ecf-9bb8-62f714e83942","block_type":"box","text":"BlackRock Defensive Advantage Emerging","page_number":5,"box":{"x":150,"y":785,"width":294,"height":12}},{"id":"2172152a-b2ff-481d-bf05-cdad8ec266c5","block_type":"box","text":"Markets Fund","page_number":5,"box":{"x":150,"y":801,"width":93,"height":9}},{"id":"cf21c42c-6a53-44fa-b15f-83f28862bad3","block_type":"box","text":"BlackRock Emerging Markets ex-China Fund","page_number":5,"box":{"x":150,"y":816,"width":309,"height":12}},{"id":"ff404f06-16e2-48eb-902b-567812020cb0","block_type":"box","text":"BlackRock Energy Opportunities Fund","page_number":5,"box":{"x":150,"y":832,"width":267,"height":11}},{"id":"794ec822-21fd-4a2d-a0fe-f293ffb46688","block_type":"box","text":"BlackRock Exchange Portfolio","page_number":5,"box":{"x":150,"y":847,"width":213,"height":12}},{"id":"b6c2420f-377a-4245-bd99-3ae626af3976","block_type":"box","text":"BlackRock Global Equity Market Neutral Fund","page_number":5,"box":{"x":150,"y":863,"width":324,"height":11}},{"id":"b61595ef-a6f0-4aee-ac17-22e174a83c21","block_type":"box","text":"BlackRock Health Sciences Opportunities","page_number":5,"box":{"x":150,"y":878,"width":288,"height":12}},{"id":"7900331e-9515-41a0-9801-70a6de4d47df","block_type":"box","text":"Portfolio","page_number":5,"box":{"x":150,"y":894,"width":63,"height":9}},{"id":"598f78e0-299c-482b-8659-48614ccb5a8b","block_type":"box","text":"BlackRock High Equity Income Fund","page_number":5,"box":{"x":150,"y":909,"width":255,"height":12}},{"id":"a24f2343-82f1-4c17-83ac-1a1844e65125","block_type":"box","text":"BlackRock Mid-Cap Growth Equity Portfolio","page_number":5,"box":{"x":554,"y":119,"width":312,"height":11}},{"id":"21041eeb-c86c-4a0e-8ee5-2d07d0810b66","block_type":"box","text":"BlackRock Real Estate Securities Fund","page_number":5,"box":{"x":554,"y":134,"width":269,"height":9}},{"id":"f7f0c6b4-bf72-4dfa-8c75-4295ac26a4bb","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":5,"box":{"x":554,"y":150,"width":241,"height":11}},{"id":"e329667e-1b5d-4511-9308-df6b5edb0b40","block_type":"box","text":"BlackRock Sustainable Aware Advantage","page_number":5,"box":{"x":554,"y":165,"width":287,"height":12}},{"id":"f121cb54-94ba-4595-b347-32e343950012","block_type":"box","text":"Emerging Markets Equity Fund","page_number":5,"box":{"x":554,"y":181,"width":218,"height":11}},{"id":"19eda29f-79a5-487b-b987-21848f0968e7","block_type":"box","text":"BlackRock Sustainable Aware Advantage Large","page_number":5,"box":{"x":554,"y":196,"width":330,"height":12}},{"id":"d8f08c5d-a0c1-47b3-b1b8-f38c75e7f6b1","block_type":"box","text":"Cap Core Fund","page_number":5,"box":{"x":554,"y":212,"width":106,"height":11}},{"id":"63129868-a4e4-4ce3-85a6-025b3397c4c9","block_type":"box","text":"BlackRock Tactical Opportunities Fund","page_number":5,"box":{"x":554,"y":227,"width":273,"height":12}},{"id":"f12d72f3-9286-4ce7-b460-5103751a3e04","block_type":"box","text":"BlackRock Technology Opportunities Fund","page_number":5,"box":{"x":554,"y":243,"width":299,"height":11}},{"id":"67c63f90-c8c4-45a0-bcd1-bd0b117d2930","block_type":"box","text":"BlackRock Wealth Liquid Environmentally","page_number":5,"box":{"x":554,"y":258,"width":298,"height":12}},{"id":"9496e14f-6862-4396-a02b-876fda84efd4","block_type":"box","text":"Aware Fund","page_number":5,"box":{"x":554,"y":274,"width":87,"height":9}},{"id":"3631b083-1007-4556-aef5-d536fd37e0d2","block_type":"box","text":"Circle Reserve Fund","page_number":5,"box":{"x":554,"y":289,"width":142,"height":9}},{"id":"361c2163-c851-464c-b599-10c378d79873","block_type":"box","text":"iShares Developed Real Estate Index Fund","page_number":5,"box":{"x":554,"y":305,"width":292,"height":11}},{"id":"d1bc423c-5e53-46b8-990a-1ac297e0d33e","block_type":"box","text":"iShares Enhanced Roll Yield Index Fund","page_number":5,"box":{"x":554,"y":320,"width":280,"height":9}},{"id":"12920ab2-7c7b-41dd-8199-58d8f66617eb","block_type":"box","text":"iShares FTSE NAREIT All Equity REIT Index","page_number":5,"box":{"x":554,"y":336,"width":322,"height":11}},{"id":"dff0c728-2d41-4277-85e8-7bb81125e034","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":351,"width":38,"height":9}},{"id":"d2806e05-57fa-463b-a2ae-5e9990d8a36a","block_type":"box","text":"iShares Municipal Bond Index Fund","page_number":5,"box":{"x":554,"y":367,"width":249,"height":11}},{"id":"714225cb-97ed-49ba-ad24-9422cae87571","block_type":"box","text":"iShares Russell Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":382,"width":254,"height":12}},{"id":"d31817d7-ff78-44d5-bd47-82d4f970741b","block_type":"box","text":"iShares Russell Small/Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":398,"width":298,"height":11}},{"id":"b14d2485-063d-480a-98ff-6a1b7b453d6f","block_type":"box","text":"iShares Short-Term TIPS Bond Index Fund","page_number":5,"box":{"x":554,"y":413,"width":297,"height":9}},{"id":"c282f864-30af-4e78-9846-0f5fe64bf153","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":"920384c6-8185-4a5c-b96c-de9c4599524b","block_type":"box","text":"iShares U.S. Intermediate Credit Bond Index","page_number":5,"box":{"x":554,"y":444,"width":306,"height":9}},{"id":"4e295c77-a056-4e97-89ce-a5f13ef68588","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"b63d7f4d-8aed-4966-9995-9c04ada3d2c5","block_type":"box","text":"iShares U.S. Intermediate Government Bond","page_number":5,"box":{"x":554,"y":475,"width":306,"height":9}},{"id":"75fe9016-36e1-4034-a8e6-52bfce950859","block_type":"box","text":"Index Fund","page_number":5,"box":{"x":554,"y":491,"width":81,"height":9}},{"id":"9b0bc70b-c7ec-4ef9-8405-ba86b2a9d02a","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":"658b8cf6-261d-4a54-a82a-ff191aced987","block_type":"box","text":"iShares U.S. Long Government Bond Index","page_number":5,"box":{"x":554,"y":522,"width":299,"height":11}},{"id":"7e153492-76f9-45c0-b73a-722e0dbc6452","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":537,"width":38,"height":9}},{"id":"82d020e6-d750-46a9-b86f-e3f8a9124473","block_type":"box","text":"iShares U.S. Securitized Bond Index Fund","page_number":5,"box":{"x":554,"y":553,"width":290,"height":9}},{"id":"933af3c2-1626-443d-9842-8704a506f900","block_type":"box","text":"BlackRock Funds II","page_number":5,"box":{"x":520,"y":584,"width":149,"height":9}},{"id":"f2b3e416-f566-46e6-9a05-08e4cdab4999","block_type":"box","text":"BlackRock 20/80 Target Allocation Fund","page_number":5,"box":{"x":554,"y":599,"width":283,"height":12}},{"id":"e0373e2a-5280-4a81-b409-0fec1209e7dd","block_type":"box","text":"BlackRock 40/60 Target Allocation Fund","page_number":5,"box":{"x":554,"y":615,"width":283,"height":11}},{"id":"658119a2-cb9c-4cb8-91ee-eb51967ad56c","block_type":"box","text":"BlackRock 60/40 Target Allocation Fund","page_number":5,"box":{"x":554,"y":630,"width":283,"height":12}},{"id":"46f81ce1-6d35-4219-9e88-eb639f77c699","block_type":"box","text":"BlackRock 80/20 Target Allocation Fund","page_number":5,"box":{"x":554,"y":646,"width":283,"height":11}},{"id":"1b9439b9-0171-4709-a69c-0661e3dae474","block_type":"box","text":"BlackRock Dynamic High Income Portfolio","page_number":5,"box":{"x":554,"y":661,"width":296,"height":12}},{"id":"9c78ff8e-9bee-47af-8466-b6425e45c1a4","block_type":"box","text":"BlackRock Global Dividend Portfolio","page_number":5,"box":{"x":554,"y":677,"width":255,"height":9}},{"id":"b54d9f3d-17cc-4452-a8e5-e07e82f868e5","block_type":"box","text":"BlackRock Managed Income Fund","page_number":5,"box":{"x":554,"y":692,"width":235,"height":12}},{"id":"49631ad5-93cd-479d-b5f6-53fc22a22c63","block_type":"box","text":"BlackRock Multi-Asset Income Portfolio","page_number":5,"box":{"x":554,"y":708,"width":277,"height":9}},{"id":"18f14eaf-b257-4851-b843-0f31d65aeb89","block_type":"box","text":"BlackRock Retirement Income 2030 Fund","page_number":5,"box":{"x":554,"y":723,"width":285,"height":9}},{"id":"34b4d1e5-d25b-4e9b-a32a-13fb3cdf10c9","block_type":"box","text":"BlackRock Funds III","page_number":5,"box":{"x":520,"y":754,"width":151,"height":9}},{"id":"8abc661e-f1b3-4410-8cc3-7a519cda9522","block_type":"box","text":"BlackRock Cash Funds: Institutional","page_number":5,"box":{"x":554,"y":770,"width":247,"height":9}},{"id":"ff4850f6-a796-483a-b704-adff3868b6b6","block_type":"box","text":"BlackRock Cash Funds: Treasury","page_number":5,"box":{"x":554,"y":785,"width":226,"height":12}},{"id":"121f54d5-28c7-4922-916e-1e5711248c77","block_type":"box","text":"BlackRock Diversified Equity Alpha Fund","page_number":5,"box":{"x":554,"y":801,"width":288,"height":11}},{"id":"13d63f59-efc3-402b-90f6-7f0e361fbba9","block_type":"box","text":"BlackRock Diversified Fixed Income Fund","page_number":5,"box":{"x":554,"y":816,"width":290,"height":9}},{"id":"6d57b427-cbf7-45e9-8088-00aaeb46d2b5","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":832,"width":136,"height":9}},{"id":"6cbb777a-cb6e-4156-bfd7-ef365052a408","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":831,"width":9,"height":6}},{"id":"953c692f-b0dd-49fb-8f8a-78817c1fee89","block_type":"box","text":"Dynamic Retirement","page_number":5,"box":{"x":700,"y":832,"width":149,"height":11}},{"id":"f5030098-3b9e-4d27-acfe-e641a93570c3","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":847,"width":38,"height":9}},{"id":"6e0a3d3c-fe52-424c-8a7d-7acc26cdd8f2","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":863,"width":136,"height":9}},{"id":"f01cda38-9b76-454d-93b3-9124af49fdc1","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":862,"width":9,"height":6}},{"id":"0d8f236d-5e0b-428f-b35e-2b07020eec87","block_type":"box","text":"Dynamic 2030 Fund","page_number":5,"box":{"x":700,"y":863,"width":147,"height":11}},{"id":"f3d09e17-a9d9-4910-8722-cf394a99166d","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":878,"width":136,"height":9}},{"id":"bbf6f31b-dd36-41f4-9597-ecb5440d02e5","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":877,"width":9,"height":7}},{"id":"a4132cfb-df1b-4009-899c-b37a0f8452dd","block_type":"box","text":"Dynamic 2035 Fund","page_number":5,"box":{"x":700,"y":878,"width":147,"height":12}},{"id":"946e3680-c314-464e-990a-c2d7f51105d0","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":894,"width":136,"height":9}},{"id":"fc5ed2c6-26f1-4ebd-8eba-70d4d460ce43","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":893,"width":9,"height":6}},{"id":"04235e8f-ef10-4bf1-9c28-af3368d37ce2","block_type":"box","text":"Dynamic 2040 Fund","page_number":5,"box":{"x":700,"y":894,"width":147,"height":11}},{"id":"d100b3a1-02aa-42d6-b19a-ad4fc0d6f9f8","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":909,"width":136,"height":9}},{"id":"465bdf13-fb27-4c4e-ba44-3c25ba9c69bc","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":908,"width":9,"height":7}},{"id":"9dce5a5b-feea-4c9d-9f19-d7d95ca13512","block_type":"box","text":"Dynamic 2045 Fund","page_number":5,"box":{"x":705,"y":909,"width":138,"height":12}},{"id":"314bf021-e2cc-4071-8b47-a12777d2e800","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":5,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"04edc7ec-869d-4231-bc72-17345b2b74aa","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":88,"width":136,"height":9}},{"id":"b74bcc2c-cb0f-42e9-9a8f-a984528ea396","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":87,"width":9,"height":6}},{"id":"1d41fc78-f8fc-4694-b561-670d236b195f","block_type":"box","text":"Dynamic 2050 Fund","page_number":6,"box":{"x":296,"y":88,"width":147,"height":11}},{"id":"fb9ca937-d8c0-4c08-91ec-edf66ea414ee","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":103,"width":136,"height":9}},{"id":"90821593-2979-4af9-a64a-f119f24d74cf","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":102,"width":9,"height":7}},{"id":"642221a8-b7ca-4bbf-a49d-ac90a5371728","block_type":"box","text":"Dynamic 2055 Fund","page_number":6,"box":{"x":296,"y":103,"width":147,"height":12}},{"id":"5eba397a-0c76-48f1-bc2a-261b6178de6b","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":119,"width":136,"height":9}},{"id":"ec178329-e9c1-45e9-8c6a-29dd48756ada","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":118,"width":9,"height":6}},{"id":"47deb3bc-e946-4907-911d-4d7bd0d97884","block_type":"box","text":"Dynamic 2060 Fund","page_number":6,"box":{"x":296,"y":119,"width":147,"height":11}},{"id":"f4a446ce-b580-474d-9dde-6ac6d14382ba","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":134,"width":136,"height":9}},{"id":"b3dbdda6-81db-43e5-b9c0-e141a8972bff","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":133,"width":9,"height":7}},{"id":"dd054227-7f3f-4806-bec0-2de869cb5d35","block_type":"box","text":"Dynamic 2065 Fund","page_number":6,"box":{"x":296,"y":134,"width":147,"height":12}},{"id":"ac2037ff-752b-46a8-8140-50e5e3e77272","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":150,"width":136,"height":9}},{"id":"dda5e713-036a-4f8f-8852-8361c16d64c0","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":149,"width":9,"height":6}},{"id":"fb387e03-3551-4aeb-8432-102b6efdb351","block_type":"box","text":"Dynamic 2070 Fund","page_number":6,"box":{"x":296,"y":150,"width":147,"height":11}},{"id":"628aec27-182e-4910-b2e7-f688435d0820","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":165,"width":136,"height":9}},{"id":"74ea4e48-057d-4ee4-8355-506eb0f0db61","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":164,"width":9,"height":7}},{"id":"c2551009-fa17-495f-8427-30df4c068275","block_type":"box","text":"Index Retirement Fund","page_number":6,"box":{"x":296,"y":165,"width":165,"height":9}},{"id":"e92a16d1-07cd-46ca-b030-6cc5bca92e1e","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":181,"width":136,"height":9}},{"id":"05b62cdd-b9c8-413e-83bb-fb71ac057935","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":180,"width":9,"height":6}},{"id":"9fc964cc-5889-426e-9db5-1db6fd8d6106","block_type":"box","text":"Index 2030 Fund","page_number":6,"box":{"x":296,"y":181,"width":124,"height":9}},{"id":"16d407ad-ccec-4ca4-844c-f65fb83f04d3","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":196,"width":136,"height":9}},{"id":"557a0a0d-aaa7-49dc-9792-c10f3823a9d0","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":195,"width":9,"height":7}},{"id":"c9e405cd-feb6-4e52-8c9c-d35402d42794","block_type":"box","text":"Index 2035 Fund","page_number":6,"box":{"x":296,"y":196,"width":124,"height":9}},{"id":"0c3648d1-ff27-437e-bc81-f3370f1c4555","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":212,"width":136,"height":9}},{"id":"55bc316f-c946-40b7-af24-923e95d776ea","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":211,"width":9,"height":6}},{"id":"7ddfbadb-5117-42ac-b89f-5382ee00827d","block_type":"box","text":"Index 2040 Fund","page_number":6,"box":{"x":296,"y":212,"width":124,"height":9}},{"id":"958e4dff-8df8-48bb-b24c-bd323657609c","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":227,"width":136,"height":9}},{"id":"7f8dc645-8f71-495b-9ca2-7d37be5c9ca2","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":226,"width":9,"height":7}},{"id":"ad0018b0-fc83-4f06-b1fd-a758305cd75f","block_type":"box","text":"Index 2045 Fund","page_number":6,"box":{"x":296,"y":227,"width":124,"height":9}},{"id":"947526fe-1276-4c77-942f-6823a4ac0a2c","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":243,"width":136,"height":9}},{"id":"624757d5-6011-4268-b051-a6d39954531c","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":242,"width":9,"height":6}},{"id":"9612929a-70e7-4c75-8395-193089a41540","block_type":"box","text":"Index 2050 Fund","page_number":6,"box":{"x":296,"y":243,"width":124,"height":9}},{"id":"b26043f6-4d53-450b-9cd3-57822cfcd924","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":258,"width":136,"height":9}},{"id":"de033bdd-7e35-4ba0-8d89-045c8bd1e71d","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":257,"width":9,"height":7}},{"id":"0f3df12b-bbc8-46c7-bb18-2ed70640e7b6","block_type":"box","text":"Index 2055 Fund","page_number":6,"box":{"x":296,"y":258,"width":124,"height":9}},{"id":"1ef6d7f1-895e-4021-9773-2e7f3bcd3e09","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":274,"width":136,"height":9}},{"id":"18d1c314-abdc-48d7-bae1-3fa8ea6ee3fe","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":273,"width":9,"height":6}},{"id":"d9c26364-d3f7-43d2-9941-b0317ece0ff8","block_type":"box","text":"Index 2060 Fund","page_number":6,"box":{"x":296,"y":274,"width":124,"height":9}},{"id":"542ba6aa-1d6a-471d-a865-f2570b987831","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":289,"width":136,"height":9}},{"id":"2987a376-6d88-4531-a4ce-288426605bbe","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":288,"width":9,"height":7}},{"id":"d76c64ac-bb34-4dde-b8b2-77dc11128959","block_type":"box","text":"Index 2065 Fund","page_number":6,"box":{"x":296,"y":289,"width":124,"height":9}},{"id":"860e858e-052c-4d1d-95bd-80582ebf17a9","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":305,"width":136,"height":9}},{"id":"ef569c99-0930-4d90-8a06-226024dcf80d","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":304,"width":9,"height":6}},{"id":"f300e3a8-b24b-4a3c-8746-52c2f645ff4c","block_type":"box","text":"Index 2070 Fund","page_number":6,"box":{"x":296,"y":305,"width":124,"height":9}},{"id":"63afd536-0c0a-410c-996b-a5fe4dcbbef6","block_type":"box","text":"iShares MSCI Total International Index Fund","page_number":6,"box":{"x":150,"y":320,"width":310,"height":9}},{"id":"cde72367-a09b-4ed3-9995-080d27c8f2e0","block_type":"box","text":"iShares Russell 1000 Large-Cap Index Fund","page_number":6,"box":{"x":150,"y":336,"width":303,"height":11}},{"id":"98a4c533-be50-4dde-95c1-a17edddf155f","block_type":"box","text":"iShares S&P 500 Index Fund","page_number":6,"box":{"x":150,"y":351,"width":200,"height":9}},{"id":"f4775656-eb69-4ec8-af28-469d2fbb1186","block_type":"box","text":"iShares U.S. Aggregate Bond Index Fund","page_number":6,"box":{"x":150,"y":367,"width":284,"height":11}},{"id":"e4cfd24a-56da-4a43-bda1-d34027b2b17d","block_type":"box","text":"BlackRock Funds IV","page_number":6,"box":{"x":116,"y":398,"width":154,"height":9}},{"id":"372ddf83-537f-43ee-8e7e-38820ab23f83","block_type":"box","text":"BlackRock Credit Relative Value Fund","page_number":6,"box":{"x":150,"y":413,"width":268,"height":9}},{"id":"75db05eb-9fc1-4ebe-8883-dbb94a01a2cd","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund","page_number":6,"box":{"x":150,"y":429,"width":299,"height":11}},{"id":"d5a3c599-afa9-416a-b7dc-d4961ce70104","block_type":"box","text":"BlackRock Funds V","page_number":6,"box":{"x":116,"y":460,"width":148,"height":9}},{"id":"92927313-d194-4e11-9894-6dfe6ee46934","block_type":"box","text":"BlackRock Core Bond Portfolio","page_number":6,"box":{"x":150,"y":475,"width":220,"height":9}},{"id":"b6f8fe83-8789-4f16-a767-ffaa429463ba","block_type":"box","text":"BlackRock Floating Rate Income Portfolio","page_number":6,"box":{"x":150,"y":491,"width":293,"height":11}},{"id":"7df9fdf2-0ff6-4ee0-9269-4d65ec5dc7bf","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":150,"y":506,"width":222,"height":12}},{"id":"e40f3d91-527e-465a-b4ce-686725979402","block_type":"box","text":"BlackRock Income Fund","page_number":6,"box":{"x":150,"y":522,"width":172,"height":9}},{"id":"45484ac6-bad5-41a7-a47e-d15771f89861","block_type":"box","text":"BlackRock Inflation Protected Bond Portfolio","page_number":6,"box":{"x":150,"y":537,"width":313,"height":9}},{"id":"c9431ec2-9bcf-49b2-8c78-8ce0c63dfa29","block_type":"box","text":"BlackRock Low Duration Bond Portfolio","page_number":6,"box":{"x":150,"y":553,"width":282,"height":9}},{"id":"db7ba307-bad2-48e6-af2a-4aac749ecc4c","block_type":"box","text":"BlackRock Strategic Income Opportunities","page_number":6,"box":{"x":150,"y":568,"width":294,"height":12}},{"id":"77abcf9c-8f3a-40e1-b471-e43f44ebaec7","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":150,"y":584,"width":63,"height":9}},{"id":"42ff0418-76f3-47f0-a694-7c96324b29da","block_type":"box","text":"BlackRock Funds VI","page_number":6,"box":{"x":116,"y":615,"width":154,"height":9}},{"id":"7ce56bc9-eb35-41c1-94e0-af948a633e4a","block_type":"box","text":"BlackRock Advantage CoreAlpha Bond Fund","page_number":6,"box":{"x":150,"y":630,"width":313,"height":12}},{"id":"0b6617f9-7e17-460e-8e7e-8ac5816c6dd1","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":6,"box":{"x":116,"y":661,"width":287,"height":11}},{"id":"2e7e01b4-ee49-4201-a01a-fd415e22912e","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":6,"box":{"x":116,"y":692,"width":208,"height":11}},{"id":"4894a7fa-6131-4e2e-8247-4bc2a1139378","block_type":"box","text":"iShares MSCI EAFE International Index Fund","page_number":6,"box":{"x":150,"y":708,"width":312,"height":9}},{"id":"c0bf63e4-07fb-4b24-bb72-80164ec1fc49","block_type":"box","text":"iShares Russell 2000 Small-Cap Index Fund","page_number":6,"box":{"x":150,"y":723,"width":298,"height":12}},{"id":"3bfd1690-5ae8-4430-b599-463f9f86ecb8","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":6,"box":{"x":116,"y":754,"width":319,"height":12}},{"id":"bb363601-993a-466d-b523-f825effa4f40","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":6,"box":{"x":116,"y":785,"width":344,"height":12}},{"id":"d1db3457-b183-4d08-af2d-9188e6812eab","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":6,"box":{"x":116,"y":816,"width":330,"height":12}},{"id":"59b712f8-d41a-4f40-9527-400d2e50b775","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":6,"box":{"x":116,"y":847,"width":296,"height":12}},{"id":"d64af36d-f2bd-455b-a522-2864f172b098","block_type":"box","text":"BlackRock Advantage Large Cap Core Fund","page_number":6,"box":{"x":150,"y":863,"width":306,"height":11}},{"id":"aec8ed74-79ca-4c27-a0e0-714edb7c8f24","block_type":"box","text":"BlackRock Advantage Large Cap Value Fund","page_number":6,"box":{"x":150,"y":878,"width":314,"height":12}},{"id":"78c1748e-005c-4f78-940c-8f80c15ce79e","block_type":"box","text":"BlackRock Event Driven Equity Fund","page_number":6,"box":{"x":150,"y":894,"width":261,"height":11}},{"id":"a15c40d2-0f81-4e59-bb15-c2c067d1f9a6","block_type":"box","text":"BlackRock Liquidity Funds","page_number":6,"box":{"x":520,"y":87,"width":203,"height":12}},{"id":"dba37530-897b-4329-9bea-cb78cecc28bb","block_type":"box","text":"FedFund","page_number":6,"box":{"x":554,"y":103,"width":63,"height":9}},{"id":"7077e3aa-1fe1-4b55-9e88-66fe9e949bc4","block_type":"box","text":"MuniCash","page_number":6,"box":{"x":554,"y":119,"width":74,"height":9}},{"id":"4e83e812-2802-40e7-bc56-3cec22af3b42","block_type":"box","text":"TempCash","page_number":6,"box":{"x":554,"y":134,"width":77,"height":12}},{"id":"b2de9226-a4a3-4dd3-94a1-ac95f7e9d3f6","block_type":"box","text":"BlackRock Select Treasury Based Liquidity","page_number":6,"box":{"x":554,"y":150,"width":300,"height":11}},{"id":"45426208-2821-4063-a711-a3937581c1d7","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":165,"width":38,"height":9}},{"id":"a0ec181a-73fb-4ec4-84be-95013d50fdab","block_type":"box","text":"T-Fund","page_number":6,"box":{"x":554,"y":181,"width":54,"height":9}},{"id":"dd299070-7e9a-4205-893b-bae9e6d00989","block_type":"box","text":"Treasury Trust Fund","page_number":6,"box":{"x":554,"y":196,"width":142,"height":12}},{"id":"514733ae-5a69-439b-97c4-8ad16585f2ac","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":6,"box":{"x":520,"y":227,"width":282,"height":12}},{"id":"eb35bf57-acf8-4ae7-bf89-c7e331c8106f","block_type":"box","text":"BlackRock Mid-Cap Value Fund","page_number":6,"box":{"x":554,"y":243,"width":227,"height":11}},{"id":"62194957-7c3e-4bc8-afcc-af575582a9b4","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":6,"box":{"x":520,"y":274,"width":339,"height":11}},{"id":"1508fbb2-af08-4978-b4ae-1d42e1280202","block_type":"box","text":"BlackRock New Jersey Municipal Bond Fund","page_number":6,"box":{"x":554,"y":289,"width":314,"height":12}},{"id":"88cf3fc5-3aed-4e39-99fc-4ff61963620b","block_type":"box","text":"BlackRock New York Municipal Opportunities","page_number":6,"box":{"x":554,"y":305,"width":324,"height":11}},{"id":"668f1703-de72-44d7-839a-1c7ef4a79da3","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":320,"width":38,"height":9}},{"id":"b9150a64-422b-4e5e-a673-7ce576f6dd8d","block_type":"box","text":"BlackRock Pennsylvania Municipal Bond Fund","page_number":6,"box":{"x":554,"y":336,"width":326,"height":11}},{"id":"08af1d02-bcee-44f4-b630-2562f2d65772","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":367,"width":282,"height":11}},{"id":"37fec188-8fd7-41cf-b5e5-d7708df64c97","block_type":"box","text":"BlackRock National Municipal Fund","page_number":6,"box":{"x":554,"y":382,"width":253,"height":12}},{"id":"82b65d4d-a179-46ac-bbfe-f9ad59a22301","block_type":"box","text":"BlackRock Short Duration Muni Fund","page_number":6,"box":{"x":554,"y":398,"width":263,"height":9}},{"id":"232d9512-37f3-4af7-8568-7f155dbbdfc2","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":6,"box":{"x":520,"y":429,"width":252,"height":11}},{"id":"7e22ac3b-3ccd-4f2a-a840-094780f288df","block_type":"box","text":"BlackRock Strategic Municipal Opportunities","page_number":6,"box":{"x":554,"y":444,"width":313,"height":12}},{"id":"697c3621-ee39-4c79-9569-54c48cf8babf","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"fac5cee7-d1a6-4404-a4be-3cc347d09221","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":6,"box":{"x":520,"y":491,"width":264,"height":9}},{"id":"5307e0c8-c8e3-4c2c-8c62-41694d30e858","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":6,"box":{"x":520,"y":522,"width":208,"height":11}},{"id":"ee0a5b44-c4a8-4f61-9d70-13781ef4e8e5","block_type":"box","text":"BlackRock Advantage Large Cap Core Portfolio","page_number":6,"box":{"x":554,"y":537,"width":331,"height":12}},{"id":"38633d29-1ba4-4208-8844-2c187d27eb12","block_type":"box","text":"BlackRock Balanced Portfolio","page_number":6,"box":{"x":554,"y":553,"width":209,"height":9}},{"id":"05d81cff-a0b6-4aaa-83ed-5e95b270bf0d","block_type":"box","text":"BlackRock Capital Appreciation Portfolio","page_number":6,"box":{"x":554,"y":568,"width":288,"height":12}},{"id":"5c672a9f-280d-4543-97eb-fdcfedd14ecd","block_type":"box","text":"BlackRock Global Allocation Portfolio","page_number":6,"box":{"x":554,"y":584,"width":268,"height":9}},{"id":"b4fceb9e-a07b-406c-ae64-a768b694bfd7","block_type":"box","text":"BlackRock Government Money Market","page_number":6,"box":{"x":554,"y":599,"width":272,"height":12}},{"id":"8cfc3168-c8f4-4007-b159-8a691399369a","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":554,"y":615,"width":63,"height":9}},{"id":"6bb0e350-4e66-4ccf-91aa-f0f11a339fd7","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":6,"box":{"x":520,"y":646,"width":226,"height":11}},{"id":"9375e704-14cb-41a8-a83a-ace6ea392a10","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":554,"y":661,"width":217,"height":12}},{"id":"4603ffee-a085-4e95-a6e0-cc370ed12f3b","block_type":"box","text":"BlackRock Series, Inc.","page_number":6,"box":{"x":520,"y":692,"width":161,"height":11}},{"id":"c5a13a40-2e2b-4512-a8da-87cc277f9691","block_type":"box","text":"BlackRock International Fund","page_number":6,"box":{"x":554,"y":708,"width":203,"height":9}},{"id":"bcbe7c44-1f96-40f1-a5d4-acd8037bde00","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":739,"width":320,"height":11}},{"id":"ce3d10c0-d581-4112-a3dc-c6736a0a3af9","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":6,"box":{"x":520,"y":770,"width":283,"height":11}},{"id":"2b253849-29a5-4edd-bcad-9f31f99c47d1","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":6,"box":{"x":520,"y":801,"width":277,"height":11}},{"id":"42c863f4-87e5-458a-b2ed-6795a931d080","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":"a8300fd4-92b4-4959-8e07-e407363a8bfc","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":832,"width":38,"height":9}},{"id":"62babd1a-6038-45f8-9baa-72618c425055","block_type":"box","text":"BlackRock Advantage Large Cap Core V.I.","page_number":6,"box":{"x":554,"y":847,"width":298,"height":12}},{"id":"9cab2ef5-6fed-40ae-84b0-e155202347a6","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":863,"width":38,"height":9}},{"id":"83ee722c-6388-4d86-acec-4a6bd4c185de","block_type":"box","text":"BlackRock Advantage Large Cap Value V.I.","page_number":6,"box":{"x":554,"y":878,"width":305,"height":12}},{"id":"690eb15b-8645-484c-9241-cbaed81de3ec","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":894,"width":38,"height":9}},{"id":"6a5a3f6d-9e52-4636-8b4d-af8320611952","block_type":"box","text":"BlackRock Advantage SMID Cap V.I. Fund","page_number":6,"box":{"x":554,"y":909,"width":298,"height":12}},{"id":"81a36da3-f745-44bb-9450-362f7a85ebbc","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":6,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"fc0ac9a3-14a9-49d5-8b69-1a5bd66aedb8","block_type":"box","text":"BlackRock Basic Value V.I. Fund","page_number":7,"box":{"x":150,"y":88,"width":234,"height":9}},{"id":"79eb4ad1-9b62-4ced-bb9d-d0b379f789c0","block_type":"box","text":"BlackRock Capital Appreciation V.I. Fund","page_number":7,"box":{"x":150,"y":103,"width":293,"height":12}},{"id":"3a3e3040-a8cf-4fc9-a60e-5488c7d13336","block_type":"box","text":"BlackRock Equity Dividend V.I. Fund","page_number":7,"box":{"x":150,"y":119,"width":264,"height":11}},{"id":"787e5210-15f2-45e5-bac9-83845f3ab411","block_type":"box","text":"BlackRock Global Allocation V.I. Fund","page_number":7,"box":{"x":150,"y":134,"width":273,"height":9}},{"id":"34832370-fee4-462f-b0d5-1fe581db7633","block_type":"box","text":"BlackRock Government Money Market V.I.","page_number":7,"box":{"x":150,"y":150,"width":302,"height":11}},{"id":"c650c0b1-3cea-4c10-9e4c-3e20d0d72163","block_type":"box","text":"Fund","page_number":7,"box":{"x":150,"y":165,"width":38,"height":9}},{"id":"697d5120-9591-4e2f-a631-15a9298f4017","block_type":"box","text":"BlackRock International Index V.I. Fund","page_number":7,"box":{"x":150,"y":181,"width":281,"height":9}},{"id":"11115287-8764-47e6-bdce-c3c12c2a0df2","block_type":"box","text":"BlackRock International V.I. Fund","page_number":7,"box":{"x":150,"y":196,"width":238,"height":9}},{"id":"42e86d0b-9535-41dc-914d-dc64de5bca3d","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":"d8007f40-b0b3-4e1c-b760-a891009e2ae9","block_type":"box","text":"BlackRock Managed Volatility V.I. Fund","page_number":7,"box":{"x":554,"y":103,"width":283,"height":12}},{"id":"e8205a0e-afb2-4d29-b77f-f45dac51ea15","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":"8ae903f4-5dd0-4acb-bdd2-e76ad62bf41a","block_type":"box","text":"BlackRock Small Cap Index V.I. Fund","page_number":7,"box":{"x":554,"y":134,"width":265,"height":12}},{"id":"fcf98b06-d17a-4da0-96fb-525f2678c1ff","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":7,"box":{"x":520,"y":165,"width":299,"height":11}},{"id":"cc6ed901-296e-4ba6-ae12-d94b5541fe5c","block_type":"box","text":"BlackRock High Yield V.I. Fund","page_number":7,"box":{"x":554,"y":181,"width":227,"height":11}},{"id":"367eba37-c865-4220-bfd1-c74e27405dfe","block_type":"box","text":"BlackRock Total Return V.I. Fund","page_number":7,"box":{"x":554,"y":196,"width":238,"height":9}},{"id":"54d0912a-2f3a-458f-990f-e2436d1c24fe","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":"a804ac2d-3660-4af8-912b-ba30afc4dc3d","block_type":"box","text":"SAI-GLOBAL-1026SUP","page_number":7,"box":{"x":116,"y":258,"width":175,"height":9}},{"id":"517c7bce-5536-4d85-aa72-a871c9778098","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":7,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"d21411c8-d92e-40a6-9de3-2ae456b3cd00","block_type":"box","text":"STATEMENT OF ADDITIONAL INFORMATION","page_number":8,"box":{"x":271,"y":83,"width":435,"height":11}},{"id":"de7712a1-a6ba-4458-b147-a39472922385","block_type":"box","text":"BlackRock Funds","page_number":8,"box":{"x":371,"y":120,"width":216,"height":14}},{"id":"800be4e9-af91-45bb-b9aa-4cb78331a707","block_type":"box","text":"SM","page_number":8,"box":{"x":589,"y":120,"width":19,"height":7}},{"id":"082bd692-dc66-440c-a576-f7a9d9ddd63c","block_type":"box","text":"BlackRock Health Sciences Opportunities Portfolio","page_number":8,"box":{"x":303,"y":149,"width":373,"height":11}},{"id":"a29a0150-32c1-4b51-892d-790964f8022c","block_type":"box","text":"100 Bellevue Parkway, Wilmington, Delaware 19809 • Phone No. (800) 441-7762","page_number":8,"box":{"x":118,"y":176,"width":742,"height":14}},{"id":"aff4b71d-0183-45e9-8ac9-c1f271f91e0a","block_type":"box","text":"This Statement of Additional Information of BlackRock Health Sciences Opportunities Portfolio (the","page_number":8,"box":{"x":101,"y":233,"width":760,"height":12}},{"id":"fa14c625-93ee-4f27-9329-472a7b9bc7a3","block_type":"box","text":"“Fund”), a series of BlackRock Funds","page_number":8,"box":{"x":69,"y":248,"width":277,"height":11}},{"id":"b1aff61f-f42c-424f-a993-0c3661f8bedb","block_type":"box","text":"SM","page_number":8,"box":{"x":348,"y":249,"width":11,"height":5}},{"id":"6ab934a9-8807-4a99-840a-6b6ebafcab32","block_type":"box","text":"(the “Trust”), is not a prospectus and should be read in conjunction","page_number":8,"box":{"x":365,"y":248,"width":507,"height":12}},{"id":"0e7ca363-ebea-466f-8c15-105f06d13a27","block_type":"box","text":"with the Investor, Institutional, Class R, Service and Class K Shares Prospectuses of the Fund, dated","page_number":8,"box":{"x":68,"y":264,"width":757,"height":11}},{"id":"b3e54797-8f3f-4ef9-bac3-0a0868607bab","block_type":"box","text":"September 28, 2026, as each may be amended or supplemented from time to time (each, a “Prospectus”),","page_number":8,"box":{"x":69,"y":279,"width":804,"height":12}},{"id":"73bd45bc-640b-4b5d-8db5-a240156cdb84","block_type":"box","text":"which have been filed with the Securities and Exchange Commission (the “Commission” or the “SEC”) and can","page_number":8,"box":{"x":68,"y":294,"width":839,"height":12}},{"id":"ac5bc0f0-4a76-4a50-9d65-9cc1eae983dd","block_type":"box","text":"be obtained, without charge, by calling (800) 441-7762 or by writing to the Fund at the above address. Part I","page_number":8,"box":{"x":70,"y":309,"width":822,"height":12}},{"id":"a943ce34-e8ac-4897-97bb-c52a6114edf3","block_type":"box","text":"of this Statement of Additional Information and the portions of Part II of this Statement of Additional","page_number":8,"box":{"x":69,"y":324,"width":765,"height":12}},{"id":"4b47bd7f-deac-4f1c-9d27-665a4a20443a","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":339,"width":810,"height":12}},{"id":"d8915cef-7283-4985-b23c-dd67724d07aa","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":354,"width":835,"height":12}},{"id":"af7435e8-d3e5-4b5b-922c-63165f50ee3a","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":369,"width":815,"height":12}},{"id":"23300d1b-af55-4c74-845a-8a7e479d0051","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":385,"width":831,"height":11}},{"id":"6951513d-b6ff-4f27-b293-6c0c8ceedab0","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":400,"width":777,"height":12}},{"id":"f7422555-e39b-4aed-a64e-fac7c6ce4567","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":415,"width":834,"height":12}},{"id":"98736845-4d26-4fd9-b241-ed7ef959365e","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":430,"width":781,"height":12}},{"id":"749277f9-dca6-4e3d-be14-e8c2357b4fad","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":445,"width":820,"height":12}},{"id":"8e8c76c6-0511-4401-be0e-9af9e0f47428","block_type":"box","text":"on any business day.","page_number":8,"box":{"x":69,"y":460,"width":157,"height":12}},{"id":"e8820a02-50f1-498b-a425-7a49469af5b9","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":483,"width":767,"height":12}},{"id":"16a4f71c-afcd-4c92-b1de-edc3b62390af","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":498,"width":796,"height":12}},{"id":"82d06e2d-1827-49b0-a42a-2e4a00de5f5b","block_type":"box","text":"modifications by the Commission, Commission staff or other authority with appropriate jurisdiction, including","page_number":8,"box":{"x":70,"y":513,"width":837,"height":12}},{"id":"e1879118-7ff1-4d43-b158-c5bb1be2e738","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":528,"width":749,"height":12}},{"id":"7e8b328f-dfa2-4544-a65b-f095d74a4da6","block_type":"box","text":"Commission staff or other authority.","page_number":8,"box":{"x":70,"y":543,"width":274,"height":12}},{"id":"72849d92-8eb3-404e-8e3f-b3a9ffd524f5","block_type":"box","text":"Class","page_number":8,"box":{"x":69,"y":572,"width":31,"height":7}},{"id":"3deed66c-754b-4830-8ffb-454a58baef27","block_type":"box","text":"Ticker Symbol","page_number":8,"box":{"x":827,"y":572,"width":82,"height":9}},{"id":"0e8a4ecf-917b-4474-a329-304c5c6f12b3","block_type":"box","text":"Investor A Shares","page_number":8,"box":{"x":70,"y":590,"width":124,"height":9}},{"id":"530eb4c2-b512-44e0-9321-00620d443cf9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SHSAX","page_number":8,"box":{"x":199,"y":590,"width":694,"height":9}},{"id":"7a1dbff7-eba2-40e0-8a9f-483534749f27","block_type":"box","text":"Investor C Shares .","page_number":8,"box":{"x":70,"y":605,"width":131,"height":9}},{"id":"e91fa481-ffab-44dc-aa47-08953e5cf7cc","block_type":"box","text":".........................................................................","page_number":8,"box":{"x":208,"y":612,"width":588,"height":2}},{"id":"6d6a143c-1f11-455a-97c6-f4d000bac300","block_type":"box","text":"SHSCX","page_number":8,"box":{"x":844,"y":605,"width":49,"height":9}},{"id":"bad566ff-f3e4-48c9-a299-977806563546","block_type":"box","text":"Institutional Shares","page_number":8,"box":{"x":70,"y":620,"width":137,"height":9}},{"id":"538d69e5-8864-433e-b8c2-4ff381cf961c","block_type":"box","text":"........................................................................","page_number":8,"box":{"x":216,"y":627,"width":580,"height":2}},{"id":"f1215e70-4986-4207-b9bf-5efaca43e8eb","block_type":"box","text":"SHSSX","page_number":8,"box":{"x":844,"y":620,"width":49,"height":9}},{"id":"b901c04b-22ff-4041-8237-d4faf92e5751","block_type":"box","text":"Class R Shares","page_number":8,"box":{"x":69,"y":635,"width":109,"height":9}},{"id":"b5819f2d-b2de-4ec2-a39f-9358378a6683","block_type":"box","text":"............................................................................","page_number":8,"box":{"x":183,"y":642,"width":613,"height":2}},{"id":"c6f6610b-2565-4ea4-af69-a025bbf5d3e8","block_type":"box","text":"BHSRX","page_number":8,"box":{"x":845,"y":635,"width":48,"height":9}},{"id":"4d4b3534-8ecd-454c-907a-cf4b63b9ea22","block_type":"box","text":"Service Shares","page_number":8,"box":{"x":69,"y":650,"width":107,"height":9}},{"id":"a7d0be4e-b626-42ed-b555-8c0cfa8bfa9d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SHISX","page_number":8,"box":{"x":183,"y":650,"width":707,"height":9}},{"id":"152c4655-6307-48c5-8b33-24a9ebec9f07","block_type":"box","text":"Class K Shares","page_number":8,"box":{"x":69,"y":665,"width":109,"height":9}},{"id":"097c9ce9-3099-4908-a5d7-ad570cde299a","block_type":"box","text":"............................................................................","page_number":8,"box":{"x":183,"y":673,"width":613,"height":1}},{"id":"7d3b62ad-0a50-4aba-86bc-7847c2e8b9db","block_type":"box","text":"SHSKX","page_number":8,"box":{"x":844,"y":665,"width":49,"height":9}},{"id":"389bdf83-45e1-4425-ba48-d6f9572809ae","block_type":"box","text":"BlackRock Advisors, LLC — Manager","page_number":8,"box":{"x":260,"y":720,"width":460,"height":19}},{"id":"f8ebc8c0-d40f-48ce-8f4e-fa45d9af0623","block_type":"box","text":"BlackRock Investments, LLC — Distributor","page_number":8,"box":{"x":222,"y":743,"width":536,"height":17}},{"id":"c53bb886-0b92-439b-8a79-ec5103d01ac4","block_type":"box","text":"The date of this Statement of Additional Information is September 28, 2026.","page_number":8,"box":{"x":199,"y":802,"width":579,"height":12}},{"id":"f5d2e895-a6f4-445e-b313-cc0b41eed0e5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":8,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1fda27d7-81ae-4940-be55-b36785f3766b","block_type":"box","text":"TABLE OF CONTENTS","page_number":9,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"eb312924-5d70-45f0-ac9b-fa1cb9217463","block_type":"box","text":"Page","page_number":9,"box":{"x":869,"y":73,"width":28,"height":9}},{"id":"70f9e0ca-1771-4f34-b0ac-0ccb393db2e8","block_type":"box","text":"PART I","page_number":9,"box":{"x":69,"y":92,"width":47,"height":9}},{"id":"29e16e31-2e2e-4b64-817c-3ac723d228dd","block_type":"box","text":"Investment Objective and Policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-1","page_number":9,"box":{"x":70,"y":108,"width":839,"height":11}},{"id":"729a2250-75a3-4b0a-9e74-ef602cdafba2","block_type":"box","text":"Investment Restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-6","page_number":9,"box":{"x":70,"y":125,"width":839,"height":9}},{"id":"13883b83-9f06-4ebd-84b8-90123e326815","block_type":"box","text":"Information on Trustees and Officers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-8","page_number":9,"box":{"x":70,"y":141,"width":839,"height":9}},{"id":"16f8a29f-8b70-47af-8789-89aa1f837a76","block_type":"box","text":"Management, Advisory and Other Service Arrangements . . . . . . . . .","page_number":9,"box":{"x":70,"y":158,"width":469,"height":11}},{"id":"9bb7691b-3bdd-41b7-aa61-6b64f4964eed","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-19","page_number":9,"box":{"x":545,"y":158,"width":364,"height":8}},{"id":"87ca8fe0-ba07-4687-9753-c1bbef36f826","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":"e4b286ae-0ff7-4b38-97e1-544e881ec83f","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-23","page_number":9,"box":{"x":545,"y":174,"width":364,"height":9}},{"id":"2e67eba9-45cb-4fe5-88d9-a5f422ba2545","block_type":"box","text":"Computation of Offering Price Per Share . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":190,"width":446,"height":11}},{"id":"59db775d-cae1-45c0-8c8e-a15304c8ee3a","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":521,"y":190,"width":388,"height":9}},{"id":"876a3564-4e25-4d77-9736-db59a79a8a51","block_type":"box","text":"Por tfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":206,"width":283,"height":12}},{"id":"dfac0b21-7e1e-4f48-959f-1c838755d5c2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":358,"y":207,"width":551,"height":8}},{"id":"42d70052-0938-4b08-8a9d-75c3cff567ab","block_type":"box","text":"Additional Information. . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":68,"y":223,"width":308,"height":9}},{"id":"bd5c5de9-a77b-46db-8c29-b06fd887ee6a","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-26","page_number":9,"box":{"x":382,"y":223,"width":527,"height":9}},{"id":"65a8e4fe-51b1-4db2-8e08-dc2270626ff8","block_type":"box","text":"Financial Statements","page_number":9,"box":{"x":70,"y":239,"width":148,"height":9}},{"id":"a2006458-89a6-4dc4-91a8-04146ff7724b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-28","page_number":9,"box":{"x":227,"y":239,"width":682,"height":9}},{"id":"99d081b6-cc96-4526-b904-f6ce5b521b33","block_type":"box","text":"PART II","page_number":9,"box":{"x":69,"y":271,"width":52,"height":9}},{"id":"e767a8ba-00d6-446c-a90f-6034823eb0a2","block_type":"box","text":"Investment Risks and Considerations . . . . . . . .","page_number":9,"box":{"x":70,"y":287,"width":330,"height":9}},{"id":"f416d0cd-835e-4c58-ae04-1eac518a47bb","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-1","page_number":9,"box":{"x":407,"y":287,"width":502,"height":9}},{"id":"5e6d6c9f-4c17-49e8-9873-bf0df348bf1e","block_type":"box","text":"Management and Other Service Arrangements . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":70,"y":304,"width":461,"height":11}},{"id":"e32129b0-af90-4cf1-af83-2195ba7d7d76","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-82","page_number":9,"box":{"x":537,"y":304,"width":372,"height":9}},{"id":"826ccca8-e6cc-4285-987f-386488f70bbe","block_type":"box","text":"Selective Disclosure of Por tfolio Holdings . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":320,"width":446,"height":11}},{"id":"63965b69-a986-4ad2-bd17-2a2f26ae4ff2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-84","page_number":9,"box":{"x":521,"y":320,"width":388,"height":9}},{"id":"0fe7190d-f2f0-4760-9e89-a57e257ca663","block_type":"box","text":"Purchase of Shares","page_number":9,"box":{"x":69,"y":336,"width":139,"height":9}},{"id":"c71a69f5-c18c-4eec-826d-3c72f5207457","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-97","page_number":9,"box":{"x":211,"y":336,"width":697,"height":9}},{"id":"cdf1f658-ef26-4c2b-933e-14ac01343b08","block_type":"box","text":"Redemption of Shares . .","page_number":9,"box":{"x":70,"y":353,"width":176,"height":11}},{"id":"19b5abff-ebab-4974-a2b6-d029950306b0","block_type":"box","text":"........................................................................... I","page_number":9,"box":{"x":252,"y":353,"width":619,"height":9}},{"id":"c7e6aa8d-9e19-4320-89e9-2a4789326447","block_type":"box","text":"I-114","page_number":9,"box":{"x":874,"y":353,"width":35,"height":9}},{"id":"3e62e3df-e2b9-4538-a716-2c5cbe2545cd","block_type":"box","text":"Shareholder Services . .","page_number":9,"box":{"x":69,"y":369,"width":168,"height":9}},{"id":"07d13e74-11b8-4533-ad67-a15794d4bd9c","block_type":"box","text":"............................................................................ I","page_number":9,"box":{"x":244,"y":369,"width":627,"height":9}},{"id":"e8af6161-c9a3-4cff-8bcd-d5bd0bd7d84a","block_type":"box","text":"I-118","page_number":9,"box":{"x":874,"y":369,"width":35,"height":9}},{"id":"3f7064c1-00ab-418f-bd67-18ea99cafdda","block_type":"box","text":"Pricing of Shares","page_number":9,"box":{"x":69,"y":385,"width":119,"height":12}},{"id":"0bc8daf5-1919-4324-8a48-e16d1120aa32","block_type":"box","text":".................................................................................. I","page_number":9,"box":{"x":195,"y":386,"width":676,"height":8}},{"id":"3a0a2b24-65d9-40e4-891c-eadfdd076d60","block_type":"box","text":"I-122","page_number":9,"box":{"x":874,"y":386,"width":35,"height":8}},{"id":"b478d1b1-3da3-4862-9a9f-ac34d064a5de","block_type":"box","text":"Por tfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":402,"width":283,"height":11}},{"id":"cea89573-7b56-473e-8bb2-6bf0d39b2577","block_type":"box","text":".............................................................. I","page_number":9,"box":{"x":358,"y":402,"width":513,"height":9}},{"id":"ebcfb9c9-8340-4f61-92cb-8fa8442afa19","block_type":"box","text":"I-124","page_number":9,"box":{"x":874,"y":402,"width":35,"height":9}},{"id":"a341266d-7e9f-4a10-84fd-a4fc8e782aed","block_type":"box","text":"Dividends and Taxes . .","page_number":9,"box":{"x":70,"y":418,"width":159,"height":9}},{"id":"5b399753-14cd-4d79-b071-ac4ab4d7c4dd","block_type":"box","text":"............................................................................. I","page_number":9,"box":{"x":236,"y":418,"width":635,"height":9}},{"id":"f9292bfa-c6c9-406f-9d98-a6eb1ece757d","block_type":"box","text":"I-129","page_number":9,"box":{"x":874,"y":418,"width":35,"height":9}},{"id":"ac6d5394-cfd5-419c-8283-032cf5fc5a8d","block_type":"box","text":"Per formance Data","page_number":9,"box":{"x":69,"y":435,"width":129,"height":9}},{"id":"0a820036-cef8-4a56-ac0d-7227b3c9965e","block_type":"box","text":"................................................................................. I","page_number":9,"box":{"x":203,"y":435,"width":668,"height":8}},{"id":"818349b0-2853-4918-8828-08e43300a81b","block_type":"box","text":"I-137","page_number":9,"box":{"x":874,"y":435,"width":34,"height":9}},{"id":"9ce95f07-e9a4-4709-abae-62e8b36fb072","block_type":"box","text":"Proxy Voting Policies and Procedures . . . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":451,"width":437,"height":11}},{"id":"d8185f90-d191-4428-9e75-bc2b51298fdc","block_type":"box","text":"........................................... I","page_number":9,"box":{"x":513,"y":451,"width":358,"height":9}},{"id":"6bd2869b-502d-416a-97a8-249868ac3f0d","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":451,"width":35,"height":9}},{"id":"0b8ce32e-77c6-4974-8f8f-b0f936dfd4d0","block_type":"box","text":"General Information","page_number":9,"box":{"x":69,"y":467,"width":140,"height":9}},{"id":"bec13696-c4f4-43ec-bb25-7a456ce43665","block_type":"box","text":"............................................................................... I","page_number":9,"box":{"x":219,"y":468,"width":652,"height":8}},{"id":"bce7745e-b073-4054-af42-f370c1055e08","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":467,"width":35,"height":9}},{"id":"006bf2b6-3980-41e9-ac7c-39c67c72ba8a","block_type":"box","text":"Appendix A — Description of Bond Ratings. . . .","page_number":9,"box":{"x":68,"y":484,"width":332,"height":11}},{"id":"026b47eb-32cd-4e8d-8e68-83be42cb0d08","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A-1","page_number":9,"box":{"x":407,"y":484,"width":502,"height":9}},{"id":"ea0f5ab2-82aa-48bd-82c7-5cda41716361","block_type":"box","text":"Appendix B — Proxy Voting Policies . . . . . .","page_number":9,"box":{"x":68,"y":500,"width":300,"height":11}},{"id":"c950c5de-07bd-462b-a216-83d0e72ae5a3","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B-1","page_number":9,"box":{"x":374,"y":500,"width":535,"height":9}},{"id":"31bc64cf-88c5-46fc-a935-fcdc57e04896","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":9,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7c871352-4610-41ca-8428-d91d93ec1ea9","block_type":"box","text":"PART I: INFORMATION ABOUT BLACKROCK HEALTH SCIENCES OPPORTUNITIES PORTFOLIO","page_number":10,"box":{"x":153,"y":45,"width":673,"height":9}},{"id":"50fcc2ef-9a81-49ca-a6c4-db6069c92409","block_type":"box","text":"Par t I of this Statement of Additional Information (“SAI”) sets for th information about BlackRock Health Sciences","page_number":10,"box":{"x":102,"y":67,"width":805,"height":11}},{"id":"845ebb1d-7f04-4cdc-99bd-f6ad449af538","block_type":"box","text":"Oppor tunities Por tfolio (the “Fund”), a series of BlackRock Funds","page_number":10,"box":{"x":69,"y":82,"width":464,"height":11}},{"id":"85d42e80-57bb-4a33-822c-8339c4246258","block_type":"box","text":"SM","page_number":10,"box":{"x":534,"y":83,"width":11,"height":4}},{"id":"0aca00c2-acef-44e8-aa97-23fbd105f547","block_type":"box","text":"(the “Trust”). It includes information about the","page_number":10,"box":{"x":551,"y":82,"width":330,"height":11}},{"id":"203a9650-482b-4380-8966-bb24472a0206","block_type":"box","text":"Trust’s Board of Trustees (the “Board”), the advisory and management services provided to and the management","page_number":10,"box":{"x":68,"y":98,"width":813,"height":11}},{"id":"0d067709-d8f7-4cb2-a5bd-efd15ff6665e","block_type":"box","text":"fees paid by the Fund and information about other fees applicable to and services provided to the Fund. This Par t I of","page_number":10,"box":{"x":68,"y":113,"width":840,"height":11}},{"id":"f67f55b7-7e1f-46dd-a027-11fe319057ff","block_type":"box","text":"this SAI should be read in conjunction with the Fund’s Prospectuses and those por tions of Par t II of this SAI that","page_number":10,"box":{"x":68,"y":128,"width":805,"height":11}},{"id":"e3aed7d3-7c68-414f-9a55-541998b5fb82","block_type":"box","text":"per tain to the Fund.","page_number":10,"box":{"x":70,"y":143,"width":138,"height":11}},{"id":"ca400ddb-3170-49b2-941c-82954978d092","block_type":"box","text":"On April 7, 2021, the Board approved a change of the fiscal year end of the Fund from September 30 to May 31.","page_number":10,"box":{"x":102,"y":166,"width":803,"height":11}},{"id":"3639bedb-7723-434e-9572-5a71b659cbe6","block_type":"box","text":"I. Investment Objective and Policies","page_number":10,"box":{"x":69,"y":196,"width":262,"height":11}},{"id":"51d35303-c7e9-4093-8020-7c8348ec2f92","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":218,"width":747,"height":11}},{"id":"0991d9a2-5c96-46d4-8bc8-4af1c15b6a4f","block_type":"box","text":"information about the Fund’s investment objective and policies.","page_number":10,"box":{"x":70,"y":234,"width":450,"height":11}},{"id":"9f81f58f-fc07-4e2e-8a37-2f6914f930d8","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":256,"width":779,"height":11}},{"id":"bd4f5ded-1c1d-4d22-88e3-b91a98845c3d","block_type":"box","text":"Company Act”) and will not change its investment policies required by that rule without giving shareholders 60 days’","page_number":10,"box":{"x":69,"y":272,"width":827,"height":11}},{"id":"8fd3fc32-edf2-4fa8-9cb5-0f4ab82a1509","block_type":"box","text":"prior written notice.","page_number":10,"box":{"x":70,"y":287,"width":135,"height":10}},{"id":"752ab4a9-9a6a-49f6-991f-39bcf0254fec","block_type":"box","text":"The Fund may invest in rights offerings and warrants. The Fund will not invest more than 5% of its net assets,","page_number":10,"box":{"x":101,"y":309,"width":781,"height":11}},{"id":"b2a38d9b-68f1-465b-bd9e-2a3fca2cee99","block_type":"box","text":"taken at market value, in warrants, or more than 2% of its net assets, taken at market value, in warrants not listed","page_number":10,"box":{"x":68,"y":324,"width":820,"height":11}},{"id":"548fb908-aec6-499b-8a64-309727790983","block_type":"box","text":"on the New York Stock Exchange (“NYSE”) or NYSE Alternext U.S. (formerly known as The American Stock Exchange).","page_number":10,"box":{"x":69,"y":339,"width":833,"height":12}},{"id":"42abee2e-c486-414d-8002-8b3ba7f1282e","block_type":"box","text":"Warrants acquired by the Fund in units or attached to other securities are not subject to this restriction.","page_number":10,"box":{"x":68,"y":355,"width":739,"height":11}},{"id":"7e5fe077-7e39-4104-b376-000fc41dda6d","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":377,"width":799,"height":12}},{"id":"458014e4-1eb5-453d-a372-af4268298e1c","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":393,"width":784,"height":11}},{"id":"f5d49670-04c6-4e86-8490-f1e26d8d0025","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":407,"width":805,"height":12}},{"id":"4895cc76-491d-4173-ab03-7e32a086be22","block_type":"box","text":"investment in the Fund.","page_number":10,"box":{"x":70,"y":423,"width":165,"height":9}},{"id":"a10daa43-a846-4d8c-b276-3a91f83f6e71","block_type":"box","text":"Set for th 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":445,"width":774,"height":12}},{"id":"aeb3bb23-21fa-49ff-862e-093a7df0b232","block_type":"box","text":"use, and the risks and considerations associated with those investments and investment strategies. Please see Par t","page_number":10,"box":{"x":69,"y":461,"width":837,"height":11}},{"id":"0e6d0201-29b8-411e-8032-80152b9f9acf","block_type":"box","text":"II of this SAI for fur ther information on these investments and investment strategies. Information contained in Par t II","page_number":10,"box":{"x":70,"y":475,"width":828,"height":12}},{"id":"d04ef9d7-4af9-4ab1-a6c9-ae36beabbe75","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":491,"width":805,"height":11}},{"id":"5799f68c-7974-4575-bd74-0ad99fff26c1","block_type":"box","text":"extent the Fund makes each type of investment or uses each investment strategy. Also set for th below is a listing of","page_number":10,"box":{"x":69,"y":506,"width":830,"height":11}},{"id":"2389d9e0-293a-493f-88ba-228820f78301","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":521,"width":760,"height":11}},{"id":"1f6c91eb-c647-48a2-990f-962bab0a1163","block_type":"box","text":"Procedures” in Par t II of this SAI for fur ther information about these policies. A copy of each policy is included in","page_number":10,"box":{"x":69,"y":536,"width":801,"height":11}},{"id":"aa4e2822-771b-4253-af07-cf08b4b235b9","block_type":"box","text":"Appendix B.","page_number":10,"box":{"x":68,"y":551,"width":83,"height":11}},{"id":"9c77ced0-8633-4a46-a3be-53d28531a16b","block_type":"box","text":"Information that does not apply to the Fund does not form a par t of the Fund’s SAI and should not be relied on","page_number":10,"box":{"x":102,"y":574,"width":789,"height":11}},{"id":"668ff4d0-f1ed-4d01-bda9-4f80e458f3c8","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":589,"width":822,"height":11}},{"id":"718310bf-d183-4179-91dc-935b20dda9c7","block_type":"box","text":"par t of the Fund’s SAI.","page_number":10,"box":{"x":70,"y":604,"width":158,"height":11}},{"id":"d1408c4a-1371-4a54-bb55-f8af65f26c2f","block_type":"box","text":"BlackRock","page_number":10,"box":{"x":802,"y":633,"width":63,"height":7}},{"id":"990940b8-f41f-4f07-a47c-eaebb4637363","block_type":"box","text":"Health","page_number":10,"box":{"x":815,"y":643,"width":36,"height":7}},{"id":"550b4f5b-0dfc-4399-8ff6-4af266f49e3d","block_type":"box","text":"Sciences","page_number":10,"box":{"x":807,"y":653,"width":52,"height":7}},{"id":"35806c0c-41f4-4715-bbb8-0286f2e124ee","block_type":"box","text":"Opportunities","page_number":10,"box":{"x":794,"y":663,"width":78,"height":9}},{"id":"609a0206-56e4-47ea-83cb-18762406ebff","block_type":"box","text":"Portfolio","page_number":10,"box":{"x":809,"y":673,"width":49,"height":7}},{"id":"4ee357d0-44fe-48a1-a66a-bcc80caa3f72","block_type":"box","text":"Asset-Backed Securities","page_number":10,"box":{"x":72,"y":693,"width":161,"height":8}},{"id":"a1f33d3f-accd-4a44-a99a-176445a56111","block_type":"box","text":"X","page_number":10,"box":{"x":829,"y":693,"width":8,"height":7}},{"id":"cd37d976-c00d-46dc-9fdf-b7a582d2be11","block_type":"box","text":"Asset-Based Securities","page_number":10,"box":{"x":72,"y":713,"width":152,"height":8}},{"id":"55194535-c360-4e04-9cd2-8a7a82c4574d","block_type":"box","text":"X","page_number":10,"box":{"x":829,"y":713,"width":8,"height":8}},{"id":"5b7b2c14-8a6b-4494-afcb-fa24e75256c4","block_type":"box","text":"Precious Metal-Related Securities","page_number":10,"box":{"x":83,"y":733,"width":215,"height":8}},{"id":"726b57da-d156-4d5e-977b-f1eda24b7350","block_type":"box","text":"X","page_number":10,"box":{"x":829,"y":733,"width":8,"height":8}},{"id":"0818c246-e484-4d41-9d00-aeca29f83cdf","block_type":"box","text":"Borrowing and Leverage","page_number":10,"box":{"x":73,"y":753,"width":157,"height":10}},{"id":"dddd79f7-7bb2-4e84-b02c-177a7375d66e","block_type":"box","text":"X","page_number":10,"box":{"x":829,"y":753,"width":8,"height":8}},{"id":"89921a1e-f175-4d4b-bd55-3f6553f667e3","block_type":"box","text":"Cash Management","page_number":10,"box":{"x":73,"y":773,"width":122,"height":10}},{"id":"1c8cff23-3fbc-4e90-9bbd-8f852b929b6b","block_type":"box","text":"Collateralized Debt Obligations","page_number":10,"box":{"x":73,"y":793,"width":202,"height":10}},{"id":"29f40078-faa6-4c09-9c9f-cc34f9db3c53","block_type":"box","text":"Collateralized Bond Obligations","page_number":10,"box":{"x":83,"y":814,"width":198,"height":10}},{"id":"1cdc7728-acb6-4559-abba-0dc8feedf1d6","block_type":"box","text":"Collateralized Loan Obligations","page_number":10,"box":{"x":83,"y":834,"width":196,"height":10}},{"id":"75c5486f-2c27-4d03-93fb-6b9b0d76750f","block_type":"box","text":"Commercial Paper","page_number":10,"box":{"x":73,"y":854,"width":120,"height":10}},{"id":"840df4a4-2a18-40e8-8e0d-cf1b59f8fc03","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments","page_number":10,"box":{"x":73,"y":874,"width":431,"height":10}},{"id":"0ae8bfff-53c7-4a89-842c-a56c71be913e","block_type":"box","text":"Qualifying Hybrid Instruments","page_number":10,"box":{"x":83,"y":894,"width":187,"height":10}},{"id":"a0e7c272-a095-4d5e-86ef-a019fadb9ad9","block_type":"box","text":"I-1","page_number":10,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"6e849a94-0f4c-4033-a56a-38c8c7bd3e3f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":10,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8a53ab42-1b2a-4629-a683-db8e1701a4dd","block_type":"box","text":"BlackRock","page_number":11,"box":{"x":802,"y":50,"width":63,"height":7}},{"id":"edf0d105-d6e1-4105-bc98-c024ba05512d","block_type":"box","text":"Health","page_number":11,"box":{"x":815,"y":60,"width":36,"height":7}},{"id":"c8ac8229-f134-4ced-9d4d-19ec5887fa0a","block_type":"box","text":"Sciences","page_number":11,"box":{"x":807,"y":70,"width":52,"height":7}},{"id":"d9103baa-44fa-4daa-9e51-82ecce5c6883","block_type":"box","text":"Opportunities","page_number":11,"box":{"x":794,"y":80,"width":78,"height":9}},{"id":"fde6ea73-e42a-4ba6-a976-08364682e8ec","block_type":"box","text":"Portfolio","page_number":11,"box":{"x":809,"y":90,"width":49,"height":7}},{"id":"b205cad9-8e4e-4fdd-a025-de770b3e5562","block_type":"box","text":"Hybrid Instruments Without Principal Protection","page_number":11,"box":{"x":83,"y":109,"width":301,"height":10}},{"id":"abeede93-eef3-4e23-8431-3062d600613f","block_type":"box","text":"Limitations on Leverage","page_number":11,"box":{"x":83,"y":130,"width":151,"height":9}},{"id":"7be7a977-b28c-4cac-9874-10b4c716630f","block_type":"box","text":"Counterpar ty Risk","page_number":11,"box":{"x":83,"y":150,"width":114,"height":9}},{"id":"f8e1eb5e-ecc5-4b07-b853-e66f881d2692","block_type":"box","text":"Convertible Securities","page_number":11,"box":{"x":73,"y":170,"width":145,"height":8}},{"id":"0b446627-6ffe-47fd-9daa-c993373b4648","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":170,"width":8,"height":8}},{"id":"695251b1-dc5b-4695-80de-63cc11b65d95","block_type":"box","text":"Corporate Loans","page_number":11,"box":{"x":73,"y":190,"width":107,"height":10}},{"id":"303c52a8-c47b-4009-bae6-7810de736c70","block_type":"box","text":"Direct Lending","page_number":11,"box":{"x":83,"y":210,"width":91,"height":10}},{"id":"a9dccd70-7c67-44e7-8740-fad64d532548","block_type":"box","text":"Credit Linked Securities","page_number":11,"box":{"x":73,"y":230,"width":157,"height":8}},{"id":"84eebd74-435a-45b4-bb0b-55af72bdf8e1","block_type":"box","text":"Debt Securities","page_number":11,"box":{"x":73,"y":250,"width":100,"height":8}},{"id":"0906ba37-7768-4cf0-b50f-308d6513cb94","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":250,"width":8,"height":8}},{"id":"44b99b87-0282-474f-8173-cefda85b84a0","block_type":"box","text":"Floating and Variable Rate Securities","page_number":11,"box":{"x":83,"y":271,"width":234,"height":10}},{"id":"8374a8b6-d14d-44d7-850a-bc6d270a7873","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":271,"width":8,"height":7}},{"id":"ca4f7c97-ba08-4216-a004-f0c6929ba00f","block_type":"box","text":"Inflation-Indexed Bonds","page_number":11,"box":{"x":83,"y":291,"width":148,"height":8}},{"id":"75554a4c-cf32-4f67-9120-ed5cffc81439","block_type":"box","text":"Investment Grade Debt Obligations","page_number":11,"box":{"x":83,"y":311,"width":223,"height":10}},{"id":"0ff9dbee-78d6-4ef7-b596-fb7c5044fbb3","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":311,"width":8,"height":8}},{"id":"3046e5f9-189d-471d-93e1-c29c78faa19c","block_type":"box","text":"High Yield Investments (“Junk Bonds”)","page_number":11,"box":{"x":83,"y":331,"width":246,"height":10}},{"id":"34b4079c-eba3-490f-bdf1-6ff15c9f0751","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":331,"width":8,"height":8}},{"id":"174d8871-0966-4adf-8706-3bd2c6451f66","block_type":"box","text":"Mezzanine Investments","page_number":11,"box":{"x":93,"y":351,"width":149,"height":8}},{"id":"52e9fdb0-4f4b-4216-a2a2-81be76a7fa5d","block_type":"box","text":"Pay-in-kind Bonds","page_number":11,"box":{"x":83,"y":371,"width":110,"height":10}},{"id":"9885e7ad-2ccc-486d-b35a-501bfdbada3e","block_type":"box","text":"Supranational Entities","page_number":11,"box":{"x":83,"y":391,"width":140,"height":10}},{"id":"1b3ee371-7fd4-4d94-96d3-0ae2dd95d0c7","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":392,"width":8,"height":7}},{"id":"0f4e8210-9804-474a-9cca-c9b9ed5bfba9","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs)","page_number":11,"box":{"x":73,"y":412,"width":296,"height":9}},{"id":"dbcd72fb-7483-41e7-8b81-01b368f9c328","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":412,"width":8,"height":8}},{"id":"12e02a83-5af9-4c5d-9438-463500a5a424","block_type":"box","text":"Derivatives","page_number":11,"box":{"x":73,"y":432,"width":72,"height":8}},{"id":"78e7c163-fd71-40b5-bbf4-6dc4cd94164f","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":432,"width":8,"height":8}},{"id":"ae28df8f-6e59-4ba7-99bc-28ae9d310b29","block_type":"box","text":"Hedging","page_number":11,"box":{"x":83,"y":452,"width":51,"height":10}},{"id":"677545aa-4b39-4ce5-a1cf-b1994d3e91eb","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":452,"width":8,"height":8}},{"id":"e72e4c71-dc5f-4b88-8481-a78ff8374687","block_type":"box","text":"Speculation","page_number":11,"box":{"x":83,"y":472,"width":74,"height":10}},{"id":"a1e3acd5-f862-4cc5-a1c2-dd8c41700420","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":472,"width":8,"height":8}},{"id":"c1de149d-d2d9-4cbf-aaa9-f2eb60943fc6","block_type":"box","text":"Risk Factors in Derivatives","page_number":11,"box":{"x":83,"y":492,"width":168,"height":8}},{"id":"3912fc8e-ee02-4961-9395-a04f6c2ea86e","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":492,"width":8,"height":8}},{"id":"25fc1c32-c176-410c-b9de-c9a242941165","block_type":"box","text":"Correlation Risk","page_number":11,"box":{"x":93,"y":512,"width":101,"height":8}},{"id":"c50c3bb0-401d-4d9b-b04f-ae6645879577","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":513,"width":8,"height":7}},{"id":"3d0ef807-2539-4358-9e48-6f24d50964b0","block_type":"box","text":"Counterpar ty Risk","page_number":11,"box":{"x":93,"y":533,"width":114,"height":9}},{"id":"ec841f93-3710-4aaa-8a3f-7d0330760057","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":533,"width":8,"height":7}},{"id":"61d91fe7-0fd9-42b7-ad74-3ce13aac7935","block_type":"box","text":"Credit Risk","page_number":11,"box":{"x":93,"y":553,"width":69,"height":8}},{"id":"51f0c9c0-9ba7-4307-97dc-f2c19c1e1160","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":553,"width":8,"height":8}},{"id":"9987f716-d0cd-409e-ada1-97575f1ba7b1","block_type":"box","text":"Currency Risk","page_number":11,"box":{"x":93,"y":573,"width":87,"height":10}},{"id":"9ecb74aa-dcbe-4c62-a64d-4969d61f09a6","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":573,"width":8,"height":8}},{"id":"921133e5-31f7-4ef4-a68f-3a9c720c2df6","block_type":"box","text":"Illiquidity Risk","page_number":11,"box":{"x":93,"y":593,"width":87,"height":10}},{"id":"d5a20252-58b3-4218-b5a8-36e9a5a0f8f1","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":593,"width":8,"height":8}},{"id":"089b93b3-efa3-4771-b390-ae3e6a271684","block_type":"box","text":"Index Risk","page_number":11,"box":{"x":93,"y":613,"width":65,"height":8}},{"id":"a430d40b-3cc7-4df9-99fc-9466c77a3dfa","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":613,"width":8,"height":8}},{"id":"2dbd5281-5f8d-428e-ae7e-bde793e359fc","block_type":"box","text":"Legal Risk","page_number":11,"box":{"x":93,"y":633,"width":65,"height":10}},{"id":"a0ba7a25-6c44-4d84-a650-4f52960bf160","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":633,"width":8,"height":8}},{"id":"f60db50f-5c5f-48b0-9066-837acd87e96c","block_type":"box","text":"Leverage Risk","page_number":11,"box":{"x":93,"y":654,"width":88,"height":10}},{"id":"f309eabd-2a6f-4c6e-a0d2-e6be8081b8bd","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":654,"width":8,"height":7}},{"id":"e848a908-d7f1-41ad-8a90-2f8051932177","block_type":"box","text":"Market Risk","page_number":11,"box":{"x":93,"y":674,"width":75,"height":8}},{"id":"a469b36c-a239-4835-b40c-b20ca3cc9c50","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":674,"width":8,"height":8}},{"id":"2a8e92f4-42ec-48ae-a098-f2346c9b5e3a","block_type":"box","text":"Operational Risk","page_number":11,"box":{"x":93,"y":694,"width":104,"height":10}},{"id":"42d93e66-1d3d-4df6-a035-ab01f00428eb","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":694,"width":8,"height":8}},{"id":"2a914285-d148-48bc-b237-94b1769aa0c9","block_type":"box","text":"Valuation Risk","page_number":11,"box":{"x":92,"y":714,"width":90,"height":8}},{"id":"33ab978f-a456-4abc-8d9e-7a7b6087f8bf","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":714,"width":8,"height":8}},{"id":"24612190-b56c-4dee-885f-b8dc01f4c9ab","block_type":"box","text":"Volatility Risk","page_number":11,"box":{"x":92,"y":734,"width":85,"height":10}},{"id":"d9272a71-b129-4cc9-ab4e-eb2ddd8298cb","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":734,"width":8,"height":8}},{"id":"42f33d9a-599d-47d3-a681-d4663ba781af","block_type":"box","text":"Futures","page_number":11,"box":{"x":83,"y":754,"width":46,"height":8}},{"id":"8d836ec2-ca17-4926-83eb-933f4cd13574","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":754,"width":8,"height":8}},{"id":"030fb069-b0eb-4f1b-af3d-a026d0abcc4a","block_type":"box","text":"Swap Agreements","page_number":11,"box":{"x":83,"y":774,"width":114,"height":11}},{"id":"6df72b14-174f-491c-b2b6-c2ca1852e363","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":775,"width":8,"height":7}},{"id":"945d11d5-39f5-4b9d-b3b9-a7871a5ef6d1","block_type":"box","text":"Credit Default Swaps and Similar Instruments","page_number":11,"box":{"x":93,"y":794,"width":292,"height":10}},{"id":"3c0e1cf6-76ad-41a1-86c3-48af5a6482bd","block_type":"box","text":"Interest Rate Swaps, Floors and Caps","page_number":11,"box":{"x":93,"y":815,"width":241,"height":10}},{"id":"55af6b9c-69f5-4e5b-8845-93ee7debbfd9","block_type":"box","text":"Total Return Swaps","page_number":11,"box":{"x":92,"y":835,"width":123,"height":10}},{"id":"65fb6b89-1c40-426a-a03b-32d118963fcc","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":835,"width":8,"height":8}},{"id":"ea0b8d8c-5740-4549-b7ed-b0e043b9754d","block_type":"box","text":"Options","page_number":11,"box":{"x":83,"y":855,"width":48,"height":10}},{"id":"8b6315a2-40b9-4fe9-bbe9-5fc924ea547c","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":855,"width":8,"height":8}},{"id":"3286a975-6c47-4baf-b03a-16f7b3a447b5","block_type":"box","text":"Options on Securities and Securities Indices X","page_number":11,"box":{"x":93,"y":875,"width":744,"height":10}},{"id":"6f002574-231d-4f71-8112-77227be2682e","block_type":"box","text":"Call Options","page_number":11,"box":{"x":93,"y":895,"width":76,"height":10}},{"id":"936aaf03-dd38-47ba-95ac-b5ae6125ca8c","block_type":"box","text":"X","page_number":11,"box":{"x":829,"y":896,"width":8,"height":7}},{"id":"ac377f9b-e978-48f6-816c-f30035f1d676","block_type":"box","text":"I-2","page_number":11,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"40a9f46e-d11e-434e-bcef-79f31f4f8081","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":11,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5b349ba2-1cc6-48b0-bf95-af24767cc3b0","block_type":"box","text":"BlackRock","page_number":12,"box":{"x":802,"y":50,"width":63,"height":7}},{"id":"9b495936-2244-4c22-9813-750037852e39","block_type":"box","text":"Health","page_number":12,"box":{"x":815,"y":60,"width":36,"height":7}},{"id":"e95c915e-7005-4894-8980-0d8d7b0bedb5","block_type":"box","text":"Sciences","page_number":12,"box":{"x":807,"y":70,"width":52,"height":7}},{"id":"743d13f3-241b-41cb-a895-b1b30bb0a4e9","block_type":"box","text":"Opportunities","page_number":12,"box":{"x":794,"y":80,"width":78,"height":9}},{"id":"bc2a5013-7cf9-4908-8aa4-0d4837cec4f6","block_type":"box","text":"Portfolio","page_number":12,"box":{"x":809,"y":90,"width":49,"height":7}},{"id":"03770d49-cdad-4517-985b-127316a362fd","block_type":"box","text":"Put Options","page_number":12,"box":{"x":93,"y":109,"width":73,"height":10}},{"id":"7844ee6b-2a3c-4f78-abbe-140d34c76540","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":109,"width":8,"height":8}},{"id":"ebbe8735-1e85-4f23-8749-0ea0b8b9a24b","block_type":"box","text":"Options on Government National Mor tgage Association (“GNMA”) Cer tificates","page_number":12,"box":{"x":93,"y":129,"width":496,"height":10}},{"id":"9ec966a9-7b25-4fc9-b642-2441ee16c29b","block_type":"box","text":"Options on Swaps (“Swaptions”)","page_number":12,"box":{"x":93,"y":150,"width":207,"height":9}},{"id":"748685e2-7d50-404a-8c7a-5644776bb940","block_type":"box","text":"FLEX Options","page_number":12,"box":{"x":93,"y":170,"width":82,"height":9}},{"id":"aad8eba2-d246-4f8c-bbd5-e74785059c2d","block_type":"box","text":"Foreign Exchange Transactions","page_number":12,"box":{"x":83,"y":190,"width":196,"height":10}},{"id":"a42d2f08-277d-40f9-b1d8-ee957c07f169","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":190,"width":8,"height":8}},{"id":"ef45ae04-1e80-48d9-8831-aa88d2507da7","block_type":"box","text":"Spot Transactions and FX Forwards","page_number":12,"box":{"x":93,"y":210,"width":225,"height":10}},{"id":"ccdac7fa-fb41-4cff-a7b4-b30e2af22ea0","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":210,"width":8,"height":8}},{"id":"93c8e14a-08c0-4012-a15a-81c3f4a5c825","block_type":"box","text":"Currency Futures","page_number":12,"box":{"x":93,"y":230,"width":107,"height":10}},{"id":"1ebccd19-9a51-455a-98d2-08bf363bef15","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":230,"width":8,"height":8}},{"id":"298619df-c891-4e51-b59a-a4566639f839","block_type":"box","text":"Currency Options","page_number":12,"box":{"x":93,"y":250,"width":108,"height":10}},{"id":"a44602b6-bb7a-42cb-8d1a-21167c2527cc","block_type":"box","text":"See note 1 below","page_number":12,"box":{"x":777,"y":250,"width":112,"height":8}},{"id":"940abcd0-49ee-42c8-99b2-18055e937328","block_type":"box","text":"Currency Swaps","page_number":12,"box":{"x":93,"y":271,"width":101,"height":9}},{"id":"084e1ba1-c306-4320-90f7-701a9ef48fb7","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":271,"width":8,"height":7}},{"id":"9e7e0873-862d-4d18-b1fe-59147f5ae36f","block_type":"box","text":"Distressed Securities","page_number":12,"box":{"x":73,"y":291,"width":139,"height":8}},{"id":"94c10767-744d-41b3-be5c-65a59c6ac149","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":291,"width":8,"height":8}},{"id":"d11f7c3e-2de0-4adb-a47c-57d4434cdb86","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":12,"box":{"x":73,"y":311,"width":384,"height":10}},{"id":"ad958d3c-2ceb-48ea-aafc-84b3495ccaad","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":311,"width":8,"height":8}},{"id":"143504ea-2eb8-42d0-8b5f-70f4c665d5d3","block_type":"box","text":"Equity Securities","page_number":12,"box":{"x":73,"y":331,"width":110,"height":10}},{"id":"19943e2e-8eaf-4b5d-9922-d4dffa1eca36","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":331,"width":8,"height":8}},{"id":"50edf95b-dad5-4cee-b587-ecc6ee1216dc","block_type":"box","text":"Real Estate-Related Securities","page_number":12,"box":{"x":83,"y":351,"width":193,"height":8}},{"id":"a6678501-b08c-4cf5-ade7-1b8dcdedbb10","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":351,"width":8,"height":8}},{"id":"fa386d3c-0250-4b8a-a32b-c4ccbc4ce59d","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies X","page_number":12,"box":{"x":83,"y":371,"width":754,"height":10}},{"id":"47f19df8-c853-46b1-a9e8-bad5d034c3d5","block_type":"box","text":"Tracking Stocks","page_number":12,"box":{"x":82,"y":391,"width":100,"height":11}},{"id":"0b3f2744-12b2-4398-8a9b-e334fd38f939","block_type":"box","text":"Exchange-Traded Notes (“ETNs”)","page_number":12,"box":{"x":73,"y":412,"width":216,"height":10}},{"id":"a3083442-b5ce-496d-b398-b4b5f29e56c8","block_type":"box","text":"Foreign Investments","page_number":12,"box":{"x":73,"y":432,"width":133,"height":10}},{"id":"5edceea2-3c72-4d67-b2d2-995572233c4e","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":432,"width":8,"height":8}},{"id":"254c7b68-fe12-4d9c-be34-e539ad4bb880","block_type":"box","text":"Foreign Investment Risks","page_number":12,"box":{"x":83,"y":452,"width":160,"height":10}},{"id":"2acecb92-2697-46b0-b8d2-ed0bb0292dde","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":452,"width":8,"height":8}},{"id":"4f106d9b-c1e2-472d-b364-52cbc88f490d","block_type":"box","text":"Foreign Market Risk","page_number":12,"box":{"x":83,"y":472,"width":127,"height":10}},{"id":"a86336b3-6649-4b8d-aa7b-cbc33966f654","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":472,"width":8,"height":8}},{"id":"57b0ed1e-a62b-4e7a-be24-2299557879cc","block_type":"box","text":"Foreign Economy Risk","page_number":12,"box":{"x":83,"y":492,"width":139,"height":10}},{"id":"9bfe19bc-c528-4ea0-b401-0a0c2f3f12c7","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":492,"width":8,"height":8}},{"id":"7649e3eb-fe52-4270-9db6-a87757b19c69","block_type":"box","text":"Currency Risk and Exchange Risk","page_number":12,"box":{"x":83,"y":512,"width":212,"height":10}},{"id":"42b0f7f1-a553-48f5-966a-434858f8c98b","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":513,"width":8,"height":7}},{"id":"f010e044-f2b7-4571-9ec1-318aadd5d331","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards X","page_number":12,"box":{"x":83,"y":533,"width":754,"height":10}},{"id":"16d3764f-7d96-4333-849b-d718107927b5","block_type":"box","text":"Cer tain Risks of Holding Fund Assets Outside the United States X","page_number":12,"box":{"x":83,"y":553,"width":754,"height":10}},{"id":"322dad1d-1b2a-449a-bee5-c54ff249107f","block_type":"box","text":"Publicly Available Information","page_number":12,"box":{"x":83,"y":573,"width":185,"height":10}},{"id":"1f80ac65-bdef-4172-9a3f-c554d4563be0","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":573,"width":8,"height":8}},{"id":"8e8afc74-8236-4165-b3cc-84000a0f7842","block_type":"box","text":"Settlement Risk","page_number":12,"box":{"x":83,"y":593,"width":101,"height":8}},{"id":"fba73ba2-7340-4f91-b367-ccd7b3481020","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":593,"width":8,"height":8}},{"id":"359cfc92-99d4-447f-81e2-ecadcecd291c","block_type":"box","text":"Sovereign Debt","page_number":12,"box":{"x":83,"y":613,"width":97,"height":10}},{"id":"987abdca-ad7d-408a-88ed-7456b1c38471","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":613,"width":8,"height":8}},{"id":"3e5777f0-cc81-4d96-8faa-849a81fcf5e4","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":12,"box":{"x":82,"y":633,"width":194,"height":10}},{"id":"6165401e-a9db-4344-8c4c-b59741a3d3ee","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":633,"width":8,"height":8}},{"id":"be605446-bcb1-4d0f-b76c-83b43fca92d9","block_type":"box","text":"U.S. Economic Trading Par tners Risk","page_number":12,"box":{"x":83,"y":654,"width":234,"height":10}},{"id":"64dc76b5-ac1f-45c1-97cb-16695e01a6db","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":654,"width":8,"height":7}},{"id":"9e9ba031-6c97-43f9-af94-4505a52c84e7","block_type":"box","text":"Funding Agreements","page_number":12,"box":{"x":73,"y":674,"width":134,"height":10}},{"id":"1386b79d-78bd-4f47-b350-64c55657e89f","block_type":"box","text":"Guarantees","page_number":12,"box":{"x":73,"y":694,"width":74,"height":8}},{"id":"a72e27bd-8098-429c-8b77-e35575ce7dab","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":694,"width":8,"height":8}},{"id":"c6c5a188-4ab2-4298-86a9-7a5df6b8ea8f","block_type":"box","text":"Illiquid Investments","page_number":12,"box":{"x":73,"y":714,"width":128,"height":10}},{"id":"d078c297-f957-467a-bad1-0daa55c18608","block_type":"box","text":"X","page_number":12,"box":{"x":829,"y":714,"width":8,"height":8}},{"id":"d410aabe-2b5f-4c59-afe8-388bb168ba53","block_type":"box","text":"Index Funds","page_number":12,"box":{"x":73,"y":734,"width":78,"height":8}},{"id":"98d94f00-7dda-4120-8427-08a440e65ed0","block_type":"box","text":"Cash Flows; Expenses","page_number":12,"box":{"x":83,"y":754,"width":142,"height":10}},{"id":"d844ef17-1e15-42a0-b430-7404b17821b1","block_type":"box","text":"Tracking Error Risk","page_number":12,"box":{"x":82,"y":775,"width":120,"height":10}},{"id":"b938908e-51e3-4d56-982e-c7fab1c89c78","block_type":"box","text":"S&P 500 Index","page_number":12,"box":{"x":83,"y":795,"width":96,"height":8}},{"id":"227be30c-3cd9-4588-bb22-d52eb4effff4","block_type":"box","text":"Russell Indexes","page_number":12,"box":{"x":83,"y":815,"width":100,"height":8}},{"id":"f911fb8f-5b8c-45b3-857d-a89ca71b9aba","block_type":"box","text":"MSCI Indexes","page_number":12,"box":{"x":83,"y":835,"width":86,"height":8}},{"id":"fd44285d-320b-4ae8-8d78-b7dcf5710157","block_type":"box","text":"FTSE Indexes","page_number":12,"box":{"x":83,"y":855,"width":84,"height":8}},{"id":"f382e292-7c6a-487c-804e-e17d45a68d9d","block_type":"box","text":"Bloomberg Indexes","page_number":12,"box":{"x":83,"y":875,"width":121,"height":10}},{"id":"772ef1dd-24d2-4e4a-9fba-cc998aea8a6c","block_type":"box","text":"ICE BofA Indexes","page_number":12,"box":{"x":83,"y":895,"width":108,"height":8}},{"id":"d7729e5f-aacd-4f8e-b29f-b77694acfe07","block_type":"box","text":"I-3","page_number":12,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"e7a7d310-de51-4e27-b7d2-84497b3d3d6c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":12,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e28696a0-1655-4606-add1-246a7b049bc3","block_type":"box","text":"BlackRock","page_number":13,"box":{"x":802,"y":50,"width":63,"height":7}},{"id":"716cd19e-3624-4e36-b297-86fb5a2becc3","block_type":"box","text":"Health","page_number":13,"box":{"x":815,"y":60,"width":36,"height":7}},{"id":"433f932b-50ca-4593-9a7e-6ff08394dad1","block_type":"box","text":"Sciences","page_number":13,"box":{"x":807,"y":70,"width":52,"height":7}},{"id":"2c67f8cd-5fca-4b7f-898f-71c7fc8c7396","block_type":"box","text":"Opportunities","page_number":13,"box":{"x":794,"y":80,"width":78,"height":9}},{"id":"573bac92-fb06-4bf4-bf93-26f837f867ef","block_type":"box","text":"Portfolio","page_number":13,"box":{"x":809,"y":90,"width":49,"height":7}},{"id":"af931347-c249-4e5a-bfe7-fb037ccd2d11","block_type":"box","text":"Indexed and Inverse Securities","page_number":13,"box":{"x":73,"y":109,"width":201,"height":8}},{"id":"1811dfa5-b67c-455c-9036-6d2ccfef5187","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":109,"width":8,"height":8}},{"id":"7abdd62c-ba67-4c6a-96c7-77cb28029c45","block_type":"box","text":"Inflation Risk","page_number":13,"box":{"x":73,"y":129,"width":86,"height":8}},{"id":"cf0a879b-5537-46a4-83b8-9f9113356d58","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":130,"width":8,"height":7}},{"id":"700f7fd0-505d-417d-b491-be5870895b1b","block_type":"box","text":"Initial Public Offering (“IPO”) Risk","page_number":13,"box":{"x":73,"y":150,"width":224,"height":9}},{"id":"e17c0ce7-7956-4526-8b0c-786391a379b9","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":150,"width":8,"height":7}},{"id":"de0a12f6-d8b6-4b48-9de7-304eb3f7506d","block_type":"box","text":"Investment in Emerging Markets","page_number":13,"box":{"x":73,"y":170,"width":214,"height":10}},{"id":"37097be9-108f-4f77-9c65-bcd7a8c4859f","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":170,"width":8,"height":8}},{"id":"55942d83-73d5-48b2-803b-0d66ff8ab0fa","block_type":"box","text":"Brady Bonds","page_number":13,"box":{"x":83,"y":190,"width":79,"height":10}},{"id":"8e9aa132-7b8b-46f0-9cb5-c06d4c6902a7","block_type":"box","text":"China Investments Risk","page_number":13,"box":{"x":83,"y":210,"width":150,"height":8}},{"id":"794bc4af-a4f4-46de-92eb-9ee5f31fd4e9","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":210,"width":8,"height":8}},{"id":"6ac59c6f-6fc8-4459-9734-e31c40126542","block_type":"box","text":"Investment in Other Investment Companies","page_number":13,"box":{"x":73,"y":230,"width":284,"height":10}},{"id":"13ad4742-e65e-47b3-8c44-afd35fb37404","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":230,"width":8,"height":8}},{"id":"5b20ce79-7f3e-413c-872e-ef7f18fd6d84","block_type":"box","text":"Exchange-Traded Funds","page_number":13,"box":{"x":83,"y":250,"width":148,"height":10}},{"id":"054eef33-41b6-41fb-a12a-a69c468bb067","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":250,"width":8,"height":8}},{"id":"d41e1bc7-23c3-44fc-a695-d6f55570b4c3","block_type":"box","text":"Issuer Insolvency Risk","page_number":13,"box":{"x":73,"y":271,"width":146,"height":9}},{"id":"988081c2-2564-4283-a680-64908ff6ad7b","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":271,"width":8,"height":7}},{"id":"6bd29b26-fdbc-4c20-8476-6d0d6598a146","block_type":"box","text":"Lease Obligations","page_number":13,"box":{"x":73,"y":291,"width":116,"height":10}},{"id":"ff18b44f-c7aa-4640-9fcc-f49d439c8e61","block_type":"box","text":"Life Settlement Investments","page_number":13,"box":{"x":73,"y":311,"width":185,"height":8}},{"id":"621fade2-fa5e-47ee-9258-0f24ebd2707b","block_type":"box","text":"Liquidity Risk Management","page_number":13,"box":{"x":73,"y":331,"width":178,"height":10}},{"id":"834f3a82-476f-4809-912b-29538a8a4a23","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":331,"width":8,"height":8}},{"id":"6ecf94ef-98eb-45d5-93b8-f4f580b329da","block_type":"box","text":"Market Risks/Recent Market Events","page_number":13,"box":{"x":73,"y":351,"width":244,"height":10}},{"id":"fc9971e9-bb5b-414c-bfd7-56dcfe4d8ee4","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":351,"width":8,"height":8}},{"id":"f620c55c-5303-49f4-96ec-b61ee499f411","block_type":"box","text":"Master Limited Partnerships","page_number":13,"box":{"x":73,"y":371,"width":186,"height":10}},{"id":"7f11454a-0c72-4dbc-a874-e3538431994c","block_type":"box","text":"Merger Transaction Risk","page_number":13,"box":{"x":73,"y":391,"width":161,"height":10}},{"id":"5614deb4-0954-4692-ad37-95ae379c1f9a","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":412,"width":646,"height":10}},{"id":"7277cd12-a2a9-4953-989f-cfd4bd6e3a0c","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":412,"width":8,"height":8}},{"id":"05d0614c-3b18-49f3-933c-67f62da8bc46","block_type":"box","text":"Money Market Securities","page_number":13,"box":{"x":73,"y":432,"width":165,"height":10}},{"id":"5b3f518e-81d5-478a-940e-27684eba4b02","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":432,"width":8,"height":8}},{"id":"58e08e0b-7ed3-4504-a500-ded283b0c079","block_type":"box","text":"Mortgage-Related Securities","page_number":13,"box":{"x":73,"y":452,"width":188,"height":10}},{"id":"4b87e0e9-909a-4752-9e52-0d13cba6fc94","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":452,"width":8,"height":8}},{"id":"7e5b97e5-adc1-46cf-8194-982c66182853","block_type":"box","text":"Mor tgage-Backed Securities","page_number":13,"box":{"x":83,"y":472,"width":178,"height":10}},{"id":"5a798c2a-15a1-474a-a0b3-d29d68be93d4","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":472,"width":8,"height":8}},{"id":"807bab31-6ef5-41b0-8d16-8e40bf88a841","block_type":"box","text":"Collateralized Mor tgage Obligations (“CMOs”) X","page_number":13,"box":{"x":83,"y":492,"width":754,"height":10}},{"id":"b2d509bd-2433-49d9-9e5f-4c07c36668e2","block_type":"box","text":"Adjustable Rate Mor tgage Securities","page_number":13,"box":{"x":82,"y":512,"width":234,"height":10}},{"id":"9d67a405-dc1c-4fa7-8098-ca207d55b899","block_type":"box","text":"CMO Residuals","page_number":13,"box":{"x":83,"y":533,"width":97,"height":8}},{"id":"983c4cca-35b3-4de4-bdb7-ff42e14cd702","block_type":"box","text":"Stripped Mor tgage-Backed Securities","page_number":13,"box":{"x":83,"y":553,"width":237,"height":10}},{"id":"b3cae037-0a7f-4a96-b62a-9bd8d0cb656a","block_type":"box","text":"Tiered Index Bonds","page_number":13,"box":{"x":82,"y":573,"width":122,"height":8}},{"id":"95f4f0e6-526e-4cb6-9e9a-a2d13974546e","block_type":"box","text":"TBA Commitments","page_number":13,"box":{"x":82,"y":593,"width":118,"height":8}},{"id":"6904db81-39ae-4daa-8696-9731b161ac3b","block_type":"box","text":"Mor tgage Dollar Rolls","page_number":13,"box":{"x":83,"y":613,"width":137,"height":10}},{"id":"8d27085d-9bec-4c48-bff1-e25d908ee593","block_type":"box","text":"Net Interest Margin (NIM) Securities","page_number":13,"box":{"x":83,"y":633,"width":230,"height":10}},{"id":"3268603a-ff5e-46b7-8413-94d39e955606","block_type":"box","text":"Municipal Investments","page_number":13,"box":{"x":73,"y":654,"width":148,"height":9}},{"id":"ca32ca7b-02d7-4be3-beb1-018ed0429d43","block_type":"box","text":"X","page_number":13,"box":{"x":829,"y":654,"width":8,"height":7}},{"id":"a11ecf99-eb9c-4cc7-8be9-5706ffcd7e19","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds","page_number":13,"box":{"x":83,"y":674,"width":442,"height":10}},{"id":"f91ad57a-a7d8-4507-9632-bdd14312c5a4","block_type":"box","text":"Description of Municipal Bonds","page_number":13,"box":{"x":83,"y":694,"width":198,"height":10}},{"id":"e59c5ee7-70e0-4f92-89d8-4e0bb531b2e4","block_type":"box","text":"General Obligation Bonds","page_number":13,"box":{"x":93,"y":714,"width":161,"height":10}},{"id":"8bb30f2c-f0ad-4e28-87a9-2c1bbc903b9e","block_type":"box","text":"Revenue Bonds","page_number":13,"box":{"x":93,"y":734,"width":98,"height":8}},{"id":"c4025b25-1d86-495e-a470-cd6f1d1922d7","block_type":"box","text":"Private Activity Bonds (“PABs”)","page_number":13,"box":{"x":93,"y":754,"width":194,"height":10}},{"id":"47e92f9f-5301-423a-869e-e8764fda76d3","block_type":"box","text":"Moral Obligation Bonds","page_number":13,"box":{"x":93,"y":774,"width":148,"height":11}},{"id":"76cbd635-59c2-4ed1-b2be-6afc53201090","block_type":"box","text":"Municipal Notes","page_number":13,"box":{"x":93,"y":795,"width":102,"height":9}},{"id":"ee564fdc-394d-4377-b3a1-7e1c9c0697f8","block_type":"box","text":"Municipal Commercial Paper","page_number":13,"box":{"x":93,"y":815,"width":182,"height":10}},{"id":"10caf739-24b3-4c97-a993-27f7d4109e52","block_type":"box","text":"Municipal Lease Obligations","page_number":13,"box":{"x":93,"y":835,"width":179,"height":10}},{"id":"0e3af4d6-caa8-43d5-8054-01f58c62bb84","block_type":"box","text":"Tender Option Bonds","page_number":13,"box":{"x":92,"y":855,"width":133,"height":10}},{"id":"1dbb87b9-b7a1-487f-8d39-228de5380d61","block_type":"box","text":"Yields","page_number":13,"box":{"x":92,"y":875,"width":38,"height":8}},{"id":"401e186d-f382-4f65-a662-61f086dd9e40","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”)","page_number":13,"box":{"x":92,"y":895,"width":288,"height":10}},{"id":"bc28c550-1a9f-4191-8c71-8420ad25af69","block_type":"box","text":"I-4","page_number":13,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"8953e2dd-f904-48f0-9705-ed159dbf8614","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":13,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8617892b-4e36-4f52-8e99-401b7e0eccaf","block_type":"box","text":"BlackRock","page_number":14,"box":{"x":802,"y":50,"width":63,"height":7}},{"id":"b3387678-f50c-4a57-8279-07eb02228d0c","block_type":"box","text":"Health","page_number":14,"box":{"x":815,"y":60,"width":36,"height":7}},{"id":"1e98bc7f-1b9b-48af-926f-c941c7a9660d","block_type":"box","text":"Sciences","page_number":14,"box":{"x":807,"y":70,"width":52,"height":7}},{"id":"f1837731-c50d-4968-8974-3c8fe172c638","block_type":"box","text":"Opportunities","page_number":14,"box":{"x":794,"y":80,"width":78,"height":9}},{"id":"c3a14aea-85af-4630-a6fd-06ac492f48c6","block_type":"box","text":"Portfolio","page_number":14,"box":{"x":809,"y":90,"width":49,"height":7}},{"id":"d7426385-d77f-45fe-9535-7219f9d56cd6","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes","page_number":14,"box":{"x":92,"y":109,"width":416,"height":10}},{"id":"0cbaf023-5a27-4b8d-8027-4dbe542fee0f","block_type":"box","text":"Call Rights","page_number":14,"box":{"x":93,"y":129,"width":67,"height":10}},{"id":"41670eb0-dfb9-4750-993b-a321a58c38b8","block_type":"box","text":"Municipal Interest Rate Swap Transactions","page_number":14,"box":{"x":93,"y":150,"width":272,"height":9}},{"id":"1fcabbd2-58c2-489f-bc1e-aad5a3487571","block_type":"box","text":"Insured Municipal Bonds","page_number":14,"box":{"x":93,"y":170,"width":157,"height":9}},{"id":"bfe5d7ea-47d3-4b61-9231-82b01672991f","block_type":"box","text":"Build America Bonds","page_number":14,"box":{"x":93,"y":190,"width":131,"height":8}},{"id":"150cda68-a39c-475f-98f0-899766356a8c","block_type":"box","text":"Tax-Exempt Municipal Investments","page_number":14,"box":{"x":82,"y":210,"width":219,"height":10}},{"id":"6da4fec9-8ff5-432b-9139-fb5d02ed06ac","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":210,"width":8,"height":8}},{"id":"3941c106-a20f-4b22-ad8a-06d88f0149d3","block_type":"box","text":"Operational and Technology Risks","page_number":14,"box":{"x":73,"y":230,"width":221,"height":10}},{"id":"575ae8ac-a06f-432c-9fe4-d29709d7eeb9","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":230,"width":8,"height":8}},{"id":"67fa7c02-5689-40d1-ab12-060ff9486610","block_type":"box","text":"Participation Notes","page_number":14,"box":{"x":73,"y":250,"width":127,"height":10}},{"id":"0610acea-ca65-4598-9a6f-ce0a86d6b661","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":250,"width":8,"height":8}},{"id":"28e70a8e-faff-4f76-bc83-d5f66563798d","block_type":"box","text":"Portfolio Turnover Rates","page_number":14,"box":{"x":73,"y":270,"width":159,"height":9}},{"id":"eab6b1cb-0ae9-44e3-839a-d51c0521774e","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":271,"width":8,"height":7}},{"id":"59ef53d7-9e16-46cf-92e8-5d7311beb42f","block_type":"box","text":"Preferred Stock","page_number":14,"box":{"x":73,"y":291,"width":103,"height":8}},{"id":"8e65033e-92e0-46cc-9976-d8dc7859a9a3","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":291,"width":8,"height":8}},{"id":"d8057c4d-8724-4ea5-9dae-4123d7bbd5d3","block_type":"box","text":"Tax-Exempt Preferred Shares","page_number":14,"box":{"x":82,"y":311,"width":184,"height":10}},{"id":"ae17867a-5195-4960-bfc7-dfeac64293f7","block_type":"box","text":"Trust Preferred Securities","page_number":14,"box":{"x":82,"y":331,"width":164,"height":8}},{"id":"72546646-bbf9-41e2-8747-41d8d30d2157","block_type":"box","text":"Proxy Voting Policies","page_number":14,"box":{"x":73,"y":351,"width":138,"height":10}},{"id":"ed5b928c-8735-4211-870c-d5a8304334cb","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":351,"width":8,"height":8}},{"id":"8c7d684d-1a7a-4c57-8867-c653ed181a85","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":14,"box":{"x":83,"y":371,"width":414,"height":10}},{"id":"e11014ff-7158-4e35-aba1-a4851f5be8fa","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":371,"width":8,"height":8}},{"id":"eb1aa72a-d5f8-47d2-8610-3c84cae51bc9","block_type":"box","text":"BlackRock Active Investment Stewardship Climate and Decarbonization Stewardship Guidelines","page_number":14,"box":{"x":93,"y":391,"width":610,"height":10}},{"id":"a41ec2cc-97c2-404d-863c-10d4856f2438","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":14,"box":{"x":83,"y":412,"width":233,"height":10}},{"id":"ea936360-ac08-468c-bbc9-28d2cea2128f","block_type":"box","text":"BlackRock Investment Stewardship Climate and Decarbonization Stewardship Guidelines","page_number":14,"box":{"x":93,"y":432,"width":567,"height":10}},{"id":"598c8129-9407-4b7b-b924-0177b07f6cc7","block_type":"box","text":"Real Estate Investment Trusts (“REITs”)","page_number":14,"box":{"x":73,"y":452,"width":265,"height":10}},{"id":"3905c1a6-7417-4431-9bd2-7cbca7263464","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":452,"width":8,"height":8}},{"id":"dc4c2839-1e28-479b-be06-a7d516d0ab7c","block_type":"box","text":"Reference Rate Replacement Risk","page_number":14,"box":{"x":73,"y":472,"width":226,"height":10}},{"id":"7093f7ea-4cac-4de0-a98d-3df32c441b54","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":472,"width":8,"height":8}},{"id":"e383a582-7373-4a2b-b747-4df33cdaf4a3","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts","page_number":14,"box":{"x":73,"y":492,"width":385,"height":10}},{"id":"e6148fa1-ea39-4893-965a-610b2730f5c0","block_type":"box","text":"Restricted Securities","page_number":14,"box":{"x":73,"y":512,"width":138,"height":8}},{"id":"3c32cdab-4180-461f-9087-c375e35947b2","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":513,"width":8,"height":7}},{"id":"17b19958-8c2a-4539-bb95-7e120a823ff8","block_type":"box","text":"Reverse Repurchase Agreements","page_number":14,"box":{"x":73,"y":533,"width":218,"height":9}},{"id":"dc3aecfe-fe05-410c-aeea-acd71fa7f729","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":533,"width":8,"height":7}},{"id":"67eb65c4-cbe8-494f-b416-653c0b508929","block_type":"box","text":"Rights Offerings and Warrants to Purchase","page_number":14,"box":{"x":73,"y":553,"width":281,"height":10}},{"id":"db0c1eb7-5577-448c-a67a-aad6eb851657","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":553,"width":8,"height":8}},{"id":"150b7cb4-69c9-4a99-b78e-46805f34cd0e","block_type":"box","text":"Rule 144A Securities","page_number":14,"box":{"x":73,"y":573,"width":139,"height":8}},{"id":"e73aff49-ccee-46da-b25e-bfe49a6367e2","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":573,"width":8,"height":8}},{"id":"0d5e8ff4-45f2-4283-8498-8aaeeb991c30","block_type":"box","text":"Securities Lending","page_number":14,"box":{"x":72,"y":593,"width":122,"height":10}},{"id":"114d99c5-ecf7-4ff6-ad49-2dcffe6e32f0","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":593,"width":8,"height":8}},{"id":"a9921f98-eb62-4dc3-bad7-dc53ce66c9ef","block_type":"box","text":"Short Sales","page_number":14,"box":{"x":72,"y":613,"width":76,"height":8}},{"id":"65e2aa60-fbf6-4663-804e-074f683f1873","block_type":"box","text":"Special Purpose Acquisition Companies","page_number":14,"box":{"x":72,"y":633,"width":260,"height":10}},{"id":"3ef5a81c-23fa-4a86-a2d8-4f4628f35329","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":633,"width":8,"height":8}},{"id":"da4abdba-eac7-467c-8f54-5319400d1ad3","block_type":"box","text":"Standby Commitment Agreements","page_number":14,"box":{"x":72,"y":654,"width":226,"height":9}},{"id":"756be27d-77d4-40bd-aa2f-a72df7a167f1","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":654,"width":8,"height":7}},{"id":"40654744-5ff3-4cb5-9d82-ad5e7c1401ee","block_type":"box","text":"Stripped Securities","page_number":14,"box":{"x":72,"y":674,"width":125,"height":9}},{"id":"bc44f919-4380-46e3-b5ab-f2bc5a23c879","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":674,"width":8,"height":8}},{"id":"fdb4c328-10de-4787-8dbf-d529187e10f5","block_type":"box","text":"Structured Notes","page_number":14,"box":{"x":72,"y":694,"width":113,"height":8}},{"id":"55ff0e7a-c557-4c3f-ba15-d6379e6fa36b","block_type":"box","text":"Taxability Risk","page_number":14,"box":{"x":73,"y":714,"width":95,"height":10}},{"id":"dab87a8d-b439-4348-86f8-dfc47df6b59e","block_type":"box","text":"Temporary Defensive Measures","page_number":14,"box":{"x":73,"y":734,"width":204,"height":10}},{"id":"52e4fa25-d9dd-45dc-a2b3-fb4748a07317","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":734,"width":8,"height":8}},{"id":"befa2bdf-e3d6-4df1-ac35-8eca0ac84136","block_type":"box","text":"U.S. Government Obligations","page_number":14,"box":{"x":73,"y":754,"width":188,"height":10}},{"id":"9fab8533-ae94-4fcd-8ede-e4fee2b8a0c4","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":754,"width":8,"height":8}},{"id":"e5d3d11b-16f2-4504-b040-0f4b17c0f464","block_type":"box","text":"U.S. Treasury Obligations","page_number":14,"box":{"x":83,"y":774,"width":161,"height":11}},{"id":"e87069e1-12ab-4d45-b0f0-0b400607d460","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":775,"width":8,"height":7}},{"id":"b8be5ba5-8aef-4a5b-916c-d77f5d80ef33","block_type":"box","text":"U.S. Treasury Rolls","page_number":14,"box":{"x":73,"y":795,"width":124,"height":9}},{"id":"327a2858-3ca5-4c85-9cb4-c61ec4ae5f24","block_type":"box","text":"Utility Industries","page_number":14,"box":{"x":73,"y":815,"width":108,"height":10}},{"id":"0521cd5d-814b-4f07-8907-100ec30b8e28","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":815,"width":8,"height":8}},{"id":"4fb4c974-8097-432b-bb99-c85542c05838","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments","page_number":14,"box":{"x":72,"y":835,"width":524,"height":10}},{"id":"919e1556-1f49-4cbc-8ab6-6a0f3cfd37ba","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":835,"width":8,"height":8}},{"id":"08c2d0b9-9df0-43db-992e-9fa69c70979c","block_type":"box","text":"Yields and Ratings","page_number":14,"box":{"x":72,"y":855,"width":123,"height":10}},{"id":"3e7ec210-2e25-484a-a7df-3a301d71bfe0","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":855,"width":8,"height":8}},{"id":"6285c5eb-2ec4-412e-8c83-2c0c9c756335","block_type":"box","text":"Zero Coupon Securities","page_number":14,"box":{"x":73,"y":875,"width":154,"height":10}},{"id":"bcb93011-58dd-491c-b5a7-f22463583f66","block_type":"box","text":"X","page_number":14,"box":{"x":829,"y":875,"width":8,"height":8}},{"id":"8967289e-6dec-4f2d-b1a1-98a40bc1f234","block_type":"box","text":"1","page_number":14,"box":{"x":69,"y":900,"width":3,"height":3}},{"id":"aebcd0bd-6e91-468e-bd7c-ae26abd52553","block_type":"box","text":"Fund may purchase (but not write) currency options.","page_number":14,"box":{"x":77,"y":900,"width":292,"height":8}},{"id":"e008cfd5-294e-44bc-a20c-1364a75350e5","block_type":"box","text":"I-5","page_number":14,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"31025d4c-91e8-419e-9a1a-69aaa48e63b8","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":14,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"465fe173-0538-4e1f-9b47-2c56d756920d","block_type":"box","text":"Regulation Regarding Derivatives.","page_number":15,"box":{"x":102,"y":45,"width":246,"height":11}},{"id":"f203e1b2-113c-43f1-94b1-50464bd0d1b4","block_type":"box","text":"The Commodity Futures Trading Commission (“CFTC”) subjects advisers to","page_number":15,"box":{"x":355,"y":45,"width":530,"height":11}},{"id":"39715443-a159-4526-b666-03c8c0341b15","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":15,"box":{"x":69,"y":60,"width":828,"height":11}},{"id":"56a0df18-ad46-47a3-a9b3-badf68d0a54b","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":15,"box":{"x":69,"y":75,"width":837,"height":11}},{"id":"81bf18b7-cfb5-4992-a4c6-6884613107e1","block_type":"box","text":"and swaps (“CFTC Derivatives”), or (ii) markets itself as providing investment exposure to such instruments.","page_number":15,"box":{"x":69,"y":90,"width":770,"height":11}},{"id":"c5637193-bfb7-4167-8063-b022268c0ee2","block_type":"box","text":"To the extent the Fund uses CFTC Derivatives, it intends to do so below such prescribed levels and will not market","page_number":15,"box":{"x":68,"y":105,"width":815,"height":11}},{"id":"0edc4453-765a-4dd2-85bc-f694e4339df6","block_type":"box","text":"itself as a “commodity pool” or a vehicle for trading such instruments. Accordingly, BlackRock has claimed an","page_number":15,"box":{"x":70,"y":120,"width":780,"height":12}},{"id":"f184bfa7-7dc6-4bfc-be0a-7af16cba74da","block_type":"box","text":"exclusion from the definition of the term “commodity pool operator” under the Commodity Exchange Act (“CEA”)","page_number":15,"box":{"x":69,"y":135,"width":796,"height":12}},{"id":"a988fa70-3e8b-4f20-9270-22e9e745eee6","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":15,"box":{"x":70,"y":150,"width":751,"height":12}},{"id":"a1f50153-76f7-401a-9240-75656a1eb30c","block_type":"box","text":"“commodity pool operator” under the CEA in respect of the Fund.","page_number":15,"box":{"x":70,"y":166,"width":461,"height":11}},{"id":"a7666d13-dab9-42ee-b6f0-65ee261e1266","block_type":"box","text":"II. Investment Restrictions","page_number":15,"box":{"x":69,"y":196,"width":194,"height":9}},{"id":"d485f019-179b-4a61-818d-b384b03dabd2","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":218,"width":800,"height":12}},{"id":"5b7892b6-3991-4771-94b0-b64cd7d08943","block_type":"box","text":"Cer tain of the restrictions are fundamental policies of the Fund and may not be changed without the approval of the","page_number":15,"box":{"x":69,"y":234,"width":825,"height":11}},{"id":"61dd7058-e422-4cda-8530-962aab3fa2da","block_type":"box","text":"holders of a majority of the Fund’s outstanding voting securities (which for this purpose and under the Investment","page_number":15,"box":{"x":69,"y":249,"width":809,"height":11}},{"id":"9a662f67-94be-48cb-b952-896154b1f171","block_type":"box","text":"Company Act, means the lesser of (i) 67% of the shares represented at a meeting at which more than 50% of the","page_number":15,"box":{"x":69,"y":264,"width":808,"height":11}},{"id":"eb498461-dae8-4552-bda1-702cce375cb8","block_type":"box","text":"outstanding shares are represented or (ii) more than 50% of the outstanding shares).","page_number":15,"box":{"x":69,"y":279,"width":608,"height":11}},{"id":"76174378-c490-495f-a9bd-cd016b154c45","block_type":"box","text":"The Fund may not borrow money or issue senior securities, except that the Fund may borrow from banks and","page_number":15,"box":{"x":101,"y":302,"width":776,"height":11}},{"id":"4b9c357a-4cae-4231-93e9-b3445eaa9745","block_type":"box","text":"enter into reverse repurchase agreements for temporary purposes in amounts up to one-third of the value of its total","page_number":15,"box":{"x":69,"y":317,"width":831,"height":11}},{"id":"57d092c6-f812-416d-bafa-c46d6c1060cb","block_type":"box","text":"assets at the time of such borrowing; or mor tgage, pledge or hypothecate any assets, except in connection with any","page_number":15,"box":{"x":69,"y":332,"width":828,"height":11}},{"id":"e20966ba-a52c-474a-98a6-c2fae9bc6162","block_type":"box","text":"such borrowing and then in amounts not in excess of one-third of the value of the Fund’s total assets at the time of","page_number":15,"box":{"x":69,"y":347,"width":825,"height":11}},{"id":"cdfca072-8976-4ab1-8e16-37739474be95","block_type":"box","text":"such borrowing. The Fund will not purchase securities while its aggregate borrowings (including reverse repurchase","page_number":15,"box":{"x":69,"y":362,"width":818,"height":11}},{"id":"475fa934-28a6-47f8-aa31-6e4d6e59c8d0","block_type":"box","text":"agreements and borrowings from banks) in excess of 5% of its total assets are outstanding. Securities held in","page_number":15,"box":{"x":69,"y":377,"width":785,"height":12}},{"id":"9a3cb33d-81f1-42a5-a923-05471af678e1","block_type":"box","text":"escrow or separate accounts in connection with the Fund’s investment practices are not deemed to be pledged for","page_number":15,"box":{"x":69,"y":392,"width":817,"height":12}},{"id":"bc7c5474-d268-42c4-8e5a-258e8daf696f","block_type":"box","text":"purposes of this limitation.","page_number":15,"box":{"x":70,"y":407,"width":189,"height":11}},{"id":"05016288-0ca5-491d-b6a4-8df127ddc8ce","block_type":"box","text":"The Fund may not:","page_number":15,"box":{"x":101,"y":430,"width":130,"height":11}},{"id":"965570d7-72b2-41fe-9eb0-92ffa0e3eca7","block_type":"box","text":"1. Purchase any securities which would cause 25% or more of the value of the Fund’s total assets at the","page_number":15,"box":{"x":135,"y":453,"width":746,"height":11}},{"id":"009183b1-6fb6-4f03-8272-8b0b3b3df40b","block_type":"box","text":"time of purchase to be invested in the securities of one or more issuers conducting their principal business","page_number":15,"box":{"x":101,"y":468,"width":766,"height":11}},{"id":"9909cdc8-bba2-4566-b18a-84637fd6c33b","block_type":"box","text":"activities in the same industry, provided that (a) there is no limitation with respect to (i) instruments issued or","page_number":15,"box":{"x":102,"y":483,"width":784,"height":11}},{"id":"4c06063d-e743-48c8-9fe5-3fdddd138ae8","block_type":"box","text":"guaranteed by the United States and tax exempt instruments issued by any state, territory or possession of the","page_number":15,"box":{"x":101,"y":498,"width":797,"height":11}},{"id":"7ed6d2e9-2ef9-4eab-83d0-edc04efc4d45","block_type":"box","text":"United States, the District of Columbia or any of their authorities, agencies, instrumentalities or political","page_number":15,"box":{"x":102,"y":513,"width":740,"height":12}},{"id":"c7f0f870-80fe-41c9-9d9a-35b9f70d4a70","block_type":"box","text":"subdivisions, and (ii) repurchase agreements secured by the instruments described in clause (i); (b) wholly","page_number":15,"box":{"x":102,"y":529,"width":763,"height":11}},{"id":"1e992e00-8a47-4adc-89f0-71a3cd93452f","block_type":"box","text":"owned finance companies will be considered to be in the industries of their parents if their activities are primarily","page_number":15,"box":{"x":102,"y":543,"width":806,"height":12}},{"id":"b9db3f0d-5901-4b67-932d-48883fedf516","block_type":"box","text":"related to financing the activities of the parents; (c) utilities will be divided according to their services; for","page_number":15,"box":{"x":102,"y":559,"width":750,"height":11}},{"id":"93497513-a971-4a74-8a9d-cb5ba8b82cc3","block_type":"box","text":"example, gas, gas transmission, electric and gas, electric and telephone will each be considered a separate","page_number":15,"box":{"x":101,"y":574,"width":772,"height":11}},{"id":"a60ee64a-e9f3-4512-8ebd-6effc550d46c","block_type":"box","text":"industry; and (d) the Fund will cause 25% or more of its total assets at the time of purchase to be invested in","page_number":15,"box":{"x":102,"y":589,"width":780,"height":11}},{"id":"f807a19d-4a8c-4c68-a865-4d3cf2520f07","block_type":"box","text":"the securities of one or more issuers conducting their principal business activities in health sciences or related","page_number":15,"box":{"x":101,"y":604,"width":793,"height":11}},{"id":"3fb59689-7501-4907-886e-e02872603b0d","block_type":"box","text":"industries as described in the prospectuses.","page_number":15,"box":{"x":102,"y":619,"width":316,"height":11}},{"id":"1b1f0ccc-b74f-4000-8807-b88877441245","block_type":"box","text":"2. Purchase or sell real estate, except that the Fund may purchase securities of issuers which deal in real","page_number":15,"box":{"x":134,"y":642,"width":755,"height":11}},{"id":"358c70d3-50a8-4578-905a-0bfc6468ab0b","block_type":"box","text":"estate and may purchase securities which are secured by interests in real estate.","page_number":15,"box":{"x":101,"y":657,"width":582,"height":11}},{"id":"3ca55d68-7706-4002-af8c-6f2b701321eb","block_type":"box","text":"3. Acquire any other investment company or investment company security except in connection with a","page_number":15,"box":{"x":134,"y":680,"width":723,"height":11}},{"id":"3afeb7d8-076d-442c-835e-03c5f31c254e","block_type":"box","text":"merger, consolidation, reorganization or acquisition of assets or where otherwise permitted by the Investment","page_number":15,"box":{"x":102,"y":695,"width":784,"height":11}},{"id":"39a93ebc-2e91-4f9a-89e0-e0ddc01d2d15","block_type":"box","text":"Company Act.","page_number":15,"box":{"x":102,"y":710,"width":95,"height":11}},{"id":"4eeae8f5-cca7-4345-a1a8-6cc011aa52c9","block_type":"box","text":"4. Act as an underwriter of securities within the meaning of the Securities Act of 1933, as amended, except","page_number":15,"box":{"x":134,"y":732,"width":771,"height":12}},{"id":"d8433a84-d5f7-44d4-ab83-ee935b92a25a","block_type":"box","text":"to the extent that the purchase of obligations directly from the issuer thereof, or the disposition of securities, in","page_number":15,"box":{"x":101,"y":748,"width":797,"height":11}},{"id":"4b9fabfc-195f-449c-9758-909909ed8359","block_type":"box","text":"accordance with the Fund’s investment objective, policies and limitations may be deemed to be underwriting.","page_number":15,"box":{"x":102,"y":763,"width":777,"height":11}},{"id":"19013e99-258c-4e55-8243-dff12330be6e","block_type":"box","text":"5. Write or sell put options, call options, straddles, spreads, or any combination thereof, except for","page_number":15,"box":{"x":134,"y":785,"width":706,"height":12}},{"id":"98cea8e9-28c4-4370-aa70-92e028d2b2c3","block_type":"box","text":"transactions in options on securities and securities indices, futures contracts and options on futures contracts","page_number":15,"box":{"x":101,"y":801,"width":790,"height":11}},{"id":"33b9a793-10bd-4974-9080-4e9200ef840a","block_type":"box","text":"and currencies.","page_number":15,"box":{"x":102,"y":816,"width":108,"height":9}},{"id":"9a4e75b8-0719-4347-915c-00a6bc4031ba","block_type":"box","text":"6. Purchase securities of companies for the purpose of exercising control.","page_number":15,"box":{"x":134,"y":838,"width":527,"height":12}},{"id":"cefa572d-9f8d-4e1f-9e56-cf1cdad738aa","block_type":"box","text":"7. Purchase securities on margin, make shor t sales of securities or maintain a shor t position, except that","page_number":15,"box":{"x":135,"y":861,"width":756,"height":11}},{"id":"969bd081-c3e0-48b1-93f8-739e3f59565d","block_type":"box","text":"(a) this investment limitation shall not apply to the Fund’s transactions in futures contracts and related options","page_number":15,"box":{"x":102,"y":876,"width":791,"height":11}},{"id":"edc613af-1a4d-43d3-a501-e81b7bdc4e04","block_type":"box","text":"or the Fund’s sale of securities shor t against the box, and (b) the Fund may obtain shor t-term credit as may be","page_number":15,"box":{"x":102,"y":891,"width":790,"height":12}},{"id":"dcb65ffe-704b-4874-a92c-b98b39c7e3cb","block_type":"box","text":"necessary for the clearance of purchases and sales of por tfolio securities.","page_number":15,"box":{"x":102,"y":906,"width":531,"height":12}},{"id":"d50ba629-0e2c-4293-a250-d8f617b68ef3","block_type":"box","text":"I-6","page_number":15,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"93499a31-b7c2-4764-a744-1e33a64a3004","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":15,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"febb7e14-4d06-4a08-82af-03001168da13","block_type":"box","text":"8. Purchase or sell commodity contracts, or invest in oil, gas or mineral exploration or development","page_number":16,"box":{"x":134,"y":45,"width":707,"height":11}},{"id":"03d3f487-f1d8-4dc8-b509-b5bdf5fc5b09","block_type":"box","text":"programs, except that the Fund may, to the extent appropriate to its investment policies, purchase securities of","page_number":16,"box":{"x":102,"y":60,"width":795,"height":11}},{"id":"3e57f58f-e919-4736-b4e6-8a83ed21c099","block_type":"box","text":"companies engaging in whole or in par t in such activities and may enter into futures contracts and related","page_number":16,"box":{"x":101,"y":75,"width":755,"height":11}},{"id":"85ba6c74-ee7c-40bc-9a3e-9e17b7ee4f2e","block_type":"box","text":"options.","page_number":16,"box":{"x":102,"y":90,"width":55,"height":11}},{"id":"59d94f67-966b-49a5-ae23-6f346d7e24d0","block_type":"box","text":"9. Make loans, except that the Fund may purchase and hold debt instruments and enter into repurchase","page_number":16,"box":{"x":134,"y":113,"width":745,"height":11}},{"id":"d1d2dc6a-0fe5-4d58-91c4-c81c938c9fb0","block_type":"box","text":"agreements in accordance with its investment objective and policies and may lend por tfolio securities.","page_number":16,"box":{"x":102,"y":128,"width":729,"height":11}},{"id":"ba2ddd38-7be5-48cc-87c0-c4cf746d079f","block_type":"box","text":"10. Purchase or sell commodities except that the Fund may, to the extent appropriate to its investment","page_number":16,"box":{"x":135,"y":151,"width":735,"height":11}},{"id":"a2432a8c-7a33-4bd2-840a-a1e8b21c0ee6","block_type":"box","text":"policies, purchase securities of companies engaging in whole or in par t in such activities, may engage in","page_number":16,"box":{"x":102,"y":166,"width":744,"height":11}},{"id":"6a4d1338-3305-403c-8614-49cabbb3b6ba","block_type":"box","text":"currency transactions and may enter into futures contracts and related options.","page_number":16,"box":{"x":101,"y":181,"width":565,"height":11}},{"id":"97b34351-cdbd-4f66-b15a-b58c9b6078f0","block_type":"box","text":"Notations Regarding the Fund’s Fundamental Investment Restrictions","page_number":16,"box":{"x":102,"y":204,"width":494,"height":11}},{"id":"3aecbf98-0fb0-4361-9e54-f947122d8bfe","block_type":"box","text":"The following notations are not considered to be par t of the Fund’s fundamental investment restrictions and are","page_number":16,"box":{"x":101,"y":226,"width":799,"height":11}},{"id":"702a9f53-a537-4370-89ea-7ef43d287630","block_type":"box","text":"subject to change without shareholder approval.","page_number":16,"box":{"x":69,"y":241,"width":341,"height":11}},{"id":"e846524f-92bb-45ff-afac-25f8f537da8d","block_type":"box","text":"For purposes of investment restriction no. 1 above, with respect to the Fund’s industry classifications, the Fund","page_number":16,"box":{"x":102,"y":264,"width":796,"height":11}},{"id":"8b31b9f4-1f8d-4451-8e3f-d3c098479d83","block_type":"box","text":"currently utilizes any one or more of the industry sub-classifications used by one or more widely recognized market","page_number":16,"box":{"x":69,"y":279,"width":817,"height":11}},{"id":"09239c7e-f59f-4f2b-892f-9b6e7debf06a","block_type":"box","text":"indexes or rating group indexes, and/or as defined by Fund management. The policy also will be interpreted to give","page_number":16,"box":{"x":70,"y":294,"width":817,"height":11}},{"id":"9ec4a88f-c27a-4b7b-9ae5-df028d0e080c","block_type":"box","text":"broad authority to the Fund as to how to classify issuers within or among industries.","page_number":16,"box":{"x":69,"y":309,"width":597,"height":11}},{"id":"9bca5739-d882-4cd7-b28b-ba0e5f6ede16","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":332,"width":795,"height":11}},{"id":"44fe53a5-02ee-41f1-b0b2-9cb956c95ea0","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":347,"width":832,"height":11}},{"id":"200d31d2-5be2-4231-a30a-698a72615ec9","block_type":"box","text":"cer tain temporary borrowings) unless immediately after the issuance the Fund has satisfied an asset coverage","page_number":16,"box":{"x":69,"y":362,"width":790,"height":11}},{"id":"e0e837a0-514a-4c55-846d-29e0d20a05c9","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":377,"width":828,"height":12}},{"id":"6f5a338e-8edb-4f49-bea8-08f3bc404f7b","block_type":"box","text":"Cer tain trading practices and investments, such as derivatives transactions, may be treated as senior securities.","page_number":16,"box":{"x":69,"y":392,"width":805,"height":12}},{"id":"4374d4b3-dcad-4ed8-ab18-b78fbb5df0da","block_type":"box","text":"Prior to the adoption and implementation of Rule 18f-4 under the Investment Company Act, when the Fund/Por tfolio","page_number":16,"box":{"x":69,"y":407,"width":826,"height":12}},{"id":"bab84d90-8005-4e7a-bdec-9919510735d0","block_type":"box","text":"engaged in a derivatives transaction that creates future payment obligations, consistent with SEC staff guidance and","page_number":16,"box":{"x":69,"y":423,"width":832,"height":11}},{"id":"3d0c9605-f2fc-43a1-b29d-92b0df2f5dba","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":438,"width":830,"height":11}},{"id":"a848a9d4-d473-4174-8f1a-f437cd22b66b","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":453,"width":823,"height":11}},{"id":"832813b4-2b63-4ae4-9b63-4fec0d1fb109","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":468,"width":840,"height":11}},{"id":"b86683f3-1df9-4a7c-9fa6-b1a90f515b98","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":483,"width":817,"height":11}},{"id":"6a81faec-6821-4575-a97c-66830bcc3e5b","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":498,"width":831,"height":11}},{"id":"bbee3147-309c-411c-a060-0aab29366802","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":513,"width":836,"height":12}},{"id":"7eb6b7c9-b74e-4874-ba97-b47d4149b676","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":528,"width":724,"height":12}},{"id":"3f46a060-69a6-44e2-affc-d55b1de961ba","block_type":"box","text":"While cer tain swaps are now considered commodity interests for purposes of the Commodity Exchange Act and","page_number":16,"box":{"x":101,"y":551,"width":793,"height":11}},{"id":"988421c6-f011-4d7b-92b2-8882c7fb6948","block_type":"box","text":"the rules thereunder, at the time of the Fund’s adoption of fundamental investment restrictions no. 5, 8 and 10","page_number":16,"box":{"x":68,"y":566,"width":796,"height":11}},{"id":"0119581d-2ab4-42d8-8042-ddefd09530cd","block_type":"box","text":"above, many swaps were treated as securities for purposes of the Fund’s compliance with applicable law.","page_number":16,"box":{"x":69,"y":581,"width":752,"height":11}},{"id":"ae4bd0af-f7ad-4891-a9c2-a8e984391808","block_type":"box","text":"Accordingly, fundamental investment restriction no. 5, which does not restrict transactions in options on securities","page_number":16,"box":{"x":68,"y":596,"width":817,"height":12}},{"id":"1fb06d4c-f081-4c49-8b29-36445f115b9e","block_type":"box","text":"and securities indices, and fundamental restrictions no. 8 and 10 are being interpreted to permit the Fund to engage","page_number":16,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"9f7b8976-2a90-4fbe-982b-56b2fda9df5a","block_type":"box","text":"in transactions in swaps and options on swaps, as applicable, related to financial instruments, such as securities,","page_number":16,"box":{"x":70,"y":627,"width":815,"height":11}},{"id":"8e0e3e8a-23b7-4d60-8a05-431c11c6f3cf","block_type":"box","text":"securities indices and currencies, but not to engage in transactions in swaps or options on swaps related to physical","page_number":16,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"d6ff8096-4b8d-4ef6-a105-8d34a49dcbe3","block_type":"box","text":"commodities, such as oil or metals.","page_number":16,"box":{"x":69,"y":657,"width":254,"height":10}},{"id":"7c7618c9-15bd-419a-800a-8469f051d18b","block_type":"box","text":"Under its non-fundamental investment restriction, which may be changed by the Board without shareholder","page_number":16,"box":{"x":102,"y":680,"width":760,"height":11}},{"id":"80fb5f4b-79d9-451b-8515-64482cb1c77d","block_type":"box","text":"approval, the Fund may not:","page_number":16,"box":{"x":69,"y":695,"width":197,"height":11}},{"id":"8b33f7f3-df09-4d72-a2e6-ff178ed91c19","block_type":"box","text":"a. Purchase securities of other investment companies, except to the extent permitted by the Investment","page_number":16,"box":{"x":102,"y":717,"width":742,"height":12}},{"id":"1c79bbc3-a695-4ed2-a7c3-87bef1a8a364","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":16,"box":{"x":69,"y":732,"width":759,"height":12}},{"id":"4a5ba8b0-5f1f-4e0d-b5f2-686ff4686952","block_type":"box","text":"investment company or registered unit investment trust, in reliance on Section 12(d)(1)(F) or (G) (the “fund of funds”","page_number":16,"box":{"x":70,"y":748,"width":829,"height":11}},{"id":"409f5772-c526-44d3-b224-36809101706f","block_type":"box","text":"provisions) of the Investment Company Act, at any time the Fund has knowledge that its shares are purchased by","page_number":16,"box":{"x":70,"y":763,"width":808,"height":11}},{"id":"e12298ab-5151-413b-9d1a-b658c927e77c","block_type":"box","text":"another investment company investor in reliance on the provisions of subparagraph (G) of Section 12(d)(1).","page_number":16,"box":{"x":69,"y":778,"width":763,"height":11}},{"id":"769fb843-0a2d-4eca-ad4a-a788d1bf9ab3","block_type":"box","text":"Unless otherwise indicated or with respect to policies adopted pursuant to Rule 35d-1 under the Investment","page_number":16,"box":{"x":102,"y":801,"width":771,"height":11}},{"id":"05c43303-ab6b-4451-828d-2103c6522fc0","block_type":"box","text":"Company Act, all limitations under the Fund’s fundamental and non-fundamental investment restrictions apply only at","page_number":16,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"ddc186c9-10b5-4556-9ee1-8b5a42d698c5","block_type":"box","text":"the time that a transaction is under taken. Any change in the percentage of the Fund’s assets invested in cer tain","page_number":16,"box":{"x":68,"y":831,"width":803,"height":11}},{"id":"57157f9d-924e-462a-8a3b-fff939ec3a64","block_type":"box","text":"securities or other instruments resulting from market fluctuations or other changes in the Fund’s total assets will not","page_number":16,"box":{"x":69,"y":846,"width":835,"height":11}},{"id":"435e1df7-9d63-4def-b85a-263e856a1f30","block_type":"box","text":"require the Fund to dispose of an investment until BlackRock determines that it is practicable to sell or close out the","page_number":16,"box":{"x":69,"y":861,"width":833,"height":11}},{"id":"4f99a946-3847-494f-9655-104cfe20c178","block_type":"box","text":"investment without undue market or tax consequences.","page_number":16,"box":{"x":70,"y":876,"width":393,"height":11}},{"id":"fcdf73cf-26bd-4ab6-9bb0-c1454adbf67c","block_type":"box","text":"I-7","page_number":16,"box":{"x":481,"y":943,"width":16,"height":9}},{"id":"5ebe9694-6649-483c-ae98-123b01fcb425","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":16,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"72c1e331-af9f-46a6-84ab-05e5c5ba2972","block_type":"box","text":"The Fund is currently classified as a diversified fund under the Investment Company Act. This means that the","page_number":17,"box":{"x":101,"y":45,"width":777,"height":11}},{"id":"836bf15b-ab07-49fa-87fb-eeec71882ab2","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":17,"box":{"x":70,"y":60,"width":751,"height":11}},{"id":"11cd5743-495b-41fe-a734-7f4151c3e944","block_type":"box","text":"government, its agencies or instrumentalities and (ii) securities of other investment companies) if, with respect to","page_number":17,"box":{"x":68,"y":75,"width":812,"height":11}},{"id":"d1ca23ab-4b3e-453f-95a4-339b5b6883f9","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":17,"box":{"x":69,"y":90,"width":827,"height":11}},{"id":"d822af8e-18e3-42f0-8d56-4be78278ef9e","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":17,"box":{"x":69,"y":105,"width":781,"height":11}},{"id":"e3437b15-e268-453a-9042-9888192f8dd9","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":17,"box":{"x":69,"y":120,"width":759,"height":12}},{"id":"7e62f443-91f5-436a-8e08-bf0aa0eb1291","block_type":"box","text":"Investment Company Act, the Fund cannot change its classification from diversified to non-diversified without","page_number":17,"box":{"x":70,"y":135,"width":774,"height":12}},{"id":"42cceeb0-4a82-44e9-b9b3-6de9da7cc497","block_type":"box","text":"shareholder approval.","page_number":17,"box":{"x":69,"y":151,"width":153,"height":10}},{"id":"8520e491-0da1-4fc3-87b0-b8dde34ff33a","block_type":"box","text":"III. Information on Trustees and Officers","page_number":17,"box":{"x":69,"y":181,"width":290,"height":9}},{"id":"4732ee46-8827-4299-a86e-17b71c269152","block_type":"box","text":"The Board consists of fifteen individuals (each, a “Trustee”), thir teen of whom are not “interested persons” of","page_number":17,"box":{"x":101,"y":203,"width":788,"height":11}},{"id":"7a9bc805-ad1f-4dbe-9be6-466cc542b5c7","block_type":"box","text":"the Trust as defined in the Investment Company Act (the “Independent Trustees”). The registered investment","page_number":17,"box":{"x":68,"y":218,"width":779,"height":12}},{"id":"5a4acb1f-586c-428c-849f-950ba8356eeb","block_type":"box","text":"companies advised by the Manager or its affiliates (the “BlackRock-advised Funds”) are organized into the BlackRock","page_number":17,"box":{"x":69,"y":234,"width":837,"height":11}},{"id":"5858325d-919d-4325-a0fa-e906f991dd02","block_type":"box","text":"Multi-Asset Complex, the BlackRock Fixed-Income Complex, and the iShares Complex (each, a “BlackRock Fund","page_number":17,"box":{"x":70,"y":249,"width":793,"height":11}},{"id":"77df0051-92f4-4316-84b0-14587b5d2929","block_type":"box","text":"Complex”). The Trust is included in the BlackRock Fund Complex referred to as the BlackRock Multi-Asset Complex.","page_number":17,"box":{"x":69,"y":264,"width":822,"height":11}},{"id":"c3cb1921-dd5f-4aaa-bddf-1ace051ba4ba","block_type":"box","text":"The Trustees also oversee as board members the operations of the other open-end registered investment companies","page_number":17,"box":{"x":68,"y":279,"width":837,"height":11}},{"id":"aeaf99ba-0926-423c-8b6f-cd2e8048a83c","block_type":"box","text":"included in the BlackRock Multi-Asset Complex.","page_number":17,"box":{"x":70,"y":294,"width":335,"height":11}},{"id":"4fac8b18-73f5-4d25-b1b7-f30fbaaadcaf","block_type":"box","text":"The Board has overall responsibility for the oversight of the Trust and the Fund. The Chair of the Board is an","page_number":17,"box":{"x":101,"y":317,"width":769,"height":11}},{"id":"4c6c2a8b-8ce0-470d-abb1-cecc49260e19","block_type":"box","text":"Independent Trustee, and the Chair of each Board committee (each, a “Committee”) is an Independent Trustee. The","page_number":17,"box":{"x":70,"y":332,"width":827,"height":11}},{"id":"35026457-101a-4a74-8155-3352454929ad","block_type":"box","text":"Board has five standing Committees: an Audit Committee, a Governance and Nominating Committee, a Compliance","page_number":17,"box":{"x":70,"y":347,"width":821,"height":11}},{"id":"29232248-3b89-4a1e-90a8-c53280728371","block_type":"box","text":"Committee, a Per formance Oversight Committee and an Ad Hoc Topics Committee. The role of the Chair of the Board","page_number":17,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"4034454b-7ee1-4936-a963-d4023a14e193","block_type":"box","text":"is to preside at all meetings of the Board and to act as a liaison with service providers, officers, attorneys and other","page_number":17,"box":{"x":70,"y":377,"width":830,"height":12}},{"id":"50f0d05c-1202-4402-8fb0-595de6c46cf0","block_type":"box","text":"Trustees generally between meetings. The Chair of each Committee per forms a similar role with respect to the","page_number":17,"box":{"x":68,"y":392,"width":789,"height":12}},{"id":"c267897a-aa74-4dde-ad4d-e45c3ec40d33","block_type":"box","text":"Committee. The Chair of the Board or the Chair of a Committee may also per form such other functions as may be","page_number":17,"box":{"x":69,"y":407,"width":810,"height":12}},{"id":"5d459f32-f464-4738-9c8a-390d6f265ab2","block_type":"box","text":"delegated by the Board or the Committee from time to time. The Independent Trustees meet regularly outside the","page_number":17,"box":{"x":69,"y":423,"width":809,"height":11}},{"id":"0cb6b640-980d-4fcc-bdeb-273957eb35e7","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":438,"width":794,"height":11}},{"id":"cc53aeea-8339-44e0-8606-1e7eada43e2a","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":453,"width":816,"height":11}},{"id":"598b19af-3f87-419f-b969-730fbf9b6dfd","block_type":"box","text":"Committee meets regularly to conduct the oversight functions delegated to that Committee by the Board and repor ts","page_number":17,"box":{"x":69,"y":468,"width":831,"height":11}},{"id":"e71a4c95-630a-4f97-a463-3eed4a7bafc2","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":483,"width":811,"height":11}},{"id":"8e5e757f-c81a-4c25-ba44-758a8440dd31","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":498,"width":809,"height":11}},{"id":"883747f2-b973-4c23-af30-52c83b92e3d0","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":513,"width":825,"height":12}},{"id":"645d9375-a272-4e47-b7aa-67e68436bfef","block_type":"box","text":"Committees and the full Board to enhance effective oversight.","page_number":17,"box":{"x":69,"y":528,"width":441,"height":12}},{"id":"4aadbe85-cda3-47d8-9b12-dd7e45367130","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":551,"width":777,"height":11}},{"id":"4f040642-fa0c-44f1-9205-ff2a91c29dc6","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":566,"width":832,"height":11}},{"id":"152b6c3f-6dfe-484a-bf38-2889ea6b7745","block_type":"box","text":"the provisions of the Investment Company Act, state law, other applicable laws, the Trust’s char ter, and the Fund’s","page_number":17,"box":{"x":68,"y":581,"width":820,"height":11}},{"id":"f1b16fc5-ceda-4e5c-8da0-a5a98483f8e8","block_type":"box","text":"investment objective and strategies. The Board reviews, on an ongoing basis, the Fund’s per formance, operations","page_number":17,"box":{"x":70,"y":596,"width":812,"height":12}},{"id":"d5118142-935a-4276-83c5-fd6680c415cf","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":612,"width":819,"height":11}},{"id":"992b4ce3-85c5-492e-92f4-075925e63712","block_type":"box","text":"the operations of the Fund.","page_number":17,"box":{"x":68,"y":627,"width":192,"height":11}},{"id":"7ff0189a-7b7a-4417-8231-c43f17d2db5c","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":649,"width":785,"height":12}},{"id":"373edfa6-f3be-4ea1-8dd3-8b31e796c455","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":664,"width":828,"height":12}},{"id":"c940a0ed-35bd-4892-ba55-085fbbaf2954","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":680,"width":832,"height":11}},{"id":"3ae15a85-1df2-4e8f-9b13-a4ba096915d1","block_type":"box","text":"there are a number of risk management functions per formed by the Manager and the sub-advisers or other service","page_number":17,"box":{"x":68,"y":695,"width":820,"height":11}},{"id":"2e181eeb-9e29-41b7-94bb-14d73b5d9e06","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":710,"width":811,"height":11}},{"id":"f1e6282a-9458-4b40-bcee-53910ddd790a","block_type":"box","text":"par t of the Board’s general oversight of the Fund and is addressed as par t of various Board and Committee","page_number":17,"box":{"x":70,"y":725,"width":767,"height":11}},{"id":"82ca53f2-b379-4202-8d99-a049ec8c0c13","block_type":"box","text":"activities. The Board, directly or through a Committee, also reviews repor ts from, among others, management, the","page_number":17,"box":{"x":69,"y":740,"width":815,"height":11}},{"id":"bc89ac31-adf3-4ce3-893a-61f8eb7af5f3","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":755,"width":803,"height":11}},{"id":"496e30d1-c58d-49f4-8842-6636dc8f6834","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":770,"width":840,"height":12}},{"id":"e4a930c7-b2fb-44db-8c79-ffc3c9d00adb","block_type":"box","text":"risk functions. The Committee system facilitates the timely and efficient consideration of matters by the Trustees,","page_number":17,"box":{"x":69,"y":785,"width":812,"height":12}},{"id":"d0e5b0f7-b1ee-4d29-9ce2-3ba65fc5ab51","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":801,"width":817,"height":11}},{"id":"f6264936-cd73-43b7-bb4e-9357aec8c042","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":816,"width":812,"height":11}},{"id":"e2670bed-3ede-4495-8e68-e0fa9e66578b","block_type":"box","text":"testing of the Trust’s compliance program and repor ts to the Board regarding compliance matters for the Fund and","page_number":17,"box":{"x":68,"y":831,"width":818,"height":11}},{"id":"8ad4a8bd-86c9-43e7-803c-d626232fd31f","block_type":"box","text":"its service providers. The Independent Trustees have engaged independent legal counsel to assist them in","page_number":17,"box":{"x":70,"y":846,"width":759,"height":11}},{"id":"12e9d502-61b2-42c9-86cf-0690b8a2d6d5","block_type":"box","text":"per forming their oversight responsibilities.","page_number":17,"box":{"x":70,"y":861,"width":299,"height":11}},{"id":"75a1f032-3fc3-4b0c-bdbc-76e9bf76b6d9","block_type":"box","text":"Audit Committee.","page_number":17,"box":{"x":101,"y":884,"width":122,"height":9}},{"id":"1a6861c8-6c43-4d83-8abd-f42e99de58ae","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":884,"width":673,"height":11}},{"id":"4fdb4e30-ce71-4168-a602-9235a4f981c9","block_type":"box","text":"A. Cotty, Jeffrey Jarczyk, Lori Richards, Kenneth L. Urish and Claire A. Walton, all of whom are Independent Trustees.","page_number":17,"box":{"x":68,"y":899,"width":831,"height":11}},{"id":"fe5128ec-3085-4877-954b-f0ac6f5d52c2","block_type":"box","text":"I-8","page_number":17,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"a660a1b6-36be-4179-b4bf-0e2239fa2890","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":17,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5c9f1a94-aea9-4016-acba-b92a5294b0e2","block_type":"box","text":"The principal responsibilities of the Audit Committee are to approve, and recommend to the full Board for approval,","page_number":18,"box":{"x":68,"y":45,"width":820,"height":11}},{"id":"e444cee8-2b62-4db8-837d-2738baf3708f","block_type":"box","text":"the selection, retention, termination and compensation of the Fund’s independent registered public accounting firm","page_number":18,"box":{"x":68,"y":60,"width":823,"height":11}},{"id":"ddaa878b-4649-4abd-970b-9d16fdb6bbdb","block_type":"box","text":"(the “Independent Registered Public Accounting Firm”) and to oversee the Independent Registered Public Accounting","page_number":18,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"3164c778-84b4-4995-a2a8-1f4e1cb07433","block_type":"box","text":"Firm’s work. The Audit Committee’s responsibilities include, without limitation, to (1) evaluate the qualifications and","page_number":18,"box":{"x":70,"y":90,"width":825,"height":11}},{"id":"53c60e7f-60de-406b-986c-fdfd1f4c2713","block_type":"box","text":"independence of the Independent Registered Public Accounting Firm; (2) approve all audit engagement terms and","page_number":18,"box":{"x":70,"y":105,"width":807,"height":11}},{"id":"52e2fea8-dbca-4be2-90f7-5057bce547c1","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":18,"box":{"x":68,"y":120,"width":781,"height":11}},{"id":"b0b37c09-3c7d-4fc6-ae7b-db804723c1ba","block_type":"box","text":"statements; (4) review any issues raised by the Independent Registered Public Accounting Firm or Fund management","page_number":18,"box":{"x":69,"y":136,"width":834,"height":11}},{"id":"5291a5dd-b0e6-435a-b32c-1fb63a3dea36","block_type":"box","text":"regarding the accounting or financial repor ting policies and practices of the Fund and the internal controls of the Fund","page_number":18,"box":{"x":69,"y":150,"width":838,"height":12}},{"id":"358cb17d-d642-41ab-a0b3-e833ac297455","block_type":"box","text":"and cer tain service providers; (5) oversee the per formance of the Fund’s Independent Registered Public Accounting","page_number":18,"box":{"x":69,"y":166,"width":825,"height":11}},{"id":"b88cae66-d2a2-40d5-82d9-89b42104648a","block_type":"box","text":"Firm; (6) review and discuss with management and the Fund’s Independent Registered Public Accounting Firm the","page_number":18,"box":{"x":70,"y":181,"width":809,"height":11}},{"id":"0cecfec9-5883-4394-ba4f-9967e43112d4","block_type":"box","text":"per formance and findings of the Fund’s internal auditors; (7) discuss with Fund management its policies regarding","page_number":18,"box":{"x":70,"y":196,"width":815,"height":11}},{"id":"09384258-6c24-4c6b-9e1b-87153e71bac5","block_type":"box","text":"risk assessment and risk management as such matters relate to the Fund’s financial repor ting and controls;","page_number":18,"box":{"x":69,"y":211,"width":774,"height":11}},{"id":"2194ec2a-be65-4ae0-844c-f079c48c3a22","block_type":"box","text":"(8) resolve any disagreements between Fund management and the Independent Registered Public Accounting Firm","page_number":18,"box":{"x":69,"y":226,"width":815,"height":11}},{"id":"2501d5ea-d8c1-4eb7-8354-b10e270b63dd","block_type":"box","text":"regarding financial repor ting; and (9) under take such other duties and responsibilities as may from time to time be","page_number":18,"box":{"x":69,"y":241,"width":819,"height":11}},{"id":"52fea234-f72a-491a-8746-f38015ac3e4a","block_type":"box","text":"delegated by the Board to the Audit Committee. The Board has adopted a written char ter for the Audit Committee.","page_number":18,"box":{"x":69,"y":256,"width":812,"height":12}},{"id":"81996282-a0ff-4d86-9c2f-54643eeea8db","block_type":"box","text":"During the twelve months ended May 31, 2026, the Audit Committee met four times.","page_number":18,"box":{"x":70,"y":271,"width":605,"height":12}},{"id":"220ab082-4a42-4df9-a418-35723f3990e9","block_type":"box","text":"Governance and Nominating Committee.","page_number":18,"box":{"x":102,"y":294,"width":286,"height":11}},{"id":"cdb33677-271e-4d48-89b5-8e78262098c6","block_type":"box","text":"The members of the Governance and Nominating Committee (the","page_number":18,"box":{"x":394,"y":294,"width":464,"height":11}},{"id":"fb604584-f94d-4570-9ef5-7935935d160f","block_type":"box","text":"“Governance Committee”) are Cynthia A. Montgomery (Chair), Christopher J. Ailman, Susan J. Car ter, Collette Chilton,","page_number":18,"box":{"x":70,"y":309,"width":838,"height":11}},{"id":"d6a66538-6b87-44d3-a011-ab44faa89115","block_type":"box","text":"Henry R. Keizer and Marc D. Stern, all of whom are Independent Trustees. The principal responsibilities of the","page_number":18,"box":{"x":70,"y":324,"width":784,"height":11}},{"id":"eefff54a-07f3-43bf-929b-500d25d6d9a9","block_type":"box","text":"Governance Committee are to (1) identify individuals qualified to serve as Independent Trustees of the Trust and","page_number":18,"box":{"x":69,"y":339,"width":803,"height":12}},{"id":"48c6dcea-075e-4281-ac20-380212a40f92","block_type":"box","text":"recommend Independent Trustee nominees for election by shareholders or appointment by the Board; (2) advise the","page_number":18,"box":{"x":69,"y":355,"width":829,"height":11}},{"id":"f66b4f02-8527-4106-8cc7-21f0e20938ab","block_type":"box","text":"Board with respect to Board composition, procedures and committees (other than the Audit Committee); (3) oversee","page_number":18,"box":{"x":70,"y":370,"width":828,"height":11}},{"id":"4327ec6b-de1b-424a-b1b0-4aa09699029a","block_type":"box","text":"periodic self-assessments of the Board and committees of the Board (other than the Audit Committee); (4) review","page_number":18,"box":{"x":70,"y":385,"width":809,"height":11}},{"id":"4008cbc2-7ba6-44c7-b7bf-a7d48113bef9","block_type":"box","text":"and make recommendations regarding Independent Trustee compensation; (5) monitor corporate governance matters","page_number":18,"box":{"x":69,"y":400,"width":838,"height":11}},{"id":"e27c8353-a8d1-4ec3-8a32-ea85c2269c26","block_type":"box","text":"and develop appropriate recommendations to the Board; (6) act as the administrative committee with respect to","page_number":18,"box":{"x":69,"y":415,"width":800,"height":11}},{"id":"7afcbfd0-ed2c-45f8-a4c7-4d4494e8a104","block_type":"box","text":"Board policies and procedures, committee policies and procedures (other than the Audit Committee) and codes of","page_number":18,"box":{"x":70,"y":430,"width":813,"height":11}},{"id":"4d08d9c9-6f32-411a-a44e-b550d3be1ac1","block_type":"box","text":"ethics as they relate to Independent Trustees; and (7) under take such other duties and responsibilities as may from","page_number":18,"box":{"x":69,"y":445,"width":829,"height":11}},{"id":"38dfee1b-a815-4f11-a2bd-31e75e422dd1","block_type":"box","text":"time to time be delegated by the Board to the Governance Committee. The Governance Committee may consider","page_number":18,"box":{"x":68,"y":460,"width":804,"height":12}},{"id":"62e7bc37-a28d-4bb8-8024-47001605c716","block_type":"box","text":"nominations for Trustees made by the Fund’s shareholders as it deems appropriate. Under the Trust’s Amended and","page_number":18,"box":{"x":69,"y":475,"width":832,"height":12}},{"id":"9ebfa05d-d4d7-4c6c-a1e3-ee26302bf1f6","block_type":"box","text":"Restated Code of Regulations (“Bylaws”), shareholders must follow cer tain procedures to nominate a person for","page_number":18,"box":{"x":70,"y":491,"width":801,"height":11}},{"id":"5c91438c-50d1-4943-a1e2-97ea02f376ff","block_type":"box","text":"election as a Trustee at a shareholder meeting at which Trustees are to be elected. Under these advance notice","page_number":18,"box":{"x":69,"y":506,"width":799,"height":11}},{"id":"894f502d-1746-46fb-a0eb-f1cb3736ed07","block_type":"box","text":"procedures, notice of the proposed nominee to the Secretary of the Trust must be delivered to or mailed and","page_number":18,"box":{"x":70,"y":521,"width":776,"height":11}},{"id":"25ba6dfb-c319-4b31-a69a-932e2df1e8ad","block_type":"box","text":"received at the principal executive offices of the Trust not later than the close of business on the fifth day following","page_number":18,"box":{"x":69,"y":536,"width":821,"height":11}},{"id":"c8b2888c-9274-4a5f-9568-b6087595e6ee","block_type":"box","text":"the day on which notice of the date of the meeting was mailed or public disclosure of the date of the meeting was","page_number":18,"box":{"x":68,"y":551,"width":812,"height":11}},{"id":"23166b8b-eca3-4558-b99c-aeb7cb7be381","block_type":"box","text":"made, whichever first occurs. The Trust’s Bylaws provide that notice of a proposed nomination must include cer tain","page_number":18,"box":{"x":69,"y":566,"width":823,"height":11}},{"id":"a9792ca3-3892-4b7e-a6be-8d27ce8440be","block_type":"box","text":"information about the shareholder and the nominee, as well as cer tain other information, including a written consent","page_number":18,"box":{"x":70,"y":581,"width":832,"height":12}},{"id":"7d135ec9-3c89-4e1d-84d2-e81da1be9f65","block_type":"box","text":"of the proposed nominee to serve if elected. Reference is made to the Trust’s Bylaws for more details. The Board","page_number":18,"box":{"x":69,"y":596,"width":811,"height":12}},{"id":"8be6c222-851d-4df3-92ee-db9b4115ed18","block_type":"box","text":"has adopted a written char ter for the Governance Committee. During the twelve months ended May 31, 2026, the","page_number":18,"box":{"x":69,"y":612,"width":813,"height":11}},{"id":"da9f846d-921a-4202-8561-3d34e415abfb","block_type":"box","text":"Governance Committee met ten times.","page_number":18,"box":{"x":69,"y":627,"width":274,"height":9}},{"id":"c55dc2d8-3ffa-4874-acf5-9fa88303c2fb","block_type":"box","text":"Compliance Committee.","page_number":18,"box":{"x":102,"y":649,"width":168,"height":11}},{"id":"457eb1a4-42f1-40d7-ae71-95a549fef90c","block_type":"box","text":"The members of the Compliance Committee (the “Compliance Committee”) are Claire A.","page_number":18,"box":{"x":276,"y":649,"width":629,"height":11}},{"id":"c3a5a6e2-8815-46f8-a565-30d5cb8bb936","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":664,"width":828,"height":12}},{"id":"672506ac-e639-4685-9e0a-5756eada7669","block_type":"box","text":"whom are Independent Trustees. The Compliance Committee’s purpose is to assist the Board in fulfilling its","page_number":18,"box":{"x":68,"y":680,"width":771,"height":11}},{"id":"e306c79e-689f-4989-8d74-4e89b88ca7c6","block_type":"box","text":"responsibility to oversee regulatory and fiduciary compliance matters involving the Trust, the fund-related activities of","page_number":18,"box":{"x":69,"y":695,"width":835,"height":11}},{"id":"36db04dc-25d5-4be3-a156-faa5c42b30d0","block_type":"box","text":"BlackRock and any sub-adviser and the Trust’s third-par ty service providers. The Compliance Committee’s","page_number":18,"box":{"x":70,"y":710,"width":754,"height":11}},{"id":"7cd258dd-400f-4c69-b4a1-8078f6f9dcd9","block_type":"box","text":"responsibilities include, without limitation, to (1) oversee the compliance policies and procedures of the Trust and its","page_number":18,"box":{"x":69,"y":725,"width":834,"height":11}},{"id":"f9efd58d-cab4-44a5-aa13-a7f896b05830","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":740,"width":815,"height":11}},{"id":"91fcf758-ffdb-479d-b818-0919fb3c07ba","block_type":"box","text":"and, where appropriate, recommend policies concerning the Trust’s compliance with applicable law; (3) review","page_number":18,"box":{"x":69,"y":755,"width":785,"height":11}},{"id":"63fda33f-fa7a-4a16-8ba2-1208478b83ea","block_type":"box","text":"repor ts from, oversee the annual per formance review of, and make cer tain recommendations and determinations","page_number":18,"box":{"x":69,"y":770,"width":811,"height":11}},{"id":"40d3f459-ad18-4deb-bc81-4df4b8abc4d9","block_type":"box","text":"regarding the Trust’s Chief Compliance Officer (the “CCO”), including determining the amount and structure of the","page_number":18,"box":{"x":69,"y":785,"width":812,"height":12}},{"id":"f4e88207-62d7-4a57-ba23-032b9e738d0b","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":801,"width":812,"height":11}},{"id":"5d63bfb7-529d-47fe-89b3-e30f54a20278","block_type":"box","text":"and (4) under take 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":816,"width":825,"height":11}},{"id":"754e1d59-dee6-4f8e-b3c2-62b4b02fb333","block_type":"box","text":"Compliance Committee. The Board has adopted a written char ter for the Compliance Committee. During the twelve","page_number":18,"box":{"x":69,"y":831,"width":818,"height":11}},{"id":"f978d4ca-0c9d-4330-a2a2-6c5ce28c257d","block_type":"box","text":"months ended May 31, 2026, the Compliance Committee met four times.","page_number":18,"box":{"x":69,"y":846,"width":525,"height":11}},{"id":"d84181b2-b885-4b25-bfc7-0d13af191a09","block_type":"box","text":"Per formance Oversight Committee.","page_number":18,"box":{"x":102,"y":869,"width":248,"height":11}},{"id":"c08c93ea-70b8-4211-b916-75e373b0b072","block_type":"box","text":"The members of the Per formance Oversight Committee (the “Per formance","page_number":18,"box":{"x":356,"y":869,"width":531,"height":11}},{"id":"7abab3f8-a40f-4d15-81c8-8bcc33ceb14c","block_type":"box","text":"Oversight Committee”) are Donald C. Opatrny (Chair), Christopher J. Ailman, Susan J. Car ter, Collette Chilton, Neil A.","page_number":18,"box":{"x":69,"y":884,"width":829,"height":11}},{"id":"269ab17f-147d-40fd-9573-0bcca38f9904","block_type":"box","text":"Cotty and Marc D. Stern, all of whom are Independent Trustees. The Per formance Oversight Committee’s purpose is","page_number":18,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"32ee2a31-5208-499d-8fdb-31178da36db6","block_type":"box","text":"I-9","page_number":18,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"e59a69cf-d53e-496d-8e31-9a8f7273f0b8","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":18,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fc84b628-c7e8-4524-a0bf-3d5653838c37","block_type":"box","text":"to assist the Board in fulfilling its responsibility to oversee the Fund’s investment per formance relative to its agreed","page_number":19,"box":{"x":68,"y":45,"width":832,"height":11}},{"id":"5ad40540-6c05-47e9-bd43-40eca50b6d57","block_type":"box","text":"upon per formance objectives and to assist the Independent Trustees in their consideration of investment advisory","page_number":19,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"3967235f-b1c3-410c-92e9-2fd2b21d26e9","block_type":"box","text":"agreements. The Per formance Oversight Committee’s responsibilities include, without limitation, to (1) review","page_number":19,"box":{"x":69,"y":75,"width":782,"height":11}},{"id":"1fbd8f65-8b2b-4ae7-88ac-444b265cfcf1","block_type":"box","text":"information on, and make recommendations to the full Board in respect of, the Fund’s investment objective, policies","page_number":19,"box":{"x":70,"y":90,"width":829,"height":11}},{"id":"daa2f45e-5cd4-41ea-a1d9-e0eb69fcbb18","block_type":"box","text":"and practices; (2) review information on the Fund’s investment per formance; (3) review information on appropriate","page_number":19,"box":{"x":69,"y":105,"width":816,"height":11}},{"id":"da0a9746-1874-4942-b688-82448fab59c2","block_type":"box","text":"benchmarks and competitive universes and unusual or exceptional investment matters; (4) review personnel and","page_number":19,"box":{"x":69,"y":120,"width":803,"height":11}},{"id":"43dd850f-9994-4777-8c8a-1e5a877b50c0","block_type":"box","text":"other resources devoted to management of the Fund and evaluate the nature and quality of information furnished to","page_number":19,"box":{"x":69,"y":135,"width":827,"height":12}},{"id":"42a34459-811f-43d3-a659-07e72bb6af4c","block_type":"box","text":"the Per formance Oversight Committee; (5) recommend any required action regarding changes in fundamental and","page_number":19,"box":{"x":68,"y":150,"width":811,"height":12}},{"id":"20894005-a515-4a53-af4f-0dc94eca3767","block_type":"box","text":"non-fundamental investment policies and restrictions, fund mergers or liquidations; (6) request and review","page_number":19,"box":{"x":69,"y":166,"width":757,"height":11}},{"id":"08beedb0-db56-4301-aba2-c2c3ecc52c8e","block_type":"box","text":"information on the nature, extent and quality of services provided to the shareholders; (7) make recommendations to","page_number":19,"box":{"x":70,"y":181,"width":835,"height":11}},{"id":"0f0115c4-8d49-4c88-9170-962ba411cf9b","block_type":"box","text":"the Board concerning the approval or renewal of investment advisory agreements; and (8) under take such other","page_number":19,"box":{"x":68,"y":196,"width":800,"height":11}},{"id":"6d568dbd-2203-4736-be2f-a08a957893a6","block_type":"box","text":"duties and responsibilities as may from time to time be delegated by the Board to the Per formance Oversight","page_number":19,"box":{"x":69,"y":211,"width":780,"height":11}},{"id":"75163936-a964-4265-843c-f268b6bcf788","block_type":"box","text":"Committee. The Board has adopted a written char ter for the Per formance Oversight Committee. During the twelve","page_number":19,"box":{"x":69,"y":226,"width":810,"height":11}},{"id":"1cce5262-784a-40dc-b655-735bab05e6bf","block_type":"box","text":"months ended May 31, 2026, the Per formance Oversight Committee met five times.","page_number":19,"box":{"x":69,"y":241,"width":602,"height":11}},{"id":"b44d370b-417d-4b4d-a356-6d0ad13006b1","block_type":"box","text":"Ad Hoc Topics Committee.","page_number":19,"box":{"x":101,"y":264,"width":186,"height":11}},{"id":"698f8191-f357-4d65-814c-956ef18dc6c6","block_type":"box","text":"The members of the Ad Hoc Topics Committee (the “Ad Hoc Topics Committee”) are","page_number":19,"box":{"x":293,"y":264,"width":598,"height":11}},{"id":"d0780e6b-ce0c-4307-b55c-6f64b405a264","block_type":"box","text":"Mark Stalnecker (Chair) and Claire A. Walton, both of whom are Independent Trustees, and John M. Perlowski, who","page_number":19,"box":{"x":70,"y":279,"width":817,"height":11}},{"id":"a5615183-44ae-4adc-9baf-bc6425e964d6","block_type":"box","text":"serves as an interested Trustee. The principal responsibilities of the Ad Hoc Topics Committee are to (1) act on","page_number":19,"box":{"x":69,"y":294,"width":795,"height":11}},{"id":"893fca81-fbdd-49a9-b568-22a4c201d336","block_type":"box","text":"routine matters between meetings of the Board; (2) act on such matters as may require urgent action between","page_number":19,"box":{"x":69,"y":309,"width":788,"height":11}},{"id":"a3cbc817-3885-4b6d-8409-8b49f7917a20","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":19,"box":{"x":69,"y":324,"width":813,"height":12}},{"id":"6d7f5351-df8d-4a2f-b7a5-3bdfdb95b664","block_type":"box","text":"Topics Committee by the Board. The Board has adopted a written char ter for the Ad Hoc Topics Committee. During","page_number":19,"box":{"x":68,"y":339,"width":816,"height":12}},{"id":"7cf94589-1f0e-405d-8825-2aad6a87c916","block_type":"box","text":"the twelve months ended May 31, 2026, the Ad Hoc Topics Committee did not meet.","page_number":19,"box":{"x":68,"y":355,"width":606,"height":11}},{"id":"ba81d96c-f489-43ae-bec4-ff5507d78db6","block_type":"box","text":"The Governance Committee has adopted a statement of policy that describes the experience, qualifications,","page_number":19,"box":{"x":101,"y":377,"width":771,"height":11}},{"id":"362783fe-6967-4038-878b-0f7e94fd4b9a","block_type":"box","text":"skills and attributes that are necessary and desirable for potential Independent Trustee candidates (the “Statement","page_number":19,"box":{"x":69,"y":392,"width":827,"height":12}},{"id":"5b98b997-b270-41e2-955a-701590679ec3","block_type":"box","text":"of Policy”). The Board believes that each Independent Trustee satisfied, at the time he or she was initially elected or","page_number":19,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"ff44e673-0c0e-4b28-a89a-64e9d91b9f46","block_type":"box","text":"appointed a Trustee, and continues to satisfy, the standards contemplated by the Statement of Policy. Fur thermore,","page_number":19,"box":{"x":69,"y":423,"width":825,"height":11}},{"id":"a80613e6-8839-45a6-957f-1ad2367c61b2","block_type":"box","text":"in determining that a par ticular Independent Trustee was and continues to be qualified to serve as a Trustee, the","page_number":19,"box":{"x":70,"y":438,"width":807,"height":11}},{"id":"1dcf1144-9f6b-4835-9c63-a1b288664ea1","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":453,"width":787,"height":11}},{"id":"e85fdd1b-c215-4f72-a897-6623ab3a679b","block_type":"box","text":"collectively, the Independent Trustees have balanced and diverse experience, skills, attributes and qualifications,","page_number":19,"box":{"x":69,"y":468,"width":805,"height":11}},{"id":"e9de076b-51b3-4c70-aef4-fd20229f1181","block_type":"box","text":"which allow the Board to operate effectively in governing the Trust and protecting the interests of shareholders.","page_number":19,"box":{"x":68,"y":483,"width":794,"height":11}},{"id":"3f8dcd11-3229-4351-a5e0-cfcb04b07b27","block_type":"box","text":"Among the attributes common to all Independent Trustees are their ability to review critically, evaluate, question and","page_number":19,"box":{"x":68,"y":498,"width":829,"height":11}},{"id":"a1294d5e-f640-4c9c-9e69-a7e47971ca45","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":513,"width":823,"height":11}},{"id":"a260d148-0bcf-4550-9cdf-78a4e624e5ce","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":528,"width":771,"height":12}},{"id":"e9890459-4da9-45ef-a2bf-4c0451453046","block_type":"box","text":"business judgment in the per formance of their duties as Trustees.","page_number":19,"box":{"x":69,"y":543,"width":473,"height":12}},{"id":"67c99c27-c19a-4cf3-b3e1-e8d6e3ece0c7","block_type":"box","text":"Each Trustee’s ability to per form his or her duties effectively is evidenced by his or her educational background","page_number":19,"box":{"x":102,"y":566,"width":792,"height":11}},{"id":"f498447b-1ac5-4803-b512-a59654c3fd44","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":581,"width":807,"height":12}},{"id":"49a24793-357f-4bb3-8340-1ce4ef12fc2f","block_type":"box","text":"board member of the Trust and the other funds in the BlackRock Fund Complexes (and any predecessor funds), other","page_number":19,"box":{"x":69,"y":596,"width":837,"height":12}},{"id":"6c423265-9f5e-4762-abb6-94b579898a39","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":612,"width":759,"height":11}},{"id":"c99b0cc4-befa-47d0-8dbe-ed166f0dade6","block_type":"box","text":"par ticipation in Board and Committee meetings, as well as his or her leadership of standing and","page_number":19,"box":{"x":70,"y":627,"width":685,"height":11}},{"id":"129c362c-df4d-49ab-a6ef-5add9a1b57eb","block_type":"box","text":"ad hoc","page_number":19,"box":{"x":762,"y":627,"width":47,"height":9}},{"id":"0d42a1e0-a46f-4a14-a635-62020a33b1e7","block_type":"box","text":"committees","page_number":19,"box":{"x":814,"y":627,"width":82,"height":9}},{"id":"adba193e-b5bc-4b8d-944f-ea0452ca271f","block_type":"box","text":"throughout the years; or other relevant life experiences.","page_number":19,"box":{"x":68,"y":642,"width":395,"height":11}},{"id":"c208676f-e1fb-4166-996e-34f9453f90a1","block_type":"box","text":"The table below discusses some of the experiences, qualifications and skills of each of the Trustees that","page_number":19,"box":{"x":101,"y":664,"width":751,"height":11}},{"id":"fddde2a6-069f-42a0-8e0a-1f6cdd03c1ab","block_type":"box","text":"suppor t the conclusion that each Trustee should serve on the Board.","page_number":19,"box":{"x":69,"y":680,"width":492,"height":11}},{"id":"d14044f0-038a-4303-a31e-e76f109a9d45","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":19,"box":{"x":68,"y":708,"width":409,"height":9}},{"id":"71a5ccaa-815f-402e-a772-564fe309a659","block_type":"box","text":"Independent Trustees","page_number":19,"box":{"x":70,"y":725,"width":154,"height":10}},{"id":"9271610d-813d-4178-9e17-b32f9a989973","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":739,"width":781,"height":12}},{"id":"92548e8b-46cc-47b7-83bc-60c3f00e0902","block_type":"box","text":"industry, including most recently serving as Chief Investment Officer of the California","page_number":19,"box":{"x":265,"y":755,"width":604,"height":11}},{"id":"276409bd-7721-4aea-b33e-0ce1cabce8cf","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":770,"width":623,"height":11}},{"id":"06c4a4bf-02de-465d-8cdd-63735603823b","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":785,"width":637,"height":11}},{"id":"7a62daaa-1b22-4c34-b208-4188a84923c2","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":800,"width":631,"height":11}},{"id":"23bf5cba-e13c-48db-8ff5-e13bdfaebec4","block_type":"box","text":"committee of the Kroner Center for Financial Research, chairman of the Nor th American","page_number":19,"box":{"x":264,"y":815,"width":626,"height":11}},{"id":"de180f64-137e-40e5-b69f-dd59cf53203b","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":830,"width":639,"height":11}},{"id":"6b659f91-533a-4c7c-a5d8-75596c44d9ad","block_type":"box","text":"Advisory Council. These positions have provided Mr. Ailman with considerable investment","page_number":19,"box":{"x":264,"y":845,"width":637,"height":11}},{"id":"f28eaee6-63be-49ca-8717-adf493a465f3","block_type":"box","text":"exper tise across asset classes and strategies, and insight and perspective on the","page_number":19,"box":{"x":265,"y":861,"width":586,"height":11}},{"id":"19025310-3e84-4ea4-a8ae-f70c5983af23","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":875,"width":640,"height":12}},{"id":"bb3f3e11-0165-4dfb-90d1-c243e9df5290","block_type":"box","text":"Committee and the Per formance Oversight Committee.","page_number":19,"box":{"x":265,"y":891,"width":389,"height":11}},{"id":"2be367da-8cfa-46df-ae68-8f25a915e02f","block_type":"box","text":"I-10","page_number":19,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"2c3e7a88-1d28-45b4-8688-1bf9af3d9847","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":19,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"11c90a7b-7468-41d3-822b-ae8d3c8d2e40","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":20,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"65900fa3-30ae-4e98-ab77-9fb9a4bbaff7","block_type":"box","text":"Susan J. Car ter Susan J. Car ter has over 35 years of experience in investment management. She has","page_number":20,"box":{"x":69,"y":65,"width":806,"height":12}},{"id":"26262e81-472d-4525-a872-0299742a2015","block_type":"box","text":"served as President & Chief Executive Officer of Commonfund Capital, Inc. (“CCI”), a","page_number":20,"box":{"x":265,"y":81,"width":604,"height":11}},{"id":"addd165d-e453-4708-b566-69e2556d1ba4","block_type":"box","text":"registered investment adviser focused on non-profit investors, from 1997 to 2013, Chief","page_number":20,"box":{"x":265,"y":96,"width":632,"height":11}},{"id":"e21046e7-64eb-4e01-a5c4-5e74ef7ecc6f","block_type":"box","text":"Executive Officer of CCI from 2013 to 2014 and Senior Advisor to CCI in 2015.","page_number":20,"box":{"x":265,"y":111,"width":562,"height":9}},{"id":"fcdf8c0e-0b8c-43de-9c51-c3afdc926135","block_type":"box","text":"Ms. Car ter also served as director of the Pacific Pension Institute from 2014 to 2018,","page_number":20,"box":{"x":265,"y":126,"width":616,"height":10}},{"id":"4a202aa0-8583-4515-8743-1278a4d7687b","block_type":"box","text":"trustee to the Financial Accounting Foundation from 2017 to 2021, Advisory Board","page_number":20,"box":{"x":264,"y":141,"width":591,"height":11}},{"id":"3777ff82-ff1b-4b91-9371-986ba841c45d","block_type":"box","text":"Member for the Center for Private Equity and Entrepreneurship at Tuck School of Business","page_number":20,"box":{"x":265,"y":156,"width":641,"height":11}},{"id":"130ceebc-bfde-40ce-8676-ed8aca5f9d4a","block_type":"box","text":"from 1997 to 2021, Advisory Board Member for Bridges Fund Management from 2016 to","page_number":20,"box":{"x":264,"y":171,"width":638,"height":12}},{"id":"572027dc-f44a-4786-bda4-07b7c8e4899f","block_type":"box","text":"2018, Advisory Board Member for Girls Who Invest from 2015 to 2018 and Board","page_number":20,"box":{"x":265,"y":186,"width":584,"height":12}},{"id":"501257d4-c7ec-4016-9c93-2fcf8ee202af","block_type":"box","text":"Member thereof from 2018 to 2022, and Practitioner Advisory Board Member for Private","page_number":20,"box":{"x":265,"y":201,"width":630,"height":12}},{"id":"3dbc7b3d-8860-424c-b194-7b2a4ea59872","block_type":"box","text":"Capital Research Institute (“PCRI”) from 2017 to 2024. She currently serves as Member","page_number":20,"box":{"x":265,"y":217,"width":634,"height":11}},{"id":"1e3dadf7-f20a-49fb-a634-028752f2d68a","block_type":"box","text":"of the President’s Counsel for Commonfund. These positions have provided her with","page_number":20,"box":{"x":265,"y":232,"width":599,"height":11}},{"id":"22304b22-3563-42f6-9024-1c10a22fe1c2","block_type":"box","text":"insight and perspective on the markets and the economy.","page_number":20,"box":{"x":265,"y":247,"width":407,"height":11}},{"id":"b8da8b0e-bd5a-4262-9043-1be97cb8c2fc","block_type":"box","text":"Collette Chilton Collette Chilton has over 20 years of experience in investment management. She held the","page_number":20,"box":{"x":69,"y":269,"width":837,"height":12}},{"id":"f42bfd22-3840-46ab-8464-baaed79215fc","block_type":"box","text":"position of Chief Investment Officer of Williams College from October 2006 to June 2023.","page_number":20,"box":{"x":265,"y":285,"width":638,"height":11}},{"id":"b804e12d-57af-4313-b006-292bdc48b2a2","block_type":"box","text":"Prior to that she was President and Chief Investment Officer of Lucent Asset Management","page_number":20,"box":{"x":265,"y":300,"width":642,"height":11}},{"id":"1f7dddd7-eaf7-42af-9699-d4ff7064ddda","block_type":"box","text":"Corporation, where she oversaw approximately $40 billion in pension and retirement","page_number":20,"box":{"x":265,"y":314,"width":601,"height":12}},{"id":"7982faeb-422c-4f6f-850a-9183709b2a0a","block_type":"box","text":"savings assets for the company. These positions have provided her with insight and","page_number":20,"box":{"x":265,"y":330,"width":595,"height":11}},{"id":"8f0aa824-815d-407c-92c1-76906c60b12f","block_type":"box","text":"perspective on the markets and the economy.","page_number":20,"box":{"x":265,"y":345,"width":323,"height":11}},{"id":"1c36c466-5491-4f48-af43-c90288373bc4","block_type":"box","text":"Neil A. Cotty Neil A. Cotty has more than 30 years of experience in the financial services industry,","page_number":20,"box":{"x":70,"y":368,"width":798,"height":11}},{"id":"f001a965-b192-4f28-b18a-47dda0925386","block_type":"box","text":"including 19 years at Bank of America Corporation and its affiliates, where he served, at","page_number":20,"box":{"x":265,"y":383,"width":631,"height":11}},{"id":"df0cd0aa-55ba-494e-a961-ebe36bc7532b","block_type":"box","text":"different times, as the Chief Financial Officer of various businesses including Investment","page_number":20,"box":{"x":265,"y":398,"width":633,"height":11}},{"id":"9d85cf3c-efe4-49eb-9ddb-d777b423fb44","block_type":"box","text":"Banking, Global Markets, Wealth Management and Consumer and also served ten years","page_number":20,"box":{"x":265,"y":413,"width":628,"height":11}},{"id":"e6513d40-a3c6-49ce-b9d6-5a5d83984d95","block_type":"box","text":"as the Chief Accounting Officer for Bank of America Corporation. Mr. Cotty has been","page_number":20,"box":{"x":265,"y":428,"width":596,"height":12}},{"id":"fdddfd9a-0aeb-4e16-b551-8d8f073310dd","block_type":"box","text":"determined by the Audit Committee to be an audit committee financial exper t, as such","page_number":20,"box":{"x":265,"y":443,"width":616,"height":12}},{"id":"7e55b35b-4128-491d-ae5e-b3a68968716f","block_type":"box","text":"term is defined in the applicable Commission rules.","page_number":20,"box":{"x":264,"y":458,"width":368,"height":11}},{"id":"abe36f3a-729b-42d4-b634-86b23fbaea2f","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":481,"width":777,"height":11}},{"id":"b796a2ae-7035-4c35-9c2f-efded3243ed7","block_type":"box","text":"services industry, including over 19 years at Fidelity Investments, where he served, at","page_number":20,"box":{"x":265,"y":496,"width":613,"height":12}},{"id":"99d4c169-55e5-4d06-b4ac-d1ed81e64328","block_type":"box","text":"different times, as the Chief Auditor and the Chief Accounting Officer of Fidelity","page_number":20,"box":{"x":265,"y":511,"width":563,"height":12}},{"id":"5720e83e-bf52-4e18-b17c-5590030de954","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":527,"width":607,"height":11}},{"id":"9a98216a-0174-42a0-87bb-db3eff4bd924","block_type":"box","text":"par tner at Deloitte and Ar thur Andersen for approximately 17 years. These positions have","page_number":20,"box":{"x":265,"y":542,"width":638,"height":11}},{"id":"332401aa-9f36-4ff1-bf50-f1c0d73c9f5b","block_type":"box","text":"allowed him to work extensively with audit and risk committees and company executives","page_number":20,"box":{"x":265,"y":557,"width":626,"height":11}},{"id":"4aa312c2-5d83-48a3-a427-c912a3aa602c","block_type":"box","text":"helping to identify, manage and mitigate risks for financial services companies.","page_number":20,"box":{"x":265,"y":572,"width":563,"height":11}},{"id":"e9e30906-a11c-4199-af68-97059e593c76","block_type":"box","text":"Mr. Jarczyk also served as consultant to the Independent Trustees prior to becoming an","page_number":20,"box":{"x":265,"y":587,"width":625,"height":11}},{"id":"1ce84cb2-05bf-4cc6-ad12-bc04be44abdd","block_type":"box","text":"Independent Trustee. Mr. Jarczyk has been determined by the Audit Committee to be an","page_number":20,"box":{"x":265,"y":602,"width":625,"height":11}},{"id":"7e512115-2c21-49f7-9d19-9741ae41b6e2","block_type":"box","text":"audit committee financial exper t, as such term is defined in the applicable Commission","page_number":20,"box":{"x":265,"y":617,"width":623,"height":11}},{"id":"77142a97-2d70-430a-a370-58553131e9d3","block_type":"box","text":"rules.","page_number":20,"box":{"x":265,"y":633,"width":38,"height":8}},{"id":"20ecc881-fd5d-4256-a914-a8199792f35a","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":655,"width":806,"height":11}},{"id":"a2914b0f-0375-435f-9f30-8b4852a6ce79","block_type":"box","text":"global exper tise gained through his 35 year career at KPMG, a global professional","page_number":20,"box":{"x":264,"y":670,"width":584,"height":11}},{"id":"12130c95-3442-490a-a39b-43e143427711","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":686,"width":622,"height":11}},{"id":"2c440e37-b416-4ed4-8bff-d9b9d39169f6","block_type":"box","text":"organizations. He has extensive experience with issues facing complex, global companies","page_number":20,"box":{"x":265,"y":700,"width":638,"height":12}},{"id":"056465e6-40f6-4916-aa3a-6323fe0621e9","block_type":"box","text":"and exper tise in financial repor ting, accounting, auditing, risk management, and","page_number":20,"box":{"x":265,"y":715,"width":570,"height":12}},{"id":"ac97debc-6bfa-4bc9-a725-e0bd0343a713","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":731,"width":642,"height":11}},{"id":"4515d917-b8d5-4996-9477-9a04024e0c8f","block_type":"box","text":"audit committee chair to both publicly and privately held organizations across numerous","page_number":20,"box":{"x":265,"y":746,"width":626,"height":11}},{"id":"ccdfcdb3-68e0-4d34-8e7b-fc8179e9e277","block_type":"box","text":"industries including professional services, proper ty and casualty reinsurance, insurance,","page_number":20,"box":{"x":265,"y":761,"width":630,"height":11}},{"id":"703b018c-ea37-4f77-83b8-76ac6f2502d3","block_type":"box","text":"diversified financial services, banking, direct to consumer, business to business and","page_number":20,"box":{"x":265,"y":776,"width":602,"height":11}},{"id":"f454dfad-93ea-4f71-ac1f-9d7766f7d670","block_type":"box","text":"technology. Mr. Keizer is a cer tified public accountant and also served on the board of the","page_number":20,"box":{"x":264,"y":791,"width":643,"height":11}},{"id":"82368e20-5d52-49e5-ab71-67a0a801b392","block_type":"box","text":"American Institute of Cer tified Public Accountants. Mr. Keizer has been determined by the","page_number":20,"box":{"x":264,"y":806,"width":639,"height":11}},{"id":"9c30bda1-5a62-4001-bcd7-bc61804cbdaa","block_type":"box","text":"Audit Committee to be an audit committee financial exper t, as such term is defined in the","page_number":20,"box":{"x":264,"y":821,"width":641,"height":11}},{"id":"7738bd23-cf0b-47a4-971f-a685f48c4386","block_type":"box","text":"applicable Commission rules.","page_number":20,"box":{"x":265,"y":837,"width":208,"height":10}},{"id":"7fc2ec9b-f2fc-46ce-be2f-17f1afdb8a87","block_type":"box","text":"I-11","page_number":20,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"f5b36ed5-1eb6-4058-a88e-3e26dcc206e5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":20,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"17e28a87-a705-469f-9f35-6712f6c2adb7","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":21,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"b99314d2-07f7-47e1-bb9a-fea709af5f4e","block_type":"box","text":"Cynthia A. Montgomery Cynthia A. Montgomery has served for over 20 years on the boards of registered","page_number":21,"box":{"x":69,"y":65,"width":769,"height":12}},{"id":"fb90c572-6ffe-43d7-82a2-7cff8abb2386","block_type":"box","text":"investment companies, most recently as a member of the boards of cer tain BlackRock","page_number":21,"box":{"x":265,"y":81,"width":621,"height":11}},{"id":"84fdf44d-4d19-44df-b083-90ece4150687","block_type":"box","text":"advised Funds and predecessor funds, including the legacy Merrill Lynch Investment","page_number":21,"box":{"x":265,"y":96,"width":599,"height":11}},{"id":"fd06df2e-91f3-47bd-a4e5-ca835f7f3ea7","block_type":"box","text":"Managers, L.P. (“MLIM”) funds. The Board benefits from Ms. Montgomery’s more than 20","page_number":21,"box":{"x":265,"y":111,"width":641,"height":11}},{"id":"39207d54-385c-4deb-9c19-8850ae371f23","block_type":"box","text":"years of academic experience as a professor at Harvard Business School where she","page_number":21,"box":{"x":264,"y":126,"width":602,"height":11}},{"id":"b2acd356-8f2d-4d5e-bba6-0c5b1f746295","block_type":"box","text":"taught courses on corporate strategy and corporate governance. Ms. Montgomery also","page_number":21,"box":{"x":264,"y":141,"width":617,"height":11}},{"id":"140a5028-607b-4881-94ac-dfd993c8d054","block_type":"box","text":"has business management and corporate governance experience through her service on","page_number":21,"box":{"x":265,"y":156,"width":629,"height":11}},{"id":"9f26c628-329a-46ae-9211-c0263f7db8ff","block_type":"box","text":"the corporate boards of a variety of public companies. She has also authored numerous","page_number":21,"box":{"x":264,"y":171,"width":628,"height":11}},{"id":"fa287584-2ab2-42b4-a237-9ebc606effa6","block_type":"box","text":"ar ticles and books on these topics.","page_number":21,"box":{"x":265,"y":187,"width":251,"height":10}},{"id":"106117ad-f762-4234-a87e-d493c001ff3e","block_type":"box","text":"Donald C. Opatrny Donald C. Opatrny has more than 40 years of business, oversight and executive","page_number":21,"box":{"x":70,"y":209,"width":764,"height":11}},{"id":"2a03db8f-2eca-4831-ab77-b4c4836bb1c2","block_type":"box","text":"experience, including through his service as president, director and investment committee","page_number":21,"box":{"x":265,"y":224,"width":642,"height":11}},{"id":"bb326328-316d-47a9-b5a9-2d6c7db11816","block_type":"box","text":"chair for academic and not-for-profit organizations, and his experience as a par tner,","page_number":21,"box":{"x":264,"y":239,"width":593,"height":12}},{"id":"1196b2b2-edd7-48c0-a361-7d3f8d36baee","block_type":"box","text":"managing director and advisory director at Goldman Sachs for 32 years. He also has","page_number":21,"box":{"x":265,"y":254,"width":603,"height":12}},{"id":"b5b74838-2b79-4651-92fa-92fca928e1ff","block_type":"box","text":"investment management experience as a board member of Athena Capital Advisors LLC.","page_number":21,"box":{"x":265,"y":269,"width":629,"height":12}},{"id":"311150ff-d3b9-425e-8cdf-6aa13308c357","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":292,"width":804,"height":11}},{"id":"47827426-883a-492e-978a-7018406c2d08","block_type":"box","text":"most notably as the first Director of the Office of Compliance Inspections and","page_number":21,"box":{"x":265,"y":307,"width":552,"height":11}},{"id":"a5a8afee-8f2b-4131-9895-cad2e1182d32","block_type":"box","text":"Examinations (“OCIE”) of the Securities and Exchange Commission (“SEC”) from 1995 to","page_number":21,"box":{"x":265,"y":322,"width":636,"height":12}},{"id":"32454bdd-3beb-424b-be98-704ab6b0c9a9","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":338,"width":639,"height":11}},{"id":"5bbc8875-d286-4885-b754-ef2359a8b805","block_type":"box","text":"oversight program for advisers, mutual funds, hedge funds, broker-dealers, stock","page_number":21,"box":{"x":265,"y":353,"width":576,"height":11}},{"id":"e5e961b2-8638-41b6-be40-dc42567287a9","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":368,"width":626,"height":11}},{"id":"60b3ef1d-f13b-49cf-96a4-a1e9e4d7de8f","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":383,"width":592,"height":11}},{"id":"ce02d549-eb65-4c9d-80b6-db9d5ddc219f","block_type":"box","text":"Regional Office and executive assistant and senior advisor to then SEC Chairman Ar thur","page_number":21,"box":{"x":265,"y":398,"width":629,"height":11}},{"id":"7df10806-99e1-47de-93a8-4d3b5fd97b9c","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":413,"width":626,"height":11}},{"id":"2e45ce03-7a3f-474a-a504-ec2a4639d4e8","block_type":"box","text":"Wealth Management global lines of business at JPMorgan Chase & Co. from 2013 to","page_number":21,"box":{"x":264,"y":428,"width":608,"height":12}},{"id":"4e400d6e-bf23-4b4a-903b-67234a1d87a1","block_type":"box","text":"2018 where she led its global compliance program, advised business leaders on","page_number":21,"box":{"x":265,"y":443,"width":575,"height":12}},{"id":"c74146da-28cf-4ac6-adcb-e83d40e6421c","block_type":"box","text":"compliance issues, oversaw risk assessment, monitoring, testing and training, and","page_number":21,"box":{"x":264,"y":459,"width":591,"height":11}},{"id":"e5a6b31f-34a0-4f31-9248-edf0d5f5b3fb","block_type":"box","text":"maintained relationships with regulators. In addition, Ms. Richards served as a member","page_number":21,"box":{"x":265,"y":474,"width":627,"height":11}},{"id":"01dd8016-8d79-4a23-a08c-622b22058bea","block_type":"box","text":"of the National Adjudicatory Council of the Financial Industry Regulatory Authority","page_number":21,"box":{"x":265,"y":489,"width":578,"height":11}},{"id":"d785823f-7135-433e-931a-efec79b79d97","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":504,"width":607,"height":11}},{"id":"f4ccacc3-545c-49b6-ba08-fcbef5a2fe57","block_type":"box","text":"Prior thereto, from 2010 to 2013, she was a Principal at PricewaterhouseCoopers LLP","page_number":21,"box":{"x":265,"y":519,"width":615,"height":11}},{"id":"1f67a4b5-12fa-4f76-95f6-7933c07aac5f","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":534,"width":638,"height":11}},{"id":"8fc30f91-0395-4f5c-b010-4c6fcc9e26a1","block_type":"box","text":"broad range of financial services clients in designing and implementing risk management","page_number":21,"box":{"x":265,"y":549,"width":635,"height":11}},{"id":"dd2c175c-9658-4961-8187-782da47f862e","block_type":"box","text":"and compliance programs, and preparing for new regulatory expectations. These positions","page_number":21,"box":{"x":265,"y":564,"width":642,"height":12}},{"id":"b5748645-80a2-4e82-9a4d-5b4fe43c9b51","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":580,"width":627,"height":11}},{"id":"dcf5f2e1-2307-4a1c-8459-30e1adf6666c","block_type":"box","text":"as asset management regulation and compliance. In addition, Ms. Richards serves as a","page_number":21,"box":{"x":265,"y":595,"width":628,"height":11}},{"id":"f0ff405b-8c3b-4e45-82e0-678f49f0038b","block_type":"box","text":"member of the Audit Committee and the Compliance Committee.","page_number":21,"box":{"x":265,"y":610,"width":460,"height":11}},{"id":"28162b8d-6265-419b-a8aa-7b655667d07e","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":632,"width":818,"height":12}},{"id":"e7d38345-0e09-4460-85a7-ab77efc67ef8","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":647,"width":603,"height":12}},{"id":"3a6c2b2f-27e7-40b8-b13a-deee10f9abaf","block_type":"box","text":"Delaware as well as from his various positions with First Union Corporation, including","page_number":21,"box":{"x":265,"y":663,"width":606,"height":11}},{"id":"493c7f09-2063-4bf7-bee1-4c7aabec4dc2","block_type":"box","text":"Senior Vice President and State Investment Director of First Investment Advisors. The","page_number":21,"box":{"x":265,"y":678,"width":608,"height":9}},{"id":"6ca5c083-5a1d-47a1-a76a-92bd1f68f886","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":693,"width":626,"height":11}},{"id":"16a039b9-93f6-4525-b2e2-aabe11635051","block_type":"box","text":"university endowment and from the oversight experience he gained from service on","page_number":21,"box":{"x":265,"y":708,"width":591,"height":11}},{"id":"41e8cc0f-e126-4d06-bfa3-6500dd71b42f","block_type":"box","text":"various private and non-profit boards.","page_number":21,"box":{"x":264,"y":723,"width":265,"height":11}},{"id":"2d5020fd-5cbe-457e-8cbb-0519edc58bf1","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":746,"width":833,"height":11}},{"id":"2ef4ec60-852e-406e-9dbb-15f9de2c6f4d","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":761,"width":638,"height":11}},{"id":"6fe42754-c4d0-4495-aa1a-5a9ea63be7c1","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":776,"width":608,"height":11}},{"id":"f8560b8b-70aa-4c80-bf20-1568ccee1d21","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":791,"width":645,"height":11}},{"id":"8a5ad11d-4058-4607-aecf-f36e788f6866","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":806,"width":639,"height":9}},{"id":"aca3ebc9-9fc1-416d-81ad-b49fcc1e022c","block_type":"box","text":"years, where he was Chair of the Investment Policy and Strategy Committee with","page_number":21,"box":{"x":264,"y":821,"width":573,"height":12}},{"id":"637f8867-7901-41fb-8da8-ddb5de1d4c5b","block_type":"box","text":"responsibility for overall asset allocation and investment strategy. Mr. Stern also served","page_number":21,"box":{"x":265,"y":836,"width":625,"height":12}},{"id":"6fa3260a-187a-4afe-bbac-dbd6ca4375d3","block_type":"box","text":"as Chair of the Private Clients Investment group at AllianceBernstein. These positions","page_number":21,"box":{"x":265,"y":852,"width":610,"height":11}},{"id":"c00dfe16-70fc-47ab-8742-f82e2572dbc3","block_type":"box","text":"provide Mr. Stern with insight and perspective into investment management, the economy,","page_number":21,"box":{"x":265,"y":867,"width":642,"height":11}},{"id":"42e856be-2ded-4975-806a-6a07aaaf22f4","block_type":"box","text":"and fiduciary governance. Mr. Stern also served as consultant to the Independent","page_number":21,"box":{"x":265,"y":882,"width":583,"height":11}},{"id":"939c33d8-9db3-4390-9e43-544a12015e7a","block_type":"box","text":"Trustees prior to becoming an Independent Trustee.","page_number":21,"box":{"x":264,"y":897,"width":369,"height":11}},{"id":"47ea777d-40ef-44e1-84b6-c2963bced4e2","block_type":"box","text":"I-12","page_number":21,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"56590cfd-ffee-4f08-b023-0dd73f067d08","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":21,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8560d311-6d38-455e-bb88-984c61d2c520","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":22,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"cdc5bbb4-4fe1-424d-a5e7-31e9b5a9b007","block_type":"box","text":"Kenneth L. Urish Kenneth L. Urish has served for over 15 years on the boards of registered investment","page_number":22,"box":{"x":70,"y":65,"width":807,"height":12}},{"id":"d6f01f11-5143-4263-9079-70a03e7442e0","block_type":"box","text":"companies, most recently as a member of the boards of cer tain BlackRock-advised Funds","page_number":22,"box":{"x":264,"y":81,"width":641,"height":11}},{"id":"bc26614c-bf90-48f1-9b56-0e9b373a6ffb","block_type":"box","text":"and predecessor funds, including the legacy BlackRock funds. He has over 30 years of","page_number":22,"box":{"x":265,"y":96,"width":618,"height":11}},{"id":"ea365c79-54af-4c11-b1ce-fab6e5c89641","block_type":"box","text":"experience in public accounting. Mr. Urish has served as a managing member of an","page_number":22,"box":{"x":265,"y":111,"width":594,"height":11}},{"id":"ec170160-c64b-47b0-b9d2-792649542cbc","block_type":"box","text":"accounting and consulting firm. Mr. Urish has been determined by the Audit Committee to","page_number":22,"box":{"x":265,"y":126,"width":639,"height":11}},{"id":"247289f4-d4f5-4d9d-b991-c4b550151fe8","block_type":"box","text":"be an audit committee financial exper t, as such term is defined in the applicable","page_number":22,"box":{"x":265,"y":141,"width":575,"height":11}},{"id":"96c59c55-33e7-4821-a94c-9afab5139ec2","block_type":"box","text":"Commission rules.","page_number":22,"box":{"x":265,"y":156,"width":131,"height":9}},{"id":"68ba2453-eae0-4972-bf08-59990001d0ed","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":179,"width":808,"height":11}},{"id":"1228ec74-027a-4522-960d-022aef0f3d2f","block_type":"box","text":"served as the Chief Operating Officer and Chief Financial Officer of Liber ty Square Asset","page_number":22,"box":{"x":265,"y":194,"width":630,"height":11}},{"id":"14be15f9-1e52-4814-8c35-7b4708de8c3d","block_type":"box","text":"Management, LP / Steel Par tners Japan Asset Management, LP from 1998 to 2015, an","page_number":22,"box":{"x":265,"y":209,"width":627,"height":11}},{"id":"d584c986-4724-440f-a098-169f56cb3b2b","block_type":"box","text":"investment manager that specialized in long/shor t non-U.S. equity investments, and was","page_number":22,"box":{"x":265,"y":224,"width":632,"height":11}},{"id":"b6218f3b-a13d-465a-b496-6e6df901693a","block_type":"box","text":"an owner and General Par tner of Neon Liber ty Capital Management, LLC from 2003 to","page_number":22,"box":{"x":265,"y":239,"width":615,"height":12}},{"id":"fc644fa7-8bea-4b53-b313-be710feb0e22","block_type":"box","text":"2023, a firm focusing on long/shor t equities in global emerging and frontier markets.","page_number":22,"box":{"x":265,"y":254,"width":608,"height":12}},{"id":"3f4a927e-84ee-4b09-8e0c-407d49687068","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":270,"width":620,"height":11}},{"id":"ea0cbd56-b6b5-4b2d-b1cd-7290a8be44ff","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":285,"width":584,"height":11}},{"id":"6d2cda07-b6f3-4763-bf91-f35494c9df1f","block_type":"box","text":"committee financial exper t, as such term is defined in the applicable Commission rules.","page_number":22,"box":{"x":264,"y":300,"width":629,"height":11}},{"id":"4bfb4bbd-a758-4035-844f-2425cffd477e","block_type":"box","text":"Interested Trustees","page_number":22,"box":{"x":70,"y":323,"width":138,"height":8}},{"id":"b1d6b747-ceec-4b35-ba48-a8c9d5d52088","block_type":"box","text":"Rober t Fairbairn Rober t Fairbairn has more than 25 years of experience with BlackRock, Inc. and over 30","page_number":22,"box":{"x":70,"y":338,"width":823,"height":11}},{"id":"96e61c06-9d87-45be-abaa-988b447e0825","block_type":"box","text":"years of experience in finance and asset management. In par ticular, Mr. Fairbairn’s","page_number":22,"box":{"x":264,"y":353,"width":593,"height":11}},{"id":"68fb2ab4-76ed-4f1d-b7dd-1572c5d4f80e","block_type":"box","text":"positions as Vice Chairman of BlackRock, Inc., Member of BlackRock’s Global Operating","page_number":22,"box":{"x":265,"y":368,"width":629,"height":11}},{"id":"964f9dc8-db1a-4332-b6a2-94bcb1d519fd","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":383,"width":639,"height":11}},{"id":"3582bb82-9e0e-4962-9046-1f25e2fd32c8","block_type":"box","text":"a wealth of practical business knowledge and leadership. In addition, Mr. Fairbairn has","page_number":22,"box":{"x":265,"y":398,"width":617,"height":11}},{"id":"75c326e1-03da-48bf-b456-51f7f94d5304","block_type":"box","text":"global investment management and oversight experience through his former positions as","page_number":22,"box":{"x":264,"y":413,"width":634,"height":11}},{"id":"5a26bfb0-ddf5-462e-a0cc-f3de9d1be5b2","block_type":"box","text":"Member of BlackRock’s Global Executive Committee, Global Head of BlackRock’s Retail","page_number":22,"box":{"x":265,"y":428,"width":624,"height":11}},{"id":"c95577d6-ad81-4bdb-b392-99745a14d743","block_type":"box","text":"and iShares","page_number":22,"box":{"x":265,"y":443,"width":84,"height":9}},{"id":"8c70baae-6627-4824-893b-2679a483f701","block_type":"box","text":"®","page_number":22,"box":{"x":350,"y":444,"width":6,"height":4}},{"id":"7d8b17ab-8e57-4f18-87c8-eec8d344e85a","block_type":"box","text":"businesses, Head of BlackRock’s Global Client Group, Chairman of","page_number":22,"box":{"x":362,"y":443,"width":478,"height":11}},{"id":"59c1b653-2d0c-4c46-b8e6-0873db534df8","block_type":"box","text":"BlackRock’s international businesses and his previous oversight over BlackRock’s","page_number":22,"box":{"x":265,"y":459,"width":585,"height":11}},{"id":"b19e5667-0fe6-440b-9fc7-1aa3a0009f6f","block_type":"box","text":"Strategic Par tner Program and Strategic Product Management Group. Mr. Fairbairn also","page_number":22,"box":{"x":265,"y":474,"width":620,"height":11}},{"id":"c6157527-7342-455f-97ba-41ae1478a294","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":489,"width":578,"height":11}},{"id":"f38f37f8-981b-45da-81cb-ba0ddf6a5c02","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":511,"width":800,"height":12}},{"id":"7d368f36-39f5-437f-b276-6e061dcfa71d","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":526,"width":593,"height":12}},{"id":"1e5bf38c-fcec-4a08-a43b-13770070efbe","block_type":"box","text":"BlackRock Global Business Operations Services since 2009, and as President and Chief","page_number":22,"box":{"x":265,"y":542,"width":633,"height":11}},{"id":"cf9e2281-339f-4f85-b775-1654b9b6b5df","block_type":"box","text":"Executive Officer of the BlackRock-advised Funds provides him with a strong","page_number":22,"box":{"x":265,"y":557,"width":542,"height":11}},{"id":"a0df4a84-47e6-49ed-8ff0-508be3f734eb","block_type":"box","text":"understanding of the BlackRock-advised Funds, their operations, and the business and","page_number":22,"box":{"x":265,"y":572,"width":617,"height":11}},{"id":"7d7404cf-68f4-4544-b54e-77d9c71a7c4e","block_type":"box","text":"regulatory issues facing the BlackRock-advised Funds. Mr. Perlowski’s prior position as","page_number":22,"box":{"x":265,"y":587,"width":620,"height":11}},{"id":"89c58277-20c3-4498-907a-71d9633bcab7","block_type":"box","text":"Managing Director and Chief Operating Officer of the Global Product Group at Goldman","page_number":22,"box":{"x":265,"y":602,"width":616,"height":11}},{"id":"0c729328-a821-4441-a5d8-fbb31cb01cec","block_type":"box","text":"Sachs Asset Management, and his former service as Treasurer and Senior Vice President","page_number":22,"box":{"x":265,"y":617,"width":639,"height":12}},{"id":"68fab951-5c6c-4f50-986b-8e2739236097","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":632,"width":603,"height":9}},{"id":"b6eed87b-bebf-491c-9828-8623db1b3c3c","block_type":"box","text":"Funds provides the Board with the benefit of his experience with the management","page_number":22,"box":{"x":265,"y":647,"width":582,"height":12}},{"id":"c89aedbc-bb46-4185-adc2-59897636e1fe","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":663,"width":632,"height":11}},{"id":"7f5d597c-e3ef-47a4-9471-37e1598a08ee","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":678,"width":572,"height":11}},{"id":"f63c66f5-15d2-40b6-981a-31e553096fdc","block_type":"box","text":"BlackRock’s Global Executive Committee.","page_number":22,"box":{"x":265,"y":693,"width":294,"height":9}},{"id":"6efdbbf7-bd20-458a-b259-48acbe3febd5","block_type":"box","text":"Biographical Information","page_number":22,"box":{"x":69,"y":724,"width":178,"height":11}},{"id":"52ebd780-6696-4284-8632-49fbecf37110","block_type":"box","text":"Cer tain biographical and other information relating to the Trustees of the Trust is set for th below, including their","page_number":22,"box":{"x":102,"y":747,"width":798,"height":11}},{"id":"7c24c112-87b6-42a1-9534-392fea5f1154","block_type":"box","text":"address and year of bir th, principal occupations for at least the last five years, length of time served, total number of","page_number":22,"box":{"x":69,"y":762,"width":836,"height":11}},{"id":"a69be552-c2a6-4e85-8599-24a8df37ecf1","block_type":"box","text":"registered investment companies and investment por tfolios overseen in the BlackRock-advised Funds and any","page_number":22,"box":{"x":69,"y":777,"width":785,"height":12}},{"id":"5701c727-e3fa-441a-9744-161993bf5a53","block_type":"box","text":"currently held public company and other investment company directorships.","page_number":22,"box":{"x":69,"y":793,"width":536,"height":11}},{"id":"3b390dbb-c356-48af-9fcf-a2ecdf329374","block_type":"box","text":"I-13","page_number":22,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"af554281-3c36-4cd7-b4ce-63319c7297c5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":22,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"68625680-312f-4d6d-afb0-9abc7073e82b","block_type":"box","text":"Name","page_number":23,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"7f9368b3-f5ca-488d-a5cb-d071ffd77f13","block_type":"box","text":"and Year of Birth","page_number":23,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"b6f703f9-c22c-4b95-b443-4b439b767dad","block_type":"box","text":"1,2","page_number":23,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"81277a3f-fecc-4206-9141-e86d23418599","block_type":"box","text":"Position(s)","page_number":23,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"19472533-cc43-40c4-b8de-f843a4197391","block_type":"box","text":"Held","page_number":23,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"11523849-e0f7-482c-812c-bc9f1bc06a20","block_type":"box","text":"(Length of","page_number":23,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"86b90f32-d3f3-4d19-8f72-db6a5e69e66b","block_type":"box","text":"Service)","page_number":23,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"17cd858f-cc5c-4b65-b0c8-e1efaac76402","block_type":"box","text":"3","page_number":23,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"beccaf72-d8f7-4293-948d-3888da442abd","block_type":"box","text":"Principal Occupation(s)","page_number":23,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"fbc903ac-c435-4f83-a38f-077403c78837","block_type":"box","text":"During Past Five Years","page_number":23,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"9844ede9-dabb-4f08-9092-d30fead219f5","block_type":"box","text":"Number of","page_number":23,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"fe35e93b-c570-4fa8-beae-7f91eb77b00a","block_type":"box","text":"BlackRock","page_number":23,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"d3b7440d-713c-4114-ba99-45f768aab7b1","block_type":"box","text":"Advised","page_number":23,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"8726ea83-6be3-4d0a-82e4-f08b0058fef5","block_type":"box","text":"Registered","page_number":23,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"f832a4df-70a2-4424-bec7-f0b7e9546712","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"d7925258-5dec-4d93-adcb-a3ceff85673f","block_type":"box","text":"Companies","page_number":23,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"611ed601-6a31-4ba1-b57b-386a4d9182b8","block_type":"box","text":"(“RICs”)","page_number":23,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"b7c7114c-10d2-4503-a892-1f5d41ae2dac","block_type":"box","text":"Consisting of","page_number":23,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"30d20a94-4fd6-4226-a70f-c31885a197d1","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"abaa25b2-26f1-47dd-94aa-fef4c3c34565","block_type":"box","text":"Portfolios","page_number":23,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"eb0b6521-f6c4-47e4-9ddd-e39fb4061cbd","block_type":"box","text":"(“Portfolios”)","page_number":23,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"876f5291-231e-4d15-a63b-b54e3e026b55","block_type":"box","text":"Overseen","page_number":23,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"ed5a075e-e12f-4530-ba8a-37e2473f8748","block_type":"box","text":"Public","page_number":23,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"8370a4e6-9fb9-4b80-bd60-0c5284a13ac5","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"da8b4e55-36cc-4151-9545-cdeeaf746df0","block_type":"box","text":"and Other","page_number":23,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"2818cbe4-f91e-41e8-8b9f-8e3c78dccddf","block_type":"box","text":"Investment","page_number":23,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"cae5bbe0-ef59-4f5f-bd65-55dd09b5202e","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"09ed69b4-6c61-4232-9d5b-f31a5c0207de","block_type":"box","text":"Directorships","page_number":23,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"d650a4f9-b302-4996-bbb9-9599931138e5","block_type":"box","text":"Held During","page_number":23,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"c1db998a-6726-4c00-9ab6-1f3dcd180e5a","block_type":"box","text":"Past Five Years","page_number":23,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"82b2e0d1-3cf7-4a0e-9d62-62a6d26874b4","block_type":"box","text":"Independent Trustees","page_number":23,"box":{"x":70,"y":174,"width":138,"height":10}},{"id":"c14f166c-2272-464f-bda0-cca24f756857","block_type":"box","text":"Mark Stalnecker","page_number":23,"box":{"x":69,"y":192,"width":98,"height":8}},{"id":"ca59c50d-5a75-4fef-b8b1-21ac74709089","block_type":"box","text":"1951","page_number":23,"box":{"x":69,"y":208,"width":33,"height":8}},{"id":"1cc3119f-d29f-4fa8-8813-d7c28f059de8","block_type":"box","text":"Chair of the","page_number":23,"box":{"x":235,"y":192,"width":69,"height":8}},{"id":"b7d56c52-1654-4e31-8c6f-4948978901c7","block_type":"box","text":"Board","page_number":23,"box":{"x":236,"y":204,"width":34,"height":8}},{"id":"283bc3b4-27a8-4a86-a011-faed3545d1d9","block_type":"box","text":"(Since 2019)","page_number":23,"box":{"x":235,"y":216,"width":78,"height":10}},{"id":"75f47d96-6354-448f-a764-d1fd61048357","block_type":"box","text":"and","page_number":23,"box":{"x":235,"y":228,"width":22,"height":8}},{"id":"7f546037-e066-41e0-bcc2-e03319102444","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":240,"width":45,"height":8}},{"id":"8ebc9f4f-17e8-4f30-bde0-cb5444e48039","block_type":"box","text":"(Since 2015)","page_number":23,"box":{"x":235,"y":252,"width":78,"height":9}},{"id":"8165de86-3531-441d-9146-ff3354b66b8a","block_type":"box","text":"Chief Investment Officer, University of","page_number":23,"box":{"x":343,"y":192,"width":226,"height":10}},{"id":"f48f3ec2-d09d-4526-8482-7b5041d708b6","block_type":"box","text":"Delaware from 1999 to 2013; Trustee and","page_number":23,"box":{"x":343,"y":204,"width":257,"height":9}},{"id":"8a97f1bf-a778-4d06-9bd0-bad4b0239a12","block_type":"box","text":"Chair of the Finance and Investment","page_number":23,"box":{"x":343,"y":216,"width":217,"height":8}},{"id":"007ea0d6-832c-4f21-9364-1f324d77da1e","block_type":"box","text":"Committees, Winterthur Museum and","page_number":23,"box":{"x":343,"y":228,"width":227,"height":9}},{"id":"723177e3-79a8-4536-bc3f-089a05f8115e","block_type":"box","text":"Country Estate from 2005 to 2016; Member","page_number":23,"box":{"x":343,"y":240,"width":270,"height":10}},{"id":"1e7176e1-e09c-4fd3-ae70-dc74c4d32da7","block_type":"box","text":"of the Investment Committee, Delaware","page_number":23,"box":{"x":343,"y":251,"width":239,"height":10}},{"id":"7df628df-5a04-4dd2-acfe-1202ef7043fd","block_type":"box","text":"Public Employees’ Retirement System from","page_number":23,"box":{"x":343,"y":263,"width":259,"height":11}},{"id":"70407f4d-b86e-4e3f-85ae-2bb9ed4f23f7","block_type":"box","text":"2002 to 2024; Member of the Investment","page_number":23,"box":{"x":343,"y":275,"width":254,"height":10}},{"id":"2acf32e3-6a6a-4358-9a18-edd85de67940","block_type":"box","text":"Committee, Christiana Care Health System","page_number":23,"box":{"x":343,"y":288,"width":258,"height":9}},{"id":"64ee697a-eef6-4e16-9809-7f1c3ff8ea2e","block_type":"box","text":"from 2009 to 2017; Member of the","page_number":23,"box":{"x":342,"y":299,"width":215,"height":10}},{"id":"1b9a5f09-88c2-4ff6-b724-4d1019c1993b","block_type":"box","text":"Investment Committee, Delaware Community","page_number":23,"box":{"x":343,"y":311,"width":273,"height":10}},{"id":"8cbfd17b-80d8-4deb-80d7-95e614bd50ec","block_type":"box","text":"Foundation from 2013 to 2014; Director and","page_number":23,"box":{"x":343,"y":323,"width":269,"height":10}},{"id":"284d11b6-ed54-4a50-8a66-bf98b8d36073","block_type":"box","text":"Chair of the Audit Committee, SEI Private","page_number":23,"box":{"x":343,"y":335,"width":246,"height":10}},{"id":"6cc369e3-7bb0-42cd-95f3-3b949373c84a","block_type":"box","text":"Trust Co. from 2001 to 2014.","page_number":23,"box":{"x":342,"y":347,"width":180,"height":8}},{"id":"999683fa-a96a-40d8-9fbb-a9a2f08c8987","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":192,"width":129,"height":10}},{"id":"57b47c59-f03b-4b71-83d2-d46ad142aaa7","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":204,"width":85,"height":8}},{"id":"8fbcc378-38ac-4d54-ac42-20fbd8674ff7","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":192,"width":30,"height":8}},{"id":"2c8de154-d760-4d5b-a0c7-ea1c968b203a","block_type":"box","text":"Christopher J. Ailman","page_number":23,"box":{"x":69,"y":365,"width":126,"height":10}},{"id":"410b352d-b315-4931-ba01-863e876b8652","block_type":"box","text":"1958","page_number":23,"box":{"x":69,"y":381,"width":33,"height":8}},{"id":"a964cac5-b3e5-4b75-8306-f119d44123ba","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":365,"width":45,"height":8}},{"id":"9cf36950-0818-4615-8d4f-b96801544d74","block_type":"box","text":"(Since 2024)","page_number":23,"box":{"x":235,"y":377,"width":78,"height":10}},{"id":"21f0d9f8-c83f-4e80-a54c-56c96df9e1f7","block_type":"box","text":"Principal, Ailman Advisers, since 2024; Chief","page_number":23,"box":{"x":343,"y":365,"width":270,"height":10}},{"id":"2d675580-022b-40a1-8a03-33013c80743b","block_type":"box","text":"Investment Officer, California State Teachers","page_number":23,"box":{"x":343,"y":377,"width":268,"height":9}},{"id":"7d8f02a5-4dcb-43bf-9e3e-992fe48f3352","block_type":"box","text":"Retirement System (CalSTRS) from 2000 to","page_number":23,"box":{"x":343,"y":389,"width":264,"height":10}},{"id":"76610d3c-27ce-472c-823a-40fa8061d668","block_type":"box","text":"2024.","page_number":23,"box":{"x":343,"y":401,"width":36,"height":8}},{"id":"9012dce7-121c-4531-9b6f-1c834ae9a626","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":365,"width":129,"height":10}},{"id":"8e5e32f9-870d-4bdb-8c20-418510df785a","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":377,"width":85,"height":8}},{"id":"f42ba99f-1f2a-46ce-812c-7efb1d30cd61","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":365,"width":30,"height":8}},{"id":"1a7131b1-43d6-4a11-9193-45d06c72aee1","block_type":"box","text":"Susan J. Carter","page_number":23,"box":{"x":69,"y":419,"width":93,"height":8}},{"id":"c8ebaa51-be4d-47e4-b8e5-2fc74def7ca5","block_type":"box","text":"1956","page_number":23,"box":{"x":69,"y":434,"width":33,"height":8}},{"id":"9c156b5e-f1e9-4fb7-883a-ae9ef6f6b7b1","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":419,"width":45,"height":8}},{"id":"749f108a-a99f-44f9-b29d-90b40b65159d","block_type":"box","text":"(Since 2016)","page_number":23,"box":{"x":235,"y":431,"width":78,"height":9}},{"id":"d47066e6-d61c-47f6-8e78-09226aa562f7","block_type":"box","text":"Trustee, Financial Accounting Foundation","page_number":23,"box":{"x":342,"y":419,"width":246,"height":10}},{"id":"57e36913-5fa0-41da-b52c-5f47969366f4","block_type":"box","text":"from 2017 to 2021; Advisory Board","page_number":23,"box":{"x":342,"y":430,"width":217,"height":10}},{"id":"025742f7-a112-4ade-a4b7-f0ee0c9713f2","block_type":"box","text":"Member, Center for Private Equity and","page_number":23,"box":{"x":343,"y":442,"width":227,"height":10}},{"id":"60c8cc90-f499-4399-9228-bdc7e5228198","block_type":"box","text":"Entrepreneurship at Tuck School of Business","page_number":23,"box":{"x":343,"y":454,"width":270,"height":10}},{"id":"8ded3033-b72b-472e-b988-6f5728242c15","block_type":"box","text":"from 1997 to 2021; Director, Pacific Pension","page_number":23,"box":{"x":342,"y":466,"width":272,"height":10}},{"id":"1e96c09b-b777-4274-b126-fed019319b4a","block_type":"box","text":"Institute from 2014 to 2018; Senior Advisor,","page_number":23,"box":{"x":343,"y":478,"width":267,"height":10}},{"id":"51127790-f64d-46ab-b98c-6ceea40ef89e","block_type":"box","text":"Commonfund Capital, Inc. (“CCI”)","page_number":23,"box":{"x":343,"y":490,"width":201,"height":10}},{"id":"a3b35fa5-3cf4-41ec-907d-6c3530598022","block_type":"box","text":"(investment adviser) in 2015; Chief Executive","page_number":23,"box":{"x":343,"y":502,"width":272,"height":10}},{"id":"7d890ead-ced7-44c6-9127-ae79b5b72494","block_type":"box","text":"Officer, CCI from 2013 to 2014; President &","page_number":23,"box":{"x":343,"y":514,"width":268,"height":10}},{"id":"5de4118b-b16b-46fe-a759-3226114c0660","block_type":"box","text":"Chief Executive Officer, CCI from 1997 to","page_number":23,"box":{"x":343,"y":526,"width":247,"height":10}},{"id":"be237652-5e6e-4b09-bbfc-abbd93265e7e","block_type":"box","text":"2013; Advisory Board Member, Girls Who","page_number":23,"box":{"x":343,"y":538,"width":250,"height":10}},{"id":"81321475-bfcd-46fa-8893-955eb3846dbe","block_type":"box","text":"Invest from 2015 to 2018 and Board","page_number":23,"box":{"x":343,"y":550,"width":223,"height":8}},{"id":"f11c1b92-ab77-457a-8400-8519af1a4eb6","block_type":"box","text":"Member thereof from 2018 to 2022;","page_number":23,"box":{"x":343,"y":562,"width":222,"height":10}},{"id":"8aa88046-e5dc-40ab-b724-e10198ad19f6","block_type":"box","text":"Advisory Board Member, Bridges Fund","page_number":23,"box":{"x":342,"y":574,"width":230,"height":10}},{"id":"825f3323-1f4c-478f-8b30-f70c23c8c224","block_type":"box","text":"Management from 2016 to 2018;","page_number":23,"box":{"x":343,"y":586,"width":204,"height":10}},{"id":"fdf80d91-db2f-4f8c-a64a-292e0b3fb1c0","block_type":"box","text":"Practitioner Advisory Board Member, Private","page_number":23,"box":{"x":343,"y":598,"width":263,"height":10}},{"id":"ffaa4d01-73a4-4b06-af39-427001912990","block_type":"box","text":"Capital Research Institute (“PCRI”) from","page_number":23,"box":{"x":343,"y":610,"width":240,"height":10}},{"id":"d8c01f25-063f-478c-9706-ab451d3d3949","block_type":"box","text":"2017 to 2024; Lecturer in the Practice of","page_number":23,"box":{"x":343,"y":622,"width":249,"height":9}},{"id":"a27161d5-36ae-4b5e-be16-33fdd48a1b61","block_type":"box","text":"Management, Yale School of Management","page_number":23,"box":{"x":343,"y":634,"width":255,"height":10}},{"id":"66a9c89f-5e3e-43a6-bfce-8e971acf3467","block_type":"box","text":"from 2019 to 2025; Advisor to Finance","page_number":23,"box":{"x":342,"y":646,"width":236,"height":9}},{"id":"e58ed43d-1d26-4b4f-83cd-e79f2643a420","block_type":"box","text":"Committee, Altman Foundation from 2020 to","page_number":23,"box":{"x":343,"y":658,"width":271,"height":9}},{"id":"89d8b41a-3b2e-4e80-872e-f3c376ab5c2b","block_type":"box","text":"2024; Investment Committee Member,","page_number":23,"box":{"x":343,"y":670,"width":234,"height":9}},{"id":"e33689fa-c37b-47fd-abc5-ff2fd4b0563b","block_type":"box","text":"Tostan since 2021; Member of the","page_number":23,"box":{"x":342,"y":682,"width":210,"height":9}},{"id":"d3cd73e4-f1b6-4269-ab19-22337d42755c","block_type":"box","text":"President’s Counsel, Commonfund since","page_number":23,"box":{"x":343,"y":694,"width":245,"height":9}},{"id":"75fa7772-3020-4742-bc56-1aafc6840ab0","block_type":"box","text":"2023.","page_number":23,"box":{"x":343,"y":706,"width":36,"height":8}},{"id":"7aae2161-efc2-438b-9055-3e8c7e0fcb2f","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":418,"width":129,"height":11}},{"id":"555525c1-10cc-4fc9-9585-e2ffb47522af","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":430,"width":85,"height":9}},{"id":"e1821ef6-1b12-4fc5-b11b-442748d7cb05","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":419,"width":30,"height":8}},{"id":"de68844b-e18f-4dd6-a00f-ccef338213d9","block_type":"box","text":"Collette Chilton","page_number":23,"box":{"x":69,"y":723,"width":90,"height":8}},{"id":"44c718a6-6c02-4219-98ab-cb097f3ff939","block_type":"box","text":"1958","page_number":23,"box":{"x":69,"y":739,"width":33,"height":8}},{"id":"efaa8a2f-b830-4419-8f68-879c66022286","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":724,"width":45,"height":7}},{"id":"4dbe9955-bcdc-4c57-b120-1878b2370930","block_type":"box","text":"(Since 2015)","page_number":23,"box":{"x":235,"y":735,"width":78,"height":10}},{"id":"79974214-c524-4503-b713-1635fbf96401","block_type":"box","text":"Trustee, UC Berkeley Foundation Board since","page_number":23,"box":{"x":342,"y":723,"width":273,"height":10}},{"id":"636612a2-bb32-4b83-b588-1dff971015b2","block_type":"box","text":"2024; Committee member, Oxford University","page_number":23,"box":{"x":343,"y":735,"width":269,"height":10}},{"id":"517939be-8f15-4b38-86a4-4e61fb032efb","block_type":"box","text":"Endowment Management since 2024;","page_number":23,"box":{"x":343,"y":747,"width":230,"height":10}},{"id":"3cfe6431-3a85-4467-885f-5f1e2861e358","block_type":"box","text":"Senior advisor, Insignia since 2024; Chief","page_number":23,"box":{"x":343,"y":759,"width":252,"height":10}},{"id":"8d41b288-36f5-4e7c-a036-ab3d8bb22156","block_type":"box","text":"Investment Officer, Williams College from","page_number":23,"box":{"x":343,"y":771,"width":247,"height":10}},{"id":"d8b6a5bb-2216-45dd-8c55-9e64273a9ed3","block_type":"box","text":"2006 to 2023; Chief Investment Officer,","page_number":23,"box":{"x":343,"y":783,"width":242,"height":10}},{"id":"b7150086-55bb-41af-bebc-140934796f27","block_type":"box","text":"Lucent Asset Management Corporation from","page_number":23,"box":{"x":343,"y":795,"width":266,"height":10}},{"id":"6aafc489-a60e-4870-b8c8-27d600134dd4","block_type":"box","text":"1998 to 2006; Director, Boys and Girls Club","page_number":23,"box":{"x":343,"y":807,"width":266,"height":10}},{"id":"033c34a9-10fe-482d-a3cb-003ec2516feb","block_type":"box","text":"of Boston since 2017; Director, B1 Capital","page_number":23,"box":{"x":343,"y":819,"width":255,"height":10}},{"id":"ae7006c8-3ebf-40fe-9840-cbe376605540","block_type":"box","text":"since 2018.","page_number":23,"box":{"x":343,"y":831,"width":72,"height":8}},{"id":"382e7c07-bf75-4df7-a8af-9d6766117040","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":723,"width":129,"height":11}},{"id":"f771d4c6-bc06-4729-a082-4db144d007a3","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":735,"width":85,"height":8}},{"id":"db86a193-3444-41f3-89d5-b98c02f51d9e","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":724,"width":30,"height":7}},{"id":"11540b7f-d017-42e1-8fa2-0dfeecbefed0","block_type":"box","text":"I-14","page_number":23,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"67579a93-3918-4560-9ba2-a0dfa2f74817","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":23,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f1c641f0-d2ee-419a-b4b1-e72a444c7d90","block_type":"box","text":"Name","page_number":24,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"041f2858-74ef-426c-a857-08a40d1f730f","block_type":"box","text":"and Year of Birth","page_number":24,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"63402240-64b7-4e5a-812f-97beb00817c4","block_type":"box","text":"1,2","page_number":24,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"b2b8973f-6fba-43fd-b0b7-7a6fab21b8c3","block_type":"box","text":"Position(s)","page_number":24,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"343245c9-78ae-4de8-a4c0-350ac5f6d72d","block_type":"box","text":"Held","page_number":24,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"3f621267-b28d-4bf4-821d-102b7bbbfd94","block_type":"box","text":"(Length of","page_number":24,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"1edf61cd-7d01-4f09-b9eb-9a248a8b92b1","block_type":"box","text":"Service)","page_number":24,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"a66dd927-1f90-4127-8fb1-e3f6dc337872","block_type":"box","text":"3","page_number":24,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"602b124b-661d-4518-97f0-0845b24fa6fb","block_type":"box","text":"Principal Occupation(s)","page_number":24,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"7fb9101f-155b-493b-a14d-94be867a1e0b","block_type":"box","text":"During Past Five Years","page_number":24,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"7ccf7c48-84b4-43dc-a2dd-7d7ef4271617","block_type":"box","text":"Number of","page_number":24,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"1b0b6527-7f62-48cf-a41e-01012921a7f1","block_type":"box","text":"BlackRock","page_number":24,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"b9e5bbcd-2afd-488b-b58e-742552b859f9","block_type":"box","text":"Advised","page_number":24,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"39fd5dbe-6a91-4fc7-9dc0-f6c7ab1b8851","block_type":"box","text":"Registered","page_number":24,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"467bc8ab-078a-42e2-8c2e-e79501f47184","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"e232decd-fd7e-4e04-bdb5-2b44ef8292a7","block_type":"box","text":"Companies","page_number":24,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"51416c84-e906-45d6-a2e2-3d50e1a40b77","block_type":"box","text":"(“RICs”)","page_number":24,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"c829330e-8343-421c-9ee6-09ff6180b519","block_type":"box","text":"Consisting of","page_number":24,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"6cce728e-b6f0-4156-a7e8-cec1cddf87eb","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"f82413e2-1aa6-4bdb-b9f5-84168234b318","block_type":"box","text":"Portfolios","page_number":24,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"ffaff4a9-93c1-489c-9870-be8cdc14958f","block_type":"box","text":"(“Portfolios”)","page_number":24,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"8348875e-37b2-41c7-8f8a-f6a40a078f2b","block_type":"box","text":"Overseen","page_number":24,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"7897c7ac-930e-4f47-aada-0084a762da1e","block_type":"box","text":"Public","page_number":24,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"728a5908-e97b-41a8-a7c5-275e7ffc69de","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"6f4a60a7-f323-4a92-a882-ee43ceafb912","block_type":"box","text":"and Other","page_number":24,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"767420d1-05d5-4eef-a698-8ad1d00f4358","block_type":"box","text":"Investment","page_number":24,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"63f944d4-2e71-49f2-a927-5a206b3b53eb","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"a2e86e14-fc6c-4fd1-92b1-204258136f5f","block_type":"box","text":"Directorships","page_number":24,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"fadeee1f-5f49-4f3d-b3ab-04b0379e343a","block_type":"box","text":"Held During","page_number":24,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"ab9cf698-5a41-4b74-9ab7-624f83f916bc","block_type":"box","text":"Past Five Years","page_number":24,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"e06b8458-e642-438a-a9c8-498cf59b98f0","block_type":"box","text":"Neil A. Cotty","page_number":24,"box":{"x":69,"y":174,"width":73,"height":10}},{"id":"ff7827f1-ce9d-4831-abb2-2c9631c004c9","block_type":"box","text":"1954","page_number":24,"box":{"x":69,"y":190,"width":33,"height":8}},{"id":"17ebfd81-cd2c-417b-8425-d00bdc2e3e11","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":174,"width":45,"height":8}},{"id":"e28a8f4b-7b48-48fe-a0eb-c94c9738eced","block_type":"box","text":"(Since 2016)","page_number":24,"box":{"x":235,"y":186,"width":78,"height":10}},{"id":"666ed15b-5f0d-4518-acb3-4b164c4ccac2","block_type":"box","text":"Bank of America Corporation from 1996 to","page_number":24,"box":{"x":343,"y":174,"width":256,"height":10}},{"id":"304ba354-e08e-42db-b6b8-87f22725956a","block_type":"box","text":"2015, serving in various senior finance","page_number":24,"box":{"x":343,"y":186,"width":235,"height":10}},{"id":"5d2ceaef-26bd-4f54-b765-da4224f0f1b9","block_type":"box","text":"leadership roles, including Chief Accounting","page_number":24,"box":{"x":343,"y":198,"width":261,"height":10}},{"id":"72e609c6-940b-4a34-98f7-971639756b6f","block_type":"box","text":"Officer from 2009 to 2015, Chief Financial","page_number":24,"box":{"x":343,"y":210,"width":256,"height":9}},{"id":"1fb63db4-f897-478f-bbb2-f12d44603c50","block_type":"box","text":"Officer of Global Banking, Markets and","page_number":24,"box":{"x":343,"y":222,"width":232,"height":10}},{"id":"521448a3-ebf1-4d43-bf47-9958eef282cb","block_type":"box","text":"Wealth Management from 2008 to 2009,","page_number":24,"box":{"x":342,"y":234,"width":251,"height":10}},{"id":"859f1610-c545-474a-a65b-c1063f005ddf","block_type":"box","text":"Chief Accounting Officer from 2004 to 2008,","page_number":24,"box":{"x":343,"y":246,"width":269,"height":10}},{"id":"c58c6a6b-a224-46b1-8ffd-81be1cba36de","block_type":"box","text":"Chief Financial Officer of Consumer Bank","page_number":24,"box":{"x":343,"y":258,"width":247,"height":8}},{"id":"ae9ce8e3-6adc-40bb-8609-329df14b2c1f","block_type":"box","text":"from 2003 to 2004, Chief Financial Officer of","page_number":24,"box":{"x":342,"y":270,"width":274,"height":9}},{"id":"03430762-da33-495f-838c-a9dec400b123","block_type":"box","text":"Global Corporate Investment Bank from","page_number":24,"box":{"x":343,"y":282,"width":237,"height":10}},{"id":"d027d7a3-3493-4483-86fc-4fbf1b2d9f13","block_type":"box","text":"1999 to 2002.","page_number":24,"box":{"x":343,"y":294,"width":89,"height":8}},{"id":"dd6194f0-be80-41fd-8536-24e44f15bcef","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":174,"width":129,"height":10}},{"id":"137f0e6b-1246-4094-94ec-980783abf5c6","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":186,"width":85,"height":8}},{"id":"1aac82f6-9a19-4b13-a5cc-db3f9e5cdcba","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":174,"width":30,"height":8}},{"id":"ae6fd1d4-af41-454a-af5d-1168db5122b1","block_type":"box","text":"Jeffrey Jarczyk4","page_number":24,"box":{"x":69,"y":311,"width":86,"height":10}},{"id":"97b1c3a9-5ed7-47dd-9c6f-0e02eeaba2d0","block_type":"box","text":"k4","page_number":24,"box":{"x":155,"y":311,"width":4,"height":4}},{"id":"da536679-7ff3-4cb1-99a2-11ac89f1af42","block_type":"box","text":"1964","page_number":24,"box":{"x":69,"y":327,"width":33,"height":8}},{"id":"c013d7d0-18b6-4124-84c7-486cce82aa44","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":312,"width":45,"height":7}},{"id":"c9b1b471-bb9d-459d-ac09-100581dd4007","block_type":"box","text":"(Since 2026)","page_number":24,"box":{"x":235,"y":323,"width":78,"height":10}},{"id":"529485ee-ed38-4741-889f-0994d22115b7","block_type":"box","text":"Director, The Friends of the Public Garden","page_number":24,"box":{"x":343,"y":311,"width":249,"height":10}},{"id":"b8dfa347-9066-49b8-a0df-ec3a9b506039","block_type":"box","text":"since 2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":323,"width":263,"height":10}},{"id":"ba569ac0-b919-40d2-920d-0f0cacb8e96c","block_type":"box","text":"Auditor, Fidelity Investments from 2016 to","page_number":24,"box":{"x":342,"y":335,"width":253,"height":10}},{"id":"58817306-f81f-4f7a-8d32-19fead290bfc","block_type":"box","text":"2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":347,"width":227,"height":10}},{"id":"2d6c1f3b-6640-44bc-a255-bd0a8e7c3f01","block_type":"box","text":"Accounting Officer, Fidelity Investments from","page_number":24,"box":{"x":342,"y":359,"width":267,"height":10}},{"id":"e710196f-9a07-401e-b623-e3587090af67","block_type":"box","text":"2007 to 2016.","page_number":24,"box":{"x":343,"y":371,"width":89,"height":8}},{"id":"30c55c74-b7e3-43a6-ba39-3115e0863c39","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":311,"width":129,"height":11}},{"id":"a6c21c13-aaf6-4a15-a263-9d9ccb275637","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":323,"width":85,"height":8}},{"id":"27fc7f35-e23b-435e-9259-d6e48082fadb","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":312,"width":30,"height":7}},{"id":"826e3452-f83b-434e-bb21-9109041cdfa3","block_type":"box","text":"Henry R. Keizer","page_number":24,"box":{"x":69,"y":389,"width":93,"height":10}},{"id":"74394db1-bf1a-4849-8ecd-915cbf5d3f5a","block_type":"box","text":"1956","page_number":24,"box":{"x":69,"y":405,"width":33,"height":8}},{"id":"a0e306a6-bd65-4b8e-8661-a06ce0f195d8","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":389,"width":45,"height":8}},{"id":"832830d3-40b1-40dd-9fa1-67fa0d2b36a9","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":401,"width":78,"height":10}},{"id":"c29d6d0f-0425-4685-8502-e36f5d335ea4","block_type":"box","text":"Director, Park Indemnity Ltd. (captive insurer)","page_number":24,"box":{"x":343,"y":389,"width":269,"height":10}},{"id":"f2f5f4f7-459a-4e2c-b815-f71da974c852","block_type":"box","text":"from 2010 to 2022.","page_number":24,"box":{"x":342,"y":401,"width":122,"height":8}},{"id":"9f829760-88cf-4826-8002-860bac206969","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":389,"width":129,"height":10}},{"id":"c5b066cd-dbf6-4e25-ae4b-e087901e701c","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":401,"width":85,"height":8}},{"id":"140977c1-b969-4a8e-ae50-17c554df049b","block_type":"box","text":"GrafTech International","page_number":24,"box":{"x":773,"y":389,"width":131,"height":8}},{"id":"cf564660-1912-4261-aeb2-4f74a8d84455","block_type":"box","text":"Ltd. (materials","page_number":24,"box":{"x":774,"y":401,"width":85,"height":10}},{"id":"38bcff5b-51af-4a00-b47a-936feffa8599","block_type":"box","text":"manufacturing);","page_number":24,"box":{"x":774,"y":413,"width":92,"height":10}},{"id":"96ea4227-f773-40d3-82ed-339a4eaad0dc","block_type":"box","text":"Sealed Air Corp.","page_number":24,"box":{"x":773,"y":425,"width":96,"height":10}},{"id":"df73d02d-b064-443c-8821-948c4e34a831","block_type":"box","text":"(packaging); Hertz","page_number":24,"box":{"x":773,"y":437,"width":109,"height":10}},{"id":"ff31f795-6392-4c6e-9c00-de2dcd5f50b1","block_type":"box","text":"Global Holdings (car","page_number":24,"box":{"x":773,"y":449,"width":121,"height":10}},{"id":"ef08e650-107e-49e1-9560-03e135ae2955","block_type":"box","text":"rental) from 2015 to","page_number":24,"box":{"x":774,"y":461,"width":122,"height":10}},{"id":"93b2f331-d9df-47c9-b903-ebd1d351732d","block_type":"box","text":"2021.","page_number":24,"box":{"x":773,"y":473,"width":36,"height":8}},{"id":"c24ff33c-f2f7-454b-8e73-5ae2500452bf","block_type":"box","text":"Cynthia A. Montgomery","page_number":24,"box":{"x":69,"y":490,"width":140,"height":10}},{"id":"a35220b5-0dea-4c9c-965f-ee0611baa5a2","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":506,"width":32,"height":8}},{"id":"83903bbd-9585-4799-af3f-3c45cb25436d","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":490,"width":45,"height":8}},{"id":"c94a9f5f-62bf-4c8e-bd6e-4617e47dc3a5","block_type":"box","text":"(Since 2007)","page_number":24,"box":{"x":235,"y":502,"width":78,"height":10}},{"id":"d14cb335-65d8-48dd-b926-15b11e65cc68","block_type":"box","text":"Professor, Harvard Business School since","page_number":24,"box":{"x":343,"y":490,"width":253,"height":10}},{"id":"790b10e1-6b77-44cd-93ff-bc37058b7919","block_type":"box","text":"1989.","page_number":24,"box":{"x":343,"y":502,"width":36,"height":8}},{"id":"4033b0a9-29e0-429b-9573-017e8fe6625d","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":490,"width":129,"height":10}},{"id":"b63172dd-d137-49f9-b293-ef0816748ffa","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":502,"width":85,"height":8}},{"id":"a4229fb1-f439-4ca9-8250-e7e03afc9996","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":490,"width":30,"height":8}},{"id":"eeb4bcad-44a0-4f52-864c-48c4a97f2dd4","block_type":"box","text":"Donald C. Opatrny","page_number":24,"box":{"x":70,"y":524,"width":108,"height":10}},{"id":"f062c819-c8ee-4e4f-9d93-f0afb80c2121","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":539,"width":32,"height":8}},{"id":"741a4498-6b87-4a78-a54b-4f359b53e5ce","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":524,"width":45,"height":8}},{"id":"d0d9d073-ecd0-4a4f-9c50-d6f083e3ce16","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":536,"width":78,"height":10}},{"id":"2ff196ab-931d-42aa-93e6-e0358ce42478","block_type":"box","text":"Chair of the Board of Phoenix Art Museum","page_number":24,"box":{"x":343,"y":524,"width":253,"height":8}},{"id":"39f353af-8a6e-4ad5-ad5d-241cd0d503d2","block_type":"box","text":"since 2022 and Trustee thereof since 2018;","page_number":24,"box":{"x":343,"y":536,"width":268,"height":9}},{"id":"9d22a58f-087b-4dc1-895c-7d520c637f7c","block_type":"box","text":"Chair of the Investment Committee of The","page_number":24,"box":{"x":343,"y":548,"width":251,"height":8}},{"id":"d927c2e4-4dd5-4b37-a09c-f3481e24b9f9","block_type":"box","text":"Arizona Community Foundation since 2022","page_number":24,"box":{"x":342,"y":560,"width":259,"height":10}},{"id":"4e1cd2d3-3872-4ade-aa38-4e6cd2d4121e","block_type":"box","text":"and Trustee thereof since 2020; Director,","page_number":24,"box":{"x":343,"y":571,"width":249,"height":10}},{"id":"50e8361e-f31f-4578-bee7-1ca1bad6176b","block_type":"box","text":"Athena Capital Advisors LLC (investment","page_number":24,"box":{"x":342,"y":584,"width":244,"height":9}},{"id":"e1824298-c9a6-45c6-aad4-d1e898c81ac1","block_type":"box","text":"management firm) from 2013 to 2020;","page_number":24,"box":{"x":343,"y":595,"width":236,"height":11}},{"id":"87d94973-67b1-4bae-b77f-ad80ee4154df","block_type":"box","text":"Trustee, Vice Chair, Member of the Executive","page_number":24,"box":{"x":342,"y":607,"width":270,"height":10}},{"id":"b779736d-dcfa-4048-9241-e8d8e431c960","block_type":"box","text":"Committee and Chair of the Investment","page_number":24,"box":{"x":343,"y":619,"width":237,"height":8}},{"id":"f3bbb3f8-43b1-4d75-b31a-6a6d2104fd25","block_type":"box","text":"Committee, Cornell University from 2004 to","page_number":24,"box":{"x":343,"y":631,"width":262,"height":10}},{"id":"bf127241-966f-42a1-b122-0f0408481f3b","block_type":"box","text":"2019; Member of Affordable Housing Supply","page_number":24,"box":{"x":343,"y":643,"width":270,"height":10}},{"id":"d1a90692-cba9-4c0b-8b52-3e31c5083309","block_type":"box","text":"Board of Jackson, Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":655,"width":251,"height":10}},{"id":"afa4744c-878a-4d0b-94f6-46dc69610177","block_type":"box","text":"2022; Member, Investment Funds","page_number":24,"box":{"x":343,"y":667,"width":205,"height":10}},{"id":"654aed8a-9dcd-415b-90ff-e05d813ef545","block_type":"box","text":"Committee, State of Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":679,"width":264,"height":10}},{"id":"45854adf-0d2c-419d-9192-8e9c837900cc","block_type":"box","text":"2023; Member of the Investment","page_number":24,"box":{"x":343,"y":691,"width":201,"height":10}},{"id":"a5b184d9-e638-45cb-a4b2-af1144f4d043","block_type":"box","text":"Committee, Mellon Foundation from 2009 to","page_number":24,"box":{"x":343,"y":703,"width":269,"height":10}},{"id":"96e137b0-59c5-4ced-a27a-719d6f209aa8","block_type":"box","text":"2015; President, Trustee and Member of the","page_number":24,"box":{"x":343,"y":715,"width":270,"height":10}},{"id":"85098d1b-7255-4e11-99b7-4d48c5006b6e","block_type":"box","text":"Investment Committee, The Aldrich","page_number":24,"box":{"x":343,"y":727,"width":210,"height":10}},{"id":"cbe702eb-86d0-4c7d-9efb-9c1a98886ecc","block_type":"box","text":"Contemporary Art Museum from 2007 to","page_number":24,"box":{"x":343,"y":739,"width":248,"height":10}},{"id":"37dcaef5-8b93-450d-b084-dbfa21a6c8e7","block_type":"box","text":"2014; Trustee and Chair of the Investment","page_number":24,"box":{"x":343,"y":751,"width":258,"height":9}},{"id":"f92c58b4-77dd-4387-92ef-2ceae6ecf3eb","block_type":"box","text":"Committee, Community Foundation of","page_number":24,"box":{"x":343,"y":763,"width":228,"height":10}},{"id":"bb66ae76-c08a-4184-9e21-5643c4bf1ea1","block_type":"box","text":"Jackson Hole since 2014.","page_number":24,"box":{"x":342,"y":775,"width":157,"height":8}},{"id":"108382af-0103-437b-9adf-c0367ab16a61","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":524,"width":129,"height":10}},{"id":"ddd7a93b-bc17-434d-bd2f-6c248d837ab4","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":536,"width":85,"height":8}},{"id":"a1c27fd8-c175-473e-aa3b-dc87eed15160","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":524,"width":30,"height":8}},{"id":"1fedffb0-7e90-488e-b647-64ab11cb5938","block_type":"box","text":"Lori Richards","page_number":24,"box":{"x":69,"y":793,"width":78,"height":8}},{"id":"9259cd96-54cc-4a99-b105-02b579726e6d","block_type":"box","text":"1960","page_number":24,"box":{"x":69,"y":808,"width":33,"height":8}},{"id":"6c89db29-cbe5-44de-9463-0e7370d294b7","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":793,"width":45,"height":8}},{"id":"4e9c7dcb-4308-4731-b076-1d457023c16f","block_type":"box","text":"(Since 2024)","page_number":24,"box":{"x":235,"y":805,"width":78,"height":10}},{"id":"4556087f-921d-47a8-ac0b-92b6f5c742ea","block_type":"box","text":"President and Trustee, SEC Historical Society","page_number":24,"box":{"x":343,"y":793,"width":273,"height":10}},{"id":"09fc9088-74d0-4e3b-8145-268f5077deac","block_type":"box","text":"since 2018; Trustee, Garrett College","page_number":24,"box":{"x":343,"y":805,"width":220,"height":10}},{"id":"f069af6a-863d-4702-bc83-4bde84d4ca26","block_type":"box","text":"Foundation since 2019; Member, Vice-Chair","page_number":24,"box":{"x":343,"y":817,"width":264,"height":9}},{"id":"6ba3392f-c2b4-4dbf-8d69-fd1bb82e808e","block_type":"box","text":"or Chair of FINRA National Adjudicatory","page_number":24,"box":{"x":343,"y":828,"width":233,"height":11}},{"id":"e54f8b4a-961c-4039-898f-834ae48ef928","block_type":"box","text":"Council from 2019 to 2022; Director,","page_number":24,"box":{"x":343,"y":840,"width":223,"height":10}},{"id":"ff398f9f-0bb8-425e-8a0f-9bbfd560753e","block_type":"box","text":"PharmaCann, Inc. from 2021 to 2024;","page_number":24,"box":{"x":343,"y":852,"width":232,"height":10}},{"id":"f2ad40b9-1706-4441-bdbb-e5bd7602b801","block_type":"box","text":"Director, Wahed Invest from 2022 to 2024.","page_number":24,"box":{"x":343,"y":864,"width":260,"height":10}},{"id":"149e476f-1a6e-4b80-bb6b-05166a12d238","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":793,"width":129,"height":10}},{"id":"3637afb0-ab7e-44bf-8293-9395c637e74f","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":805,"width":85,"height":8}},{"id":"40d6d166-888d-4781-ba6c-2c90f0ee24a6","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":793,"width":30,"height":8}},{"id":"ce28ff26-c43f-4dfd-afa4-a82dfde39de2","block_type":"box","text":"Marc D. Stern","page_number":24,"box":{"x":69,"y":882,"width":83,"height":8}},{"id":"56e9d1fa-7a0b-4d4f-a82b-4d97c308c303","block_type":"box","text":"4","page_number":24,"box":{"x":153,"y":882,"width":4,"height":4}},{"id":"dcdb00a4-be31-4d91-b98b-45dd7ee13251","block_type":"box","text":"1962","page_number":24,"box":{"x":69,"y":898,"width":32,"height":8}},{"id":"77fbb8d7-0563-4e57-8257-2a1b99733472","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":882,"width":45,"height":8}},{"id":"e945490f-76df-48b8-9f7f-4cf809c745a3","block_type":"box","text":"(Since 2026)","page_number":24,"box":{"x":235,"y":894,"width":78,"height":10}},{"id":"89ee10de-5e55-4cad-bb62-e86c896dacd1","block_type":"box","text":"Chief Executive Officer and Director,","page_number":24,"box":{"x":343,"y":882,"width":214,"height":10}},{"id":"617adadf-b25f-4d00-bd6b-2140730caf9a","block_type":"box","text":"Bessemer Trust from 2013 to 2026.","page_number":24,"box":{"x":343,"y":894,"width":221,"height":8}},{"id":"8285000f-3a15-4ed9-affc-342bf15dd349","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":882,"width":129,"height":10}},{"id":"076f1cd8-e127-47c1-a8dd-6e25c2852579","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":894,"width":85,"height":8}},{"id":"d7a8b56c-8ac6-4655-8855-64e744739077","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":882,"width":30,"height":8}},{"id":"a9d891f6-ff25-4606-81ec-461949b9cad0","block_type":"box","text":"I-15","page_number":24,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"c0356d1c-2230-4bf7-ba48-35465f3dba90","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":24,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3816bcd7-d92d-4ec0-850e-6fda01d911d1","block_type":"box","text":"Name","page_number":25,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"a168c292-f6fb-43ba-98f9-c2d67ffca69f","block_type":"box","text":"and Year of Birth","page_number":25,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"e4b1077c-3380-4584-9553-73367f45d80e","block_type":"box","text":"1,2","page_number":25,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"5bb3da5b-7b16-4ab9-b11c-7039c321bb9b","block_type":"box","text":"Position(s)","page_number":25,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"8de2d2d0-c6ed-4b7c-b826-9e31d2bb35c3","block_type":"box","text":"Held","page_number":25,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"9be07969-faa9-4f59-90a2-c5bd2dd3bc98","block_type":"box","text":"(Length of","page_number":25,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"33a3807c-ca7a-4eb2-97ad-7dd4811b7bed","block_type":"box","text":"Service)","page_number":25,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"75051a55-b364-4fdf-b69f-b15396fd759b","block_type":"box","text":"3","page_number":25,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"ac3b9df7-1a5d-425c-8513-cf6861a5943b","block_type":"box","text":"Principal Occupation(s)","page_number":25,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"54407e15-e618-47e3-8994-1090dd8336c2","block_type":"box","text":"During Past Five Years","page_number":25,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"1271b510-0045-4723-a818-76807bf0eed9","block_type":"box","text":"Number of","page_number":25,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"071cfb12-c5d4-4af2-84ce-be9a17e8f9bb","block_type":"box","text":"BlackRock","page_number":25,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"c080f3fc-1de7-4e57-9370-724a8afa2bb6","block_type":"box","text":"Advised","page_number":25,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"457df92c-8e7c-4e98-98e7-931862c232ce","block_type":"box","text":"Registered","page_number":25,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"b49c04e5-17ce-4397-a22d-e0169adbc5e5","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"d9196034-e61b-449d-a319-59f2a88041ab","block_type":"box","text":"Companies","page_number":25,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"4c1a3d53-6c06-4c3e-b20e-b0a48558ce57","block_type":"box","text":"(“RICs”)","page_number":25,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"a456e4db-d0e3-452c-846f-75bc838502f5","block_type":"box","text":"Consisting of","page_number":25,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"dac0ddaa-d381-4abe-bc06-17e2b7d1d5f7","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"2a4b3351-b132-42a6-bef7-37b35bd44dc4","block_type":"box","text":"Portfolios","page_number":25,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"d95678d1-ff07-48f7-9662-8f49d7ba09aa","block_type":"box","text":"(“Portfolios”)","page_number":25,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"bad41fb2-155a-4904-b64f-a889d12512ce","block_type":"box","text":"Overseen","page_number":25,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"b92796dd-c50a-458e-a8da-6210080f3792","block_type":"box","text":"Public","page_number":25,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"103d587d-cd97-4b09-ab0e-7238a9f0893d","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"9e2bbde4-960f-4d41-9f22-98df4bd62afc","block_type":"box","text":"and Other","page_number":25,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"84ecb835-111c-48b3-b741-40085fcde970","block_type":"box","text":"Investment","page_number":25,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"7b47a3d3-8723-4435-8342-d896464fce2f","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"905c7562-e7a3-410d-bd3f-e3d2682ac26f","block_type":"box","text":"Directorships","page_number":25,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"1083f272-44ff-4bb9-b056-492fc9b95fc7","block_type":"box","text":"Held During","page_number":25,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"b0a5bf14-ea84-4e4d-8d37-93def49d5fde","block_type":"box","text":"Past Five Years","page_number":25,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"c5e53859-4144-4d89-8fb9-01fde9c0c554","block_type":"box","text":"Kenneth L. Urish","page_number":25,"box":{"x":70,"y":174,"width":98,"height":8}},{"id":"e8ec4df2-e997-4042-ab7b-9bb6a0897af8","block_type":"box","text":"1951","page_number":25,"box":{"x":69,"y":190,"width":33,"height":8}},{"id":"704c1070-c0b6-4d7a-b04b-3973339aa1a6","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":174,"width":45,"height":8}},{"id":"8a942544-6d8b-4a35-9c37-ab4f0de38721","block_type":"box","text":"(Since 2007)","page_number":25,"box":{"x":235,"y":186,"width":78,"height":10}},{"id":"2415ce5c-9071-4bc3-9f1c-746a2949b376","block_type":"box","text":"Managing Partner, Urish Popeck & Co., LLC","page_number":25,"box":{"x":343,"y":174,"width":261,"height":10}},{"id":"dd1be5b6-8011-4837-8218-c66e454c4947","block_type":"box","text":"(certified public accountants and","page_number":25,"box":{"x":343,"y":186,"width":196,"height":10}},{"id":"fcd9522e-c31f-4e48-a838-e24843800f4a","block_type":"box","text":"consultants) since 1976; Past-Chairman of","page_number":25,"box":{"x":343,"y":198,"width":259,"height":10}},{"id":"8f6ef507-3db0-43be-a07a-07b9985fe8bd","block_type":"box","text":"the Professional Ethics Committee of the","page_number":25,"box":{"x":342,"y":210,"width":247,"height":8}},{"id":"0a8689df-a6ff-4a99-ad9c-d014538b6c57","block_type":"box","text":"Pennsylvania Institute of Certified Public","page_number":25,"box":{"x":343,"y":222,"width":241,"height":10}},{"id":"80eff1d6-d1c2-4e0f-be7a-15e29db3606c","block_type":"box","text":"Accountants and Committee Member thereof","page_number":25,"box":{"x":342,"y":234,"width":273,"height":8}},{"id":"ca9d3c96-6800-4e1b-b7bd-10e15d8e42d1","block_type":"box","text":"since 2007; Member of External Advisory","page_number":25,"box":{"x":343,"y":246,"width":250,"height":10}},{"id":"62bf022f-6460-41c8-8237-f022d12ff192","block_type":"box","text":"Board, The Pennsylvania State University","page_number":25,"box":{"x":343,"y":258,"width":246,"height":10}},{"id":"c16f45a0-4c29-4271-a645-196cf71ce175","block_type":"box","text":"Accounting Department since 2001,","page_number":25,"box":{"x":342,"y":270,"width":219,"height":10}},{"id":"db1874ff-c23d-4313-b8a1-86f4759e7da5","block_type":"box","text":"Emeritus since 2022; Principal, UP Strategic","page_number":25,"box":{"x":343,"y":282,"width":267,"height":10}},{"id":"c6dff30a-824a-4ced-8b83-d5f4d71c9918","block_type":"box","text":"Wealth Investment Advisors, LLC since","page_number":25,"box":{"x":342,"y":294,"width":233,"height":9}},{"id":"81826f33-1b9f-493c-bee5-697501d48180","block_type":"box","text":"2013; Trustee, The Holy Family Institute from","page_number":25,"box":{"x":343,"y":306,"width":272,"height":10}},{"id":"30be777f-c085-4410-8649-48d5fd1165d3","block_type":"box","text":"2001 to 2010; President and Trustee,","page_number":25,"box":{"x":343,"y":318,"width":230,"height":9}},{"id":"32bac3dc-dead-421c-8cb9-56a0b7ee85b9","block_type":"box","text":"Pittsburgh Catholic Publishing Associates","page_number":25,"box":{"x":343,"y":330,"width":248,"height":10}},{"id":"1eb3be94-d5b0-44ee-9c9e-752fb7572566","block_type":"box","text":"from 2003 to 2008; Director, Inter-Tel from","page_number":25,"box":{"x":342,"y":342,"width":259,"height":9}},{"id":"c79b41d3-7479-4554-a92c-82cc3bdf4bb9","block_type":"box","text":"2006 to 2007; Member, Advisory Board,","page_number":25,"box":{"x":343,"y":354,"width":245,"height":10}},{"id":"7679b5aa-b3c6-47de-97fe-b45c37636ef3","block_type":"box","text":"ESG Competent Boards since 2020.","page_number":25,"box":{"x":343,"y":366,"width":219,"height":9}},{"id":"701bebe7-28ef-4122-a781-56a810dfc630","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":174,"width":129,"height":10}},{"id":"853e85e7-3aae-41c7-bd4d-98bf521a6a5c","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":186,"width":85,"height":8}},{"id":"8aa45ed3-108e-4213-aef1-ce5b9985b8bd","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":174,"width":30,"height":8}},{"id":"f2f93b2b-ffb0-4b31-a2fe-1ae392506bce","block_type":"box","text":"Claire A. Walton","page_number":25,"box":{"x":69,"y":383,"width":94,"height":8}},{"id":"367c8f59-ae7e-4e7f-b291-731343964cd8","block_type":"box","text":"1957","page_number":25,"box":{"x":69,"y":399,"width":32,"height":8}},{"id":"dae9fa83-727a-4010-8d5a-d06d71f2c78a","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":383,"width":45,"height":8}},{"id":"c6062091-ff77-4be8-8ae5-c301bc1305be","block_type":"box","text":"(Since 2016)","page_number":25,"box":{"x":235,"y":395,"width":78,"height":10}},{"id":"8e1b175c-73a3-49c0-ac4c-730530cdf462","block_type":"box","text":"Director/Treasurer, Reading Community Trust","page_number":25,"box":{"x":343,"y":383,"width":273,"height":10}},{"id":"18ff8a37-e0de-4c4c-9e30-b4813272d45d","block_type":"box","text":"since 2024; Advisory Board Member,","page_number":25,"box":{"x":343,"y":395,"width":224,"height":10}},{"id":"8af7f8cd-7f94-4133-8a14-8d22b485a238","block_type":"box","text":"Grossman School of Business at the","page_number":25,"box":{"x":343,"y":407,"width":221,"height":8}},{"id":"a4874583-bb01-427b-b5f7-3810b12f136d","block_type":"box","text":"University of Vermont since 2023; Advisory","page_number":25,"box":{"x":343,"y":419,"width":259,"height":10}},{"id":"5cdd300e-c557-4931-a192-e4b7356f1616","block_type":"box","text":"Board Member, Scientific Financial Systems","page_number":25,"box":{"x":343,"y":431,"width":264,"height":10}},{"id":"db08e249-f8bd-4d49-970d-77a71037b61d","block_type":"box","text":"from 2022 to 2025; General Partner of Neon","page_number":25,"box":{"x":342,"y":443,"width":273,"height":9}},{"id":"a310585c-67f0-4a54-a23e-8b1ba7755aae","block_type":"box","text":"Liberty Capital Management, LLC from 2003","page_number":25,"box":{"x":343,"y":455,"width":269,"height":10}},{"id":"26b63005-43b6-4ff6-888b-999329de8ff6","block_type":"box","text":"to 2023; Chief Operating Officer and Chief","page_number":25,"box":{"x":342,"y":467,"width":256,"height":10}},{"id":"0d9513ff-d5d1-4267-8a11-dd95f0249e90","block_type":"box","text":"Financial Officer of Liberty Square Asset","page_number":25,"box":{"x":343,"y":479,"width":241,"height":10}},{"id":"f452a03a-38ea-4cce-a54a-e669159b57f7","block_type":"box","text":"Management, LP / Steel Partners Japan","page_number":25,"box":{"x":343,"y":491,"width":242,"height":10}},{"id":"c0bec158-d744-4317-a848-e1c3d8574fef","block_type":"box","text":"Asset Management, LP from 1998 to 2015;","page_number":25,"box":{"x":342,"y":503,"width":266,"height":10}},{"id":"6df45fdb-b1dd-454a-bcd8-38674358298c","block_type":"box","text":"Director, Boston Hedge Fund Group from","page_number":25,"box":{"x":343,"y":515,"width":244,"height":10}},{"id":"828dbf58-82dd-45e1-b91c-669a7a87f013","block_type":"box","text":"2009 to 2018; Director, Massachusetts","page_number":25,"box":{"x":343,"y":527,"width":242,"height":9}},{"id":"3584ee94-641a-4f95-bb2c-2d6492ac6ebf","block_type":"box","text":"Council on Economic Education from 2013","page_number":25,"box":{"x":343,"y":539,"width":257,"height":8}},{"id":"9a87f23f-9595-4dc3-897b-73f5a74e09d4","block_type":"box","text":"to 2015.","page_number":25,"box":{"x":342,"y":551,"width":53,"height":8}},{"id":"90ac2f19-7b1a-4c9e-a619-3ff2ddc49230","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":383,"width":129,"height":10}},{"id":"ca06da3a-ec5b-4474-9276-4b6e826fefd6","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":395,"width":85,"height":8}},{"id":"c5ca1962-62ba-4bcd-89de-8e2d8003b840","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":383,"width":30,"height":8}},{"id":"3c916885-8120-4276-8b9a-5555aa4e0da7","block_type":"box","text":"Interested Trustees","page_number":25,"box":{"x":70,"y":569,"width":124,"height":7}},{"id":"d48e97be-6df5-458b-b8e5-7aa48884b5e7","block_type":"box","text":"5","page_number":25,"box":{"x":194,"y":565,"width":4,"height":4}},{"id":"037c363d-7567-416c-92a9-1c0760c4adcc","block_type":"box","text":"Robert Fairbairn","page_number":25,"box":{"x":69,"y":586,"width":96,"height":8}},{"id":"1d641c3f-d27e-47bf-b822-4976445c7189","block_type":"box","text":"1965","page_number":25,"box":{"x":69,"y":602,"width":33,"height":8}},{"id":"67794c15-b529-44d9-9dec-d21e5059fe95","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":586,"width":45,"height":8}},{"id":"6dfef067-b6c7-45df-8f5f-ae829da18da9","block_type":"box","text":"(Since 2018)","page_number":25,"box":{"x":235,"y":598,"width":78,"height":10}},{"id":"68311a6f-aa5d-4260-843d-d444f67b7d65","block_type":"box","text":"Vice Chairman of BlackRock, Inc. since","page_number":25,"box":{"x":342,"y":586,"width":235,"height":9}},{"id":"8bd1000b-530f-4f4c-a0ea-bad5ab26d983","block_type":"box","text":"2019; Member of BlackRock’s Global","page_number":25,"box":{"x":343,"y":598,"width":225,"height":9}},{"id":"b8cda382-5568-421d-9251-a01df866937b","block_type":"box","text":"Operating Committee; Co-Chair of","page_number":25,"box":{"x":343,"y":610,"width":202,"height":10}},{"id":"9d19bacb-c45a-4cf2-8ed2-be380556eb78","block_type":"box","text":"BlackRock’s Human Capital Committee;","page_number":25,"box":{"x":343,"y":622,"width":240,"height":10}},{"id":"c270a24b-5eda-419c-806b-1c9e02a6ff5a","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":25,"box":{"x":343,"y":634,"width":262,"height":10}},{"id":"c7172f5b-f1ba-4b10-9550-bb238f7fcd0b","block_type":"box","text":"from 2010 to 2019; oversaw BlackRock’s","page_number":25,"box":{"x":342,"y":646,"width":254,"height":9}},{"id":"3a353d75-4292-47c4-890d-87ff06500b2b","block_type":"box","text":"Strategic Partner Program and Strategic","page_number":25,"box":{"x":343,"y":658,"width":239,"height":10}},{"id":"be3ca932-4dbb-48cb-83f1-0342d809d8cf","block_type":"box","text":"Product Management Group from 2012 to","page_number":25,"box":{"x":343,"y":670,"width":254,"height":10}},{"id":"06f00514-8203-4365-b226-6ce5d50dfc62","block_type":"box","text":"2019; Member of the Board of Managers of","page_number":25,"box":{"x":343,"y":682,"width":265,"height":10}},{"id":"43db6b50-9742-4778-b012-b594322c66bc","block_type":"box","text":"BlackRock Investments, LLC from 2011 to","page_number":25,"box":{"x":343,"y":694,"width":255,"height":9}},{"id":"8e95b6d3-4fed-48c0-8ebb-9d8f62861e90","block_type":"box","text":"2018; Global Head of BlackRock’s Retail","page_number":25,"box":{"x":343,"y":706,"width":245,"height":9}},{"id":"fc2d7f94-4ef7-47c1-9550-c8090ac6ed5b","block_type":"box","text":"and iShares","page_number":25,"box":{"x":343,"y":718,"width":72,"height":8}},{"id":"7132df46-6544-4141-b6c1-617775673f51","block_type":"box","text":"®","page_number":25,"box":{"x":415,"y":718,"width":5,"height":4}},{"id":"d2687184-6689-4f34-a46e-0a53dc968445","block_type":"box","text":"businesses from 2012 to","page_number":25,"box":{"x":425,"y":718,"width":153,"height":8}},{"id":"de329594-919c-4b49-a675-fa0536d9e274","block_type":"box","text":"2016.","page_number":25,"box":{"x":343,"y":730,"width":36,"height":8}},{"id":"fa4168c3-a4dd-47bf-84e9-d5ddd34d3c63","block_type":"box","text":"78 RICs consisting of","page_number":25,"box":{"x":627,"y":586,"width":129,"height":10}},{"id":"7502fcac-6847-4648-b459-502f9d86ef27","block_type":"box","text":"255 Portfolios","page_number":25,"box":{"x":627,"y":598,"width":85,"height":8}},{"id":"d2ac1a8a-efab-4f40-8dab-2b085050a385","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":586,"width":30,"height":8}},{"id":"280c0f6e-7e61-4ecb-9cf7-e116fcdc3173","block_type":"box","text":"John M. Perlowski","page_number":25,"box":{"x":69,"y":747,"width":107,"height":8}},{"id":"ab4cd422-c870-41b0-b9ce-4e3489c24c34","block_type":"box","text":"6","page_number":25,"box":{"x":177,"y":747,"width":4,"height":4}},{"id":"4a0a41f5-4d4a-4534-ab5e-d4e70074336a","block_type":"box","text":"1964","page_number":25,"box":{"x":69,"y":763,"width":33,"height":8}},{"id":"53931913-ad1d-45d2-9654-77904a089447","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":747,"width":45,"height":8}},{"id":"965d8771-9464-4505-9e57-7d79c89f1e12","block_type":"box","text":"(Since 2015)","page_number":25,"box":{"x":235,"y":759,"width":78,"height":10}},{"id":"01279b11-555b-4559-95fd-682a37d2d24c","block_type":"box","text":"President and","page_number":25,"box":{"x":236,"y":771,"width":82,"height":8}},{"id":"71a78671-e8b2-4755-bc0f-d29b0c66b134","block_type":"box","text":"Chief Executive","page_number":25,"box":{"x":235,"y":783,"width":91,"height":8}},{"id":"d0d000b4-74fd-4a12-9b0c-982fca9d5716","block_type":"box","text":"Officer","page_number":25,"box":{"x":235,"y":795,"width":40,"height":8}},{"id":"54cf5b6a-58dd-476e-84d0-a52322a384e6","block_type":"box","text":"(Since 2010)","page_number":25,"box":{"x":235,"y":807,"width":78,"height":10}},{"id":"e3de2b0a-17e0-4a04-a3c3-e5a7171804f1","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":25,"box":{"x":343,"y":747,"width":262,"height":10}},{"id":"65aa0126-7013-4d49-896e-068f2628e16c","block_type":"box","text":"since 2026; Managing Director of BlackRock,","page_number":25,"box":{"x":343,"y":759,"width":272,"height":10}},{"id":"23ffbae1-0581-48c1-a352-489e3256cba6","block_type":"box","text":"Inc. from 2009 to 2025; Member of","page_number":25,"box":{"x":343,"y":771,"width":218,"height":10}},{"id":"1c297e56-f27f-4d72-a226-a88de5e68465","block_type":"box","text":"BlackRock’s Global Executive Committee","page_number":25,"box":{"x":343,"y":783,"width":246,"height":8}},{"id":"c0407565-9d4c-42a6-8c28-15040d716b60","block_type":"box","text":"since 2025; Head of BlackRock Global","page_number":25,"box":{"x":343,"y":795,"width":232,"height":10}},{"id":"7f8a96f2-6085-462b-901f-ce6c67bfdeea","block_type":"box","text":"Business Operations Services since 2009;","page_number":25,"box":{"x":343,"y":807,"width":258,"height":10}},{"id":"bf177bfa-01a9-4e23-9728-c8556ea4f767","block_type":"box","text":"Advisory Director of Family Resource Network","page_number":25,"box":{"x":342,"y":819,"width":274,"height":10}},{"id":"81d1de85-3e01-44f8-bb43-9a106635c37e","block_type":"box","text":"(charitable foundation) since 2009.","page_number":25,"box":{"x":343,"y":831,"width":211,"height":10}},{"id":"63f2a099-268b-49e1-9f21-3c9ef1b77c57","block_type":"box","text":"78 RICs consisting of","page_number":25,"box":{"x":627,"y":747,"width":129,"height":10}},{"id":"702ad3f6-4488-4e17-9a49-f598db638f4c","block_type":"box","text":"255 Portfolios","page_number":25,"box":{"x":627,"y":759,"width":85,"height":8}},{"id":"dd4a3ed3-67e8-43ee-844c-9f44a80be6c3","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":747,"width":30,"height":8}},{"id":"a46bbd05-ec23-4252-97a8-7da047abee42","block_type":"box","text":"1","page_number":25,"box":{"x":69,"y":855,"width":3,"height":3}},{"id":"5800140c-c2ae-4b0a-8abc-23e4f288ad9e","block_type":"box","text":"The address of each Trustee is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001.","page_number":25,"box":{"x":93,"y":855,"width":563,"height":8}},{"id":"e57e015a-3538-44b6-a3ca-c1d82dd1aca6","block_type":"box","text":"2","page_number":25,"box":{"x":69,"y":867,"width":3,"height":4}},{"id":"14a03ca4-ddd6-4f12-8a1a-05012148a239","block_type":"box","text":"Independent Trustees serve until their resignation, retirement, removal or death, or until December 31 of the year in which they turn 75. The","page_number":25,"box":{"x":94,"y":867,"width":801,"height":9}},{"id":"24cebe5c-aff6-4727-94e8-850cebf3bc24","block_type":"box","text":"Board may determine to extend the terms of Independent Trustees on a case-by-case basis, as appropriate.","page_number":25,"box":{"x":94,"y":877,"width":614,"height":9}},{"id":"2b172ef0-a3f5-4463-ad00-e1dc00367e2a","block_type":"box","text":"3","page_number":25,"box":{"x":69,"y":890,"width":3,"height":4}},{"id":"ebc31dac-785f-4b6c-b0e0-dfe9935df15d","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":890,"width":804,"height":9}},{"id":"bf1794c8-d9fd-4867-af4c-6db87f812204","block_type":"box","text":"realigned and consolidated into three new fund boards in 2007. Fur thermore, effective January 1, 2019, three BlackRock Fund Complexes","page_number":25,"box":{"x":94,"y":900,"width":792,"height":9}},{"id":"916b9568-aff7-40c5-a5a7-5a2e04e771e8","block_type":"box","text":"were realigned and consolidated into two BlackRock Fund Complexes. As a result, although the char t shows the year that each Independent","page_number":25,"box":{"x":93,"y":910,"width":799,"height":9}},{"id":"e6bf50c4-2f69-4546-a2c9-6ad1a3161305","block_type":"box","text":"I-16","page_number":25,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"3280ae29-f2b8-4b0a-a4f6-8704809392d6","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":25,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"957e2786-ff3a-4795-ba90-f74744d9d454","block_type":"box","text":"Trustee joined the Board, cer tain Independent Trustees first became members of the boards of other BlackRock-advised Funds, legacy MLIM","page_number":26,"box":{"x":93,"y":45,"width":802,"height":9}},{"id":"a551ca40-7d2a-4c9a-ba0a-fa68e32bbc9a","block_type":"box","text":"funds or legacy BlackRock funds as follows: Cynthia A. Montgomery, 1994; Kenneth L. Urish, 1999; Henry R. Keizer, 2016; Donald C. Opatrny,","page_number":26,"box":{"x":93,"y":55,"width":814,"height":9}},{"id":"f0c735d9-2684-429e-aa67-1471bf86a96c","block_type":"box","text":"2015.","page_number":26,"box":{"x":93,"y":65,"width":34,"height":8}},{"id":"64a18134-7d4f-4a54-9e37-a229718264be","block_type":"box","text":"4","page_number":26,"box":{"x":68,"y":78,"width":4,"height":4}},{"id":"f4d47f52-0070-425e-9dc5-b59a5d904155","block_type":"box","text":"Mr. Jarczyk and Mr. Stern were each appointed as Trustees of the Trust effective July 1, 2026. Previously, each served as a consultant to the","page_number":26,"box":{"x":94,"y":78,"width":807,"height":9}},{"id":"37d549a9-99ab-4490-ae66-9059aa884a76","block_type":"box","text":"Independent Trustees from April 1, 2026 to July 1, 2026.","page_number":26,"box":{"x":94,"y":88,"width":326,"height":9}},{"id":"f8ae2461-786d-472e-aa37-5ce65d6b7eb5","block_type":"box","text":"5","page_number":26,"box":{"x":69,"y":101,"width":3,"height":3}},{"id":"6ce883c9-46d1-46d4-be16-94a04cb15701","block_type":"box","text":"Mr. Fairbairn and Mr. Perlowski are both “interested persons,” as defined in the Investment Company Act, of the Trust based on their positions","page_number":26,"box":{"x":94,"y":101,"width":814,"height":9}},{"id":"f2e85bab-2fee-443a-b5f6-aee34a25fb3d","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":111,"width":772,"height":8}},{"id":"07092b8b-b44b-4876-8617-eac548e4f545","block_type":"box","text":"6","page_number":26,"box":{"x":69,"y":123,"width":3,"height":4}},{"id":"f97b2dcb-2720-4c38-bcec-a3817dad75a0","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":123,"width":669,"height":9}},{"id":"487c86fd-ba84-4e3d-9b8a-b52c63fa55f8","block_type":"box","text":"Cer tain biographical and other information relating to the officers of the Trust who are not Trustees is set for th","page_number":26,"box":{"x":102,"y":144,"width":787,"height":11}},{"id":"a3aba2f5-0a57-4af7-81dc-1d9c316507c2","block_type":"box","text":"below, including their address and year of bir th, principal occupations for at least the last five years and length of","page_number":26,"box":{"x":69,"y":159,"width":808,"height":12}},{"id":"6671fb4c-0190-4add-b579-2a56746e5460","block_type":"box","text":"time served.","page_number":26,"box":{"x":68,"y":175,"width":89,"height":8}},{"id":"6c2158b3-780f-48eb-b813-f80490a26867","block_type":"box","text":"Name","page_number":26,"box":{"x":160,"y":203,"width":32,"height":7}},{"id":"2aa89234-f882-4b1d-8cf8-e7a2b37b2a1a","block_type":"box","text":"and Year of Birth","page_number":26,"box":{"x":122,"y":213,"width":97,"height":7}},{"id":"e4cc285b-cccf-4f76-9b4e-c1aebc0ab5cd","block_type":"box","text":"1,2","page_number":26,"box":{"x":220,"y":213,"width":10,"height":4}},{"id":"90a5b01b-04de-4506-81e5-4c11cc192f16","block_type":"box","text":"Position(s) Held","page_number":26,"box":{"x":335,"y":203,"width":93,"height":8}},{"id":"c5f13e2e-d31c-4848-b1b3-6d11b0f01e9e","block_type":"box","text":"(Length of Service)","page_number":26,"box":{"x":326,"y":213,"width":110,"height":9}},{"id":"ef1b2129-3534-47d6-83de-2a652c8c841f","block_type":"box","text":"Principal Occupation(s)","page_number":26,"box":{"x":626,"y":203,"width":136,"height":8}},{"id":"e02a325b-774a-410b-9462-6d85f35a960f","block_type":"box","text":"During Past Five Years","page_number":26,"box":{"x":629,"y":213,"width":131,"height":9}},{"id":"0d8d0531-8899-48eb-a7c7-7b1c4fddcf2f","block_type":"box","text":"Officers Who Are Not Trustees","page_number":26,"box":{"x":69,"y":227,"width":194,"height":8}},{"id":"508a6316-dde5-44c7-85b3-3d65c81fc41d","block_type":"box","text":"Roland Villacorta","page_number":26,"box":{"x":69,"y":245,"width":101,"height":8}},{"id":"db9ca450-f56d-41bc-af90-9808b64a3340","block_type":"box","text":"1971","page_number":26,"box":{"x":69,"y":260,"width":33,"height":8}},{"id":"97821e95-5a54-483e-816c-0f33464ce3d5","block_type":"box","text":"Vice President","page_number":26,"box":{"x":293,"y":245,"width":87,"height":8}},{"id":"8f2d8024-b623-497a-a420-267f0ae4caea","block_type":"box","text":"(Since 2022)","page_number":26,"box":{"x":294,"y":257,"width":78,"height":9}},{"id":"f629e407-e5f6-409c-8ea1-6b24dd9e05e0","block_type":"box","text":"Senior Managing Director of BlackRock, Inc. since 2026; Managing","page_number":26,"box":{"x":480,"y":245,"width":404,"height":10}},{"id":"0d087f11-2e89-43ad-89c9-532176b365e6","block_type":"box","text":"Director of BlackRock, Inc. from 2002 to 2025; Head of Global Cash","page_number":26,"box":{"x":480,"y":257,"width":412,"height":9}},{"id":"c26cf333-b0f2-447c-b2df-a72a9e6f8ab4","block_type":"box","text":"Management and Head of Securities Lending within BlackRock’s","page_number":26,"box":{"x":480,"y":268,"width":388,"height":11}},{"id":"d624caef-65c4-432a-addf-5a2e9d8ef2c4","block_type":"box","text":"Global Markets Group since 2022; Member of BlackRock’s Global","page_number":26,"box":{"x":480,"y":280,"width":397,"height":10}},{"id":"f772522e-fcca-4976-a4bc-593a8c5c0d2a","block_type":"box","text":"Operating Committee since 2016 and Human Capital Committee since","page_number":26,"box":{"x":480,"y":293,"width":426,"height":10}},{"id":"48c8b221-b4d3-4f09-8a90-35aabc7830da","block_type":"box","text":"2023.","page_number":26,"box":{"x":480,"y":305,"width":36,"height":8}},{"id":"90ca6e74-79dd-4855-b464-172a89982cc2","block_type":"box","text":"Jennifer McGovern","page_number":26,"box":{"x":69,"y":322,"width":110,"height":8}},{"id":"ccb97c43-5401-49b5-9d94-9bf6158d9836","block_type":"box","text":"1977","page_number":26,"box":{"x":69,"y":338,"width":32,"height":8}},{"id":"7324bc1f-b3a4-41fb-ad01-b208afeb03b0","block_type":"box","text":"Vice President","page_number":26,"box":{"x":293,"y":322,"width":87,"height":8}},{"id":"4599bc4e-8c13-448c-a3b6-e9178196ab85","block_type":"box","text":"(Since 2014)","page_number":26,"box":{"x":294,"y":334,"width":78,"height":10}},{"id":"cba4a4c0-dae9-4707-b3cc-51399ec992ee","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2016.","page_number":26,"box":{"x":480,"y":322,"width":297,"height":10}},{"id":"318541b2-71a9-409f-b0ac-1075ff6e1c43","block_type":"box","text":"Trent Walker","page_number":26,"box":{"x":68,"y":356,"width":75,"height":8}},{"id":"780a79cf-29e8-4167-bde5-6c56c99dd672","block_type":"box","text":"1974","page_number":26,"box":{"x":69,"y":371,"width":33,"height":8}},{"id":"2384b448-5434-4128-bf14-ab9a73caa55e","block_type":"box","text":"Chief","page_number":26,"box":{"x":294,"y":355,"width":31,"height":9}},{"id":"c83bd5f5-8501-42d9-87de-28cd0c8fbafd","block_type":"box","text":"Financial","page_number":26,"box":{"x":294,"y":368,"width":51,"height":8}},{"id":"bfb4a795-a403-436c-9bbb-e010ec81e80d","block_type":"box","text":"Officer","page_number":26,"box":{"x":294,"y":379,"width":40,"height":8}},{"id":"a409d9bd-ea42-41d6-8413-54893192f36f","block_type":"box","text":"(Since 2021) and","page_number":26,"box":{"x":294,"y":391,"width":104,"height":10}},{"id":"16850b75-522e-4b45-b185-fa4e60ae8977","block_type":"box","text":"Treasurer (Since 2026)","page_number":26,"box":{"x":293,"y":403,"width":140,"height":10}},{"id":"8c8cfa1a-a236-4642-849b-85f2efb4ce5f","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":355,"width":297,"height":11}},{"id":"a74a7b49-09c8-414e-8ca1-057f57d29950","block_type":"box","text":"Charles Park","page_number":26,"box":{"x":69,"y":421,"width":76,"height":8}},{"id":"4a51ec6a-ab92-4e94-84b3-a0aa27a281b9","block_type":"box","text":"3","page_number":26,"box":{"x":145,"y":421,"width":4,"height":4}},{"id":"da88a045-11a3-4fff-80fe-485f2c3d776f","block_type":"box","text":"1967","page_number":26,"box":{"x":69,"y":437,"width":32,"height":8}},{"id":"a7d55db9-1a80-4dcf-8eed-3cdbde5f31dd","block_type":"box","text":"Chief Compliance Officer","page_number":26,"box":{"x":294,"y":421,"width":149,"height":10}},{"id":"d87de34c-9aaa-44d2-974a-8be72e11faca","block_type":"box","text":"(Since 2026; and from","page_number":26,"box":{"x":294,"y":433,"width":136,"height":10}},{"id":"be0eaaa5-c013-4a9f-a24a-9c7d9bd4e77f","block_type":"box","text":"2014-2023)","page_number":26,"box":{"x":294,"y":445,"width":73,"height":10}},{"id":"e9e98dbe-1e50-4ae6-b081-1bf8206ce22f","block_type":"box","text":"Managing Director of BlackRock, Inc. (since 2006); Chief Compliance","page_number":26,"box":{"x":480,"y":421,"width":415,"height":10}},{"id":"48375527-0803-44c7-94fd-6c9de15effe7","block_type":"box","text":"Officer of BlackRock Advisors, LLC (since 2014) and BlackRock Fund","page_number":26,"box":{"x":480,"y":433,"width":414,"height":10}},{"id":"61ca3015-4115-4c14-8244-775cf3caaadb","block_type":"box","text":"Advisors (since 2006); Chief Compliance Officer of the iShares","page_number":26,"box":{"x":479,"y":445,"width":378,"height":10}},{"id":"83261d0c-5a82-41af-a252-501a1689b587","block_type":"box","text":"Complex (since 2026 and 2006-2023); Chief Compliance Officer of","page_number":26,"box":{"x":480,"y":457,"width":407,"height":10}},{"id":"a511a6d5-ee08-45c3-86ee-6fe2c4459b78","block_type":"box","text":"the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income","page_number":26,"box":{"x":479,"y":469,"width":411,"height":10}},{"id":"b060e894-2b8e-4e6d-b184-3a2fba653d57","block_type":"box","text":"Complex (since 2026 and 2014-2023).","page_number":26,"box":{"x":480,"y":481,"width":236,"height":10}},{"id":"fff90232-8072-4b3f-bde8-64785baa4c68","block_type":"box","text":"Lisa Belle","page_number":26,"box":{"x":69,"y":499,"width":58,"height":8}},{"id":"b91d56db-da5d-4c19-b2e5-c450f0ef0ae1","block_type":"box","text":"1968","page_number":26,"box":{"x":69,"y":514,"width":33,"height":8}},{"id":"e49b4146-7532-4678-9266-fe0d85acca95","block_type":"box","text":"Anti-Money Laundering","page_number":26,"box":{"x":293,"y":499,"width":136,"height":10}},{"id":"2e167d2f-74d2-4b41-bb40-940a05ca8000","block_type":"box","text":"Compliance Officer","page_number":26,"box":{"x":294,"y":510,"width":114,"height":10}},{"id":"6db0295f-b361-47f3-b220-7c8383ea21b2","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":522,"width":78,"height":10}},{"id":"718b832b-dd74-4bfa-8357-098bd6eb891c","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":498,"width":297,"height":11}},{"id":"2ffda0f0-7155-41b0-b6c8-89a6993fd580","block_type":"box","text":"Janey Ahn","page_number":26,"box":{"x":69,"y":540,"width":59,"height":10}},{"id":"8c7e8b16-af6f-4388-8478-2e4cf7b5ba7d","block_type":"box","text":"1975","page_number":26,"box":{"x":69,"y":556,"width":33,"height":8}},{"id":"6d4699d3-8dc8-4de2-9576-1242ca7b7e83","block_type":"box","text":"Secretary","page_number":26,"box":{"x":294,"y":540,"width":58,"height":10}},{"id":"a1322395-fca8-43cf-92f2-0afc5a7b4510","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":552,"width":78,"height":10}},{"id":"b3d95d7b-8ca0-4ae9-ace1-98ff8078c503","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2018.","page_number":26,"box":{"x":480,"y":540,"width":297,"height":10}},{"id":"824dea2c-385b-4551-9df9-88ab897004c6","block_type":"box","text":"1","page_number":26,"box":{"x":69,"y":580,"width":3,"height":3}},{"id":"973f17f7-179a-4046-8eaf-4c72a838dab7","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":579,"width":559,"height":9}},{"id":"42dffa1a-a5f6-4c70-9b34-499efa7924fd","block_type":"box","text":"2","page_number":26,"box":{"x":69,"y":592,"width":3,"height":4}},{"id":"af3d0722-cdc3-4cf7-a870-a4fdeb941af3","block_type":"box","text":"Officers of the Trust serve at the pleasure of the Board.","page_number":26,"box":{"x":93,"y":592,"width":318,"height":9}},{"id":"148933fd-4481-4a08-8dec-2c950ca9a50d","block_type":"box","text":"3","page_number":26,"box":{"x":69,"y":605,"width":3,"height":3}},{"id":"e2b2e266-1747-4a1b-865f-f652a9ff039f","block_type":"box","text":"Effective August 1, 2026, Charles Park succeeded Aaron Wasserman as Chief Compliance Officer.","page_number":26,"box":{"x":94,"y":604,"width":560,"height":10}},{"id":"9f69583b-8928-4fb9-9964-46966c93c543","block_type":"box","text":"Share Ownership","page_number":26,"box":{"x":68,"y":633,"width":123,"height":11}},{"id":"337fc9e2-345c-4b80-9972-95575e0c0c5b","block_type":"box","text":"Information relating to each Trustee’s share ownership in the Fund and in all BlackRock-advised Funds that are","page_number":26,"box":{"x":102,"y":656,"width":790,"height":11}},{"id":"278afbec-8b84-48d4-8232-6fa145df3bd6","block_type":"box","text":"currently overseen by the respective Trustee (“Supervised Funds”) as of December 31, 2025, except as otherwise","page_number":26,"box":{"x":69,"y":671,"width":817,"height":11}},{"id":"8bf2378c-7749-4def-9d08-2e57cfbc54ae","block_type":"box","text":"noted, is set for th in the char t below. Amounts shown may include shares as to which a Trustee has indirect","page_number":26,"box":{"x":69,"y":686,"width":774,"height":11}},{"id":"4f8e33fb-a9a6-4368-a803-398d771f21a4","block_type":"box","text":"beneficial ownership, such as through par ticipation in cer tain family accounts, 529 college savings plan interests, or","page_number":26,"box":{"x":69,"y":701,"width":833,"height":11}},{"id":"34efdb9f-d6ee-48c5-9e2c-9b61005a2bfd","block_type":"box","text":"similar arrangements where the Trustee has beneficial economic interest but not a direct ownership interest.","page_number":26,"box":{"x":69,"y":716,"width":776,"height":11}},{"id":"61680f66-6a42-4cac-b77d-577b234b41c1","block_type":"box","text":"Name","page_number":26,"box":{"x":69,"y":765,"width":32,"height":7}},{"id":"2e58742c-fe52-46c2-b279-eed6dd299804","block_type":"box","text":"Dollar","page_number":26,"box":{"x":634,"y":745,"width":33,"height":7}},{"id":"608de501-afdd-44d7-94a0-add8c9610dbb","block_type":"box","text":"Range of Equity","page_number":26,"box":{"x":605,"y":754,"width":91,"height":9}},{"id":"bdfb2fc6-80f7-49fa-ba3f-2c24bc77e63d","block_type":"box","text":"Securities in the Fund","page_number":26,"box":{"x":586,"y":765,"width":128,"height":7}},{"id":"60709c01-293e-4292-a418-7c81542254f0","block_type":"box","text":"Aggregate Dollar Range of","page_number":26,"box":{"x":755,"y":744,"width":155,"height":9}},{"id":"ba4214cd-16fb-4a0d-bd7c-13b0e1b7a3d2","block_type":"box","text":"Equity Securities in","page_number":26,"box":{"x":776,"y":755,"width":112,"height":8}},{"id":"cc51e3f3-7b3a-4fd3-b8e9-397d7f29c8ea","block_type":"box","text":"Supervised Funds","page_number":26,"box":{"x":781,"y":765,"width":102,"height":8}},{"id":"7c39d874-bb3f-418b-86d9-6523852f276b","block_type":"box","text":"Independent Trustees","page_number":26,"box":{"x":70,"y":783,"width":154,"height":10}},{"id":"0b342496-9ce5-4ef8-a780-53db8603d6b2","block_type":"box","text":"Christopher J. Ailman","page_number":26,"box":{"x":79,"y":798,"width":149,"height":10}},{"id":"f4a4f7df-3115-432f-9034-86e7ba4a5b0d","block_type":"box","text":".......................................","page_number":26,"box":{"x":233,"y":805,"width":312,"height":1}},{"id":"54382e41-5e3f-4ba9-b25d-60525c46a92d","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":633,"y":797,"width":254,"height":11}},{"id":"0edae990-d2d3-43a3-9bc9-099c1fc54f50","block_type":"box","text":"Susan J. Car ter","page_number":26,"box":{"x":79,"y":813,"width":110,"height":9}},{"id":"e0fc38e9-d316-46b7-bb7a-9a73ece456a5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over","page_number":26,"box":{"x":192,"y":813,"width":435,"height":9}},{"id":"243d00ff-6396-41cb-892e-d0e6d9ebf3bf","block_type":"box","text":"$100,000 Over $100,000","page_number":26,"box":{"x":633,"y":812,"width":254,"height":11}},{"id":"8e9e498c-49c5-469c-be27-3da9f3feba2a","block_type":"box","text":"Collette Chilton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":828,"width":466,"height":9}},{"id":"689ec383-2965-4c4f-b909-e7175148c592","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":633,"y":827,"width":254,"height":11}},{"id":"81a88a1e-a1b7-4216-8357-bb58ab605fb4","block_type":"box","text":"Neil A. Cotty. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over","page_number":26,"box":{"x":79,"y":843,"width":548,"height":11}},{"id":"ec796d21-fe70-465f-ac36-99bb465e590d","block_type":"box","text":"$100,000 Over $100,000","page_number":26,"box":{"x":633,"y":842,"width":254,"height":11}},{"id":"3c5dc480-b7c0-41fa-8f52-824e8cd597f8","block_type":"box","text":"Jeffrey Jarczyk","page_number":26,"box":{"x":78,"y":858,"width":103,"height":11}},{"id":"f003fc6f-2d0c-4275-a47c-c2d5aad98308","block_type":"box","text":"*","page_number":26,"box":{"x":182,"y":858,"width":3,"height":3}},{"id":"34ce4b14-c6cc-438e-838f-100940aaefc5","block_type":"box","text":"............................................","page_number":26,"box":{"x":192,"y":865,"width":352,"height":2}},{"id":"5437b66b-3abc-4bf3-bd4a-e8b723265cb3","block_type":"box","text":"None None","page_number":26,"box":{"x":633,"y":858,"width":217,"height":9}},{"id":"daac2ca0-2f0b-484e-9094-856e0fc3e85f","block_type":"box","text":"Henry R. Keizer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":873,"width":465,"height":11}},{"id":"f8a25773-876a-4fc4-975b-bbdc1babf1bf","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":633,"y":872,"width":254,"height":11}},{"id":"245decc5-08e2-4b7b-9f79-0690d46d299d","block_type":"box","text":"Cynthia A. Montgomery . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":888,"width":465,"height":11}},{"id":"e22da422-d5d0-4ab0-8bac-70e2e06679f7","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":633,"y":887,"width":254,"height":12}},{"id":"9bad24e2-a174-47e5-a386-f2dfa6906dbb","block_type":"box","text":"Donald C. Opatrny","page_number":26,"box":{"x":79,"y":903,"width":129,"height":11}},{"id":"eee3e2d2-235f-42fe-9427-9853ae8c3e04","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over","page_number":26,"box":{"x":217,"y":903,"width":410,"height":9}},{"id":"81df03bb-d112-47f0-95a8-1df1ea2ae5e1","block_type":"box","text":"$100,000 Over $100,000","page_number":26,"box":{"x":633,"y":903,"width":254,"height":11}},{"id":"d60fb17f-11cd-4fa5-b135-f4702df3c40a","block_type":"box","text":"I-17","page_number":26,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"a51ab4bf-87e5-48d9-855e-04fe2949fb8a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":26,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"472a649a-1b09-404e-adb6-85eea3cc15a8","block_type":"box","text":"Name","page_number":27,"box":{"x":69,"y":69,"width":32,"height":7}},{"id":"15cceee7-3e1d-4a19-b347-622390f048e6","block_type":"box","text":"Dollar","page_number":27,"box":{"x":634,"y":49,"width":33,"height":7}},{"id":"c582e815-7e72-444b-b4eb-5913d8f90d8a","block_type":"box","text":"Range of Equity","page_number":27,"box":{"x":605,"y":59,"width":91,"height":9}},{"id":"ef3ea4d6-f21f-4d19-96d1-5f3ebe05bf0d","block_type":"box","text":"Securities in the Fund","page_number":27,"box":{"x":586,"y":69,"width":128,"height":7}},{"id":"46b842fc-04e3-4f6e-a3cd-68df277039ce","block_type":"box","text":"Aggregate Dollar Range of","page_number":27,"box":{"x":755,"y":49,"width":155,"height":9}},{"id":"d78f8e3a-1ed1-47bb-8654-abd884e4c3ea","block_type":"box","text":"Equity Securities in","page_number":27,"box":{"x":776,"y":59,"width":112,"height":9}},{"id":"1351d0b0-755a-4a77-a5aa-68994a32b30e","block_type":"box","text":"Supervised Funds","page_number":27,"box":{"x":781,"y":69,"width":102,"height":9}},{"id":"7021a06d-36c7-4051-9dd6-92453931a6dc","block_type":"box","text":"Lori Richards . .","page_number":27,"box":{"x":79,"y":87,"width":107,"height":9}},{"id":"82317a65-1cdd-4d34-b07b-b50fd9d14abe","block_type":"box","text":"............................................","page_number":27,"box":{"x":192,"y":94,"width":352,"height":2}},{"id":"7a088f1f-24f6-4809-8f0c-7ce3ebd877c7","block_type":"box","text":"None None","page_number":27,"box":{"x":633,"y":87,"width":217,"height":9}},{"id":"63553e20-e51d-4827-b635-01b3311fe9b7","block_type":"box","text":"Mark Stalnecker","page_number":27,"box":{"x":79,"y":102,"width":115,"height":9}},{"id":"eb4ef696-0d4c-4f66-8e63-620349c55b22","block_type":"box","text":"...........................................","page_number":27,"box":{"x":200,"y":109,"width":344,"height":2}},{"id":"9958a641-9aaf-4190-821d-76427dfddcb8","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":633,"y":101,"width":254,"height":11}},{"id":"d227fa78-ab75-4dda-b9c5-cabd52b6624d","block_type":"box","text":"Marc D. Stern","page_number":27,"box":{"x":79,"y":117,"width":97,"height":9}},{"id":"a391a015-75c7-4bc2-aa85-ce69b6045fb7","block_type":"box","text":"*","page_number":27,"box":{"x":178,"y":118,"width":4,"height":2}},{"id":"caba67c4-b645-46c4-98d1-c0389e790760","block_type":"box","text":"............................................","page_number":27,"box":{"x":192,"y":125,"width":352,"height":1}},{"id":"fa8df796-07f2-4b06-9912-66a9a5bf0620","block_type":"box","text":"None None","page_number":27,"box":{"x":633,"y":117,"width":217,"height":9}},{"id":"6757605a-e8fc-414d-bf4e-f57f227b0fe0","block_type":"box","text":"Kenneth L. Urish","page_number":27,"box":{"x":79,"y":132,"width":117,"height":9}},{"id":"f6ce4191-b6fc-40fc-ab02-0f7b8aa43878","block_type":"box","text":"...........................................","page_number":27,"box":{"x":200,"y":140,"width":344,"height":1}},{"id":"9faf8ab6-ba99-4f2f-8f1d-846b96904567","block_type":"box","text":"$50,001 - $100,000 Over $100,000","page_number":27,"box":{"x":576,"y":132,"width":311,"height":11}},{"id":"8976b660-b9e5-4fd5-9020-0897c69b7f6e","block_type":"box","text":"Claire A. Walton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over","page_number":27,"box":{"x":79,"y":147,"width":548,"height":9}},{"id":"05e48946-e1ab-4c54-b555-498174e8f4c9","block_type":"box","text":"$100,000 Over $100,000","page_number":27,"box":{"x":633,"y":147,"width":254,"height":11}},{"id":"11bd87d4-296f-44a6-a6a0-6009a03c4c66","block_type":"box","text":"Interested Trustees","page_number":27,"box":{"x":70,"y":163,"width":138,"height":8}},{"id":"97a027a1-d479-49a0-a7d0-e41cdd791468","block_type":"box","text":"Rober t Fairbairn","page_number":27,"box":{"x":79,"y":178,"width":113,"height":9}},{"id":"b7424214-551a-4ff2-a105-ce07b5c151a6","block_type":"box","text":"...........................................","page_number":27,"box":{"x":200,"y":185,"width":344,"height":1}},{"id":"c3d92ee6-50f3-4e87-9ef5-69c71a07ca98","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":633,"y":177,"width":254,"height":11}},{"id":"ae27df2a-b034-49eb-b9e0-42f61a682797","block_type":"box","text":"John M. Perlowski. . .","page_number":27,"box":{"x":78,"y":193,"width":149,"height":9}},{"id":"1c97c3cf-1a33-414b-9efa-7ae950e84e17","block_type":"box","text":".......................................","page_number":27,"box":{"x":233,"y":200,"width":311,"height":2}},{"id":"53e37320-2190-46cf-b03a-7d0aaaaea940","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":633,"y":192,"width":254,"height":11}},{"id":"f74aa955-dee9-41a5-932e-ce58e55d9485","block_type":"box","text":"*","page_number":27,"box":{"x":69,"y":217,"width":3,"height":2}},{"id":"1211522e-b36d-4681-a903-4e30d9083de6","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 Trustees.","page_number":27,"box":{"x":77,"y":217,"width":769,"height":9}},{"id":"73d538f7-d312-4ed1-88e8-9a744c5e0a75","block_type":"box","text":"As of September 3, 2026, the Trustees and officers of the Trust as a group directly or indirectly beneficially","page_number":27,"box":{"x":101,"y":238,"width":767,"height":11}},{"id":"667c82e4-982a-4fa5-9df2-72d802846f6d","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":253,"width":819,"height":11}},{"id":"facc94df-d633-4d07-a67e-c03e7273a46b","block_type":"box","text":"(and, with respect to Mr. Jarczyk and Mr. Stern, as of April 1, 2026), none of the Independent Trustees of the Trust or","page_number":27,"box":{"x":69,"y":268,"width":839,"height":11}},{"id":"2d3dcd87-65a7-4a07-b965-bc291cfde409","block_type":"box","text":"their immediate family members owned beneficially or of record any securities of the Fund’s investment adviser,","page_number":27,"box":{"x":68,"y":283,"width":798,"height":12}},{"id":"b20da717-cf3f-4c0b-a617-77502e4753d3","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":299,"width":831,"height":11}},{"id":"72674591-c0ea-4946-8f94-0f98a51c6987","block_type":"box","text":"entities.","page_number":27,"box":{"x":69,"y":314,"width":56,"height":9}},{"id":"94bd58b2-4ebe-4b23-a387-8ef409610926","block_type":"box","text":"Compensation of Trustees","page_number":27,"box":{"x":69,"y":344,"width":190,"height":11}},{"id":"f231d4bc-009a-4159-97d0-cd8174415cc2","block_type":"box","text":"Each Trustee who is an Independent Trustee is paid as compensation an annual retainer of $375,000 per year","page_number":27,"box":{"x":102,"y":366,"width":791,"height":12}},{"id":"5855aded-e4ea-4360-a6af-2b064567a1bf","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":382,"width":810,"height":11}},{"id":"4389e013-aa0e-4f3a-9782-17559216b273","block_type":"box","text":"including the Trust, 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":396,"width":838,"height":12}},{"id":"5c799fe9-19c9-461e-83ea-7f97ceeaaac3","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":412,"width":807,"height":11}},{"id":"fb2f9a32-d247-4afd-baad-88aeabb93a76","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":427,"width":791,"height":11}},{"id":"8961a6d0-828a-40b1-8a3a-2447dee75f06","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":442,"width":786,"height":11}},{"id":"5b45b32e-20fc-4dd6-bd41-7020a9cc974f","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":457,"width":769,"height":12}},{"id":"61d54e72-7171-4202-9aa6-a158914f4ea3","block_type":"box","text":"Committee and Per formance Oversight Committee are paid as compensation an additional annual retainer of","page_number":27,"box":{"x":69,"y":472,"width":778,"height":12}},{"id":"90c02cee-992e-4441-a7b4-b97059682712","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":487,"width":689,"height":12}},{"id":"07e8c361-2360-4b8c-adf5-199b8b930c87","block_type":"box","text":"The following table sets for th the compensation the Trust paid to the Trustees, on behalf of the Fund, for the","page_number":27,"box":{"x":101,"y":510,"width":776,"height":11}},{"id":"07c71eb7-1b6e-4019-8106-1e7a58b48e5c","block_type":"box","text":"fiscal year ended May 31, 2026 and the aggregate compensation paid to them by all BlackRock-advised Funds for the","page_number":27,"box":{"x":68,"y":525,"width":841,"height":12}},{"id":"1664dc83-43f0-4fa6-81a0-cd3611e6f747","block_type":"box","text":"calendar year ended December 31, 2025.","page_number":27,"box":{"x":69,"y":540,"width":298,"height":12}},{"id":"7f11b38e-6f0e-4448-ace5-496f1d74a8da","block_type":"box","text":"Name","page_number":27,"box":{"x":69,"y":609,"width":32,"height":7}},{"id":"c1dfc0f3-415e-421d-955f-c19f377aa583","block_type":"box","text":"Compensation","page_number":27,"box":{"x":551,"y":599,"width":83,"height":9}},{"id":"7aebdd80-c9ae-477c-a7a5-2899587f24c9","block_type":"box","text":"from the Fund","page_number":27,"box":{"x":552,"y":609,"width":81,"height":7}},{"id":"fbefbfa1-3822-469a-ba7d-62e8b2a98134","block_type":"box","text":"Estimated Annual","page_number":27,"box":{"x":664,"y":589,"width":102,"height":7}},{"id":"a09fc098-6476-4450-bbb4-dcc96cf645b0","block_type":"box","text":"Benefits upon","page_number":27,"box":{"x":676,"y":599,"width":79,"height":9}},{"id":"5538f873-1146-4f55-a65f-360aa7727076","block_type":"box","text":"Retirement","page_number":27,"box":{"x":683,"y":609,"width":64,"height":7}},{"id":"e5c2c228-7cfc-41ae-888b-fd57e5f08eca","block_type":"box","text":"Aggregate","page_number":27,"box":{"x":822,"y":569,"width":61,"height":9}},{"id":"722b69aa-5e37-49f8-bfc7-ba533ae907fa","block_type":"box","text":"Compensation from","page_number":27,"box":{"x":796,"y":579,"width":113,"height":9}},{"id":"1e0b858c-a95a-4377-a467-ed36b5506437","block_type":"box","text":"the Fund and","page_number":27,"box":{"x":815,"y":589,"width":75,"height":7}},{"id":"84c43867-84cf-4187-911a-aa4fa530fdee","block_type":"box","text":"Other BlackRock","page_number":27,"box":{"x":802,"y":599,"width":102,"height":7}},{"id":"c65849f0-8d4b-4cda-a985-eb70c5b1adcf","block_type":"box","text":"Advised Funds","page_number":27,"box":{"x":809,"y":609,"width":84,"height":7}},{"id":"e7c05b75-788a-42c6-b317-ecf018dcd7be","block_type":"box","text":"1","page_number":27,"box":{"x":893,"y":609,"width":4,"height":4}},{"id":"f5fc6a47-c120-42a5-ab4c-5bfdbfb16a03","block_type":"box","text":"Independent Trustees","page_number":27,"box":{"x":70,"y":627,"width":154,"height":11}},{"id":"5321a470-473f-4e26-b5c3-7fdd0dd3e6b0","block_type":"box","text":"Christopher J. Ailman . . . .","page_number":27,"box":{"x":79,"y":642,"width":180,"height":11}},{"id":"67a35883-0b3a-4dc2-9166-71a54106efc8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,106 None","page_number":27,"box":{"x":266,"y":641,"width":467,"height":11}},{"id":"90f16fa2-8c35-4a40-aaea-57697f116e88","block_type":"box","text":"$445,000","page_number":27,"box":{"x":817,"y":641,"width":72,"height":11}},{"id":"3215f5fb-60c3-4bd9-8fd8-69980bfada48","block_type":"box","text":"Susan J. Car ter . .","page_number":27,"box":{"x":79,"y":657,"width":123,"height":9}},{"id":"a69e5876-e758-4d31-b7cd-56cb244db20b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,106 None","page_number":27,"box":{"x":208,"y":656,"width":525,"height":11}},{"id":"4f2de734-5f3b-4e4d-be28-de3063cfb6f5","block_type":"box","text":"$445,000","page_number":27,"box":{"x":817,"y":656,"width":72,"height":11}},{"id":"26bc46bf-6b5a-4c5c-a103-7880b3086bc5","block_type":"box","text":"Collette Chilton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,106 None","page_number":27,"box":{"x":79,"y":671,"width":654,"height":12}},{"id":"c3c10430-d4aa-48fe-8fde-d71d391c44d3","block_type":"box","text":"$445,000","page_number":27,"box":{"x":817,"y":671,"width":72,"height":12}},{"id":"301fc14d-2d75-427e-a510-148b4eb0ca78","block_type":"box","text":"Neil A. Cotty. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,331 None","page_number":27,"box":{"x":79,"y":686,"width":654,"height":12}},{"id":"5d29d748-a3e2-4882-8290-7b2053e3c880","block_type":"box","text":"$467,500","page_number":27,"box":{"x":817,"y":686,"width":72,"height":12}},{"id":"0dd7f26d-68b9-4947-b812-4d463ec9c59f","block_type":"box","text":"Jeffrey Jarczyk","page_number":27,"box":{"x":78,"y":702,"width":103,"height":11}},{"id":"ab0edc9c-144b-4254-9a03-b10c96778e66","block_type":"box","text":"2","page_number":27,"box":{"x":181,"y":703,"width":4,"height":4}},{"id":"1e05d55b-9678-4e45-a317-ee6a458e2123","block_type":"box","text":".........................................","page_number":27,"box":{"x":192,"y":710,"width":328,"height":1}},{"id":"1fa51e9c-90c5-4e30-af3f-de17b2fda31b","block_type":"box","text":"$814 None None","page_number":27,"box":{"x":574,"y":702,"width":297,"height":10}},{"id":"38c592d1-559b-48c1-94a2-f187c0663594","block_type":"box","text":"Henry R. Keizer","page_number":27,"box":{"x":79,"y":718,"width":109,"height":11}},{"id":"99c1a6dc-b240-47d5-8ca7-0316f336c82f","block_type":"box","text":"3","page_number":27,"box":{"x":189,"y":718,"width":4,"height":4}},{"id":"33486659-beef-4aa5-9883-78fa313333fa","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,723 None","page_number":27,"box":{"x":200,"y":717,"width":533,"height":11}},{"id":"33c6a461-5153-45cd-98fc-bec03241ce76","block_type":"box","text":"$490,000","page_number":27,"box":{"x":817,"y":717,"width":72,"height":11}},{"id":"8a889a02-72b7-4a1c-8743-a3a0234f0a6c","block_type":"box","text":"Cynthia A. Montgomery","page_number":27,"box":{"x":79,"y":733,"width":164,"height":11}},{"id":"9a826054-5307-4034-8b97-6222b23401c5","block_type":"box","text":"4","page_number":27,"box":{"x":244,"y":733,"width":4,"height":4}},{"id":"a99ee80d-7e96-4a55-9d83-f2ddfa43199d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,543 None $490,000","page_number":27,"box":{"x":257,"y":732,"width":632,"height":11}},{"id":"fee376da-9098-4e8a-aef2-c5febab584fa","block_type":"box","text":"Donald C. Opatrny","page_number":27,"box":{"x":79,"y":748,"width":129,"height":11}},{"id":"47fab443-2185-4526-9cd2-6212f59c550c","block_type":"box","text":"5","page_number":27,"box":{"x":208,"y":748,"width":4,"height":4}},{"id":"2ae9922b-84fc-4632-9a3e-9f9dd8b8ebe6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,543 None","page_number":27,"box":{"x":217,"y":747,"width":516,"height":11}},{"id":"3f3daff1-1c89-4482-a1b3-809420ecb3bd","block_type":"box","text":"$490,000","page_number":27,"box":{"x":817,"y":747,"width":72,"height":11}},{"id":"cd69f2a3-4659-49b1-a4bf-1ad6884db3f1","block_type":"box","text":"Lori Richards","page_number":27,"box":{"x":79,"y":763,"width":91,"height":9}},{"id":"7f57e76f-61e0-4a24-8c73-081542e88291","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,106 None","page_number":27,"box":{"x":176,"y":762,"width":557,"height":11}},{"id":"3c8a100b-b452-419e-8eef-a03e9b3059df","block_type":"box","text":"$445,000","page_number":27,"box":{"x":817,"y":762,"width":72,"height":11}},{"id":"0f348ab9-759a-484e-b595-2a2c56836874","block_type":"box","text":"Mark Stalnecker","page_number":27,"box":{"x":79,"y":778,"width":115,"height":9}},{"id":"6fe85200-df78-45cf-a26c-27b0e409d374","block_type":"box","text":"6","page_number":27,"box":{"x":194,"y":778,"width":5,"height":5}},{"id":"4e4d6cbe-66b3-45ce-8945-07d0374845a9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,565 None","page_number":27,"box":{"x":208,"y":777,"width":525,"height":11}},{"id":"9708dc31-c03c-4245-8c8c-2552c5478b19","block_type":"box","text":"$595,000","page_number":27,"box":{"x":817,"y":777,"width":72,"height":11}},{"id":"486830c9-669a-4224-a54c-a095dbf01bcf","block_type":"box","text":"Marc D. Stern","page_number":27,"box":{"x":79,"y":793,"width":97,"height":9}},{"id":"c49ab894-af52-4bda-81c3-be1dec86713e","block_type":"box","text":"2","page_number":27,"box":{"x":178,"y":793,"width":4,"height":5}},{"id":"d0988d97-6d8c-4fd9-98c9-124d02e7f927","block_type":"box","text":".........................................","page_number":27,"box":{"x":192,"y":800,"width":328,"height":2}},{"id":"dafeb5f5-036b-4a83-a592-6cd1a9ad8845","block_type":"box","text":"$814 None None","page_number":27,"box":{"x":574,"y":792,"width":297,"height":11}},{"id":"cae82acf-beec-4cfc-9f14-37de5b1b6ebe","block_type":"box","text":"Kenneth L. Urish . .","page_number":27,"box":{"x":79,"y":808,"width":131,"height":9}},{"id":"573a5909-f879-4ac7-820c-181b7f3fa036","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,106 None","page_number":27,"box":{"x":217,"y":807,"width":516,"height":12}},{"id":"fdc3c090-9d3a-47da-b4a4-3575120d49b6","block_type":"box","text":"$445,000","page_number":27,"box":{"x":817,"y":807,"width":72,"height":12}},{"id":"b79524be-3624-4e76-8199-6fef24a18e1e","block_type":"box","text":"Claire A. Walton","page_number":27,"box":{"x":79,"y":823,"width":111,"height":9}},{"id":"5d81525f-d905-4610-ba84-a6b8c46e51fa","block_type":"box","text":"7","page_number":27,"box":{"x":192,"y":824,"width":3,"height":4}},{"id":"f92f3851-0ae0-4bda-8896-b3d54120b402","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,543 None","page_number":27,"box":{"x":200,"y":823,"width":533,"height":11}},{"id":"67a9d719-46c8-4b06-b015-0d1e814ddf79","block_type":"box","text":"$490,000","page_number":27,"box":{"x":817,"y":823,"width":72,"height":11}},{"id":"3b56e57d-e549-4eb7-9c82-c2101db9aff5","block_type":"box","text":"Interested Trustees","page_number":27,"box":{"x":70,"y":839,"width":138,"height":8}},{"id":"60a7207c-e2ab-408f-835b-6c53033b1850","block_type":"box","text":"Rober t Fairbairn . .","page_number":27,"box":{"x":79,"y":854,"width":131,"height":8}},{"id":"c7b50c2e-692b-43d2-8466-85b465623d2c","block_type":"box","text":"......................................","page_number":27,"box":{"x":217,"y":861,"width":303,"height":1}},{"id":"19cfa90a-3969-43b6-be09-e6171f1bd4ce","block_type":"box","text":"None None None","page_number":27,"box":{"x":575,"y":854,"width":296,"height":8}},{"id":"578dd40c-4570-441d-9bb7-59962bda0c47","block_type":"box","text":"John M. Perlowski","page_number":27,"box":{"x":78,"y":869,"width":127,"height":9}},{"id":"49b20f10-9e8f-495b-b9e4-8405e18b3e10","block_type":"box","text":".......................................","page_number":27,"box":{"x":208,"y":876,"width":312,"height":1}},{"id":"7362ef53-b327-4485-ab03-0674a0fc6499","block_type":"box","text":"None None None","page_number":27,"box":{"x":575,"y":869,"width":296,"height":9}},{"id":"105727ee-811f-4bb5-a308-b85497527cd8","block_type":"box","text":"1","page_number":27,"box":{"x":69,"y":893,"width":3,"height":4}},{"id":"285b02dc-72a3-46f0-9910-6001be140750","block_type":"box","text":"For the number of BlackRock-advised Funds from which each Trustee receives compensation, see “Biographical Information” beginning on","page_number":27,"box":{"x":94,"y":893,"width":786,"height":9}},{"id":"7cd19ad6-cc97-49af-968d-1d98c8592c65","block_type":"box","text":"page I-13.","page_number":27,"box":{"x":94,"y":903,"width":55,"height":9}},{"id":"195784c3-5213-4438-8dc8-cb5faf11abd5","block_type":"box","text":"I-18","page_number":27,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"420dce8f-8dd5-490e-8597-0e34283f9efc","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":27,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0ff0bb67-60b4-444d-badf-7893a0b6e665","block_type":"box","text":"2","page_number":28,"box":{"x":69,"y":45,"width":3,"height":4}},{"id":"e513f8c8-54f8-4290-936d-cf74f15f5aaf","block_type":"box","text":"Compensation includes $814 earned as a consultant to the Independent Directors for the period April 1, 2026 to July 1, 2026.","page_number":28,"box":{"x":93,"y":45,"width":726,"height":9}},{"id":"922393e0-9410-4883-9340-18ae720d69d5","block_type":"box","text":"3","page_number":28,"box":{"x":69,"y":58,"width":3,"height":3}},{"id":"f5ca0176-19b5-4e41-b481-8d35fda31bba","block_type":"box","text":"Chair of the Audit Committee.","page_number":28,"box":{"x":93,"y":58,"width":168,"height":7}},{"id":"9466632d-c7c6-4190-b6b3-dc61e8755a3a","block_type":"box","text":"4","page_number":28,"box":{"x":68,"y":71,"width":4,"height":3}},{"id":"a2d9688f-08f8-4946-ae34-300f5c87e0c9","block_type":"box","text":"Chair of the Governance Committee.","page_number":28,"box":{"x":93,"y":70,"width":206,"height":8}},{"id":"5a11e7b0-91e6-4bb6-9893-78bce5a89a74","block_type":"box","text":"5","page_number":28,"box":{"x":69,"y":83,"width":3,"height":4}},{"id":"10ba2a22-3257-43e1-847f-fbf0c2f998bf","block_type":"box","text":"Chair of the Per formance Oversight Committee.","page_number":28,"box":{"x":93,"y":83,"width":269,"height":9}},{"id":"3b1c841c-71e0-4230-a2a9-5f74e38cf6e5","block_type":"box","text":"6","page_number":28,"box":{"x":69,"y":96,"width":3,"height":3}},{"id":"d2d80483-3897-4b77-834f-30f6422ef2d0","block_type":"box","text":"Chair of the Board and Chair of the Ad Hoc Topics Committee.","page_number":28,"box":{"x":93,"y":96,"width":352,"height":8}},{"id":"30f4d66d-3b75-483f-88c4-1ab5295f7152","block_type":"box","text":"7","page_number":28,"box":{"x":69,"y":108,"width":3,"height":4}},{"id":"4cb14abe-e655-41dd-a390-1a12b86279b4","block_type":"box","text":"Chair of the Compliance Committee.","page_number":28,"box":{"x":93,"y":108,"width":205,"height":9}},{"id":"ba367852-63a0-43bd-9972-f6a51917bb7a","block_type":"box","text":"IV. Management, Advisory and Other Service Arrangements","page_number":28,"box":{"x":69,"y":137,"width":432,"height":11}},{"id":"4db4f650-88b4-4854-b969-b383ae89cb90","block_type":"box","text":"Management Agreement","page_number":28,"box":{"x":69,"y":167,"width":180,"height":11}},{"id":"d4f073b8-f968-4ea3-af6a-d24932a6e906","block_type":"box","text":"The Trust, on behalf of the Fund, has entered into an investment advisory agreement with BlackRock pursuant to","page_number":28,"box":{"x":101,"y":189,"width":805,"height":12}},{"id":"ca12b6fb-7e1d-4c04-8af5-d9dded9911ae","block_type":"box","text":"which BlackRock is entitled to receive fees for the services it provides (the “Management Agreement”).","page_number":28,"box":{"x":68,"y":205,"width":736,"height":11}},{"id":"6e76797d-aa4b-445a-82ae-20f766c81722","block_type":"box","text":"BlackRock has contractually agreed to waive the management fee with respect to any por tion of the Fund’s","page_number":28,"box":{"x":102,"y":227,"width":762,"height":12}},{"id":"ce50581f-bb27-4767-90b3-2a4806b666e1","block_type":"box","text":"assets estimated to be attributable to investments in other equity and fixed-income mutual funds and exchange","page_number":28,"box":{"x":69,"y":242,"width":799,"height":12}},{"id":"ff03839c-03ae-4d93-bd49-d950f80b5d45","block_type":"box","text":"traded funds managed by BlackRock or its affiliates that have a contractual management fee, through","page_number":28,"box":{"x":68,"y":258,"width":726,"height":11}},{"id":"2ea86b9c-e84e-48c6-bdba-0b67dc61c3ea","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":273,"width":797,"height":11}},{"id":"8d15f465-2188-4d6e-a77f-7d65eab5f2ff","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":288,"width":789,"height":11}},{"id":"230f5360-ffd1-4471-8fb0-31871ead46a9","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":303,"width":810,"height":11}},{"id":"9ecff7f2-458b-4af3-a2eb-2eccdddf3fca","block_type":"box","text":"notice by a majority of the Independent Trustees or by a vote of a majority of the outstanding voting securities of the","page_number":28,"box":{"x":69,"y":318,"width":827,"height":11}},{"id":"a3c387bc-1d20-4031-9ecc-3c38235e5628","block_type":"box","text":"Fund.","page_number":28,"box":{"x":70,"y":333,"width":36,"height":9}},{"id":"d7fce098-2193-40ef-bf38-5166c47a7737","block_type":"box","text":"Pursuant to the Management Agreement, BlackRock may from time to time, in its sole discretion to the extent","page_number":28,"box":{"x":102,"y":356,"width":784,"height":11}},{"id":"de1ffbd9-519b-4d51-8ed1-c2410369fc28","block_type":"box","text":"permitted by applicable law, appoint one or more sub-advisers, including, without limitation, affiliates of BlackRock, to","page_number":28,"box":{"x":70,"y":371,"width":838,"height":11}},{"id":"8783a820-810a-47f2-9c7f-a6c274d3291a","block_type":"box","text":"per form investment advisory services with respect to the Fund. In addition, BlackRock may delegate cer tain of its","page_number":28,"box":{"x":70,"y":386,"width":810,"height":11}},{"id":"432e6b01-46b3-4f60-8bde-4916edcbd4ff","block_type":"box","text":"investment advisory functions under the Management Agreement to one or more of its affiliates to the extent","page_number":28,"box":{"x":70,"y":401,"width":779,"height":11}},{"id":"5a4b3f18-2e39-4074-a64b-65b99051db7c","block_type":"box","text":"permitted by applicable law. BlackRock may terminate any or all sub-advisers or such delegation arrangements in its","page_number":28,"box":{"x":70,"y":417,"width":827,"height":11}},{"id":"7a24e797-c0db-4688-805e-11899e35cecc","block_type":"box","text":"sole discretion at any time to the extent permitted by applicable law.","page_number":28,"box":{"x":69,"y":432,"width":486,"height":11}},{"id":"f710d05c-cab3-48e3-b1bc-01e069a08b48","block_type":"box","text":"The table below sets for th information about the total management fees paid by the Trust to BlackRock, on","page_number":28,"box":{"x":101,"y":454,"width":765,"height":11}},{"id":"f6efa2e6-0839-4360-8979-7f853778a089","block_type":"box","text":"behalf of the Fund, and the amounts waived and reimbursed, for the periods shown.","page_number":28,"box":{"x":69,"y":469,"width":598,"height":11}},{"id":"1dbec794-1a20-43da-89f9-58a6c39ef822","block_type":"box","text":"Fees Paid","page_number":28,"box":{"x":723,"y":498,"width":56,"height":7}},{"id":"2f4f4b7f-6e5c-48d3-a090-c4df6f37e4fc","block_type":"box","text":"to BlackRock","page_number":28,"box":{"x":711,"y":508,"width":79,"height":7}},{"id":"e0dc9d9d-acf0-419f-997f-acc8bef06698","block_type":"box","text":"Fees Waived","page_number":28,"box":{"x":833,"y":498,"width":72,"height":7}},{"id":"4739b38d-bb79-4453-a828-b366003f0cb6","block_type":"box","text":"by BlackRock","page_number":28,"box":{"x":830,"y":508,"width":80,"height":8}},{"id":"56f72468-6497-487b-8d59-b76f8c432fe6","block_type":"box","text":"Fiscal Year Ended May 31, 2026. .","page_number":28,"box":{"x":70,"y":525,"width":242,"height":11}},{"id":"1158d96e-901d-42f2-a3ce-454f8225a0da","block_type":"box","text":"............................................","page_number":28,"box":{"x":319,"y":533,"width":352,"height":1}},{"id":"9f438e71-6c1c-464d-ab85-5ea239d3b55b","block_type":"box","text":"$42,581,719 $ 38,166","page_number":28,"box":{"x":703,"y":525,"width":202,"height":11}},{"id":"389ee7b2-9ce8-4fb2-974e-831e6a6b73ee","block_type":"box","text":"Fiscal Year Ended May 31, 2025. .","page_number":28,"box":{"x":70,"y":540,"width":242,"height":12}},{"id":"455daceb-52db-4ad5-a7a2-e4ed5b56038a","block_type":"box","text":"............................................","page_number":28,"box":{"x":319,"y":548,"width":352,"height":1}},{"id":"b0c36829-c739-4a10-ae82-dae985d02985","block_type":"box","text":"$52,334,214 $126,907","page_number":28,"box":{"x":703,"y":540,"width":202,"height":11}},{"id":"17de6551-c6ac-439f-89fb-c0133582224b","block_type":"box","text":"Fiscal Year Ended May 31, 2024. .","page_number":28,"box":{"x":70,"y":556,"width":242,"height":11}},{"id":"a7b21f6e-ebf0-4f8c-8e89-f266ec256230","block_type":"box","text":"............................................","page_number":28,"box":{"x":319,"y":563,"width":352,"height":1}},{"id":"32c58298-e388-4528-9040-b0aa49918403","block_type":"box","text":"$55,768,956 $101,560","page_number":28,"box":{"x":703,"y":555,"width":202,"height":11}},{"id":"dcf96474-90db-4c83-b860-42d64021f14f","block_type":"box","text":"Administration Agreement","page_number":28,"box":{"x":68,"y":587,"width":191,"height":11}},{"id":"e86ade7b-a910-4383-a9f1-88d273986dda","block_type":"box","text":"BlackRock serves as the Fund’s administrator (in such capacity, the “Administrator”) pursuant to an","page_number":28,"box":{"x":102,"y":610,"width":711,"height":11}},{"id":"7b680d32-f683-400e-98ab-8e8f8639ba1c","block_type":"box","text":"administration agreement (the “Administration Agreement”). The Administrator has agreed to maintain office facilities","page_number":28,"box":{"x":69,"y":625,"width":838,"height":11}},{"id":"e87f8272-ad84-4b8a-9ac9-35dea2f075d1","block_type":"box","text":"for the Fund; furnish the Fund with clerical, bookkeeping and administrative services; oversee the determination and","page_number":28,"box":{"x":68,"y":640,"width":830,"height":11}},{"id":"faded607-beb9-41b4-875a-765a1f730ff6","block_type":"box","text":"publication of the Fund’s net asset value; oversee the preparation and filing of Federal, state and local income tax","page_number":28,"box":{"x":70,"y":655,"width":813,"height":11}},{"id":"3f2476ca-e8e5-4751-80ee-dc49eb014d8f","block_type":"box","text":"returns; prepare cer tain repor ts required by regulatory authorities; calculate various contractual expenses; determine","page_number":28,"box":{"x":69,"y":670,"width":837,"height":11}},{"id":"2fc79912-8f46-4b18-a609-993c55be3a88","block_type":"box","text":"the amount of dividends and distributions available for payment by the Fund to its shareholders; prepare and arrange","page_number":28,"box":{"x":68,"y":685,"width":836,"height":12}},{"id":"7e7fb0cb-4514-4d3a-907f-ac7c567f64a2","block_type":"box","text":"for the printing of dividend notices to shareholders; provide Fund service providers with such information as is","page_number":28,"box":{"x":68,"y":700,"width":785,"height":12}},{"id":"442c1409-47f8-4b83-90d6-0e3c4309abd6","block_type":"box","text":"required to effect the payment of dividends and distributions; and serve as liaison with the Trust’s officers,","page_number":28,"box":{"x":69,"y":715,"width":765,"height":12}},{"id":"bb878042-1225-40f8-81f7-77f0c13f3d6b","block_type":"box","text":"independent accountants, legal counsel, custodian, accounting agent and transfer and dividend disbursing agent in","page_number":28,"box":{"x":70,"y":731,"width":819,"height":11}},{"id":"23b05e50-669f-487e-a430-c1ac55a3f0c3","block_type":"box","text":"establishing the accounting policies of the Fund and monitoring financial and shareholder accounting services. The","page_number":28,"box":{"x":69,"y":746,"width":818,"height":11}},{"id":"07c40ece-bc39-468f-b718-92ae34f66be0","block_type":"box","text":"Administrator may from time to time voluntarily waive administration fees with respect to the Fund and may voluntarily","page_number":28,"box":{"x":68,"y":761,"width":840,"height":11}},{"id":"bb6a1613-3eaa-4538-a8ad-353881b72c25","block_type":"box","text":"reimburse the Fund for expenses.","page_number":28,"box":{"x":69,"y":776,"width":238,"height":11}},{"id":"2a7b2746-33f7-44e4-b420-48fa4354fb0d","block_type":"box","text":"Under the Administration Agreement, the Trust, on behalf of the Fund, pays to the Administrator a fee, computed","page_number":28,"box":{"x":102,"y":799,"width":802,"height":11}},{"id":"c1ce2fc8-43c5-4a66-8d40-e1aa62b5635a","block_type":"box","text":"daily and payable monthly, at an aggregate annual rate of (i) 0.0425% of the first $500 million of the Fund’s average","page_number":28,"box":{"x":69,"y":813,"width":830,"height":12}},{"id":"8063af7c-bd39-48de-abfe-005075c4634c","block_type":"box","text":"daily net assets, 0.040% of the next $500 million of the Fund’s average daily net assets, 0.0375% of the next","page_number":28,"box":{"x":69,"y":828,"width":788,"height":12}},{"id":"1d6e05ec-6c85-4845-a8b9-03bdeece46b6","block_type":"box","text":"$1 billion of the Fund’s average daily net assets, 0.035% of the next $2 billion of the Fund’s average daily net","page_number":28,"box":{"x":69,"y":843,"width":785,"height":12}},{"id":"96f8e12e-122a-4b5f-ad5f-65b01f61f57e","block_type":"box","text":"assets, 0.0325% of the next $9 billion of the Fund’s average daily net assets and 0.030% of the average daily net","page_number":28,"box":{"x":69,"y":858,"width":816,"height":12}},{"id":"9ad6f335-4d50-4aec-adce-91c15dcb46f3","block_type":"box","text":"assets of the Fund in excess of $13 billion and (ii) 0.020% of average daily net assets allocated to each class of","page_number":28,"box":{"x":69,"y":874,"width":805,"height":12}},{"id":"78b57b33-4663-4bdc-87b0-51c7e3ac51ee","block_type":"box","text":"shares of the Fund.","page_number":28,"box":{"x":69,"y":889,"width":137,"height":9}},{"id":"e92a23ad-ab48-4502-ac4b-6e27053fcce1","block_type":"box","text":"I-19","page_number":28,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"fd7fb990-1ea4-49a9-86b3-6958376a7165","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":28,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a7723df3-4622-4105-912e-45942f6965ef","block_type":"box","text":"The table below sets for th information about the administration fees paid by the Trust on behalf of the Fund, to","page_number":29,"box":{"x":101,"y":45,"width":793,"height":11}},{"id":"b5b36733-b5bf-4b5b-b4c7-e8992f799bd4","block_type":"box","text":"the Administrator, and the amounts waived, for the periods shown.","page_number":29,"box":{"x":68,"y":60,"width":474,"height":11}},{"id":"58936397-dec0-4010-9a94-4887611e4b03","block_type":"box","text":"Fees Paid","page_number":29,"box":{"x":729,"y":88,"width":56,"height":7}},{"id":"321b19bf-003e-4be5-9035-e9e4adf91254","block_type":"box","text":"to the","page_number":29,"box":{"x":740,"y":98,"width":34,"height":7}},{"id":"c1fc9e24-9062-4154-9713-7cc34a2c0e2a","block_type":"box","text":"Administrator","page_number":29,"box":{"x":717,"y":108,"width":79,"height":7}},{"id":"b0285dac-5120-40f3-8b17-9ff434bf9181","block_type":"box","text":"Fees Waived","page_number":29,"box":{"x":834,"y":88,"width":72,"height":7}},{"id":"8640a361-c2db-4b7e-af72-eab71d2784c6","block_type":"box","text":"by the","page_number":29,"box":{"x":853,"y":98,"width":35,"height":9}},{"id":"f7e44f92-8719-481c-9bef-b149e6296c22","block_type":"box","text":"Administrator","page_number":29,"box":{"x":830,"y":108,"width":79,"height":7}},{"id":"e5948f25-5df6-4ceb-b172-19d10adec9e0","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . .","page_number":29,"box":{"x":70,"y":126,"width":253,"height":11}},{"id":"1e61e1f8-bf9f-4c4e-88dc-fc1063dba719","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,","page_number":29,"box":{"x":330,"y":125,"width":406,"height":11}},{"id":"64f76942-6500-4be0-b883-fbe775ddb762","block_type":"box","text":"486,403 $0","page_number":29,"box":{"x":738,"y":125,"width":141,"height":11}},{"id":"77f881ff-103a-4615-9e2d-ece825f7e5a1","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . .","page_number":29,"box":{"x":70,"y":141,"width":253,"height":11}},{"id":"1c05ff54-62a4-4c2b-afcd-b8eba325f685","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,","page_number":29,"box":{"x":330,"y":140,"width":406,"height":12}},{"id":"98c59757-1f71-4b7d-89a7-661b0f14fbe0","block_type":"box","text":"274,050 $0","page_number":29,"box":{"x":738,"y":140,"width":141,"height":12}},{"id":"bdd5ee44-60e4-41eb-8834-7effd63359b6","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . .","page_number":29,"box":{"x":70,"y":156,"width":253,"height":11}},{"id":"86f673f5-a325-4b32-8c65-2f12b2eecee6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,","page_number":29,"box":{"x":330,"y":155,"width":406,"height":12}},{"id":"cbd54e46-97b8-4e15-acfd-97e4e85fb5a4","block_type":"box","text":"551,483 $0","page_number":29,"box":{"x":738,"y":155,"width":141,"height":12}},{"id":"9846d237-5999-4d30-9cfb-84c4703444e4","block_type":"box","text":"The Trust and its service providers may engage third par ty plan administrators who provide trustee,","page_number":29,"box":{"x":101,"y":180,"width":708,"height":11}},{"id":"cbd71037-72a8-4612-b635-7bf2b8a874f7","block_type":"box","text":"administrative and recordkeeping services for cer tain employee benefit, profit-sharing and retirement plans as agents","page_number":29,"box":{"x":69,"y":195,"width":838,"height":11}},{"id":"4b7b038f-2bd5-4117-881a-480caeeda7f5","block_type":"box","text":"for the Trust with respect to such plans, for the purpose of accepting orders for the purchase and redemption of","page_number":29,"box":{"x":68,"y":210,"width":800,"height":12}},{"id":"38bea4c2-523f-48ee-9db9-93b83f707c0e","block_type":"box","text":"shares of the Trust.","page_number":29,"box":{"x":69,"y":225,"width":138,"height":9}},{"id":"f144f007-a00b-4eb0-a383-0301373924cf","block_type":"box","text":"In addition, pursuant to a shareholders’ administrative services agreement, BlackRock provides cer tain","page_number":29,"box":{"x":102,"y":248,"width":736,"height":11}},{"id":"997eea22-3679-4c9a-8dab-b17b646ce618","block_type":"box","text":"shareholder liaison services in connection with the Trust’s investor service center. The Trust, on behalf of the Fund,","page_number":29,"box":{"x":69,"y":263,"width":824,"height":11}},{"id":"831b25fa-b401-42ca-9d39-04bff9a52e76","block_type":"box","text":"reimburses BlackRock for its costs in maintaining the service center, which costs include, among other things,","page_number":29,"box":{"x":69,"y":278,"width":787,"height":12}},{"id":"8c88ff2f-d74d-4397-864e-f2191fb761f3","block_type":"box","text":"employee salaries, leasehold expenses, and other out-of-pocket expenses.","page_number":29,"box":{"x":69,"y":293,"width":531,"height":12}},{"id":"46c1e468-f791-47b8-8580-c4a4ecc022c3","block_type":"box","text":"For the periods shown, the Trust, on behalf of the Fund, reimbursed BlackRock for shareholder liaison services","page_number":29,"box":{"x":102,"y":316,"width":790,"height":11}},{"id":"2fe47a0a-b7e0-4f33-925f-a889d9e71dad","block_type":"box","text":"pursuant to such agreement in the amounts set for th below.","page_number":29,"box":{"x":70,"y":331,"width":427,"height":12}},{"id":"49d278dd-00e3-42db-9e6c-39e57ccd7753","block_type":"box","text":"Fees Paid","page_number":29,"box":{"x":732,"y":360,"width":56,"height":7}},{"id":"27c4b32b-fd1b-4def-b7d5-d3f1be099982","block_type":"box","text":"to BlackRock","page_number":29,"box":{"x":720,"y":370,"width":80,"height":7}},{"id":"173ae177-d8c3-4625-8c5b-cd22653308b9","block_type":"box","text":"Fees Waived","page_number":29,"box":{"x":833,"y":360,"width":72,"height":7}},{"id":"80af1235-97c8-478a-97dd-cd73d8ad3d9d","block_type":"box","text":"by BlackRock","page_number":29,"box":{"x":830,"y":370,"width":80,"height":8}},{"id":"91221fd5-d94e-4930-ae16-8011377a0a03","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":29,"box":{"x":70,"y":387,"width":457,"height":11}},{"id":"91d37a82-8716-478d-a7f5-c393a45dc8a3","block_type":"box","text":"....................","page_number":29,"box":{"x":533,"y":395,"width":157,"height":1}},{"id":"a54d2e0d-e092-4f21-a5a9-3b25f361bbd1","block_type":"box","text":"$140,783 $0","page_number":29,"box":{"x":724,"y":387,"width":154,"height":11}},{"id":"80334551-d68f-4a2c-9e84-5875f8bdc456","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":29,"box":{"x":70,"y":403,"width":457,"height":11}},{"id":"73d12d0c-9b8e-40a3-93f7-512c9e3807a6","block_type":"box","text":"....................","page_number":29,"box":{"x":533,"y":410,"width":157,"height":1}},{"id":"5a333428-d175-4bba-bb87-5795c49baeb5","block_type":"box","text":"$126,937 $0","page_number":29,"box":{"x":724,"y":402,"width":154,"height":11}},{"id":"9b8d885c-091e-464d-8e67-664c2f3530fb","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":29,"box":{"x":70,"y":418,"width":457,"height":11}},{"id":"0d436772-793a-46e8-9ac5-e09dd8566cdb","block_type":"box","text":"....................","page_number":29,"box":{"x":533,"y":425,"width":157,"height":1}},{"id":"f02e3296-eb56-4207-9abb-f463bcfee49f","block_type":"box","text":"$160,085 $0","page_number":29,"box":{"x":724,"y":417,"width":154,"height":11}},{"id":"af7f4aa5-b279-4ecd-a0df-81b22e3b30e1","block_type":"box","text":"Information Regarding the Portfolio Managers","page_number":29,"box":{"x":69,"y":449,"width":335,"height":11}},{"id":"f5779916-5a70-4896-b23e-a0f07a9e8e4e","block_type":"box","text":"Erin Xie, PhD and Xiang Liu, PhD are the por tfolio managers and are jointly and primarily responsible for the day","page_number":29,"box":{"x":102,"y":472,"width":799,"height":11}},{"id":"fada79ef-4e93-45e5-b9a7-10143a37bea0","block_type":"box","text":"to-day management of the Fund.","page_number":29,"box":{"x":68,"y":487,"width":229,"height":11}},{"id":"6aed12cc-5882-417a-a0f3-af0f68993bbc","block_type":"box","text":"Other Funds and Accounts Managed","page_number":29,"box":{"x":70,"y":517,"width":265,"height":11}},{"id":"3e8bb357-f56c-4077-a3b2-b70a843c6f8d","block_type":"box","text":"The following table sets for th information about the funds and accounts other than the Fund for which the Fund’s","page_number":29,"box":{"x":101,"y":540,"width":806,"height":11}},{"id":"1a420515-75a0-43a6-a62f-016dc95261da","block_type":"box","text":"por tfolio managers are primarily responsible for the day-to-day por tfolio management as of May 31, 2026.","page_number":29,"box":{"x":70,"y":555,"width":755,"height":11}},{"id":"4f0ac20f-dcad-4330-98a7-8859edf9b0e9","block_type":"box","text":"Number of Other Accounts Managed","page_number":29,"box":{"x":375,"y":583,"width":211,"height":9}},{"id":"393fdddf-9757-4fac-b51c-34c1ec4b6a98","block_type":"box","text":"and Assets by Account Type","page_number":29,"box":{"x":398,"y":593,"width":165,"height":9}},{"id":"9576af8a-4566-44b3-b714-0ff51425a872","block_type":"box","text":"Number of Other Accounts and Assets","page_number":29,"box":{"x":656,"y":583,"width":222,"height":7}},{"id":"d4004eb2-c72d-451b-aa11-2c9a30d97918","block_type":"box","text":"for Which Advisory Fee is Performance-Based","page_number":29,"box":{"x":634,"y":593,"width":265,"height":9}},{"id":"7326447d-63ef-42cc-bf09-5bd46984224a","block_type":"box","text":"Name of Portfolio Manager","page_number":29,"box":{"x":74,"y":636,"width":157,"height":9}},{"id":"e13d7eb5-0783-44e6-9444-c0b5c1f1fe3c","block_type":"box","text":"Other","page_number":29,"box":{"x":367,"y":606,"width":32,"height":7}},{"id":"5ee78571-7944-4e20-8cdc-a3b59fca79fd","block_type":"box","text":"Registered","page_number":29,"box":{"x":352,"y":616,"width":62,"height":9}},{"id":"0a52e525-f6a4-4fb1-91cc-d4369854ed06","block_type":"box","text":"Investment","page_number":29,"box":{"x":351,"y":626,"width":64,"height":7}},{"id":"e4e93297-54e4-4289-99f6-81130a861581","block_type":"box","text":"Companies","page_number":29,"box":{"x":351,"y":636,"width":64,"height":9}},{"id":"b7a1af5a-e6d3-4ff9-b514-f163431ca8bb","block_type":"box","text":"Other Pooled","page_number":29,"box":{"x":443,"y":616,"width":74,"height":7}},{"id":"e1c3624f-c1ee-4e8f-863e-6eeb2ecc3969","block_type":"box","text":"Investment","page_number":29,"box":{"x":448,"y":626,"width":65,"height":7}},{"id":"ba2161ad-a083-41db-8752-b95614403225","block_type":"box","text":"Vehicles","page_number":29,"box":{"x":456,"y":636,"width":48,"height":7}},{"id":"aa0fb0da-c28f-4233-9407-04ed0605a234","block_type":"box","text":"Other","page_number":29,"box":{"x":562,"y":626,"width":31,"height":7}},{"id":"47feee99-6f29-4d8d-8f2a-c936106a2968","block_type":"box","text":"Accounts","page_number":29,"box":{"x":550,"y":636,"width":55,"height":7}},{"id":"99ac9582-7eaf-4894-90f3-b500312846e0","block_type":"box","text":"Other","page_number":29,"box":{"x":652,"y":606,"width":31,"height":7}},{"id":"000f0f78-716e-48d7-b608-8cbe3297eac6","block_type":"box","text":"Registered","page_number":29,"box":{"x":636,"y":616,"width":62,"height":9}},{"id":"513b263b-98ba-4079-846c-551d5fd36793","block_type":"box","text":"Investment","page_number":29,"box":{"x":635,"y":626,"width":65,"height":7}},{"id":"253b481c-e3c7-446f-a64e-3544ceba2bad","block_type":"box","text":"Companies","page_number":29,"box":{"x":635,"y":636,"width":64,"height":9}},{"id":"8bc05342-834a-4c7f-850e-c5b3c5efdf70","block_type":"box","text":"Other Pooled","page_number":29,"box":{"x":725,"y":616,"width":75,"height":7}},{"id":"017b0da1-c9d6-44dc-9f5e-fd551a2f810f","block_type":"box","text":"Investment","page_number":29,"box":{"x":731,"y":626,"width":64,"height":7}},{"id":"f0ab00af-bcec-4c1e-b004-e0e11655abc9","block_type":"box","text":"Vehicles","page_number":29,"box":{"x":738,"y":636,"width":49,"height":7}},{"id":"d5230ce7-2d19-4694-8fb5-a2e5f045a6f9","block_type":"box","text":"Other","page_number":29,"box":{"x":847,"y":626,"width":31,"height":7}},{"id":"1ff96057-5472-4606-b099-d02d83de0021","block_type":"box","text":"Accounts","page_number":29,"box":{"x":835,"y":636,"width":54,"height":7}},{"id":"35b60e5c-60c3-4e07-9993-fa4944016757","block_type":"box","text":"Xiang Liu, PhD 4 9 2 0 1 1","page_number":29,"box":{"x":73,"y":650,"width":793,"height":9}},{"id":"709e1fe9-16b0-4c9b-a645-8aceef5cbcbb","block_type":"box","text":"$1.91 Billion $12.56 Billion $2.85 Billion $0 $23.23 Million $2.45 Billion","page_number":29,"box":{"x":347,"y":662,"width":551,"height":8}},{"id":"82761d40-7106-41d7-9831-6b2d6373f9a5","block_type":"box","text":"Erin Xie, PhD 4 11 2 0 1 1","page_number":29,"box":{"x":74,"y":675,"width":792,"height":8}},{"id":"bbc7ce96-1851-4f36-9aef-844243471adf","block_type":"box","text":"$1.91 Billion $12.56 Billion $2.85 Billion $0 $23.23 Million $2.45 Billion","page_number":29,"box":{"x":347,"y":687,"width":551,"height":9}},{"id":"78735034-87a5-4124-bd23-2c5dae1321d4","block_type":"box","text":"Por tfolio Manager Compensation Overview","page_number":29,"box":{"x":69,"y":722,"width":304,"height":11}},{"id":"378dc091-5990-4222-81b6-21a9ba6cadc8","block_type":"box","text":"The discussion below describes the por tfolio managers’ compensation as of May 31, 2026.","page_number":29,"box":{"x":101,"y":744,"width":656,"height":12}},{"id":"9c8240b8-dbdf-4276-850d-138beb72394b","block_type":"box","text":"BlackRock’s financial arrangements with its por tfolio managers, its competitive compensation and its career","page_number":29,"box":{"x":102,"y":767,"width":774,"height":11}},{"id":"7af73337-d275-4bfd-89d1-736a66c73881","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":782,"width":837,"height":12}},{"id":"95b09a60-d2ad-43a0-a77f-09343d34563e","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":797,"width":823,"height":12}},{"id":"253b7c82-a65e-4b0f-81fc-30d3ed23fd4f","block_type":"box","text":"compensation include a base salary, a per formance-based discretionary bonus, par ticipation in various benefits","page_number":29,"box":{"x":69,"y":812,"width":799,"height":12}},{"id":"29ea4f97-9eef-4f82-a44a-25e51a13992c","block_type":"box","text":"programs and one or more of the incentive compensation programs established by BlackRock.","page_number":29,"box":{"x":70,"y":828,"width":670,"height":11}},{"id":"f4d549ab-0433-4385-ad71-81c5c9d5957a","block_type":"box","text":"Base Compensation.","page_number":29,"box":{"x":102,"y":850,"width":148,"height":11}},{"id":"d928859d-6cb6-42d8-bf35-9e8b0c2fbdca","block_type":"box","text":"Generally, por tfolio managers receive base compensation based on their position with the","page_number":29,"box":{"x":257,"y":850,"width":640,"height":12}},{"id":"d4e7608e-95aa-40a0-af63-8694f63bd9a1","block_type":"box","text":"firm.","page_number":29,"box":{"x":68,"y":865,"width":32,"height":9}},{"id":"b4714467-2c63-44b5-b8e3-5684836c45d2","block_type":"box","text":"I-20","page_number":29,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"cf448795-1609-447e-840e-1b13b923a182","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":29,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c3311562-89bd-4b67-8f51-17ddf6c74006","block_type":"box","text":"Discretionary Incentive Compensation","page_number":30,"box":{"x":69,"y":45,"width":277,"height":11}},{"id":"d4256295-bb62-4a84-bdb5-0e41fc330774","block_type":"box","text":"Generally, discretionary incentive compensation for Fundamental Equities por tfolio managers is based on a","page_number":30,"box":{"x":102,"y":67,"width":763,"height":12}},{"id":"278baba5-cfe3-467a-9db3-61ed7f470b4f","block_type":"box","text":"formulaic compensation program. BlackRock’s formulaic por tfolio manager compensation program is based on team","page_number":30,"box":{"x":68,"y":82,"width":832,"height":12}},{"id":"acba33e2-3307-4bb2-bc31-7f5ac96b8416","block_type":"box","text":"revenue and pre-tax investment per formance relative to appropriate competitors or benchmarks over 3- and 5-year","page_number":30,"box":{"x":69,"y":98,"width":815,"height":11}},{"id":"554e0f2d-d619-4365-8958-788122bc6729","block_type":"box","text":"per formance periods, as applicable. In most cases, these benchmarks are the same as the benchmark or","page_number":30,"box":{"x":70,"y":113,"width":757,"height":11}},{"id":"e1697bc3-d81d-42c7-a1b7-8ed7536d6ea5","block_type":"box","text":"benchmarks against which the per formance of the Fund or other accounts managed by the por tfolio managers are","page_number":30,"box":{"x":69,"y":128,"width":814,"height":11}},{"id":"99484ff9-a019-450b-9b0c-e6cc71c36c95","block_type":"box","text":"measured. BlackRock’s global compensation team determines the benchmarks or rankings against which the","page_number":30,"box":{"x":69,"y":143,"width":780,"height":11}},{"id":"b8747336-ee31-4c6c-a372-1720fc544e85","block_type":"box","text":"per formance of the Fund and other accounts managed by each por tfolio management team is compared and the","page_number":30,"box":{"x":70,"y":158,"width":802,"height":11}},{"id":"1659bc4e-66a3-4ebd-9c57-2d316de9ec08","block_type":"box","text":"period of time over which per formance is evaluated. With respect to these por tfolio managers such benchmarks for","page_number":30,"box":{"x":70,"y":173,"width":823,"height":11}},{"id":"2421934e-aa39-4f4e-a761-9db3ecb7890d","block_type":"box","text":"the Fund and other accounts are: FTSE 3-month T-bill Index; MSCI ACWI 25% Call Overwrite Index; MSCI All Country","page_number":30,"box":{"x":68,"y":188,"width":822,"height":11}},{"id":"5d059163-5f0e-4772-be32-cacf17438560","block_type":"box","text":"World Index (Net Total Return); MSCI WRLD HealthCare ND; Russell 3000 HealthCare Index.","page_number":30,"box":{"x":68,"y":203,"width":655,"height":11}},{"id":"1993fb62-5cee-4d7a-a604-ea6b06093a14","block_type":"box","text":"A smaller element of por tfolio manager discretionary compensation may include consideration of: financial","page_number":30,"box":{"x":101,"y":226,"width":759,"height":11}},{"id":"5deef3a7-65a3-42c9-b3bd-d23cdd7f6099","block_type":"box","text":"results, expense control, profit margins, strategic planning and implementation, quality of client service, market","page_number":30,"box":{"x":69,"y":241,"width":798,"height":11}},{"id":"3bfff7a0-7766-4c0b-989f-dbde2575f69f","block_type":"box","text":"share, corporate reputation, capital allocation, compliance and risk control, leadership, technology and innovation.","page_number":30,"box":{"x":69,"y":257,"width":814,"height":11}},{"id":"80641be4-c0b1-4cc7-bda6-19b9f159d27d","block_type":"box","text":"These factors are considered collectively by BlackRock management and the relevant Chief Investment Officers.","page_number":30,"box":{"x":68,"y":271,"width":798,"height":12}},{"id":"259c1dda-825a-4c45-bb1a-839d74674601","block_type":"box","text":"Distribution of Discretionary Incentive Compensation.","page_number":30,"box":{"x":102,"y":294,"width":389,"height":11}},{"id":"b88f340c-41ff-48c8-b90b-6b6fa1c55a79","block_type":"box","text":"Discretionary incentive compensation is distributed to","page_number":30,"box":{"x":499,"y":294,"width":383,"height":11}},{"id":"f43b18de-7fea-4e29-aea0-f1a2603b2770","block_type":"box","text":"por tfolio managers in a combination of cash, deferred BlackRock, Inc. stock awards, and/or deferred cash awards","page_number":30,"box":{"x":70,"y":309,"width":815,"height":11}},{"id":"f9201290-ec6d-4e9a-a51c-c54a8c1b9423","block_type":"box","text":"that notionally track the return of cer tain BlackRock investment products.","page_number":30,"box":{"x":68,"y":324,"width":522,"height":11}},{"id":"f3a5304f-cef5-4c34-b9d6-b1f592b9f3f4","block_type":"box","text":"Por tfolio managers receive their annual discretionary incentive compensation in the form of cash. Por tfolio","page_number":30,"box":{"x":102,"y":347,"width":760,"height":11}},{"id":"9d9902dc-cb9c-4e6e-8a69-9a52cd1bd84d","block_type":"box","text":"managers whose total compensation is above a specified threshold also receive deferred BlackRock, Inc. stock","page_number":30,"box":{"x":69,"y":362,"width":795,"height":11}},{"id":"2b0174d0-d571-4562-a015-e36e3f669457","block_type":"box","text":"awards annually as par t of their discretionary incentive compensation. Paying a por tion of discretionary incentive","page_number":30,"box":{"x":69,"y":377,"width":805,"height":12}},{"id":"d98d8cbe-358d-4c08-a55a-9d8cadfdb891","block_type":"box","text":"compensation in the form of deferred BlackRock, Inc. stock puts compensation earned by a por tfolio manager for a","page_number":30,"box":{"x":69,"y":392,"width":822,"height":12}},{"id":"a8760375-bebb-47ab-8cdb-abfee6afb932","block_type":"box","text":"given year “at risk” based on BlackRock’s ability to sustain and improve its per formance over future periods. In some","page_number":30,"box":{"x":68,"y":407,"width":839,"height":12}},{"id":"5b2b03c7-509c-422b-af39-cb38743fca1d","block_type":"box","text":"cases, additional deferred BlackRock, Inc. stock may be granted to cer tain key employees as par t of a long-term","page_number":30,"box":{"x":69,"y":423,"width":802,"height":11}},{"id":"1767782c-28d0-4c75-9f86-1835ce975751","block_type":"box","text":"incentive award to aid in retention, align interests with long-term shareholders and motivate per formance. Deferred","page_number":30,"box":{"x":70,"y":438,"width":820,"height":11}},{"id":"88146d5d-3f0a-4f28-86d3-974bbff4a313","block_type":"box","text":"BlackRock, Inc. stock awards are generally granted in the form of BlackRock, Inc. restricted stock units that vest","page_number":30,"box":{"x":70,"y":453,"width":801,"height":11}},{"id":"ea1a21f6-6a71-49c1-98e3-e6e37b557cd4","block_type":"box","text":"pursuant to the terms of the applicable plan and, once vested, settle in BlackRock, Inc. common stock. The por tfolio","page_number":30,"box":{"x":70,"y":468,"width":831,"height":11}},{"id":"54ff7d1c-bc36-42e2-80d8-7b5d05eda81e","block_type":"box","text":"managers of this Fund have deferred BlackRock, Inc. stock awards.","page_number":30,"box":{"x":69,"y":483,"width":479,"height":11}},{"id":"d81060e4-aaf0-4b6f-b8ea-842010c2d6e2","block_type":"box","text":"For cer tain por tfolio managers, a por tion of the discretionary incentive compensation is also distributed in the","page_number":30,"box":{"x":102,"y":506,"width":785,"height":11}},{"id":"f1a48d33-be5b-4032-8555-79d2450af833","block_type":"box","text":"form of deferred cash awards that notionally track the returns of select BlackRock investment products they manage,","page_number":30,"box":{"x":68,"y":521,"width":836,"height":11}},{"id":"3375e46b-8749-4705-b9fe-ab9e675a5696","block_type":"box","text":"which provides direct alignment of por tfolio manager discretionary incentive compensation with investment product","page_number":30,"box":{"x":68,"y":536,"width":821,"height":11}},{"id":"579520b6-123e-4aba-9520-be6778cce05f","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":551,"width":829,"height":11}},{"id":"0fde1229-cc5b-4de8-906c-8a854a91f6d3","block_type":"box","text":"por tfolio managers who manage specified products and whose total compensation is above a specified threshold are","page_number":30,"box":{"x":70,"y":566,"width":835,"height":11}},{"id":"f2669bc2-1b50-4a2f-8238-a752452a5c07","block_type":"box","text":"eligible to par ticipate in the deferred cash award program.","page_number":30,"box":{"x":69,"y":581,"width":414,"height":12}},{"id":"110b3f0a-6b17-4573-872a-3a1d0da3f0f4","block_type":"box","text":"Other Compensation Benefits.","page_number":30,"box":{"x":101,"y":604,"width":218,"height":11}},{"id":"8db9173b-5749-4482-8048-c4224f476297","block_type":"box","text":"In addition to base salary and discretionary incentive compensation, por tfolio","page_number":30,"box":{"x":327,"y":604,"width":552,"height":11}},{"id":"4f413700-aaca-46f4-aa7f-d23dcd626187","block_type":"box","text":"managers may be eligible to receive or par ticipate in one or more of the following:","page_number":30,"box":{"x":69,"y":619,"width":582,"height":11}},{"id":"8305a8c6-3da1-455d-914d-e8a25db85bbc","block_type":"box","text":"Incentive Savings Plans","page_number":30,"box":{"x":102,"y":642,"width":167,"height":11}},{"id":"080962cd-6933-4894-88a6-ebc3fbbbd64f","block_type":"box","text":"— BlackRock, Inc. has created a variety of incentive savings plans in which BlackRock","page_number":30,"box":{"x":274,"y":642,"width":614,"height":11}},{"id":"fe1600f7-7f06-4abb-99be-f54e16751625","block_type":"box","text":"employees are eligible to par ticipate, including a 401(k) plan, the BlackRock Retirement Savings Plan (RSP), and the","page_number":30,"box":{"x":69,"y":657,"width":831,"height":11}},{"id":"a711c7a9-3c43-4030-a512-4797ffbd4cca","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":672,"width":785,"height":11}},{"id":"44ed9106-e19d-4b01-a309-de6f28c4b1c2","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":687,"width":830,"height":11}},{"id":"10e4369c-cf00-4184-bea8-68d113c872bc","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":702,"width":799,"height":12}},{"id":"d98db8e0-7a2e-4b25-b672-b21836a87bac","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":717,"width":831,"height":12}},{"id":"e22e3249-30dd-478e-9be5-be21ef830d7d","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":732,"width":798,"height":12}},{"id":"cc921029-fe59-4717-909c-5de6969a130d","block_type":"box","text":"par ticipants for their own contributions or, absent par ticipant investment direction, are invested into a target date","page_number":30,"box":{"x":70,"y":748,"width":809,"height":11}},{"id":"0dd7ef7f-6509-40ae-b8c3-c2d59df5f64b","block_type":"box","text":"fund that corresponds to, or is closest to, the year in which the par ticipant attains age 65. The ESPP allows for","page_number":30,"box":{"x":68,"y":763,"width":793,"height":11}},{"id":"a84f92a1-781a-48c0-bad5-ea78e5e5d85d","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":778,"width":832,"height":11}},{"id":"2906b1cd-e3a5-4f23-881f-a16999d99961","block_type":"box","text":"Annual par ticipation 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":793,"width":805,"height":11}},{"id":"e7ac27da-b8aa-464b-ac1f-3dbfdac8810b","block_type":"box","text":"$25,000 based on its fair market value on the purchase date. All of the eligible por tfolio managers are eligible to","page_number":30,"box":{"x":69,"y":807,"width":808,"height":12}},{"id":"e75edf86-2a6d-4ef7-b613-0caaf3e64367","block_type":"box","text":"par ticipate in these plans.","page_number":30,"box":{"x":70,"y":823,"width":185,"height":11}},{"id":"63b79827-a961-47c6-aea1-a494be8a3304","block_type":"box","text":"I-21","page_number":30,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"b3a1d4f2-11ec-4dbf-8d3d-6df4a89df694","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":30,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"43fea7df-7807-4ce2-aaba-834c657ab10b","block_type":"box","text":"Por tfolio Manager Beneficial Holdings","page_number":31,"box":{"x":69,"y":45,"width":268,"height":11}},{"id":"359cd38c-ca92-46ed-8599-67de598ee7b9","block_type":"box","text":"As of May 31, 2026, the Fund’s most recently completed fiscal year end, the dollar range of securities","page_number":31,"box":{"x":101,"y":67,"width":731,"height":12}},{"id":"dd7f49d2-0269-4450-82eb-3780e8d87621","block_type":"box","text":"beneficially owned by the por tfolio managers in the Fund is shown below:","page_number":31,"box":{"x":69,"y":82,"width":519,"height":12}},{"id":"e8a81088-9c3c-4325-a721-fef60cd99451","block_type":"box","text":"Portfolio Manager","page_number":31,"box":{"x":69,"y":121,"width":105,"height":9}},{"id":"6ab3be72-b902-42be-9be4-69e19eef16d9","block_type":"box","text":"Dollar Range of Equity","page_number":31,"box":{"x":759,"y":111,"width":129,"height":9}},{"id":"45644087-27c7-4880-b0bc-30cfc8dc2eac","block_type":"box","text":"Securities Beneficially Owned","page_number":31,"box":{"x":736,"y":121,"width":173,"height":9}},{"id":"55a2497c-4529-4590-8058-00e92f8c7256","block_type":"box","text":"Erin Xie, PhD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over $1,","page_number":31,"box":{"x":70,"y":138,"width":750,"height":11}},{"id":"0c128ed2-c722-428f-8f22-d86e06a17bca","block_type":"box","text":"000,000","page_number":31,"box":{"x":822,"y":139,"width":63,"height":10}},{"id":"8af97016-7b98-4a68-bb62-e34c463cdaaa","block_type":"box","text":"Xiang Liu, PhD. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":68,"y":154,"width":637,"height":11}},{"id":"813492a9-06bd-4de6-a7c4-b3cae64177cb","block_type":"box","text":"$100,001 - $500,000","page_number":31,"box":{"x":744,"y":153,"width":158,"height":11}},{"id":"57c5b1ad-5e92-492c-adba-200cf7ab6d92","block_type":"box","text":"Por tfolio Manager Potential Material Conflicts of Interest","page_number":31,"box":{"x":69,"y":185,"width":403,"height":11}},{"id":"34e09e65-2df4-4ec7-877b-ad381c2247bf","block_type":"box","text":"BlackRock has built a professional working environment, firm-wide compliance culture and compliance","page_number":31,"box":{"x":102,"y":208,"width":727,"height":11}},{"id":"66d4b044-a159-428b-81a8-9a8038d5f91a","block_type":"box","text":"procedures and systems designed to protect against potential incentives that may favor one account over another.","page_number":31,"box":{"x":70,"y":223,"width":814,"height":11}},{"id":"37a45b6c-7fb9-403f-aa6c-c76343544e9b","block_type":"box","text":"BlackRock has adopted policies and procedures that address the allocation of investment oppor tunities, execution of","page_number":31,"box":{"x":70,"y":238,"width":837,"height":11}},{"id":"6e2ddd47-ad54-40dd-b973-0b52c6e5b72c","block_type":"box","text":"por tfolio transactions, personal trading by employees and other potential conflicts of interest that are designed to","page_number":31,"box":{"x":70,"y":253,"width":810,"height":11}},{"id":"38fa189c-ae98-405b-82c4-89beeffbead1","block_type":"box","text":"ensure that all client accounts are treated equitably over time. Never theless, BlackRock furnishes investment","page_number":31,"box":{"x":69,"y":268,"width":782,"height":11}},{"id":"14cadfa7-30ae-42c0-8194-c318725c0be0","block_type":"box","text":"management and advisory services to numerous clients in addition to the Fund, and BlackRock may, consistent with","page_number":31,"box":{"x":69,"y":284,"width":830,"height":11}},{"id":"90622cdd-e105-4a9e-90b4-1b5ff6b202a0","block_type":"box","text":"applicable law, make investment recommendations to other clients or accounts (including accounts which are hedge","page_number":31,"box":{"x":69,"y":299,"width":828,"height":11}},{"id":"651eeb4f-d6c5-4a75-9ec0-e4727c36a02e","block_type":"box","text":"funds or have per formance or higher fees paid to BlackRock, or in which por tfolio managers have a personal interest","page_number":31,"box":{"x":68,"y":314,"width":834,"height":11}},{"id":"a2d56f06-8e73-4fd8-98e0-30aed581dd4e","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":31,"box":{"x":70,"y":329,"width":777,"height":11}},{"id":"37b54927-8c4d-4d99-a4a6-a2a02b73baea","block_type":"box","text":"BlackRock, its affiliates and significant shareholders and any officer, director, shareholder or employee may or may","page_number":31,"box":{"x":70,"y":344,"width":821,"height":11}},{"id":"946286b8-fa96-41e4-86a2-837eff04d059","block_type":"box","text":"not have an interest in the securities whose purchase and sale BlackRock recommends to the Fund. BlackRock, or","page_number":31,"box":{"x":69,"y":359,"width":819,"height":11}},{"id":"d802f6df-0ef8-4044-852f-9c71a12a8844","block_type":"box","text":"any of its affiliates or significant shareholders, or any officer, director, shareholder, employee or any member of their","page_number":31,"box":{"x":69,"y":374,"width":832,"height":11}},{"id":"375e9320-fd61-4a65-947d-674758991823","block_type":"box","text":"families may take different actions than those recommended to the Fund by BlackRock with respect to the same","page_number":31,"box":{"x":68,"y":389,"width":804,"height":11}},{"id":"b423f793-33cb-4e7f-b0fe-37219dee45a6","block_type":"box","text":"securities. Moreover, BlackRock may refrain from rendering any advice or services concerning securities of","page_number":31,"box":{"x":69,"y":404,"width":760,"height":12}},{"id":"105178bc-e0b8-4c92-9801-0a191770c092","block_type":"box","text":"companies of which any of BlackRock’s (or its affiliates’ or significant shareholders’) officers, directors or employees","page_number":31,"box":{"x":69,"y":419,"width":834,"height":12}},{"id":"7cb4eafb-c882-4258-b52d-3c2f0b4a4e96","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":31,"box":{"x":69,"y":435,"width":836,"height":11}},{"id":"9eeab0cf-c8ad-4f9e-bfb0-06c03e336b96","block_type":"box","text":"officers, directors and employees of any of them has any substantial economic interest or possesses material non","page_number":31,"box":{"x":69,"y":450,"width":822,"height":11}},{"id":"32b204f5-83a3-4097-8546-bd792331c829","block_type":"box","text":"public information. Cer tain por tfolio managers also may manage accounts whose investment strategies may at times","page_number":31,"box":{"x":70,"y":465,"width":835,"height":11}},{"id":"7f672160-658f-4324-b3bd-c2da7e8a34a2","block_type":"box","text":"be opposed to the strategy utilized for the Fund. It should also be noted that Drs. Xie and Liu may be managing hedge","page_number":31,"box":{"x":69,"y":480,"width":840,"height":11}},{"id":"5d8afa18-2d1c-4c90-9b67-b982629ff8ab","block_type":"box","text":"fund and/or long only accounts, or may be par t of a team managing hedge fund and/or long only accounts, subject to","page_number":31,"box":{"x":68,"y":495,"width":839,"height":11}},{"id":"553f3b6d-a1f9-4f00-808a-790e8fdc3495","block_type":"box","text":"incentive fees. Drs. Xie and Liu may therefore be entitled to receive a por tion of any incentive fees earned on such","page_number":31,"box":{"x":70,"y":510,"width":815,"height":11}},{"id":"2f57bc61-ae40-4381-8582-1e520ca00ff0","block_type":"box","text":"accounts.","page_number":31,"box":{"x":69,"y":526,"width":67,"height":8}},{"id":"20911d60-619c-4887-bceb-5f8c849adb75","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":31,"box":{"x":101,"y":548,"width":788,"height":11}},{"id":"7911262f-7751-4eed-b873-a9f5d199f7bf","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":31,"box":{"x":70,"y":563,"width":839,"height":11}},{"id":"d0d3b331-e0e9-4455-ba87-010a93c70812","block_type":"box","text":"fiduciary duties. BlackRock attempts to allocate investments in a fair and equitable manner among client accounts,","page_number":31,"box":{"x":68,"y":578,"width":823,"height":11}},{"id":"2be13003-986e-47a0-9383-c3032be35756","block_type":"box","text":"with no account receiving preferential treatment. To this end, BlackRock has adopted policies that are intended to","page_number":31,"box":{"x":68,"y":593,"width":812,"height":12}},{"id":"8231a3fc-4875-4a39-bc7a-ec79076dd2f9","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":608,"width":777,"height":12}},{"id":"20d3a5fb-27ea-4191-9f36-0fcf2f9909e9","block_type":"box","text":"investments in a manner that is consistent with the par ticular investment discipline and client base, as appropriate.","page_number":31,"box":{"x":70,"y":624,"width":826,"height":10}},{"id":"17e13220-5678-48db-a98b-c28cfbbbc438","block_type":"box","text":"Accounting Services","page_number":31,"box":{"x":68,"y":654,"width":150,"height":11}},{"id":"5802b0ce-0b19-4ebb-b957-05025629abba","block_type":"box","text":"The Bank of New York Mellon serves as the accounting services provider for the Fund (the “Accounting Agent”).","page_number":31,"box":{"x":101,"y":676,"width":793,"height":12}},{"id":"1e07c70a-1d36-423b-90fa-da1583318aba","block_type":"box","text":"The Accounting Agent records investment, capital share and income and expense activities; verifies and transmits","page_number":31,"box":{"x":68,"y":692,"width":813,"height":11}},{"id":"6038ea0d-e5a9-49e2-ad91-a1c248335ab2","block_type":"box","text":"trade tickets; maintains accounting ledgers for investment securities; maintains tax lots; reconciles cash with the","page_number":31,"box":{"x":68,"y":707,"width":809,"height":11}},{"id":"0bd09ff1-4372-4414-b0f9-7e2f5ede79b9","block_type":"box","text":"Fund’s custodian; repor ts cash balances to BlackRock; prepares cer tain financial statements; calculates expenses,","page_number":31,"box":{"x":70,"y":722,"width":825,"height":11}},{"id":"74de3a65-e765-416b-98b5-49fc27487d87","block_type":"box","text":"gains, losses and income; controls disbursements; works with independent pricing sources; and computes and","page_number":31,"box":{"x":68,"y":737,"width":793,"height":11}},{"id":"5e562d9f-905b-4d5b-beeb-57e7d2ae24d5","block_type":"box","text":"repor ts net asset value. In connection with its accounting services, the Accounting Agent also provides cer tain","page_number":31,"box":{"x":69,"y":752,"width":788,"height":11}},{"id":"dc637983-19a1-489b-b94f-765088b2254d","block_type":"box","text":"administration services.","page_number":31,"box":{"x":69,"y":767,"width":170,"height":9}},{"id":"972f5bcc-5602-49f1-ab5c-be366f78403a","block_type":"box","text":"The table below shows the amounts paid by the Fund to the Accounting Agent for accounting services for the","page_number":31,"box":{"x":101,"y":790,"width":775,"height":11}},{"id":"9cb358c7-ca10-42b8-bb82-49106020302d","block_type":"box","text":"periods shown:","page_number":31,"box":{"x":70,"y":805,"width":105,"height":11}},{"id":"5438ec6f-6989-457a-be74-7bff5dd4c9b6","block_type":"box","text":"Fees Paid to the Accounting Agent","page_number":31,"box":{"x":706,"y":833,"width":203,"height":9}},{"id":"171e9062-8e1b-4695-8167-5477bd0a015f","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":851,"width":449,"height":11}},{"id":"154c64cf-e59d-4037-a610-d1581a0659d7","block_type":"box","text":"...................","page_number":31,"box":{"x":526,"y":858,"width":148,"height":2}},{"id":"10449bcc-ee24-410e-b32a-5953d7c51877","block_type":"box","text":"$375,464","page_number":31,"box":{"x":771,"y":850,"width":72,"height":11}},{"id":"103f4add-cb00-4af3-b162-084c3a425239","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":866,"width":449,"height":11}},{"id":"6decca24-2174-469f-8d96-739839bf0913","block_type":"box","text":"...................","page_number":31,"box":{"x":526,"y":874,"width":148,"height":1}},{"id":"bdf21c7b-7661-4056-b51b-c5fc9e0c27e7","block_type":"box","text":"$462,347","page_number":31,"box":{"x":771,"y":865,"width":72,"height":12}},{"id":"880d4d68-fc1b-4418-90c6-bcd46eb3df66","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":881,"width":449,"height":11}},{"id":"07bc4fda-5b62-4213-aa1c-17344b4bd1bc","block_type":"box","text":"...................","page_number":31,"box":{"x":526,"y":889,"width":148,"height":1}},{"id":"d5bc58fa-01c0-457e-9ac3-6b72a99853ad","block_type":"box","text":"$487,764","page_number":31,"box":{"x":771,"y":881,"width":72,"height":11}},{"id":"95a18268-c042-4bac-b729-cc9820055d98","block_type":"box","text":"I-22","page_number":31,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"7d556020-993e-4fdb-8d12-a3e0b1c9e585","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":31,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c7d8e87d-35ed-4c2d-9a9a-97d77a939fa2","block_type":"box","text":"Custodian","page_number":32,"box":{"x":69,"y":45,"width":72,"height":9}},{"id":"42d9e6b5-a207-462c-8e8d-40b79d2863f0","block_type":"box","text":"The Bank of New York Mellon, which has its principal place of business at 240 Greenwich Street, New York, New","page_number":32,"box":{"x":101,"y":67,"width":802,"height":11}},{"id":"d81f303f-e38d-4cc8-9836-fa36176eb74f","block_type":"box","text":"York 10286, also serves as the custodian for the Fund (the “Custodian”). The Custodian, among other","page_number":32,"box":{"x":68,"y":82,"width":732,"height":12}},{"id":"2ee46f06-8d54-4c11-bbe7-be5ec3afebb6","block_type":"box","text":"responsibilities, maintains a custody account or accounts in the name of the Fund, receives and delivers all assets","page_number":32,"box":{"x":69,"y":98,"width":820,"height":11}},{"id":"3f78d4d2-ea57-4eee-8696-9cf4b1d327ae","block_type":"box","text":"for the Fund upon purchase and upon sale or maturity, and collects and receives all income and other payments and","page_number":32,"box":{"x":68,"y":113,"width":830,"height":11}},{"id":"e05b01d3-3607-41b5-a722-bf4266f9bdb5","block_type":"box","text":"distributions on account of the assets of the Fund.","page_number":32,"box":{"x":69,"y":128,"width":359,"height":9}},{"id":"ee46d986-a541-4408-951c-9364b315b23c","block_type":"box","text":"Transfer Agent","page_number":32,"box":{"x":68,"y":158,"width":107,"height":11}},{"id":"a18c73ae-5203-4191-9dd7-5850df78e647","block_type":"box","text":"BNY Mellon Investment Servicing (US) Inc., which has its principal place of business at 118 Flanders Road,","page_number":32,"box":{"x":102,"y":181,"width":764,"height":11}},{"id":"11fe9933-3d62-4b2e-bc9c-e1c6b68ef00d","block_type":"box","text":"Westborough, Massachusetts 01581, serves as the transfer agent and dividend disbursing agent for the Fund.","page_number":32,"box":{"x":68,"y":196,"width":792,"height":11}},{"id":"8b4da4d6-6a24-468f-bbfc-0e78ede1deeb","block_type":"box","text":"Credit Agreement","page_number":32,"box":{"x":69,"y":226,"width":129,"height":11}},{"id":"1132b17d-cd1f-4aba-9127-9843290f538a","block_type":"box","text":"The Trust, on behalf of the Fund, along with cer tain other funds managed by the Manager and its affiliates","page_number":32,"box":{"x":101,"y":249,"width":757,"height":11}},{"id":"d3ff07f7-78aa-4390-b9a4-473f67d2a604","block_type":"box","text":"(“Par ticipating Funds”), is a par ty to a 364-day, $2.4 billion credit agreement with a group of lenders, which facility","page_number":32,"box":{"x":69,"y":263,"width":817,"height":12}},{"id":"f0b7c1d7-332c-4006-8f62-99f40a473faa","block_type":"box","text":"terminates on April 8, 2027, unless otherwise extended or renewed (the “Credit Agreement”). Excluding","page_number":32,"box":{"x":68,"y":279,"width":743,"height":11}},{"id":"d01f6ae2-293a-4b6c-8601-b3e318cd45c2","block_type":"box","text":"commitments designated for cer tain Par ticipating Funds, the Par ticipating Funds, including the Fund, can borrow up","page_number":32,"box":{"x":69,"y":294,"width":825,"height":11}},{"id":"b7d4dcc9-f571-4b6c-9310-431957fff448","block_type":"box","text":"to an aggregate commitment amount of $1.75 billion at any time outstanding, subject to asset coverage and other","page_number":32,"box":{"x":68,"y":309,"width":818,"height":11}},{"id":"6313ab2b-f66a-4589-93af-1d1a303bbc41","block_type":"box","text":"limitations as specified in the Credit Agreement. The Fund may borrow under the Credit Agreement to meet","page_number":32,"box":{"x":70,"y":324,"width":761,"height":12}},{"id":"5848b26d-55aa-4172-83d2-7aa8418268ad","block_type":"box","text":"shareholder redemptions and for other lawful purposes. However, the Fund may not borrow under the Credit","page_number":32,"box":{"x":69,"y":339,"width":768,"height":12}},{"id":"66555498-58c9-4539-b9d5-fcb127db3b8f","block_type":"box","text":"Agreement for leverage. The Fund may borrow up to the maximum amount allowable under its current Prospectuses","page_number":32,"box":{"x":68,"y":355,"width":825,"height":11}},{"id":"c8694347-c8ee-4647-b06b-df8b9db9474c","block_type":"box","text":"and SAI, subject to various other legal, regulatory or contractual limits. Borrowing results in interest expense and","page_number":32,"box":{"x":69,"y":370,"width":805,"height":11}},{"id":"ae83add5-2510-417a-8b9f-6070b55bd3a7","block_type":"box","text":"other fees and expenses for the Fund which may impact the Fund’s net expenses. The costs of borrowing may reduce","page_number":32,"box":{"x":69,"y":385,"width":838,"height":11}},{"id":"d15cc822-4eff-49ae-9295-def0d01f1201","block_type":"box","text":"the Fund’s return. The Fund is charged its pro rata share of upfront fees and commitment fees on the aggregate","page_number":32,"box":{"x":68,"y":400,"width":801,"height":11}},{"id":"611244c9-5b3e-45a8-9df9-a183d77ebf5d","block_type":"box","text":"commitment amount based on its net assets. If the Fund borrows pursuant to the Credit Agreement, the Fund will be","page_number":32,"box":{"x":69,"y":415,"width":833,"height":11}},{"id":"4fb8da87-f159-47c4-be35-ba8e2868f2fd","block_type":"box","text":"charged interest at a variable rate.","page_number":32,"box":{"x":69,"y":430,"width":245,"height":11}},{"id":"bd5c3a7e-5192-433f-a6f1-2b9fe459602d","block_type":"box","text":"V. Information on Sales Charges and Distribution Related Expenses","page_number":32,"box":{"x":68,"y":460,"width":491,"height":12}},{"id":"5e96028f-5ed8-4fa5-a966-5701189e6575","block_type":"box","text":"Set for th below is information on sales charges (including any contingent deferred sales charges (“CDSCs”))","page_number":32,"box":{"x":102,"y":483,"width":773,"height":11}},{"id":"776ac741-d133-41e8-b5d3-db356c7bc002","block_type":"box","text":"received by Fund, including the amounts paid to affiliates of the Manager (“affiliates”) for the past three fiscal years.","page_number":32,"box":{"x":69,"y":498,"width":832,"height":11}},{"id":"55bfdd96-c483-4476-b518-6bab9cbff8a6","block_type":"box","text":"BlackRock Investments, LLC (“BRIL” or the “Distributor”) acts as the Fund’s sole distributor.","page_number":32,"box":{"x":70,"y":513,"width":656,"height":11}},{"id":"de185e67-fa6c-4907-96a4-9ac0176341dd","block_type":"box","text":"Investor A Shares","page_number":32,"box":{"x":652,"y":542,"width":102,"height":7}},{"id":"4fd77744-7fa1-4567-b493-60a22de92c58","block_type":"box","text":"Gross","page_number":32,"box":{"x":516,"y":567,"width":32,"height":8}},{"id":"36d9e5d8-7ce8-481a-b435-7be5b66bd613","block_type":"box","text":"Sales","page_number":32,"box":{"x":516,"y":578,"width":32,"height":7}},{"id":"9e254119-2f82-4e2a-8198-5a3a6634590c","block_type":"box","text":"Charges","page_number":32,"box":{"x":508,"y":588,"width":48,"height":8}},{"id":"a70ba720-c177-45a5-a676-19064403c1e4","block_type":"box","text":"Collected","page_number":32,"box":{"x":505,"y":598,"width":54,"height":7}},{"id":"188dfe5f-faaf-42cc-a5fe-457dad21c362","block_type":"box","text":"Sales Charges","page_number":32,"box":{"x":598,"y":578,"width":84,"height":8}},{"id":"63c45a1c-a995-4294-888d-2aec6f96a56f","block_type":"box","text":"Retained by","page_number":32,"box":{"x":606,"y":588,"width":69,"height":8}},{"id":"fc95e37f-03be-4795-9520-8e92c9c0e941","block_type":"box","text":"BRIL","page_number":32,"box":{"x":627,"y":598,"width":27,"height":7}},{"id":"63bc0625-7d1b-40d3-845a-407d0ca3a6af","block_type":"box","text":"Sales Charges","page_number":32,"box":{"x":711,"y":578,"width":84,"height":8}},{"id":"62fd3010-849c-43ec-a990-269bd0a7ebcb","block_type":"box","text":"Paid To","page_number":32,"box":{"x":733,"y":588,"width":41,"height":7}},{"id":"d46adb11-cb22-48e1-8cfa-647ee8b7ac8d","block_type":"box","text":"Affiliates","page_number":32,"box":{"x":727,"y":598,"width":52,"height":7}},{"id":"14b0223d-121d-4889-9358-74a2a055a062","block_type":"box","text":"CDSCs","page_number":32,"box":{"x":847,"y":557,"width":40,"height":7}},{"id":"44e8e8f4-821f-4328-858b-754b85f37285","block_type":"box","text":"Received on","page_number":32,"box":{"x":832,"y":567,"width":70,"height":8}},{"id":"f99dc8f4-a40c-4a30-8686-bc15a933f3a6","block_type":"box","text":"Redemption of","page_number":32,"box":{"x":826,"y":577,"width":84,"height":9}},{"id":"f65ed50e-e445-43a1-9f22-be20ec3f2136","block_type":"box","text":"Load-Waived","page_number":32,"box":{"x":832,"y":588,"width":71,"height":7}},{"id":"346d1fc1-c275-4f80-bd28-cc61d903f13c","block_type":"box","text":"Shares","page_number":32,"box":{"x":847,"y":598,"width":40,"height":7}},{"id":"958e1364-3171-4995-b0e6-d669767d1de2","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . .","page_number":32,"box":{"x":70,"y":615,"width":305,"height":11}},{"id":"af6f4e5e-a46d-4ee3-9b9e-379f665d137e","block_type":"box","text":"...........","page_number":32,"box":{"x":381,"y":623,"width":84,"height":1}},{"id":"ea5e0d5f-afaa-43b4-976e-51f70713ffa4","block_type":"box","text":"$351,776 $24,023 $24,023 $ 4,727","page_number":32,"box":{"x":496,"y":615,"width":402,"height":11}},{"id":"95811fe7-7bb2-4515-9739-0eba07ef4d50","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . .","page_number":32,"box":{"x":70,"y":631,"width":305,"height":11}},{"id":"7501093c-c680-46e0-b9b5-6604a37b84cc","block_type":"box","text":"...........","page_number":32,"box":{"x":381,"y":638,"width":84,"height":1}},{"id":"b4ab20c4-3fb9-4d05-b5b2-75e168d20b8d","block_type":"box","text":"$664,541 $45,924 $45,924 $10,753","page_number":32,"box":{"x":496,"y":630,"width":402,"height":11}},{"id":"c4d19593-233f-4366-8ced-6371eccb70d8","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . .","page_number":32,"box":{"x":70,"y":646,"width":305,"height":11}},{"id":"722d1e30-f07c-4f29-956c-32391c1c22ac","block_type":"box","text":"...........","page_number":32,"box":{"x":381,"y":653,"width":84,"height":1}},{"id":"020ea23e-fbab-4279-9106-c053f447ecf8","block_type":"box","text":"$782,168 $52,637 $52,637 $ 7,841","page_number":32,"box":{"x":496,"y":645,"width":402,"height":11}},{"id":"8f583bf0-38ec-40eb-a7a2-e9118764a614","block_type":"box","text":"Investor C Shares","page_number":32,"box":{"x":760,"y":675,"width":103,"height":7}},{"id":"f559e9fc-f9fd-4a81-b567-fced574fac08","block_type":"box","text":"CDSCs Received","page_number":32,"box":{"x":713,"y":691,"width":97,"height":7}},{"id":"71099a6d-7996-46e7-88fe-0b577768b602","block_type":"box","text":"by BRIL","page_number":32,"box":{"x":740,"y":701,"width":44,"height":9}},{"id":"858370fb-bf5f-4f14-bcdd-9be1882f4c8a","block_type":"box","text":"CDSCs Paid","page_number":32,"box":{"x":840,"y":691,"width":69,"height":7}},{"id":"6b346b69-19f1-41cc-858e-88ba7c0d7c83","block_type":"box","text":"to Affiliates","page_number":32,"box":{"x":841,"y":701,"width":68,"height":7}},{"id":"bbc7352a-20f5-4e96-86eb-e0ac7fb85d55","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":32,"box":{"x":70,"y":719,"width":474,"height":11}},{"id":"efc130d9-f0d1-4e61-b020-5248438c37c0","block_type":"box","text":". . . . . . . . . . . . . . . . . $ 9,284 $ 9,284","page_number":32,"box":{"x":550,"y":718,"width":356,"height":11}},{"id":"7661723b-8a32-4d84-9e3b-dae146796c1b","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":32,"box":{"x":70,"y":734,"width":474,"height":11}},{"id":"f4da9a43-8141-429a-a150-4d345c58b7ba","block_type":"box","text":". . . . . . . . . . . . . . . . . $ 9,550 $ 9,550","page_number":32,"box":{"x":550,"y":733,"width":356,"height":11}},{"id":"a4756c6c-a1c9-476f-a67b-d081891ff52d","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":32,"box":{"x":70,"y":749,"width":474,"height":11}},{"id":"6e01c01f-41b9-40fc-8692-44e0435b8922","block_type":"box","text":".................","page_number":32,"box":{"x":550,"y":756,"width":132,"height":2}},{"id":"15a60424-12b7-4e93-ae21-6246a08f7225","block_type":"box","text":"$14,412 $14,412","page_number":32,"box":{"x":731,"y":748,"width":175,"height":11}},{"id":"7e18fb87-2347-4624-9447-4f987939cdc8","block_type":"box","text":"The table below provides information for the fiscal year ended May 31, 2026 shown about the 12b-1 fees the","page_number":32,"box":{"x":101,"y":773,"width":781,"height":11}},{"id":"ede2ca1c-908b-4191-adfa-5345317a6d0b","block_type":"box","text":"Fund paid to BRIL under the Fund’s 12b-1 plan. A por tion of the fees collected by BRIL were paid to affiliates for","page_number":32,"box":{"x":70,"y":788,"width":800,"height":11}},{"id":"abc85c24-28f0-4386-8f8d-c397087448ad","block_type":"box","text":"providing shareholder servicing activities for Investor A and Service Shares and for providing shareholder servicing","page_number":32,"box":{"x":70,"y":803,"width":815,"height":11}},{"id":"4168ab02-d2bd-476f-a34f-83fcdb7ca64c","block_type":"box","text":"and distribution-related activities and services for Investor C and Class R Shares.","page_number":32,"box":{"x":69,"y":818,"width":579,"height":9}},{"id":"0f6b8cae-becb-4e8a-93d0-4119466ab2d5","block_type":"box","text":"Class Name","page_number":32,"box":{"x":69,"y":847,"width":68,"height":7}},{"id":"7594f1a4-ec1f-42b9-b5ea-fcc5dffce97a","block_type":"box","text":"Fees Paid to BRIL","page_number":32,"box":{"x":806,"y":847,"width":103,"height":7}},{"id":"8988d4f1-0fcb-45b7-93e7-87e5db1e46e8","block_type":"box","text":"Investor A Shares .","page_number":32,"box":{"x":70,"y":864,"width":134,"height":9}},{"id":"4b5499ce-587a-4b1e-9aae-45f52d908b33","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,","page_number":32,"box":{"x":210,"y":864,"width":626,"height":11}},{"id":"67ce99e7-1d2b-4eb1-8287-adf94e824630","block_type":"box","text":"696,393","page_number":32,"box":{"x":838,"y":864,"width":63,"height":11}},{"id":"7d9cbbe8-784d-4bfb-8bc6-fc3198cc2447","block_type":"box","text":"Investor C Shares . . .","page_number":32,"box":{"x":70,"y":879,"width":150,"height":9}},{"id":"c1f69fe0-1214-40cf-ad74-9b701b02510b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":32,"box":{"x":226,"y":879,"width":610,"height":11}},{"id":"10f9d471-7154-4c7f-baab-98ff5474fb70","block_type":"box","text":"637,364","page_number":32,"box":{"x":838,"y":879,"width":63,"height":11}},{"id":"b5354e01-7b60-4373-ac93-c14ad223bec2","block_type":"box","text":"Service Shares . .","page_number":32,"box":{"x":69,"y":895,"width":126,"height":8}},{"id":"022276e6-5497-4f13-80de-7d439f26e457","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 58,389","page_number":32,"box":{"x":202,"y":894,"width":699,"height":11}},{"id":"7a3f5742-feac-4f69-b2e7-e4ea58f795a9","block_type":"box","text":"I-23","page_number":32,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"cfd6290c-8de6-4bc5-96d1-189e2cdb2349","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":32,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7e2844ae-9b55-4243-9262-35d1c9a586c7","block_type":"box","text":"Class Name","page_number":33,"box":{"x":69,"y":49,"width":68,"height":7}},{"id":"8a514588-1af0-4866-b5bc-f963010518d3","block_type":"box","text":"Fees Paid to BRIL","page_number":33,"box":{"x":806,"y":49,"width":103,"height":7}},{"id":"3b71d15a-d4af-44c6-b25c-06f8d91a69a1","block_type":"box","text":"Class R Shares","page_number":33,"box":{"x":69,"y":67,"width":109,"height":9}},{"id":"103b43b3-6825-41bb-a583-bcbd0ebbe848","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":33,"box":{"x":185,"y":66,"width":651,"height":11}},{"id":"746aec90-8f95-4228-9912-a487571ba4ba","block_type":"box","text":"065,678","page_number":33,"box":{"x":838,"y":67,"width":63,"height":10}},{"id":"c8854084-5bcc-48b3-b464-7f1ebd725033","block_type":"box","text":"VI. Computation of Offering Price Per Share","page_number":33,"box":{"x":68,"y":98,"width":318,"height":11}},{"id":"a0fc9a7c-8da1-4a71-a5b3-b6e7844fef54","block_type":"box","text":"An illustration of the computation of the offering price of the Investor A Shares of the Fund based on the value of","page_number":33,"box":{"x":101,"y":121,"width":805,"height":11}},{"id":"cd21eb0a-ef5f-44ca-99f2-a8577671de35","block_type":"box","text":"the Fund’s Investor A Shares’ net assets and the number of Investor A Shares outstanding on May 31, 2026, is set","page_number":33,"box":{"x":68,"y":136,"width":827,"height":11}},{"id":"84e6d37c-516d-4b9f-99b7-368207c7890d","block_type":"box","text":"for th below.","page_number":33,"box":{"x":68,"y":151,"width":83,"height":9}},{"id":"ecb9f5fb-5619-4171-9b72-85549c006aba","block_type":"box","text":"Investor A Shares","page_number":33,"box":{"x":798,"y":179,"width":102,"height":8}},{"id":"34f63593-0626-4304-8da2-226bc1a88481","block_type":"box","text":"Net Assets . . .","page_number":33,"box":{"x":70,"y":197,"width":100,"height":9}},{"id":"0e8e9483-8c2c-4789-b39a-925473434189","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,171,","page_number":33,"box":{"x":176,"y":196,"width":669,"height":12}},{"id":"7023b908-1a50-4abb-9cf7-05d991d6712b","block_type":"box","text":"474,436","page_number":33,"box":{"x":847,"y":197,"width":62,"height":11}},{"id":"4948ea6e-52fe-4a70-a4c8-06049b2a821a","block_type":"box","text":"Number of Shares Outstanding . . . . . . . . . . . .","page_number":33,"box":{"x":70,"y":212,"width":320,"height":11}},{"id":"830b3315-9c78-4990-aaf2-69afc52de931","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,","page_number":33,"box":{"x":396,"y":212,"width":449,"height":11}},{"id":"889df811-97ca-4e01-af6a-9eeba9af936c","block_type":"box","text":"440,907","page_number":33,"box":{"x":847,"y":212,"width":61,"height":11}},{"id":"90670e57-eee1-463a-b1fd-d9566e43ef2c","block_type":"box","text":"Net Asset Value Per Share (net assets divided by number of shares outstanding)","page_number":33,"box":{"x":70,"y":227,"width":571,"height":12}},{"id":"fc248cb1-f05e-4f3e-91c0-49fbb43ac663","block_type":"box","text":"..............","page_number":33,"box":{"x":649,"y":235,"width":108,"height":1}},{"id":"f2fb915f-f780-4cd3-9cdd-82d066ad886f","block_type":"box","text":"$63.05","page_number":33,"box":{"x":857,"y":227,"width":52,"height":10}},{"id":"fb47162f-4d2b-40a5-b95d-9a6d8ac79cd4","block_type":"box","text":"Sales Charge (5.25% of offering price; 5.54% of net asset value per share)","page_number":33,"box":{"x":69,"y":242,"width":534,"height":12}},{"id":"2590399e-c078-4850-96cf-17b7caf4777b","block_type":"box","text":"1","page_number":33,"box":{"x":604,"y":243,"width":4,"height":4}},{"id":"519af275-b24f-40cd-9a3e-118c101af6e5","block_type":"box","text":". . . . . . . . . . . . . . . . . . 3.49","page_number":33,"box":{"x":616,"y":243,"width":293,"height":8}},{"id":"09cfb0a5-a332-4150-ac83-0feb10ff8c09","block_type":"box","text":"Offering Price . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":33,"box":{"x":69,"y":262,"width":687,"height":11}},{"id":"9fadb165-c50f-4bd5-ac47-b7429cf70c90","block_type":"box","text":"$66.54","page_number":33,"box":{"x":857,"y":261,"width":52,"height":11}},{"id":"b04fd754-3113-474d-aeec-cd2a2f5a4bae","block_type":"box","text":"1","page_number":33,"box":{"x":69,"y":294,"width":3,"height":4}},{"id":"2368cf6b-855a-4e11-87b8-5491503a763b","block_type":"box","text":"Rounded to the nearest one-hundredth percent; assumes maximum sales charge is applicable.","page_number":33,"box":{"x":94,"y":294,"width":541,"height":9}},{"id":"a0e96c67-92cc-4747-a672-228679fd81a2","block_type":"box","text":"The offering price for the Fund’s other share classes is equal to the share class’s net asset value computed as","page_number":33,"box":{"x":101,"y":315,"width":796,"height":11}},{"id":"4ee7be17-ad53-4c3f-ac44-4d19652b88e3","block_type":"box","text":"set for th above for Investor A Shares. Though not subject to a sales charge, cer tain share classes may be subject to","page_number":33,"box":{"x":69,"y":330,"width":833,"height":11}},{"id":"777ae687-7bf0-464a-81de-61cb60c12b03","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":345,"width":813,"height":11}},{"id":"97359ad2-3060-418a-8d1b-3a3cdc2b6669","block_type":"box","text":"Shares” and “Pricing of Shares” in Par t II of this SAI.","page_number":33,"box":{"x":69,"y":360,"width":377,"height":12}},{"id":"04a1bd56-fb29-4003-8e5d-5cf3a22a809e","block_type":"box","text":"VII. Portfolio Transactions and Brokerage","page_number":33,"box":{"x":68,"y":391,"width":302,"height":11}},{"id":"12d0e5b1-743f-4e92-ae84-998b800651f4","block_type":"box","text":"See “Por tfolio Transactions and Brokerage” in Par t II of this SAI for more information.","page_number":33,"box":{"x":102,"y":413,"width":609,"height":11}},{"id":"4d595d63-d19c-45e3-aec2-d86a310512b9","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":436,"width":800,"height":11}},{"id":"8907036d-b0d9-4066-ab8c-51de79e0e180","block_type":"box","text":"periods shown is set for th in the following tables:","page_number":33,"box":{"x":70,"y":451,"width":350,"height":11}},{"id":"ed204d3f-ba53-4806-baff-7f38d0d6914b","block_type":"box","text":"Aggregate Brokerage","page_number":33,"box":{"x":613,"y":479,"width":125,"height":9}},{"id":"264b6343-4cf3-4aaa-b45e-ada33a6bb92c","block_type":"box","text":"Commissions Paid","page_number":33,"box":{"x":623,"y":489,"width":106,"height":7}},{"id":"fd3bf1c5-d65a-4ccd-862e-25a0c156ade8","block_type":"box","text":"Brokerage Commissions","page_number":33,"box":{"x":769,"y":479,"width":140,"height":9}},{"id":"ed066995-5f89-4c01-b108-52dbafa4d3de","block_type":"box","text":"Paid to Affiliates","page_number":33,"box":{"x":791,"y":489,"width":96,"height":7}},{"id":"71720640-d010-49d0-9e2b-a937f291cca6","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . .","page_number":33,"box":{"x":70,"y":507,"width":292,"height":11}},{"id":"e64aac35-b4d4-41d6-9203-1266e156c173","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":33,"box":{"x":369,"y":506,"width":286,"height":11}},{"id":"871a52e3-9310-42a1-8e1d-c53e8ae356df","block_type":"box","text":"231,585 $0","page_number":33,"box":{"x":657,"y":506,"width":191,"height":11}},{"id":"1e53c1c8-960c-4401-8f45-c24bb175a8cb","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . .","page_number":33,"box":{"x":70,"y":522,"width":292,"height":11}},{"id":"f97d1a46-1450-43f7-af6a-0609a28e75ef","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":33,"box":{"x":369,"y":521,"width":286,"height":12}},{"id":"ac66e3c3-dd30-45e4-913f-93fa96f198bd","block_type":"box","text":"427,246 $0","page_number":33,"box":{"x":657,"y":521,"width":191,"height":12}},{"id":"e62b2a53-95d8-416f-b942-e8600630f6cf","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . .","page_number":33,"box":{"x":70,"y":537,"width":292,"height":11}},{"id":"547a66d2-d94d-47cc-8867-d9da2be7bc1c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":33,"box":{"x":369,"y":537,"width":286,"height":11}},{"id":"381b69db-e474-4927-9be5-3637e8ff0c6e","block_type":"box","text":"132,419 $0","page_number":33,"box":{"x":657,"y":537,"width":191,"height":11}},{"id":"a7ba3501-67d6-48eb-b008-0159da4a9ac4","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":561,"width":770,"height":11}},{"id":"58e805be-475a-4196-bba3-02e280cd90fe","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":576,"width":814,"height":12}},{"id":"bca26dfb-26d9-4f7a-963f-6271f4e01bd7","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":591,"width":829,"height":12}},{"id":"91eab7ec-6166-48d6-879c-e269763ea8b8","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":606,"width":822,"height":12}},{"id":"378200de-b43c-427d-b829-c6a13cb5857c","block_type":"box","text":"with such brokers.","page_number":33,"box":{"x":68,"y":622,"width":130,"height":9}},{"id":"e596c6cf-2e8c-4f20-b6ea-8566698017c8","block_type":"box","text":"Amount of Commissions","page_number":33,"box":{"x":325,"y":650,"width":141,"height":7}},{"id":"271fb299-c5ea-4c68-af66-0ca7036eac20","block_type":"box","text":"Paid to Brokers for","page_number":33,"box":{"x":341,"y":660,"width":109,"height":7}},{"id":"d6e3a250-026b-4533-9e2f-8701979e7b5a","block_type":"box","text":"Providing 28(e) Eligible","page_number":33,"box":{"x":327,"y":670,"width":136,"height":9}},{"id":"52061824-8f14-4e6a-9b37-c8f6e5e2a62e","block_type":"box","text":"Research Services","page_number":33,"box":{"x":342,"y":680,"width":107,"height":7}},{"id":"fdf2707e-d3e8-4fae-a46d-4b63cc8aba12","block_type":"box","text":"Amount of Brokerage","page_number":33,"box":{"x":528,"y":670,"width":124,"height":9}},{"id":"2b005422-c656-4d16-a9e3-ac36d12c8625","block_type":"box","text":"Transactions Involved","page_number":33,"box":{"x":527,"y":680,"width":126,"height":7}},{"id":"b833ec1a-55a5-44b2-9d49-f84744686e0f","block_type":"box","text":"$464,274 $1,949,438,316","page_number":33,"box":{"x":359,"y":697,"width":291,"height":11}},{"id":"1937d6f4-5025-418c-82d2-a60b9449219e","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":722,"width":769,"height":11}},{"id":"5b35af4b-0938-407e-87ae-1d7286f23f8f","block_type":"box","text":"Company Act) or their parents as of May 31, 2026 whose shares were purchased during the fiscal year ended","page_number":33,"box":{"x":69,"y":737,"width":784,"height":11}},{"id":"ed75e3eb-2156-4963-b55c-cc1eea4248cd","block_type":"box","text":"May 31, 2026.","page_number":33,"box":{"x":70,"y":752,"width":104,"height":11}},{"id":"958bbc86-5372-485b-a3b5-91c5dd635b56","block_type":"box","text":"Securities Lending","page_number":33,"box":{"x":68,"y":782,"width":135,"height":11}},{"id":"2a5c1418-6d90-44cc-9f6a-dd99aa9047ac","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":805,"width":807,"height":11}},{"id":"fd252359-7c08-43f2-8f98-b602ce318748","block_type":"box","text":"exemptive order from the Commission permitting it to lend por tfolio securities to borrowers affiliated with the Fund","page_number":33,"box":{"x":69,"y":820,"width":817,"height":11}},{"id":"0552d9f8-6a02-443f-85d1-7cb25ac67ddc","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":835,"width":813,"height":11}},{"id":"81bb53c7-729f-4520-bb27-b5b9d3f19740","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":850,"width":838,"height":12}},{"id":"bbf8d936-059a-4ee9-878d-2d4fd3981da1","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":865,"width":813,"height":12}},{"id":"13d2b669-c006-4cd4-ba55-6d8e56c5208e","block_type":"box","text":"BIM administers the lending program in accordance with guidelines approved by the Board.","page_number":33,"box":{"x":70,"y":881,"width":646,"height":11}},{"id":"bbaf84e5-f94e-49c5-a528-eaed011addf2","block_type":"box","text":"I-24","page_number":33,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"a4c1046d-fa68-4eb3-97a5-ddc9b8de855f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":33,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5f3536a5-67e1-4157-af2a-4df6ba42e4dd","block_type":"box","text":"The Fund retains a por tion of the securities lending income and remits the remaining por tion to BIM as","page_number":34,"box":{"x":101,"y":45,"width":735,"height":11}},{"id":"1f024a52-becb-4eca-bcce-0d7494b25673","block_type":"box","text":"compensation for its services as securities lending agent. Securities lending income is generally equal to the total of","page_number":34,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"c2cefb00-b3c4-4b23-8af5-93791a46072f","block_type":"box","text":"income earned from the reinvestment of cash collateral (and excludes collateral investment fees as defined below),","page_number":34,"box":{"x":70,"y":75,"width":822,"height":11}},{"id":"a1ae2eb3-339b-486f-8331-69b70f8c6ef9","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":34,"box":{"x":69,"y":90,"width":787,"height":11}},{"id":"6b7515c5-0bdf-4eb2-b9fd-4de9b12c507a","block_type":"box","text":"operational costs directly related to securities lending. The Fund is responsible for fees in connection with the","page_number":34,"box":{"x":69,"y":105,"width":783,"height":11}},{"id":"39de8ca1-bd28-4211-bdb2-42a2a922420c","block_type":"box","text":"investment of cash collateral received for securities on loan in a money market fund managed by BlackRock (the","page_number":34,"box":{"x":70,"y":120,"width":800,"height":12}},{"id":"b5264b01-ce57-4474-a9a4-cfc7b9248ab2","block_type":"box","text":"“collateral investment fees”); however, the securities lending agent has agreed to reduce the amount of securities","page_number":34,"box":{"x":70,"y":135,"width":813,"height":12}},{"id":"7465d17a-37ba-493e-8c39-0c89971d0edf","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":34,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"5e858855-8b73-4811-929d-26648a61d212","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":34,"box":{"x":69,"y":166,"width":773,"height":11}},{"id":"0b54b1a4-b42d-41bb-b2e4-d19f31b57900","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":34,"box":{"x":101,"y":188,"width":776,"height":12}},{"id":"fbcec818-9079-4105-a56e-a8fdb313b880","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":34,"box":{"x":69,"y":203,"width":831,"height":12}},{"id":"7e370e9e-22ec-461a-bb93-2883ca3e9a91","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":218,"width":812,"height":12}},{"id":"c15de73a-e3d3-49b6-8adf-102df8a82d5c","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":234,"width":799,"height":11}},{"id":"8f6cb23a-2390-48b8-a05e-231337d2f5f7","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":249,"width":835,"height":11}},{"id":"b8ed7039-a9e0-4b32-944e-66de388dc903","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":264,"width":818,"height":11}},{"id":"6b40db5e-2fd7-4bbe-b8c4-92549b911d26","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":279,"width":789,"height":11}},{"id":"d082676a-c2c2-4fa9-85c7-6ac349faa867","block_type":"box","text":"making a good faith estimate of cer tain costs the money market fund would incur if it were to sell a pro rata amount","page_number":34,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"dbb54318-cf7d-4d9f-9ceb-952a236c5193","block_type":"box","text":"of each security in the por tfolio 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":309,"width":839,"height":11}},{"id":"3db9f8d3-dd67-4839-8288-37a3abaf0d05","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":324,"width":802,"height":12}},{"id":"76faf093-7822-41be-aa25-52c1661cc96a","block_type":"box","text":"por tfolio security in good faith and suppor ted by data, it is required to apply a default liquidity fee of 1% on the value","page_number":34,"box":{"x":70,"y":339,"width":830,"height":12}},{"id":"a793bb82-469c-431e-ab26-66ee679eb8c8","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":355,"width":838,"height":11}},{"id":"b081905b-3961-4944-be84-66fc9fee805b","block_type":"box","text":"Fund’s returns on securities lending.","page_number":34,"box":{"x":70,"y":370,"width":258,"height":11}},{"id":"d64a40f9-566a-4bc5-bab4-5135694daffa","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":392,"width":774,"height":12}},{"id":"b4298efe-b56f-401f-ba15-6c9c3861d3d3","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":407,"width":794,"height":12}},{"id":"da5ffa3f-eae9-4aab-94fb-327d8ed6efc5","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":423,"width":809,"height":11}},{"id":"dbcb977f-8045-4cc9-a3df-84f90c315864","block_type":"box","text":"Trust and BIM.","page_number":34,"box":{"x":68,"y":438,"width":103,"height":9}},{"id":"5b127fd6-3093-4a26-979f-6fe07d42aef2","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":460,"width":783,"height":12}},{"id":"71f9ebfd-ab4e-45bc-b707-801ddbe3d0db","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":475,"width":815,"height":12}},{"id":"09d383a1-428f-47de-a1ed-f0260e8ffcb0","block_type":"box","text":"sum of securities lending income plus collateral investment fees.","page_number":34,"box":{"x":69,"y":491,"width":463,"height":11}},{"id":"2f54131c-b0aa-4e2b-9d33-42425d10aca3","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":513,"width":753,"height":12}},{"id":"5bd4c59c-7649-4112-beb9-f0167cb392c8","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":528,"width":778,"height":12}},{"id":"9cd31bd2-30fb-483c-a3fd-ae86617859a2","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":543,"width":817,"height":12}},{"id":"93459dc8-adfa-49ce-a6d4-1a3d15206cb8","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":559,"width":794,"height":11}},{"id":"16247be8-8736-43d6-a493-f37dbb3d6e90","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":574,"width":825,"height":11}},{"id":"71fd24da-7c79-4c94-9e96-f08f88b3936f","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":596,"width":683,"height":12}},{"id":"f2f8afe4-34f6-4104-bb65-746ad0bd4714","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":619,"width":803,"height":11}},{"id":"f6b2e7ed-87dd-49a7-9a5d-6e0340942f1e","block_type":"box","text":"the following:","page_number":34,"box":{"x":68,"y":634,"width":93,"height":12}},{"id":"069037a9-a74a-4b96-a72e-e6dc2de63405","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":654,"width":818,"height":12}},{"id":"dc6a6431-c4bd-47eb-9501-24e907336848","block_type":"box","text":"on behalf of the Fund with each such borrower;","page_number":34,"box":{"x":102,"y":669,"width":333,"height":11}},{"id":"4995f9a7-0c09-4698-a658-5f59b8e60aa5","block_type":"box","text":"(2) negotiating the terms of securities loans, including the amount of fees;","page_number":34,"box":{"x":69,"y":690,"width":538,"height":11}},{"id":"4fca3830-5b6d-4030-884d-7df2ba8a57ee","block_type":"box","text":"(3) directing the delivery of loaned securities;","page_number":34,"box":{"x":69,"y":710,"width":330,"height":11}},{"id":"5fa09a3c-6b1e-4382-9beb-420d7099b015","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":730,"width":834,"height":11}},{"id":"5495b0aa-9c77-4a64-9f61-2ac52b5dab83","block_type":"box","text":"of excess collateral, as necessary;","page_number":34,"box":{"x":102,"y":745,"width":246,"height":11}},{"id":"2b54e0a5-63ab-4c84-b01e-58fa7b8d6910","block_type":"box","text":"(5) investing cash collateral received in connection with any loaned securities;","page_number":34,"box":{"x":69,"y":766,"width":562,"height":11}},{"id":"be41c87f-cdbb-4db8-88d1-2c63750c1931","block_type":"box","text":"(6) monitoring distributions on loaned securities (for example, interest and dividend activity);","page_number":34,"box":{"x":69,"y":785,"width":665,"height":12}},{"id":"ba1fdf76-658a-4321-862b-9a96313793e8","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":806,"width":822,"height":11}},{"id":"8745de26-c22d-4ca1-84cf-dd97b90de0b8","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":821,"width":803,"height":11}},{"id":"bd968d74-17e5-4bd2-a41d-491139f1e4db","block_type":"box","text":"of the loaned securities; and","page_number":34,"box":{"x":102,"y":836,"width":203,"height":10}},{"id":"c5df3d1b-1844-4a0d-a65d-1b4f587cc5ee","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":856,"width":808,"height":11}},{"id":"50bc202a-7444-440b-be0c-63e48aaa254c","block_type":"box","text":"I-25","page_number":34,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"d1fc7f1c-4fd0-460b-9489-425f5b7abbfc","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":34,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"eb4d3ece-3c26-43a7-9aba-1dcc3eb020cd","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":"c0775386-eb2c-4493-bc14-a2a5afa74b51","block_type":"box","text":"activities of the Fund during its most recent fiscal year ended May 31, 2026.","page_number":35,"box":{"x":69,"y":60,"width":546,"height":11}},{"id":"308a3422-413a-401f-a9c2-91f95b00ed16","block_type":"box","text":"Gross income from securities lending activities","page_number":35,"box":{"x":69,"y":88,"width":343,"height":11}},{"id":"defa68cc-ed63-4e69-84e4-3133a139e196","block_type":"box","text":"................................................","page_number":35,"box":{"x":416,"y":95,"width":385,"height":1}},{"id":"7a1ff31f-48dd-44ff-8d1b-c830d41f841c","block_type":"box","text":"$2,728,810","page_number":35,"box":{"x":822,"y":87,"width":87,"height":11}},{"id":"c9c2917d-2ff6-4319-be1a-06069364f879","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":"5cc9676d-5871-47af-b670-bbf7ccfc2768","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":"653eba40-3309-4a7f-9c2f-3710191fde99","block_type":"box","text":"............... $","page_number":35,"box":{"x":685,"y":121,"width":145,"height":11}},{"id":"f36aaaa8-5c5a-44e7-9a54-4d87c34a0918","block_type":"box","text":"140,901","page_number":35,"box":{"x":847,"y":122,"width":62,"height":11}},{"id":"a707bedb-a39b-4900-b170-3c8269f07157","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":"1aefc90b-ef7c-480c-b3f1-4d4decd0c6c3","block_type":"box","text":". . . . . . $ 23,658","page_number":35,"box":{"x":758,"y":137,"width":151,"height":11}},{"id":"70233614-7348-40cc-afd0-bff9b10c731e","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":"561934c4-870d-4d11-97f4-f62d8a40e96e","block_type":"box","text":"..................... $ 0","page_number":35,"box":{"x":636,"y":152,"width":273,"height":10}},{"id":"5fe90bf7-6ffe-428e-982d-cfd9c290665d","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":"137f0e39-8808-4e3e-ac1f-d3b18718667f","block_type":"box","text":"................... $ 0","page_number":35,"box":{"x":652,"y":167,"width":257,"height":10}},{"id":"8f5e0b96-932d-44c7-b89c-d50500079838","block_type":"box","text":"Rebates (paid to borrowers) . . . . . . . . . . .","page_number":35,"box":{"x":79,"y":183,"width":289,"height":11}},{"id":"b160c188-90f7-48b5-bada-a6cc49ccaef3","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,","page_number":35,"box":{"x":375,"y":182,"width":470,"height":11}},{"id":"4d8421cb-04f7-43ee-b41a-ea1cfc285c4c","block_type":"box","text":"960,615","page_number":35,"box":{"x":847,"y":183,"width":62,"height":10}},{"id":"92936420-957e-49d0-b316-f44401cc75f9","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":"4c6c1490-c560-4e88-b169-058047ab1085","block_type":"box","text":"...................... $ 0","page_number":35,"box":{"x":628,"y":197,"width":281,"height":11}},{"id":"63e72fdb-4aff-49c4-8e4b-4cc5d64f9396","block_type":"box","text":"Aggregate fees/compensation for securities lending activities","page_number":35,"box":{"x":68,"y":213,"width":455,"height":11}},{"id":"64b072a8-45ba-4adf-8ced-03818e6020d7","block_type":"box","text":"..................................","page_number":35,"box":{"x":530,"y":220,"width":271,"height":2}},{"id":"43d20001-2711-47fa-b482-064145eb5672","block_type":"box","text":"$2,125,174","page_number":35,"box":{"x":822,"y":212,"width":87,"height":12}},{"id":"cdf8eeda-7bd7-4c7b-9212-2022865cc7e4","block_type":"box","text":"Net income from securities lending activities","page_number":35,"box":{"x":69,"y":232,"width":327,"height":11}},{"id":"391e5a66-3aa7-4cc2-8664-0594395c7bbf","block_type":"box","text":"..................................................","page_number":35,"box":{"x":399,"y":240,"width":402,"height":1}},{"id":"b5530f16-46a5-433d-b299-2033bb656173","block_type":"box","text":"$ 603,636","page_number":35,"box":{"x":822,"y":232,"width":87,"height":11}},{"id":"97379f18-d571-456f-8264-580bd1ac84d6","block_type":"box","text":"VIII. Additional Information","page_number":35,"box":{"x":68,"y":268,"width":195,"height":9}},{"id":"d8f903e0-e531-4dc8-aa58-9e8c4e8f3c90","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":35,"box":{"x":102,"y":291,"width":352,"height":11}},{"id":"2950c90f-f0af-4934-a2aa-cfd903db8728","block_type":"box","text":"Deloitte & Touche LLP, with offices located at 115 Federal","page_number":35,"box":{"x":461,"y":291,"width":412,"height":10}},{"id":"2dcfbab2-b028-4161-b88e-a8b66e5a8570","block_type":"box","text":"Street, Boston, MA 02110, serves as the Fund’s independent registered public accounting firm.","page_number":35,"box":{"x":69,"y":306,"width":685,"height":11}},{"id":"e580d587-cf1c-4f34-81e3-dc03198b31de","block_type":"box","text":"Counsel.","page_number":35,"box":{"x":101,"y":329,"width":62,"height":9}},{"id":"452e8a74-bbb7-4243-b8f1-550aa5db7599","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":329,"width":736,"height":11}},{"id":"bf781f39-c3d2-40e2-8001-2c5518d47af0","block_type":"box","text":"the Fund’s counsel.","page_number":35,"box":{"x":68,"y":344,"width":139,"height":9}},{"id":"14e8d243-0e3e-49c0-bd75-7845eaf4d78c","block_type":"box","text":"The Trust","page_number":35,"box":{"x":68,"y":374,"width":69,"height":9}},{"id":"619bb1a8-a00b-47a6-b978-d32dd891e431","block_type":"box","text":"The Trust was organized as a Massachusetts business trust on December 22, 1988, and is registered under the","page_number":35,"box":{"x":101,"y":397,"width":807,"height":11}},{"id":"cd0670ab-74ce-41b8-9544-c4c262b5d78b","block_type":"box","text":"Investment Company Act as an open-end management investment company. Effective January 31, 1998, the Trust","page_number":35,"box":{"x":70,"y":412,"width":816,"height":11}},{"id":"accfe0e6-2bd9-4650-b971-465df5499085","block_type":"box","text":"changed its name from Compass Capital Funds","page_number":35,"box":{"x":69,"y":427,"width":337,"height":11}},{"id":"32d16119-4349-47a4-958d-491fdf9e3edf","block_type":"box","text":"SM","page_number":35,"box":{"x":407,"y":427,"width":11,"height":5}},{"id":"8743e82e-dcac-4ad0-a7a3-48db55326a60","block_type":"box","text":"to BlackRock Funds","page_number":35,"box":{"x":423,"y":427,"width":140,"height":9}},{"id":"8e445c46-11c7-41a1-b059-ca11c8894311","block_type":"box","text":"SM","page_number":35,"box":{"x":564,"y":427,"width":11,"height":5}},{"id":"89344a81-153d-4f7e-bfe1-9b749d853ee5","block_type":"box","text":". The Trust is authorized to issue an unlimited","page_number":35,"box":{"x":577,"y":427,"width":325,"height":9}},{"id":"c24c52fe-4972-49e7-b93c-f91e7fdc61e8","block_type":"box","text":"number of shares of beneficial interest with a par value of $0.001 per share, which may be divided into different","page_number":35,"box":{"x":69,"y":441,"width":803,"height":12}},{"id":"4b75d1cb-f4d7-4e8c-8e89-e6c114466b31","block_type":"box","text":"series and classes. Effective on December 27, 2017, all of the issued and outstanding Investor B Shares of the","page_number":35,"box":{"x":69,"y":457,"width":801,"height":12}},{"id":"b0712ac7-3717-433e-bd14-5421028642e7","block_type":"box","text":"Fund were conver ted into Investor A Shares of the Fund.","page_number":35,"box":{"x":70,"y":472,"width":398,"height":9}},{"id":"82f79acf-5a7b-469f-b172-d4bde2df5f47","block_type":"box","text":"Under Massachusetts law, shareholders of a business trust may, under cer tain circumstances, be held","page_number":35,"box":{"x":102,"y":495,"width":734,"height":11}},{"id":"01127a76-c9d9-43c0-86c5-521b8e7c76a5","block_type":"box","text":"personally liable as par tners for the obligations of the Trust. However, the Trust’s Declaration of Trust provides that","page_number":35,"box":{"x":70,"y":510,"width":822,"height":11}},{"id":"0346d52c-31c4-48eb-b5a9-9ba884d32e99","block_type":"box","text":"shareholders shall not be subject to any personal liability in connection with the assets of the Trust for the acts or","page_number":35,"box":{"x":69,"y":525,"width":814,"height":11}},{"id":"ce9b4562-663e-44e5-a5a0-74a5181e4e91","block_type":"box","text":"obligations of the Trust, and that every note, bond, contract, order or other under taking made by the Trust shall","page_number":35,"box":{"x":69,"y":540,"width":794,"height":12}},{"id":"3ad9101b-8003-4f5a-9319-86a183fa3c00","block_type":"box","text":"contain a provision to the effect that the shareholders are not personally liable thereunder. The Declaration of Trust","page_number":35,"box":{"x":69,"y":555,"width":824,"height":12}},{"id":"c80abfe6-1b34-4c8b-ba5b-ade6ae3da0ae","block_type":"box","text":"provides for indemnification out of Trust proper ty of any shareholder held personally liable solely by reason of his","page_number":35,"box":{"x":70,"y":571,"width":804,"height":11}},{"id":"626ad43a-36a7-4fa1-b9b7-59a83e0c9b9c","block_type":"box","text":"being or having been a shareholder and not because of such shareholder’s acts or omissions or some other reason.","page_number":35,"box":{"x":69,"y":586,"width":830,"height":11}},{"id":"5afe241d-91ff-4103-942d-44baa5fa3dc8","block_type":"box","text":"The Declaration of Trust also provides that the Trust shall, upon request, assume the defense of any claim made","page_number":35,"box":{"x":68,"y":601,"width":807,"height":11}},{"id":"193a5d81-6dfc-421b-aa39-ec5eaf3c4fc2","block_type":"box","text":"against any shareholder for any act or obligation of the Trust, and shall satisfy any judgment thereon.","page_number":35,"box":{"x":69,"y":616,"width":719,"height":11}},{"id":"56eab4b7-157c-4177-a2f4-890e2c14849e","block_type":"box","text":"The Declaration of Trust fur ther provides that all persons having any claim against the Trustees or Trust shall","page_number":35,"box":{"x":101,"y":639,"width":777,"height":11}},{"id":"cb8a1c90-4f98-4ef1-b500-9786b374f0cb","block_type":"box","text":"look solely to the Trust proper ty for payment; that no Trustee of the Trust shall be personally liable for or on account","page_number":35,"box":{"x":70,"y":654,"width":828,"height":11}},{"id":"8c8e5328-8185-482d-857a-687da1c7c3ef","block_type":"box","text":"of any contract, debt, tor t, claim, damage, judgment or decree arising out of or connected with the administration or","page_number":35,"box":{"x":69,"y":669,"width":827,"height":11}},{"id":"de15c8bb-dd03-4f88-8bb5-dfea116c9713","block_type":"box","text":"preservation of the Trust proper ty or the conduct of any business of the Trust; and that no Trustee shall be","page_number":35,"box":{"x":70,"y":684,"width":762,"height":11}},{"id":"33fdb0fa-a344-4628-aede-79a6e5dad458","block_type":"box","text":"personally liable to any person for any action or failure to act except by reason of such Trustee’s own bad faith, willful","page_number":35,"box":{"x":70,"y":699,"width":836,"height":11}},{"id":"328b7841-c243-40c4-8b32-b5217bcba8b9","block_type":"box","text":"misfeasance, gross negligence or reckless disregard of his duties as a Trustee.","page_number":35,"box":{"x":69,"y":714,"width":567,"height":12}},{"id":"6e9dbf05-6f0a-407d-b8e4-adad1685da5d","block_type":"box","text":"With the exception stated, the Declaration of Trust provides that a Trustee is entitled to be indemnified against","page_number":35,"box":{"x":101,"y":737,"width":792,"height":11}},{"id":"67e513df-fa11-43ae-8e72-a89afec8c5f7","block_type":"box","text":"all liabilities and expenses reasonably incurred by such Trustee in connection with the defense or disposition of any","page_number":35,"box":{"x":69,"y":752,"width":825,"height":11}},{"id":"589e9a3f-a958-402e-9f8f-8996eac32897","block_type":"box","text":"proceeding in which he may be involved or with which he may be threatened by reason of his being or having been a","page_number":35,"box":{"x":70,"y":767,"width":824,"height":11}},{"id":"918a7159-bed6-41a6-9bf6-29e935b98422","block_type":"box","text":"Trustee, and that the Trust will indemnify officers, representatives and employees of the Trust to the same extent","page_number":35,"box":{"x":68,"y":782,"width":811,"height":11}},{"id":"2cf62a3c-958d-48ac-afce-a0f57065673e","block_type":"box","text":"that trustees are entitled to indemnification.","page_number":35,"box":{"x":68,"y":797,"width":315,"height":9}},{"id":"9d1132e3-421e-4fda-a38f-72af2a4c6344","block_type":"box","text":"I-26","page_number":35,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"f56c4843-e2c3-4e47-8277-9cce8205e389","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":35,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"22a3642a-4cc8-4455-a68c-4f79f0483a6c","block_type":"box","text":"Principal Shareholders","page_number":36,"box":{"x":69,"y":45,"width":162,"height":11}},{"id":"8e886e62-f0a6-4230-8c3f-d4ad179d4940","block_type":"box","text":"To the knowledge of the Trust, the following entities owned of record or beneficially 5% or more of a class of the","page_number":36,"box":{"x":101,"y":67,"width":797,"height":12}},{"id":"c12d79c6-8018-4077-a567-f8c26d07e351","block_type":"box","text":"Fund’s shares as of September 1, 2026:","page_number":36,"box":{"x":70,"y":82,"width":290,"height":11}},{"id":"83abb126-d49d-42c1-b1ce-1072ba284375","block_type":"box","text":"Name Address Percentage Class","page_number":36,"box":{"x":69,"y":111,"width":786,"height":9}},{"id":"2d2abce6-8841-44ac-96d4-05054b0d3948","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith","page_number":36,"box":{"x":70,"y":129,"width":262,"height":11}},{"id":"0d97ff27-1059-4f7d-9e72-7235b7cae8bd","block_type":"box","text":"Incorporated","page_number":36,"box":{"x":70,"y":144,"width":87,"height":10}},{"id":"5c1b5eef-3880-4d6f-bf66-094c3c784cae","block_type":"box","text":"4800 East Deer Lake Drive","page_number":36,"box":{"x":419,"y":129,"width":192,"height":8}},{"id":"d1c673b6-40a0-4308-be70-0943b295a5fd","block_type":"box","text":"3","page_number":36,"box":{"x":487,"y":144,"width":9,"height":9}},{"id":"1ecde23e-ecbd-4609-808c-6918b6bb32ab","block_type":"box","text":"rd","page_number":36,"box":{"x":497,"y":144,"width":6,"height":4}},{"id":"e0fd7fca-5c46-4dd2-9ff2-d028da51672c","block_type":"box","text":"Floor","page_number":36,"box":{"x":510,"y":144,"width":33,"height":9}},{"id":"e3fa7ac2-2b41-4bb9-a167-45d5b8ed58a3","block_type":"box","text":"Jacksonville, FL 32246-6484","page_number":36,"box":{"x":412,"y":159,"width":206,"height":10}},{"id":"d233f5e9-08e4-485e-80a6-ee54276b1dc8","block_type":"box","text":"15.39% Investor A Shares","page_number":36,"box":{"x":681,"y":129,"width":221,"height":8}},{"id":"fe8ab6a6-fe42-4a5f-9e07-1e9cc7a460be","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":181,"width":540,"height":12}},{"id":"df5588f2-9e42-44dd-a5a2-3746ecb4732c","block_type":"box","text":"5","page_number":36,"box":{"x":488,"y":197,"width":8,"height":8}},{"id":"5b4305a0-f0e9-4a25-bb27-ef1e2e72f5fb","block_type":"box","text":"th","page_number":36,"box":{"x":497,"y":197,"width":6,"height":4}},{"id":"892c3841-95f1-4b90-9d7a-50b8b6635ac9","block_type":"box","text":"Floor","page_number":36,"box":{"x":510,"y":197,"width":33,"height":8}},{"id":"4d5d4200-14c9-4adf-b8a1-c5be299cf4fd","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":36,"box":{"x":416,"y":212,"width":197,"height":11}},{"id":"2f859483-03ec-4626-a2c6-a7018e4f2c58","block_type":"box","text":"10.86% Investor A Shares","page_number":36,"box":{"x":681,"y":181,"width":221,"height":9}},{"id":"c0d474da-baea-4e3a-8cd2-f90b70295aed","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":234,"width":504,"height":12}},{"id":"d02c9a89-d1b2-4509-921c-c9c70d151633","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":416,"y":249,"width":197,"height":12}},{"id":"a481a358-e619-4338-8062-fb80449601ef","block_type":"box","text":"9.78% Investor A Shares","page_number":36,"box":{"x":685,"y":234,"width":217,"height":9}},{"id":"a0a395bc-1723-43f8-9cd1-13c06e1a47a3","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":36,"box":{"x":70,"y":272,"width":534,"height":9}},{"id":"b4e0ed34-e8cd-4fda-b6ec-186f1c434a7d","block_type":"box","text":"St. Louis, MO 63131-3710","page_number":36,"box":{"x":419,"y":287,"width":192,"height":11}},{"id":"44184156-94d1-46a4-a4c0-06059eafc57e","block_type":"box","text":"7.54% Investor A Shares","page_number":36,"box":{"x":685,"y":272,"width":217,"height":9}},{"id":"8b6b24d7-0fa5-4cf0-8ed4-2a4d197c0d90","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":36,"box":{"x":70,"y":310,"width":505,"height":11}},{"id":"93151672-331b-4a80-8d85-2a45954b8173","block_type":"box","text":"12","page_number":36,"box":{"x":483,"y":325,"width":18,"height":9}},{"id":"6cb54e1d-caa9-4ebb-9b13-70c89237c001","block_type":"box","text":"th","page_number":36,"box":{"x":502,"y":325,"width":6,"height":5}},{"id":"d3f215d7-4250-412a-9b64-37e64bb7b228","block_type":"box","text":"Floor","page_number":36,"box":{"x":515,"y":325,"width":33,"height":9}},{"id":"210fccd7-187b-44ac-a44d-dcf55d122b6f","block_type":"box","text":"New York, NY 10004-1901","page_number":36,"box":{"x":421,"y":340,"width":189,"height":11}},{"id":"66d5705c-f074-402a-9d62-0d4149d67638","block_type":"box","text":"7.16% Investor A Shares","page_number":36,"box":{"x":685,"y":310,"width":217,"height":9}},{"id":"9c8e9cda-47c4-41b4-8932-d27e991f786f","block_type":"box","text":"Charles Schwab & Co., Inc. 101 Montgomery Street","page_number":36,"box":{"x":69,"y":363,"width":532,"height":11}},{"id":"28ea17aa-efd8-47ac-a203-e5e46da69aea","block_type":"box","text":"San Francisco, CA 94104-4122","page_number":36,"box":{"x":403,"y":378,"width":224,"height":10}},{"id":"3882aa28-7dcb-476f-95b7-0009c28c01de","block_type":"box","text":"6.86% Investor A Shares","page_number":36,"box":{"x":685,"y":363,"width":217,"height":9}},{"id":"e6fe499f-752f-4299-bfee-f9abfbdf062d","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":36,"box":{"x":70,"y":401,"width":520,"height":9}},{"id":"b45b1aa0-0f82-4ece-909e-96deefee0fba","block_type":"box","text":"San Diego, CA 92121-3091","page_number":36,"box":{"x":416,"y":416,"width":198,"height":11}},{"id":"8d586dcd-36d4-4b79-929b-395ef1fb0f6a","block_type":"box","text":"6.77% Investor A Shares","page_number":36,"box":{"x":685,"y":401,"width":217,"height":9}},{"id":"05dc5a68-5340-43a8-8892-25a04917251f","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":438,"width":504,"height":12}},{"id":"77479167-c076-4e17-be89-c648496331a6","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":416,"y":454,"width":197,"height":11}},{"id":"2df514c6-ae3a-444c-9cb3-c6e7e7a9d277","block_type":"box","text":"16.06% Investor C Shares","page_number":36,"box":{"x":681,"y":438,"width":222,"height":9}},{"id":"336e2b50-84d8-4501-b54b-7694f00b7c60","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":36,"box":{"x":70,"y":476,"width":520,"height":9}},{"id":"a3ac2174-88c3-4132-b633-61857a13234a","block_type":"box","text":"San Diego, CA 92121-3091","page_number":36,"box":{"x":416,"y":491,"width":198,"height":12}},{"id":"03c80e05-c794-4d20-9fd9-82f3bdc01819","block_type":"box","text":"13.16% Investor C Shares","page_number":36,"box":{"x":681,"y":476,"width":222,"height":9}},{"id":"d648a6f0-feb1-47a6-92fe-a68768322682","block_type":"box","text":"Wells Fargo Clearing Services, LLC 2801 Market Street","page_number":36,"box":{"x":68,"y":514,"width":518,"height":11}},{"id":"0959d424-0d92-47e2-916f-86b2165d1007","block_type":"box","text":"St. Louis, MO 63103","page_number":36,"box":{"x":440,"y":529,"width":150,"height":11}},{"id":"82f426f9-22be-41ec-a9ce-eb32ebb44d8c","block_type":"box","text":"12.43% Investor C Shares","page_number":36,"box":{"x":681,"y":514,"width":222,"height":9}},{"id":"7418c87e-bf5c-48d7-8558-388e645deffe","block_type":"box","text":"Raymond James 880 Carillon Parkway","page_number":36,"box":{"x":70,"y":552,"width":520,"height":11}},{"id":"26294cb3-f4b5-40fe-b99c-720661476e6a","block_type":"box","text":"St. Petersburg, FL 33716","page_number":36,"box":{"x":425,"y":567,"width":180,"height":11}},{"id":"5b43ec91-45ae-4c0a-903a-7e0a01e41581","block_type":"box","text":"9.42% Investor C Shares","page_number":36,"box":{"x":685,"y":552,"width":218,"height":9}},{"id":"db0562a4-fe30-4664-8d14-ab02b1e40f13","block_type":"box","text":"American Enterprise Investment","page_number":36,"box":{"x":68,"y":590,"width":227,"height":10}},{"id":"bdd0fa87-8879-4bb3-843f-319369c326ec","block_type":"box","text":"Services","page_number":36,"box":{"x":69,"y":605,"width":60,"height":9}},{"id":"989b4880-1d60-40b0-8839-61a3262db5ea","block_type":"box","text":"707 2nd Avenue South","page_number":36,"box":{"x":434,"y":590,"width":162,"height":9}},{"id":"d8b194cf-07df-452f-a7dc-4a290ac4d6eb","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":36,"box":{"x":408,"y":605,"width":215,"height":11}},{"id":"05b51738-1772-42bd-8f60-d8f986f2d0a8","block_type":"box","text":"7.74% Investor C Shares","page_number":36,"box":{"x":685,"y":590,"width":218,"height":9}},{"id":"18d7623b-d6f7-44cd-b240-7dcad7fac0c1","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":36,"box":{"x":70,"y":627,"width":505,"height":12}},{"id":"654b7f89-f2a6-467e-850c-c5c3b747aea4","block_type":"box","text":"12","page_number":36,"box":{"x":483,"y":643,"width":18,"height":8}},{"id":"a875e59b-ebd2-4a9c-8440-ec9075652d14","block_type":"box","text":"th","page_number":36,"box":{"x":502,"y":643,"width":6,"height":4}},{"id":"b319745c-0707-4eaf-9a5a-053da9324b72","block_type":"box","text":"Floor","page_number":36,"box":{"x":515,"y":643,"width":33,"height":8}},{"id":"070660ff-278b-473c-a7fd-3a500c6c5cf4","block_type":"box","text":"New York, NY 10004-1901","page_number":36,"box":{"x":421,"y":658,"width":189,"height":10}},{"id":"7f38d5a3-00fa-4c5c-a237-8f4788335e2b","block_type":"box","text":"6.30% Investor C Shares","page_number":36,"box":{"x":685,"y":627,"width":218,"height":9}},{"id":"b5ad3dce-cc06-4181-a4ad-0fce029751af","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":680,"width":540,"height":12}},{"id":"fb7a4ac2-244f-4721-9d56-36ef96317b95","block_type":"box","text":"5","page_number":36,"box":{"x":488,"y":696,"width":8,"height":8}},{"id":"8e4e1c4d-8e7f-4896-9a77-371d5eca4861","block_type":"box","text":"th","page_number":36,"box":{"x":497,"y":696,"width":6,"height":4}},{"id":"f43b13d1-f866-4a7d-b2a6-48b3ab503eb5","block_type":"box","text":"Floor","page_number":36,"box":{"x":510,"y":696,"width":33,"height":8}},{"id":"32ee740b-b29a-45b2-ac7b-1b29d7f49303","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":36,"box":{"x":416,"y":711,"width":197,"height":11}},{"id":"34c3ebb0-773e-496d-abce-0e4e9c066978","block_type":"box","text":"6.27% Investor C Shares","page_number":36,"box":{"x":685,"y":680,"width":218,"height":9}},{"id":"453527d7-7338-426f-935e-5a32f0037ec8","block_type":"box","text":"Charles Schwab & Co., Inc. 211 Main Street","page_number":36,"box":{"x":69,"y":733,"width":505,"height":11}},{"id":"c6329e19-4258-4454-b427-99e2763dd683","block_type":"box","text":"San Francisco, CA 94105","page_number":36,"box":{"x":424,"y":748,"width":182,"height":11}},{"id":"49296cad-142c-4a2b-80a1-4b22332bc6a9","block_type":"box","text":"6.16% Investor C Shares","page_number":36,"box":{"x":685,"y":733,"width":218,"height":9}},{"id":"d2246ce6-0eab-4f7e-8d93-b291f4e99f0a","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith","page_number":36,"box":{"x":70,"y":771,"width":262,"height":11}},{"id":"7960036e-4c52-4e7d-bb29-90e3f9b23e45","block_type":"box","text":"Incorporated","page_number":36,"box":{"x":70,"y":786,"width":87,"height":11}},{"id":"8b643d57-f21a-4d88-9ecd-1969ed4ed7d1","block_type":"box","text":"4800 East Deer Lake Drive","page_number":36,"box":{"x":419,"y":771,"width":192,"height":9}},{"id":"e8e739b3-e1d2-45eb-8fac-26d212fcc32d","block_type":"box","text":"3","page_number":36,"box":{"x":487,"y":786,"width":9,"height":9}},{"id":"c037012b-02e3-4358-83bd-fbbb2b51d08f","block_type":"box","text":"rd","page_number":36,"box":{"x":497,"y":787,"width":6,"height":4}},{"id":"53f38307-1b97-40f1-b7ec-9e6af63bf3d3","block_type":"box","text":"Floor","page_number":36,"box":{"x":510,"y":786,"width":33,"height":9}},{"id":"2d8fe752-6584-4983-8e82-a1a31265950b","block_type":"box","text":"Jacksonville, FL 32246-6484","page_number":36,"box":{"x":412,"y":801,"width":206,"height":11}},{"id":"6a0fc4a7-45be-490e-9374-40d2294d3c70","block_type":"box","text":"16.87% Institutional Shares","page_number":36,"box":{"x":681,"y":771,"width":228,"height":9}},{"id":"011e6365-e986-4ca1-a11f-af9af05e9927","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":824,"width":540,"height":11}},{"id":"62a34b09-4601-455e-90f3-796b492130b0","block_type":"box","text":"Jersey City, NJ 07310","page_number":36,"box":{"x":438,"y":839,"width":154,"height":11}},{"id":"295f3c2b-62e1-46d0-8def-39a2d9cd11d0","block_type":"box","text":"13.32% Institutional Shares","page_number":36,"box":{"x":681,"y":824,"width":228,"height":9}},{"id":"49b7d188-6065-4e6c-926c-b989650c1ce9","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":36,"box":{"x":70,"y":862,"width":505,"height":11}},{"id":"17233fd3-d95a-45fa-befb-ee0960beb7d5","block_type":"box","text":"12","page_number":36,"box":{"x":483,"y":877,"width":18,"height":9}},{"id":"d632428b-c78c-4db7-b96a-afcfa3f1c603","block_type":"box","text":"th","page_number":36,"box":{"x":502,"y":877,"width":6,"height":5}},{"id":"00750323-3e70-4acc-82cb-079a2dcbf04a","block_type":"box","text":"Floor","page_number":36,"box":{"x":515,"y":877,"width":33,"height":9}},{"id":"ce524bf4-2e30-4faf-9494-dfb9b7631ab2","block_type":"box","text":"New York, NY 10004-1901","page_number":36,"box":{"x":421,"y":892,"width":189,"height":10}},{"id":"fb76e089-aa9c-4d3f-9383-54a0b71b2833","block_type":"box","text":"10.45% Institutional Shares","page_number":36,"box":{"x":681,"y":862,"width":228,"height":9}},{"id":"fdbd725b-c0a0-449f-84f6-4391fb010def","block_type":"box","text":"I-27","page_number":36,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"c3b33c2d-128f-4a92-aa76-2a3e4a322b00","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":36,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"63572604-b95b-4c08-aa4c-d8fcab00c11c","block_type":"box","text":"Name Address Percentage Class","page_number":37,"box":{"x":69,"y":49,"width":786,"height":9}},{"id":"ee3650a0-4e6f-4ec7-92c2-375de5d4d5fe","block_type":"box","text":"Charles Schwab & Co., Inc. 101 Montgomery Street","page_number":37,"box":{"x":69,"y":67,"width":532,"height":11}},{"id":"081b2aca-bc60-415b-bcbb-025f4a507638","block_type":"box","text":"San Francisco, CA 94104-4122","page_number":37,"box":{"x":403,"y":82,"width":224,"height":10}},{"id":"a828b3f7-a443-4bb7-8a4b-5add76825b3b","block_type":"box","text":"8.33% Institutional Shares","page_number":37,"box":{"x":685,"y":67,"width":224,"height":9}},{"id":"546609a2-9626-43e2-b43e-ce5106d58702","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":37,"box":{"x":70,"y":127,"width":520,"height":9}},{"id":"59475a38-77be-46e1-8605-968687b813f6","block_type":"box","text":"San Diego, CA 92121-3091","page_number":37,"box":{"x":416,"y":142,"width":198,"height":12}},{"id":"2f91823c-a8af-482f-a607-0677d6051811","block_type":"box","text":"7.18% Institutional Shares","page_number":37,"box":{"x":685,"y":127,"width":224,"height":9}},{"id":"709ae449-5af1-4d02-b676-0295fb0fd371","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":37,"box":{"x":69,"y":165,"width":504,"height":11}},{"id":"7c4a9dd8-3475-403c-ae06-00d69183cfcf","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":37,"box":{"x":416,"y":180,"width":197,"height":11}},{"id":"ed1673b4-da37-4ed1-a0f8-bf6a6d681f66","block_type":"box","text":"6.89% Institutional Shares","page_number":37,"box":{"x":685,"y":165,"width":224,"height":9}},{"id":"dbef2d85-f617-4508-b88c-9aeda5edc22a","block_type":"box","text":"Wells Fargo Clearing Services, LLC 2801 Market Street","page_number":37,"box":{"x":68,"y":203,"width":518,"height":11}},{"id":"9ffc6735-1e65-4e28-a839-db85ae53c887","block_type":"box","text":"St. Louis, MO 63103","page_number":37,"box":{"x":440,"y":218,"width":150,"height":10}},{"id":"e7ce6b52-acf8-4dab-9333-f516b75949cd","block_type":"box","text":"6.77% Institutional Shares","page_number":37,"box":{"x":685,"y":203,"width":224,"height":9}},{"id":"9e824db0-8dcc-4b78-a1a1-7ed20c42a627","block_type":"box","text":"American Enterprise Investment","page_number":37,"box":{"x":68,"y":241,"width":227,"height":11}},{"id":"d9a9beed-0f6f-4abf-8cca-1fde09264851","block_type":"box","text":"Services","page_number":37,"box":{"x":69,"y":256,"width":60,"height":9}},{"id":"deb8e670-2968-443f-adcc-3ca7497d0a28","block_type":"box","text":"707 2nd Avenue South","page_number":37,"box":{"x":434,"y":241,"width":162,"height":9}},{"id":"ede427fe-1012-4e84-a766-9cc20c7b7a74","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":37,"box":{"x":408,"y":256,"width":215,"height":11}},{"id":"ca194327-4438-42fb-9d95-7683c7347e9e","block_type":"box","text":"6.47% Institutional Shares","page_number":37,"box":{"x":685,"y":241,"width":224,"height":9}},{"id":"a93b0bd3-b582-402f-9bdc-e0ad2a4ce5c9","block_type":"box","text":"Voya Institutional Trust Company 1 Orange Way","page_number":37,"box":{"x":68,"y":278,"width":496,"height":12}},{"id":"b6b36159-230c-402f-9b4b-fd8cfbbb0901","block_type":"box","text":"Windsor, CT 06095-4774","page_number":37,"box":{"x":425,"y":294,"width":180,"height":10}},{"id":"963cb0c9-828f-40fb-849b-6e89f81b9264","block_type":"box","text":"79.39% Class R Shares","page_number":37,"box":{"x":681,"y":278,"width":213,"height":9}},{"id":"896e5492-22de-4707-8d01-8684ea53fb48","block_type":"box","text":"Empower Trust Company LLC 8515 East Orchard Road","page_number":37,"box":{"x":70,"y":316,"width":533,"height":11}},{"id":"bfdebc30-2025-47e9-bfea-8eaabcd1e021","block_type":"box","text":"2T2","page_number":37,"box":{"x":502,"y":331,"width":26,"height":9}},{"id":"df94897c-7bb7-49c6-997a-1efb6a9641ae","block_type":"box","text":"Greenwood Village, CO 80111-5002","page_number":37,"box":{"x":387,"y":346,"width":256,"height":12}},{"id":"1385e6b8-f620-4d99-a2fe-0abde4b5ef9d","block_type":"box","text":"5.92% Class R Shares","page_number":37,"box":{"x":685,"y":316,"width":209,"height":9}},{"id":"64e59750-064e-4229-a091-3b029fbf3de6","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":37,"box":{"x":70,"y":369,"width":540,"height":11}},{"id":"b6c7d15a-8449-49fa-9dc4-d91b85556c48","block_type":"box","text":"5","page_number":37,"box":{"x":488,"y":384,"width":8,"height":9}},{"id":"524ff93d-105a-41ed-860a-a505bb8c91f2","block_type":"box","text":"th","page_number":37,"box":{"x":497,"y":385,"width":6,"height":4}},{"id":"8782518d-e8be-43dd-844a-b04184aa44fc","block_type":"box","text":"Floor","page_number":37,"box":{"x":510,"y":384,"width":33,"height":9}},{"id":"459ca3ee-2307-4501-9bfe-7fdacd3fbcb8","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":37,"box":{"x":416,"y":399,"width":197,"height":11}},{"id":"ac5c4c92-3b66-4f57-a84f-6f1a1caebd38","block_type":"box","text":"24.23% Service Shares","page_number":37,"box":{"x":680,"y":369,"width":213,"height":9}},{"id":"fe282b8e-938e-4a17-b896-fd60165a30d4","block_type":"box","text":"J.P. Morgan Securities LLC 4 Chase Metrotech Center","page_number":37,"box":{"x":69,"y":422,"width":540,"height":11}},{"id":"65b909a9-9ad5-4bd5-adf6-60858dc40c3e","block_type":"box","text":"Brooklyn, NY 11245","page_number":37,"box":{"x":444,"y":437,"width":142,"height":11}},{"id":"e41226ff-a497-4380-bf5d-0f957dece840","block_type":"box","text":"20.62% Service Shares","page_number":37,"box":{"x":680,"y":422,"width":213,"height":9}},{"id":"cc180615-d516-4d71-b0ce-b6322d5e30f9","block_type":"box","text":"Charles Schwab & Co., Inc. 101 Montgomery Street","page_number":37,"box":{"x":69,"y":460,"width":532,"height":11}},{"id":"2c8b58d3-9dc7-4802-b76e-bd97aacf36dd","block_type":"box","text":"San Francisco, CA 94104-4122","page_number":37,"box":{"x":403,"y":475,"width":224,"height":10}},{"id":"8901d038-7081-47d9-a071-3247b98e3533","block_type":"box","text":"9.28% Service Shares","page_number":37,"box":{"x":685,"y":460,"width":208,"height":9}},{"id":"a14c47f6-9826-4696-abf9-51d95e9518c4","block_type":"box","text":"Mid Atlantic Trust Company 1251 Water front Place,","page_number":37,"box":{"x":70,"y":498,"width":527,"height":11}},{"id":"88691521-6f3b-4d4d-8a43-a73b53f4d4fc","block_type":"box","text":"Suite 525","page_number":37,"box":{"x":480,"y":513,"width":70,"height":9}},{"id":"4c67fbc8-299e-402c-9e81-8e39e02a7c98","block_type":"box","text":"Pittsburgh, PA 15222","page_number":37,"box":{"x":440,"y":528,"width":151,"height":11}},{"id":"851906c3-2aca-4bfe-b024-ccd056d4833f","block_type":"box","text":"6.51% Service Shares","page_number":37,"box":{"x":685,"y":498,"width":208,"height":9}},{"id":"2fe895fc-2e8d-4791-b132-e7607a5cd76f","block_type":"box","text":"State Street Bank and Trust 1 Lincoln Street-2901","page_number":37,"box":{"x":69,"y":551,"width":523,"height":8}},{"id":"f2a30eaf-f15d-44bb-a0a4-aa502db254d2","block_type":"box","text":"Boston, MA 02111","page_number":37,"box":{"x":448,"y":566,"width":134,"height":10}},{"id":"79529758-d741-4e1b-b65f-14bf0b9eff5f","block_type":"box","text":"5.11% Service Shares","page_number":37,"box":{"x":685,"y":551,"width":208,"height":8}},{"id":"bcb914a2-73b1-40ca-8219-9ada7f77b745","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":37,"box":{"x":70,"y":588,"width":540,"height":12}},{"id":"c525c5a7-6f25-4579-858e-aa5215848b26","block_type":"box","text":"Jersey City, NJ 07310","page_number":37,"box":{"x":438,"y":603,"width":154,"height":12}},{"id":"990c985f-5211-4f49-a1d1-acd5d5e6ef16","block_type":"box","text":"21.01% Class K Shares","page_number":37,"box":{"x":680,"y":588,"width":214,"height":9}},{"id":"0c9e8398-4513-4e2d-a23d-9f28642337c9","block_type":"box","text":"Empower Trust 8515 East Orchard Road","page_number":37,"box":{"x":70,"y":626,"width":533,"height":11}},{"id":"39a6bf9e-6c4e-4931-90b3-99bcb1aadb06","block_type":"box","text":"2T2","page_number":37,"box":{"x":502,"y":641,"width":26,"height":9}},{"id":"f132f9ca-0643-40e8-bd53-add221cf7f9b","block_type":"box","text":"Greenwood Village, CO 80111","page_number":37,"box":{"x":408,"y":656,"width":214,"height":12}},{"id":"a39fe91c-db67-4fa6-ba31-8378e767518e","block_type":"box","text":"10.95% Class K Shares","page_number":37,"box":{"x":681,"y":626,"width":213,"height":9}},{"id":"1e9ae4f7-6954-4a11-8a18-0d1be5869d7a","block_type":"box","text":"Nationwide Trust Company P.O. Box 182029","page_number":37,"box":{"x":70,"y":679,"width":506,"height":11}},{"id":"310a691f-d789-4df8-992a-39e281e9a7e3","block_type":"box","text":"Columbus, OH 43218-2029","page_number":37,"box":{"x":416,"y":694,"width":198,"height":11}},{"id":"5a42b0fe-78c9-4776-ab17-8c5802e1f41e","block_type":"box","text":"7.24% Class K Shares","page_number":37,"box":{"x":685,"y":679,"width":209,"height":9}},{"id":"69ffdd91-0fad-4325-9be8-4daad21ed8b9","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":37,"box":{"x":70,"y":717,"width":534,"height":9}},{"id":"f165911c-d860-4fdf-9289-d588d37151d7","block_type":"box","text":"St. Louis, MO 63131-3710","page_number":37,"box":{"x":419,"y":732,"width":192,"height":10}},{"id":"d22bf238-ffd1-4adc-99a8-2c95620438bc","block_type":"box","text":"5.35% Class K Shares","page_number":37,"box":{"x":685,"y":717,"width":209,"height":9}},{"id":"bad72174-6b21-42e2-b30d-1e0c6ffa6af3","block_type":"box","text":"IX. Financial Statements","page_number":37,"box":{"x":69,"y":763,"width":179,"height":9}},{"id":"12381bb1-3090-4a1c-a454-21b43601d936","block_type":"box","text":"The audited financial statements, financial highlights and notes thereto in the Fund’s Annual Financial","page_number":37,"box":{"x":101,"y":786,"width":726,"height":11}},{"id":"5d4eb509-0055-45ed-8d10-c9e33a43e056","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":37,"box":{"x":69,"y":801,"width":829,"height":11}},{"id":"1e9453b2-dd01-444b-924f-85c49c94ceaf","block_type":"box","text":"(the “2026 Annual Financial Statements”), are incorporated in this SAI by reference. No other par ts of the 2026","page_number":37,"box":{"x":69,"y":816,"width":800,"height":11}},{"id":"1d603cf1-d5b2-4e30-b51d-9dcb2ddcc463","block_type":"box","text":"Annual Financial Statements are incorporated by reference herein. The 2026 Annual Financial Statements have been","page_number":37,"box":{"x":68,"y":831,"width":833,"height":12}},{"id":"b60e33f2-e7f7-4bc9-b36c-ddfc1dc4de69","block_type":"box","text":"audited by Deloitte & Touche LLP. The repor t of Deloitte & Touche LLP is incorporated herein by reference. Such 2026","page_number":37,"box":{"x":69,"y":846,"width":839,"height":12}},{"id":"07a64f03-765c-446d-82de-8b32c7fb2505","block_type":"box","text":"Annual Financial Statements have been incorporated herein in reliance upon the repor t of such firm given their","page_number":37,"box":{"x":68,"y":862,"width":790,"height":11}},{"id":"6061ae34-4922-4407-a486-2bfd07d13c90","block_type":"box","text":"authority as exper ts in accounting and auditing. Additional copies of the Fund’s annual and semi-annual repor ts to","page_number":37,"box":{"x":69,"y":877,"width":815,"height":11}},{"id":"ac5f416e-abf1-4314-9af8-aa64c51cf39d","block_type":"box","text":"shareholders and the Fund’s Annual and Semi-Annual Financial Statements and Additional Information may be","page_number":37,"box":{"x":69,"y":892,"width":785,"height":11}},{"id":"cfcbc7d3-8930-46de-b909-528e6c5a2d1f","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":37,"box":{"x":69,"y":907,"width":836,"height":11}},{"id":"3a82990e-9a36-4427-8a52-658a258f228c","block_type":"box","text":"I-28","page_number":37,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"f028ee93-8066-4952-8777-a881c4af91d4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":37,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1851d335-a6e8-4409-b480-0a9961b270a0","block_type":"box","text":"PART II","page_number":38,"box":{"x":463,"y":45,"width":52,"height":9}},{"id":"c0379ab8-83d3-4e4f-97b4-b8debd92c769","block_type":"box","text":"Throughout this Statement of Additional Information (“SAI”), each BlackRock-advised fund may be referred to as","page_number":38,"box":{"x":101,"y":67,"width":799,"height":12}},{"id":"68ce7b3d-0870-40af-a9ec-c5f4c15c537d","block_type":"box","text":"a “Fund” or collectively with others as the “Funds.” Cer tain Funds may also be referred to as “Municipal Funds” if","page_number":38,"box":{"x":69,"y":82,"width":813,"height":12}},{"id":"d2c04198-02f6-46d8-a400-de2ee18cfe25","block_type":"box","text":"they invest cer tain of their assets in municipal investments described below.","page_number":38,"box":{"x":68,"y":98,"width":546,"height":11}},{"id":"8ee48412-0a2f-424d-a54c-c349a6de80b5","block_type":"box","text":"Each Fund is organized either as a Maryland corporation, a Massachusetts business trust or a Delaware","page_number":38,"box":{"x":102,"y":120,"width":745,"height":12}},{"id":"0e55eaa0-223c-4f6e-9044-35664d6712de","block_type":"box","text":"statutory trust. In each jurisdiction, nomenclature varies. For ease and clarity of presentation, shares of common","page_number":38,"box":{"x":69,"y":135,"width":805,"height":11}},{"id":"a57ee587-12a7-4cc7-95d0-363a177e169c","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":38,"box":{"x":69,"y":150,"width":824,"height":11}},{"id":"60da6b44-779e-4f14-8c1d-86cc03b132fc","block_type":"box","text":"Common Stock are referred to as “shareholders,” the trustees or directors of each Fund are referred to as","page_number":38,"box":{"x":69,"y":166,"width":761,"height":10}},{"id":"3c530694-71eb-45f1-ae49-a0200e6bf962","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":38,"box":{"x":70,"y":181,"width":835,"height":11}},{"id":"a6480ca8-038d-4928-9600-ca28cd9f5a4c","block_type":"box","text":"BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates is the investment adviser or manager","page_number":38,"box":{"x":70,"y":196,"width":832,"height":11}},{"id":"a3f32806-fa58-4bc2-bae7-42bb68650ac6","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":38,"box":{"x":69,"y":211,"width":826,"height":11}},{"id":"dc85eb22-4041-4744-a1ff-0fb8b0234293","block_type":"box","text":"management agreement applicable to each Fund is referred to as the “Management Agreement.” Each Fund’s","page_number":38,"box":{"x":69,"y":226,"width":786,"height":11}},{"id":"1b8c03a8-8f2c-4952-aadd-760c0e6b240f","block_type":"box","text":"Ar ticles of Incorporation or Declaration of Trust, together with all amendments thereto, is referred to as its “char ter.”","page_number":38,"box":{"x":68,"y":241,"width":834,"height":11}},{"id":"f49505d1-89a6-4b45-bf29-28dda711b8ea","block_type":"box","text":"The Investment Company Act of 1940, as amended, is referred to herein as the “Investment Company Act.” The","page_number":38,"box":{"x":68,"y":256,"width":801,"height":11}},{"id":"1fd7c430-d00a-4f28-8715-11fd8ea805c5","block_type":"box","text":"Securities Act of 1933, as amended, is referred to herein as the “Securities Act.” The Securities and Exchange","page_number":38,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"1f67599f-e354-4cc8-aca0-2c66d541c259","block_type":"box","text":"Commission is referred to herein as the “Commission” or the “SEC.”","page_number":38,"box":{"x":69,"y":286,"width":492,"height":10}},{"id":"77478a16-87c7-42c1-82a4-5d4fa12fc514","block_type":"box","text":"Cer tain Funds are “feeder” funds (each, a “Feeder Fund”) that invest all or a por tion of their assets in a","page_number":38,"box":{"x":102,"y":309,"width":741,"height":11}},{"id":"7afe01bc-c085-46e2-8f23-dadbe2585a32","block_type":"box","text":"corresponding “master” por tfolio (each, a “Master Por tfolio”) of a master limited liability company (each, a “Master","page_number":38,"box":{"x":69,"y":324,"width":824,"height":12}},{"id":"5ecb6eee-3839-472b-b81c-5c3dad81e6b7","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":38,"box":{"x":70,"y":339,"width":814,"height":12}},{"id":"fb58c32b-021a-4e63-a056-1b7b32b05070","block_type":"box","text":"made at the level of the Master Por tfolio. This structure is sometimes called a “master/feeder” structure. A Feeder","page_number":38,"box":{"x":69,"y":355,"width":825,"height":11}},{"id":"1c9a5df7-166f-441c-b83c-f65ddeaf6070","block_type":"box","text":"Fund’s investment results will correspond directly to the investment results of the underlying Master Por tfolio in","page_number":38,"box":{"x":70,"y":370,"width":795,"height":11}},{"id":"b0499a4a-f5d8-484a-8b8a-b9cc07fea1a8","block_type":"box","text":"which it invests. For simplicity, this SAI uses the term “Fund” to include both a Feeder Fund and its Master Por tfolio.","page_number":38,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"7ac6d0bb-ae66-4c3c-9e3c-ed00804d1805","block_type":"box","text":"In addition to containing information about the Funds, Par t II of this SAI contains general information about all","page_number":38,"box":{"x":102,"y":407,"width":783,"height":12}},{"id":"df341e31-9228-4d26-b6b2-b8d6cbcfb0b8","block_type":"box","text":"funds in the BlackRock-advised fund complex. Cer tain information contained herein may not be relevant to a","page_number":38,"box":{"x":68,"y":423,"width":772,"height":11}},{"id":"b5e8c164-67cd-4c00-b79f-83bea1f4350d","block_type":"box","text":"par ticular Fund.","page_number":38,"box":{"x":70,"y":438,"width":109,"height":11}},{"id":"1ca7209a-5530-404b-a8f0-97ad2e234a17","block_type":"box","text":"INVESTMENT RISKS AND CONSIDERATIONS","page_number":38,"box":{"x":314,"y":467,"width":351,"height":10}},{"id":"a0ebc672-d72d-4cff-a5fa-39f2240ec90d","block_type":"box","text":"Set for th below are descriptions of some of the types of investments and investment strategies that one or more","page_number":38,"box":{"x":102,"y":490,"width":805,"height":11}},{"id":"78214e43-96fa-4164-b6cd-bf9da44c4d34","block_type":"box","text":"of the Funds may use, and the risks and considerations associated with those investments and investment","page_number":38,"box":{"x":69,"y":505,"width":765,"height":11}},{"id":"42fa9e35-9a59-4557-b5dc-25418c596df4","block_type":"box","text":"strategies. Please see each Fund’s prospectuses (the “Prospectus”) and the “Investment Objective and Policies,”","page_number":38,"box":{"x":69,"y":520,"width":811,"height":12}},{"id":"1b4da51d-1fe0-4b42-8132-ae0563c7688c","block_type":"box","text":"“Investment Objectives and Policies” or “Investment Strategies and Risks of the Fund” section, as applicable, of Par t","page_number":38,"box":{"x":70,"y":535,"width":837,"height":12}},{"id":"0aad5185-c04f-4ca5-823b-5a1c212f971c","block_type":"box","text":"I of this SAI for fur ther information on each Fund’s investment policies and risks. Information contained in this","page_number":38,"box":{"x":70,"y":550,"width":785,"height":11}},{"id":"75685e16-b4ce-4a93-9827-1a906d7f5a3d","block_type":"box","text":"section about the risks and considerations associated with a Fund’s investments and/or investment strategies","page_number":38,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"8cd6ad2f-fda3-48e2-bd9b-bee6938a5380","block_type":"box","text":"applies only to those Funds specifically identified in Par t I of this SAI as making each type of investment or using","page_number":38,"box":{"x":69,"y":581,"width":805,"height":11}},{"id":"48693a37-f719-4c72-ad69-45c42e1cd658","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":38,"box":{"x":69,"y":596,"width":835,"height":11}},{"id":"8a3f474d-2815-49c8-bbc5-6971db6106ba","block_type":"box","text":"a par t of that Covered Fund’s SAI and should not be relied on by investors in that Covered Fund. Only information that","page_number":38,"box":{"x":69,"y":611,"width":840,"height":11}},{"id":"a04acf05-9bf6-4315-aa1b-92622239e75b","block_type":"box","text":"is clearly identified as applicable to a Covered Fund is considered to form a par t of that Covered Fund’s SAI.","page_number":38,"box":{"x":70,"y":626,"width":770,"height":11}},{"id":"62fd9d41-8ab7-465c-94b9-8cd52c0bf598","block_type":"box","text":"Asset-Backed Securities.","page_number":38,"box":{"x":101,"y":649,"width":183,"height":9}},{"id":"b27959eb-db0b-412f-aa67-ac68ff5d00dc","block_type":"box","text":"Asset-backed securities are securities backed by home equity loans, installment sale","page_number":38,"box":{"x":290,"y":649,"width":607,"height":11}},{"id":"4aab3f7e-4682-453d-90b3-bbc2ed85c471","block_type":"box","text":"contracts, credit card receivables or other assets. Asset-backed securities are “pass-through” securities, meaning","page_number":38,"box":{"x":69,"y":664,"width":814,"height":11}},{"id":"0fb58cee-7be2-44d8-9e4b-24312f35e1f9","block_type":"box","text":"that principal and interest payments — net of expenses — made by the borrower on the underlying assets (such as","page_number":38,"box":{"x":68,"y":679,"width":825,"height":11}},{"id":"d38d7ad9-54d3-4dec-bc56-4c2189145929","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":38,"box":{"x":69,"y":694,"width":813,"height":11}},{"id":"cda15454-107e-4e99-907c-790c395138d7","block_type":"box","text":"fixed-income securities, typically increases when interest rates fall and decreases when interest rates rise. However,","page_number":38,"box":{"x":68,"y":709,"width":830,"height":11}},{"id":"7c840c9c-8bdb-42f0-b9ee-b3f910917e41","block_type":"box","text":"asset-backed securities differ from traditional fixed-income securities because of their potential for prepayment. The","page_number":38,"box":{"x":69,"y":724,"width":827,"height":11}},{"id":"9f20286d-9734-451b-8ffd-8649aaa52912","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":38,"box":{"x":70,"y":739,"width":813,"height":12}},{"id":"c533d9a1-c3b3-4b68-ad1b-6f5d195cafce","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":38,"box":{"x":68,"y":755,"width":818,"height":11}},{"id":"4931ba4b-a158-426a-b4be-61f342b0b62f","block_type":"box","text":"the underlying assets. In a period of declining interest rates, borrowers may prepay the underlying assets more","page_number":38,"box":{"x":68,"y":770,"width":792,"height":11}},{"id":"713259aa-cb1e-43ef-8550-c5108d603619","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the asset-backed securities.","page_number":38,"box":{"x":69,"y":785,"width":811,"height":11}},{"id":"24d3f9c8-9789-45a2-8af0-d42ba541592a","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":38,"box":{"x":70,"y":800,"width":832,"height":11}},{"id":"617a7b67-1248-4ee9-975f-4fa855ae7894","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":38,"box":{"x":70,"y":815,"width":792,"height":11}},{"id":"9a5a8cf9-adc2-442d-821e-e381c6078057","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":38,"box":{"x":69,"y":830,"width":825,"height":11}},{"id":"a90b1c73-9891-42e4-946a-ad2c22082074","block_type":"box","text":"such securities at a discount, both scheduled payments and unscheduled prepayments will increase current and total","page_number":38,"box":{"x":69,"y":846,"width":838,"height":10}},{"id":"ae280a51-c0c1-4901-8696-5929192a377f","block_type":"box","text":"returns and unscheduled prepayments will also accelerate the recognition of income which, when distributed to","page_number":38,"box":{"x":69,"y":860,"width":793,"height":12}},{"id":"04968fbf-e80f-43c5-a5e6-18d174a3cbfa","block_type":"box","text":"shareholders, will be taxable as ordinary income. In a period of rising interest rates, prepayments of the underlying","page_number":38,"box":{"x":69,"y":875,"width":819,"height":12}},{"id":"1efc3362-a7f1-4517-9ea3-4cfaccb752dc","block_type":"box","text":"assets may occur at a slower than expected rate, creating maturity extension risk. This par ticular risk may effectively","page_number":38,"box":{"x":69,"y":891,"width":834,"height":11}},{"id":"220c379a-175b-4af3-a264-182225f7a4e4","block_type":"box","text":"change a security that was considered shor t- or intermediate-term at the time of purchase into a longer term security.","page_number":38,"box":{"x":69,"y":906,"width":837,"height":11}},{"id":"e4f9e7b2-d6df-4b24-a838-5c3b1d9b63a8","block_type":"box","text":"II-1","page_number":38,"box":{"x":478,"y":943,"width":23,"height":9}},{"id":"c2195097-a0b3-4929-9985-57652b681f57","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":38,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fa48395e-843d-4136-bce0-26da43c0260c","block_type":"box","text":"Since the value of longer-term securities generally fluctuates more widely in response to changes in interest rates","page_number":39,"box":{"x":69,"y":45,"width":810,"height":11}},{"id":"e5f7a006-a85d-412e-b439-6176a4fe3fec","block_type":"box","text":"than does the value of shor ter-term securities, maturity extension risk could increase the volatility of the Fund. When","page_number":39,"box":{"x":68,"y":60,"width":833,"height":11}},{"id":"2f0c4b44-6071-45ae-98cf-f0a0b475543a","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":39,"box":{"x":70,"y":75,"width":827,"height":11}},{"id":"6662977d-2994-4de0-ae4c-6c0d4f6f8a7d","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":39,"box":{"x":68,"y":90,"width":805,"height":11}},{"id":"a86fb839-9175-474b-9e0d-450ead6c2b78","block_type":"box","text":"retard prepayments and thus affect maturities.","page_number":39,"box":{"x":69,"y":105,"width":333,"height":11}},{"id":"08e3adfb-9e7c-429c-912f-c505cede3831","block_type":"box","text":"Asset-Based Securities.","page_number":39,"box":{"x":101,"y":128,"width":173,"height":9}},{"id":"1eb6c969-b948-40ab-a339-7c2536776ada","block_type":"box","text":"Cer tain Funds may invest in debt, preferred or conver tible securities, the principal","page_number":39,"box":{"x":281,"y":128,"width":582,"height":11}},{"id":"5035f2ad-552e-41ed-ae97-2d212a550ef3","block_type":"box","text":"amount, redemption terms or conversion terms of which are related to the market price of some natural resource","page_number":39,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"14052087-eb37-402a-8cdd-ee13a3017af7","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":39,"box":{"x":69,"y":158,"width":815,"height":11}},{"id":"2f720d94-abac-4a6b-963f-356492d88b5e","block_type":"box","text":"asset-based securities that are rated, or are issued by issuers that have outstanding debt obligations rated,","page_number":39,"box":{"x":69,"y":173,"width":769,"height":11}},{"id":"e110f2c0-90e5-43cb-8686-3876c7773938","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":39,"box":{"x":70,"y":188,"width":833,"height":12}},{"id":"059b43c5-f41d-4d6e-805e-a8262dbf69d2","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":39,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"c679108e-aee5-4e6f-a3a0-8923d9bedc10","block_type":"box","text":"issuers that the Manager has determined to be of similar creditwor thiness. Obligations ranked in the four th highest","page_number":39,"box":{"x":70,"y":218,"width":824,"height":12}},{"id":"2370ba17-c3d6-4b88-afb9-3ba6d2383c2f","block_type":"box","text":"rating category, while considered “investment grade,” may have cer tain speculative characteristics and may be more","page_number":39,"box":{"x":69,"y":234,"width":832,"height":11}},{"id":"ef28d025-da06-43e2-9018-7e4065e1e669","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":39,"box":{"x":70,"y":249,"width":797,"height":11}},{"id":"40af4aff-0756-4e04-a72e-381ab637573e","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":39,"box":{"x":69,"y":264,"width":768,"height":11}},{"id":"f5498a7b-7d35-41dc-b5d5-86c5bb748d4c","block_type":"box","text":"determining the creditwor thiness of the issuer. While the market prices for an asset-based security and the related","page_number":39,"box":{"x":69,"y":279,"width":819,"height":11}},{"id":"caa99ff1-27b0-4ed4-8ca8-fa654a922e2b","block_type":"box","text":"natural resource asset generally are expected to move in the same direction, there may not be per fect correlation in","page_number":39,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"51e0e663-ec4b-43a8-89d3-f6f7b3ef7d96","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":39,"box":{"x":68,"y":309,"width":780,"height":11}},{"id":"a46ec60e-7d63-4ce4-ae05-ca8ec8e465eb","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":39,"box":{"x":69,"y":325,"width":815,"height":11}},{"id":"17dfcf7a-622c-4b7c-8ede-892ae8aca0a7","block_type":"box","text":"preferred dividends at below market (or even relatively nominal) rates. Cer tain asset-based securities may be payable","page_number":39,"box":{"x":70,"y":339,"width":837,"height":12}},{"id":"126bc87d-94ae-4c08-bb8c-1286b12641dd","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":39,"box":{"x":69,"y":355,"width":812,"height":11}},{"id":"a7deaebd-4fdd-4e98-b3b4-a1d1542422fb","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":39,"box":{"x":69,"y":370,"width":836,"height":11}},{"id":"7fee736f-e95b-4483-865e-d613124443ef","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":39,"box":{"x":69,"y":385,"width":778,"height":11}},{"id":"84c10576-f430-464d-9b2e-1badef5e366f","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":39,"box":{"x":69,"y":400,"width":819,"height":11}},{"id":"25a79741-b633-490e-87f4-9dc4b90d6a27","block_type":"box","text":"appreciation in the underlying asset.","page_number":39,"box":{"x":69,"y":415,"width":258,"height":11}},{"id":"901627e7-285b-4d3f-9374-8a8b9025fe2d","block_type":"box","text":"Precious Metal-Related Securities.","page_number":39,"box":{"x":102,"y":438,"width":243,"height":9}},{"id":"b0aa7401-8bfd-4d74-9f5a-96cb4cae8d18","block_type":"box","text":"A Fund may invest in the equity and other securities of companies that","page_number":39,"box":{"x":351,"y":438,"width":503,"height":11}},{"id":"4e396031-88c2-4904-9aa4-0199af301451","block_type":"box","text":"explore for, extract, process or deal in precious metals (","page_number":39,"box":{"x":69,"y":453,"width":398,"height":11}},{"id":"09e3de99-9ec9-4a57-9390-f4a72d98bced","block_type":"box","text":"e.g.","page_number":39,"box":{"x":469,"y":454,"width":25,"height":10}},{"id":"2491e119-5ca4-4607-a185-3562a9fe163b","block_type":"box","text":", gold, silver and platinum), and in asset-based securities","page_number":39,"box":{"x":497,"y":453,"width":407,"height":11}},{"id":"c1372923-c18b-43bb-8de1-3f931a916eb5","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":39,"box":{"x":70,"y":468,"width":801,"height":11}},{"id":"ea63595e-32c6-4a76-b45a-495280726038","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":39,"box":{"x":70,"y":483,"width":815,"height":11}},{"id":"91f9cdc8-779b-4615-9bdb-cfbd3d3176aa","block_type":"box","text":"are expected to benefit from inflationary pressure or other economic, political or financial uncer tainty or instability.","page_number":39,"box":{"x":69,"y":498,"width":815,"height":11}},{"id":"5e4b6f73-8d17-4d92-b07f-06e9b337f975","block_type":"box","text":"Based on historical experience, during periods of economic or financial instability the securities of companies","page_number":39,"box":{"x":70,"y":513,"width":779,"height":12}},{"id":"f21d0cec-1f30-47ee-b3a2-3e47390985d0","block_type":"box","text":"involved in precious metals may be subject to extreme price fluctuations, reflecting the high volatility of precious","page_number":39,"box":{"x":70,"y":528,"width":799,"height":12}},{"id":"372ddabc-4578-4e50-a66c-07505a4fa5f0","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":39,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"31009815-2db1-4965-b19e-7a9d3797f94d","block_type":"box","text":"precious metal-related companies, which may, in turn, adversely affect the financial condition of such companies. The","page_number":39,"box":{"x":70,"y":559,"width":838,"height":11}},{"id":"b1967b7e-c9d3-4ea3-8d1d-15c2cdf486ff","block_type":"box","text":"major producers of gold include the Republic of South Africa, Russia, Canada, the United States, Brazil and Australia.","page_number":39,"box":{"x":69,"y":574,"width":835,"height":11}},{"id":"b5860603-e4aa-4587-866e-79788f5d4a2a","block_type":"box","text":"Sales of gold by Russia are largely unpredictable and often relate to political and economic considerations rather","page_number":39,"box":{"x":69,"y":589,"width":806,"height":11}},{"id":"50324115-a309-4590-b622-be1c17415597","block_type":"box","text":"than to market forces. Economic, financial, social and political factors within South Africa may significantly affect","page_number":39,"box":{"x":68,"y":604,"width":805,"height":11}},{"id":"f4684b84-8661-41d4-a7ba-804418caa587","block_type":"box","text":"South African gold production.","page_number":39,"box":{"x":69,"y":619,"width":213,"height":11}},{"id":"df48034f-718e-43a7-9750-caf4668c3734","block_type":"box","text":"Borrowing and Leverage.","page_number":39,"box":{"x":102,"y":642,"width":179,"height":11}},{"id":"41a8cd1a-2dac-4b70-916e-b14476aad0d9","block_type":"box","text":"Each Fund may borrow as a temporary measure for extraordinary or emergency","page_number":39,"box":{"x":288,"y":642,"width":563,"height":11}},{"id":"a664862c-bf7e-4e81-8569-3aa298f122ea","block_type":"box","text":"purposes, including to meet redemptions or to settle securities transactions. Cer tain Funds will not purchase","page_number":39,"box":{"x":70,"y":657,"width":777,"height":11}},{"id":"f5a69e42-0103-42af-8963-a25efa431485","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":39,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"8eaad15f-8f87-4484-9ce7-384d3ce82749","block_type":"box","text":"(b) to exercise subscription rights when outstanding borrowings have been obtained exclusively for settlements of","page_number":39,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"3fae2dbe-4834-43f3-a2c2-0c9c72f3c191","block_type":"box","text":"other securities transactions.","page_number":39,"box":{"x":69,"y":703,"width":207,"height":8}},{"id":"b42911e1-1c72-43ce-8034-2d98b6abd0d1","block_type":"box","text":"Cer tain Funds may also borrow in order to make investments, to the extent disclosed in such Fund’s Prospectus.","page_number":39,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"aa31ff4a-c3e3-444c-a5a2-f1befa7e48aa","block_type":"box","text":"The purchase of securities while borrowings are outstanding will have the effect of leveraging the Fund. Such","page_number":39,"box":{"x":68,"y":740,"width":776,"height":11}},{"id":"e37a8cb5-d2dc-4ad3-9fdf-f9c8aa7d7977","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":39,"box":{"x":70,"y":755,"width":813,"height":11}},{"id":"90de76ef-758c-4ae6-af1d-7c64f4a1bce1","block_type":"box","text":"reduce net income. The use of leverage by a Fund creates an oppor tunity for greater total return, but, at the same","page_number":39,"box":{"x":69,"y":770,"width":813,"height":12}},{"id":"db749a36-995f-47b0-bdf8-30543db23c7f","block_type":"box","text":"time, creates special risks. For example, leveraging may exaggerate changes in the net asset value (“NAV”) of Fund","page_number":39,"box":{"x":68,"y":785,"width":823,"height":12}},{"id":"9f952f81-b35e-448a-889c-1dae1d00d860","block_type":"box","text":"shares and in the yield on the Fund’s por tfolio. Although the principal of such borrowings will be fixed, the Fund’s","page_number":39,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"63be479a-e8e1-40d1-80fc-1e0a6e00a964","block_type":"box","text":"assets may change in value during the time the borrowings are outstanding. Borrowings will create interest expenses","page_number":39,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"af9478fc-f7a5-4974-9350-e4cfa2409e23","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":39,"box":{"x":68,"y":831,"width":835,"height":11}},{"id":"9c128cc9-56e1-490e-9ca8-8621511b990e","block_type":"box","text":"capital appreciation derived from securities purchased with borrowed funds exceeds the interest the Fund will have to","page_number":39,"box":{"x":69,"y":846,"width":838,"height":11}},{"id":"9391a7e1-acdd-4aa3-88dc-6eddb1e07712","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":39,"box":{"x":70,"y":861,"width":835,"height":11}},{"id":"2a6b3067-f4b9-48d1-a144-6c932194ea96","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":39,"box":{"x":69,"y":876,"width":825,"height":11}},{"id":"0065a5de-ab1b-40b4-a92a-2dff110eea1b","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":39,"box":{"x":69,"y":891,"width":837,"height":12}},{"id":"7fb17c42-abb7-4760-8379-6a75ad96377b","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":39,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"73dce346-5768-47c9-a0f8-ba18824ebd8b","block_type":"box","text":"II-2","page_number":39,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"39bd9ebe-be4c-460d-ae1f-d6faa0c95131","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":39,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e4ff5b63-8af1-4058-a65e-7c1210a23321","block_type":"box","text":"never theless may determine to maintain the Fund’s leveraged position if it expects that the benefits to the Fund’s","page_number":40,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"864cca4d-db76-499e-86ba-88006b346fc3","block_type":"box","text":"shareholders of maintaining the leveraged position will outweigh the current reduced return.","page_number":40,"box":{"x":69,"y":60,"width":653,"height":11}},{"id":"b28d793e-740a-4303-9b8d-09c1fedc6c3c","block_type":"box","text":"Cer tain types of borrowings by a Fund may result in the Fund being subject to covenants in credit agreements","page_number":40,"box":{"x":102,"y":82,"width":780,"height":12}},{"id":"8f51981f-42be-47f9-abe6-c7d19e111a74","block_type":"box","text":"relating to asset coverage, por tfolio composition requirements and other matters. It is not anticipated that","page_number":40,"box":{"x":69,"y":98,"width":759,"height":11}},{"id":"cdbf5805-c8c0-4e99-af1a-e54a2df6f19e","block_type":"box","text":"observance of such covenants would impede the Manager from managing a Fund’s por tfolio in accordance with the","page_number":40,"box":{"x":69,"y":113,"width":822,"height":11}},{"id":"56bbdf5e-3868-48c1-add8-f655151053bf","block_type":"box","text":"Fund’s investment objectives and policies. However, a breach of any such covenants not cured within the specified","page_number":40,"box":{"x":70,"y":128,"width":816,"height":11}},{"id":"79ae7145-0d10-4500-ad85-7dcabb718e29","block_type":"box","text":"cure period may result in acceleration of outstanding indebtedness and require the Fund to dispose of por tfolio","page_number":40,"box":{"x":69,"y":143,"width":792,"height":11}},{"id":"e84f55c3-6fb5-4c69-8fff-b317c0da4da2","block_type":"box","text":"investments at a time when it may be disadvantageous to do so.","page_number":40,"box":{"x":70,"y":158,"width":459,"height":11}},{"id":"775a1def-1c14-4923-9e6b-7568d414e22a","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":40,"box":{"x":102,"y":181,"width":786,"height":11}},{"id":"71c63633-b372-4843-be80-63bbbec89d62","block_type":"box","text":"no less favorable than those available from comparable sources of funds in the marketplace.","page_number":40,"box":{"x":69,"y":196,"width":663,"height":11}},{"id":"6be52378-6a0f-4794-acd9-16c90f80bddb","block_type":"box","text":"Cash Management.","page_number":40,"box":{"x":102,"y":219,"width":140,"height":11}},{"id":"b9d5f9a9-9731-4798-9c51-b34dde62e5ad","block_type":"box","text":"Generally, the Manager will employ futures and options on futures to provide liquidity","page_number":40,"box":{"x":249,"y":218,"width":603,"height":12}},{"id":"c8c07634-42de-4b71-a684-9a0999ba0e83","block_type":"box","text":"necessary to meet anticipated redemptions or for day-to-day operating purposes. However, if considered appropriate","page_number":40,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"65235747-5b9c-4249-a27b-67c109b1db5c","block_type":"box","text":"in the opinion of the Manager, a por tion of a Fund’s assets may be invested in cer tain types of instruments with","page_number":40,"box":{"x":70,"y":249,"width":799,"height":11}},{"id":"a4fd0315-b97d-4fff-b577-bd6aa8cb2605","block_type":"box","text":"remaining maturities of 397 days or less for liquidity purposes. Such instruments would consist of: (i) obligations of","page_number":40,"box":{"x":69,"y":264,"width":826,"height":11}},{"id":"51358184-8f09-454b-a2e4-93b2034f01e4","block_type":"box","text":"the U.S. Government, its agencies, instrumentalities, authorities or political subdivisions (“U.S. Government","page_number":40,"box":{"x":68,"y":279,"width":772,"height":11}},{"id":"df777508-0b04-4f67-9858-0b66c946cc26","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":40,"box":{"x":69,"y":294,"width":823,"height":11}},{"id":"490325e9-4ea6-4ec1-80ee-51285839ad2b","block_type":"box","text":"comparable quality in the opinion of the Manager; (iii) commercial paper; (iv) bank obligations, including negotiable","page_number":40,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"c8252dce-5a80-49f8-9905-e06385543ab2","block_type":"box","text":"cer tificates of deposit, time deposits and bankers’ acceptances; and (v) repurchase agreements. At the time the","page_number":40,"box":{"x":69,"y":324,"width":804,"height":12}},{"id":"72cbc7d2-263c-465b-86a7-b0f466b06a5d","block_type":"box","text":"Fund invests in commercial paper, bank obligations or repurchase agreements, the issuer or the issuer’s parent must","page_number":40,"box":{"x":70,"y":340,"width":839,"height":11}},{"id":"14b6304a-60ad-4468-ac6a-42a393328b27","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":40,"box":{"x":69,"y":355,"width":824,"height":11}},{"id":"5f8d4e64-1f3d-41c7-9b22-044f63b429fa","block_type":"box","text":"obligations or other shor t-term obligations rated Prime-1 by Moody’s or A-1 by S&P; or, if no such ratings are","page_number":40,"box":{"x":69,"y":370,"width":771,"height":11}},{"id":"62f2597a-97b4-41b3-a54e-015ab26bec1c","block_type":"box","text":"available, the instrument must be of comparable quality in the opinion of the Manager. For more information on","page_number":40,"box":{"x":69,"y":385,"width":793,"height":11}},{"id":"3a249b2f-455a-4413-b557-f802638acafc","block_type":"box","text":"money market instruments, see “Money Market Securities” below.","page_number":40,"box":{"x":69,"y":400,"width":472,"height":11}},{"id":"9cf67db3-a629-433f-a85e-857500d87baa","block_type":"box","text":"Collateralized Debt Obligations.","page_number":40,"box":{"x":102,"y":423,"width":229,"height":11}},{"id":"8767a3fa-f56d-408e-a8ee-b9a4cf719a11","block_type":"box","text":"Cer tain Funds may invest in collateralized debt obligations (“CDOs”), which","page_number":40,"box":{"x":337,"y":423,"width":534,"height":11}},{"id":"a808970f-7494-4c50-b2b8-ad80bee83c00","block_type":"box","text":"include collateralized bond obligations (“CBOs”), collateralized loan obligations (“CLOs”) and other similarly","page_number":40,"box":{"x":70,"y":438,"width":764,"height":11}},{"id":"cbd3f512-0321-4363-b602-28c2e38b999b","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":40,"box":{"x":69,"y":453,"width":787,"height":11}},{"id":"4a63819f-23ec-4263-a0cd-830ebe93a78b","block_type":"box","text":"special purpose entity (“SPE”) and is typically backed by a diversified pool of fixed-income securities (which may","page_number":40,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"602475bf-4dad-4c71-a6ba-0f9af1264010","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":40,"box":{"x":70,"y":483,"width":798,"height":11}},{"id":"42498831-6f14-4726-9317-d09fe17a246f","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":40,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"e2219b47-e3b3-49ba-8285-c0821036595b","block_type":"box","text":"senior secured loans, senior unsecured loans, and subordinate corporate loans, including loans that may be rated","page_number":40,"box":{"x":69,"y":514,"width":814,"height":11}},{"id":"85fd7c19-416b-4a4f-90c3-8c8f7cda4f70","block_type":"box","text":"below investment grade or equivalent unrated loans, held by such issuer. Investments in a CLO organized outside of","page_number":40,"box":{"x":69,"y":528,"width":828,"height":12}},{"id":"b0e3dad1-5cc3-4f0e-b08e-feee805df5b0","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":40,"box":{"x":68,"y":543,"width":782,"height":12}},{"id":"ced81d79-3dff-464f-b6b5-75bbf033b35d","block_type":"box","text":"substantial por tion of which are U.S. loans. Although cer tain CDOs may benefit from credit enhancement in the form","page_number":40,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"8ef6d203-bada-4841-8fd9-cd92623a4f57","block_type":"box","text":"of a senior-subordinate structure, over-collateralization or bond insurance, such enhancement may not always be","page_number":40,"box":{"x":69,"y":574,"width":803,"height":11}},{"id":"b5ec5112-8ff5-4cce-a3a0-5f597eb81da7","block_type":"box","text":"present, and may fail to protect a Fund against the risk of loss on default of the collateral. Cer tain CDO issuers may","page_number":40,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"68f1b972-8603-41b2-ad83-99fd2c6b6e63","block_type":"box","text":"use derivatives contracts to create “synthetic” exposure to assets rather than holding such assets directly, which","page_number":40,"box":{"x":69,"y":604,"width":807,"height":11}},{"id":"1262c976-6f0a-43a9-98db-8bbe466c3c82","block_type":"box","text":"entails the risks of derivative instruments described elsewhere in this SAI. CDOs may charge management fees and","page_number":40,"box":{"x":69,"y":619,"width":826,"height":11}},{"id":"ade7eac7-1b0b-4a1a-910d-19444ac2d37a","block_type":"box","text":"administrative expenses, which are in addition to those of a Fund.","page_number":40,"box":{"x":69,"y":634,"width":469,"height":11}},{"id":"fb7074db-d86a-4978-b325-55d2a6bfa0d3","block_type":"box","text":"For both CBOs and CLOs, the cash flows from the SPE are split into two or more por tions, called tranches,","page_number":40,"box":{"x":102,"y":657,"width":758,"height":11}},{"id":"83e1368a-3731-4263-8f49-427841b64358","block_type":"box","text":"varying in risk and yield. The riskiest por tion is the “equity” tranche, which bears the first loss from defaults from the","page_number":40,"box":{"x":68,"y":672,"width":836,"height":11}},{"id":"1f8c0024-bfd3-4e20-94ad-441756f1a28a","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":40,"box":{"x":69,"y":687,"width":838,"height":11}},{"id":"a8efc445-fb39-4516-a14d-0031cf8a65da","block_type":"box","text":"is not complete). Since it is par tially protected from defaults, a senior tranche from a CBO or CLO typically has higher","page_number":40,"box":{"x":70,"y":702,"width":835,"height":12}},{"id":"9536d1e1-bd29-4759-9c2c-d6e5c1f74227","block_type":"box","text":"ratings and lower yields than its underlying securities, and may be rated investment grade. Despite the protection","page_number":40,"box":{"x":69,"y":718,"width":808,"height":11}},{"id":"94510e5a-1d78-4ad4-b654-9d70b14f6d12","block_type":"box","text":"from the equity tranche, CBO or CLO tranches can experience substantial losses due to actual defaults, downgrades","page_number":40,"box":{"x":68,"y":732,"width":830,"height":12}},{"id":"e6326fda-302a-4c7e-b13f-c39d450cccfe","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":40,"box":{"x":69,"y":748,"width":806,"height":11}},{"id":"9cf0099b-aa3a-4242-a2b0-23d24a982fc5","block_type":"box","text":"tests, increased sensitivity to defaults due to collateral default and disappearance of protecting tranches, market","page_number":40,"box":{"x":68,"y":763,"width":809,"height":11}},{"id":"594231ff-4b04-4d3a-90a7-3e18c45142e1","block_type":"box","text":"anticipation of defaults as well as investor aversion to CBO or CLO securities as a class. Interest on cer tain tranches","page_number":40,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"74d39b21-f55c-4698-9fa4-fbcf177edf05","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":40,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"20188641-5d8b-450f-8bc0-584f35f6da83","block_type":"box","text":"cash), which involves continued exposure to default risk with respect to such payments.","page_number":40,"box":{"x":69,"y":808,"width":625,"height":11}},{"id":"5566d076-fdc8-4ba1-9784-5ed56983029e","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":40,"box":{"x":101,"y":831,"width":789,"height":11}},{"id":"22983337-1a03-4c69-8406-92cabc39a09f","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":40,"box":{"x":69,"y":846,"width":830,"height":11}},{"id":"83015c16-4d72-4401-b088-c89cb921b6f0","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":40,"box":{"x":69,"y":861,"width":830,"height":11}},{"id":"2e4c7581-528b-4961-8316-df68dd994e1f","block_type":"box","text":"for Rule 144A transactions. In addition to the normal risks associated with fixed-income securities and asset-backed","page_number":40,"box":{"x":68,"y":876,"width":831,"height":9}},{"id":"722be579-f120-4c70-b11b-ccb4a62f9528","block_type":"box","text":"securities generally discussed elsewhere in this SAI, CDOs carry additional risks including, but not limited to: (i) the","page_number":40,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"a0272615-d5e6-4526-970e-33ce27531daf","block_type":"box","text":"possibility that distributions from collateral securities will not be adequate to make interest or other payments; (ii) the","page_number":40,"box":{"x":70,"y":906,"width":838,"height":12}},{"id":"98ff6124-645c-44b8-9359-090a1a52e143","block_type":"box","text":"II-3","page_number":40,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"1e5c19c9-cf3d-4101-ac9d-d848975610da","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":40,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f74eb24c-bc62-4de0-9699-49903520f215","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":41,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"9beb6ebd-bc0d-421a-952a-dfba503d7c52","block_type":"box","text":"rating organization (“NRSRO”); (iii) a Fund may invest in tranches of CDOs that are subordinate to other tranches;","page_number":41,"box":{"x":69,"y":60,"width":807,"height":11}},{"id":"6ace95b5-2d05-467e-992c-23f596f27fe0","block_type":"box","text":"(iv) the structure and complexity of the transaction and the legal documents could lead to disputes among investors","page_number":41,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"47158c47-0b67-4381-8808-59a57b8deacf","block_type":"box","text":"regarding the characterization of proceeds; (v) the investment return achieved by the Fund could be significantly","page_number":41,"box":{"x":69,"y":90,"width":795,"height":11}},{"id":"f71f6be4-d4e7-426c-a587-8f9932dbaa9c","block_type":"box","text":"different than those predicted by financial models; (vi) the lack of a readily available secondary market for CDOs;","page_number":41,"box":{"x":69,"y":105,"width":804,"height":11}},{"id":"c59de6b2-9fb2-4e87-9c4a-eca64f19e781","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":41,"box":{"x":69,"y":120,"width":805,"height":12}},{"id":"4a19f592-595f-4cf6-94cd-50558665deab","block_type":"box","text":"CDO’s manager may per form poorly.","page_number":41,"box":{"x":69,"y":135,"width":257,"height":12}},{"id":"79338632-7649-40f0-819e-9b94f615c37d","block_type":"box","text":"Commercial Paper.","page_number":41,"box":{"x":102,"y":158,"width":136,"height":11}},{"id":"19d8f5ff-d78d-4d65-889e-4936d043850d","block_type":"box","text":"Cer tain Funds may purchase commercial paper. Commercial paper purchasable by each","page_number":41,"box":{"x":244,"y":158,"width":626,"height":11}},{"id":"49eb2d10-9d07-4111-a464-0e579ac7ef1e","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":41,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"012b6a91-2666-4ad9-ac99-ff854943e26f","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":41,"box":{"x":70,"y":188,"width":806,"height":12}},{"id":"eb7371e4-4c0c-4332-9f55-63899845cd3a","block_type":"box","text":"restricted as to disposition under the Federal securities laws, and is frequently sold (and resold) to institutional","page_number":41,"box":{"x":69,"y":203,"width":792,"height":12}},{"id":"3da2fc87-133a-4dbb-a590-30f41f7138aa","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":41,"box":{"x":70,"y":218,"width":820,"height":12}},{"id":"04539f0b-46e6-4cbd-9ef6-24ed2581b136","block_type":"box","text":"4(a)(2) paper, thereby providing liquidity. Cer tain transactions in Section 4(a)(2) paper may qualify for the registration","page_number":41,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"17bd03f1-ab1b-48b3-8a8c-ce1dbec1faf7","block_type":"box","text":"exemption provided in Rule 144A under the Securities Act. Most Funds can purchase commercial paper rated (at the","page_number":41,"box":{"x":69,"y":249,"width":831,"height":11}},{"id":"b223ddbf-b75b-4cca-81c7-01832d1a2e9c","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":41,"box":{"x":68,"y":264,"width":805,"height":11}},{"id":"fe8b55ed-fd2b-4059-b9ca-8f5f3ca5ab64","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":41,"box":{"x":69,"y":279,"width":707,"height":11}},{"id":"6dcfe4bc-e614-42cc-b9d5-78763e93508d","block_type":"box","text":"Commercial paper is generally considered to be shor t-term unsecured debt of corporations. Like all fixed income","page_number":41,"box":{"x":102,"y":302,"width":801,"height":11}},{"id":"6653f32c-fd2b-49f5-9034-97299c7b3c89","block_type":"box","text":"securities, commercial paper prices are susceptible to fluctuations in interest rates. If interest rates rise, commercial","page_number":41,"box":{"x":69,"y":317,"width":836,"height":11}},{"id":"4da02d6e-c331-4177-8da0-63636e426e2e","block_type":"box","text":"paper prices will decline and vice versa. However, the shor t-term nature of a commercial paper investment generally","page_number":41,"box":{"x":70,"y":332,"width":826,"height":11}},{"id":"3d7a96e1-a833-4f04-97bb-0dc3fe8bc61a","block_type":"box","text":"makes it less susceptible to volatility than many other fixed income securities because interest rate risk typically","page_number":41,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"667ef045-b1ad-4c8b-8d9c-e5fdd40df2bc","block_type":"box","text":"increases as maturity lengths increase. Commercial paper tends to yield smaller returns than longer-term corporate","page_number":41,"box":{"x":70,"y":362,"width":822,"height":11}},{"id":"026f686e-3668-4c3f-8255-658bb0cc9ccc","block_type":"box","text":"debt because securities with shor ter maturities typically have lower effective yields than those with longer maturities.","page_number":41,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"6e6e5f8f-2253-42c7-b433-52a46769256d","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments.","page_number":41,"box":{"x":102,"y":400,"width":483,"height":11}},{"id":"c9a23d13-98c5-42d3-9995-bb4892dcaf0a","block_type":"box","text":"Cer tain Funds seek to gain exposure to the","page_number":41,"box":{"x":591,"y":400,"width":308,"height":11}},{"id":"21185667-818c-4423-a51d-744cac676f58","block_type":"box","text":"commodities markets primarily through investments in hybrid instruments. Hybrid instruments are either equity or","page_number":41,"box":{"x":69,"y":415,"width":809,"height":11}},{"id":"56836228-299b-4b1a-90e7-27dba5e44126","block_type":"box","text":"debt derivative securities with one or more commodity-dependent components that have payment features similar to","page_number":41,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"ac7076a4-f9c9-4638-b55e-3bcf080613e1","block_type":"box","text":"a commodity futures contract, a commodity option contract, or a combination of both. Therefore, these instruments","page_number":41,"box":{"x":69,"y":445,"width":822,"height":11}},{"id":"9a52ff73-5f8e-42ca-9a56-b5eeffbe11a8","block_type":"box","text":"are “commodity-linked.” They are considered “hybrid” instruments because they have both commodity-like and","page_number":41,"box":{"x":69,"y":461,"width":787,"height":11}},{"id":"a75a6b74-f2a0-4e6e-8e0b-0a338df1cc0f","block_type":"box","text":"security-like characteristics. Hybrid instruments are derivative instruments because at least par t of their value is","page_number":41,"box":{"x":69,"y":475,"width":801,"height":12}},{"id":"c76fa8be-58a2-4464-9447-802c3ea72f98","block_type":"box","text":"derived from the value of an underlying commodity, futures contract, index or other readily measurable economic","page_number":41,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"926d919b-ffa5-4e67-9864-92ebf3c03409","block_type":"box","text":"variable.","page_number":41,"box":{"x":68,"y":506,"width":59,"height":9}},{"id":"d53e3c2c-5dae-459e-bdaa-d55d16c4ae57","block_type":"box","text":"The prices of commodity-linked derivative instruments may move in different directions than investments in","page_number":41,"box":{"x":101,"y":528,"width":763,"height":12}},{"id":"47f04e8f-291a-4649-a4fb-bece26ceec7a","block_type":"box","text":"traditional equity and debt securities when the value of those traditional securities is declining due to adverse","page_number":41,"box":{"x":68,"y":543,"width":783,"height":12}},{"id":"0c2e33b4-059d-4054-a3d4-c87556536c3c","block_type":"box","text":"economic conditions. As an example, during periods of rising inflation, debt securities have historically tended to","page_number":41,"box":{"x":69,"y":559,"width":802,"height":11}},{"id":"5170aac1-ca16-4500-bb4d-8385e4f9aa78","block_type":"box","text":"decline in value due to the general increase in prevailing interest rates. Conversely, during those same periods of","page_number":41,"box":{"x":69,"y":574,"width":808,"height":11}},{"id":"64a9bf45-4516-49e4-8c32-c81df025cae5","block_type":"box","text":"rising inflation, the prices of cer tain commodities, such as oil and metals, have historically tended to increase. Of","page_number":41,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"909d0f76-e283-47a0-9aff-af507acbb853","block_type":"box","text":"course, there cannot be any guarantee that these investments will per form in that manner in the future, and at","page_number":41,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"645379e0-dd3c-495f-b884-a4e4db0f02c6","block_type":"box","text":"cer tain times the price movements of commodity-linked instruments have been parallel to those of debt and equity","page_number":41,"box":{"x":69,"y":619,"width":819,"height":11}},{"id":"52b6fdb6-9241-4f85-9334-5f325781b2ba","block_type":"box","text":"securities. Commodities have historically tended to increase and decrease in value during different par ts of the","page_number":41,"box":{"x":69,"y":634,"width":795,"height":12}},{"id":"92dbd8e7-ff05-4c31-9601-4ba5f9415bed","block_type":"box","text":"business cycle than financial assets. Never theless, at various times, commodities prices may move in tandem with","page_number":41,"box":{"x":69,"y":649,"width":822,"height":12}},{"id":"ff9ed3c6-e640-4819-9821-49e06caa3de5","block_type":"box","text":"the prices of financial assets and thus may not provide overall por tfolio diversification benefits. Under favorable","page_number":41,"box":{"x":68,"y":664,"width":797,"height":12}},{"id":"ac554a72-6df8-4063-ba3d-605e4d17da68","block_type":"box","text":"economic conditions, the Fund’s investments may be expected to under-per form an investment in traditional","page_number":41,"box":{"x":69,"y":680,"width":772,"height":11}},{"id":"6301e0b7-f59e-4c9b-857c-98538f50eed0","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":41,"box":{"x":69,"y":695,"width":773,"height":11}},{"id":"fd114ba9-ee06-4005-bbcd-f0cb2391f089","block_type":"box","text":"correlation with stocks and bonds.","page_number":41,"box":{"x":69,"y":710,"width":244,"height":9}},{"id":"6cbcaea7-4875-4912-b6af-03159f354e68","block_type":"box","text":"Qualifying Hybrid Instruments.","page_number":41,"box":{"x":102,"y":732,"width":212,"height":12}},{"id":"9760dff8-dca1-4897-8082-88f09fe1c24a","block_type":"box","text":"Cer tain Funds may invest in hybrid instruments that qualify for exclusion from","page_number":41,"box":{"x":320,"y":732,"width":552,"height":12}},{"id":"0b327b61-e972-43af-b6de-6448bde7aabe","block_type":"box","text":"regulation under the Commodity Exchange Act and the regulations adopted thereunder. A hybrid instrument that","page_number":41,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"4e984c6b-75f3-4ebc-bdc1-e10ff59aa62f","block_type":"box","text":"qualifies for this exclusion from regulation must be “predominantly a security.” A hybrid instrument is considered to","page_number":41,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"52db03c1-0976-4f7b-9b77-228816904e4b","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":41,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"6eb66ff0-a2dc-4bb6-9f32-3e191e638929","block_type":"box","text":"the hybrid instrument, substantially contemporaneously with delivery of the hybrid instrument; (b) the purchaser or","page_number":41,"box":{"x":68,"y":793,"width":816,"height":11}},{"id":"a221c6b3-2bf2-4bf9-b8e3-823271820fdf","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":41,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"f1008a9a-634d-428d-bae1-88b2e2af4af9","block_type":"box","text":"paid under subparagraph (a), whether as margin, settlement payment, or otherwise, during the life of the hybrid","page_number":41,"box":{"x":70,"y":823,"width":793,"height":12}},{"id":"e4b4dcf0-a951-409a-842e-4bf9d50cd801","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":41,"box":{"x":70,"y":838,"width":798,"height":11}},{"id":"9a7f8e2f-449d-426e-8a9e-c31954e84751","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":41,"box":{"x":69,"y":853,"width":797,"height":12}},{"id":"5aa62d01-ec48-4877-830d-b36588eaffb9","block_type":"box","text":"commodity for future delivery (or option on such a contract) subject to applicable provisions of the Commodity","page_number":41,"box":{"x":69,"y":869,"width":783,"height":11}},{"id":"2800ef60-4a77-40ea-bcc0-f29f330e443c","block_type":"box","text":"Exchange Act. Hybrid instruments may be principal protected, par tially protected, or offer no principal protection. A","page_number":41,"box":{"x":70,"y":884,"width":816,"height":11}},{"id":"e9cf2e73-0fa9-45cf-9edc-b356f65f69a7","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":41,"box":{"x":70,"y":899,"width":791,"height":11}},{"id":"0da03ad3-051d-494a-ab71-e268732582ee","block_type":"box","text":"II-4","page_number":41,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"4f6bc7a2-5ac9-4cff-9b5b-c3b59f568759","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":41,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ddc331df-c0ee-4aa5-ad7b-a5ead8a87f9e","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":42,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"b8b3138f-6dab-4bc7-b626-c277481c28ad","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":42,"box":{"x":68,"y":60,"width":837,"height":11}},{"id":"39718b2f-045a-4b8a-8d97-9a3ca44feb09","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":42,"box":{"x":70,"y":75,"width":772,"height":11}},{"id":"1a363efa-9015-4ec1-b8d2-6c134ab6ea79","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":42,"box":{"x":69,"y":90,"width":839,"height":11}},{"id":"ab6980ee-18a3-4533-97f7-8f8cdafe0dd7","block_type":"box","text":"level of the underlying commodity. The Manager’s decision whether to use principal protection depends in par t on the","page_number":42,"box":{"x":70,"y":105,"width":835,"height":11}},{"id":"f5656a38-d07c-46d7-b74c-ccbe334bcdcb","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":42,"box":{"x":69,"y":120,"width":833,"height":12}},{"id":"d20e80d5-161b-47c0-ba92-23d809758b32","block_type":"box","text":"to buy back the security, and, therefore, depends on the creditwor thiness of the issuer. With full principal protection,","page_number":42,"box":{"x":68,"y":135,"width":831,"height":11}},{"id":"fa422d96-343f-45ed-ba91-0d319fe6dd75","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":42,"box":{"x":68,"y":150,"width":795,"height":12}},{"id":"6b66abf5-7c02-4665-86bf-dff56500e75a","block_type":"box","text":"potentially, an amount greater than the stated par value if the underlying commodity, index, futures contract or","page_number":42,"box":{"x":70,"y":166,"width":784,"height":11}},{"id":"d05f6710-bfe4-4462-9ecf-8777b61f160b","block_type":"box","text":"economic variable to which the hybrid instrument is linked has increased in value. Par tially protected hybrid","page_number":42,"box":{"x":69,"y":181,"width":765,"height":11}},{"id":"0a7b6ff1-1b34-4fa5-a5e1-47e709a23a9c","block_type":"box","text":"instruments may suffer some loss of principal if the underlying commodity, index, futures contract or economic","page_number":42,"box":{"x":70,"y":196,"width":788,"height":11}},{"id":"6d699f62-160b-4df7-ae23-b21e1813bcb4","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":42,"box":{"x":68,"y":211,"width":828,"height":11}},{"id":"c63e7f6b-e540-4f2c-b147-a755f9afca53","block_type":"box","text":"par tially protected hybrid instruments have a specified limit as to the amount of principal that they may lose.","page_number":42,"box":{"x":70,"y":226,"width":773,"height":11}},{"id":"dc07285b-79f5-452b-b5fd-440609cc5215","block_type":"box","text":"Hybrid Instruments Without Principal Protection.","page_number":42,"box":{"x":102,"y":249,"width":339,"height":11}},{"id":"9eb6114f-2f4b-42d4-8f99-178834911387","block_type":"box","text":"Cer tain Funds may invest in hybrid instruments that offer no","page_number":42,"box":{"x":448,"y":249,"width":429,"height":11}},{"id":"e459fa29-4ff8-4eed-9656-e72db106ed71","block_type":"box","text":"principal protection. At maturity, there is a risk that the underlying commodity price, futures contract, index or other","page_number":42,"box":{"x":70,"y":264,"width":818,"height":11}},{"id":"d100a151-d3e0-4759-9109-efbd26e097f6","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":42,"box":{"x":69,"y":279,"width":780,"height":11}},{"id":"ef494deb-4607-4ff3-a780-8b5d71762e4a","block_type":"box","text":"instrument might not be returned. The Manager, at its discretion, may invest in a par tially protected principal","page_number":42,"box":{"x":70,"y":294,"width":773,"height":11}},{"id":"1d05eb5d-8741-474e-ae67-fe9f2bdd6ff6","block_type":"box","text":"structured note or a note without principal protection. In deciding to purchase a note without principal protection, the","page_number":42,"box":{"x":69,"y":309,"width":832,"height":11}},{"id":"88b2aec5-a20d-443d-a350-ac236b89de33","block_type":"box","text":"Manager may consider, among other things, the expected per formance of the underlying commodity futures contract,","page_number":42,"box":{"x":70,"y":324,"width":831,"height":12}},{"id":"2ff4b2bd-78b2-4389-b798-754a5e57d4b6","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":42,"box":{"x":70,"y":339,"width":831,"height":12}},{"id":"5924f6e3-86ec-4d0a-a34b-971dc5a733f5","block_type":"box","text":"the Manager believes are relevant.","page_number":42,"box":{"x":68,"y":355,"width":247,"height":11}},{"id":"51a3a52c-bcc2-4c88-8fce-4229a4879644","block_type":"box","text":"Limitations on Leverage.","page_number":42,"box":{"x":102,"y":377,"width":173,"height":12}},{"id":"e5c0a19c-b293-49ac-a467-62186d017bfc","block_type":"box","text":"Some of the hybrid instruments in which a Fund may invest may involve leverage. To","page_number":42,"box":{"x":281,"y":377,"width":598,"height":12}},{"id":"ac21545c-91b2-43bd-9eb8-999fa57115be","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":42,"box":{"x":69,"y":392,"width":840,"height":12}},{"id":"4c857738-3adf-4132-b61f-12d24040441f","block_type":"box","text":"one hybrid instrument that it buys and the leverage of the Fund’s overall por tfolio. A Fund will not invest in a hybrid","page_number":42,"box":{"x":69,"y":407,"width":816,"height":12}},{"id":"171149e7-d456-4ff6-8dcd-a0e7e1860bdd","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":42,"box":{"x":70,"y":423,"width":812,"height":11}},{"id":"2f36b316-1cb5-4a58-93bd-a728048e9a76","block_type":"box","text":"the underlying commodity, futures contract, index or other economic variable or (ii) the Fund’s “por tfolio leverage","page_number":42,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"7d1580f4-8969-4f06-b130-fe6c322209a1","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":42,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"bb208ca2-41fa-4270-bf6d-989dec193230","block_type":"box","text":"hybrid instrument, assuming a one percent price increase in the underlying commodity, futures contract, index or","page_number":42,"box":{"x":69,"y":468,"width":803,"height":11}},{"id":"f136e151-dee9-4d9a-bae6-89943ab9b7bb","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":42,"box":{"x":69,"y":483,"width":783,"height":11}},{"id":"f1718bdf-648b-433f-8ded-ff36b3661a80","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":42,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"b284ea84-3c13-4e95-bd65-90f55b000312","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":42,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"cbefb541-913b-4ea0-bc4f-a464b7b464b4","block_type":"box","text":"variable lost 1% of its value. “Por tfolio leverage ratio” is defined as the average (mean) leverage ratio of all","page_number":42,"box":{"x":68,"y":528,"width":763,"height":12}},{"id":"f8a39f75-e24e-4e54-a3ac-21a27e06b183","block_type":"box","text":"instruments in a Fund’s por tfolio, weighted by the market values of such instruments or, in the case of futures","page_number":42,"box":{"x":70,"y":543,"width":787,"height":12}},{"id":"20dfb663-aab9-405c-99e7-dd8ddaf9123c","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":42,"box":{"x":69,"y":559,"width":757,"height":11}},{"id":"b8d61a7e-03c1-4214-b927-c57c3625450b","block_type":"box","text":"investments or use less leverage than may otherwise be allowable.","page_number":42,"box":{"x":70,"y":574,"width":477,"height":11}},{"id":"f263964f-db18-40e3-a3d4-0212c2008418","block_type":"box","text":"Counterpar ty Risk.","page_number":42,"box":{"x":102,"y":597,"width":130,"height":11}},{"id":"6ba0d896-5983-4f0f-b93b-bcac683d784c","block_type":"box","text":"A significant risk of hybrid instruments is counterpar ty risk. Unlike exchange-traded futures","page_number":42,"box":{"x":238,"y":596,"width":646,"height":12}},{"id":"b5e2b138-888a-4bf4-9d30-6a0db7624b47","block_type":"box","text":"and options, which are standard contracts, hybrid instruments are customized securities, tailor-made by a specific","page_number":42,"box":{"x":69,"y":612,"width":813,"height":11}},{"id":"6e883d11-44d3-4183-b841-ae5380e84a06","block_type":"box","text":"issuer. With a listed futures or options contract, an investor’s counterpar ty is the exchange clearinghouse. Exchange","page_number":42,"box":{"x":70,"y":627,"width":829,"height":11}},{"id":"d210bd12-f414-4906-b281-5dbaeb0c3bf9","block_type":"box","text":"clearinghouses are capitalized by the exchange members and typically have high investment grade ratings (","page_number":42,"box":{"x":69,"y":642,"width":763,"height":11}},{"id":"9952d45b-7832-405d-a5bb-46f787cbaa86","block_type":"box","text":"e.g.","page_number":42,"box":{"x":834,"y":643,"width":25,"height":10}},{"id":"3952c912-024b-44b1-a621-f2ef1048f8bc","block_type":"box","text":",","page_number":42,"box":{"x":861,"y":649,"width":2,"height":3}},{"id":"03af7b44-81f4-48f1-aab5-c09d3fd369ca","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":42,"box":{"x":69,"y":657,"width":836,"height":11}},{"id":"42e1007f-365c-420d-8c39-0d3b6f565e81","block_type":"box","text":"obligations at maturity. However, with a hybrid instrument, a Fund will take on the counterpar ty credit risk of the","page_number":42,"box":{"x":69,"y":672,"width":795,"height":11}},{"id":"69bfe330-c421-4112-bd0f-758a74e6772f","block_type":"box","text":"issuer. That is, at maturity of the hybrid instrument, there is a risk that the issuer may be unable to per form its","page_number":42,"box":{"x":70,"y":687,"width":791,"height":11}},{"id":"83dd446d-7d38-40cf-a51a-65b267643aed","block_type":"box","text":"obligations under the structured note.","page_number":42,"box":{"x":69,"y":703,"width":268,"height":11}},{"id":"608ce612-181c-43a7-8f94-dc4620dace54","block_type":"box","text":"Convertible Securities.","page_number":42,"box":{"x":102,"y":725,"width":165,"height":9}},{"id":"c7b3b135-0590-457d-bb12-39e914b5c89a","block_type":"box","text":"A conver tible security is a bond, debenture, note, preferred stock or other security that","page_number":42,"box":{"x":273,"y":725,"width":619,"height":11}},{"id":"b5f02f84-da2a-463b-bbcb-983dcd20c652","block_type":"box","text":"may be conver ted into or exchanged for a prescribed amount of common stock or other equity security of the same or","page_number":42,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"c0d623aa-56d1-4a14-b0f4-6f1e630f43bd","block_type":"box","text":"a different issuer within a par ticular period of time at a specified price or formula. A conver tible security entitles the","page_number":42,"box":{"x":69,"y":755,"width":826,"height":11}},{"id":"3a270040-d386-4fbb-a0b7-320be2796e0e","block_type":"box","text":"holder to receive interest paid or accrued on debt or the dividend paid on preferred stock until the conver tible","page_number":42,"box":{"x":69,"y":770,"width":781,"height":11}},{"id":"cd9e2972-ad3a-45d4-b3a4-ad87cb09d747","block_type":"box","text":"security matures or is redeemed, conver ted or exchanged. Before conversion, conver tible securities have","page_number":42,"box":{"x":69,"y":785,"width":750,"height":12}},{"id":"23b69956-9cba-4fcd-a030-81692275693b","block_type":"box","text":"characteristics similar to nonconver tible income securities in that they ordinarily provide a stable stream of income","page_number":42,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"90a0f2c3-93da-4608-9f78-4f91d7e21766","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":42,"box":{"x":68,"y":816,"width":784,"height":11}},{"id":"882b2ed6-7246-4f41-949c-ce1b913da7c1","block_type":"box","text":"comparable nonconver tible securities. The value of a conver tible security is influenced by changes in interest rates,","page_number":42,"box":{"x":69,"y":831,"width":823,"height":11}},{"id":"a3ad7963-cdb1-495a-ad18-6983c8144fcc","block_type":"box","text":"with investment value declining as interest rates increase and increasing as interest rates decline. The credit","page_number":42,"box":{"x":68,"y":846,"width":780,"height":11}},{"id":"eb450b61-d8c5-4875-b974-0f6c3fd98e29","block_type":"box","text":"standing of the issuer and other factors also may have an effect on the conver tible security’s investment value.","page_number":42,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"ee22b313-5d37-46b3-a9b9-37e58c588b03","block_type":"box","text":"Conver tible securities rank senior to common stock in a corporation’s capital structure but are usually subordinated","page_number":42,"box":{"x":69,"y":876,"width":826,"height":11}},{"id":"fdadab7a-99f6-45b0-b2f3-2874b63bd051","block_type":"box","text":"to comparable nonconver tible securities. Conver tible securities may be subject to redemption at the option of the","page_number":42,"box":{"x":68,"y":891,"width":811,"height":11}},{"id":"d7354232-2c21-490c-b69d-8b30705f02c0","block_type":"box","text":"issuer at a price established in the conver tible security’s governing instrument.","page_number":42,"box":{"x":70,"y":907,"width":563,"height":11}},{"id":"ade48a63-a6cd-4b11-8304-559723bd72e9","block_type":"box","text":"II-5","page_number":42,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"78702e3e-3cda-4785-9778-9e2d58721721","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":42,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7cd23bde-63e2-4648-8639-3af4ed9f9269","block_type":"box","text":"The characteristics of conver tible securities make them potentially attractive investments for an investment","page_number":43,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"1cd8f9df-7d7a-4f15-ab7b-f5b26541a47d","block_type":"box","text":"company seeking a high total return from capital appreciation and investment income. These characteristics include","page_number":43,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"1828ed3d-b926-44f3-8cd3-53c81a5189fc","block_type":"box","text":"the potential for capital appreciation as the value of the underlying common stock increases, the relatively high yield","page_number":43,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"2d2f6e5b-17e8-46b4-9cf7-eaee544c031f","block_type":"box","text":"received from dividend or interest payments as compared to common stock dividends and decreased risks of decline","page_number":43,"box":{"x":69,"y":90,"width":834,"height":11}},{"id":"ac798d4e-abef-4663-9193-7411303e2d22","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":43,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"3dd0119e-4dde-4495-8362-cc4bc27bba9d","block_type":"box","text":"feature, however, the interest rate or dividend preference on a conver tible security is generally less than would be the","page_number":43,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"1e73365c-c303-460e-9cab-83439ede1a04","block_type":"box","text":"case if the securities were issued in nonconver tible form.","page_number":43,"box":{"x":69,"y":135,"width":409,"height":9}},{"id":"bf36403c-da05-47ff-8f02-db652c0328ff","block_type":"box","text":"In analyzing conver tible securities, the Manager will consider both the yield on the conver tible security relative to","page_number":43,"box":{"x":102,"y":158,"width":802,"height":11}},{"id":"e30cced0-24da-4843-ad1f-3f860e3db46a","block_type":"box","text":"its credit quality and the potential capital appreciation that is offered by the underlying common stock, among other","page_number":43,"box":{"x":70,"y":173,"width":824,"height":11}},{"id":"e78cb5d5-db84-496a-ab89-3089d1661b08","block_type":"box","text":"things.","page_number":43,"box":{"x":68,"y":188,"width":47,"height":12}},{"id":"a2b79b03-674f-47a9-b85c-e90690690aed","block_type":"box","text":"Conver tible securities are issued and traded in a number of securities markets. Even in cases where a","page_number":43,"box":{"x":102,"y":211,"width":731,"height":9}},{"id":"2b93b9b3-529f-492c-9647-61e1680625b7","block_type":"box","text":"substantial por tion of the conver tible securities held by a Fund are denominated in U.S. dollars, the underlying equity","page_number":43,"box":{"x":69,"y":226,"width":836,"height":11}},{"id":"41aeae14-61d7-4ebb-ae3a-c6b73b3819da","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":43,"box":{"x":69,"y":241,"width":832,"height":11}},{"id":"4ca2c098-08ad-4541-8967-44fbc5e13bcc","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":43,"box":{"x":69,"y":257,"width":818,"height":11}},{"id":"d1f72697-f79b-4c67-acb3-c605648a5d6c","block_type":"box","text":"price is quoted will affect the value of the conver tible security. With respect to conver tible securities denominated in","page_number":43,"box":{"x":70,"y":271,"width":828,"height":12}},{"id":"045575ae-2628-4f04-b228-0d294a4af215","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":43,"box":{"x":69,"y":286,"width":786,"height":12}},{"id":"7cf68e4a-c69d-451a-9816-1c4d6c5da078","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":43,"box":{"x":69,"y":302,"width":800,"height":11}},{"id":"03025743-d8a9-425e-9ad1-6cfe81659a38","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":43,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"970010c1-3616-46ee-9508-4c5d4873ab0f","block_type":"box","text":"reduce the effect of exchange rate fluctuations.","page_number":43,"box":{"x":69,"y":332,"width":337,"height":11}},{"id":"08ef8db0-f92d-41a5-a804-0bbe85ded9af","block_type":"box","text":"Apar t from currency considerations, the value of conver tible securities is influenced by both the yield on","page_number":43,"box":{"x":101,"y":355,"width":741,"height":11}},{"id":"9aa14577-a6da-43e5-a3ca-386b6e1aa8de","block_type":"box","text":"nonconver tible securities of comparable issuers and by the value of the underlying common stock. The value of a","page_number":43,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"c3e6d3bd-309d-4630-bcf1-ee3cfc9def0d","block_type":"box","text":"conver tible security viewed without regard to its conversion feature (","page_number":43,"box":{"x":69,"y":385,"width":485,"height":11}},{"id":"d4e9cbde-dd7b-425c-a646-1e603f84be6d","block_type":"box","text":"i.e.","page_number":43,"box":{"x":557,"y":385,"width":20,"height":9}},{"id":"701af487-4857-4de2-b640-e55397d16a64","block_type":"box","text":", strictly on the basis of its yield) is","page_number":43,"box":{"x":579,"y":385,"width":248,"height":11}},{"id":"5a0dd98c-9e20-46ab-8503-3708ff8f0b62","block_type":"box","text":"sometimes referred to as its “investment value.” To the extent interest rates change, the investment value of the","page_number":43,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"64036449-93e9-4d04-8fc3-8313d04d70b9","block_type":"box","text":"conver tible security typically will fluctuate. At the same time, however, the value of the conver tible security will be","page_number":43,"box":{"x":69,"y":415,"width":807,"height":11}},{"id":"516d4e5f-881f-4072-8e55-e028b9def7dd","block_type":"box","text":"influenced by its “conversion value,” which is the market value of the underlying common stock that would be","page_number":43,"box":{"x":70,"y":430,"width":778,"height":11}},{"id":"7ccd1a24-8e4b-4658-aa33-42890fbdd579","block_type":"box","text":"obtained if the conver tible security were conver ted. Conversion value fluctuates directly with the price of the","page_number":43,"box":{"x":69,"y":445,"width":769,"height":11}},{"id":"ab4e7f4e-17b7-4f17-9b99-daa5ee6f4365","block_type":"box","text":"underlying common stock. If the conversion value of a conver tible security is substantially below its investment value,","page_number":43,"box":{"x":69,"y":460,"width":837,"height":12}},{"id":"c9f0b2ad-875d-4fe4-a791-9132b2d2ab58","block_type":"box","text":"the price of the conver tible security is governed principally by its investment value. To the extent the conversion value","page_number":43,"box":{"x":68,"y":475,"width":837,"height":12}},{"id":"652be647-7731-40f7-830d-44de869348de","block_type":"box","text":"of a conver tible security increases to a point that approximates or exceeds its investment value, the price of the","page_number":43,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"ea363e71-7116-47d2-ab1a-aba384b99dcf","block_type":"box","text":"conver tible security will be influenced principally by its conversion value. A conver tible security will sell at a premium","page_number":43,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"876438ea-10f5-430b-8f4e-bd31a5e3692c","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":43,"box":{"x":69,"y":521,"width":808,"height":11}},{"id":"e7369bb0-cdc8-49c5-9eea-2d232a3ab6a0","block_type":"box","text":"while holding a fixed-income security. The yield and conversion premium of conver tible securities issued in Japan and","page_number":43,"box":{"x":68,"y":536,"width":835,"height":11}},{"id":"4a32b7fa-2fd7-413e-b9cc-790a6b990ad9","block_type":"box","text":"the Euromarket are frequently determined at levels that cause the conversion value to affect their market value more","page_number":43,"box":{"x":68,"y":551,"width":836,"height":11}},{"id":"cd1b9c5a-ab3d-489f-9ea1-207dc6c83e87","block_type":"box","text":"than the securities’ investment value.","page_number":43,"box":{"x":68,"y":566,"width":268,"height":9}},{"id":"b62cf261-c1e3-47b0-8d8a-540e72ed6e5b","block_type":"box","text":"Holders of conver tible securities generally have a claim on the assets of the issuer prior to the common","page_number":43,"box":{"x":102,"y":589,"width":740,"height":11}},{"id":"b98c08f7-0e29-456b-ad6c-7ae883bbb7b0","block_type":"box","text":"stockholders but may be subordinated to other debt securities of the same issuer. A conver tible security may be","page_number":43,"box":{"x":69,"y":604,"width":801,"height":11}},{"id":"7a90503a-91ab-4520-8e2b-441f7018a5ba","block_type":"box","text":"subject to redemption at the option of the issuer at a price established in a char ter provision, indenture or other","page_number":43,"box":{"x":69,"y":619,"width":800,"height":11}},{"id":"f44f2ae2-dae7-4bf1-97f8-5a74bff0b793","block_type":"box","text":"governing instrument pursuant to which the conver tible security was issued. If a conver tible security held by a Fund is","page_number":43,"box":{"x":68,"y":634,"width":840,"height":12}},{"id":"a0d3dfe0-4ce4-459a-bd27-da8e874525dd","block_type":"box","text":"called for redemption, the Fund will be required to redeem the security, conver t it into the underlying common stock","page_number":43,"box":{"x":69,"y":649,"width":823,"height":12}},{"id":"94e0f0be-926f-45cd-a4fd-8929a2c06155","block_type":"box","text":"or sell it to a third par ty. Cer tain conver tible debt securities may provide a put option to the holder, which entitles the","page_number":43,"box":{"x":69,"y":665,"width":835,"height":11}},{"id":"d9cdbe0a-41c3-4183-8204-aebc8dfa65f9","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":43,"box":{"x":69,"y":680,"width":832,"height":11}},{"id":"409d4da7-9c29-43b6-a8f7-158f3294a843","block_type":"box","text":"security under cer tain circumstances.","page_number":43,"box":{"x":69,"y":695,"width":267,"height":11}},{"id":"5a0fd4bc-ea8c-4eed-99ce-a4aab5b7562a","block_type":"box","text":"A Fund may also invest in synthetic conver tible securities. Synthetic conver tible securities may include either","page_number":43,"box":{"x":101,"y":718,"width":777,"height":11}},{"id":"1dcc6a22-b867-45d0-a46d-4151dcf58674","block_type":"box","text":"Cash-Settled Conver tibles or Manufactured Conver tibles. “Cash-Settled Conver tibles” are instruments that are","page_number":43,"box":{"x":69,"y":732,"width":789,"height":10}},{"id":"adc0e18d-0a9b-4164-96b6-2e294fb59342","block_type":"box","text":"created by the issuer and have the economic characteristics of traditional conver tible securities but may not actually","page_number":43,"box":{"x":69,"y":748,"width":831,"height":11}},{"id":"57b333d4-8cf2-4233-97ee-f01a91e04732","block_type":"box","text":"permit conversion into the underlying equity securities in all circumstances. As an example, a private company may","page_number":43,"box":{"x":70,"y":763,"width":819,"height":11}},{"id":"31b7b837-838d-476d-b18a-d23d7d5aaf5c","block_type":"box","text":"issue a Cash-Settled Conver tible that is conver tible into common stock only if the company successfully completes a","page_number":43,"box":{"x":70,"y":778,"width":833,"height":11}},{"id":"8e5b797c-6ac1-4237-9d88-a7a2db5a3bb9","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":43,"box":{"x":70,"y":793,"width":769,"height":11}},{"id":"89900df5-0d16-4fa3-b839-02ed008a7b3c","block_type":"box","text":"appreciation. “Manufactured Conver tibles” are created by the Manager or another par ty by combining separate","page_number":43,"box":{"x":69,"y":808,"width":791,"height":11}},{"id":"68b609cc-29f6-4456-a140-59ea2cd9a559","block_type":"box","text":"securities that possess one of the two principal characteristics of a conver tible security,","page_number":43,"box":{"x":69,"y":823,"width":627,"height":11}},{"id":"5706afdb-c8a2-4e17-b64b-bdcd6b9ccad1","block_type":"box","text":"i.e.","page_number":43,"box":{"x":703,"y":823,"width":20,"height":9}},{"id":"65da7eee-204a-4ece-9792-1c5e1dc146a5","block_type":"box","text":", fixed-income (“fixed","page_number":43,"box":{"x":726,"y":823,"width":151,"height":11}},{"id":"26a93d6a-e0bc-4b30-ac9c-540475c1db03","block_type":"box","text":"income component”) or a right to acquire equity securities (“conver tibility component”). The fixed-income component","page_number":43,"box":{"x":70,"y":838,"width":830,"height":12}},{"id":"585c7f63-fcce-459a-b45e-32dafd0a6dcb","block_type":"box","text":"is achieved by investing in nonconver tible fixed-income securities, such as nonconver tible bonds, preferred stocks","page_number":43,"box":{"x":70,"y":853,"width":814,"height":12}},{"id":"945e70b8-5c01-45c6-bc79-6822f5202573","block_type":"box","text":"and money market instruments. The conver tibility component is achieved by investing in call options, warrants, or","page_number":43,"box":{"x":69,"y":869,"width":811,"height":11}},{"id":"3a4390ea-619e-4ad8-9c68-d8db35b66894","block_type":"box","text":"other securities with equity conversion features (“equity features”) granting the holder the right to purchase a","page_number":43,"box":{"x":69,"y":884,"width":779,"height":11}},{"id":"d4fbb599-03e4-471d-a5b1-aa7c29ec8fc4","block_type":"box","text":"II-6","page_number":43,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"6f5a27db-0a9b-47e9-8582-7890f5947da2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":43,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a4f55bce-52d5-44d8-80af-97a344d91f26","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":44,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"7048ca48-b50b-4e7d-8f2d-f6f4f3db0a1b","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":44,"box":{"x":69,"y":60,"width":744,"height":11}},{"id":"1d671fce-d59e-4377-9957-8532e0c09526","block_type":"box","text":"A Manufactured Conver tible differs from traditional conver tible securities in several respects. Unlike a traditional","page_number":44,"box":{"x":101,"y":82,"width":804,"height":11}},{"id":"4cede22d-2be3-403b-a19f-b673543ca7f2","block_type":"box","text":"conver tible security, which is a single security that has a unitary market value, a Manufactured Conver tible is","page_number":44,"box":{"x":69,"y":98,"width":777,"height":11}},{"id":"2dbab7c5-df6b-4de2-ad6e-9f1aa16f5935","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":44,"box":{"x":69,"y":113,"width":832,"height":11}},{"id":"72d20346-6a06-4056-86e2-c8575d1b3d40","block_type":"box","text":"such a Manufactured Conver tible is the sum of the values of its fixed-income component and its conver tibility","page_number":44,"box":{"x":69,"y":128,"width":781,"height":11}},{"id":"1bb07134-34a3-4679-b1c4-9a67a94a840c","block_type":"box","text":"component.","page_number":44,"box":{"x":69,"y":144,"width":82,"height":10}},{"id":"3581670b-3b3a-4955-91e9-16671cc7abda","block_type":"box","text":"More flexibility is possible in the creation of a Manufactured Conver tible than in the purchase of a traditional","page_number":44,"box":{"x":102,"y":166,"width":773,"height":11}},{"id":"34ce0d4c-8033-4f41-8222-6bc9ec864597","block_type":"box","text":"conver tible security. Because many corporations have not issued conver tible securities, the Manager may combine a","page_number":44,"box":{"x":69,"y":181,"width":833,"height":11}},{"id":"51f00467-fdce-4974-9a30-576e4f6dd8b4","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":44,"box":{"x":68,"y":196,"width":826,"height":11}},{"id":"8d37b5af-cb39-4e27-ac9a-80d976768b95","block_type":"box","text":"to create a synthetic conver tible security otherwise unavailable in the market. The Manager may also combine a","page_number":44,"box":{"x":68,"y":211,"width":800,"height":11}},{"id":"c65d9399-1b7f-440f-8c36-b4ffdf08a127","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":44,"box":{"x":68,"y":226,"width":817,"height":11}},{"id":"82decc04-4055-4009-96fa-8f30dbfa0648","block_type":"box","text":"Manager believes such a Manufactured Conver tible would better promote a Fund’s objective than alternative","page_number":44,"box":{"x":70,"y":241,"width":772,"height":11}},{"id":"ce1e8eb9-b91f-4b60-8908-e67e592631df","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":44,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"caf9acbe-c988-4228-9bd4-081358f6716a","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":44,"box":{"x":70,"y":271,"width":790,"height":12}},{"id":"0c54bf8f-e0d2-4afb-b47e-7281c80a3db0","block_type":"box","text":"Treasury instrument to create a Manufactured Conver tible with a higher credit profile than a traditional conver tible","page_number":44,"box":{"x":68,"y":286,"width":815,"height":12}},{"id":"565d7a15-f162-48bb-9e8a-b4422eec07f7","block_type":"box","text":"security issued by that issuer. A Manufactured Conver tible also is a more flexible investment in that its two","page_number":44,"box":{"x":69,"y":302,"width":764,"height":11}},{"id":"265e6ee9-3311-4a3d-ab96-d73f32626bab","block_type":"box","text":"components may be purchased separately and, upon purchasing the separate securities, “combined” to create a","page_number":44,"box":{"x":69,"y":317,"width":806,"height":11}},{"id":"6ce0b0ba-f1ee-4db1-9be3-f661292d107b","block_type":"box","text":"Manufactured Conver tible. For example, the Fund may purchase a warrant for eventual inclusion in a Manufactured","page_number":44,"box":{"x":70,"y":332,"width":818,"height":11}},{"id":"6f8fd3d7-e1ba-4350-b558-1e9b422687eb","block_type":"box","text":"Conver tible while postponing the purchase of a suitable bond to pair with the warrant pending development of more","page_number":44,"box":{"x":69,"y":347,"width":824,"height":11}},{"id":"f19712ae-dc77-4dc1-8289-afd4d05eee18","block_type":"box","text":"favorable market conditions.","page_number":44,"box":{"x":68,"y":362,"width":202,"height":9}},{"id":"f6506304-25d7-4528-ae85-2abe5b78f5e8","block_type":"box","text":"The value of a Manufactured Conver tible may respond to cer tain market fluctuations differently from a traditional","page_number":44,"box":{"x":101,"y":385,"width":805,"height":11}},{"id":"5a00342c-e575-4775-8093-7c2bae1a88bd","block_type":"box","text":"conver tible security with similar characteristics. For example, in the event a Fund created a Manufactured Conver tible","page_number":44,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"73ca3262-da60-440e-9646-6b601c67c307","block_type":"box","text":"by combining a shor t-term U.S. Treasury instrument and a call option on a stock, the Manufactured Conver tible would","page_number":44,"box":{"x":69,"y":415,"width":839,"height":11}},{"id":"1c84baef-4af0-4f7c-bb46-100c226327e4","block_type":"box","text":"be expected to outper form a traditional conver tible of similar maturity that is conver tible into that stock during","page_number":44,"box":{"x":69,"y":430,"width":787,"height":11}},{"id":"749da4b4-1720-47ac-b897-e65a2ee26902","block_type":"box","text":"periods when Treasury instruments outper form corporate fixed-income securities and underper form during periods","page_number":44,"box":{"x":70,"y":445,"width":815,"height":12}},{"id":"76fbcd87-9e50-4ac2-97d8-b4df53531c68","block_type":"box","text":"when corporate fixed-income securities outper form Treasury instruments.","page_number":44,"box":{"x":68,"y":460,"width":523,"height":12}},{"id":"891bba53-f7ca-4994-ad26-e02551f8857a","block_type":"box","text":"Corporate Loans.","page_number":44,"box":{"x":102,"y":483,"width":123,"height":11}},{"id":"c4603465-958c-4ddd-bacf-9b7492539359","block_type":"box","text":"Cer tain Funds may invest in corporate loans. Corporate loans are generally non-investment","page_number":44,"box":{"x":231,"y":483,"width":647,"height":11}},{"id":"eb636ef8-a086-40bb-bb2a-63d8cbe49dc3","block_type":"box","text":"grade floating rate instruments. Usually, they are freely callable at the issuer’s option. Cer tain Funds may invest in","page_number":44,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"88689ec1-5c02-463b-bc5b-9b6e20709c68","block_type":"box","text":"fixed and floating rate loans (“Loans”) arranged through private negotiations between a corporate borrower or a","page_number":44,"box":{"x":68,"y":513,"width":794,"height":12}},{"id":"51695f3e-5ec5-4301-8337-ccb1d5b92629","block_type":"box","text":"foreign sovereign entity and one or more financial institutions or institutional investors (“Lenders”). A Fund may invest","page_number":44,"box":{"x":68,"y":528,"width":841,"height":12}},{"id":"abba0003-e1f6-4daf-a4b3-d2895d7fc713","block_type":"box","text":"in such Loans in the form of par ticipations in Loans (“Par ticipations”) and assignments of all or a por tion of Loans","page_number":44,"box":{"x":70,"y":543,"width":818,"height":12}},{"id":"686b62b4-2096-4eb2-b8a2-bab4546a9d34","block_type":"box","text":"from third par ties (“Assignments”). A Fund considers these investments to be investments in debt securities for","page_number":44,"box":{"x":68,"y":559,"width":801,"height":11}},{"id":"0a8794d9-be4a-4be9-87ee-fdd1a0d7cc7f","block_type":"box","text":"purposes of its investment policies. Par ticipations typically will result in the Fund having a contractual relationship","page_number":44,"box":{"x":70,"y":574,"width":811,"height":11}},{"id":"4de6443e-404c-4ae4-988c-540d81d16b94","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":44,"box":{"x":69,"y":589,"width":833,"height":11}},{"id":"7dd44360-887d-42eb-af66-35102345bf15","block_type":"box","text":"any fees to which it is entitled only from the Lender selling the Par ticipation and only upon receipt by the Lender of","page_number":44,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"2c6d4f1b-dd6b-476d-af1f-c22cc4a8ddc9","block_type":"box","text":"the payments from the borrower. In connection with purchasing Par ticipations, the Fund generally will have no right to","page_number":44,"box":{"x":68,"y":619,"width":836,"height":11}},{"id":"2d8dc00c-59f8-4b8b-9a76-67528b19e959","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":44,"box":{"x":69,"y":634,"width":833,"height":12}},{"id":"e2d0bc6d-4459-409b-b69d-67e32c36d6c2","block_type":"box","text":"off against the borrower, and the Fund may not benefit directly from any collateral suppor ting the Loan in which it has","page_number":44,"box":{"x":69,"y":649,"width":837,"height":12}},{"id":"bf3d2b1b-7818-4dc8-86eb-513d6743ebcd","block_type":"box","text":"purchased the Par ticipation. As a result, the Fund will assume the credit risk of both the borrower and the Lender","page_number":44,"box":{"x":70,"y":664,"width":809,"height":11}},{"id":"cf6dae66-35cb-4ab6-ba40-7dc165e079ee","block_type":"box","text":"that is selling the Par ticipation. In the event of the insolvency of the Lender selling the Par ticipation, the Fund may be","page_number":44,"box":{"x":68,"y":680,"width":838,"height":11}},{"id":"b0bdf7a3-88d0-4421-8028-693fb7984e1b","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":44,"box":{"x":68,"y":695,"width":772,"height":11}},{"id":"28ebfbe2-a363-4f15-a9c4-6ce52caa2233","block_type":"box","text":"borrower. The Fund will acquire Par ticipations only if the Lender interpositioned between the Fund and the borrower is","page_number":44,"box":{"x":69,"y":710,"width":837,"height":11}},{"id":"84828734-f08d-4dd6-9e3a-39489c53f2d9","block_type":"box","text":"determined by the Fund’s manager to be creditwor thy. When the Fund purchases Assignments from Lenders, the","page_number":44,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"740e80a1-8fca-44d3-aba9-82e886cc89bd","block_type":"box","text":"Fund will acquire direct rights against the borrower on the Loan, and will not have exposure to a counterpar ty’s credit","page_number":44,"box":{"x":70,"y":740,"width":834,"height":11}},{"id":"8d1ae6fd-5f8e-4264-8ee7-1029c60e9160","block_type":"box","text":"risk. The Funds may enter into Par ticipations and Assignments on a forward commitment or “when-issued” basis,","page_number":44,"box":{"x":69,"y":755,"width":809,"height":11}},{"id":"3beaebfc-e840-4c35-8d66-d0a64fc17568","block_type":"box","text":"whereby a Fund would agree to purchase a Par ticipation or Assignment at set terms in the future. For more","page_number":44,"box":{"x":68,"y":770,"width":764,"height":12}},{"id":"4df2d5ac-d9ad-4a4b-8170-9f10e86a6125","block_type":"box","text":"information on forward commitments and when-issued securities, see “When-Issued Securities, Delayed Delivery","page_number":44,"box":{"x":70,"y":785,"width":805,"height":12}},{"id":"0a6316c9-e615-41cb-8658-d4971542c99b","block_type":"box","text":"Securities and Forward Commitments” below.","page_number":44,"box":{"x":69,"y":801,"width":324,"height":9}},{"id":"09ae5ce8-aba5-4aaa-97e4-fece4e39ac16","block_type":"box","text":"A Fund may have difficulty disposing of Assignments and Par ticipations. In cer tain cases, the market for such","page_number":44,"box":{"x":101,"y":823,"width":782,"height":12}},{"id":"5d5a4c6b-d41d-4f2c-b163-72aa650f8aa4","block_type":"box","text":"instruments may lack sufficient liquidity, and therefore the Fund anticipates that in such cases such instruments","page_number":44,"box":{"x":70,"y":838,"width":803,"height":11}},{"id":"113dd593-b2b9-4fdd-a111-d33dcc3c7636","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":44,"box":{"x":69,"y":853,"width":809,"height":12}},{"id":"61d0f156-4abb-45de-98fe-1d9a2ada1136","block_type":"box","text":"may have an adverse impact on the value of such instruments and on the Fund’s ability to dispose of par ticular","page_number":44,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"7a3408d2-5125-4b89-8533-36b0198222bb","block_type":"box","text":"Assignments or Par ticipations in response to a specific economic event, such as deterioration in the creditwor thiness","page_number":44,"box":{"x":68,"y":884,"width":841,"height":11}},{"id":"624055e5-695a-43db-bbf3-eef764b64552","block_type":"box","text":"of the borrower.","page_number":44,"box":{"x":69,"y":899,"width":111,"height":9}},{"id":"f37e2ca8-7e70-42dd-bd96-787623b0030a","block_type":"box","text":"II-7","page_number":44,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"8cda4a63-b703-4269-8847-1c2b8a5c076d","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":44,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"72578955-ed6b-4ce4-9f9e-578581af2e4c","block_type":"box","text":"Leading financial institutions often act as agent for a broader group of Lenders, generally referred to as a","page_number":45,"box":{"x":102,"y":45,"width":750,"height":11}},{"id":"b43a0f8d-6fb2-4f79-b738-1dc568b57aff","block_type":"box","text":"syndicate. The syndicate’s agent arranges the loans, holds collateral and accepts payments of principal and interest.","page_number":45,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"ba64387d-1564-4196-9196-bbfb4b0153ab","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":45,"box":{"x":70,"y":75,"width":816,"height":11}},{"id":"ce1a8925-f030-4c40-b281-c4b267dbe400","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":45,"box":{"x":101,"y":98,"width":740,"height":11}},{"id":"d36a5ef6-12f7-4a89-ae1c-e414f9dcfacc","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":45,"box":{"x":69,"y":113,"width":827,"height":11}},{"id":"df3f4693-692d-4b3e-8684-592a47fb78fe","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":45,"box":{"x":70,"y":128,"width":802,"height":11}},{"id":"bbc9aa4c-0d1b-4172-a658-95aa434f6662","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":45,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"5792b958-433c-4e2d-a635-4a3637adc9e9","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":45,"box":{"x":70,"y":158,"width":827,"height":11}},{"id":"baac6415-02a2-4a80-be74-d4cc87536488","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":45,"box":{"x":69,"y":173,"width":777,"height":11}},{"id":"ec09fc10-2e32-45be-80c6-2165c983d7ba","block_type":"box","text":"investment and may not receive interest during the delay.","page_number":45,"box":{"x":70,"y":188,"width":406,"height":12}},{"id":"293188fe-b97d-4ba9-ad33-daa6aba57328","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":45,"box":{"x":101,"y":211,"width":752,"height":11}},{"id":"feb54f1a-83b3-4ff7-965a-cea66df3a0be","block_type":"box","text":"corporate loans may not be readily available to make additional investments or to meet a Fund’s redemption","page_number":45,"box":{"x":69,"y":226,"width":773,"height":11}},{"id":"c2a99c45-e29b-4d86-9650-bab90220628d","block_type":"box","text":"obligations. To the extent the extended settlement process gives rise to shor t-term liquidity needs, a Fund may hold","page_number":45,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"7ba2a862-5401-4cd6-a2c4-d6bf42e73a77","block_type":"box","text":"additional cash, sell investments or temporarily borrow from banks and other lenders.","page_number":45,"box":{"x":69,"y":256,"width":610,"height":11}},{"id":"c07b9281-5f60-4d33-9091-7b4d06fdbd21","block_type":"box","text":"In cer tain circumstances, Loans may not be deemed to be securities under cer tain federal securities laws.","page_number":45,"box":{"x":102,"y":279,"width":759,"height":11}},{"id":"701d9883-4b66-4919-94cb-cdb5bdfdc6f2","block_type":"box","text":"Therefore, in the event of fraud or misrepresentation by a borrower or an arranger, Lenders and purchasers of","page_number":45,"box":{"x":68,"y":294,"width":784,"height":11}},{"id":"de7e5907-a6bc-4854-bae2-23da315f892d","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":45,"box":{"x":70,"y":309,"width":772,"height":11}},{"id":"69dd9a7f-1647-4264-ad4d-8cdf134e5e3a","block_type":"box","text":"securities laws as would otherwise be available for bonds or stocks. Instead, in such cases, par ties generally would","page_number":45,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"0d4376a3-d7ae-446d-bec3-3d3916f6f569","block_type":"box","text":"rely on the contractual provisions in the Loan agreement itself and common-law fraud protections under applicable","page_number":45,"box":{"x":69,"y":339,"width":815,"height":12}},{"id":"c7752421-ffc2-47dd-a66e-43f6f6cd74e3","block_type":"box","text":"state law.","page_number":45,"box":{"x":69,"y":355,"width":67,"height":9}},{"id":"141d47cd-a0d1-4a0f-88f1-73de2e6e399a","block_type":"box","text":"Direct Lending.","page_number":45,"box":{"x":102,"y":377,"width":105,"height":12}},{"id":"db5c70ee-b520-4603-8bff-5ba1dc73bc07","block_type":"box","text":"The Fund may act as the originator for direct loans and engage in direct lending. Direct loans","page_number":45,"box":{"x":213,"y":377,"width":660,"height":12}},{"id":"be8da5de-b92e-42c7-b3ba-18ffc7708691","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":45,"box":{"x":69,"y":393,"width":817,"height":11}},{"id":"177af46f-faab-4df4-bad0-a83ea0239215","block_type":"box","text":"financing to commercial borrowers directly or through companies acquired (or created) and owned by or otherwise","page_number":45,"box":{"x":68,"y":407,"width":811,"height":12}},{"id":"f6acaa42-861e-4e1c-8791-0ada68f25369","block_type":"box","text":"affiliated with the Fund. The terms of the direct loans are negotiated with borrowers in private transactions.","page_number":45,"box":{"x":69,"y":423,"width":764,"height":11}},{"id":"15d26061-067c-4d75-9392-a2227a30fc05","block_type":"box","text":"Fur thermore, a direct loan may be secured or unsecured.","page_number":45,"box":{"x":70,"y":438,"width":405,"height":11}},{"id":"c0099156-4584-4244-9eee-e0dc10bfde3f","block_type":"box","text":"In determining whether to make a direct loan, the Fund will rely primarily upon the creditwor thiness of the","page_number":45,"box":{"x":102,"y":460,"width":750,"height":12}},{"id":"2ea41cbb-62bf-4e74-a6c7-9f226dd443f1","block_type":"box","text":"borrower and/or any collateral for payment of interest and repayment of principal. The risks associated with direct","page_number":45,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"9e5acfb1-0732-4619-a197-b9dbcbfad645","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":45,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"31d741c1-324f-44a1-9434-32e3d845455e","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":45,"box":{"x":70,"y":506,"width":818,"height":11}},{"id":"b3b17239-ddb9-4075-a575-3f324b544170","block_type":"box","text":"money on the loan. Fur thermore, direct loans may subject the Fund to liquidity and interest rate risk and cer tain","page_number":45,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"ca1ca089-c38b-4dfd-a916-d55f0c13953d","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":45,"box":{"x":69,"y":536,"width":825,"height":11}},{"id":"6d7d63f2-9006-4171-8eab-0dcd35dfcf1e","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":45,"box":{"x":70,"y":551,"width":807,"height":11}},{"id":"742b4c81-96ad-47f2-99ff-e295e8789981","block_type":"box","text":"direct loan and/or to value the direct loan.","page_number":45,"box":{"x":69,"y":566,"width":301,"height":11}},{"id":"eec4f954-019b-4406-b570-831a3fb653fe","block_type":"box","text":"When engaging in direct lending, the Fund’s per formance may depend, in par t, on the ability of the Fund to","page_number":45,"box":{"x":101,"y":589,"width":762,"height":11}},{"id":"df268ebb-4ed3-41c5-acf5-506d2c8f1872","block_type":"box","text":"originate loans on advantageous terms. In originating loans, the Fund will compete with a broad spectrum of lenders.","page_number":45,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"310a64b8-1655-42a8-8d57-c8a64ff3210e","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":45,"box":{"x":70,"y":619,"width":836,"height":11}},{"id":"676dfcad-462a-49cd-8319-62e9867d1519","block_type":"box","text":"such loans, which could reduce Fund per formance.","page_number":45,"box":{"x":69,"y":634,"width":362,"height":11}},{"id":"332d01da-33a7-456c-9010-1061e70a2fc0","block_type":"box","text":"As par t of its lending activities, the Fund may originate loans to companies that are experiencing significant","page_number":45,"box":{"x":101,"y":657,"width":767,"height":11}},{"id":"3d66f855-4075-4e08-a7f7-d20c91a8b657","block_type":"box","text":"financial or business difficulties, including companies involved in bankruptcy or other reorganization and liquidation","page_number":45,"box":{"x":68,"y":672,"width":821,"height":11}},{"id":"eb0f3391-78f0-4b46-aa8f-e145951003ea","block_type":"box","text":"proceedings. Although the terms of such financing may result in significant financial returns to the Fund, they involve","page_number":45,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"bedbb46e-c948-475f-88c6-4d95d3fb7e87","block_type":"box","text":"a substantial degree of risk. The level of analytical sophistication, both financial and legal, necessary for successful","page_number":45,"box":{"x":69,"y":702,"width":826,"height":12}},{"id":"73e0054b-f921-47c7-a311-0fa307b45ec9","block_type":"box","text":"financing to companies experiencing significant business and financial difficulties is unusually high.","page_number":45,"box":{"x":68,"y":717,"width":709,"height":12}},{"id":"f59813a6-62af-4f93-84d7-5fc6da4d8f75","block_type":"box","text":"Credit Linked Securities.","page_number":45,"box":{"x":102,"y":740,"width":179,"height":9}},{"id":"67646c46-999a-4b70-99f0-e05d70abd292","block_type":"box","text":"Among the income producing securities in which a Fund may invest are credit linked","page_number":45,"box":{"x":287,"y":740,"width":596,"height":11}},{"id":"84a82fee-8eb2-4805-82a8-8a3288009548","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":45,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"acb3e08d-be08-452e-a15c-f2905c350317","block_type":"box","text":"or basket of derivative instruments, such as credit default swaps, interest rate swaps and other securities, in order","page_number":45,"box":{"x":69,"y":770,"width":823,"height":11}},{"id":"d3d0d79e-b2c4-407f-a3d7-6626e272a396","block_type":"box","text":"to provide exposure to cer tain fixed-income markets. For instance, a Fund may invest in credit linked securities as a","page_number":45,"box":{"x":68,"y":785,"width":827,"height":12}},{"id":"bcffd92e-b252-4296-b4c1-2681aa50f855","block_type":"box","text":"cash management tool in order to gain exposure to a cer tain market and/or to remain fully invested when more","page_number":45,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"0252665b-bdab-47c5-bea4-d39bdf115ffe","block_type":"box","text":"traditional income producing securities are not available.","page_number":45,"box":{"x":68,"y":816,"width":404,"height":11}},{"id":"50c950dc-ca72-4240-b1e5-60cb1a89f070","block_type":"box","text":"Like an investment in a bond, investments in these credit linked securities represent the right to receive periodic","page_number":45,"box":{"x":102,"y":839,"width":804,"height":11}},{"id":"51d02eea-c78f-430a-ad5c-f5ed3eb761bf","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":45,"box":{"x":70,"y":853,"width":780,"height":12}},{"id":"601be13b-4340-41c9-b5bc-8c73304d2d4f","block_type":"box","text":"However, these payments are conditioned on the issuer’s receipt of payments from, and the issuer’s potential","page_number":45,"box":{"x":102,"y":876,"width":785,"height":11}},{"id":"3886b51a-8c88-42b9-a8e7-bcb3278ca15a","block_type":"box","text":"obligations to, the counterpar ties to the derivative instruments and other securities in which the issuer invests. For","page_number":45,"box":{"x":69,"y":891,"width":821,"height":12}},{"id":"2794a415-efa5-4e17-a217-4ebdf7a7ae8b","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":45,"box":{"x":70,"y":906,"width":806,"height":12}},{"id":"a9c2585a-1373-47e1-a96c-1f47d5b129de","block_type":"box","text":"II-8","page_number":45,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"019e060f-f06d-4fa3-9c8e-ac44a30d3e2c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":45,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"aeb14aa6-d17d-45af-a461-a29146b9f506","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":46,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"5aef71f4-821d-4270-a5f2-edef8fc72d88","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":46,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"cdbd6a21-2578-4ea2-bfb0-558e319f2d6a","block_type":"box","text":"the issuer would be obligated to pay the counterpar ty the par (or other agreed upon value) of the referenced debt","page_number":46,"box":{"x":68,"y":75,"width":807,"height":11}},{"id":"e615ca07-6b49-4a28-953a-f9e7fd072812","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":46,"box":{"x":69,"y":90,"width":783,"height":11}},{"id":"115f1321-f1f5-497e-8a8f-326528cf49ac","block_type":"box","text":"investments in these instruments are indirectly subject to the risks associated with derivative instruments, including,","page_number":46,"box":{"x":70,"y":105,"width":833,"height":11}},{"id":"48c40aed-10f5-4a7f-bd85-66c9072cc603","block_type":"box","text":"among others, credit risk, default or similar event risk, counterpar ty risk, interest rate risk, leverage risk and","page_number":46,"box":{"x":69,"y":120,"width":771,"height":12}},{"id":"e267b528-17b0-4a16-9352-f2b26a392ca6","block_type":"box","text":"management risk. It is also expected that the securities will be exempt from registration under the Securities Act.","page_number":46,"box":{"x":69,"y":135,"width":808,"height":12}},{"id":"712d69fa-c520-4f98-907d-23120aa2ed01","block_type":"box","text":"Accordingly, there may be no established trading market for the securities and they may constitute illiquid","page_number":46,"box":{"x":68,"y":150,"width":752,"height":12}},{"id":"782556c6-98a6-4138-930e-5f5c0c49dc67","block_type":"box","text":"investments.","page_number":46,"box":{"x":70,"y":166,"width":89,"height":9}},{"id":"70f756d4-4179-4ea1-9ee0-8c3cf9255636","block_type":"box","text":"Debt Securities.","page_number":46,"box":{"x":102,"y":188,"width":116,"height":9}},{"id":"cf49b5e9-0988-4ae1-bc29-68b4c978b3fe","block_type":"box","text":"Debt securities, such as bonds, involve credit risk. This is the risk that the issuer will not make","page_number":46,"box":{"x":225,"y":188,"width":677,"height":11}},{"id":"5f0b1ab2-4f44-47ba-a5b1-82cc8d430801","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":46,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"e8e1117d-4d81-4561-851e-fc84a125f2b1","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":46,"box":{"x":68,"y":218,"width":787,"height":12}},{"id":"e70ac316-ec35-4839-a99b-fede00cdba6a","block_type":"box","text":"creditwor thiness may also affect the value of a Fund’s investment in that issuer. Credit risk is reduced to the extent","page_number":46,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"b35302de-255d-4868-844c-85ef2d14b4d5","block_type":"box","text":"a Fund limits its debt investments to U.S. Government Securities.","page_number":46,"box":{"x":69,"y":249,"width":466,"height":9}},{"id":"48868700-b876-4ea4-b47e-f6c7ccb4c213","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":46,"box":{"x":101,"y":271,"width":784,"height":12}},{"id":"66b86b2c-23d5-4f3c-95a2-d3a1ccd27323","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":46,"box":{"x":68,"y":286,"width":792,"height":12}},{"id":"61dc0a0f-cb07-471f-8781-23b1ac8c1565","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":46,"box":{"x":70,"y":302,"width":806,"height":11}},{"id":"0dd9f1d3-fea5-4c53-8bc8-3f270e5bac19","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":46,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"2625b064-0295-44cc-b215-d9b305449f57","block_type":"box","text":"rates than will the market price of shor ter-term debt securities.","page_number":46,"box":{"x":69,"y":332,"width":448,"height":11}},{"id":"07dee2a5-6e75-4fd8-bd62-76edb58e58d4","block_type":"box","text":"During periods of rising interest rates, the average life of cer tain fixed-income securities is extended because of","page_number":46,"box":{"x":102,"y":355,"width":798,"height":11}},{"id":"1b2f9021-923b-4a5d-8251-69e81ba24626","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":46,"box":{"x":69,"y":370,"width":813,"height":11}},{"id":"b4df178a-cc33-4338-b9f9-e54991a60d8e","block_type":"box","text":"these fixed-income securities, especially mor tgage-related securities, making them more sensitive to changes in","page_number":46,"box":{"x":68,"y":385,"width":801,"height":11}},{"id":"231282c0-7e10-4db1-84a4-b128453cfedb","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":46,"box":{"x":70,"y":400,"width":806,"height":11}},{"id":"734f498c-eed0-4def-8dc7-0dfb988b08b3","block_type":"box","text":"lose value. This is known as extension risk.","page_number":46,"box":{"x":70,"y":415,"width":307,"height":9}},{"id":"bf64c45f-7c94-4c08-a5f2-f65df2688507","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":46,"box":{"x":101,"y":438,"width":778,"height":11}},{"id":"904799f4-2917-4858-bb4c-b9b9346d4c23","block_type":"box","text":"interest rates. Fixed-income securities with longer maturities, which tend to produce higher yields, are subject to","page_number":46,"box":{"x":70,"y":453,"width":798,"height":11}},{"id":"953ce542-2fdc-47ed-b17f-e369d72f5af8","block_type":"box","text":"potentially greater capital appreciation and depreciation than securities with shor ter maturities. The Funds are not","page_number":46,"box":{"x":70,"y":468,"width":812,"height":11}},{"id":"2458c2cd-ad75-4284-88d7-aa5872b3a3b0","block_type":"box","text":"restricted to any maximum or minimum time to maturity in purchasing individual por tfolio securities, and the average","page_number":46,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"b8a9fee8-7b35-49cb-a9b8-c74e384856cb","block_type":"box","text":"maturity of a Fund’s assets will vary.","page_number":46,"box":{"x":69,"y":498,"width":259,"height":11}},{"id":"70bc0209-64e6-4e6d-94e4-91cb44f0aa18","block_type":"box","text":"Floating and Variable Rate Securities","page_number":46,"box":{"x":102,"y":521,"width":260,"height":11}},{"id":"270dab50-7db0-44cb-8952-84c075d0469a","block_type":"box","text":". Cer tain Funds may invest in debt instruments that pay a variable coupon","page_number":46,"box":{"x":364,"y":521,"width":526,"height":11}},{"id":"bad43d7f-fd87-4cfc-a560-7569e62c702c","block_type":"box","text":"rate. Securities with floating or variable interest rates can be less sensitive to interest rate changes than securities","page_number":46,"box":{"x":69,"y":536,"width":821,"height":11}},{"id":"0584eb8c-5a2c-4404-937a-90cab42cd100","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":46,"box":{"x":68,"y":551,"width":834,"height":11}},{"id":"5305df2c-639e-481d-891a-af12cff0b567","block_type":"box","text":"rates in general. Conversely, floating rate securities will not generally increase in value if interest rates decline. The","page_number":46,"box":{"x":69,"y":566,"width":820,"height":11}},{"id":"e493bfac-8ccc-4a0a-8e5e-a9e47b8c1dcd","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":46,"box":{"x":70,"y":581,"width":838,"height":12}},{"id":"604ccc35-d7ff-475b-8d04-3b4693d03c05","block_type":"box","text":"the investments. Benchmark interest rates used for floating and variable rate securities may not accurately track","page_number":46,"box":{"x":68,"y":596,"width":804,"height":12}},{"id":"8186f1c3-1efc-48a8-ac46-e5ce045b21b6","block_type":"box","text":"market interest rates.","page_number":46,"box":{"x":69,"y":612,"width":153,"height":9}},{"id":"9f117529-d68f-490c-a875-9e41e3763d7e","block_type":"box","text":"Inflation-Indexed Bonds.","page_number":46,"box":{"x":102,"y":634,"width":169,"height":9}},{"id":"be040320-d6b2-4052-bc8a-9058d90f063d","block_type":"box","text":"Cer tain Funds may invest in inflation-indexed bonds, which are fixed-income securities or","page_number":46,"box":{"x":278,"y":634,"width":632,"height":11}},{"id":"e837e7cc-693c-451d-88d6-43f8abf95f01","block_type":"box","text":"other instruments whose principal value is periodically adjusted according to the rate of inflation. Two structures are","page_number":46,"box":{"x":69,"y":649,"width":828,"height":12}},{"id":"966e34a7-97a0-45c5-8c5b-15deae696bea","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":46,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"a1a39f0f-26fe-428f-b4a2-a117dcb674df","block_type":"box","text":"the bond. Most other issuers pay out the Consumer Price Index (“CPI”) accruals as par t of a semi-annual coupon.","page_number":46,"box":{"x":68,"y":680,"width":810,"height":11}},{"id":"fbebed9d-b36d-4fc4-be93-7c40f1ff1643","block_type":"box","text":"Inflation-indexed securities issued by the U.S. Treasury have maturities of five, ten or thir ty years, although it is","page_number":46,"box":{"x":102,"y":702,"width":792,"height":12}},{"id":"a58e53c4-d08f-4afc-8a09-cd2ce1e3968f","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":46,"box":{"x":70,"y":717,"width":833,"height":12}},{"id":"3445a33f-1b75-417b-98df-d8dcd5ca79ba","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":46,"box":{"x":69,"y":732,"width":810,"height":12}},{"id":"ede0cc76-dd06-4884-b070-61a0dadd8a2b","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":46,"box":{"x":70,"y":747,"width":814,"height":12}},{"id":"e79721db-d9b1-455f-8b9a-d73d21312d95","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":46,"box":{"x":69,"y":762,"width":816,"height":12}},{"id":"fa953dd0-ca3c-43d7-9dbd-4dae494b5930","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":46,"box":{"x":69,"y":777,"width":828,"height":12}},{"id":"1dfe6eae-7631-4c78-96ff-60d97bc2dd06","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":46,"box":{"x":69,"y":792,"width":828,"height":12}},{"id":"0eca797a-f618-4685-b585-68aa366b5511","block_type":"box","text":"and the second semi-annual interest payment would be $15.45 ($1,030 times 1.5%).","page_number":46,"box":{"x":69,"y":807,"width":610,"height":12}},{"id":"5ec5a9a8-4247-4b38-af75-dad304475572","block_type":"box","text":"If the periodic adjustment rate measuring inflation falls, the principal value of inflation-indexed bonds will be","page_number":46,"box":{"x":102,"y":831,"width":767,"height":11}},{"id":"628efe55-3a72-485a-98db-15eef7249a33","block_type":"box","text":"adjusted downward, and, consequently, the interest payable on these securities (calculated with respect to a smaller","page_number":46,"box":{"x":69,"y":846,"width":833,"height":11}},{"id":"97d3fbb9-2ee4-4148-8c48-d894b45e2d26","block_type":"box","text":"principal amount) will be reduced. Repayment of the original bond principal upon maturity (as adjusted for inflation) is","page_number":46,"box":{"x":70,"y":861,"width":834,"height":11}},{"id":"77b884ea-66d5-491e-be78-6c549ab1d4ec","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":46,"box":{"x":68,"y":876,"width":795,"height":11}},{"id":"61ea77da-0d6e-44fa-9df3-b2075a476cd9","block_type":"box","text":"current market value of the bonds is not guaranteed, and will fluctuate. Cer tain Funds may also invest in other","page_number":46,"box":{"x":69,"y":891,"width":788,"height":12}},{"id":"4719f18e-d873-4a8e-980e-da663de1f08a","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":46,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"3cc30218-60db-4425-b467-6baec3d0a046","block_type":"box","text":"II-9","page_number":46,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"97051b88-e380-471d-8f4d-58e72926b7cf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":46,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bd9f924c-4e9a-4fa5-8ca3-4d446d1f9b70","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":47,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"299aecf5-a20d-462f-a20d-3b2fc28c11d8","block_type":"box","text":"Fund purchases inflation-indexed bonds offered by foreign issuers, the rate of inflation measured by the foreign","page_number":47,"box":{"x":70,"y":60,"width":792,"height":11}},{"id":"bd74d3af-a270-4cd2-8760-897fe251b07a","block_type":"box","text":"inflation index may not be correlated to the rate of inflation in the United States.","page_number":47,"box":{"x":70,"y":75,"width":570,"height":11}},{"id":"1437d128-2755-4ad9-9729-a0665e2af018","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":47,"box":{"x":101,"y":98,"width":780,"height":11}},{"id":"ec701b5e-00f1-4d6b-a78b-155f6d1ab173","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":47,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"555e423f-ad6e-47c6-8d7d-d44edc89123e","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":47,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"4d853bfc-834b-4aba-834d-b031cd5a7626","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":47,"box":{"x":70,"y":143,"width":796,"height":10}},{"id":"e5eaa9ff-f6dd-427c-9992-efac5f83f144","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":47,"box":{"x":70,"y":158,"width":805,"height":11}},{"id":"f3681b6f-901a-4fdb-8bfd-e65363acfef7","block_type":"box","text":"assurance, however, that the value of inflation-indexed bonds will be directly correlated to changes in interest rates.","page_number":47,"box":{"x":69,"y":173,"width":824,"height":11}},{"id":"ebcdb623-c6b1-48dd-8338-0cbf4fdf979c","block_type":"box","text":"While these securities are expected to be protected from long-term inflationary trends, shor t-term increases in","page_number":47,"box":{"x":101,"y":196,"width":788,"height":11}},{"id":"246938fa-389b-4989-8582-fc42a14fa2ce","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":47,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"7efaec4c-8ae4-46c1-9b98-bf31e17dbe8b","block_type":"box","text":"changes in currency exchange rates), investors in these securities may not be protected to the extent that the","page_number":47,"box":{"x":69,"y":226,"width":784,"height":11}},{"id":"ae657eb8-709d-457b-b5c9-3ab3562d2022","block_type":"box","text":"increase is not reflected in the bond’s inflation measure.","page_number":47,"box":{"x":70,"y":241,"width":403,"height":9}},{"id":"a3a7aa34-ec80-4587-a54c-fcab9290a755","block_type":"box","text":"In general, the measure used to determine the periodic adjustment of U.S. inflation-indexed bonds is the","page_number":47,"box":{"x":102,"y":264,"width":746,"height":11}},{"id":"ea4c2b09-4fab-4bbd-a0da-4e8de018f817","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":47,"box":{"x":69,"y":279,"width":786,"height":11}},{"id":"dcf63fcb-500c-440f-a455-e87c029193ef","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":47,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"1fb36d9c-262c-48b5-ae89-63b56d667ae4","block_type":"box","text":"food, transpor tation and energy. Inflation-indexed bonds issued by a foreign government are generally adjusted to","page_number":47,"box":{"x":68,"y":309,"width":809,"height":11}},{"id":"d12197b3-ac63-47fd-8a86-e6bd6bf7b575","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":47,"box":{"x":69,"y":324,"width":830,"height":12}},{"id":"a8ef876f-2f7f-4476-8d8c-b21321ac9e0b","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":47,"box":{"x":68,"y":339,"width":833,"height":12}},{"id":"08b93e9b-6b41-471f-906d-65fd5e6cb893","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":47,"box":{"x":68,"y":355,"width":840,"height":11}},{"id":"85ef035f-8ac3-4bef-b752-7f2e95b97e3a","block_type":"box","text":"United States.","page_number":47,"box":{"x":70,"y":370,"width":99,"height":9}},{"id":"8a084fb8-0d9e-4155-b6bc-37f57ecfa73c","block_type":"box","text":"Any increase in the principal amount of an inflation-indexed bond will be considered taxable ordinary income,","page_number":47,"box":{"x":101,"y":392,"width":774,"height":12}},{"id":"0cfae254-a34b-47dc-92a2-0b5bf92ea1da","block_type":"box","text":"even though investors do not receive their principal until maturity.","page_number":47,"box":{"x":69,"y":408,"width":464,"height":11}},{"id":"c3841f92-513f-4084-8688-25741a04c3a2","block_type":"box","text":"Investment Grade Debt Obligations.","page_number":47,"box":{"x":102,"y":430,"width":252,"height":11}},{"id":"221167b9-e1ca-4294-817b-3ef1cc79fae8","block_type":"box","text":"Cer tain Funds may invest in “investment grade securities,” which are","page_number":47,"box":{"x":360,"y":430,"width":493,"height":11}},{"id":"dc5477e7-6702-411c-96e4-a87a05b4af39","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":47,"box":{"x":69,"y":445,"width":823,"height":12}},{"id":"ad7fb639-03a5-4373-b9aa-6dcd7badad92","block_type":"box","text":"Manager. Cer tain Funds may invest in debt securities rated Aaa by Moody’s or AAA by S&P. It should be noted that","page_number":47,"box":{"x":70,"y":460,"width":815,"height":12}},{"id":"055a8063-f165-45c9-9eb9-aa2298e63849","block_type":"box","text":"debt obligations rated in the lowest of the top four ratings (","page_number":47,"box":{"x":69,"y":475,"width":420,"height":12}},{"id":"43f7052a-8524-401b-b02c-6ba745bc1c0e","block_type":"box","text":"i.e.","page_number":47,"box":{"x":492,"y":476,"width":20,"height":8}},{"id":"15e300a4-911e-4795-b1ed-05b4dc37ed99","block_type":"box","text":", “Baa” by Moody’s or “BBB” by S&P) are considered","page_number":47,"box":{"x":514,"y":476,"width":377,"height":11}},{"id":"0ec838a3-9a0a-4fa9-8990-c29813d6c80e","block_type":"box","text":"to have some speculative characteristics and are more sensitive to economic change than higher rated securities. If","page_number":47,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"16ed28bc-ebb3-42ff-aba1-d82c8d7a7100","block_type":"box","text":"an investment grade security of a Fund is subsequently downgraded below investment grade, the Fund’s Manager will","page_number":47,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"72d4211b-f902-4a17-bcef-319b7966c3cb","block_type":"box","text":"consider such an event in determining whether the Fund should continue to hold the security. Subject to its","page_number":47,"box":{"x":69,"y":521,"width":763,"height":11}},{"id":"76f82143-15b8-4f73-a5e0-95af859d17f6","block_type":"box","text":"investment strategies, there is no limit on the amount of such downgraded securities a Fund may hold.","page_number":47,"box":{"x":70,"y":536,"width":731,"height":11}},{"id":"9faf08f7-1f3e-4156-8df9-12cc37544306","block_type":"box","text":"See Appendix A to this SAI for a description of applicable securities ratings.","page_number":47,"box":{"x":102,"y":559,"width":536,"height":11}},{"id":"53f43990-d000-48c3-90a3-1b1c5196565b","block_type":"box","text":"High Yield Investments (“Junk Bonds”).","page_number":47,"box":{"x":102,"y":582,"width":278,"height":11}},{"id":"bd2ddf3e-a96c-4df8-ac80-8d658db95b0b","block_type":"box","text":"Non-investment grade or “high yield” fixed-income or conver tible securities commonly known to investors as","page_number":47,"box":{"x":102,"y":604,"width":767,"height":11}},{"id":"31bac514-99c9-4e9e-adef-7315cf7119df","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":47,"box":{"x":70,"y":619,"width":834,"height":11}},{"id":"02387500-e460-4331-a8e0-6c6fb8d302ed","block_type":"box","text":"that Fund management believes are of comparable quality. While generally providing greater income and oppor tunity","page_number":47,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"2382bf9b-0a30-4d78-b671-8acbc879ca2f","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":47,"box":{"x":68,"y":649,"width":841,"height":12}},{"id":"a16f8768-f889-4ace-8867-ccc5d63644ec","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":47,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"15598802-e5fa-41cc-9907-34f92729ef4e","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":47,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"71036e33-1b54-40e1-bf04-2138afe92bab","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":47,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"9a944283-3c9e-40fc-96c9-68d6c6adf242","block_type":"box","text":"ratings may from time to time change, positively or negatively, to reflect developments regarding the issuer’s financial","page_number":47,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"646086ef-8dbe-44a2-b4da-96e2398629a5","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":47,"box":{"x":69,"y":725,"width":817,"height":11}},{"id":"1a6d55ee-fa43-43f3-8949-a04b0f4d75ef","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":47,"box":{"x":69,"y":740,"width":837,"height":11}},{"id":"0a4cef2c-c4e6-476a-922e-86e3ce5b3e9a","block_type":"box","text":"risk than higher rated securities.","page_number":47,"box":{"x":69,"y":755,"width":230,"height":11}},{"id":"dc9e1d64-3039-44c0-bba0-cd0a11a7da02","block_type":"box","text":"The major risks in junk bond investments include the following:","page_number":47,"box":{"x":101,"y":778,"width":447,"height":11}},{"id":"254e2af4-2710-4075-915c-c0e23d3ff29f","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":801,"width":6,"height":4}},{"id":"906cc4b4-5c67-4d88-a7cd-b74516af691b","block_type":"box","text":"Junk bonds may be issued by less creditwor thy companies. These securities are vulnerable to adverse changes","page_number":47,"box":{"x":101,"y":798,"width":796,"height":11}},{"id":"9c4d9681-d382-4a04-ae50-02274ffc7e3f","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":47,"box":{"x":102,"y":813,"width":792,"height":11}},{"id":"12e93473-7fa8-40de-8c0d-d149a84138ab","block_type":"box","text":"interest or principal payment obligations because of an economic downturn, specific issuer developments or the","page_number":47,"box":{"x":102,"y":828,"width":799,"height":12}},{"id":"5be3fd0d-2a16-4f97-9eeb-a7a323981ccf","block_type":"box","text":"unavailability of additional financing.","page_number":47,"box":{"x":102,"y":843,"width":256,"height":12}},{"id":"d6402127-a441-47a8-a5c7-27e5adad940d","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":866,"width":6,"height":5}},{"id":"95925e86-50d9-42b1-801b-d25b7c68e170","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":47,"box":{"x":101,"y":863,"width":797,"height":12}},{"id":"a8057658-888e-43fd-9255-0376e1b7bf05","block_type":"box","text":"investment grade bonds. If the issuer experiences financial stress, it may be unable to meet its debt obligations.","page_number":47,"box":{"x":102,"y":879,"width":804,"height":11}},{"id":"066dafcf-d75d-4eb8-afa6-51ce0f4db3ca","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":47,"box":{"x":101,"y":894,"width":769,"height":11}},{"id":"890086ff-3123-4a2e-bc7f-245531cd811a","block_type":"box","text":"II-10","page_number":47,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"74095783-3ca8-474b-af55-cbde68e4d069","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":47,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0eefa7fa-5a55-40cf-88be-43177c3d0b4e","block_type":"box","text":"unavailability of additional financing. Issuers of high yield securities are often in the growth stage of their","page_number":48,"box":{"x":102,"y":45,"width":746,"height":11}},{"id":"a516c8cf-cf29-493c-9e12-0cfa76692578","block_type":"box","text":"development and/or involved in a reorganization or takeover.","page_number":48,"box":{"x":101,"y":60,"width":432,"height":11}},{"id":"8e6b968f-77f0-41ec-9db4-7b79cc418619","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"71e8439e-2fd9-4da6-b4ac-9b1786910058","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":48,"box":{"x":101,"y":80,"width":808,"height":11}},{"id":"02ea3a5f-e652-44f0-80ec-36c443179232","block_type":"box","text":"senior obligations are generally paid off before the junior obligations, which will potentially limit a Fund’s ability","page_number":48,"box":{"x":102,"y":95,"width":789,"height":11}},{"id":"f9a40a3c-c61c-4ffa-ad3c-af7ea0a3c02a","block_type":"box","text":"to fully recover principal or to receive interest payments when senior securities are in default. Thus, investors in","page_number":48,"box":{"x":101,"y":110,"width":796,"height":11}},{"id":"24b2df1b-13a5-4f5e-ac13-2b72c4473075","block_type":"box","text":"high yield securities have a lower degree of protection with respect to principal and interest payments than do","page_number":48,"box":{"x":102,"y":125,"width":782,"height":12}},{"id":"393afe85-cc7f-44a3-abc2-5e421a5534a2","block_type":"box","text":"investors in higher rated securities.","page_number":48,"box":{"x":102,"y":141,"width":249,"height":11}},{"id":"40753047-b3ea-4ffa-aa2c-b0730cb077a7","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"306d6a98-b314-45a0-8f77-98807afc6b20","block_type":"box","text":"Junk bonds frequently have redemption features that permit an issuer to repurchase the security from a Fund","page_number":48,"box":{"x":101,"y":161,"width":780,"height":11}},{"id":"605a6e90-aa1c-4f1f-889c-d5f0652cc356","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":48,"box":{"x":102,"y":176,"width":784,"height":11}},{"id":"4d0ac526-10d1-4b8a-95f5-2a02b163b810","block_type":"box","text":"lower yields and may lose income.","page_number":48,"box":{"x":102,"y":191,"width":242,"height":11}},{"id":"fe2e038f-ff46-4838-8a93-5ea7ba2f1a91","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":214,"width":6,"height":4}},{"id":"29e3961c-e33f-43cd-a9a4-1d6b334db29b","block_type":"box","text":"Prices of junk bonds are subject to extreme price fluctuations. Negative economic developments may have a","page_number":48,"box":{"x":102,"y":211,"width":772,"height":11}},{"id":"bf29c080-6ba0-4f10-bcc9-04e09db7879b","block_type":"box","text":"greater impact on the prices of junk bonds than on those of other higher rated fixed-income securities.","page_number":48,"box":{"x":101,"y":226,"width":729,"height":11}},{"id":"12a53024-daa1-4989-ba92-e8a5e1bf629d","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":249,"width":6,"height":5}},{"id":"c7ac1abb-5596-4db8-a2a8-411b57d6a7d2","block_type":"box","text":"Junk bonds may be less liquid than higher rated fixed-income securities even under normal economic conditions.","page_number":48,"box":{"x":101,"y":246,"width":802,"height":11}},{"id":"4df3c70a-40e2-4e63-aa22-0516c810e86f","block_type":"box","text":"Under cer tain economic and/or market conditions, a Fund may have difficulty disposing of cer tain high yield","page_number":48,"box":{"x":102,"y":261,"width":768,"height":12}},{"id":"1ffe040d-0a4e-4b81-bd70-27d9daf47d30","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":48,"box":{"x":102,"y":276,"width":805,"height":12}},{"id":"fc4270a2-eb67-4a46-b0f9-81994e043413","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":48,"box":{"x":102,"y":292,"width":781,"height":11}},{"id":"89638b39-7a7f-40a9-be96-9c37c067d368","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":48,"box":{"x":102,"y":307,"width":767,"height":11}},{"id":"871af5f9-cccb-4e90-a1c1-b5383ac32fd0","block_type":"box","text":"liquid than higher rated bonds, judgment may play a greater role in valuing cer tain of a Fund’s por tfolio securities","page_number":48,"box":{"x":102,"y":322,"width":806,"height":11}},{"id":"6e451718-3e6f-4689-822c-bf77ad922cce","block_type":"box","text":"than in the case of securities trading in a more liquid market.","page_number":48,"box":{"x":101,"y":337,"width":436,"height":11}},{"id":"1c72266a-cc45-4a45-abb8-0874d0f5d9d8","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"4334686c-3da3-480c-84e1-e20ed2492ae2","block_type":"box","text":"The secondary markets for high yield securities are not as liquid as the secondary markets for higher rated","page_number":48,"box":{"x":101,"y":357,"width":763,"height":11}},{"id":"defff7d6-2c96-45bd-8343-523654dbf43c","block_type":"box","text":"securities. The secondary markets for high yield securities are concentrated in relatively few market makers and","page_number":48,"box":{"x":102,"y":372,"width":798,"height":11}},{"id":"16e339de-4cd7-4d7b-9a59-758115dad23d","block_type":"box","text":"par ticipants in the markets are mostly institutional investors, including insurance companies, banks, other","page_number":48,"box":{"x":102,"y":388,"width":759,"height":11}},{"id":"a57b188f-6bba-44db-8828-d895e52b1d4f","block_type":"box","text":"financial institutions and mutual funds. In addition, the trading volume for high yield securities is generally lower","page_number":48,"box":{"x":101,"y":402,"width":798,"height":12}},{"id":"009fe43a-6aef-4767-a730-464ab1efd876","block_type":"box","text":"than that for higher rated securities and the secondary markets could contract under adverse market or","page_number":48,"box":{"x":101,"y":418,"width":739,"height":11}},{"id":"419a759f-048e-4b18-b56e-220d53b44b41","block_type":"box","text":"economic conditions independent of any specific adverse changes in the condition of a par ticular issuer. Under","page_number":48,"box":{"x":101,"y":433,"width":792,"height":11}},{"id":"a1a82c3d-7c97-458d-8924-64c0d8af5e09","block_type":"box","text":"cer tain economic and/or market conditions, a Fund may have difficulty disposing of cer tain high yield securities","page_number":48,"box":{"x":101,"y":448,"width":797,"height":11}},{"id":"265a053c-da48-4cf6-be88-09290adcbb18","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":48,"box":{"x":101,"y":463,"width":791,"height":11}},{"id":"a32a8968-901f-40af-9e13-aba712610245","block_type":"box","text":"affect the market price of the high yield security, which may result in increased difficulty selling the par ticular","page_number":48,"box":{"x":102,"y":478,"width":777,"height":11}},{"id":"d96c6994-dc36-4408-8cc5-296aed86e42a","block_type":"box","text":"issue and obtaining accurate market quotations on the issue when valuing a Fund’s assets. Market quotations","page_number":48,"box":{"x":102,"y":493,"width":788,"height":11}},{"id":"320aee31-3458-4bb9-b730-1ab18b4b9f56","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":48,"box":{"x":102,"y":508,"width":797,"height":12}},{"id":"75ca193a-202b-4178-bd37-bcbb1f69c1c2","block_type":"box","text":"actual prices available for a purchase or sale. When the secondary market for high yield securities becomes","page_number":48,"box":{"x":102,"y":523,"width":769,"height":12}},{"id":"8d511cb6-649c-456f-82d3-fbc4d38552f2","block_type":"box","text":"more illiquid, or in the absence of readily available market quotations for such securities, the relative lack of","page_number":48,"box":{"x":102,"y":538,"width":772,"height":12}},{"id":"2bd42a2f-d5c4-4221-a07c-449d4f4473da","block_type":"box","text":"reliable objective data makes it more difficult to value a Fund’s securities, and judgment plays a more impor tant","page_number":48,"box":{"x":102,"y":554,"width":801,"height":11}},{"id":"61b4e5a5-a202-476f-9649-edccff429344","block_type":"box","text":"role in determining such valuations.","page_number":48,"box":{"x":102,"y":569,"width":252,"height":11}},{"id":"a97f7087-5bd0-4a05-b608-daab64201eb4","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":592,"width":6,"height":4}},{"id":"e33e9e86-a7fb-46b7-832d-f3c8179d3e61","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":48,"box":{"x":101,"y":589,"width":808,"height":11}},{"id":"8c92e34c-f6a3-46a6-b6b5-e758b2dcf321","block_type":"box","text":"a defaulting issuer.","page_number":48,"box":{"x":102,"y":604,"width":134,"height":11}},{"id":"9f7cd04c-f22e-4251-84f9-a4dc90bd21a0","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":627,"width":6,"height":5}},{"id":"6620aa4b-b6bc-4918-9ab4-0ab0e0b77ff5","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":48,"box":{"x":101,"y":624,"width":800,"height":11}},{"id":"d0255ee5-aabf-454a-a92e-a05f4c5d83d6","block_type":"box","text":"or expectation of adverse news, whether or not it is based on fundamental analysis. Additionally, prices for high","page_number":48,"box":{"x":102,"y":639,"width":793,"height":12}},{"id":"2a250db6-f9aa-496c-8291-2e531a97c8f4","block_type":"box","text":"yield securities may be affected by legislative and regulatory developments. These developments could adversely","page_number":48,"box":{"x":101,"y":654,"width":808,"height":12}},{"id":"4e09d0cf-889b-46e2-85c4-f9955a487be9","block_type":"box","text":"affect a Fund’s NAV and investment practices, the secondary market for high yield securities, the financial","page_number":48,"box":{"x":102,"y":669,"width":756,"height":12}},{"id":"edf3576b-9d9a-4cb2-acfc-f61c95281466","block_type":"box","text":"condition of issuers of these securities and the value and liquidity of outstanding high yield securities, especially","page_number":48,"box":{"x":101,"y":685,"width":803,"height":11}},{"id":"c526af76-16df-4db3-ad22-dc7111a1badd","block_type":"box","text":"in a thinly traded market. For example, federal legislation requiring the divestiture by federally insured savings","page_number":48,"box":{"x":102,"y":700,"width":781,"height":11}},{"id":"5e2190dc-3a98-4e4e-8b6c-8a815e079ccc","block_type":"box","text":"and loan associations of their investments in high yield bonds and limiting the deductibility of interest by cer tain","page_number":48,"box":{"x":102,"y":715,"width":798,"height":11}},{"id":"ccf9ed72-81c6-42bf-b192-53fd4efec064","block_type":"box","text":"corporate issuers of high yield bonds adversely affected the market in the past.","page_number":48,"box":{"x":101,"y":730,"width":566,"height":11}},{"id":"93d11e16-983d-4d01-906e-d9e851295c22","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":753,"width":6,"height":5}},{"id":"aca45867-9ce2-4147-aa73-2493eabfd262","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":48,"box":{"x":101,"y":750,"width":751,"height":11}},{"id":"a42df5c3-c220-4b2e-90e1-67f7f57d276d","block_type":"box","text":"investment grade security’s principal and interest payments, but does not address market value risk. Because","page_number":48,"box":{"x":102,"y":766,"width":786,"height":11}},{"id":"0c19256c-6b67-43c4-87d4-24df6b4f6ff2","block_type":"box","text":"such ratings of the ratings agencies may not always reflect current conditions and events, in addition to using","page_number":48,"box":{"x":102,"y":780,"width":782,"height":12}},{"id":"98ceae44-a13b-4b06-8eee-edb59550b1ca","block_type":"box","text":"recognized rating agencies and other sources, the Manager or sub-adviser per forms its own analysis of the","page_number":48,"box":{"x":102,"y":795,"width":762,"height":12}},{"id":"5a55d24a-007d-4911-bd91-fbd151cd7982","block_type":"box","text":"issuers whose non-investment grade securities a Fund holds. Because of this, the Fund’s per formance may","page_number":48,"box":{"x":102,"y":811,"width":767,"height":11}},{"id":"9d6b1355-771a-49d1-bda9-80b22daf7378","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":48,"box":{"x":101,"y":826,"width":806,"height":11}},{"id":"c0c075ea-b781-4cc2-aee7-6b9a4b50a3c6","block_type":"box","text":"higher-rated securities.","page_number":48,"box":{"x":102,"y":841,"width":161,"height":11}},{"id":"fe88aafb-2382-473e-b5e9-b0258a94a9f5","block_type":"box","text":"In selecting non-investment grade securities, the Manager or sub-adviser considers factors such as those","page_number":48,"box":{"x":102,"y":863,"width":751,"height":12}},{"id":"994b87a5-3934-4f4d-b785-69c4f886ca58","block_type":"box","text":"relating to the creditwor thiness of issuers, the ratings and per formance of the securities, the protections afforded","page_number":48,"box":{"x":69,"y":879,"width":814,"height":11}},{"id":"14206a47-19ec-4595-82b9-b48926ea6cc6","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":48,"box":{"x":68,"y":894,"width":812,"height":11}},{"id":"d72d9cbd-b316-4112-a39f-a93ad7a97c25","block_type":"box","text":"investment grade securities held by the Fund for their ability to make required principal and interest payments, as","page_number":48,"box":{"x":70,"y":909,"width":808,"height":11}},{"id":"9b5bac14-5a9a-4380-9a59-d3f8eca083c8","block_type":"box","text":"II-11","page_number":48,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3daee170-fe68-482a-a499-205d6ea67181","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":48,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4a07aad9-6679-48e1-bc5b-c4208f370ae4","block_type":"box","text":"well as in an effor t to control the liquidity of the Fund so that it can meet redemption requests. If a security’s rating","page_number":49,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"abc41d98-f0a5-45e7-b7f4-03f369acb9ae","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":49,"box":{"x":70,"y":60,"width":779,"height":11}},{"id":"cec87f07-7f42-4d64-b1ab-fbbf213e34db","block_type":"box","text":"consider whether the Fund should continue to hold the security.","page_number":49,"box":{"x":69,"y":75,"width":451,"height":11}},{"id":"6c6357bb-e5dd-4b09-8a1b-2d6f9ad81094","block_type":"box","text":"In the event that a Fund investing in high yield securities experiences an unexpected level of net redemptions,","page_number":49,"box":{"x":102,"y":98,"width":782,"height":11}},{"id":"40b8f553-aca2-45c1-ab5a-5c452f2524eb","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":49,"box":{"x":68,"y":113,"width":825,"height":11}},{"id":"7a493725-2d1a-4c8a-9a8b-717b80bc9819","block_type":"box","text":"upon which the Fund’s rate of return is based.","page_number":49,"box":{"x":69,"y":128,"width":328,"height":11}},{"id":"9fd8249f-0924-4f10-b34c-f785338c0c99","block_type":"box","text":"The costs attributable to investing in the junk bond markets are usually higher for several reasons, such as","page_number":49,"box":{"x":101,"y":150,"width":764,"height":12}},{"id":"cb01020e-4681-4618-bb89-82d411406eb4","block_type":"box","text":"higher investment research costs and higher commission costs.","page_number":49,"box":{"x":69,"y":166,"width":455,"height":11}},{"id":"120eafd7-8db7-4344-969c-2574a917f601","block_type":"box","text":"Mezzanine Investments.","page_number":49,"box":{"x":102,"y":188,"width":170,"height":9}},{"id":"101f7355-f47e-4fa8-b8af-add5c775c3f3","block_type":"box","text":"Cer tain Funds, consistent with their restrictions on investing in securities of a specific","page_number":49,"box":{"x":279,"y":188,"width":612,"height":12}},{"id":"86dd04da-33d0-4462-8465-c2a983b93469","block_type":"box","text":"credit quality, may invest in cer tain high yield securities known as mezzanine investments, which are subordinated","page_number":49,"box":{"x":69,"y":204,"width":813,"height":11}},{"id":"cd387d1b-54fe-4a00-bd1f-184c41fadbf8","block_type":"box","text":"debt securities which are generally issued in private placements in connection with an equity security (","page_number":49,"box":{"x":69,"y":219,"width":729,"height":11}},{"id":"8be820ae-e1d0-402d-8e3e-53d47b4b3d33","block_type":"box","text":"e.g.","page_number":49,"box":{"x":800,"y":220,"width":24,"height":10}},{"id":"7526a3fa-e3a8-47f1-ac8e-75daf258abb7","block_type":"box","text":", with","page_number":49,"box":{"x":827,"y":219,"width":36,"height":10}},{"id":"749f29a9-4383-403d-abcf-e45f288979fd","block_type":"box","text":"attached warrants). Such mezzanine investments may be issued with or without registration rights. Similar to other","page_number":49,"box":{"x":69,"y":234,"width":818,"height":11}},{"id":"2b5000f4-1cdc-4407-98ca-b4450cbff114","block_type":"box","text":"high yield securities, maturities of mezzanine investments are typically seven to ten years, but the expected average","page_number":49,"box":{"x":69,"y":249,"width":827,"height":11}},{"id":"14acb2ac-ca67-4218-9524-091b7623add2","block_type":"box","text":"life is significantly shor ter at three to five years. Mezzanine investments are usually unsecured and subordinate to","page_number":49,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"3927cc6a-d038-4d1d-846a-b9aab7a2e886","block_type":"box","text":"other obligations of the issuer.","page_number":49,"box":{"x":69,"y":279,"width":216,"height":11}},{"id":"ee187cdb-6d7b-45ab-96db-8dd44111db8d","block_type":"box","text":"Pay-in-kind Bonds.","page_number":49,"box":{"x":102,"y":302,"width":127,"height":11}},{"id":"317aabfe-9cd0-4581-a97f-97d2ba90403f","block_type":"box","text":"Cer tain Funds may invest in pay-in-kind, or PIK, bonds. PIK bonds are bonds which pay","page_number":49,"box":{"x":236,"y":302,"width":615,"height":11}},{"id":"9559e470-248a-4844-be73-ab48d31fd39f","block_type":"box","text":"interest through the issuance of additional debt or equity securities. Similar to zero coupon obligations, pay-in-kind","page_number":49,"box":{"x":70,"y":317,"width":813,"height":11}},{"id":"2ed9a533-08af-4d1a-aff0-8780bee6f6e0","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":49,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"880e99b1-6630-449b-97d7-bab341bba829","block_type":"box","text":"unless a por tion of such securities is sold and, if the issuer defaults, a Fund may obtain no return at all on its","page_number":49,"box":{"x":69,"y":347,"width":784,"height":11}},{"id":"5ee50cc9-cd4e-498d-887d-9e95b5afec75","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":49,"box":{"x":70,"y":362,"width":783,"height":11}},{"id":"9e98d8e2-b186-4205-a656-94abac6638aa","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":49,"box":{"x":68,"y":377,"width":790,"height":11}},{"id":"31771be1-87d4-4b7f-b072-a802ea41b142","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":49,"box":{"x":68,"y":392,"width":831,"height":12}},{"id":"b96614ca-8819-41bb-a6ce-559cd44eeac0","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":49,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"6eb2651f-f53d-4c7d-88cb-095cc80ec8c9","block_type":"box","text":"federal income and excise taxes, each Fund may be required to distribute income accrued with respect to these","page_number":49,"box":{"x":68,"y":423,"width":798,"height":11}},{"id":"8a3e9e70-11b6-436d-9986-d22b4db0c712","block_type":"box","text":"securities and may have to dispose of por tfolio securities under disadvantageous circumstances in order to generate","page_number":49,"box":{"x":69,"y":438,"width":835,"height":11}},{"id":"0cebdf1f-cc44-4528-be32-99dbe685defb","block_type":"box","text":"cash to satisfy these distribution requirements.","page_number":49,"box":{"x":69,"y":453,"width":336,"height":11}},{"id":"bfdc37dc-8959-41cd-9449-bf850ca3cea9","block_type":"box","text":"Supranational Entities.","page_number":49,"box":{"x":102,"y":476,"width":160,"height":10}},{"id":"2dbe5d10-d09b-4cc4-9a1a-ab1e1a25be46","block_type":"box","text":"A Fund may invest in debt securities of supranational entities. Examples of such entities","page_number":49,"box":{"x":268,"y":475,"width":629,"height":12}},{"id":"b8f26e4c-54db-42ca-87a2-3b61d6f5eb0c","block_type":"box","text":"include the International Bank for Reconstruction and Development (the World Bank), the European Steel and Coal","page_number":49,"box":{"x":70,"y":491,"width":814,"height":11}},{"id":"12ec66b4-38e5-485d-bd01-84bcf03d53f8","block_type":"box","text":"Community, the Asian Development Bank and the Inter-American Development Bank. The government members, or","page_number":49,"box":{"x":69,"y":506,"width":817,"height":11}},{"id":"cc219cfa-87b9-4889-a572-77bf177f20ab","block_type":"box","text":"“stockholders,” usually make initial capital contributions to the supranational entity and in many cases are","page_number":49,"box":{"x":70,"y":521,"width":759,"height":11}},{"id":"5a47620c-0aea-4201-8fd6-e35b5064539e","block_type":"box","text":"committed to make additional capital contributions if the supranational entity is unable to repay its borrowings. There","page_number":49,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"0bc1c481-803b-4ced-8f2d-f64d6bf6646e","block_type":"box","text":"is no guarantee that one or more stockholders of a supranational entity will continue to make any necessary","page_number":49,"box":{"x":70,"y":551,"width":772,"height":11}},{"id":"a5a046b3-e4ea-41e4-b29c-e6f01f4532d3","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":49,"box":{"x":69,"y":566,"width":830,"height":11}},{"id":"88f608ba-6699-47f9-9634-b2692143f55e","block_type":"box","text":"principal on its debt securities, and a Fund may lose money on such investments.","page_number":49,"box":{"x":70,"y":582,"width":580,"height":10}},{"id":"dd6ad130-7c8a-4c84-b402-65aac502f2dd","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs).","page_number":49,"box":{"x":102,"y":604,"width":334,"height":11}},{"id":"d4e0d7fa-e2ca-4e08-b293-e10a90c0fd26","block_type":"box","text":"Cer tain Funds may invest in the securities of foreign issuers in","page_number":49,"box":{"x":442,"y":604,"width":446,"height":11}},{"id":"59299b1d-cb0f-4cc8-a7fe-0bf34ebef01d","block_type":"box","text":"the form of Depositary Receipts or other securities conver tible into securities of foreign issuers. Depositary Receipts","page_number":49,"box":{"x":68,"y":619,"width":835,"height":11}},{"id":"21efbd37-18f9-46c2-b246-bc652601a0db","block_type":"box","text":"may not necessarily be denominated in the same currency as the underlying securities into which they may be","page_number":49,"box":{"x":69,"y":634,"width":784,"height":12}},{"id":"70029d58-6783-4b84-8032-6d76b1fec160","block_type":"box","text":"conver ted. The Fund may invest in both sponsored and unsponsored American Depositary Receipts (“ADRs”),","page_number":49,"box":{"x":69,"y":650,"width":781,"height":11}},{"id":"12da7943-f466-4914-8684-894bfc434aa0","block_type":"box","text":"European Depositary Receipts (“EDRs”), Global Depositary Receipts (“GDRs”) and other similar global instruments.","page_number":49,"box":{"x":70,"y":665,"width":823,"height":11}},{"id":"0cbed9e0-6cdf-4025-b7f2-7858309e923a","block_type":"box","text":"ADRs typically are issued by an American bank or trust company and evidence ownership of underlying securities","page_number":49,"box":{"x":68,"y":680,"width":804,"height":11}},{"id":"5f8819bd-89b9-46db-a084-063e194b2f74","block_type":"box","text":"issued by a foreign corporation. EDRs, which are sometimes referred to as Continental Depositary Receipts, are","page_number":49,"box":{"x":70,"y":695,"width":799,"height":11}},{"id":"1b704cfc-db00-4065-9938-21f6fb72d422","block_type":"box","text":"receipts issued in Europe, typically by foreign banks and trust companies, that evidence ownership of either foreign","page_number":49,"box":{"x":69,"y":710,"width":821,"height":11}},{"id":"14b75b65-9543-4aef-b9b9-0961bcf43f35","block_type":"box","text":"or domestic underlying securities. GDRs are depositary receipts structured like global debt issues to facilitate trading","page_number":49,"box":{"x":69,"y":725,"width":837,"height":11}},{"id":"66adcd1b-1ebe-4bdc-944e-6a83b73ab21f","block_type":"box","text":"on an international basis. In addition to investment risks associated with the underlying issuer, Depositary Receipts","page_number":49,"box":{"x":69,"y":740,"width":825,"height":11}},{"id":"e3d5682b-71b5-4a2e-a30b-878890e92f33","block_type":"box","text":"expose a Fund to additional risks associated with the non-uniform terms that apply to Depositary Receipt programs,","page_number":49,"box":{"x":69,"y":755,"width":825,"height":11}},{"id":"b9e1725d-a1cf-4718-841d-ab2759855b3c","block_type":"box","text":"credit exposure to the depository bank and to the sponsors and other par ties with whom the depository bank","page_number":49,"box":{"x":69,"y":771,"width":780,"height":10}},{"id":"02e865e1-8fa6-46b5-99c5-7855ec5677d8","block_type":"box","text":"establishes the programs, currency risk and the risk of an illiquid market for Depositary Receipts. Unsponsored ADR,","page_number":49,"box":{"x":69,"y":785,"width":833,"height":12}},{"id":"0de6d9f6-d3da-4471-9a46-94bde5c54841","block_type":"box","text":"EDR and GDR programs are organized independently and without the cooperation of the issuer of the underlying","page_number":49,"box":{"x":70,"y":801,"width":796,"height":11}},{"id":"824f5e25-32cc-42c3-979e-81e7565af3a6","block_type":"box","text":"securities. Unsponsored programs generally expose investors to greater risks than sponsored programs and do not","page_number":49,"box":{"x":69,"y":816,"width":822,"height":11}},{"id":"5f44f2ca-453c-478e-a581-63ed6df7640e","block_type":"box","text":"provide holders with many of the shareholder benefits that come from investing in a sponsored Depositary Receipt.","page_number":49,"box":{"x":70,"y":831,"width":820,"height":11}},{"id":"1634627a-ed33-437f-abfa-cb2bb8cabc65","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":49,"box":{"x":68,"y":846,"width":827,"height":11}},{"id":"74aa40d0-d616-4a46-991b-f886c187f101","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":49,"box":{"x":70,"y":861,"width":825,"height":11}},{"id":"aa7cb1ce-36ed-4eae-9949-d440200f059c","block_type":"box","text":"issuer. Depositary Receipts are generally subject to the same risks as the foreign securities that they evidence or","page_number":49,"box":{"x":70,"y":876,"width":810,"height":11}},{"id":"9577a328-5072-48fe-a81b-8ff53924e6f9","block_type":"box","text":"into which they may be conver ted. Investments in ADRs, EDRs and GDRs present additional investment","page_number":49,"box":{"x":70,"y":891,"width":737,"height":11}},{"id":"3d551637-2c63-423c-b0a6-69848cf3e725","block_type":"box","text":"considerations as described under “Foreign Investment Risks.”","page_number":49,"box":{"x":69,"y":907,"width":449,"height":11}},{"id":"3fa025fa-013c-4b8f-ac5e-58dce022b941","block_type":"box","text":"II-12","page_number":49,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d3950093-74d0-4dbe-9671-d761f4d90d9e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":49,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f85de4ba-dc2a-4fb4-be75-814165cbdb21","block_type":"box","text":"Derivatives.","page_number":50,"box":{"x":102,"y":45,"width":84,"height":9}},{"id":"3faee037-7871-49d4-a820-2a36c3ac4969","block_type":"box","text":"General.","page_number":50,"box":{"x":102,"y":67,"width":58,"height":9}},{"id":"70ecc2ed-1801-49b3-9e43-cff064c6c654","block_type":"box","text":"Each Fund may use instruments referred to as derivatives, which are financial instruments that derive","page_number":50,"box":{"x":167,"y":67,"width":725,"height":11}},{"id":"3d9182d9-b3c3-488d-a722-c12ce012e88b","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":50,"box":{"x":68,"y":82,"width":836,"height":12}},{"id":"e09796bd-6b95-4f96-8ccb-92dd1398fc63","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":50,"box":{"x":70,"y":98,"width":829,"height":11}},{"id":"ef3ed4e5-6a1c-4425-9f00-4f0aa64c85fe","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":50,"box":{"x":70,"y":113,"width":830,"height":11}},{"id":"6749ff13-90d0-4dca-b7cd-baee5dc5afa4","block_type":"box","text":"efficiently than with other transactions. Cer tain Funds may use derivatives to maintain a por tion of their long and","page_number":50,"box":{"x":69,"y":128,"width":804,"height":11}},{"id":"2c2316b8-1909-4499-a80a-ad1c4973fc0f","block_type":"box","text":"shor t positions. Unless otherwise permitted, no Fund may use derivatives to gain exposure to an asset or asset","page_number":50,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"2307f046-3b41-4a9f-8030-a5f624bc37c0","block_type":"box","text":"class it is prohibited by its investment restrictions from purchasing directly. As described below, derivatives can be","page_number":50,"box":{"x":69,"y":158,"width":816,"height":11}},{"id":"332f1179-6946-4b3f-b5d5-40af9e168b14","block_type":"box","text":"used for hedging or speculative purposes. Funds will engage in transaction-level payment netting,","page_number":50,"box":{"x":69,"y":173,"width":691,"height":11}},{"id":"9ddef61a-f6f5-4223-8f52-14983a2ae002","block_type":"box","text":"i.e.","page_number":50,"box":{"x":768,"y":173,"width":20,"height":9}},{"id":"39b79806-8afa-40f0-9f09-fb98db2cca0d","block_type":"box","text":", the payment","page_number":50,"box":{"x":791,"y":173,"width":96,"height":11}},{"id":"a945aa24-4ed1-4c77-ae17-e08a581d542e","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":50,"box":{"x":69,"y":188,"width":839,"height":12}},{"id":"89cb9f6f-7161-4c87-b617-8f3aa104f6e5","block_type":"box","text":"be, only the net amount of the two payment streams.","page_number":50,"box":{"x":69,"y":203,"width":378,"height":12}},{"id":"a2d14b28-eb87-4480-be76-0abfc34fb11f","block_type":"box","text":"Hedging.","page_number":50,"box":{"x":102,"y":226,"width":60,"height":11}},{"id":"6f1d09bd-cbb8-42cc-a82c-8b01375a1512","block_type":"box","text":"Each Fund may use derivatives for hedging purposes, in which a derivative is used to offset the risks","page_number":50,"box":{"x":169,"y":226,"width":717,"height":11}},{"id":"09c806c1-00b0-40cf-a0ca-184d3ae5097a","block_type":"box","text":"associated with other Fund holdings. Losses on other investments may be substantially reduced by gains on a","page_number":50,"box":{"x":69,"y":241,"width":786,"height":11}},{"id":"900c4752-df3e-402d-a814-307b4a1ffeb5","block_type":"box","text":"derivative that reacts in an opposite manner to market movements. Although hedging may reduce losses, it may also","page_number":50,"box":{"x":69,"y":257,"width":834,"height":11}},{"id":"349415ab-7857-4968-b952-2666e2b4e38a","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":50,"box":{"x":69,"y":271,"width":834,"height":12}},{"id":"dcbc16b2-8b8e-46b5-a318-9d5009c201ef","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":50,"box":{"x":70,"y":286,"width":797,"height":12}},{"id":"30ed6d4b-6e66-45e2-bfcc-8f93c970c11d","block_type":"box","text":"correlation risk,","page_number":50,"box":{"x":69,"y":302,"width":109,"height":10}},{"id":"1436163e-6e41-448b-82e7-f5b7083899e0","block_type":"box","text":"i.e.","page_number":50,"box":{"x":186,"y":302,"width":20,"height":9}},{"id":"dcb6958a-c449-4a63-8f06-0b0777b93bfa","block_type":"box","text":", the risk that changes in the value of the derivative will not match those of the holdings being","page_number":50,"box":{"x":209,"y":302,"width":669,"height":11}},{"id":"bbaf1e3c-861e-4384-a19e-aec838acafce","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":50,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"e534b7ad-05cb-49d5-8731-a874e0a52aca","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":50,"box":{"x":69,"y":332,"width":835,"height":11}},{"id":"ee2702cd-85ab-4b94-85b8-e2d5f2e37cae","block_type":"box","text":"be effective. No Fund is required to use derivatives to hedge.","page_number":50,"box":{"x":69,"y":347,"width":434,"height":11}},{"id":"9e18de90-0341-4ca7-beb5-92fa60467aea","block_type":"box","text":"Speculation.","page_number":50,"box":{"x":102,"y":370,"width":86,"height":11}},{"id":"1a78bb2e-8329-4d64-93d6-1fead82e3919","block_type":"box","text":"Cer tain Funds may also use derivatives for speculative purposes to seek to enhance returns. The","page_number":50,"box":{"x":195,"y":370,"width":694,"height":11}},{"id":"9c2ba140-00d6-4002-9c49-d1ffffa16215","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":50,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"bb751edd-b0d4-424b-9fc6-2532e9ea6c5e","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":50,"box":{"x":70,"y":400,"width":824,"height":11}},{"id":"167e3c64-c659-4274-ada4-aad0784d77c9","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":50,"box":{"x":69,"y":415,"width":831,"height":11}},{"id":"4dc5e331-acf2-44d0-b65c-602eb2ec5b47","block_type":"box","text":"in cer tain cases may be unlimited.","page_number":50,"box":{"x":70,"y":430,"width":243,"height":11}},{"id":"8a1bd758-70c2-48d0-87ea-d58584967880","block_type":"box","text":"Regulation of Derivatives.","page_number":50,"box":{"x":102,"y":453,"width":180,"height":11}},{"id":"7e0b06b8-d4c1-4676-a298-767331b27466","block_type":"box","text":"Rule 18f-4 Under the Investment Company Act.","page_number":50,"box":{"x":102,"y":475,"width":333,"height":12}},{"id":"d1fdb4d3-e2d5-4fe0-a450-3103bd137b11","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to","page_number":50,"box":{"x":442,"y":475,"width":458,"height":12}},{"id":"a7fd0c71-5025-4eb6-a98e-e468846baa32","block_type":"box","text":"enter into Derivatives Transactions (as defined below) and cer tain other transactions notwithstanding the restrictions","page_number":50,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"6dcdef79-8df2-43bb-93a8-82d91560e44c","block_type":"box","text":"on the issuance of “senior securities” under Section 18 of the Investment Company Act. Section 18 of the","page_number":50,"box":{"x":69,"y":506,"width":759,"height":11}},{"id":"252641d1-892a-4390-b985-058bc84091b6","block_type":"box","text":"Investment Company Act, among other things, prohibits open-end funds, including the Funds, from issuing or selling","page_number":50,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"d0b02103-7170-4b49-a7c5-b61483b74327","block_type":"box","text":"any “senior security,” other than borrowing from a bank (subject to a requirement to maintain 300% “asset","page_number":50,"box":{"x":69,"y":536,"width":763,"height":11}},{"id":"6ed3b270-0acb-450b-8a0f-58d732b4a484","block_type":"box","text":"coverage”).","page_number":50,"box":{"x":69,"y":551,"width":79,"height":11}},{"id":"d8cb8f92-0860-407d-b8ef-fd62686040ff","block_type":"box","text":"Under Rule 18f-4, “Derivatives Transactions” include the following: (1) any swap, security-based swap (including","page_number":50,"box":{"x":102,"y":574,"width":796,"height":11}},{"id":"a2831d9d-ec08-44b7-a419-908f8d81dfd1","block_type":"box","text":"a contract for differences), futures contract, forward contract, option (excluding purchased options), any combination","page_number":50,"box":{"x":69,"y":589,"width":832,"height":11}},{"id":"19779510-a3d7-4848-803f-229e568a40bf","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":50,"box":{"x":69,"y":604,"width":840,"height":11}},{"id":"1c6f4ea7-1a6a-4cca-8e02-c03431921a7b","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":50,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"8bff0935-457e-4faf-8ccc-7de6409af601","block_type":"box","text":"settlement payment or otherwise; (2) any shor t sale borrowing; (3) reverse repurchase agreements and similar","page_number":50,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"f6b46ab2-0ca0-4a31-a534-41f9c3701010","block_type":"box","text":"financing transactions (","page_number":50,"box":{"x":68,"y":649,"width":166,"height":12}},{"id":"51027772-cadf-4779-8272-fbe3478daf7e","block_type":"box","text":"e.g.","page_number":50,"box":{"x":236,"y":651,"width":25,"height":10}},{"id":"38f6fd04-984c-49fa-a120-6950d4d424af","block_type":"box","text":", recourse and non-recourse tender option bonds, and borrowed bonds), if a Fund elects to","page_number":50,"box":{"x":263,"y":649,"width":646,"height":11}},{"id":"cdfa9197-bd31-4da8-a387-007c4b535ece","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":50,"box":{"x":68,"y":664,"width":825,"height":12}},{"id":"2cd74867-a6b5-424a-a3b8-2e949b372ec1","block_type":"box","text":"securities (","page_number":50,"box":{"x":69,"y":680,"width":78,"height":11}},{"id":"78f9215e-9999-4f72-b600-2d34b57eb3fe","block_type":"box","text":"e.g.","page_number":50,"box":{"x":148,"y":681,"width":25,"height":10}},{"id":"e31da929-f25e-4913-b986-12d168e3edbb","block_type":"box","text":", firm and standby commitments, including to-be-announced (“TBA”) commitments, and dollar rolls)","page_number":50,"box":{"x":176,"y":680,"width":704,"height":11}},{"id":"40271a73-9cee-40f0-9fd9-9510a7953327","block_type":"box","text":"and non-standard settlement cycle securities, unless such transactions meet the Delayed-Settlement Securities","page_number":50,"box":{"x":69,"y":695,"width":796,"height":11}},{"id":"46f6a0c5-a22d-4820-94bd-b002349be62d","block_type":"box","text":"Provision (as defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward","page_number":50,"box":{"x":69,"y":710,"width":732,"height":11}},{"id":"2ba45e27-6d64-4493-80a8-c5081efb59ad","block_type":"box","text":"Commitments”).","page_number":50,"box":{"x":69,"y":725,"width":115,"height":11}},{"id":"798a4f9e-925b-4519-9db7-01f06453b50d","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":50,"box":{"x":102,"y":748,"width":805,"height":11}},{"id":"9a1e6d08-80b7-4e31-b8ad-6265c2b7e4a7","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":50,"box":{"x":70,"y":763,"width":832,"height":11}},{"id":"a7c8371c-0e51-4e4d-8ba4-c6d475474069","block_type":"box","text":"implement a comprehensive written derivatives risk management program (“DRMP”) and comply with a relative or","page_number":50,"box":{"x":70,"y":778,"width":808,"height":11}},{"id":"53386639-6d4d-4746-8bae-a9c19299b716","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":50,"box":{"x":69,"y":793,"width":780,"height":11}},{"id":"8b362249-465b-4ba2-bc74-01574690decc","block_type":"box","text":"“derivatives risk manager,” who is appointed by the Fund’s Board, including a majority of the independent Directors,","page_number":50,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"6dfed62a-19a6-469c-b0db-9e7ec57659f7","block_type":"box","text":"and periodically reviews the DRMP and repor ts to the Fund’s Board.","page_number":50,"box":{"x":69,"y":823,"width":482,"height":11}},{"id":"2ec1ceb4-b39f-45b4-b2ef-75f757c6c4c1","block_type":"box","text":"Rule 18f-4 provides an exception from the DRMP, VaR limit and cer tain other requirements if a Fund’s","page_number":50,"box":{"x":102,"y":846,"width":724,"height":11}},{"id":"60ceb9cd-fe38-4d7f-9a46-5bb839c69c9a","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":50,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"a3d043d5-1f53-489e-a6a8-bbf08ce22c92","block_type":"box","text":"adopts and implements written policies and procedures reasonably designed to manage its derivatives risks (the","page_number":50,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"e0467d69-75b0-4f0d-93a4-71b58c9eafcf","block_type":"box","text":"“Limited Derivatives User Exception”).","page_number":50,"box":{"x":70,"y":891,"width":268,"height":11}},{"id":"c5ead54c-e07e-4af2-97c3-e8e6c1b030b3","block_type":"box","text":"II-13","page_number":50,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b6ed1407-63cc-4286-ac15-b0608a6fe4f9","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":50,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bc89ea68-c6da-4f44-99aa-a38c1be1ab55","block_type":"box","text":"Dodd-Frank Regulations.","page_number":51,"box":{"x":102,"y":45,"width":171,"height":11}},{"id":"49f89154-5647-48b5-b8a2-4327dc7db013","block_type":"box","text":"The Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”),","page_number":51,"box":{"x":279,"y":45,"width":575,"height":11}},{"id":"a29de343-9a34-499e-a8e9-9ee8b5235715","block_type":"box","text":"enacted in July 2010, includes provisions that comprehensively regulate the over-the-counter (“OTC”) derivatives","page_number":51,"box":{"x":69,"y":60,"width":800,"height":11}},{"id":"5b73cefb-717a-4965-a399-183afbd21dd9","block_type":"box","text":"markets for the first time. While the Commodity Futures Trading Commission (“CFTC”) and other U.S. regulators have","page_number":51,"box":{"x":69,"y":75,"width":834,"height":11}},{"id":"2c13e534-a660-4dc2-99e0-694d728407e4","block_type":"box","text":"adopted many of the required Dodd-Frank regulations, cer tain regulations have only recently become effective and","page_number":51,"box":{"x":69,"y":90,"width":813,"height":11}},{"id":"2b635a3a-62ce-4595-9601-b4e20bea432d","block_type":"box","text":"other regulations remain to be adopted. The full impact of Dodd-Frank on the Funds remains uncer tain.","page_number":51,"box":{"x":69,"y":105,"width":733,"height":11}},{"id":"64825798-44d6-4bb0-b2e7-06ae4534fce6","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":51,"box":{"x":102,"y":128,"width":789,"height":11}},{"id":"a28ef5e4-1780-4121-a8f9-4f92c6d1deb7","block_type":"box","text":"“security-based swap dealers”. Registered swap dealers and security-based swap dealers are subject to various","page_number":51,"box":{"x":70,"y":143,"width":797,"height":11}},{"id":"ef75db4a-77bf-4389-bdac-3b5d8fa6dec7","block_type":"box","text":"regulatory requirements, including, but not limited to, margin, recordkeeping, repor ting, transparency, position limits,","page_number":51,"box":{"x":69,"y":158,"width":833,"height":11}},{"id":"942b27dc-682f-4e32-807d-7829fd4e2c01","block_type":"box","text":"limitations on conflicts of interest, business conduct standards, minimum capital requirements and other regulatory","page_number":51,"box":{"x":70,"y":173,"width":826,"height":11}},{"id":"a415ae47-1613-413e-9091-ee2badcbd2c4","block_type":"box","text":"requirements, which indirectly impact the Funds that enter into transactions with them.","page_number":51,"box":{"x":69,"y":188,"width":618,"height":11}},{"id":"f67a03ce-b5a9-4101-b322-0d9ec6193a06","block_type":"box","text":"The CFTC requires that cer tain interest rate swaps and cer tain credit default swaps must be executed in","page_number":51,"box":{"x":101,"y":211,"width":745,"height":11}},{"id":"7b2627f7-f3f4-448b-b17d-e6e3b36f3d62","block_type":"box","text":"regulated markets and be submitted for clearing to regulated clearinghouses. The SEC is also expected to impose","page_number":51,"box":{"x":69,"y":226,"width":813,"height":11}},{"id":"a337577c-1eeb-4e62-98b8-ce569e2698b7","block_type":"box","text":"similar requirements on cer tain security-based derivatives in the future. OTC derivatives trades submitted for clearing","page_number":51,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"6770cefa-6385-4b87-8e07-ae8ecb27adc9","block_type":"box","text":"are subject to minimum initial and variation margin requirements set by the relevant clearinghouse, as well as margin","page_number":51,"box":{"x":69,"y":257,"width":837,"height":11}},{"id":"18f23b8f-8eca-440f-afba-5dc156158283","block_type":"box","text":"requirements mandated by the CFTC, SEC and/or federal prudential regulators. In addition, futures commission","page_number":51,"box":{"x":69,"y":271,"width":794,"height":12}},{"id":"3439a7f8-29e3-4a89-b59d-397c532770fa","block_type":"box","text":"merchants (“FCMs”), who act as clearing members on behalf of customers for cleared OTC derivatives and futures","page_number":51,"box":{"x":69,"y":286,"width":815,"height":12}},{"id":"e5937cc2-9e27-44c3-887d-93472eaec341","block_type":"box","text":"contracts, also have discretion to increase a Fund’s margin requirements for these transactions beyond any","page_number":51,"box":{"x":69,"y":302,"width":770,"height":11}},{"id":"53aa4db2-ff8c-4b28-9825-3d27e1f9e805","block_type":"box","text":"regulatory and clearinghouse minimums subject to any restrictions on such discretion in the documentation between","page_number":51,"box":{"x":69,"y":317,"width":831,"height":11}},{"id":"c5831544-7332-474c-9c4d-db781e28e713","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":51,"box":{"x":68,"y":332,"width":804,"height":11}},{"id":"a32586ff-2e76-421c-81ed-77ce4292d6cf","block_type":"box","text":"enter into highly tailored or customized transactions, potentially rendering cer tain investment strategies impossible or","page_number":51,"box":{"x":69,"y":347,"width":839,"height":11}},{"id":"d36f511b-f77e-4349-9af8-03c1ef0a9e39","block_type":"box","text":"not economically feasible. If a Fund decides to execute and clear cleared OTC derivatives and/or futures contracts","page_number":51,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"779a5323-f088-4dd7-b035-f661cbabf548","block_type":"box","text":"through execution facilities, exchanges or clearinghouses, either indirectly through an executing broker, clearing","page_number":51,"box":{"x":68,"y":377,"width":796,"height":12}},{"id":"62f32c79-7d50-418d-857b-8b713ff7a267","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":51,"box":{"x":69,"y":392,"width":793,"height":12}},{"id":"825b0817-9fd3-4d9a-8930-69ebd64e6ef8","block_type":"box","text":"exchange or clearinghouse and other applicable law.","page_number":51,"box":{"x":69,"y":408,"width":370,"height":11}},{"id":"037cd055-000b-4562-9f6a-cc704d76f8f8","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":51,"box":{"x":101,"y":430,"width":766,"height":11}},{"id":"f3e5b540-c92a-4ebb-8d13-567b6b68b830","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":51,"box":{"x":69,"y":445,"width":826,"height":12}},{"id":"5ff56ff4-2987-46d7-8c37-d0f5531ce976","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":51,"box":{"x":69,"y":460,"width":825,"height":12}},{"id":"b84ba5c9-e05a-4665-8a93-5d0fa44ca455","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":51,"box":{"x":70,"y":475,"width":791,"height":12}},{"id":"312c8c3f-e0df-41e0-b45d-39c20134692f","block_type":"box","text":"obligations to the clearinghouse simultaneously with a customer’s failure to meet its obligations to the clearing","page_number":51,"box":{"x":69,"y":491,"width":793,"height":11}},{"id":"977a39d1-ed2d-4161-b8c1-ed4da934eefb","block_type":"box","text":"member.","page_number":51,"box":{"x":69,"y":506,"width":60,"height":9}},{"id":"0a33e0bb-c5e6-42f5-b2ab-a3dfc1cba209","block_type":"box","text":"Clearing member FCMs are required to post initial margin to the clearinghouses through which they clear their","page_number":51,"box":{"x":102,"y":529,"width":782,"height":11}},{"id":"2921fea3-689f-408b-b53a-3b09dd5315bf","block_type":"box","text":"customers’ cleared OTC derivatives and futures contracts, instead of using such initial margin in their businesses, as","page_number":51,"box":{"x":69,"y":543,"width":837,"height":12}},{"id":"db630b29-e3ec-49cb-9210-8e2587db6951","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":51,"box":{"x":68,"y":559,"width":811,"height":11}},{"id":"d1bf627d-7fd2-41da-8113-11c06600e633","block_type":"box","text":"margin in excess of clearinghouse requirements, and cer tain clearinghouses may share a por tion of their earnings on","page_number":51,"box":{"x":69,"y":574,"width":838,"height":11}},{"id":"dbba601b-17b6-4ca4-be82-0d4c29b91abd","block_type":"box","text":"initial margin with their clearing members, some por tion of the initial margin that is passed through to the","page_number":51,"box":{"x":70,"y":589,"width":754,"height":11}},{"id":"898d0b32-b350-4b76-83a4-a4aa0355cbbf","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":51,"box":{"x":69,"y":604,"width":815,"height":11}},{"id":"c098a08f-553e-481a-b1d8-b44e8e3c5da0","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":51,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"10bb64f5-4b24-4624-950a-8abb4c8e7bcc","block_type":"box","text":"FCMs to charge higher fees, or provide less favorable pricing on cleared OTC derivatives than swap dealers will","page_number":51,"box":{"x":70,"y":634,"width":788,"height":12}},{"id":"6c246ca6-e5f5-4e23-8c4a-272dd3291ab2","block_type":"box","text":"provide for non-cleared OTC derivatives. Fur thermore, customers, including the Funds, are subject to additional fees","page_number":51,"box":{"x":70,"y":649,"width":825,"height":12}},{"id":"3efe738c-74af-457d-a7a8-ce561c723600","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":51,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"caad12d6-ca0b-49b1-b784-6fbf835f8921","block_type":"box","text":"to trading non-cleared OTC derivatives bilaterally.","page_number":51,"box":{"x":68,"y":680,"width":346,"height":11}},{"id":"d70b1616-9569-414e-b6c3-86f819b4326e","block_type":"box","text":"With respect to uncleared swaps, registered swap dealers and security-based swap dealers are required to","page_number":51,"box":{"x":101,"y":703,"width":762,"height":11}},{"id":"2b71c78e-4aa0-4a35-9e7a-e2dd96249db3","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":51,"box":{"x":69,"y":718,"width":820,"height":11}},{"id":"898a41de-6056-4c60-a871-49f38f4fd5cd","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":51,"box":{"x":69,"y":732,"width":816,"height":12}},{"id":"bfd86053-1edc-470b-ab76-abd47ae35ef5","block_type":"box","text":"subject to applicable regulatory haircuts and other restrictions. Shares of investment companies (other than cer tain","page_number":51,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"32d41ca1-4a6c-4616-8edf-108d1aa900d1","block_type":"box","text":"money market funds) may not be posted as collateral under applicable regulations.","page_number":51,"box":{"x":69,"y":763,"width":590,"height":11}},{"id":"61f535b2-6036-406a-850c-8270425881a1","block_type":"box","text":"The CFTC, cer tain foreign regulators, and many futures exchanges have established (and continue to evaluate","page_number":51,"box":{"x":101,"y":785,"width":783,"height":12}},{"id":"269f0e2d-15eb-4080-892a-6aedfa9dc9b9","block_type":"box","text":"and monitor) speculative position limits (“position limits”) on the maximum speculative position which any person, or","page_number":51,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"7a3e8a0f-ad5c-4c7c-a368-332186bf0c98","block_type":"box","text":"group of persons acting in concer t, may hold or control in par ticular contracts. In addition, U.S. federal position limits","page_number":51,"box":{"x":68,"y":816,"width":837,"height":11}},{"id":"2cda79f2-bd80-4f6a-bad7-24bfda51de49","block_type":"box","text":"apply to swaps that are economically equivalent to futures contracts on cer tain agricultural, metals and energy","page_number":51,"box":{"x":69,"y":831,"width":789,"height":11}},{"id":"20c5e785-a1b6-490d-907f-631599dd4de9","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":51,"box":{"x":69,"y":846,"width":818,"height":11}},{"id":"bcbd5624-9ec0-4a22-9d70-55eb89ed0f0b","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":51,"box":{"x":69,"y":861,"width":801,"height":11}},{"id":"da571309-8dda-4546-90ae-b4460ff947ad","block_type":"box","text":"applicable position limits, it is possible that different clients managed by the Manager and its affiliates may be","page_number":51,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"dd69ccca-b259-4e9b-a322-cffb1b25ff56","block_type":"box","text":"aggregated for this purpose. Therefore, the trading decisions of the Manager may have to be modified and positions","page_number":51,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"fa14bfe8-8d8e-4e50-8fa9-758594abaf9d","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":51,"box":{"x":69,"y":906,"width":805,"height":12}},{"id":"79f31871-483a-4731-8381-c4e9c4a9fcb8","block_type":"box","text":"II-14","page_number":51,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d9e96d8e-5d20-4e6e-9ec6-8bab945d4b79","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":51,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2b04b2e6-3ed6-4529-ae69-ebf9e8dbe9b9","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":52,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"6269cbcc-a68b-4387-bbef-4d0ce64a29a2","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":52,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"d0ce5194-ab22-4423-a5f7-b43ea8e8df47","block_type":"box","text":"by other regimes, including those of the European Union and United Kingdom, and trading venues that impose","page_number":52,"box":{"x":69,"y":75,"width":785,"height":11}},{"id":"8e9978e9-aef4-4c3e-9a55-374895d9f58b","block_type":"box","text":"position limits on commodity derivative contracts.","page_number":52,"box":{"x":70,"y":90,"width":350,"height":11}},{"id":"50c127c7-e2ea-4af1-a263-6c8b2de92cbc","block_type":"box","text":"Additional Regulation of Derivatives.","page_number":52,"box":{"x":101,"y":113,"width":256,"height":11}},{"id":"5f43a12d-32fc-4525-8f5a-c1f7594227e3","block_type":"box","text":"Regulatory bodies outside the U.S. have also passed, proposed, or may","page_number":52,"box":{"x":364,"y":113,"width":513,"height":11}},{"id":"772abd7a-f145-41de-afcd-ddd700e73ac7","block_type":"box","text":"propose in the future, legislation similar to Dodd-Frank or other legislation that could increase the costs of","page_number":52,"box":{"x":70,"y":128,"width":757,"height":11}},{"id":"05303c54-b063-44af-b9b4-8af3a4183f99","block_type":"box","text":"par ticipating in, or otherwise adversely impact the liquidity of, par ticipating in the commodities markets. For example,","page_number":52,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"22df45ea-1878-4c39-b555-c945a5e18e87","block_type":"box","text":"the European Market Infrastructure Regulation (Regulation (EU) No 648/2012) (“EMIR”) introduced cer tain","page_number":52,"box":{"x":68,"y":158,"width":762,"height":11}},{"id":"459c55ef-419e-497d-ae39-ec6c7ac6fdb1","block_type":"box","text":"requirements in respect of OTC derivatives including: (i) the mandatory clearing of OTC derivative contracts declared","page_number":52,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"ca3ffd75-c49d-4e9b-8f1d-7d933ce6268a","block_type":"box","text":"subject to the clearing obligation; (ii) risk mitigation techniques in respect of uncleared OTC derivative contracts,","page_number":52,"box":{"x":69,"y":188,"width":798,"height":12}},{"id":"3e0ded4a-c178-4ff1-9d09-7c238884876d","block_type":"box","text":"including the mandatory margining of uncleared OTC derivative contracts; and (iii) repor ting and recordkeeping","page_number":52,"box":{"x":70,"y":203,"width":785,"height":12}},{"id":"4a191e33-5328-4295-937e-1a351606cdd7","block_type":"box","text":"requirements in respect of all derivatives contracts. By way of fur ther example, the European Union Markets in","page_number":52,"box":{"x":69,"y":218,"width":787,"height":12}},{"id":"8016dd86-c1ea-437f-98bb-1f9d980a390b","block_type":"box","text":"Financial Instruments Directive (Directive 2014/65/EU) and Markets in Financial Instruments Regulation (Regulation","page_number":52,"box":{"x":70,"y":234,"width":830,"height":11}},{"id":"01fddcab-1797-4c5c-8aff-b3e8865de66a","block_type":"box","text":"(EU) No 600/2014) (together “MiFID II”), which have applied since January 3, 2018, govern the provision of","page_number":52,"box":{"x":69,"y":249,"width":771,"height":11}},{"id":"24350c9d-5e43-4884-bb70-b09d111556a7","block_type":"box","text":"investment services and activities in relation to, as well as the organized trading of, financial instruments such as","page_number":52,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"4fc4df8b-17bd-424b-b0a0-3cda9f440f5f","block_type":"box","text":"shares, bonds, units in collective investment schemes and derivatives. In par ticular, MiFID II requires European Union","page_number":52,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"3dd15478-2a8c-4b8d-a9b0-79b62bf81a8d","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":52,"box":{"x":70,"y":294,"width":793,"height":11}},{"id":"1dd3be3a-4ce7-45fd-8f4d-4c3888b6b961","block_type":"box","text":"derivatives traded on European Union trading venues and in “economically equivalent” OTC contracts. If the","page_number":52,"box":{"x":69,"y":309,"width":765,"height":11}},{"id":"916f7700-2a33-4c95-8427-ae3189207935","block_type":"box","text":"requirements of EMIR and MiFID II apply, the cost of derivatives transactions is expected to increase.","page_number":52,"box":{"x":69,"y":324,"width":720,"height":11}},{"id":"2cbf3095-07dc-4d05-9321-5332c0103310","block_type":"box","text":"In addition, regulations adopted by global prudential regulators that are now in effect require cer tain prudentially","page_number":52,"box":{"x":102,"y":347,"width":802,"height":11}},{"id":"926b764d-9514-4821-b38c-028fe67718c1","block_type":"box","text":"regulated entities and cer tain of their affiliates and subsidiaries (including swap dealers) to include in their","page_number":52,"box":{"x":69,"y":362,"width":762,"height":11}},{"id":"2d7ee766-b6f8-47a0-a9b3-5351879c6e2a","block_type":"box","text":"derivatives contracts and cer tain other financial contracts, terms that delay or restrict the rights of counterpar ties","page_number":52,"box":{"x":69,"y":377,"width":810,"height":12}},{"id":"53c5b017-2348-4926-a4f1-01c398818b75","block_type":"box","text":"(such as the Funds) to terminate such contracts, foreclose upon collateral, exercise other default rights or restrict","page_number":52,"box":{"x":69,"y":392,"width":812,"height":12}},{"id":"7d0cc9ff-2458-4c3a-ac8b-30f54d28e3da","block_type":"box","text":"transfers of credit suppor t in the event that the prudentially regulated entity and/or its affiliates are subject to","page_number":52,"box":{"x":68,"y":407,"width":787,"height":12}},{"id":"994087ba-cc8f-4fa5-a834-4e80537adfb5","block_type":"box","text":"cer tain types of resolution or insolvency proceedings. Similar regulations and laws have been adopted in non-U.S.","page_number":52,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"f7dc04fa-c5cf-4a9f-b4b3-d318ceab5c21","block_type":"box","text":"jurisdictions that may apply to a Fund’s counterpar ties located in those jurisdictions. In par ticular, in the United","page_number":52,"box":{"x":67,"y":438,"width":795,"height":11}},{"id":"a8ac5029-cb3b-48ae-a699-d7cf150236c6","block_type":"box","text":"Kingdom and the European Union, governmental authorities could reduce, eliminate or conver t to equity the liabilities","page_number":52,"box":{"x":70,"y":453,"width":835,"height":11}},{"id":"84ba05fd-a9d7-42aa-9764-64d1adeb92bb","block_type":"box","text":"to a Fund of a counterpar ty experiencing financial difficulties (sometimes referred to as a “bail in”). It is possible that","page_number":52,"box":{"x":68,"y":468,"width":839,"height":11}},{"id":"01a24488-463c-4ddf-a4ad-8003d04a6bdf","block_type":"box","text":"these requirements, as well as potential additional related government regulation, could adversely affect a Fund’s","page_number":52,"box":{"x":68,"y":483,"width":814,"height":11}},{"id":"a5f6ba26-a31d-4af4-8a2b-caec49ac01d6","block_type":"box","text":"ability to terminate existing derivatives contracts, exercise default rights or satisfy obligations owed to it with","page_number":52,"box":{"x":69,"y":498,"width":773,"height":11}},{"id":"81ac8a5d-452b-4272-9afc-75716be424eb","block_type":"box","text":"collateral received under such contracts.","page_number":52,"box":{"x":69,"y":514,"width":288,"height":8}},{"id":"e4d0841c-8629-4aec-a726-ec0778bcbeef","block_type":"box","text":"Risk Factors in Derivatives.","page_number":52,"box":{"x":102,"y":536,"width":191,"height":9}},{"id":"c1a90766-094c-4d28-8dc3-cad72662467b","block_type":"box","text":"There are significant risks that apply generally to derivatives transactions, including:","page_number":52,"box":{"x":101,"y":559,"width":597,"height":11}},{"id":"9f84a5b6-3c46-42ad-8439-58155110ec02","block_type":"box","text":"Correlation Risk","page_number":52,"box":{"x":102,"y":581,"width":114,"height":9}},{"id":"4523379a-b7f5-4a92-a66b-99a42c99d005","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":52,"box":{"x":220,"y":581,"width":668,"height":12}},{"id":"15e54cc4-83d9-4799-b6ee-2ac0225256ba","block_type":"box","text":"the por tfolio holdings that are being hedged or of the par ticular market or security to which the Fund seeks exposure.","page_number":52,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"054b7d3a-e146-414a-8b16-fea327ae4691","block_type":"box","text":"There are a number of factors which may prevent a derivative instrument from achieving the desired correlation (or","page_number":52,"box":{"x":68,"y":612,"width":818,"height":11}},{"id":"0fd79d8e-4fee-4fbf-a0fe-fc534f9ad5ca","block_type":"box","text":"inverse correlation) with an underlying asset, rate or index, such as the impact of fees, expenses and transaction","page_number":52,"box":{"x":70,"y":627,"width":806,"height":11}},{"id":"be322ccf-188d-47be-9da2-af169816f24e","block_type":"box","text":"costs, the timing of pricing, and disruptions or illiquidity in the markets for such derivative instrument.","page_number":52,"box":{"x":69,"y":642,"width":725,"height":11}},{"id":"c0bfa9ef-830d-461b-92b5-5f1465f1b38d","block_type":"box","text":"Counterpar ty Risk","page_number":52,"box":{"x":102,"y":665,"width":128,"height":11}},{"id":"9ee84c47-b377-44b7-a8c2-8eaf242bc5ed","block_type":"box","text":"— the risk that a derivatives transaction counterpar ty will be unable or unwilling to make","page_number":52,"box":{"x":233,"y":665,"width":632,"height":11}},{"id":"9ea33ca3-3079-4764-aeed-a2fb4aee9c67","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":52,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"283bd1d2-a51a-4e83-b993-00b1b0e3be09","block_type":"box","text":"a counterpar ty. In par ticular, derivatives traded in OTC markets often are not guaranteed by an exchange or clearing","page_number":52,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"511c22f5-17a5-465d-81b0-5479b32b65d0","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":52,"box":{"x":69,"y":710,"width":834,"height":11}},{"id":"3ae8a02a-a696-4f1a-90a3-01d9cdbde27f","block_type":"box","text":"instruments or has deposited collateral with its counterpar ties the Fund is at risk that its counterpar ties will become","page_number":52,"box":{"x":70,"y":725,"width":831,"height":11}},{"id":"ff42df6f-14a4-4695-8c49-b5f138dfda94","block_type":"box","text":"bankrupt or otherwise fail to honor their obligations. A Fund will typically attempt to minimize counterpar ty risk by","page_number":52,"box":{"x":69,"y":740,"width":806,"height":11}},{"id":"12f299e8-7fae-411f-9ab5-52e8c5fbd34c","block_type":"box","text":"engaging in OTC derivatives transactions only with creditwor thy entities that have substantial capital or that have","page_number":52,"box":{"x":69,"y":755,"width":803,"height":11}},{"id":"d1d50bd8-5bb8-4631-9533-e642162e0d71","block_type":"box","text":"provided the Fund with a third-par ty guaranty or other credit suppor t. When a Fund enters into a derivatives","page_number":52,"box":{"x":70,"y":771,"width":760,"height":11}},{"id":"e0751910-de3d-483f-9ad3-5260299df6b7","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":52,"box":{"x":68,"y":785,"width":819,"height":12}},{"id":"23ac0d31-1d07-48f1-aced-b77d96d5b986","block_type":"box","text":"clearing house and the clearing member through which it holds its cleared position. Credit risk of market par ticipants","page_number":52,"box":{"x":69,"y":801,"width":834,"height":11}},{"id":"7ce6fcf8-3df5-414b-9f32-16d2d684472a","block_type":"box","text":"with respect to derivatives that are centrally cleared is concentrated in a few clearing houses and increasingly fewer","page_number":52,"box":{"x":68,"y":816,"width":826,"height":11}},{"id":"7cda676b-fb7e-4272-9cf5-f01a40553b54","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":52,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"d414e140-83c7-40ee-ac10-06e3c1ad7aa3","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":52,"box":{"x":70,"y":846,"width":824,"height":11}},{"id":"87fec6c0-ea81-47b3-8e6e-d3af31aa9297","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":52,"box":{"x":70,"y":861,"width":816,"height":11}},{"id":"f569527c-d274-469b-9e87-ccc6fcf4da6f","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":52,"box":{"x":70,"y":876,"width":771,"height":11}},{"id":"b6f24a06-615b-4a16-ba6b-c97016b9fb61","block_type":"box","text":"derivatives. Although a clearing member is required to segregate assets from customers with respect to cleared","page_number":52,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"77164f93-142a-4fff-9818-335511904313","block_type":"box","text":"derivatives positions from the clearing member’s proprietary assets, if a clearing member does not comply with the","page_number":52,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"d2564d17-94de-4608-be34-26f5b7be3203","block_type":"box","text":"II-15","page_number":52,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"80d7752c-611d-4851-b1b7-8f7b9124d76e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":52,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b9df8809-242a-4ef2-904b-ae680dc0e1e0","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":53,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"5662c6bf-8cf2-4b37-9ad9-f090b1f27b21","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":53,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"dfd93835-233c-44b7-9b53-c5c0b297ce66","block_type":"box","text":"by the clearing member.","page_number":53,"box":{"x":69,"y":75,"width":169,"height":11}},{"id":"b8eb4cd5-5dff-49a1-bb21-5ec4afbcc8b3","block_type":"box","text":"Credit Risk","page_number":53,"box":{"x":102,"y":98,"width":78,"height":9}},{"id":"01449a30-76b2-4009-a630-aeeec35e871d","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":53,"box":{"x":184,"y":98,"width":698,"height":11}},{"id":"a9fa827a-8207-4201-9228-43977dec5dc6","block_type":"box","text":"honor its financial obligations.","page_number":53,"box":{"x":69,"y":113,"width":213,"height":11}},{"id":"c68ad39b-8863-489d-99c5-f2c1f5e5edb0","block_type":"box","text":"Currency Risk","page_number":53,"box":{"x":102,"y":135,"width":98,"height":11}},{"id":"9bca16f2-cd28-4bf1-8e8b-e681cdff78db","block_type":"box","text":"— the risk that changes in the exchange rate between two currencies will adversely affect the","page_number":53,"box":{"x":204,"y":135,"width":669,"height":12}},{"id":"a78af0e6-d1fe-4402-89c0-792be19b7949","block_type":"box","text":"value (in U.S. dollar terms) of a derivative.","page_number":53,"box":{"x":68,"y":150,"width":300,"height":11}},{"id":"31c54d63-9ddc-4277-b3a5-22e0ed3ce86a","block_type":"box","text":"Illiquidity Risk","page_number":53,"box":{"x":102,"y":173,"width":98,"height":11}},{"id":"8fbe9271-57ca-4203-bb71-e4f73e893cff","block_type":"box","text":"— the risk that cer tain securities or instruments may be difficult or impossible to sell at the time","page_number":53,"box":{"x":204,"y":173,"width":693,"height":11}},{"id":"cb679e7e-3df4-4a8a-af3e-79a855dcdc93","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":53,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"c9109faf-7340-4e9b-a497-7a0ca6adac41","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":53,"box":{"x":69,"y":203,"width":799,"height":12}},{"id":"3bc8405b-d377-481c-8efd-bb90548e76b8","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":53,"box":{"x":69,"y":218,"width":799,"height":12}},{"id":"8b9965c7-5c68-4eea-88bd-5372e8ab2c5b","block_type":"box","text":"incurring substantial losses (if at all). Cer tain OTC derivatives, including swaps and OTC options, involve substantial","page_number":53,"box":{"x":70,"y":234,"width":824,"height":11}},{"id":"133e323d-70d5-40a6-b018-162fc7279f22","block_type":"box","text":"illiquidity risk. Illiquidity may also make it more difficult for a Fund to ascer tain a market value for such derivatives. A","page_number":53,"box":{"x":70,"y":249,"width":830,"height":11}},{"id":"355aa2ab-1b2b-4e88-9f6f-b79463ca56da","block_type":"box","text":"Fund will, therefore, acquire illiquid OTC derivatives (i) if the agreement pursuant to which the instrument is","page_number":53,"box":{"x":70,"y":264,"width":762,"height":11}},{"id":"8f8f4e6d-c315-4251-b362-5b17e71de8d5","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":53,"box":{"x":70,"y":279,"width":827,"height":11}},{"id":"4c2a11f2-c96f-4510-af6d-8b33a1bd4c9b","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":53,"box":{"x":69,"y":294,"width":816,"height":11}},{"id":"faa03bf5-49c6-479f-ba56-e43ac9e0c732","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":53,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"2dcca242-324a-4e92-a445-98b621797c9d","block_type":"box","text":"markets may be due to various factors, including congestion, disorderly markets, limitations on deliverable supplies,","page_number":53,"box":{"x":69,"y":324,"width":828,"height":12}},{"id":"6cea876a-408b-472f-b8ee-b605c24e7a8d","block_type":"box","text":"the par ticipation of speculators, government regulation and intervention, and technical and operational or system","page_number":53,"box":{"x":68,"y":339,"width":809,"height":12}},{"id":"f019ca45-c7d0-4f87-a0ff-3441fe7843d4","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":53,"box":{"x":68,"y":355,"width":826,"height":11}},{"id":"f5960804-e979-4186-a236-2097401fc4bb","block_type":"box","text":"“daily price fluctuation limits” established by the exchanges which limit the amount of fluctuation in an exchange","page_number":53,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"61350bae-08f8-4ad3-8756-b67469cf3a55","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":53,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"b6908efd-9d2c-4b2b-a686-7543193e8577","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":53,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"3744f921-3ab4-46b2-873c-e4d70c819384","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":53,"box":{"x":69,"y":415,"width":828,"height":11}},{"id":"a1adeec8-787d-43d5-8090-b081c17428d8","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":53,"box":{"x":69,"y":430,"width":796,"height":11}},{"id":"36f4a41f-6f1c-4dfe-a4a6-13149366a133","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":53,"box":{"x":70,"y":445,"width":759,"height":12}},{"id":"f3af9c13-f879-400a-be8a-2f2f4e4dcf91","block_type":"box","text":"insufficient cash, it may have to sell por tfolio securities to meet daily variation margin requirements at a time when it","page_number":53,"box":{"x":70,"y":460,"width":837,"height":12}},{"id":"d16354c6-8ca8-48d5-b0ca-8b3d13795050","block_type":"box","text":"may be disadvantageous to do so.","page_number":53,"box":{"x":69,"y":476,"width":243,"height":11}},{"id":"d6a97ef2-b249-4e17-ad34-46193b0e1e12","block_type":"box","text":"Index Risk","page_number":53,"box":{"x":102,"y":498,"width":73,"height":9}},{"id":"031c0a14-f2cc-4f6a-96c3-a8778a5af4db","block_type":"box","text":"— if the derivative is linked to the per formance of an index, it will be subject to the risks associated","page_number":53,"box":{"x":179,"y":498,"width":714,"height":11}},{"id":"69f89ab1-9941-4749-bd97-8f6c7efa8acd","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":53,"box":{"x":68,"y":513,"width":800,"height":12}},{"id":"4f27198f-e51a-4f1b-a4b8-e16282ea9d75","block_type":"box","text":"reduction in the value of the derivative to below the price that the Fund paid for such derivative.","page_number":53,"box":{"x":69,"y":528,"width":678,"height":11}},{"id":"c41f5a89-1ce6-4fe5-9a77-9b8fb5c12711","block_type":"box","text":"Legal Risk","page_number":53,"box":{"x":102,"y":551,"width":73,"height":11}},{"id":"6e7c9268-7a9a-4d30-a6b5-a6d59bd6f792","block_type":"box","text":"— the risk of insufficient documentation, insufficient capacity or authority of counterpar ty, or legality","page_number":53,"box":{"x":179,"y":551,"width":717,"height":11}},{"id":"15554a59-9965-41ea-8f82-4721c684988e","block_type":"box","text":"or enforceability of a contract.","page_number":53,"box":{"x":69,"y":566,"width":211,"height":11}},{"id":"fb40ee21-9935-4fc2-801b-2faa12010639","block_type":"box","text":"Leverage Risk","page_number":53,"box":{"x":102,"y":589,"width":99,"height":11}},{"id":"eafe379a-7cb5-4f34-b5ec-ac888f771f9e","block_type":"box","text":"— the risk that a Fund’s derivatives transactions can magnify the Fund’s gains and losses.","page_number":53,"box":{"x":205,"y":589,"width":648,"height":11}},{"id":"1a705224-89c1-44e4-9530-4842e9543ce2","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":53,"box":{"x":70,"y":604,"width":823,"height":11}},{"id":"e83765f7-e964-4b31-a17a-03296b21bb73","block_type":"box","text":"in losses that greatly exceed the amount originally invested.","page_number":53,"box":{"x":70,"y":619,"width":425,"height":11}},{"id":"ee15fe82-93eb-4c85-abc6-7a2972e38c84","block_type":"box","text":"Market Risk","page_number":53,"box":{"x":102,"y":642,"width":85,"height":9}},{"id":"f3bc7ae2-4329-4d99-abff-765d6e300a58","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":53,"box":{"x":191,"y":642,"width":716,"height":11}},{"id":"0c8cf051-5fb7-43b4-a03e-8f5a35ad523f","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":53,"box":{"x":68,"y":657,"width":833,"height":11}},{"id":"39eea71e-76c3-4668-b37b-28c8146c3bb8","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":53,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"c30dd305-0699-4de8-9ffa-80e0f7be8963","block_type":"box","text":"affected.","page_number":53,"box":{"x":69,"y":687,"width":62,"height":9}},{"id":"cceb1d6e-2914-4550-abf9-780ccd858bf0","block_type":"box","text":"Operational Risk","page_number":53,"box":{"x":102,"y":710,"width":117,"height":11}},{"id":"d905070a-5e3d-42b7-9eee-20184303c06c","block_type":"box","text":"— the risk related to potential operational issues, including documentation issues, settlement","page_number":53,"box":{"x":223,"y":710,"width":674,"height":11}},{"id":"5151ee50-3484-40a6-ba0c-700b5f5f264e","block_type":"box","text":"issues, systems failures, inadequate controls and human error.","page_number":53,"box":{"x":70,"y":725,"width":451,"height":11}},{"id":"d2e85f97-9e7e-4f2c-b6a1-f8a9363f8bff","block_type":"box","text":"Valuation Risk","page_number":53,"box":{"x":103,"y":748,"width":99,"height":9}},{"id":"f168618b-fba1-4565-b85d-359f1ed6657a","block_type":"box","text":"— the risk that valuation sources for a derivative will not be readily available in the market. This is","page_number":53,"box":{"x":206,"y":748,"width":701,"height":11}},{"id":"ead5c2ac-7146-4dc6-919b-a7c095c16bf6","block_type":"box","text":"possible especially in times of market distress, since many market par ticipants may be reluctant to purchase","page_number":53,"box":{"x":70,"y":763,"width":779,"height":11}},{"id":"b9b41248-0fc5-4f9f-901e-4264d391bd8f","block_type":"box","text":"complex instruments or quote prices for them.","page_number":53,"box":{"x":69,"y":778,"width":329,"height":11}},{"id":"835695c5-6fe1-4721-bba8-f853310f6c24","block_type":"box","text":"Volatility Risk","page_number":53,"box":{"x":103,"y":801,"width":93,"height":11}},{"id":"050bcbcd-741b-47b2-9981-54a36d1e1ba4","block_type":"box","text":"— the risk that the value of derivatives will fluctuate significantly within a shor t time period.","page_number":53,"box":{"x":200,"y":801,"width":652,"height":11}},{"id":"2ae6b5f3-d772-4374-ad59-9990ce4f198e","block_type":"box","text":"Types of Derivatives Transactions.","page_number":53,"box":{"x":103,"y":823,"width":240,"height":11}},{"id":"c1192f0b-5940-4374-838b-5b634236b553","block_type":"box","text":"A Fund may enter into derivatives transactions in accordance with its investment guidelines and restrictions,","page_number":53,"box":{"x":101,"y":846,"width":771,"height":11}},{"id":"defdd87a-627f-4ea5-8326-68eef609767f","block_type":"box","text":"including the following:","page_number":53,"box":{"x":70,"y":861,"width":159,"height":11}},{"id":"fc9eb093-46aa-4e38-8e85-5f3d9c6f5a3e","block_type":"box","text":"Futures.","page_number":53,"box":{"x":102,"y":884,"width":56,"height":9}},{"id":"7392d296-4e7f-48b6-bd2d-ffef95515ea3","block_type":"box","text":"II-16","page_number":53,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5567e5a6-9f5e-45e7-a9d6-95a1a1b44f48","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":53,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"70014d8b-f0e4-4879-9fa2-21758247fa2b","block_type":"box","text":"A Fund may enter into futures contracts (“futures”) and options on futures contracts. Futures are standardized,","page_number":54,"box":{"x":101,"y":45,"width":791,"height":11}},{"id":"d08ef755-ad06-4779-a32e-76e84a4fa48e","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":54,"box":{"x":69,"y":60,"width":799,"height":11}},{"id":"28dea587-f594-43e4-b571-52fd730837b2","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":54,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"482fe9c4-a9bb-4af0-b826-ec4ac700ed7e","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":54,"box":{"x":69,"y":90,"width":838,"height":11}},{"id":"bf1336dd-e341-4003-9920-8e4b552a939c","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":54,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"1563988b-dc79-41ec-b735-a3e3939e73e4","block_type":"box","text":"applicable, based on the mark-to-market movement of the contract.","page_number":54,"box":{"x":69,"y":120,"width":478,"height":11}},{"id":"ebc3bd3c-e36c-4a78-9830-a3c055dda051","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":54,"box":{"x":101,"y":143,"width":801,"height":11}},{"id":"52b30224-9f44-4b04-b6af-4a29ade7932b","block_type":"box","text":"market value of por tfolio holdings correlated with the futures contract. However, in the event the market value of the","page_number":54,"box":{"x":69,"y":158,"width":829,"height":11}},{"id":"9125ecbe-d961-4ed6-90f1-7e93d2486f53","block_type":"box","text":"por tfolio holdings correlated with the futures contract increases rather than decreases, a Fund will realize a loss on","page_number":54,"box":{"x":70,"y":173,"width":822,"height":11}},{"id":"b5197784-8f5a-4b03-a227-d4fd540b600d","block_type":"box","text":"the futures position and a lower return on the por tfolio holdings than would have been realized without the purchase","page_number":54,"box":{"x":68,"y":188,"width":830,"height":12}},{"id":"b18c7492-3676-4ca8-a753-9a722113b131","block_type":"box","text":"of the futures contract.","page_number":54,"box":{"x":69,"y":203,"width":162,"height":9}},{"id":"b07b00e5-3226-4262-ab27-1b579b929754","block_type":"box","text":"The purchase of a futures contract may provide a Fund a lower cost alternative to purchasing securities or","page_number":54,"box":{"x":101,"y":226,"width":756,"height":11}},{"id":"f5e574db-e918-4aff-984e-bc1ff01d0920","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":54,"box":{"x":69,"y":241,"width":820,"height":11}},{"id":"166f3d9f-949e-450b-b01c-95a3d56cb35b","block_type":"box","text":"complete an anticipatory hedge transaction relating to a futures contract, however, the Fund may realize a loss","page_number":54,"box":{"x":69,"y":256,"width":789,"height":12}},{"id":"9ef65047-80ac-4b83-8faa-065f87c56b37","block_type":"box","text":"relating to the futures position.","page_number":54,"box":{"x":69,"y":271,"width":219,"height":12}},{"id":"d6b8b2c1-1613-4751-923c-abf3eeb0fc71","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":54,"box":{"x":102,"y":294,"width":757,"height":11}},{"id":"9a6c7c3c-66b6-49e7-a066-4065ecf17c28","block_type":"box","text":"required to liquidate positions or may not be able to fully implement trading instructions. Any such liquidation or","page_number":54,"box":{"x":69,"y":309,"width":797,"height":11}},{"id":"04c27e7b-847b-4553-a733-44ae4325eb4b","block_type":"box","text":"limited implementation could result in substantial costs to a Fund. See “—Regulation of Derivatives — Dodd-Frank","page_number":54,"box":{"x":70,"y":324,"width":816,"height":12}},{"id":"29cf0b97-40c5-4ae0-8b0b-df97e6b7929b","block_type":"box","text":"Regulations” above.","page_number":54,"box":{"x":70,"y":340,"width":140,"height":11}},{"id":"233fa164-5d47-4b54-b30c-6fbddbf0a7d0","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":54,"box":{"x":101,"y":362,"width":799,"height":11}},{"id":"2966d8d3-f7f4-4981-9396-6ae5b7e9285c","block_type":"box","text":"and stock indices. Generally, these strategies would be used under the same market and market sector conditions","page_number":54,"box":{"x":69,"y":377,"width":818,"height":12}},{"id":"8a719399-d95b-48d9-a5b7-d46b255ad3ce","block_type":"box","text":"(","page_number":54,"box":{"x":69,"y":393,"width":3,"height":10}},{"id":"d8c4330c-7d7c-4673-a17b-ece9e322dac8","block_type":"box","text":"i.e.","page_number":54,"box":{"x":74,"y":393,"width":21,"height":8}},{"id":"aaa2b403-8f99-41ce-9355-40bd86b49d3a","block_type":"box","text":", conditions relating to specific types of investments) in which the Fund entered into futures transactions. A Fund","page_number":54,"box":{"x":97,"y":392,"width":803,"height":12}},{"id":"50403281-1812-4642-8875-a7083c79ccb8","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":54,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"298ae8fa-c973-49b7-bff9-37257bc4a9db","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":54,"box":{"x":68,"y":423,"width":835,"height":11}},{"id":"363dac40-482b-4b4d-8b19-1fb5b4f2680c","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":54,"box":{"x":69,"y":438,"width":831,"height":11}},{"id":"925c56ce-5177-4f85-83ef-a4440628eedc","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":54,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"391f16bd-7e7e-4193-91f4-134175272222","block_type":"box","text":"Fund intends to purchase.","page_number":54,"box":{"x":70,"y":468,"width":183,"height":11}},{"id":"e052dab5-8c1b-4d0d-b649-6129be4ad166","block_type":"box","text":"To maintain greater flexibility, a Fund may invest in instruments which have characteristics similar to futures","page_number":54,"box":{"x":101,"y":491,"width":768,"height":11}},{"id":"644ca5b7-f24c-45b6-956c-aed97eb8375d","block_type":"box","text":"contracts. These instruments may take a variety of forms, such as debt securities with interest or principal payments","page_number":54,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"ee474a34-5ccf-472d-b8fc-3b6d151488d2","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":54,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"f0815faa-2b9b-4bc5-912a-e6f02676aef4","block_type":"box","text":"risks of such investments could reflect the risks of investing in futures and securities, including volatility and","page_number":54,"box":{"x":69,"y":536,"width":773,"height":11}},{"id":"36fac454-60be-4007-b1f8-67141e0cb869","block_type":"box","text":"illiquidity.","page_number":54,"box":{"x":70,"y":551,"width":63,"height":11}},{"id":"d16043ca-0bbd-4ac9-a037-d287eaebfc67","block_type":"box","text":"Futures contracts and options on futures contracts are subject to significant correlation risk, leverage risk,","page_number":54,"box":{"x":102,"y":574,"width":757,"height":11}},{"id":"5b7c210b-1487-4eb7-a23b-6c98710ec40b","block_type":"box","text":"illiquidity risk, market risk and counterpar ty risk with respect to a Fund’s futures broker or the clearinghouse. See","page_number":54,"box":{"x":70,"y":589,"width":807,"height":11}},{"id":"be699c20-44bc-466d-8e2e-a324c92a1446","block_type":"box","text":"“—Risk Factors in Derivatives” above.","page_number":54,"box":{"x":70,"y":604,"width":269,"height":9}},{"id":"19c0a829-8587-49fe-8b19-9eecec8ae8a3","block_type":"box","text":"Cer tain Funds may invest in futures based on carbon “allowances.” Under cer tain regulatory regimes, a limit is","page_number":54,"box":{"x":102,"y":627,"width":791,"height":11}},{"id":"2a69a6be-1649-46ca-bf44-1e6eec937fb8","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":54,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"4683a555-0f96-46a0-8310-54a245939f9c","block_type":"box","text":"can be emitted by regulated entities, such as manufacturers or energy producers. The regulator then may issue or","page_number":54,"box":{"x":69,"y":657,"width":814,"height":11}},{"id":"36075a52-748e-46c8-a6d6-952c34494771","block_type":"box","text":"sell individual “emission allowances” to regulated entities, which can then be traded on the open market. Commodity","page_number":54,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"a4981ad6-69f9-471c-9f4c-a8c531504323","block_type":"box","text":"futures contracts linked to the value of emission allowances are known as “carbon futures.”","page_number":54,"box":{"x":68,"y":687,"width":657,"height":9}},{"id":"45cac15c-ea0a-44d5-a3b4-b7f63ada8ff2","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":54,"box":{"x":101,"y":710,"width":792,"height":11}},{"id":"568aadf8-c89b-4272-9a83-5ec2e7335483","block_type":"box","text":"for carbon futures contracts. Changes in law, market conditions and expectations, position limits, collateral","page_number":54,"box":{"x":68,"y":725,"width":764,"height":11}},{"id":"7b52dfba-d119-4096-9c36-95ee45e04a4e","block_type":"box","text":"requirements, and other factors each can impact the supply of and demand for carbon futures contracts. The market","page_number":54,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"955925d8-c749-4ce9-969f-a8636d19c0b3","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":54,"box":{"x":68,"y":755,"width":841,"height":11}},{"id":"1fd388af-01ba-4008-8dbf-ae52ea6225e9","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":54,"box":{"x":69,"y":770,"width":819,"height":11}},{"id":"e52c7718-2e21-4b1e-aa35-8b222c829499","block_type":"box","text":"difficult to find a counterpar ty willing to transact at a reasonable price and sufficient size.","page_number":54,"box":{"x":69,"y":785,"width":637,"height":12}},{"id":"a43e4bac-cad1-473a-babd-f354ac24a1b9","block_type":"box","text":"Swap Agreements.","page_number":54,"box":{"x":102,"y":808,"width":131,"height":11}},{"id":"c046674f-9285-4e4a-a331-00e22ee5e6c3","block_type":"box","text":"A Fund may enter into swap agreements for hedging purposes or speculative purposes. Swap agreements are","page_number":54,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"4244981a-a8e6-4bf5-99fc-97af566e9718","block_type":"box","text":"OTC contracts entered into primarily by financial institutions and institutional investors which may or may not be","page_number":54,"box":{"x":69,"y":846,"width":796,"height":11}},{"id":"bb11fcee-8024-4346-8be4-535376cd12a3","block_type":"box","text":"cleared by a central clearinghouse. In a standard “swap” transaction, two par ties agree to exchange the returns","page_number":54,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"62f035be-5ad0-461e-b662-0d181d21359c","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":54,"box":{"x":69,"y":876,"width":792,"height":11}},{"id":"ccbf0747-dacd-4e0e-8c74-03043858aed8","block_type":"box","text":"factor. The gross returns to be exchanged or “swapped” between the par ties are generally calculated with respect to","page_number":54,"box":{"x":68,"y":891,"width":832,"height":12}},{"id":"4390444f-ff18-474e-8501-d8a2353f4833","block_type":"box","text":"a “notional amount,”","page_number":54,"box":{"x":69,"y":907,"width":147,"height":10}},{"id":"e742901d-7caa-4d56-a095-13b08a38883a","block_type":"box","text":"e.g.","page_number":54,"box":{"x":223,"y":908,"width":25,"height":10}},{"id":"1d89b057-a251-481c-9f7b-0ed05b08fa22","block_type":"box","text":", the return or increase in value of a par ticular dollar amount invested at a par ticular","page_number":54,"box":{"x":251,"y":906,"width":602,"height":11}},{"id":"56312cfe-db7b-4e8c-add7-a5a50f532634","block_type":"box","text":"II-17","page_number":54,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d4e710cb-ed46-49a1-8b82-667a2f6e95ee","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":54,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"aaefd614-60ca-4c40-b02a-018452439434","block_type":"box","text":"interest rate, in a par ticular foreign currency, or in a “basket” of securities representing a par ticular index. The","page_number":55,"box":{"x":70,"y":45,"width":787,"height":11}},{"id":"253464c3-2d4b-41d9-bfcd-8895e18366fe","block_type":"box","text":"notional amount of the swap agreement is only used to calculate the obligations that the par ties to a swap","page_number":55,"box":{"x":69,"y":60,"width":762,"height":11}},{"id":"8eef42b2-892b-4dd4-a6f8-4458f4c20cf8","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":55,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"36866075-c471-41d9-8ede-18f7db4463d2","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":55,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"e9ef4809-f412-4645-9422-763c613a23af","block_type":"box","text":"by each par ty to the agreement. Swaps that are not cleared involve substantial counterpar ty risk. A Fund will typically","page_number":55,"box":{"x":69,"y":105,"width":835,"height":11}},{"id":"8db2fa20-2f9f-41fb-bda6-f430f532913a","block_type":"box","text":"attempt to mitigate this counterpar ty risk by entering into swap agreements only with creditwor thy entities that have","page_number":55,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"9b9bfebc-3c38-4e89-895b-ebbd4d0fd89f","block_type":"box","text":"substantial capital or that have provided the Fund with a third-par ty guaranty or other credit suppor t. A Fund’s ability","page_number":55,"box":{"x":69,"y":136,"width":827,"height":11}},{"id":"b913e93f-16c7-4e3c-9b85-743b119f2947","block_type":"box","text":"to use swap agreements may be restricted by the tax rules applicable to registered investment companies.","page_number":55,"box":{"x":68,"y":151,"width":763,"height":11}},{"id":"590aa8bd-d445-45dd-8235-79c3a456e449","block_type":"box","text":"Credit Default Swaps and Similar Instruments.","page_number":55,"box":{"x":102,"y":173,"width":329,"height":11}},{"id":"ad113662-b546-4dd2-b8fb-c661f9bf1b4e","block_type":"box","text":"Cer tain Funds may enter into credit default swaps and similar","page_number":55,"box":{"x":438,"y":173,"width":439,"height":11}},{"id":"91fd3d41-873a-4f67-84e0-03c4230b0e34","block_type":"box","text":"instruments. Credit default swaps are standardized agreements in which the protection “buyer” pays the protection","page_number":55,"box":{"x":70,"y":188,"width":821,"height":12}},{"id":"d648db75-c32d-40d8-9a80-05f7f2ea388c","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":55,"box":{"x":70,"y":203,"width":831,"height":12}},{"id":"2533833c-6f6a-4e8c-a164-d7db0c233f6d","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":55,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"acc66c40-fbf0-4b54-a9d8-0e7b60a90804","block_type":"box","text":"buyer the difference between the notional amount of the contract and the value of a por tfolio of securities issued by","page_number":55,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"1a3f514c-6827-49c2-8d7d-db396bbb45b6","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":55,"box":{"x":68,"y":249,"width":798,"height":11}},{"id":"b98b07d3-09da-4723-95b8-10d99f25d29e","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":55,"box":{"x":69,"y":264,"width":827,"height":11}},{"id":"e197e17b-8393-43d4-a0db-2d979361241b","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":55,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"58223b42-236d-423e-8569-6f0d4e89a0e8","block_type":"box","text":"index CDS.","page_number":55,"box":{"x":70,"y":294,"width":75,"height":9}},{"id":"900cc120-1699-4346-b117-6963e3d0605f","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":55,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"3db76486-7106-4052-8d2f-4c8060a456e5","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":55,"box":{"x":69,"y":332,"width":806,"height":9}},{"id":"d3509b37-f7d6-433a-b79b-79d75cc9788c","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":55,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"1e853961-029c-4956-8ebc-0ab04f1fff05","block_type":"box","text":"available only at unfavorable prices, as would be the case in a so-called “shor t squeeze.” In cer tain instances of","page_number":55,"box":{"x":69,"y":362,"width":804,"height":11}},{"id":"eccce365-6ab1-483b-9601-eb76ad602b9f","block_type":"box","text":"issuer defaults or restructurings, it has been unclear under the standard industry documentation for credit default","page_number":55,"box":{"x":70,"y":377,"width":812,"height":12}},{"id":"78ab8d90-ce83-4e0b-a98d-9edeae4b8108","block_type":"box","text":"swaps whether or not a “credit event” triggering the seller’s payment obligation had occurred. Cer tain initiatives","page_number":55,"box":{"x":69,"y":392,"width":798,"height":12}},{"id":"198bf361-46c4-4c8d-8cca-de585ceb8da8","block_type":"box","text":"adopted by derivatives market par ticipants, including the International Swaps and Derivatives Association (“ISDA”),","page_number":55,"box":{"x":69,"y":408,"width":819,"height":11}},{"id":"dfd46400-4d18-4528-a47f-e67461890235","block_type":"box","text":"are designed to implement uniform settlement terms into standard credit default swap documentation, as well as","page_number":55,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"7c9d8e4b-d855-4e4b-a49b-d46f3764d2ba","block_type":"box","text":"refine the practices for the transparent conduct of the credit default swap market generally. Among these initiatives","page_number":55,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"73a21f76-e486-4266-887f-7952251daab5","block_type":"box","text":"are the ISDA Credit Derivatives Determination Committee and the implementation of market-wide cash settlement","page_number":55,"box":{"x":69,"y":453,"width":811,"height":11}},{"id":"e2d4c42b-5ca3-4bf0-afdb-5b54e49392ef","block_type":"box","text":"protocols applicable to all market-standard credit default swaps. These initiatives are intended to reduce both the","page_number":55,"box":{"x":70,"y":468,"width":809,"height":11}},{"id":"a4a45a1f-1ad2-432b-a28f-4a8d32864d8e","block_type":"box","text":"uncer tainty as to the occurrence of credit events and the risk of a “shor t squeeze” by providing that the ISDA Credit","page_number":55,"box":{"x":69,"y":483,"width":827,"height":11}},{"id":"e05aa38e-543b-4b53-a772-6c3d32b56dfb","block_type":"box","text":"Derivatives Determinations Committee will make determinations as to whether a credit event has occurred, establish","page_number":55,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"8da49cfe-95f3-4519-8a9e-8bea0fd18b84","block_type":"box","text":"an auction to determine a settlement price and identify the deliverable securities for purposes of the auction,","page_number":55,"box":{"x":69,"y":513,"width":778,"height":11}},{"id":"8c6c2bb0-6ca9-45fc-bd99-0d46d8453760","block_type":"box","text":"although the ISDA Credit Derivatives Determinations Committee may in cer tain limited circumstances refrain from","page_number":55,"box":{"x":69,"y":528,"width":809,"height":12}},{"id":"4c43d39a-fc8f-4d30-ae70-86f4983dbff7","block_type":"box","text":"doing so. In the event the ISDA Credit Derivatives Determinations Committee cannot reach a timely resolution with","page_number":55,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"0f792182-27c2-4349-8a04-1eb15c2baf4d","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":55,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"6fe6006a-e267-4795-9829-d4e32507d0d6","block_type":"box","text":"realize the full value of the credit default swap upon a default by the reference entity. Fur thermore, a Fund may enter","page_number":55,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"47acc2bc-a219-4be2-9951-215e6e6a8087","block_type":"box","text":"into cer tain credit default swaps or similar instruments that may not be covered by these initiatives.","page_number":55,"box":{"x":70,"y":589,"width":711,"height":11}},{"id":"a7aaca6e-905b-41a9-8318-9b291a589838","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":55,"box":{"x":102,"y":612,"width":757,"height":11}},{"id":"8757d324-a115-4274-ab15-4b5799a4638a","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":55,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"5998a206-c601-4975-a29b-3c61a527db1d","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":55,"box":{"x":69,"y":642,"width":830,"height":11}},{"id":"e01902d6-bbe6-498a-b649-b3c72860feaa","block_type":"box","text":"settlement auction, together with the up-front or periodic payments previously received, may be less than the amount","page_number":55,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"32df4522-7f46-4d1c-ae9d-61ec708a5f70","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":55,"box":{"x":70,"y":672,"width":817,"height":11}},{"id":"822af5a7-1037-4d2b-a5ae-3c98668141d3","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":55,"box":{"x":69,"y":687,"width":820,"height":11}},{"id":"cdf7173d-4651-462e-84c3-ab8875c8815c","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":55,"box":{"x":68,"y":702,"width":833,"height":12}},{"id":"02fbe103-ce6d-4ff0-9408-14dd898792f8","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":55,"box":{"x":69,"y":717,"width":837,"height":12}},{"id":"ecd7fb3d-c404-48b1-8f64-07ce67512cb1","block_type":"box","text":"the event the ISDA Credit Derivatives Determinations Committee does not establish a cash settlement auction and","page_number":55,"box":{"x":68,"y":733,"width":820,"height":9}},{"id":"d31217ce-fee1-4453-aa1a-5ebecfca17b0","block_type":"box","text":"identify the relevant deliverable securities or loans, the credit default swap buyer will have broad discretion to select","page_number":55,"box":{"x":70,"y":748,"width":828,"height":11}},{"id":"91bdab5a-c1a7-47a3-9659-f5c4546caa36","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":55,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"5da16575-55cd-41cd-956c-3284d3df9247","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":55,"box":{"x":68,"y":778,"width":814,"height":11}},{"id":"d92d44da-024e-45cc-b0ce-4341aabdf11e","block_type":"box","text":"credit default swaps generally trade on the basis of theoretical pricing and valuation models, which may not","page_number":55,"box":{"x":69,"y":793,"width":766,"height":11}},{"id":"2d91b4ad-c069-4ff5-a205-f20bea57e98c","block_type":"box","text":"accurately value such swap positions when established or when subsequently traded or unwound under actual market","page_number":55,"box":{"x":69,"y":808,"width":840,"height":11}},{"id":"af281475-0465-4edf-b087-2bf7986d46c7","block_type":"box","text":"conditions.","page_number":55,"box":{"x":69,"y":823,"width":76,"height":9}},{"id":"b8fd47d8-3203-4614-8b59-7edf4c359b7c","block_type":"box","text":"Dodd-Frank requires that cer tain index CDS be executed in regulated markets and submitted for clearing to","page_number":55,"box":{"x":102,"y":846,"width":762,"height":11}},{"id":"84e455ce-d4a0-4a8a-8fa3-0c1266b7b1b7","block_type":"box","text":"regulated clearinghouses. See “—Derivatives — Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":55,"box":{"x":69,"y":861,"width":824,"height":11}},{"id":"64d14b2c-8aa4-4b67-8d0f-aa5b95cafb46","block_type":"box","text":"single-name CDS and index CDS are permitted, although not required, to be cleared through regulated","page_number":55,"box":{"x":69,"y":876,"width":727,"height":11}},{"id":"fe0e44d9-21a8-4c9e-9058-89079a6815dc","block_type":"box","text":"clearinghouses. The Funds clear all credit default swaps that are subject to mandatory clearing and may voluntarily","page_number":55,"box":{"x":69,"y":891,"width":819,"height":12}},{"id":"0aa92979-c39b-4f2b-807f-ce3191d9bdf7","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":55,"box":{"x":69,"y":906,"width":764,"height":12}},{"id":"7d266d95-aa28-428a-b4b0-404e25eeb0e2","block_type":"box","text":"II-18","page_number":55,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fecb5da2-fd63-4765-a2b9-2f00b0fe162f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":55,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cc7eef4d-e0b0-4d72-aa4d-6b16fbf3bf56","block_type":"box","text":"counterpar ty risk with respect to the clearinghouse when entering into cleared single-name CDS and cleared index","page_number":56,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"8049f6e6-4efd-4c59-9e72-9990ce1cee3d","block_type":"box","text":"CDS. The Funds face significant counterpar ty risk with respect to their counterpar ties to non-cleared credit default","page_number":56,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"21c1e84c-966a-4ecc-bd0e-618295e4cf11","block_type":"box","text":"swaps and similar instruments. A Fund typically will enter into non-cleared credit default swaps and similar","page_number":56,"box":{"x":69,"y":75,"width":759,"height":11}},{"id":"24f46393-43db-43ee-a0d6-344454a9d6bd","block_type":"box","text":"instruments with swap dealers and creditwor thy entities that have substantial capital or that have provided the Fund","page_number":56,"box":{"x":70,"y":90,"width":828,"height":11}},{"id":"a651fa5b-9b84-47ab-a232-01b6613bae14","block_type":"box","text":"with a third-par ty guaranty or other credit suppor t.","page_number":56,"box":{"x":68,"y":105,"width":355,"height":11}},{"id":"7b40986f-6de6-40c7-9e38-ba26de4550cd","block_type":"box","text":"In cer tain instances, a Fund may enter into bespoke credit default swaps or similar instruments either as","page_number":56,"box":{"x":102,"y":128,"width":750,"height":11}},{"id":"451d87fb-b869-42c1-b526-2c7b1afe1929","block_type":"box","text":"protection buyer or protection seller. While these contracts are similar in their operation to the market-standard credit","page_number":56,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"31ce9f8d-aca7-4b9e-b7cb-16178fad41c4","block_type":"box","text":"default swaps described above, they are less standardized and instead have bespoke or tailored features. For","page_number":56,"box":{"x":69,"y":158,"width":785,"height":11}},{"id":"a8b73fb0-3926-40d8-a22b-5e2c517c91de","block_type":"box","text":"example, as compared to market-standard credit defaults, the range of “credit events” triggering settlement of such","page_number":56,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"cd46f322-6332-431c-92f9-160b855261bb","block_type":"box","text":"bespoke contracts may be narrower or broader, any such triggered contracts are settled by physical delivery of the","page_number":56,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"4d48898f-fafe-4bb3-baa8-279d2d1241b3","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":56,"box":{"x":69,"y":203,"width":839,"height":12}},{"id":"32212b1f-9aa1-4073-b5c5-8c8de6435512","block_type":"box","text":"securities as the reference obligations and/or deliverable obligations.","page_number":56,"box":{"x":69,"y":218,"width":495,"height":12}},{"id":"09ce6cd1-7391-4f0c-a2de-77469239e5c2","block_type":"box","text":"In addition, credit default swaps and similar instruments generally involve greater risks than if a Fund had","page_number":56,"box":{"x":102,"y":241,"width":752,"height":11}},{"id":"fc3cf9bd-a78f-4af9-9f94-3dc815d603a5","block_type":"box","text":"invested in the reference obligation directly and are subject to significant credit risk, correlation risk, leverage risk,","page_number":56,"box":{"x":70,"y":256,"width":814,"height":12}},{"id":"f45be67b-4e74-41d7-9c3a-36c44de9c287","block_type":"box","text":"illiquidity risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":56,"box":{"x":70,"y":272,"width":520,"height":11}},{"id":"a3ec598f-1813-4e94-a865-b29605fa27a5","block_type":"box","text":"Interest Rate Swaps, Floors and Caps.","page_number":56,"box":{"x":102,"y":294,"width":273,"height":11}},{"id":"6357eb6c-2efc-4bf4-b0fa-995642ff0923","block_type":"box","text":"Cer tain Funds may enter into OTC derivatives in the form of interest rate","page_number":56,"box":{"x":381,"y":294,"width":515,"height":11}},{"id":"c8ee22e2-42f1-479d-a5e8-9f5cf16482f7","block_type":"box","text":"swaps and interest rate caps and floors. As described in fur ther detail below, a Fund may enter into these","page_number":56,"box":{"x":69,"y":309,"width":755,"height":11}},{"id":"c6962a41-86f0-4218-8d5f-8487f328a294","block_type":"box","text":"transactions primarily to preserve a return or spread on a par ticular investment or por tion of its holdings, as a","page_number":56,"box":{"x":68,"y":324,"width":788,"height":12}},{"id":"553e03ee-e3c7-4e18-9b9a-0518e0c68f69","block_type":"box","text":"duration management technique, to protect against an increase in the price of securities a Fund anticipates","page_number":56,"box":{"x":69,"y":339,"width":768,"height":12}},{"id":"a3a56a87-fbf6-40cb-8058-81c33f8d936f","block_type":"box","text":"purchasing at a later date, or for speculation to increase returns.","page_number":56,"box":{"x":70,"y":355,"width":461,"height":11}},{"id":"e8975e1c-fea1-4cfe-8c9f-f69f87bb2e3a","block_type":"box","text":"Dodd-Frank requires that cer tain interest rate swaps be executed in regulated markets and submitted for","page_number":56,"box":{"x":102,"y":377,"width":748,"height":12}},{"id":"acce0aaa-764b-4d97-ab8d-700c7210e4c0","block_type":"box","text":"clearing to regulated clearinghouses. See “—Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":56,"box":{"x":69,"y":392,"width":799,"height":12}},{"id":"5299a979-bb18-4080-813e-6b1509d3da09","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":56,"box":{"x":70,"y":407,"width":829,"height":12}},{"id":"59f4a33c-ee72-4706-b409-3746afdb4b96","block_type":"box","text":"by the Funds are cleared. The Funds face counterpar ty risk with respect to the clearinghouse when entering into","page_number":56,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"7f65d8a1-8d38-4de2-acb0-06d6178cb6d0","block_type":"box","text":"cleared interest rate swaps.","page_number":56,"box":{"x":69,"y":438,"width":198,"height":11}},{"id":"334c95e7-d653-49d5-80d5-8311fa254607","block_type":"box","text":"The Funds face significant counterpar ty risk with respect to their counterpar ties to non-cleared interest rate","page_number":56,"box":{"x":101,"y":460,"width":766,"height":12}},{"id":"b83e5f8b-67dc-4d75-a969-5ece47461e6e","block_type":"box","text":"swaps and interest rate caps and floors. The typical counterpar ties for a Fund’s non-cleared interest rate derivatives","page_number":56,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"17c5cc3e-11ce-412a-978f-0dd6cfae2f8b","block_type":"box","text":"transactions are swap dealers and other creditwor thy entities that have substantial capital or that have provided the","page_number":56,"box":{"x":68,"y":491,"width":830,"height":11}},{"id":"c911c5ab-6257-4d7e-b4d1-bcb72212a6b5","block_type":"box","text":"Fund with a third-par ty guaranty or other credit suppor t. If the Fund’s counterpar ty defaults on such a transaction, a","page_number":56,"box":{"x":70,"y":506,"width":822,"height":11}},{"id":"b143bc05-9d17-4e86-a557-4f475ade467d","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":56,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"8c68abbd-e06a-4600-9c04-8a665d2bf6fb","block_type":"box","text":"be successful in enforcing such remedies. The market for interest rate swaps is relatively liquid in comparison with","page_number":56,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"3ca2190b-47c9-4faf-a313-65ef6e960c3f","block_type":"box","text":"other similar instruments traded in the interbank market. A Fund may be limited in its ability to enter into cer tain","page_number":56,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"9fb0e2ff-e556-40e5-b319-f7530296bd9c","block_type":"box","text":"interest rate derivatives due to applicable income tax requirements.","page_number":56,"box":{"x":70,"y":566,"width":480,"height":11}},{"id":"cd7961fa-7c53-4a39-9e60-f0157f2dfc84","block_type":"box","text":"Interest rate swaps are transactions in which each par ty makes periodic interest payments based on a fixed or","page_number":56,"box":{"x":102,"y":589,"width":790,"height":11}},{"id":"bd8083e5-6026-4b67-b4a1-1eaaf5c26690","block_type":"box","text":"variable interest rate, index or asset in return for periodic payments from its counterpar ty based on a different fixed","page_number":56,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"6682a4f9-2438-4e0c-91ef-f383e7bd7507","block_type":"box","text":"or variable interest rate, index or asset.","page_number":56,"box":{"x":69,"y":619,"width":280,"height":11}},{"id":"d758b033-5c3b-481d-8c2d-4eff7f5a3057","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":56,"box":{"x":101,"y":642,"width":780,"height":11}},{"id":"5e4cfc49-f6bb-428a-b089-19b8065cd7e6","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the par ty selling","page_number":56,"box":{"x":70,"y":657,"width":805,"height":11}},{"id":"15f5f7df-e88a-4514-addd-b47d78e686c4","block_type":"box","text":"such interest rate floor.","page_number":56,"box":{"x":69,"y":672,"width":165,"height":9}},{"id":"e15dd15e-da36-4aea-b5cf-6cee5fe020d3","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":56,"box":{"x":101,"y":695,"width":780,"height":11}},{"id":"6f503007-68fb-4246-9dbc-c40b9383904d","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the par ty selling","page_number":56,"box":{"x":70,"y":710,"width":805,"height":11}},{"id":"182341e2-58a6-4471-a642-17171e4377b2","block_type":"box","text":"such interest rate cap.","page_number":56,"box":{"x":69,"y":725,"width":159,"height":11}},{"id":"bf351007-a3f2-446c-bcd0-fcec9f9a0a7a","block_type":"box","text":"A Fund may enter into an interest rate swap to effectively exchange with another par ty their respective","page_number":56,"box":{"x":101,"y":748,"width":729,"height":11}},{"id":"80760f38-f779-411f-9ca3-d248cd4cd629","block_type":"box","text":"commitments to pay or receive interest,","page_number":56,"box":{"x":69,"y":763,"width":282,"height":11}},{"id":"6c2fbfa9-0143-4e9a-974e-160ff583dbf0","block_type":"box","text":"e.g.","page_number":56,"box":{"x":359,"y":764,"width":24,"height":10}},{"id":"168dc15a-da6d-4feb-ba7d-c2b86b64ce5a","block_type":"box","text":", an exchange of fixed rate payments for floating rate payments. For","page_number":56,"box":{"x":386,"y":763,"width":482,"height":11}},{"id":"59531740-21ef-4fa3-a480-d37be4458b49","block_type":"box","text":"example, if a Fund holds a mor tgage-backed security with an interest rate that is reset only once each year, it may","page_number":56,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"eb924a85-c298-4533-ba68-447ffa61f9bd","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":56,"box":{"x":69,"y":793,"width":823,"height":11}},{"id":"2d94afd1-ee4a-4be5-b2c6-a4c94698cb9d","block_type":"box","text":"This would enable a Fund to offset a decline in the value of the mor tgage-backed security due to rising interest rates","page_number":56,"box":{"x":68,"y":808,"width":832,"height":11}},{"id":"b2e577ca-b7f5-4f31-9fda-e68df4bf95df","block_type":"box","text":"but would also limit its ability to benefit from falling interest rates. Conversely, if a Fund holds a mor tgage-backed","page_number":56,"box":{"x":69,"y":823,"width":807,"height":12}},{"id":"6428f772-be99-45b9-bd57-efe9b2d45283","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":56,"box":{"x":69,"y":839,"width":836,"height":11}},{"id":"574ffabb-1136-4dae-acd9-c462d4fd4c76","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":56,"box":{"x":69,"y":853,"width":826,"height":12}},{"id":"39d5bca9-9d78-45c0-8980-c69171e40758","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":56,"box":{"x":69,"y":869,"width":840,"height":11}},{"id":"6eb732be-10ab-4660-bc58-cd9836375856","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":56,"box":{"x":69,"y":884,"width":810,"height":11}},{"id":"f9ad5c43-a130-482a-8392-720b721e7f28","block_type":"box","text":"year interest rates, but would preclude it from taking full advantage of rising interest rates.","page_number":56,"box":{"x":68,"y":899,"width":646,"height":11}},{"id":"b5346409-5417-46b2-85b5-69ef336f65c3","block_type":"box","text":"II-19","page_number":56,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cdd61347-b54e-4cb3-bc05-3394376d5637","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":56,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"eb538a9f-2fa5-4508-94f3-0e5271e1fe43","block_type":"box","text":"Gains from transactions in interest rate swaps distributed to shareholders will be taxable as ordinary income or,","page_number":57,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"49a40308-a2ff-499c-bb31-9fe833f3bf7d","block_type":"box","text":"in cer tain circumstances, as long term capital gains to shareholders.","page_number":57,"box":{"x":70,"y":60,"width":490,"height":11}},{"id":"9f7f4974-84f9-4620-806a-42fb4c401f06","block_type":"box","text":"Interest rate swaps and interest rate caps and floors may be subject to correlation risk, leverage risk, illiquidity","page_number":57,"box":{"x":102,"y":82,"width":791,"height":12}},{"id":"fef81e7b-1424-4d8f-b07f-010d20311e4b","block_type":"box","text":"risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":57,"box":{"x":69,"y":98,"width":454,"height":9}},{"id":"936ce4fe-8dfb-4a1e-a5ac-09d53398c4f3","block_type":"box","text":"Total Return Swaps.","page_number":57,"box":{"x":103,"y":120,"width":139,"height":11}},{"id":"3d160fce-355f-48f0-b418-6f76dd707930","block_type":"box","text":"Total return swaps are contracts in which one par ty agrees to make periodic payments to","page_number":57,"box":{"x":249,"y":120,"width":634,"height":12}},{"id":"761a7c1f-0300-4b9c-8b56-56717607ab7b","block_type":"box","text":"the other par ty based on the return of the assets underlying the contract in exchange for periodic payments based on","page_number":57,"box":{"x":68,"y":135,"width":838,"height":12}},{"id":"0078b53b-c4d4-44dd-a748-fb5cb7586097","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":57,"box":{"x":69,"y":150,"width":764,"height":12}},{"id":"6c2549cc-ad1f-417b-8c5e-760f74ceecae","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":57,"box":{"x":69,"y":166,"width":791,"height":11}},{"id":"277f3387-037f-44d0-acd3-4914a0f83a22","block_type":"box","text":"asset. The asset underlying the contract may include a specified security, basket of securities or securities indices.","page_number":57,"box":{"x":69,"y":181,"width":821,"height":11}},{"id":"268aa20b-78c6-4759-9bdf-b1f89b37154c","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":57,"box":{"x":68,"y":196,"width":838,"height":11}},{"id":"216d99cd-d55a-4277-855c-0ab1a5af6f01","block_type":"box","text":"“contracts for difference.”","page_number":57,"box":{"x":70,"y":211,"width":184,"height":9}},{"id":"9e2dac29-5f70-46d3-9bf6-0d1a177ebcc7","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":57,"box":{"x":101,"y":234,"width":770,"height":11}},{"id":"b6ad7dcb-5019-4690-a606-9534899f468d","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":57,"box":{"x":69,"y":249,"width":780,"height":11}},{"id":"c6bc4ab6-a6d5-4071-81d0-e45ba564fbe9","block_type":"box","text":"required to deposit initial margin but the par ties do not exchange the notional amount. As a result, total return swaps","page_number":57,"box":{"x":69,"y":264,"width":839,"height":11}},{"id":"d344df5f-ac8f-467c-823d-768406ab7d8a","block_type":"box","text":"may effectively add leverage to the Fund’s por tfolio because the Fund would be subject to investment exposure on","page_number":57,"box":{"x":69,"y":279,"width":816,"height":11}},{"id":"6bbb27ba-b20a-4da0-8b1d-122696a0a54e","block_type":"box","text":"the notional amount of the swap.","page_number":57,"box":{"x":68,"y":294,"width":235,"height":11}},{"id":"f250e49a-f8bb-4eab-8674-84186d58931f","block_type":"box","text":"Total return swaps are subject to significant correlation risk, leverage risk, illiquidity risk, market risk and","page_number":57,"box":{"x":101,"y":317,"width":746,"height":11}},{"id":"8001f93b-292a-46cc-8d54-a42fdb85a8f3","block_type":"box","text":"counterpar ty risk. See “—Risk Factors in Derivatives” above.","page_number":57,"box":{"x":69,"y":332,"width":433,"height":11}},{"id":"cbf5e4e9-8880-46f6-8b89-a91fbf3fdff5","block_type":"box","text":"Options.","page_number":57,"box":{"x":102,"y":355,"width":57,"height":11}},{"id":"f6c2c87d-d2c2-45b9-8c38-0b8724f5b80f","block_type":"box","text":"Options on Securities and Securities Indices.","page_number":57,"box":{"x":102,"y":377,"width":319,"height":11}},{"id":"6d778dd4-2add-4064-b2cc-d2dd42d467d2","block_type":"box","text":"A Fund may engage in transactions in options on individual","page_number":57,"box":{"x":427,"y":377,"width":418,"height":12}},{"id":"fd06a7e6-ab91-4b6f-883f-668cce56c753","block_type":"box","text":"securities, baskets of securities or securities indices, or par ticular measurements of value or rates, such as an index","page_number":57,"box":{"x":69,"y":392,"width":838,"height":11}},{"id":"cee503a6-3ed4-41e2-8c5f-a3f12e0ee162","block_type":"box","text":"of the price of treasury securities or an index representative of shor t-term interest rates. Such investments may be","page_number":57,"box":{"x":69,"y":407,"width":820,"height":12}},{"id":"10f7f473-322f-49fc-b7ea-852a004ae663","block_type":"box","text":"made on exchanges and in the OTC markets. In general, exchange-traded options have standardized exercise prices","page_number":57,"box":{"x":69,"y":423,"width":826,"height":11}},{"id":"ded3284e-2f34-415a-892d-748084b1bf7e","block_type":"box","text":"and expiration dates and require the par ties to post margin against their obligations, and the per formance of the","page_number":57,"box":{"x":69,"y":438,"width":806,"height":11}},{"id":"9cc31e5d-a3a0-4a66-9761-c8a2e4377e2d","block_type":"box","text":"par ties’ obligations in connection with such options is guaranteed by the exchange or a related clearing corporation.","page_number":57,"box":{"x":70,"y":453,"width":825,"height":11}},{"id":"5e91c985-d3b0-42c1-b6ee-f7758daa5d17","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":57,"box":{"x":69,"y":468,"width":822,"height":11}},{"id":"cb1cbed0-b7ce-45d2-8e0f-a97cbc4fc0fa","block_type":"box","text":"risk. OTC options also involve greater illiquidity risk.","page_number":57,"box":{"x":69,"y":483,"width":366,"height":11}},{"id":"efdb5b9e-1f82-4e79-860a-4e8696de8cb1","block_type":"box","text":"A Fund may also engage in transactions in options which have additional features that result in different","page_number":57,"box":{"x":101,"y":506,"width":743,"height":11}},{"id":"1969c2f5-08d5-40a4-b735-31f0df430df1","block_type":"box","text":"payment structures and/or expirations (commonly referred to as exotic options). For example, barrier options are","page_number":57,"box":{"x":70,"y":521,"width":804,"height":11}},{"id":"78bc416a-63ba-450d-beac-000439a46aef","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":57,"box":{"x":69,"y":536,"width":827,"height":11}},{"id":"25459a83-af60-4655-a509-1d1c685e9674","block_type":"box","text":"more predetermined levels on or before expiration. Binary options are another example of exotic options which have","page_number":57,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"63e35035-29d9-4c1d-973b-5495ec8ed99f","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":57,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"3a7d01ac-5df5-4f0a-b66b-b40ced8c87f3","block_type":"box","text":"OTC markets.","page_number":57,"box":{"x":69,"y":581,"width":95,"height":9}},{"id":"57c67c17-8ea4-48cb-8e0d-d5b62c6f4d0a","block_type":"box","text":"There are several risks associated with transactions in options on securities and indexes. For example, there are","page_number":57,"box":{"x":101,"y":604,"width":806,"height":11}},{"id":"773cd461-bc78-434c-ac77-a4a6087ed68e","block_type":"box","text":"significant differences between the securities and options markets that could result in an imper fect correlation","page_number":57,"box":{"x":69,"y":619,"width":791,"height":11}},{"id":"ab7a1f67-4209-4bd2-8c0e-61d9fc7b149d","block_type":"box","text":"between these markets, causing a given transaction not to achieve its objectives. In addition, a liquid market for","page_number":57,"box":{"x":69,"y":634,"width":801,"height":12}},{"id":"5003c089-12e3-4354-b295-68914362c7d7","block_type":"box","text":"par ticular options, whether traded OTC or on a national securities exchange (“Exchange”) may be absent for reasons","page_number":57,"box":{"x":70,"y":649,"width":831,"height":12}},{"id":"706be35e-9de9-45f3-b1ea-41c8b5e489ba","block_type":"box","text":"which include the following: there may be insufficient trading interest in cer tain options; restrictions may be imposed","page_number":57,"box":{"x":68,"y":664,"width":833,"height":12}},{"id":"f69d61ba-2562-4e94-a7fd-7f6ae6210155","block_type":"box","text":"by an Exchange on opening transactions or closing transactions or both; trading halts, suspensions or other","page_number":57,"box":{"x":69,"y":680,"width":769,"height":11}},{"id":"8872f136-43af-41d7-96d8-1a82aacd8fbd","block_type":"box","text":"restrictions may be imposed with respect to par ticular classes or series of options or underlying securities; unusual","page_number":57,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"69809c2a-da7d-4942-8ec7-8db46607bfe1","block_type":"box","text":"or unforeseen circumstances may interrupt normal operations on an Exchange; the facilities of an Exchange or the","page_number":57,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"3d79c617-73fe-4b57-a255-eb1622fcfabc","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":57,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"e5082613-8f13-49d3-8820-0f1a8b1d7488","block_type":"box","text":"Exchanges could, for economic or other reasons, decide or be compelled at some future date to discontinue the","page_number":57,"box":{"x":70,"y":740,"width":798,"height":11}},{"id":"9f8c6009-fa93-445c-bd49-e3e57b77549c","block_type":"box","text":"trading of options (or a par ticular class or series of options), in which event the market on that Exchange (or in that","page_number":57,"box":{"x":68,"y":755,"width":822,"height":11}},{"id":"8e308047-fd70-454f-975c-63d46e0ef2e5","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":57,"box":{"x":69,"y":770,"width":818,"height":12}},{"id":"b1145f80-a647-4513-b238-4515fd59d3d1","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":57,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"c7a50e60-f2be-45d6-a80a-81579c712524","block_type":"box","text":"terms.","page_number":57,"box":{"x":68,"y":801,"width":45,"height":9}},{"id":"a283e7c6-77a6-45e1-97aa-200e15002aba","block_type":"box","text":"Each of the options exchanges has established limitations governing the maximum number of call or put options","page_number":57,"box":{"x":102,"y":823,"width":801,"height":12}},{"id":"de5d56a7-bcd3-4bf6-8bf2-82c9b2e025ba","block_type":"box","text":"on the same asset that may be bought or written by a single investor, whether acting alone or in concer t with others","page_number":57,"box":{"x":69,"y":839,"width":826,"height":11}},{"id":"6139cc93-0694-479e-b004-7384e82f0803","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":57,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"ab75dfc4-3505-4c57-89cd-7f182e75aa27","block_type":"box","text":"more accounts or through one or more brokers). Under these limitations, option positions of all investment","page_number":57,"box":{"x":69,"y":869,"width":762,"height":11}},{"id":"fe25a6f8-8f67-451d-a645-809352b07f27","block_type":"box","text":"companies advised by the Manager are combined for purposes of these limits. Pursuant to these limitations, an","page_number":57,"box":{"x":69,"y":884,"width":798,"height":11}},{"id":"31048082-46b1-4b5a-9791-f9a11bbdf1a2","block_type":"box","text":"II-20","page_number":57,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"28d6cd1e-ed4b-4d0c-aed4-336ac9eeaac5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":57,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c7845ab4-4732-4297-9c38-5549cfc71604","block_type":"box","text":"exchange may order the liquidation of positions and may impose other sanctions or restrictions. These position limits","page_number":58,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"15e27cb5-23f4-433e-ac61-e27123bd49b6","block_type":"box","text":"may restrict the number of listed options that a Fund may buy or sell.","page_number":58,"box":{"x":69,"y":60,"width":491,"height":11}},{"id":"375ecd18-3c9a-49e1-b9e4-378e546aa202","block_type":"box","text":"Call Options.","page_number":58,"box":{"x":102,"y":83,"width":89,"height":10}},{"id":"a1294bdc-ff87-4e39-9d9e-841f1f4b658b","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":58,"box":{"x":197,"y":82,"width":694,"height":12}},{"id":"f457158f-94f3-4b9b-b613-863cb1835f48","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":58,"box":{"x":70,"y":98,"width":838,"height":11}},{"id":"a7d3774c-908a-46b1-b4ea-78ecd3363e14","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":58,"box":{"x":68,"y":113,"width":813,"height":11}},{"id":"a759fcff-19f3-46e9-90b6-ec9c071a87c9","block_type":"box","text":"Index options are similar to options on securities except that, rather than taking or making delivery of securities","page_number":58,"box":{"x":70,"y":128,"width":795,"height":11}},{"id":"4fab67c2-81ad-4a36-b8ab-cbfff5d04c07","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":58,"box":{"x":69,"y":143,"width":807,"height":11}},{"id":"4e107a2d-bf3f-4ce9-b9c5-e4d0a69776d7","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":58,"box":{"x":69,"y":158,"width":830,"height":11}},{"id":"24701807-4cad-4483-a2a1-37ea18de273f","block_type":"box","text":"of the option.","page_number":58,"box":{"x":69,"y":173,"width":93,"height":11}},{"id":"7a0dc4b3-2761-4feb-a1b6-0ba0997fb799","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":58,"box":{"x":101,"y":196,"width":794,"height":11}},{"id":"685e5363-8aa5-4b40-a450-ee2bb5064cd4","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":58,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"586554c2-04ea-43b0-8bb5-a3193892b159","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":58,"box":{"x":69,"y":226,"width":839,"height":11}},{"id":"108b2c6e-78f5-4d3e-bcca-d64b8d9cd6c5","block_type":"box","text":"illiquid investments under the Funds’ Liquidity Program (as defined below) (“liquid assets”) designated on the","page_number":58,"box":{"x":70,"y":241,"width":778,"height":11}},{"id":"754b5350-2dc7-4d22-8c65-cdd6111b1d08","block_type":"box","text":"Manager’s or the sub-adviser’s books and records to the extent required by Commission guidelines.","page_number":58,"box":{"x":70,"y":256,"width":711,"height":12}},{"id":"91d1ae59-eed6-4fa6-85c3-03176b022d6d","block_type":"box","text":"A Fund may write (","page_number":58,"box":{"x":101,"y":279,"width":130,"height":11}},{"id":"37e614ba-40fe-4f7f-8ae8-8298b131ce78","block_type":"box","text":"i.e.","page_number":58,"box":{"x":233,"y":279,"width":20,"height":9}},{"id":"87e9cc21-3435-494f-b1c9-a1dcdac11937","block_type":"box","text":", sell) covered call options on the securities or instruments in which it may invest and to","page_number":58,"box":{"x":256,"y":279,"width":627,"height":11}},{"id":"a3ef90d7-1f22-4c6d-8afb-72dd998485b8","block_type":"box","text":"enter into closing purchase transactions with respect to cer tain of such options. A covered call option is an option in","page_number":58,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"3d22deb5-fb68-43ad-8816-4509e984ec5b","block_type":"box","text":"which a Fund, in return for a premium, gives another par ty a right to buy specified securities owned by the Fund at a","page_number":58,"box":{"x":68,"y":309,"width":827,"height":11}},{"id":"1b9f5bf5-6c99-4078-97c6-6fa654c0217e","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":58,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"50684c25-1215-4287-82c0-1e5189d5600a","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":58,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"67994660-ca23-453d-895e-f45f5bef378a","block_type":"box","text":"By writing covered call options, a Fund gives up the oppor tunity, while the option is in effect, to profit from any price","page_number":58,"box":{"x":70,"y":355,"width":823,"height":11}},{"id":"554493aa-a122-41e6-9186-c795d5d35cba","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":58,"box":{"x":70,"y":370,"width":825,"height":11}},{"id":"abb27a08-f316-44f5-b41f-d65320cf083b","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":58,"box":{"x":69,"y":385,"width":800,"height":11}},{"id":"539c551a-e605-4b72-bc0d-e8eed7f6e5a3","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":58,"box":{"x":69,"y":400,"width":792,"height":11}},{"id":"54c21f61-e4ac-439e-b0ab-48ac23d02161","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":58,"box":{"x":70,"y":415,"width":826,"height":11}},{"id":"f0f35ca3-f6fc-42eb-9f90-8af932ad06bf","block_type":"box","text":"a par tial hedge to the extent of the premium received against the price of the underlying security declining.","page_number":58,"box":{"x":69,"y":430,"width":760,"height":11}},{"id":"0c90304c-9469-4140-890c-34c683ff0522","block_type":"box","text":"A Fund may write","page_number":58,"box":{"x":101,"y":453,"width":120,"height":11}},{"id":"da78cc8f-4f49-4cfb-a8b5-ea37ab55c0c8","block_type":"box","text":"(i.e.","page_number":58,"box":{"x":228,"y":453,"width":25,"height":11}},{"id":"e2fd44df-45e5-4265-8d71-f32d9e799349","block_type":"box","text":", sell) uncovered call options on securities or instruments in which it may invest but that","page_number":58,"box":{"x":256,"y":453,"width":628,"height":11}},{"id":"430392f0-40c9-4002-9612-7584837ff80b","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":58,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"762f749f-c773-4e3c-8920-a49c9724855b","block_type":"box","text":"committing capital to the ownership of the underlying securities or instruments. When writing uncovered call options,","page_number":58,"box":{"x":69,"y":483,"width":830,"height":11}},{"id":"2a338265-bceb-4f51-a1fc-22719c0ef2c4","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":58,"box":{"x":69,"y":498,"width":825,"height":11}},{"id":"f4db12de-039c-4cf6-ba8a-694126a2f949","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":58,"box":{"x":69,"y":513,"width":818,"height":11}},{"id":"79fbe047-f0f6-4e63-a19e-e6210c5477fb","block_type":"box","text":"During periods of declining securities prices or when prices are stable, writing uncovered calls can be a profitable","page_number":58,"box":{"x":70,"y":528,"width":806,"height":12}},{"id":"76d61cfe-e663-4f52-95df-e2baa2321b42","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":58,"box":{"x":69,"y":544,"width":839,"height":11}},{"id":"20f9c94d-7e3c-427e-ad9c-f4f12aed82e3","block_type":"box","text":"there is no underlying security held by a Fund that can act as a par tial hedge. Uncovered calls have speculative","page_number":58,"box":{"x":68,"y":559,"width":793,"height":11}},{"id":"56adcb45-de29-4592-af4a-54a7b1ef08b0","block_type":"box","text":"characteristics and the potential for loss is unlimited. When an uncovered call is exercised, a Fund must purchase","page_number":58,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"eb682b6b-c3a0-4e46-90d2-3cefe31140ac","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":58,"box":{"x":68,"y":589,"width":818,"height":11}},{"id":"101cc1e9-b809-4667-be37-af74ec47b433","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":58,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"87288113-c210-486d-9726-2acffa510a24","block_type":"box","text":"exercise price, a Fund will lose the difference.","page_number":58,"box":{"x":69,"y":619,"width":326,"height":11}},{"id":"439dc49d-dfab-4e31-a44b-8d4c4bec679f","block_type":"box","text":"Put Options.","page_number":58,"box":{"x":102,"y":642,"width":85,"height":11}},{"id":"8d4218c0-dd1e-4b1a-b59e-03bb05d36a9d","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":58,"box":{"x":194,"y":642,"width":712,"height":11}},{"id":"c976f187-659d-4ee6-8e2b-b399f00dfb51","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":58,"box":{"x":68,"y":657,"width":828,"height":11}},{"id":"0e6870e1-deb3-43b4-b4cf-1f6a1b9bb3a3","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":58,"box":{"x":69,"y":672,"width":816,"height":11}},{"id":"669757ab-2724-4991-a0c4-aa99cbc1fd95","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":58,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"8c2bfeca-3890-49c1-a675-bb3c13623638","block_type":"box","text":"instruments will be par tially offset by the amount of the premium paid for the put option and any related transaction","page_number":58,"box":{"x":70,"y":702,"width":826,"height":11}},{"id":"37384146-5e3c-4357-822f-122546d7f819","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":58,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"eba6f17f-8431-49bd-8768-c2476cb08d6f","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":58,"box":{"x":68,"y":732,"width":839,"height":11}},{"id":"4afba97d-a706-48d2-8871-dcaa04bf934d","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":58,"box":{"x":68,"y":748,"width":841,"height":11}},{"id":"89373843-d763-4f3e-a4de-14b29345562c","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":58,"box":{"x":69,"y":763,"width":785,"height":11}},{"id":"f6cad3c3-c6a5-46cc-8c61-add4b093c6a1","block_type":"box","text":"purchase uncovered put options.","page_number":58,"box":{"x":70,"y":778,"width":231,"height":11}},{"id":"cb613b5e-7b63-44c2-a145-19c804c5bea4","block_type":"box","text":"A Fund also may write (","page_number":58,"box":{"x":101,"y":801,"width":165,"height":11}},{"id":"0c73d91e-0cfd-4ebc-9f9d-39099200a285","block_type":"box","text":"i.e.","page_number":58,"box":{"x":268,"y":801,"width":20,"height":9}},{"id":"a6cbd2cc-6819-466b-adef-428ba940d2d8","block_type":"box","text":", sell) put options on the types of securities or instruments that may be held by the","page_number":58,"box":{"x":291,"y":801,"width":591,"height":11}},{"id":"733fdf18-5c82-400b-8c83-d7b30dfd9636","block_type":"box","text":"Fund. A Fund will receive a premium for writing a put option, which increases the Fund’s return.","page_number":58,"box":{"x":70,"y":816,"width":675,"height":11}},{"id":"312945d3-b7af-468d-a7df-81ac20f08fc4","block_type":"box","text":"A Fund also may write (","page_number":58,"box":{"x":101,"y":839,"width":165,"height":10}},{"id":"e1b15d4d-8118-40c2-a4e7-31181e559eff","block_type":"box","text":"i.e.","page_number":58,"box":{"x":268,"y":839,"width":20,"height":8}},{"id":"ffeafb2e-2a12-4330-97d3-e63289715f16","block_type":"box","text":", sell) uncovered put options on securities or instruments in which it may invest but","page_number":58,"box":{"x":291,"y":839,"width":593,"height":10}},{"id":"a2cdaef7-e378-4141-98ea-83c1b3050cd9","block_type":"box","text":"with respect to which the Fund does not currently have a corresponding shor t position or has not deposited as","page_number":58,"box":{"x":68,"y":854,"width":789,"height":11}},{"id":"63db053e-a4cc-4f4b-87fa-40bc583a25b8","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":58,"box":{"x":69,"y":869,"width":773,"height":11}},{"id":"79e7320e-c75d-4494-acea-57106191cf84","block_type":"box","text":"uncovered put option. The principal reason for writing uncovered put options is to receive premium income and to","page_number":58,"box":{"x":69,"y":884,"width":807,"height":11}},{"id":"2b902c47-0c59-4f35-8f6b-308e29d281c1","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":58,"box":{"x":69,"y":899,"width":835,"height":11}},{"id":"c17151d8-d66e-4089-8dd7-5dca8d17125b","block_type":"box","text":"II-21","page_number":58,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"51b23247-23e1-4024-a331-37a92560efdf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":58,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bee169f4-f6d7-4d84-870d-69ffd7e0244a","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":59,"box":{"x":68,"y":45,"width":818,"height":11}},{"id":"19beacb1-6e03-43ac-9748-d24181eddd03","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":59,"box":{"x":68,"y":60,"width":800,"height":11}},{"id":"b149239d-a5b2-4daa-84c2-c1cb47967728","block_type":"box","text":"expire wor thless and a Fund will retain the premium and will not have to purchase the securities or instruments at","page_number":59,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"24e2cb23-5410-4263-9cc1-5c81afe5bdc7","block_type":"box","text":"the exercise price.","page_number":59,"box":{"x":68,"y":90,"width":130,"height":11}},{"id":"91726e39-553e-4274-b29a-c52ed52cf102","block_type":"box","text":"Options on Government National Mor tgage Association (“GNMA”) Cer tificates.","page_number":59,"box":{"x":102,"y":113,"width":556,"height":11}},{"id":"7ea10789-4812-4e83-9ea7-18ba219c3bb0","block_type":"box","text":"The following information relates","page_number":59,"box":{"x":664,"y":113,"width":232,"height":11}},{"id":"0b602d34-9701-4216-8205-86584c4cc94e","block_type":"box","text":"to the unique characteristics of options on GNMA Cer tificates. Since the remaining principal balance of GNMA","page_number":59,"box":{"x":68,"y":128,"width":784,"height":11}},{"id":"c2deda12-db9a-45e5-a447-32e2d79943eb","block_type":"box","text":"Cer tificates declines each month as a result of mor tgage payments, a Fund, as a writer of a GNMA call holding GNMA","page_number":59,"box":{"x":69,"y":143,"width":840,"height":11}},{"id":"073645e0-f8a6-46ea-9c23-8aef60da3108","block_type":"box","text":"Cer tificates as “cover” to satisfy its delivery obligation in the event of exercise, may find that the GNMA Cer tificates","page_number":59,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"cad48b87-0ec2-46b2-81f3-07fdeed52147","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":59,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"eca1182d-ab55-48c8-bd30-24abc638034d","block_type":"box","text":"purchase additional GNMA Cer tificates from the same pool (if obtainable) or other GNMA Cer tificates in the cash","page_number":59,"box":{"x":70,"y":188,"width":803,"height":11}},{"id":"55e0fc18-0892-457b-932c-b40268737a73","block_type":"box","text":"market in order to maintain its “cover.”","page_number":59,"box":{"x":69,"y":204,"width":277,"height":8}},{"id":"621403ef-656c-4f45-8e26-61eb189a2360","block_type":"box","text":"A GNMA Cer tificate held by a Fund to cover an option position in any but the nearest expiration month may cease","page_number":59,"box":{"x":101,"y":226,"width":807,"height":11}},{"id":"d064a35f-0795-4414-8988-5149cc2c2c6a","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":59,"box":{"x":68,"y":241,"width":835,"height":11}},{"id":"d22e22a4-78ac-4288-97d4-4bc8bccff2dc","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":59,"box":{"x":69,"y":256,"width":821,"height":12}},{"id":"2819e67f-7f07-4f66-90a3-423bc7c4c67d","block_type":"box","text":"the Fund will either enter into a closing purchase transaction or replace such Cer tificate with a cer tificate that","page_number":59,"box":{"x":68,"y":271,"width":784,"height":12}},{"id":"1c01481a-dc94-4608-8f31-a41c6c09ec0d","block_type":"box","text":"represents cover. When a Fund closes its position or replaces such Cer tificate, it may realize an unanticipated loss","page_number":59,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"42cef171-fb52-4de4-9ac0-3df3341d70be","block_type":"box","text":"and incur transaction costs.","page_number":59,"box":{"x":69,"y":302,"width":197,"height":9}},{"id":"8052554d-a84c-4d1a-bc93-4b1493abde47","block_type":"box","text":"Options on Swaps (“Swaptions”).","page_number":59,"box":{"x":102,"y":324,"width":235,"height":11}},{"id":"f4fdd27a-5e0d-40be-ad38-41acd7fa42df","block_type":"box","text":"A swaption gives a counterpar ty the option (but not the obligation) to enter into","page_number":59,"box":{"x":343,"y":325,"width":563,"height":11}},{"id":"33acfa8b-7775-4c2a-bf3f-21c54ea73211","block_type":"box","text":"a new swap agreement or to shor ten, extend, cancel or otherwise modify an existing swap agreement, at a","page_number":59,"box":{"x":69,"y":339,"width":763,"height":12}},{"id":"2912d701-c89f-4e9b-a7e7-d32404b013c8","block_type":"box","text":"designated future time on specified terms. A Fund may write (","page_number":59,"box":{"x":69,"y":355,"width":439,"height":11}},{"id":"81bf8ca8-566b-40f7-9659-24222aeee036","block_type":"box","text":"i.e.","page_number":59,"box":{"x":510,"y":355,"width":20,"height":9}},{"id":"e356ad08-a149-4f66-bf41-b9c81115cb97","block_type":"box","text":", sell) and purchase put and call swaptions.","page_number":59,"box":{"x":533,"y":355,"width":309,"height":11}},{"id":"2474e903-603f-4c0f-b852-004ac8373e25","block_type":"box","text":"Depending on the terms of the par ticular option agreement, a Fund will generally incur a greater degree of risk when","page_number":59,"box":{"x":70,"y":370,"width":826,"height":11}},{"id":"28029738-5946-4467-9b19-3ddadc8d37d7","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":59,"box":{"x":70,"y":385,"width":793,"height":11}},{"id":"c38a50c3-4998-4e8d-9edf-24613794cd68","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":59,"box":{"x":70,"y":400,"width":802,"height":11}},{"id":"f1a16636-4ea2-4dd0-af0c-5af5b4d31e20","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":59,"box":{"x":68,"y":415,"width":836,"height":11}},{"id":"9470c927-e724-489e-89a8-86596ebef3e5","block_type":"box","text":"the underlying agreement and the potential for loss may be unlimited. Cer tain swaptions are permitted, although not","page_number":59,"box":{"x":68,"y":430,"width":832,"height":11}},{"id":"e8012096-3a49-41b4-baee-1e35f245639e","block_type":"box","text":"required, to be cleared.","page_number":59,"box":{"x":69,"y":446,"width":165,"height":10}},{"id":"ee6bb59e-f9b5-4210-af88-53c89986760c","block_type":"box","text":"A Fund will likely enter into these transactions to preserve a return or spread on a par ticular investment or","page_number":59,"box":{"x":101,"y":468,"width":760,"height":11}},{"id":"6950f793-c403-4588-a17b-99dcdab7d5f1","block_type":"box","text":"por tion of its por tfolio or to protect against any increase in the price of securities the Fund anticipates purchasing at","page_number":59,"box":{"x":70,"y":483,"width":830,"height":11}},{"id":"c9090d50-1b6b-4f72-9c14-c19ccc6702a7","block_type":"box","text":"a later date. A Fund generally will use these transactions for hedging purposes, not for speculation.","page_number":59,"box":{"x":69,"y":498,"width":706,"height":11}},{"id":"dd856219-72b2-4922-a202-057b3159b392","block_type":"box","text":"Swaptions may be subject to correlation risk, leverage risk, illiquidity risk and market risk. See “—Risk Factors in","page_number":59,"box":{"x":102,"y":521,"width":805,"height":11}},{"id":"b760809f-d7ad-4e7b-accf-efb5ac462300","block_type":"box","text":"Derivatives” above.","page_number":59,"box":{"x":70,"y":536,"width":135,"height":9}},{"id":"7b0dc3be-4a82-4f73-a29b-2598bdd552d6","block_type":"box","text":"FLEX Options.","page_number":59,"box":{"x":102,"y":559,"width":96,"height":11}},{"id":"1e8e10a0-e458-4ef5-8f45-1d5d0fc6cbcd","block_type":"box","text":"FLEX Options are customized option contracts available through national securities exchanges that","page_number":59,"box":{"x":206,"y":559,"width":702,"height":11}},{"id":"6f097e14-462d-4402-90c5-32a889d74667","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":59,"box":{"x":69,"y":574,"width":839,"height":11}},{"id":"c4faeb55-4e5e-4ebe-ab11-7a42a22e85ab","block_type":"box","text":"securities exchange. FLEX Options provide investors with the ability to customize assets referenced by the options,","page_number":59,"box":{"x":69,"y":589,"width":818,"height":11}},{"id":"ec15ba62-477f-4e3e-a0f0-44918befc52b","block_type":"box","text":"exercise prices, exercise styles (","page_number":59,"box":{"x":69,"y":604,"width":231,"height":11}},{"id":"a96c6a0a-c587-47a5-9134-0b04b894c059","block_type":"box","text":"i.e.","page_number":59,"box":{"x":302,"y":604,"width":20,"height":9}},{"id":"dbfcb7e9-7f36-4afe-a826-7b682298708f","block_type":"box","text":", American-style, exercisable any time prior to the expiration date, or European","page_number":59,"box":{"x":325,"y":604,"width":561,"height":11}},{"id":"113f0008-f9bf-434a-a6a5-afdc65f597df","block_type":"box","text":"style, exercisable only on the option expiration date) and expiration dates, while achieving price discovery in","page_number":59,"box":{"x":69,"y":619,"width":768,"height":11}},{"id":"7d336a7d-1ae5-4cbf-9479-07b87bd6fa8d","block_type":"box","text":"competitive, transparent auctions markets and avoiding the counterpar ty exposure of OTC options positions. Each","page_number":59,"box":{"x":69,"y":634,"width":812,"height":12}},{"id":"043704b4-2728-4355-93a9-e117bc610c1e","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":59,"box":{"x":69,"y":649,"width":830,"height":11}},{"id":"fe135830-0bcd-4011-9840-0ef5bed3da2b","block_type":"box","text":"reference asset at the strike price. A Fund’s por tfolio may include several types of FLEX Options, including both","page_number":59,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"c8e8d324-6a38-48ae-a666-b4a16b499673","block_type":"box","text":"purchased and written put and call options (as fur ther described below). The FLEX Options are all European style","page_number":59,"box":{"x":70,"y":680,"width":802,"height":11}},{"id":"c57e2245-225e-4967-91fc-edbacab9c91a","block_type":"box","text":"options, which means that they are exercisable at a predetermined specified price (the “strike price”) only on the","page_number":59,"box":{"x":69,"y":695,"width":806,"height":11}},{"id":"5ea5adcc-ef1c-4097-89b2-9db2e74ad06b","block_type":"box","text":"FLEX Option’s expiration date.","page_number":59,"box":{"x":70,"y":710,"width":211,"height":11}},{"id":"03e38af6-c5a0-48d7-8fa5-e8d72774f8c9","block_type":"box","text":"The OCC guarantees per formance by each of the counterpar ties to the FLEX Options, becoming the “buyer for","page_number":59,"box":{"x":101,"y":732,"width":783,"height":12}},{"id":"82038289-e349-4d3c-a727-da56c171937a","block_type":"box","text":"every seller and the seller for every buyer”, reducing counterpar ty risk for clearing members and options traders.","page_number":59,"box":{"x":69,"y":748,"width":802,"height":11}},{"id":"dea03986-9fca-4880-acd7-9ad62bca2208","block_type":"box","text":"Although guaranteed for settlement by the OCC, FLEX Options are still subject to counterpar ty risk with the OCC and","page_number":59,"box":{"x":68,"y":763,"width":826,"height":11}},{"id":"57e4eb42-cc9e-4779-9384-1a914b545559","block_type":"box","text":"subject to the risk that the OCC may fail to per form the settlement of the FLEX Options due to bankruptcy or other","page_number":59,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"7f285cea-cfc3-4b50-ae27-ca9cb4d96991","block_type":"box","text":"adverse reasons. A Fund bears the risk that the OCC will be unable or unwilling to per form its obligations under the","page_number":59,"box":{"x":69,"y":793,"width":822,"height":11}},{"id":"82e369bd-a73d-4802-99c6-cbcc90518ad7","block_type":"box","text":"FLEX Options contracts.","page_number":59,"box":{"x":70,"y":808,"width":166,"height":11}},{"id":"01888148-38de-427b-9f7e-9cce5554a62b","block_type":"box","text":"Subject to determination by the Securities Committee of the OCC, adjustments may be made to the FLEX","page_number":59,"box":{"x":102,"y":831,"width":748,"height":11}},{"id":"089e180c-eafa-4e38-9cd8-0336105f5190","block_type":"box","text":"Options for cer tain events (collectively, “Corporate Actions”) specified in the OCC’s by-laws and rules: cer tain stock","page_number":59,"box":{"x":69,"y":846,"width":822,"height":11}},{"id":"c74c57d6-d16e-4940-8346-b84fb3651640","block_type":"box","text":"dividends or distributions, stock splits, reverse stock splits, rights offerings, distributions, reorganizations,","page_number":59,"box":{"x":69,"y":861,"width":759,"height":11}},{"id":"c6a211d1-673f-4c18-90bc-4adb6a01db72","block_type":"box","text":"recapitalizations, or reclassifications with respect to an underlying security, or a merger, consolidation, dissolution or","page_number":59,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"85f247d0-a1a7-44e5-a027-37c83bb4d572","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":59,"box":{"x":70,"y":891,"width":829,"height":12}},{"id":"ea66e102-faf7-4f5e-90fc-af283a8386e6","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":59,"box":{"x":69,"y":906,"width":821,"height":12}},{"id":"a7ff3962-cc02-4eda-b454-1d06a63b5fb8","block_type":"box","text":"II-22","page_number":59,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0cab8852-6272-4ae7-adc1-171cb7d908e2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":59,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"774a47f7-668c-4d49-9462-8b63b57cddd5","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":60,"box":{"x":68,"y":45,"width":835,"height":11}},{"id":"edced2a2-18f5-461b-8cc2-9f29dfcd9981","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":60,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"88776980-af1d-42be-8bfc-40dd5cd4ff32","block_type":"box","text":"the affected options, the maintenance of a fair and orderly market in the affected options, consistency of","page_number":60,"box":{"x":68,"y":75,"width":753,"height":11}},{"id":"4a58ff2c-c69b-4a9a-924a-f91dd382c2ba","block_type":"box","text":"interpretation and practice, efficiency of exercise settlement procedures, and the coordination with other clearing","page_number":60,"box":{"x":70,"y":90,"width":806,"height":11}},{"id":"52a4722f-3154-4001-bd2f-44a08c5b744d","block_type":"box","text":"agencies of the clearance and settlement of transactions in the underlying interest.","page_number":60,"box":{"x":69,"y":105,"width":593,"height":11}},{"id":"49321621-9731-4757-ac2a-2c550268b585","block_type":"box","text":"Cer tain Considerations Regarding Options","page_number":60,"box":{"x":135,"y":128,"width":298,"height":11}},{"id":"119aa288-de01-4b67-b3fc-b62e07d60247","block_type":"box","text":". The FLEX Options in which each Fund may invest will be options","page_number":60,"box":{"x":435,"y":128,"width":461,"height":11}},{"id":"44e8dee0-7845-4e7f-960c-56c35db2003b","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":60,"box":{"x":102,"y":143,"width":768,"height":11}},{"id":"80895a2f-1690-48d3-a8ae-53f24a62cf4b","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":60,"box":{"x":102,"y":158,"width":775,"height":11}},{"id":"b203c289-189d-45ef-8186-37e68ce9d085","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":60,"box":{"x":102,"y":173,"width":777,"height":11}},{"id":"739b4225-51b8-4b0f-9efc-46666a0b2ab4","block_type":"box","text":"reflect, among other things, the time remaining until expiration (the end of the Outcome Period), the relationship","page_number":60,"box":{"x":102,"y":188,"width":799,"height":12}},{"id":"90b0ab25-72e9-4497-b6d1-b6dc6a21d6bb","block_type":"box","text":"of the exercise price to the market price of the Reference Asset, and general market conditions. Options that","page_number":60,"box":{"x":102,"y":203,"width":777,"height":12}},{"id":"c9f6df31-870f-40e7-9a2e-5145f9833f59","block_type":"box","text":"expire unexercised have no value.","page_number":60,"box":{"x":101,"y":219,"width":240,"height":10}},{"id":"56673158-c903-461d-855b-bd88289be567","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":60,"box":{"x":134,"y":241,"width":747,"height":11}},{"id":"b1c5a7d1-e941-438a-8ad5-498a6b4185c0","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":60,"box":{"x":101,"y":256,"width":792,"height":11}},{"id":"d10c6ebd-e207-4dc1-97a7-6cd219049d4c","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":60,"box":{"x":101,"y":271,"width":786,"height":12}},{"id":"b6e21c61-4579-4e9a-8bd9-c76be7e0b023","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":60,"box":{"x":101,"y":286,"width":798,"height":12}},{"id":"8e75b190-6287-4597-8da8-600f1dc95e23","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":60,"box":{"x":102,"y":302,"width":802,"height":11}},{"id":"391a2f6c-882f-493f-a1a6-03d322a9d7f1","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":60,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"8f11e191-5854-484a-803b-fc0d657708d4","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":60,"box":{"x":102,"y":332,"width":774,"height":11}},{"id":"5750b582-6702-41b9-ba38-ffadcd4b9ede","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":60,"box":{"x":102,"y":347,"width":793,"height":11}},{"id":"484bb6ac-1a24-429a-b766-b197efe6c278","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":60,"box":{"x":102,"y":362,"width":764,"height":11}},{"id":"c1dcb522-27db-404a-a341-180f9a2b86b9","block_type":"box","text":"number of shares of the ETF in exchange for the strike price.","page_number":60,"box":{"x":102,"y":377,"width":430,"height":12}},{"id":"6707436c-ad4c-4861-a55f-0acb1e5e5484","block_type":"box","text":"Although each Fund will generally utilize FLEX Options that are physically settled, a Fund may also utilize","page_number":60,"box":{"x":134,"y":400,"width":740,"height":11}},{"id":"be121a68-028f-4136-a8c5-b368762c8171","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":60,"box":{"x":102,"y":415,"width":787,"height":11}},{"id":"0a1685a6-719b-41e5-91a6-336019b5be11","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":60,"box":{"x":102,"y":430,"width":790,"height":11}},{"id":"bce38e60-86ec-41e9-89b1-59b18fe4939a","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":60,"box":{"x":102,"y":445,"width":793,"height":12}},{"id":"69d52a75-6c09-48b5-85f2-d869b971bd3b","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":60,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"b92d721c-1e57-470a-9f8a-5c011148c2a9","block_type":"box","text":"multiple (“multiplier”), which determines the total value for each point of such difference.","page_number":60,"box":{"x":102,"y":475,"width":635,"height":12}},{"id":"e96470a4-67ce-492c-91aa-32591c7a47fa","block_type":"box","text":"Risks of Options on the Reference Assets","page_number":60,"box":{"x":135,"y":498,"width":297,"height":11}},{"id":"1d8b617d-9e98-47f7-b74b-d226ca9e6662","block_type":"box","text":". If a Fund has purchased an option and exercises it before the","page_number":60,"box":{"x":433,"y":498,"width":448,"height":11}},{"id":"40b21de3-ce68-4f5b-b166-e13b9582dad2","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":60,"box":{"x":101,"y":513,"width":777,"height":12}},{"id":"f7dccf4c-17c5-4fff-be76-353790a2ac4c","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":60,"box":{"x":101,"y":528,"width":753,"height":12}},{"id":"4611a1a8-5dc1-4d38-9b42-a9e592ad4645","block_type":"box","text":"required to pay the difference between the closing Reference Asset value and the exercise price of the option","page_number":60,"box":{"x":102,"y":543,"width":780,"height":12}},{"id":"def5c35a-86e4-4e96-b832-b534fd7139bd","block_type":"box","text":"(times the applicable multiplier) to the assigned writer.","page_number":60,"box":{"x":102,"y":559,"width":387,"height":11}},{"id":"b6df0da3-e58b-4488-b915-805ca4bf26b8","block_type":"box","text":"Foreign Exchange Transactions.","page_number":60,"box":{"x":102,"y":582,"width":222,"height":11}},{"id":"e40b6f8c-db0f-4c1b-a370-dacb864b54c5","block_type":"box","text":"A Fund may enter into spot foreign exchange transactions, forward foreign exchange transactions (“FX forwards”)","page_number":60,"box":{"x":101,"y":604,"width":807,"height":11}},{"id":"ccee8079-7ffa-4cdb-b2c5-2e3e530c9180","block_type":"box","text":"and currency swaps, purchase and sell currency options, currency futures and related options thereon (collectively,","page_number":60,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"9f3a802e-eb7b-4cbd-8f89-c13522058c0a","block_type":"box","text":"“Currency Instruments”) for purposes of hedging against the decline in the value of currencies in which its por tfolio","page_number":60,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"9aa55a0c-a179-4977-9dac-e9f677150cb4","block_type":"box","text":"holdings are denominated against the U.S. dollar or, with respect to cer tain Funds, to seek to enhance returns.","page_number":60,"box":{"x":69,"y":649,"width":792,"height":12}},{"id":"0ea7f56b-5153-4ed6-a726-d4f088e77cf5","block_type":"box","text":"Such transactions could be effected to hedge with respect to foreign dollar denominated securities owned by a","page_number":60,"box":{"x":102,"y":672,"width":790,"height":11}},{"id":"4ab9d96b-049d-4091-9833-9e3d949d9c37","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":60,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"3703e05e-f9f8-4951-b6e6-09f136144cbb","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":60,"box":{"x":69,"y":702,"width":808,"height":12}},{"id":"58866580-b7dd-45e8-af4d-49db0e5de210","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":60,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"9c98df1d-5218-4a5c-8135-74628f96144f","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":60,"box":{"x":68,"y":732,"width":823,"height":12}},{"id":"5f65a38c-1325-45ab-9aa0-34a5505e6d62","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":60,"box":{"x":68,"y":748,"width":821,"height":11}},{"id":"f1ec96c7-53b3-49d6-acde-042775a516a2","block_type":"box","text":"par t, the cost of acquiring such a put option, the Fund may also sell a call option which, if exercised, requires it to","page_number":60,"box":{"x":70,"y":763,"width":813,"height":11}},{"id":"0bb0f72c-5954-4fb4-81f7-49ea52f76430","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":60,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"f1a61e01-3832-4022-82ef-67bc9f680a94","block_type":"box","text":"selling such a call option in this illustration, the Fund gives up the oppor tunity to profit without limit from increases in","page_number":60,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"27241707-c30a-496d-88f2-28299907e356","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":60,"box":{"x":68,"y":808,"width":836,"height":11}},{"id":"4ae23ef9-63c4-431a-9391-2ab230493b7f","block_type":"box","text":"transactions. Cer tain Funds have a fundamental investment restriction that restricts currency option strategies.","page_number":60,"box":{"x":68,"y":823,"width":794,"height":12}},{"id":"cca110b0-566f-4d3f-aeab-a4f2d8d1f4eb","block_type":"box","text":"Hedging transactions involving Currency Instruments involve substantial risks, including correlation risk. A Fund’s","page_number":60,"box":{"x":102,"y":846,"width":805,"height":11}},{"id":"1906bb8a-5a5d-4bf1-9a50-adaf72809fd8","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":60,"box":{"x":69,"y":861,"width":828,"height":11}},{"id":"0dd53698-3ff2-4fdd-899d-bb59c8ee2014","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":60,"box":{"x":69,"y":876,"width":819,"height":11}},{"id":"1446dcd0-8d24-47db-967f-86576042ecb8","block_type":"box","text":"Moreover, although Currency Instruments will be used with the intention of hedging against adverse currency","page_number":60,"box":{"x":70,"y":891,"width":773,"height":12}},{"id":"41cd1b15-0e9a-40ba-a4a9-544afed54437","block_type":"box","text":"movements, transactions in Currency Instruments involve the risk that anticipated currency movements will not be","page_number":60,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"744a2a5e-531b-4ec0-9c68-2ef36234ddac","block_type":"box","text":"II-23","page_number":60,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b9e17335-963c-40a1-a446-77956bc5fafa","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":60,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c69ca828-462a-4ebe-9500-4b5119dab55a","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":61,"box":{"x":69,"y":45,"width":796,"height":11}},{"id":"85a8c09e-b4d4-4f46-a190-ce46965c340e","block_type":"box","text":"against anticipated currency movements that do not occur, the Fund may realize losses and decrease its total return.","page_number":61,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"34aa6238-a911-471d-af02-cbd449e5c708","block_type":"box","text":"Fur thermore, a Fund will only engage in hedging activities from time to time and may not be engaging in hedging","page_number":61,"box":{"x":70,"y":75,"width":798,"height":11}},{"id":"e49000a9-2165-4a73-84d4-74dd0e486ec3","block_type":"box","text":"activities when movements in currency exchange rates actually occur.","page_number":61,"box":{"x":69,"y":90,"width":493,"height":11}},{"id":"8ae61ec2-b100-4ded-8cf1-b5239cb46520","block_type":"box","text":"In connection with its trading in forward foreign currency contracts, a Fund will contract with a foreign or","page_number":61,"box":{"x":102,"y":113,"width":738,"height":11}},{"id":"79a74aa4-5d00-492c-8e6e-06a4a09dc3e0","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":61,"box":{"x":69,"y":128,"width":814,"height":11}},{"id":"9683ba24-edf1-4ada-94d0-79f6e3b97639","block_type":"box","text":"par ticular currency. There are no limitations on daily price moves in such forward contracts, and banks and dealers","page_number":61,"box":{"x":70,"y":143,"width":819,"height":11}},{"id":"fb7a7192-eba4-42e1-9015-bc4abee1f2ab","block_type":"box","text":"are not required to continue to make markets in such contracts. There have been periods during which cer tain banks","page_number":61,"box":{"x":69,"y":158,"width":834,"height":11}},{"id":"85867f25-38a9-4d3f-ab59-c994732b21aa","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":61,"box":{"x":69,"y":173,"width":797,"height":11}},{"id":"26119e35-2add-4a77-a039-4e18c644aee4","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":61,"box":{"x":69,"y":188,"width":794,"height":11}},{"id":"9a3f89be-3484-4631-bf1d-4790df5e51ff","block_type":"box","text":"Governmental imposition of currency controls might limit any such forward contract trading. With respect to its trading","page_number":61,"box":{"x":69,"y":203,"width":841,"height":12}},{"id":"808099d0-83be-4a82-8aef-08ed2fffd5a1","block_type":"box","text":"of forward contracts, if any, a Fund will be subject to counterpar ty risk. Any such failure to per form by a counterpar ty","page_number":61,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"feee7f64-09c3-4029-9662-b70da05fef8f","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":61,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"207f3873-c553-409a-9cdc-16b8036c220a","block_type":"box","text":"then market price and could result in a loss to the Fund.","page_number":61,"box":{"x":68,"y":249,"width":401,"height":11}},{"id":"e6683bd8-0ac4-4cc0-86e5-8abf3523a3a1","block_type":"box","text":"It may not be possible for a Fund to hedge against currency exchange rate movements, even if correctly","page_number":61,"box":{"x":102,"y":271,"width":738,"height":12}},{"id":"bea3db7e-07a8-4b29-ae2c-ae5338ecf374","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":61,"box":{"x":69,"y":287,"width":837,"height":11}},{"id":"5ae2780a-d725-4a2d-8fb9-b2ef6a67410e","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":61,"box":{"x":69,"y":302,"width":837,"height":11}},{"id":"bf4db2be-e627-4962-978a-3ac0e4966bae","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":61,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"01d68b02-3e23-4dbf-8eba-b6926a40031c","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":61,"box":{"x":68,"y":332,"width":829,"height":11}},{"id":"67f3d846-bcd1-449c-acb8-b0b84a0e4d55","block_type":"box","text":"the currencies involved, the length of the contract period and the market conditions then prevailing. Since","page_number":61,"box":{"x":68,"y":347,"width":753,"height":11}},{"id":"c5e8bb8e-a6b8-413f-b72f-d5866553c95c","block_type":"box","text":"transactions in foreign currency exchange usually are conducted on a principal basis, no fees or commissions are","page_number":61,"box":{"x":68,"y":362,"width":811,"height":11}},{"id":"d04f852c-8643-4b59-bfd8-c7873d116231","block_type":"box","text":"involved.","page_number":61,"box":{"x":70,"y":377,"width":59,"height":9}},{"id":"73328dc9-a084-408b-908f-b48abf779686","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":61,"box":{"x":101,"y":400,"width":803,"height":11}},{"id":"0fbfb0fe-246e-4ef7-87c0-bef87931a7cc","block_type":"box","text":"receivables for unsettled securities sales), or has committed to purchase or anticipates purchasing, which are","page_number":61,"box":{"x":69,"y":415,"width":785,"height":11}},{"id":"896a7bf8-32c9-4cc3-8908-610936081529","block_type":"box","text":"denominated in such currency.","page_number":61,"box":{"x":69,"y":430,"width":216,"height":11}},{"id":"7d793def-23c6-45ad-bcc2-60d2c9385cbb","block_type":"box","text":"Spot Transactions and FX Forwards.","page_number":61,"box":{"x":102,"y":453,"width":254,"height":11}},{"id":"43c3208b-90c5-49b4-896c-3fb1caa00d8c","block_type":"box","text":"FX forwards are OTC contracts to purchase or sell a specified amount of a","page_number":61,"box":{"x":364,"y":453,"width":527,"height":11}},{"id":"966dc23c-4b18-4330-a25c-3adcdafb0f66","block_type":"box","text":"specified currency or multinational currency unit at a specified price and specified future date. Spot foreign exchange","page_number":61,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"db1096e0-ea22-4efb-b9a7-ed0f1fb2a71b","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":61,"box":{"x":68,"y":483,"width":798,"height":11}},{"id":"6b1511d1-6741-4a4e-a1e1-e6362dcbe505","block_type":"box","text":"transactions for purposes of hedging either a specific transaction or a por tfolio position, or, with respect to cer tain","page_number":61,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"1de54f27-52c9-40dc-a4fb-7135880fcfdf","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":61,"box":{"x":70,"y":513,"width":830,"height":11}},{"id":"a5e76f06-b2f6-4f2c-bcc7-5065a0ee4ac7","block_type":"box","text":"may enter into a foreign exchange transaction for purposes of hedging a specific transaction by, for example,","page_number":61,"box":{"x":69,"y":528,"width":774,"height":12}},{"id":"a307607a-cdb8-4b22-993c-b66fcc76e51a","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":61,"box":{"x":70,"y":544,"width":828,"height":11}},{"id":"c072b494-ad0b-42f7-936d-b1777329b93b","block_type":"box","text":"anticipates receiving a dividend or distribution. A Fund may enter into a foreign exchange transaction for purposes of","page_number":61,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"258eebd0-1374-4595-bc24-7879ff618d5a","block_type":"box","text":"hedging a por tfolio position by selling forward a currency in which a por tfolio position of the Fund is denominated or","page_number":61,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"b8d74dba-59ae-409a-bdd5-4630308a5d59","block_type":"box","text":"by purchasing a currency in which the Fund anticipates acquiring a por tfolio position in the near future. A Fund may","page_number":61,"box":{"x":69,"y":589,"width":819,"height":11}},{"id":"bedb38d9-752b-46a9-a65a-69abd08e7579","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":61,"box":{"x":69,"y":604,"width":822,"height":11}},{"id":"16bf54c4-180d-4a4a-b058-3be35463316c","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":61,"box":{"x":68,"y":619,"width":819,"height":11}},{"id":"f20bf126-c3a4-462d-b189-622af2b63093","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":61,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"f08947c3-8585-4fb3-9307-2c4be2d85461","block_type":"box","text":"currency being hedged, and (ii) executing a cross-hedge through the currency in which the cross-hedge is","page_number":61,"box":{"x":69,"y":650,"width":745,"height":11}},{"id":"640706b0-7fad-4b2a-9493-aa14e2683066","block_type":"box","text":"denominated will be significantly more cost-effective or provide substantially greater liquidity than executing a similar","page_number":61,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"a684b587-79b7-49f8-a829-471c9a9de214","block_type":"box","text":"hedging transaction by means of the currency being hedged.","page_number":61,"box":{"x":69,"y":680,"width":428,"height":11}},{"id":"3163ad32-6902-4027-af71-02dba67d90ac","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":61,"box":{"x":101,"y":702,"width":797,"height":12}},{"id":"17c83983-1c4c-4716-b59b-c437f7ec3443","block_type":"box","text":"of existing or anticipated holdings of por tfolio securities. Proxy hedging is often used when the currency to which the","page_number":61,"box":{"x":69,"y":717,"width":829,"height":12}},{"id":"be907054-818c-4580-b816-bfa6bcb86ad4","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":61,"box":{"x":70,"y":732,"width":838,"height":12}},{"id":"a20111f5-efec-42e0-8f5b-a585b1b0d1fa","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":61,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"a32e398b-bb56-4bf1-b9dd-6067e7f20e42","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":61,"box":{"x":70,"y":763,"width":827,"height":11}},{"id":"76b8939a-4c83-423a-abff-9a60dcb54ef3","block_type":"box","text":"hedging involves some of the same risks and considerations as other transactions with similar instruments. Currency","page_number":61,"box":{"x":69,"y":778,"width":838,"height":11}},{"id":"450563e7-cf58-4ed4-92e5-afda211e86e4","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":61,"box":{"x":68,"y":793,"width":798,"height":11}},{"id":"dbc59c5d-0e60-4666-a380-76e88cffd652","block_type":"box","text":"direction that is not anticipated. In addition, there is the risk that the perceived linkage between various currencies","page_number":61,"box":{"x":69,"y":808,"width":819,"height":11}},{"id":"cc05d05f-706a-4bfe-ad05-11c1078939e4","block_type":"box","text":"may not be present, including during the par ticular time that a Fund is engaging in proxy hedging.","page_number":61,"box":{"x":69,"y":823,"width":691,"height":12}},{"id":"ba298fc9-c8ce-4bd0-9a68-ea334567264e","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":61,"box":{"x":101,"y":846,"width":785,"height":11}},{"id":"a7db6cfc-39b6-49eb-9c09-d27925c92c01","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":61,"box":{"x":69,"y":861,"width":811,"height":11}},{"id":"a7dc007c-b747-40d7-b34f-77619005efb0","block_type":"box","text":"have por tfolio exposure. For example, a Fund may hold both Canadian government bonds and Japanese government","page_number":61,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"74bdcea4-74c8-46d4-8cc5-1960a7f5cac2","block_type":"box","text":"bonds, and the Manager or sub-adviser may believe that Canadian dollars will deteriorate against Japanese yen. The","page_number":61,"box":{"x":69,"y":891,"width":829,"height":12}},{"id":"410745be-8173-4f4a-877b-09f27aa65262","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":61,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"adcca8dc-fb3a-452e-920e-ae184c9c85da","block_type":"box","text":"II-24","page_number":61,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7b59bd60-5e5c-46cc-b3ff-e3ec445a0f38","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":61,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"14ece009-eedc-420e-a1b9-5fa6159fcab7","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":62,"box":{"x":69,"y":45,"width":818,"height":11}},{"id":"653ee917-d738-499c-8425-c9d94863f06d","block_type":"box","text":"value of the Japanese yen relative to the U.S. dollar.","page_number":62,"box":{"x":68,"y":60,"width":372,"height":11}},{"id":"0fc471d6-432d-484e-a2ec-96649b36702f","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":62,"box":{"x":102,"y":82,"width":768,"height":12}},{"id":"d971e740-6c51-4d65-a245-e110da03f0af","block_type":"box","text":"forwards (“NDFs”). NDFs are cash-settled, shor t-term forward contracts that may be thinly traded or are denominated","page_number":62,"box":{"x":68,"y":98,"width":838,"height":11}},{"id":"5d390232-aa07-427b-ac57-c7ea69463ecc","block_type":"box","text":"in non-conver tible foreign currency, where the profit or loss at the time at the settlement date is calculated by taking","page_number":62,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"d848bf93-1f94-4e24-a611-465d04864269","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":62,"box":{"x":68,"y":128,"width":806,"height":11}},{"id":"420bc743-59af-4ae1-bf82-0abb1d94db67","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":62,"box":{"x":69,"y":143,"width":839,"height":11}},{"id":"a74bc7b1-e586-4587-949e-e4b665fa58c5","block_type":"box","text":"the difference between the prevailing market exchange rate and the agreed upon exchange rate is calculated. The","page_number":62,"box":{"x":68,"y":158,"width":812,"height":11}},{"id":"36fb4f37-e804-4608-9182-f557da096df9","block_type":"box","text":"settlement date is the date by which the payment of the difference is due to the par ty receiving payment. NDFs are","page_number":62,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"61f04583-e18e-481c-aee0-e9506ed3759a","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":62,"box":{"x":69,"y":188,"width":835,"height":11}},{"id":"3fbddeeb-3ba1-41f8-9131-bde62a1931a8","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":62,"box":{"x":68,"y":203,"width":802,"height":12}},{"id":"7c722f83-ea8e-4d12-a1ee-baf2de41b10a","block_type":"box","text":"traded.","page_number":62,"box":{"x":68,"y":219,"width":49,"height":8}},{"id":"10d81ca9-633c-44ce-a27b-42e31d7f7bb8","block_type":"box","text":"Currency Futures.","page_number":62,"box":{"x":102,"y":241,"width":123,"height":11}},{"id":"abccced8-0845-4c93-9a80-affcd79d0fda","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":62,"box":{"x":232,"y":241,"width":654,"height":11}},{"id":"0a0b8a3f-f9e2-4b27-ba62-d8a83ad74da1","block_type":"box","text":"through use of currency futures or options on currency futures. Currency futures are similar to forward foreign","page_number":62,"box":{"x":68,"y":256,"width":782,"height":12}},{"id":"bde23c34-0d38-4928-8ff1-1ab451fb06a1","block_type":"box","text":"exchange transactions except that futures are standardized, exchange-traded contracts while forward foreign","page_number":62,"box":{"x":69,"y":271,"width":774,"height":12}},{"id":"44c94656-ba5f-4a16-880e-8559cb6b163f","block_type":"box","text":"exchange transactions are traded in the OTC market. Currency futures involve substantial currency risk as well as the","page_number":62,"box":{"x":69,"y":286,"width":836,"height":12}},{"id":"4b1a6a3e-4861-4abe-bc39-f7a67dcbeb9b","block_type":"box","text":"risks discussed above in “—Futures.”","page_number":62,"box":{"x":69,"y":302,"width":269,"height":9}},{"id":"f2b2c787-f45e-424c-bed6-14fccd123640","block_type":"box","text":"Currency Options.","page_number":62,"box":{"x":102,"y":324,"width":125,"height":11}},{"id":"e898a803-6c99-4584-a313-cdf870390952","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":62,"box":{"x":233,"y":324,"width":654,"height":12}},{"id":"58805107-0d6f-465c-b6ad-f5fc3ee3e775","block_type":"box","text":"through the use of currency options. Cer tain Funds have fundamental investment restrictions that permit the","page_number":62,"box":{"x":68,"y":339,"width":776,"height":12}},{"id":"a8ef37cd-3c96-4618-b988-e43b3505f62a","block_type":"box","text":"purchase of currency options, but prohibit the writing of currency options. Currency options are similar to options on","page_number":62,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"f543a179-c6d1-4bf1-802d-65465c1658b7","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":62,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"cc2f3dad-09dc-4989-8459-aa5496edc3cc","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":62,"box":{"x":68,"y":385,"width":820,"height":11}},{"id":"c80bf1b7-6a80-4427-af13-085617348c49","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":62,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"87ee830c-d332-46cc-9dec-57e879a538cd","block_type":"box","text":"on currencies either on exchanges or OTC markets. Such transactions in options may include exotic options on","page_number":62,"box":{"x":69,"y":415,"width":790,"height":11}},{"id":"469e393a-ccc7-4c05-be5f-d43cfaded60c","block_type":"box","text":"currencies, which are typically traded in OTC markets and have additional features that result in different payment","page_number":62,"box":{"x":69,"y":430,"width":813,"height":11}},{"id":"eb6b8b01-b66e-4050-8203-936faf725b68","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":62,"box":{"x":69,"y":446,"width":826,"height":10}},{"id":"d6f5be42-b4d9-4a8c-b424-c9e182638b06","block_type":"box","text":"on up to 100% of the currencies in its por tfolio. See “—Options” above. Currency options involve substantial","page_number":62,"box":{"x":69,"y":460,"width":776,"height":12}},{"id":"5249f66b-432b-426f-95a6-a9a9909f9ff9","block_type":"box","text":"currency risk, and may also involve credit, leverage or illiquidity risk.","page_number":62,"box":{"x":69,"y":476,"width":483,"height":11}},{"id":"a8946da8-f4e5-4b7f-9e4e-aa1230f431a2","block_type":"box","text":"Currency Swaps.","page_number":62,"box":{"x":102,"y":498,"width":117,"height":11}},{"id":"44c42f25-0aae-49f6-b5c7-bcab5cd4fc49","block_type":"box","text":"A Fund may enter into currency swaps in order to protect against currency fluctuations or to","page_number":62,"box":{"x":225,"y":498,"width":652,"height":11}},{"id":"79aad639-1055-420e-ac1f-5f7daabae3c1","block_type":"box","text":"hedge por tfolio positions. Currency swaps are transactions in which one currency is simultaneously bought for a","page_number":62,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"52c809dc-1fed-4ed1-83ee-2df3ed5d371e","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":62,"box":{"x":69,"y":528,"width":812,"height":12}},{"id":"bb3c03f3-9c6b-47c4-8d5e-6cd6ae143fdd","block_type":"box","text":"exchange of the rights of a Fund and another par ty to make or receive payments in specified currencies, and typically","page_number":62,"box":{"x":69,"y":543,"width":836,"height":12}},{"id":"69487f0e-fc94-4de2-a4f8-e22d91c8a011","block_type":"box","text":"require the delivery of the entire principal value of one designated currency in exchange for the other designated","page_number":62,"box":{"x":69,"y":559,"width":800,"height":11}},{"id":"9f16a759-8a00-4e60-908e-a414bbb8a8ac","block_type":"box","text":"currency. As a result, the entire principal value of a currency swap is subject to the risk that the other par ty to the","page_number":62,"box":{"x":69,"y":574,"width":810,"height":11}},{"id":"feacce27-cbcf-4f56-a9d7-ace5246d241d","block_type":"box","text":"swap will default on its contractual delivery obligations.","page_number":62,"box":{"x":69,"y":589,"width":393,"height":11}},{"id":"379529e4-cab7-4d13-a236-410dff8e53ef","block_type":"box","text":"Distressed Securities.","page_number":62,"box":{"x":102,"y":612,"width":159,"height":9}},{"id":"b4b0a71a-df9f-4873-9185-8061e3963d1e","block_type":"box","text":"A Fund may invest in securities, including loans purchased in the secondary market, that","page_number":62,"box":{"x":267,"y":612,"width":633,"height":11}},{"id":"d3700bab-5022-47e2-8b4d-43a6e72ac8ad","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":62,"box":{"x":69,"y":627,"width":834,"height":11}},{"id":"f396a9fd-7cb3-4cf9-af8d-882100e163f6","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":62,"box":{"x":70,"y":642,"width":827,"height":11}},{"id":"dec66b8d-edd0-47da-97a0-e8af9f410d72","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":62,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"7bda67a3-af01-4854-8a10-000604edb6cb","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":62,"box":{"x":69,"y":672,"width":784,"height":11}},{"id":"6574504d-0fa1-4f75-bf52-c7a10696bdba","block_type":"box","text":"Investment in Distressed Securities is speculative and involves significant risks.","page_number":62,"box":{"x":70,"y":687,"width":569,"height":11}},{"id":"3a4af2b9-ae01-4c9d-880d-f782dca87bbe","block_type":"box","text":"A Fund will generally make such investments only when the Manager believes it is reasonably likely that the","page_number":62,"box":{"x":101,"y":710,"width":766,"height":11}},{"id":"801269a0-67bc-41b4-a905-072f5968fcb7","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":62,"box":{"x":70,"y":725,"width":795,"height":11}},{"id":"4cba858e-1f7c-4508-ac4f-456ac6d09113","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":62,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"998a7478-3037-4d38-91e9-86a6d04a500a","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":62,"box":{"x":69,"y":755,"width":794,"height":11}},{"id":"05de0e87-b317-46b2-9407-f1a840775813","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":62,"box":{"x":69,"y":770,"width":832,"height":12}},{"id":"e9ab2506-9821-46d2-99da-543784e0fdb5","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":62,"box":{"x":69,"y":785,"width":824,"height":12}},{"id":"341b679f-8c68-41e7-b2c6-cedffa3d5014","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":62,"box":{"x":69,"y":801,"width":789,"height":11}},{"id":"3fc62a9c-cc8a-4afd-b878-e0ab5e7fa9c4","block_type":"box","text":"significant uncer tainty as to whether or not the exchange offer or plan of reorganization will be completed and the","page_number":62,"box":{"x":69,"y":816,"width":810,"height":11}},{"id":"1943d72f-f58c-47f8-a2f9-a527f4ecdd42","block_type":"box","text":"Fund may be required to bear cer tain extraordinary expenses to protect and recover its investment. Therefore, to the","page_number":62,"box":{"x":70,"y":831,"width":831,"height":11}},{"id":"77c89d04-e1ef-42f1-bcbb-d0dc249e5bc1","block_type":"box","text":"extent the Fund seeks capital appreciation through investment in distressed securities, the Fund’s ability to achieve","page_number":62,"box":{"x":69,"y":846,"width":826,"height":11}},{"id":"6cb4caf5-9682-41a1-83c2-4970dc3c6c8c","block_type":"box","text":"current income for its shareholders may be diminished. The Fund also will be subject to significant uncer tainty as to","page_number":62,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"a05a824b-fbb7-4432-a1f1-7b74aece1870","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":62,"box":{"x":68,"y":876,"width":834,"height":11}},{"id":"0fbb6a07-877b-43af-949e-208188839972","block_type":"box","text":"satisfied (","page_number":62,"box":{"x":69,"y":891,"width":70,"height":11}},{"id":"6d6d8e97-195f-404c-92c7-d3a4dbdc0fae","block_type":"box","text":"e.g.","page_number":62,"box":{"x":140,"y":893,"width":25,"height":10}},{"id":"2e9056f7-85ee-4a83-b212-67c10bbd2e06","block_type":"box","text":", through a liquidation of the obligor’s assets, an exchange offer or plan of reorganization involving the","page_number":62,"box":{"x":168,"y":891,"width":729,"height":12}},{"id":"07ba0bc7-4a02-44b0-aa5b-f0bad87ea6fa","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":62,"box":{"x":69,"y":906,"width":807,"height":12}},{"id":"69c06559-6d45-488e-8623-0044e8e34480","block_type":"box","text":"II-25","page_number":62,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2aed168e-53ba-4779-9f9a-c93fbb74721f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":62,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3f299f9e-2c21-4272-9b5f-00745d165215","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":63,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"b0649985-c72a-433c-880b-e6ca90fa594f","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":63,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"bbb7fa25-9185-47d5-8a2c-b659ad3c1a3b","block_type":"box","text":"reorganization will not have a lower value or income potential than may have been anticipated when the investment","page_number":63,"box":{"x":69,"y":75,"width":821,"height":11}},{"id":"d874b91a-c15f-4f9f-b60b-2dbd8459f677","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":63,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"0a06bfec-6290-4a40-b156-8ecb9b1a3ab5","block_type":"box","text":"reorganization may be restricted as to resale. Similarly, if a Fund par ticipates in negotiations with respect to any","page_number":63,"box":{"x":69,"y":105,"width":800,"height":11}},{"id":"ac8daea6-1768-4695-bdaa-2f6f69a3498b","block_type":"box","text":"exchange offer or plan of reorganization with respect to an issuer of Distressed Securities, the Fund may be","page_number":63,"box":{"x":69,"y":120,"width":770,"height":12}},{"id":"9c3c36b8-41ee-416c-bbb4-8af7e23ef0eb","block_type":"box","text":"restricted from disposing of such securities. To the extent that a Fund becomes involved in such proceedings, the","page_number":63,"box":{"x":69,"y":135,"width":809,"height":12}},{"id":"06a57023-25ab-4917-96eb-464cc65ea733","block_type":"box","text":"Fund may have a more active par ticipation in the affairs of the issuer than that assumed generally by an investor. The","page_number":63,"box":{"x":70,"y":150,"width":839,"height":12}},{"id":"e4b729f1-d7b0-44ca-ad74-7b32e4726284","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":63,"box":{"x":70,"y":166,"width":787,"height":11}},{"id":"a850cdea-1a80-4ffb-afa6-eb0792f811a3","block_type":"box","text":"affairs.","page_number":63,"box":{"x":69,"y":181,"width":49,"height":9}},{"id":"d9deb5ba-9473-45db-ac5e-042c5f562a5a","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":63,"box":{"x":102,"y":203,"width":428,"height":11}},{"id":"0ab3f10d-cc88-42a1-a03e-e07c3944426a","block_type":"box","text":". Although a Fund does not seek to implement a","page_number":63,"box":{"x":531,"y":204,"width":341,"height":11}},{"id":"92550f99-e2bd-4d49-a4ec-3a93dcbaa2f2","block_type":"box","text":"specific sustainability objective, strategy or process unless disclosed in its Prospectus, Fund management will","page_number":63,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"972cfa41-5db9-4cb1-b6a2-006e2ac43d34","block_type":"box","text":"consider ESG factors as par t of the investment process for the Fund. Fund management views ESG integration as the","page_number":63,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"23f987d5-cf28-4424-b7d8-535c03a99633","block_type":"box","text":"practice of incorporating financially material ESG data or information into investment processes with the objective of","page_number":63,"box":{"x":70,"y":249,"width":827,"height":11}},{"id":"6be510b0-8176-45f6-a422-cb387af7345e","block_type":"box","text":"enhancing risk-adjusted returns. These ESG considerations will vary depending on a Fund’s par ticular investment","page_number":63,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"a222c4d3-5c2c-402a-a4ba-9dfdd7ac6b40","block_type":"box","text":"strategies and may include consideration of third-par ty research as well as consideration of proprietary BlackRock","page_number":63,"box":{"x":69,"y":279,"width":812,"height":11}},{"id":"c53106c0-219e-4c7f-9e8c-8c235947b71a","block_type":"box","text":"research across the ESG risks and oppor tunities regarding an issuer. The ESG characteristics utilized in a Fund’s","page_number":63,"box":{"x":69,"y":294,"width":807,"height":11}},{"id":"97dedd74-548d-4011-a0e2-165b5996ace5","block_type":"box","text":"investment process are anticipated to evolve over time and one or more characteristics may not be relevant with","page_number":63,"box":{"x":70,"y":309,"width":800,"height":11}},{"id":"4b18dd77-928f-4947-9c7a-e94682f0fd86","block_type":"box","text":"respect to all issuers that are eligible for investment.","page_number":63,"box":{"x":69,"y":324,"width":377,"height":12}},{"id":"8d52c9e9-2514-4311-85e8-d4515c2787bd","block_type":"box","text":"Cer tain of these considerations may affect a Fund’s exposure to cer tain companies or industries. While Fund","page_number":63,"box":{"x":102,"y":347,"width":778,"height":11}},{"id":"8a5e705d-3aa2-4489-8971-085b26cebabc","block_type":"box","text":"management views ESG considerations as having the potential to contribute to a Fund’s long-term per formance,","page_number":63,"box":{"x":69,"y":362,"width":800,"height":11}},{"id":"b5e88310-f613-4398-9d8e-abf11afd195a","block_type":"box","text":"there is no guarantee that such results will be achieved.","page_number":63,"box":{"x":68,"y":377,"width":400,"height":12}},{"id":"31c27315-d513-44cc-9afc-ec8b3aa1f6c1","block_type":"box","text":"Equity Securities.","page_number":63,"box":{"x":102,"y":400,"width":127,"height":11}},{"id":"02a28913-b0d7-44b3-baf6-413f45c9b020","block_type":"box","text":"Cer tain Funds may invest in equity securities, which include common stock and, for cer tain","page_number":63,"box":{"x":235,"y":400,"width":648,"height":11}},{"id":"8f0cb845-637c-451d-b716-22cc6e2c9c78","block_type":"box","text":"Funds, preferred stock (including conver tible preferred stock); bonds, stock purchase warrants and rights; equity","page_number":63,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"84a3b27e-c631-4df5-8687-2b83c551be89","block_type":"box","text":"interests in trusts; general and limited par tnerships and limited liability companies; and depositary receipts. Stock","page_number":63,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"277c3c86-0de9-4dbe-accf-1cf98dd4a5fa","block_type":"box","text":"markets are volatile. The price of equity securities will fluctuate and can decline and reduce the value of a por tfolio","page_number":63,"box":{"x":69,"y":445,"width":819,"height":11}},{"id":"347f5537-5cce-49f9-94b1-4e3ab16a930f","block_type":"box","text":"investing in equities. The price of equity securities fluctuates based on changes in a company’s financial condition","page_number":63,"box":{"x":70,"y":460,"width":813,"height":12}},{"id":"0235e937-5a18-4684-9707-ba21176b7be4","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":63,"box":{"x":69,"y":475,"width":839,"height":12}},{"id":"0c9369cb-82ef-4f61-9ca1-338221bb9da6","block_type":"box","text":"financial condition of the companies the Fund invests in decline or if overall market and economic conditions","page_number":63,"box":{"x":68,"y":491,"width":775,"height":11}},{"id":"54cf8519-7166-442a-9956-5a358bd34b6b","block_type":"box","text":"deteriorate. They may also decline due to factors that affect a par ticular industry or industries, such as labor","page_number":63,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"3866d232-7561-4850-9408-b023e7b5c4ce","block_type":"box","text":"shor tages or increase in production costs and competitive conditions within an industry. In addition, they may decline","page_number":63,"box":{"x":69,"y":521,"width":837,"height":11}},{"id":"b664e654-f28e-4aad-ac71-f2f8db9ee32a","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":63,"box":{"x":69,"y":536,"width":831,"height":11}},{"id":"eb69b641-abf4-4f86-910f-854a3e8772a0","block_type":"box","text":"adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency","page_number":63,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"709f8301-a7fe-455b-b8e9-0080b1534096","block_type":"box","text":"rates or generally adverse investor sentiment.","page_number":63,"box":{"x":69,"y":566,"width":325,"height":11}},{"id":"54604508-015d-4180-92ff-f268b45736cc","block_type":"box","text":"From time to time cer tain of the Funds may invest in shares of companies through initial public offerings","page_number":63,"box":{"x":102,"y":589,"width":745,"height":11}},{"id":"e8a26b7e-353a-4997-9875-93a85d9c63b0","block_type":"box","text":"(“IPOs”). IPOs have the potential to produce, and have in fact produced, substantial gains for cer tain Funds. There is","page_number":63,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"2fe7343a-6964-442c-b242-0b591302bdb4","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":63,"box":{"x":69,"y":619,"width":824,"height":11}},{"id":"5c7ab0ad-26b1-4818-94c6-3a443c2f65bf","block_type":"box","text":"these past gains as an indication of future per formance. The investment per formance of a Fund during periods when","page_number":63,"box":{"x":68,"y":634,"width":834,"height":12}},{"id":"42ba31cd-1f40-4417-87e2-54ce3abdcb7b","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":63,"box":{"x":70,"y":649,"width":782,"height":12}},{"id":"e72d67ba-44f8-4d52-8101-e65aaac0c582","block_type":"box","text":"addition, as a Fund increases in size, the impact of IPOs on its per formance will generally decrease. Securities","page_number":63,"box":{"x":69,"y":664,"width":790,"height":12}},{"id":"15ca2e52-33da-46c9-8d55-4f04ff580f9e","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":63,"box":{"x":70,"y":680,"width":823,"height":11}},{"id":"c37c8c82-c534-4679-9fca-b83e9cff6e12","block_type":"box","text":"Securities issued in IPOs have no trading history, and information about the companies may be available for very","page_number":63,"box":{"x":69,"y":695,"width":805,"height":11}},{"id":"3ff0778a-693a-40cf-ad6c-bbbc3bf32891","block_type":"box","text":"limited periods. In addition, the prices of securities sold in IPOs may be highly volatile or may decline shor tly after the","page_number":63,"box":{"x":70,"y":710,"width":836,"height":11}},{"id":"26b3b351-8113-47e2-9d7a-6236dccc2551","block_type":"box","text":"initial public offering.","page_number":63,"box":{"x":70,"y":725,"width":147,"height":11}},{"id":"40477cf1-c804-4c27-81ca-1f959f3e9e4f","block_type":"box","text":"The Funds may invest in companies that have relatively small market capitalizations. These organizations will","page_number":63,"box":{"x":101,"y":748,"width":777,"height":11}},{"id":"e7cacacd-5964-4554-b910-0ca81af768a7","block_type":"box","text":"normally have more limited product lines, markets and financial resources and will be dependent upon a more limited","page_number":63,"box":{"x":69,"y":763,"width":838,"height":11}},{"id":"5c6ba36d-40e1-4877-9b64-2287e8ad4d0c","block_type":"box","text":"management group than larger capitalized companies. In addition, it is more difficult to get information on smaller","page_number":63,"box":{"x":69,"y":778,"width":815,"height":11}},{"id":"cdf19353-3cc8-4585-84f0-f9e0a1fa0934","block_type":"box","text":"companies, which tend to be less well known, have shor ter operating histories, do not have significant ownership by","page_number":63,"box":{"x":69,"y":793,"width":829,"height":11}},{"id":"76944665-c1f2-4bb9-9541-e73474550718","block_type":"box","text":"large investors and are followed by relatively few securities analysts. The securities of smaller capitalized companies","page_number":63,"box":{"x":70,"y":808,"width":831,"height":11}},{"id":"278a7bc5-0d6b-45f4-87c4-2382dfe3177b","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":63,"box":{"x":69,"y":823,"width":826,"height":11}},{"id":"8706f237-71d2-40d1-9002-cd7d4dec102c","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":63,"box":{"x":68,"y":838,"width":810,"height":12}},{"id":"fbb255dc-dbd5-4b37-aa8c-3501b47f9801","block_type":"box","text":"more established companies.","page_number":63,"box":{"x":69,"y":854,"width":209,"height":10}},{"id":"15dac517-1dd4-4fbf-a290-7bcd20af514c","block_type":"box","text":"II-26","page_number":63,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fde48c9e-919a-4e12-be9d-6c7f108029d2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":63,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"714b0b20-60ee-48ca-b24c-5c6915c34ebe","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":64,"box":{"x":102,"y":45,"width":776,"height":11}},{"id":"2ab0b4f4-eff8-4c81-8b31-b631850a76f4","block_type":"box","text":"investing in such equity securities, see your Fund’s Prospectus. Cer tain of the Funds may also invest in shares of","page_number":64,"box":{"x":70,"y":60,"width":810,"height":11}},{"id":"c80b77ca-a9e5-4376-8184-850b24447c93","block_type":"box","text":"private companies, which are subject to the risks of “Illiquid Investments” and “Restricted Securities” described","page_number":64,"box":{"x":70,"y":75,"width":799,"height":11}},{"id":"5732f539-ceba-4f7b-8f59-7a444942f379","block_type":"box","text":"below.","page_number":64,"box":{"x":69,"y":90,"width":43,"height":9}},{"id":"f22f5096-df79-4981-995f-01287f2ac276","block_type":"box","text":"Real Estate-Related Securities.","page_number":64,"box":{"x":102,"y":113,"width":219,"height":9}},{"id":"b9ffa65e-0d49-4f9c-bf52-aff0d883224d","block_type":"box","text":"Although no Fund may invest directly in real estate, cer tain Funds may invest in","page_number":64,"box":{"x":327,"y":113,"width":565,"height":11}},{"id":"f3ec8f3b-66e1-43c9-b7b8-70b3a6d09a2a","block_type":"box","text":"equity securities of issuers that are principally engaged in the real estate industry. Such investments are subject to","page_number":64,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"74c41b9c-65df-421c-a9ad-e488057c5e24","block_type":"box","text":"cer tain risks associated with the ownership of real estate and with the real estate industry in general. These risks","page_number":64,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"4fdd333b-520f-4c67-9a80-1f6434a0ca26","block_type":"box","text":"include, among others: possible declines in the value of real estate; risks related to general and local economic","page_number":64,"box":{"x":70,"y":158,"width":796,"height":11}},{"id":"bd8a1f14-5953-458b-9602-38f0841e38e1","block_type":"box","text":"conditions; possible lack of availability of mor tgage funds or other limitations on access to capital; overbuilding; risks","page_number":64,"box":{"x":69,"y":173,"width":836,"height":11}},{"id":"569ee632-5803-4948-ac7b-c495b41cc631","block_type":"box","text":"associated with leverage; market illiquidity; extended vacancies of proper ties; increase in competition, proper ty","page_number":64,"box":{"x":69,"y":188,"width":795,"height":12}},{"id":"bbf2f502-8d9a-43d3-b994-50d409c1bf6d","block_type":"box","text":"taxes, capital expenditures and operating expenses; changes in zoning laws or other governmental regulation; costs","page_number":64,"box":{"x":68,"y":204,"width":828,"height":11}},{"id":"b6538cb7-e8a2-4250-932c-996bef272b24","block_type":"box","text":"resulting from the clean-up of, and liability to third par ties for damages resulting from, environmental problems;","page_number":64,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"12a88e72-6c14-4217-8ce6-64a7eca739c5","block_type":"box","text":"tenant bankruptcies or other credit problems; casualty or condemnation losses; uninsured damages from floods,","page_number":64,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"4aa91d9b-1870-44e5-9135-87c13960ef49","block_type":"box","text":"ear thquakes or other natural disasters; limitations on and variations in rents, including decreases in market rates for","page_number":64,"box":{"x":69,"y":249,"width":836,"height":11}},{"id":"288f37b5-fdfd-4a0a-aa91-4764c40a2864","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":64,"box":{"x":69,"y":264,"width":838,"height":11}},{"id":"59506301-a0bb-4cba-b98b-be53001415eb","block_type":"box","text":"interest rates. To the extent that assets underlying a Fund’s investments are concentrated geographically, by proper ty","page_number":64,"box":{"x":70,"y":279,"width":838,"height":11}},{"id":"247acb6f-1248-417b-b8cc-b83975445fb5","block_type":"box","text":"type or in cer tain other respects, the Fund may be subject to cer tain of the foregoing risks to a greater extent.","page_number":64,"box":{"x":68,"y":294,"width":785,"height":11}},{"id":"3979fcbb-23c2-4cac-a759-e9167ecd6d77","block_type":"box","text":"Investments by a Fund in securities of companies providing mor tgage servicing will be subject to the risks associated","page_number":64,"box":{"x":70,"y":309,"width":836,"height":11}},{"id":"686152f4-1e4a-4831-ae27-9f10282c12dc","block_type":"box","text":"with refinancings and their impact on servicing rights.","page_number":64,"box":{"x":68,"y":324,"width":381,"height":12}},{"id":"3a0335d4-87fb-4c63-b316-403bbbc0c134","block_type":"box","text":"In addition, if a Fund receives rental income or income from the disposition of real proper ty acquired as a result","page_number":64,"box":{"x":102,"y":347,"width":797,"height":11}},{"id":"5aafdcd0-9b67-4a61-ba02-e7a11899e176","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":64,"box":{"x":69,"y":362,"width":829,"height":11}},{"id":"4773dfac-a276-401d-8f2c-c68763f05bd0","block_type":"box","text":"its tax status as a regulated investment company because of cer tain income source requirements applicable to","page_number":64,"box":{"x":70,"y":377,"width":794,"height":12}},{"id":"d434cbd3-28bf-408e-a863-5057ea37ae54","block_type":"box","text":"regulated investment companies under the Internal Revenue Code of 1986, as amended (the “Code”).","page_number":64,"box":{"x":69,"y":392,"width":730,"height":12}},{"id":"7b4381b6-48c8-417c-a381-ab5974d403a9","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies.","page_number":64,"box":{"x":102,"y":415,"width":381,"height":11}},{"id":"cac03a7c-44c0-4f70-b333-f10f04efd9ae","block_type":"box","text":"Investment in smaller or emerging growth companies","page_number":64,"box":{"x":490,"y":415,"width":376,"height":11}},{"id":"a20140bb-201b-42c0-bd65-0b306624bf43","block_type":"box","text":"involves greater risk than is customarily associated with investments in more established companies. The securities","page_number":64,"box":{"x":70,"y":430,"width":828,"height":11}},{"id":"b15c3e26-abbc-45fb-a207-64e6c03857d5","block_type":"box","text":"of smaller or emerging growth companies may be subject to more abrupt or erratic market movements than larger,","page_number":64,"box":{"x":69,"y":445,"width":815,"height":12}},{"id":"7f45f6a1-4c84-405e-a351-325a13be70b7","block_type":"box","text":"more established companies or the market average in general. These companies may have limited product lines,","page_number":64,"box":{"x":69,"y":461,"width":804,"height":11}},{"id":"0cab66a1-27d8-45f0-baa0-533876b8ac6d","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":64,"box":{"x":69,"y":475,"width":647,"height":12}},{"id":"8956ada2-981e-486c-82b6-824b3c356c83","block_type":"box","text":"Investments in smaller or emerging growth companies may involve greater risks and thus may be considered","page_number":64,"box":{"x":102,"y":498,"width":773,"height":11}},{"id":"745b44a4-78a8-4560-803b-c38316e1727f","block_type":"box","text":"speculative. Full development of these companies and trends frequently takes time.","page_number":64,"box":{"x":69,"y":513,"width":597,"height":11}},{"id":"bd40f59c-2e78-4e39-8469-714aaf83763a","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":64,"box":{"x":102,"y":536,"width":797,"height":11}},{"id":"1fc14525-b91f-4985-b6e8-3e40bee1b1ab","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":64,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"47e80405-68f1-467b-8043-730239ab7cb0","block_type":"box","text":"result, the disposition by a Fund of por tfolio securities to meet redemptions or otherwise may require the Fund to","page_number":64,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"ff32fcf3-972b-48de-a329-e058b285d7ba","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":64,"box":{"x":69,"y":581,"width":825,"height":12}},{"id":"3621ae8e-d708-43d0-9f6f-9641f71ca672","block_type":"box","text":"during periods when, in Fund management’s judgment, such disposition is not desirable.","page_number":64,"box":{"x":69,"y":597,"width":631,"height":11}},{"id":"076bc590-f09b-4692-a077-fa69c9342b34","block_type":"box","text":"The process of selection and continuous supervision by Fund management does not guarantee successful","page_number":64,"box":{"x":101,"y":619,"width":758,"height":11}},{"id":"3194c3fc-7ec9-4c1c-a40a-c920df91c770","block_type":"box","text":"investment results. Careful initial selection is par ticularly impor tant in this area as many new enterprises have","page_number":64,"box":{"x":70,"y":634,"width":787,"height":11}},{"id":"1b16faaf-db60-401c-9238-87ad1b19261b","block_type":"box","text":"promise but lack cer tain of the fundamental factors necessary to prosper. Investing in small cap and emerging","page_number":64,"box":{"x":70,"y":649,"width":789,"height":12}},{"id":"f2a9a3b2-8e6e-4e43-86c1-f5e75d1578d5","block_type":"box","text":"growth companies requires specialized research and analysis.","page_number":64,"box":{"x":68,"y":665,"width":442,"height":11}},{"id":"50ecc3c5-4efd-4e12-b13e-f6907cc99cda","block_type":"box","text":"Fund management believes that relatively small companies may have the oppor tunity to develop into significant","page_number":64,"box":{"x":102,"y":687,"width":795,"height":11}},{"id":"2f9cc807-e209-4c18-a49a-d65c88e529a6","block_type":"box","text":"business enterprises. A Fund may invest in securities of small issuers in the relatively early stages of business","page_number":64,"box":{"x":69,"y":702,"width":791,"height":12}},{"id":"f06361c8-1b93-4792-b9de-16ab2c81c5e5","block_type":"box","text":"development that have a new technology, a unique or proprietary product or service, or a favorable market position.","page_number":64,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"f0318139-276c-4b44-b451-882866046644","block_type":"box","text":"Equity securities of specific small cap issuers may present different oppor tunities for long-term capital","page_number":64,"box":{"x":102,"y":740,"width":729,"height":11}},{"id":"5f792c09-ce02-445d-97fd-59dc85745b17","block_type":"box","text":"appreciation during varying por tions of economic or securities market cycles, as well as during varying stages of their","page_number":64,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"29d0e4b7-c764-4f41-a7e6-09a44ca2de51","block_type":"box","text":"business development. The market valuation of small cap issuers tends to fluctuate during economic or market","page_number":64,"box":{"x":69,"y":770,"width":794,"height":12}},{"id":"6335ae23-f3ad-4657-a5fa-5596be8120bd","block_type":"box","text":"cycles.","page_number":64,"box":{"x":69,"y":786,"width":46,"height":11}},{"id":"594a8b40-31da-40da-9b5a-26946fb0db53","block_type":"box","text":"Tracking Stocks","page_number":64,"box":{"x":103,"y":808,"width":110,"height":11}},{"id":"edfc3eb4-378d-421d-8c57-c0278bfeeb03","block_type":"box","text":". A tracking stock is a separate class of common stock whose value is linked to a specific","page_number":64,"box":{"x":214,"y":808,"width":640,"height":11}},{"id":"09ecc0cb-bbd3-4ff8-904e-04ca833fe2b9","block_type":"box","text":"business unit or operating division within a larger company and is designed to “track” the per formance of such","page_number":64,"box":{"x":69,"y":823,"width":791,"height":12}},{"id":"315a0e79-1be7-4556-ba45-73b42d60a55b","block_type":"box","text":"business unit or division. The tracking stock may pay dividends to shareholders independent of the parent company.","page_number":64,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"77688eb0-1082-4965-b5fb-014e8da693a1","block_type":"box","text":"The parent company, rather than the business unit or division, generally is the issuer of tracking stock. However,","page_number":64,"box":{"x":68,"y":853,"width":801,"height":12}},{"id":"b0e05400-a1fc-4b5e-8975-bdc82b93bb07","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":64,"box":{"x":69,"y":869,"width":740,"height":11}},{"id":"fcf722c0-fba5-4905-8f35-02f4c032dbfd","block_type":"box","text":"Exchange-Traded Notes (“ETNs”).","page_number":64,"box":{"x":102,"y":891,"width":245,"height":11}},{"id":"29cc713e-bc1b-44a4-9aec-a0296eb382b3","block_type":"box","text":"Cer tain Funds may invest in ETNs. ETNs are generally notes representing","page_number":64,"box":{"x":354,"y":891,"width":521,"height":12}},{"id":"499a028e-2583-4861-8453-4fce3f434eea","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":64,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"0fe7b804-df69-472f-a84d-b1998eff4928","block_type":"box","text":"II-27","page_number":64,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1a99afc2-0ce3-42ec-8052-e276e4899020","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":64,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"11a578de-6b83-4ffd-9d86-b36f93fe6c62","block_type":"box","text":"are based on the per formance of one or more underlying assets, reference rates or indexes, minus fees and","page_number":65,"box":{"x":69,"y":45,"width":774,"height":11}},{"id":"39d19035-9be8-4b14-a719-7e1b73f0da02","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":65,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"c811c29b-0e47-4d0c-a039-4befa0f0801f","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 per formance","page_number":65,"box":{"x":70,"y":75,"width":831,"height":11}},{"id":"f4706f82-9666-4aeb-8c54-cf2bd823cf65","block_type":"box","text":"of the specific asset, index or rate (“reference instrument”) to which the ETN is linked minus cer tain fees. Unlike","page_number":65,"box":{"x":69,"y":90,"width":805,"height":11}},{"id":"b844146c-8de9-4d5e-a599-2944fc2ed013","block_type":"box","text":"regular bonds, ETNs do not make periodic interest payments, and principal is not protected.","page_number":65,"box":{"x":69,"y":105,"width":654,"height":11}},{"id":"295bfd43-e8dd-4704-b623-73f4d474269b","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":65,"box":{"x":101,"y":128,"width":794,"height":11}},{"id":"4c0b703d-2fc2-4736-bdde-34a475c6da87","block_type":"box","text":"the ETN, volatility and lack of liquidity in underlying markets, changes in the applicable interest rates, the","page_number":65,"box":{"x":68,"y":143,"width":748,"height":11}},{"id":"4c8bcee2-e84c-4689-8ba8-b0150f8037e1","block_type":"box","text":"per formance of the reference instrument, changes in the issuer’s credit rating and economic, legal, political or","page_number":65,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"ca9a87a1-649c-4256-a03e-659971a5117d","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":65,"box":{"x":68,"y":173,"width":831,"height":11}},{"id":"f636fe69-cf79-4f8a-a4bd-8dfc87f65f8d","block_type":"box","text":"drop due to a downgrade in an issuer’s credit rating, despite the underlying reference instrument remaining","page_number":65,"box":{"x":69,"y":188,"width":766,"height":12}},{"id":"1641260a-95bd-45eb-9a94-a24e24c3b91d","block_type":"box","text":"unchanged. When a Fund invests in ETNs, it will bear its propor tionate share of any fees and expenses borne by the","page_number":65,"box":{"x":69,"y":203,"width":828,"height":12}},{"id":"d67684a7-d989-4cc5-9083-3d56a5dcd231","block_type":"box","text":"ETN.","page_number":65,"box":{"x":70,"y":219,"width":30,"height":8}},{"id":"0a9fe48e-43d0-4de5-800d-7d0f591b3cb9","block_type":"box","text":"An ETN that is tied to a reference instrument may not replicate the per formance of the reference instrument.","page_number":65,"box":{"x":101,"y":241,"width":776,"height":11}},{"id":"66890846-40c8-4157-921d-c7667ea8ba26","block_type":"box","text":"ETNs also incur cer tain expenses not incurred by their applicable reference instrument. Some ETNs that use leverage","page_number":65,"box":{"x":70,"y":256,"width":837,"height":12}},{"id":"d2bc042e-237e-4ace-be22-d24ad41b517e","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":65,"box":{"x":69,"y":271,"width":840,"height":12}},{"id":"00b67282-077a-4d31-bf0f-6471ae34277d","block_type":"box","text":"risk as other instruments that use leverage in any form. While leverage allows for greater potential return, the","page_number":65,"box":{"x":69,"y":286,"width":781,"height":12}},{"id":"82872b0e-d463-49f7-942a-4fd30bf30b6d","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":65,"box":{"x":70,"y":302,"width":827,"height":11}},{"id":"18880784-7afb-4e22-9297-faf657bea8a6","block_type":"box","text":"addition to the money lost on the investment, the loan still needs to be repaid.","page_number":65,"box":{"x":69,"y":317,"width":560,"height":11}},{"id":"9185ab92-b427-4db3-bfe0-36503657e048","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":65,"box":{"x":102,"y":340,"width":774,"height":11}},{"id":"5e628675-c37a-48a4-b0c2-ebaacdf13348","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":65,"box":{"x":68,"y":355,"width":788,"height":11}},{"id":"2e502842-2c46-461e-8d56-e8df4389d232","block_type":"box","text":"reference instrument. The market value of ETN shares may differ from the value of the reference instrument. This","page_number":65,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"59218732-fb6e-448f-8775-18c0debc473a","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":65,"box":{"x":69,"y":385,"width":815,"height":11}},{"id":"627832ea-45cf-4e8d-b878-86f49294b647","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":65,"box":{"x":68,"y":400,"width":766,"height":11}},{"id":"005b4d2b-e067-4c52-9348-801340a0a363","block_type":"box","text":"instrument that the ETN seeks to track.","page_number":65,"box":{"x":70,"y":415,"width":279,"height":9}},{"id":"ed6bb8a3-ae96-429c-b861-4846b51f1c29","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":65,"box":{"x":101,"y":438,"width":791,"height":11}},{"id":"afbcd121-8b8c-4fff-bddf-207444ea3c24","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":65,"box":{"x":69,"y":453,"width":818,"height":11}},{"id":"61dd2d93-c166-488d-bfa5-60d09ad686de","block_type":"box","text":"market. An investor in an ETN could lose some or all of the amount invested.","page_number":65,"box":{"x":69,"y":468,"width":547,"height":9}},{"id":"0541ff7a-669c-406c-9567-11f6aa359b89","block_type":"box","text":"ETNs are also subject to tax risks. The Internal Revenue Service (the “IRS”) may not accept, and a cour t may not","page_number":65,"box":{"x":102,"y":491,"width":807,"height":11}},{"id":"fad3e2ab-4fcc-4256-b6fc-a7a3bc86184c","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":65,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"16e2cbca-2056-4e66-99dc-a5058cdd49d4","block_type":"box","text":"derived by a Fund from investments in ETNs may be affected by future legislation.","page_number":65,"box":{"x":69,"y":521,"width":581,"height":11}},{"id":"c6428a4a-2764-44ac-84e3-6f41c0707b26","block_type":"box","text":"Foreign Investments.","page_number":65,"box":{"x":102,"y":544,"width":152,"height":11}},{"id":"40d72334-ea57-4eed-a79d-a197f4cc2e0d","block_type":"box","text":"Foreign Investment Risks.","page_number":65,"box":{"x":102,"y":566,"width":182,"height":11}},{"id":"5ec811cc-603e-4a2b-b851-d59bef0f8bc9","block_type":"box","text":"Cer tain Funds may invest in foreign securities, including securities from issuers","page_number":65,"box":{"x":291,"y":566,"width":567,"height":11}},{"id":"95f6fed3-3b83-49b2-a516-dda6e8680d97","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":65,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"1e19cd92-d9c9-4ff4-908a-50b2993274d1","block_type":"box","text":"Investing in foreign securities involves risks not typically associated with investing in securities of companies","page_number":65,"box":{"x":70,"y":596,"width":774,"height":12}},{"id":"f8d3a9c0-46a3-4d54-895c-e79ab8aca826","block_type":"box","text":"organized and operated in the United States that can increase the chances that a Fund will lose money.","page_number":65,"box":{"x":69,"y":612,"width":738,"height":11}},{"id":"00641722-0cbf-49c0-a934-c6c65d479635","block_type":"box","text":"Securities issued by cer tain companies organized outside the United States may not be deemed to be foreign","page_number":65,"box":{"x":102,"y":634,"width":782,"height":12}},{"id":"c3cdf8d9-1276-40eb-952e-8774ffac6259","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":65,"box":{"x":69,"y":649,"width":824,"height":12}},{"id":"821cf424-b7b8-4d38-8c9d-ac43d033d143","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":65,"box":{"x":70,"y":665,"width":771,"height":11}},{"id":"5ca38f87-32bb-44a1-a579-fb753456e947","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":65,"box":{"x":69,"y":680,"width":792,"height":11}},{"id":"69bebe75-27da-4891-9d54-dff2252d4f9d","block_type":"box","text":"benchmark index.","page_number":65,"box":{"x":69,"y":695,"width":124,"height":9}},{"id":"855bafbe-4b38-4408-adb0-a41c6e6e0f98","block_type":"box","text":"In addition to equity securities, foreign investments of the Funds may include: (a) debt obligations issued or","page_number":65,"box":{"x":102,"y":717,"width":767,"height":12}},{"id":"7ba14a7c-74c9-45aa-ae56-35d00d8145ee","block_type":"box","text":"guaranteed by foreign sovereign governments or their agencies, authorities, instrumentalities or political","page_number":65,"box":{"x":68,"y":732,"width":742,"height":12}},{"id":"6e13c900-26e8-4a18-bc60-d1f7608831d3","block_type":"box","text":"subdivisions, including a foreign state, province or municipality; (b) debt obligations of supranational organizations;","page_number":65,"box":{"x":69,"y":748,"width":818,"height":11}},{"id":"4a488575-107b-450c-82ad-a45a726953bd","block_type":"box","text":"(c) debt obligations of foreign banks and bank holding companies; (d) debt obligations of domestic banks and","page_number":65,"box":{"x":69,"y":763,"width":780,"height":11}},{"id":"14ccee16-9c89-453d-99c4-af017fc814ec","block_type":"box","text":"corporations issued in foreign currencies; (e) debt obligations denominated in the Euro; and (f) foreign corporate debt","page_number":65,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"964abaa9-96e4-436f-818f-95cdf3f28918","block_type":"box","text":"securities and commercial paper. Such securities may include loan par ticipations and assignments, conver tible","page_number":65,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"f9a59d3a-53f9-4e41-a2c2-aec4392f3065","block_type":"box","text":"securities and zero-coupon securities.","page_number":65,"box":{"x":69,"y":808,"width":268,"height":11}},{"id":"83f7cb40-461d-4ac7-9fa2-1d3017e68f74","block_type":"box","text":"Dividends or interest on, or proceeds from the sale of, foreign securities may be subject to foreign withholding","page_number":65,"box":{"x":102,"y":831,"width":785,"height":11}},{"id":"5234c571-4579-4130-9f47-977584f25bf9","block_type":"box","text":"taxes.","page_number":65,"box":{"x":68,"y":847,"width":42,"height":8}},{"id":"d6d31929-a533-4bea-b7bb-54f1ea7ed98d","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":65,"box":{"x":101,"y":869,"width":798,"height":11}},{"id":"fb4a8974-b12f-4f32-a760-16afbbedd53a","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":65,"box":{"x":68,"y":884,"width":815,"height":11}},{"id":"fa05a474-87ef-444a-b59c-961159032011","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":65,"box":{"x":70,"y":899,"width":792,"height":11}},{"id":"5219a586-aa47-4586-99cf-e989857016a3","block_type":"box","text":"II-28","page_number":65,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ace42243-ff5a-498a-b8f9-b75164416578","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":65,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"00d58b96-cc6c-42a2-b8cb-033b96612a29","block_type":"box","text":"underlying security (","page_number":66,"box":{"x":69,"y":45,"width":140,"height":11}},{"id":"8eb1f77e-cf87-4eb3-9e62-ed00a11dbfad","block_type":"box","text":"i.e.","page_number":66,"box":{"x":211,"y":45,"width":20,"height":9}},{"id":"6099cdf4-7977-424b-b6e4-2846bcbae2f1","block_type":"box","text":", the Fund’s quote from the closed foreign market). The impact of a closed foreign market on a","page_number":66,"box":{"x":234,"y":45,"width":675,"height":11}},{"id":"5468cb65-d436-4f41-8d93-766d7fed894b","block_type":"box","text":"Fund is likely to be greater where a large por tion of the Fund’s underlying securities or other instruments trade on","page_number":66,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"da903cef-db37-472b-b1f7-69664def89df","block_type":"box","text":"that closed foreign market or when the foreign market is closed for unscheduled reasons. These deviations may","page_number":66,"box":{"x":68,"y":75,"width":800,"height":11}},{"id":"900a7313-60f7-4cbb-a8ad-504be98532db","block_type":"box","text":"result in premiums or discounts to cer tain Funds’ NAVs that may be greater than those experienced by other ETFs.","page_number":66,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"9e536e5d-ac93-4c4e-9ef3-3e6434ad73ab","block_type":"box","text":"Foreign Market Risk.","page_number":66,"box":{"x":102,"y":113,"width":144,"height":11}},{"id":"9647033a-46bf-452c-a001-4d6395faeb7b","block_type":"box","text":"Funds that may invest in foreign securities offer the potential for more diversification than a","page_number":66,"box":{"x":254,"y":113,"width":652,"height":11}},{"id":"554a9f99-fa1b-400c-a3f3-0d3b2784c1e9","block_type":"box","text":"Fund that invests only in the United States because securities traded on foreign markets have often (though not","page_number":66,"box":{"x":70,"y":128,"width":797,"height":11}},{"id":"94dc757c-2382-4194-a49d-129995ac1751","block_type":"box","text":"always) per formed differently from securities traded in the United States. However, such investments often involve","page_number":66,"box":{"x":69,"y":143,"width":817,"height":11}},{"id":"e3adad38-2933-4482-b621-e0a78a6fa41a","block_type":"box","text":"risks not present in U.S. investments that can increase the chances that a Fund will lose money. In par ticular, a Fund","page_number":66,"box":{"x":69,"y":158,"width":836,"height":11}},{"id":"1df06a9a-c053-4620-a9ab-07adce50814e","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":66,"box":{"x":70,"y":173,"width":835,"height":11}},{"id":"221c0bd3-3236-4b21-aa29-d83a14f5336d","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":66,"box":{"x":69,"y":188,"width":810,"height":12}},{"id":"dea3097d-b34c-4db3-b0b2-c8f4401154d5","block_type":"box","text":"prices of foreign securities may fluctuate more than prices of securities traded in the United States. Investments in","page_number":66,"box":{"x":70,"y":203,"width":820,"height":12}},{"id":"51a5b53f-6a84-4626-85ea-fef3a16aab7b","block_type":"box","text":"foreign markets may also be adversely affected by governmental actions such as the imposition of punitive taxes or","page_number":66,"box":{"x":68,"y":218,"width":826,"height":12}},{"id":"a0c52e2f-eeec-4f94-bd54-554e5472dcf2","block_type":"box","text":"tariffs. In addition, economic conditions, such as volatile currency exchange rates and interest rates, political events,","page_number":66,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"331db8e6-aa21-4d98-b779-e9737b2b40a8","block_type":"box","text":"military action and other conditions may, without prior warning, lead to the governments of cer tain countries, or the","page_number":66,"box":{"x":69,"y":249,"width":821,"height":11}},{"id":"4b532dd6-a92d-4246-a9b0-934b23d457e4","block_type":"box","text":"U.S. Government with respect to cer tain countries, prohibiting or imposing substantial restrictions through capital","page_number":66,"box":{"x":70,"y":264,"width":807,"height":11}},{"id":"30cf31e9-a2d5-4efa-ab84-2eba9014c39d","block_type":"box","text":"controls and/or sanctions on foreign investing in the capital markets or cer tain industries in those countries. Capital","page_number":66,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"ee46cb0c-0482-4244-af4f-2eef5e253c24","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":66,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"78a6acd8-bc9c-41b2-b0d9-75bd074cc45b","block_type":"box","text":"securities, derivatives or other assets and may also include retaliatory actions of one government against another","page_number":66,"box":{"x":69,"y":309,"width":813,"height":11}},{"id":"1bbef293-0caf-4f55-83ad-5cb6e5e0a706","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":66,"box":{"x":68,"y":324,"width":828,"height":12}},{"id":"5ceced75-c54a-441b-9743-b60b1933bd25","block_type":"box","text":"transfer, receive, deliver or otherwise obtain exposure to foreign securities and assets, including the ability to","page_number":66,"box":{"x":68,"y":339,"width":782,"height":12}},{"id":"75d9a83e-29cd-4aa5-8651-4b07ff329652","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":66,"box":{"x":68,"y":355,"width":796,"height":11}},{"id":"16fe8325-347e-4655-807a-3cb50a0a12be","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":66,"box":{"x":70,"y":370,"width":837,"height":11}},{"id":"7257c837-72b5-4117-b025-f93f46ac76b9","block_type":"box","text":"potential foreign market risks include exchange controls, difficulties in pricing securities, defaults on foreign","page_number":66,"box":{"x":70,"y":385,"width":768,"height":11}},{"id":"15088fe7-2667-4a0a-af31-74f66458b9b6","block_type":"box","text":"government securities, difficulties in enforcing favorable legal judgments in foreign cour ts, and political and social","page_number":66,"box":{"x":68,"y":400,"width":813,"height":11}},{"id":"aaec3ddc-46df-4832-944a-4d59ea12e575","block_type":"box","text":"conditions, such as diplomatic relations, confiscatory taxation, expropriation, limitation on the removal of funds or","page_number":66,"box":{"x":69,"y":415,"width":814,"height":11}},{"id":"344a3ea4-4fee-47ee-84c6-9acecaa524f6","block_type":"box","text":"assets, or imposition of (or change in) exchange control regulations. Legal remedies available to investors in cer tain","page_number":66,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"dc08ce85-8ff1-4219-b642-1c4258c3e281","block_type":"box","text":"foreign countries may be less extensive than those available to investors in the United States or other foreign","page_number":66,"box":{"x":68,"y":445,"width":782,"height":12}},{"id":"d4a35c7c-f6de-4b1c-bd94-fc8e2de0d709","block_type":"box","text":"countries. In addition, changes in government administrations or economic or monetary policies in the United States","page_number":66,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"abb3352a-0644-4bf8-9adc-8cca12bc5d67","block_type":"box","text":"or abroad could result in appreciation or depreciation of por tfolio securities and could favorably or adversely affect a","page_number":66,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"63a5766b-2b19-4447-a5e8-1341b453c042","block_type":"box","text":"Fund’s operations.","page_number":66,"box":{"x":70,"y":491,"width":130,"height":11}},{"id":"503ea204-19cc-4cbb-bd20-833cb0631813","block_type":"box","text":"Foreign Economy Risk.","page_number":66,"box":{"x":102,"y":514,"width":158,"height":11}},{"id":"0dbe106d-9280-48e0-917a-f7c5a1fb1203","block_type":"box","text":"The economies of cer tain foreign markets often do not compare favorably with that of the","page_number":66,"box":{"x":267,"y":513,"width":636,"height":12}},{"id":"9d9a9b39-70cd-48ea-996a-c769348219ae","block_type":"box","text":"United States with respect to such issues as growth of gross national product, reinvestment of capital, resources,","page_number":66,"box":{"x":70,"y":528,"width":812,"height":12}},{"id":"56a06a9a-a4ba-43ce-ab3a-51f79216a875","block_type":"box","text":"and balance of payments position. Cer tain such economies may rely heavily on par ticular industries or foreign capital","page_number":66,"box":{"x":69,"y":543,"width":835,"height":12}},{"id":"f176d384-4704-40f8-8795-ddb81dff983e","block_type":"box","text":"and are more vulnerable to diplomatic developments, the imposition of economic sanctions against a par ticular","page_number":66,"box":{"x":69,"y":559,"width":795,"height":11}},{"id":"e39b4a07-4179-4fe7-9f01-9d71e8971e85","block_type":"box","text":"country or countries, changes in international trading patterns, trade barriers, and other protectionist or retaliatory","page_number":66,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"b4db70d1-4293-42eb-b13d-5cd102bb2fb4","block_type":"box","text":"measures.","page_number":66,"box":{"x":69,"y":591,"width":74,"height":7}},{"id":"f88b58f8-dac0-4bc8-81ef-a2bf41fedbe0","block_type":"box","text":"Currency Risk and Exchange Risk.","page_number":66,"box":{"x":102,"y":612,"width":240,"height":11}},{"id":"a6502a6c-caf5-48e2-9f0c-2965901f1d81","block_type":"box","text":"Because foreign securities generally are denominated and pay dividends or","page_number":66,"box":{"x":349,"y":612,"width":534,"height":11}},{"id":"a8ea4ef7-f5e7-46b9-93b4-925b9d002995","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":66,"box":{"x":70,"y":627,"width":838,"height":11}},{"id":"67c4e490-6bfe-4939-83f9-dfe6866090bb","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":66,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"7d1e4966-783e-4f61-bce0-b928e9d302d6","block_type":"box","text":"a foreign currency, a security denominated in that currency loses value because the currency is wor th fewer U.S.","page_number":66,"box":{"x":69,"y":657,"width":801,"height":11}},{"id":"df4e0726-3d6c-40b9-b0f6-0fb722d522f3","block_type":"box","text":"dollars. Conversely, when the U.S. dollar decreases in value against a foreign currency, a security denominated in","page_number":66,"box":{"x":69,"y":672,"width":808,"height":11}},{"id":"5a2faa83-5fd2-4cd3-990d-0b049f84ecd8","block_type":"box","text":"that currency gains value because the currency is wor th more U.S. dollars. This risk, generally known as “currency","page_number":66,"box":{"x":68,"y":687,"width":816,"height":11}},{"id":"18eacb8f-5f2d-4df6-bc86-37e4f002735b","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":66,"box":{"x":69,"y":702,"width":814,"height":12}},{"id":"6aec56e6-fc93-4a9c-b3a0-19a16acaed02","block_type":"box","text":"those returns. Currency exchange rates can also be affected unpredictably by intervention by U.S. or foreign","page_number":66,"box":{"x":68,"y":717,"width":771,"height":12}},{"id":"ae918fe2-4422-4ceb-8897-84f41793d898","block_type":"box","text":"governments or central banks, or the failure to intervene, or buy currency controls or political developments in the","page_number":66,"box":{"x":68,"y":732,"width":813,"height":12}},{"id":"02346045-d804-4b07-9389-5cd6c44cde4d","block_type":"box","text":"United States or abroad.","page_number":66,"box":{"x":70,"y":748,"width":172,"height":9}},{"id":"dd9dbccf-48f3-48c9-924b-fba85136be2e","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards.","page_number":66,"box":{"x":102,"y":770,"width":466,"height":12}},{"id":"3146d68b-2e65-4a12-82a0-dd748a540da9","block_type":"box","text":"Many foreign governments supervise and","page_number":66,"box":{"x":575,"y":770,"width":293,"height":12}},{"id":"88f81368-4759-4eab-903f-4a809701a5cb","block_type":"box","text":"regulate stock exchanges, brokers and the sale of securities less than does the United States. Some countries may","page_number":66,"box":{"x":69,"y":785,"width":828,"height":12}},{"id":"a04c0773-0ae5-4002-a910-0fefa79e79ed","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":66,"box":{"x":69,"y":801,"width":826,"height":11}},{"id":"44628c16-8767-438d-91f7-2602eb9b3933","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":66,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"d5c7b6cd-9a23-49cc-b82a-3efcddc69583","block_type":"box","text":"securities based on nonpublic information about that company. Accounting standards in other countries are not","page_number":66,"box":{"x":69,"y":831,"width":794,"height":11}},{"id":"7d3020b2-760a-494b-b1e9-cb9902c72f44","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":66,"box":{"x":69,"y":846,"width":831,"height":11}},{"id":"54b7b624-bcac-4b56-9b2c-10267d8e0070","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":66,"box":{"x":69,"y":861,"width":840,"height":11}},{"id":"bd64676c-977a-4d06-9b27-6a8f0478a12d","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":66,"box":{"x":69,"y":876,"width":760,"height":11}},{"id":"38bb13c7-aa57-4ea7-bf8e-45ca0d4a27dc","block_type":"box","text":"restrictions, through penalties and otherwise, on foreign investments by U.S. investors such as the Fund. If such","page_number":66,"box":{"x":69,"y":891,"width":803,"height":12}},{"id":"218c4181-2b60-432e-9e0d-c0d937a79035","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":66,"box":{"x":69,"y":906,"width":798,"height":12}},{"id":"1513cc07-b482-4719-b335-032d9242e499","block_type":"box","text":"II-29","page_number":66,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"72015837-3917-4696-b145-59facfd8c4e4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":66,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e1af0771-390e-4ae2-8876-e348f2b318b4","block_type":"box","text":"assets in U.S. securities. Also, brokerage commissions and other costs of buying or selling securities often are","page_number":67,"box":{"x":69,"y":45,"width":793,"height":11}},{"id":"6c608e81-6422-4e39-92b0-d6e10337bac1","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":67,"box":{"x":69,"y":60,"width":797,"height":11}},{"id":"93a30f2d-c52f-4f73-97f6-3d9c3c9db181","block_type":"box","text":"investments.","page_number":67,"box":{"x":70,"y":75,"width":89,"height":9}},{"id":"3eb84dfb-2363-4f58-a7ea-4dd578c5f16f","block_type":"box","text":"Cer tain Risks of Holding Fund Assets Outside the United States.","page_number":67,"box":{"x":102,"y":98,"width":458,"height":11}},{"id":"84b02e08-2580-45d8-a7b1-ceea22d3b48c","block_type":"box","text":"A Fund generally holds its foreign securities and","page_number":67,"box":{"x":566,"y":98,"width":341,"height":11}},{"id":"97ed9d90-0d65-4e95-9a56-e7efcdcd7fce","block_type":"box","text":"cash in foreign banks and securities depositories. Some foreign banks and securities depositories may be recently","page_number":67,"box":{"x":69,"y":113,"width":819,"height":11}},{"id":"86426592-9a8a-48cf-b381-452b56844434","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":67,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"72815e4f-32f0-4531-be38-968a21ad7520","block_type":"box","text":"their operations. Also, the laws of cer tain countries may put limits on a Fund’s ability to recover its assets if a foreign","page_number":67,"box":{"x":68,"y":143,"width":838,"height":11}},{"id":"9b043410-6dc4-415b-a7f1-e142eff6625d","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":67,"box":{"x":69,"y":158,"width":835,"height":11}},{"id":"79b8aceb-b1e6-42dd-b22e-316fb615403b","block_type":"box","text":"for a Fund to buy, sell and hold securities in cer tain foreign markets than in the United States. The increased","page_number":67,"box":{"x":68,"y":173,"width":777,"height":11}},{"id":"2658a8f0-d6aa-46e4-b753-bd2414fcfc25","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":67,"box":{"x":69,"y":188,"width":831,"height":12}},{"id":"474b2380-04a1-42f9-9681-c100340a400b","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":67,"box":{"x":70,"y":203,"width":828,"height":12}},{"id":"1fb20078-04ca-46f7-966e-3de76e1d5ffb","block_type":"box","text":"States.","page_number":67,"box":{"x":69,"y":219,"width":49,"height":8}},{"id":"486e9ae1-8dac-484d-a9ab-907f8a630576","block_type":"box","text":"Publicly Available Information.","page_number":67,"box":{"x":102,"y":241,"width":210,"height":11}},{"id":"efa25a4d-d7a6-460f-b977-03ee82c62b15","block_type":"box","text":"In general, less information is publicly available with respect to foreign issuers","page_number":67,"box":{"x":319,"y":241,"width":558,"height":11}},{"id":"07c0eba6-72b4-424b-a1a3-6d097b126ebd","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":67,"box":{"x":68,"y":256,"width":779,"height":12}},{"id":"5600eac9-0aae-4ca1-a752-0c85556f7888","block_type":"box","text":"accounting and financial repor ting requirements applicable to issuers in the United States. While the volume of","page_number":67,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"e903363c-589d-4303-9206-790f94c662a0","block_type":"box","text":"transactions effected on foreign stock exchanges has increased in recent years, it remains appreciably below that of","page_number":67,"box":{"x":68,"y":286,"width":834,"height":12}},{"id":"9d8a5b63-c4ac-4b83-aac7-94b2003cb6ff","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":67,"box":{"x":68,"y":302,"width":841,"height":11}},{"id":"272bae82-d3bb-42b7-b493-71844ba0731c","block_type":"box","text":"be more volatile than, comparable investments in securities in U.S. companies. In addition, there is generally less","page_number":67,"box":{"x":69,"y":317,"width":813,"height":11}},{"id":"26296544-5744-4b7e-b68c-0073db721561","block_type":"box","text":"government supervision and regulation of securities exchanges, brokers and issuers in foreign countries than in the","page_number":67,"box":{"x":68,"y":332,"width":827,"height":11}},{"id":"0d555c9b-cd94-47a2-b52d-972ffdcffda0","block_type":"box","text":"United States.","page_number":67,"box":{"x":70,"y":347,"width":99,"height":9}},{"id":"28390aad-3197-4928-ae5a-6ffdf935518b","block_type":"box","text":"Settlement Risk.","page_number":67,"box":{"x":102,"y":370,"width":116,"height":9}},{"id":"3f96fe37-b0cd-4efb-99a1-4e5b7b32ab07","block_type":"box","text":"Settlement and clearance procedures in cer tain foreign markets differ significantly from those","page_number":67,"box":{"x":225,"y":370,"width":669,"height":11}},{"id":"fe7094de-3514-4d3b-ae17-230391f840d3","block_type":"box","text":"in the United States. Supervisory authorities may also be unable to apply standards which are comparable with those","page_number":67,"box":{"x":70,"y":385,"width":837,"height":11}},{"id":"642506d0-ba59-47e5-b37b-ca46119a1961","block_type":"box","text":"in the United States. Foreign settlement procedures and trade regulations also may involve cer tain risks (such as","page_number":67,"box":{"x":70,"y":400,"width":808,"height":11}},{"id":"ce98c823-dc75-4b51-8f17-e37e49312d3c","block_type":"box","text":"delays in payment for or delivery of securities) not typically generated by the settlement of U.S. investments.","page_number":67,"box":{"x":69,"y":415,"width":772,"height":11}},{"id":"8a204536-8492-4a26-97e5-d470728d6a94","block_type":"box","text":"Communications between the United States and emerging market countries may be unreliable, increasing the","page_number":67,"box":{"x":102,"y":438,"width":781,"height":11}},{"id":"7e9b4b24-5dad-4e3b-a67f-5ab81426e585","block_type":"box","text":"risk of delayed settlements or losses of security cer tificates in markets that still rely on physical settlement.","page_number":67,"box":{"x":69,"y":453,"width":771,"height":11}},{"id":"b869c852-7746-4c29-8064-540aaa2a457f","block_type":"box","text":"Settlements in cer tain foreign countries at times have not kept pace with the number of securities transactions;","page_number":67,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"5d6ae398-caf3-4795-8fc2-9510334f9988","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":67,"box":{"x":68,"y":483,"width":802,"height":11}},{"id":"a153f994-29db-437d-9290-552344910135","block_type":"box","text":"settling a purchase of securities, it may miss attractive investment oppor tunities and cer tain of its assets may be","page_number":67,"box":{"x":69,"y":498,"width":812,"height":11}},{"id":"1fb35726-4e1f-492f-94de-17c83b13d276","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":67,"box":{"x":69,"y":513,"width":821,"height":12}},{"id":"b0e40941-d115-4f09-a07c-eec1b0cd3472","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":67,"box":{"x":69,"y":528,"width":816,"height":12}},{"id":"cdd7cae7-807f-4e4c-bee5-6e9c46498c18","block_type":"box","text":"another par ty, the Fund could be liable to that par ty for any losses incurred.","page_number":67,"box":{"x":69,"y":543,"width":539,"height":12}},{"id":"2e5b13a2-fca5-4fdc-bef1-affb63f794c4","block_type":"box","text":"Because of uncer tainties in the operation of settlement systems in individual markets, competing claims may","page_number":67,"box":{"x":102,"y":566,"width":781,"height":11}},{"id":"a93c8264-a406-4b8b-b7de-15201065f2d9","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":67,"box":{"x":69,"y":581,"width":810,"height":11}},{"id":"69d34684-e44e-49d3-86d0-8d81491de3bc","block_type":"box","text":"otherwise be limited or inadequate to meet the Fund’s claims in case of such event.","page_number":67,"box":{"x":69,"y":596,"width":601,"height":11}},{"id":"e63d2b41-cd88-4d8b-9543-80af50255cab","block_type":"box","text":"Sovereign Debt.","page_number":67,"box":{"x":102,"y":619,"width":111,"height":11}},{"id":"c4254949-9652-46cc-9511-c01c5fb79856","block_type":"box","text":"Investment in sovereign debt can involve a high degree of risk. The governmental entity that","page_number":67,"box":{"x":221,"y":619,"width":653,"height":11}},{"id":"61894534-0a7b-4b53-ba23-9d42f6fe9bb9","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":67,"box":{"x":69,"y":634,"width":837,"height":12}},{"id":"2faa3631-f9b2-4016-b9a3-54a5102245c2","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":67,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"fa43619a-17e6-47ae-ad58-c713544220c9","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":67,"box":{"x":69,"y":664,"width":798,"height":12}},{"id":"4a3d0728-cdb1-402f-9e20-9b8b663078f1","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":67,"box":{"x":69,"y":680,"width":809,"height":11}},{"id":"49b363aa-4f75-4dc1-a25a-1e25a434b90e","block_type":"box","text":"service burden to the economy as a whole, the governmental entity’s policy towards the International Monetary Fund","page_number":67,"box":{"x":69,"y":695,"width":832,"height":11}},{"id":"98d6aba8-902b-4345-8963-eab5e9394a93","block_type":"box","text":"and the political constraints to which a governmental entity may be subject. Governmental entities may also be","page_number":67,"box":{"x":69,"y":710,"width":790,"height":11}},{"id":"37553250-02bc-48af-88a4-1f15f2dbe134","block_type":"box","text":"dependent on expected disbursements from foreign governments, multilateral agencies and others abroad to reduce","page_number":67,"box":{"x":69,"y":725,"width":831,"height":11}},{"id":"dbf6d5d7-f5c8-4892-b60d-60bc03160519","block_type":"box","text":"principal and interest arrearages on their debt. The commitment on the par t of these governments, agencies and","page_number":67,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"a35fae38-5d9e-49b4-9fa4-aa4c87b7a8ce","block_type":"box","text":"others to make such disbursements may be conditioned on the implementation of economic reforms and/or","page_number":67,"box":{"x":69,"y":755,"width":772,"height":11}},{"id":"dbc5bffc-1438-4a3d-ba50-d887e50d1aec","block_type":"box","text":"economic per formance and the timely service of such debtor’s obligations. Failure to implement such reforms,","page_number":67,"box":{"x":69,"y":770,"width":789,"height":12}},{"id":"73768acc-1e19-4a25-aa53-68c2ce53eb48","block_type":"box","text":"achieve such levels of economic per formance or repay principal or interest when due may result in the cancellation of","page_number":67,"box":{"x":69,"y":785,"width":839,"height":12}},{"id":"35c56a55-eada-4b87-abc9-43953c17ec87","block_type":"box","text":"such third par ties’ commitments to lend funds to the governmental entity, which may fur ther impair such debtor’s","page_number":67,"box":{"x":69,"y":801,"width":810,"height":11}},{"id":"9af669f0-9a78-417c-8877-eabbcd997821","block_type":"box","text":"ability or willingness to timely service its debts. Consequently, governmental entities may default on their sovereign","page_number":67,"box":{"x":69,"y":816,"width":821,"height":11}},{"id":"f4334e38-d7c8-4110-a35c-aaa7cacde36e","block_type":"box","text":"debt.","page_number":67,"box":{"x":69,"y":831,"width":34,"height":9}},{"id":"85895e8a-20fd-4e18-81d9-f89a103678f9","block_type":"box","text":"Holders of sovereign debt may be requested to par ticipate in the rescheduling of such debt and to extend fur ther","page_number":67,"box":{"x":102,"y":853,"width":807,"height":12}},{"id":"daa0adc8-45af-4ae8-a8ed-d9c21868da09","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":67,"box":{"x":70,"y":869,"width":814,"height":11}},{"id":"143ab8e2-0e7a-477b-b37f-7ed1bf5a8c73","block_type":"box","text":"legal remedies for collecting on such debt.","page_number":67,"box":{"x":70,"y":884,"width":300,"height":11}},{"id":"8185574c-3deb-40b6-88d6-0f6f7e9d9a43","block_type":"box","text":"II-30","page_number":67,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0d672bad-e8b6-4592-a2cb-f79b7ce34e1e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":67,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6cd794f3-0d6d-4152-bfd0-eceed420777c","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":68,"box":{"x":103,"y":45,"width":215,"height":11}},{"id":"7d09b215-1595-4e92-af7b-99620c5c8404","block_type":"box","text":". A Fund may file claims to recover foreign withholding taxes on dividend and","page_number":68,"box":{"x":318,"y":45,"width":542,"height":11}},{"id":"62359048-9f3b-44fb-bfcc-cbecb35a56c5","block_type":"box","text":"interest income (if any) received from issuers in cer tain countries and capital gains on the disposition of stocks or","page_number":68,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"bceded9f-88e0-4668-a21c-3b81421eabbb","block_type":"box","text":"securities where such withholding tax reclaim is possible. Whether or when a Fund will receive a withholding tax","page_number":68,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"bae161ce-77e7-4b5b-a781-1d5f80cf02d5","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":68,"box":{"x":69,"y":90,"width":799,"height":11}},{"id":"2243fdd0-bd80-4e3d-baf7-e4fd5bc1ee85","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":68,"box":{"x":68,"y":105,"width":838,"height":11}},{"id":"8756b35b-f92c-4fc8-8f0a-a47e1434eb53","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":68,"box":{"x":68,"y":120,"width":807,"height":12}},{"id":"7ed11ef8-2548-41f6-bbaa-7029078332ef","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":68,"box":{"x":69,"y":135,"width":814,"height":12}},{"id":"4bcd2284-ae1d-4ef5-bd05-06dfbd5a6798","block_type":"box","text":"down par tially or in full, which will adversely affect the Fund’s net asset value. Shareholders in a Fund at the time an","page_number":68,"box":{"x":69,"y":150,"width":831,"height":12}},{"id":"f6235291-eaa7-4266-b55f-e0135a2d2fec","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":68,"box":{"x":69,"y":166,"width":819,"height":11}},{"id":"f00ac5e1-d3ca-4965-b6e5-fa400e9cfd9d","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":68,"box":{"x":68,"y":181,"width":833,"height":11}},{"id":"1eaed9e5-2b28-4e80-9b05-9d218830c306","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":68,"box":{"x":69,"y":196,"width":814,"height":11}},{"id":"62ac63d8-3645-4ffc-a901-01e274635314","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":68,"box":{"x":68,"y":211,"width":835,"height":11}},{"id":"ce377ca4-2c44-46e4-9509-fd89c9e4331b","block_type":"box","text":"in the Fund’s net asset value.","page_number":68,"box":{"x":70,"y":226,"width":209,"height":9}},{"id":"22c3b9ec-2c1f-48f0-8ffe-031e100bff2d","block_type":"box","text":"U.S. Economic Trading Par tners Risk.","page_number":68,"box":{"x":103,"y":249,"width":263,"height":11}},{"id":"08d128c1-a614-497b-84ff-c1d66e4a4462","block_type":"box","text":"The United States is a significant, and in some cases the most significant,","page_number":68,"box":{"x":372,"y":249,"width":532,"height":11}},{"id":"1ccbda5a-ff4c-4518-b996-b862720b5983","block_type":"box","text":"trading par tner of, or foreign investor in, cer tain countries in which a Fund may invest. As a result, economic","page_number":68,"box":{"x":68,"y":264,"width":773,"height":11}},{"id":"12785ae1-c86d-474d-a74f-d257916e70e8","block_type":"box","text":"conditions of such countries may be par ticularly affected by changes in the U.S. economy. A decrease in U.S. impor ts","page_number":68,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"5ecbf1d4-1081-46c8-8ae5-120d9d584caf","block_type":"box","text":"or expor ts, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or an economic","page_number":68,"box":{"x":69,"y":294,"width":812,"height":11}},{"id":"44dff593-2d00-4a5f-befc-3327f6c4efa5","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":68,"box":{"x":69,"y":309,"width":803,"height":11}},{"id":"2192dded-d093-4d39-9c7d-3d9f839f9c75","block_type":"box","text":"result, securities to which the Fund has exposure. Circumstances could arise that could prevent the timely payment","page_number":68,"box":{"x":69,"y":324,"width":824,"height":11}},{"id":"041a80b5-ff5c-4bf2-870f-147d8c6bbfb3","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":68,"box":{"x":69,"y":339,"width":819,"height":12}},{"id":"7d1f8ddf-1829-49e8-b4c0-a68edbbba66d","block_type":"box","text":"would result in substantial negative consequences for the U.S. economy and the global financial system.","page_number":68,"box":{"x":68,"y":355,"width":746,"height":11}},{"id":"2bb1a963-8dde-49e2-8730-fd0d35df42a2","block_type":"box","text":"There are strained relations between the United States and a number of foreign countries, including traditional","page_number":68,"box":{"x":101,"y":377,"width":787,"height":12}},{"id":"41b78e36-6d04-4592-bc5f-0c42e687aede","block_type":"box","text":"allies, such as cer tain European countries, and historical adversaries, such as Nor th Korea, Iran, China and Russia.","page_number":68,"box":{"x":69,"y":392,"width":827,"height":11}},{"id":"c8df625f-4a45-434d-ae9c-7c38f798f266","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":68,"box":{"x":70,"y":407,"width":817,"height":12}},{"id":"9c2127e2-64e1-41f6-aaa9-f897597ada92","block_type":"box","text":"United States for trade. The United States has also experienced increased internal unrest and discord. If these","page_number":68,"box":{"x":70,"y":423,"width":791,"height":11}},{"id":"d4bc083e-426f-46f6-80eb-800fa8ffea5a","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":68,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"275336f4-2c0a-4af5-a75e-540541d93189","block_type":"box","text":"Fund may invest.","page_number":68,"box":{"x":70,"y":453,"width":117,"height":11}},{"id":"7462d976-16fb-4ac3-ba91-7b8c87da612a","block_type":"box","text":"Funding Agreements.","page_number":68,"box":{"x":102,"y":476,"width":154,"height":11}},{"id":"1e7107aa-53b9-4cbc-8187-5ef8f88c07b3","block_type":"box","text":"Cer tain Funds may invest in Guaranteed Investment Contracts and similar funding","page_number":68,"box":{"x":262,"y":475,"width":584,"height":12}},{"id":"866a269f-0a1e-4859-9aa7-c21de4067d08","block_type":"box","text":"agreements. In connection with these investments, a Fund makes cash contributions to a deposit fund of an","page_number":68,"box":{"x":69,"y":491,"width":773,"height":11}},{"id":"675142d6-fc6d-448a-a6ec-831b0498fc52","block_type":"box","text":"insurance company’s general account. The insurance company then credits to the Fund on a monthly basis","page_number":68,"box":{"x":70,"y":506,"width":761,"height":11}},{"id":"e596c839-e6b3-40ec-b7fd-6f82ba41fc5c","block_type":"box","text":"guaranteed interest, which is based on an index. The funding agreements provide that this guaranteed interest will","page_number":68,"box":{"x":68,"y":521,"width":817,"height":11}},{"id":"e4ff73dd-12b1-4208-89ec-7edb70423408","block_type":"box","text":"not be less than a cer tain minimum rate. The purchase price paid for a funding agreement becomes par t of the","page_number":68,"box":{"x":69,"y":536,"width":794,"height":11}},{"id":"5ddfd528-4c70-4dd7-ad65-bed03dea87d8","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":68,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"0a4ad056-51d6-4a64-8720-c50668c9783b","block_type":"box","text":"Generally, funding agreements are not assignable or transferable without the permission of the issuing insurance","page_number":68,"box":{"x":69,"y":566,"width":806,"height":11}},{"id":"002f35a6-6d3a-4ee9-af26-b1697c7b63b0","block_type":"box","text":"companies, and an active secondary market in some funding agreements does not currently exist.","page_number":68,"box":{"x":69,"y":581,"width":700,"height":12}},{"id":"8ffb6fe3-693e-43ba-9719-8cf437220f06","block_type":"box","text":"Guarantees.","page_number":68,"box":{"x":102,"y":604,"width":87,"height":9}},{"id":"1ac10ca0-5cbf-43ea-9527-1faa4f75457b","block_type":"box","text":"A Fund may purchase securities which contain guarantees issued by an entity separate from the","page_number":68,"box":{"x":194,"y":604,"width":685,"height":11}},{"id":"c426c3ee-ff03-4f8b-87cb-fad2e92e9b52","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":68,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"f1b3fa34-8e79-41e6-b41d-6dbbb4d3e4ca","block_type":"box","text":"payment obligations under a security if the issuer is unable to do so.","page_number":68,"box":{"x":70,"y":634,"width":488,"height":12}},{"id":"38d7906f-30aa-484c-8e93-bbff331c9755","block_type":"box","text":"Illiquid Investments.","page_number":68,"box":{"x":102,"y":657,"width":146,"height":11}},{"id":"6d7fcc52-3b34-4204-97b9-33a17a304e93","block_type":"box","text":"Each Fund may not acquire any illiquid investment if, immediately after the acquisition, a","page_number":68,"box":{"x":255,"y":657,"width":630,"height":11}},{"id":"b57708a1-a815-4d53-b349-7d5b00aae737","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":68,"box":{"x":70,"y":672,"width":787,"height":11}},{"id":"62cdb52a-43ba-47bd-8c76-9f2426355489","block_type":"box","text":"investment that a Fund reasonably expects cannot be sold or disposed of in current market conditions in seven","page_number":68,"box":{"x":70,"y":687,"width":792,"height":11}},{"id":"290f09d9-e932-438b-a18b-442f9f4aedaf","block_type":"box","text":"calendar days or less without the sale or disposition significantly changing the market value of the investment. Liquid","page_number":68,"box":{"x":69,"y":702,"width":834,"height":12}},{"id":"8b7281d3-dafa-4981-8e6b-0ba20f457b4e","block_type":"box","text":"investments may become illiquid after purchase by a Fund, par ticularly during periods of market turmoil. There can be","page_number":68,"box":{"x":70,"y":717,"width":838,"height":12}},{"id":"98566711-59e3-4586-b03e-b400f7e8c170","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":68,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"ff162a13-24e5-4fa4-9c18-2816b6b24593","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":68,"box":{"x":69,"y":748,"width":838,"height":11}},{"id":"b335289a-90f1-49d6-8ce7-48f4c7616b21","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":68,"box":{"x":70,"y":763,"width":816,"height":11}},{"id":"461411ff-1aa8-4cf9-8aca-907207516cb7","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":68,"box":{"x":68,"y":778,"width":832,"height":11}},{"id":"55ae7f44-57b6-4a2c-a2d9-6247b7bcd04c","block_type":"box","text":"Fund is limited in its ability to dispose of illiquid investments during periods when shareholders are redeeming or","page_number":68,"box":{"x":70,"y":793,"width":803,"height":11}},{"id":"944d3b8d-8445-45b1-b27b-b73a412141a2","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":68,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"20e4196c-f828-4b07-b364-7465e71b7f8e","block_type":"box","text":"meet redemption requests and illiquid securities will become a larger por tion of the Fund’s holdings. If illiquid","page_number":68,"box":{"x":69,"y":823,"width":781,"height":12}},{"id":"dccc1c25-3c04-4973-9c87-4df94b7ad179","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":68,"box":{"x":70,"y":838,"width":822,"height":12}},{"id":"ec37c34e-98c5-46c0-a255-6c079d30f227","block_type":"box","text":"defined below) will require that cer tain remedial actions be taken. Illiquid investments may trade at a discount from","page_number":68,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"8c891fab-f411-4d2c-af21-a21e9ca421cb","block_type":"box","text":"comparable liquid investments. Investment of a Fund’s assets in illiquid investments may restrict the ability of the","page_number":68,"box":{"x":69,"y":869,"width":813,"height":11}},{"id":"2672a2a3-44d6-497e-b653-e93defcc708d","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":68,"box":{"x":70,"y":884,"width":814,"height":11}},{"id":"5776ac7b-d2ec-40fb-b49b-f14c0d77ae4c","block_type":"box","text":"market oppor tunities. The risks associated with illiquidity will be par ticularly acute where a Fund’s operations require","page_number":68,"box":{"x":69,"y":899,"width":833,"height":11}},{"id":"3d5714f4-1504-4692-a6ff-243478c38ff6","block_type":"box","text":"II-31","page_number":68,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"88e98667-6d93-49d8-a261-c98031d637be","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":68,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5650c7f6-c161-4561-b27e-9769b13f6e31","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":69,"box":{"x":69,"y":45,"width":801,"height":11}},{"id":"be4244e0-6c5d-4ee0-aacb-e9829340b48a","block_type":"box","text":"shor t-term cash requirements or incurring capital losses on the sale of illiquid investments.","page_number":69,"box":{"x":69,"y":60,"width":651,"height":11}},{"id":"eed35669-7d3c-441e-87c5-d8b151ff29be","block_type":"box","text":"Index Funds.","page_number":69,"box":{"x":102,"y":83,"width":91,"height":8}},{"id":"a6edb93f-b33a-4694-9210-c6dd2fe82b5f","block_type":"box","text":"Cash Flows; Expenses.","page_number":69,"box":{"x":102,"y":105,"width":162,"height":11}},{"id":"966e1ca4-f53f-4740-8122-220630bdaf0c","block_type":"box","text":"The ability of each Fund to satisfy its investment objective depends to some extent on","page_number":69,"box":{"x":270,"y":105,"width":613,"height":11}},{"id":"6f0d5fd2-0e8f-41ec-8ea5-be3cb17eb70d","block_type":"box","text":"the Manager’s ability to manage cash flow (primarily from purchases and redemptions and distributions from the","page_number":69,"box":{"x":68,"y":120,"width":803,"height":12}},{"id":"640b52c2-9009-4455-9cdd-365e49a4951a","block_type":"box","text":"Fund’s investments). The Manager will make investment changes to a Fund’s por tfolio to accommodate cash flow","page_number":69,"box":{"x":70,"y":135,"width":810,"height":12}},{"id":"f3bb3540-0867-4e9e-98f7-d3936715d26d","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":69,"box":{"x":68,"y":150,"width":823,"height":12}},{"id":"1b0c11f2-c8d2-4ced-a525-19560594b153","block_type":"box","text":"the investment per formance of each index is a hypothetical number which does not take into account brokerage","page_number":69,"box":{"x":68,"y":166,"width":799,"height":11}},{"id":"e20c3e7c-ba3d-4617-b4f7-45803697b751","block_type":"box","text":"commissions and other transaction costs, custody and other costs of investing, and any incremental operating costs","page_number":69,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"e3ad6cab-0b3e-42ec-964f-b95239cff47d","block_type":"box","text":"(","page_number":69,"box":{"x":69,"y":196,"width":3,"height":11}},{"id":"886db136-2a2a-40d6-abfa-4cbcc224408c","block_type":"box","text":"e.g.","page_number":69,"box":{"x":74,"y":197,"width":25,"height":10}},{"id":"bc2ae1ad-4904-4483-a17d-fa5e13cb7c35","block_type":"box","text":", transfer agency and accounting costs) that will be borne by the Funds. Finally, since each Fund seeks to","page_number":69,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"fcb52357-b5ef-403c-b630-896a0276bb40","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":69,"box":{"x":69,"y":211,"width":774,"height":11}},{"id":"cdf57636-74de-4157-94d0-4a9bf198af7f","block_type":"box","text":"par ticular security as an investment.","page_number":69,"box":{"x":70,"y":226,"width":258,"height":11}},{"id":"fde65b07-c57b-4749-ae8c-87eaa9708bfc","block_type":"box","text":"Tracking Error Risk","page_number":69,"box":{"x":103,"y":249,"width":132,"height":11}},{"id":"8bf2ec22-c281-443e-84ab-0bfe6f6994d4","block_type":"box","text":". A Fund may be subject to tracking error, which is the divergence of the Fund’s per formance","page_number":69,"box":{"x":236,"y":249,"width":658,"height":11}},{"id":"67792928-11ef-4ad0-9bbe-153524c494f2","block_type":"box","text":"from that of the Underlying Index. Tracking error may occur because of differences between the securities and other","page_number":69,"box":{"x":68,"y":264,"width":827,"height":11}},{"id":"c62e68cc-c220-4a84-a371-5a1b4e9b712b","block_type":"box","text":"instruments held in the Fund’s por tfolio and those included in the Underlying Index, pricing differences (including, as","page_number":69,"box":{"x":70,"y":279,"width":830,"height":11}},{"id":"2ab8c3de-b286-4c70-9a41-c0a7da3e4cd1","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":69,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"22a930c8-72da-48a0-a2cb-f6804e0dcbb7","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":69,"box":{"x":68,"y":309,"width":797,"height":11}},{"id":"a4401b35-6913-4291-a0e4-551763b214a4","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":69,"box":{"x":70,"y":324,"width":787,"height":12}},{"id":"5281d691-3f32-443e-9e42-094d457786db","block_type":"box","text":"distributions, interest, the requirements to maintain pass-through tax treatment, por tfolio transactions carried out to","page_number":69,"box":{"x":69,"y":339,"width":830,"height":12}},{"id":"c111cfc1-b9db-41d7-9423-485d9f73b602","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":69,"box":{"x":69,"y":355,"width":838,"height":11}},{"id":"353a541d-b4ee-4319-91ba-7346632f5007","block_type":"box","text":"complying with various new or existing regulatory requirements. These risks may be heightened during times of","page_number":69,"box":{"x":69,"y":370,"width":791,"height":11}},{"id":"f4dd6af3-ba08-430c-b197-76844f798a5e","block_type":"box","text":"increased market volatility or other unusual market conditions. In addition, tracking error may result because the","page_number":69,"box":{"x":70,"y":385,"width":801,"height":11}},{"id":"c66d9b4e-ad99-4461-b84b-ed5a361a26a0","block_type":"box","text":"Fund incurs fees and expenses, while the Underlying Index does not.","page_number":69,"box":{"x":70,"y":400,"width":487,"height":11}},{"id":"49887141-c688-44f1-90fb-e0e4ff48e231","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":69,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"9ef0131d-98b9-4c35-90f9-572bf391e260","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":69,"box":{"x":69,"y":438,"width":803,"height":11}},{"id":"31630743-defc-4535-a10d-75e97b889f6e","block_type":"box","text":"price growth that does not appear to be suppor ted by publicly available information on the business and assets of","page_number":69,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"79167328-d485-4347-ae8e-79771e1a415c","block_type":"box","text":"the issuer, unusual or significant shor t interest or lending activity, negative sentiment, suspended trading or incorrect","page_number":69,"box":{"x":68,"y":468,"width":838,"height":11}},{"id":"cdd44a74-e1f9-4a74-9933-32e0e3e1a3d4","block_type":"box","text":"free-float calculations, which could be indicators of possible irregularities, miscalculations or even fraud). If it","page_number":69,"box":{"x":68,"y":483,"width":778,"height":11}},{"id":"8aa63408-3846-4313-9161-ae6c4f368676","block_type":"box","text":"identifies such behavior, the Manager may, where appropriate, aler t the index provider as to the alleged issue. The","page_number":69,"box":{"x":70,"y":498,"width":816,"height":11}},{"id":"02354b72-5599-4706-ac84-a132e0a1eb24","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":69,"box":{"x":70,"y":513,"width":836,"height":11}},{"id":"34e0c1bd-1732-4cc0-a01b-ae73104c0f7c","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":69,"box":{"x":68,"y":528,"width":819,"height":12}},{"id":"70b6c189-8a8b-4005-bf9a-4b06ad3a0923","block_type":"box","text":"exclude such securities from a Fund’s por tfolio and, if it does so, such Fund will be subject to increased tracking","page_number":69,"box":{"x":69,"y":543,"width":804,"height":12}},{"id":"004daf9c-a02f-4f29-8bd4-ecc0da72ab14","block_type":"box","text":"error due to the divergence in the securities included in its por tfolio from its underlying index. The application of the","page_number":69,"box":{"x":69,"y":559,"width":825,"height":11}},{"id":"5a8da2f2-abfb-4eb0-bd66-a01a431f7f6c","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":69,"box":{"x":69,"y":574,"width":818,"height":11}},{"id":"554914d2-de4c-49eb-9a7c-277df7d041c7","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":69,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"62c5b84e-3c4e-45c2-805d-b036445606fe","block_type":"box","text":"from an Underlying Index or a Fund’s por tfolio, and the inclusion of such securities will result in an adverse impact to","page_number":69,"box":{"x":68,"y":604,"width":835,"height":11}},{"id":"e19891b1-90a8-4a08-adf4-d9103e21e6ff","block_type":"box","text":"the Fund’s net asset value if one or more such securities declines in value.","page_number":69,"box":{"x":68,"y":619,"width":536,"height":9}},{"id":"172f09bb-3c76-4104-834d-5dee464bbbaa","block_type":"box","text":"S&P 500®","page_number":69,"box":{"x":102,"y":642,"width":64,"height":9}},{"id":"9ace8014-b928-4c0a-b2d4-d67356be7e7a","block_type":"box","text":"0®","page_number":69,"box":{"x":166,"y":642,"width":6,"height":5}},{"id":"be779603-954b-4708-894e-6c5cae8e4b59","block_type":"box","text":"Index (“S&P 500”).","page_number":69,"box":{"x":178,"y":642,"width":134,"height":11}},{"id":"d379cebd-612a-4e8c-9ca1-f33d3a5d9663","block_type":"box","text":"“Standard & Poor’s","page_number":69,"box":{"x":320,"y":642,"width":136,"height":9}},{"id":"39ec5112-aa1f-41d5-b255-b7599ab4c514","block_type":"box","text":"®","page_number":69,"box":{"x":457,"y":642,"width":6,"height":5}},{"id":"46259757-c965-4991-9d90-d905f4b7eb14","block_type":"box","text":",” “S&P","page_number":69,"box":{"x":465,"y":642,"width":53,"height":10}},{"id":"1ed2e335-a024-494c-a778-c1c8c57d3fa5","block_type":"box","text":"®","page_number":69,"box":{"x":518,"y":642,"width":6,"height":5}},{"id":"3474b52e-3640-45e7-bbde-ae67362864c0","block_type":"box","text":",” “S&P 500","page_number":69,"box":{"x":526,"y":642,"width":87,"height":10}},{"id":"d61ff82b-3e6e-4b04-8638-e6da7764f303","block_type":"box","text":"®","page_number":69,"box":{"x":614,"y":642,"width":6,"height":5}},{"id":"b237d0f1-0d8d-46b0-92dc-14b49170d056","block_type":"box","text":",” “Standard & Poor’s 500,” and “500”","page_number":69,"box":{"x":621,"y":642,"width":280,"height":10}},{"id":"3a5c68c3-f0bd-4552-941f-a8c6030c3c82","block_type":"box","text":"are trademarks of S&P Global Inc. and have been licensed for use by cer tain mutual funds sponsored and advised by","page_number":69,"box":{"x":69,"y":657,"width":837,"height":11}},{"id":"920387df-a940-47c9-8c37-020d5dc310d5","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":69,"box":{"x":70,"y":672,"width":836,"height":11}},{"id":"dccb96de-a950-44da-b020-e1bcdd906888","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":69,"box":{"x":69,"y":687,"width":818,"height":11}},{"id":"cbf37798-0986-4cee-87a9-27202fd0f615","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":69,"box":{"x":69,"y":702,"width":783,"height":11}},{"id":"add1cd45-7093-4406-874d-a1efd7462333","block_type":"box","text":"regarding the advisability of investing in securities generally or in a Fund par ticularly or the ability of the S&P 500 to","page_number":69,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"6979a777-67a6-4d46-b87f-d7036e9d9cbf","block_type":"box","text":"track general stock market per formance. S&P’s only relationship to cer tain Funds is the licensing of cer tain","page_number":69,"box":{"x":68,"y":732,"width":769,"height":12}},{"id":"7ea8d153-728a-4ffb-bab0-efd4b3570d9e","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":69,"box":{"x":68,"y":748,"width":804,"height":11}},{"id":"3609eb93-f274-4fa8-a0b7-b88915f196e3","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":69,"box":{"x":68,"y":763,"width":811,"height":11}},{"id":"ba7405ae-0fdc-495a-a6df-5eb72de27dbe","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":69,"box":{"x":70,"y":778,"width":803,"height":11}},{"id":"d3669d1a-c8a2-44c3-b87a-2532765d04e8","block_type":"box","text":"par ticipated in the determination of the prices and amount of any Fund or the timing of the issuance or sale of","page_number":69,"box":{"x":70,"y":793,"width":787,"height":11}},{"id":"2735de40-aaf4-4a86-83bb-2267e45851d5","block_type":"box","text":"shares of a Fund or in the determination or calculation of the equation by which a Fund is to be conver ted into cash.","page_number":69,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"c6803bda-12e7-4a97-bac8-d7a52aa7e1e5","block_type":"box","text":"S&P has no obligation or liability in connection with the administration, marketing or trading of any Fund.","page_number":69,"box":{"x":69,"y":823,"width":742,"height":12}},{"id":"5ca7f842-ba9e-4dce-afc9-76b607fb05ef","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":69,"box":{"x":102,"y":846,"width":761,"height":11}},{"id":"69802d77-4088-4235-9387-036ead66757d","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":69,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"df29b5c5-b3e1-4bd3-94e1-87877f6ab0bd","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":69,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"16ca77a5-d8c9-4ea3-aa7f-8dc021aa44b3","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":69,"box":{"x":68,"y":891,"width":815,"height":11}},{"id":"69a2ee31-4a15-4465-b8be-5c0c61620777","block_type":"box","text":"expressly disclaims all warranties of merchantability or fitness for a par ticular purpose or use with respect to the S&P","page_number":69,"box":{"x":69,"y":906,"width":840,"height":12}},{"id":"fffb7d29-860a-439a-a2c1-2ca158affe8d","block_type":"box","text":"II-32","page_number":69,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bf6775cf-9652-4e47-8314-1aebd6ea5ea7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":69,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0c5906c6-696a-4683-99b9-6b472ab4e9ef","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":70,"box":{"x":69,"y":45,"width":826,"height":11}},{"id":"34755ebd-5128-4415-853c-a103fe37d563","block_type":"box","text":"for any special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility","page_number":70,"box":{"x":68,"y":60,"width":827,"height":11}},{"id":"b10f0b9a-b8b0-4dd8-b010-c834ba0041be","block_type":"box","text":"of such damages.","page_number":70,"box":{"x":69,"y":75,"width":125,"height":11}},{"id":"4041d094-9c4f-4d37-a234-c1947838da35","block_type":"box","text":"Russell®","page_number":70,"box":{"x":102,"y":98,"width":52,"height":9}},{"id":"b2b655c0-1743-45cb-a0eb-ae3d467a69a7","block_type":"box","text":"l®","page_number":70,"box":{"x":154,"y":98,"width":6,"height":4}},{"id":"944fc975-b090-42d5-a385-80b3de53a7d9","block_type":"box","text":"Indexes.","page_number":70,"box":{"x":166,"y":98,"width":57,"height":9}},{"id":"3035b581-4320-47ce-9b55-92eec64b5e13","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Russell","page_number":70,"box":{"x":231,"y":98,"width":611,"height":11}},{"id":"6ac83794-864f-42a5-9d25-4026775c3a7d","block_type":"box","text":"Investments. Russell Investments is not responsible for and has not reviewed any Fund nor any associated literature","page_number":70,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"92fcb677-538b-4922-bf51-d9c5a69a8eab","block_type":"box","text":"or publications and Russell Investments makes no representation or warranty, express or implied, as to their","page_number":70,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"67619416-07a1-4629-90a1-2cea26769ab1","block_type":"box","text":"accuracy, or completeness, or otherwise.","page_number":70,"box":{"x":69,"y":143,"width":291,"height":11}},{"id":"114adb64-df8c-4e96-aa3f-5de441fd61f0","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":70,"box":{"x":102,"y":166,"width":794,"height":11}},{"id":"95d83467-b166-420c-9754-597142d9c527","block_type":"box","text":"change a Russell Index. Russell Investments has no obligation to take the needs of any par ticular Fund or its","page_number":70,"box":{"x":69,"y":181,"width":778,"height":11}},{"id":"b658d7eb-9fd1-40ae-b092-f44fe6c648ce","block_type":"box","text":"par ticipants or any other product or person into consideration in determining, composing or calculating the Russell","page_number":70,"box":{"x":70,"y":196,"width":815,"height":11}},{"id":"cef0b1fc-3901-43eb-81de-ba8c56c2e1da","block_type":"box","text":"Index.","page_number":70,"box":{"x":70,"y":211,"width":40,"height":9}},{"id":"b0ca674f-98bb-4fae-9782-0b20614a8046","block_type":"box","text":"Russell Investments’ publication of the Russell Indexes in no way suggests or implies an opinion by Russell","page_number":70,"box":{"x":102,"y":234,"width":766,"height":11}},{"id":"6135ea92-da18-4047-86dc-07f3b4546507","block_type":"box","text":"Investments as to the attractiveness or appropriateness of investment in any or all securities upon which the Russell","page_number":70,"box":{"x":70,"y":249,"width":833,"height":11}},{"id":"ec34e11e-67c2-448c-80f9-98de1217d2a9","block_type":"box","text":"Indexes is based. Russell Investments makes no representation, warranty, or guarantee as to the accuracy,","page_number":70,"box":{"x":70,"y":264,"width":765,"height":11}},{"id":"f582e246-53e8-4ddb-9ac7-8b5983708235","block_type":"box","text":"completeness, reliability, or otherwise of the Russell Indexes or any data included in the Russell Indexes. Russell","page_number":70,"box":{"x":69,"y":279,"width":807,"height":11}},{"id":"7242b34f-4184-45e2-b3f2-2014870e9d73","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":70,"box":{"x":70,"y":294,"width":826,"height":11}},{"id":"5c08f278-a505-4e61-96ef-e84e14df0861","block_type":"box","text":"any data included therein, or any security (or combination thereof) comprising the Russell Indexes. Russell","page_number":70,"box":{"x":69,"y":309,"width":757,"height":11}},{"id":"664fe7bb-38d3-4bb5-9cf2-f35c62de3140","block_type":"box","text":"Investments makes no other express or implied warranty, and expressly disclaims any warranty, of any kind,","page_number":70,"box":{"x":70,"y":324,"width":767,"height":11}},{"id":"011ac2c1-85c0-41d9-99b0-21ece1faea67","block_type":"box","text":"including, without means of limitation, any warranty of merchantability or fitness for a par ticular purpose with respect","page_number":70,"box":{"x":70,"y":339,"width":833,"height":12}},{"id":"0ba01722-aae3-4d9f-bb54-0619d3b466a1","block_type":"box","text":"to the Russell Indexes or any data or any security (or combination thereof) included therein.","page_number":70,"box":{"x":68,"y":355,"width":651,"height":11}},{"id":"4a9bc053-bc24-4fc3-b6ec-485d129aa5d3","block_type":"box","text":"MSCI Indexes.","page_number":70,"box":{"x":102,"y":377,"width":100,"height":9}},{"id":"ff7a0f7e-8391-4845-87f8-ebdfc6d8ef63","block_type":"box","text":"The MSCI Europe, Australasia and Far East (Capitalization Weighted) Index (“EAFE Index”) and the","page_number":70,"box":{"x":209,"y":377,"width":696,"height":12}},{"id":"78101529-4d7b-457f-9b76-fb6b8598e308","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":70,"box":{"x":70,"y":392,"width":818,"height":12}},{"id":"37f5be9d-cd76-402e-be2e-07c16b5e8922","block_type":"box","text":"individually an “MSCI Index”) are the exclusive proper ty of MSCI, Inc. (“MSCI”). The EAFE Index and ACWI ex-US Index","page_number":70,"box":{"x":70,"y":407,"width":837,"height":12}},{"id":"02f60f4a-2169-4988-8823-c4201d2e9ab4","block_type":"box","text":"are service marks of MSCI and have been licensed for use by the Manager and its affiliates.","page_number":70,"box":{"x":69,"y":423,"width":658,"height":11}},{"id":"5e2dae5f-48f1-4c32-a554-44f8a8e240c0","block_type":"box","text":"No Fund is sponsored, endorsed, sold or promoted by MSCI. MSCI makes no representation or warranty, express","page_number":70,"box":{"x":102,"y":445,"width":806,"height":11}},{"id":"b8f98674-7d91-4159-8913-52fe01694c5b","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":70,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"b4949133-da3b-4f33-88e7-de929ca0a2c6","block_type":"box","text":"securities generally or in a Fund par ticularly or the ability of an MSCI Index to track general stock market","page_number":70,"box":{"x":69,"y":475,"width":743,"height":12}},{"id":"79c82997-56af-4ec8-a1fe-38f4b7f09ee5","block_type":"box","text":"per formance. MSCI is the licensor of cer tain trademarks, service marks and trade names of MSCI and of the MSCI","page_number":70,"box":{"x":70,"y":491,"width":819,"height":11}},{"id":"510ea743-e5f2-41dd-a6d5-24534639b777","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":70,"box":{"x":70,"y":506,"width":824,"height":11}},{"id":"701d25c4-24f0-442b-bdb6-5e37ef2d5943","block_type":"box","text":"in determining, composing or calculating an MSCI Index. MSCI is not responsible for and has not par ticipated in the","page_number":70,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"231b5315-24db-4a33-b2a0-7ebe381a65ab","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":70,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"dede5cfd-1d11-4c97-8d6a-cf9031565dc1","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":70,"box":{"x":69,"y":551,"width":835,"height":11}},{"id":"0cf71d79-0258-4b21-bf13-496c9b96f0a3","block_type":"box","text":"to owners of shares of a Fund in connection with the administration, marketing or trading of the Fund.","page_number":70,"box":{"x":68,"y":566,"width":724,"height":11}},{"id":"e5de0019-1f1f-4791-9ab5-1bf0eceac19f","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":70,"box":{"x":101,"y":589,"width":751,"height":11}},{"id":"7c27ab7a-107f-4c47-8c8d-8632fc7eb0f4","block_type":"box","text":"sources which MSCI considers reliable, MSCI does not guarantee the accuracy and/or the completeness of the MSCI","page_number":70,"box":{"x":69,"y":604,"width":835,"height":11}},{"id":"aae0910a-f47e-4a90-9698-54a6b6f898d8","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":70,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"4e9d0d23-d966-4ec1-a707-4d9bd5f10226","block_type":"box","text":"licensee, licensee’s customers and counterpar ties, owners of shares of a Fund, or any other person or entity from","page_number":70,"box":{"x":70,"y":634,"width":812,"height":11}},{"id":"d0a63e9c-7ad9-42b0-aeb9-772dedd32717","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":70,"box":{"x":68,"y":649,"width":804,"height":12}},{"id":"dc05294d-c06c-4d6b-a20d-335d1fb5080d","block_type":"box","text":"other use. MSCI makes no express or implied warranties, and hereby expressly disclaims all warranties of","page_number":70,"box":{"x":69,"y":664,"width":758,"height":12}},{"id":"2231e013-a519-4e45-bd74-06d2a6c907ce","block_type":"box","text":"merchantability or fitness for a par ticular purpose with respect to an MSCI Index or any data included therein. Without","page_number":70,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"e11c6d8d-cfd8-4e9f-b381-cda867ef3d50","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":70,"box":{"x":70,"y":695,"width":777,"height":11}},{"id":"5c0cdf18-f359-4f55-a482-87d598889cef","block_type":"box","text":"consequential or any other damages (including lost profits) even if notified of the possibility of such damages.","page_number":70,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"2cd92238-a35d-4538-a6cc-411105bc8ea7","block_type":"box","text":"Financial Times Stock Exchange (“FTSE”) Indexes.","page_number":70,"box":{"x":102,"y":733,"width":355,"height":11}},{"id":"80cb4510-56ac-46fe-bd57-aa86d1b8ca00","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any","page_number":70,"box":{"x":465,"y":733,"width":422,"height":11}},{"id":"c81e04c4-727f-4c3b-a737-c8cb52963067","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":70,"box":{"x":68,"y":748,"width":824,"height":11}},{"id":"02535a81-cee3-4ee8-b523-18dd25444da6","block_type":"box","text":"publications and FTSE makes no representation or warranty, express or implied, as to their accuracy, or","page_number":70,"box":{"x":70,"y":763,"width":736,"height":11}},{"id":"83256c58-c3f5-46ea-9e81-949177dfb704","block_type":"box","text":"completeness, or otherwise.","page_number":70,"box":{"x":69,"y":778,"width":202,"height":11}},{"id":"ef6705ea-272c-41e8-80b7-75165efe08a4","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":70,"box":{"x":102,"y":801,"width":794,"height":11}},{"id":"d0a69b2d-6d44-400d-950c-ed4b197eab03","block_type":"box","text":"Index. FTSE has no obligation to take the needs of any par ticular Fund or its par ticipants or any other product or","page_number":70,"box":{"x":70,"y":816,"width":799,"height":11}},{"id":"7250b74d-4fcd-48a2-b4d7-f45a526c84af","block_type":"box","text":"person into consideration in determining, composing or calculating the FTSE Index.","page_number":70,"box":{"x":70,"y":831,"width":587,"height":11}},{"id":"e586cf2e-fe5d-4a63-a013-5ef89b61f2d6","block_type":"box","text":"Bloomberg Indexes.","page_number":70,"box":{"x":102,"y":854,"width":139,"height":11}},{"id":"6d3abadf-6f99-4c8e-86e8-0f4c2686f1bc","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Bloomberg","page_number":70,"box":{"x":249,"y":853,"width":636,"height":12}},{"id":"756c4cc8-85c3-44fe-8c1a-f027af341898","block_type":"box","text":"Finance L.P. and its affiliates (collectively, “Bloomberg”). Bloomberg is not responsible for nor has it reviewed any","page_number":70,"box":{"x":70,"y":869,"width":809,"height":11}},{"id":"09d86c01-108f-46e0-a5ae-8debffbb273e","block_type":"box","text":"Fund nor any associated literature or publications, and Bloomberg makes no representation or warranty, express or","page_number":70,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"47634175-a6fa-4f0a-a45e-f3a9b401819d","block_type":"box","text":"implied, as to their accuracy, or completeness, or otherwise.","page_number":70,"box":{"x":70,"y":899,"width":430,"height":11}},{"id":"2314c6c1-a5d0-421b-a7ce-38aa701d6f2c","block_type":"box","text":"II-33","page_number":70,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9f5fc2e5-f921-44dc-8412-a85871a2f055","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":70,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b8c21565-6ac4-45cd-9d43-2e655b1135ea","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":71,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"5604bbce-4a22-4780-b3fd-2fdfd7917358","block_type":"box","text":"Bloomberg Index. Bloomberg has no obligation to take the needs of any par ticular Fund or its par ticipants or any","page_number":71,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"594a8c29-56e1-46c7-9c4a-bad95d3995e7","block_type":"box","text":"other product or person into consideration in determining, composing or calculating a Bloomberg Index.","page_number":71,"box":{"x":69,"y":75,"width":735,"height":11}},{"id":"2b2531dc-cdb0-4fdb-9e25-abebfe398739","block_type":"box","text":"ICE BofA Indexes.","page_number":71,"box":{"x":102,"y":98,"width":124,"height":9}},{"id":"13749a8b-fc07-44ab-b5dc-a60fbc220113","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Intercontinental","page_number":71,"box":{"x":233,"y":98,"width":670,"height":11}},{"id":"20a2a930-28b1-4425-b630-b935f8064d05","block_type":"box","text":"Exchange, Inc. and its affiliates (collectively, “ICE”) or Bank of America or its affiliates (collectively, “BofA”). BofA is","page_number":71,"box":{"x":70,"y":113,"width":819,"height":11}},{"id":"d66043fb-eb3a-4084-9f6d-c09ad6566103","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":71,"box":{"x":69,"y":128,"width":820,"height":11}},{"id":"6bfb9ca8-30ff-4b27-832f-d5a3fa21f055","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":71,"box":{"x":69,"y":143,"width":793,"height":11}},{"id":"f7e1c707-38dc-4b90-89c9-a166fb3976c8","block_type":"box","text":"publications and ICE and BofA make no representation or warranty, express or implied, as to their accuracy, or","page_number":71,"box":{"x":70,"y":158,"width":785,"height":11}},{"id":"6335eefb-854f-4b27-8c9b-761a07bc5ec1","block_type":"box","text":"completeness, or otherwise.","page_number":71,"box":{"x":69,"y":173,"width":202,"height":11}},{"id":"ac9c810a-6564-47d3-a4f3-9c925c5b59f8","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":71,"box":{"x":102,"y":196,"width":779,"height":11}},{"id":"1b654032-7fd3-4c0f-a718-7d5351bc45c8","block_type":"box","text":"BofA Index. ICE has no obligation to take the needs of any par ticular Fund or its par ticipants or any other product or","page_number":71,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"c154c8ba-cafe-4acc-ad2d-d869b294b420","block_type":"box","text":"person into consideration in determining, composing or calculating an ICE BofA Index.","page_number":71,"box":{"x":70,"y":226,"width":608,"height":11}},{"id":"0f99ad48-3873-409c-bf39-8796a889a1ee","block_type":"box","text":"Indexed and Inverse Securities.","page_number":71,"box":{"x":102,"y":249,"width":228,"height":9}},{"id":"d2b13228-4f56-4541-bae9-fa468f3c3ac7","block_type":"box","text":"A Fund may invest in securities that provide a potential return based on a","page_number":71,"box":{"x":336,"y":249,"width":523,"height":11}},{"id":"8889db56-8f91-4ddc-9cfc-a8f6f28e75f1","block_type":"box","text":"par ticular index of value or interest rates. For example, a Fund may invest in securities that pay interest based on an","page_number":71,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"867a3423-7af4-4baf-a1e5-1d7e64cf7ec3","block_type":"box","text":"index of interest rates. The principal amount payable upon maturity of cer tain securities also may be based on the","page_number":71,"box":{"x":70,"y":279,"width":814,"height":11}},{"id":"db33aefd-126e-473c-960a-b68131d2cd70","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":71,"box":{"x":68,"y":294,"width":830,"height":11}},{"id":"1ff46664-1a48-43e3-be85-e9c873772ec0","block_type":"box","text":"be subject to risk with respect to the value of the par ticular index: that is, if the value of the index falls, the value of","page_number":71,"box":{"x":69,"y":309,"width":827,"height":11}},{"id":"7058f343-1fe0-47d0-8d8e-3f714800e99a","block_type":"box","text":"the indexed securities owned by the Fund will fall. Interest and principal payable on cer tain securities may also be","page_number":71,"box":{"x":68,"y":324,"width":812,"height":11}},{"id":"bf1bdb8d-efee-4645-875b-4f740e61c225","block_type":"box","text":"based on relative changes among par ticular indices. A Fund may also invest in so-called “inverse floating obligations”","page_number":71,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"91a49bf5-f8f6-429f-860c-87070371b2ea","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":71,"box":{"x":69,"y":355,"width":781,"height":11}},{"id":"1f2c71ae-42f0-4438-b525-9034cfe428de","block_type":"box","text":"periodically by a Dutch auction, a remarketing agent, or by reference to a shor t-term tax-exempt interest rate index). A","page_number":71,"box":{"x":70,"y":370,"width":838,"height":11}},{"id":"8ace5f4c-7308-44d5-b4e6-97007bd96acc","block_type":"box","text":"Fund may purchase synthetically-created inverse floating rate bonds evidenced by custodial or trust receipts.","page_number":71,"box":{"x":70,"y":385,"width":771,"height":11}},{"id":"fa5cb54a-74ae-4eda-8acf-969451bb5cc2","block_type":"box","text":"Generally, income on inverse floating rate bonds will decrease when interest rates increase, and will increase when","page_number":71,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"266998a0-0461-4c98-9552-84a95184c85a","block_type":"box","text":"interest rates decrease. Such securities have the effect of providing a degree of investment leverage, since they may","page_number":71,"box":{"x":70,"y":415,"width":835,"height":11}},{"id":"78b419de-cd93-40a7-9042-2589aa26ba04","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":71,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"a477813b-1a08-400b-8647-449ccabac20d","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":71,"box":{"x":69,"y":445,"width":829,"height":12}},{"id":"a31d5969-5ad3-46aa-8aba-9808c83d803c","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":71,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"ea2f0a1b-d8c9-49eb-88af-60d33cd4d418","block_type":"box","text":"seek to limit the volatility of these securities, a Fund may purchase inverse floating obligations that have shor ter-term","page_number":71,"box":{"x":69,"y":475,"width":838,"height":12}},{"id":"dc5ef0ba-4c94-4ec7-bb49-90b9bf7330cf","block_type":"box","text":"maturities or that contain limitations on the extent to which the interest rate may vary. Cer tain investments in such","page_number":71,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"5c46fb70-e3ba-45f5-88db-8e958fa08ae0","block_type":"box","text":"obligations may be illiquid. The Manager believes that indexed and inverse floating obligations represent flexible","page_number":71,"box":{"x":69,"y":506,"width":798,"height":11}},{"id":"60e1a4f6-5d89-4a51-b485-477df56847c8","block_type":"box","text":"por tfolio management instruments for a Fund that allow the Fund to seek potential investment rewards, hedge other","page_number":71,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"7bb915f3-8fa3-47c7-83c7-cfe66af411c9","block_type":"box","text":"por tfolio positions or vary the degree of investment leverage relatively efficiently under different market conditions. A","page_number":71,"box":{"x":70,"y":536,"width":834,"height":11}},{"id":"1e21ce72-d3a1-4220-b06c-83a3dd4b8658","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":71,"box":{"x":70,"y":551,"width":839,"height":11}},{"id":"e9ed9cca-6a6c-4505-b390-f17efe02406a","block_type":"box","text":"hedging purposes, indexed and inverse securities involve correlation risk. Fur thermore, where such a security","page_number":71,"box":{"x":69,"y":566,"width":781,"height":11}},{"id":"425105d8-b7e4-4375-9beb-a15ebd0fe03c","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":71,"box":{"x":70,"y":581,"width":812,"height":12}},{"id":"76c4ab20-3353-4548-8dc3-8f534ac46260","block_type":"box","text":"may be required to pay substantial additional margin to maintain the position.","page_number":71,"box":{"x":69,"y":597,"width":553,"height":11}},{"id":"f8920816-e2c2-42b9-b4c5-8ef863f098e8","block_type":"box","text":"The Funds may invest up to 10% of their total assets in leveraged inverse floating rate debt instruments","page_number":71,"box":{"x":101,"y":619,"width":741,"height":11}},{"id":"5aa132dd-60a4-4704-ab10-8bfd181e7336","block_type":"box","text":"(“inverse floaters”). Inverse floaters are securities the potential of which is inversely related to changes in interest","page_number":71,"box":{"x":69,"y":634,"width":815,"height":12}},{"id":"17883090-93e4-425d-b269-8e42593acf08","block_type":"box","text":"rates. In general, the return on inverse floaters will decrease when shor t-term interest rates increase and increase","page_number":71,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"0b40bc5d-7df3-4bf4-a85b-2652dae2ea77","block_type":"box","text":"when shor t-term rates decrease. Municipal tender option bonds, both taxable and tax-exempt, which may include","page_number":71,"box":{"x":68,"y":665,"width":805,"height":11}},{"id":"dca7ca26-347e-4733-a5b7-27e6cec710ab","block_type":"box","text":"inverse floating rate debt instruments, (including residual interests thereon) are excluded from this 10% limitation.","page_number":71,"box":{"x":70,"y":680,"width":813,"height":11}},{"id":"1e22bd3e-d02a-4099-b0e3-03cfa32141b2","block_type":"box","text":"Inflation Risk.","page_number":71,"box":{"x":102,"y":702,"width":100,"height":9}},{"id":"2a8cd551-8e97-4e40-9e61-870c81b99fd5","block_type":"box","text":"Like all funds, the Funds are subject to inflation risk. Inflation risk is the risk that the present","page_number":71,"box":{"x":209,"y":702,"width":663,"height":11}},{"id":"493769be-6669-4c53-861c-b6e5e95420b0","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":71,"box":{"x":68,"y":717,"width":820,"height":12}},{"id":"5349b3a8-f592-46e8-9d3f-ba6c97b02fe8","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":71,"box":{"x":70,"y":732,"width":792,"height":11}},{"id":"057571aa-3cef-4050-b945-c156c754e339","block_type":"box","text":"Inflation rates may change frequently and significantly due to a number of potential factors, including, among others,","page_number":71,"box":{"x":70,"y":748,"width":829,"height":11}},{"id":"1794886f-d6e5-405a-bc34-ca8e8cd752db","block_type":"box","text":"unexpected economic shifts or changes in fiscal or monetary policies.","page_number":71,"box":{"x":69,"y":763,"width":497,"height":11}},{"id":"7fb8480d-ebf8-4134-957d-913c92adaff2","block_type":"box","text":"Initial Public Offering (“IPO”) Risk.","page_number":71,"box":{"x":102,"y":785,"width":253,"height":12}},{"id":"800b990c-9f01-4285-a32b-4d7eba6b7051","block_type":"box","text":"The volume of IPOs and the levels at which the newly issued stocks trade in","page_number":71,"box":{"x":361,"y":785,"width":540,"height":12}},{"id":"2ecd7105-f321-405f-bad2-b5b732ffa54f","block_type":"box","text":"the secondary market are affected by the per formance of the stock market overall. If IPOs are brought to the market,","page_number":71,"box":{"x":68,"y":801,"width":836,"height":11}},{"id":"ed638809-279c-4f7a-80aa-6c9b02e96f2c","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":71,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"0be5174a-3aa6-413c-b75e-834cea187200","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":71,"box":{"x":69,"y":831,"width":795,"height":11}},{"id":"ff4dc544-dd9a-49af-8f1e-fe6bc7669de9","block_type":"box","text":"securities involved in IPOs are often subject to greater and more unpredictable price changes than more established","page_number":71,"box":{"x":69,"y":846,"width":829,"height":11}},{"id":"57a234b4-703e-494f-970a-d11b2b6821c0","block_type":"box","text":"stocks. IPOs have the potential to produce substantial gains. A Fund may hold shares from an IPO for only a shor t","page_number":71,"box":{"x":69,"y":861,"width":814,"height":11}},{"id":"400005a5-10cd-475f-af7a-cf753c40e92f","block_type":"box","text":"period of time given possible price volatility. This may result in increased por tfolio turnover and expenses, such as","page_number":71,"box":{"x":70,"y":876,"width":813,"height":11}},{"id":"476aa769-e8f2-4462-8192-af3c61935766","block_type":"box","text":"commissions and transaction costs, and potentially result in taxable gains that the Fund will subsequently distribute","page_number":71,"box":{"x":69,"y":891,"width":828,"height":12}},{"id":"7428dd44-f067-4577-8ce8-342eba64cf6c","block_type":"box","text":"to shareholders. There is no assurance that any Fund will have access to profitable IPOs and therefore investors","page_number":71,"box":{"x":68,"y":906,"width":802,"height":12}},{"id":"34526a7b-0d2e-430e-9009-502fc901edf0","block_type":"box","text":"II-34","page_number":71,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9007e0ed-8204-4bee-8673-4706f00b16b4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":71,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"22e2d9c2-a8a8-4f2a-8344-31357d2e4cb0","block_type":"box","text":"should not rely on any past gains from IPOs as an indication of future per formance. The investment per formance of a","page_number":72,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"7d634b3e-8077-4879-a035-4c52c119bb64","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":72,"box":{"x":70,"y":60,"width":832,"height":11}},{"id":"42e9233a-f2f2-40eb-9247-98e429efddf9","block_type":"box","text":"is able to do so. In addition, as a Fund increases in size, the impact of IPOs on its per formance will generally","page_number":72,"box":{"x":70,"y":75,"width":777,"height":11}},{"id":"7aec5951-bd8e-44b5-bde9-a0321978f0e8","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":72,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"fd23dcfb-80f2-4699-b216-e128b70277e4","block_type":"box","text":"market capitalizations. Securities issued in IPOs have no trading history, and information about the companies may","page_number":72,"box":{"x":69,"y":105,"width":823,"height":11}},{"id":"04891ce9-634b-464d-879c-08b7ce3c2960","block_type":"box","text":"be available for very limited periods.","page_number":72,"box":{"x":69,"y":120,"width":257,"height":11}},{"id":"5acdb9f3-59ad-4479-8e1d-826a6d00a822","block_type":"box","text":"Investment in Emerging Markets.","page_number":72,"box":{"x":102,"y":143,"width":242,"height":11}},{"id":"7175d830-5d9b-4fff-9343-ebf2b1834ecf","block_type":"box","text":"General.","page_number":72,"box":{"x":102,"y":166,"width":58,"height":9}},{"id":"75e48314-7420-488f-9ab4-a6778fd747fd","block_type":"box","text":"Cer tain Funds may invest in the securities of issuers domiciled in various countries with emerging capital","page_number":72,"box":{"x":102,"y":188,"width":748,"height":12}},{"id":"ec61b8f7-7154-48d8-83a8-472929d25eed","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":72,"box":{"x":69,"y":204,"width":840,"height":11}},{"id":"04b4ca77-f6ce-4f06-838a-c364a540055e","block_type":"box","text":"that is (i) generally recognized to be an emerging market country by the international financial community, such as","page_number":72,"box":{"x":68,"y":218,"width":813,"height":12}},{"id":"a880c311-31d4-4d11-b370-cecd2b48c98d","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":72,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"058bdbfa-115a-47d4-af8a-e7455516bb89","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":72,"box":{"x":69,"y":249,"width":839,"height":11}},{"id":"eabffba8-5f5c-4411-a8ee-21c4725ff2db","block_type":"box","text":"index that is generally representative of emerging markets. Countries with emerging markets can be found in regions","page_number":72,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"9d6df443-4063-4a10-86b7-0f66c9462046","block_type":"box","text":"such as Asia, Latin America, Eastern Europe and Africa.","page_number":72,"box":{"x":69,"y":279,"width":396,"height":11}},{"id":"bdf9e9c4-061f-4651-adc7-a701cff6d0a2","block_type":"box","text":"Investments in the securities of issuers domiciled in countries with emerging capital markets involve cer tain","page_number":72,"box":{"x":102,"y":302,"width":770,"height":11}},{"id":"0b706840-9424-4828-ac6f-bf5d9c1b0ee5","block_type":"box","text":"additional risks that do not generally apply to investments in securities of issuers in more developed capital markets,","page_number":72,"box":{"x":69,"y":317,"width":835,"height":11}},{"id":"fe318dc0-9392-4d7f-8c3d-88bce8f45fec","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":72,"box":{"x":69,"y":332,"width":828,"height":11}},{"id":"ae2ad11b-6cb2-4f8e-bdc9-02e356c43f8a","block_type":"box","text":"securities, as compared to securities of comparable issuers in more developed capital markets; (ii) uncer tain","page_number":72,"box":{"x":69,"y":347,"width":779,"height":11}},{"id":"eff343a9-9701-4985-bf65-7c8941c9487a","block_type":"box","text":"national policies and social, political and economic instability, increasing the potential for expropriation of assets,","page_number":72,"box":{"x":69,"y":362,"width":809,"height":11}},{"id":"766aa1b4-7aa7-49d7-b010-358e8400aa15","block_type":"box","text":"confiscatory taxation, high rates of inflation or unfavorable diplomatic developments; (iii) possible fluctuations in","page_number":72,"box":{"x":69,"y":377,"width":800,"height":12}},{"id":"8cee9138-1d94-48d6-bf53-af38845c5dda","block_type":"box","text":"exchange rates, differing legal systems and the existence or possible imposition of exchange controls, custodial","page_number":72,"box":{"x":69,"y":392,"width":800,"height":12}},{"id":"b7cd97b4-16ff-49dc-8c3b-c96a46205c6b","block_type":"box","text":"restrictions or other foreign or U.S. Governmental laws or restrictions applicable to such investments; (iv) national","page_number":72,"box":{"x":69,"y":407,"width":811,"height":12}},{"id":"fa2a0c00-0a8b-4f67-b369-d1aae5811060","block_type":"box","text":"policies that may limit a Fund’s investment oppor tunities such as restrictions on investment in issuers or industries","page_number":72,"box":{"x":70,"y":423,"width":824,"height":11}},{"id":"45b57031-3ef3-42a2-a36b-a9ec925bb3cc","block_type":"box","text":"deemed sensitive to national interests; and (v) the lack or relatively early development of legal structures governing","page_number":72,"box":{"x":69,"y":438,"width":823,"height":11}},{"id":"561e96a6-0dad-4797-9a02-dbe60cbe31ec","block_type":"box","text":"private and foreign investments and private proper ty. In addition to withholding taxes on investment income, some","page_number":72,"box":{"x":70,"y":453,"width":813,"height":11}},{"id":"f6362bee-dcb0-403c-a342-848e837888db","block_type":"box","text":"countries with emerging markets may impose differential capital gains taxes on foreign investors.","page_number":72,"box":{"x":69,"y":468,"width":694,"height":11}},{"id":"7a1dd3b6-5eda-4e08-bab6-a48ee75ba917","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":72,"box":{"x":102,"y":491,"width":767,"height":11}},{"id":"965e6ec1-54e2-423e-bf2a-9ee2bb676e03","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":72,"box":{"x":69,"y":506,"width":814,"height":11}},{"id":"11741ee2-25b0-4c52-ab01-abcd23f9d31a","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":72,"box":{"x":69,"y":521,"width":792,"height":11}},{"id":"b18e508e-2504-491d-85f2-fd6c0841a6e9","block_type":"box","text":"markets will continue to present viable investment oppor tunities for a Fund. In the past, governments of such nations","page_number":72,"box":{"x":69,"y":536,"width":838,"height":11}},{"id":"d9e638f3-74dd-4a1b-a491-02f221bf501f","block_type":"box","text":"have expropriated substantial amounts of private proper ty, and most claims of the proper ty owners have never been","page_number":72,"box":{"x":69,"y":551,"width":828,"height":11}},{"id":"76b05e97-71d7-4f47-9be1-a09483de24d9","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":72,"box":{"x":68,"y":566,"width":816,"height":11}},{"id":"1702ae9c-4fc0-4439-9bb3-00e555f29a0e","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":72,"box":{"x":70,"y":581,"width":802,"height":11}},{"id":"749613a8-a9e6-47f0-9b7e-e42ce2b0d404","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":72,"box":{"x":70,"y":596,"width":838,"height":12}},{"id":"f22db75c-7184-4771-ba19-26fdd7cd56b3","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":72,"box":{"x":69,"y":612,"width":788,"height":11}},{"id":"698153f8-1e2f-4f9e-8d48-4c792879d0bd","block_type":"box","text":"additional investments. The small size and inexperience of the securities markets in cer tain of these countries and","page_number":72,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"d184b824-58da-40af-a1c2-dd022bfcf61b","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":72,"box":{"x":68,"y":642,"width":838,"height":11}},{"id":"da5199e5-6055-4bdb-8ce2-c8b27d14c402","block_type":"box","text":"volatile than investments in more established markets.","page_number":72,"box":{"x":68,"y":657,"width":392,"height":9}},{"id":"68cf2cc9-736d-4e05-b6b1-073ebc5ae875","block_type":"box","text":"Also, there may be less publicly available information about issuers in emerging markets than would be available","page_number":72,"box":{"x":101,"y":680,"width":805,"height":11}},{"id":"09c68e62-93da-4166-91bf-b14d9a5c5888","block_type":"box","text":"about issuers in more developed capital markets, and such issuers may not be subject to accounting, auditing and","page_number":72,"box":{"x":69,"y":695,"width":818,"height":11}},{"id":"1e9b0349-c45a-4124-b355-ef673927e7f8","block_type":"box","text":"financial repor ting standards and requirements comparable to those to which U.S. companies are subject. In cer tain","page_number":72,"box":{"x":68,"y":710,"width":831,"height":11}},{"id":"b6d89902-6f49-426b-8a43-0e356e801cfe","block_type":"box","text":"countries with emerging capital markets, repor ting standards vary widely. As a result, traditional investment","page_number":72,"box":{"x":69,"y":725,"width":768,"height":11}},{"id":"3bdc545f-9a01-4c02-9ca7-a12edc5d332a","block_type":"box","text":"measurements used in the United States, such as price/earnings ratios, may not be applicable. Emerging market","page_number":72,"box":{"x":69,"y":740,"width":811,"height":11}},{"id":"4de7dc9c-8623-4064-886f-c84b23f969c1","block_type":"box","text":"securities may be substantially less liquid than, and more volatile than, those of mature markets, and company","page_number":72,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"9e820b79-2c0e-4ed5-8d70-02752a9048c2","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":72,"box":{"x":69,"y":770,"width":814,"height":12}},{"id":"0f229772-c7d1-4efa-bf5d-9b38c8c4befc","block_type":"box","text":"acquisition or disposal of securities.","page_number":72,"box":{"x":69,"y":785,"width":257,"height":11}},{"id":"9ed71bf3-f03b-48e2-9a2b-5584f5328ff7","block_type":"box","text":"Practices in relation to settlement of securities transactions in emerging markets involve higher risks than those","page_number":72,"box":{"x":102,"y":808,"width":800,"height":11}},{"id":"e77ee9fc-b5d0-4d7e-91c7-1cf49c5f19a7","block_type":"box","text":"in developed markets, in par t because a Fund will need to use brokers and counterpar ties that are less well","page_number":72,"box":{"x":70,"y":823,"width":769,"height":11}},{"id":"fd079892-043d-4cd0-b89d-e75f3dcdc150","block_type":"box","text":"capitalized, and custody and registration of assets in some countries may be unreliable. The possibility of fraud,","page_number":72,"box":{"x":69,"y":838,"width":798,"height":12}},{"id":"d758fa0f-9aa0-40e4-8d45-289c946a9abd","block_type":"box","text":"negligence, undue influence being exer ted by the issuer or refusal to recognize ownership exists in some emerging","page_number":72,"box":{"x":69,"y":853,"width":819,"height":12}},{"id":"4acb4214-5592-4210-885e-c2e426b602ce","block_type":"box","text":"markets, and, along with other factors, could result in ownership registration being completely lost. A Fund would","page_number":72,"box":{"x":69,"y":869,"width":804,"height":11}},{"id":"db1d06d0-e89c-46bb-8fed-514bed02d173","block_type":"box","text":"absorb any loss resulting from such registration problems and may have no successful claim for compensation.","page_number":72,"box":{"x":69,"y":884,"width":794,"height":11}},{"id":"37a92f7f-5fb0-4021-8115-e6669a223c11","block_type":"box","text":"II-35","page_number":72,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"00e6baa7-2d35-4543-b653-e448ffc5cc76","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":72,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a907b929-1343-466b-a649-3b8be8a9607b","block_type":"box","text":"Investment in non-dollar denominated securities including securities from issuers located in emerging market","page_number":73,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"866bf7c6-988f-48b5-a5cf-17f7b6b32b52","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":73,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"7884f038-16e4-4b69-bc1e-9fe98a3fe6a1","block_type":"box","text":"foreign currencies pending investment or conversion into U.S. dollars. Some of these instruments may have the","page_number":73,"box":{"x":68,"y":75,"width":797,"height":11}},{"id":"9f2bb165-7ad3-437e-b17c-c732ef0101ed","block_type":"box","text":"characteristics of futures contracts. In addition, cer tain Funds may engage in foreign currency exchange transactions","page_number":73,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"97fbdc7b-d3b6-4505-8b79-d6dfa4e9ebb5","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":73,"box":{"x":68,"y":105,"width":799,"height":11}},{"id":"8b329829-35ac-484a-8688-007da4b3f912","block_type":"box","text":"per formance. These investments and transactions involving foreign securities, currencies, options (including options","page_number":73,"box":{"x":70,"y":120,"width":829,"height":12}},{"id":"09074c5b-1b75-4740-be19-b61662f63f7c","block_type":"box","text":"that relate to foreign currencies), futures, hedging and cross-hedging are described under “Derivatives.”","page_number":73,"box":{"x":68,"y":135,"width":740,"height":12}},{"id":"9a65a08a-3575-4df5-8bcc-81b42c374837","block_type":"box","text":"Risks of Investing in Asia-Pacific Countries.","page_number":73,"box":{"x":102,"y":158,"width":305,"height":11}},{"id":"80a9f692-43eb-407c-9038-cb41e9e3b841","block_type":"box","text":"In addition to the risks of foreign investing and the risks of investing","page_number":73,"box":{"x":414,"y":158,"width":485,"height":11}},{"id":"24217262-4fdf-4802-8967-8b9be64d5220","block_type":"box","text":"in developing markets, the developing market Asia-Pacific countries in which a Fund may invest are subject to cer tain","page_number":73,"box":{"x":70,"y":173,"width":832,"height":11}},{"id":"b6ec61ee-1c47-4bcc-b6f4-20c97ebe7223","block_type":"box","text":"additional or specific risks. Cer tain Funds may make substantial investments in Asia-Pacific countries. In many of","page_number":73,"box":{"x":69,"y":188,"width":808,"height":11}},{"id":"e12bd230-794b-4609-97f9-54a21bbfd4ed","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":73,"box":{"x":68,"y":203,"width":838,"height":12}},{"id":"388e3541-1929-420b-8bd6-2c0b2b6eefc9","block_type":"box","text":"representing a limited number of industries, as well as a high concentration of investors and financial intermediaries.","page_number":73,"box":{"x":69,"y":218,"width":834,"height":12}},{"id":"39cf7052-9c41-4e54-b082-7fc3c507208e","block_type":"box","text":"Many of these markets also may be affected by developments with respect to more established markets in the","page_number":73,"box":{"x":70,"y":234,"width":791,"height":11}},{"id":"8e5c1537-8102-4cd1-a4b3-9b354426973c","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":73,"box":{"x":69,"y":249,"width":804,"height":11}},{"id":"9b50237a-5bfd-4f64-a662-8f381831ea46","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":73,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"12ed96bf-c493-4542-b433-79f1042cfdc4","block_type":"box","text":"requirements for open-end investment companies and the restrictions on foreign investment discussed below, result","page_number":73,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"9dcb8504-491e-440a-ac1a-f6aab43a2deb","block_type":"box","text":"in potentially fewer investment oppor tunities for a Fund and may have an adverse impact on the investment","page_number":73,"box":{"x":70,"y":294,"width":766,"height":11}},{"id":"0bd68372-0e65-406e-9d8a-8402755ca48b","block_type":"box","text":"per formance of the Fund.","page_number":73,"box":{"x":70,"y":309,"width":179,"height":11}},{"id":"4a0338f1-7f80-4629-93c8-f95744b014e8","block_type":"box","text":"Many of the developing market Asia-Pacific countries may be subject to a greater degree of economic, political","page_number":73,"box":{"x":102,"y":332,"width":784,"height":11}},{"id":"bb999175-223e-4e35-80ae-b8c4ad261701","block_type":"box","text":"and social instability than is the case in the United States and Western European countries. Such instability may","page_number":73,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"79780f3c-2010-43f6-a4bc-62e847fc3016","block_type":"box","text":"result from, among other things: (i) authoritarian governments or military involvement in political and economic","page_number":73,"box":{"x":69,"y":362,"width":788,"height":11}},{"id":"b7174342-906f-493c-b625-e628f04bc42a","block_type":"box","text":"decision-making, including changes in government through extra-constitutional means; (ii) popular unrest associated","page_number":73,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"37698aa5-d990-4b2f-b92c-f34e7307f9c2","block_type":"box","text":"with demands for improved political, economic and social conditions; (iii) internal insurgencies; (iv) hostile relations","page_number":73,"box":{"x":68,"y":392,"width":823,"height":12}},{"id":"9cd051c9-f151-4f49-a607-bb5a6d43e3d8","block_type":"box","text":"with neighboring countries; and (v) ethnic, religious and racial disaffection. In addition, the governments of many of","page_number":73,"box":{"x":68,"y":407,"width":822,"height":12}},{"id":"00e191aa-462d-4544-abf6-e18dbc85515d","block_type":"box","text":"such countries, such as Indonesia, have a substantial role in regulating and supervising the economy. Another risk","page_number":73,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"85aaa4e8-8e0a-4d07-8d11-0207b1dc90d9","block_type":"box","text":"common to most such countries is that the economy is heavily expor t oriented and, accordingly, is dependent upon","page_number":73,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"0dfd0fad-47ec-493a-99ed-97c5dc12dd2a","block_type":"box","text":"international trade. The existence of overburdened infrastructure and obsolete financial systems also presents risks","page_number":73,"box":{"x":70,"y":453,"width":827,"height":11}},{"id":"2419c35a-3aa0-4810-8497-27b0d38de418","block_type":"box","text":"in cer tain countries, as do environmental problems. Cer tain economies also depend to a significant degree upon","page_number":73,"box":{"x":70,"y":468,"width":803,"height":11}},{"id":"f8259e01-da20-4ca7-824f-186ced4f93a7","block_type":"box","text":"expor ts of primary commodities and, therefore, are vulnerable to changes in commodity prices that, in turn, may be","page_number":73,"box":{"x":69,"y":483,"width":824,"height":11}},{"id":"72eaf958-383e-418e-8d6c-c4ff6c7d1c43","block_type":"box","text":"affected by a variety of factors.","page_number":73,"box":{"x":69,"y":498,"width":220,"height":11}},{"id":"4890f56f-472d-4f57-b4c6-9080227485d1","block_type":"box","text":"The legal systems in cer tain developing market Asia-Pacific countries also may have an adverse impact on the","page_number":73,"box":{"x":101,"y":521,"width":785,"height":11}},{"id":"244ab33c-5a9a-46c5-a117-a6bd0315f870","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":73,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"cdbe7271-8475-4d59-a67b-38919322dc28","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":73,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"1879f43d-ae37-498b-acaa-d5795c4a081f","block_type":"box","text":"clear in cer tain emerging market Asia-Pacific countries. Similarly, the rights of investors in developing market Asia","page_number":73,"box":{"x":69,"y":566,"width":813,"height":11}},{"id":"6bab033e-31cd-4d35-8362-c64d39d5c2c7","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":73,"box":{"x":69,"y":581,"width":777,"height":11}},{"id":"0649b90b-9da3-4aa4-bbb5-082159a814d2","block_type":"box","text":"impossible to obtain and/or enforce a judgment in a developing market Asia-Pacific country.","page_number":73,"box":{"x":70,"y":596,"width":652,"height":12}},{"id":"ffdfd797-b362-4c40-9edd-e4d57bb95f4d","block_type":"box","text":"Governments of many developing market Asia-Pacific countries have exercised and continue to exercise","page_number":73,"box":{"x":102,"y":619,"width":737,"height":11}},{"id":"cd170646-099e-405d-aaab-d7ca6a7fbd98","block_type":"box","text":"substantial influence over many aspects of the private sector. In cer tain cases, the government owns or controls","page_number":73,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"de426c85-1d0a-426c-b9a6-6e03bee07ea6","block_type":"box","text":"many companies, including the largest in the country. Accordingly, government actions in the future could have a","page_number":73,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"a40d7c8a-595c-4628-b4d3-c9ad114f9745","block_type":"box","text":"significant effect on economic conditions in developing market Asia-Pacific countries, which could affect private","page_number":73,"box":{"x":69,"y":664,"width":793,"height":12}},{"id":"5b760c77-ea1d-44bb-b4ca-591e89508651","block_type":"box","text":"sector companies and a Fund itself, as well as the value of securities in the Fund’s por tfolio. In addition, economic","page_number":73,"box":{"x":69,"y":680,"width":820,"height":11}},{"id":"a711cb50-9427-431c-9c86-b8c296c52237","block_type":"box","text":"statistics of developing market Asia-Pacific countries may be less reliable than economic statistics of more developed","page_number":73,"box":{"x":69,"y":695,"width":839,"height":11}},{"id":"60518a47-e266-427f-86ea-9be75e9fc821","block_type":"box","text":"nations.","page_number":73,"box":{"x":69,"y":710,"width":56,"height":9}},{"id":"22900192-3ea1-48ed-a738-d470b3cedd03","block_type":"box","text":"In addition to the relative lack of publicly available information about developing market Asia-Pacific issuers and","page_number":73,"box":{"x":102,"y":732,"width":794,"height":12}},{"id":"8351322b-ba34-4e61-a01f-37ce750a00ea","block_type":"box","text":"the possibility that such issuers may not be subject to the same accounting, auditing and financial repor ting","page_number":73,"box":{"x":68,"y":748,"width":773,"height":11}},{"id":"9fb4cc87-3819-4975-9d92-5c6e8b43749c","block_type":"box","text":"standards as U.S. companies, inflation accounting rules in some developing market Asia-Pacific countries require","page_number":73,"box":{"x":69,"y":763,"width":808,"height":11}},{"id":"76188c18-0326-4791-b238-d586ff0a6167","block_type":"box","text":"companies that keep accounting records in the local currency, for both tax and accounting purposes, to restate","page_number":73,"box":{"x":69,"y":778,"width":791,"height":11}},{"id":"1870770b-7416-42d5-b177-a867403f864e","block_type":"box","text":"cer tain assets and liabilities on the company’s balance sheet in order to express items in terms of currency of","page_number":73,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"5249d6b5-b5b4-4b51-930c-0969bfc003bb","block_type":"box","text":"constant purchasing power. Inflation accounting may indirectly generate losses or profits for cer tain developing","page_number":73,"box":{"x":69,"y":808,"width":790,"height":11}},{"id":"18bb3d6f-dbd5-4108-aaa0-eff80495c1c1","block_type":"box","text":"market Asia-Pacific companies.","page_number":73,"box":{"x":69,"y":823,"width":220,"height":11}},{"id":"3e4a4d76-5c20-4ffb-aaeb-aeb6d940d28a","block_type":"box","text":"Satisfactory custodial services for investment securities may not be available in some developing Asia-Pacific","page_number":73,"box":{"x":102,"y":846,"width":780,"height":11}},{"id":"0fac30a4-374d-4c80-890c-4d532bd19f9d","block_type":"box","text":"countries, which may result in the Fund incurring additional costs and delays in providing transpor tation and custody","page_number":73,"box":{"x":69,"y":861,"width":829,"height":11}},{"id":"190fd210-45cc-4f09-86a4-99d835dcab97","block_type":"box","text":"services for such securities outside such countries.","page_number":73,"box":{"x":69,"y":876,"width":367,"height":9}},{"id":"3e2ab946-028a-46eb-a861-38889c8514cd","block_type":"box","text":"II-36","page_number":73,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ae0e9299-6e32-4f94-82b6-8a9bf9a02f93","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":73,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5adb730c-ff44-4a07-8d30-e210ce367597","block_type":"box","text":"Cer tain developing Asia-Pacific countries, such as the Philippines, India and Turkey, are especially large debtors","page_number":74,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"f72aed72-139c-48fc-945b-844fd66ee3d8","block_type":"box","text":"to commercial banks and foreign governments.","page_number":74,"box":{"x":68,"y":60,"width":335,"height":11}},{"id":"43288975-a488-4e29-936b-af5df4e5f57e","block_type":"box","text":"Natural disasters in Asia-Pacific countries, and the resulting damage, could have a severe and negative impact","page_number":74,"box":{"x":102,"y":82,"width":788,"height":12}},{"id":"677d8c01-6d2d-4058-8b3f-c90f29916aeb","block_type":"box","text":"on a Fund’s investment por tfolio and, in the longer term, could impair the ability of issuers in which the Fund invests","page_number":74,"box":{"x":69,"y":98,"width":830,"height":11}},{"id":"227875b3-7b43-4629-969d-bab93995f83a","block_type":"box","text":"to conduct their businesses in the manner normally conducted.","page_number":74,"box":{"x":68,"y":113,"width":450,"height":11}},{"id":"37be5125-f194-480e-894c-5c4f968790f1","block_type":"box","text":"Fund management may determine that, notwithstanding otherwise favorable investment criteria, it may not be","page_number":74,"box":{"x":102,"y":135,"width":782,"height":12}},{"id":"d987504a-b3f1-4334-ae8a-1ed512a78f7c","block_type":"box","text":"practicable or appropriate to invest in a par ticular developing Asia-Pacific country. A Fund may invest in countries in","page_number":74,"box":{"x":70,"y":150,"width":819,"height":12}},{"id":"a8e33f71-c30e-40e4-afd9-4d3549b796a6","block_type":"box","text":"which foreign investors, including management of the Fund, have had no or limited prior experience.","page_number":74,"box":{"x":68,"y":166,"width":711,"height":11}},{"id":"d6304e34-cb4b-4158-942c-cb3c62fc8dc5","block_type":"box","text":"Restrictions on Foreign Investments in Asia-Pacific Countries.","page_number":74,"box":{"x":102,"y":188,"width":435,"height":12}},{"id":"f561cb85-5918-43a9-be2a-740fd5f25106","block_type":"box","text":"Some developing Asia-Pacific countries prohibit or","page_number":74,"box":{"x":543,"y":188,"width":355,"height":12}},{"id":"06a1427e-4b30-403c-82e5-70ba964c1524","block_type":"box","text":"impose substantial restrictions on investments in their capital markets, par ticularly their equity markets, by foreign","page_number":74,"box":{"x":70,"y":203,"width":817,"height":12}},{"id":"c51b3d3f-f713-4fdd-b696-34fdc7a93215","block_type":"box","text":"entities such as a Fund. As illustrations, cer tain countries may require governmental approval prior to investments by","page_number":74,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"87714dd2-7154-4c2e-956d-047f05892d85","block_type":"box","text":"foreign persons or limit the amount of investment by foreign persons in a par ticular company or limit the investment","page_number":74,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"cf3103ce-f700-40ed-8f07-bcd99818c55e","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":74,"box":{"x":69,"y":249,"width":794,"height":11}},{"id":"caadae33-256b-4d83-a9f2-ecb08b8872a9","block_type":"box","text":"(including price and shareholder rights) than securities of the company available for purchase by nationals. There can","page_number":74,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"252bf44f-70d8-422d-9ad5-85f7f737f6a4","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":74,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"116c855d-89aa-4acf-8a07-2a22ea3fcdaa","block_type":"box","text":"changes to restrictions on foreign ownership of securities subsequent to a Fund’s purchase of such securities may","page_number":74,"box":{"x":69,"y":294,"width":820,"height":11}},{"id":"b84076a1-5890-4069-9560-8317d411ae96","block_type":"box","text":"have an adverse effect on the value of such shares. Cer tain countries may restrict investment oppor tunities in","page_number":74,"box":{"x":69,"y":309,"width":788,"height":11}},{"id":"cb780dcb-393f-4677-9a32-e2aad2bb676a","block_type":"box","text":"issuers or industries deemed impor tant to national interests.","page_number":74,"box":{"x":70,"y":325,"width":434,"height":10}},{"id":"e471922e-35ac-4af5-937d-0ba42d3f0e6f","block_type":"box","text":"The manner in which foreign investors may invest in companies in cer tain developing Asia-Pacific countries, as","page_number":74,"box":{"x":101,"y":347,"width":787,"height":11}},{"id":"f4c8ef0f-864b-4abf-b2eb-53e1335d45bc","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":74,"box":{"x":68,"y":362,"width":833,"height":11}},{"id":"0bc7f5b8-f6e2-4b87-982f-64796fcd8bb6","block_type":"box","text":"a Fund may be required in cer tain of such countries to invest initially through a local broker or other entity and then","page_number":74,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"f7d0a1b7-ef4e-4515-b0b5-7bc780bd2aa0","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":74,"box":{"x":69,"y":392,"width":831,"height":12}},{"id":"77a9b481-27ce-4276-9397-068e2ec0a53f","block_type":"box","text":"to occur on a timely basis, resulting in a delay during which a Fund may be denied cer tain of its rights as an investor,","page_number":74,"box":{"x":68,"y":407,"width":834,"height":12}},{"id":"62489026-96e0-4585-984e-9380b75687fd","block_type":"box","text":"including rights as to dividends or to be made aware of cer tain corporate actions. There also may be instances where","page_number":74,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"367ad127-6a82-490f-b570-9b5d5f460751","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":74,"box":{"x":69,"y":438,"width":800,"height":11}},{"id":"ef9e0bb0-4f3d-4dc3-b458-09f5541583be","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":74,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"2a0b9ba8-f475-424c-b0e8-c75d9a35f44c","block_type":"box","text":"investment at that time.","page_number":74,"box":{"x":70,"y":468,"width":168,"height":9}},{"id":"a3cd90c4-eacb-40ff-aeba-3fc4ff87077e","block_type":"box","text":"Substantial limitations may exist in cer tain countries with respect to a Fund’s ability to repatriate investment","page_number":74,"box":{"x":102,"y":491,"width":774,"height":11}},{"id":"47b48b4d-9eb6-4ecc-b671-7db079d8e94a","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":74,"box":{"x":70,"y":506,"width":803,"height":11}},{"id":"13c4595b-a941-4d98-8105-217053f518b7","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":74,"box":{"x":69,"y":521,"width":789,"height":11}},{"id":"4b8a5066-53d5-4710-8709-02121e60b256","block_type":"box","text":"application to the Fund of any restrictions on investments. It is possible that cer tain countries may impose currency","page_number":74,"box":{"x":69,"y":536,"width":826,"height":11}},{"id":"56e4c397-2455-4ed3-a3ad-31c1713af65d","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":74,"box":{"x":69,"y":551,"width":818,"height":11}},{"id":"69aa284c-0886-4b4f-9d7e-1bea36131e46","block_type":"box","text":"that such restrictions have the effect of making cer tain investments illiquid, securities may not be available for sale","page_number":74,"box":{"x":68,"y":566,"width":826,"height":11}},{"id":"ec1c55aa-2e41-4dc2-b9f3-da436d248473","block_type":"box","text":"to meet redemptions. Depending on a variety of financial factors, the percentage of a Fund’s por tfolio subject to","page_number":74,"box":{"x":68,"y":581,"width":800,"height":12}},{"id":"091d35de-9f01-4e69-8b0e-bb308be58533","block_type":"box","text":"currency controls may increase. In the event other countries impose similar controls, the por tion of the Fund’s assets","page_number":74,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"3e842002-d466-442c-9ad3-8e1088a96181","block_type":"box","text":"that may be used to meet redemptions may be fur ther decreased. Even where there is no outright restriction on","page_number":74,"box":{"x":68,"y":612,"width":798,"height":11}},{"id":"6c9062df-d0c8-4ce5-ae1f-c7250d058726","block_type":"box","text":"repatriation of capital, the mechanics of repatriation may affect cer tain aspects of the operations of a Fund (for","page_number":74,"box":{"x":69,"y":627,"width":795,"height":11}},{"id":"a97922c2-54e1-4d7d-9513-2f49ff4aec87","block_type":"box","text":"example, if funds may be withdrawn only in cer tain currencies and/or only at an exchange rate established by the","page_number":74,"box":{"x":69,"y":642,"width":808,"height":11}},{"id":"bc61919e-3103-4bb3-aad6-670d8f23192a","block_type":"box","text":"government).","page_number":74,"box":{"x":68,"y":657,"width":92,"height":11}},{"id":"3e8f7e35-8229-4151-90c1-019cc2137609","block_type":"box","text":"In cer tain countries, banks or other financial institutions may be among the leading companies or have actively","page_number":74,"box":{"x":102,"y":680,"width":790,"height":11}},{"id":"b2945256-463c-41df-9a1d-e48964aa4333","block_type":"box","text":"traded securities available for investment. The Investment Company Act restricts a Fund’s investments in any equity","page_number":74,"box":{"x":68,"y":695,"width":828,"height":11}},{"id":"bc8d0c1f-ba44-4557-bf6e-07ebb181c004","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":74,"box":{"x":69,"y":710,"width":808,"height":11}},{"id":"d135d192-00b5-4974-9afe-e4eb27278f89","block_type":"box","text":"related activities,” as defined by the rules thereunder. These provisions may restrict a Fund’s investments in cer tain","page_number":74,"box":{"x":69,"y":725,"width":829,"height":11}},{"id":"62873cec-049c-428e-b18d-1958bf59b455","block_type":"box","text":"foreign banks and other financial institutions.","page_number":74,"box":{"x":68,"y":740,"width":322,"height":11}},{"id":"a372aa51-d2d1-4866-adb1-cb841e893072","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":74,"box":{"x":102,"y":763,"width":767,"height":11}},{"id":"bba8e9c4-1b80-404e-a322-870848bfcd03","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":74,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"e6846fce-3d2b-4fce-bdce-d4a5358952f2","block_type":"box","text":"developed countries. Some of these countries may have in the past failed to recognize private proper ty rights and","page_number":74,"box":{"x":69,"y":793,"width":809,"height":11}},{"id":"f2ec290c-0a63-41ba-bff5-520eeedfb0ed","block_type":"box","text":"have at times nationalized or expropriated the assets of private companies. As a result the risks described above,","page_number":74,"box":{"x":69,"y":808,"width":812,"height":11}},{"id":"b73b0268-32dd-4ad1-984a-90213c8ce149","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":74,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"11e33ab9-cf73-4419-a95b-4fc695b8af84","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":74,"box":{"x":69,"y":838,"width":788,"height":11}},{"id":"24966e6b-4bd1-4173-9bfc-bb0dc910ee77","block_type":"box","text":"additional investments in emerging market countries. The small size and inexperience of the securities markets in","page_number":74,"box":{"x":69,"y":853,"width":812,"height":12}},{"id":"aeda5f48-dad1-409d-85e0-17178db7275c","block_type":"box","text":"cer tain of these countries and the limited volume of trading in securities in these countries may make investments in","page_number":74,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"e766b919-9f26-40fe-8ace-9f3271c9a5a6","block_type":"box","text":"the countries illiquid and more volatile than investments in Japan or most Western European countries. There may be","page_number":74,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"65160831-8f72-4f75-9dc5-1fc0f1e7aedd","block_type":"box","text":"II-37","page_number":74,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6a168703-e63d-435f-b726-2c8ae3730ddf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":74,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3f25c248-29fe-4b99-919d-82737892086b","block_type":"box","text":"little financial or accounting information available with respect to issuers located in cer tain emerging market","page_number":75,"box":{"x":70,"y":45,"width":771,"height":11}},{"id":"6bb2fb3d-5c94-48b0-8194-be7e1a1931dc","block_type":"box","text":"countries, and it may be difficult to assess the value or prospects of an investment in such issuers.","page_number":75,"box":{"x":69,"y":60,"width":711,"height":11}},{"id":"9a1a61ae-9c1e-4081-bdca-9fff1cc22bf2","block_type":"box","text":"The expense ratios of the Funds investing significantly in foreign securities can be expected to be higher than","page_number":75,"box":{"x":101,"y":82,"width":779,"height":12}},{"id":"7e377e58-558d-4027-943f-40d4513c9250","block_type":"box","text":"those of Funds investing primarily in domestic securities. The costs attributable to investing abroad are usually higher","page_number":75,"box":{"x":68,"y":98,"width":840,"height":11}},{"id":"6c1083d4-2036-4856-b0e9-94ab477d9490","block_type":"box","text":"for several reasons, such as the higher cost of custody of foreign securities, higher commissions paid on comparable","page_number":75,"box":{"x":68,"y":113,"width":838,"height":11}},{"id":"37459149-a5b3-47b0-bfc7-0cf0df5d60fb","block_type":"box","text":"transactions on foreign markets and additional costs arising from delays in settlements of transactions involving","page_number":75,"box":{"x":68,"y":128,"width":802,"height":11}},{"id":"2c9ddf88-72d0-49c1-9bb3-27b8d7eb5db1","block_type":"box","text":"foreign securities.","page_number":75,"box":{"x":68,"y":143,"width":127,"height":11}},{"id":"7b91a83a-800e-4f2d-b1bc-3d8541a3ae44","block_type":"box","text":"Risks of Investments in Russia.","page_number":75,"box":{"x":102,"y":166,"width":224,"height":9}},{"id":"14bf03e3-23b8-4ff0-95d7-ba9b59087a57","block_type":"box","text":"A Fund may invest a por tion of its assets in securities issued by companies","page_number":75,"box":{"x":332,"y":166,"width":539,"height":11}},{"id":"35326950-5e2f-4a7a-84bf-631da1a7e58b","block_type":"box","text":"located in Russia. The Russian securities market suffers from a variety of problems described above in “Investment","page_number":75,"box":{"x":70,"y":181,"width":826,"height":11}},{"id":"b106bb28-52ba-4308-88d3-044996f2628c","block_type":"box","text":"in Emerging Markets” not encountered in more developed markets. The Russian securities market is relatively new,","page_number":75,"box":{"x":70,"y":196,"width":821,"height":11}},{"id":"3be5c8e5-7b2e-4962-b5b5-d5d9da8b554a","block_type":"box","text":"and a substantial por tion of securities transactions in Russia are privately negotiated outside of stock exchanges.","page_number":75,"box":{"x":69,"y":211,"width":812,"height":11}},{"id":"7c1a6073-72f2-404c-86fa-51ea6984547f","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":75,"box":{"x":68,"y":226,"width":824,"height":11}},{"id":"239c0782-69a6-4a1e-9555-079aa7ce14c0","block_type":"box","text":"make obtaining accurate prices on por tfolio securities from independent sources more difficult than in more","page_number":75,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"e588ef9b-06a8-4552-810a-ee03d63c7903","block_type":"box","text":"developed markets.","page_number":75,"box":{"x":69,"y":257,"width":138,"height":10}},{"id":"aad3f939-fe60-4461-be57-cda2da25636d","block_type":"box","text":"Because of the underdeveloped state of Russia’s securities markets and banking and telecommunication","page_number":75,"box":{"x":102,"y":279,"width":751,"height":11}},{"id":"85dc8dee-969c-4ef7-b244-0fc3b9188bf0","block_type":"box","text":"systems, settlement, clearing and registration of securities transactions are subject to additional risks. Prior to 2013,","page_number":75,"box":{"x":69,"y":294,"width":839,"height":11}},{"id":"c9cfb4f7-fd6c-4667-b1b1-ee080e2edfcd","block_type":"box","text":"there was no central registration system for equity share registration in Russia and registration was carried out either","page_number":75,"box":{"x":68,"y":309,"width":838,"height":11}},{"id":"5a7268a9-4241-4f0f-9215-42c15761e855","block_type":"box","text":"by the issuers themselves or by registrars located throughout Russia. These registrars may not have been subject to","page_number":75,"box":{"x":69,"y":325,"width":831,"height":11}},{"id":"ff1fce29-c6c9-43c2-b19c-78fb67253cd4","block_type":"box","text":"effective state supervision or licensed with any governmental entity. In 2013, Russia established the National","page_number":75,"box":{"x":69,"y":339,"width":783,"height":12}},{"id":"fd6a733b-2503-4840-a7cf-76d64998a088","block_type":"box","text":"Settlement Depository (“NSD”) as a recognized central securities depository, and title to Russian equities held","page_number":75,"box":{"x":69,"y":355,"width":790,"height":11}},{"id":"ba3477b6-6c11-47e1-b76f-4e6cff7e49bd","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":75,"box":{"x":68,"y":370,"width":833,"height":11}},{"id":"b427e172-b892-490c-9423-1378968e74cf","block_type":"box","text":"implementation of the NSD has enhanced the efficiency and transparency of the Russian securities market, loss still","page_number":75,"box":{"x":70,"y":385,"width":831,"height":11}},{"id":"5b4b5d44-1caf-4001-ab87-34174da96104","block_type":"box","text":"can occur. Additionally, issuers and registrars remain prominent in the validation and approval of documentation","page_number":75,"box":{"x":69,"y":400,"width":797,"height":11}},{"id":"280bc395-0b65-4a27-8786-bb8ef4474061","block_type":"box","text":"requirements for corporate action processing in Russia, and, because the documentation requirements and approval","page_number":75,"box":{"x":69,"y":415,"width":832,"height":11}},{"id":"64aa681f-df4a-44b0-96f9-fbbc62bdcbac","block_type":"box","text":"criteria vary between registrars and issuers, there remain inconsistent market standards in the Russian market with","page_number":75,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"2d3a8b37-9d4e-4b3f-be07-5dac345eeaac","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":75,"box":{"x":69,"y":445,"width":800,"height":11}},{"id":"6e0c2fd8-57bb-4d64-b5fb-79ef40ddcf31","block_type":"box","text":"relating to title or corporate actions relating to its por tfolio securities, it may be difficult for the Fund to enforce its","page_number":75,"box":{"x":69,"y":460,"width":813,"height":12}},{"id":"7d8240b0-5faf-4a9f-aea4-6c7162ec45a2","block_type":"box","text":"rights or otherwise remedy the loss. Russian securities laws may not recognize foreign nominee accounts held with a","page_number":75,"box":{"x":69,"y":475,"width":836,"height":12}},{"id":"d3cafd1f-6f44-4a92-a4f1-7c69bea95b9e","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":75,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"1450e009-dcff-4cb3-b7a9-f38b6de5354e","block_type":"box","text":"their clients. A Fund also may experience difficulty in obtaining and/or enforcing judgments in Russia.","page_number":75,"box":{"x":68,"y":506,"width":723,"height":11}},{"id":"1678d66e-5cc4-4294-b85e-e2956399ea42","block_type":"box","text":"In addition, Russia continues to asser t its influence in the region through economic and military measures, as it","page_number":75,"box":{"x":102,"y":528,"width":801,"height":12}},{"id":"68762486-0959-4c98-ab2f-a00ff8f60938","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":75,"box":{"x":69,"y":543,"width":826,"height":12}},{"id":"7a2c5041-7038-4a41-b339-e71648a20645","block_type":"box","text":"of Ukraine on February 24, 2022. The extent and duration of the military action, resulting sanctions and resulting","page_number":75,"box":{"x":69,"y":559,"width":809,"height":11}},{"id":"60886b96-ba22-403f-adf2-40250008ea0e","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":75,"box":{"x":68,"y":574,"width":821,"height":11}},{"id":"26778f47-65ce-4e89-86db-f6509fc44a84","block_type":"box","text":"are impossible to predict. Any such disruptions caused by Russian military action or other actions (including","page_number":75,"box":{"x":69,"y":589,"width":770,"height":11}},{"id":"8a80b930-cc09-4e9c-a67e-ea60615d579d","block_type":"box","text":"cyberattacks and espionage) or resulting actual and threatened responses to such activity, including purchasing and","page_number":75,"box":{"x":69,"y":604,"width":827,"height":11}},{"id":"1196dd33-b8c2-46bc-b29c-432c17136039","block_type":"box","text":"financing restrictions, boycotts or changes in consumer or purchaser preferences, sanctions, tariffs or cyberattacks","page_number":75,"box":{"x":68,"y":619,"width":824,"height":11}},{"id":"308b4194-1a8c-4537-94eb-6a17ade3c279","block_type":"box","text":"on the Russian government, Russian companies or Russian individuals, including politicians, may impact Russia’s","page_number":75,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"68e7d5f2-24fb-41dc-b3b7-bd834b7e75ba","block_type":"box","text":"economy and Russian issuers of securities in which the Fund invests. Actual and threatened responses to such","page_number":75,"box":{"x":69,"y":649,"width":795,"height":12}},{"id":"4b078a8d-7dc2-48e6-a1ad-6bd275b92405","block_type":"box","text":"activity, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Russian government or Russian","page_number":75,"box":{"x":69,"y":664,"width":814,"height":12}},{"id":"1c76a7fe-58c1-4d42-b78a-5f6217a2eda4","block_type":"box","text":"companies, may impact Russia’s economy and Russian issuers of securities in which the Fund invests. Actual and","page_number":75,"box":{"x":69,"y":680,"width":816,"height":11}},{"id":"12f6b9ef-f03e-403d-ae8b-df3bef0f5be1","block_type":"box","text":"threatened responses to such military action may also impact the markets for cer tain Russian commodities, such as","page_number":75,"box":{"x":68,"y":695,"width":836,"height":11}},{"id":"76c8edbd-f5e1-4917-8cbd-f1dbeb241e85","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":75,"box":{"x":69,"y":710,"width":829,"height":11}},{"id":"4275d991-eaec-4145-9c52-c6617ab8ff1c","block_type":"box","text":"sectors globally.","page_number":75,"box":{"x":69,"y":725,"width":112,"height":11}},{"id":"de9f7c04-aff9-4895-985e-4c300ea446ae","block_type":"box","text":"Governments in the United States and many other countries (collectively, the “Sanctioning Bodies”) have","page_number":75,"box":{"x":102,"y":748,"width":745,"height":11}},{"id":"6b724ffc-a409-46d8-b456-2e815755a6cd","block_type":"box","text":"imposed economic sanctions, which can consist of prohibiting cer tain securities trades, cer tain private transactions","page_number":75,"box":{"x":70,"y":763,"width":826,"height":11}},{"id":"1365fc47-2eab-4290-8bd8-f82d26d31cfc","block_type":"box","text":"in the energy sector, asset freezes and prohibition of all business, against cer tain Russian individuals, including","page_number":75,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"90b324e8-cdc3-4ca3-b2e9-33085da4eddc","block_type":"box","text":"politicians, and Russian corporate and banking entities. The Sanctioning Bodies, or others, could also institute","page_number":75,"box":{"x":70,"y":793,"width":788,"height":11}},{"id":"52e03110-da1e-4f07-90a6-c0847f1a1e37","block_type":"box","text":"broader sanctions on Russia, including banning Russia from global payments systems that facilitate cross-border","page_number":75,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"c6f58e94-a5b3-4b9b-a3c2-a6bcd84fc998","block_type":"box","text":"payments. These sanctions, or even the threat of fur ther sanctions, may result in the decline of the value and","page_number":75,"box":{"x":70,"y":823,"width":782,"height":11}},{"id":"77e60bc0-bef3-41c6-a202-ddaf20728395","block_type":"box","text":"liquidity of Russian securities, a weakening of the ruble or other adverse consequences to the Russian economy.","page_number":75,"box":{"x":70,"y":838,"width":802,"height":12}},{"id":"224ca3bf-da9f-4515-8737-ed6578af4cfd","block_type":"box","text":"These sanctions have resulted and may continue to result in the immediate freeze of Russian securities and/or","page_number":75,"box":{"x":68,"y":853,"width":797,"height":12}},{"id":"6e835610-aa3f-47f4-89cc-f5f74b1fa489","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":75,"box":{"x":68,"y":869,"width":804,"height":11}},{"id":"eabaf3fd-02a2-44bf-baeb-7613e8d339ad","block_type":"box","text":"and/or assets. Sanctions could also result in Russia taking counter measures or retaliatory actions which may","page_number":75,"box":{"x":69,"y":884,"width":791,"height":11}},{"id":"cdc7a9d4-6b7c-4386-9618-1f84da4ca31f","block_type":"box","text":"fur ther impair the value and liquidity of Russian securities.","page_number":75,"box":{"x":68,"y":899,"width":417,"height":11}},{"id":"74c7308e-9274-45d5-b7c9-dd2bfca9c856","block_type":"box","text":"II-38","page_number":75,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a4ed4cfc-8a66-4aa5-8d54-0891df16710a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":75,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"49b3889f-17d2-45a2-a8e7-13650900b7f8","block_type":"box","text":"Risks of Investing in Saudi Arabia.","page_number":76,"box":{"x":102,"y":45,"width":241,"height":11}},{"id":"c2eb4e8a-15ee-4140-abe2-53dd552712a9","block_type":"box","text":"The ability of foreign investors (such as a Fund) to invest in Saudi Arabian","page_number":76,"box":{"x":350,"y":45,"width":523,"height":11}},{"id":"f479abc1-7e1b-4b97-b4e3-d02c086c285f","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":76,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"c94ca327-b4fc-40d7-8342-d04dcd0d7614","block_type":"box","text":"and unforeseen risks could materialize due to foreign ownership in such securities. In addition, the Capital Market","page_number":76,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"09b7c19e-2bda-4d76-bf5c-6e42ec9edf2b","block_type":"box","text":"Authority (“CMA”) places investment limitations on the ownership of Saudi Arabian issuers by foreign investors,","page_number":76,"box":{"x":68,"y":90,"width":793,"height":11}},{"id":"be06fd34-90a3-45ba-8f80-eb7aca3432cd","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":76,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"8739eaa4-51e1-4d8c-9c4c-669340ff5e6c","block_type":"box","text":"may prevent a Fund from investing in accordance with its strategy and contribute to tracking error against the","page_number":76,"box":{"x":69,"y":120,"width":777,"height":12}},{"id":"45e01bbb-f317-4736-b0ab-a2454fb6c161","block_type":"box","text":"Underlying Index. These restrictions may be changed or new restrictions, such as licensing requirements, special","page_number":76,"box":{"x":70,"y":136,"width":803,"height":11}},{"id":"2611d9cf-4295-4f62-8c7f-d3d039c57d68","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":76,"box":{"x":69,"y":150,"width":837,"height":12}},{"id":"8b5e04ac-3d64-4a4e-ac27-b3144dc69d97","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":76,"box":{"x":69,"y":166,"width":765,"height":11}},{"id":"b6ce7663-2dbe-4993-98d2-3acb0549b2aa","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":76,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"a9d37925-0559-49b6-b2ec-5d7b7a2eb310","block_type":"box","text":"may be exacerbated, compared to more developed markets, given the limited history of foreign investment in the","page_number":76,"box":{"x":69,"y":196,"width":805,"height":11}},{"id":"a413499b-28ee-4b86-a59d-85959227bb27","block_type":"box","text":"Saudi Arabian market. Investments in Saudi Arabia may also be subject to loss due to expropriation or nationalization","page_number":76,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"646a06ff-5a7f-488a-b12f-40eee3135e8c","block_type":"box","text":"of assets and proper ty or the imposition of restrictions on additional foreign investments and repatriation of capital.","page_number":76,"box":{"x":69,"y":226,"width":826,"height":11}},{"id":"3091a939-f9a6-44da-a16c-7b555bfe61eb","block_type":"box","text":"Such heightened risks may include, among others, restrictions on and government intervention in international trade,","page_number":76,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"22413057-ed0b-43c1-a2d2-cf56f2a8b400","block_type":"box","text":"confiscatory taxation, political instability, including authoritarian and/or military involvement in governmental decision","page_number":76,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"7f41e4ed-032c-4627-8dce-35bc5594b4a4","block_type":"box","text":"making, armed conflict, crime and instability as a result of religious, ethnic and/or socioeconomic unrest. Saudi","page_number":76,"box":{"x":69,"y":271,"width":797,"height":12}},{"id":"1e0399a3-57c0-4611-812d-47856ed40e85","block_type":"box","text":"Arabia has privatized, or has begun the process of privatizing, cer tain entities and industries. Newly privatized","page_number":76,"box":{"x":68,"y":286,"width":781,"height":12}},{"id":"3c0b6d44-3279-43f5-a345-770320dbd694","block_type":"box","text":"companies may face strong competition from government-sponsored competitors that have not been privatized. In","page_number":76,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"b6d70d49-a2ed-4d68-94e7-22d055b7bd45","block_type":"box","text":"some instances, investors in newly privatized entities have suffered losses due to the inability of the newly privatized","page_number":76,"box":{"x":69,"y":317,"width":833,"height":11}},{"id":"59e1a399-27c2-42c3-bf34-247848f6ee68","block_type":"box","text":"entities to adjust quickly to a competitive environment or changing regulatory and legal standards or, in some cases,","page_number":76,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"4c3d2813-e68a-452f-8155-a916d864abe1","block_type":"box","text":"due to re-nationalization of such privatized entities. There is no assurance that similar losses will not recur. Fur ther,","page_number":76,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"f6ee49b3-f08a-4998-a80c-875aa85f910a","block_type":"box","text":"under income tax laws imposed by the Depar tment of Zakat and Income Tax, dividends paid by a Saudi Arabian","page_number":76,"box":{"x":69,"y":362,"width":791,"height":11}},{"id":"115d3f88-9328-4a99-95ff-f980615b866a","block_type":"box","text":"company to foreign stockholders are generally subject to a 5% withholding tax (different tax rates may apply pursuant","page_number":76,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"c698a029-b595-471a-b945-870d83cef84e","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":76,"box":{"x":68,"y":392,"width":799,"height":12}},{"id":"5663e886-a599-4236-be77-c5fed0e5d358","block_type":"box","text":"countries involved in the sale of petroleum, and its economy is therefore vulnerable to changes in foreign currency","page_number":76,"box":{"x":69,"y":407,"width":815,"height":12}},{"id":"3f2e6b8c-18de-4acc-9a0f-cdb8c5b38d1f","block_type":"box","text":"values and the market for petroleum. As global demand for petroleum fluctuates, Saudi Arabia may be significantly","page_number":76,"box":{"x":68,"y":423,"width":818,"height":11}},{"id":"2954fe11-bb1a-4bb2-bee9-cdfb45f5a084","block_type":"box","text":"impacted.","page_number":76,"box":{"x":70,"y":438,"width":67,"height":11}},{"id":"95d3fa2f-aa51-40cc-9c80-1bc2d0186683","block_type":"box","text":"Like most Middle Eastern governments, the government of Saudi Arabia exercises substantial influence over","page_number":76,"box":{"x":102,"y":460,"width":773,"height":12}},{"id":"37f28c95-e923-4606-b3ea-64079a31d4e7","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":76,"box":{"x":69,"y":475,"width":812,"height":12}},{"id":"2c452c8e-2ee3-48f4-9fa1-780351ae3e31","block_type":"box","text":"lagged significantly: restrictions on foreign ownership persist, and the government has an ownership stake in many","page_number":76,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"f3774642-2160-4782-a4b9-35fb857f8636","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":76,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"9ff9e18b-5aa5-4abc-b79a-404c506833da","block_type":"box","text":"Arabia has historically experienced strained relations with economic par tners worldwide, including other countries in","page_number":76,"box":{"x":68,"y":521,"width":826,"height":11}},{"id":"e33d6e32-e0b9-420a-accc-3655518b7a51","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":76,"box":{"x":68,"y":536,"width":809,"height":11}},{"id":"309ab935-b674-42a3-879f-248a69b2c221","block_type":"box","text":"including terrorism, may cause uncer tainty in their markets and may adversely affect its economy and a Fund’s","page_number":76,"box":{"x":70,"y":551,"width":790,"height":11}},{"id":"578b9c36-6705-4fdf-a7ed-486789a97aeb","block_type":"box","text":"investments. Governmental actions in the future could have a significant effect on economic conditions in Saudi","page_number":76,"box":{"x":70,"y":566,"width":798,"height":11}},{"id":"e9e5660e-51c6-403c-8e09-9bb0d59c8e97","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":76,"box":{"x":68,"y":581,"width":781,"height":11}},{"id":"3dd4d04a-1e8b-4b34-a81e-475d8b1830e8","block_type":"box","text":"por tfolio. Any economic sanctions on Saudi Arabian individuals or Saudi Arabian corporate entities, or even the threat","page_number":76,"box":{"x":70,"y":596,"width":836,"height":12}},{"id":"9156627d-eadd-49d6-b79a-b7ff68162c0e","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":76,"box":{"x":69,"y":612,"width":837,"height":11}},{"id":"dca60735-24f0-4821-90d1-d8d35c07870b","block_type":"box","text":"riyal or other adverse consequences to the Saudi Arabian economy. In addition, Saudi Arabia’s economy relies heavily","page_number":76,"box":{"x":69,"y":627,"width":838,"height":11}},{"id":"fd480e85-940e-42e6-adfe-e81fdab4f893","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":76,"box":{"x":69,"y":642,"width":790,"height":11}},{"id":"b2ce4d4b-8785-4898-b079-e42900f7b53c","block_type":"box","text":"economy.","page_number":76,"box":{"x":69,"y":659,"width":65,"height":9}},{"id":"d708a3cd-612c-4f58-b4c1-8aa28fe76848","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":76,"box":{"x":101,"y":680,"width":747,"height":11}},{"id":"6b4c1a97-78ce-46cc-97d7-bd59d933ba22","block_type":"box","text":"securities markets in Saudi Arabia are subject to greater risks associated with market volatility, lower market","page_number":76,"box":{"x":69,"y":695,"width":776,"height":11}},{"id":"49b78a88-927c-49f0-816b-048a5c191f95","block_type":"box","text":"capitalization, lower trading volume, illiquidity, inflation, greater price fluctuations, uncer tainty regarding the existence","page_number":76,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"6f333f3d-d98c-4846-a10a-2154e383f504","block_type":"box","text":"of trading markets, governmental control and heavy regulation of labor and industry. Shares of cer tain Saudi Arabian","page_number":76,"box":{"x":69,"y":725,"width":830,"height":11}},{"id":"16f36e18-bd70-4c5a-83db-2d086c6b5f4d","block_type":"box","text":"companies tend to trade less frequently than those of companies on exchanges in more developed markets. Such","page_number":76,"box":{"x":69,"y":740,"width":813,"height":11}},{"id":"eb50e29e-0edc-4da2-b691-dd56b1b56c5d","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":76,"box":{"x":70,"y":755,"width":822,"height":11}},{"id":"c2b06160-26de-44dc-94df-3528bed3533e","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":76,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"0d360830-63d7-4950-b298-0f913f39943e","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":76,"box":{"x":69,"y":785,"width":826,"height":12}},{"id":"3e43eb46-ff61-44b6-811d-b81a467b953d","block_type":"box","text":"typically the case for investment managers.","page_number":76,"box":{"x":68,"y":801,"width":309,"height":11}},{"id":"0a02fa03-b103-4fc4-9233-26bded7ef367","block_type":"box","text":"Although the political situation in Saudi Arabia is largely stable, Saudi Arabia has historically experienced political","page_number":76,"box":{"x":101,"y":823,"width":806,"height":12}},{"id":"65048b95-91bb-4636-9c55-e444d2ae29bd","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":76,"box":{"x":70,"y":838,"width":828,"height":12}},{"id":"7c5f9a8f-2f1d-405e-8ad9-c783fc373597","block_type":"box","text":"Middle East region could adversely impact the economy of Saudi Arabia. Instability may be caused by military","page_number":76,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"9b4c1587-8477-4d57-bf58-29057f18797f","block_type":"box","text":"developments, government interventions in the marketplace, terrorism, extremist attitudes, attempted social or","page_number":76,"box":{"x":69,"y":869,"width":796,"height":11}},{"id":"851066a6-f248-4cb1-88ed-e6e4fe5b3871","block_type":"box","text":"political reforms, religious differences, or other factors. Additionally, anti-Western views held by cer tain groups in the","page_number":76,"box":{"x":70,"y":884,"width":830,"height":11}},{"id":"0316bdfd-5a5a-4f03-914e-cef4eb727225","block_type":"box","text":"Middle East may influence government policies regarding foreign investment. Fur ther developments in U.S. relations","page_number":76,"box":{"x":70,"y":899,"width":827,"height":11}},{"id":"e0335334-8a67-4f45-98ae-2450c73822a9","block_type":"box","text":"II-39","page_number":76,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f1c82e3c-cd51-4465-a6c5-1f7540e9c703","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":76,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"04085d6f-e96a-4cad-bd21-0725d724c95e","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":77,"box":{"x":68,"y":45,"width":764,"height":11}},{"id":"25956c5f-442f-418e-b2ff-039e257e7fb7","block_type":"box","text":"significant, and in some cases the most significant, trading par tner of, or foreign investor in, Saudi Arabia. As a","page_number":77,"box":{"x":69,"y":60,"width":795,"height":11}},{"id":"040532f7-4fb1-4a74-bf4f-f89ffd44c177","block_type":"box","text":"result, economic conditions of Saudi Arabia may be par ticularly affected by changes in the U.S. economy. A decrease","page_number":77,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"833c5e57-f1b0-4efb-9019-65d1a11bb741","block_type":"box","text":"in U.S. impor ts or expor ts, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or","page_number":77,"box":{"x":70,"y":90,"width":829,"height":11}},{"id":"f916a8fa-f51b-4049-97df-f549ce080bf2","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":77,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"d6a81758-c075-40f5-82cb-ec70a8dd0e09","block_type":"box","text":"and, as a result, securities to which the Fund has exposure. Political instability in Nor th Africa and the larger Middle","page_number":77,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"60e5d538-4709-4909-889d-9a0a66ef7ad0","block_type":"box","text":"East region has caused significant disruptions to many industries. Continued political and social unrest in these","page_number":77,"box":{"x":70,"y":135,"width":797,"height":12}},{"id":"6afabfe2-d140-47ad-bdda-6a73faee9684","block_type":"box","text":"areas may negatively affect the value of securities in a Fund’s por tfolio.","page_number":77,"box":{"x":69,"y":150,"width":510,"height":12}},{"id":"83d0dbb7-bd90-419b-a7cf-5df479dad1d6","block_type":"box","text":"Cer tain issuers located in Saudi Arabia may operate in, or have dealings with, countries subject to sanctions","page_number":77,"box":{"x":102,"y":173,"width":773,"height":11}},{"id":"ee935ce3-3c1e-46a9-add3-4fbaa1e9d221","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":77,"box":{"x":69,"y":188,"width":820,"height":12}},{"id":"68bb4853-9972-4da2-be55-3e1a200db61d","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":77,"box":{"x":69,"y":203,"width":787,"height":12}},{"id":"546dabfd-11bf-4535-b377-2d328303dd91","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":77,"box":{"x":70,"y":218,"width":837,"height":12}},{"id":"78ec1f5c-64c6-4365-8263-f0f2094261b3","block_type":"box","text":"will be indirectly subject to those risks.","page_number":77,"box":{"x":68,"y":234,"width":277,"height":11}},{"id":"36449a30-650c-4428-8d49-61203015e66c","block_type":"box","text":"Risks of Investing in Venezuela.","page_number":77,"box":{"x":102,"y":256,"width":223,"height":12}},{"id":"1b64beac-ee3c-4e75-9f08-5057b1a6fbe0","block_type":"box","text":"Investment in Venezuela may subject a Fund to legal, regulatory, political,","page_number":77,"box":{"x":332,"y":257,"width":521,"height":11}},{"id":"34688a57-990b-4f9a-8ed3-9a2d9727a0fa","block_type":"box","text":"currency, security, expropriation and/or nationalization of assets and economic risk specific to Venezuela. Venezuela","page_number":77,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"d564bf19-44bc-40e3-bfc2-2943be9ada5d","block_type":"box","text":"is extremely well endowed with natural resources, including oil and natural gas, and its economy is heavily dependent","page_number":77,"box":{"x":70,"y":287,"width":837,"height":11}},{"id":"d27f2bdb-8ed4-4767-b636-dd1dd95253dc","block_type":"box","text":"on expor t of natural resources to key trading par tners. Any act of terrorism, an armed conflict or a breakdown of a","page_number":77,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"6b241a05-120b-402b-bd0f-09294977ebd2","block_type":"box","text":"key trading relationship that disrupts the production or expor t of natural resources will likely negatively affect the","page_number":77,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"32503c50-156d-4991-8e74-c222a445ba24","block_type":"box","text":"Venezuelan economy. The government continues to control key sectors of the economy, including upstream oil and","page_number":77,"box":{"x":68,"y":332,"width":816,"height":11}},{"id":"45572892-ba69-45ee-8c09-6ca676217429","block_type":"box","text":"gas production, and has sought to increase its role in key sectors, such as telecommunications and steel.","page_number":77,"box":{"x":68,"y":347,"width":758,"height":11}},{"id":"92f1b648-5c11-4ca3-b3c1-41b22745f110","block_type":"box","text":"Meanwhile, ambiguities in the investment environment remain, such as continued high levels of bureaucracy and","page_number":77,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"17e1fdfd-1591-4a68-8970-d1c39faacaf3","block_type":"box","text":"corruption, large macroeconomic imbalances, and political and policy uncer tainty. Friction continues between the","page_number":77,"box":{"x":69,"y":377,"width":804,"height":12}},{"id":"320f5032-d043-49e2-9dc9-b1be8fcf7eeb","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":77,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"b0ded4f1-e1b6-4371-9926-b6d5473a5350","block_type":"box","text":"and sectoral sanctions, on cer tain Venezuelan individuals and Venezuelan corporate entities, and on the Venezuelan","page_number":77,"box":{"x":69,"y":408,"width":827,"height":10}},{"id":"5eaefe0b-cd99-455b-9bdc-e79e4e4220bf","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":77,"box":{"x":68,"y":423,"width":814,"height":11}},{"id":"47ab5dc8-fe7c-47e5-9712-f7d20585564a","block_type":"box","text":"against Venezuela in an effor t to effect regime change. Military action, sanctions, or even the threat of fur ther","page_number":77,"box":{"x":69,"y":438,"width":787,"height":11}},{"id":"16ae292f-d352-4954-b1c0-33dea3b6184c","block_type":"box","text":"military action and sanctions, may result in the decline of the value and liquidity of Venezuelan securities, a","page_number":77,"box":{"x":69,"y":453,"width":766,"height":11}},{"id":"48ee325c-d547-4805-a5cf-4f437b1bc532","block_type":"box","text":"weakening of the bolivar or other adverse consequences to the Venezuelan economy. These sanctions impair the","page_number":77,"box":{"x":68,"y":468,"width":804,"height":11}},{"id":"3ea746f1-58aa-456e-a537-50cd9963eb28","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":77,"box":{"x":69,"y":483,"width":838,"height":11}},{"id":"159b22f4-2c23-4ceb-9343-dac887d742e4","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":77,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"b9ed83d1-023c-45d4-936a-6d43c34e1930","block_type":"box","text":"impact on a Fund’s investments.","page_number":77,"box":{"x":70,"y":514,"width":230,"height":10}},{"id":"82bfe8c7-6c64-4751-adf5-2d2fc7e74246","block_type":"box","text":"Brady Bonds.","page_number":77,"box":{"x":102,"y":536,"width":92,"height":11}},{"id":"b89ba3af-bd04-4326-9d79-cc9872e190f0","block_type":"box","text":"Cer tain Funds may invest in Brady Bonds. A Fund’s emerging market debt securities may include","page_number":77,"box":{"x":201,"y":536,"width":689,"height":11}},{"id":"5023c8b6-3f3c-4b48-a443-4b2544223402","block_type":"box","text":"emerging market governmental debt obligations commonly referred to as Brady Bonds. Brady Bonds are securities","page_number":77,"box":{"x":69,"y":551,"width":815,"height":11}},{"id":"615d7005-7e24-45ad-bfc0-a24632018db9","block_type":"box","text":"created through the exchange of existing commercial bank loans to sovereign entities for new obligations in","page_number":77,"box":{"x":69,"y":566,"width":766,"height":11}},{"id":"5bc6f4da-893d-4e0f-8cd8-5bb84fe24e7d","block_type":"box","text":"connection with debt restructurings under a debt restructuring plan introduced by former U.S. Secretary of the","page_number":77,"box":{"x":69,"y":581,"width":784,"height":12}},{"id":"c6a6223e-ac6d-4a87-a514-17887dad6248","block_type":"box","text":"Treasury, Nicholas F. Brady (the “Brady Plan”). Brady Plan debt restructurings have been implemented in a number of","page_number":77,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"93cd98a5-f4a6-4325-afbe-0de16f8382ad","block_type":"box","text":"countries, including: Argentina, Bolivia, Brazil, Bulgaria, Costa Rica, the Dominican Republic, Ecuador, Jordan, Mexico,","page_number":77,"box":{"x":69,"y":612,"width":839,"height":11}},{"id":"96301dec-783b-4f2b-95b4-281cb34bf15a","block_type":"box","text":"Niger, Nigeria, Panama, Peru, the Philippines, Poland, Uruguay, Venezuela, and Vietnam. Beginning in the early","page_number":77,"box":{"x":70,"y":627,"width":786,"height":11}},{"id":"6ae04d73-f78f-4236-87ff-cbcb767cb295","block_type":"box","text":"2000s, cer tain countries began retiring their Brady Bonds, including Brazil, Colombia, Mexico, the Philippines, and","page_number":77,"box":{"x":69,"y":642,"width":814,"height":11}},{"id":"2f4261ef-363d-424e-a3e3-5ecc87dd9470","block_type":"box","text":"Venezuela.","page_number":77,"box":{"x":68,"y":657,"width":75,"height":9}},{"id":"24cbb1a9-fc0f-47d9-ad28-0bc007b7dd39","block_type":"box","text":"Brady Bonds may be collateralized or uncollateralized, are issued in various currencies (primarily the U.S. dollar)","page_number":77,"box":{"x":102,"y":680,"width":798,"height":11}},{"id":"a9c04fd9-0e05-4431-a5f5-073676a894bd","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":77,"box":{"x":69,"y":695,"width":780,"height":11}},{"id":"34797a87-baec-4814-ba98-8386aad6d076","block_type":"box","text":"Securities. U.S. dollar-denominated, collateralized Brady Bonds, which may be fixed rate par bonds or floating rate","page_number":77,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"4d3b01c6-8ea9-4464-9a67-29e791c6d85e","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":77,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"00af6555-959a-40d7-8f2f-2a2389c0fa5e","block_type":"box","text":"same maturity as the Brady Bonds. Interest payments on these Brady Bonds generally are collateralized on a one","page_number":77,"box":{"x":69,"y":740,"width":812,"height":11}},{"id":"015966a0-0e8d-442f-b985-8ba0c2acfcdb","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":77,"box":{"x":68,"y":755,"width":823,"height":11}},{"id":"9f32e668-7162-4076-acb3-12fdfdc60a97","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":77,"box":{"x":68,"y":770,"width":833,"height":12}},{"id":"bc8a14ff-002f-43eb-baae-1635311667bb","block_type":"box","text":"interest payments based on the applicable interest rate at that time and is adjusted at regular intervals thereafter.","page_number":77,"box":{"x":70,"y":785,"width":816,"height":12}},{"id":"4c7d771a-dab6-4e79-9e32-de0ba0b64a8a","block_type":"box","text":"Cer tain Brady Bonds are entitled to “value recovery payments” in cer tain circumstances, which in effect constitute","page_number":77,"box":{"x":69,"y":801,"width":818,"height":11}},{"id":"ffd0d8b7-12d2-445c-863f-69e6ba684c3c","block_type":"box","text":"supplemental interest payments but generally are not collateralized. Brady Bonds are often viewed as having three or","page_number":77,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"c5077f96-5a20-4e57-ac50-e837bbba61c9","block_type":"box","text":"four valuation components: (i) the collateralized repayment of principal at final maturity; (ii) the collateralized interest","page_number":77,"box":{"x":68,"y":831,"width":832,"height":11}},{"id":"f0a69600-8cc3-4f72-b47b-241688e4dbd7","block_type":"box","text":"payments; (iii) the uncollateralized interest payments; and (iv) any uncollateralized repayment of principal at maturity","page_number":77,"box":{"x":70,"y":846,"width":828,"height":11}},{"id":"ccb36306-eb64-4e86-a750-6f9ac987714c","block_type":"box","text":"(the uncollateralized amounts constitute the “residual risk”).","page_number":77,"box":{"x":69,"y":861,"width":430,"height":11}},{"id":"302460cf-dd9d-4f47-81eb-680105387e40","block_type":"box","text":"Brady Bonds involve various risk factors described above associated with investing in foreign securities, including","page_number":77,"box":{"x":102,"y":884,"width":807,"height":11}},{"id":"88438357-5ac3-4709-a70e-c1bd2cc6cd92","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":77,"box":{"x":68,"y":899,"width":838,"height":11}},{"id":"4a6cc8c4-53a4-4ffe-8943-8a109c2faa18","block_type":"box","text":"II-40","page_number":77,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"80e4fc4f-fb82-45eb-8f91-2b0b3d0a11a7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":77,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"49067140-e2a8-4e06-9839-a04afaf1d2fd","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":78,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"ac6e8c8a-605a-49da-881d-d032132d568e","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":78,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"f1d85569-5e51-4609-91c6-755d66cfb4cc","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":78,"box":{"x":68,"y":75,"width":841,"height":11}},{"id":"e5544e6b-12e2-459c-b130-62c7fd124c76","block_type":"box","text":"loss of interest or principal on any of its holdings.","page_number":78,"box":{"x":70,"y":90,"width":351,"height":11}},{"id":"6b810d4d-72b7-42a6-abf9-4f2df78d8d2b","block_type":"box","text":"China Investments Risk.","page_number":78,"box":{"x":102,"y":113,"width":171,"height":9}},{"id":"32ea7c8b-5326-4bed-af5c-d8a3714666fc","block_type":"box","text":"Investments in securities of companies domiciled in the People’s Republic of China (“China” or the “PRC”),","page_number":78,"box":{"x":102,"y":135,"width":763,"height":11}},{"id":"de7a7311-5ee1-4c52-ad83-c2d22fc088c0","block_type":"box","text":"including cer tain Hong Kong-listed and U.S.-listed securities, involve a high degree of risk and special considerations","page_number":78,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"47c295da-f22c-4de3-bbc9-9d0ef9eceb47","block_type":"box","text":"not typically associated with investing in the U.S. securities markets. Such heightened risks include, among others,","page_number":78,"box":{"x":69,"y":166,"width":821,"height":11}},{"id":"94b5eb87-02f5-44f2-8ed0-0a683a0cd706","block_type":"box","text":"an authoritarian government, popular unrest associated with demands for improved political, economic and social","page_number":78,"box":{"x":69,"y":181,"width":809,"height":11}},{"id":"306eb310-84a0-4ef3-9472-39e8ab741b7b","block_type":"box","text":"conditions, the impact of regional conflict on the economy and hostile relations with other countries.","page_number":78,"box":{"x":69,"y":196,"width":713,"height":11}},{"id":"13892e8a-f4ef-4efe-9dae-5f251ffe1f08","block_type":"box","text":"Military conflicts, either in response to internal social unrest or conflicts with other countries, could disrupt","page_number":78,"box":{"x":102,"y":218,"width":762,"height":12}},{"id":"40449122-f887-45d5-bdca-876495ccd393","block_type":"box","text":"economic development. The Chinese economy is vulnerable to the long-running disagreements and religious and","page_number":78,"box":{"x":69,"y":234,"width":800,"height":11}},{"id":"b9ecd547-367c-445e-b52b-4c1222662b88","block_type":"box","text":"nationalist disputes with Tibet and the Xinjiang region. Since 1997, there have been tensions between the Chinese","page_number":78,"box":{"x":69,"y":249,"width":820,"height":11}},{"id":"377d652b-e6b6-490b-86ea-bc6bb77d2e23","block_type":"box","text":"government and many people in Hong Kong who perceive China as tightening control over Hong Kong’s semi","page_number":78,"box":{"x":68,"y":264,"width":777,"height":11}},{"id":"bfd5b5f0-d5cf-4cbf-9cd3-e0fa10658805","block_type":"box","text":"autonomous liberal political, economic, legal, and social framework. Protests and unrest have increased tensions","page_number":78,"box":{"x":69,"y":279,"width":809,"height":11}},{"id":"d0c3919d-7f19-4a90-8c16-a012818e5eeb","block_type":"box","text":"even fur ther. Due to the interconnected nature of the Hong Kong and Chinese economies, this instability in Hong","page_number":78,"box":{"x":69,"y":294,"width":805,"height":11}},{"id":"eeb2e66c-6c7d-417b-852e-550392f7f56d","block_type":"box","text":"Kong may cause uncer tainty in the Hong Kong and Chinese markets. China has a complex territorial dispute","page_number":78,"box":{"x":70,"y":309,"width":770,"height":11}},{"id":"f3f199b1-f211-464d-9fb2-1ddef1833823","block_type":"box","text":"regarding the sovereignty of Taiwan and has made threats of invasion. Taiwan-based companies and individuals are","page_number":78,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"7cc57c33-27e4-4767-bae5-7148aedd09cf","block_type":"box","text":"significant investors in China. The continuing hostility between China and Taiwan may have an adverse impact on the","page_number":78,"box":{"x":69,"y":339,"width":831,"height":12}},{"id":"ad25ff43-9aa5-4fde-a883-badaf2493892","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 cer tain","page_number":78,"box":{"x":68,"y":355,"width":812,"height":11}},{"id":"2d3fe706-8208-4798-9a07-496e13f2eedb","block_type":"box","text":"securities or other assets or may otherwise make such investments impracticable or impossible. Any escalation of","page_number":78,"box":{"x":69,"y":370,"width":818,"height":11}},{"id":"e3d68e7d-2270-40fe-b156-f2e3eeb470f0","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":78,"box":{"x":69,"y":385,"width":769,"height":11}},{"id":"53447741-a0ee-4300-88d3-9f44f3f37592","block_type":"box","text":"investments in both countries and the region. In addition, China has strained international relations with Japan, India,","page_number":78,"box":{"x":70,"y":400,"width":836,"height":11}},{"id":"fe87bf5c-598e-46db-9ba2-613a1f5ae5ca","block_type":"box","text":"the Philippines and other neighbors due to territorial disputes, historical animosities and other defense concerns.","page_number":78,"box":{"x":68,"y":415,"width":810,"height":11}},{"id":"0a69a116-d4d5-4089-94fa-a52247ddc096","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":78,"box":{"x":70,"y":430,"width":813,"height":11}},{"id":"080a7f3b-263f-44f1-919e-cf79d6eec967","block_type":"box","text":"military conflict. Additionally, China is alleged to have par ticipated in state-sponsored cyberattacks against foreign","page_number":78,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"2a816c39-3696-4872-99de-6330f4a1f78e","block_type":"box","text":"companies and foreign governments. Actual and threatened responses to such activity and strained international","page_number":78,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"8951e98f-c972-4f2c-a2fd-233cab0236af","block_type":"box","text":"relations, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Chinese government or Chinese","page_number":78,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"89d67cff-f879-4b75-9628-cf2193cd014f","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":78,"box":{"x":69,"y":491,"width":825,"height":11}},{"id":"82d73c90-3283-4940-90b3-980c3b631f31","block_type":"box","text":"affected by military events on the Korean peninsula or internal instability within Nor th Korea. These situations may","page_number":78,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"62cf3dfb-1b1c-48c4-9fb2-c06e89c28b1e","block_type":"box","text":"cause uncer tainty in the Chinese market and may adversely affect the per formance of the Chinese economy.","page_number":78,"box":{"x":69,"y":521,"width":776,"height":11}},{"id":"7f79b14b-e42d-4169-98b5-5067b3de9850","block_type":"box","text":"The Chinese government has implemented economic reforms in order to liberalize trade policy, promote foreign","page_number":78,"box":{"x":101,"y":543,"width":792,"height":12}},{"id":"8d8fee89-266f-43d0-87c6-cb9f6f69a864","block_type":"box","text":"investment in the economy, reduce government control of the economy and develop market mechanisms. However,","page_number":78,"box":{"x":70,"y":559,"width":818,"height":11}},{"id":"82319084-2447-441a-9e14-6df873cb1b8e","block_type":"box","text":"the Chinese government still exercises substantial influence over many aspects of the private sector and may own or","page_number":78,"box":{"x":68,"y":574,"width":835,"height":11}},{"id":"df087785-5f2e-4a3e-a926-092b28ac1ae2","block_type":"box","text":"control many companies. Chinese companies, such as those in the financial services or technology sectors, and","page_number":78,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"f8d08b10-8216-4de6-b5b3-04f930babb3a","block_type":"box","text":"potentially other sectors in the future, are subject to the risk that Chinese authorities can intervene in their","page_number":78,"box":{"x":70,"y":604,"width":763,"height":11}},{"id":"2740f988-0ec4-4be7-8c17-20d7daef3162","block_type":"box","text":"operations and structure. The Chinese government continues to maintain a major role in economic policymaking and","page_number":78,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"2076a626-cd9c-4477-aa27-ca5995ede992","block_type":"box","text":"investing in China involves risk of loss due to expropriation, nationalization, confiscation of assets and proper ty or","page_number":78,"box":{"x":70,"y":634,"width":813,"height":12}},{"id":"d2e2a6f9-9071-464d-a43d-5239680ae4cd","block_type":"box","text":"the imposition of restrictions on foreign investments and on repatriation of capital invested.","page_number":78,"box":{"x":68,"y":649,"width":653,"height":12}},{"id":"6dca5ad0-4f1f-4f93-bba4-b003bc13a97b","block_type":"box","text":"The Chinese government may intervene in the Chinese financial markets, such as by the imposition of trading","page_number":78,"box":{"x":101,"y":672,"width":783,"height":11}},{"id":"a46a95b5-6b8a-4159-a59b-b3de3d067bb7","block_type":"box","text":"restrictions, a ban on “naked” shor t selling or the suspension of shor t selling for cer tain stocks. This may affect","page_number":78,"box":{"x":69,"y":687,"width":805,"height":11}},{"id":"fad691a3-fd79-45dc-b5ad-b04a53608157","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":78,"box":{"x":69,"y":702,"width":827,"height":11}},{"id":"7bb73020-6630-4fb5-ad56-a4a4b7927e7b","block_type":"box","text":"Funds. Fur thermore, such market interventions may have a negative impact on market sentiment which may in turn","page_number":78,"box":{"x":70,"y":718,"width":821,"height":11}},{"id":"deaca9df-989a-491b-a4e4-96bedb512f1d","block_type":"box","text":"affect the per formance of the securities markets and as a result the per formance of the Funds.","page_number":78,"box":{"x":69,"y":732,"width":683,"height":11}},{"id":"c6db5023-f398-4cf5-a4c8-5191da794c15","block_type":"box","text":"In addition, there is less regulation and monitoring of Chinese securities markets and the activities of investors,","page_number":78,"box":{"x":102,"y":755,"width":797,"height":11}},{"id":"3cda89f7-e27e-43e8-95c5-6581e16ac298","block_type":"box","text":"brokers and other par ticipants than in the United States. Accordingly, issuers of securities in China, including","page_number":78,"box":{"x":69,"y":770,"width":779,"height":12}},{"id":"849f4acf-6a2a-487a-96c4-389664593f68","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":78,"box":{"x":69,"y":785,"width":822,"height":12}},{"id":"31ae3e53-691c-4fa7-a360-8e1dfaa6bbf5","block_type":"box","text":"issuers with respect to such matters as insider trading rules, tender offer regulation, accounting standards or auditor","page_number":78,"box":{"x":70,"y":801,"width":836,"height":11}},{"id":"1376199a-a233-4dfb-8f21-e84a83dfcc06","block_type":"box","text":"oversight, stockholder proxy requirements and the requirements mandating timely and accurate disclosure of","page_number":78,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"e9c4fdcf-4917-401a-8e27-99aef791c567","block_type":"box","text":"information. Securities markets in China are in the process of change and fur ther development. This may lead to","page_number":78,"box":{"x":70,"y":831,"width":803,"height":11}},{"id":"2a7f2379-1ef0-453d-971c-d1eacee33cf9","block_type":"box","text":"trading volatility, difficulty in the settlement and recording of transactions and difficulty in interpreting and applying","page_number":78,"box":{"x":68,"y":846,"width":816,"height":11}},{"id":"aa20ad75-6b14-40ac-995a-bd105111df43","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":78,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"327a2f93-8152-488a-bdac-ba11f6bc4c0b","block_type":"box","text":"settlement and administration of securities in China that is customary in more developed markets. In par ticular,","page_number":78,"box":{"x":69,"y":876,"width":798,"height":11}},{"id":"f3e752bd-2954-4bf3-bfec-796d5e1c033f","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":78,"box":{"x":68,"y":891,"width":826,"height":12}},{"id":"df2e4737-cfbf-4519-bac3-c42207324687","block_type":"box","text":"sub-custodian.","page_number":78,"box":{"x":69,"y":907,"width":102,"height":8}},{"id":"8eaa64d5-a173-401a-afc9-d4c25dc09dd6","block_type":"box","text":"II-41","page_number":78,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c351c66e-2a6a-43b7-a2a7-3e11f07dd5b5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":78,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0f833827-0a8c-4749-b72e-5d9486deeec3","block_type":"box","text":"There may be significant obstacles to obtaining information necessary for investigations into or litigation against","page_number":79,"box":{"x":101,"y":45,"width":801,"height":11}},{"id":"3b7f7ecc-db9a-4fbc-9603-b6291bc7f07a","block_type":"box","text":"Chinese companies, and shareholders may have limited legal remedies. The Funds do not select investments based","page_number":79,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"38ec8953-9044-44a7-a319-b324e8459871","block_type":"box","text":"on investor protection considerations.","page_number":79,"box":{"x":69,"y":75,"width":268,"height":11}},{"id":"4dc26b6e-ea04-4d8e-81cc-f13c91aa0e60","block_type":"box","text":"The Chinese government historically took positions that prevented the U.S. Public Company Accounting Oversight","page_number":79,"box":{"x":101,"y":98,"width":806,"height":11}},{"id":"62b9a91f-aaa8-4856-a5eb-3fb6a68af29d","block_type":"box","text":"Board (“PCAOB”) from inspecting the audit work and practices of accounting firms in mainland China and Hong Kong","page_number":79,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"d3ce41e1-660b-4219-ae13-c5987a7a12f1","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":79,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"f4493623-e7ea-460f-810f-805a88468195","block_type":"box","text":"Protocol with the China Securities Regulatory Commission and the Ministry of Finance of the PRC, which marked the","page_number":79,"box":{"x":69,"y":143,"width":829,"height":11}},{"id":"58b81515-3774-4a35-af15-598c7491b5f8","block_type":"box","text":"first step toward opening access for the PCAOB to inspect and investigate registered public accounting firms","page_number":79,"box":{"x":68,"y":158,"width":774,"height":11}},{"id":"4b212e62-0cb6-4ce5-a922-a2a9e0cfd1f1","block_type":"box","text":"headquar tered in mainland China and Hong Kong completely in accordance with U.S. law. However, as this","page_number":79,"box":{"x":69,"y":173,"width":760,"height":11}},{"id":"a2eff502-0625-4125-b5d0-b7c6cc2bbfdc","block_type":"box","text":"development is relatively recent, the implementation of the Statement of Protocol remains to be tested. Audits","page_number":79,"box":{"x":69,"y":188,"width":788,"height":11}},{"id":"b39106b5-1e87-46a4-89f1-7b4da5b3943a","block_type":"box","text":"per formed by PCAOB-registered accounting firms in mainland China and Hong Kong may be less reliable than those","page_number":79,"box":{"x":70,"y":203,"width":822,"height":12}},{"id":"c9388c53-f989-4d7b-a669-45f3d754ce54","block_type":"box","text":"per formed by firms subject to PCAOB inspection. Accordingly, information about the Chinese securities in which the","page_number":79,"box":{"x":70,"y":218,"width":821,"height":12}},{"id":"40df1a1f-d07b-43db-ab7d-160e0068949d","block_type":"box","text":"Funds invest may be less reliable or complete. Under amendments to the Sarbanes-Oxley Act enacted in December","page_number":79,"box":{"x":70,"y":234,"width":820,"height":11}},{"id":"8498f56c-f677-4ff1-b8a1-a09cfa8224f0","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":79,"box":{"x":69,"y":249,"width":805,"height":11}},{"id":"a555a92b-2983-4261-9adb-8c3862ba67c6","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":79,"box":{"x":69,"y":264,"width":816,"height":11}},{"id":"67dcdccd-d114-4954-914d-d3e1156257eb","block_type":"box","text":"accounting firm.","page_number":79,"box":{"x":69,"y":279,"width":112,"height":11}},{"id":"85e4c477-b562-4ae0-b588-dd908fe5cf7e","block_type":"box","text":"The Renminbi (“RMB”) is currently not a freely conver tible currency and is subject to foreign exchange control","page_number":79,"box":{"x":101,"y":302,"width":780,"height":11}},{"id":"c2ebfc1a-416f-4051-94d3-27ee3989de07","block_type":"box","text":"policies and repatriation restrictions imposed by the Chinese government. The imposition of currency controls may","page_number":79,"box":{"x":70,"y":317,"width":815,"height":11}},{"id":"bb5026f6-2809-4d78-acdb-2166fbf5eb87","block_type":"box","text":"negatively impact per formance and liquidity of the Funds as capital may become trapped in the PRC. The Funds could","page_number":79,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"7ca3394c-3297-4fb3-a812-57025d05e085","block_type":"box","text":"be adversely affected by delays in, or a refusal to grant, any required governmental approval for repatriation of","page_number":79,"box":{"x":69,"y":347,"width":787,"height":11}},{"id":"07e69e44-aa0d-4613-b215-6fddaf65c82a","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":79,"box":{"x":69,"y":362,"width":837,"height":11}},{"id":"8289dc62-8031-461f-9206-1e940d38a2ff","block_type":"box","text":"which have a substantial por tion of their operations in, the PRC may require the Funds to adopt special procedures,","page_number":79,"box":{"x":68,"y":377,"width":825,"height":11}},{"id":"cf87e493-10cf-419d-b50d-173fa1be4c10","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":79,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"4f9621a6-998b-4f4b-b030-5aac98882a40","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":79,"box":{"x":70,"y":408,"width":812,"height":11}},{"id":"ebfc2b9e-e970-4b04-a6cd-ab0201139de1","block_type":"box","text":"connection with conversions between the two separate types of RMB, the onshore RMB (“CNY”) and the offshore","page_number":79,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"3988f85f-212b-4cdd-a1ef-067d9811a0ab","block_type":"box","text":"RMB (“CNH”).","page_number":79,"box":{"x":70,"y":438,"width":97,"height":11}},{"id":"0b7e53e1-0198-4afc-b683-3f658912b1cc","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":79,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"69355381-bd1c-42f0-8535-6486428e58ca","block_type":"box","text":"result of foreign ownership restrictions. In a VIE structure, a Chinese operating company establishes a shell company","page_number":79,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"ae79f0ef-e354-4feb-9db8-eabb3b3e920e","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":79,"box":{"x":70,"y":491,"width":822,"height":11}},{"id":"091028eb-7647-42df-b0b0-8e179954575b","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":79,"box":{"x":70,"y":506,"width":775,"height":11}},{"id":"c53f6d05-95e6-4b8e-aaa2-9f51ba994ae6","block_type":"box","text":"company directly or indirectly enters into contracts with the Chinese operating company under Chinese law. These","page_number":79,"box":{"x":69,"y":521,"width":809,"height":11}},{"id":"a544b2e1-252f-4812-9d95-87c0a032f054","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":79,"box":{"x":69,"y":536,"width":803,"height":11}},{"id":"56957927-28f1-43f8-b267-8fbf42d437f9","block_type":"box","text":"represent equity ownership in the operating company.","page_number":79,"box":{"x":69,"y":551,"width":380,"height":11}},{"id":"afd904b7-a26c-4d14-b1e2-e7d809cadd1d","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":79,"box":{"x":101,"y":574,"width":801,"height":11}},{"id":"cc3a0a84-6c41-4d89-b098-d0190e3faba3","block_type":"box","text":"formally recognized under Chinese law. The Chinese government has provided guidance to and placed restrictions on","page_number":79,"box":{"x":68,"y":589,"width":833,"height":11}},{"id":"e1cb1f20-7820-4bb7-b368-d57a26929644","block_type":"box","text":"Chinese-based companies raising capital offshore, including through VIEs. In 2023, the China Securities Regulatory","page_number":79,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"c61611b4-884e-4ea3-983a-425d51ec78c8","block_type":"box","text":"Commission (“CSRC”) released new rules that permit the use of VIE structures, provided they abide by Chinese laws","page_number":79,"box":{"x":69,"y":619,"width":832,"height":11}},{"id":"92c67460-1865-4a55-a402-ade585044149","block_type":"box","text":"and register with the CSRC. The rules, however, may cause Chinese companies to undergo greater scrutiny and add","page_number":79,"box":{"x":69,"y":634,"width":826,"height":12}},{"id":"56325cb4-57a1-4cbf-bd50-d82ef5b30a36","block_type":"box","text":"costs to VIE structures. Intervention, rulemaking or guidance by the Chinese government with respect to VIE","page_number":79,"box":{"x":69,"y":649,"width":770,"height":12}},{"id":"6decb891-ac4d-40d9-9788-e72607b1e358","block_type":"box","text":"structures or the non-enforcement of VIE-related contractual rights could significantly affect the operating company’s","page_number":79,"box":{"x":69,"y":664,"width":829,"height":12}},{"id":"afbf10dd-c851-4954-94e2-108f16e2d023","block_type":"box","text":"business in China, the enforceability of the U.S.-listed shell company’s contractual arrangements with the Chinese","page_number":79,"box":{"x":69,"y":680,"width":815,"height":11}},{"id":"63445752-b6d4-4b50-85f7-4cec6627d944","block_type":"box","text":"company and the value of the U.S.-listed stock. Fur ther, the VIE contractual arrangement would likely be subject to","page_number":79,"box":{"x":69,"y":695,"width":815,"height":11}},{"id":"694e54d4-b1e9-4794-8a74-d7a35ccf2b4b","block_type":"box","text":"Chinese law and jurisdiction, and remedies available to the U.S.-listed shell company are uncer tain and could be","page_number":79,"box":{"x":69,"y":710,"width":802,"height":11}},{"id":"d5609f9e-fdf0-4d99-adca-693b25457d34","block_type":"box","text":"ineffective. In addition to the risk of government intervention, investments through a VIE structure are subject to the","page_number":79,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"7493e37a-0474-43fa-a1e5-a64662f0c155","block_type":"box","text":"risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach those contractual","page_number":79,"box":{"x":69,"y":740,"width":833,"height":11}},{"id":"cec2f79a-854d-4e36-9e4f-aea6a65a1d3a","block_type":"box","text":"arrangements, or Chinese law changes in a way that adversely affects the enforceability of these arrangements, or","page_number":79,"box":{"x":69,"y":755,"width":819,"height":11}},{"id":"756c4bad-e553-42ed-8b81-27dfc8bf00d2","block_type":"box","text":"those contracts are otherwise not enforceable under Chinese law, in which case the Fund may suffer significant","page_number":79,"box":{"x":68,"y":770,"width":798,"height":12}},{"id":"aa8c26c3-4488-49ee-be14-4857add8abe0","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":79,"box":{"x":70,"y":785,"width":833,"height":12}},{"id":"2dc01941-3f84-4adb-a0b6-5dfcdbe45014","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":79,"box":{"x":69,"y":801,"width":837,"height":11}},{"id":"674096f2-b402-4961-8356-6e6c175735d8","block_type":"box","text":"generally or with respect to specific industries, could result in significant, and possibly permanent and/or total,","page_number":79,"box":{"x":68,"y":816,"width":792,"height":11}},{"id":"6bcddc17-6658-4b9e-9ce0-3a5f5a959fb9","block_type":"box","text":"losses to a Fund.","page_number":79,"box":{"x":70,"y":831,"width":120,"height":9}},{"id":"e0d7507e-5724-48f0-b744-e373645a718a","block_type":"box","text":"While the Chinese economy has experienced past periods of rapid growth, there is no assurance that such","page_number":79,"box":{"x":101,"y":853,"width":760,"height":12}},{"id":"bac57632-e651-4312-80e1-6c429dd699e6","block_type":"box","text":"growth rates will recur. Other economic challenges for China include indebtedness, weak consumer demand, trade","page_number":79,"box":{"x":68,"y":869,"width":815,"height":11}},{"id":"22a7796f-2f02-4d54-8862-5f1f3704b2a3","block_type":"box","text":"tensions, and an aging population. China continues to face pressure from its trading par tners over its expor ting of its","page_number":79,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"1d789fee-6ef6-484e-9979-618814423675","block_type":"box","text":"excess industrial capacity and overall approach to economic management. China’s economy is heavily dependent on","page_number":79,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"1347e7ba-2e52-4106-8f66-194fcdeffbb5","block_type":"box","text":"II-42","page_number":79,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4facf667-174c-45f6-82ae-4339e6a8a425","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":79,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d0876f16-e6cd-4ff6-b549-674d3aeb73cd","block_type":"box","text":"expor t growth. Reduction in spending on Chinese products and services, supply chain diversification, institution of","page_number":80,"box":{"x":69,"y":45,"width":815,"height":11}},{"id":"8fb01a5b-1dfd-47d1-83cf-25ae51d55e7c","block_type":"box","text":"additional tariffs, sanctions or other trade barriers (including as a result of heightened trade tensions between China","page_number":80,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"15f92201-6e78-4adf-8728-1b912a81ad52","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":80,"box":{"x":69,"y":75,"width":765,"height":11}},{"id":"1dbb5887-076d-4b06-a717-a7b916ef6db8","block_type":"box","text":"economies of China’s key trading par tners may have an adverse impact on the Chinese economy and the companies","page_number":80,"box":{"x":69,"y":90,"width":833,"height":11}},{"id":"fa261aa6-896d-466d-afb4-6aee1e5da0e1","block_type":"box","text":"in which a Fund invests. Cer tain Chinese companies (which may change from time to time) are directly or indirectly","page_number":80,"box":{"x":70,"y":105,"width":816,"height":11}},{"id":"dff95337-d861-4ca7-88f8-9286e14d7ccf","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":80,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"e0b2400f-b370-4d23-a4cf-152e23a18c4e","block_type":"box","text":"rights or other concerns of such government. For example, cer tain foreign technology companies are subject to U.S.","page_number":80,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"05a5d939-b694-44be-a52f-b34fadb4d937","block_type":"box","text":"expor t controls as those companies are believed to pose a risk to U.S. interests. The U.S. also bans impor ts of","page_number":80,"box":{"x":69,"y":150,"width":798,"height":11}},{"id":"00a34990-9e2c-4c4c-9d8b-ceb204ecaa7e","block_type":"box","text":"goods produced in cer tain regions of China or by cer tain Chinese companies due to concerns about forced labor.","page_number":80,"box":{"x":68,"y":166,"width":805,"height":11}},{"id":"e73b233b-1a51-478c-b521-f64155d0a7c3","block_type":"box","text":"Such restrictions may have unanticipated and adverse effects on the Chinese economy and companies. Any action","page_number":80,"box":{"x":69,"y":181,"width":817,"height":11}},{"id":"488e5982-8a31-48b9-9089-4d4de1203ea5","block_type":"box","text":"that targets Chinese financial markets or securities exchanges could inter fere with orderly trading, delay settlement","page_number":80,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"84e8264b-0ba4-4585-b779-ba1993d9d46c","block_type":"box","text":"or cause market disruptions. Cer tain companies may be subject to economic or trade restrictions (but not investment","page_number":80,"box":{"x":69,"y":211,"width":839,"height":11}},{"id":"8d53657b-1f33-41fb-a429-686d3ce1ceda","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":80,"box":{"x":69,"y":226,"width":815,"height":11}},{"id":"832d67a7-805c-4dce-abf0-6d4be9a405aa","block_type":"box","text":"such government. So long as these restrictions do not include restrictions on investments, the Fund may invest in","page_number":80,"box":{"x":69,"y":241,"width":812,"height":11}},{"id":"175e8f71-9f68-46bb-a09e-1327b07f6a44","block_type":"box","text":"such companies.","page_number":80,"box":{"x":69,"y":257,"width":119,"height":10}},{"id":"aef93db0-2b8d-474e-afea-65fc3babdbfd","block_type":"box","text":"The tax laws and regulations in the PRC are subject to change, including the issuance of authoritative guidance","page_number":80,"box":{"x":101,"y":279,"width":792,"height":11}},{"id":"661604e4-0300-4f57-afbd-19003626dec1","block_type":"box","text":"or enforcement, possibly with retroactive effect. The interpretation, applicability and enforcement of such laws by PRC","page_number":80,"box":{"x":69,"y":294,"width":840,"height":11}},{"id":"7467d26a-b78d-4fbf-b2ee-53db08192411","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":80,"box":{"x":68,"y":309,"width":815,"height":11}},{"id":"e0790c03-253c-49f3-9db6-8144cc7814a1","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":80,"box":{"x":69,"y":324,"width":823,"height":12}},{"id":"5eea94da-0205-48ca-a65b-0bedf7a63db0","block_type":"box","text":"on a Fund and its investors, par ticularly in relation to capital gains withholding tax imposed upon non-residents. In","page_number":80,"box":{"x":69,"y":340,"width":812,"height":11}},{"id":"1ec8893b-fb3f-40dd-ae34-8d03719ecaff","block_type":"box","text":"addition, the accounting, auditing and financial repor ting standards and practices applicable to Chinese companies","page_number":80,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"4ccf228d-7873-4836-bedd-b809a41239b2","block_type":"box","text":"may be less rigorous, and may result in significant differences between financial statements prepared in accordance","page_number":80,"box":{"x":69,"y":370,"width":832,"height":11}},{"id":"3a09de4c-a5ae-4999-bfd4-03efc924673e","block_type":"box","text":"with PRC accounting standards and practice and those prepared in accordance with international accounting","page_number":80,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"38d61242-852a-4b78-869e-07e87338306a","block_type":"box","text":"standards.","page_number":80,"box":{"x":69,"y":400,"width":74,"height":9}},{"id":"16a96989-cdd8-428f-a471-d44835fb54fe","block_type":"box","text":"From time to time and in recent years, China has experienced outbreaks of infectious illnesses and the country","page_number":80,"box":{"x":102,"y":423,"width":794,"height":11}},{"id":"7d75aca8-fce0-4020-8d2d-37a738b8a457","block_type":"box","text":"may be subject to other public health threats, infectious illnesses, diseases or similar issues in the future. Any","page_number":80,"box":{"x":69,"y":438,"width":792,"height":11}},{"id":"2eb0c98f-d6a5-4498-8668-708f4c075ad7","block_type":"box","text":"spread of an infectious illness, public health threat or similar issue could reduce consumer demand or economic","page_number":80,"box":{"x":69,"y":453,"width":803,"height":11}},{"id":"a3878ff8-f813-4144-af5d-7362740107c6","block_type":"box","text":"output, result in market closures, travel restrictions or quarantines, and generally have a significant impact on the","page_number":80,"box":{"x":69,"y":468,"width":811,"height":11}},{"id":"185615f2-66c0-4112-ac75-10280d6343ed","block_type":"box","text":"Chinese economy, which in turn could adversely affect a Fund’s investments.","page_number":80,"box":{"x":69,"y":483,"width":548,"height":11}},{"id":"8185fd28-f83e-4c29-99cf-65362e7636f8","block_type":"box","text":"Risk of Investing through Stock Connect.","page_number":80,"box":{"x":102,"y":506,"width":288,"height":11}},{"id":"28c07783-ae63-4d2c-8303-bee7d007780b","block_type":"box","text":"General","page_number":80,"box":{"x":102,"y":529,"width":55,"height":8}},{"id":"a6cac856-c485-4014-859b-f05f48451902","block_type":"box","text":". China A-shares are equity securities of companies domiciled in China that trade on Chinese stock","page_number":80,"box":{"x":158,"y":528,"width":704,"height":12}},{"id":"497b8ca4-84c9-4eaa-a50c-87b41dce357f","block_type":"box","text":"exchanges such as the Shanghai Stock Exchange (“SSE”), the Shenzhen Stock Exchange (“SZSE”) and the Beijing","page_number":80,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"bb7c5bc8-dab9-49fc-abc4-1c306ddcf8ea","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":80,"box":{"x":69,"y":559,"width":815,"height":11}},{"id":"d822fea9-7d0b-41d5-b0a2-b377130a6d98","block_type":"box","text":"than pursuant to available exceptions, such as through a qualified foreign investor approved pursuant to the relevant","page_number":80,"box":{"x":68,"y":574,"width":833,"height":11}},{"id":"a890fbf3-eb7c-4d03-b57c-d1eb35899e57","block_type":"box","text":"mainland China laws and regulations as may be promulgated and/or amended from time to time (“QFI”).","page_number":80,"box":{"x":69,"y":589,"width":744,"height":11}},{"id":"a2b7bdba-0dc5-42af-ba28-2accece1f69e","block_type":"box","text":"Investment in eligible exchange traded funds and A-shares listed and traded on the SSE or SZSE (“Stock","page_number":80,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"4383c623-e290-48f9-a801-f719f5717747","block_type":"box","text":"Connect Securities”) is also permitted through the Shanghai-Hong Kong Stock Connect program or the Shenzhen","page_number":80,"box":{"x":69,"y":627,"width":807,"height":11}},{"id":"ff3fa4f0-2eb3-4a44-a029-88198f2c86d3","block_type":"box","text":"Hong Kong Stock Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). Each","page_number":80,"box":{"x":70,"y":642,"width":834,"height":11}},{"id":"fbe19c78-cd99-497e-9c58-f0f5208d489c","block_type":"box","text":"Stock Connect is a securities trading and clearing links program established by The Stock Exchange of Hong Kong","page_number":80,"box":{"x":69,"y":657,"width":812,"height":11}},{"id":"6a8c0b56-6344-4854-8364-615956d9c2e0","block_type":"box","text":"Limited (“SEHK”), the Hong Kong Securities Clearing Company Limited (“HKSCC”), the SSE or SZSE, as applicable,","page_number":80,"box":{"x":70,"y":672,"width":819,"height":11}},{"id":"f31f25ef-6409-4ae5-9dc4-43bdbed8f8d3","block_type":"box","text":"and China Securities Depository and Clearing Corporation Limited (“CSDCC”) that aims to provide mutual stock","page_number":80,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"190ca08a-8832-4669-81ba-801a1ae24d2a","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":80,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"305568f9-a29e-4952-b8ed-17c4577afe03","block_type":"box","text":"through their local securities brokers. Under Stock Connects, a Fund’s trading of Stock Connect Securities listed on","page_number":80,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"244e0c9f-9eef-4b82-871e-40bd7920f3fb","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":80,"box":{"x":68,"y":732,"width":827,"height":12}},{"id":"6b328cb3-c946-4666-848d-a890fd31368e","block_type":"box","text":"company established by SEHK.","page_number":80,"box":{"x":69,"y":748,"width":219,"height":11}},{"id":"2d09c24c-ed2e-4df1-80c2-b39a8d44be24","block_type":"box","text":"Although no individual investment quotas or licensing requirements apply to investors in Stock Connect, trading","page_number":80,"box":{"x":101,"y":770,"width":794,"height":12}},{"id":"250e9e5f-96bf-4468-963b-b7c6a400a2e4","block_type":"box","text":"through a Stock Connect’s Nor thbound Trading Link is subject to daily investment quota limitations which require that","page_number":80,"box":{"x":68,"y":786,"width":839,"height":11}},{"id":"45b7df37-6ad3-43af-84ac-384763f76f0e","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":80,"box":{"x":69,"y":801,"width":779,"height":11}},{"id":"db33a63c-fd77-4fd8-b2c6-ce7f40ef57a4","block_type":"box","text":"permitted to sell their Stock Connect Securities regardless of the quota). These limitations may restrict a Fund from","page_number":80,"box":{"x":70,"y":816,"width":824,"height":11}},{"id":"036c81ba-f4fc-48bf-b906-3c762784db24","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":80,"box":{"x":70,"y":831,"width":827,"height":11}},{"id":"bf571432-52f5-4f0b-94e5-32ad160cc06f","block_type":"box","text":"investment strategy. Investment quotas are also subject to change. Investment in Stock Connect Securities through a","page_number":80,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"b6dc037a-2f59-436e-b635-9784a4028144","block_type":"box","text":"Stock Connect is subject to trading, clearance and settlement procedures that could pose risks to a Fund. Stock","page_number":80,"box":{"x":69,"y":861,"width":802,"height":11}},{"id":"7b714dff-da0c-4892-a2d0-5ee6a904cecc","block_type":"box","text":"Connect Securities purchased through Stock Connects generally may not be sold or otherwise transferred other than","page_number":80,"box":{"x":69,"y":876,"width":831,"height":11}},{"id":"8086d6f7-b3f8-4a50-9b01-a69eab9f3d77","block_type":"box","text":"through Stock Connects in accordance with applicable rules. For example, the PRC regulations require that in order","page_number":80,"box":{"x":68,"y":891,"width":821,"height":12}},{"id":"d08385ad-41f6-4a52-8d9d-8b581309acf2","block_type":"box","text":"for an investor to sell any Stock Connect Securities on a cer tain trading day, there must be sufficient Stock Connect","page_number":80,"box":{"x":68,"y":906,"width":829,"height":12}},{"id":"0cb53815-fbb0-4f94-a996-b808df159564","block_type":"box","text":"II-43","page_number":80,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0d46ebc7-28ce-4347-aa00-3ba51d5540b3","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":80,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"64d026bb-e739-427e-9ec2-fc9000b6a1d2","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":81,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"237dc2b3-2297-4839-adac-88a5234912bd","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":81,"box":{"x":69,"y":60,"width":820,"height":11}},{"id":"316f9065-2190-4706-bc20-32d08b4c4314","block_type":"box","text":"out pre-trade checking on sell orders of cer tain stocks listed on the SSE market (“SSE Securities”) or SZSE market","page_number":81,"box":{"x":69,"y":75,"width":820,"height":11}},{"id":"babfbf37-d561-496f-ac54-492c9ce48d78","block_type":"box","text":"(“SZSE Securities”) of its par ticipants (","page_number":81,"box":{"x":69,"y":90,"width":278,"height":11}},{"id":"7a8a37a2-4844-41f0-8bad-39205703322d","block_type":"box","text":"i.e.","page_number":81,"box":{"x":349,"y":90,"width":21,"height":9}},{"id":"62068c80-7d2f-4e88-b5f2-b8914c5d0b2d","block_type":"box","text":", stock brokers) to ensure that this requirement is satisfied. While shares","page_number":81,"box":{"x":372,"y":90,"width":524,"height":11}},{"id":"af9cd779-2b2f-4786-bac6-1ecf919affb7","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":81,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"46754326-bb14-49e4-9d98-cfabd05162cf","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":81,"box":{"x":69,"y":120,"width":810,"height":12}},{"id":"f0523dbb-69ed-46e8-a5d4-d1def0d0bd61","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":81,"box":{"x":69,"y":135,"width":834,"height":12}},{"id":"2b926c2d-bc7b-47d4-99a1-d248ae6f9f21","block_type":"box","text":"services are available in both markets on the corresponding settlement days. Therefore, an investment in Stock","page_number":81,"box":{"x":69,"y":150,"width":799,"height":12}},{"id":"dff286d0-600e-4a2e-8360-c4c799535c1a","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":81,"box":{"x":69,"y":166,"width":797,"height":11}},{"id":"e8182983-97ad-4506-8aa6-d2865efd109a","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":81,"box":{"x":69,"y":181,"width":818,"height":11}},{"id":"9fe8f471-4d58-4af2-8431-d9e463db1255","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":81,"box":{"x":68,"y":196,"width":820,"height":11}},{"id":"2f48ba69-b799-4608-82e4-ce046b34e4be","block_type":"box","text":"be able to sell the Stock Connect Securities on or after day T+1. Fur ther, since all trades of Stock Connect Securities","page_number":81,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"7cc5cf6b-9049-453d-80a2-a620a260dbfe","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":81,"box":{"x":69,"y":226,"width":811,"height":11}},{"id":"0cbda82e-03e8-4337-92f1-09ecf8cfe766","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":81,"box":{"x":68,"y":241,"width":815,"height":11}},{"id":"1d543630-36bd-4a3f-9ea9-0a7bf40c9127","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":81,"box":{"x":69,"y":256,"width":824,"height":11}},{"id":"feee6068-6d41-46ce-9164-ad3a8d20d33d","block_type":"box","text":"RMB, the Fund will be exposed to currency exchange risk if the Fund conver ts the local currency into RMB for","page_number":81,"box":{"x":70,"y":271,"width":777,"height":12}},{"id":"3b9f5761-6bf0-4275-874b-058b8b1b1a0d","block_type":"box","text":"investments in Stock Connect Securities. A Fund may also incur conversion costs.","page_number":81,"box":{"x":70,"y":287,"width":582,"height":11}},{"id":"a03a8fbf-2e75-4c6d-a309-af843449d044","block_type":"box","text":"Stock Connect Securities held through the nominee structure under a Stock Connect will be held through HKSCC","page_number":81,"box":{"x":102,"y":309,"width":802,"height":11}},{"id":"a9e1469b-85eb-4968-9a81-4055261543c3","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":81,"box":{"x":69,"y":324,"width":784,"height":12}},{"id":"0d5725e7-bd82-4b19-a826-b68d0810cac3","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":81,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"9a441048-ea3f-4cae-bfc8-b5e078ed3104","block_type":"box","text":"clear definition of, and distinction between, legal ownership and beneficial ownership under the PRC laws and there","page_number":81,"box":{"x":69,"y":355,"width":822,"height":11}},{"id":"decaccf5-368c-4adb-b3d0-0e75a84ecdcb","block_type":"box","text":"have been few cases involving a nominee account structure in the PRC cour ts. The exact nature and methods of","page_number":81,"box":{"x":69,"y":370,"width":802,"height":11}},{"id":"809e9988-0888-4fe1-9952-b25a6409ff12","block_type":"box","text":"enforcement of the rights and interests of a Fund under the PRC laws is also uncer tain. In the unlikely event that","page_number":81,"box":{"x":69,"y":385,"width":805,"height":11}},{"id":"ff7cc2d8-f430-4f43-beeb-411c43df6544","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":81,"box":{"x":70,"y":400,"width":807,"height":11}},{"id":"95171396-0de6-45f7-9cac-acd0b3cba573","block_type":"box","text":"Securities may not be regarded as held for the beneficial ownership of a Fund or as par t of the general assets of","page_number":81,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"da6282c3-1836-48b9-a9bb-c0c686414a14","block_type":"box","text":"HKSCC available for general distribution to its creditors. Notwithstanding the fact that HKSCC does not claim","page_number":81,"box":{"x":70,"y":430,"width":774,"height":11}},{"id":"c48585d8-a307-4bb8-b9bb-3e23a6fabe96","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":81,"box":{"x":70,"y":445,"width":816,"height":11}},{"id":"f2cb2095-1b1c-4561-906a-352298866aa5","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":81,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"b06635be-24d6-40fe-ab97-874617f81225","block_type":"box","text":"when it handles corporate actions in respect of such SSE Securities or SZSE Securities. HKSCC monitors the","page_number":81,"box":{"x":68,"y":475,"width":779,"height":11}},{"id":"6db36a0c-1827-461b-adbe-f6bad03f488d","block_type":"box","text":"corporate actions affecting SSE Securities and SZSE Securities and keeps par ticipants of Central Clearing and","page_number":81,"box":{"x":69,"y":491,"width":788,"height":11}},{"id":"941fab3e-b8e7-4e8a-854b-284e7adb7eeb","block_type":"box","text":"Settlement System (“CCASS”) informed of all such corporate actions that require CCASS par ticipants to take steps in","page_number":81,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"fa70282b-788c-4337-b911-05a7c95c9e1f","block_type":"box","text":"order to par ticipate in them. Investors may only exercise their voting rights by providing their voting instructions to","page_number":81,"box":{"x":69,"y":521,"width":811,"height":11}},{"id":"746ff841-c9c8-44eb-a301-cd077751c72b","block_type":"box","text":"HKSCC through par ticipants of CCASS. All voting instructions from CCASS par ticipants will be consolidated by","page_number":81,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"6f510d41-744f-4add-bda5-8785564aabff","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":81,"box":{"x":70,"y":551,"width":826,"height":11}},{"id":"f364f5b6-a360-4fba-8249-ab527c50fdf8","block_type":"box","text":"result, a Fund may suffer difficulties or delays in enforcing its rights in SSE Securities or SZSE Securities.","page_number":81,"box":{"x":69,"y":566,"width":752,"height":11}},{"id":"23bb7b64-3861-4641-95a0-756b490a06df","block_type":"box","text":"Hong Kong’s Investor Compensation Fund is established to pay compensation to investors of any nationality who","page_number":81,"box":{"x":102,"y":589,"width":804,"height":11}},{"id":"0f197be1-24d3-41b4-81a3-5ab1a656683b","block_type":"box","text":"suffer pecuniary losses as a result of default of a licensed intermediary or authorized financial institution in relation","page_number":81,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"3168c90e-fa0a-4537-9ed6-119351fdf4d2","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":81,"box":{"x":68,"y":619,"width":769,"height":11}},{"id":"a9f311f8-c6b4-4108-9a7d-b00fdf5df83e","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":81,"box":{"x":70,"y":634,"width":809,"height":11}},{"id":"1705348a-9d79-45e7-ad41-03538117c4bc","block_type":"box","text":"SZSE and (ii) in respect of which an order for sale or purchase is permitted to be routed through the Nor thbound","page_number":81,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"68333e4b-fd35-4fa7-87bb-52dd13648b37","block_type":"box","text":"Trading Link of a Stock Connect. On the other hand, since a Fund carries out Nor thbound trading through securities","page_number":81,"box":{"x":68,"y":664,"width":822,"height":12}},{"id":"5aff4a65-2a07-40d9-8c61-fcda9425e0c0","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":81,"box":{"x":69,"y":680,"width":829,"height":11}},{"id":"13e3be2c-7086-4e12-b49f-b61c8224255d","block_type":"box","text":"PRC.","page_number":81,"box":{"x":69,"y":695,"width":32,"height":9}},{"id":"66ad1956-8587-4b16-a367-6ba21fae0fca","block_type":"box","text":"Market par ticipants are able to par ticipate in Stock Connects subject to meeting cer tain information technology","page_number":81,"box":{"x":102,"y":717,"width":796,"height":12}},{"id":"5872f07f-6375-4114-868c-3506894e23b5","block_type":"box","text":"capability, risk management and other requirements as may be specified by the relevant exchange and/or clearing","page_number":81,"box":{"x":69,"y":732,"width":815,"height":12}},{"id":"1b7e5599-4797-4cf1-bd9a-efd6d58e0493","block_type":"box","text":"house. Fur ther, the “connectivity” in Stock Connects requires routing of orders across the border of Hong Kong and","page_number":81,"box":{"x":69,"y":748,"width":822,"height":11}},{"id":"85cd71e6-a892-4bcf-b5e0-3853421264bc","block_type":"box","text":"the PRC. This requires the development of new information technology systems on the par t of SEHK and exchange","page_number":81,"box":{"x":68,"y":763,"width":818,"height":11}},{"id":"068a565c-7d30-4cf9-8e23-64cbe9f5f4ad","block_type":"box","text":"par ticipants. There is no assurance that the systems of SEHK and market par ticipants will function properly or will","page_number":81,"box":{"x":70,"y":778,"width":813,"height":11}},{"id":"49d59a87-e088-4b50-9b57-33549ac67335","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":81,"box":{"x":69,"y":793,"width":827,"height":11}},{"id":"aabfecfb-238c-4ee4-b6d0-4e9bf4b326d6","block_type":"box","text":"function properly, trading in Stock Connect Securities through Stock Connects could be disrupted.","page_number":81,"box":{"x":68,"y":808,"width":695,"height":11}},{"id":"645cfc96-941b-44b5-adaa-a1e0d77aed7b","block_type":"box","text":"The Shanghai-Hong Kong Stock Connect program launched in November 2014 and the Shenzhen-Hong Kong","page_number":81,"box":{"x":101,"y":831,"width":772,"height":11}},{"id":"41c11011-5ef3-4f29-ac06-2154b2455619","block_type":"box","text":"Stock Connect program launched in December 2016. Each program does not have an extensive operating history.","page_number":81,"box":{"x":69,"y":846,"width":810,"height":11}},{"id":"230c7175-d071-4cf4-8f1a-03541065f39a","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":81,"box":{"x":70,"y":861,"width":798,"height":11}},{"id":"44de406a-7b75-4510-9693-c231819ef73a","block_type":"box","text":"Hong Kong in connection with operations, legal enforcement and cross-border trades under Stock Connects. In","page_number":81,"box":{"x":70,"y":876,"width":786,"height":11}},{"id":"9f19936c-6e2e-45fe-bf3f-d36cfe0f9fae","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":81,"box":{"x":69,"y":891,"width":821,"height":11}},{"id":"59779c13-dbae-42e4-8cfd-36d175883744","block_type":"box","text":"as a result of such changes. Fur thermore, the securities regimes and legal systems of China and Hong Kong differ","page_number":81,"box":{"x":69,"y":906,"width":819,"height":12}},{"id":"387588cc-8234-4ad0-b82e-a2b9cdff664f","block_type":"box","text":"II-44","page_number":81,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"43412478-6c93-4082-a492-e19b7d93afae","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":81,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e47507af-7964-43dd-b735-de85cc21ed92","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":82,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"2c72996b-757b-4cb6-8b4d-891266aed483","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":82,"box":{"x":68,"y":60,"width":814,"height":11}},{"id":"00bd88e9-8607-42a3-a847-ab5279037ec9","block_type":"box","text":"achieve its investment objective may be adversely affected. In addition, a Fund’s investments in Stock Connect","page_number":82,"box":{"x":69,"y":75,"width":793,"height":11}},{"id":"64ff921c-bd10-43c0-88b3-11e3c8c2ce69","block_type":"box","text":"Securities through Stock Connects are generally subject to Chinese securities regulations and listing rules, among","page_number":82,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"b0a5af7c-a556-4f2f-baaa-2851908d6671","block_type":"box","text":"other restrictions. Fur ther, different fees, costs and taxes are imposed on foreign investors acquiring Stock Connect","page_number":82,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"c4336ed1-4453-497e-8f45-9b2fe89a563f","block_type":"box","text":"Securities through Stock Connects, and these fees, costs and taxes may be higher than comparable fees, costs and","page_number":82,"box":{"x":69,"y":120,"width":831,"height":12}},{"id":"420f8c33-c391-4e78-959a-1b0550fa4634","block_type":"box","text":"taxes imposed on owners of other securities providing similar investment exposure.","page_number":82,"box":{"x":68,"y":135,"width":596,"height":12}},{"id":"c1e58900-09fb-4681-93b7-9658831b4d17","block_type":"box","text":"Suspension Risk.","page_number":82,"box":{"x":102,"y":158,"width":122,"height":11}},{"id":"47b6561b-3d30-4052-9892-d9e5c228b6df","block_type":"box","text":"SSE Securities and SZSE Securities may only be bought from, or sold to, a Fund at times when","page_number":82,"box":{"x":231,"y":158,"width":675,"height":11}},{"id":"2b9c6697-fec0-4ef3-8452-7b632e3206d8","block_type":"box","text":"the relevant SSE Securities and SZSE Securities may be sold or purchased on the relevant Chinese stock exchange.","page_number":82,"box":{"x":68,"y":173,"width":829,"height":11}},{"id":"0a78815e-0339-4f48-b923-39d5865f1a70","block_type":"box","text":"The SSE Securities and SZSE Securities markets have a higher propensity for trading suspensions than many other","page_number":82,"box":{"x":68,"y":188,"width":823,"height":12}},{"id":"6150d992-7503-4b66-b346-7e0d74e26a05","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":82,"box":{"x":68,"y":203,"width":831,"height":12}},{"id":"cf279f41-c696-43d2-a82f-ffceef831e17","block_type":"box","text":"SZSE Securities purchased on the Stock Connects if necessary for ensuring an orderly and fair market and ensuring","page_number":82,"box":{"x":69,"y":218,"width":828,"height":12}},{"id":"1283a8dd-140e-4d6c-916e-d59ac2c2e226","block_type":"box","text":"that risks are managed prudently. Consent from the relevant regulator would be sought before a suspension of","page_number":82,"box":{"x":68,"y":234,"width":791,"height":11}},{"id":"899dc192-dcd9-4117-9c91-0919975fd849","block_type":"box","text":"Nor thbound trading is triggered. The relevant PRC government authority may also impose “circuit breakers” and other","page_number":82,"box":{"x":70,"y":249,"width":837,"height":11}},{"id":"c34892d5-11d8-4032-aaa8-ae5a26ad7e4a","block_type":"box","text":"measures to halt or suspend Nor thbound trading. Where a suspension in the Nor thbound trading through Stock","page_number":82,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"815b415b-8131-43bf-b780-95b120355894","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":82,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"07f0d415-175d-43f7-af65-e82459b8f8bb","block_type":"box","text":"cer tain stocks could lead to greater market execution risk and costs for a Fund. The SSE and SZSE currently apply a","page_number":82,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"408d98a7-0a6d-43dc-96de-de571b803fca","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":82,"box":{"x":69,"y":309,"width":778,"height":11}},{"id":"3a74418d-f6d7-482c-89d9-a1a34d8b6f00","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":82,"box":{"x":69,"y":324,"width":815,"height":12}},{"id":"e9a9e333-1cc1-4da1-9b37-d4995c4587da","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":82,"box":{"x":69,"y":340,"width":833,"height":11}},{"id":"c7c3824f-ab8c-44f1-a1ab-3250acc7c9d5","block_type":"box","text":"exist for any par ticular SSE Security or SZSE Security or for any par ticular time.","page_number":82,"box":{"x":69,"y":355,"width":563,"height":11}},{"id":"c20ab091-91dd-4771-a9b4-52af0a22d4e8","block_type":"box","text":"Risk of Investing in the China Interbank Bond Market through Bond Connect.","page_number":82,"box":{"x":102,"y":377,"width":542,"height":12}},{"id":"23aae2cd-a794-4b2f-ab96-256715f2c260","block_type":"box","text":"A Fund may invest directly in the","page_number":82,"box":{"x":650,"y":377,"width":230,"height":11}},{"id":"e4441ac2-06cd-4f2f-85a1-d0ddc45411e2","block_type":"box","text":"domestic bond market in the PRC (the “China Interbank Bond Market”) through the nor thbound trading of Bond","page_number":82,"box":{"x":69,"y":392,"width":791,"height":12}},{"id":"11ddbb0e-f106-4e62-a524-397a260ae6fc","block_type":"box","text":"Connect (“Bond Connect”). Bond Connect is an initiative launched in July 2017 for mutual bond market access","page_number":82,"box":{"x":69,"y":407,"width":790,"height":12}},{"id":"95cd7ceb-c8f6-4243-8cbc-591c41c54331","block_type":"box","text":"between the PRC and Hong Kong, established by the China Foreign Exchange Trade System & National Interbank","page_number":82,"box":{"x":69,"y":423,"width":803,"height":11}},{"id":"957ac211-32ee-4568-aeeb-8d43c5dc6678","block_type":"box","text":"Funding Centre (“CFETS”), China Central Depository & Clearing Co., Ltd (“CDCC”), Shanghai Clearing House (“SCH”),","page_number":82,"box":{"x":70,"y":438,"width":832,"height":11}},{"id":"eb31960f-5b95-440e-8cae-158d599381e2","block_type":"box","text":"Hong Kong Exchanges and Clearing Limited (“HKEX”) and Central Moneymarkets Unit (“CMU”). Under the prevailing","page_number":82,"box":{"x":70,"y":453,"width":821,"height":11}},{"id":"333d0329-723d-4dc4-b617-5b09017ef14c","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":82,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"e7f23217-7d27-4d69-91f9-ca37db21af04","block_type":"box","text":"Bond Market through Bond Connect. Eligible foreign investors may submit trade requests for bonds circulated in the","page_number":82,"box":{"x":70,"y":483,"width":825,"height":11}},{"id":"48efcdea-bbe8-4e03-80f5-736174b2ee97","block_type":"box","text":"China Interbank Bond Market through offshore electronic bond trading platforms (such as Tradeweb), which will in","page_number":82,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"0e5c82eb-ef04-41e3-b263-7187fa076548","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":82,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"9e93ac5b-9747-4c1e-90d8-4f27235fab6a","block_type":"box","text":"approved onshore dealers (including market makers and others engaged in the market making business) in the PRC.","page_number":82,"box":{"x":69,"y":529,"width":830,"height":11}},{"id":"74ccdbae-685c-40bf-a476-fa9319a98326","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":82,"box":{"x":68,"y":543,"width":788,"height":12}},{"id":"5b3dce78-680e-4299-9f32-d75d4ad2fc27","block_type":"box","text":"responses to those eligible foreign investors through the same offshore electronic bond trading platforms. Once the","page_number":82,"box":{"x":69,"y":559,"width":827,"height":11}},{"id":"55e7293e-e00e-418a-aec5-0b68bc7078a9","block_type":"box","text":"eligible foreign investor accepts the quotation, the trade is concluded on CFETS.","page_number":82,"box":{"x":69,"y":574,"width":570,"height":11}},{"id":"eb3fc10e-4285-4286-9a39-9278bad09a02","block_type":"box","text":"The settlement and custody of bonds traded in the China Interbank Bond Market under Bond Connect will be","page_number":82,"box":{"x":101,"y":596,"width":773,"height":12}},{"id":"41d8de21-4cb9-49b0-a981-9f1fb7be184c","block_type":"box","text":"effected through the settlement and custody link between CMU, as an offshore custody agent, and CDCC and SCH,","page_number":82,"box":{"x":69,"y":612,"width":823,"height":11}},{"id":"a8813271-0143-4c26-abc9-9b7d45360afb","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":82,"box":{"x":69,"y":627,"width":832,"height":11}},{"id":"5fd0c510-77cb-4f78-bf0b-c8aebdd508c6","block_type":"box","text":"settlement of confirmed trades onshore and CMU will process bond settlement instructions from CMU members on","page_number":82,"box":{"x":69,"y":642,"width":822,"height":11}},{"id":"60837df2-fff0-4e66-bc07-a4285cdc1883","block_type":"box","text":"behalf of eligible foreign investors in accordance with its relevant rules. Since the introduction in August 2018 of","page_number":82,"box":{"x":69,"y":657,"width":804,"height":11}},{"id":"59a8f7fa-d025-431e-b2d9-bec960deaa30","block_type":"box","text":"delivery versus payment (DVP) settlement in respect of Bond Connect, the movement of cash and securities is","page_number":82,"box":{"x":69,"y":672,"width":787,"height":11}},{"id":"6e74bab6-f549-447a-b3cc-c511ce7f8554","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":82,"box":{"x":69,"y":687,"width":788,"height":11}},{"id":"9baddae2-5cfc-4ba7-ad95-397e3bfd4e6d","block_type":"box","text":"offshore custody agent recognized by the Hong Kong Monetary Authority, will open omnibus nominee accounts with","page_number":82,"box":{"x":69,"y":702,"width":820,"height":12}},{"id":"fc1a8655-7718-4610-bcd3-3ddc360170ed","block_type":"box","text":"the onshore custody agent recognized by the People’s Bank of China (","page_number":82,"box":{"x":68,"y":717,"width":500,"height":12}},{"id":"40b217eb-8af0-4fe5-8b00-9a87808a25fd","block_type":"box","text":"i.e.","page_number":82,"box":{"x":570,"y":718,"width":20,"height":8}},{"id":"0f673817-4158-4bd3-a08c-41e1a5c8f0b8","block_type":"box","text":", CDCC and SCH). All bonds traded by","page_number":82,"box":{"x":593,"y":718,"width":267,"height":11}},{"id":"ff1c59c7-b4dd-4f85-82f0-9edef70dacf2","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":82,"box":{"x":69,"y":732,"width":832,"height":12}},{"id":"a2ee07db-7d5e-4f0d-a1ac-9eb819de61ee","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":82,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"f4a53a33-fc2e-49c6-bc33-a39042a0f046","block_type":"box","text":"CDCC or SCH default, CMU’s liabilities in Bond Connect bonds under its market contracts with clearing par ticipants","page_number":82,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"e2a8cbe5-f56e-4e09-a7a0-f1d5e5da4660","block_type":"box","text":"will be limited to assisting clearing par ticipants in pursuing their claims against CDCC or SCH. The Fund may suffer","page_number":82,"box":{"x":68,"y":778,"width":822,"height":11}},{"id":"882b551b-95d2-433d-ac02-f8df96eb3be8","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":82,"box":{"x":69,"y":793,"width":793,"height":11}},{"id":"87545906-3fdd-4986-b726-ca892379ec2d","block_type":"box","text":"filings, registration with the People’s Bank of China, and account opening have to be carried out by third par ties,","page_number":82,"box":{"x":68,"y":808,"width":802,"height":11}},{"id":"ebd85d32-d5e1-45fe-8a61-547818115523","block_type":"box","text":"including CMU, CDCC, SCH, and CFETS, a Fund is subject to the risks of default or errors on the par t of such third","page_number":82,"box":{"x":70,"y":823,"width":812,"height":12}},{"id":"81f73398-24d6-4963-bfff-59566496086d","block_type":"box","text":"par ties.","page_number":82,"box":{"x":70,"y":839,"width":52,"height":10}},{"id":"8b766dfd-293c-4a6e-b16f-51b6c7823ab1","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":82,"box":{"x":101,"y":861,"width":799,"height":11}},{"id":"42a9c685-4c2e-45a7-97fa-46ff70d91896","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":82,"box":{"x":70,"y":876,"width":785,"height":11}},{"id":"f964183a-b62c-4667-a9c5-0133b252b0ec","block_type":"box","text":"distinction between, legal ownership and beneficial ownership under PRC law and there have been few cases","page_number":82,"box":{"x":69,"y":891,"width":776,"height":12}},{"id":"367863f9-9af0-41e1-9e53-168544ad8e82","block_type":"box","text":"II-45","page_number":82,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6c3f96d2-18cd-48e8-a06f-09f81bc7d5e9","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":82,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2fe1d268-2614-41ad-b3fe-e2589604c068","block_type":"box","text":"involving a nominee account structure in the PRC cour ts. The exact nature and methods of enforcement of the rights","page_number":83,"box":{"x":70,"y":45,"width":830,"height":11}},{"id":"2424690b-9753-4698-b625-d272cfd7741e","block_type":"box","text":"and interests of a Fund under PRC law are also uncer tain.","page_number":83,"box":{"x":69,"y":60,"width":412,"height":9}},{"id":"ac5441ee-8f5f-40f2-88e2-9f76a3847b76","block_type":"box","text":"Market volatility and potential lack of liquidity due to low trading volume of cer tain bonds in the China Interbank","page_number":83,"box":{"x":102,"y":82,"width":793,"height":12}},{"id":"0100eb26-b3e3-4db6-b169-bcee32caf31c","block_type":"box","text":"Bond Market may result in prices of cer tain bonds traded on such market fluctuating significantly. A Fund investing in","page_number":83,"box":{"x":70,"y":98,"width":832,"height":11}},{"id":"84c85ae5-d88e-4eaa-90c4-d4c8736f8c40","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":83,"box":{"x":69,"y":113,"width":821,"height":11}},{"id":"510a403d-7d02-4b4a-97b9-c6c48348f247","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":83,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"b651db87-68af-4961-b24d-b0859b19d15b","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":83,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"c52ba88b-1b7c-4ec3-a8a5-3ba011aa1b07","block_type":"box","text":"Fund’s ability to acquire or dispose of such securities at their expected prices.","page_number":83,"box":{"x":70,"y":158,"width":556,"height":11}},{"id":"6635aa9c-f587-4671-965f-c1032353ffca","block_type":"box","text":"Investing in the China Interbank Bond Market through Bond Connect is also subject to regulatory risks. The","page_number":83,"box":{"x":102,"y":181,"width":762,"height":11}},{"id":"c9ffee12-b203-4dd6-8631-7dfcb01aec02","block_type":"box","text":"relevant rules and regulations are subject to change, which may have potential retrospective effect, and there can be","page_number":83,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"09c03f87-7568-4ea5-964d-26608a5ce14b","block_type":"box","text":"no assurance that Bond Connect will not be discontinued or abolished. Fur thermore, the securities regimes and legal","page_number":83,"box":{"x":69,"y":211,"width":835,"height":11}},{"id":"635216c5-e256-42fa-8a29-80cc68f5dc0c","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":83,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"e9690609-18e9-445e-800e-a52b20a0e317","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":83,"box":{"x":68,"y":241,"width":840,"height":11}},{"id":"ecfda68e-8d0c-407a-8826-baa588272ccd","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":83,"box":{"x":68,"y":256,"width":826,"height":11}},{"id":"e83ff274-6113-48a5-bbdc-3bce1ca6bfc9","block_type":"box","text":"to achieve its investment objective will be negatively affected and, after exhausting other trading alternatives, the","page_number":83,"box":{"x":68,"y":271,"width":808,"height":12}},{"id":"f1f338d8-3c76-48e1-99d9-f70b38d9da38","block_type":"box","text":"Fund may suffer substantial losses as a result. Fur ther, if Bond Connect is not operating, a Fund may not be able to","page_number":83,"box":{"x":70,"y":286,"width":826,"height":12}},{"id":"65b25449-8583-4afd-a796-6f141c510ed5","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":83,"box":{"x":69,"y":302,"width":789,"height":11}},{"id":"59723fcf-7183-448a-ac68-5ddca0e60611","block_type":"box","text":"per formance.","page_number":83,"box":{"x":70,"y":317,"width":93,"height":11}},{"id":"1b0487e4-d7ce-4998-a2d7-f850d993516a","block_type":"box","text":"Trading through Bond Connect is per formed through newly developed trading platforms and operational systems.","page_number":83,"box":{"x":101,"y":339,"width":803,"height":12}},{"id":"44e61c54-d6f9-4d44-9a7d-a1a59cbee408","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":83,"box":{"x":68,"y":355,"width":776,"height":11}},{"id":"377f1f10-a5af-4e7f-adad-dd6eb6d96f63","block_type":"box","text":"developments in the market. In the event that the relevant systems fail to function properly, trading through Bond","page_number":83,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"7a00d4d5-8a7f-431b-bd44-8676250249f5","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":83,"box":{"x":69,"y":385,"width":791,"height":11}},{"id":"2e11cf4a-0521-408c-9c44-8666f644ab7e","block_type":"box","text":"strategy) may therefore be adversely affected. In addition, where a Fund invests in the China Interbank Bond Market","page_number":83,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"c2821ad0-c677-47bb-a42d-0cf12c341113","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":83,"box":{"x":68,"y":415,"width":827,"height":11}},{"id":"a4eb44d9-c60f-4cd8-a3d6-5c74b1a3f8dc","block_type":"box","text":"Bond Connect trades are settled in Chinese currency, the RMB, which is currently restricted and not freely","page_number":83,"box":{"x":102,"y":438,"width":755,"height":11}},{"id":"cd4d013d-41b6-4146-a7d7-fb2b6c28e8fb","block_type":"box","text":"conver tible. As a result, a Fund will be exposed to currency risk, and it cannot be guaranteed that investors will have","page_number":83,"box":{"x":69,"y":453,"width":830,"height":11}},{"id":"d7762ece-e64f-4a90-849b-ac085b8e6b49","block_type":"box","text":"timely access to a reliable supply of RMB.","page_number":83,"box":{"x":68,"y":468,"width":298,"height":11}},{"id":"ad5252ed-06d2-4bf9-9beb-4f9ee2e1168e","block_type":"box","text":"Tax Risk – Withholding Income Tax Risk","page_number":83,"box":{"x":103,"y":491,"width":277,"height":11}},{"id":"a6143b52-e969-447e-87a8-7386f9b3e0d9","block_type":"box","text":".","page_number":83,"box":{"x":381,"y":498,"width":2,"height":2}},{"id":"753b2c0e-40d6-40ad-a39c-7d17ff64e0ea","block_type":"box","text":"According to PRC tax regulations, a 10% withholding income tax is imposed on PRC sourced dividends and","page_number":83,"box":{"x":101,"y":513,"width":758,"height":12}},{"id":"6549732c-8ad7-4e40-98da-fa99043cbcb0","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":83,"box":{"x":70,"y":528,"width":828,"height":12}},{"id":"bf21f14d-2eb9-4ce8-8c35-02a5df80db4f","block_type":"box","text":"applicable tax treaty. From a technical perspective, withholding income tax is also applicable to capital gains realized","page_number":83,"box":{"x":69,"y":544,"width":831,"height":11}},{"id":"88dd37b4-bbf9-486b-a1b0-ae7bb7a109d8","block_type":"box","text":"by foreign investors on the disposal of PRC equity interests.","page_number":83,"box":{"x":69,"y":559,"width":425,"height":11}},{"id":"6d2e2a26-ef20-46d3-9320-1ee770b821c9","block_type":"box","text":"There are however cer tain tax exemptions available, some temporary in nature, highlighted below.","page_number":83,"box":{"x":101,"y":582,"width":697,"height":11}},{"id":"28469f8b-cfee-42f9-87ba-8292bfd938d7","block_type":"box","text":"On November 14, 2014, the Ministry of Finance (“MoF”), China Securities Regulatory Commission and the State","page_number":83,"box":{"x":102,"y":604,"width":803,"height":11}},{"id":"e9e9630c-2487-40a5-9be4-cbd79d3c369c","block_type":"box","text":"Taxation Administration (“STA”), acting with State Council’s approval, jointly released Circular 79, which temporarily","page_number":83,"box":{"x":68,"y":619,"width":822,"height":11}},{"id":"31212af5-b3ae-4578-8256-4e6d89db0dd9","block_type":"box","text":"exempts Qualified Foreign Institutional Investors (“QFIIs”) and Renminbi Qualified Foreign Institutional Investors","page_number":83,"box":{"x":69,"y":634,"width":794,"height":12}},{"id":"4e41cbb1-3e55-46b2-99c8-ca451e649507","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":83,"box":{"x":69,"y":649,"width":812,"height":12}},{"id":"6638cae1-de77-4f9d-b4fc-86d9871c666d","block_type":"box","text":"after November 17, 2014. Subsequently, Circulars 81 and 127 were issued to temporarily exempt tax on capital","page_number":83,"box":{"x":69,"y":664,"width":800,"height":12}},{"id":"0dc453fe-93c7-4c3d-9785-4c42f5013bd4","block_type":"box","text":"gains derived from trading of equity securities of companies domiciled in the PRC that trade on Chinese stock","page_number":83,"box":{"x":68,"y":680,"width":783,"height":11}},{"id":"6665a3a3-6791-4996-95b5-007f88b47e61","block_type":"box","text":"exchanges (“A-Shares”) through the Shanghai-Hong Kong Stock Connect program or the Shenzhen-Hong Kong Stock","page_number":83,"box":{"x":69,"y":695,"width":825,"height":11}},{"id":"61bbaa41-5973-433c-8e5a-9216e06fb274","block_type":"box","text":"Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). The duration of the","page_number":83,"box":{"x":69,"y":710,"width":809,"height":11}},{"id":"2b98b170-a88e-463a-a5a2-ae9cd53118ae","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":83,"box":{"x":68,"y":725,"width":818,"height":11}},{"id":"0f72a93b-2571-40cf-b0d2-106ae3db57ad","block_type":"box","text":"without notice.","page_number":83,"box":{"x":68,"y":740,"width":103,"height":9}},{"id":"05265afa-05c0-45ef-9f51-2e6d999f62a9","block_type":"box","text":"On November 22, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":83,"box":{"x":102,"y":763,"width":759,"height":11}},{"id":"8551cbb1-c8cd-4c18-873d-58f2c3be5afc","block_type":"box","text":"investors are temporarily exempt from withholding income tax with respect to interest income on bonds derived from","page_number":83,"box":{"x":70,"y":778,"width":827,"height":11}},{"id":"0936258a-b136-41e6-8ec0-cf011a04c0f9","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":83,"box":{"x":68,"y":793,"width":798,"height":10}},{"id":"8f1ba897-62f3-432f-ac93-5c7058c650ae","block_type":"box","text":"issued Public Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. On","page_number":83,"box":{"x":70,"y":808,"width":798,"height":11}},{"id":"b611ffe7-4b5f-4da6-8355-fd555b890de4","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":83,"box":{"x":69,"y":823,"width":792,"height":12}},{"id":"be920ca1-22e2-42e7-9d69-1d2e0e02929d","block_type":"box","text":"December 31, 2027.","page_number":83,"box":{"x":70,"y":838,"width":147,"height":11}},{"id":"695497c2-352c-4f55-a0b5-bd78e288957c","block_type":"box","text":"Value Added Tax (“VAT”) Risk —","page_number":83,"box":{"x":103,"y":861,"width":225,"height":11}},{"id":"79e921b3-c50d-40b9-9dd3-15962c8d113e","block_type":"box","text":"From May 1, 2016, VAT applies to cer tain income derived by the Fund, including","page_number":83,"box":{"x":333,"y":861,"width":569,"height":11}},{"id":"df96f0c8-8341-4347-aa1d-98c55ff37be4","block_type":"box","text":"PRC sourced interest income on non-government bonds and trading gains.","page_number":83,"box":{"x":69,"y":876,"width":528,"height":11}},{"id":"6c92eea1-cd64-4b24-9a7b-9a28d71e338f","block_type":"box","text":"There are however cer tain tax exemptions available, some temporary in nature, highlighted below.","page_number":83,"box":{"x":101,"y":899,"width":697,"height":11}},{"id":"9eefa5e4-4ee2-4d28-b57a-947d70fb017c","block_type":"box","text":"II-46","page_number":83,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bccddaea-cef2-4242-8d91-0ba88c3b2386","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":83,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5f39f5ee-6206-4c46-938b-6f37a8c46381","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":84,"box":{"x":101,"y":45,"width":789,"height":11}},{"id":"8163b822-8c3a-478d-857c-c5b034bbc6b9","block_type":"box","text":"Stock Connects and debt securities traded in the China Interbank Bond Market.","page_number":84,"box":{"x":69,"y":60,"width":565,"height":9}},{"id":"a832ea08-0db0-4da2-830f-6c18afe7ab73","block_type":"box","text":"On November 7, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":84,"box":{"x":102,"y":82,"width":749,"height":12}},{"id":"fded4016-fe85-494f-bbdc-032b4264b230","block_type":"box","text":"investors are temporarily exempt from VAT with respect to interest income on bonds derived from the PRC bond","page_number":84,"box":{"x":70,"y":98,"width":791,"height":11}},{"id":"2168d618-44e6-400a-9a39-2212ad8ea747","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":84,"box":{"x":69,"y":113,"width":840,"height":11}},{"id":"ecc4b466-2261-4738-910f-5e07c970ad9c","block_type":"box","text":"Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. However, on","page_number":84,"box":{"x":70,"y":128,"width":766,"height":11}},{"id":"621450cd-1455-45ab-b0b5-288a4e028252","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":84,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"c3d48d62-5477-4dcb-862d-21deac1c5f69","block_type":"box","text":"interest income derived from treasury bonds, local government bonds and financial bonds issued on or after","page_number":84,"box":{"x":70,"y":158,"width":772,"height":11}},{"id":"9c18e056-fcf1-4b7e-85a8-3574ef9716d1","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":84,"box":{"x":68,"y":173,"width":840,"height":11}},{"id":"0e3cd054-bdda-4b0d-b40c-d16e12318398","block_type":"box","text":"for foreign institutional investors. This exemption was extended through December 31, 2027.","page_number":84,"box":{"x":68,"y":188,"width":665,"height":12}},{"id":"d5d2581d-7c39-40e2-b767-b101e96ca4b6","block_type":"box","text":"Any changes in PRC tax law, future clarifications thereof, and/or subsequent retroactive enforcement by the PRC","page_number":84,"box":{"x":101,"y":211,"width":801,"height":11}},{"id":"ab5c6524-daca-42c8-b913-15dc16379d0e","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":84,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"d6d78262-8786-420e-9c50-f1943d486d6e","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":84,"box":{"x":68,"y":241,"width":808,"height":11}},{"id":"5000a37f-545d-4521-922f-bee939fb8f24","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":84,"box":{"x":69,"y":256,"width":810,"height":12}},{"id":"782db779-76f1-419f-be28-bf5dbf7caf16","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":84,"box":{"x":68,"y":272,"width":829,"height":11}},{"id":"dca109b4-9a47-49c5-9ee0-39258933961d","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":84,"box":{"x":69,"y":287,"width":819,"height":11}},{"id":"9c839772-d77d-4f6b-b1e6-6896052b88d9","block_type":"box","text":"advantaged or disadvantaged depending on when the investors purchased and/or sold the shares of the Fund. There","page_number":84,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"0790d711-3e26-4b7e-9ebe-eb6ea4a6b70c","block_type":"box","text":"will be no retrospective restatement of the Fund’s net asset value.","page_number":84,"box":{"x":68,"y":317,"width":474,"height":11}},{"id":"3c1f7e38-33f4-4968-bc95-7fe2a1c9dcc0","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":84,"box":{"x":102,"y":339,"width":777,"height":12}},{"id":"113ca2aa-7546-4f36-8df9-f6e8ea24e2d1","block_type":"box","text":"time, make a provision for potential tax liabilities if in its opinion such provision is warranted or as fur ther clarified by","page_number":84,"box":{"x":68,"y":355,"width":836,"height":11}},{"id":"2bb4249d-b337-48e1-9380-ddaa029bd8a1","block_type":"box","text":"the PRC in notifications.","page_number":84,"box":{"x":68,"y":370,"width":171,"height":9}},{"id":"2f15bd63-65d4-4e00-8a6e-13751a88b842","block_type":"box","text":"Investment in Other Investment Companies.","page_number":84,"box":{"x":102,"y":392,"width":320,"height":11}},{"id":"8d53f126-aeaf-4050-bd9c-ed9ae4c09e81","block_type":"box","text":"Each Fund may, subject to applicable law, invest in other","page_number":84,"box":{"x":429,"y":393,"width":402,"height":11}},{"id":"62e1cc64-c9c1-4439-9883-2d753caf9d78","block_type":"box","text":"investment companies (including investment companies managed by BlackRock and its affiliates), including money","page_number":84,"box":{"x":70,"y":407,"width":818,"height":12}},{"id":"842d3f22-519c-4927-b12f-7278af0284e6","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":84,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"04cbee08-45a8-42e6-ad65-36c5abcdeccc","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":84,"box":{"x":70,"y":438,"width":822,"height":11}},{"id":"0522fe27-5e2b-4acd-8531-3dd1cd72a205","block_type":"box","text":"in securities of other investment companies (measured at the time of such investment). In addition, under Section","page_number":84,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"1f92b98a-62f8-408a-b668-2a0fd5f37be5","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":84,"box":{"x":70,"y":468,"width":793,"height":11}},{"id":"e5383bc0-f890-44ce-8fc9-ef2015e3f56f","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":84,"box":{"x":69,"y":483,"width":796,"height":11}},{"id":"64685d65-1adb-414a-b60f-a2328d7297f7","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":84,"box":{"x":69,"y":498,"width":837,"height":11}},{"id":"b51ba709-921e-4c22-b8a9-5ddb7a9b7df6","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":84,"box":{"x":68,"y":513,"width":812,"height":11}},{"id":"1eb24a64-3c3d-409a-8de9-a9094f451a8c","block_type":"box","text":"restrict a Feeder Fund from investing all of its assets in shares of its Master Por tfolio.) In addition to the restrictions","page_number":84,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"ba482aec-5f25-4425-9bfb-d3a06b4b7c85","block_type":"box","text":"on investing in other investment companies discussed above, under Section 12(d)(1)(C) of the Investment Company","page_number":84,"box":{"x":69,"y":543,"width":827,"height":12}},{"id":"ecfb76d0-8e5d-4255-ab72-1106a20c3ea5","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":84,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"24b3e2c9-397a-43bf-b27c-20749f0f9ed0","block_type":"box","text":"and other BlackRock-advised investment companies to own more than 10% of the total outstanding voting stock of","page_number":84,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"4521ac17-b396-4279-9cbc-e147f9bb1428","block_type":"box","text":"such closed-end investment company. Pursuant to Section 12(d)(1)(G) of the Investment Company Act, these","page_number":84,"box":{"x":69,"y":589,"width":776,"height":11}},{"id":"05e25919-3e4a-41a1-92ef-07b38aeb1b75","block_type":"box","text":"percentage limitations do not apply to investments in affiliated investment companies, including ETFs, subject to","page_number":84,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"898124c0-162a-4cfe-bb89-decc68b50ac8","block_type":"box","text":"cer tain conditions. In addition, a Fund may be able to rely on cer tain rules under the Investment Company Act to","page_number":84,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"c7f71d85-1422-474c-bf59-2e10e47cdf29","block_type":"box","text":"invest in shares of money market funds or other investment companies beyond the statutory limits noted above, but","page_number":84,"box":{"x":70,"y":634,"width":829,"height":11}},{"id":"01131548-c131-4e32-a4d7-6dc39d8759d1","block_type":"box","text":"subject to cer tain conditions.","page_number":84,"box":{"x":69,"y":650,"width":206,"height":10}},{"id":"1954ebab-de16-4ef7-8d86-8712ad08322f","block_type":"box","text":"As with other investments, investments in other investment companies are subject to market and selection risk.","page_number":84,"box":{"x":101,"y":672,"width":799,"height":11}},{"id":"45651b42-a6c6-4617-8997-a3d7e5e379ba","block_type":"box","text":"Shares of investment companies, such as closed-end fund investment companies, that trade on an exchange","page_number":84,"box":{"x":102,"y":695,"width":779,"height":11}},{"id":"cecee7ba-2c2a-4233-bb5a-fe6326313fc4","block_type":"box","text":"may at times be acquired at market prices representing premiums to their NAVs. In addition, investment companies","page_number":84,"box":{"x":69,"y":710,"width":824,"height":11}},{"id":"9ef89c3c-6774-4d30-8fab-4c0798ecce76","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":84,"box":{"x":69,"y":725,"width":836,"height":11}},{"id":"cf67332d-dbea-4457-8012-6fe4ac0d398c","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":84,"box":{"x":68,"y":740,"width":839,"height":11}},{"id":"98f9bd53-182f-403c-bbfb-4dcca02e5384","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":84,"box":{"x":68,"y":755,"width":806,"height":11}},{"id":"e567f203-2505-4afc-8cc6-0a0390f8fa19","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":84,"box":{"x":68,"y":771,"width":810,"height":10}},{"id":"1af33615-7967-4f1c-a23a-cd055731a230","block_type":"box","text":"loss.","page_number":84,"box":{"x":70,"y":786,"width":31,"height":8}},{"id":"979c5689-7962-4e5a-acf0-3d8df0037fb5","block_type":"box","text":"In addition, if a Fund acquires shares in investment companies, including affiliated investment companies,","page_number":84,"box":{"x":102,"y":808,"width":758,"height":11}},{"id":"ea233d66-dfef-4ef7-9ae1-ee1b91866365","block_type":"box","text":"shareholders would bear both their propor tionate share of expenses in the Fund and, indirectly, the expenses of such","page_number":84,"box":{"x":69,"y":823,"width":837,"height":11}},{"id":"933ac264-c9f9-4d94-9896-6dab265a52d5","block_type":"box","text":"investment companies. Such expenses, both at the Fund level and acquired investment company level, would include","page_number":84,"box":{"x":70,"y":838,"width":835,"height":11}},{"id":"f66ac30b-5ec0-4682-821e-e19c1994b310","block_type":"box","text":"management and advisory fees, unless such fees have been waived by BlackRock. Please see the relevant Fund’s","page_number":84,"box":{"x":69,"y":853,"width":816,"height":12}},{"id":"1be0fe45-4298-49fb-9814-e114bbbedbf4","block_type":"box","text":"Prospectus to determine whether any such management and advisory fees have been waived by BlackRock.","page_number":84,"box":{"x":69,"y":869,"width":768,"height":11}},{"id":"75f9f7ad-ce48-41ce-8932-84b5be833151","block_type":"box","text":"Investments by a Fund in wholly owned investment entities created under the laws of cer tain countries will not be","page_number":84,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"3c8e0579-cef0-41cc-a892-b89579c62f71","block_type":"box","text":"deemed an investment in other investment companies. Pursuant to guidance issued by the staff of the Commission,","page_number":84,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"95a3b314-eaa0-468b-8701-7a9d28e0385c","block_type":"box","text":"II-47","page_number":84,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"419092d0-897d-47b4-b98d-4b771c8ae4ed","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":84,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4be6c69c-be01-4254-ae91-493f6b8a03ee","block_type":"box","text":"fees and expenses of money market funds used for the investment of cash collateral received in connection with","page_number":85,"box":{"x":68,"y":45,"width":804,"height":11}},{"id":"9d416f9f-cf0b-4766-9ada-3be08b30e23e","block_type":"box","text":"loans of Fund securities are not treated as “acquired fund fees and expenses,” which are fees and expenses","page_number":85,"box":{"x":70,"y":60,"width":778,"height":11}},{"id":"80c93d3e-854a-4486-b6c7-25baef97e1dd","block_type":"box","text":"charged by other investment companies and pooled investment vehicles in which a Fund invests a por tion of its","page_number":85,"box":{"x":69,"y":75,"width":796,"height":11}},{"id":"1699ec64-e15b-4890-8df1-d61ffb66a985","block_type":"box","text":"assets.","page_number":85,"box":{"x":69,"y":91,"width":51,"height":8}},{"id":"c0c9f575-cb60-4c2b-8cd6-e89a417c71a0","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":85,"box":{"x":101,"y":113,"width":776,"height":11}},{"id":"a5714e84-86e2-42e7-89d6-494e8be4a13c","block_type":"box","text":"may be limited. In addition, a fund-of-funds (","page_number":85,"box":{"x":69,"y":128,"width":313,"height":11}},{"id":"9b816903-eb1b-4a0c-abfa-d0fedf5382ba","block_type":"box","text":"e.g.","page_number":85,"box":{"x":384,"y":129,"width":24,"height":10}},{"id":"9540f9ef-aeb6-4072-b3ff-f8163d631278","block_type":"box","text":", an investment company that seeks to meet its investment objective","page_number":85,"box":{"x":411,"y":128,"width":491,"height":11}},{"id":"13d33344-cef8-4864-b344-88b6fc832c2d","block_type":"box","text":"by investing significantly in other investment companies) may be limited in its ability to purchase underlying funds if","page_number":85,"box":{"x":69,"y":143,"width":823,"height":11}},{"id":"0c461f87-0b91-4c56-b72a-dfcaffb57fb3","block_type":"box","text":"such underlying funds themselves own shares of underlying funds.","page_number":85,"box":{"x":69,"y":158,"width":472,"height":11}},{"id":"6353bb63-1a4e-450e-97b8-12a3ea0e3512","block_type":"box","text":"A number of publicly traded closed-end investment companies have been organized to facilitate indirect foreign","page_number":85,"box":{"x":101,"y":181,"width":790,"height":11}},{"id":"9fbe573a-c1ba-4f1b-b9eb-4db17a24aec6","block_type":"box","text":"investment in developing countries, and cer tain of such countries, such as Thailand, South Korea, Chile and Brazil,","page_number":85,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"7f2646c4-b214-4184-b5c2-1f1187759bd4","block_type":"box","text":"have specifically authorized such funds. There also are investment oppor tunities in cer tain of such countries in","page_number":85,"box":{"x":69,"y":211,"width":791,"height":11}},{"id":"fc96a74d-ebc2-4966-a4a0-2feaa80a0271","block_type":"box","text":"pooled vehicles that resemble open-end investment companies. The restrictions on investments in securities of","page_number":85,"box":{"x":70,"y":226,"width":795,"height":11}},{"id":"27cc10b2-e5c3-4c7b-9c80-079ef6f605c1","block_type":"box","text":"investment companies set for th above may limit oppor tunities for a Fund to invest indirectly in cer tain developing","page_number":85,"box":{"x":70,"y":241,"width":807,"height":11}},{"id":"615ec513-1d08-40ed-88fb-6825f53a7f25","block_type":"box","text":"countries.","page_number":85,"box":{"x":69,"y":257,"width":69,"height":8}},{"id":"f81c4ea6-caed-4378-aa06-ab7e87eaa9bc","block_type":"box","text":"Issuer Insolvency Risk.","page_number":85,"box":{"x":102,"y":279,"width":166,"height":11}},{"id":"81c30ce8-5fe6-4f9c-8b1b-fbbb94257548","block_type":"box","text":"Cer tain Funds’ potential exposure to financially or operationally troubled issuers involves","page_number":85,"box":{"x":275,"y":279,"width":631,"height":11}},{"id":"db0d3855-3359-43a2-9f89-d395b4e044a6","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":85,"box":{"x":69,"y":294,"width":832,"height":11}},{"id":"fec2dcc6-a2a5-4f14-aefd-d69291d4c64d","block_type":"box","text":"an issuer of securities held by a Fund become involved in a bankruptcy proceeding, reorganization or financial","page_number":85,"box":{"x":69,"y":309,"width":781,"height":11}},{"id":"c2956286-50c7-45a6-965b-418889879443","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":85,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"8559af4a-427e-48d3-9fb6-f5d7fe4cf7d4","block_type":"box","text":"issuer uncer tain.","page_number":85,"box":{"x":70,"y":340,"width":118,"height":8}},{"id":"808fbc9f-b441-4d3f-8672-facca72a9e48","block_type":"box","text":"During the period of a bankruptcy proceeding, reorganization or financial restructuring, it is unlikely that a Fund","page_number":85,"box":{"x":102,"y":362,"width":788,"height":11}},{"id":"86ff868c-9f5d-4a21-97db-7a83a60dda69","block_type":"box","text":"will receive any interest payments on the securities of the issuer. A Fund will be subject to significant uncer tainty as","page_number":85,"box":{"x":68,"y":377,"width":827,"height":12}},{"id":"edacfe7d-d155-4520-9418-1cd58716c77d","block_type":"box","text":"to whether the reorganization or restructuring will be completed, and the Fund may bear cer tain extraordinary","page_number":85,"box":{"x":68,"y":393,"width":779,"height":11}},{"id":"d2c50a7e-e57c-43e6-b5bc-847634f52c54","block_type":"box","text":"expenses to protect and recover its investment. A Fund will also be subject to significant uncer tainty as to when and","page_number":85,"box":{"x":69,"y":407,"width":829,"height":12}},{"id":"b62af6ba-2d77-4042-895a-9fd08b9365a8","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":85,"box":{"x":70,"y":423,"width":797,"height":11}},{"id":"16500aa7-07cf-4fa4-8074-8b035b52ecd7","block_type":"box","text":"eventually be satisfied.","page_number":85,"box":{"x":69,"y":438,"width":162,"height":11}},{"id":"c94a2d29-77a5-4920-a10e-b93b0366b800","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":85,"box":{"x":102,"y":460,"width":805,"height":12}},{"id":"4f6e317f-01cc-4ee7-88dc-cccd4ccb92d9","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":85,"box":{"x":70,"y":476,"width":827,"height":11}},{"id":"b68c0253-2fc0-45a7-bff6-c9bc2e748642","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":85,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"df1c2ece-1042-4cde-9324-96763c9441a6","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":85,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"312843ef-cdf5-4bd0-8dda-7e2154d8b96e","block_type":"box","text":"interest in any collateral challenged, disallowed or subordinated to the claims or security interests of other creditors.","page_number":85,"box":{"x":70,"y":521,"width":830,"height":11}},{"id":"3734ed6e-0629-46e3-8a06-8a233d72ca32","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":85,"box":{"x":70,"y":536,"width":805,"height":11}},{"id":"c95e23ac-500a-4bf4-af20-5289f1bd18e6","block_type":"box","text":"introduce greater uncer tainty regarding the outcome of the Fund’s securities holdings in the issuer. In a bankruptcy","page_number":85,"box":{"x":70,"y":551,"width":820,"height":11}},{"id":"9e81c664-625a-40fd-972b-959f2bd2cab0","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":85,"box":{"x":70,"y":566,"width":828,"height":11}},{"id":"da3fda61-b1a6-4fb5-8a5d-7cc1fa231d96","block_type":"box","text":"a Fund may receive different securities or other assets, including equity securities. These types of equity securities","page_number":85,"box":{"x":69,"y":581,"width":820,"height":12}},{"id":"8f706aae-f941-4536-aa54-b83a6543bd40","block_type":"box","text":"include, but are not limited to: common stock; preferred stock (including conver tible preferred stock); bonds, notes","page_number":85,"box":{"x":70,"y":596,"width":820,"height":12}},{"id":"1b6f1743-3b04-4b8c-ac5c-c12cb51517dc","block_type":"box","text":"and debentures conver tible into common or preferred stock; stock purchase warrants and rights; equity interests in","page_number":85,"box":{"x":69,"y":612,"width":824,"height":11}},{"id":"99de3c54-3b87-4091-ad68-616a95185aa3","block_type":"box","text":"trusts; and depositary receipts. Equity securities are subject to changes in value, and their value may be more","page_number":85,"box":{"x":68,"y":627,"width":788,"height":11}},{"id":"2b963a4d-3cfb-4701-9da2-7938498c154c","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":85,"box":{"x":68,"y":642,"width":826,"height":11}},{"id":"3a8a4ac0-f5d6-4241-a956-0d104f604edd","block_type":"box","text":"securities because the status of equity holders is subordinate to debtholders in an issuer’s capital structure. The","page_number":85,"box":{"x":69,"y":657,"width":809,"height":11}},{"id":"ffe94200-5145-4ca0-8d41-40f7ced53efe","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":85,"box":{"x":68,"y":672,"width":809,"height":11}},{"id":"341b6a08-1380-47fd-974a-eddaab7bce9a","block_type":"box","text":"overall market and economic conditions, or conditions within the issuer’s region or industry, deteriorate.","page_number":85,"box":{"x":69,"y":687,"width":741,"height":11}},{"id":"6fca5399-1d51-4cc8-8c03-f8943f3e36f6","block_type":"box","text":"To the extent that a Fund receives other assets in connection with a bankruptcy proceeding, reorganization or","page_number":85,"box":{"x":101,"y":710,"width":780,"height":11}},{"id":"05dafd1e-2289-4f72-89b8-989e0cf66fbc","block_type":"box","text":"financial restructuring, the Fund may also be subject to additional risks associated with the assets received. One","page_number":85,"box":{"x":68,"y":725,"width":807,"height":11}},{"id":"dd58dc76-6796-45ce-a2be-1c13915cf882","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 par t of a","page_number":85,"box":{"x":69,"y":740,"width":795,"height":11}},{"id":"e6733646-efb4-481b-83ac-783a3ddb9e85","block_type":"box","text":"workout agreed to by a consor tium of lienholders and creditors of the issuer. A Fund may receive such interests in","page_number":85,"box":{"x":68,"y":755,"width":814,"height":11}},{"id":"2cf4db34-e6fa-46f6-b56d-0bbfea86ec13","block_type":"box","text":"loans to the extent permitted by the Investment Company Act.","page_number":85,"box":{"x":70,"y":770,"width":439,"height":11}},{"id":"d6d27d84-ed61-4bb7-af58-26a7995c8307","block_type":"box","text":"Securities or other assets received in a reorganization or restructuring typically entail a higher degree of risk than","page_number":85,"box":{"x":102,"y":793,"width":806,"height":11}},{"id":"512ac14a-05b8-42db-9ad8-22c96c7d8399","block_type":"box","text":"investments in securities of issuers that have not undergone a reorganization or restructuring and may be subject to","page_number":85,"box":{"x":70,"y":808,"width":829,"height":11}},{"id":"3c91a4d1-a284-4e5f-8ee4-4f5808b83abe","block_type":"box","text":"heavy selling or downward pricing pressure after completion of the reorganization or restructuring. The post","page_number":85,"box":{"x":69,"y":823,"width":767,"height":12}},{"id":"7a60257b-571f-4fce-be64-5566223d714c","block_type":"box","text":"reorganization/restructuring assets and securities may also be illiquid and difficult to sell or value. If a Fund","page_number":85,"box":{"x":69,"y":838,"width":771,"height":12}},{"id":"3539f8bd-9055-4312-a2a1-86b1d32d56d7","block_type":"box","text":"par ticipates in negotiations with respect to a plan of reorganization or restructuring with respect to securities of the","page_number":85,"box":{"x":70,"y":853,"width":823,"height":12}},{"id":"b00df477-b974-44d6-bdea-6b1794568e9c","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":85,"box":{"x":70,"y":869,"width":822,"height":11}},{"id":"a005b506-a09b-434a-8792-c37cd34e28f7","block_type":"box","text":"becomes involved in such proceedings, the Fund may have more active par ticipation in the affairs of the issuer than","page_number":85,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"b78cd166-99df-4c29-9278-06bda15f50cd","block_type":"box","text":"that assumed generally by an investor.","page_number":85,"box":{"x":68,"y":899,"width":274,"height":11}},{"id":"de0c0997-5576-436c-9452-8f7eae1afcd4","block_type":"box","text":"II-48","page_number":85,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3cb98835-3d2f-4fb3-aae4-0c215803689c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":85,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"55f8a48f-6ca1-4396-be16-5c0ff39ec43b","block_type":"box","text":"Lease Obligations.","page_number":86,"box":{"x":102,"y":45,"width":133,"height":11}},{"id":"116a35a0-bc9b-4285-a78d-386be99c6695","block_type":"box","text":"A Fund may hold par ticipation cer tificates in a lease, an installment purchase contract, or a","page_number":86,"box":{"x":241,"y":45,"width":653,"height":11}},{"id":"40e7d7f4-bca8-4532-ac2e-2c9d1b09a30b","block_type":"box","text":"conditional sales contract (“lease obligations”). The Manager will monitor the credit standing of each borrower and","page_number":86,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"5d08f890-b76c-4c0c-b33a-b33305f56126","block_type":"box","text":"each entity providing credit suppor t and/or a put option relating to lease obligations.","page_number":86,"box":{"x":69,"y":75,"width":602,"height":11}},{"id":"cb519cda-a2f8-4979-9367-cf0064aee92e","block_type":"box","text":"Life Settlement Investments.","page_number":86,"box":{"x":102,"y":98,"width":210,"height":9}},{"id":"c045cbb2-952e-4fb7-b884-b2077f70b24d","block_type":"box","text":"A Fund may invest in life settlements, which are sales to third par ties, such as the","page_number":86,"box":{"x":318,"y":98,"width":589,"height":11}},{"id":"a3058dda-82d6-476a-8399-cf7913a995c5","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":86,"box":{"x":70,"y":113,"width":838,"height":11}},{"id":"f6e624d9-c157-4b66-a1ed-1921beec29fb","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":86,"box":{"x":70,"y":128,"width":834,"height":11}},{"id":"8d2f2bba-7241-4ab0-944d-961411d92105","block_type":"box","text":"receipt of the net benefit as the beneficiary under the policy. Investments in these contracts involve cer tain risks,","page_number":86,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"2f85878d-a866-4b2e-8021-d7d1b15dad7e","block_type":"box","text":"including liquidity risk, credit risk of the insurance company, and inaccurate estimations of life expectancy of the","page_number":86,"box":{"x":70,"y":158,"width":797,"height":11}},{"id":"1aef9505-2bd3-43fd-9298-c8d0006f5ac0","block_type":"box","text":"insured individuals (viators). These policies may be considered illiquid because they are bought and sold in a","page_number":86,"box":{"x":70,"y":173,"width":775,"height":11}},{"id":"0974e7f5-b8d2-4060-9c7b-d04f84701226","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":86,"box":{"x":69,"y":188,"width":805,"height":12}},{"id":"f40facc5-ed5e-4bc5-b34a-15762d705859","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":86,"box":{"x":70,"y":203,"width":789,"height":12}},{"id":"974b4f72-2a59-4354-ac28-75b908a2cd4c","block_type":"box","text":"investing in policies issued by a diverse range of highly-rated insurance carriers. Fur thermore, a Fund may encounter","page_number":86,"box":{"x":70,"y":218,"width":829,"height":12}},{"id":"aeda6ade-edeb-4297-a9eb-719bb3b023f3","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":86,"box":{"x":70,"y":234,"width":813,"height":11}},{"id":"40a135d0-771f-4dc7-9913-3349f2474d72","block_type":"box","text":"reduce this life expectancy risk by investing only in contracts where the life expectancy was reviewed by an","page_number":86,"box":{"x":69,"y":249,"width":758,"height":11}},{"id":"490cd6be-adbd-405f-8e24-7675e0747db5","block_type":"box","text":"experienced actuary, as well as by diversifying its investments across viators of varying ages and medical profiles. In","page_number":86,"box":{"x":69,"y":264,"width":832,"height":11}},{"id":"8acd9374-d952-4d45-a577-eb0d40952045","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":86,"box":{"x":69,"y":279,"width":800,"height":11}},{"id":"e2c8d76e-e3fd-44db-8eab-a7f38659fc8a","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":86,"box":{"x":68,"y":294,"width":809,"height":11}},{"id":"a7d110ad-19a5-41bd-b3d9-a7e1f4f315bd","block_type":"box","text":"monitor its investments to ensure that the Fund remains qualified as a regulated investment company.","page_number":86,"box":{"x":69,"y":309,"width":730,"height":11}},{"id":"917e0afe-222a-4250-be34-936cfadf83e5","block_type":"box","text":"Liquidity Risk Management.","page_number":86,"box":{"x":102,"y":332,"width":202,"height":11}},{"id":"910008e8-6bfd-49dd-bfed-9a6a605545c0","block_type":"box","text":"Rule 22e-4 under the Investment Company Act (the “Liquidity Rule”) requires open","page_number":86,"box":{"x":311,"y":332,"width":591,"height":11}},{"id":"2c0ec68c-2ffb-4379-8f48-266f930e8795","block_type":"box","text":"end funds, such as the Funds, to adopt a liquidity risk management program and enhance disclosures regarding fund","page_number":86,"box":{"x":69,"y":347,"width":835,"height":11}},{"id":"8e94ffdb-2521-450d-9958-5aa90b19ed7e","block_type":"box","text":"liquidity. As required by the Liquidity Rule, the Funds have implemented a liquidity risk management program (the","page_number":86,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"150c8b6f-d4ca-45fb-a7d2-1dd68661defa","block_type":"box","text":"“Liquidity Program”), and the Boards of Directors of the Funds, including a majority of the independent Directors,","page_number":86,"box":{"x":70,"y":377,"width":801,"height":12}},{"id":"20888df8-fe52-4b0b-b5f3-75ef37237f22","block_type":"box","text":"have appointed the Manager as the liquidity risk program administrator of the Liquidity Program. Under the Liquidity","page_number":86,"box":{"x":69,"y":392,"width":822,"height":12}},{"id":"47035341-a0ac-4d90-89e7-f2e8196eff3b","block_type":"box","text":"Program, the Manager assesses, manages, and periodically reviews each Fund’s liquidity risk and classifies each","page_number":86,"box":{"x":69,"y":407,"width":808,"height":12}},{"id":"e219fe02-0e90-45de-be7b-e0ffaace3b2c","block_type":"box","text":"investment held by a Fund as a “highly liquid investment,” “moderately liquid investment,” “less liquid investment” or","page_number":86,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"4830ac5c-f958-4b01-a207-6d7e44a718fa","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":86,"box":{"x":70,"y":438,"width":804,"height":11}},{"id":"81f84611-25c4-4431-a5d6-692982c4a3ea","block_type":"box","text":"redeem shares issued by the Fund without significant dilution of the remaining investors’ interests in the Fund. The","page_number":86,"box":{"x":69,"y":453,"width":821,"height":11}},{"id":"2eb30126-dabb-4d12-9506-fee487e88b34","block_type":"box","text":"liquidity of a Fund’s por tfolio investments is determined based on relevant market, trading and investment-specific","page_number":86,"box":{"x":70,"y":468,"width":815,"height":11}},{"id":"6400f635-7ea2-4dee-8369-e40effb6837f","block_type":"box","text":"considerations under the Liquidity Program. To the extent that an investment is deemed to be an illiquid investment","page_number":86,"box":{"x":69,"y":483,"width":823,"height":11}},{"id":"420de524-99af-46d5-859b-cd249bc4b92d","block_type":"box","text":"or a less liquid investment, a Fund can expect to be exposed to greater liquidity risk.","page_number":86,"box":{"x":69,"y":498,"width":601,"height":11}},{"id":"7c7d7422-7a26-4b2c-803a-1ecca7460140","block_type":"box","text":"Master Limited Partnerships.","page_number":86,"box":{"x":102,"y":521,"width":211,"height":11}},{"id":"f5743406-24c8-4a41-9d61-bdbc8ede8dc4","block_type":"box","text":"Cer tain Funds may invest in publicly traded master limited par tnerships (“MLPs”)","page_number":86,"box":{"x":320,"y":521,"width":577,"height":11}},{"id":"c5c3702b-cf6d-474b-9e79-2f0ac32ba7cf","block_type":"box","text":"which are limited par tnerships or limited liability companies taxable as par tnerships. MLPs may derive income and","page_number":86,"box":{"x":68,"y":536,"width":816,"height":11}},{"id":"3b2da9a9-3778-4d65-8352-73781a692ce9","block_type":"box","text":"gains from the exploration, development, mining or production, processing, refining, transpor tation (including","page_number":86,"box":{"x":68,"y":551,"width":777,"height":11}},{"id":"48cc11f3-71dc-4c91-81fa-50b8d00538c1","block_type":"box","text":"pipelines transpor ting gas, oil, or products thereof), or the marketing of any mineral or natural resources. MLPs","page_number":86,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"18fde2b3-f942-4bef-9d97-72d0d326c868","block_type":"box","text":"generally have two classes of owners, the general par tner and limited par tners. When investing in an MLP, a Fund","page_number":86,"box":{"x":68,"y":581,"width":811,"height":12}},{"id":"eaa5c9a8-0bfd-4d6e-87c4-d932bb84872b","block_type":"box","text":"intends to purchase publicly traded common units issued to limited par tners of the MLP. The general par tner is","page_number":86,"box":{"x":70,"y":596,"width":791,"height":12}},{"id":"6fdfdf47-d67a-40f2-b613-95461567d510","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":86,"box":{"x":68,"y":612,"width":812,"height":11}},{"id":"87f89732-b3b1-4582-bf05-304f7d4bf052","block_type":"box","text":"owned by one or more of such par ties. The general par tner may be structured as a private or publicly traded","page_number":86,"box":{"x":69,"y":627,"width":770,"height":11}},{"id":"5b5a98ba-2915-4c5e-b3c0-42c159dd246e","block_type":"box","text":"corporation or other entity. The general par tner typically controls the operations and management of the MLP through","page_number":86,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"980ccae6-e671-46c6-96bf-4bd7b2ee0099","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":86,"box":{"x":69,"y":657,"width":799,"height":11}},{"id":"41bdae56-703d-457d-a27c-5f3526a59d11","block_type":"box","text":"Limited par tners own the remainder of the par tnership, through ownership of common units, and have a limited role","page_number":86,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"4390ed3a-6c82-4242-b97e-76c1d9c3b739","block_type":"box","text":"in the par tnership’s operations and management.","page_number":86,"box":{"x":70,"y":687,"width":352,"height":11}},{"id":"66a70dab-7e76-4f36-a31c-857d696c4287","block_type":"box","text":"MLPs are typically structured such that common units and general par tner interests have first priority to receive","page_number":86,"box":{"x":102,"y":710,"width":794,"height":11}},{"id":"ea9b641b-3ea8-4618-927a-5eead00b190c","block_type":"box","text":"quar terly cash distributions up to an established minimum amount (“minimum quar terly distributions” or “MQD”).","page_number":86,"box":{"x":69,"y":725,"width":809,"height":11}},{"id":"8f4361bf-bb93-467f-9c3e-5cf7bcfabf19","block_type":"box","text":"Common and general par tner interests also accrue arrearages in distributions to the extent the MQD is not paid.","page_number":86,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"77ea175b-7eb6-44a3-95db-daf0664fb3b6","block_type":"box","text":"Once common and general par tner interests have been paid, subordinated units receive distributions of up to the","page_number":86,"box":{"x":69,"y":755,"width":808,"height":11}},{"id":"65d769e2-fe59-4632-afee-320886f79a13","block_type":"box","text":"MQD; however, subordinated units do not accrue arrearages. Distributable cash in excess of the MQD paid to both","page_number":86,"box":{"x":70,"y":770,"width":816,"height":12}},{"id":"f75a8e59-c900-4aa5-9729-a5aa943b2e4e","block_type":"box","text":"common and subordinated units is distributed to both common and subordinated units generally on a pro rata basis.","page_number":86,"box":{"x":69,"y":786,"width":831,"height":11}},{"id":"f8414f3f-2a80-4ccb-996f-3a56da4f5145","block_type":"box","text":"The general par tner is also eligible to receive incentive distributions if the general par tner operates the business in a","page_number":86,"box":{"x":68,"y":801,"width":835,"height":11}},{"id":"97226706-6d56-4a29-acf5-b5c84ee9488f","block_type":"box","text":"manner which results in distributions paid per common unit surpassing specified target levels. As the general par tner","page_number":86,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"f935f384-d530-4da2-834f-4be687aeff03","block_type":"box","text":"increases cash distributions to the limited par tners, the general par tner receives an increasingly higher percentage of","page_number":86,"box":{"x":70,"y":831,"width":839,"height":11}},{"id":"216fa0bb-c6f7-4f66-a1f1-a87120795355","block_type":"box","text":"the incremental cash distributions. A common arrangement provides that the general par tner can reach a tier where","page_number":86,"box":{"x":68,"y":846,"width":828,"height":11}},{"id":"ed22a374-a2c5-4e75-ab0c-621e634974c4","block_type":"box","text":"it receives 50% of every incremental dollar paid to common and subordinated unit holders. These incentive","page_number":86,"box":{"x":70,"y":861,"width":761,"height":11}},{"id":"795066a5-f6b0-4bcc-86d5-0f7edd77593a","block_type":"box","text":"distributions encourage the general par tner to streamline costs, increase capital expenditures and acquire assets in","page_number":86,"box":{"x":69,"y":876,"width":830,"height":11}},{"id":"13b8a97b-fb09-47b5-b80f-655f0d1d0c04","block_type":"box","text":"order to increase the par tnership’s cash flow and raise the quar terly cash distribution in order to reach higher tiers.","page_number":86,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"b14c7acd-6196-4a28-af5c-55d3c46cb48a","block_type":"box","text":"Such results benefit all security holders of the MLP.","page_number":86,"box":{"x":69,"y":906,"width":366,"height":12}},{"id":"0ef5884b-ed56-461b-b066-20ce023ade24","block_type":"box","text":"II-49","page_number":86,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"64b3ad22-31a5-4d94-b9cc-dda9023a846e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":86,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3e3e9ed5-4b9d-4c58-a0c4-0c8d1899a22a","block_type":"box","text":"MLP common units represent a limited par tnership interest in the MLP. Common units are listed and traded on","page_number":87,"box":{"x":102,"y":45,"width":790,"height":11}},{"id":"15c075b9-27fd-42d9-9193-1d5e431dadb3","block_type":"box","text":"U.S. securities exchanges, with their value fluctuating predominantly based on prevailing market conditions and the","page_number":87,"box":{"x":70,"y":60,"width":820,"height":11}},{"id":"c901fe0f-b75a-498a-bb0a-5ab96baf6445","block_type":"box","text":"success of the MLP. Cer tain Funds intend to purchase common units in market transactions. Unlike owners of","page_number":87,"box":{"x":69,"y":75,"width":787,"height":11}},{"id":"bddd6f03-f682-402d-8730-bbdb71919ce4","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":87,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"4ba6482f-dab7-49c9-9598-e3c0b0a79509","block_type":"box","text":"elect directors. In the event of liquidation, common units have preference over subordinated units, but not over debt","page_number":87,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"3d883ac2-6f77-4eb9-a9f6-93f79b567f8c","block_type":"box","text":"or preferred units, to the remaining assets of the MLP.","page_number":87,"box":{"x":69,"y":120,"width":387,"height":12}},{"id":"7c33ff40-2bcf-41e5-bef7-9bf065cf70b9","block_type":"box","text":"Merger Transaction Risk.","page_number":87,"box":{"x":102,"y":143,"width":183,"height":11}},{"id":"c44755ed-e831-49ec-a53e-0c73ab087290","block_type":"box","text":"A Fund may buy stock of the target company in an announced merger transaction prior","page_number":87,"box":{"x":291,"y":143,"width":616,"height":11}},{"id":"b769e92a-cd75-4f35-874e-eef227e5d233","block_type":"box","text":"to the consummation of such transaction. In that circumstance, a Fund would expect to receive an amount (whether","page_number":87,"box":{"x":68,"y":158,"width":827,"height":11}},{"id":"b04d9b54-04bf-4f63-ad19-38ffee44089c","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":87,"box":{"x":70,"y":173,"width":816,"height":11}},{"id":"f732a236-7d01-4610-8411-c6d5408cee99","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":87,"box":{"x":68,"y":188,"width":825,"height":12}},{"id":"9b62fd55-1dc3-47a3-a760-053b3c108121","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":87,"box":{"x":69,"y":203,"width":832,"height":12}},{"id":"1f4a12df-fc3f-4677-a130-129cb4ae6ac9","block_type":"box","text":"the Fund and may lose significant value.","page_number":87,"box":{"x":68,"y":218,"width":286,"height":12}},{"id":"b067527b-1c16-4bef-9be7-f0423effa183","block_type":"box","text":"Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S. Banks.","page_number":87,"box":{"x":102,"y":241,"width":723,"height":11}},{"id":"5fa73200-d7e6-455d-a379-ae4985468c9d","block_type":"box","text":"Cer tain","page_number":87,"box":{"x":831,"y":241,"width":50,"height":9}},{"id":"0c853970-1494-4a37-b0a3-bbaf835a1d89","block_type":"box","text":"Funds may purchase bank obligations, such as cer tificates of deposit, notes, bankers’ acceptances and time","page_number":87,"box":{"x":70,"y":256,"width":778,"height":12}},{"id":"5d2219eb-39ab-49ab-a507-4c6328d01e7b","block_type":"box","text":"deposits, including instruments issued or suppor ted by the credit of U.S. or foreign banks or savings institutions","page_number":87,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"83d01b5a-ef80-4794-9728-9ebdad7bd28a","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":87,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"f802ec0f-5b8a-40c6-9e45-c69efdf4e988","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":87,"box":{"x":68,"y":302,"width":794,"height":11}},{"id":"91aa9692-661d-415f-bcdd-375cbe5d7521","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":87,"box":{"x":68,"y":317,"width":781,"height":11}},{"id":"74517e55-f585-41ab-9a56-96ecbd766f8a","block_type":"box","text":"domestic and foreign branches for purposes of a Fund’s investment policies. Investments in shor t-term bank","page_number":87,"box":{"x":69,"y":332,"width":776,"height":11}},{"id":"7efea4ab-e784-439e-81ec-eeb6badef7dd","block_type":"box","text":"obligations may include obligations of foreign banks and domestic branches of foreign banks, and also foreign","page_number":87,"box":{"x":69,"y":347,"width":785,"height":11}},{"id":"c3240f1f-9fc9-4294-9aae-95081bb4d915","block_type":"box","text":"branches of domestic banks.","page_number":87,"box":{"x":69,"y":362,"width":205,"height":9}},{"id":"c6406d56-b511-420f-a2a9-43028539e82a","block_type":"box","text":"To the extent consistent with their investment objectives, a Fund may invest in debt obligations of domestic or","page_number":87,"box":{"x":101,"y":385,"width":785,"height":11}},{"id":"a5484ea5-ea8f-4179-a5f9-9216f0443f57","block_type":"box","text":"foreign corporations and banks, and may acquire commercial obligations issued by Canadian corporations and","page_number":87,"box":{"x":68,"y":400,"width":787,"height":11}},{"id":"21382b5e-ab6c-4edb-9b55-8957e64cdf22","block_type":"box","text":"Canadian counterpar ts of U.S. corporations, as well as Europaper, which is U.S. dollar-denominated commercial","page_number":87,"box":{"x":69,"y":415,"width":797,"height":11}},{"id":"9c047d58-31e2-4b3a-a310-f8ed24bc6319","block_type":"box","text":"paper of a foreign issuer.","page_number":87,"box":{"x":70,"y":430,"width":176,"height":11}},{"id":"392c22b1-b472-4bc0-8e81-38100a0b0075","block_type":"box","text":"Money Market Securities.","page_number":87,"box":{"x":102,"y":453,"width":188,"height":11}},{"id":"48cd6fa9-1eea-4efc-a3f8-f7dc026d6976","block_type":"box","text":"Cer tain Funds may invest in a broad range of shor t-term, high quality, U.S. dollar","page_number":87,"box":{"x":296,"y":453,"width":578,"height":11}},{"id":"bfe03b48-aa84-44b9-ab00-c8cca3d7ac2d","block_type":"box","text":"denominated instruments, such as government, bank, commercial and other obligations that are available in the","page_number":87,"box":{"x":69,"y":468,"width":802,"height":11}},{"id":"75ae42c7-d282-4266-8d58-205986b35f02","block_type":"box","text":"money markets. In par ticular, the Funds may invest in:","page_number":87,"box":{"x":69,"y":483,"width":386,"height":11}},{"id":"4a3b6ecb-f643-42b7-82ab-da88bf263449","block_type":"box","text":"(a) U.S. dollar-denominated obligations issued or suppor ted by the credit of U.S. or foreign banks or savings","page_number":87,"box":{"x":69,"y":503,"width":779,"height":12}},{"id":"fde6e6e5-6f66-4067-a6f6-f870c7a18592","block_type":"box","text":"institutions with total assets in excess of $1 billion (including obligations of foreign branches of such banks);","page_number":87,"box":{"x":102,"y":518,"width":776,"height":12}},{"id":"a0d73fa2-f4a0-4784-a137-0cae345e6638","block_type":"box","text":"(b) high quality commercial paper and other obligations issued or guaranteed by U.S. and foreign corporations and","page_number":87,"box":{"x":69,"y":538,"width":821,"height":12}},{"id":"344be327-266e-484c-b1d3-a41dfa8aca75","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":87,"box":{"x":102,"y":554,"width":795,"height":11}},{"id":"146aa4c9-16e9-4f00-a54c-eeccb75f02be","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":87,"box":{"x":102,"y":569,"width":757,"height":11}},{"id":"51e32a54-94a8-42dc-bac8-fe9486f8e7f1","block_type":"box","text":"agencies;","page_number":87,"box":{"x":102,"y":584,"width":66,"height":11}},{"id":"e543bda4-0217-49c3-9234-a6fc3560fe10","block_type":"box","text":"(c) unrated notes, paper and other instruments that are of comparable quality to the instruments described in","page_number":87,"box":{"x":69,"y":604,"width":792,"height":11}},{"id":"f0ec77f9-2354-44a1-91c6-2650c7843bac","block_type":"box","text":"(b) above as determined by the Fund’s Manager;","page_number":87,"box":{"x":102,"y":619,"width":344,"height":11}},{"id":"edbdb896-7929-4d5e-ab1f-1e5198bf6048","block_type":"box","text":"(d) asset-backed securities (including interests in pools of assets such as mor tgages, installment purchase","page_number":87,"box":{"x":69,"y":639,"width":776,"height":12}},{"id":"709b4449-d8e6-475d-b5b0-abfff4d0f954","block_type":"box","text":"obligations and credit card receivables);","page_number":87,"box":{"x":102,"y":655,"width":283,"height":11}},{"id":"4ecf36cc-1112-4757-9e45-95140856c4e1","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":87,"box":{"x":69,"y":675,"width":778,"height":11}},{"id":"e8434a42-ffd0-423d-93e8-3c5f2b4f7481","block_type":"box","text":"authorities and related custodial receipts;","page_number":87,"box":{"x":102,"y":690,"width":296,"height":11}},{"id":"700964c2-d764-4523-bda8-9ccc313026a7","block_type":"box","text":"(f) dollar-denominated securities issued or guaranteed by foreign governments or their political subdivisions,","page_number":87,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"02e8e2f4-bb3a-484d-ac85-9027064b332d","block_type":"box","text":"agencies or authorities;","page_number":87,"box":{"x":102,"y":725,"width":166,"height":11}},{"id":"6629d0ac-5c44-4832-890d-a1943c2dab87","block_type":"box","text":"(g) funding agreements issued by highly-rated U.S. insurance companies;","page_number":87,"box":{"x":69,"y":745,"width":528,"height":11}},{"id":"fdb1171a-509c-4f41-b684-7226b4f432a1","block_type":"box","text":"(h) securities issued or guaranteed by state or local governmental bodies;","page_number":87,"box":{"x":69,"y":766,"width":534,"height":11}},{"id":"b720098b-3593-4d29-9c6f-5642e140d6b3","block_type":"box","text":"(i) repurchase agreements relating to the above instruments;","page_number":87,"box":{"x":69,"y":786,"width":447,"height":11}},{"id":"cb34f69f-be92-4beb-90ff-7aad96aeaf6e","block_type":"box","text":"(j) municipal bonds and notes whose principal and interest payments are guaranteed by the U.S. Government or","page_number":87,"box":{"x":69,"y":806,"width":812,"height":11}},{"id":"f2f02ff6-cebb-4a3f-af33-e5458aa2ee60","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":87,"box":{"x":102,"y":821,"width":766,"height":11}},{"id":"884420eb-8291-4fed-92e0-345b77b920b7","block_type":"box","text":"States;","page_number":87,"box":{"x":102,"y":836,"width":49,"height":10}},{"id":"4c75ef92-6528-4f60-8dd9-a58efecf13d5","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":87,"box":{"x":69,"y":856,"width":829,"height":11}},{"id":"be4d4370-2d57-42f4-aab3-79f5e8059632","block_type":"box","text":"SP-2 or A-2 or higher by S&P, or F-2 or higher by Fitch;","page_number":87,"box":{"x":102,"y":871,"width":379,"height":11}},{"id":"e9f45e17-b737-465d-8664-d3fd3ec4c8dc","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":87,"box":{"x":69,"y":891,"width":826,"height":12}},{"id":"70e71c2c-d2df-4568-b334-0eb21b002077","block_type":"box","text":"S&P, or F-2 or higher by Fitch;","page_number":87,"box":{"x":102,"y":906,"width":207,"height":12}},{"id":"93ffa51c-68e7-4df1-9bbe-4a291a45faf5","block_type":"box","text":"II-50","page_number":87,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ed2258f7-5d71-4744-85da-6a561606dbd5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":87,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"118a5035-93e2-49f9-a946-4a58a5d1eddc","block_type":"box","text":"(m) municipal bonds rated A or higher by Moody’s, S&P or Fitch;","page_number":88,"box":{"x":69,"y":45,"width":458,"height":11}},{"id":"9aa229f4-402a-479b-96bd-27c0f9594557","block_type":"box","text":"(n) unrated notes, paper or other instruments that are of comparable quality to the instruments described above, as","page_number":88,"box":{"x":69,"y":65,"width":837,"height":11}},{"id":"bdb57b60-52e3-497a-a4cc-01bdf364d5ca","block_type":"box","text":"determined by the Fund’s Manager under guidelines established by the Board; and","page_number":88,"box":{"x":101,"y":80,"width":589,"height":11}},{"id":"37656da8-4735-47c3-bc46-c4f7e8879906","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":88,"box":{"x":69,"y":100,"width":795,"height":11}},{"id":"cad44806-8792-4a29-9138-262d675ab923","block_type":"box","text":"agency or instrumentality thereof or which otherwise depend directly or indirectly on the credit of the United","page_number":88,"box":{"x":102,"y":115,"width":764,"height":11}},{"id":"df1aa253-3a25-46d3-a243-a1fad8502856","block_type":"box","text":"States.","page_number":88,"box":{"x":102,"y":130,"width":49,"height":9}},{"id":"f6d7a0ca-802f-4899-80d3-a9043194c1bd","block_type":"box","text":"Mortgage-Related Securities.","page_number":88,"box":{"x":102,"y":153,"width":213,"height":11}},{"id":"e650495e-8b0e-4845-b2f3-fa2c7d27249c","block_type":"box","text":"Mor tgage-Backed Securities.","page_number":88,"box":{"x":102,"y":176,"width":203,"height":11}},{"id":"12d61f11-1834-4c03-a641-60484e46570a","block_type":"box","text":"Mor tgage-backed securities represent interests in pools of mor tgages in which","page_number":88,"box":{"x":312,"y":176,"width":560,"height":11}},{"id":"5bbaf3bb-5cf6-4dc5-9536-c8d4b56f103e","block_type":"box","text":"payments of both principal and interest on the securities are generally made monthly, in effect “passing through”","page_number":88,"box":{"x":70,"y":191,"width":805,"height":11}},{"id":"cf812132-0769-44c2-99f1-5f07a056d3a3","block_type":"box","text":"monthly payments made by borrowers on the residential or commercial mor tgage loans that underlie the securities","page_number":88,"box":{"x":69,"y":206,"width":819,"height":11}},{"id":"fa7a2cbb-183c-49ab-984f-2b9843227ac9","block_type":"box","text":"(net of any fees paid to the issuer or guarantor of the securities). Mor tgage-backed securities differ from other forms","page_number":88,"box":{"x":69,"y":221,"width":832,"height":11}},{"id":"884d13b3-9f10-4c98-93e9-9b44c93f7fbd","block_type":"box","text":"of debt securities, which normally provide for periodic payment of interest in fixed amounts with principal payments at","page_number":88,"box":{"x":69,"y":236,"width":838,"height":11}},{"id":"10a4500e-f073-4a2e-885f-fb76ddc5a5b6","block_type":"box","text":"maturity or specified call dates.","page_number":88,"box":{"x":69,"y":251,"width":222,"height":11}},{"id":"66975e10-6aa7-4c0d-9806-171ac71ae671","block_type":"box","text":"Mor tgage-backed securities are subject to the general risks associated with investing in real estate securities;","page_number":88,"box":{"x":102,"y":274,"width":785,"height":11}},{"id":"45871181-6299-47f7-8ffe-6ccff2e82ac3","block_type":"box","text":"that is, they may lose value if the value of the underlying real estate to which a pool of mor tgages relates declines. In","page_number":88,"box":{"x":68,"y":289,"width":838,"height":11}},{"id":"dd7e4069-1ba1-4093-bd89-4010362f236a","block_type":"box","text":"addition, investments in mor tgage-backed securities involve cer tain specific risks. These risks include the failure of a","page_number":88,"box":{"x":69,"y":304,"width":836,"height":11}},{"id":"d81d1173-a0dd-4d72-8541-a29aafeadd6b","block_type":"box","text":"par ty to meet its commitments under the related operative documents, adverse interest rate changes and the effects","page_number":88,"box":{"x":70,"y":319,"width":837,"height":12}},{"id":"22e2fb1a-113b-4852-a56d-c2a7929c9c64","block_type":"box","text":"of prepayments on mor tgage cash flows. Mor tgage-backed securities are “pass-through” securities, meaning that","page_number":88,"box":{"x":69,"y":334,"width":810,"height":12}},{"id":"8eff0611-e65d-42a4-be81-c4491ed2258f","block_type":"box","text":"principal and interest payments made by the borrower on the underlying mor tgages are passed through to a Fund.","page_number":88,"box":{"x":70,"y":350,"width":811,"height":11}},{"id":"6b6a1f59-67f7-4742-9d95-363e81b3a1f3","block_type":"box","text":"Accordingly, the value of mor tgage-backed securities in which a Fund invests may be par ticularly sensitive to changes","page_number":88,"box":{"x":68,"y":365,"width":837,"height":11}},{"id":"2574356e-fd8f-4a44-ab67-d6453793dea2","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":88,"box":{"x":70,"y":380,"width":834,"height":11}},{"id":"258d4749-ab70-4833-879f-e79b0446e10c","block_type":"box","text":"successfully may depend in par t upon the ability of the Manager to forecast interest rates and other economic factors","page_number":88,"box":{"x":69,"y":395,"width":840,"height":11}},{"id":"30000afa-514b-4674-b694-ddfdee657b46","block_type":"box","text":"correctly. The value of mor tgage-backed securities, like that of traditional fixed-income securities, typically increases","page_number":88,"box":{"x":69,"y":410,"width":827,"height":11}},{"id":"986b14e7-f047-4fa0-8457-23c775e130a3","block_type":"box","text":"when interest rates fall and decreases when interest rates rise. However, mor tgage-backed securities differ from","page_number":88,"box":{"x":68,"y":425,"width":805,"height":11}},{"id":"4ea12d95-b2db-4c69-bf7f-a11b1401f0cb","block_type":"box","text":"traditional fixed-income securities because of their potential for prepayment without penalty. The price paid by a Fund","page_number":88,"box":{"x":68,"y":440,"width":834,"height":11}},{"id":"33864f8d-e1e8-4a06-8447-8472a7f63e16","block_type":"box","text":"for its mor tgage-backed securities, the yield the Fund expects to receive from such securities and the weighted","page_number":88,"box":{"x":68,"y":455,"width":791,"height":12}},{"id":"c80e7c38-bbeb-41fa-b871-59ae77afecd6","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":88,"box":{"x":69,"y":470,"width":816,"height":12}},{"id":"3960c6f1-5c6f-4bd2-bef1-6fc46f5c82f9","block_type":"box","text":"underlying mor tgages. In a period of declining interest rates, borrowers may prepay the underlying mor tgages more","page_number":88,"box":{"x":69,"y":486,"width":819,"height":11}},{"id":"2fa344e4-4a74-4237-9c78-2b131f74bc23","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the mor tgage-backed","page_number":88,"box":{"x":69,"y":501,"width":761,"height":11}},{"id":"80a32785-0586-4cf5-a0a4-1827a8d45cf6","block_type":"box","text":"securities. Moreover, when a Fund reinvests the proceeds of a prepayment in these circumstances, it will likely","page_number":88,"box":{"x":69,"y":516,"width":791,"height":11}},{"id":"068ac33e-b20f-467b-99af-8efe9b4715a1","block_type":"box","text":"receive a rate of interest that is lower than the rate on the security that was prepaid.","page_number":88,"box":{"x":69,"y":531,"width":602,"height":11}},{"id":"4c8552dd-35d6-419e-bdbd-bc616e6212bf","block_type":"box","text":"To the extent that a Fund purchases mor tgage-backed securities at a premium, mor tgage foreclosures and","page_number":88,"box":{"x":101,"y":554,"width":761,"height":11}},{"id":"d941926e-0d7f-42da-ab68-5477b91271c5","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":88,"box":{"x":70,"y":569,"width":800,"height":11}},{"id":"40597cd5-abae-4746-9aa0-6a1499216395","block_type":"box","text":"discount, both scheduled payments of principal and unscheduled prepayments will increase current and total returns","page_number":88,"box":{"x":69,"y":584,"width":833,"height":11}},{"id":"00f6cdcf-d0c3-4af3-9dbf-cd4991a9e6c1","block_type":"box","text":"and will accelerate the recognition of income, which, when distributed to shareholders, will be taxable as ordinary","page_number":88,"box":{"x":69,"y":599,"width":809,"height":11}},{"id":"066b2e97-41c3-45f1-a416-171a12bd1e64","block_type":"box","text":"income. In a period of rising interest rates, prepayments of the underlying mor tgages may occur at a slower than","page_number":88,"box":{"x":70,"y":614,"width":801,"height":11}},{"id":"4d3cc375-078c-4e18-979e-895f77b2658a","block_type":"box","text":"expected rate, creating maturity extension risk. This par ticular risk may effectively change a security that was","page_number":88,"box":{"x":69,"y":629,"width":778,"height":11}},{"id":"e54445b2-6a38-461b-af4c-ce32ee3fde5f","block_type":"box","text":"considered shor t- or intermediate-term at the time of purchase into a long-term security. Since the value of long-term","page_number":88,"box":{"x":69,"y":644,"width":831,"height":12}},{"id":"03d5c0db-ff1f-471e-b1c1-5a514d345cc4","block_type":"box","text":"securities generally fluctuates more widely in response to changes in interest rates than that of shor ter-term","page_number":88,"box":{"x":69,"y":659,"width":773,"height":12}},{"id":"e5e58a38-ae5d-4baa-a7af-1c01f60e5e0e","block_type":"box","text":"securities, maturity extension risk could increase the inherent volatility of the Fund. Under cer tain interest rate and","page_number":88,"box":{"x":69,"y":675,"width":818,"height":11}},{"id":"adac6f47-bc2d-4e55-8a84-56eebfe645db","block_type":"box","text":"prepayment scenarios, a Fund may fail to recoup fully its investment in mor tgage-backed securities notwithstanding","page_number":88,"box":{"x":70,"y":690,"width":822,"height":11}},{"id":"4a325375-2c1e-4a7b-8852-a0d3ac5b9d5d","block_type":"box","text":"any direct or indirect governmental or agency guarantee.","page_number":88,"box":{"x":69,"y":705,"width":399,"height":11}},{"id":"73197fc2-a936-45ef-85b9-6940dd8b171d","block_type":"box","text":"There are currently three types of mor tgage pass-through securities: (1) those issued by the U.S. Government or","page_number":88,"box":{"x":101,"y":727,"width":802,"height":12}},{"id":"ca12eeb4-322b-4c74-9604-834365651abd","block_type":"box","text":"one of its agencies or instrumentalities, such as the Government National Mor tgage Association (“Ginnie Mae”), the","page_number":88,"box":{"x":69,"y":743,"width":830,"height":11}},{"id":"290b911f-908a-4ab6-bc13-89d8358f25e5","block_type":"box","text":"Federal National Mor tgage Association (“Fannie Mae”) and the Federal Home Loan Mor tgage Corporation (“Freddie","page_number":88,"box":{"x":70,"y":758,"width":818,"height":11}},{"id":"ddf12f39-7773-459a-a299-34d268ffc399","block_type":"box","text":"Mac”); (2) those issued by private issuers that represent an interest in or are collateralized by pass-through","page_number":88,"box":{"x":70,"y":773,"width":766,"height":11}},{"id":"7e35f103-8741-41f9-9b9c-732e22e38ebf","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":88,"box":{"x":69,"y":788,"width":808,"height":11}},{"id":"b19eb8e7-6caa-4f3e-9121-72f0932e1017","block_type":"box","text":"issued by private issuers that represent an interest in or are collateralized by whole mor tgage loans or pass-through","page_number":88,"box":{"x":70,"y":803,"width":825,"height":11}},{"id":"be6e9726-56a7-460f-8831-a742771ab741","block_type":"box","text":"securities without a government guarantee but that usually have some form of private credit enhancement.","page_number":88,"box":{"x":69,"y":818,"width":761,"height":11}},{"id":"923ec8f0-0820-4cc3-b1c4-1bd978c2fd2e","block_type":"box","text":"Ginnie Mae is a wholly owned U.S. Government corporation within the Depar tment of Housing and Urban","page_number":88,"box":{"x":102,"y":841,"width":743,"height":11}},{"id":"e7c2e180-efa7-4f3d-8ad0-160a07314087","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":88,"box":{"x":70,"y":856,"width":831,"height":11}},{"id":"ed430512-2e78-4622-b966-a827a3f0d59d","block_type":"box","text":"payment of principal and interest on securities issued by the institutions approved by Ginnie Mae (such as savings","page_number":88,"box":{"x":70,"y":871,"width":815,"height":11}},{"id":"3b690c30-c5c9-43a2-8673-9c0909947587","block_type":"box","text":"and loan institutions, commercial banks and mor tgage banks), and backed by pools of Federal Housing","page_number":88,"box":{"x":69,"y":886,"width":737,"height":12}},{"id":"494ab2aa-da4a-4656-b8ec-9037347c2b8e","block_type":"box","text":"Administration (“FHA”)-insured or Veterans’ Administration (“VA”)-guaranteed mor tgages. Pass-through cer tificates","page_number":88,"box":{"x":68,"y":901,"width":814,"height":12}},{"id":"484536b5-c52e-4bcc-92e6-6fe36d7962c5","block_type":"box","text":"II-51","page_number":88,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"04801616-34b2-43bb-98a2-0710c8c11c45","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":88,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"66e671bf-3d67-4551-9dea-60117af42a8f","block_type":"box","text":"guaranteed by Ginnie Mae (such cer tificates are also known as “Ginnie Maes”) are guaranteed as to the timely","page_number":89,"box":{"x":68,"y":45,"width":794,"height":11}},{"id":"8b7265d9-9e1c-418d-ac4a-fffffec726d0","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":89,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"da2540a8-49d7-4315-91d8-e3efc1d9a549","block_type":"box","text":"States. Ginnie Mae cer tificates also are suppor ted by the authority of Ginnie Mae to borrow funds from the U.S.","page_number":89,"box":{"x":69,"y":75,"width":798,"height":11}},{"id":"e2b802ce-d8ca-4641-b3cc-ebf3e9b31f5c","block_type":"box","text":"Treasury Depar tment to make payments under its guarantee. Mor tgage-related securities issued by Fannie Mae","page_number":89,"box":{"x":68,"y":90,"width":798,"height":11}},{"id":"6a9bec79-af27-46ba-8fdf-a2fcd589c6cc","block_type":"box","text":"include Fannie Mae guaranteed Mor tgage Pass-Through Cer tificates (also known as “Fannie Maes”), which are","page_number":89,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"298019b1-db75-4985-8ac6-755dfba3b78a","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":89,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"2b608299-2885-404f-bee3-75daf5a92212","block_type":"box","text":"faith and credit of the United States, but are suppor ted by the right of Fannie Mae to borrow from the U.S. Treasury","page_number":89,"box":{"x":68,"y":135,"width":825,"height":12}},{"id":"4d468523-3d77-4e11-a620-e0c8356f897e","block_type":"box","text":"Depar tment. Fannie Mae was established as a federal agency in 1938 and in 1968 was char tered by Congress as a","page_number":89,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"3bfea080-4862-495c-a4e2-7aed807656bc","block_type":"box","text":"private shareholder-owned company. Mor tgage-related securities issued by Freddie Mac include Freddie Mac","page_number":89,"box":{"x":70,"y":166,"width":770,"height":11}},{"id":"d7aa1766-d22a-489c-b427-7f5ba1935023","block_type":"box","text":"Mor tgage Par ticipation Cer tificates (also known as “Freddie Macs” or “PCs”). Freddie Mac is a stockholder-owned","page_number":89,"box":{"x":70,"y":181,"width":812,"height":11}},{"id":"935acaf8-62eb-4bb1-bf42-b416a3bbf128","block_type":"box","text":"corporation char tered by Congress in 1970. Freddie Macs are not guaranteed by the United States or by any Federal","page_number":89,"box":{"x":69,"y":196,"width":829,"height":11}},{"id":"39940ba6-42c2-47fe-b090-8e436b68611f","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":89,"box":{"x":70,"y":211,"width":832,"height":11}},{"id":"fd3008cb-4571-4c35-a084-6958f65cfb09","block_type":"box","text":"Freddie Macs entitle the holder to timely payment of interest, which is guaranteed by Freddie Mac. Freddie Mac","page_number":89,"box":{"x":70,"y":226,"width":792,"height":11}},{"id":"105a700d-ddb6-4ceb-b352-7b30b9f69d76","block_type":"box","text":"guarantees either ultimate collection or timely payment of all principal payments on the underlying mor tgage loans.","page_number":89,"box":{"x":68,"y":241,"width":819,"height":11}},{"id":"1eb41e63-701a-4e67-864a-ce48ec967092","block_type":"box","text":"While Freddie Mac generally does not guarantee timely payment of principal, Freddie Mac may remit the amount due","page_number":89,"box":{"x":68,"y":256,"width":829,"height":12}},{"id":"007b3a93-7b1e-4a31-9f25-2cdb23687f9a","block_type":"box","text":"on account of its guarantee of ultimate payment of principal at any time after default on an underlying mor tgage, but","page_number":89,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"8797bc6a-1df5-455f-aea7-07c592151ba4","block_type":"box","text":"in no event later than one year after it becomes payable.","page_number":89,"box":{"x":70,"y":286,"width":401,"height":12}},{"id":"8082dff0-cd27-47a3-a6be-dea0091e61c1","block_type":"box","text":"Private mor tgage pass-through securities are structured similarly to Ginnie Mae, Fannie Mae, and Freddie Mac","page_number":89,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"9a463252-c611-4296-9a2e-d43149fd4f4d","block_type":"box","text":"mor tgage pass-through securities and are issued by originators of and investors in mor tgage loans, including","page_number":89,"box":{"x":69,"y":324,"width":777,"height":12}},{"id":"dadc3cb4-c9b6-407a-9bdf-204877aa92c6","block_type":"box","text":"depository institutions, mor tgage banks, investment banks and special purpose subsidiaries of the foregoing.","page_number":89,"box":{"x":69,"y":339,"width":782,"height":12}},{"id":"4883c44a-8bf8-48d8-b925-7277d662990d","block_type":"box","text":"Pools created by private mor tgage pass-through issuers generally offer a higher rate of interest than government","page_number":89,"box":{"x":102,"y":362,"width":802,"height":11}},{"id":"0ad90334-57d8-4e80-927b-23f7f7fcb461","block_type":"box","text":"and government-related pools because there are no direct or indirect government or agency guarantees of payments","page_number":89,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"1081fd97-66ce-474a-b047-69f43b13a1be","block_type":"box","text":"in the private pools. However, timely payment of interest and principal of these pools may be suppor ted by various","page_number":89,"box":{"x":70,"y":392,"width":814,"height":12}},{"id":"bb6f3e1c-4a76-4821-a30a-861bf6a49792","block_type":"box","text":"forms of insurance or guarantees, including individual loan, title, pool and hazard insurance and letters of credit. The","page_number":89,"box":{"x":68,"y":407,"width":833,"height":12}},{"id":"42cae942-22e7-404a-b4db-4d770882fe28","block_type":"box","text":"insurance and guarantees are issued by governmental entities, private insurers and the mor tgage poolers. The","page_number":89,"box":{"x":70,"y":423,"width":789,"height":11}},{"id":"de79012c-295b-47e9-b124-a69d4f363435","block_type":"box","text":"insurance and guarantees and the creditwor thiness of the issuers thereof will be considered in determining whether","page_number":89,"box":{"x":70,"y":438,"width":827,"height":11}},{"id":"783a1605-e408-4401-b9ed-0aaf0e8bca44","block_type":"box","text":"a mor tgage-related security meets a Fund’s investment quality standards. There can be no assurance that the private","page_number":89,"box":{"x":69,"y":453,"width":838,"height":11}},{"id":"35404d13-5ac1-4e90-9bdd-8344d73a5f1b","block_type":"box","text":"insurers or guarantors can meet their obligations under the insurance policies or guarantee arrangements. Private","page_number":89,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"21a0fc8f-a4fe-48fa-944e-0b6f71227e1c","block_type":"box","text":"mor tgage pass-through securities may be bought without insurance or guarantees if, through an examination of the","page_number":89,"box":{"x":69,"y":483,"width":820,"height":11}},{"id":"5a9df8d3-55f1-488a-9144-a8f9261ca360","block_type":"box","text":"loan experience and practices of the originator/servicers and poolers, the Manager determines that the securities","page_number":89,"box":{"x":70,"y":498,"width":812,"height":11}},{"id":"2b779adc-56f6-446d-b11d-d64377aeb9e8","block_type":"box","text":"meet a Fund’s quality standards. Any mor tgage-related securities that are issued by private issuers have some","page_number":89,"box":{"x":69,"y":514,"width":790,"height":11}},{"id":"c1ffb06c-f209-4454-a802-cc96b540223a","block_type":"box","text":"exposure to subprime loans as well as to the mor tgage and credit markets generally.","page_number":89,"box":{"x":69,"y":529,"width":604,"height":11}},{"id":"491aa72c-6f5f-4097-8dc3-b6f3d1a7e695","block_type":"box","text":"In addition, mor tgage-related securities that are issued by private issuers are not subject to the underwriting","page_number":89,"box":{"x":102,"y":551,"width":774,"height":11}},{"id":"c6289f33-5eae-46be-8149-82993b0e38c1","block_type":"box","text":"requirements for the underlying mor tgages that are applicable to those mor tgage-related securities that have a","page_number":89,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"40c25395-e1e3-4d22-8bae-a165aaaf4213","block_type":"box","text":"government or government-sponsored entity guarantee. As a result, the mor tgage loans underlying private mor tgage","page_number":89,"box":{"x":68,"y":582,"width":832,"height":11}},{"id":"ba1f79aa-d91f-404f-bf2a-2c702758865a","block_type":"box","text":"related securities may, and frequently do, have less favorable collateral, credit risk or other underwriting","page_number":89,"box":{"x":69,"y":596,"width":742,"height":12}},{"id":"68edc739-5932-492c-bef2-f53c538d3238","block_type":"box","text":"characteristics than government or government-sponsored mor tgage-related securities and have wider variances in a","page_number":89,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"15d68afa-6c3e-4a76-9dde-3c4861cb0836","block_type":"box","text":"number of terms including interest rate, term, size, purpose and borrower characteristics. Privately issued pools more","page_number":89,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"012235d1-dd43-4aa3-8bb7-d2a0206f063f","block_type":"box","text":"frequently include second mor tgages, high loan-to-value mor tgages and manufactured housing loans. The coupon","page_number":89,"box":{"x":68,"y":642,"width":809,"height":11}},{"id":"78bd74a4-f7e4-4640-ba53-71ab56a71cd9","block_type":"box","text":"rates and maturities of the underlying mor tgage loans in a private-label mor tgage-related securities pool may vary to","page_number":89,"box":{"x":69,"y":657,"width":828,"height":11}},{"id":"4bee0670-1b09-4acb-b5b1-067ef3a56766","block_type":"box","text":"a greater extent than those included in a government guaranteed pool, and the pool may include subprime mor tgage","page_number":89,"box":{"x":69,"y":672,"width":830,"height":11}},{"id":"5a0eedfb-4a98-4b65-b7d3-5047f89fae55","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":89,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"d8aab2ce-4e9d-4cf1-9483-d804321a9773","block_type":"box","text":"make timely payments on their loans. For these reasons, the loans underlying these securities have had in many","page_number":89,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"3668a06a-cee8-47a4-b82d-8139a23da7d9","block_type":"box","text":"cases higher default rates than those loans that meet government underwriting requirements.","page_number":89,"box":{"x":69,"y":717,"width":669,"height":12}},{"id":"8646ba35-184a-4f79-be8e-6f93ce1db117","block_type":"box","text":"The risk of non-payment is greater for mor tgage-related securities that are backed by mor tgage pools that","page_number":89,"box":{"x":101,"y":740,"width":754,"height":11}},{"id":"1cf03b1f-646e-4cf1-98b1-f6666faa0658","block_type":"box","text":"contain subprime loans, but a level of risk exists for all loans. Market factors adversely affecting mor tgage loan","page_number":89,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"874a9846-5df7-468a-91c2-1896933a081e","block_type":"box","text":"repayments may include a general economic turndown, high unemployment, a general slowdown in the real estate","page_number":89,"box":{"x":69,"y":771,"width":812,"height":11}},{"id":"1ece432b-1371-4994-8cb9-66f933a48788","block_type":"box","text":"market, a drop in the market prices of real estate, or an increase in interest rates resulting in higher mor tgage","page_number":89,"box":{"x":69,"y":785,"width":788,"height":12}},{"id":"559b89da-7139-436a-abc3-776324b144ab","block_type":"box","text":"payments by holders of adjustable rate mor tgages.","page_number":89,"box":{"x":70,"y":801,"width":361,"height":11}},{"id":"bc215dcb-49e8-49fe-8edf-fbe70bd2b77c","block_type":"box","text":"Privately issued mor tgage-related securities are not traded on an exchange and there may be a limited market","page_number":89,"box":{"x":102,"y":823,"width":784,"height":12}},{"id":"bd62088c-9396-49c6-935b-d4e0292ce2c2","block_type":"box","text":"for the securities, especially when there is a perceived weakness in the mor tgage and real estate market sectors.","page_number":89,"box":{"x":68,"y":838,"width":813,"height":12}},{"id":"1b3f7adb-4e6c-419e-b20e-29bd4090b698","block_type":"box","text":"Without an active trading market, mor tgage-related securities held in a Fund’s por tfolio may be par ticularly difficult to","page_number":89,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"619af340-8243-48b8-8b17-c8654e5a1682","block_type":"box","text":"value because of the complexities involved in assessing the value of the underlying mor tgage loans.","page_number":89,"box":{"x":68,"y":869,"width":714,"height":11}},{"id":"347fb8fd-2712-43e6-948c-59144f07e770","block_type":"box","text":"Collateralized Mor tgage Obligations (“CMOs”).","page_number":89,"box":{"x":102,"y":891,"width":328,"height":12}},{"id":"7280a920-05e9-4cfc-8ed0-e4e3da621047","block_type":"box","text":"CMOs are debt obligations collateralized by residential or","page_number":89,"box":{"x":437,"y":891,"width":407,"height":12}},{"id":"aac51538-e739-4c3a-9eae-11fcf34a5715","block_type":"box","text":"commercial mor tgage loans or residential or commercial mor tgage pass-through securities. Interest and prepaid","page_number":89,"box":{"x":69,"y":907,"width":800,"height":11}},{"id":"26eb1e67-05be-4404-acfc-1ebc7e9957ba","block_type":"box","text":"II-52","page_number":89,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"caa2b791-5a68-4c76-9319-b98d1eb02021","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":89,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8475b8ec-096d-4c27-9c9d-c19845cbe60b","block_type":"box","text":"principal are generally paid monthly. CMOs may be collateralized by whole mor tgage loans or private mor tgage pass","page_number":90,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"cf0417f5-0ff6-447c-96be-d3aba3667d42","block_type":"box","text":"through securities but are more typically collateralized by por tfolios of mor tgage pass-through securities guaranteed","page_number":90,"box":{"x":68,"y":60,"width":826,"height":11}},{"id":"7d74d617-0b89-4a84-8ae5-f55a95311485","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":90,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"8ed52475-0ca1-4c54-9358-87e08965a7f3","block_type":"box","text":"Mor tgage Investment Conduit (“REMIC”). All future references to CMOs also include REMICs.","page_number":90,"box":{"x":70,"y":90,"width":661,"height":11}},{"id":"f92f18bc-f0bd-462f-9c7e-cdcf20eb7663","block_type":"box","text":"CMOs are structured into multiple classes, often referred to as a “tranche,” each issued at a specific adjustable","page_number":90,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"bee8cc7e-731b-46e0-868c-fe18a35f6d33","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":90,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"543e2568-00f1-4db6-b14d-ecbadeeca30b","block_type":"box","text":"distribution date. Actual maturity and average life will depend upon the prepayment experience of the collateral, which","page_number":90,"box":{"x":69,"y":143,"width":838,"height":11}},{"id":"4fc8a1bf-630b-43f1-89a5-fe8c191c9898","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":90,"box":{"x":70,"y":158,"width":836,"height":11}},{"id":"fc5db6e9-ada4-4213-88ea-c7d2d6783fbc","block_type":"box","text":"de facto breakdown of the underlying pool of mor tgages according to how quickly the loans are repaid. Monthly","page_number":90,"box":{"x":69,"y":173,"width":791,"height":11}},{"id":"85e1b18f-d486-45b2-b17b-33a06f520c07","block_type":"box","text":"payment of principal received from the pool of underlying mor tgages, including prepayments, is first returned to","page_number":90,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"4896b6de-33bb-40a2-9a46-cd567c2c7afa","block_type":"box","text":"investors holding the shor test maturity class. Investors holding the longer maturity classes usually receive principal","page_number":90,"box":{"x":70,"y":204,"width":820,"height":11}},{"id":"8ac2e0a6-41f3-4013-82bb-0066293d9287","block_type":"box","text":"only after the first class has been retired. An investor may be par tially protected against a sooner than desired return","page_number":90,"box":{"x":69,"y":218,"width":836,"height":12}},{"id":"4424eb6b-e7bf-43bf-b524-b8e0a15586f0","block_type":"box","text":"of principal because of the sequential payments.","page_number":90,"box":{"x":69,"y":234,"width":346,"height":11}},{"id":"2c892abd-650d-4614-8fbd-1f718596a71e","block_type":"box","text":"Cer tain issuers of CMOs are not considered investment companies pursuant to a rule adopted by the","page_number":90,"box":{"x":102,"y":256,"width":723,"height":11}},{"id":"3fefc42f-000e-4d02-92bf-a4e9a279d541","block_type":"box","text":"Commission, and a Fund may invest in the securities of such issuers without the limitations imposed by the","page_number":90,"box":{"x":69,"y":271,"width":768,"height":12}},{"id":"70809613-ba3b-4c00-a141-f6adeb5a35d5","block_type":"box","text":"Investment Company Act on investments by a Fund in other investment companies. In addition, in reliance on an","page_number":90,"box":{"x":70,"y":287,"width":800,"height":11}},{"id":"a082388d-0a49-44ae-9b84-cd0043759101","block_type":"box","text":"earlier Commission interpretation, a Fund’s investments in cer tain other qualifying CMOs, which cannot or do not rely","page_number":90,"box":{"x":69,"y":302,"width":836,"height":11}},{"id":"cbeda061-e2f3-4c6c-9179-2248c8301e99","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":90,"box":{"x":69,"y":317,"width":793,"height":11}},{"id":"84717f8e-a779-4057-9c70-f8143dfa0821","block_type":"box","text":"investment companies. In order to be able to rely on the Commission’s interpretation, these CMOs must be","page_number":90,"box":{"x":70,"y":332,"width":767,"height":11}},{"id":"0bdf827c-0ffc-4c08-a56f-3c6c866c270f","block_type":"box","text":"unmanaged, fixed asset issuers, that: (1) invest primarily in mor tgage-backed securities; (2) do not issue redeemable","page_number":90,"box":{"x":69,"y":347,"width":838,"height":11}},{"id":"819a89d1-ee7d-4c17-a30c-8fe1b4c08d71","block_type":"box","text":"securities; (3) operate under general exemptive orders exempting them from all provisions of the Investment","page_number":90,"box":{"x":69,"y":362,"width":773,"height":11}},{"id":"0582ddca-fb03-43e2-8962-807ea059a42a","block_type":"box","text":"Company Act; and (4) are not registered or regulated under the Investment Company Act as investment companies.","page_number":90,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"b4ee55b0-f415-4967-b4e7-f54ba708319f","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":90,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"0e427539-e795-4cc8-9544-72373fae1310","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":90,"box":{"x":69,"y":407,"width":795,"height":12}},{"id":"1e5749f5-b62e-4d2b-b1af-2cc2cdad7e1b","block_type":"box","text":"securities of any single such entity.","page_number":90,"box":{"x":69,"y":423,"width":248,"height":11}},{"id":"c7103172-da0b-4a55-888d-a80f91a97a2e","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":90,"box":{"x":101,"y":445,"width":807,"height":12}},{"id":"2e725dcf-09a3-4bdf-beaf-15fc2a665730","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":90,"box":{"x":69,"y":460,"width":805,"height":12}},{"id":"d8b06bfd-1dba-4fa3-a1f8-9d18876b4cd4","block_type":"box","text":"concurrently on a propor tionate or dispropor tionate basis. These simultaneous payments are taken into account in","page_number":90,"box":{"x":69,"y":476,"width":819,"height":11}},{"id":"b7e1a42b-0569-42a3-93cd-ff830b97e9fd","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":90,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"66b6652f-0f14-4682-a216-94d5e32aa7f8","block_type":"box","text":"a time while paying interest to several classes. A wide variety of REMIC Cer tificates may be issued in the parallel pay","page_number":90,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"e482481a-4bd4-4a4f-a92f-d92e83f636f0","block_type":"box","text":"or sequential pay structures. These securities include accrual cer tificates (also known as “Z-Bonds”), which only","page_number":90,"box":{"x":69,"y":521,"width":802,"height":11}},{"id":"6512da60-bcf5-4ae1-98d6-a3f9badd5a95","block_type":"box","text":"accrue interest at a specified rate until all other cer tificates having an earlier final distribution date have been retired","page_number":90,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"ed64b922-958f-4d4a-aca0-958b6ccbec7b","block_type":"box","text":"and are conver ted thereafter to an interest-paying security. Floating rate CMOs are securities whose coupon rate","page_number":90,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"01fad465-d2ce-463c-94b0-2b33cb0f366d","block_type":"box","text":"fluctuates according to some formula related to an existing market index or rate. Typical indices would include the","page_number":90,"box":{"x":68,"y":566,"width":813,"height":11}},{"id":"0cb9452d-4bc9-4cbd-a97c-fe7b136de92a","block_type":"box","text":"eleventh district cost-of-funds index (“COFI”), one-year Treasury yields, and ten-year Treasury yields.","page_number":90,"box":{"x":69,"y":581,"width":708,"height":11}},{"id":"7efcba90-ace2-4808-899b-7f8f4d780caf","block_type":"box","text":"Classes of CMOs also include planned amor tization classes (“PACs”) and targeted amor tization classes","page_number":90,"box":{"x":102,"y":604,"width":742,"height":11}},{"id":"f3f33557-2d9e-45b6-9319-3e1bca2cb451","block_type":"box","text":"(“TACs”). PAC bonds generally require payments of a specified amount of principal on each payment date. The","page_number":90,"box":{"x":69,"y":619,"width":784,"height":11}},{"id":"2e3f3774-0b8f-49c4-ac17-ffe4a7da49fe","block_type":"box","text":"scheduled principal payments for PAC Cer tificates generally have the highest priority on each payment date after","page_number":90,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"ca22f8c6-f991-421d-b83f-09a3e87492bd","block_type":"box","text":"interest due has been paid to all classes entitled to receive interest currently. Shor tfalls, if any, are added to the","page_number":90,"box":{"x":70,"y":649,"width":802,"height":12}},{"id":"8284c074-f304-444b-8349-3084ecbaf7b7","block_type":"box","text":"amount payable on the next payment date. The PAC Cer tificate payment schedule is taken into account in calculating","page_number":90,"box":{"x":69,"y":664,"width":834,"height":12}},{"id":"fcbaa986-1d5d-4da5-9c54-e05c629ac285","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":90,"box":{"x":68,"y":680,"width":835,"height":11}},{"id":"c37a9636-fd1d-4bac-828b-02ed4e5e6929","block_type":"box","text":"be created that absorb most of the volatility in the underlying mor tgage assets. These tranches (often called","page_number":90,"box":{"x":69,"y":695,"width":772,"height":11}},{"id":"d7c35513-de68-4b13-b935-a1d6690dc74d","block_type":"box","text":"“suppor ts” or “companion” tranches) tend to have market prices and yields that are more volatile than the PAC","page_number":90,"box":{"x":70,"y":710,"width":792,"height":11}},{"id":"88be7c62-bf8a-4fe4-96a2-3c3db90b521f","block_type":"box","text":"classes.","page_number":90,"box":{"x":69,"y":725,"width":57,"height":9}},{"id":"e88d0abd-7149-4286-9a3d-4f6e8096b6b9","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":90,"box":{"x":101,"y":748,"width":774,"height":11}},{"id":"97444370-a942-43ae-a848-ed36ce394596","block_type":"box","text":"date to one or more classes of REMIC Cer tificates. A PAC’s payment schedule, however, remains in effect as long as","page_number":90,"box":{"x":69,"y":763,"width":835,"height":11}},{"id":"d2659e97-fd8a-4a09-9c7e-f5b18f24e85a","block_type":"box","text":"prepayment rates on the underlying mor tgages do not exceed cer tain ranges. In contrast, a TAC provides investors","page_number":90,"box":{"x":70,"y":778,"width":815,"height":11}},{"id":"38c5ae7a-0203-4a44-bb1c-32e989742436","block_type":"box","text":"with protection, to a cer tain level, against either faster than expected or slower than expected prepayment rates, but","page_number":90,"box":{"x":68,"y":793,"width":833,"height":11}},{"id":"14a6f755-6ba2-4034-a8f7-38c83d0a5fff","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":90,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"954f24d8-cd0b-4995-a09f-a95561002b39","block_type":"box","text":"also tend to have market prices and yields that are more volatile than PACs.","page_number":90,"box":{"x":69,"y":823,"width":541,"height":11}},{"id":"a6196722-4d68-4701-8def-509087449e80","block_type":"box","text":"Adjustable Rate Mor tgage Securities.","page_number":90,"box":{"x":101,"y":846,"width":265,"height":11}},{"id":"38eabd50-0b06-4504-aa37-f7b90d99a813","block_type":"box","text":"Adjustable rate mor tgage securities (“ARMs”) are pass-through securities","page_number":90,"box":{"x":372,"y":846,"width":523,"height":11}},{"id":"5c993c11-1d72-41b1-b4dc-2aac1ac8a70b","block_type":"box","text":"collateralized by mor tgages with adjustable rather than fixed rates. ARMs eligible for inclusion in a mor tgage pool","page_number":90,"box":{"x":69,"y":861,"width":807,"height":11}},{"id":"72801185-cd3b-45ed-9631-8fa5641c979c","block_type":"box","text":"generally provide for a fixed initial mor tgage interest rate for a set number of scheduled monthly payments. After that","page_number":90,"box":{"x":68,"y":876,"width":835,"height":11}},{"id":"549e9aa2-9237-40af-ba4b-e4f0e911b55a","block_type":"box","text":"schedule of payments has been completed, the interest rates are subject to periodic adjustment based on changes","page_number":90,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"5918f7e9-89e2-4175-ab5b-275c0f1939b3","block_type":"box","text":"to a designated benchmark index.","page_number":90,"box":{"x":68,"y":907,"width":241,"height":11}},{"id":"25ec17e5-abb0-401c-ba22-3096828df393","block_type":"box","text":"II-53","page_number":90,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a24ec8b4-698b-47e8-bee8-135feac470fd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":90,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"038c99fb-45c5-42f1-b385-5195a3d889f6","block_type":"box","text":"ARMs contain maximum and minimum rates beyond which the mor tgage interest rate may not vary over the","page_number":91,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"7b20bab4-f223-4ee1-9472-be4abcb278b3","block_type":"box","text":"lifetime of the security. In addition, cer tain ARMs provide for additional limitations on the maximum amount by which","page_number":91,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"d5d8a687-f32c-40b9-bd77-a4f669cf587b","block_type":"box","text":"the mor tgage interest rate may adjust for any single adjustment period. In the event that market rates of interest rise","page_number":91,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"2dd19c29-37af-49d7-a322-6d2e1843c6dc","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":91,"box":{"x":69,"y":90,"width":830,"height":11}},{"id":"cc3e35ec-9cf4-4d2a-a634-83663a844da7","block_type":"box","text":"of interest. In these circumstances, the market value of the ARM security will likely have fallen.","page_number":91,"box":{"x":69,"y":105,"width":676,"height":11}},{"id":"3acb05d4-be1a-4ef2-9226-1a1ade19f4c0","block_type":"box","text":"Cer tain ARMs contain limitations on changes in the required monthly payment. In the event that a monthly","page_number":91,"box":{"x":102,"y":128,"width":757,"height":11}},{"id":"cc991f82-4caa-4219-af10-d84adf3ccd87","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":91,"box":{"x":70,"y":143,"width":822,"height":11}},{"id":"292ddb01-d21b-44d4-a057-81df0657687e","block_type":"box","text":"balance of the mor tgage loan, which is repaid through future monthly payments. If the monthly payment for such an","page_number":91,"box":{"x":69,"y":158,"width":823,"height":11}},{"id":"034feb74-0029-4fb0-90a0-ee1cf17e2801","block_type":"box","text":"instrument exceeds the sum of the interest accrued at the applicable mor tgage interest rate and the principal","page_number":91,"box":{"x":70,"y":173,"width":782,"height":11}},{"id":"dd491c6c-ec86-44f3-bd7f-a776b70a96e0","block_type":"box","text":"payment required at such point to amor tize the outstanding principal balance over the remaining term of the loan, the","page_number":91,"box":{"x":70,"y":188,"width":838,"height":12}},{"id":"cf8baeed-2479-41c5-b69a-7b3cbb630fdd","block_type":"box","text":"excess is then used to reduce the outstanding principal balance of the ARM.","page_number":91,"box":{"x":69,"y":203,"width":544,"height":12}},{"id":"7c5b644f-8430-448a-94e8-6c46ebef8c66","block_type":"box","text":"CMO Residuals.","page_number":91,"box":{"x":102,"y":226,"width":112,"height":9}},{"id":"0bab6c09-8b96-4f22-bd8d-6288eb955be0","block_type":"box","text":"CMO residuals are derivative mor tgage securities issued by agencies or instrumentalities of the","page_number":91,"box":{"x":221,"y":226,"width":682,"height":11}},{"id":"363690f3-deec-410c-be7a-a30a1eb46e35","block_type":"box","text":"U.S. Government or by private originators of, or investors in, mor tgage loans, including savings and loan","page_number":91,"box":{"x":70,"y":241,"width":740,"height":11}},{"id":"3e78bc36-bb58-4b9d-a6dd-c21c8ffc9cca","block_type":"box","text":"associations, homebuilders, mor tgage banks, commercial banks, investment banks, and special purpose entities of","page_number":91,"box":{"x":69,"y":256,"width":829,"height":12}},{"id":"6ae737fe-c33e-4f88-8f3a-9fa382277800","block_type":"box","text":"the foregoing. The cash flow generated by the mor tgage assets underlying a series of CMOs is applied first to make","page_number":91,"box":{"x":68,"y":271,"width":826,"height":12}},{"id":"b35653a1-eb09-41b5-bf32-b61cc131d97c","block_type":"box","text":"required payments of principal and interest on the CMOs and second to pay the related administrative expenses and","page_number":91,"box":{"x":69,"y":286,"width":831,"height":12}},{"id":"97125adb-7277-4417-a878-93001063a479","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":91,"box":{"x":69,"y":302,"width":827,"height":11}},{"id":"98c868cd-aacb-406f-a4b2-dbdb9d517fff","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":91,"box":{"x":69,"y":317,"width":829,"height":11}},{"id":"43ec229e-23d5-4d8a-b191-d0ab5a8b74b8","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":91,"box":{"x":69,"y":332,"width":838,"height":11}},{"id":"f10aeb9c-3341-4743-8f1c-400ca089df0b","block_type":"box","text":"CMO will depend on, among other things, the characteristics of the mor tgage assets, the coupon rate of each class","page_number":91,"box":{"x":69,"y":347,"width":825,"height":11}},{"id":"a8ebc0a7-6ff8-45a5-9ac6-ef24f96ee768","block_type":"box","text":"of CMO, prevailing interest rates, the amount of administrative expenses and the prepayment experience on the","page_number":91,"box":{"x":69,"y":362,"width":798,"height":11}},{"id":"ebc2d219-98e6-4879-bfeb-a42a8f38ac7b","block_type":"box","text":"mor tgage assets. In par t, the yield to maturity on the CMO residuals is extremely sensitive to prepayments on the","page_number":91,"box":{"x":69,"y":377,"width":813,"height":12}},{"id":"b7e3fe4d-6e97-4d05-8790-baa6b3bdca0c","block_type":"box","text":"related underlying mor tgage assets, in the same manner as an interest-only class of stripped mor tgage-related","page_number":91,"box":{"x":69,"y":392,"width":790,"height":12}},{"id":"38adbf37-1bd4-45c4-8ab3-19da83e91483","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":91,"box":{"x":69,"y":407,"width":805,"height":12}},{"id":"12ccdcd9-563a-4ead-966d-27d250a7e2ac","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":91,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"30e594c9-4d6e-4693-86cd-d65b1909c8da","block_type":"box","text":"interest rate adjustments are based. In cer tain circumstances, a Fund may fail to recoup fully its initial investment in","page_number":91,"box":{"x":70,"y":438,"width":831,"height":11}},{"id":"882ca3d2-4143-4933-babc-62e244cf2500","block_type":"box","text":"a CMO residual.","page_number":91,"box":{"x":69,"y":453,"width":112,"height":9}},{"id":"0f9a2a4d-3078-4136-afbf-4fc9dc0134ee","block_type":"box","text":"CMO residuals are generally purchased and sold by institutional investors through one or more investment","page_number":91,"box":{"x":102,"y":476,"width":758,"height":11}},{"id":"0fa7329c-42e8-40df-ab75-2735acf52ce2","block_type":"box","text":"banking firms acting as brokers or dealers. Transactions in CMO residuals are generally completed only after careful","page_number":91,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"7c4aac62-8032-4c87-a9a8-349c61ee76a7","block_type":"box","text":"review of the characteristics of the securities in question. In addition, CMO residuals may or, pursuant to an","page_number":91,"box":{"x":69,"y":506,"width":769,"height":11}},{"id":"b909ea10-8258-4be8-96ee-dcff79ce43e1","block_type":"box","text":"exemption therefrom, may not have been registered under the Securities Act. Residual interests generally are junior","page_number":91,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"7c0a3dc7-636e-46a6-95a5-730294452cde","block_type":"box","text":"to, and may be significantly more volatile than, “regular” CMO and REMIC interests. CMO residuals, whether or not","page_number":91,"box":{"x":68,"y":536,"width":820,"height":11}},{"id":"51a55d38-2deb-4633-b9ea-999050769de9","block_type":"box","text":"registered under the Securities Act, may be subject to cer tain restrictions on transferability.","page_number":91,"box":{"x":69,"y":551,"width":650,"height":11}},{"id":"530f6ec2-8c28-4440-9314-db7f592252f5","block_type":"box","text":"Stripped Mor tgage-Backed Securities.","page_number":91,"box":{"x":102,"y":574,"width":267,"height":11}},{"id":"fccb3c78-8cc6-4b85-b1e5-bf3a156f6f13","block_type":"box","text":"A Fund may invest in stripped mor tgage-backed securities (“SMBSs”)","page_number":91,"box":{"x":375,"y":574,"width":493,"height":11}},{"id":"ebaabd78-8817-4325-9787-4aecefc38047","block_type":"box","text":"issued by agencies or instrumentalities of the United States. SMBSs are derivative multi-class mor tgage-backed","page_number":91,"box":{"x":70,"y":589,"width":798,"height":11}},{"id":"596edaf5-d5cc-434e-81a3-2499a255d1d6","block_type":"box","text":"securities. SMBS arrangements commonly involve two classes of securities that receive different propor tions of the","page_number":91,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"d0deb423-4fcb-4ee2-8feb-89058a7af665","block_type":"box","text":"interest and principal distributions on a pool of mor tgage assets. A common variety of SMBS is where one class (the","page_number":91,"box":{"x":70,"y":619,"width":832,"height":11}},{"id":"ad93d192-873f-437c-964b-22efc160a4df","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":91,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"1b41a4bd-2a83-408e-acf6-4a9c2754e214","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":91,"box":{"x":68,"y":649,"width":826,"height":12}},{"id":"9312d664-0e3f-4954-8bcf-fa42dec1f427","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":91,"box":{"x":69,"y":664,"width":822,"height":11}},{"id":"d40a6def-1de9-46af-9c9d-ae945f3ce48f","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":91,"box":{"x":70,"y":680,"width":834,"height":11}},{"id":"13196c60-09db-4f5c-b7b0-b848a6d6cf78","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":91,"box":{"x":68,"y":695,"width":800,"height":11}},{"id":"2e16a8ba-4089-46fa-9919-fda21d7a3a0f","block_type":"box","text":"related underlying assets, and a rapid rate of principal prepayments in excess of that considered in pricing the","page_number":91,"box":{"x":69,"y":710,"width":786,"height":11}},{"id":"4631ca7c-89e5-48b9-b73c-d1e269fa1855","block_type":"box","text":"securities will have a material adverse effect on an IO security’s yield to maturity. If the underlying mor tgage assets","page_number":91,"box":{"x":69,"y":725,"width":823,"height":11}},{"id":"29eb9d9c-0b6c-4881-b046-17abd93857dc","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":91,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"c57ffefd-a90a-46c4-b3bf-626e80015f0b","block_type":"box","text":"In addition, there are cer tain types of IOs that represent the interest por tion of a par ticular class as opposed to the","page_number":91,"box":{"x":70,"y":755,"width":824,"height":11}},{"id":"a7a1feae-15da-4057-afe6-d8531bf03cdb","block_type":"box","text":"interest por tion of the entire pool. The sensitivity of this type of IO to interest rate fluctuations may be increased","page_number":91,"box":{"x":70,"y":770,"width":800,"height":11}},{"id":"2fefe964-e4eb-479c-b34b-b9776dc81880","block_type":"box","text":"because of the characteristics of the principal por tion to which they relate. As a result of the above factors, a Fund","page_number":91,"box":{"x":69,"y":785,"width":818,"height":12}},{"id":"e74c0d1a-5fa5-472b-af70-e7fb85e6b1a5","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":91,"box":{"x":68,"y":801,"width":840,"height":11}},{"id":"833d6f94-abc8-488d-9ea4-80b14a58066b","block_type":"box","text":"will be matched with cer tain purchases of other securities, such as POs, inverse floating rate CMOs or fixed rate","page_number":91,"box":{"x":68,"y":816,"width":802,"height":11}},{"id":"a9f89118-ad02-4020-8f01-57ef11be2d07","block_type":"box","text":"securities; as interest rates fall, presenting a greater risk of unanticipated prepayments of principal, the negative","page_number":91,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"b4168ad0-db9b-4342-adfc-17beebf92f91","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":91,"box":{"x":69,"y":846,"width":814,"height":11}},{"id":"b7e8325f-d4ed-435d-9a57-aa86b41db968","block_type":"box","text":"the inverse floating rate CMOs or the increased appreciation on the POs or fixed rate securities.","page_number":91,"box":{"x":68,"y":861,"width":683,"height":11}},{"id":"3440c858-8cb2-47e2-86e2-0fea7c2f1f34","block_type":"box","text":"Tiered Index Bonds.","page_number":91,"box":{"x":103,"y":884,"width":138,"height":9}},{"id":"c68954c2-af7e-4e98-b184-66c9efb41924","block_type":"box","text":"Tiered index bonds are forms of mor tgage-related securities. The interest rate on a tiered","page_number":91,"box":{"x":247,"y":884,"width":638,"height":11}},{"id":"cc268d1c-9197-4923-902e-b0d8ca0119b9","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":91,"box":{"x":70,"y":899,"width":825,"height":11}},{"id":"e31357cf-9e79-4559-9d8a-35d5ce9001c3","block_type":"box","text":"II-54","page_number":91,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0c4c4e0f-ddd1-4950-8b78-a44e9cd08dc0","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":91,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ea73e256-2712-4496-8723-1ea0dffce61c","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":92,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"3f623280-b716-4732-adfa-80a2597845f3","block_type":"box","text":"rises above the “strike” rate, the interest rate of the tiered index bond will decrease. Thus, under these","page_number":92,"box":{"x":69,"y":60,"width":738,"height":10}},{"id":"8f20e193-c2e9-4f84-aef4-68771a2b199e","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":92,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"dab9275a-b8a9-4655-88bb-d657a9528637","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":92,"box":{"x":70,"y":90,"width":836,"height":11}},{"id":"7742e476-1507-4d11-9b2b-dc3ef806f55c","block_type":"box","text":"that of a fixed-rate bond.","page_number":92,"box":{"x":68,"y":105,"width":174,"height":9}},{"id":"5e5ae243-7788-4d0a-91bb-f9cd12c61030","block_type":"box","text":"TBA Commitments.","page_number":92,"box":{"x":103,"y":128,"width":133,"height":9}},{"id":"78f7a18c-1762-4895-8c2a-2eae4ebbf163","block_type":"box","text":"Cer tain Funds may enter into “to be announced” or “TBA” commitments. TBA commitments","page_number":92,"box":{"x":243,"y":128,"width":653,"height":11}},{"id":"c5e896e7-f530-4d48-b1a7-487f389e7b45","block_type":"box","text":"are forward agreements for the purchase or sale of securities, including mor tgage-backed securities for a fixed price,","page_number":92,"box":{"x":69,"y":143,"width":834,"height":11}},{"id":"3d98cfdc-9d7d-466c-9ae0-b92b6de81520","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":92,"box":{"x":68,"y":158,"width":825,"height":11}},{"id":"3e72b4b1-079d-4fbd-a4be-d9384a9f038d","block_type":"box","text":"identified at the trade date. However, delivered securities must meet specified terms, including issuer, rate and","page_number":92,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"fc4eae8a-0eb9-4d48-a389-1671e67a843d","block_type":"box","text":"mor tgage terms. When the Fund enters into a TBA commitment for the sale of mor tgage-backed securities for a fixed","page_number":92,"box":{"x":69,"y":188,"width":833,"height":12}},{"id":"c9289027-32eb-4657-bde4-50bcf0df9dd8","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":92,"box":{"x":70,"y":203,"width":804,"height":12}},{"id":"96ae05ee-4192-4117-bff8-b29f153df4c7","block_type":"box","text":"shor t position in such TBA securities), the Fund may or may not hold the types of mor tgage-backed securities","page_number":92,"box":{"x":69,"y":218,"width":779,"height":12}},{"id":"d2084cfd-c2aa-4d82-9b6f-49a8c5983524","block_type":"box","text":"required to be delivered. See “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”","page_number":92,"box":{"x":69,"y":234,"width":810,"height":11}},{"id":"511d1988-efb8-4054-b085-b75838e6037f","block_type":"box","text":"below.","page_number":92,"box":{"x":69,"y":249,"width":43,"height":9}},{"id":"3097ba4b-ab9f-45ad-92ed-d378c28f9e79","block_type":"box","text":"Mor tgage Dollar Rolls.","page_number":92,"box":{"x":102,"y":272,"width":157,"height":11}},{"id":"b2e6f8d2-79e2-4c3c-b0db-c6d1c6833233","block_type":"box","text":"Cer tain Funds may invest in mor tgage dollar rolls. In a mor tgage dollar roll transaction, a","page_number":92,"box":{"x":266,"y":272,"width":634,"height":11}},{"id":"56e4e4f8-dc6e-432f-8b4e-590fd063c29e","block_type":"box","text":"Fund sells mor tgage-backed securities for delivery in the current month and simultaneously contracts to repurchase","page_number":92,"box":{"x":70,"y":286,"width":825,"height":12}},{"id":"d70c7a9e-f12a-44ec-8eb5-68055685c23e","block_type":"box","text":"substantially similar securities on a specified future date. The securities that are repurchased will bear the same","page_number":92,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"42f90712-f0bd-4621-8379-ac6e5adf7e84","block_type":"box","text":"interest rate and a similar maturity as those sold, but pools of mor tgages collateralizing those securities may have","page_number":92,"box":{"x":70,"y":317,"width":817,"height":11}},{"id":"c1eb10f3-ae1c-4968-99d0-cba1aace5ff9","block_type":"box","text":"different prepayment histories than those sold. During the period between the sale and repurchase, a Fund will not","page_number":92,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"0866561d-e423-4b51-81a6-2d0d083d5fa0","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":92,"box":{"x":69,"y":347,"width":827,"height":11}},{"id":"20f4e93d-4a19-44bd-bc9a-762d94d76638","block_type":"box","text":"additional instruments for the Fund, and the income from these investments will generate income for the Fund. If","page_number":92,"box":{"x":69,"y":362,"width":806,"height":11}},{"id":"1be0d663-6979-4acc-99ce-60d1829bbc4f","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":92,"box":{"x":69,"y":377,"width":833,"height":12}},{"id":"20a96453-ceb0-4c05-91b9-924465139ae3","block_type":"box","text":"securities sold as par t of the dollar roll, the use of this technique will diminish the investment per formance of a Fund","page_number":92,"box":{"x":69,"y":392,"width":836,"height":11}},{"id":"cda52f9a-f114-46cd-ae69-eb1c083cf82a","block_type":"box","text":"compared with what the per formance would have been without the use of dollar rolls.","page_number":92,"box":{"x":69,"y":407,"width":607,"height":11}},{"id":"052ebafa-fa31-410e-a266-0240dd3f9814","block_type":"box","text":"Each mor tgage dollar roll transaction is accounted for as a sale or purchase of a por tfolio security and a","page_number":92,"box":{"x":102,"y":430,"width":744,"height":11}},{"id":"d764885e-1d29-463e-a2ea-fe2487206baa","block_type":"box","text":"subsequent purchase or sale of a substantially similar security in the forward market. Transactions in mor tgage","page_number":92,"box":{"x":69,"y":445,"width":796,"height":12}},{"id":"de9ca738-f974-43ad-b2b7-db2d1895e2af","block_type":"box","text":"dollar rolls may increase trading costs and por tfolio turnover.","page_number":92,"box":{"x":69,"y":460,"width":433,"height":12}},{"id":"47535784-82f2-4482-ab32-80ccd583a01d","block_type":"box","text":"In the event the buyer of the securities under a mor tgage dollar roll files for bankruptcy or becomes insolvent, a","page_number":92,"box":{"x":102,"y":483,"width":795,"height":11}},{"id":"29239853-07f9-464f-9743-dc810b6c68a8","block_type":"box","text":"Fund’s use of the proceeds of the current sale por tion of the transaction may be restricted pending a determination","page_number":92,"box":{"x":70,"y":498,"width":824,"height":11}},{"id":"cc77d27d-4156-4e90-b991-4c0bc5d33d36","block_type":"box","text":"by the other par ty, or its trustee or receiver, whether to enforce the Fund’s obligation to purchase the similar","page_number":92,"box":{"x":69,"y":513,"width":774,"height":12}},{"id":"8e331370-f34b-4cd8-8d1e-0b3801f7de72","block_type":"box","text":"securities in the forward transaction.","page_number":92,"box":{"x":69,"y":528,"width":261,"height":9}},{"id":"cbc91a75-7213-4e3d-b1c7-4020ddddf692","block_type":"box","text":"A Fund may engage in dollar roll transactions to enhance returns. Successful use of mor tgage dollar rolls may","page_number":92,"box":{"x":101,"y":551,"width":785,"height":11}},{"id":"b0bd5e1a-1787-420a-8bf0-05b8f8c2933f","block_type":"box","text":"depend upon the Manager’s ability to correctly predict interest rates and prepayments. Dollar rolls involve the risk","page_number":92,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"b2eb1b9e-83b3-4ed4-9962-6c53795a456b","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":92,"box":{"x":68,"y":581,"width":824,"height":11}},{"id":"6c8b893b-16bd-4cd8-87cf-3237110d2f6b","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":92,"box":{"x":69,"y":596,"width":824,"height":12}},{"id":"145c9289-b343-4bf8-b3f9-4238d436a83b","block_type":"box","text":"of the forward commitment. Dollar rolls are speculative techniques that can be deemed to involve leverage. There is","page_number":92,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"5891e615-1e68-441f-af7b-339fe3d56b8c","block_type":"box","text":"no assurance that dollar rolls can be successfully employed.","page_number":92,"box":{"x":69,"y":627,"width":430,"height":11}},{"id":"2bceb791-2049-45ce-9518-e8240ea24df7","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":92,"box":{"x":102,"y":649,"width":759,"height":12}},{"id":"c2d6bcd3-7239-42dc-b5df-5d54f1fac337","block_type":"box","text":"securities (","page_number":92,"box":{"x":69,"y":665,"width":78,"height":11}},{"id":"b35663bf-72f3-486d-bb32-e7e1cc14769e","block_type":"box","text":"e.g.","page_number":92,"box":{"x":148,"y":666,"width":25,"height":10}},{"id":"e6364350-fb58-4860-b646-422db63d1884","block_type":"box","text":", dollar rolls and firm and standby commitments, including TBA commitments) and non-standard","page_number":92,"box":{"x":176,"y":664,"width":681,"height":12}},{"id":"0982d81e-f09b-4887-afaa-15edbdd8ddff","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":92,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"357df9e2-143f-4880-a070-14f60093b0b1","block_type":"box","text":"Investment Company Act, provided that the transaction meets the Delayed-Settlement Securities Provision (as","page_number":92,"box":{"x":70,"y":695,"width":783,"height":11}},{"id":"e9bd93cc-2d98-4790-b34d-c83730c25c64","block_type":"box","text":"defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”). If a when","page_number":92,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"76d0b624-ea60-44da-8c5f-85615df61190","block_type":"box","text":"issued, forward-settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities","page_number":92,"box":{"x":70,"y":725,"width":830,"height":11}},{"id":"ef7f902c-f4e8-4969-ac8b-f07c93710fd6","block_type":"box","text":"Provision, then it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of","page_number":92,"box":{"x":69,"y":740,"width":788,"height":11}},{"id":"c7a0ea50-1c1d-463f-b754-ee2ea63f08ee","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":92,"box":{"x":70,"y":755,"width":489,"height":11}},{"id":"9c849a2e-e8c5-4eef-bf2e-d19a52199e1d","block_type":"box","text":"Net Interest Margin (NIM) Securities.","page_number":92,"box":{"x":102,"y":778,"width":260,"height":11}},{"id":"df40bec7-462d-4a44-ad10-23a6003bef44","block_type":"box","text":"A Fund may invest in net interest margin (“NIM”) securities. These","page_number":92,"box":{"x":368,"y":778,"width":473,"height":11}},{"id":"d8b9fbfd-dfd7-4053-8dfd-07ab482569ed","block_type":"box","text":"securities are derivative interest-only mor tgage securities structured off home equity loan transactions. NIM","page_number":92,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"d948a313-a8fe-495c-998a-bbd96516c1df","block_type":"box","text":"securities receive any “excess” interest computed after paying coupon costs, servicing costs and fees and any credit","page_number":92,"box":{"x":69,"y":808,"width":836,"height":11}},{"id":"6ee4fc0c-eb58-41c3-a32a-71e98f490f38","block_type":"box","text":"losses associated with the underlying pool of home equity loans. Like traditional stripped mor tgage-backed","page_number":92,"box":{"x":70,"y":823,"width":760,"height":12}},{"id":"d154cadc-f614-4045-bc7c-c28594cfe993","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":92,"box":{"x":69,"y":839,"width":832,"height":11}},{"id":"8f024c84-b5ef-4a49-b39f-d1ec0402ec4c","block_type":"box","text":"to the rate of principal payments (including prepayments) on the underlying home equity loans. NIM securities are","page_number":92,"box":{"x":68,"y":853,"width":810,"height":12}},{"id":"2ebde420-4cc9-48a1-9a51-b73f8ad3c60b","block_type":"box","text":"highly sensitive to credit losses on the underlying collateral and the timing in which those losses are taken.","page_number":92,"box":{"x":69,"y":869,"width":764,"height":11}},{"id":"e7cd0352-fd77-42e2-bde6-fff81e12e973","block_type":"box","text":"Municipal Investments.","page_number":92,"box":{"x":102,"y":891,"width":169,"height":11}},{"id":"8680d214-69ff-426d-99b4-f0869c7291bf","block_type":"box","text":"II-55","page_number":92,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4f8a688a-1be1-43f0-9ee9-b694f4170aba","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":92,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2ba93c4d-9a45-4647-983b-5d7aa8b3030c","block_type":"box","text":"Cer tain Funds may invest in obligations issued by or on behalf of states, territories and possessions of the","page_number":93,"box":{"x":102,"y":45,"width":763,"height":11}},{"id":"5703031a-fed2-43aa-aef7-df1632b3fd9a","block_type":"box","text":"United States and the District of Columbia and their political subdivisions, agencies and instrumentalities, the","page_number":93,"box":{"x":70,"y":60,"width":783,"height":11}},{"id":"c934ee61-fb61-4019-842c-cadcdbedbce9","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":93,"box":{"x":70,"y":75,"width":833,"height":11}},{"id":"ce610793-c6f1-45a8-b137-d962b78bf97d","block_type":"box","text":"income tax purposes (“Municipal Bonds”). Cer tain of the Municipal Funds may also invest in Municipal Bonds that","page_number":93,"box":{"x":70,"y":90,"width":813,"height":11}},{"id":"ba2de61a-cd1d-44f0-888f-e93148cf9c3e","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":93,"box":{"x":70,"y":105,"width":836,"height":11}},{"id":"b43bea61-da3c-4ea9-908f-fdd48e25b8cd","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":93,"box":{"x":69,"y":120,"width":779,"height":12}},{"id":"26693816-343d-4b57-8215-45480e283f57","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":93,"box":{"x":70,"y":135,"width":838,"height":11}},{"id":"f5dc748a-17e8-4e27-8b76-233b68b6fff9","block_type":"box","text":"or by an agency or instrumentality thereof, if the Manager believes such securities to pay interest excludable from","page_number":93,"box":{"x":69,"y":150,"width":810,"height":12}},{"id":"972146d4-f3d7-44c9-829d-f9a5ed04fab5","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":93,"box":{"x":68,"y":166,"width":834,"height":11}},{"id":"260f021e-99e4-4907-9a51-07be0af46490","block_type":"box","text":"or state and local personal proper ty taxes of the designated state (“Non-Municipal Tax-Exempt Securities”). Non","page_number":93,"box":{"x":69,"y":181,"width":801,"height":11}},{"id":"9a30ab1f-af5f-4ac6-b28d-9d2c85b2da35","block_type":"box","text":"Municipal Tax-Exempt Securities could include trust cer tificates or other instruments evidencing interest in one or","page_number":93,"box":{"x":70,"y":196,"width":807,"height":11}},{"id":"fab06b1d-5a4f-46fc-b148-fe59bd6f8827","block_type":"box","text":"more long-term municipal securities. Non-Municipal Tax-Exempt Securities also may include securities issued by other","page_number":93,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"fc34d9b7-4081-40e6-ae9e-560889c2ec5e","block_type":"box","text":"investment companies that invest in municipal bonds, to the extent such investments are permitted by applicable","page_number":93,"box":{"x":70,"y":226,"width":809,"height":11}},{"id":"627d458b-b835-4e33-bd67-a85b2f3946bc","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":93,"box":{"x":70,"y":241,"width":826,"height":11}},{"id":"a8d4f2d5-2e7d-49f6-be27-f733f8f70e90","block_type":"box","text":"purposes will be considered “Municipal Bonds” for purposes of a Municipal Fund’s investment objective and policies.","page_number":93,"box":{"x":70,"y":256,"width":834,"height":11}},{"id":"6a5c9e38-1ec0-4874-b12d-422cf43d15e1","block_type":"box","text":"Non-Municipal Tax-Exempt Securities that pay interest excludable from gross income for purposes of U.S. federal","page_number":93,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"4dec96e8-5092-4d5d-b5e8-e90095366f5c","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":93,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"764a5a3e-9e19-4ea6-8b6a-56061a15b4aa","block_type":"box","text":"exempt from state and local personal proper ty taxes of that state will be considered “State Municipal Bonds” for","page_number":93,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"fa7bf1c2-7c17-4ff7-a5cd-ef530c3dd8d3","block_type":"box","text":"purposes of the investment objective and policies of each of California Municipal Oppor tunities Fund, New Jersey","page_number":93,"box":{"x":70,"y":317,"width":805,"height":11}},{"id":"9c9c8bca-1690-4055-95bf-b5983bc5b25f","block_type":"box","text":"Municipal Bond Fund, New York Municipal Oppor tunities Fund and Pennsylvania Municipal Bond Fund.","page_number":93,"box":{"x":70,"y":332,"width":721,"height":11}},{"id":"c3a4c9c8-27df-403a-9ce4-16ab23e2833a","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds.","page_number":93,"box":{"x":102,"y":355,"width":495,"height":11}},{"id":"4783f784-da35-40f7-9247-59ba95574626","block_type":"box","text":"The risks and special considerations","page_number":93,"box":{"x":603,"y":355,"width":260,"height":11}},{"id":"a2d8b1cc-d439-4427-9f2d-57c9a092d015","block_type":"box","text":"involved in investment in Municipal Bonds vary with the types of instruments being acquired. Investments in Non","page_number":93,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"3aec8959-fd16-4499-9ac2-7c74dc9d57f3","block_type":"box","text":"Municipal Tax-Exempt Securities may present similar risks, depending on the par ticular product. Cer tain municipal","page_number":93,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"4ec379cd-4d3e-4faf-bf50-712c452f6913","block_type":"box","text":"instruments in which a Fund may invest may be characterized as derivatives.","page_number":93,"box":{"x":70,"y":400,"width":544,"height":11}},{"id":"0035053b-7d87-4477-9295-06d73da91eee","block_type":"box","text":"The value of Municipal Bonds generally may be affected by uncer tainties in the municipal markets as a result of","page_number":93,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"fa6583f1-d577-4c13-9f93-e8649cc48daf","block_type":"box","text":"legislation or litigation, including legislation or litigation that changes the taxation of Municipal Bonds or the rights of","page_number":93,"box":{"x":70,"y":438,"width":829,"height":11}},{"id":"ec2849d2-f47b-42b4-86d2-dcce39aebd41","block_type":"box","text":"Municipal Bond holders in the event of a bankruptcy. Municipal bankruptcies are rare and cer tain provisions of the","page_number":93,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"df114760-dd5f-4a5e-96c4-c77ee7254bd5","block_type":"box","text":"U.S. Bankruptcy Code governing such bankruptcies are unclear. Fur ther, the application of state law to Municipal","page_number":93,"box":{"x":70,"y":468,"width":802,"height":11}},{"id":"cc4a3c58-6a41-4577-8b5d-816f8e608498","block_type":"box","text":"Bond issuers could produce varying results among the states or among Municipal Bond issuers within a state. These","page_number":93,"box":{"x":70,"y":483,"width":834,"height":11}},{"id":"a910b7a2-acd0-42fe-899f-32a24fdb9a53","block_type":"box","text":"uncer tainties could have a significant impact on the prices of the Municipal Bonds in which a Fund invests.","page_number":93,"box":{"x":69,"y":498,"width":761,"height":11}},{"id":"fe97643a-5641-4e4c-a829-7a327bf02df0","block_type":"box","text":"II-56","page_number":93,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0261cd19-80a3-42d0-a364-3a4f5f9709a7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":93,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0e3c9b6d-6e3b-4d1c-a4ad-db2ed28ed784","block_type":"box","text":"Description of Municipal Bonds.","page_number":94,"box":{"x":70,"y":45,"width":224,"height":11}},{"id":"5d9caf56-a0bd-436d-bb9c-a9bba2d04ab3","block_type":"box","text":"Municipal Bonds include debt obligations issued to obtain funds for various public purposes, including the","page_number":94,"box":{"x":102,"y":67,"width":754,"height":12}},{"id":"5cdd658a-0d0e-40db-a623-ba5e2d2a2c4b","block_type":"box","text":"construction of a wide range of public facilities, refunding of outstanding obligations and obtaining funds for general","page_number":94,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"b757452a-0fd4-4648-b837-5e8288446b2f","block_type":"box","text":"operating expenses and loans to other public institutions and facilities. In addition, cer tain types of bonds are issued","page_number":94,"box":{"x":69,"y":98,"width":836,"height":11}},{"id":"03ea59d3-84b1-4768-8a19-582ba0e9d615","block_type":"box","text":"by or on behalf of public authorities to finance various privately owned or operated facilities, including cer tain","page_number":94,"box":{"x":69,"y":113,"width":776,"height":11}},{"id":"550f7ef9-2b02-4de9-9bb9-24d9b3ca198a","block_type":"box","text":"facilities for the local furnishing of electric energy or gas, sewage facilities, solid waste disposal facilities and other","page_number":94,"box":{"x":68,"y":128,"width":822,"height":11}},{"id":"3d8bed51-6b3a-4e38-b4e3-9577f4a0737d","block_type":"box","text":"specialized facilities. Such obligations are included within the term Municipal Bonds if the interest paid thereon is","page_number":94,"box":{"x":69,"y":143,"width":810,"height":11}},{"id":"4fc92838-1047-48ab-bb02-12006e7fbb9e","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":94,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"6bcccc67-7eb4-4105-a7d1-fefde9dc9d9f","block_type":"box","text":"types of private activity bonds, the proceeds of which are used for the construction, equipment or improvement of","page_number":94,"box":{"x":68,"y":173,"width":812,"height":11}},{"id":"69879760-5560-470b-ad3a-eb4b3e5f1a9c","block_type":"box","text":"privately operated industrial or commercial facilities, may constitute Municipal Bonds, although the current U.S.","page_number":94,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"01573ad8-6b7f-4214-acd8-cf5c32e27f70","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":94,"box":{"x":68,"y":203,"width":835,"height":12}},{"id":"b8598d60-fbec-4723-9923-650ade00d75d","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":94,"box":{"x":68,"y":218,"width":840,"height":12}},{"id":"4e193e6f-4190-4405-becc-5715094be245","block_type":"box","text":"obligation” and “revenue” or “special obligation” bonds, which latter category includes private activity bonds (“PABs”)","page_number":94,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"ff73ab97-4f81-4744-b165-bc4e88af5ca7","block_type":"box","text":"(or “industrial development bonds” under pre-1986 law).","page_number":94,"box":{"x":69,"y":249,"width":401,"height":11}},{"id":"9a2e411f-3b0a-40de-9c92-5e36ca3b989e","block_type":"box","text":"General Obligation Bonds.","page_number":94,"box":{"x":102,"y":272,"width":184,"height":11}},{"id":"6ffb2287-9da7-45c1-85fe-60416d1e6170","block_type":"box","text":"General obligation bonds are secured by the issuer’s pledge of its full faith, credit and","page_number":94,"box":{"x":292,"y":271,"width":613,"height":12}},{"id":"abd75ad9-2d60-44da-bed5-7ee4b1823f92","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":94,"box":{"x":68,"y":286,"width":816,"height":12}},{"id":"5021ff1e-113e-4fe6-bc8d-137d39969482","block_type":"box","text":"however, by provisions of its state constitution or laws, and an entity’s creditwor thiness will depend on many factors,","page_number":94,"box":{"x":69,"y":302,"width":834,"height":11}},{"id":"66724cae-ed85-4518-ad2f-32dfd827ced7","block_type":"box","text":"including potential erosion of its tax base due to population declines, natural disasters, declines in the state’s","page_number":94,"box":{"x":70,"y":317,"width":786,"height":11}},{"id":"8cec9dd2-0174-408b-af51-ca046dd965cf","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":94,"box":{"x":70,"y":332,"width":835,"height":11}},{"id":"60fe4ef5-924e-4bf8-baed-0f5cab59b6f2","block_type":"box","text":"state legislative proposals or voter initiatives to limit ad valorem real proper ty taxes and the extent to which the entity","page_number":94,"box":{"x":69,"y":347,"width":840,"height":11}},{"id":"6212310f-a73d-45b7-b320-ff1bf2b7e8e7","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":94,"box":{"x":69,"y":362,"width":782,"height":11}},{"id":"b011ccea-3da8-4c82-b569-d6ad2251cc79","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":94,"box":{"x":68,"y":377,"width":791,"height":12}},{"id":"6dcfc1d7-240b-4918-a351-bdcacc6c75ea","block_type":"box","text":"repayment of principal when due is affected by the issuer’s maintenance of its tax base.","page_number":94,"box":{"x":69,"y":392,"width":630,"height":12}},{"id":"8533fa0f-0d23-4d90-b157-b1b6dd9238c1","block_type":"box","text":"Revenue Bonds.","page_number":94,"box":{"x":102,"y":415,"width":114,"height":9}},{"id":"5795ac33-eca9-48b1-96a8-55246096c531","block_type":"box","text":"Revenue bonds are payable only from the revenues derived from a par ticular facility or class of","page_number":94,"box":{"x":223,"y":415,"width":676,"height":11}},{"id":"131973f6-3648-49b4-9cef-055d26b830bb","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":94,"box":{"x":68,"y":430,"width":791,"height":11}},{"id":"dc8be737-2fdd-4bdc-ae4f-3e7bf5eb38b3","block_type":"box","text":"payments from the user of the facility being financed; accordingly, the timely payment of interest and the repayment","page_number":94,"box":{"x":70,"y":445,"width":824,"height":12}},{"id":"d60bf3ba-96fe-49d6-a8f8-c9d54b3e789f","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":94,"box":{"x":69,"y":460,"width":798,"height":12}},{"id":"f886f284-7741-40de-aff2-bfa1fecd23fb","block_type":"box","text":"viability of such facility or such revenue source.","page_number":94,"box":{"x":68,"y":475,"width":336,"height":12}},{"id":"e1807ccb-c798-4734-a64a-19a95651aabb","block_type":"box","text":"Revenue bonds issued by state or local agencies to finance the development of low-income, multi-family housing","page_number":94,"box":{"x":102,"y":498,"width":801,"height":11}},{"id":"1e54a75c-bb4c-4743-8e51-fc24b61dc520","block_type":"box","text":"involve special risks in addition to those associated with municipal bonds generally, including that the underlying","page_number":94,"box":{"x":70,"y":514,"width":800,"height":11}},{"id":"2207373e-9f90-4941-9f04-3714c9ea0c9d","block_type":"box","text":"proper ties may not generate sufficient income to pay expenses and interest costs. Such bonds are generally non","page_number":94,"box":{"x":70,"y":528,"width":810,"height":12}},{"id":"29f0abf7-8258-4294-ab15-574bfe6def86","block_type":"box","text":"recourse against the proper ty owner, may be junior to the rights of others with an interest in the proper ties, may pay","page_number":94,"box":{"x":69,"y":543,"width":830,"height":12}},{"id":"9bf3eae9-5842-49f6-b5a2-ab4061e8829b","block_type":"box","text":"interest that changes based in par t on the financial per formance of the proper ty, may be prepayable without penalty","page_number":94,"box":{"x":70,"y":559,"width":828,"height":11}},{"id":"29eacb09-3411-4ff6-956a-96d1e8f803c3","block_type":"box","text":"and may be used to finance the construction of housing developments which, until completed and rented, do not","page_number":94,"box":{"x":69,"y":574,"width":804,"height":11}},{"id":"878ea25c-32e6-49e5-abd0-63ee8fd96947","block_type":"box","text":"generate income to pay interest. Increases in interest rates payable on senior obligations may make it more difficult","page_number":94,"box":{"x":68,"y":589,"width":830,"height":11}},{"id":"bfb8a955-a261-43e2-ab8a-8b4244c91cc8","block_type":"box","text":"for issuers to meet payment obligations on subordinated bonds.","page_number":94,"box":{"x":68,"y":604,"width":457,"height":11}},{"id":"12f81cc4-e1bc-4872-80ba-122fcad92a47","block_type":"box","text":"PABs.","page_number":94,"box":{"x":102,"y":627,"width":38,"height":9}},{"id":"b65c4baa-1767-4284-9bd7-f4d2721128de","block_type":"box","text":"PABs are, in most cases, tax-exempt securities issued by states, municipalities or public authorities to","page_number":94,"box":{"x":147,"y":627,"width":730,"height":11}},{"id":"9947bd55-b34b-4e83-9409-4c514e604d69","block_type":"box","text":"provide funds, usually through a loan or lease arrangement, to a private entity for the purpose of financing","page_number":94,"box":{"x":70,"y":642,"width":755,"height":11}},{"id":"f4779c38-2cfd-4007-9d07-6f485e53aea5","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":94,"box":{"x":69,"y":657,"width":797,"height":11}},{"id":"7de9b06b-2c13-409a-b02f-63151591f701","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":94,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"41c7db2c-b989-4c11-9536-d1bbfaa2a5d8","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":94,"box":{"x":70,"y":687,"width":840,"height":11}},{"id":"fc72fa58-8532-41cc-bf61-fae628f1c871","block_type":"box","text":"such bonds. Therefore, an investor should understand that repayment of such bonds generally depends on the","page_number":94,"box":{"x":69,"y":702,"width":789,"height":12}},{"id":"0b05b327-edb4-41c1-b5a8-ee28caf72824","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":94,"box":{"x":69,"y":717,"width":832,"height":12}},{"id":"e3877cce-0d23-479d-8796-7e6e6996b6e9","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":94,"box":{"x":69,"y":732,"width":802,"height":12}},{"id":"d485c512-2503-413d-8da5-14a7b41906f9","block_type":"box","text":"many factors including the size of the entity, its capital structure, demand for its products or services, competition,","page_number":94,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"e0909a2c-6cb4-4444-9c41-8f7e64be6de0","block_type":"box","text":"general economic conditions, government regulation and the entity’s dependence on revenues for the operation of","page_number":94,"box":{"x":68,"y":763,"width":816,"height":11}},{"id":"7db29af4-f0c7-4bc5-a2b9-92ff8d2ec479","block_type":"box","text":"the par ticular facility being financed.","page_number":94,"box":{"x":68,"y":778,"width":258,"height":11}},{"id":"c77f7ab4-fb07-4c30-a028-8f815bcb5002","block_type":"box","text":"Moral Obligation Bonds.","page_number":94,"box":{"x":102,"y":801,"width":169,"height":11}},{"id":"ef6bb2b6-628f-41b7-8e7b-f980a1148225","block_type":"box","text":"“Moral obligation” bonds are normally issued by special purpose public authorities. If an","page_number":94,"box":{"x":278,"y":801,"width":628,"height":11}},{"id":"8c4f209c-fbd9-4942-8cb7-6e33d412f5f3","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":94,"box":{"x":70,"y":816,"width":809,"height":11}},{"id":"7db336ea-04ad-4d56-aed0-4c77e03667ce","block_type":"box","text":"commitment but not a legal obligation of the state or municipality that created the special purpose public authority","page_number":94,"box":{"x":69,"y":831,"width":816,"height":11}},{"id":"905c0c15-a9c8-4c2e-86c5-bce258b02f5e","block_type":"box","text":"that issued the bonds.","page_number":94,"box":{"x":68,"y":846,"width":160,"height":9}},{"id":"150bbc13-d7cb-415a-9a5b-af56961cfabb","block_type":"box","text":"Municipal Notes.","page_number":94,"box":{"x":102,"y":869,"width":118,"height":11}},{"id":"c047b5e7-df81-41bf-ba36-38ac8195995c","block_type":"box","text":"Municipal notes are shor ter term municipal debt obligations. They may provide interim financing","page_number":94,"box":{"x":227,"y":869,"width":683,"height":11}},{"id":"75a64ac8-439c-4a21-9620-8f7d638a8436","block_type":"box","text":"in anticipation of tax collection, bond sales or revenue receipts. If there is a shor tfall in the anticipated proceeds,","page_number":94,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"f44337bf-fe1e-4bdf-aa30-379d98ac6442","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":94,"box":{"x":69,"y":899,"width":739,"height":11}},{"id":"a8da5d15-ec64-4ba7-a09e-89c4653adc44","block_type":"box","text":"II-57","page_number":94,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"101ca198-9bb9-454d-b1f9-dfbd30e5cf80","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":94,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"96cdb6b5-b5ec-4bb4-86a9-a36387296576","block_type":"box","text":"Municipal Commercial Paper.","page_number":95,"box":{"x":102,"y":45,"width":205,"height":11}},{"id":"b4e862ae-34b9-48a4-9116-a578ab11452d","block_type":"box","text":"Municipal commercial paper is generally unsecured and issued to meet shor t-term","page_number":95,"box":{"x":314,"y":45,"width":586,"height":11}},{"id":"7291671c-fcea-4383-a492-bd422cae0afa","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":95,"box":{"x":68,"y":60,"width":767,"height":11}},{"id":"9fd63b83-c1bd-46e0-85df-ba0239621ec9","block_type":"box","text":"bankruptcy, unsecured creditors are repaid only after the secured creditors out of the assets, if any, that remain.","page_number":95,"box":{"x":69,"y":75,"width":803,"height":11}},{"id":"f50153f5-7d53-491d-8ed6-25092aeee5d7","block_type":"box","text":"Municipal Lease Obligations.","page_number":95,"box":{"x":102,"y":98,"width":203,"height":11}},{"id":"957c5c33-3e8d-41de-8111-4b77a7ac4942","block_type":"box","text":"Also included within the general category of Municipal Bonds are cer tificates of","page_number":95,"box":{"x":311,"y":98,"width":566,"height":11}},{"id":"56aef16d-5792-42fb-877d-48f3c26c235b","block_type":"box","text":"par ticipation (“COPs”) issued by government authorities or entities to finance the acquisition or construction of","page_number":95,"box":{"x":70,"y":113,"width":791,"height":11}},{"id":"ed80e3a0-a350-4efe-a2e8-e80a828fbe8d","block_type":"box","text":"equipment, land and/or facilities. The COPs represent par ticipations in a lease, an installment purchase contract or a","page_number":95,"box":{"x":69,"y":128,"width":840,"height":11}},{"id":"4b31adb4-7e48-43fc-81f5-367b39646d97","block_type":"box","text":"conditional sales contract (hereinafter collectively called “lease obligations”) relating to such equipment, land or","page_number":95,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"8e101b92-55d5-4e5f-9677-67dc37888633","block_type":"box","text":"facilities. Municipal leases, like other municipal debt obligations, are subject to the risk of non-payment. Although","page_number":95,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"564deb2a-4a6c-41b5-8e1f-cd2ccb2f6eb4","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":95,"box":{"x":70,"y":173,"width":820,"height":11}},{"id":"7de988d7-fc4f-4362-8060-0f913a6aa34f","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":95,"box":{"x":70,"y":188,"width":808,"height":12}},{"id":"9f7e9b74-6bb1-4eb4-acac-1e3bf313a139","block_type":"box","text":"payments due under the lease obligation. However, cer tain lease obligations contain “non-appropriation” clauses,","page_number":95,"box":{"x":70,"y":204,"width":809,"height":11}},{"id":"7d7e6330-df0c-490b-857b-0d6e2d45a4eb","block_type":"box","text":"which provide that the issuer has no obligation to make lease or installment purchase payments in future years","page_number":95,"box":{"x":68,"y":218,"width":795,"height":12}},{"id":"8d29f240-391e-4bce-aedd-e8d041383bb7","block_type":"box","text":"unless money is appropriated for such purpose on a yearly basis. Although “non-appropriation” lease obligations are","page_number":95,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"07265696-9aa4-4f86-8a73-1be515aad1ec","block_type":"box","text":"secured by the leased proper ty, disposition of the proper ty in the event of foreclosure might prove difficult. These","page_number":95,"box":{"x":69,"y":249,"width":810,"height":11}},{"id":"204f1621-040e-46a5-934e-bd91f64d0e06","block_type":"box","text":"securities represent a type of financing that has not yet developed the depth of marketability associated with more","page_number":95,"box":{"x":69,"y":264,"width":817,"height":11}},{"id":"5b9ec602-eb78-40cd-8484-0be5116175ef","block_type":"box","text":"conventional securities. Cer tain investments in lease obligations may be illiquid.","page_number":95,"box":{"x":69,"y":279,"width":572,"height":11}},{"id":"e52efb89-acec-4974-84fa-87a888cdadc4","block_type":"box","text":"The ability of issuers of municipal leases to make timely lease payments may be adversely impacted in general","page_number":95,"box":{"x":101,"y":302,"width":791,"height":11}},{"id":"0fde6980-67cb-40ce-9d20-a2be9ef54055","block_type":"box","text":"economic downturns and as relative governmental cost burdens are allocated and reallocated among federal, state","page_number":95,"box":{"x":69,"y":317,"width":822,"height":11}},{"id":"37a9abf6-0f36-4da7-b86e-6fdf79f09dd3","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":95,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"a447de01-f321-4c67-a813-f4ed7bce1f5c","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":95,"box":{"x":69,"y":347,"width":798,"height":11}},{"id":"996fbd88-7008-4310-b243-8685e8a00331","block_type":"box","text":"Fund. Issuers of municipal securities might seek protection under the bankruptcy laws. In the event of bankruptcy of","page_number":95,"box":{"x":70,"y":362,"width":828,"height":11}},{"id":"aef800c4-ed98-4dd0-a43a-7d5c18c2b99d","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":95,"box":{"x":69,"y":377,"width":833,"height":11}},{"id":"da351cf3-3c2f-4dd4-9efd-fdf89dad0c41","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":95,"box":{"x":69,"y":393,"width":807,"height":11}},{"id":"f8d27250-9942-444b-b093-b233e9166062","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":95,"box":{"x":68,"y":407,"width":835,"height":12}},{"id":"c3551f93-546e-422f-afee-b8ca221914d0","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":95,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"ce10b796-cf2e-42f5-a1d5-c18b61ca5a33","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":95,"box":{"x":69,"y":438,"width":829,"height":11}},{"id":"9b0eeb7f-da9b-48cf-984e-669291e9988f","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":95,"box":{"x":68,"y":453,"width":793,"height":11}},{"id":"c040dfe7-e6a9-4cd7-945c-c4905e09c360","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":95,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"ecf03080-185c-44c2-827e-3a40835d356d","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":95,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"5653bbc7-1fec-4936-836b-15885e06ba83","block_type":"box","text":"exercise its rights by taking possession of such assets, because as a regulated investment company a Fund is","page_number":95,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"f488c86e-4713-4e62-8622-16d62d4a7188","block_type":"box","text":"subject to cer tain limitations on its investments and on the nature of its income.","page_number":95,"box":{"x":69,"y":513,"width":574,"height":11}},{"id":"be2bf97a-0e79-4522-8bad-42d16dd0d1d3","block_type":"box","text":"Tender Option Bonds.","page_number":95,"box":{"x":103,"y":536,"width":150,"height":11}},{"id":"8c704401-7e61-4c89-953f-57dc81c992ab","block_type":"box","text":"Cer tain Funds may invest in residual inverse floating rate interest tender option bonds","page_number":95,"box":{"x":260,"y":536,"width":613,"height":11}},{"id":"786aad65-e2e1-47db-9c95-b374293ef156","block_type":"box","text":"(“TOB Residuals”), which are derivative interests in Municipal Bonds. The TOB Residuals in which the Funds will","page_number":95,"box":{"x":69,"y":551,"width":796,"height":11}},{"id":"fd79b2c9-451d-4ae7-a2e7-8e6c468b19a7","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":95,"box":{"x":70,"y":566,"width":834,"height":11}},{"id":"a48e1768-d2db-485b-b26d-01c50eec32af","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":95,"box":{"x":68,"y":581,"width":807,"height":11}},{"id":"ebcfc792-627a-4513-a58b-1cbaf811aa31","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":95,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"bf0d9ec4-faa3-4728-ba9d-defc002ee170","block_type":"box","text":"the potential for yields exceeding the yields available on fixed rate Municipal Bonds with comparable credit quality.","page_number":95,"box":{"x":68,"y":612,"width":814,"height":11}},{"id":"78a2eb97-6fe5-4d3e-9a8a-33161ea54d9a","block_type":"box","text":"The Funds may invest in TOB Residuals for the purpose of using economic leverage.","page_number":95,"box":{"x":68,"y":627,"width":598,"height":11}},{"id":"68206acf-cd23-4b01-9d8c-b248bdf5351d","block_type":"box","text":"TOB Residuals represent beneficial interests in a special purpose trust formed for the purpose of holding","page_number":95,"box":{"x":101,"y":649,"width":751,"height":12}},{"id":"9c252988-dced-4cf1-b0fd-8fdcd9ddb766","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":95,"box":{"x":70,"y":664,"width":786,"height":12}},{"id":"3ecc85ba-165a-447a-b228-c415f072aeab","block_type":"box","text":"beneficial interests: shor t-term floating rate interests (“TOB Floaters”), which are sold to third-par ty investors, and","page_number":95,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"f5df3a33-59bb-4db1-8b67-96381f7c21c1","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":95,"box":{"x":68,"y":695,"width":799,"height":11}},{"id":"6bc82eb0-f89e-4635-b74c-930e14d0836f","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":95,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"628213dd-7ca0-4ae9-8ef0-e78736edaf60","block_type":"box","text":"the Municipal Bonds held by the TOB Trust and are enhanced with a liquidity suppor t arrangement from a third-par ty","page_number":95,"box":{"x":68,"y":725,"width":828,"height":11}},{"id":"5aa9d9c1-0281-4481-b7b0-6e0b8e457ce2","block_type":"box","text":"Liquidity Provider (defined below) which allows holders to tender their position at par (plus accrued interest). A Fund,","page_number":95,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"da2e2351-7cdf-49f4-80ec-0ca52dd1a9e8","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":95,"box":{"x":69,"y":755,"width":768,"height":11}},{"id":"2272ebd3-dfa6-4ab5-a584-e2bd81a8ef4b","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":95,"box":{"x":70,"y":770,"width":825,"height":11}},{"id":"e94838f9-eda1-4a82-93db-da1d006dffb3","block_type":"box","text":"cer tain transaction costs, and typically will invest the cash to purchase additional Municipal Bonds or other","page_number":95,"box":{"x":69,"y":786,"width":764,"height":11}},{"id":"d2821072-7530-4949-b735-b280feab44f4","block_type":"box","text":"investments permitted by its investment policies. If a Fund ever purchases all or a por tion of the TOB Floaters sold by","page_number":95,"box":{"x":70,"y":801,"width":838,"height":11}},{"id":"8f494a0b-9f37-422f-ba27-c25ced02bb23","block_type":"box","text":"the TOB Trust, it may surrender those TOB Floaters together with a propor tionate amount of TOB Residuals to the","page_number":95,"box":{"x":68,"y":816,"width":810,"height":11}},{"id":"a2558ec5-4419-415a-875d-5debb940b275","block_type":"box","text":"TOB Trust in exchange for a propor tionate amount of the Municipal Bonds owned by the TOB Trust.","page_number":95,"box":{"x":68,"y":831,"width":704,"height":11}},{"id":"175dbb57-e7e1-4171-8429-671ff5b6c9d4","block_type":"box","text":"Other BlackRock-advised funds may contribute Municipal Bonds to a TOB Trust into which a Fund has contributed","page_number":95,"box":{"x":102,"y":853,"width":804,"height":12}},{"id":"17817941-3559-444b-a2cd-ece834032b4a","block_type":"box","text":"Municipal Bonds. If multiple BlackRock-advised funds par ticipate in the same TOB Trust, the economic rights and","page_number":95,"box":{"x":70,"y":869,"width":805,"height":11}},{"id":"720b9caf-62c8-433b-8f73-7c00f5e62011","block_type":"box","text":"obligations under the TOB Residual will generally be shared among the funds ratably in propor tion to their","page_number":95,"box":{"x":69,"y":884,"width":752,"height":11}},{"id":"d92d3b9c-ee29-440b-a54f-4d87fd8b277a","block_type":"box","text":"par ticipation in the TOB Trust.","page_number":95,"box":{"x":70,"y":899,"width":211,"height":11}},{"id":"d9d14b4f-8eb0-4def-ac81-d12022dd8f2f","block_type":"box","text":"II-58","page_number":95,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d0921446-d81a-46b0-8e0f-2b299b13a94a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":95,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6ffa8ce4-30a5-4028-8640-c02c68e1481c","block_type":"box","text":"The Municipal Bonds transferred to a TOB Trust typically are high grade Municipal Bonds. In cer tain cases, when","page_number":96,"box":{"x":101,"y":45,"width":802,"height":11}},{"id":"99e5245c-596a-4ea8-a335-a6362ba347ba","block_type":"box","text":"Municipal Bonds transferred are lower grade Municipal Bonds, the TOB Trust transaction includes a credit","page_number":96,"box":{"x":70,"y":60,"width":753,"height":11}},{"id":"6850b057-e19b-40e8-b10a-46861abdba32","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":96,"box":{"x":69,"y":75,"width":829,"height":11}},{"id":"b14aa430-2305-4e21-9579-4384cfb4f73c","block_type":"box","text":"a credit enhancement provider. The TOB Trust would be responsible for the payment of the credit enhancement fee","page_number":96,"box":{"x":69,"y":90,"width":819,"height":11}},{"id":"a0a9dc87-c258-4831-8562-676bfc3ae689","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":96,"box":{"x":69,"y":105,"width":802,"height":11}},{"id":"fbef2569-e29f-465a-82e5-433576961117","block_type":"box","text":"interest made by the credit enhancement provider.","page_number":96,"box":{"x":70,"y":120,"width":357,"height":11}},{"id":"e5247404-dedd-4c64-9590-5e2f2a20e18e","block_type":"box","text":"The TOB Residuals held by a Fund generally provide the Fund with the right to cause the holders of a propor tional","page_number":96,"box":{"x":101,"y":143,"width":807,"height":11}},{"id":"10db4f79-4a3f-455b-9e28-d6bee5dc63c3","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":96,"box":{"x":69,"y":158,"width":810,"height":11}},{"id":"766b826a-4d40-442e-a07f-ca02012a2ca7","block_type":"box","text":"may withdraw a corresponding share of the Municipal Bonds from the TOB Trust. This transaction, in effect, creates","page_number":96,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"df591c80-436f-4509-83ae-7980e66c3a81","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":96,"box":{"x":69,"y":188,"width":834,"height":11}},{"id":"b077abc8-4a17-4389-861a-a1ea723ede36","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":96,"box":{"x":70,"y":203,"width":797,"height":12}},{"id":"fd9f74e6-8b3a-4173-9e10-dcf652e82274","block_type":"box","text":"impact of the Municipal Bonds’ return within the Fund (thereby creating leverage). The leverage within a TOB Trust","page_number":96,"box":{"x":70,"y":218,"width":809,"height":12}},{"id":"568bfa1c-1554-46cb-9b09-956be880ba13","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":96,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"9820ffa7-7537-4b84-872b-84110ff437d7","block_type":"box","text":"issues.","page_number":96,"box":{"x":70,"y":249,"width":49,"height":9}},{"id":"9ecb893b-1de8-4290-b715-0d050e665d46","block_type":"box","text":"A Fund may invest in highly leveraged TOB Residuals. A TOB Residual generally is considered highly leveraged if","page_number":96,"box":{"x":101,"y":271,"width":795,"height":12}},{"id":"5518038e-6f32-48b8-8f3c-382bb5f56ee0","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":96,"box":{"x":68,"y":286,"width":833,"height":12}},{"id":"17a6ad90-a2c7-4606-b329-8f0aa5d6ad4c","block_type":"box","text":"Municipal Bonds owned by the TOB Trust.","page_number":96,"box":{"x":70,"y":302,"width":293,"height":11}},{"id":"cca2f97e-bd1e-4ad8-9a05-21445dc37d5d","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":96,"box":{"x":101,"y":324,"width":802,"height":11}},{"id":"c1863263-9724-4292-82bc-ea79e2895e75","block_type":"box","text":"events (“TOTEs”) and mandatory termination events (“MTEs”), as defined in the TOB Trust agreements. TOTEs","page_number":96,"box":{"x":69,"y":339,"width":788,"height":12}},{"id":"1d07d664-0fd9-467d-8aa4-e080350de00d","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":96,"box":{"x":70,"y":355,"width":836,"height":11}},{"id":"aad6c448-3ccf-45c3-8151-d78ed341a1b3","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":96,"box":{"x":70,"y":370,"width":819,"height":11}},{"id":"46fe2043-0305-49f2-86fb-7ed48e177edf","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":96,"box":{"x":70,"y":385,"width":833,"height":11}},{"id":"3a3fffc6-2222-4b09-9841-18262103cc3a","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":96,"box":{"x":68,"y":400,"width":834,"height":11}},{"id":"9b8f0c98-11aa-4373-8109-641df06016af","block_type":"box","text":"inability of the TOB Trust to obtain renewal of the liquidity suppor t agreement, and a substantial decline in the market","page_number":96,"box":{"x":70,"y":415,"width":838,"height":11}},{"id":"702869e1-e0f4-48d5-8a11-763e21e11f44","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":96,"box":{"x":68,"y":430,"width":831,"height":11}},{"id":"a06f9b71-c32b-4149-a589-8b6e8d191965","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":96,"box":{"x":70,"y":445,"width":823,"height":12}},{"id":"a883bbbf-e177-4e28-8e68-bcd13399373b","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":96,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"e2272eba-6af1-49dc-881b-9ca6bdfebfd4","block_type":"box","text":"the holders of the TOB Floaters would be paid senior to the TOB Residual holders (","page_number":96,"box":{"x":68,"y":475,"width":589,"height":12}},{"id":"04d1cc21-92a6-42ed-b99a-c523da51f7fb","block_type":"box","text":"i.e.","page_number":96,"box":{"x":659,"y":476,"width":21,"height":8}},{"id":"b29f0820-c604-49d4-8082-8dde1dd5027e","block_type":"box","text":", the Fund). In contrast, in the","page_number":96,"box":{"x":682,"y":476,"width":211,"height":11}},{"id":"245bcb02-9ff4-4a8a-b0af-fda4cc087d2a","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":96,"box":{"x":69,"y":491,"width":822,"height":11}},{"id":"096c418f-fe9d-44db-be42-922faebdc0e0","block_type":"box","text":"rata in propor tion to the respective face values of their cer tificates.","page_number":96,"box":{"x":69,"y":506,"width":479,"height":11}},{"id":"9d349e63-7879-4a7b-b13c-9d81b786fe30","block_type":"box","text":"A Fund may invest in a TOB Trust on either a non-recourse or recourse basis. TOB Trusts are typically suppor ted","page_number":96,"box":{"x":101,"y":529,"width":797,"height":11}},{"id":"0de31b27-0c4e-4c7e-99ae-336ca4d19663","block_type":"box","text":"by a liquidity facility provided by a third-par ty bank or other financial institution (the “Liquidity Provider”) that allows","page_number":96,"box":{"x":69,"y":543,"width":815,"height":12}},{"id":"947fd294-0a20-47e7-9695-9a2ca859e88b","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":96,"box":{"x":68,"y":559,"width":828,"height":11}},{"id":"ed1c0672-621d-48a3-a79a-bca482ba83af","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":96,"box":{"x":69,"y":574,"width":828,"height":11}},{"id":"11456d73-30bd-4728-a3e9-40d378f1eca4","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":96,"box":{"x":68,"y":589,"width":815,"height":11}},{"id":"fb93fd5c-c251-4899-aa9d-78a9fabb0a77","block_type":"box","text":"the Liquidity Provider to purchase the tendered TOB Floaters.","page_number":96,"box":{"x":68,"y":604,"width":434,"height":11}},{"id":"b1969915-ead4-4979-a735-3c392dc1e847","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":96,"box":{"x":101,"y":627,"width":772,"height":11}},{"id":"dcef68c2-0f3d-483d-bed3-74b5622e786f","block_type":"box","text":"payment under the liquidity facility, the Liquidity Provider will typically liquidate all or a por tion of the Municipal Bonds","page_number":96,"box":{"x":70,"y":642,"width":831,"height":11}},{"id":"5d4d8358-5d5f-4f62-a718-18ef852cc1dd","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":96,"box":{"x":69,"y":657,"width":785,"height":11}},{"id":"f38a9a21-16a1-413c-8052-74e62684b268","block_type":"box","text":"liquidation proceeds (the “Liquidation Shor tfall”). If a Fund invests in a TOB Trust on a recourse basis, it will typically","page_number":96,"box":{"x":70,"y":672,"width":831,"height":11}},{"id":"218f6936-8adc-447f-8a6e-4c028527e67f","block_type":"box","text":"enter into a reimbursement agreement with the Liquidity Provider pursuant to which the Fund is required to reimburse","page_number":96,"box":{"x":69,"y":687,"width":836,"height":11}},{"id":"ec2fff78-d489-476e-94ef-0aa52ce0b753","block_type":"box","text":"the Liquidity Provider the amount of any Liquidation Shor tfall. As a result, if the Fund invests in a recourse TOB Trust,","page_number":96,"box":{"x":68,"y":702,"width":836,"height":11}},{"id":"37c1603c-df7a-4e5d-844d-088bd8b4d868","block_type":"box","text":"the Fund will bear the risk of loss with respect to any Liquidation Shor tfall. If multiple BlackRock-advised funds","page_number":96,"box":{"x":68,"y":717,"width":788,"height":12}},{"id":"1ff0054b-bc31-487c-a27e-328104affc70","block_type":"box","text":"par ticipate in any such TOB Trust, these losses will be shared ratably, in propor tion to their par ticipation in the TOB","page_number":96,"box":{"x":70,"y":733,"width":823,"height":11}},{"id":"a21c8e85-f6d6-44f2-a122-192834992e47","block_type":"box","text":"Trust.","page_number":96,"box":{"x":68,"y":748,"width":39,"height":9}},{"id":"27fcdb01-2122-420d-b5cb-ad6133b56e64","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":96,"box":{"x":102,"y":770,"width":784,"height":12}},{"id":"e79ffcf9-61ec-4a0e-8e95-57cec5638530","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":96,"box":{"x":70,"y":785,"width":830,"height":12}},{"id":"57fce4fe-1a8e-4543-9161-1f7ce0cb64e1","block_type":"box","text":"are presented as liabilities in the Fund’s Statement of Assets and Liabilities. Interest income from the underlying","page_number":96,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"e4fec52a-325d-4f71-b02e-935facf4e1e3","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":96,"box":{"x":70,"y":816,"width":831,"height":11}},{"id":"c1216640-71f5-4d1d-ae7b-9ff0483136d2","block_type":"box","text":"expenses related to remarketing, administration, trustee and other services to a TOB Trust are repor ted as expenses","page_number":96,"box":{"x":69,"y":831,"width":837,"height":11}},{"id":"81ff8a69-63da-441d-a8fa-e8c386cf4d47","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":96,"box":{"x":69,"y":846,"width":832,"height":11}},{"id":"5734839b-75d0-42f4-af13-fbb4f5d04c1d","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":96,"box":{"x":70,"y":861,"width":728,"height":9}},{"id":"5a6ec581-8814-4a99-b372-ca1dd7000fe0","block_type":"box","text":"For TOB Floaters, generally, the interest rate earned will be based upon the market rates for Municipal Bonds","page_number":96,"box":{"x":102,"y":884,"width":776,"height":11}},{"id":"0fb8f513-aeec-4817-a0ba-ea5491829ef4","block_type":"box","text":"with maturities or remarketing provisions that are comparable in duration to the periodic interval of the tender option.","page_number":96,"box":{"x":68,"y":899,"width":837,"height":11}},{"id":"78ef0041-6204-41df-8210-609d12894705","block_type":"box","text":"II-59","page_number":96,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ebf76253-4a81-40a9-b96f-a14e0c652cee","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":96,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"79576b5c-7c3b-46d2-a5da-b31c550c8fc7","block_type":"box","text":"Since the tender option feature has a shor ter term than the final maturity or first call date of the underlying Municipal","page_number":97,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"ed74f747-ace3-48a6-898d-7bf17d84f778","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":97,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"126980b6-8737-4182-8591-5009f0e1d35c","block_type":"box","text":"financial institution furnishing the liquidity facility as well as the credit strength of that institution. The risk associated","page_number":97,"box":{"x":68,"y":75,"width":836,"height":11}},{"id":"edb23d1d-095f-4c1f-98b1-b7881301020a","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":97,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"467d74ff-2d89-4914-9e56-4b238461cce6","block_type":"box","text":"the credit ratings, and thus the perceived reliability and creditwor thiness, of many major financial institutions, some","page_number":97,"box":{"x":68,"y":105,"width":827,"height":11}},{"id":"e6313131-1647-49ee-bb50-c175da3aa8bb","block_type":"box","text":"of which sponsor and/or provide liquidity suppor t to TOB Trusts. This in turn may reduce the desirability of TOB","page_number":97,"box":{"x":69,"y":120,"width":790,"height":11}},{"id":"a033aa72-ac71-47a6-ab52-2574526cde19","block_type":"box","text":"Floaters as investments, which could impair the viability or availability of TOB Trusts.","page_number":97,"box":{"x":70,"y":135,"width":599,"height":11}},{"id":"456689cb-d8cd-425e-960f-6bd435dcac49","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into TOB Trust transactions, reverse","page_number":97,"box":{"x":102,"y":158,"width":762,"height":11}},{"id":"127c7818-46f2-478c-a4a0-e1922bcfbfe4","block_type":"box","text":"repurchase agreements and similar financing transactions (e.g., borrowed bonds) notwithstanding the limitation on","page_number":97,"box":{"x":69,"y":173,"width":818,"height":11}},{"id":"f79d5745-d632-4ff2-a38b-fc21c93f4c7c","block_type":"box","text":"the issuance of senior securities in Section 18 of the Investment Company Act, provided that the Fund either","page_number":97,"box":{"x":68,"y":188,"width":778,"height":11}},{"id":"9f9d3ce9-71e1-4f9a-9e48-6472317fa59d","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":97,"box":{"x":69,"y":203,"width":811,"height":12}},{"id":"9deedb8b-20d5-4e9c-98a7-3a9a492d670c","block_type":"box","text":"aggregate, or (ii) treats such transactions as Derivatives Transactions under Rule 18f-4. See “—Derivatives —","page_number":97,"box":{"x":69,"y":218,"width":786,"height":12}},{"id":"46468fcb-cf91-42f9-b4cf-b36becd18635","block_type":"box","text":"Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":97,"box":{"x":70,"y":234,"width":588,"height":11}},{"id":"76482ccb-33f2-4fc5-9aaf-a399af4d0b95","block_type":"box","text":"Developments in the TOB Trust Market.","page_number":97,"box":{"x":102,"y":256,"width":279,"height":11}},{"id":"d6e0cdaa-6df6-447a-bd9b-f12259b87483","block_type":"box","text":"In response to the restrictions imposed by section 619 of the Dodd-Frank Wall Street Reform and Consumer","page_number":97,"box":{"x":102,"y":279,"width":771,"height":11}},{"id":"f850b657-e1f3-4776-9411-9caa44d994d9","block_type":"box","text":"Protection Act (the “Volcker Rule”), market par ticipants have developed a structure for TOB Trusts designed to","page_number":97,"box":{"x":69,"y":294,"width":786,"height":11}},{"id":"65d231b5-3875-43af-b71c-079bbcf7e39b","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":97,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"0013ffc9-dfb9-4350-89fb-34b0e62cc676","block_type":"box","text":"establish, structure and “sponsor” the TOB Trusts in which it holds TOB Residuals. In such a structure, cer tain","page_number":97,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"02deb2b6-3400-4b00-876e-aa60fde527c5","block_type":"box","text":"responsibilities that previously belonged to the sponsor bank will be per formed by, or on behalf of, a Fund. A Fund","page_number":97,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"4e864e25-b97d-4172-a272-d0c3d94a8ba9","block_type":"box","text":"may utilize service providers in meeting these responsibilities. It is possible that regulators could take positions that","page_number":97,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"a6535fcf-75fd-4331-be64-d5affb120177","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":97,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"d4c3e55d-a091-49c0-ab40-3abe2fd5ef9e","block_type":"box","text":"this TOB Trust structure, a Fund has cer tain additional duties and responsibilities, which may give rise to cer tain","page_number":97,"box":{"x":68,"y":385,"width":803,"height":11}},{"id":"8a03fbbf-1ddb-49a0-84d2-a925397cc313","block_type":"box","text":"additional risks including, but not limited to, compliance, securities law and operational risks.","page_number":97,"box":{"x":69,"y":400,"width":665,"height":11}},{"id":"22081f91-3d65-4feb-a157-3cb3ab14c599","block_type":"box","text":"Under this structure, service providers to a TOB Trust, such as administrators, liquidity providers, trustees, and","page_number":97,"box":{"x":102,"y":423,"width":793,"height":11}},{"id":"b4f451fe-2b5b-4df7-8b0b-8ebc9b0a9406","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":97,"box":{"x":69,"y":438,"width":783,"height":11}},{"id":"4eb8f97e-b077-4603-837f-3c71a0908e79","block_type":"box","text":"traditional tender option bond structure, a Fund deposits Municipal Bonds into the TOB Trust in exchange for TOB","page_number":97,"box":{"x":68,"y":453,"width":808,"height":11}},{"id":"dc7ca33b-33ea-4778-b7c0-db5a9a462bee","block_type":"box","text":"Residuals, the TOB Trust then issues and sells TOB Floaters to third-par ty investors, and the proceeds of the sale of","page_number":97,"box":{"x":70,"y":468,"width":830,"height":11}},{"id":"e4964e7f-7fe6-4557-a81f-39ce01869201","block_type":"box","text":"the TOB Floaters is distributed to such TOB Residual holders (","page_number":97,"box":{"x":68,"y":483,"width":442,"height":11}},{"id":"8f0ca82a-1cfb-4ef7-a64a-964a8ab1f1d0","block_type":"box","text":"i.e.","page_number":97,"box":{"x":512,"y":483,"width":20,"height":9}},{"id":"6f7c94b0-2a13-4def-b3a2-cff36a710ba9","block_type":"box","text":", the Fund). Tendered TOB Floaters continue to be","page_number":97,"box":{"x":535,"y":483,"width":352,"height":11}},{"id":"ffe7c2c3-d12c-42e0-9d3d-6992d8d88ab2","block_type":"box","text":"suppor ted by a remarketing agent and a liquidity facility. However, the remarketing agent does not purchase tendered","page_number":97,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"fe186a3d-2b46-4a0c-be20-b1e944190b9b","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":97,"box":{"x":68,"y":513,"width":816,"height":12}},{"id":"450291ea-3597-4864-b311-5d73a006f3f6","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":97,"box":{"x":68,"y":528,"width":835,"height":11}},{"id":"cc76c2c3-8f1e-41bd-950c-bf3cabd08ea5","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":97,"box":{"x":69,"y":543,"width":822,"height":12}},{"id":"e936f7fc-f84f-4a86-9da7-0a203b6d1515","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":97,"box":{"x":69,"y":559,"width":777,"height":11}},{"id":"61b92a12-66ef-47f9-8c7c-2597bea1dfe4","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":97,"box":{"x":69,"y":574,"width":800,"height":11}},{"id":"209d5028-954c-4484-b4c4-aaa2dce84e27","block_type":"box","text":"made by a Liquidity Provider will be secured by the purchased TOB Floaters held by the TOB Trust.","page_number":97,"box":{"x":69,"y":589,"width":696,"height":11}},{"id":"1a5fe781-a94d-43f0-aa65-3a5cc3ea878a","block_type":"box","text":"Similar to the traditional structure for TOB Trusts, a Fund may hold either non-recourse TOB Residuals or","page_number":97,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"6312b25c-bfd2-4ba4-b313-e8906f47ba05","block_type":"box","text":"recourse TOB Residuals under this structure. In the event of a Liquidation Shor tfall, there would generally be no","page_number":97,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"de05e9e7-7761-4ac8-94a6-63d7227ec5c7","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":97,"box":{"x":69,"y":642,"width":803,"height":10}},{"id":"4052e373-019a-4adc-adcf-90dad8519c4f","block_type":"box","text":"above, a Fund would bear the risk of loss with respect to any Liquidation Shor tfall if it holds a recourse TOB Residual.","page_number":97,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"f3f8c47f-2554-4b20-81f7-4262f04b9f32","block_type":"box","text":"The SEC and various federal banking and housing agencies adopted credit risk retention rules for securitizations","page_number":97,"box":{"x":101,"y":680,"width":801,"height":11}},{"id":"71eea0bd-dcc7-4d51-a456-2441df42d664","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":97,"box":{"x":69,"y":695,"width":838,"height":11}},{"id":"39a338fb-2bec-40db-8158-3541e8057368","block_type":"box","text":"TOB Trust to retain at least 5% of the credit risk of the underlying assets suppor ting the TOB Trust’s Municipal","page_number":97,"box":{"x":68,"y":710,"width":787,"height":11}},{"id":"7f0f3740-a7cf-451b-8cd5-f9cd1d28aa27","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":97,"box":{"x":70,"y":725,"width":791,"height":11}},{"id":"dd6eb74a-23a7-46f9-bb84-ac1e9f375d5a","block_type":"box","text":"increase the costs of such transactions in cer tain circumstances.","page_number":97,"box":{"x":70,"y":740,"width":466,"height":9}},{"id":"9e88424b-979b-4571-aeb0-b0529b14fb3d","block_type":"box","text":"TOB Trust transactions constitute an impor tant component of the municipal bond market. Accordingly,","page_number":97,"box":{"x":101,"y":763,"width":726,"height":11}},{"id":"f12796c5-1b5e-4735-8294-542023eb454b","block_type":"box","text":"implementation of the Volcker Rule may adversely impact the municipal market, including through reduced demand","page_number":97,"box":{"x":70,"y":778,"width":816,"height":11}},{"id":"cabe395f-7ac1-4cd0-ac33-6021d0ee05e3","block_type":"box","text":"for and liquidity of municipal bonds and increased financing costs for municipal issuers. Any such developments","page_number":97,"box":{"x":68,"y":793,"width":799,"height":11}},{"id":"dcc60aca-176a-40a6-bf75-23647985ddb3","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":97,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"ef856938-c87e-49f6-a75a-aac700cf8cc2","block_type":"box","text":"market is not yet cer tain.","page_number":97,"box":{"x":69,"y":823,"width":178,"height":11}},{"id":"3c4ce6cd-6659-4fd4-a3a9-8c96319d7429","block_type":"box","text":"Yields.","page_number":97,"box":{"x":103,"y":846,"width":45,"height":9}},{"id":"12b6c16e-6e82-4697-b1fd-ff9aba4d7021","block_type":"box","text":"Yields on Municipal Bonds are dependent on a variety of factors, including the general condition of the","page_number":97,"box":{"x":154,"y":846,"width":730,"height":11}},{"id":"97945a0f-9458-47ba-b755-d0afa3838b70","block_type":"box","text":"money market and of the municipal bond market, the size of a par ticular offering, the financial condition of the","page_number":97,"box":{"x":69,"y":861,"width":788,"height":11}},{"id":"5dc34fb1-a78e-4d89-9ad8-742907d20739","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":97,"box":{"x":70,"y":876,"width":787,"height":11}},{"id":"e8a9843b-5ed6-4a5d-8ef7-b780ae6aba3f","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":97,"box":{"x":69,"y":891,"width":838,"height":12}},{"id":"2e07da47-a336-4879-a4cc-456c5b95868f","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":97,"box":{"x":68,"y":906,"width":794,"height":12}},{"id":"583bfe62-545f-4bcc-bf6c-ada66c59efd0","block_type":"box","text":"II-60","page_number":97,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"381ceb4a-fe01-4b9f-9c3d-f43b3efe066e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":97,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"20c83621-a0f8-4601-a672-1a12fe067d58","block_type":"box","text":"holding Municipal Bonds, both within a par ticular classification and between classifications, depending on numerous","page_number":98,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"e9cf5a1d-4b7f-4d02-aa48-d00f7cfd65a0","block_type":"box","text":"factors. Fur thermore, the rights of owners of Municipal Bonds and the obligations of the issuer of such Municipal","page_number":98,"box":{"x":68,"y":60,"width":806,"height":11}},{"id":"abdaf083-3ba8-463e-ba58-a91af6374633","block_type":"box","text":"Bonds may be subject to applicable bankruptcy, insolvency and similar laws and cour t decisions affecting the rights","page_number":98,"box":{"x":70,"y":75,"width":823,"height":11}},{"id":"0aa39ca7-6b3b-4a8e-a59e-a80f19b4ab9c","block_type":"box","text":"of creditors generally and to general equitable principles, which may limit the enforcement of cer tain remedies.","page_number":98,"box":{"x":69,"y":90,"width":790,"height":11}},{"id":"59115d17-5d45-460a-983b-d74ec58accfa","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”).","page_number":98,"box":{"x":103,"y":113,"width":323,"height":11}},{"id":"3dc94e78-d22e-411a-905e-dbc4c0ffcd43","block_type":"box","text":"VRDOs are tax-exempt obligations that contain a floating or","page_number":98,"box":{"x":432,"y":113,"width":422,"height":11}},{"id":"b0c1c4c8-4153-4661-9e1a-0e87908f57ac","block_type":"box","text":"variable interest rate adjustment formula and a right of demand on the par t of the holder thereof to receive payment","page_number":98,"box":{"x":68,"y":128,"width":830,"height":11}},{"id":"d01f98df-3bb9-41d2-b2a1-125717aa35a0","block_type":"box","text":"of the unpaid principal balance plus accrued interest upon a shor t notice period not to exceed seven days.","page_number":98,"box":{"x":69,"y":143,"width":759,"height":11}},{"id":"7beecc09-147d-499b-932f-9e7d3266eaa7","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":98,"box":{"x":101,"y":166,"width":798,"height":11}},{"id":"38b04858-3cbd-43b4-8747-18a79f1c6c04","block_type":"box","text":"The interest rates are adjustable at periodic intervals to some prevailing market rate for similar investments, such","page_number":98,"box":{"x":68,"y":181,"width":815,"height":11}},{"id":"4c169b05-ce4b-4980-8c60-8a5991bbd744","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":98,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"f4b22def-b931-4147-a37f-37af010e974a","block_type":"box","text":"VRDOs on the adjustment date. The adjustments typically are based upon the Securities Industry and Financial","page_number":98,"box":{"x":68,"y":211,"width":791,"height":11}},{"id":"dc7fdaee-c8ef-42ed-9cdd-e6a01de6b0d6","block_type":"box","text":"Markets Association (“SIFMA”) Index.","page_number":98,"box":{"x":70,"y":226,"width":264,"height":11}},{"id":"2042b18b-13a8-464d-87e2-93b484db7319","block_type":"box","text":"Because of the interest rate adjustment formula on VRDOs, VRDOs are not comparable to fixed rate securities.","page_number":98,"box":{"x":102,"y":249,"width":791,"height":11}},{"id":"0e65a738-9a75-4210-b679-e55faf7dd683","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":98,"box":{"x":70,"y":264,"width":833,"height":11}},{"id":"dc06c4b0-9233-4df5-ac35-3556ea43d3c0","block_type":"box","text":"oppor tunity for capital appreciation. During periods of rising interest rates, however, a Fund’s yield on a VRDO will","page_number":98,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"391ff04d-ea57-49b0-8b08-7ed8e5199d5a","block_type":"box","text":"increase and the Fund’s shareholders will have a reduced risk of capital depreciation.","page_number":98,"box":{"x":70,"y":294,"width":608,"height":11}},{"id":"1b47a81e-1fcc-4dc0-9c80-865e2e1b8e1a","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes.","page_number":98,"box":{"x":103,"y":317,"width":465,"height":11}},{"id":"6de155bc-ab44-47de-b17b-64f915ae2cca","block_type":"box","text":"The Municipal Funds and cer tain other funds","page_number":98,"box":{"x":574,"y":317,"width":318,"height":11}},{"id":"7b0d8c41-70f3-4053-9d4a-902d9abe5a02","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":98,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"4ab7a7e1-ef2e-42d2-93d9-dd964403aa4e","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":98,"box":{"x":68,"y":347,"width":825,"height":11}},{"id":"16e721bc-503c-4ff6-be54-8e1505dd1f37","block_type":"box","text":"term, actively traded tax-exempt municipal revenue and general obligation bonds. Each bond included in the Municipal","page_number":98,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"401d3f4f-9ab3-4bfc-8de7-b19743af533d","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":98,"box":{"x":70,"y":377,"width":815,"height":12}},{"id":"e9986f37-675a-425e-a948-e80e0c9876d6","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":98,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"323184e0-cc9a-4f61-bca7-530fb1bc7ad0","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":98,"box":{"x":69,"y":407,"width":796,"height":12}},{"id":"f8f7ec10-9df8-41e6-b517-72a9ba85c598","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":98,"box":{"x":68,"y":423,"width":816,"height":11}},{"id":"947834e3-6d84-4b20-a2b3-555195d8b5a4","block_type":"box","text":"The Municipal Bond Index futures contract is traded only on the CBT. Like other contract markets, the CBT","page_number":98,"box":{"x":101,"y":445,"width":756,"height":11}},{"id":"e121af93-3336-4954-add0-0f424b8e04fa","block_type":"box","text":"assures per formance under futures contracts through a clearing corporation, a nonprofit organization managed by the","page_number":98,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"02318719-18a5-4ca2-b0bf-0cedb7c87b18","block_type":"box","text":"exchange membership that is also responsible for handling daily accounting of deposits or withdrawals of margin.","page_number":98,"box":{"x":69,"y":475,"width":808,"height":12}},{"id":"85ccf893-0a9c-4d86-9bc1-0463814b65b1","block_type":"box","text":"The par ticular municipal bonds comprising the index underlying the Municipal Bond Index financial futures","page_number":98,"box":{"x":101,"y":498,"width":753,"height":11}},{"id":"6df146e5-1809-47ec-a88f-4ca6a45ba84c","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":98,"box":{"x":69,"y":513,"width":764,"height":12}},{"id":"81d84665-e1e0-4463-9c14-38662fea2d0f","block_type":"box","text":"effectively all or a por tion of the value of its Municipal Bonds through the use of such financial futures contracts will","page_number":98,"box":{"x":69,"y":528,"width":826,"height":12}},{"id":"d5d2d60a-d576-475e-a221-8ce3eb0669b5","block_type":"box","text":"depend in par t on the degree to which price movements in the index underlying the financial futures contract","page_number":98,"box":{"x":69,"y":543,"width":774,"height":12}},{"id":"a8ddf52e-9464-4f06-b0b0-238a5dd60b4d","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":98,"box":{"x":69,"y":559,"width":801,"height":11}},{"id":"1133095a-73d4-4622-be56-c4470d89a254","block_type":"box","text":"disparities in the average maturity, ratings, geographical mix or structure of a Municipal Fund’s investments as","page_number":98,"box":{"x":69,"y":574,"width":788,"height":11}},{"id":"61f936bf-e56b-495f-b445-96e6d5f1f7bf","block_type":"box","text":"compared to those comprising the Municipal Bond Index and general economic or political factors. In addition, the","page_number":98,"box":{"x":69,"y":589,"width":812,"height":11}},{"id":"27eecf4c-bcff-4e2b-aaed-f2b8d5c4075e","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":98,"box":{"x":69,"y":604,"width":799,"height":11}},{"id":"8a399cad-8216-4871-8788-fb9f97a93024","block_type":"box","text":"additions to and deletions from the Municipal Bond Index alter its structure. The correlation between futures","page_number":98,"box":{"x":69,"y":619,"width":772,"height":11}},{"id":"a75f1bac-b8d9-4b4d-848b-885e5938dce4","block_type":"box","text":"contracts on U.S. Government Securities and the Municipal Bonds held by a Municipal Fund may be adversely","page_number":98,"box":{"x":69,"y":634,"width":782,"height":11}},{"id":"65478cdf-d94e-40c8-9467-d15bb807cf21","block_type":"box","text":"affected by similar factors and the risk of imper fect correlation between movements in the prices of such futures","page_number":98,"box":{"x":69,"y":649,"width":806,"height":12}},{"id":"518ef604-3b0c-4394-b351-b40b84290173","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":98,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"aacf7e0e-ef0f-4b75-91f3-76d9068a5564","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":98,"box":{"x":69,"y":680,"width":837,"height":11}},{"id":"fb1c1411-7142-41bb-aff4-793b1f2bf153","block_type":"box","text":"in other futures contracts. The trading of futures contracts also is subject to cer tain market risks, such as inadequate","page_number":98,"box":{"x":70,"y":695,"width":839,"height":11}},{"id":"9d160ee6-7dee-4245-af2c-3d2e1c621ffc","block_type":"box","text":"trading activity, which could at times make it difficult or impossible to liquidate existing positions.","page_number":98,"box":{"x":68,"y":710,"width":693,"height":11}},{"id":"d2c7523a-a3d1-48bc-b06e-420aa6837c18","block_type":"box","text":"Call Rights.","page_number":98,"box":{"x":102,"y":733,"width":79,"height":11}},{"id":"64d41154-bb75-4761-b6dd-94e8649033a8","block_type":"box","text":"A Fund may purchase a Municipal Bond issuer’s right to call all or a por tion of such Municipal Bond","page_number":98,"box":{"x":187,"y":732,"width":708,"height":12}},{"id":"a7066636-e5bd-4fbc-aa25-09598a9d6cd1","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":98,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"d48c78fb-4d38-4219-874c-1cbccb6fcbf0","block_type":"box","text":"mandatory tender for the purchase of related Municipal Bonds, subject to cer tain conditions. A Call Right that is not","page_number":98,"box":{"x":69,"y":763,"width":827,"height":11}},{"id":"51815a3b-01c3-4c88-aa49-df23beef7d0b","block_type":"box","text":"exercised prior to maturity of the related Municipal Bond will expire without value. The economic effect of holding","page_number":98,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"ddf4b824-8a53-4e4a-8e20-efbb5f70a69c","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":98,"box":{"x":69,"y":793,"width":833,"height":11}},{"id":"b2a1aa89-2c7f-4205-9704-f18c461eaeb0","block_type":"box","text":"Cer tain investments in such obligations may be illiquid.","page_number":98,"box":{"x":69,"y":808,"width":393,"height":11}},{"id":"b0f510cf-08ba-4ae0-9322-79a8091042a5","block_type":"box","text":"Municipal Interest Rate Swap Transactions.","page_number":98,"box":{"x":102,"y":831,"width":307,"height":11}},{"id":"a67204d2-633b-42fa-abcf-0dc88cfa6e5d","block_type":"box","text":"In order to hedge the value of a Fund against interest rate","page_number":98,"box":{"x":417,"y":831,"width":411,"height":11}},{"id":"86f7d6e6-18a3-409d-9e87-28b0ab6e51ca","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":98,"box":{"x":68,"y":846,"width":835,"height":11}},{"id":"a3befd06-bf0c-4485-b506-3000a7ccbed0","block_type":"box","text":"Market Data AAA Cash Curve swaps (“MMD Swaps”) or Securities Industry and Financial Markets Association","page_number":98,"box":{"x":70,"y":861,"width":781,"height":11}},{"id":"6a5bda60-40ca-4eb4-8f3d-b3605976f1ff","block_type":"box","text":"Municipal Swap Index swaps (“SIFMA Swaps”). To the extent that a Fund enters into these transactions, the Fund","page_number":98,"box":{"x":70,"y":876,"width":808,"height":11}},{"id":"55947ef8-f776-48d0-b472-385c11ac935d","block_type":"box","text":"expects to do so primarily to preserve a return or spread on a par ticular investment or por tion of its por tfolio or to","page_number":98,"box":{"x":69,"y":891,"width":814,"height":11}},{"id":"a3ae13a4-d372-4987-9d6b-e62ceb6c1892","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":98,"box":{"x":70,"y":906,"width":832,"height":12}},{"id":"7d77feec-34dc-4852-8d1c-23d11762e3ef","block_type":"box","text":"II-61","page_number":98,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5dfbc181-56a9-4cb8-b4db-881a2da7742a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":98,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"89cc409d-5edf-4269-a2aa-a785cdae35c3","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":99,"box":{"x":68,"y":45,"width":817,"height":11}},{"id":"ab9eb2e7-22a3-48ee-b492-d80572ebeb0f","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":99,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"00ef12a0-b52b-42ea-8b98-5f168bbb8b44","block_type":"box","text":"during periods of steep interest rate yield curves (","page_number":99,"box":{"x":69,"y":75,"width":356,"height":11}},{"id":"4895e1f2-9c9a-4fce-9442-d545074c92e8","block_type":"box","text":"i.e.","page_number":99,"box":{"x":427,"y":75,"width":20,"height":9}},{"id":"387f665c-de35-4b94-8667-5901e00f7f8e","block_type":"box","text":", wide differences between shor t-term and long-term interest","page_number":99,"box":{"x":449,"y":75,"width":433,"height":11}},{"id":"f3d3d81d-6b77-49da-9b64-6af0623289e3","block_type":"box","text":"rates).","page_number":99,"box":{"x":69,"y":90,"width":44,"height":11}},{"id":"7f76f600-1a01-4dd1-b057-73d11680334c","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":99,"box":{"x":101,"y":113,"width":807,"height":11}},{"id":"f58b0197-bde6-4b2d-b280-3aa004848f7b","block_type":"box","text":"another par ty their respective commitments to pay or receive interest (","page_number":99,"box":{"x":69,"y":128,"width":503,"height":11}},{"id":"f73471d8-969b-4f70-8ad0-b73f0e5dfbfd","block_type":"box","text":"e.g.","page_number":99,"box":{"x":574,"y":129,"width":25,"height":10}},{"id":"a8ab9e29-fe95-4822-8186-36e9c0778494","block_type":"box","text":", an exchange of fixed rate payments for","page_number":99,"box":{"x":601,"y":128,"width":286,"height":11}},{"id":"2139e94d-c024-4066-b934-550091b3841d","block_type":"box","text":"floating rate payments linked to the SIFMA Municipal Swap Index). Because the underlying index is a tax-exempt","page_number":99,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"9c884ee7-2ec2-412a-8fd9-4ef55aabe5ba","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":99,"box":{"x":70,"y":158,"width":778,"height":11}},{"id":"e9327f61-3451-4950-a032-59ab78c32b7b","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":99,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"61a9008e-e2ba-4a3a-b6c0-7806b8314299","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":99,"box":{"x":69,"y":188,"width":823,"height":11}},{"id":"cf482471-4a9c-498b-99cc-4bde2db5db4e","block_type":"box","text":"with the same attributes as the swap (","page_number":99,"box":{"x":68,"y":204,"width":275,"height":10}},{"id":"b2a2fcd6-57b2-43b0-b917-12ea5944e046","block_type":"box","text":"e.g.","page_number":99,"box":{"x":345,"y":205,"width":24,"height":10}},{"id":"d5d1c640-378e-4271-8f5c-0cd3cf943aab","block_type":"box","text":", coupon, maturity, call feature).","page_number":99,"box":{"x":372,"y":203,"width":224,"height":12}},{"id":"9d5c3981-ff2d-42a5-835c-8972ebc9f40c","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":99,"box":{"x":101,"y":226,"width":797,"height":11}},{"id":"775c9df4-95a8-4338-94ad-2411a9016ee0","block_type":"box","text":"to lock in a specified municipal interest rate for a por tion of its por tfolio to preserve a return on a par ticular","page_number":99,"box":{"x":68,"y":241,"width":770,"height":11}},{"id":"aa500f38-f2b7-441e-b95c-54d535003bb7","block_type":"box","text":"investment or a por tion of its por tfolio as a duration management technique or to protect against any increase in the","page_number":99,"box":{"x":70,"y":256,"width":832,"height":12}},{"id":"223a3d43-c612-4c59-98b0-71e1b28a46a6","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":99,"box":{"x":70,"y":271,"width":805,"height":12}},{"id":"e7bf523b-dae9-49e8-8fda-5e85c9396514","block_type":"box","text":"shor t position, allowing the Fund to select the most attractive par t of the yield curve. An MMD Swap is a contract","page_number":99,"box":{"x":69,"y":286,"width":808,"height":12}},{"id":"ff6626f5-7429-449d-be70-56634e0c4536","block_type":"box","text":"between a Fund and an MMD Swap provider pursuant to which the par ties agree to make payments to each other on","page_number":99,"box":{"x":69,"y":302,"width":832,"height":11}},{"id":"f5b4f629-39cb-4420-81f7-6ffc86a18133","block_type":"box","text":"a notional amount, contingent upon whether the Municipal Market Data AAA General Obligation Scale is above or","page_number":99,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"ac46d52c-689d-4324-8566-d98f740fdf8a","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":99,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"6a7bf87d-6b19-435d-a95a-6ccd543fe7c7","block_type":"box","text":"Municipal Market Data AAA General Obligation Scale is below the specified level on the expiration date, the","page_number":99,"box":{"x":70,"y":347,"width":763,"height":11}},{"id":"b7e76dc5-157f-45b9-ac94-5e89fc4f44a3","block_type":"box","text":"counterpar ty to the contract will make a payment to the Fund equal to the specified level minus the actual level,","page_number":99,"box":{"x":69,"y":362,"width":797,"height":11}},{"id":"1395d461-ff9c-48ef-b511-45c0d25d2c3f","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":99,"box":{"x":69,"y":377,"width":836,"height":12}},{"id":"b2bcc753-31cb-499a-a3a5-9769b3a3f617","block_type":"box","text":"the specified level on the expiration date, a Fund will make a payment to the counterpar ty equal to the actual level","page_number":99,"box":{"x":68,"y":392,"width":816,"height":12}},{"id":"2919a60a-12a9-4e84-a217-9c48c6c2e18b","block_type":"box","text":"minus the specified level, multiplied by the notional amount of the contract.","page_number":99,"box":{"x":69,"y":407,"width":537,"height":12}},{"id":"87c20b9e-c13b-408c-af4a-293e61046ea9","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":99,"box":{"x":102,"y":430,"width":788,"height":11}},{"id":"65170a10-f7dc-4633-9c06-acd19c966383","block_type":"box","text":"opposite direction than anticipated by a Fund, which would cause the Fund to make payments to its counterpar ty in","page_number":99,"box":{"x":69,"y":446,"width":821,"height":10}},{"id":"28c5aa05-6961-43a5-be09-ece5634d67eb","block_type":"box","text":"the transaction that could adversely affect the Fund’s per formance.","page_number":99,"box":{"x":68,"y":460,"width":482,"height":12}},{"id":"306cf5a0-50cd-4170-ac75-7c0208d3fd26","block_type":"box","text":"Insured Municipal Bonds.","page_number":99,"box":{"x":102,"y":483,"width":179,"height":11}},{"id":"b61bb503-6e0d-42d1-85b9-629b0a3618cc","block_type":"box","text":"Bonds purchased by a Fund may be covered by insurance that guarantees that interest","page_number":99,"box":{"x":288,"y":483,"width":619,"height":11}},{"id":"0d47d15b-5cd9-45f8-ab9b-ab07042833a8","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":99,"box":{"x":70,"y":498,"width":835,"height":11}},{"id":"b5742cce-3b95-4cf3-a391-f5a19777302e","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":99,"box":{"x":69,"y":513,"width":840,"height":12}},{"id":"60c9cdf6-9431-40bf-b755-7ee43cf89f2f","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":99,"box":{"x":69,"y":528,"width":818,"height":12}},{"id":"790f8d67-3345-4ab2-862b-09b46d05e7b1","block_type":"box","text":"shareholders against losses caused by declines in a bond’s market value. Also, the Fund cannot be cer tain that any","page_number":99,"box":{"x":69,"y":544,"width":829,"height":11}},{"id":"fc78dad8-36cf-464d-b30b-70b804a1f9e7","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":99,"box":{"x":70,"y":559,"width":827,"height":11}},{"id":"0f06ee63-d198-4330-9bf6-44819c8bc044","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":99,"box":{"x":70,"y":574,"width":815,"height":11}},{"id":"97faa8e2-3756-40e7-b73c-f8b018e32098","block_type":"box","text":"ability, financial strength, or equivalent ratings of at least investment grade. However, if insurance from insurers with","page_number":99,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"035eb49a-ca83-4ceb-8f9a-b8d4efeb0033","block_type":"box","text":"these ratings is not available, the Fund may use insurance companies with lower ratings or stop purchasing","page_number":99,"box":{"x":68,"y":604,"width":767,"height":11}},{"id":"d7336c5e-684e-4613-b7ea-f9b2caac54e8","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":99,"box":{"x":70,"y":619,"width":827,"height":11}},{"id":"9d17feb3-a4c4-4a52-888f-588ef94a7b10","block_type":"box","text":"bond could drop.","page_number":99,"box":{"x":69,"y":634,"width":118,"height":11}},{"id":"66d54a46-1a99-453a-b353-4b01947c0ac7","block_type":"box","text":"Build America Bonds.","page_number":99,"box":{"x":102,"y":657,"width":150,"height":9}},{"id":"960de76f-28a0-446b-85b6-49664a92ecb4","block_type":"box","text":"If a Fund holds Build America Bonds, the Fund may be eligible to receive a U.S. federal","page_number":99,"box":{"x":259,"y":657,"width":616,"height":11}},{"id":"290bacf1-459a-4dc0-b86d-51a0548042dd","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":99,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"56e0e4bb-28cc-45b9-8590-7fedf284418c","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":99,"box":{"x":68,"y":687,"width":824,"height":11}},{"id":"4278cd2f-7f8a-4425-bdb1-e5448597c46b","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":99,"box":{"x":70,"y":702,"width":833,"height":11}},{"id":"451bf114-24ce-43ed-a42b-31f758d07635","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":99,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"96881436-92d4-4e1a-9ad5-0536e715733d","block_type":"box","text":"minimum distribution requirement, the Fund may elect for U.S. federal income tax purposes to pass through to","page_number":99,"box":{"x":69,"y":732,"width":788,"height":12}},{"id":"ffcdd215-fa48-43bf-b74b-ab7d18edfff2","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":99,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"df300074-0ba7-49e3-ad20-73af73b8f6d5","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":99,"box":{"x":70,"y":763,"width":825,"height":11}},{"id":"c6f4897a-1d82-4aa2-b655-f8f23cd2afdc","block_type":"box","text":"clean renewable energy bond, a qualified energy conservation bond, or a qualified zone academy bond, each of which","page_number":99,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"5f867c1f-a78e-4f7d-8972-37492ab28eb9","block_type":"box","text":"must meet cer tain requirements specified in the Code), a “Build America Bond” (which includes cer tain qualified","page_number":99,"box":{"x":69,"y":793,"width":802,"height":11}},{"id":"f8200238-b228-46dc-a33f-8cf37f32c2f1","block_type":"box","text":"bonds issued before January 1, 2011) or cer tain other specified bonds. If the Fund were to so elect, a shareholder","page_number":99,"box":{"x":69,"y":808,"width":821,"height":11}},{"id":"3b867d4c-d9b1-4a0c-b6ee-63f8be3c8b56","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":99,"box":{"x":68,"y":823,"width":760,"height":11}},{"id":"f0002353-fa52-4dea-a81d-bc6d249d5e60","block_type":"box","text":"propor tionate share of such credits, and such amount would be subject to withholding provisions of the Code.","page_number":99,"box":{"x":70,"y":838,"width":782,"height":12}},{"id":"b1dc41cc-5cfe-4f7d-98be-b2de0ffad8c0","block_type":"box","text":"Cer tain limitations may apply on the extent to which the credit may be claimed.","page_number":99,"box":{"x":69,"y":854,"width":563,"height":11}},{"id":"e479f4c6-882e-4748-bd6e-5e51cc6627e5","block_type":"box","text":"Tax-Exempt Municipal Investments.","page_number":99,"box":{"x":103,"y":876,"width":246,"height":11}},{"id":"a31e0934-9c08-4d7e-a5d8-0b3e3200954d","block_type":"box","text":"Cer tain Funds may hold tax-exempt municipal investments which may be in","page_number":99,"box":{"x":355,"y":876,"width":534,"height":11}},{"id":"5ce02b52-d542-475e-9c29-bba97495b245","block_type":"box","text":"the form of tender option bonds, variable rate demand obligations, par ticipations, beneficial interests in a trust,","page_number":99,"box":{"x":68,"y":891,"width":798,"height":12}},{"id":"f9e0b0db-cc46-4433-8e67-06a5dc883846","block_type":"box","text":"par tnership interests or other forms. These investments are described in greater detail above in this section. Some","page_number":99,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"429066e6-93c4-4312-90e9-0ef18571ee58","block_type":"box","text":"II-62","page_number":99,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4685fe00-626d-4996-987a-f63ad2d96db2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":99,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a5d718e0-c8e4-4a67-8a08-0ee16d949190","block_type":"box","text":"of the structures used by cer tain Funds include interests in long-term fixed-rate municipal debt obligations, held by a","page_number":100,"box":{"x":69,"y":45,"width":830,"height":11}},{"id":"b5bd11b7-94df-4373-a500-402906ac572b","block_type":"box","text":"trustee or custodian, that are coupled with tender option, demand and other features when the tax-exempt municipal","page_number":100,"box":{"x":68,"y":60,"width":832,"height":11}},{"id":"2bf5af2b-43e7-4331-9a4b-ac7786850f9d","block_type":"box","text":"investments are created. Together, these features entitle the holder of the interest to tender (or put) the underlying","page_number":100,"box":{"x":70,"y":75,"width":819,"height":11}},{"id":"aa30e1ce-52f6-4ee0-a6d1-58676e0a540b","block_type":"box","text":"municipal debt obligation to a third par ty at periodic intervals and to receive the principal amount thereof.","page_number":100,"box":{"x":69,"y":90,"width":752,"height":11}},{"id":"b034d609-535f-4ac0-9459-29e703b6f160","block_type":"box","text":"In some cases, municipal debt obligations are represented by custodial receipts evidencing rights to receive","page_number":100,"box":{"x":102,"y":113,"width":770,"height":11}},{"id":"95d4fe95-7322-4a13-b045-9b99f429f8b5","block_type":"box","text":"specific future interest payments, principal payments, or both, on the underlying securities held by the custodian.","page_number":100,"box":{"x":69,"y":128,"width":806,"height":11}},{"id":"342f5c6c-2b15-4d35-b60c-9f6be52a9c49","block_type":"box","text":"Under such arrangements, the holder of the custodial receipt has the option to tender the underlying securities at","page_number":100,"box":{"x":70,"y":143,"width":809,"height":11}},{"id":"9996f11a-05d5-44e2-bff0-800f80327004","block_type":"box","text":"their face value to the sponsor (","page_number":100,"box":{"x":68,"y":158,"width":228,"height":11}},{"id":"57ab4045-498f-456e-a1f6-465640fd4b33","block_type":"box","text":"e.g.","page_number":100,"box":{"x":297,"y":160,"width":25,"height":9}},{"id":"6bdc51c0-a9f1-4cda-892a-5d0337389b72","block_type":"box","text":", a Fund, or a bank or broker-dealer or other financial institution), which is paid","page_number":100,"box":{"x":325,"y":158,"width":557,"height":11}},{"id":"cdc1467e-c0f9-43c1-a6ad-f8677d9e6f01","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":100,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"87fe999c-284d-4e76-9c24-6f5c7eeed1ab","block_type":"box","text":"securities, coupled with the tender option, to trade at par on the date of a rate adjustment.","page_number":100,"box":{"x":69,"y":188,"width":648,"height":11}},{"id":"1c1b692e-3f0b-4ae9-ae55-56d376c4b7b1","block_type":"box","text":"A par ticipation interest gives the Fund an undivided interest in a Municipal Bond in the propor tion the Fund’s","page_number":100,"box":{"x":101,"y":211,"width":775,"height":11}},{"id":"77771e89-a6dd-4ee1-b07c-7c5b9fdb1c60","block_type":"box","text":"par ticipation bears to the total principal amount of the Municipal Bond, and typically provides for a repurchase","page_number":100,"box":{"x":70,"y":226,"width":785,"height":11}},{"id":"cea48fe3-9986-47ae-8695-37eac148eeb8","block_type":"box","text":"feature for all or any par t of the full principal amount of the par ticipation interest, plus accrued interest. Trusts and","page_number":100,"box":{"x":68,"y":241,"width":821,"height":11}},{"id":"5bcc1e5f-ad33-418b-be7c-402ccc7d1dc1","block_type":"box","text":"par tnerships are typically used to conver t long-term fixed rate high quality bonds of a single state or municipal issuer","page_number":100,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"10905685-90e6-4b65-97f5-80a8233adeb6","block_type":"box","text":"into variable or floating rate demand instruments.","page_number":100,"box":{"x":70,"y":271,"width":351,"height":12}},{"id":"8adead73-2154-4e66-988e-16aaf5ae4691","block_type":"box","text":"The Municipal Bond Funds may hold par ticipation interests and custodial receipts for municipal debt obligations","page_number":100,"box":{"x":101,"y":294,"width":797,"height":11}},{"id":"783c286b-a39d-48d7-b36a-02de2c5c050b","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":100,"box":{"x":68,"y":309,"width":836,"height":11}},{"id":"38a39c4d-bdb7-46e9-a29b-b5b42625d0bd","block_type":"box","text":"not ruled on whether the interest received on tax-exempt municipal investments in the form of par ticipation interests","page_number":100,"box":{"x":69,"y":324,"width":831,"height":11}},{"id":"4fc063fd-1e4a-47fb-baea-ff4f48fb38ca","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":100,"box":{"x":69,"y":339,"width":809,"height":12}},{"id":"d1493576-3e2c-4a9d-9874-4aff49528589","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":100,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"9db90712-e2aa-4046-b4c0-eb0730839de9","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":100,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"f2b913d3-5a8c-4ef1-a152-68a236a599c1","block_type":"box","text":"such opinions.","page_number":100,"box":{"x":69,"y":385,"width":102,"height":11}},{"id":"11a39419-9acc-4632-be0f-29860c10ceed","block_type":"box","text":"Operational and Technology Risks.","page_number":100,"box":{"x":102,"y":408,"width":250,"height":11}},{"id":"402bb6ad-805d-4bdf-8835-6eb33782e464","block_type":"box","text":"The Fund and the entities with which it interacts directly or indirectly are","page_number":100,"box":{"x":358,"y":408,"width":512,"height":11}},{"id":"80f83ab8-d566-4239-b354-0f1c0ec54471","block_type":"box","text":"susceptible to operational and technology risks, including those related to human errors, processing errors,","page_number":100,"box":{"x":69,"y":423,"width":766,"height":11}},{"id":"62100051-da78-4cff-a8a4-b07940e81a69","block_type":"box","text":"communication errors, systems failures, cybersecurity incidents, and the use of ar tificial intelligence and machine","page_number":100,"box":{"x":69,"y":438,"width":812,"height":11}},{"id":"cbf15858-1b5f-4831-ad56-0d18d7fa229e","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":100,"box":{"x":70,"y":453,"width":820,"height":11}},{"id":"2c1e82c3-bc6c-41c5-a03e-c7f95b1db611","block_type":"box","text":"entities include, but are not limited to, the Fund’s adviser, administrator, distributor, other service providers (e.g.,","page_number":100,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"f0ba66c7-415a-42f3-a712-aceb05325f63","block_type":"box","text":"index and benchmark providers, accountants, custodians, and transfer agents), financial intermediaries,","page_number":100,"box":{"x":70,"y":483,"width":741,"height":11}},{"id":"70cad8a1-ed88-4417-b0cd-57342a66eb9d","block_type":"box","text":"counterpar ties, market makers, Authorized Par ticipants, listing exchanges, other financial market operators, and","page_number":100,"box":{"x":69,"y":498,"width":802,"height":11}},{"id":"79b83306-111b-46de-b0dd-4a442fcae55a","block_type":"box","text":"governmental authorities, as applicable. Operational and technology risks for the issuers in which the Fund invests","page_number":100,"box":{"x":68,"y":513,"width":818,"height":12}},{"id":"6566311f-c42a-47ff-86d7-ef8c90b34dae","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":100,"box":{"x":69,"y":528,"width":827,"height":12}},{"id":"df18de7b-44c9-4e67-bc0f-832fea67d6e1","block_type":"box","text":"issuers to lose value. The Fund may incur substantial costs in order to mitigate operational and technology risks.","page_number":100,"box":{"x":70,"y":544,"width":803,"height":11}},{"id":"4764fb6d-2fe5-4585-b8a3-f2945ed5ce2b","block_type":"box","text":"Cybersecurity incidents can result from deliberate attacks or unintentional events against an issuer in which the","page_number":100,"box":{"x":102,"y":566,"width":796,"height":11}},{"id":"e3242706-4533-4c51-8fa8-1cdbe1ebc734","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":100,"box":{"x":70,"y":581,"width":790,"height":12}},{"id":"030ce150-6571-4946-9cb0-f6d1243e8323","block_type":"box","text":"access to systems, misappropriating assets or sensitive information, corrupting or destroying data, and causing","page_number":100,"box":{"x":69,"y":596,"width":800,"height":12}},{"id":"133634a0-bbd5-438d-87cd-17931367b343","block_type":"box","text":"operational disruption. Geopolitical tension may increase the scale and sophistication of deliberate attacks,","page_number":100,"box":{"x":69,"y":612,"width":768,"height":11}},{"id":"a18821b4-2645-4f66-b54d-a1030e30d44a","block_type":"box","text":"par ticularly those from nation states or from entities with nation state backing. Cybersecurity incidents may result in","page_number":100,"box":{"x":70,"y":627,"width":827,"height":11}},{"id":"1d1f069f-dd16-4b99-99f0-a4696f502200","block_type":"box","text":"any of the following: financial losses; inter ference with the Fund’s ability to calculate its NAV; disclosure of","page_number":100,"box":{"x":69,"y":642,"width":760,"height":11}},{"id":"c3b3a7b6-ee0f-4238-8ae3-7169421254a0","block_type":"box","text":"confidential information; impediments to trading; submission of erroneous trades by the Fund or erroneous","page_number":100,"box":{"x":69,"y":657,"width":763,"height":11}},{"id":"5b873216-47c8-4b74-b40c-685dcab4c3f5","block_type":"box","text":"subscription or redemption orders; the inability of the Fund or its service providers to transact business; violations of","page_number":100,"box":{"x":69,"y":672,"width":835,"height":11}},{"id":"abe22458-c546-45ed-b3f9-11212ad9f07f","block_type":"box","text":"applicable privacy and other laws; regulatory fines; penalties; reputational damage; reimbursement or other","page_number":100,"box":{"x":69,"y":687,"width":766,"height":11}},{"id":"6470f1d2-bb7d-4ff3-85c5-7c29e993e039","block_type":"box","text":"compensation costs; and other legal and compliance expenses. Fur thermore, cybersecurity incidents may render","page_number":100,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"c70151e0-266d-400c-b53e-9142235d634c","block_type":"box","text":"records of the Fund, including records relating to its assets and transactions, shareholder ownership of Fund shares,","page_number":100,"box":{"x":69,"y":717,"width":833,"height":12}},{"id":"b40a4321-64a6-4620-8aaf-c28a80cdf8fb","block_type":"box","text":"and other data integral to the Fund’s functioning, inaccessible, inaccurate or incomplete. Power outages, natural","page_number":100,"box":{"x":69,"y":732,"width":800,"height":12}},{"id":"f0d5b91c-c2cb-4bd7-9b12-2fd670aac1cd","block_type":"box","text":"disasters, equipment malfunctions and processing errors that threaten information and technology systems relied","page_number":100,"box":{"x":69,"y":748,"width":812,"height":11}},{"id":"f0c9ec1f-f049-49e8-b82e-47f34a949367","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":100,"box":{"x":69,"y":763,"width":777,"height":11}},{"id":"d24a950a-365d-402d-a39e-f06b6a236e17","block_type":"box","text":"systems, may also disrupt business operations or impact critical data. Recent advances in AI technology pose risks","page_number":100,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"c07928c2-e148-48d5-a406-726b8ec749ae","block_type":"box","text":"to the Fund and its por tfolio investments. These advancements could harm the Fund and its por tfolio investments by","page_number":100,"box":{"x":68,"y":793,"width":836,"height":11}},{"id":"267e0cad-f8b0-4604-8d9e-f7899a211980","block_type":"box","text":"reducing the demand for both the technology and software offerings of the Fund’s por tfolio investments. Additionally,","page_number":100,"box":{"x":69,"y":808,"width":833,"height":11}},{"id":"a9395e96-9d56-48d8-ab0f-24b5014745a5","block_type":"box","text":"these advancements could significantly disrupt the Fund’s por tfolio investments and subject them to increased","page_number":100,"box":{"x":68,"y":823,"width":793,"height":12}},{"id":"f28616ef-8ed1-4319-8f08-85c728546fee","block_type":"box","text":"competition, which could have a material adverse effect on business, financial condition, and results of operations.","page_number":100,"box":{"x":69,"y":838,"width":822,"height":11}},{"id":"4c7e308c-63de-43eb-90ae-e4bd0385deee","block_type":"box","text":"AI technology advancements, including efficiency improvements, without related increases in the adoption and","page_number":100,"box":{"x":68,"y":853,"width":787,"height":12}},{"id":"f7e6fd18-1a6f-45fa-8648-aa502b8124b7","block_type":"box","text":"development of such technologies, could also negatively impact demand for, and the valuation of, digital","page_number":100,"box":{"x":69,"y":869,"width":742,"height":11}},{"id":"0f356170-e926-4162-b115-35783c33ad36","block_type":"box","text":"infrastructure assets.","page_number":100,"box":{"x":70,"y":884,"width":151,"height":9}},{"id":"7ccf6557-68c7-43b4-9d6c-9e68bcdb16db","block_type":"box","text":"II-63","page_number":100,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b25f8cfd-7492-43c1-898a-669a89065257","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":100,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"51e9fbe8-92af-4940-8c9a-5c4a587d1815","block_type":"box","text":"The Fund and its por tfolio investments could be exposed to the risks of AI technology if third-par ty service","page_number":101,"box":{"x":101,"y":45,"width":755,"height":11}},{"id":"98b8ab4a-38d7-4283-8dc1-d61e97231c9b","block_type":"box","text":"providers or any counterpar ties, whether or not known to the Fund, also use AI technology in their business activities.","page_number":101,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"9f026802-3206-4da3-981b-35fa89efcdfa","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-par ty products","page_number":101,"box":{"x":68,"y":75,"width":833,"height":11}},{"id":"a8861e29-4f66-4e82-bc8d-639447468a2c","block_type":"box","text":"or services.","page_number":101,"box":{"x":69,"y":90,"width":82,"height":9}},{"id":"056f8da1-e44b-46f9-8477-0cc3b260a4ed","block_type":"box","text":"Use of AI technology could include the input of confidential information in contravention of applicable policies,","page_number":101,"box":{"x":102,"y":113,"width":781,"height":11}},{"id":"5ccf8999-eb7d-437e-8722-ed1d3e714d5f","block_type":"box","text":"contractual or other obligations or restrictions, resulting in such confidential information becoming accessible by","page_number":101,"box":{"x":69,"y":128,"width":801,"height":11}},{"id":"88299e44-efd4-4669-8a99-bcc5946ccef8","block_type":"box","text":"other third-par ty AI technology applications and users.","page_number":101,"box":{"x":69,"y":143,"width":383,"height":11}},{"id":"5c683809-442f-4f3b-b548-e21134a5cf3b","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":101,"box":{"x":102,"y":166,"width":795,"height":11}},{"id":"d0da2e42-efef-46eb-affb-dad90789cb0e","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":101,"box":{"x":69,"y":181,"width":813,"height":11}},{"id":"acef85cf-413a-445e-a4ae-d0faec780215","block_type":"box","text":"relevant data into the models that AI technology utilizes to operate. Cer tain data in such models will inevitably","page_number":101,"box":{"x":69,"y":196,"width":785,"height":11}},{"id":"1dede7ad-d869-4fd1-9ddd-e97aba47d4be","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":101,"box":{"x":69,"y":211,"width":782,"height":11}},{"id":"dc2dbefd-b173-44ce-8dcf-c3ee37168450","block_type":"box","text":"degrade the effectiveness of AI technology. The output or results of any such AI technologies may therefore be","page_number":101,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"91836129-c532-4609-9294-70dfa6ee67bb","block_type":"box","text":"incomplete, erroneous, distor ted, or misleading. Fur ther, AI tools may lack transparency as to how data is utilized","page_number":101,"box":{"x":70,"y":241,"width":809,"height":11}},{"id":"abc82a66-9f67-4e53-a11c-772eef1101ac","block_type":"box","text":"and how outputs are generated. AI technologies may also allow the unintended introduction of vulnerabilities into","page_number":101,"box":{"x":69,"y":256,"width":805,"height":12}},{"id":"173ca73e-9b6b-48ee-b4ac-c6a47f0f1f2c","block_type":"box","text":"infrastructures and applications. To the extent that the Fund or its por tfolio investments are exposed to the risks of","page_number":101,"box":{"x":70,"y":271,"width":822,"height":11}},{"id":"1425548e-0bf2-482a-a307-dc0a4b45c879","block_type":"box","text":"AI technology use, any such inaccuracies or errors could have adverse impacts on the Fund or its investments.","page_number":101,"box":{"x":68,"y":287,"width":789,"height":11}},{"id":"c6f2c6e7-f56a-4468-b2eb-215b3e7287fe","block_type":"box","text":"Regulations related to AI technology could also impose cer tain obligations and costs related to monitoring and","page_number":101,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"a0719cf2-6c97-4ac7-a270-0f0e5d7e37aa","block_type":"box","text":"compliance. For example, in April 2023, the Federal Trade Commission, U.S. Depar tment of Justice, Consumer","page_number":101,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"32af1e07-ffb0-46d1-8ca6-a7a6fef969b5","block_type":"box","text":"Financial Protection Bureau, and U.S. Equal Employment Oppor tunity Commission released a joint statement on","page_number":101,"box":{"x":70,"y":340,"width":796,"height":11}},{"id":"c63782b1-676a-4a82-884b-4089e04c0368","block_type":"box","text":"ar tificial intelligence demonstrating interest in monitoring the development and use of automated systems and","page_number":101,"box":{"x":69,"y":355,"width":788,"height":11}},{"id":"c29e869b-2bea-4e7c-b29a-4c5304f03383","block_type":"box","text":"enforcement of their respective laws and regulations. In October 2023, an executive order established new standards","page_number":101,"box":{"x":69,"y":370,"width":839,"height":11}},{"id":"2f87d2a1-8d19-473c-a282-6ed45b8baf00","block_type":"box","text":"for AI safety and security. In addition to the U.S. regulatory framework, in 2024, the EU adopted the Ar tificial","page_number":101,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"c9db5bdf-8f21-42f8-b3c4-fd8011aafbca","block_type":"box","text":"Intelligence Act, which applies to cer tain AI technology and the data used to train, test, and deploy them, which may","page_number":101,"box":{"x":70,"y":400,"width":826,"height":11}},{"id":"2c79c08c-7374-4813-8a2d-922a66e91a87","block_type":"box","text":"create additional compliance burdens, higher administrative costs, and significant penalties should the Fund, the","page_number":101,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"403ec3ba-900a-4a6d-ae99-2bff772ded08","block_type":"box","text":"adviser, or the Fund’s por tfolio investments fail to comply.","page_number":101,"box":{"x":69,"y":430,"width":412,"height":11}},{"id":"6869f645-25c2-4458-ac59-cd4f9e5f985c","block_type":"box","text":"AI technology and its applications, including in the investment and financial sectors, continue to develop rapidly,","page_number":101,"box":{"x":101,"y":453,"width":797,"height":11}},{"id":"6eed7786-6299-4c5b-9c86-b8548d63cfee","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":101,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"d6cafad9-8fce-4e21-8b4a-fbbf94cb5094","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":101,"box":{"x":68,"y":483,"width":824,"height":11}},{"id":"b85dca89-5e47-48f2-b81a-420d0f76e178","block_type":"box","text":"or remediate all of the potential risks, challenges, or impacts of such changes.","page_number":101,"box":{"x":69,"y":498,"width":561,"height":11}},{"id":"79f11b59-d7e5-46f9-9558-f306eb14c1ce","block_type":"box","text":"While the Fund’s service providers are required to have appropriate operational, information security and","page_number":101,"box":{"x":101,"y":521,"width":747,"height":11}},{"id":"1b4bf60f-5d86-4857-b487-3756cf6b3b33","block_type":"box","text":"cybersecurity risk management policies and procedures, their methods of risk management may differ from those of","page_number":101,"box":{"x":69,"y":536,"width":830,"height":11}},{"id":"e9a0dd76-1832-4ad3-8fef-688bb570ccb1","block_type":"box","text":"the Fund in the setting of priorities, the personnel and resources available or the effectiveness of relevant controls.","page_number":101,"box":{"x":68,"y":551,"width":823,"height":11}},{"id":"a5523348-ad77-4b64-8ed5-90bab0744f7b","block_type":"box","text":"The Fund and its adviser seek to reduce these risks through controls, procedures and oversight, including","page_number":101,"box":{"x":68,"y":566,"width":755,"height":11}},{"id":"fdee97b0-31e7-4b46-941e-270301fedfb3","block_type":"box","text":"establishing business continuity plans and risk management systems. However, there are inherent limitations in such","page_number":101,"box":{"x":69,"y":582,"width":838,"height":11}},{"id":"a054c5b7-f75f-4bc9-9b12-5c9c51c7efef","block_type":"box","text":"plans and systems, including the possibility that cer tain risks that may affect the Fund have not been identified or","page_number":101,"box":{"x":70,"y":596,"width":812,"height":12}},{"id":"3869c233-dba6-4db5-9ce5-8a1b685bd0ca","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":101,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"215d51fb-4d06-4709-a45d-d54ba29f61d5","block_type":"box","text":"effects of operational or information security disruptions or failures or of cybersecurity incidents; or that prevention","page_number":101,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"0d700d54-1655-4efe-98d7-77003dfa57ad","block_type":"box","text":"and remediation effor ts will not be successful or that incidents will go undetected. The Fund cannot control the","page_number":101,"box":{"x":69,"y":642,"width":792,"height":11}},{"id":"7e2b759f-db93-4b6e-97f3-5e77e8fe8fed","block_type":"box","text":"systems, information security or other cybersecurity of the issuers in which it invests or its service providers,","page_number":101,"box":{"x":69,"y":657,"width":775,"height":11}},{"id":"0b12622d-dd96-46a6-a2f0-023ac2eb5106","block_type":"box","text":"counterpar ties, and other third par ties whose activities affect the Fund.","page_number":101,"box":{"x":69,"y":672,"width":510,"height":11}},{"id":"10441792-500c-4ee6-8e44-682e73b926e2","block_type":"box","text":"Lastly, the regulatory climate governing cybersecurity and data protection is developing quickly and may vary","page_number":101,"box":{"x":102,"y":695,"width":771,"height":11}},{"id":"55573001-2aa8-453c-b7d4-41cd1ac3c9fc","block_type":"box","text":"considerably across jurisdictions. Regulators continue to develop new rules and standards related to cybersecurity","page_number":101,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"d3d7f3c3-c5ac-428e-a0a9-20b92b42926b","block_type":"box","text":"and data protection. Compliance with evolving regulations can be demanding and costly, requiring substantial","page_number":101,"box":{"x":69,"y":725,"width":778,"height":11}},{"id":"ac52b2f6-8864-4cf7-9cff-60d83ae1cb36","block_type":"box","text":"resources to monitor and implement required changes.","page_number":101,"box":{"x":69,"y":740,"width":391,"height":11}},{"id":"df4bfa81-da61-4b77-81d7-2f97b35ab255","block_type":"box","text":"Participation Notes.","page_number":101,"box":{"x":102,"y":763,"width":145,"height":11}},{"id":"c4662242-1569-4ac8-a8e3-42281b68e292","block_type":"box","text":"A Fund may buy par ticipation notes from a bank or broker-dealer (“issuer”) that entitle the","page_number":101,"box":{"x":253,"y":763,"width":641,"height":11}},{"id":"625be4c6-a2fd-4698-877a-c5fac0e01c69","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":101,"box":{"x":70,"y":778,"width":766,"height":11}},{"id":"03cda820-a6ac-453d-b119-75d87ebd17a9","block_type":"box","text":"(collectively, the “underlying security”). Par ticipation notes are typically used when a direct investment in the","page_number":101,"box":{"x":69,"y":793,"width":772,"height":11}},{"id":"a9a1c728-7d1a-4c2a-b097-3371f6a56303","block_type":"box","text":"underlying security is restricted due to country-specific regulations.","page_number":101,"box":{"x":69,"y":808,"width":475,"height":11}},{"id":"b6473021-9ae3-4935-9fc7-68e1956729ce","block_type":"box","text":"The Fund is subject to counterpar ty risk associated with each issuer. Investment in a par ticipation note is not","page_number":101,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"a429ad95-b9c8-4e16-bd22-4c7bf9e8f9c1","block_type":"box","text":"the same as investment in the constituent shares of the company. A par ticipation note represents only an obligation","page_number":101,"box":{"x":68,"y":846,"width":831,"height":11}},{"id":"ddbdd9c6-dcf6-4276-b5d4-9daf26143b41","block_type":"box","text":"of the issuer to provide the Fund the economic per formance equivalent to holding shares of an underlying security. A","page_number":101,"box":{"x":69,"y":861,"width":831,"height":11}},{"id":"9805b466-de9f-4fab-9a6b-9b54d0bfe615","block_type":"box","text":"par ticipation note does not provide any beneficial or equitable entitlement or interest in the relevant underlying","page_number":101,"box":{"x":70,"y":876,"width":789,"height":11}},{"id":"e802cc10-b2f7-4f4b-9700-cbaa693a4322","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":101,"box":{"x":69,"y":891,"width":791,"height":12}},{"id":"b0aa347c-fd32-4b27-903d-4b427216ae6c","block_type":"box","text":"par ticipation note synthetically replicates the economic benefit of holding shares in the underlying security. Because","page_number":101,"box":{"x":70,"y":906,"width":827,"height":12}},{"id":"156570ad-ae4c-44de-ad6b-ba1cc0a5e42c","block_type":"box","text":"II-64","page_number":101,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3c93bb5f-d611-474c-b900-0ab412808627","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":101,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9ea8ce3c-864b-4920-ad45-4bd81b419702","block_type":"box","text":"a par ticipation note is an obligation of the issuer, rather than a direct investment in shares of the underlying security,","page_number":102,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"0c84f2ae-50e2-4612-8afe-ff9f2cea7a0b","block_type":"box","text":"a Fund may suffer losses potentially equal to the full value of the par ticipation note if the issuer fails to per form its","page_number":102,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"39a78468-f82f-4216-a941-2204b887dd37","block_type":"box","text":"obligations. A Fund attempts to mitigate that risk by purchasing only from issuers determined to be creditwor thy.","page_number":102,"box":{"x":69,"y":75,"width":801,"height":11}},{"id":"871746b2-d7d7-48d7-92df-96666d48f4fd","block_type":"box","text":"The counterpar ty may, but is not required to, purchase the shares of the underlying security to hedge its","page_number":102,"box":{"x":101,"y":98,"width":743,"height":11}},{"id":"7df38e75-69a8-4098-985c-88f650bb54db","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":102,"box":{"x":69,"y":113,"width":826,"height":11}},{"id":"5f4ce476-4f8f-4d86-8399-006a35548a00","block_type":"box","text":"par ticipation note expires or a Fund exercises the par ticipation note and closes its position, the Fund receives a","page_number":102,"box":{"x":70,"y":128,"width":799,"height":11}},{"id":"3c6ed0b1-4a2d-4333-8afb-2f801c5efcc2","block_type":"box","text":"payment that is based upon the then-current value of the underlying security conver ted into U.S. dollars (less","page_number":102,"box":{"x":70,"y":143,"width":776,"height":11}},{"id":"fd9da60e-41a5-44fa-9e2e-1fc82d445bd3","block_type":"box","text":"transaction costs). The price, per formance and liquidity of a par ticipation note are all linked directly to the underlying","page_number":102,"box":{"x":68,"y":158,"width":834,"height":11}},{"id":"b823d8cd-f4b4-49ba-9b07-3d465f293649","block_type":"box","text":"security. A Fund’s ability to redeem or exercise a par ticipation note generally is dependent on the liquidity in the local","page_number":102,"box":{"x":69,"y":173,"width":834,"height":11}},{"id":"d498fe57-ee6b-4f91-88dd-57ad2466c1f9","block_type":"box","text":"trading market for the security underlying the par ticipation note.","page_number":102,"box":{"x":68,"y":188,"width":454,"height":12}},{"id":"cc22463a-67af-4c94-8b0d-7b1d45a79d5b","block_type":"box","text":"Portfolio Turnover Rates.","page_number":102,"box":{"x":102,"y":211,"width":181,"height":9}},{"id":"5ff94c9d-38f4-4527-b7ee-6aa3b144ea4d","block_type":"box","text":"A Fund’s annual por tfolio turnover rate will not be a factor preventing a sale or","page_number":102,"box":{"x":289,"y":211,"width":558,"height":11}},{"id":"487ab893-6ad8-4539-a230-79f480f26858","block_type":"box","text":"purchase when the Manager believes investment considerations warrant such sale or purchase. Although cer tain","page_number":102,"box":{"x":70,"y":226,"width":804,"height":11}},{"id":"29345b30-8442-4c13-b7db-a3ae4de216c6","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":102,"box":{"x":70,"y":241,"width":806,"height":11}},{"id":"7e09f6c7-2e26-4570-8199-eab29266a6ea","block_type":"box","text":"substantial number of por tfolio transactions. With respect to these Funds, the rate of por tfolio turnover will be a","page_number":102,"box":{"x":69,"y":256,"width":800,"height":11}},{"id":"3accf6df-071a-4080-b6f3-34d9cee410c2","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":102,"box":{"x":70,"y":271,"width":818,"height":12}},{"id":"863e72b7-7f93-4ce6-9823-583c4b6e9f5b","block_type":"box","text":"the Manager will consider the impact of transaction costs on a Fund’s tracking error. Por tfolio turnover may vary","page_number":102,"box":{"x":68,"y":286,"width":800,"height":12}},{"id":"342852ad-fdd7-49b4-b812-ea0fbb9360bc","block_type":"box","text":"greatly from year to year as well as within a par ticular year. High por tfolio turnover (","page_number":102,"box":{"x":68,"y":302,"width":595,"height":11}},{"id":"d79fa7f2-3d4a-4123-ab44-c261b904153f","block_type":"box","text":"i.e.","page_number":102,"box":{"x":665,"y":302,"width":20,"height":9}},{"id":"b9145c9c-be83-4aa0-a5db-7cf58e5baaa1","block_type":"box","text":", 100% or more) may result in","page_number":102,"box":{"x":687,"y":302,"width":210,"height":11}},{"id":"8fbb053e-e0a6-45b1-9c60-19cf48c63eba","block_type":"box","text":"increased transaction costs to a Fund, including brokerage commissions, dealer mark-ups and other transaction","page_number":102,"box":{"x":70,"y":317,"width":797,"height":11}},{"id":"a61b78b4-24ea-46d5-b994-fe1f10056f1d","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":102,"box":{"x":69,"y":332,"width":832,"height":11}},{"id":"c81ed9de-033e-4c2c-8299-ee3a6b2a5be7","block_type":"box","text":"the recognition of capital gain or loss. Given the frequency of sales, such gain or loss will likely be shor t-term capital","page_number":102,"box":{"x":68,"y":347,"width":831,"height":11}},{"id":"50edea75-4128-432f-a659-f6a45a2b4361","block_type":"box","text":"gain or loss. These effects of higher than normal por tfolio turnover may adversely affect a Fund’s per formance.","page_number":102,"box":{"x":68,"y":362,"width":795,"height":11}},{"id":"77872c0c-efac-4d2d-91ce-1d25013ab3b5","block_type":"box","text":"Preferred Stock.","page_number":102,"box":{"x":102,"y":385,"width":118,"height":9}},{"id":"962c5810-9125-4387-b3f1-237e3da35371","block_type":"box","text":"Cer tain Funds may invest in preferred stocks. Preferred stock has a preference over common","page_number":102,"box":{"x":226,"y":385,"width":665,"height":11}},{"id":"05c3bd46-79f2-477e-84b9-4e8036ee64e1","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":102,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"7f6c0051-59a8-4bad-80c0-5b1cb55a941e","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":102,"box":{"x":69,"y":415,"width":834,"height":11}},{"id":"dd7efde8-9916-40af-b77f-5cde74542b18","block_type":"box","text":"varies inversely with interest rates and perceived credit risk, while the market price of conver tible preferred stock","page_number":102,"box":{"x":68,"y":430,"width":808,"height":11}},{"id":"d1c3cf25-3956-49ac-b139-965b27294414","block_type":"box","text":"generally also reflects some element of conversion value. Because preferred stock is junior to debt securities and","page_number":102,"box":{"x":68,"y":445,"width":813,"height":12}},{"id":"7acdbca1-36ec-42ff-8584-35698f1d2b1a","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":102,"box":{"x":69,"y":460,"width":831,"height":12}},{"id":"102bbcf1-a704-4405-a019-281988ed1c98","block_type":"box","text":"of a preferred stock than in a more senior debt security with similar stated yield characteristics. Unlike interest","page_number":102,"box":{"x":69,"y":475,"width":791,"height":12}},{"id":"39988cd7-8bea-4fa2-8380-a1af3f853806","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":102,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"4d5c1e0c-64ad-45bc-8b06-3d4a8fcbdf8e","block_type":"box","text":"Preferred stock also may be subject to optional or mandatory redemption provisions.","page_number":102,"box":{"x":69,"y":506,"width":604,"height":11}},{"id":"d185609b-c917-4aa6-becd-2eeaa6d15c0a","block_type":"box","text":"Tax-Exempt Preferred Shares.","page_number":102,"box":{"x":103,"y":528,"width":207,"height":11}},{"id":"25ba832e-47be-491d-b5a5-f35d56d5f7c3","block_type":"box","text":"Cer tain Funds may invest in preferred interests of other investment funds that pay","page_number":102,"box":{"x":316,"y":528,"width":588,"height":12}},{"id":"e35b1a7d-9aaa-4c9b-937f-277e5c76d4be","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":102,"box":{"x":69,"y":543,"width":806,"height":12}},{"id":"103a40b3-805d-41ea-935d-3a9d9dd4f854","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":102,"box":{"x":69,"y":559,"width":814,"height":11}},{"id":"7d45f59a-8e4f-42a8-9459-45a7f4be9411","block_type":"box","text":"revenue bonds issued by state or local agencies to fund the development of low-income, multi-family housing.","page_number":102,"box":{"x":69,"y":574,"width":780,"height":11}},{"id":"01d21a6a-77c1-4555-b25c-b148978a93d4","block_type":"box","text":"Investment in such tax-exempt preferred shares involves many of the same issues as investing in other investment","page_number":102,"box":{"x":70,"y":589,"width":820,"height":11}},{"id":"3b052913-799f-4826-8ae8-e72872bd3bbf","block_type":"box","text":"companies. These investments also have additional risks, including illiquid investments risk, the absence of","page_number":102,"box":{"x":69,"y":604,"width":772,"height":11}},{"id":"2f698815-30d1-4982-a56e-f4d3facadde9","block_type":"box","text":"regulation governing investment practices, capital structure and leverage, affiliated transactions and other matters,","page_number":102,"box":{"x":69,"y":619,"width":821,"height":11}},{"id":"a7e91f02-b2f8-4025-984a-c80141afc14c","block_type":"box","text":"and concentration of investments in par ticular issuers or industries. The Municipal Bond Funds will treat investments","page_number":102,"box":{"x":69,"y":634,"width":834,"height":11}},{"id":"4d843325-c033-4b77-8e06-d8ec8b658cc3","block_type":"box","text":"in tax-exempt preferred shares as investments in municipal bonds.","page_number":102,"box":{"x":70,"y":649,"width":474,"height":11}},{"id":"d778053a-c95e-4ee3-b111-c58bbeca4a6e","block_type":"box","text":"Trust Preferred Securities.","page_number":102,"box":{"x":103,"y":672,"width":184,"height":9}},{"id":"eee30121-cf7c-4769-ac5c-35769a0b44ab","block_type":"box","text":"Cer tain Funds may invest in trust preferred securities. Trust preferred securities are","page_number":102,"box":{"x":294,"y":672,"width":599,"height":11}},{"id":"d0d35006-1f8e-45e0-93a1-74d35515be6d","block_type":"box","text":"typically issued by corporations, generally in the form of interest bearing notes with preferred securities","page_number":102,"box":{"x":68,"y":687,"width":737,"height":11}},{"id":"f00e0e5d-c321-4b40-9152-98dcfe1a6983","block_type":"box","text":"characteristics, or by an affiliated business trust of a corporation, generally in the form of beneficial interests in","page_number":102,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"1260cef4-a6e0-4677-ace9-38fb774978c4","block_type":"box","text":"subordinated debentures or similarly structured securities. The trust preferred securities market consists of both","page_number":102,"box":{"x":69,"y":717,"width":805,"height":12}},{"id":"2969fdc8-913c-456a-a1bc-b04e0fe3ba8b","block_type":"box","text":"fixed and adjustable coupon rate securities that are either perpetual in nature or have stated maturity dates.","page_number":102,"box":{"x":68,"y":732,"width":773,"height":12}},{"id":"0ab21598-ab86-4ed1-a006-e7b8697814ba","block_type":"box","text":"Trust preferred securities are typically junior and fully subordinated liabilities of an issuer and benefit from a","page_number":102,"box":{"x":101,"y":755,"width":770,"height":11}},{"id":"39003f30-4bfa-43ca-b4f5-4450291ba596","block_type":"box","text":"guarantee that is junior and fully subordinated to the other liabilities of the guarantor. In addition, trust preferred","page_number":102,"box":{"x":68,"y":770,"width":801,"height":12}},{"id":"0741fa94-a3f0-4636-afd4-0b97ef3ee44a","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":102,"box":{"x":69,"y":785,"width":830,"height":12}},{"id":"be5800e1-c182-4c4a-9c8a-7796fff9b2bb","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":102,"box":{"x":69,"y":801,"width":822,"height":11}},{"id":"b7c8f3e9-f06f-43b0-b4b2-8cce3027a1bd","block_type":"box","text":"for extended periods of time without default consequences to the issuer, and cer tain other features (such as","page_number":102,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"736bc252-eecb-4643-9c59-13ce410019ae","block_type":"box","text":"restrictions on common dividend payments by the issuer or ultimate guarantor when full cumulative payments on the","page_number":102,"box":{"x":69,"y":831,"width":831,"height":11}},{"id":"95d28513-64c2-4c77-bf01-87ac54e89f57","block_type":"box","text":"trust preferred securities have not been made), these trust preferred securities are often treated as close","page_number":102,"box":{"x":68,"y":846,"width":757,"height":11}},{"id":"f44fedfe-66b2-4c03-b6ca-53933bd2b36a","block_type":"box","text":"substitutes for traditional preferred securities, both by issuers and investors.","page_number":102,"box":{"x":69,"y":861,"width":548,"height":11}},{"id":"75a56990-6270-4491-923c-3e571c8661f7","block_type":"box","text":"Trust preferred securities include but are not limited to trust originated preferred securities (“TOPRS","page_number":102,"box":{"x":101,"y":884,"width":715,"height":11}},{"id":"95bdbb15-7fe7-43fb-a52a-be851bb2880b","block_type":"box","text":"®","page_number":102,"box":{"x":817,"y":884,"width":5,"height":5}},{"id":"63c95345-d39d-45b3-bc58-d564fcc2668e","block_type":"box","text":"”); monthly","page_number":102,"box":{"x":824,"y":884,"width":77,"height":11}},{"id":"fe25ebfd-75fe-4316-825c-87f363a6c2f0","block_type":"box","text":"income preferred securities (“MIPS","page_number":102,"box":{"x":70,"y":899,"width":248,"height":11}},{"id":"eb8df553-304d-4eee-afd0-d1a0a06972c1","block_type":"box","text":"®","page_number":102,"box":{"x":319,"y":899,"width":6,"height":5}},{"id":"de50fc37-08e2-45bb-9c3c-e4dcf3c9ff33","block_type":"box","text":"”); quar terly income bond securities (“QUIBS","page_number":102,"box":{"x":326,"y":899,"width":317,"height":11}},{"id":"5657c15e-f55f-4a33-a733-cc35de74cc1c","block_type":"box","text":"®","page_number":102,"box":{"x":644,"y":899,"width":6,"height":5}},{"id":"9ebe64d8-e781-469e-8239-47efc89127e4","block_type":"box","text":"” ); quar terly income debt securities","page_number":102,"box":{"x":652,"y":899,"width":255,"height":11}},{"id":"47608666-db52-450b-8539-facef4616089","block_type":"box","text":"II-65","page_number":102,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0e617851-3b57-4b9e-8c9c-79d5cc2b0f85","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":102,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8a6c7139-3b41-40e4-bde8-b2a282d791a6","block_type":"box","text":"(“QUIDS","page_number":103,"box":{"x":69,"y":45,"width":57,"height":11}},{"id":"39c1687d-24b1-4947-9957-ef07871aae9e","block_type":"box","text":"®","page_number":103,"box":{"x":127,"y":45,"width":6,"height":4}},{"id":"921648b9-771b-4c4c-ba7a-c23e84a8127b","block_type":"box","text":"”); quar terly income preferred securities (“QUIPS","page_number":103,"box":{"x":135,"y":45,"width":346,"height":11}},{"id":"a38e04b3-e411-4088-af3f-7a49a3591277","block_type":"box","text":"SM","page_number":103,"box":{"x":482,"y":45,"width":11,"height":4}},{"id":"6e5218c3-e9e6-41d7-9f62-c85f8a25f1aa","block_type":"box","text":"”); corporate trust securities (“CORTS","page_number":103,"box":{"x":495,"y":45,"width":267,"height":11}},{"id":"772c3277-a3f4-4162-a230-29e7c2a4e619","block_type":"box","text":"®","page_number":103,"box":{"x":762,"y":45,"width":6,"height":4}},{"id":"4db63ba6-4999-4e12-8e14-98cba7148018","block_type":"box","text":"”); public income","page_number":103,"box":{"x":770,"y":45,"width":118,"height":11}},{"id":"9940e3ab-57f0-4610-92d6-f1a04abc21b9","block_type":"box","text":"notes (“PINES","page_number":103,"box":{"x":69,"y":60,"width":99,"height":11}},{"id":"787b3ca0-1775-4b28-a9d2-74e4e0610f33","block_type":"box","text":"®","page_number":103,"box":{"x":169,"y":60,"width":6,"height":5}},{"id":"e97db505-1f3c-4b36-87de-ccd58b5fd76c","block_type":"box","text":"”); and other trust preferred securities.","page_number":103,"box":{"x":177,"y":60,"width":275,"height":11}},{"id":"9ac400bd-f3cd-4671-b985-03f85d7711a8","block_type":"box","text":"Trust preferred securities are typically issued with a final maturity date, although some are perpetual in nature.","page_number":103,"box":{"x":101,"y":82,"width":790,"height":12}},{"id":"24516ebb-aafb-46e2-a531-a93c8e101199","block_type":"box","text":"In cer tain instances, a final maturity date may be extended and/or the final payment of principal may be deferred at","page_number":103,"box":{"x":70,"y":98,"width":825,"height":11}},{"id":"df60df10-a034-4340-a003-98d39c1810c9","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":103,"box":{"x":68,"y":113,"width":827,"height":11}},{"id":"332fd9ac-58ba-4adf-8ded-1c120744df7f","block_type":"box","text":"payment obligations have been met, although issuers may be able to engage in open-market repurchases without","page_number":103,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"60b18062-02fe-4658-9b68-601208d148b5","block_type":"box","text":"regard to whether all payments have been paid.","page_number":103,"box":{"x":69,"y":143,"width":338,"height":11}},{"id":"13b035cd-f013-4c7e-b806-75b352f9cbfc","block_type":"box","text":"Many trust preferred securities are issued by trusts or other special purpose entities established by operating","page_number":103,"box":{"x":102,"y":166,"width":784,"height":11}},{"id":"60174f7e-51b3-4895-a109-5bc649035830","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":103,"box":{"x":69,"y":181,"width":811,"height":11}},{"id":"c81c8300-9b37-4e80-92c2-fc4c1b05fa69","block_type":"box","text":"sells such preferred securities to investors, it purchases debt of the operating company (with terms comparable to","page_number":103,"box":{"x":69,"y":196,"width":817,"height":11}},{"id":"adc634f0-028f-4143-8386-989c5a349afc","block_type":"box","text":"those of the trust or special purpose entity securities), which enables the operating company to deduct for tax","page_number":103,"box":{"x":68,"y":211,"width":785,"height":11}},{"id":"19f1e1b8-781f-4a0b-b78e-d393003f7efc","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":103,"box":{"x":70,"y":226,"width":830,"height":11}},{"id":"8bda2081-1f21-4037-9280-4c46e2022c41","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":103,"box":{"x":70,"y":241,"width":819,"height":11}},{"id":"b539ab0b-1b8b-45ce-8a3a-a875fe34b5e1","block_type":"box","text":"trust preferred securities are treated as owning beneficial interests in the underlying debt of the operating company.","page_number":103,"box":{"x":68,"y":256,"width":827,"height":12}},{"id":"c11d0c40-224f-429c-b3cd-5f686a4020cd","block_type":"box","text":"Accordingly, payments on the trust preferred securities are treated as interest rather than dividends for U.S. federal","page_number":103,"box":{"x":68,"y":271,"width":824,"height":12}},{"id":"9d334b13-0b15-4431-8cd1-c0ce1cea5d24","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":103,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"90058371-b90b-46f2-8d61-e61eb16785a3","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":103,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"adc79cf5-9b4e-4244-8dd0-d188fe53be8d","block_type":"box","text":"common shareholders, but would typically be subordinated to other classes of the operating company’s debt.","page_number":103,"box":{"x":69,"y":317,"width":778,"height":11}},{"id":"a8b081b8-535c-4e9a-b09e-4b6516ec5524","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":103,"box":{"x":68,"y":332,"width":811,"height":11}},{"id":"875edac7-1389-4892-a6d5-ffcc1ba639a2","block_type":"box","text":"debt securities.","page_number":103,"box":{"x":69,"y":347,"width":109,"height":9}},{"id":"5ce44180-b060-4dd7-b4ee-a392679afb89","block_type":"box","text":"Real Estate Investment Trusts (“REITs”).","page_number":103,"box":{"x":102,"y":370,"width":300,"height":11}},{"id":"7b831e1a-1e4c-4ad8-a3f9-106b9142b3bd","block_type":"box","text":"In pursuing its investment strategy, a Fund may invest in shares of","page_number":103,"box":{"x":409,"y":370,"width":473,"height":11}},{"id":"ef71d7ab-08b8-4237-ac92-2236396188e6","block_type":"box","text":"REITs. REITs possess cer tain risks which differ from an investment in common stocks. REITs are financial vehicles","page_number":103,"box":{"x":70,"y":385,"width":814,"height":11}},{"id":"e61d07ae-5da1-4fe5-9a08-6533f0dcab4c","block_type":"box","text":"that pool investor’s capital to purchase or finance real estate. REITs may concentrate their investments in specific","page_number":103,"box":{"x":68,"y":400,"width":814,"height":11}},{"id":"eeab0245-ee7b-4625-97e1-47711ba1089d","block_type":"box","text":"geographic areas or in specific proper ty types,","page_number":103,"box":{"x":68,"y":415,"width":329,"height":11}},{"id":"b17e1c99-f8b5-4dd5-b5ca-4d5fab40d11e","block_type":"box","text":"i.e.","page_number":103,"box":{"x":405,"y":415,"width":20,"height":9}},{"id":"0768be63-b1e1-477e-9ede-18bdc816c8c3","block_type":"box","text":", hotels, shopping malls, residential complexes and office","page_number":103,"box":{"x":428,"y":415,"width":411,"height":11}},{"id":"e68506bf-aaa4-4f1c-826c-1b380a90989b","block_type":"box","text":"buildings.","page_number":103,"box":{"x":69,"y":430,"width":66,"height":11}},{"id":"d1c33139-fc08-4533-aa50-6654e20b18d8","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":103,"box":{"x":102,"y":453,"width":768,"height":11}},{"id":"b72def61-2a0c-4244-b481-7e2c314eb334","block_type":"box","text":"propor tionate share of the costs of the REITs’ operations. There are three general categories of REITs: Equity REITs,","page_number":103,"box":{"x":70,"y":468,"width":824,"height":11}},{"id":"92e13b27-bf53-4dfe-9a96-6979da5c70a0","block_type":"box","text":"Mor tgage REITs and Hybrid REITs. Equity REITs invest primarily in direct fee ownership or leasehold ownership of real","page_number":103,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"8eef5c41-c06c-4aee-be31-456c6bdce54c","block_type":"box","text":"proper ty, which derive most of their income from rents. Mor tgage REITs invest mostly in mor tgages on real estate,","page_number":103,"box":{"x":70,"y":498,"width":813,"height":11}},{"id":"b6b51d02-8cac-4dff-93d2-6a54ceb079ab","block_type":"box","text":"which may secure construction, development or long-term loans; the main source of their income is mor tgage","page_number":103,"box":{"x":68,"y":513,"width":782,"height":12}},{"id":"05953678-cd3d-4e38-8c76-fc89d8831da0","block_type":"box","text":"interest payments. Hybrid REITs hold both ownership and mor tgage interests in real estate.","page_number":103,"box":{"x":70,"y":529,"width":649,"height":11}},{"id":"b0a97776-887f-4742-8515-060e7a58e273","block_type":"box","text":"Investing in REITs involves cer tain unique risks in addition to those risks associated with investing in the real","page_number":103,"box":{"x":102,"y":551,"width":776,"height":11}},{"id":"590aa6f2-d464-4efa-8bd9-f6452b1f7df7","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":103,"box":{"x":69,"y":566,"width":822,"height":11}},{"id":"533bdb27-730d-4c8a-b24a-e5ce6475c127","block_type":"box","text":"adversely affected by several factors, including rising interest rates, changes in the national, state and local","page_number":103,"box":{"x":69,"y":581,"width":769,"height":12}},{"id":"81b981f6-aad9-40a8-b6c3-d72c188aae2b","block_type":"box","text":"economic climate and real estate conditions, occupancy and rental rates, perceptions of prospective tenants of the","page_number":103,"box":{"x":69,"y":596,"width":822,"height":12}},{"id":"553e1e32-6a81-4a13-b22c-0b2345e262ff","block_type":"box","text":"safety, convenience and attractiveness of the proper ties, the ability of the owners to provide adequate management,","page_number":103,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"de1109e2-26ea-4aa3-9d57-1dd8a6c0a403","block_type":"box","text":"maintenance and insurance, the cost of complying with the Americans with Disabilities Act, increased competition","page_number":103,"box":{"x":69,"y":627,"width":810,"height":11}},{"id":"12aea330-1442-473a-84f2-8922f1539d1e","block_type":"box","text":"from new proper ties, the impact of present or future environmental legislation and compliance with environmental","page_number":103,"box":{"x":68,"y":642,"width":812,"height":11}},{"id":"1a6a61b4-d151-4e60-a1ef-b8575d4f2571","block_type":"box","text":"laws, failing to maintain their exemptions from registration under the Investment Company Act, changes in real estate","page_number":103,"box":{"x":70,"y":657,"width":838,"height":11}},{"id":"937fffec-45de-4b8d-8b82-6c4d579248db","block_type":"box","text":"taxes and other operating expenses, adverse changes in governmental rules and fiscal policies, adverse changes in","page_number":103,"box":{"x":68,"y":672,"width":826,"height":11}},{"id":"6b2e3573-952f-496a-b1fb-5968d282768e","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":103,"box":{"x":69,"y":687,"width":817,"height":11}},{"id":"6e7dbc7c-846c-4b47-98a5-0076ac49a74d","block_type":"box","text":"REIT are concentrated geographically, by proper ty type, or in cer tain other respects, these risks may be heightened.","page_number":103,"box":{"x":70,"y":703,"width":822,"height":11}},{"id":"dcc0b14b-dca7-4cfc-8589-c0709d17ad47","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":103,"box":{"x":70,"y":717,"width":792,"height":12}},{"id":"7f697f38-65ad-40df-9c98-89ae9d398609","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":103,"box":{"x":69,"y":732,"width":834,"height":12}},{"id":"3aceabb0-2bdc-4760-93ea-5d217a9fac56","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":103,"box":{"x":69,"y":748,"width":798,"height":11}},{"id":"bfdb1652-826f-4dae-a742-4be12e1c8cee","block_type":"box","text":"Fund’s dividend income received from REIT shares will likely exceed the percentage of the Fund’s por tfolio which is","page_number":103,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"80f021ca-727a-4191-882e-95a4d4208caa","block_type":"box","text":"comprised of REIT shares. Ordinary REIT dividends received by the Fund and distributed to the Fund’s shareholders","page_number":103,"box":{"x":69,"y":778,"width":821,"height":11}},{"id":"381f62f6-3e4c-49fc-9825-3e00a10445d9","block_type":"box","text":"will generally be taxable as ordinary income and will not constitute “qualified dividend income.” However, a non","page_number":103,"box":{"x":68,"y":793,"width":797,"height":11}},{"id":"47b51d68-7032-4f86-aeec-422f35808e68","block_type":"box","text":"corporate taxpayer who is a direct REIT shareholder may claim a 20% “qualified business income” deduction for","page_number":103,"box":{"x":69,"y":808,"width":798,"height":11}},{"id":"a3294460-ba53-48ef-bd97-2192f3247bab","block_type":"box","text":"ordinary REIT dividends, and a regulated investment company may repor t dividends as eligible for this deduction to","page_number":103,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"4bef0f99-c63b-4fa5-a538-7a4347c14d7a","block_type":"box","text":"the extent the regulated investment company’s income is derived from ordinary REIT dividends (reduced by allocable","page_number":103,"box":{"x":68,"y":838,"width":831,"height":12}},{"id":"0f214f70-3024-4b07-bbdc-6ff60a82cb43","block_type":"box","text":"regulated investment company expenses). A shareholder may treat the dividends as such provided the regulated","page_number":103,"box":{"x":69,"y":854,"width":801,"height":11}},{"id":"38b9e03f-b7bc-47c2-aa95-370c96ddd519","block_type":"box","text":"investment company and the shareholder satisfy applicable holding period requirements.","page_number":103,"box":{"x":70,"y":869,"width":631,"height":11}},{"id":"5dfe77d7-d6df-4f37-b13d-14972fa1cfd4","block_type":"box","text":"REITs (especially mor tgage REITs) are also subject to interest rate risk. Rising interest rates may cause REIT","page_number":103,"box":{"x":102,"y":891,"width":772,"height":12}},{"id":"08bfb9a2-7d9c-4e3f-bb62-96fed154e0a9","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":103,"box":{"x":70,"y":906,"width":790,"height":12}},{"id":"fe43b456-46db-4341-ac25-9e5417d0293e","block_type":"box","text":"II-66","page_number":103,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"04b3c149-e49f-4d0b-8f54-fc13e2f4e198","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":103,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b039fba0-d915-4a1f-ab9c-6ad30efdc4a1","block_type":"box","text":"securities issued by a REIT. Rising interest rates also generally increase the costs of obtaining financing, which could","page_number":104,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"e34a640c-bbe8-45f3-bcc5-45187e37cfbc","block_type":"box","text":"cause the value of a Fund’s REIT investments to decline. During periods when interest rates are declining, mor tgages","page_number":104,"box":{"x":69,"y":60,"width":837,"height":11}},{"id":"d4219b1f-6fe0-4866-bf7e-f6f171d27bdb","block_type":"box","text":"are often refinanced. Refinancing may reduce the yield on investments in mor tgage REITs. In addition, since REITs","page_number":104,"box":{"x":69,"y":75,"width":812,"height":11}},{"id":"06d1da49-3d46-43c1-98c2-19fc2c88a2b8","block_type":"box","text":"depend on payment under their mor tgage loans and leases to generate cash to make distributions to their","page_number":104,"box":{"x":69,"y":90,"width":759,"height":11}},{"id":"0965c02c-5fdd-4c42-8e54-32733e47e3a5","block_type":"box","text":"shareholders, investments in REITs may be adversely affected by defaults on such mor tgage loans or leases.","page_number":104,"box":{"x":69,"y":105,"width":778,"height":11}},{"id":"5f43d123-1219-492d-800f-06488d5edb12","block_type":"box","text":"Investing in cer tain REITs, which often have small market capitalizations, may also involve the same risks as","page_number":104,"box":{"x":102,"y":128,"width":773,"height":11}},{"id":"61ad583f-af9f-48cb-b800-520e6049778f","block_type":"box","text":"investing in other small capitalization companies. REITs may have limited financial resources and their securities may","page_number":104,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"55970841-4b89-4b6e-a6a5-4ba46f2460c8","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":104,"box":{"x":68,"y":158,"width":839,"height":11}},{"id":"cc22d97c-324d-413e-a437-51d914ce9b39","block_type":"box","text":"company securities. Historically, small capitalization stocks, such as REITs, have been more volatile in price than the","page_number":104,"box":{"x":69,"y":173,"width":832,"height":11}},{"id":"5ca23965-1a24-4b71-93f3-eb8a6ed09092","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":104,"box":{"x":70,"y":188,"width":832,"height":12}},{"id":"f49763bc-405b-4dbb-b941-2950c6c70721","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":104,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"27e1bb34-fa8b-435c-9ea5-cf5be4c4cb5f","block_type":"box","text":"activities competitive with the REIT. REITs may own proper ties through joint ventures or in other circumstances in","page_number":104,"box":{"x":69,"y":219,"width":804,"height":11}},{"id":"a49a82a7-c420-4767-8dba-58b7e21e8705","block_type":"box","text":"which the REIT may not have control over its investments. REITs may incur significant amounts of leverage.","page_number":104,"box":{"x":68,"y":234,"width":761,"height":11}},{"id":"3c5a7f30-20e0-41dd-bf53-08441df8a339","block_type":"box","text":"Market Risks/Recent Market Events.","page_number":104,"box":{"x":102,"y":256,"width":275,"height":11}},{"id":"d8dcfef4-62b4-4ea2-a50d-55886f9567a5","block_type":"box","text":"Securities may decline in value due to factors affecting securities","page_number":104,"box":{"x":383,"y":256,"width":466,"height":12}},{"id":"d37b32c4-e61f-401c-ac77-7423dc09e29b","block_type":"box","text":"markets generally or par ticular industries represented in the markets. The value of a security may decline due to","page_number":104,"box":{"x":69,"y":271,"width":801,"height":12}},{"id":"6e7adde2-a184-46b0-83a8-35679fd961c4","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":104,"box":{"x":68,"y":286,"width":837,"height":12}},{"id":"9e9569a0-f64c-451a-8f50-33eb1feeb0d0","block_type":"box","text":"affect a par ticular industry or industries, or factors that affect a par ticular issuer or issuers, exchange, country,","page_number":104,"box":{"x":69,"y":302,"width":795,"height":11}},{"id":"e30f4acb-7f10-4a25-a260-8406a83e1dfa","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":104,"box":{"x":68,"y":317,"width":796,"height":11}},{"id":"bab9a71c-bde2-4c7e-a4fc-6d49b9e5bb70","block_type":"box","text":"activities could be affected by interest rates, availability of credit, inflation rates, economic uncer tainty, changes in","page_number":104,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"bdb43cdc-0ab6-47cc-9840-7854149da458","block_type":"box","text":"laws, trade barriers, economic sanctions, currency exchange controls, and local, regional or global events such as","page_number":104,"box":{"x":70,"y":347,"width":812,"height":11}},{"id":"c9efe92c-b1b1-4bc7-8a0d-8f56c8ae9ad8","block_type":"box","text":"war, acts of terrorism, natural and environmental disasters, the spread of infectious illness or other public health","page_number":104,"box":{"x":68,"y":362,"width":807,"height":11}},{"id":"5ae06374-2967-49e0-9859-0fe39eff6ce2","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":104,"box":{"x":70,"y":377,"width":822,"height":12}},{"id":"93893405-554a-4e75-807b-40f0f39ca238","block_type":"box","text":"economic downturn in the securities markets, multiple asset classes may be negatively affected. These factors may","page_number":104,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"3b6f1a7c-b9a7-4195-af73-fe14fcb095b0","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":104,"box":{"x":69,"y":407,"width":804,"height":12}},{"id":"eee0e940-8d34-4a8b-98ca-092ae1696db1","block_type":"box","text":"Fund’s profitability or result in losses. A Fund may maintain substantial trading positions that can be adversely","page_number":104,"box":{"x":70,"y":423,"width":787,"height":11}},{"id":"24774cae-579a-4620-8140-4c90cd97b8ff","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":104,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"cdb91230-04ed-49ec-b51f-7d39cff0fd01","block_type":"box","text":"Unpredictable or unstable market conditions may result in reduced oppor tunities to find suitable investments to","page_number":104,"box":{"x":70,"y":453,"width":796,"height":11}},{"id":"32435917-eeb5-47d6-9fd4-62814b4e06ac","block_type":"box","text":"deploy capital or make it more difficult to exit and realize value from a Fund’s existing investments. It is impor tant to","page_number":104,"box":{"x":69,"y":468,"width":832,"height":11}},{"id":"6e67b6c5-edd6-424a-bd98-d86da420af04","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":104,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"91aadc35-a50a-41df-a410-60d6f9ebd15e","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":104,"box":{"x":69,"y":498,"width":776,"height":11}},{"id":"dd524130-2e34-4e90-b965-a36cff37d84d","block_type":"box","text":"conditions.","page_number":104,"box":{"x":69,"y":514,"width":76,"height":8}},{"id":"f8b0b34f-a0af-4e43-b3de-72ccd1067761","block_type":"box","text":"Periods of unusually high volatility in the financial markets and restrictive credit conditions, sometimes limited to","page_number":104,"box":{"x":102,"y":536,"width":802,"height":11}},{"id":"a88e9cd7-0007-4318-8ba4-f838920f3c95","block_type":"box","text":"a par ticular sector or a geography, can occur. Some countries, including the United States, have adopted and/or are","page_number":104,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"07048244-d153-4e41-a058-6bcaece9c6e7","block_type":"box","text":"considering the adoption of more protectionist trade policies, a move away from the tighter financial industry","page_number":104,"box":{"x":69,"y":566,"width":775,"height":11}},{"id":"d2da63c8-2060-4d04-b767-a61b18a59b7c","block_type":"box","text":"regulations that followed the financial crisis of 2008, and/or substantially reducing corporate taxes. The exact shape","page_number":104,"box":{"x":69,"y":581,"width":833,"height":12}},{"id":"f479091d-07af-4c4a-b5b4-6dcac3f9bd72","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":104,"box":{"x":69,"y":596,"width":799,"height":12}},{"id":"ec057132-d466-40bb-906e-035cbaebaaf8","block_type":"box","text":"change, which could increase volatility, especially if the market’s expectations are not borne out. A rise in","page_number":104,"box":{"x":69,"y":612,"width":751,"height":11}},{"id":"241a6034-e2c2-41b5-8e16-6f15b765c6a2","block_type":"box","text":"protectionist trade policies, and the possibility of changes to some international trade agreements, could affect the","page_number":104,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"108725e3-95ff-4315-8f60-4763dec7107b","block_type":"box","text":"economies of many nations in ways that cannot necessarily be foreseen at the present time. In addition, geopolitical","page_number":104,"box":{"x":69,"y":642,"width":831,"height":11}},{"id":"e14488ae-1402-4070-9f35-2a50a27715c7","block_type":"box","text":"and other risks, including environmental and public health, may add to instability in world economies and markets","page_number":104,"box":{"x":69,"y":657,"width":810,"height":11}},{"id":"5b4491e4-49b6-4d70-b421-2b5b03c32295","block_type":"box","text":"generally. Economies and financial markets throughout the world are increasingly interconnected. As a result, whether","page_number":104,"box":{"x":68,"y":672,"width":841,"height":11}},{"id":"970b1466-5f77-4855-ad53-f72c76a4dc7d","block_type":"box","text":"or not a Fund invests in securities of issuers located in or with significant exposure to countries experiencing","page_number":104,"box":{"x":69,"y":687,"width":775,"height":11}},{"id":"a5ab8e19-40fb-422d-b9aa-0393200d1442","block_type":"box","text":"economic, political and/or financial difficulties, the value and liquidity of the Fund’s investments may be negatively","page_number":104,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"f41b2840-9a2d-4b1f-8ce3-201ff3fbe983","block_type":"box","text":"affected by such events.","page_number":104,"box":{"x":69,"y":717,"width":173,"height":12}},{"id":"9a9fb974-ab9c-42b5-b060-cbc44791f664","block_type":"box","text":"Governments and regulators may take actions that affect the regulation of the Fund or the instruments in which","page_number":104,"box":{"x":102,"y":740,"width":795,"height":11}},{"id":"d1af0fdb-3a12-4799-a262-f706ec873eb8","block_type":"box","text":"the Fund invests, or the issuers of such instruments, in ways that are unforeseeable. Future legislation or regulation","page_number":104,"box":{"x":68,"y":755,"width":830,"height":11}},{"id":"5984fd3f-f98b-48f2-9fd8-5e179b30ab56","block_type":"box","text":"or other governmental actions could limit or preclude the Fund’s abilities to achieve its investment objectives or","page_number":104,"box":{"x":69,"y":771,"width":796,"height":11}},{"id":"ae47e820-71c2-4e20-826a-aa87d197066e","block_type":"box","text":"otherwise adversely impact an investment in the Fund. Recent policy initiatives under taken by the U.S. government","page_number":104,"box":{"x":69,"y":786,"width":820,"height":11}},{"id":"8a88602f-aa2d-41e5-a417-53ddfe12aaaa","block_type":"box","text":"have the potential to impact international relations, trade agreements and the overall regulatory environment in ways","page_number":104,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"515c2aac-0e20-49f7-bdcc-489164470dd2","block_type":"box","text":"that could create uncer tainty and instability in domestic and global markets and could adversely affect the","page_number":104,"box":{"x":68,"y":816,"width":759,"height":11}},{"id":"9a493454-e13d-4d52-b186-8106c395ac5a","block_type":"box","text":"investment per formance of the Fund. In par ticular, actions taken by the U.S. government in respect of international","page_number":104,"box":{"x":70,"y":831,"width":819,"height":11}},{"id":"a3f087be-50d3-47fc-a9b3-33b9d5095eae","block_type":"box","text":"trade relations could lead to trade wars, increased costs for impor ted goods, disruptions in supply chains, reduced","page_number":104,"box":{"x":68,"y":846,"width":821,"height":11}},{"id":"6787e870-e97d-4c4d-b7f7-f5eb79d89f45","block_type":"box","text":"foreign investment, and instability in regions where the Fund invests. Political and diplomatic events within the United","page_number":104,"box":{"x":68,"y":861,"width":837,"height":11}},{"id":"9a979f6d-9356-466c-b27c-bcfd8a0722de","block_type":"box","text":"States, including a contentious domestic political environment, changes in political par ty control of one or more","page_number":104,"box":{"x":69,"y":876,"width":795,"height":11}},{"id":"74c60954-a20a-46c3-b607-f729bd35021e","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":104,"box":{"x":69,"y":891,"width":836,"height":12}},{"id":"cc610541-d046-4f68-a487-f1de9b78ea81","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":104,"box":{"x":69,"y":906,"width":817,"height":12}},{"id":"9f1814a3-7dcf-4481-8dbb-1f8d059fcdc7","block_type":"box","text":"II-67","page_number":104,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"354161c9-beb8-43f0-a372-5481ed93b6aa","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":104,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9aa37f9f-803a-4124-84ad-96f4fc57e9f2","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":105,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"2c9b249a-6791-4aaa-be44-2faffd746783","block_type":"box","text":"investor and consumer confidence and may adversely impact financial markets and the broader economy, perhaps","page_number":105,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"a547ab59-2db6-4c97-92d7-e5e71ed2225b","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":105,"box":{"x":69,"y":75,"width":815,"height":11}},{"id":"59e825c9-1e76-4031-a5aa-d36ef0392ee7","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":105,"box":{"x":69,"y":90,"width":836,"height":11}},{"id":"77d4f922-2a5d-4454-b044-1d47a36de6e8","block_type":"box","text":"economies. For example, concerns about the U.S. Government’s credit quality may cause increased volatility in the","page_number":105,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"f30af3dc-0467-4ac7-b0a2-2c5d8b4caac0","block_type":"box","text":"stock and bond markets, higher interest rates, reduced prices and liquidity of U.S. Treasury securities, and/or","page_number":105,"box":{"x":69,"y":120,"width":785,"height":12}},{"id":"835bbba4-694b-43ed-bf0f-06c0bb645a42","block_type":"box","text":"increased costs of various kinds of debt. Moreover, although the U.S. Government has honored its credit obligations,","page_number":105,"box":{"x":70,"y":135,"width":832,"height":12}},{"id":"63a3e854-5a73-4eec-8793-028643a50845","block_type":"box","text":"there remains a possibility that the United States could default on its obligations. The consequences of such an","page_number":105,"box":{"x":68,"y":150,"width":799,"height":12}},{"id":"181841f2-8494-4fdb-bcea-aae919da4827","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":105,"box":{"x":69,"y":166,"width":802,"height":11}},{"id":"71b588bf-ec60-4ff2-a8be-1e691edc97fc","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":105,"box":{"x":69,"y":181,"width":746,"height":11}},{"id":"354b0997-b406-42dc-9faa-e942d3601cf7","block_type":"box","text":"investments.","page_number":105,"box":{"x":70,"y":196,"width":89,"height":9}},{"id":"ef4d8237-9c0e-4efc-9a29-c3c17b2f9f0e","block_type":"box","text":"The COVID-19 pandemic resulted in significant market volatility, exchange suspensions and closures, declines in","page_number":105,"box":{"x":101,"y":218,"width":802,"height":12}},{"id":"50748448-a98d-4ee1-9e84-8abf5bf60683","block_type":"box","text":"global financial markets, higher default rates, supply chain disruptions, and a substantial economic downturn in","page_number":105,"box":{"x":68,"y":234,"width":796,"height":11}},{"id":"f6d5a4e4-1e78-40fa-b689-9a6744eb94c0","block_type":"box","text":"economies throughout the world. The impact of this coronavirus, and other epidemics and pandemics that may arise","page_number":105,"box":{"x":69,"y":249,"width":830,"height":11}},{"id":"7ad2aa70-e31f-478a-b289-697f921ba204","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":105,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"1751ff47-a2cb-4ecc-9c77-8f510a265c69","block_type":"box","text":"that cannot necessarily be foreseen at the present time. These health crises may be shor t term or long term, and","page_number":105,"box":{"x":68,"y":279,"width":812,"height":11}},{"id":"214cf251-20a8-4c4e-bd0a-3f1a29279501","block_type":"box","text":"may exacerbate other pre-existing political, social and economic risks, disrupt normal market conditions and","page_number":105,"box":{"x":69,"y":294,"width":771,"height":11}},{"id":"51abc9a6-0bda-44e4-8f3e-207a7148aaef","block_type":"box","text":"operations, and negatively impact per formance. In addition, the impact of infectious diseases in emerging developing","page_number":105,"box":{"x":69,"y":309,"width":837,"height":11}},{"id":"b67f8326-71cf-404b-b1fb-700473fd1e74","block_type":"box","text":"or emerging market countries may be greater due to less established health care systems.","page_number":105,"box":{"x":69,"y":325,"width":646,"height":11}},{"id":"65ef67a5-3fbb-43f3-a8ff-2698d3eec551","block_type":"box","text":"Legal and Regulatory Risks.","page_number":105,"box":{"x":102,"y":347,"width":197,"height":11}},{"id":"8494d32a-1a36-4e75-9e6f-1c7948b138bd","block_type":"box","text":"The Manager is par t of a larger firm with multiple business lines active in multiple","page_number":105,"box":{"x":305,"y":347,"width":583,"height":11}},{"id":"bd4b183e-dfb1-422d-8775-e9f0fe03c8d9","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":105,"box":{"x":67,"y":362,"width":819,"height":11}},{"id":"3e40603d-4f7b-4079-b32a-ed9dbc567502","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":105,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"6b81d958-76d8-41b3-a1de-b29871c511a8","block_type":"box","text":"tax and regulatory risks, including changing laws and regulations, developing interpretations of such laws and","page_number":105,"box":{"x":68,"y":392,"width":781,"height":12}},{"id":"4c2d9111-c279-4bff-9c54-1334aa76cf48","block_type":"box","text":"regulations, as well as existing laws, and increased scrutiny by regulators and law enforcement authorities.","page_number":105,"box":{"x":69,"y":407,"width":763,"height":12}},{"id":"9c1aaf95-8a88-46dd-bd59-e27765ce5718","block_type":"box","text":"Unexpected economic, political, regulatory and diplomatic events within the United States and abroad can trigger new","page_number":105,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"f62e0742-a3bb-4206-b798-2a67a72bb116","block_type":"box","text":"and complex regulations that the Manager and/or the Funds may need to comply with. The implementation of","page_number":105,"box":{"x":69,"y":438,"width":781,"height":11}},{"id":"bb061f0e-eee1-418e-a0eb-8765182af72b","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":105,"box":{"x":69,"y":453,"width":807,"height":11}},{"id":"40d4637c-383b-413e-9672-cb062070678b","block_type":"box","text":"material adverse effect on the Funds (including by imposing material costs on the Funds, reducing profit margins,","page_number":105,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"3eda6747-2073-4f4e-b6fa-f5d6062487b3","block_type":"box","text":"reducing investment oppor tunities or by otherwise restricting the Funds and/or the Manager).","page_number":105,"box":{"x":69,"y":483,"width":666,"height":11}},{"id":"b60b2054-54ef-439f-8b7b-e72e3b9f0f6e","block_type":"box","text":"Tariff and Trade Policy Risks.","page_number":105,"box":{"x":103,"y":506,"width":202,"height":11}},{"id":"c269a730-661e-4759-9ae9-9eb9f6b957d4","block_type":"box","text":"Some countries, including the U.S., have adopted more protectionist trade policies.","page_number":105,"box":{"x":312,"y":506,"width":593,"height":11}},{"id":"25bdec0e-2028-4e0b-8368-9eaf066eb875","block_type":"box","text":"The U.S. government recently altered its approach to international trade policy, resulting in significant impacts on","page_number":105,"box":{"x":68,"y":521,"width":806,"height":11}},{"id":"d38319c6-a4be-4646-aecd-35a4969dca5a","block_type":"box","text":"international trade relations, cer tain tax and immigration policies, and other aspects of the national and international","page_number":105,"box":{"x":70,"y":536,"width":833,"height":11}},{"id":"d8a3ac72-ef29-4a23-bc04-b53102e2f2c8","block_type":"box","text":"political and financial landscape. The rise in protectionist trade policies, slowing economic growth, changes to some","page_number":105,"box":{"x":70,"y":551,"width":827,"height":11}},{"id":"8b3565f3-0617-4a27-9b3b-9eff93009079","block_type":"box","text":"major international trade agreements, risks associated with trade agreements between the U.S. and the European","page_number":105,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"dfcf8b01-7507-4a26-95ee-b1dd038bb5ba","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":105,"box":{"x":70,"y":581,"width":821,"height":12}},{"id":"ef63308b-bf88-4405-99cf-12736104d01a","block_type":"box","text":"many nations in ways that cannot necessarily be foreseen at the present time.","page_number":105,"box":{"x":69,"y":596,"width":559,"height":12}},{"id":"284032e2-4156-42ac-8c31-e3c428fe6960","block_type":"box","text":"Global trade disruption, significant introductions of trade barriers, and bilateral trade frictions, together with any","page_number":105,"box":{"x":102,"y":619,"width":796,"height":11}},{"id":"c90ba09b-911b-422e-a572-438434498547","block_type":"box","text":"future downturns in the global economy resulting therefrom, could adversely affect the financial per formance of a","page_number":105,"box":{"x":68,"y":634,"width":809,"height":12}},{"id":"17f02323-c42d-4be0-9cae-bac1d898bcb6","block_type":"box","text":"Fund and its investments. Trade policy may be an ongoing source of instability, potentially resulting in significant","page_number":105,"box":{"x":70,"y":649,"width":799,"height":12}},{"id":"f9bc797e-8670-48d1-858b-8c87136fa02b","block_type":"box","text":"currency fluctuations and/or having other adverse effects on international markets, international trade agreements,","page_number":105,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"ed9de495-2824-4a9d-890d-e10457d4d69c","block_type":"box","text":"and/or other existing cross-border cooperation arrangements (whether economic, tax, fiscal, legal, regulatory, or","page_number":105,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"5f37d715-1c6e-4343-b3ab-5172368c8835","block_type":"box","text":"otherwise). To the extent trade disputes escalate globally, there could be additional significant impacts on the","page_number":105,"box":{"x":69,"y":695,"width":783,"height":11}},{"id":"f38bcecb-a151-4144-ae3f-15cad3d69f20","block_type":"box","text":"sectors or industries in which a Fund invests and other adverse impacts on a Fund’s overall per formance.","page_number":105,"box":{"x":69,"y":710,"width":753,"height":11}},{"id":"13639083-bbd9-4095-b78f-7eb818b3783d","block_type":"box","text":"Geographic Risks","page_number":105,"box":{"x":102,"y":733,"width":123,"height":11}},{"id":"5d4e2e20-9914-45d3-9b4f-9b807d6e4b58","block_type":"box","text":". Some of the companies in which the Fund invests may be located in, or otherwise connected","page_number":105,"box":{"x":226,"y":732,"width":671,"height":12}},{"id":"f6050e3f-2857-47ec-9eab-0d8efc60a43b","block_type":"box","text":"to, par ts of the world affected by natural disasters such as severe heat, ear thquakes, tornadoes, volcanic eruptions,","page_number":105,"box":{"x":68,"y":748,"width":835,"height":11}},{"id":"fc68a427-9346-4214-8b7a-d5dcfd6a074a","block_type":"box","text":"wildfires, droughts, floods, hurricanes or tsunamis, and are economically sensitive to environmental events. In","page_number":105,"box":{"x":68,"y":763,"width":787,"height":11}},{"id":"02076de2-f902-49f7-8604-6259d30098b9","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":105,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"757fafa1-ca19-433b-a22e-5fe96da62add","block_type":"box","text":"types of conflict, terrorism, strained international relations and territorial disputes. Any of these events may adversely","page_number":105,"box":{"x":68,"y":793,"width":840,"height":11}},{"id":"5805cc29-dcdf-463d-a0e3-e1c67c4ac223","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":105,"box":{"x":69,"y":808,"width":824,"height":11}},{"id":"5525805e-d7a4-4af2-b98d-8ce5fb2b2188","block_type":"box","text":"Fund.","page_number":105,"box":{"x":70,"y":823,"width":36,"height":9}},{"id":"2787dba9-69d3-41bf-806c-007111366074","block_type":"box","text":"Reference Rate Replacement Risk.","page_number":105,"box":{"x":102,"y":846,"width":255,"height":11}},{"id":"4e7cc03b-fa13-481e-87a1-7a9a1fe18048","block_type":"box","text":"A Fund’s investments, payment obligations and financing terms may be","page_number":105,"box":{"x":363,"y":846,"width":508,"height":11}},{"id":"96a8998b-26c4-4b7c-9937-50acfebd2f9a","block_type":"box","text":"based on floating rates, such as the Secured Overnight Financing Rate (“SOFR”), Sterling Overnight Interbank Average","page_number":105,"box":{"x":69,"y":861,"width":839,"height":11}},{"id":"9dc95c9c-f50f-473e-9b60-f0d0cc624a00","block_type":"box","text":"Rate (“SONIA”), and other similar types of reference rates (“Reference Rates”). The elimination of a Reference Rate","page_number":105,"box":{"x":70,"y":876,"width":825,"height":11}},{"id":"af3a2b62-3751-47fe-bac5-2c5ebbaa99c4","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":105,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"83e1c7d0-21a3-47ba-b70f-f75006bbb2fa","block_type":"box","text":"impact on the market for, or value of, any instruments (including debt instruments and cer tain derivative instruments)","page_number":105,"box":{"x":70,"y":906,"width":837,"height":12}},{"id":"e55bb4dc-1095-46cc-9567-8d800dc17e5a","block_type":"box","text":"II-68","page_number":105,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bf1bf064-de38-4fd7-b39f-5118b307a54e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":105,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d88537a1-5cab-4d74-8ec4-23f0f4f0e65a","block_type":"box","text":"or payments linked to those Reference Rates. In addition, any substitute Reference Rate and any pricing adjustments","page_number":106,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"90ddbfd2-3300-4b8f-9df8-52b43335b451","block_type":"box","text":"imposed by a regulator or by counterpar ties or otherwise may adversely affect a Fund’s per formance and/or net","page_number":106,"box":{"x":70,"y":60,"width":800,"height":11}},{"id":"9b5c83e2-76a9-4c6b-8371-dd9fd32a5e51","block_type":"box","text":"asset value. The London Interbank Offered Rate (“LIBOR”) had historically been used extensively in the U.S. and","page_number":106,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"8e8fbb15-81a7-45a0-ac89-3bd52c3b57bd","block_type":"box","text":"globally as a “benchmark” or “reference rate” for various commercial and financial contracts, including corporate and","page_number":106,"box":{"x":68,"y":90,"width":836,"height":11}},{"id":"cc0cf9e3-98b0-44a2-a691-e6636d44909a","block_type":"box","text":"municipal bonds, bank loans, asset-backed and mor tgage-related securities, interest rate swaps and other","page_number":106,"box":{"x":69,"y":105,"width":761,"height":11}},{"id":"61cea6b8-a6b4-49e7-8ef8-231b8a1db1c8","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":106,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"755d4266-b667-4e92-bc75-2dcb1d8bdca7","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":106,"box":{"x":69,"y":135,"width":825,"height":11}},{"id":"8aa99cae-92c2-4a12-b1c0-35dcf9421046","block_type":"box","text":"invests may have also historically obtained financing at floating rates based on LIBOR. In connection with the global","page_number":106,"box":{"x":70,"y":150,"width":822,"height":12}},{"id":"5e1bb791-74c9-4ae0-a8fa-186e29837a3d","block_type":"box","text":"transition away from LIBOR led by regulators and market par ticipants as a result of benchmark reforms, LIBOR was","page_number":106,"box":{"x":68,"y":166,"width":822,"height":11}},{"id":"d27299a5-4e88-4a5f-a25d-83e30aeb99c0","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":106,"box":{"x":70,"y":181,"width":817,"height":11}},{"id":"74a5eeab-7b84-46b6-8de1-0c16d010261f","block_type":"box","text":"established in most major currencies and markets in these alternative rates are continuing to develop (","page_number":106,"box":{"x":69,"y":196,"width":736,"height":11}},{"id":"f6886be8-d337-4be7-af0e-892e84601bb4","block_type":"box","text":"e.g.","page_number":106,"box":{"x":807,"y":197,"width":25,"height":10}},{"id":"6a1531f4-cdbd-4455-a3a8-179b44375509","block_type":"box","text":", SOFR for","page_number":106,"box":{"x":835,"y":196,"width":70,"height":10}},{"id":"f1139ef6-ca93-49bc-8a67-cb7facf471e9","block_type":"box","text":"USD-LIBOR and SONIA for GBP-LIBOR). While the transition from LIBOR has gone relatively smoothly, residual risks","page_number":106,"box":{"x":70,"y":211,"width":814,"height":11}},{"id":"dd0b24bc-bb4e-4398-b4ee-d8faf61a2483","block_type":"box","text":"associated with the transition may remain that may impact markets or par ticular investments and, as such, the full","page_number":106,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"3d347fd3-0980-4df6-9c04-f113b1306c0d","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":106,"box":{"x":70,"y":241,"width":784,"height":11}},{"id":"c0fb95aa-4082-4080-a116-354d70841e7d","block_type":"box","text":"determined.","page_number":106,"box":{"x":69,"y":257,"width":84,"height":8}},{"id":"c02f66c5-e5d2-4de3-90a9-f39ff95d6686","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":106,"box":{"x":102,"y":279,"width":750,"height":11}},{"id":"3dea5827-5b53-4ccf-bedb-1ec5b5ff1e68","block_type":"box","text":"collateralized by U.S. Treasury securities. SOFR is calculated based on transaction-level repo data collected from","page_number":106,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"155ec7b6-fc5a-44a0-a2a3-7fb597695245","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":106,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"5996677f-ffa0-428e-81b9-3a3e541c925a","block_type":"box","text":"Because SOFR is a financing rate based on overnight secured funding transactions, it differs fundamentally from","page_number":106,"box":{"x":70,"y":324,"width":801,"height":12}},{"id":"84853107-1d89-4fc7-99f9-b69003f6b56e","block_type":"box","text":"LIBOR. LIBOR is intended to be an unsecured rate that represents interbank funding costs for different shor t-term","page_number":106,"box":{"x":70,"y":339,"width":810,"height":12}},{"id":"15839281-840c-4277-8500-8aba3bc3682d","block_type":"box","text":"maturities or tenors. It is a forward-looking rate reflecting expectations regarding interest rates for the applicable","page_number":106,"box":{"x":69,"y":355,"width":803,"height":11}},{"id":"ab3af03b-817e-46f1-8d6f-bd7354a5c087","block_type":"box","text":"tenor. Thus, LIBOR is intended to be sensitive, in cer tain respects, to bank credit risk and to term interest rate risk.","page_number":106,"box":{"x":68,"y":370,"width":825,"height":11}},{"id":"207a9777-5faf-463d-97fe-97c9e208c020","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":106,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"c1727afc-2ece-47c1-8356-27d3aa524822","block_type":"box","text":"largely insensitive to credit-risk considerations and to shor t-term interest rate risks. SOFR is a transaction-based rate,","page_number":106,"box":{"x":70,"y":400,"width":838,"height":11}},{"id":"438019a7-c0c9-4f0a-92c2-59641b4105aa","block_type":"box","text":"and it has been more volatile than other benchmark or market rates, such as three-month LIBOR, during cer tain","page_number":106,"box":{"x":69,"y":415,"width":796,"height":11}},{"id":"71486245-d882-408f-b627-239526c1c905","block_type":"box","text":"periods. For these reasons, among others, there is no assurance that SOFR, or rates derived from SOFR, will per form","page_number":106,"box":{"x":70,"y":430,"width":836,"height":11}},{"id":"e52a27f6-6f63-4ce4-8b31-76f6557f7876","block_type":"box","text":"in the same or similar way as LIBOR would have per formed at any time, and there is no assurance that SOFR-based","page_number":106,"box":{"x":70,"y":445,"width":824,"height":11}},{"id":"89a65200-ffcc-4319-9eb2-d39d9df9cc8f","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":106,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"eccd37c0-0886-4eaa-bbe6-a08dd75eb412","block_type":"box","text":"2018. The future per formance of SOFR, and SOFR-based Reference Rates, cannot be predicted based on SOFR’s","page_number":106,"box":{"x":69,"y":475,"width":809,"height":11}},{"id":"5de3a776-a665-4d32-9101-92d94564590b","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":106,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"c0b073ea-ceb6-4608-b842-0883e8e57f29","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":106,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"2d2d80fb-4586-427a-b08e-81959577b56e","block_type":"box","text":"that is materially adverse to the interests of the Fund.","page_number":106,"box":{"x":68,"y":521,"width":384,"height":11}},{"id":"805177f7-a5d2-4d7e-b4eb-6ab04b336372","block_type":"box","text":"In addition, interest rates or other types of rates and indices which are classified as “benchmarks” have been","page_number":106,"box":{"x":102,"y":543,"width":782,"height":12}},{"id":"2b67edf3-6b46-4450-90bb-5733e7acc919","block_type":"box","text":"the subject of ongoing national and international regulatory reform, including under the European Union (“EU”)","page_number":106,"box":{"x":68,"y":559,"width":786,"height":11}},{"id":"0f3211f9-f6f3-4492-a3dd-08c3603eedb3","block_type":"box","text":"regulation on indices used as benchmarks in financial instruments and financial contracts (known as the","page_number":106,"box":{"x":69,"y":574,"width":746,"height":11}},{"id":"81ae1011-a94f-48c5-8d7b-b939dd5c73f2","block_type":"box","text":"“Benchmarks Regulation”). The Benchmarks Regulation has been enacted into United Kingdom (“UK”) law by vir tue","page_number":106,"box":{"x":70,"y":589,"width":822,"height":11}},{"id":"3ab9f6ab-fb14-40d4-b3a7-dc2d97ce0d79","block_type":"box","text":"of the EU (Withdrawal) Act 2018 (as amended), subject to amendments made by the Benchmarks (Amendment and","page_number":106,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"ea65f7c5-e9d1-4812-8a3b-3f60612d979d","block_type":"box","text":"Transitional Provision) (EU Exit) Regulations 2019 (SI 2019/657) and other statutory instruments. Following the","page_number":106,"box":{"x":68,"y":619,"width":799,"height":11}},{"id":"b7c80005-ed9c-47ae-b413-01e0b5752ff5","block_type":"box","text":"implementation of these reforms, the manner of administration of benchmarks has changed and may fur ther change","page_number":106,"box":{"x":70,"y":634,"width":830,"height":12}},{"id":"68d1e7e1-928b-4468-994b-46a73fdc9f58","block_type":"box","text":"in the future, with the result that relevant benchmarks may per form differently than in the past, the use of","page_number":106,"box":{"x":70,"y":649,"width":757,"height":12}},{"id":"ec5d6118-c8d5-4600-bbe0-26844d5ae500","block_type":"box","text":"benchmarks that are not compliant with the new standards by cer tain supervised entities may be restricted, and","page_number":106,"box":{"x":69,"y":665,"width":802,"height":11}},{"id":"22452ab7-05ff-41b4-9c96-855b7de3ce33","block_type":"box","text":"cer tain benchmarks may be eliminated entirely. Such changes could cause increased market volatility and disruptions","page_number":106,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"9d87c368-efc9-4b79-a69f-47243dc7f504","block_type":"box","text":"in liquidity for instruments that rely on or are impacted by such benchmarks. Additionally, there could be other","page_number":106,"box":{"x":70,"y":695,"width":782,"height":11}},{"id":"63f8dcb2-eed0-482a-93a3-c189848bdc12","block_type":"box","text":"consequences which cannot be predicted.","page_number":106,"box":{"x":69,"y":710,"width":298,"height":11}},{"id":"cdfb8be4-7358-440c-8b93-a3cf8372b235","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts.","page_number":106,"box":{"x":102,"y":733,"width":432,"height":11}},{"id":"83109466-0103-4caa-a354-cba1e72cdb75","block_type":"box","text":"Under repurchase agreements and purchase and","page_number":106,"box":{"x":541,"y":733,"width":347,"height":11}},{"id":"a7f1a676-7700-4c08-ac82-50b9d29b3210","block_type":"box","text":"sale contracts, the other par ty agrees, upon entering into the contract with a Fund, to repurchase a security sold to","page_number":106,"box":{"x":69,"y":748,"width":821,"height":11}},{"id":"ff54d53c-7acd-4194-938f-ea8f7a00ae42","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":106,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"4f6f9780-5e48-4520-a9d9-ca3804f3a3a0","block_type":"box","text":"term of the agreement.","page_number":106,"box":{"x":68,"y":778,"width":164,"height":11}},{"id":"ddb9a856-a667-4846-bdf8-b1212bbf2df8","block_type":"box","text":"A purchase and sale contract differs from a repurchase agreement in that the contract arrangements stipulate","page_number":106,"box":{"x":101,"y":801,"width":788,"height":11}},{"id":"3034b0f5-9ae4-4e58-ae19-ee1770324e25","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":106,"box":{"x":68,"y":816,"width":831,"height":11}},{"id":"87324b84-b983-481e-b81f-0a1ff552cf49","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":106,"box":{"x":70,"y":831,"width":821,"height":11}},{"id":"22873b97-874f-4e4e-a8fd-a1c1085db03a","block_type":"box","text":"on the underlying obligation; whereas, in the case of purchase and sale contracts, the prices take into account","page_number":106,"box":{"x":69,"y":846,"width":790,"height":11}},{"id":"27daf3fa-39d2-4d85-af88-1e4a7883c35c","block_type":"box","text":"accrued interest. A Fund may enter into “tri-par ty” repurchase agreements. In “tri-par ty” repurchase agreements, an","page_number":106,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"1190ad4c-206f-4268-8bb8-b47a36602a85","block_type":"box","text":"unaffiliated third-par ty custodian maintains accounts to hold collateral for the Fund and its counterpar ties and,","page_number":106,"box":{"x":69,"y":876,"width":788,"height":11}},{"id":"c0846e35-e86f-4cef-a9e6-27fe7bb9d4e1","block_type":"box","text":"therefore, the Fund may be subject to the credit risk of those custodians.","page_number":106,"box":{"x":68,"y":891,"width":522,"height":11}},{"id":"71461dfd-29f5-4dfd-aeff-d13810d906cd","block_type":"box","text":"II-69","page_number":106,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e84aa8db-aa67-4a0c-8e89-fa901f7d35ae","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":106,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0184114f-c503-486b-9270-e3a1eda559e3","block_type":"box","text":"Some repurchase agreements and purchase and sale contracts are structured to result in a fixed rate of return","page_number":107,"box":{"x":102,"y":45,"width":792,"height":11}},{"id":"a36925eb-e22f-4418-ba86-064d87d989e2","block_type":"box","text":"insulated from market fluctuations during the term of the agreement, although such return may be affected by","page_number":107,"box":{"x":70,"y":60,"width":784,"height":11}},{"id":"f7e77e85-6143-474f-a519-90c477248dfe","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":107,"box":{"x":69,"y":75,"width":837,"height":11}},{"id":"8a0c1989-2ef1-40b2-8ef4-00d66ad330a1","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":107,"box":{"x":69,"y":90,"width":812,"height":11}},{"id":"d2f71ff6-2f10-489a-b77f-5e5d89d14d47","block_type":"box","text":"fluctuations of the market values of the securities underlying the contract and the accrued interest on those","page_number":107,"box":{"x":68,"y":105,"width":770,"height":11}},{"id":"19492a65-af9a-447c-8bc3-a90b291cac40","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":107,"box":{"x":69,"y":120,"width":802,"height":12}},{"id":"c1f33060-b1b6-4108-a7cc-6e3757a1e55b","block_type":"box","text":"losses arising from market fluctuations following the default.","page_number":107,"box":{"x":70,"y":135,"width":430,"height":12}},{"id":"8084b438-777e-44e9-9d2b-059b4acfe6c2","block_type":"box","text":"Both types of agreement usually cover shor t periods, such as less than one week, although they may have","page_number":107,"box":{"x":102,"y":158,"width":759,"height":11}},{"id":"31811c78-2ac8-422e-870f-f034d33d1768","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":107,"box":{"x":70,"y":173,"width":765,"height":11}},{"id":"e7cd10bd-204a-433a-897d-664f22599fd6","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":107,"box":{"x":69,"y":188,"width":835,"height":12}},{"id":"4718e008-d3a8-4601-a49f-c9ca7cfb9c6f","block_type":"box","text":"sub-adviser will monitor the creditwor thiness of the seller, and a Fund will require the seller to provide additional","page_number":107,"box":{"x":69,"y":203,"width":799,"height":11}},{"id":"8f56314b-e588-4666-a502-9cc3859b263d","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":107,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"d35bf0ce-449d-42a7-a49c-3f1ff5f3339f","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":107,"box":{"x":69,"y":234,"width":826,"height":11}},{"id":"e8677608-860a-4805-8a3f-18f3002f6ef7","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":107,"box":{"x":70,"y":249,"width":831,"height":11}},{"id":"9dfca714-44bb-4fae-bf8e-806387fb4df6","block_type":"box","text":"Securities subject to repurchase agreements (other than tri-par ty repurchase agreements) and purchase and sale","page_number":107,"box":{"x":69,"y":264,"width":810,"height":11}},{"id":"e4bea174-dffe-42cf-ba77-d9ee866ff7b9","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":107,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"3b4b53c5-0b32-4373-bd1f-b4c135d558de","block_type":"box","text":"or by another authorized securities depository.","page_number":107,"box":{"x":69,"y":294,"width":329,"height":11}},{"id":"cec8625b-618f-44c0-bc84-60dbb134d5c7","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":107,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"9e73b177-e158-4ad6-8ff6-53a615f4a36c","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":107,"box":{"x":69,"y":332,"width":805,"height":11}},{"id":"ac1b75b6-1b17-42d2-b564-b26572764e61","block_type":"box","text":"repurchase price. Therefore, the Fund may suffer time delays and incur costs or possible losses in connection with","page_number":107,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"8e5dfd2e-d7d7-4de8-ae30-22232cb90389","block_type":"box","text":"disposition of the collateral. If the seller becomes insolvent and subject to liquidation or reorganization under","page_number":107,"box":{"x":69,"y":362,"width":778,"height":11}},{"id":"e2a3af04-5974-4984-ac8d-cdb949b29364","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":107,"box":{"x":69,"y":377,"width":832,"height":12}},{"id":"9c6207ce-4925-4e7f-93a0-7eeae0886c73","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":107,"box":{"x":70,"y":393,"width":810,"height":11}},{"id":"6cbc2e0d-56f9-462f-930b-6c9882515d72","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":107,"box":{"x":69,"y":408,"width":812,"height":11}},{"id":"61351a0a-b2eb-43c1-8f3b-f42adcd2174a","block_type":"box","text":"amount at least equal to the repurchase price, including accrued interest. If the seller fails to repurchase the","page_number":107,"box":{"x":69,"y":423,"width":778,"height":11}},{"id":"7bfcfd6f-1bf5-46d7-9f21-c74c1b3bb4db","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":107,"box":{"x":69,"y":438,"width":817,"height":11}},{"id":"c8dff7db-f84e-4f49-b412-12ec2981d790","block_type":"box","text":"the repurchase price.","page_number":107,"box":{"x":68,"y":453,"width":151,"height":11}},{"id":"c2c31e22-2ede-40c5-910e-2b8ef8b2d590","block_type":"box","text":"In any repurchase transaction to which a Fund is a par ty, collateral for a repurchase agreement may include cash","page_number":107,"box":{"x":102,"y":475,"width":805,"height":12}},{"id":"a4b568c0-1cdf-4d21-ad1e-13db40a9cba0","block_type":"box","text":"items and obligations issued by the U.S. Government or its agencies or instrumentalities. For cer tain Funds, however,","page_number":107,"box":{"x":70,"y":491,"width":837,"height":11}},{"id":"6f81f405-00bf-4d06-b77b-d49706ba5967","block_type":"box","text":"collateral may include instruments other than cash items and obligations issued by the U.S. Government or its","page_number":107,"box":{"x":69,"y":506,"width":788,"height":11}},{"id":"3096dd2e-f5f5-43c1-833e-3b333f2ca92d","block_type":"box","text":"agencies or instrumentalities, including securities that the Fund could not hold directly under its investment","page_number":107,"box":{"x":69,"y":521,"width":767,"height":11}},{"id":"d8bca71c-80c0-4e2c-933a-69ab0242d3fd","block_type":"box","text":"strategies without the repurchase obligation.","page_number":107,"box":{"x":69,"y":536,"width":317,"height":11}},{"id":"470d1850-c9ab-40ef-b6c2-2921c82e0974","block_type":"box","text":"The type of collateral underlying repurchase agreements may also pose cer tain risks for a Fund. Lower quality","page_number":107,"box":{"x":101,"y":559,"width":782,"height":11}},{"id":"50b3059a-6f4e-479e-8d24-b376b3c50063","block_type":"box","text":"collateral and collateral with longer maturities may be subject to greater price fluctuations than higher quality","page_number":107,"box":{"x":69,"y":574,"width":776,"height":11}},{"id":"06f009ad-695b-4074-9297-b96c8336f457","block_type":"box","text":"collateral and collateral with shor ter maturities. If the repurchase agreement counterpar ty were to default, lower","page_number":107,"box":{"x":69,"y":589,"width":799,"height":11}},{"id":"ae911f4b-2673-4aeb-bf94-96b25a92c95b","block_type":"box","text":"quality collateral may be more difficult to liquidate than higher quality collateral. Should the counterpar ty default and","page_number":107,"box":{"x":69,"y":604,"width":829,"height":11}},{"id":"6e14862f-a193-4304-bec3-ae8a7737a59a","block_type":"box","text":"the amount of collateral not be sufficient to cover the counterpar ty’s repurchase obligation, a Fund would retain the","page_number":107,"box":{"x":68,"y":619,"width":825,"height":11}},{"id":"536fdad6-e9cc-4207-85a9-06fe34f75d65","block_type":"box","text":"status of an unsecured creditor of the counterpar ty (","page_number":107,"box":{"x":69,"y":634,"width":374,"height":11}},{"id":"09975e4b-b68a-48a1-ae23-5fab55eca022","block_type":"box","text":"i.e.","page_number":107,"box":{"x":445,"y":634,"width":20,"height":9}},{"id":"c2d3b58e-0f85-4f95-90d2-35e4a624baef","block_type":"box","text":", the position the Fund would normally be in if it were to hold,","page_number":107,"box":{"x":468,"y":634,"width":434,"height":11}},{"id":"645cd370-1e52-4f5f-bd16-6e6583facae0","block_type":"box","text":"pursuant to its investment policies, other unsecured debt securities of the defaulting counterpar ty) with respect to","page_number":107,"box":{"x":70,"y":649,"width":813,"height":12}},{"id":"1626589f-9a28-4fe1-9018-94804008ce55","block_type":"box","text":"the amount of the shor tfall. As an unsecured creditor, a Fund would be at risk of losing some or all of the principal","page_number":107,"box":{"x":68,"y":664,"width":816,"height":12}},{"id":"76463c01-d020-4857-9c4f-da27972bd217","block_type":"box","text":"and income involved in the transaction.","page_number":107,"box":{"x":69,"y":680,"width":278,"height":9}},{"id":"d35e17b0-3104-4c0b-a557-ddf1a5faa603","block_type":"box","text":"Regulations adopted by global prudential regulators require cer tain bank-regulated counterpar ties and cer tain of","page_number":107,"box":{"x":102,"y":702,"width":800,"height":12}},{"id":"47b0bf96-c7d7-444d-8d30-46d61fd11110","block_type":"box","text":"their affiliates to include in cer tain financial contracts, including many repurchase agreements and purchase and sale","page_number":107,"box":{"x":68,"y":717,"width":840,"height":12}},{"id":"ebf6683b-2a5b-4167-b066-68cb1e1fa442","block_type":"box","text":"contracts, terms that delay or restrict the rights of counterpar ties, such as a Fund, to terminate such agreements,","page_number":107,"box":{"x":69,"y":732,"width":814,"height":12}},{"id":"82ea6734-1da4-4776-ac1b-bedaa31f67fd","block_type":"box","text":"take foreclosure action, exercise other default rights or restrict transfers of credit suppor t in the event that the","page_number":107,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"daefa904-f373-470c-bc77-7ead503b4306","block_type":"box","text":"counterpar ty and/or its affiliates are subject to cer tain types of resolution or insolvency proceedings. It is possible","page_number":107,"box":{"x":69,"y":763,"width":818,"height":11}},{"id":"66012a9b-4bae-48fd-af3a-805e9e9e1129","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":107,"box":{"x":68,"y":778,"width":783,"height":11}},{"id":"a594869e-5190-416a-9409-9e41a99b6b89","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing repurchase agreements and purchase and sale","page_number":107,"box":{"x":69,"y":793,"width":821,"height":11}},{"id":"c465ed67-b56b-4bbe-add7-7e0e3f54ee80","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":107,"box":{"x":69,"y":808,"width":800,"height":11}},{"id":"1769cc25-bd5c-4e82-bb4b-9b5943fc5863","block_type":"box","text":"require cer tain transactions involving U.S. Treasuries, including repurchase agreements, to be centrally cleared.","page_number":107,"box":{"x":69,"y":823,"width":796,"height":12}},{"id":"b77e3e6e-caff-4501-a394-9ed67106524a","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":107,"box":{"x":69,"y":838,"width":834,"height":12}},{"id":"f2906c8d-f9c9-4099-9b0f-5ffd70eed0cf","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":107,"box":{"x":68,"y":853,"width":824,"height":12}},{"id":"71076cac-f6e5-4b46-8947-80e9baaf941f","block_type":"box","text":"adversely affect a Fund’s per formance.","page_number":107,"box":{"x":69,"y":869,"width":279,"height":11}},{"id":"5435e15e-c332-4211-b591-474463342182","block_type":"box","text":"Restricted Securities.","page_number":107,"box":{"x":102,"y":891,"width":157,"height":9}},{"id":"b6ae01f6-a533-4ec6-8323-de3c03ce1103","block_type":"box","text":"A Fund may invest in or hold securities that are not registered under the Securities Act","page_number":107,"box":{"x":265,"y":891,"width":617,"height":12}},{"id":"4451ba1f-0c45-497d-9d87-d733a33b1da7","block_type":"box","text":"(“restricted securities”), which may include securities in private companies and Rule 144A Securities. Restricted","page_number":107,"box":{"x":69,"y":906,"width":801,"height":12}},{"id":"9abae38f-35e5-4950-9ee9-05f10cd01379","block_type":"box","text":"II-70","page_number":107,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef7a8fbf-78af-4403-9007-267ba4012773","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":107,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"713609cc-fb15-4b27-ae71-70104199b633","block_type":"box","text":"securities may be sold in private placement transactions between issuers and their purchasers, including through","page_number":108,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"178d9db6-3be9-4196-aaf5-2abd11a7c0b0","block_type":"box","text":"private negotiated transactions between the issuer and their purchasers, such as the Funds, and may be neither","page_number":108,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"2390ee3e-f56e-428e-b827-7f3672262d4b","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":108,"box":{"x":70,"y":75,"width":834,"height":11}},{"id":"3ec7e98b-d33d-4ede-a8a6-14b42eb4135a","block_type":"box","text":"freely transferable under the laws of the applicable jurisdiction or due to contractual restrictions on resale. Some of","page_number":108,"box":{"x":68,"y":90,"width":825,"height":11}},{"id":"c725df15-607e-4223-bc28-4033823564b8","block_type":"box","text":"these securities are new and complex, and trade only among institutions; the markets for these securities are still","page_number":108,"box":{"x":68,"y":105,"width":815,"height":11}},{"id":"03867690-bc8e-45dd-9eed-dc390f3cf87e","block_type":"box","text":"developing, and may not function as efficiently as established markets. Typically, investments in private companies","page_number":108,"box":{"x":69,"y":120,"width":821,"height":12}},{"id":"33db3525-712c-448e-a3a9-cfcf699936aa","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":108,"box":{"x":69,"y":136,"width":831,"height":11}},{"id":"40fbea4e-c488-4efe-8ec2-368e19753308","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":108,"box":{"x":70,"y":150,"width":824,"height":12}},{"id":"0c7655d4-5d89-43a8-981a-0132ffa2f560","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":108,"box":{"x":69,"y":166,"width":834,"height":11}},{"id":"b0c67c67-5f1e-4819-94ea-a8842adf7974","block_type":"box","text":"a result of the absence of a public trading market and the potential bespoke nature on cer tain transactions,","page_number":108,"box":{"x":69,"y":181,"width":769,"height":11}},{"id":"199162b3-75c7-44b6-b971-49d0a2520138","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":108,"box":{"x":69,"y":196,"width":838,"height":11}},{"id":"f469f8f9-de3c-42ca-9afa-e55d8a74aa8e","block_type":"box","text":"value than publicly traded securities. To the extent that restricted securities may be resold in privately negotiated","page_number":108,"box":{"x":68,"y":211,"width":805,"height":11}},{"id":"b4d03320-9fd7-4e71-99ec-a767ce3c14c4","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":108,"box":{"x":68,"y":226,"width":840,"height":11}},{"id":"c2f69551-446b-49a2-9ce8-7dc5a6bf582b","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":108,"box":{"x":70,"y":241,"width":815,"height":11}},{"id":"d565c7d6-60b2-458c-a0f0-5530a05c1b39","block_type":"box","text":"character of the issuer, which par ty (if any) will bear the expenses of registering the restricted security, and prevailing","page_number":108,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"d13bfa07-a42d-4e42-9593-d3c1430aede7","block_type":"box","text":"market conditions. In addition, issuers whose securities are not publicly traded or who are not otherwise publicly","page_number":108,"box":{"x":69,"y":272,"width":803,"height":11}},{"id":"7b454447-3dfa-494f-9381-f13a85977d2d","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":108,"box":{"x":70,"y":286,"width":830,"height":12}},{"id":"44bca7a7-b392-4ae4-a62d-9e3e23c99f1c","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":108,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"5ecbb56e-03a8-481e-b42e-cd3f1274ef58","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":108,"box":{"x":68,"y":317,"width":825,"height":11}},{"id":"ee389e07-671e-4cdb-8ee6-d96e596e8685","block_type":"box","text":"of registration. Where registration is required for restricted securities, a considerable time period may elapse","page_number":108,"box":{"x":69,"y":332,"width":777,"height":11}},{"id":"6d6c7e5a-6d00-401b-b388-65ce043fc83b","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":108,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"1b9dbfe8-7a3f-4a93-8912-33e033283106","block_type":"box","text":"an effective registration statement. If during such period, adverse market conditions were to develop, the Fund might","page_number":108,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"d003e10c-5101-446e-91a0-1afc6b260604","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":108,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"90500f59-3ef6-4558-bafd-ffe22b3f033e","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":108,"box":{"x":69,"y":392,"width":836,"height":12}},{"id":"8be22317-dcd7-4988-8983-6010c6c1b9c8","block_type":"box","text":"to purchasers of the restricted securities if the registration statement prepared by the issuer, or the corresponding","page_number":108,"box":{"x":68,"y":407,"width":819,"height":12}},{"id":"f28af878-0ee9-4e74-86a3-cf70d7046690","block_type":"box","text":"prospectus, is materially inaccurate or misleading. Transactions in restricted securities may entail other transaction","page_number":108,"box":{"x":70,"y":423,"width":822,"height":11}},{"id":"a063ffbd-4c8e-413c-bc1b-bc7b7ac617a2","block_type":"box","text":"costs that are higher than those for transactions in unrestricted securities. Cer tain of the Fund’s investments in","page_number":108,"box":{"x":69,"y":438,"width":798,"height":11}},{"id":"fbd1fc08-5fab-405e-8b9b-8eab705da629","block_type":"box","text":"private placements may consist of direct investments and may include investments in smaller, less seasoned","page_number":108,"box":{"x":70,"y":453,"width":780,"height":11}},{"id":"3d3a696b-3227-4508-9435-e4c6d92e62b0","block_type":"box","text":"issuers, which may involve greater risks. Issuers of restricted securities may not be subject to SEC repor ting","page_number":108,"box":{"x":70,"y":468,"width":773,"height":11}},{"id":"4fd1d853-b57d-40bd-a525-3e5e80ae6962","block_type":"box","text":"requirements, may not be required to maintain their accounting records in accordance with generally accepted","page_number":108,"box":{"x":69,"y":483,"width":784,"height":11}},{"id":"b2a1ba12-250d-4d55-9f89-78083bbdcff4","block_type":"box","text":"accounting principles, and may not be required to maintain effective internal controls over financial repor ting. As a","page_number":108,"box":{"x":69,"y":498,"width":816,"height":11}},{"id":"979d86d5-e7b1-41c5-87fe-abdbc9d5a8e1","block_type":"box","text":"result, BlackRock may not have timely or accurate information about the business, financial condition and results of","page_number":108,"box":{"x":69,"y":513,"width":828,"height":11}},{"id":"dbde14f4-ef00-4b45-bad3-1e34b2b78142","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":108,"box":{"x":69,"y":528,"width":831,"height":12}},{"id":"9acec700-779f-40ec-9222-3288409d809d","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":108,"box":{"x":68,"y":543,"width":804,"height":12}},{"id":"f5da4aaf-77b0-4f02-86dd-a09a81616e6b","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":108,"box":{"x":69,"y":559,"width":647,"height":11}},{"id":"1ca87deb-17b0-4921-8ccb-a35708519712","block_type":"box","text":"Cer tain restricted securities may represent limited investment oppor tunities and each shareholder’s","page_number":108,"box":{"x":102,"y":581,"width":714,"height":11}},{"id":"40969b35-9065-4100-be8c-fc545d7e3f40","block_type":"box","text":"propor tionate investment exposure to such limited investment oppor tunities may be reduced propor tionately as the","page_number":108,"box":{"x":70,"y":597,"width":823,"height":11}},{"id":"209772be-4d5b-40cc-87a1-65118392af54","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":108,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"b72625b8-bcb2-4f5f-a516-0b815ef6f015","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":108,"box":{"x":70,"y":627,"width":830,"height":11}},{"id":"4bc67a96-6461-4201-9ba4-b9298a27fc9e","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":108,"box":{"x":69,"y":642,"width":812,"height":11}},{"id":"1f1666ce-78a5-4a15-a2a9-a424bbe69c49","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":108,"box":{"x":69,"y":657,"width":787,"height":11}},{"id":"e91a6640-44a5-46ed-a7a4-57c614f7a117","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":108,"box":{"x":69,"y":672,"width":833,"height":11}},{"id":"c7759d1a-082c-48bc-ac55-719082cad925","block_type":"box","text":"offer other liquidity oppor tunities to the Fund and other investors will extend the holding period of a Fund’s","page_number":108,"box":{"x":69,"y":687,"width":759,"height":11}},{"id":"6ca60390-c308-4ded-a812-752ea0ebdcf1","block_type":"box","text":"investments, potentially indefinitely, and may adversely affect the value of the investments. In making investments in","page_number":108,"box":{"x":70,"y":702,"width":833,"height":12}},{"id":"5649cfeb-7cbd-4d1e-a1c3-ff0f9398c125","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":108,"box":{"x":69,"y":717,"width":828,"height":12}},{"id":"955ea34e-f1d2-4d2a-904f-7c6af2001e04","block_type":"box","text":"conduct por tfolio transactions in such securities. The activity of identifying, completing, and realizing upon attractive","page_number":108,"box":{"x":69,"y":732,"width":827,"height":12}},{"id":"4f6601be-ecc1-4fc3-b6cd-baf17d9f73a0","block_type":"box","text":"investments in restricted securities is highly competitive and involves a high degree of uncer tainty. A Fund will be","page_number":108,"box":{"x":70,"y":748,"width":804,"height":11}},{"id":"54cf4c1c-a568-468f-9e9c-f310c8b6d91e","block_type":"box","text":"competing for investments against other similarly situated investors. It is possible that competition for appropriate","page_number":108,"box":{"x":69,"y":763,"width":816,"height":11}},{"id":"2a06a572-55e0-48d8-a542-b45c1afcf966","block_type":"box","text":"investment oppor tunities may increase, thus potentially reducing the number of investment oppor tunities available to","page_number":108,"box":{"x":70,"y":778,"width":835,"height":11}},{"id":"87297f09-613a-4497-bf61-862b8ceb0f9a","block_type":"box","text":"a Fund and adversely affecting the terms upon which investments can be made. There is no assurance that","page_number":108,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"85156e3d-0f6e-409c-8cc5-923fc5127381","block_type":"box","text":"investment oppor tunities for restricted securities will be available at any given time or at a level desired by a Fund,","page_number":108,"box":{"x":70,"y":808,"width":815,"height":11}},{"id":"eb69eb02-844a-41d2-90f4-12fb98e7e28c","block_type":"box","text":"especially as that Fund grows in size.","page_number":108,"box":{"x":69,"y":823,"width":264,"height":12}},{"id":"ad3ffc80-c0e2-475e-bb96-c459cd77c6b2","block_type":"box","text":"There may not be a readily available market value for a Fund’s restricted securities (in par ticular, restricted","page_number":108,"box":{"x":101,"y":846,"width":762,"height":11}},{"id":"afe1775f-837d-4956-b5ab-78a96cddc737","block_type":"box","text":"securities issued by private companies) and thus they may be considered “illiquid”. Each Fund values restricted","page_number":108,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"3d2b078a-7408-4f13-8874-2e01ec553b55","block_type":"box","text":"securities in accordance with BlackRock’s valuation policies and procedures, which are designed to value","page_number":108,"box":{"x":69,"y":876,"width":751,"height":11}},{"id":"47fbd689-4efb-401a-98dc-eb97cac52ea9","block_type":"box","text":"investments such that they accurately reflect fair value. Due to the inherent uncer tainty and subjectivity of","page_number":108,"box":{"x":70,"y":891,"width":755,"height":11}},{"id":"08509979-291e-4d07-ba2e-14ad738dd188","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":108,"box":{"x":69,"y":906,"width":830,"height":12}},{"id":"8599131d-4156-4c18-a54a-6bd1fa651d94","block_type":"box","text":"II-71","page_number":108,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2e06ec41-4a6c-4403-a718-ed77de4f2a9f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":108,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e68ec100-e31f-41e2-b36c-abf9a42b2924","block_type":"box","text":"private investments may differ significantly from the values that would have been used had a readily available market","page_number":109,"box":{"x":70,"y":45,"width":835,"height":11}},{"id":"d7a8e328-60f7-487e-9412-d8546725c1f6","block_type":"box","text":"value existed for such investments and may differ materially from the amounts the Fund may realize on any","page_number":109,"box":{"x":68,"y":60,"width":766,"height":11}},{"id":"8493699d-88db-4092-a1cc-56275d2fbec1","block_type":"box","text":"dispositions of such investments. Differences in the value of the Fund’s private investments could result in the","page_number":109,"box":{"x":69,"y":75,"width":792,"height":11}},{"id":"1531ad6c-72c5-4eb5-9ec6-e73caa38375e","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":109,"box":{"x":70,"y":90,"width":821,"height":11}},{"id":"9daef71f-cc6e-40ae-abfa-5a0d481a7c75","block_type":"box","text":"Fund’s por tfolio, potentially resulting in the dilution of shareholder interests and increasing oppor tunities for","page_number":109,"box":{"x":70,"y":105,"width":771,"height":11}},{"id":"d274fc8f-5192-4ab5-84a8-ba4f9d32bcb1","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":109,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"7d289034-235e-4506-a0ae-58821547878f","block_type":"box","text":"by other investment companies and investors to price the same restricted securities. In addition, the impact of","page_number":109,"box":{"x":69,"y":135,"width":790,"height":11}},{"id":"521daedc-767c-4d00-a2ac-7d58d13e3a37","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":109,"box":{"x":69,"y":150,"width":828,"height":12}},{"id":"91ed3f41-adf8-4249-ab29-fc4f93523163","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":109,"box":{"x":69,"y":166,"width":810,"height":11}},{"id":"92e5b9f4-3dbb-4ee2-a279-cbc8cbfb31fc","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":109,"box":{"x":70,"y":181,"width":818,"height":11}},{"id":"2a5b84ed-0471-4b80-b30c-e8757eb058c0","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":109,"box":{"x":68,"y":196,"width":839,"height":11}},{"id":"47cc114d-9835-47c2-a1e8-cc991fa00cef","block_type":"box","text":"that the Fund ultimately realizes upon the disposal of such investments.","page_number":109,"box":{"x":68,"y":211,"width":514,"height":11}},{"id":"468bbf43-b1ca-44b2-9775-e689f2cd6558","block_type":"box","text":"See also risks discussed under “Illiquid Investments.”","page_number":109,"box":{"x":102,"y":234,"width":385,"height":11}},{"id":"a68d26ef-1001-4c59-8205-432daa0440ad","block_type":"box","text":"Reverse Repurchase Agreements.","page_number":109,"box":{"x":102,"y":257,"width":246,"height":10}},{"id":"e9200992-fea3-4916-8ea9-4451cff1d4fc","block_type":"box","text":"A Fund may enter into reverse repurchase agreements with the same par ties","page_number":109,"box":{"x":354,"y":257,"width":548,"height":11}},{"id":"c3c25c4d-612a-432f-848e-d0abeea0fa5b","block_type":"box","text":"with whom it may enter into repurchase agreements. Under a reverse repurchase agreement, a Fund sells securities","page_number":109,"box":{"x":68,"y":272,"width":830,"height":11}},{"id":"f4d0968d-364e-412f-a382-6f674f7a8d3a","block_type":"box","text":"to another par ty and agrees to repurchase them at a par ticular date and price. A Fund may enter into a reverse","page_number":109,"box":{"x":68,"y":287,"width":793,"height":11}},{"id":"4b87be78-6fd6-4875-bc70-eccda506b8e2","block_type":"box","text":"repurchase agreement when it is anticipated that the interest income to be earned from the investment of the","page_number":109,"box":{"x":69,"y":302,"width":784,"height":11}},{"id":"b5098796-dce6-4ba0-96be-b436bf896918","block_type":"box","text":"proceeds of the transaction is greater than the interest expense of the transaction.","page_number":109,"box":{"x":70,"y":317,"width":591,"height":11}},{"id":"44255ba1-4407-4e00-b8e0-17a12dc44989","block_type":"box","text":"The use of reverse repurchase agreements may be regarded as leveraging and, therefore, speculative.","page_number":109,"box":{"x":101,"y":339,"width":730,"height":12}},{"id":"74522be1-308d-436f-be59-f8f0d17de6b0","block_type":"box","text":"Fur thermore, reverse repurchase agreements involve the risks that (i) the interest income earned in the investment","page_number":109,"box":{"x":70,"y":355,"width":822,"height":11}},{"id":"60e822a2-de19-49a4-b4f2-0f04ec1d54f3","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":109,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"0bdef85c-9932-4e8a-8eb6-af799a012630","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":109,"box":{"x":69,"y":385,"width":801,"height":11}},{"id":"9a7bc9b6-6bdd-4417-b211-97a6e1a54b32","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":109,"box":{"x":69,"y":400,"width":830,"height":11}},{"id":"1612b9b7-79a4-4fbe-ad28-42a7c26a3d1f","block_type":"box","text":"(iv) the securities will not be returned to the Fund.","page_number":109,"box":{"x":69,"y":415,"width":354,"height":11}},{"id":"fdede7b8-fe60-43dc-ac1a-58275955b9f1","block_type":"box","text":"In addition, if the buyer of securities under a reverse repurchase agreement files for bankruptcy or becomes","page_number":109,"box":{"x":102,"y":438,"width":769,"height":11}},{"id":"4dcc8939-2352-4964-94c1-c669e2f6ba3c","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":109,"box":{"x":70,"y":453,"width":815,"height":11}},{"id":"717f9fdb-00b9-407c-a217-a8416c721c82","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":109,"box":{"x":70,"y":468,"width":782,"height":11}},{"id":"5f49dcf0-1260-4d75-8100-e6d05f8c78cd","block_type":"box","text":"agreement may effectively be restricted pending such decision.","page_number":109,"box":{"x":69,"y":483,"width":449,"height":11}},{"id":"3d4a9722-0dcd-4d5f-9a99-1c6e7d9a5398","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into reverse repurchase agreements and","page_number":109,"box":{"x":102,"y":506,"width":794,"height":11}},{"id":"306a3572-1740-4a63-bd43-eb0876125171","block_type":"box","text":"similar financing transactions (","page_number":109,"box":{"x":69,"y":521,"width":218,"height":11}},{"id":"28142531-c8e2-4d8f-8812-b2f5929fa96d","block_type":"box","text":"e.g.","page_number":109,"box":{"x":289,"y":522,"width":24,"height":10}},{"id":"e84b8f04-4748-4c06-b04e-63865af4f234","block_type":"box","text":", recourse and non-recourse tender option bonds, borrowed bonds) notwithstanding","page_number":109,"box":{"x":316,"y":521,"width":594,"height":11}},{"id":"a8358e53-5ae3-4797-988c-d0edd089f593","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":109,"box":{"x":68,"y":536,"width":813,"height":11}},{"id":"f2f112f6-1e9a-4418-a42f-81e6a066e5af","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":109,"box":{"x":70,"y":551,"width":789,"height":11}},{"id":"f21e58c3-353f-469d-a5fd-636afa10e776","block_type":"box","text":"borrowings in the aggregate, or (ii) treats all such transactions as Derivatives Transactions under Rule 18f-4. See “—","page_number":109,"box":{"x":69,"y":566,"width":836,"height":11}},{"id":"09b19a36-a34e-4c30-85fb-cd86b40a95f7","block_type":"box","text":"Derivatives — Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above. The SEC has also","page_number":109,"box":{"x":70,"y":581,"width":824,"height":12}},{"id":"2c07458b-5430-4639-b7fd-5ae92874588a","block_type":"box","text":"finalized rules that will require cer tain transactions involving U.S. Treasuries, including reverse repurchase","page_number":109,"box":{"x":68,"y":596,"width":758,"height":12}},{"id":"f230db52-2285-4c07-8510-42f89bfe2d77","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":109,"box":{"x":69,"y":612,"width":822,"height":11}},{"id":"b3f5a6c5-4e6c-4485-8c44-890bd7919c5d","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":109,"box":{"x":68,"y":627,"width":838,"height":11}},{"id":"f7487f19-c07d-47bf-9c14-8c463fc7a1e2","block_type":"box","text":"costs of such transactions and may adversely affect a Fund’s per formance.","page_number":109,"box":{"x":69,"y":642,"width":538,"height":11}},{"id":"288234ba-ac22-4718-a1c3-bf070918fb4b","block_type":"box","text":"Additionally, regulations adopted by global prudential regulators require cer tain bank-regulated counterpar ties","page_number":109,"box":{"x":101,"y":665,"width":780,"height":11}},{"id":"e65e7212-8fd8-49fd-8487-9c58142ec959","block_type":"box","text":"and cer tain of their affiliates to include in cer tain financial contracts, including many reverse repurchase agreements,","page_number":109,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"5a0e4310-9c99-4eab-8534-ecee29d9f7ad","block_type":"box","text":"terms that delay or restrict the rights of counterpar ties, such as a Fund, to terminate such agreements, take","page_number":109,"box":{"x":68,"y":695,"width":775,"height":11}},{"id":"8641c7b2-2e36-44f5-8a2e-32c4e39a4d12","block_type":"box","text":"foreclosure action, exercise other default rights or restrict transfers of credit suppor t in the event that the","page_number":109,"box":{"x":68,"y":710,"width":754,"height":11}},{"id":"b075e205-2429-431e-9ef7-626b0de741b1","block_type":"box","text":"counterpar ty and/or its affiliates are subject to cer tain types of resolution or insolvency proceedings. It is possible","page_number":109,"box":{"x":69,"y":725,"width":818,"height":11}},{"id":"70b458b0-f485-4b20-bca8-9ab435a7f35c","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":109,"box":{"x":68,"y":740,"width":783,"height":11}},{"id":"cf3e0859-877b-4a19-b0c2-8ba720762326","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing reverse repurchase agreements or to realize","page_number":109,"box":{"x":69,"y":755,"width":800,"height":11}},{"id":"263d11d7-ab0c-4264-95b2-7e55f220915e","block_type":"box","text":"amounts to be received under such agreements.","page_number":109,"box":{"x":69,"y":771,"width":345,"height":11}},{"id":"944f6df0-fd3a-4d68-b418-2c39c664ffb6","block_type":"box","text":"Rights Offerings and Warrants to Purchase.","page_number":109,"box":{"x":102,"y":793,"width":316,"height":11}},{"id":"601bb394-75fe-44fb-8f33-3881b4e79fc5","block_type":"box","text":"Cer tain Funds may par ticipate in rights offerings and may purchase","page_number":109,"box":{"x":424,"y":793,"width":481,"height":11}},{"id":"08b65bbc-ef5d-4934-aea1-6a90fe45ffd1","block_type":"box","text":"warrants, which are privileges issued by corporations enabling the owners to subscribe to and purchase a specified","page_number":109,"box":{"x":68,"y":808,"width":822,"height":11}},{"id":"c072143c-985c-48bd-a9cb-d8fc2bb5896f","block_type":"box","text":"number of shares of the corporation at a specified price during a specified period of time. Subscription rights","page_number":109,"box":{"x":69,"y":823,"width":776,"height":12}},{"id":"2a9c487f-e5da-48bd-b7d3-fa3aaedeabfa","block_type":"box","text":"normally have a shor t life span to expiration. The purchase of rights or warrants involves the risk that a Fund could","page_number":109,"box":{"x":69,"y":838,"width":817,"height":12}},{"id":"f1f998f2-f133-4ef0-8a1b-1cf05f919772","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":109,"box":{"x":70,"y":853,"width":833,"height":12}},{"id":"061e6a0a-b7c6-4eae-b35b-fa5758f4c98e","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":109,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"b86c511a-bccf-4bad-89b3-bb110986f560","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":109,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"77b52bbe-852f-4d57-8fab-a522022d3cb7","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":109,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"edcfabfb-ce3d-4bc0-a06b-6dc5a4fd19a0","block_type":"box","text":"II-72","page_number":109,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3aa4abf2-bef3-4e67-a67a-9762600f63f5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":109,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6e4fadad-28a2-4363-a9e8-25ee49a038df","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":110,"box":{"x":69,"y":45,"width":777,"height":11}},{"id":"2c74f077-285f-4178-86b8-bea7100fbf8d","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":110,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"6a6a8c02-0927-466a-86f6-6c358457b426","block_type":"box","text":"this reason investments in warrants may be more speculative than other equity-based investments.","page_number":110,"box":{"x":68,"y":75,"width":708,"height":11}},{"id":"3a5de5dc-e7b6-4673-9083-ccb3e5dda981","block_type":"box","text":"Rule 144A Securities.","page_number":110,"box":{"x":102,"y":98,"width":159,"height":9}},{"id":"e9ec4081-83ab-4048-b1e0-cfd5ac254b7e","block_type":"box","text":"A Fund may purchase securities that can be offered and sold only to “qualified","page_number":110,"box":{"x":266,"y":98,"width":560,"height":11}},{"id":"15d3fbcc-f649-4946-990a-e48da03da028","block_type":"box","text":"institutional buyers” pursuant to Rule 144A under the Securities Act. See “Restricted Securities” above.","page_number":110,"box":{"x":70,"y":113,"width":741,"height":11}},{"id":"b8ec9b14-177e-485d-8dee-65da0e007afb","block_type":"box","text":"Securities Lending.","page_number":110,"box":{"x":101,"y":135,"width":139,"height":11}},{"id":"de889b16-a6b5-45a7-8d3b-eae4f464ff10","block_type":"box","text":"Each Fund may lend por tfolio securities to cer tain borrowers that BlackRock determines to","page_number":110,"box":{"x":247,"y":135,"width":645,"height":11}},{"id":"b91f6aaf-e6a5-45d6-9830-d9bf5fb337cd","block_type":"box","text":"be creditwor thy, including borrowers affiliated with BlackRock. The borrowers provide collateral that is maintained in","page_number":110,"box":{"x":69,"y":150,"width":825,"height":12}},{"id":"7123a2bc-5608-4a40-9b4a-974f16e39946","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":110,"box":{"x":69,"y":166,"width":817,"height":11}},{"id":"7ef89eb3-00be-4208-a426-49e799c8adb3","block_type":"box","text":"behalf of a Fund if, as a result, the aggregate value of all securities loans of the par ticular Fund exceeds one-third of","page_number":110,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"fd08f9b1-f142-4f97-889c-e40da2b5f2b2","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":110,"box":{"x":68,"y":196,"width":827,"height":11}},{"id":"dac50858-287f-4399-9cc3-99e763b42fe9","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":110,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"047128df-8bcb-408e-8f10-674fb102fa84","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":110,"box":{"x":69,"y":226,"width":838,"height":11}},{"id":"07c3f1b5-1b7f-45fe-97b0-d768b94b06ab","block_type":"box","text":"the securities were not on loan.","page_number":110,"box":{"x":68,"y":241,"width":225,"height":9}},{"id":"066a948a-9ffd-4015-9508-29e1c0372779","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":110,"box":{"x":101,"y":264,"width":799,"height":11}},{"id":"b47604a2-dd07-49de-bf0f-0e06f81421cb","block_type":"box","text":"amount of cash collateral. The Funds are compensated by any positive difference between the amount earned on the","page_number":110,"box":{"x":69,"y":279,"width":835,"height":11}},{"id":"9e3e99f9-5ea9-4a59-a709-cfafeb5bb1fe","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":110,"box":{"x":69,"y":294,"width":824,"height":11}},{"id":"5a8a1934-4dcc-47b8-bb41-7bc953a41d39","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":110,"box":{"x":69,"y":309,"width":821,"height":11}},{"id":"657f3a9e-4643-4839-8647-4e6121fc96ba","block_type":"box","text":"cash collateral received by the Fund for such loans, and uninvested cash, may be reinvested in cer tain shor t-term","page_number":110,"box":{"x":69,"y":324,"width":810,"height":11}},{"id":"0536c86a-3a7a-4ece-8a1e-55f996d97143","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":110,"box":{"x":70,"y":339,"width":789,"height":12}},{"id":"c360b1b2-cb65-41ab-b9ae-dbbc482eb267","block_type":"box","text":"including those affiliated with BlackRock; such investments are subject to investment risk.","page_number":110,"box":{"x":70,"y":355,"width":643,"height":11}},{"id":"37fec45f-fed5-4488-b736-85f1d1145b88","block_type":"box","text":"Securities lending involves exposure to cer tain risks, including operational risk (","page_number":110,"box":{"x":102,"y":377,"width":568,"height":12}},{"id":"baebc8f9-d6b1-4813-b976-aa500d356fb6","block_type":"box","text":"i.e.","page_number":110,"box":{"x":672,"y":377,"width":20,"height":9}},{"id":"4e9ea2c8-8c9d-4fb2-b6df-c4fddc9d421a","block_type":"box","text":", the risk of losses resulting","page_number":110,"box":{"x":695,"y":377,"width":198,"height":12}},{"id":"56a39cb4-df7c-4702-85cf-863dd3fd8f9b","block_type":"box","text":"from problems in the settlement and accounting process), “gap” risk (","page_number":110,"box":{"x":68,"y":392,"width":501,"height":12}},{"id":"7c3c3e4a-9673-410d-859c-a71307dd00a8","block_type":"box","text":"i.e.","page_number":110,"box":{"x":571,"y":393,"width":20,"height":8}},{"id":"1770646d-8ad2-4fd7-a576-38380c723733","block_type":"box","text":", the risk of a mismatch between the return","page_number":110,"box":{"x":594,"y":392,"width":307,"height":11}},{"id":"c8d017b4-6173-4ffa-82c4-d9c3355c8456","block_type":"box","text":"on cash collateral reinvestments and the fees each Fund has agreed to pay a borrower), foreign exchange risk (","page_number":110,"box":{"x":69,"y":407,"width":794,"height":12}},{"id":"c55ca23b-dfe0-4717-8657-5f04dc513280","block_type":"box","text":"i.e.","page_number":110,"box":{"x":865,"y":408,"width":20,"height":8}},{"id":"41c88294-d75a-4103-b278-a2eb95b8b6c3","block_type":"box","text":",","page_number":110,"box":{"x":888,"y":415,"width":2,"height":3}},{"id":"5005871a-2f8a-4a70-b89d-bfeae9889a23","block_type":"box","text":"the risk of a shor tfall at default when a cash collateral investment is denominated in a currency other than the","page_number":110,"box":{"x":68,"y":423,"width":788,"height":11}},{"id":"39f9a38f-8070-49b7-bebe-e7fe9f6905f4","block_type":"box","text":"currency of the assets being loaned due to movements in foreign exchange rates), and credit, legal, counterpar ty and","page_number":110,"box":{"x":69,"y":438,"width":837,"height":11}},{"id":"d6539905-244e-447f-b0fc-f903c31930a2","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":110,"box":{"x":69,"y":453,"width":822,"height":11}},{"id":"099eb3f3-d677-451f-a214-beb800df06d2","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":110,"box":{"x":68,"y":468,"width":811,"height":11}},{"id":"3ac35954-65da-421d-a717-06b9add1e27d","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":110,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"88d5288a-3ab8-489b-a9a0-af6ad388af97","block_type":"box","text":"are subject to a corporate action and commit to the borrower a par ticular election as determined by the Fund’s","page_number":110,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"2ede197d-c90e-4be9-bd81-88bf920c32fb","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":110,"box":{"x":70,"y":513,"width":820,"height":12}},{"id":"74f245b3-4485-4beb-97ca-fb51d9bae032","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":110,"box":{"x":70,"y":528,"width":805,"height":12}},{"id":"3dba12f2-c817-48f1-88b5-3e0af56f5ed5","block_type":"box","text":"securities lending counterpar ty were to default, a Fund would be subject to the risk of a possible delay in receiving","page_number":110,"box":{"x":69,"y":543,"width":816,"height":12}},{"id":"04c2f663-7310-48f5-9060-3c614b6cf07e","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":110,"box":{"x":69,"y":559,"width":775,"height":11}},{"id":"77e6d9ef-2d8f-4dfa-8644-b6f18aeebde3","block_type":"box","text":"borrower does not return a Fund’s securities as agreed, the Fund’s ability to par ticipate in a corporate action event","page_number":110,"box":{"x":69,"y":574,"width":821,"height":11}},{"id":"372c400a-3aac-480a-b752-7505546dccb7","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":110,"box":{"x":69,"y":589,"width":838,"height":11}},{"id":"c7f76b78-7dc8-4e84-aaf7-963e936066a4","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":110,"box":{"x":70,"y":604,"width":837,"height":11}},{"id":"9fdb91d8-ac07-4c5a-948c-f8112cb5be27","block_type":"box","text":"in purchasing replacement securities. This latter event could trigger adverse tax consequences for a Fund. A Fund","page_number":110,"box":{"x":70,"y":619,"width":808,"height":11}},{"id":"515c6fec-a60f-4269-9452-45cbf0a5e70d","block_type":"box","text":"could lose money if its shor t-term investment of the collateral declines in value over the period of the loan. Substitute","page_number":110,"box":{"x":69,"y":634,"width":839,"height":11}},{"id":"90f9b082-096b-445a-8ac0-95a94225c0c1","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":110,"box":{"x":70,"y":650,"width":832,"height":11}},{"id":"7fe3ff5f-ec6c-4b6b-b439-58a2f1822187","block_type":"box","text":"qualified dividend income, and distributions by the Fund of such substitute payments will not constitute qualified","page_number":110,"box":{"x":69,"y":664,"width":801,"height":12}},{"id":"fc903cad-cf1c-4fbf-9952-0ae45b156884","block_type":"box","text":"dividend income. Additionally, substitute payments received by a Fund representing qualified REIT dividends paid on","page_number":110,"box":{"x":69,"y":680,"width":823,"height":11}},{"id":"57e4c066-83fe-4fd4-9271-c4217c7374cd","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":110,"box":{"x":70,"y":695,"width":823,"height":11}},{"id":"1261a33e-7792-4c4d-ad01-d27689cb10ca","block_type":"box","text":"of such substitute payments will not be eligible for a 20% deduction currently available for ordinary REIT dividends","page_number":110,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"a78d9c2d-9120-4358-868f-9bc8a4b51f19","block_type":"box","text":"paid to non-corporate shareholders provided cer tain other requirements are satisfied. The securities lending agent","page_number":110,"box":{"x":70,"y":725,"width":814,"height":11}},{"id":"1b513e29-e14b-442b-a688-fdf7bbd2d331","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":110,"box":{"x":68,"y":740,"width":787,"height":11}},{"id":"bb8e4d96-4203-4694-bd4c-5906e5c6a9a5","block_type":"box","text":"securities lending program. Substitute payments received on tax-exempt securities loaned out will not be tax-exempt","page_number":110,"box":{"x":69,"y":755,"width":828,"height":11}},{"id":"cd83714f-8940-49e8-a1fe-54310af97b4f","block_type":"box","text":"income. There could also be changes in the status of issuers under applicable laws and regulations, including tax","page_number":110,"box":{"x":70,"y":770,"width":809,"height":12}},{"id":"0012a025-a0f0-44e1-bcb8-b355b4b1f070","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":110,"box":{"x":69,"y":785,"width":821,"height":12}},{"id":"03875511-f009-4e60-a26f-e948b919d0c3","block_type":"box","text":"delay in the payment of dividend equivalent payments owed to a Fund (as permitted by applicable law).","page_number":110,"box":{"x":69,"y":801,"width":731,"height":11}},{"id":"c4b6d88d-3cf4-4eab-ad5d-c45521b62e6c","block_type":"box","text":"Regulations adopted by global prudential regulators require cer tain bank-regulated counterpar ties and cer tain of","page_number":110,"box":{"x":102,"y":823,"width":800,"height":12}},{"id":"7f797fe7-d768-4f32-a0a3-bc4bcfafec5e","block_type":"box","text":"their affiliates to include in cer tain financial contracts, including many securities lending agreements, terms that","page_number":110,"box":{"x":68,"y":838,"width":802,"height":12}},{"id":"7caf3e07-ae36-4431-927e-f2b75a078aa9","block_type":"box","text":"delay or restrict the rights of counterpar ties, such as the Fund, to terminate such agreements, foreclose upon","page_number":110,"box":{"x":69,"y":853,"width":783,"height":12}},{"id":"386cc71c-b474-45f9-bd9c-5cf082b32214","block_type":"box","text":"collateral, exercise other default rights or restrict transfers of credit suppor t in the event that the counterpar ty and/or","page_number":110,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"672e0e9b-ea04-461d-a19a-41be641dfaa5","block_type":"box","text":"its affiliates are subject to cer tain types of resolution or insolvency proceedings. It is possible that these","page_number":110,"box":{"x":70,"y":884,"width":747,"height":11}},{"id":"41c4d780-57c3-4b54-9084-97c40814a4a4","block_type":"box","text":"requirements, as well as potential additional government regulation and other developments in the market, could","page_number":110,"box":{"x":69,"y":899,"width":806,"height":11}},{"id":"f96a558a-fb07-4fad-a325-3da30476cdf6","block_type":"box","text":"II-73","page_number":110,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ff7866d8-aec0-4dc8-85e5-157a313edac4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":110,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8c1f160d-c2ca-4800-853f-03aa72d07982","block_type":"box","text":"adversely affect the Fund’s ability to terminate existing securities lending agreements or to realize amounts to be","page_number":111,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"6e24a78c-3699-44b7-bd5b-7c05df4143a2","block_type":"box","text":"received under such agreements. Prudential regulation may also favor lenders that can provide additional protections,","page_number":111,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"74b52dd8-3c8e-4527-8b14-f5c3c6f86fe9","block_type":"box","text":"such as liens that are exercisable in connection with a lender default, to borrowers. Cer tain Funds expect to provide","page_number":111,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"aeef5d1e-5973-4b38-8d09-7d40185d2d91","block_type":"box","text":"additional protections to borrowers, where permitted pursuant to a Fund’s investment policies and if BlackRock","page_number":111,"box":{"x":69,"y":90,"width":794,"height":11}},{"id":"be2e5ed4-1da8-49fe-baf2-82a943c8afa0","block_type":"box","text":"believes doing so is in the best interest of the Fund.","page_number":111,"box":{"x":69,"y":105,"width":371,"height":11}},{"id":"58ef1c91-bc94-44ce-91bd-ddae90574df2","block_type":"box","text":"The SEC has adopted a rule that will require repor ting and public disclosure of securities loan transaction","page_number":111,"box":{"x":101,"y":128,"width":753,"height":11}},{"id":"c582027e-9a9a-420d-b9bc-050d15ec09f0","block_type":"box","text":"information (not including par ty names); this may include, but is not limited to, information about securities loans","page_number":111,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"89f36c14-7594-4c18-b628-c7ecb3a9c258","block_type":"box","text":"entered into in connection with shor t sales. Compliance with this rule is expected to be required in late 2028,","page_number":111,"box":{"x":69,"y":158,"width":784,"height":11}},{"id":"4fc5e3d6-c685-404a-8904-d1e42ca66ae0","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":111,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"910c497d-b835-44d5-a799-76fa825d0cf1","block_type":"box","text":"the current expected compliance date.","page_number":111,"box":{"x":68,"y":188,"width":273,"height":11}},{"id":"37759d62-e0d9-4f14-a25a-4af9d8641aa9","block_type":"box","text":"Short Sales.","page_number":111,"box":{"x":101,"y":211,"width":89,"height":9}},{"id":"d8a550f9-ea41-4a38-a12f-5e41f6cb98ac","block_type":"box","text":"Cer tain Funds may make shor t sales of securities, either as a hedge against potential declines in","page_number":111,"box":{"x":196,"y":211,"width":696,"height":11}},{"id":"6dd1e9dc-e4b8-45d0-b323-bcbc21a9dc54","block_type":"box","text":"value of a por tfolio security or to realize appreciation when a security that the Fund does not own declines in value.","page_number":111,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"c24c4824-f715-4715-bdc6-f5f06d3eb5c8","block_type":"box","text":"Cer tain Funds have a fundamental investment restriction prohibiting shor t sales of securities unless they are","page_number":111,"box":{"x":69,"y":241,"width":778,"height":11}},{"id":"37f9915d-96e4-45eb-857b-4536e2877c6f","block_type":"box","text":"“against-the-box.” In a shor t sale “against-the-box,” at the time of the sale, the Fund owns or has the immediate and","page_number":111,"box":{"x":70,"y":256,"width":831,"height":12}},{"id":"45ea6ba3-c542-460e-87db-6283058da8cd","block_type":"box","text":"unconditional right to acquire the identical security at no additional cost. When a Fund makes a shor t sale, it borrows","page_number":111,"box":{"x":69,"y":272,"width":837,"height":11}},{"id":"526e5f32-8795-475c-a071-aebc525cedf2","block_type":"box","text":"the security sold shor t and delivers it to the broker-dealer through which it made the shor t sale. A Fund may have to","page_number":111,"box":{"x":68,"y":287,"width":828,"height":11}},{"id":"0718b913-85d4-4ca3-a469-02d56d46809f","block_type":"box","text":"pay a fee to borrow par ticular securities and is often obligated to turn over any payments received on such borrowed","page_number":111,"box":{"x":70,"y":302,"width":829,"height":11}},{"id":"5d2e4b3d-c9fb-4861-a3a6-e77fdd6c5fdd","block_type":"box","text":"securities to the lender of the securities.","page_number":111,"box":{"x":69,"y":317,"width":289,"height":9}},{"id":"f4b5fd4e-9996-4b9f-bbd8-c858ac54109b","block_type":"box","text":"A Fund secures its obligation to replace the borrowed security by depositing collateral with the broker-dealer,","page_number":111,"box":{"x":101,"y":340,"width":772,"height":11}},{"id":"c19baafc-9717-4fdb-bad7-5867e0709340","block_type":"box","text":"usually in cash, U.S. Government Securities or other liquid securities similar to those borrowed. With respect to","page_number":111,"box":{"x":69,"y":355,"width":795,"height":11}},{"id":"c6fd81a0-1c12-4d4e-8153-18394809fb21","block_type":"box","text":"uncovered shor t positions, a Fund is required to deposit similar collateral with its custodian, if necessary, to the","page_number":111,"box":{"x":69,"y":370,"width":801,"height":11}},{"id":"4bbdde4d-f050-479a-b761-26f688083c06","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":111,"box":{"x":69,"y":385,"width":830,"height":11}},{"id":"1c6c469d-a29a-46ea-a592-30f9118195f9","block_type":"box","text":"market value of the security sold shor t. Depending on arrangements made with the broker-dealer from which the Fund","page_number":111,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"b134307c-6a72-46dc-b3fc-928be5e9ea6b","block_type":"box","text":"borrowed the security, regarding payment received by the Fund on such security, a Fund may not receive any","page_number":111,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"8802f395-36cd-47c3-a412-93ae78be3ed9","block_type":"box","text":"payments (including interest) on its collateral deposited with such broker-dealer.","page_number":111,"box":{"x":70,"y":430,"width":568,"height":11}},{"id":"16c8b3b6-bf15-4bb9-88b7-87a62385a260","block_type":"box","text":"Because making shor t sales in securities that it does not own exposes a Fund to the risks associated with those","page_number":111,"box":{"x":102,"y":453,"width":806,"height":11}},{"id":"5314ad5f-b006-4b85-85a8-3cfebe639bb2","block_type":"box","text":"securities, such shor t sales involve speculative exposure risk. A Fund will incur a loss as a result of a shor t sale if","page_number":111,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"0717e46d-a2b9-49d8-92fc-de2cbe5b8f5e","block_type":"box","text":"the price of the security increases between the date of the shor t sale and the date on which the Fund replaces the","page_number":111,"box":{"x":68,"y":483,"width":819,"height":11}},{"id":"6e907130-26f2-45ad-b084-2be87bb86725","block_type":"box","text":"borrowed security. As a result, if a Fund makes shor t sales in securities that increase in value, it will likely","page_number":111,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"8681bfdc-be0b-4e9f-8d25-eff2a386fc5f","block_type":"box","text":"underper form similar mutual funds that do not make shor t sales in securities. A Fund will realize a gain on a shor t","page_number":111,"box":{"x":69,"y":513,"width":817,"height":12}},{"id":"dccc4736-a177-47bd-8eba-80b78742199d","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":111,"box":{"x":69,"y":528,"width":800,"height":12}},{"id":"6cf8e07e-f63b-4bff-820b-47a1c89d31b5","block_type":"box","text":"close out a shor t sale position at any par ticular time or at an acceptable price. Although a Fund’s gain is limited to","page_number":111,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"ffa481d7-fdc1-4e90-823d-286f3d8104e9","block_type":"box","text":"the price at which it sold the security shor t, its potential loss is limited only by the maximum attainable price of the","page_number":111,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"28d027f2-9b72-4e4a-bc86-1209f7306d3c","block_type":"box","text":"security, less the price at which the security was sold and may, theoretically, be unlimited.","page_number":111,"box":{"x":69,"y":574,"width":640,"height":11}},{"id":"ac8bd39a-c233-4a50-8f02-604c72927d56","block_type":"box","text":"A Fund may also make shor t sales “against the box” without being subject to such limitations.","page_number":111,"box":{"x":101,"y":597,"width":673,"height":11}},{"id":"8fae295c-c7fa-4f41-ad37-c0e30690709b","block_type":"box","text":"A Fund must comply with Rule 18f-4 under the Investment Company Act with respect to its shor t sale","page_number":111,"box":{"x":101,"y":619,"width":721,"height":11}},{"id":"106e7680-8393-4289-be86-23c03600b805","block_type":"box","text":"borrowings, which are considered Derivatives Transactions under the Rule. See “—Derivatives — Regulation of","page_number":111,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"bec10e54-80be-498c-8019-a153d69cd3ed","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":111,"box":{"x":70,"y":649,"width":489,"height":12}},{"id":"74a3145b-55c6-4638-9cba-b067ecd31e38","block_type":"box","text":"Shor t sales are also subject to cer tain SEC regulations and cer tain European Union and United Kingdom","page_number":111,"box":{"x":102,"y":672,"width":745,"height":11}},{"id":"231fa479-f6c3-434c-a5b3-be0c0576826b","block_type":"box","text":"regulations (under which there are restrictions on net shor t sales in cer tain securities). If the SEC or regulatory","page_number":111,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"87f88a85-a93c-43e1-847c-29fa30e5b002","block_type":"box","text":"authorities in other jurisdictions were to adopt additional restrictions regarding shor t sales, they could restrict a","page_number":111,"box":{"x":69,"y":703,"width":796,"height":11}},{"id":"610ac508-ef49-4488-912f-a2c19f9ca6ef","block_type":"box","text":"Fund’s ability to engage in shor t sales in cer tain circumstances, and the Fund may be unable to execute its","page_number":111,"box":{"x":70,"y":718,"width":766,"height":11}},{"id":"823e9f70-7dda-4234-ae37-e59fe644344f","block_type":"box","text":"investment strategy as a result. In response to market events, the SEC and regulatory authorities in other","page_number":111,"box":{"x":70,"y":733,"width":754,"height":11}},{"id":"60ff46bf-4476-4189-bcdd-a839b71143e0","block_type":"box","text":"jurisdictions may adopt (and in cer tain cases, have adopted) bans or other restrictions on shor t sales of cer tain","page_number":111,"box":{"x":67,"y":748,"width":800,"height":11}},{"id":"303b5dd4-c6f2-4e41-9bb9-73d020347c14","block_type":"box","text":"securities or on derivatives and other hedging instruments used to achieve a similar economic effect. Such bans or","page_number":111,"box":{"x":69,"y":763,"width":823,"height":11}},{"id":"ae6324d1-f548-4050-943b-bd5e7b777e39","block_type":"box","text":"other restrictions may make it impossible for a Fund to execute cer tain investment strategies and may have a","page_number":111,"box":{"x":69,"y":778,"width":782,"height":11}},{"id":"7be54006-92a8-43bc-afb1-2918d32d17f8","block_type":"box","text":"material adverse effect on the Fund’s ability to generate returns.","page_number":111,"box":{"x":69,"y":793,"width":460,"height":11}},{"id":"559bb6c6-3f60-4355-a840-3527879f7734","block_type":"box","text":"Special Purpose Acquisition Companies.","page_number":111,"box":{"x":101,"y":816,"width":293,"height":11}},{"id":"81769334-d626-44c1-90c2-6f3a32e9b756","block_type":"box","text":"A Fund may invest in stock, warrants, rights and other interests issued","page_number":111,"box":{"x":400,"y":816,"width":504,"height":11}},{"id":"223e4641-e1d0-4d9a-918a-b1a14d11e1d0","block_type":"box","text":"by special purpose acquisition companies (“SPACs”) or similar special purpose entities that pool funds to seek","page_number":111,"box":{"x":69,"y":831,"width":791,"height":11}},{"id":"99eccf70-8181-45b7-884e-224b04d988a4","block_type":"box","text":"potential acquisition oppor tunities, including the “founder’s” shares and warrants described below. A SPAC is a","page_number":111,"box":{"x":70,"y":846,"width":793,"height":11}},{"id":"cb024d18-48a5-4e7b-874f-14f5c7ea2a6a","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":111,"box":{"x":70,"y":861,"width":824,"height":11}},{"id":"91eaa1b0-1f67-4089-9999-075093a059da","block_type":"box","text":"more operating businesses or assets. In connection with forming a SPAC, the SPAC’s sponsors acquire “founder’s”","page_number":111,"box":{"x":69,"y":876,"width":821,"height":11}},{"id":"989e0a72-479c-4d2c-87c9-19cea05af4e5","block_type":"box","text":"shares, generally for nominal consideration, and warrants that will result in the sponsors owning a specified","page_number":111,"box":{"x":69,"y":891,"width":768,"height":12}},{"id":"1cb76db2-c767-4b67-9b16-667998332835","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":111,"box":{"x":70,"y":906,"width":826,"height":12}},{"id":"c7959304-b58e-41e8-b28e-863c192917bf","block_type":"box","text":"II-74","page_number":111,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"edf03d42-d787-4aa6-9375-3d483918295b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":111,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"61a9bc12-d415-459e-8dc2-8383999d91b3","block_type":"box","text":"conducts an IPO, it has selected a management team but has not yet identified a specific acquisition oppor tunity.","page_number":112,"box":{"x":69,"y":45,"width":809,"height":11}},{"id":"a41054aa-19ff-4ed2-b146-15ccf99e3ebc","block_type":"box","text":"Unless and until an acquisition is completed, a SPAC generally invests its assets in U.S. Government securities,","page_number":112,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"295a7945-e60e-4e90-9a60-02d7b26b584c","block_type":"box","text":"money market securities and cash. If an acquisition that meets the requirements for the SPAC is not completed","page_number":112,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"1e65a567-5926-4ac3-bb24-d89f9378ed5b","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":112,"box":{"x":68,"y":90,"width":788,"height":11}},{"id":"c656b9a8-67f4-4ae5-b080-5ffc2c73113e","block_type":"box","text":"warrants expire, and the “founder’s” shares and such warrants become wor thless. Because SPACs and similar","page_number":112,"box":{"x":68,"y":105,"width":794,"height":11}},{"id":"9c48f230-18a3-4423-9c51-2229f761df65","block_type":"box","text":"entities are in essence “blank check” companies without operating histories or ongoing business operations (other","page_number":112,"box":{"x":69,"y":120,"width":820,"height":12}},{"id":"dc7df6f0-efc5-423b-8c2a-a42920fcff06","block_type":"box","text":"than identifying and pursuing acquisitions), the potential for the long-term capital appreciation of their securities is","page_number":112,"box":{"x":68,"y":135,"width":815,"height":12}},{"id":"8aea00b6-5a1b-48bd-9ba2-ddc8d5b5c615","block_type":"box","text":"par ticularly dependent on the ability of the SPAC’s management to identify and complete a profitable acquisition.","page_number":112,"box":{"x":70,"y":150,"width":802,"height":12}},{"id":"0789762b-eb18-4afe-883d-21132db9b76d","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":112,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"7505c72f-1b79-4360-86f6-b709eafb4113","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":112,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"a98761e2-4d3b-4ec6-a188-658372b5c61d","block_type":"box","text":"cer tain industries or regions, which may ultimately lead to an increase in the volatility of their prices following the","page_number":112,"box":{"x":69,"y":196,"width":806,"height":11}},{"id":"8a14c13f-8450-45cd-8282-7837862fe579","block_type":"box","text":"acquisition. In addition, some of these securities may be considered illiquid and/or subject to restrictions on resale.","page_number":112,"box":{"x":69,"y":211,"width":828,"height":11}},{"id":"13961618-bba1-43b9-872d-4dd055c69787","block_type":"box","text":"Standby Commitment Agreements.","page_number":112,"box":{"x":101,"y":234,"width":255,"height":11}},{"id":"412d84e3-8bd1-45ec-bccb-8626dccdc518","block_type":"box","text":"Standby commitment agreements commit a Fund, for a stated period of","page_number":112,"box":{"x":362,"y":234,"width":511,"height":11}},{"id":"4990c9d2-c95b-43d9-9168-d12b6113d13f","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":112,"box":{"x":68,"y":249,"width":834,"height":11}},{"id":"81d90ac4-250e-4fde-9d02-a50563ec6be4","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":112,"box":{"x":68,"y":264,"width":834,"height":11}},{"id":"a0d68689-7be9-4d41-b03c-7299a1e58803","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":112,"box":{"x":70,"y":279,"width":802,"height":11}},{"id":"cff14dc3-1def-4e26-9861-0084c9cb0e68","block_type":"box","text":"agreements for the purpose of investing in the security underlying the commitment at a price that is considered","page_number":112,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"25055a85-2963-41da-b6b4-6d89a1fe9977","block_type":"box","text":"advantageous to the Fund.","page_number":112,"box":{"x":69,"y":309,"width":188,"height":11}},{"id":"333d01fd-98de-4410-ba17-65ecea934cbb","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":112,"box":{"x":101,"y":332,"width":800,"height":11}},{"id":"88c5ae56-70e0-418a-86c2-a672551a4b48","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":112,"box":{"x":68,"y":347,"width":816,"height":11}},{"id":"bbf78da5-c56c-4411-9d9c-65fa9f641029","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":112,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"1851a988-037f-4551-bdd5-1b79628939c1","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":112,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"2c52c572-c461-4d02-8ab4-6f02822d52f3","block_type":"box","text":"The purchase of a security pursuant to a standby commitment agreement and the related commitment fee will","page_number":112,"box":{"x":101,"y":400,"width":785,"height":11}},{"id":"837c1dc6-6ab5-4058-9d86-be65fcdc734e","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":112,"box":{"x":69,"y":415,"width":837,"height":11}},{"id":"fa9e2bb3-94cd-4871-a965-59a914defee4","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":112,"box":{"x":68,"y":430,"width":815,"height":11}},{"id":"6923e6cd-f86e-4ab1-bfb2-930a965bad9d","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":112,"box":{"x":69,"y":445,"width":792,"height":11}},{"id":"6ebb2ccb-36d5-4159-8d11-af1619381d47","block_type":"box","text":"income on the expiration date of the standby commitment.","page_number":112,"box":{"x":70,"y":460,"width":415,"height":12}},{"id":"6d92c200-c154-4e43-951d-7c0a92dd607a","block_type":"box","text":"Standby commitments will only be entered into with dealers, banks and broker-dealers which, in the Manager’s","page_number":112,"box":{"x":102,"y":483,"width":789,"height":11}},{"id":"06e05630-8e6c-4183-ad39-7af860137d79","block_type":"box","text":"or sub-adviser’s opinion, present minimal credit risks. A Fund will acquire standby commitments solely to facilitate","page_number":112,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"c1072e44-4f64-4f6f-8602-9e5a7c6d62e4","block_type":"box","text":"por tfolio liquidity and not to exercise its rights thereunder for trading purposes. Standby commitments will be valued","page_number":112,"box":{"x":70,"y":513,"width":827,"height":12}},{"id":"3cd9ee83-de8b-47c8-adcc-aaf10ce3ae55","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":112,"box":{"x":69,"y":528,"width":815,"height":12}},{"id":"367165c1-7158-4dd5-9505-3d6dd249e252","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":112,"box":{"x":68,"y":543,"width":817,"height":12}},{"id":"30b26bd9-506f-499f-a4da-a85dd55b2206","block_type":"box","text":"reflected as a realized gain or loss when the commitment is exercised or expires.","page_number":112,"box":{"x":69,"y":559,"width":578,"height":11}},{"id":"6f95f3fc-8ee1-4ac8-9161-d5e90a45f684","block_type":"box","text":"Stripped Securities.","page_number":112,"box":{"x":101,"y":581,"width":143,"height":11}},{"id":"38ade063-91a2-4a26-baf9-bd87b1429229","block_type":"box","text":"Stripped securities are created when the issuer separates the interest and principal","page_number":112,"box":{"x":251,"y":581,"width":596,"height":11}},{"id":"b04e93fc-2ee0-413b-a125-68b08a04dd72","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":112,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"f5a28829-6d38-4d05-b725-a34e215a27f6","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":112,"box":{"x":70,"y":612,"width":818,"height":11}},{"id":"c62013a2-a6d8-4512-8170-4358be609640","block_type":"box","text":"payments (the principal only or “PO” security). Some stripped securities may receive a combination of interest and","page_number":112,"box":{"x":70,"y":627,"width":813,"height":11}},{"id":"02cc0e12-6ffb-4126-b5c1-20b2465e9ce0","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":112,"box":{"x":70,"y":642,"width":777,"height":11}},{"id":"bbf78d9e-3ae9-475b-ae26-fcd64404b00d","block_type":"box","text":"principal payments (including prepayments) on the related underlying assets, and principal payments may have a","page_number":112,"box":{"x":70,"y":657,"width":802,"height":11}},{"id":"092aee79-c240-4b82-9b01-60219fd4fd4b","block_type":"box","text":"material effect on yield to maturity. If the underlying assets experience greater than anticipated prepayments of","page_number":112,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"21d2cbfd-9363-4595-8a96-b3db84795274","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":112,"box":{"x":70,"y":687,"width":837,"height":11}},{"id":"8601da21-5da1-4837-b718-b3744b0288a1","block_type":"box","text":"than anticipated prepayments of principal, the yield on POs could be adversely affected. Stripped securities may be","page_number":112,"box":{"x":68,"y":702,"width":823,"height":11}},{"id":"66d60dc0-68b1-4633-8ca2-392677634280","block_type":"box","text":"highly sensitive to changes in interest rates and rates of prepayment.","page_number":112,"box":{"x":69,"y":717,"width":494,"height":12}},{"id":"27a9cb66-b36f-4e18-b572-9a1f8834417a","block_type":"box","text":"Structured Notes.","page_number":112,"box":{"x":101,"y":740,"width":130,"height":9}},{"id":"15d23c96-827a-4efc-927d-94df07a6867c","block_type":"box","text":"Structured notes and other related instruments purchased by a Fund are generally privately","page_number":112,"box":{"x":237,"y":740,"width":650,"height":11}},{"id":"1cb6b4b9-cbdd-41e5-8340-3006f3891f86","block_type":"box","text":"negotiated debt obligations where the principal and/or interest is determined by reference to the per formance of a","page_number":112,"box":{"x":69,"y":755,"width":818,"height":11}},{"id":"3455d070-a761-4c56-aec8-9470b0845f86","block_type":"box","text":"specific asset, benchmark asset, market or interest rate (“reference measure”). Issuers of structured notes generally","page_number":112,"box":{"x":69,"y":770,"width":839,"height":12}},{"id":"5640895e-e52a-4523-9fb0-7e0d9f85d38e","block_type":"box","text":"include corporations and banks. The interest rate or the principal amount payable upon maturity or redemption may","page_number":112,"box":{"x":70,"y":786,"width":821,"height":11}},{"id":"bb90f70b-bb57-47a9-abb4-d2d9863eb48b","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":112,"box":{"x":70,"y":801,"width":839,"height":11}},{"id":"e1f8ac14-91b1-4670-9776-96c4a41bbfce","block_type":"box","text":"may provide that, in cer tain circumstances, no principal is due at maturity and, therefore, may result in a loss of","page_number":112,"box":{"x":69,"y":816,"width":801,"height":11}},{"id":"5ae81d0b-d35d-473e-8b0c-a431a54ea3ff","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":112,"box":{"x":70,"y":831,"width":813,"height":11}},{"id":"db71bfe6-7f9b-4c47-af59-b2f8f76e2c9c","block_type":"box","text":"vary widely, depending on a variety of factors, including the volatility of the reference measure.","page_number":112,"box":{"x":68,"y":846,"width":673,"height":11}},{"id":"207421e4-301a-4cdc-8ebd-76799b8d5e06","block_type":"box","text":"Structured notes may be positively or negatively indexed, so the appreciation of the reference measure may","page_number":112,"box":{"x":102,"y":869,"width":768,"height":11}},{"id":"4d33ed46-b3d5-426b-8b35-af6728e2af55","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":112,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"25766c1b-9812-4700-b3d2-6c1868951c66","block_type":"box","text":"II-75","page_number":112,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"93fff8f6-2cff-4269-8b4b-0429c6e03779","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":112,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1d19db4e-3550-4d1f-85a0-31c3abc33005","block_type":"box","text":"structured notes may be determined by applying a multiplier to the per formance or differential per formance of","page_number":113,"box":{"x":69,"y":45,"width":787,"height":11}},{"id":"faff1349-ee93-4cc1-828c-67e08b9c8a12","block_type":"box","text":"reference measures. Application of a multiplier involves leverage that will serve to magnify the potential for gain and","page_number":113,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"33dff198-8b86-4dcc-902c-a08ca92cc44b","block_type":"box","text":"the risk of loss.","page_number":113,"box":{"x":68,"y":75,"width":110,"height":9}},{"id":"6a4d15fe-3104-4fb3-a6ee-73b8e09cfcb9","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":113,"box":{"x":101,"y":98,"width":759,"height":11}},{"id":"bff12fc5-97e4-404a-ac67-17b321923b7b","block_type":"box","text":"Structured notes may also be more volatile, less liquid, and more difficult to price accurately than less complex","page_number":113,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"f898aeee-f510-464e-8c63-e1c7fc120f74","block_type":"box","text":"securities and instruments or more traditional debt securities. The secondary market for structured notes could be","page_number":113,"box":{"x":69,"y":128,"width":819,"height":11}},{"id":"10496951-7827-4fd0-83c1-9208bc998742","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":113,"box":{"x":70,"y":143,"width":821,"height":11}},{"id":"d1e92255-04dd-4849-9426-0c6142304d52","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":113,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"1ab53ced-4fd4-4bbb-9533-8d894918aa9e","block_type":"box","text":"losses and could make structured notes more difficult for the Fund to value accurately.","page_number":113,"box":{"x":70,"y":173,"width":618,"height":11}},{"id":"9894774f-6ebc-45f0-9d48-d6f51491ab43","block_type":"box","text":"Taxability Risk.","page_number":113,"box":{"x":103,"y":196,"width":109,"height":11}},{"id":"3811b4b7-ed9d-4104-ac6c-10b92c70d87f","block_type":"box","text":"Cer tain of the Funds intend to minimize the payment of taxable income to shareholders by","page_number":113,"box":{"x":218,"y":196,"width":644,"height":11}},{"id":"3127fa39-5bba-4fd1-a70d-1f5774278351","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":113,"box":{"x":70,"y":211,"width":817,"height":11}},{"id":"3577bf36-73ce-4258-826a-a716bb4cbebe","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":113,"box":{"x":68,"y":226,"width":827,"height":11}},{"id":"f5b39ea4-dfdf-4b98-b151-207eb6d1fef8","block_type":"box","text":"be excludable from gross income for U.S. federal income tax purposes. Such securities, however, may be determined","page_number":113,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"9939af03-b738-41e7-ac00-20f3fc875a13","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":113,"box":{"x":68,"y":256,"width":809,"height":11}},{"id":"3f6f10ea-756c-4107-8d75-f173e06e8388","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":113,"box":{"x":69,"y":271,"width":832,"height":12}},{"id":"fc9abcc3-055b-4102-99c2-2ae0fdf38aa8","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":113,"box":{"x":69,"y":286,"width":816,"height":12}},{"id":"31ec4d47-cbbb-4e45-a63e-6ebf818832f1","block_type":"box","text":"paid by the Fund as “exempt interest dividends” could be adversely affected, subjecting the Fund’s shareholders to","page_number":113,"box":{"x":70,"y":302,"width":822,"height":11}},{"id":"3abe760d-f908-4820-b2d5-dfd8e76fe61f","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":113,"box":{"x":70,"y":317,"width":818,"height":11}},{"id":"25e5593c-8652-427f-a6c9-5674195e10bc","block_type":"box","text":"Fund is subsequently determined to be taxable, the Fund will dispose of that security as soon as reasonably","page_number":113,"box":{"x":70,"y":332,"width":771,"height":11}},{"id":"959c7b96-2174-466c-986d-91d09109b077","block_type":"box","text":"practicable. In addition, future laws, regulations, rulings or cour t decisions may cause interest on municipal","page_number":113,"box":{"x":70,"y":347,"width":765,"height":11}},{"id":"96e045f4-091b-4d88-8b32-90c83dcf7b05","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":113,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"40fc262a-0cf1-4e2e-97d6-8a645b27eb10","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":113,"box":{"x":68,"y":377,"width":807,"height":11}},{"id":"708fae86-a137-49a6-bb03-7e363a255f37","block_type":"box","text":"local intangible personal proper ty tax, or may otherwise prevent the Fund from realizing the full current benefit of the","page_number":113,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"3cb10f37-39d0-4483-8860-1c66850cf9de","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":113,"box":{"x":68,"y":407,"width":838,"height":12}},{"id":"b2089e06-6bf5-4f1a-b7a3-df2067348eb0","block_type":"box","text":"the value of an investment in the Fund.","page_number":113,"box":{"x":68,"y":423,"width":278,"height":9}},{"id":"d2fc8ecb-84c3-4a40-a688-b866d88ccf72","block_type":"box","text":"Temporary Defensive Measures.","page_number":113,"box":{"x":103,"y":445,"width":230,"height":11}},{"id":"abb45b2c-3e11-423f-8f33-c2ba5e7dea9e","block_type":"box","text":"As a temporary defensive measure, including to respond to adverse market,","page_number":113,"box":{"x":339,"y":445,"width":542,"height":12}},{"id":"084ddf1e-1ef9-4bce-b0b8-118947ab0b0b","block_type":"box","text":"economic, political or other conditions, a Fund may depar t from its principal investment strategies and may invest","page_number":113,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"a75ccbc4-3871-4072-80c7-d03df44dc796","block_type":"box","text":"without limitation in cash, high quality money market instruments, or other shor t term investments. Cer tain Funds","page_number":113,"box":{"x":68,"y":476,"width":813,"height":11}},{"id":"a494597e-ecb1-4cc7-a84a-e4cfc8e5b4bf","block_type":"box","text":"may also invest in cash and other such instruments pending investment or to meet anticipated redemption requests.","page_number":113,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"654a8d6e-f212-4938-aa0d-2f981452d696","block_type":"box","text":"High quality money market instruments include U.S. Government obligations, U.S. Government agency obligations,","page_number":113,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"1e136f99-9d86-4960-8571-ad811fcef1c6","block_type":"box","text":"dollar denominated obligations of foreign issuers, bank obligations, including U.S. subsidiaries and branches of","page_number":113,"box":{"x":69,"y":521,"width":795,"height":11}},{"id":"fe6c747d-62cd-4513-b2cb-fba132d10db5","block_type":"box","text":"foreign banks, corporate obligations, commercial paper, repurchase agreements and obligations of supranational","page_number":113,"box":{"x":68,"y":536,"width":806,"height":11}},{"id":"8a6c03cb-3255-4ac0-b3f1-eb6f91a645f9","block_type":"box","text":"organizations. Generally, such obligations will mature within one year from the date of settlement but may mature","page_number":113,"box":{"x":69,"y":551,"width":808,"height":11}},{"id":"08e19563-5986-47e2-9294-f06a7f5dc414","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":113,"box":{"x":68,"y":566,"width":820,"height":11}},{"id":"1e2db086-d62d-47aa-8118-baa9f8a09420","block_type":"box","text":"its investment objective.","page_number":113,"box":{"x":70,"y":582,"width":171,"height":10}},{"id":"e5e1ace6-7af0-4de0-b843-b0636665a434","block_type":"box","text":"U.S. Government Obligations.","page_number":113,"box":{"x":102,"y":604,"width":213,"height":11}},{"id":"51ce55d7-27d2-4df7-a6f4-0bfa36f35186","block_type":"box","text":"A Fund may purchase obligations issued or guaranteed by the U.S. Government","page_number":113,"box":{"x":321,"y":604,"width":566,"height":11}},{"id":"6bd72a7f-5ca6-4b12-90ed-85b06457c878","block_type":"box","text":"and U.S. Government agencies and instrumentalities. Obligations of cer tain agencies and instrumentalities of the","page_number":113,"box":{"x":69,"y":619,"width":810,"height":11}},{"id":"63f1f460-8586-4619-bb61-d5343f36a486","block_type":"box","text":"U.S. Government are suppor ted by the full faith and credit of the U.S. Treasury. Others are suppor ted by the right of","page_number":113,"box":{"x":70,"y":634,"width":826,"height":12}},{"id":"db275d2f-207d-49ce-826c-88022b6501f8","block_type":"box","text":"the issuer to borrow from the U.S. Treasury; and still others are suppor ted only by the credit of the agency or","page_number":113,"box":{"x":68,"y":649,"width":779,"height":12}},{"id":"50ae2394-5f2f-4606-8ce2-c1c19561a214","block_type":"box","text":"instrumentality issuing the obligation. No assurance can be given that the U.S. Government will provide financial","page_number":113,"box":{"x":70,"y":664,"width":798,"height":12}},{"id":"a8a6a6e0-1726-4f46-bf9f-ed52c490604d","block_type":"box","text":"suppor t to U.S. Government-sponsored instrumentalities if it is not obligated to do so by law. Cer tain U.S. Treasury","page_number":113,"box":{"x":69,"y":680,"width":822,"height":11}},{"id":"909df309-4072-412b-b799-bb81911389ae","block_type":"box","text":"and agency securities may be held by trusts that issue par ticipation cer tificates (such as Treasury income growth","page_number":113,"box":{"x":69,"y":695,"width":809,"height":11}},{"id":"49d79570-0b92-49e5-a489-09a222d66df8","block_type":"box","text":"receipts and cer tificates of accrual on Treasury cer tificates). These cer tificates, as well as Treasury receipts and","page_number":113,"box":{"x":69,"y":710,"width":805,"height":11}},{"id":"ae894f0b-0983-4d0f-9274-d21048d2a578","block_type":"box","text":"other stripped securities, represent beneficial ownership interests in either future interest payments or the future","page_number":113,"box":{"x":69,"y":725,"width":807,"height":11}},{"id":"5075d97f-c718-449a-ad4c-7f7dc1364ab4","block_type":"box","text":"principal payments on U.S. Government obligations. These instruments are issued at a discount to their “face value”","page_number":113,"box":{"x":70,"y":740,"width":832,"height":11}},{"id":"2730f38c-5923-4dbf-a976-e01a067f704e","block_type":"box","text":"and may (par ticularly in the case of stripped mor tgage-backed securities) exhibit greater price volatility than ordinary","page_number":113,"box":{"x":69,"y":755,"width":829,"height":11}},{"id":"5698d1cf-4bfa-4360-9d09-0d28c9516c40","block_type":"box","text":"debt securities because of the manner in which their principal and interest are returned to investors.","page_number":113,"box":{"x":69,"y":770,"width":716,"height":11}},{"id":"d0cb1cc9-f0be-43e4-9c07-393aabd0a845","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":113,"box":{"x":102,"y":793,"width":800,"height":11}},{"id":"a60442aa-a4de-4174-85e1-41689e988e12","block_type":"box","text":"Treasury Notes and Treasury Bonds and the obligations of the Federal Housing Administration, Farmers Home","page_number":113,"box":{"x":68,"y":808,"width":785,"height":11}},{"id":"b0b87ad0-645d-4851-97dc-230e096a7a88","block_type":"box","text":"Administration, Expor t-Impor t Bank of the United States, Small Business Administration, Ginnie Mae, Fannie Mae,","page_number":113,"box":{"x":68,"y":823,"width":813,"height":11}},{"id":"8cd5f8dc-79c5-4b2b-bd5f-bf5db8cdc824","block_type":"box","text":"Federal Financing Bank, General Services Administration, Student Loan Marketing Association, Central Bank for","page_number":113,"box":{"x":70,"y":838,"width":794,"height":12}},{"id":"ba8ced6a-a7c4-4c33-b07f-4f5e23415cf5","block_type":"box","text":"Cooperatives, Federal Home Loan Banks, Freddie Mac, Federal Intermediate Credit Banks, Federal Land Banks, Farm","page_number":113,"box":{"x":69,"y":854,"width":835,"height":10}},{"id":"efcc8837-b4fb-43d0-9517-8fb62c6e544d","block_type":"box","text":"Credit Banks System, Maritime Administration, Tennessee Valley Authority and Washington D.C. Armory Board. The","page_number":113,"box":{"x":69,"y":869,"width":818,"height":11}},{"id":"c55d34de-346d-4bc5-a9b7-88c289aac22e","block_type":"box","text":"Funds may also invest in mor tgage-related securities issued or guaranteed by U.S. Government agencies and","page_number":113,"box":{"x":70,"y":884,"width":777,"height":11}},{"id":"b50f8906-9a8e-428b-8769-bb0cdd8574df","block_type":"box","text":"instrumentalities, including such instruments as obligations of Ginnie Mae, Fannie Mae and Freddie Mac.","page_number":113,"box":{"x":70,"y":899,"width":749,"height":11}},{"id":"c69b74e7-06ad-47aa-84ba-0c6af7884e7e","block_type":"box","text":"II-76","page_number":113,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8dd256bf-3bfd-45d3-bfdf-f8682bac3c92","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":113,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"796a020d-f959-41d3-a008-3128f27647c5","block_type":"box","text":"U.S. Treasury Obligations.","page_number":114,"box":{"x":103,"y":45,"width":183,"height":11}},{"id":"03e6d3b6-6eb1-4a1d-aaa9-9c1cf64f0b1f","block_type":"box","text":"Treasury obligations may differ in their interest rates, maturities, times of issuance","page_number":114,"box":{"x":292,"y":45,"width":593,"height":11}},{"id":"eba9f704-d64d-431b-9251-d859475403c6","block_type":"box","text":"and other characteristics. Obligations of U.S. Government agencies and authorities are suppor ted by varying degrees","page_number":114,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"1d16188f-0ff8-4929-807f-565ebdb6966e","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":114,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"34614fbf-ce78-4e74-9a66-771a5a8df9a9","block_type":"box","text":"that the U.S. Government will provide financial suppor t to its agencies and authorities if it is not obligated by law to","page_number":114,"box":{"x":68,"y":90,"width":823,"height":11}},{"id":"2869eb70-f02f-421b-97fe-cda570f28901","block_type":"box","text":"do so.","page_number":114,"box":{"x":69,"y":105,"width":42,"height":9}},{"id":"e1407854-8140-40b2-a698-0994406da52b","block_type":"box","text":"U.S. Treasury Rolls","page_number":114,"box":{"x":102,"y":128,"width":139,"height":11}},{"id":"63438fbc-5989-4e4f-b24f-2db52de53b9b","block_type":"box","text":".","page_number":114,"box":{"x":241,"y":135,"width":3,"height":2}},{"id":"3b46e8da-5552-4705-8a7c-ec68da45ddab","block_type":"box","text":"Cer tain Funds may invest in U.S. Treasury rolls. In a U.S. Treasury roll transaction, the Fund","page_number":114,"box":{"x":250,"y":128,"width":656,"height":11}},{"id":"ae9bf2b4-52e4-42d4-8634-29f899f55c61","block_type":"box","text":"sells a treasury security to a counterpar ty with a simultaneous agreement to repurchase the same security at an","page_number":114,"box":{"x":69,"y":143,"width":804,"height":11}},{"id":"40e65b65-ddaf-4bfe-8e95-b3f42c333457","block_type":"box","text":"agreed upon price and future settlement date. U.S. Treasury roll transactions may incrementally adjust the average","page_number":114,"box":{"x":69,"y":158,"width":820,"height":11}},{"id":"296c610f-e478-44da-a580-50c11899bc43","block_type":"box","text":"maturity of a Fund’s por tfolio and increase the interest yield on the Fund’s por tfolio by extending the average maturity","page_number":114,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"5606a709-febb-4c9b-9615-04b780e09190","block_type":"box","text":"of the por tfolio in a normal yield curve environment. During the period before the settlement date of a U.S. Treasury","page_number":114,"box":{"x":69,"y":188,"width":828,"height":12}},{"id":"5087eecb-989d-43c8-9db2-ab6e005abfbf","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":114,"box":{"x":69,"y":204,"width":775,"height":11}},{"id":"ce9a53d5-575b-4180-99ec-447439670572","block_type":"box","text":"securities it is purchasing until after the settlement date. A Fund could suffer an oppor tunity loss if the counterpar ty","page_number":114,"box":{"x":69,"y":218,"width":829,"height":12}},{"id":"092f0d69-af17-47b9-bf3f-d7407dd87a75","block_type":"box","text":"to the U.S. Treasury roll transaction failed to per form its obligations on the settlement date.","page_number":114,"box":{"x":68,"y":234,"width":657,"height":11}},{"id":"3d62e2f2-bc22-48e5-bf0a-fa4aaa7094ec","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":114,"box":{"x":101,"y":256,"width":756,"height":12}},{"id":"77c8ac55-71e8-455a-9e87-37e486b08297","block_type":"box","text":"purchase price of those securities. U.S. Treasury rolls are speculative techniques that can be deemed to involve","page_number":114,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"1046776d-293f-4e2b-8438-d0aad690d217","block_type":"box","text":"leverage. There is no assurance that U.S. Treasury rolls can be successfully employed.","page_number":114,"box":{"x":70,"y":286,"width":617,"height":12}},{"id":"fe1f1a1d-0bbe-458a-8a07-bd9e87db78d6","block_type":"box","text":"Utility Industries.","page_number":114,"box":{"x":102,"y":309,"width":124,"height":11}},{"id":"ff13d4ac-8ca8-46a7-9d07-7a53d98c3f89","block_type":"box","text":"Risks that are intrinsic to the utility industries include difficulty in obtaining an adequate return","page_number":114,"box":{"x":233,"y":309,"width":674,"height":11}},{"id":"a7c75567-ab27-4ef9-a442-d46f19ca048b","block_type":"box","text":"on invested capital, difficulty in financing large construction programs during an inflationary period, restrictions on","page_number":114,"box":{"x":69,"y":324,"width":812,"height":12}},{"id":"9a15a375-ea5b-4628-9ac8-acc6efd9be43","block_type":"box","text":"operations and increased cost and delays attributable to environmental considerations and regulation, difficulty in","page_number":114,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"3cea8e81-b755-4095-aba4-79717c6c3f16","block_type":"box","text":"raising capital in adequate amounts on reasonable terms in periods of high inflation and unsettled capital markets,","page_number":114,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"b99364d3-98ec-42d3-be5e-b9c5277e1ffc","block_type":"box","text":"technological innovations that may render existing plants, equipment or products obsolete, the potential impact of","page_number":114,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"919dede3-e1b3-40ac-97d4-29fa89e5d734","block_type":"box","text":"natural or man-made disasters, increased costs and reduced availability of cer tain types of fuel, occasional reduced","page_number":114,"box":{"x":69,"y":385,"width":827,"height":11}},{"id":"1fdba4a7-a626-40a1-9656-853f409a795f","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":114,"box":{"x":69,"y":400,"width":795,"height":11}},{"id":"ef048875-6ad7-4211-ba82-fd537ed175ba","block_type":"box","text":"energy policy and lengthy delays and greatly increased costs and other problems associated with the design,","page_number":114,"box":{"x":69,"y":415,"width":774,"height":11}},{"id":"53fe6e5e-b9cf-4457-b080-e622d130ff10","block_type":"box","text":"construction, licensing, regulation and operation of nuclear facilities for electric generation, including, among other","page_number":114,"box":{"x":69,"y":430,"width":817,"height":11}},{"id":"6f0e8b01-0674-4716-bb80-26943b27d48e","block_type":"box","text":"considerations, the problems associated with the use of radioactive materials and the disposal of radioactive wastes.","page_number":114,"box":{"x":69,"y":445,"width":839,"height":11}},{"id":"6d84fd97-1ad6-4e60-9ea1-ff1908c85f99","block_type":"box","text":"There are substantial differences among the regulatory practices and policies of various jurisdictions, and any given","page_number":114,"box":{"x":68,"y":460,"width":827,"height":12}},{"id":"ab4b6cd4-89da-4d3d-92e5-22a9efaf1e0c","block_type":"box","text":"regulatory agency may make major shifts in policy from time to time. There is no assurance that regulatory","page_number":114,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"6e110626-b31b-43b2-a34b-ff9cb776aa09","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":114,"box":{"x":69,"y":491,"width":821,"height":11}},{"id":"b27df141-7cd1-4647-8c67-ce27774c1fab","block_type":"box","text":"dividends on common stocks issued by a utility company. Additionally, existing and possible future regulatory","page_number":114,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"2d435914-5a1e-44b6-9910-ed384002fc94","block_type":"box","text":"legislation may make it even more difficult for utilities to obtain adequate relief. Cer tain of the issuers of securities","page_number":114,"box":{"x":70,"y":521,"width":820,"height":11}},{"id":"25f714ec-3889-4842-abe3-97511ecb29b2","block_type":"box","text":"held in the Fund’s por tfolio may own or operate nuclear generating facilities. Governmental authorities may from time","page_number":114,"box":{"x":69,"y":536,"width":835,"height":11}},{"id":"b0d9733d-5bf0-4b5f-b27f-166d965eabac","block_type":"box","text":"to time review existing policies and impose additional requirements governing the licensing, construction and","page_number":114,"box":{"x":68,"y":551,"width":778,"height":11}},{"id":"c7ebf7aa-4c9b-47c9-8f4f-89a85c4f00ed","block_type":"box","text":"operation of nuclear power plants. Prolonged changes in climatic conditions can also have a significant impact on","page_number":114,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"066cdef0-478f-4bd7-8101-28c7657f8bec","block_type":"box","text":"both the revenues of an electric and gas utility as well as the expenses of a utility, par ticularly a hydro-based electric","page_number":114,"box":{"x":69,"y":581,"width":831,"height":12}},{"id":"f216ca37-38e9-4596-9939-d1bc75385342","block_type":"box","text":"utility.","page_number":114,"box":{"x":69,"y":597,"width":39,"height":11}},{"id":"643ddf8c-c850-40b7-a523-42735b424e55","block_type":"box","text":"Companies in the utilities sector may be adversely affected by changes in exchange rates, domestic and","page_number":114,"box":{"x":102,"y":619,"width":744,"height":11}},{"id":"51aac48b-ab6a-48ee-ad01-ec54433ec1bd","block_type":"box","text":"international competition, and governmental limitations on rates charged to customers. The value of regulated utility","page_number":114,"box":{"x":70,"y":634,"width":828,"height":12}},{"id":"003f5d4e-c40f-4002-a383-80ac0cf99c7b","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":114,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"90df74df-9098-4ca0-ac6f-6f24d8723faf","block_type":"box","text":"interest rates and therefore may lead to volatility in per formance.","page_number":114,"box":{"x":70,"y":664,"width":464,"height":12}},{"id":"e626139b-dbae-4ce6-a2b2-0fd4c4faf116","block_type":"box","text":"Utility companies in the United States and in foreign countries are generally subject to regulation. In the United","page_number":114,"box":{"x":102,"y":687,"width":789,"height":11}},{"id":"94062758-72a5-4c67-ba3a-719d774563d4","block_type":"box","text":"States, most utility companies are regulated by state and/or federal authorities. Such regulation is intended to","page_number":114,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"7e9ca19a-b752-4d95-b501-732cb327630e","block_type":"box","text":"ensure appropriate standards of service and adequate capacity to meet public demand. Generally, prices are also","page_number":114,"box":{"x":69,"y":717,"width":811,"height":12}},{"id":"73a17c02-a75b-48a6-81be-7fecc34d9eef","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":114,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"940f2a5d-a122-424d-bdad-e32cf3889af1","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":114,"box":{"x":68,"y":748,"width":781,"height":11}},{"id":"ea8ce12e-0945-4caa-a815-4bfe28222781","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":114,"box":{"x":69,"y":763,"width":826,"height":11}},{"id":"cda00164-504e-4f86-aeb4-513d86ea02ae","block_type":"box","text":"continue in the future.","page_number":114,"box":{"x":69,"y":778,"width":156,"height":9}},{"id":"72729c08-b03d-4558-9e06-69635f150d62","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":114,"box":{"x":101,"y":801,"width":763,"height":11}},{"id":"bf86d16d-5de5-44e5-a9ea-5c84cb863f4a","block_type":"box","text":"countries. In recent years, changes in regulation in the United States increasingly have allowed utility companies to","page_number":114,"box":{"x":69,"y":816,"width":820,"height":11}},{"id":"e9765706-37a6-4005-ac40-329c1223c07f","block_type":"box","text":"provide services and products outside their traditional geographic areas and lines of business, creating new areas of","page_number":114,"box":{"x":70,"y":831,"width":834,"height":11}},{"id":"663b88dc-5802-447f-8c02-3e43d6c6f94d","block_type":"box","text":"competition within the industries. In some instances, utility companies are operating on an unregulated basis.","page_number":114,"box":{"x":69,"y":846,"width":784,"height":11}},{"id":"250dc542-03ef-475b-939e-b002df60dd98","block_type":"box","text":"Because of trends toward deregulation and the evolution of independent power producers as well as new entrants to","page_number":114,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"e892d307-b96c-49ae-a168-d1ad3fc2b9f9","block_type":"box","text":"the field of telecommunications, non-regulated providers of utility services have become a significant par t of their","page_number":114,"box":{"x":68,"y":876,"width":809,"height":11}},{"id":"f553b81a-fe6b-4c81-8cf2-5031978bf6fb","block_type":"box","text":"respective industries. The Manager believes that the emergence of competition and deregulation will result in cer tain","page_number":114,"box":{"x":69,"y":891,"width":834,"height":12}},{"id":"c21b190f-a19e-47c5-b577-0adaf80aa515","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":114,"box":{"x":69,"y":906,"width":825,"height":12}},{"id":"9b244471-8435-4df3-92ed-8b1d21264d6c","block_type":"box","text":"II-77","page_number":114,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7e708434-0e73-4f51-b88c-7efda0606bd5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":114,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a5d22acb-b50a-44e2-a3f3-2c1853c87e44","block_type":"box","text":"to defend their core business from increased competition and may be less profitable. Reduced profitability, as well as","page_number":115,"box":{"x":68,"y":45,"width":840,"height":11}},{"id":"e99f1476-8ecd-4dc6-8409-cfa346a95546","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":115,"box":{"x":69,"y":60,"width":796,"height":11}},{"id":"afd6a2bb-3569-4cd9-a4da-64f8202fdfb5","block_type":"box","text":"rates. As deregulation allows utility companies to diversify outside of their original geographic regions and their","page_number":115,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"5869fbd8-267f-4b85-89d2-327236e7001e","block_type":"box","text":"traditional lines of business, utility companies may engage in riskier ventures. Therefore, deregulation may eliminate","page_number":115,"box":{"x":68,"y":90,"width":831,"height":11}},{"id":"dfd780b6-495e-45f3-9e08-64bc929f45b2","block_type":"box","text":"restrictions on the maximum level of profits of cer tain utility companies, but may also subject these companies to","page_number":115,"box":{"x":69,"y":105,"width":812,"height":11}},{"id":"53fa85e9-4694-473c-87db-1aea2f488fb2","block_type":"box","text":"greater risk of loss. The Manager seeks to take advantage of favorable investment oppor tunities that may arise from","page_number":115,"box":{"x":68,"y":120,"width":833,"height":12}},{"id":"ef2f3c1f-549f-46ed-a02e-ce011574e6ed","block_type":"box","text":"these structural changes. Of course, there can be no assurance that favorable developments will occur in the future.","page_number":115,"box":{"x":68,"y":135,"width":831,"height":12}},{"id":"ee2eba38-2ce1-432f-bfbc-c6580393aeee","block_type":"box","text":"Foreign utility companies are also subject to regulation, although such regulations may or may not be","page_number":115,"box":{"x":102,"y":158,"width":720,"height":11}},{"id":"dc0b21cd-3495-4b60-bd71-f2fab1b9f253","block_type":"box","text":"comparable to those in the United States. Foreign utility companies may be more heavily regulated by their respective","page_number":115,"box":{"x":69,"y":173,"width":838,"height":11}},{"id":"b56d2d3b-7591-4150-a7ad-795db2efd578","block_type":"box","text":"governments than utilities in the United States and, as in the United States, generally are required to seek","page_number":115,"box":{"x":68,"y":188,"width":762,"height":12}},{"id":"513865a5-4a32-43f0-8140-bdcda156bd63","block_type":"box","text":"government approval for rate increases. In addition, many foreign utilities use fuels that may cause more pollution","page_number":115,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"26051456-55b4-419a-a7ef-8a703d849694","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":115,"box":{"x":68,"y":219,"width":801,"height":11}},{"id":"69c4f653-e4ab-40f3-b4e8-a71cdb773596","block_type":"box","text":"meet any proposed pollution restrictions. Foreign regulatory systems vary from country to country and may evolve in","page_number":115,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"2cdb7509-61ba-4f40-977e-8796b75d3a6b","block_type":"box","text":"ways different from regulation in the United States.","page_number":115,"box":{"x":68,"y":249,"width":365,"height":11}},{"id":"ab4b88f9-e26c-4121-ab6d-3edb71514b73","block_type":"box","text":"A Fund’s investment policies are designed to enable it to capitalize on evolving investment oppor tunities","page_number":115,"box":{"x":101,"y":272,"width":745,"height":11}},{"id":"a3c70d48-fd35-4ca7-bb54-78cc441bd6ed","block_type":"box","text":"throughout the world. For example, the rapid growth of cer tain foreign economies will necessitate expansion of","page_number":115,"box":{"x":68,"y":286,"width":790,"height":12}},{"id":"807543ae-1177-41ae-a429-233a0872ec1d","block_type":"box","text":"capacity in the utility industries in those countries. Although many foreign utility companies currently are government","page_number":115,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"467b7d1d-cfb4-4fc2-ae35-12016526889a","block_type":"box","text":"owned, thereby limiting current investment oppor tunities for a Fund, the Manager believes that, in order to attract","page_number":115,"box":{"x":69,"y":317,"width":810,"height":11}},{"id":"12527f93-047c-46ce-9a7b-a149e46d9471","block_type":"box","text":"significant capital for growth, foreign governments are likely to seek global investors through the privatization of their","page_number":115,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"c4e6a3d6-7ee4-4879-984d-2edf450a6073","block_type":"box","text":"utility industries. Privatization, which refers to the trend toward investor ownership of assets rather than government","page_number":115,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"caba0791-597c-43b0-bb00-3477ba3e6bab","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":115,"box":{"x":69,"y":362,"width":832,"height":11}},{"id":"620b8fb1-73e3-48e8-a800-25684a4954d4","block_type":"box","text":"assurance that such favorable developments will occur or that investment oppor tunities in foreign markets will","page_number":115,"box":{"x":69,"y":377,"width":786,"height":12}},{"id":"ad32a352-2442-45e9-bf40-c37e2831109b","block_type":"box","text":"increase.","page_number":115,"box":{"x":70,"y":393,"width":63,"height":8}},{"id":"4f30046f-1bd6-4dcb-8fc6-9d007a55416e","block_type":"box","text":"The revenues of domestic and foreign utility companies generally reflect the economic growth and development","page_number":115,"box":{"x":101,"y":415,"width":793,"height":11}},{"id":"47672161-3f37-4de8-9d0c-d112a4529eb8","block_type":"box","text":"in the geographic areas in which they do business. The Manager will take into account anticipated economic growth","page_number":115,"box":{"x":70,"y":430,"width":821,"height":11}},{"id":"76d8a416-f8e4-4db9-bc00-cd04496e0bd9","block_type":"box","text":"rates and other economic developments when selecting securities of utility companies.","page_number":115,"box":{"x":69,"y":445,"width":619,"height":12}},{"id":"7c840400-3580-4ac5-8893-d285cf6955bd","block_type":"box","text":"Electric.","page_number":115,"box":{"x":102,"y":468,"width":54,"height":9}},{"id":"a803adc2-7d4b-489c-9de3-46c50c43a4a5","block_type":"box","text":"The electric utility industry consists of companies that are engaged principally in the generation,","page_number":115,"box":{"x":163,"y":468,"width":684,"height":11}},{"id":"80851980-d5d0-4c9d-b9f3-4d29f1f3aa92","block_type":"box","text":"transmission and sale of electric energy, although many also provide other energy-related services. In the past,","page_number":115,"box":{"x":68,"y":483,"width":793,"height":11}},{"id":"b793105b-bdcf-43d6-bbe5-2e1f4da6ea38","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":115,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"21aafa64-108e-4bb1-8841-d43799f7746f","block_type":"box","text":"near completion of major construction programs. In addition, many of these companies have generated cash flows in","page_number":115,"box":{"x":69,"y":513,"width":833,"height":12}},{"id":"836d7dda-8faf-405a-8d13-c01192468e8e","block_type":"box","text":"excess of current operating expenses and construction expenditures, permitting some degree of diversification into","page_number":115,"box":{"x":69,"y":528,"width":821,"height":12}},{"id":"b4bf70f4-4524-4c03-ab92-1a099cad4d90","block_type":"box","text":"unregulated businesses. Some electric utilities have also taken advantage of the right to sell power outside of their","page_number":115,"box":{"x":69,"y":543,"width":823,"height":12}},{"id":"37c93a89-2355-44b6-8932-71283d2ff5a3","block_type":"box","text":"traditional geographic areas. Electric utility companies have historically been subject to the risks associated with","page_number":115,"box":{"x":68,"y":559,"width":803,"height":11}},{"id":"f8fdcc06-e5d0-491d-aefb-3f430690293f","block_type":"box","text":"increases in fuel and other operating costs, high interest costs on borrowings needed for capital construction","page_number":115,"box":{"x":70,"y":574,"width":778,"height":11}},{"id":"aa40abc5-04e0-4cb5-81f7-b22c64d3a699","block_type":"box","text":"programs, costs associated with compliance with environmental and safety regulations and changes in the regulatory","page_number":115,"box":{"x":70,"y":589,"width":836,"height":11}},{"id":"ae0eb2ca-06b9-4d04-a741-d39899fb865d","block_type":"box","text":"climate. As interest rates declined, many utilities refinanced high cost debt and in doing so improved their fixed","page_number":115,"box":{"x":69,"y":604,"width":793,"height":11}},{"id":"334507e7-d900-45a8-9f4e-be1110418f59","block_type":"box","text":"charges coverage. Regulators, however, lowered allowed rates of return as interest rates declined and thereby","page_number":115,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"c116d0d4-dad2-4279-ac2b-b283059bae51","block_type":"box","text":"caused the benefits of the rate declines to be shared wholly or in par t with customers. In a period of rising interest","page_number":115,"box":{"x":69,"y":634,"width":819,"height":12}},{"id":"5b691b11-b7ef-416f-ab44-a15ed4a0b2ed","block_type":"box","text":"rates, the allowed rates of return may not keep pace with the utilities’ increased costs. The construction and","page_number":115,"box":{"x":69,"y":649,"width":775,"height":12}},{"id":"087d18b4-761d-40d7-a677-1f6ce1fa4040","block_type":"box","text":"operation of nuclear power facilities are subject to strict scrutiny by, and evolving regulations of, the Nuclear","page_number":115,"box":{"x":69,"y":664,"width":770,"height":12}},{"id":"bac20177-f58d-41ad-a364-c7f53fbabe00","block_type":"box","text":"Regulatory Commission and state agencies which have comparable jurisdiction. Strict scrutiny might result in higher","page_number":115,"box":{"x":70,"y":680,"width":826,"height":11}},{"id":"897b5f24-7725-4ebf-9391-da59b9373e6f","block_type":"box","text":"operating costs and higher capital expenditures, with the risk that the regulators may disallow inclusion of these","page_number":115,"box":{"x":69,"y":695,"width":800,"height":11}},{"id":"1a9fad18-9a3a-41fa-94ad-ee743c33802d","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":115,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"77395cd9-e87f-4b74-b3ad-dc950fe455ca","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":115,"box":{"x":68,"y":725,"width":826,"height":11}},{"id":"c0f4a7de-3a39-472c-9112-2fc943a7f585","block_type":"box","text":"and for decommissioning such plants.","page_number":115,"box":{"x":69,"y":740,"width":270,"height":11}},{"id":"8a38de95-955a-42b8-9c8d-f8ab884f6552","block_type":"box","text":"The rating agencies look closely at the business profile of utilities. Ratings for companies are expected to be","page_number":115,"box":{"x":101,"y":763,"width":776,"height":11}},{"id":"57b2d7e8-cdc8-41c4-a4b8-495027f7fd58","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":115,"box":{"x":70,"y":778,"width":802,"height":11}},{"id":"79b8555d-8189-47db-a9ca-244a79d84415","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":115,"box":{"x":69,"y":793,"width":791,"height":11}},{"id":"a8061164-0ca6-405e-ad70-a83eadb694fe","block_type":"box","text":"competitive and the least regulated. On the other hand, companies that focus on transmission and distribution, which","page_number":115,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"6e69157e-2332-4385-a53d-8c23189aa90f","block_type":"box","text":"is expected to be the least competitive and the more regulated par t of the business, may see higher ratings given the","page_number":115,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"f84b22fc-1dc7-4826-901e-157d6292952d","block_type":"box","text":"greater predictability of cash flow.","page_number":115,"box":{"x":68,"y":838,"width":239,"height":12}},{"id":"b2e818c8-aa6a-4a2f-9753-a31b9943c9d2","block_type":"box","text":"A number of states are considering or have enacted deregulation proposals. The introduction of competition into","page_number":115,"box":{"x":101,"y":861,"width":801,"height":11}},{"id":"900c1311-9bef-4c5d-bb0e-1468dcf90653","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":115,"box":{"x":68,"y":876,"width":821,"height":11}},{"id":"faed55dc-629b-4a51-95b2-17fde11e00a4","block_type":"box","text":"default risk, and lower electric utility security prices. Such increased competition may also cause long-term contracts,","page_number":115,"box":{"x":69,"y":891,"width":835,"height":12}},{"id":"1e8d611b-c934-4a8c-bb77-deeecdd657e9","block_type":"box","text":"which electric utilities previously entered into to buy power, to become “stranded assets” which have no economic","page_number":115,"box":{"x":68,"y":907,"width":815,"height":11}},{"id":"0c4ea7e7-017a-4915-8c76-9810ade00652","block_type":"box","text":"II-78","page_number":115,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"477f0bbe-f2df-4995-84a4-232311e9f38a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":115,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7a08f177-9b81-4559-bb9b-1c1b9f995e69","block_type":"box","text":"value. Any loss associated with such contracts must be absorbed by ratepayers and investors. In addition, some","page_number":116,"box":{"x":68,"y":45,"width":803,"height":11}},{"id":"6a7fd8c3-4923-4a7a-ba76-078fd1177ebd","block_type":"box","text":"electric utilities have acquired electric utilities overseas to diversify, enhance earnings and gain experience in","page_number":116,"box":{"x":69,"y":60,"width":777,"height":11}},{"id":"542b9b71-e2cb-4c31-aba2-49266292d072","block_type":"box","text":"operating in a deregulated environment. In some instances, such acquisitions have involved significant borrowings,","page_number":116,"box":{"x":69,"y":75,"width":819,"height":11}},{"id":"973a762a-6229-4695-a9b2-53a27272f5e1","block_type":"box","text":"which have burdened the acquirer’s balance sheet. There is no assurance that current deregulation proposals will be","page_number":116,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"79fe26d6-0cf5-453b-8971-b5c527a7002d","block_type":"box","text":"adopted. However, deregulation in any form could significantly impact the electric utilities industry.","page_number":116,"box":{"x":69,"y":105,"width":700,"height":11}},{"id":"c7c0ae42-85c8-4470-8baf-5f446d1030e5","block_type":"box","text":"Telecommunications.","page_number":116,"box":{"x":103,"y":128,"width":147,"height":9}},{"id":"fafe8aad-4839-4934-90e1-52d9decb9306","block_type":"box","text":"The telecommunications industry today includes both traditional telephone companies, with","page_number":116,"box":{"x":256,"y":128,"width":652,"height":11}},{"id":"5589f651-1a47-49db-8a50-1fbeb727ed47","block_type":"box","text":"a history of broad market coverage and highly regulated businesses, and cable companies, which began as small,","page_number":116,"box":{"x":69,"y":143,"width":813,"height":11}},{"id":"2a001fc5-4abe-40a6-a8ef-39eceeb3567d","block_type":"box","text":"lightly regulated businesses focused on limited markets. Today these two historically different businesses are","page_number":116,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"0aa9cb69-efce-4410-80c4-115d9f858713","block_type":"box","text":"converging in an industry that is trending toward larger, competitive national and international markets with an","page_number":116,"box":{"x":69,"y":173,"width":786,"height":11}},{"id":"4c9ec19c-b4fc-46da-9b4c-6eb4db1c8f78","block_type":"box","text":"emphasis on deregulation. Companies that distribute telephone services and provide access to the telephone","page_number":116,"box":{"x":69,"y":188,"width":784,"height":12}},{"id":"20208fb1-0468-49e8-a5c7-3985dd5019bd","block_type":"box","text":"networks still comprise the greatest por tion of this segment, but non-regulated activities such as wireless telephone","page_number":116,"box":{"x":69,"y":203,"width":830,"height":12}},{"id":"7fc24e24-b54c-41d6-aa0e-ca0423704c40","block_type":"box","text":"services, paging, data transmission and processing, equipment retailing, computer software and hardware and","page_number":116,"box":{"x":69,"y":218,"width":790,"height":12}},{"id":"6ffe594f-fab5-4ab9-a95d-4e0984c9abfb","block_type":"box","text":"internet services are becoming increasingly significant components as well. In par ticular, wireless and internet","page_number":116,"box":{"x":70,"y":234,"width":788,"height":11}},{"id":"c0d97e6b-792b-48f2-ace7-09bd44a03946","block_type":"box","text":"telephone services continue to gain market share at the expense of traditional telephone companies. The presence","page_number":116,"box":{"x":68,"y":249,"width":825,"height":11}},{"id":"0e345f6a-d7df-4c3a-abf4-d2897504af00","block_type":"box","text":"of unregulated companies in this industry and the entry of traditional telephone companies into unregulated or less","page_number":116,"box":{"x":69,"y":264,"width":823,"height":11}},{"id":"abc0d374-c6ef-48e4-b9bd-a746a05c5106","block_type":"box","text":"regulated businesses provide significant investment oppor tunities with companies that may increase their earnings","page_number":116,"box":{"x":69,"y":279,"width":821,"height":11}},{"id":"b116f3b4-2851-4e77-b481-2c2d60e83399","block_type":"box","text":"at faster rates than had been allowed in traditional regulated businesses. Still, increasing competition, technological","page_number":116,"box":{"x":69,"y":294,"width":830,"height":11}},{"id":"84ae7556-b7e7-44e2-8c9d-0d1b38669b8d","block_type":"box","text":"innovations and other structural changes could adversely affect the profitability of such utilities and the growth rate","page_number":116,"box":{"x":70,"y":309,"width":821,"height":11}},{"id":"a8dfa902-8612-4c7d-8bf4-d334422c8add","block_type":"box","text":"of their dividends. Given mergers and proposed legislation and enforcement changes, it is likely that both traditional","page_number":116,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"9dadec19-38ee-4433-b001-195ff2cc0ba4","block_type":"box","text":"telephone companies and cable companies will continue to provide an expanding range of utility services to both","page_number":116,"box":{"x":68,"y":339,"width":804,"height":12}},{"id":"f32a756b-4228-4aaf-bc7a-2787b0112589","block_type":"box","text":"residential, corporate and governmental customers.","page_number":116,"box":{"x":69,"y":355,"width":367,"height":11}},{"id":"9d7e783b-067b-4fa3-98a8-c3a9dd69e361","block_type":"box","text":"Gas.","page_number":116,"box":{"x":102,"y":377,"width":31,"height":9}},{"id":"acc2d5fc-f352-48b1-b7ec-2502fd39d746","block_type":"box","text":"Gas transmission companies and gas distribution companies are undergoing significant changes. In the","page_number":116,"box":{"x":139,"y":377,"width":740,"height":12}},{"id":"3fb09c3e-ea12-46e5-8a2d-1657978e6f05","block_type":"box","text":"United States, interstate transmission companies are regulated by the Federal Energy Regulatory Commission, which","page_number":116,"box":{"x":70,"y":392,"width":834,"height":12}},{"id":"2ac9d240-9f06-4cbe-8577-0b889df32586","block_type":"box","text":"is reducing its regulation of the industry. Many companies have diversified into oil and gas exploration and","page_number":116,"box":{"x":70,"y":407,"width":756,"height":12}},{"id":"65cb11e1-69ca-4c8d-8757-4e07110040ee","block_type":"box","text":"development, making returns more sensitive to energy prices. In the recent decade, gas utility companies have been","page_number":116,"box":{"x":69,"y":423,"width":831,"height":11}},{"id":"ba9504c2-d645-42b9-89dc-3dd40e4e8041","block_type":"box","text":"adversely affected by disruptions in the oil industry and have also been affected by increased concentration and","page_number":116,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"320aeb1b-743a-460e-8b7f-9eecbb0c4b75","block_type":"box","text":"competition. In the opinion of the Manager, however, environmental considerations could improve the gas industry","page_number":116,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"801b4319-996e-490c-87a5-90ba9ce60c26","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":116,"box":{"x":69,"y":468,"width":782,"height":11}},{"id":"7df3c8ec-e248-4987-ab89-b204a071286e","block_type":"box","text":"incremental shifts in fuel consumption toward natural gas and away from oil and coal, even for electricity generation.","page_number":116,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"998a30db-8ac7-4a32-9816-a934df0dbcec","block_type":"box","text":"However, technological or regulatory changes within the industry may delay or prevent this result.","page_number":116,"box":{"x":70,"y":498,"width":691,"height":11}},{"id":"382fbd58-5f0f-4879-8bc5-c30e6db46313","block_type":"box","text":"Water.","page_number":116,"box":{"x":103,"y":521,"width":42,"height":9}},{"id":"d37c884f-4d6c-490e-abe0-5c2b6cd8b473","block_type":"box","text":"Water supply utilities are companies that collect, purify, distribute and sell water. In the United States and","page_number":116,"box":{"x":151,"y":521,"width":754,"height":11}},{"id":"eb920bae-00d8-46a9-a4c5-42029bca0144","block_type":"box","text":"around the world the industry is highly fragmented because most of the supplies are owned by local authorities.","page_number":116,"box":{"x":69,"y":536,"width":796,"height":11}},{"id":"c98e5f86-ee69-44a3-9a0e-a322a0798233","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":116,"box":{"x":69,"y":551,"width":806,"height":11}},{"id":"b38beb69-32a2-47b6-aedd-8f775ac73e22","block_type":"box","text":"opinion of the Manager, there may be oppor tunities for cer tain companies to acquire other water utility companies","page_number":116,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"574fd8ae-c51f-4448-a326-6dc783cf69e8","block_type":"box","text":"and for foreign acquisition of domestic companies. The Manager believes that favorable investment oppor tunities","page_number":116,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"4ed393f8-b51e-41b8-9b2b-5a1e05e84d32","block_type":"box","text":"may result from consolidation of this segment. As with other utilities, however, increased regulation, increased costs","page_number":116,"box":{"x":69,"y":596,"width":832,"height":12}},{"id":"4a386b96-4400-44af-933f-e35cfd8ac1fa","block_type":"box","text":"and potential disruptions in supply may adversely affect investments in water supply utilities.","page_number":116,"box":{"x":69,"y":612,"width":662,"height":11}},{"id":"dd01e507-b9d5-4e74-8085-4a3dd702e762","block_type":"box","text":"Utility Industries Generally.","page_number":116,"box":{"x":103,"y":634,"width":186,"height":11}},{"id":"10c8e860-ad89-46c9-9661-78f4254584eb","block_type":"box","text":"There can be no assurance that the positive developments noted above, including","page_number":116,"box":{"x":296,"y":634,"width":584,"height":12}},{"id":"47184e37-2a51-49df-ae4b-ca246294bb6b","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":116,"box":{"x":68,"y":649,"width":837,"height":12}},{"id":"5133b1a0-8a00-41d2-a45c-3c66c58028d0","block_type":"box","text":"not develop in the future.","page_number":116,"box":{"x":69,"y":664,"width":178,"height":11}},{"id":"8cd7b908-cb75-49e0-ad6d-9d237eb08a72","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments.","page_number":116,"box":{"x":103,"y":687,"width":585,"height":11}},{"id":"271d27f1-3528-4ed3-8a8c-c9a979b54288","block_type":"box","text":"A Fund may purchase or sell","page_number":116,"box":{"x":694,"y":687,"width":200,"height":11}},{"id":"6f8b48e6-a1e7-4381-bba4-eb3436d17ef1","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":116,"box":{"x":69,"y":703,"width":795,"height":10}},{"id":"2f011101-51f5-4765-a710-c05062bcfde2","block_type":"box","text":"delayed delivery basis or through a forward commitment (including on a TBA (to be announced) basis). These","page_number":116,"box":{"x":69,"y":717,"width":777,"height":12}},{"id":"099101d8-b634-4109-8130-f4fcb0bd4cd5","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":116,"box":{"x":68,"y":732,"width":820,"height":12}},{"id":"aa6c2c56-d6f5-48c7-922d-b1e317d8074d","block_type":"box","text":"taking place in the future. The Fund enters into these transactions to obtain what is considered an advantageous","page_number":116,"box":{"x":68,"y":748,"width":807,"height":11}},{"id":"6a5924c6-8bdb-480a-87aa-63b75ea35d18","block_type":"box","text":"price to the Fund at the time of entering into the transaction.","page_number":116,"box":{"x":70,"y":763,"width":430,"height":11}},{"id":"2c0ddb63-b40c-4e5b-ae7e-d92aacbeb466","block_type":"box","text":"Pursuant to recommendations of the Treasury Market Practices Group, which is sponsored by the Federal","page_number":116,"box":{"x":102,"y":785,"width":750,"height":12}},{"id":"89b4023e-cc7e-47ef-910b-da686b8b6f87","block_type":"box","text":"Reserve Bank of New York, a Fund or its counterpar ty generally will be required to post collateral when entering into","page_number":116,"box":{"x":70,"y":801,"width":823,"height":11}},{"id":"692f4f06-d0b1-4eaa-accb-146954d418be","block_type":"box","text":"cer tain forward-settling transactions, including without limitation TBA transactions. FINRA rules have also been","page_number":116,"box":{"x":69,"y":816,"width":788,"height":11}},{"id":"80cf9d1d-43d0-4cf4-a1fd-19eadeac19b0","block_type":"box","text":"implemented that include mandatory margin requirements for the TBA market with limited exceptions. The","page_number":116,"box":{"x":70,"y":831,"width":755,"height":11}},{"id":"ad7cab8c-979e-4eff-8095-155854f4155b","block_type":"box","text":"collateralization of TBA trades is intended to mitigate counterpar ty credit risk between trade and settlement, but","page_number":116,"box":{"x":69,"y":846,"width":799,"height":11}},{"id":"485fd427-c546-4b5f-867b-8c363a01e369","block_type":"box","text":"could increase the cost of TBA transactions and impose added operational complexity.","page_number":116,"box":{"x":69,"y":861,"width":614,"height":11}},{"id":"13ab233d-fee1-4685-9970-4932a4abc2a5","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":116,"box":{"x":101,"y":884,"width":780,"height":11}},{"id":"e3bb09ea-738c-480f-91fd-1f8ecc3ef238","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":116,"box":{"x":70,"y":899,"width":823,"height":11}},{"id":"f42948d7-2052-476b-80c1-73859fd9c299","block_type":"box","text":"II-79","page_number":116,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2fb8e23a-0d0d-42a9-babe-5b347df13d3c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":116,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"38fef4c1-be70-4f16-abc1-287d030e8402","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":117,"box":{"x":69,"y":45,"width":838,"height":11}},{"id":"2bab8f73-2d6e-4842-8593-b8f169dab4ea","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":117,"box":{"x":68,"y":60,"width":839,"height":11}},{"id":"87f9f211-963b-4b11-a5fc-79ee972a0534","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":117,"box":{"x":70,"y":75,"width":824,"height":11}},{"id":"0fb00517-5b7e-4325-8691-2822cd31fb03","block_type":"box","text":"If deemed advisable as a matter of investment strategy, a Fund may dispose of or renegotiate a commitment","page_number":117,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"ed1612f8-e5a8-47a3-a9fd-24146f8dcf1a","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":117,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"4dfd7a01-7490-4634-8ff9-6e42bc223d27","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":117,"box":{"x":69,"y":128,"width":799,"height":11}},{"id":"b8cf305c-63af-4dec-8c24-0b1014c01b14","block_type":"box","text":"When a Fund engages in when-issued, TBA or forward commitment transactions, it relies on the other par ty to","page_number":117,"box":{"x":101,"y":150,"width":784,"height":12}},{"id":"1363a62e-f791-4bd3-a269-73a044317ae6","block_type":"box","text":"consummate the trade. Failure of such par ty to do so may result in the Fund’s incurring a loss or missing an","page_number":117,"box":{"x":69,"y":166,"width":772,"height":11}},{"id":"9b36a72b-2a1e-474f-982a-328efaed4b42","block_type":"box","text":"oppor tunity to obtain a price considered to be advantageous.","page_number":117,"box":{"x":69,"y":181,"width":434,"height":11}},{"id":"1e81135e-6f27-453e-8286-9d109c29157c","block_type":"box","text":"The market value of the securities underlying a commitment to purchase securities, and any subsequent","page_number":117,"box":{"x":101,"y":203,"width":745,"height":12}},{"id":"57f3c6f1-faf0-4f53-9d82-33bec15f8fe1","block_type":"box","text":"fluctuations in their market value, is taken into account when determining the market value of a Fund star ting on the","page_number":117,"box":{"x":68,"y":218,"width":831,"height":12}},{"id":"6e36eba4-e1c0-455b-b9bf-05c425884ec4","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":117,"box":{"x":69,"y":234,"width":823,"height":11}},{"id":"f1cc46e0-a9ff-46fa-9991-bfbfc4dcdd73","block_type":"box","text":"to purchase until they are paid for and delivered on the settlement date.","page_number":117,"box":{"x":68,"y":249,"width":514,"height":11}},{"id":"09b5e916-5016-4857-b2ea-1ce499cec66f","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":117,"box":{"x":102,"y":271,"width":759,"height":12}},{"id":"66f14fa0-0c9f-45a0-a2ff-d9b53f2098de","block_type":"box","text":"securities (","page_number":117,"box":{"x":69,"y":287,"width":78,"height":11}},{"id":"ca362d8c-00e7-4866-a6f9-9138dcd179fb","block_type":"box","text":"e.g.","page_number":117,"box":{"x":148,"y":288,"width":25,"height":10}},{"id":"ab44c2a2-8954-4bb7-8cbb-6c26cdfcc736","block_type":"box","text":", firm and standby commitments, including TBA commitments, and dollar rolls) and non-standard","page_number":117,"box":{"x":176,"y":286,"width":686,"height":12}},{"id":"cb49b01c-c423-4d75-a813-9df1aafd7890","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":117,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"8f8c2e1d-3f37-4850-bd10-0ad35bb220bf","block_type":"box","text":"Investment Company Act, provided that the Fund intends to physically settle the transaction and the transaction will","page_number":117,"box":{"x":70,"y":317,"width":822,"height":11}},{"id":"f8797323-03aa-43d9-9e5f-d8ea33e4550f","block_type":"box","text":"settle within 35 days of its trade date (the “Delayed-Settlement Securities Provision”). If a when-issued, forward","page_number":117,"box":{"x":69,"y":332,"width":802,"height":11}},{"id":"e924155a-0a06-4b12-9d5c-fc2e523492ce","block_type":"box","text":"settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities Provision, then","page_number":117,"box":{"x":69,"y":347,"width":826,"height":11}},{"id":"05ba9d4f-abb4-44a7-819e-6f5530e181f0","block_type":"box","text":"it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of Derivatives — Rule","page_number":117,"box":{"x":70,"y":362,"width":816,"height":11}},{"id":"a55d69a2-a55c-4992-941f-c8fd78a4f079","block_type":"box","text":"18f-4 under the Investment Company Act” above.","page_number":117,"box":{"x":70,"y":377,"width":349,"height":11}},{"id":"2ac43654-f1a9-4800-9a86-f2f53174611d","block_type":"box","text":"Regulations adopted by global prudential regulators require cer tain bank-regulated counterpar ties and cer tain of","page_number":117,"box":{"x":102,"y":400,"width":800,"height":11}},{"id":"d0c6136e-fcf8-4e1e-9eaf-d970754d7656","block_type":"box","text":"their affiliates to include in cer tain financial contracts, including many agreements with respect to when-issued, TBA","page_number":117,"box":{"x":68,"y":415,"width":829,"height":11}},{"id":"8aa931c6-e91a-473e-8886-5a0b72ec5d9f","block_type":"box","text":"and forward commitment transactions, terms that delay or restrict the rights of counterpar ties, such as a Fund, to","page_number":117,"box":{"x":69,"y":430,"width":814,"height":11}},{"id":"0b20869a-47b3-4ffe-b1a9-5dca51b4f25a","block_type":"box","text":"terminate such agreements, foreclose upon collateral, exercise other default rights or restrict transfers of credit","page_number":117,"box":{"x":68,"y":445,"width":799,"height":12}},{"id":"2f777389-a102-4b06-8d72-9b75b02f87d0","block_type":"box","text":"suppor t in the event that the counterpar ty and/or its affiliates are subject to cer tain types of resolution or insolvency","page_number":117,"box":{"x":69,"y":460,"width":836,"height":12}},{"id":"6f2456c3-2e0f-4587-8d1d-d7dce44c50a6","block_type":"box","text":"proceedings. It is possible that these requirements, as well as potential additional government regulation and other","page_number":117,"box":{"x":70,"y":476,"width":824,"height":11}},{"id":"9ec9e7ac-c3bd-4246-a4e0-2cf23f4bdc17","block_type":"box","text":"developments in the market, could adversely affect a Fund’s ability to terminate existing agreements with respect to","page_number":117,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"4616ff28-3369-455b-9f3e-963ea0da5ea2","block_type":"box","text":"these transactions or to realize amounts to be received under such agreements.","page_number":117,"box":{"x":68,"y":506,"width":573,"height":11}},{"id":"d4ff0c73-4821-4910-adc4-0db7948dd1d8","block_type":"box","text":"Yields and Ratings.","page_number":117,"box":{"x":103,"y":529,"width":139,"height":11}},{"id":"0588bd17-8b61-4423-b735-7b2abfa6b9ec","block_type":"box","text":"The yields on cer tain obligations are dependent on a variety of factors, including general","page_number":117,"box":{"x":247,"y":528,"width":628,"height":12}},{"id":"c37362c3-a0c2-4f76-bf84-1a90936aa884","block_type":"box","text":"market conditions, conditions in the par ticular market for the obligation, the financial condition of the issuer, the size","page_number":117,"box":{"x":69,"y":543,"width":834,"height":12}},{"id":"2c3c328f-e222-4e81-8574-61591bb88709","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":117,"box":{"x":69,"y":559,"width":799,"height":11}},{"id":"28c98275-218d-4ffa-ba8b-3b815e4f1c9a","block_type":"box","text":"represent their respective opinions as to the quality of the obligations they under take to rate. Ratings, however, are","page_number":117,"box":{"x":69,"y":574,"width":824,"height":11}},{"id":"e45f3ce7-3ded-4529-b865-d94c7036834a","block_type":"box","text":"general and are not absolute standards of quality. Consequently, obligations with the same rating, maturity and","page_number":117,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"4b6d383f-660e-40a5-af00-bb74c9f86849","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":117,"box":{"x":70,"y":604,"width":827,"height":11}},{"id":"e7b5aac6-70fd-43d2-be1c-0a80f06d1249","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":117,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"2c07b6af-a29c-4f5e-b47b-68649826c9b1","block_type":"box","text":"continue to hold the security.","page_number":117,"box":{"x":69,"y":634,"width":204,"height":11}},{"id":"51e5c275-7d9a-4aab-8d3c-cf3f599aa2cf","block_type":"box","text":"Zero Coupon Securities.","page_number":117,"box":{"x":102,"y":657,"width":175,"height":11}},{"id":"c91769d5-3ae8-4b29-b303-6b9ef3b413e1","block_type":"box","text":"Zero coupon securities are securities that are sold at a discount to par value and do","page_number":117,"box":{"x":283,"y":657,"width":601,"height":11}},{"id":"74e50ec2-641e-44d8-8d0e-b303ac740ffe","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":117,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"fe14999e-9654-4ef8-9c08-acee3ea5303d","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":117,"box":{"x":69,"y":687,"width":822,"height":11}},{"id":"96509829-dcf3-4e90-a074-c2ccf3e36eb2","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":117,"box":{"x":68,"y":702,"width":814,"height":11}},{"id":"1e047ce2-630e-48da-acdd-ed59a15e64a6","block_type":"box","text":"security.","page_number":117,"box":{"x":69,"y":718,"width":57,"height":11}},{"id":"2f22e067-7fe7-4676-a0d5-0f4b64ad3f50","block_type":"box","text":"While interest payments are not made on such securities, holders of such securities are deemed to have","page_number":117,"box":{"x":101,"y":740,"width":749,"height":11}},{"id":"1c9bef04-b838-4827-83cc-27ee8527f348","block_type":"box","text":"received income (“phantom income”) annually, notwithstanding that cash may not be received currently. The effect of","page_number":117,"box":{"x":69,"y":755,"width":835,"height":11}},{"id":"c8ff6527-b4d9-4b00-8a4c-b121c3bbb7ec","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":117,"box":{"x":69,"y":770,"width":833,"height":12}},{"id":"dd0d706d-069e-4d90-ae20-2dc4f695e049","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":117,"box":{"x":70,"y":785,"width":836,"height":12}},{"id":"7a1dd48f-2e53-4c60-a7b1-c382e32b3bdc","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":117,"box":{"x":69,"y":801,"width":804,"height":11}},{"id":"65661358-42bc-4ae5-94fb-6bf1e17ab218","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":117,"box":{"x":68,"y":816,"width":824,"height":11}},{"id":"6abaab2a-0ed4-4970-8e5c-0527669d8ec8","block_type":"box","text":"future. For this reason, some of these securities may be subject to substantially greater price fluctuations during","page_number":117,"box":{"x":68,"y":831,"width":805,"height":11}},{"id":"a64e7f94-825d-4aba-8457-d0719c0a4dd1","block_type":"box","text":"periods of changing market interest rates than are comparable securities that pay interest currently. Longer term zero","page_number":117,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"2664a895-ee7c-4b3b-b72b-1f57080c8427","block_type":"box","text":"coupon bonds are more exposed to interest rate risk than shor ter term zero coupon bonds. These investments","page_number":117,"box":{"x":69,"y":861,"width":791,"height":11}},{"id":"d3faa7d0-711b-42b8-a4de-5538f807ce27","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":117,"box":{"x":69,"y":876,"width":800,"height":11}},{"id":"04b3e57a-580e-47e2-8b5b-4d973922fd6b","block_type":"box","text":"attract investors who are willing to defer receipt of cash.","page_number":117,"box":{"x":69,"y":891,"width":400,"height":12}},{"id":"dd06cb7f-8caf-49cb-ab00-c0cb66bef520","block_type":"box","text":"II-80","page_number":117,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"098a06bc-51eb-4c2f-946e-1ce8de6359e2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":117,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d8b0ab8a-27d3-4332-9881-91d89bbacb11","block_type":"box","text":"A Fund accrues income with respect to these securities for U.S. federal income tax and accounting purposes","page_number":118,"box":{"x":101,"y":45,"width":775,"height":11}},{"id":"d1e6ec72-3a8a-484c-b151-dd260bb07308","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":118,"box":{"x":70,"y":60,"width":827,"height":11}},{"id":"d13bc53a-eeb3-4896-8792-1b9d679d9f5c","block_type":"box","text":"liquidity in the event of adverse market conditions than comparably rated securities that pay cash interest at regular","page_number":118,"box":{"x":70,"y":75,"width":826,"height":11}},{"id":"e3e7c1fd-e515-43de-900e-796adbb56167","block_type":"box","text":"intervals.","page_number":118,"box":{"x":70,"y":90,"width":64,"height":9}},{"id":"8a4e9edf-235d-4e68-a71e-2e5c7c6f7bd8","block_type":"box","text":"Fur ther, to maintain its qualification for pass-through treatment under the U.S. federal tax laws, a Fund is","page_number":118,"box":{"x":102,"y":113,"width":749,"height":11}},{"id":"7f091799-d3eb-46c7-aabe-9e84d6622df7","block_type":"box","text":"required to distribute income to its shareholders and, consequently, may have to dispose of other, more liquid","page_number":118,"box":{"x":69,"y":128,"width":784,"height":11}},{"id":"d9ff2654-54d8-495c-8e6e-198751bbc52f","block_type":"box","text":"por tfolio securities under disadvantageous circumstances or may have to leverage itself by borrowing in order to","page_number":118,"box":{"x":70,"y":143,"width":799,"height":11}},{"id":"3b458960-35f5-46c1-a55b-dacebd98ada0","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":118,"box":{"x":68,"y":158,"width":799,"height":11}},{"id":"ea51f2cc-1ad9-4894-bfa0-63506f7002e8","block_type":"box","text":"exposure to zero coupon securities.","page_number":118,"box":{"x":69,"y":173,"width":253,"height":11}},{"id":"6be3667d-86c7-48af-b5a3-da7d31008056","block_type":"box","text":"In addition to the above-described risks, there are cer tain other risks related to investing in zero coupon","page_number":118,"box":{"x":102,"y":196,"width":740,"height":11}},{"id":"a27bbd66-1ba4-4edd-a057-04ab73d837e0","block_type":"box","text":"securities. During a period of severe market conditions, the market for such securities may become even less liquid.","page_number":118,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"3ef857e4-d8de-422f-9cd5-ef0e086f331d","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":118,"box":{"x":70,"y":226,"width":829,"height":11}},{"id":"cd2167f2-123f-4bc8-b9c0-72346f522c9c","block_type":"box","text":"risks, including credit risk, will increase during the time these securities are held in the Fund’s por tfolio.","page_number":118,"box":{"x":69,"y":241,"width":741,"height":11}},{"id":"7cc3a900-0dd5-450b-bd89-5f633f61503c","block_type":"box","text":"Suitability. (All Funds)","page_number":118,"box":{"x":101,"y":264,"width":161,"height":11}},{"id":"cea89b09-674f-44f4-9c64-468a9318fb78","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":118,"box":{"x":101,"y":286,"width":793,"height":12}},{"id":"b88672ce-c762-4fed-8383-49a21988a5ed","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":118,"box":{"x":68,"y":302,"width":811,"height":11}},{"id":"d49c7427-5542-4dd7-97d7-6d5528067590","block_type":"box","text":"investment program. The suitability for any par ticular investor of a purchase of shares in a Fund will depend upon,","page_number":118,"box":{"x":70,"y":317,"width":810,"height":11}},{"id":"a865174e-d7a0-4dc5-8ba6-bf5b550e037e","block_type":"box","text":"among other things, such investor’s investment objectives and such investor’s ability to accept the risks associated","page_number":118,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"3c7c6772-58cf-440f-a38c-67747d1033e6","block_type":"box","text":"with investing in securities, including the risk of loss of principal.","page_number":118,"box":{"x":68,"y":347,"width":460,"height":11}},{"id":"889beb6c-bea0-4dba-bb3f-965c7a3c1aea","block_type":"box","text":"Investment Restrictions. (All Funds)","page_number":118,"box":{"x":102,"y":370,"width":264,"height":11}},{"id":"3ec71b1f-5e53-446e-8206-d9fc8de83206","block_type":"box","text":"See “Investment Restrictions” or “Investment Policies,” as applicable in each Fund’s SAI for the specific","page_number":118,"box":{"x":102,"y":392,"width":745,"height":11}},{"id":"821e5de5-b201-49fa-b028-bf2eaae39805","block_type":"box","text":"fundamental and non-fundamental investment restrictions adopted by each Fund. In addition to those investment","page_number":118,"box":{"x":68,"y":407,"width":807,"height":12}},{"id":"d7d47b06-8f40-4eae-829c-80fc9df4aec3","block_type":"box","text":"restrictions, each Fund is also subject to the restrictions discussed below.","page_number":118,"box":{"x":69,"y":423,"width":528,"height":11}},{"id":"3249a8b7-c5be-44da-8a3c-2314aec825da","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":118,"box":{"x":102,"y":445,"width":735,"height":12}},{"id":"3aedfac7-30b7-4ec6-9c67-f32fc9eb124e","block_type":"box","text":"company” for purposes of the Code. See “Dividends and Taxes — Taxes” or “Taxes.” To qualify, among other","page_number":118,"box":{"x":69,"y":460,"width":775,"height":12}},{"id":"9918e247-7e04-4674-86ad-76c33aa740ea","block_type":"box","text":"requirements, each Fund will limit its investments so that, at the close of each quar ter of the taxable year, (i) at least","page_number":118,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"49555422-f9c9-4fce-8d94-9443afa2479a","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":118,"box":{"x":69,"y":491,"width":799,"height":11}},{"id":"fab2d164-4665-4840-9dc0-dab3548cda94","block_type":"box","text":"companies, U.S. Government Securities and other securities, with such other securities limited, in respect of any one","page_number":118,"box":{"x":69,"y":506,"width":837,"height":11}},{"id":"49b23cd3-a5ed-4db4-ab54-9494d6e4f10d","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":118,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"47fdd7d6-8944-4674-8ff7-904db3534c34","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":118,"box":{"x":68,"y":536,"width":802,"height":11}},{"id":"f79fcfb4-6a44-4159-a777-1250e16c0f91","block_type":"box","text":"(other than U.S. Government Securities or securities of other regulated investment companies) of any one issuer, any","page_number":118,"box":{"x":69,"y":551,"width":837,"height":11}},{"id":"184b1183-b43e-4218-ad16-5bfc0694bf33","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":118,"box":{"x":68,"y":566,"width":819,"height":11}},{"id":"cf1e78de-1504-4426-b461-3cc8e3340067","block_type":"box","text":"businesses or related trades or businesses or in the securities of one or more qualified publicly traded par tnerships","page_number":118,"box":{"x":69,"y":581,"width":828,"height":11}},{"id":"90ad6a1c-2c04-4c6c-8566-52f6656a3979","block_type":"box","text":"(","page_number":118,"box":{"x":69,"y":597,"width":3,"height":10}},{"id":"bb45d167-246d-4467-bbde-81c00ffc9fd1","block_type":"box","text":"i.e.","page_number":118,"box":{"x":74,"y":597,"width":21,"height":8}},{"id":"6166cbb9-8575-4e47-9946-144535fe1526","block_type":"box","text":", par tnerships that are traded on an established securities market or tradable on a secondary market, other than","page_number":118,"box":{"x":97,"y":597,"width":806,"height":11}},{"id":"ba7f3b50-544f-4421-b275-d8123fdffb8d","block_type":"box","text":"par tnerships that derive 90% of their income from interest, dividends, capital gains and other traditionally permitted","page_number":118,"box":{"x":70,"y":612,"width":824,"height":11}},{"id":"e5ceb871-cf45-4457-ad67-98f2e7bf8a16","block_type":"box","text":"mutual fund income). For purposes of this restriction, the Municipal Funds generally will regard each state and each","page_number":118,"box":{"x":69,"y":627,"width":824,"height":11}},{"id":"9c147021-80fc-4d8d-b1b9-5c67a68bddfe","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":118,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"4b05266f-3202-4c53-8118-927145c8a91c","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":118,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"e3cb0e49-b5a1-4c38-8ff2-4583763987b8","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":118,"box":{"x":69,"y":672,"width":781,"height":11}},{"id":"cf9cfc91-57ab-4592-a255-8d186f17a1bd","block_type":"box","text":"government entity, then the entity with the ultimate responsibility for the payment of interest and principal may be","page_number":118,"box":{"x":68,"y":687,"width":810,"height":11}},{"id":"c20db227-c386-470b-bc1b-d846bddbc1a0","block_type":"box","text":"regarded as the sole issuer.","page_number":118,"box":{"x":69,"y":703,"width":198,"height":11}},{"id":"a416ff69-3d26-44b4-8efd-9798552a4618","block_type":"box","text":"Foreign government securities (unlike U.S. Government Securities) are not exempt from the 5%, 10% and 25%","page_number":118,"box":{"x":102,"y":725,"width":784,"height":11}},{"id":"6f75cdf4-3949-4ce6-a8c1-a47c62c3102e","block_type":"box","text":"diversification requirements of the Code discussed above and the securities of each foreign government issuer are","page_number":118,"box":{"x":69,"y":740,"width":819,"height":11}},{"id":"bc8e712e-79a0-49a3-9fdd-ac77dc81a5a7","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":118,"box":{"x":69,"y":755,"width":811,"height":11}},{"id":"20c8f91c-71a7-46a9-93b8-130468493d5e","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":118,"box":{"x":70,"y":770,"width":747,"height":12}},{"id":"e0aebdf7-7e1b-433c-a69f-a0fc5b511bb2","block_type":"box","text":"“diversified” under the Investment Company Act must satisfy the foregoing 5% and 10% requirements with respect to","page_number":118,"box":{"x":70,"y":785,"width":834,"height":12}},{"id":"1c7b00de-91a8-4c54-b71a-e47fbac7cde6","block_type":"box","text":"75% of its total assets.","page_number":118,"box":{"x":69,"y":801,"width":165,"height":9}},{"id":"e7c8220e-ef76-41b7-b5de-30457261d0a5","block_type":"box","text":"II-81","page_number":118,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1c6798e0-ebdf-436a-a925-7e985a868ac9","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":118,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b2905b69-7756-40d6-88f2-7460f89c4e52","block_type":"box","text":"MANAGEMENT AND OTHER SERVICE ARRANGEMENTS","page_number":119,"box":{"x":268,"y":45,"width":442,"height":10}},{"id":"36389dcf-aa39-4686-9644-2f25eba27927","block_type":"box","text":"Directors and Officers","page_number":119,"box":{"x":69,"y":76,"width":159,"height":8}},{"id":"980ff55a-2f05-4377-8587-1b91542eecf6","block_type":"box","text":"See “Information on Directors and Officers, ‘—Biographical Information,’ ‘— Share Ownership’ and ‘—","page_number":119,"box":{"x":102,"y":98,"width":733,"height":11}},{"id":"c5f421a3-8739-4fb0-aaa8-c6bd3d62e8d8","block_type":"box","text":"Compensation of Directors’” or “Information on Trustees and Officers, ‘—Biographical Information,’ ‘— Share","page_number":119,"box":{"x":69,"y":113,"width":783,"height":12}},{"id":"5916b355-435e-4ea1-9cc0-640a0e6671de","block_type":"box","text":"Ownership’ and ‘— Compensation of Trustees’,” as applicable, in Par t I of each Fund’s SAI for biographical and","page_number":119,"box":{"x":69,"y":128,"width":795,"height":12}},{"id":"3c0b4b63-65c7-45bf-8eae-0da20541da11","block_type":"box","text":"cer tain other information relating to the Directors and officers of your Fund, including Directors’ compensation.","page_number":119,"box":{"x":69,"y":143,"width":789,"height":12}},{"id":"d5e5da99-4784-4b4a-ae27-427d18158fbf","block_type":"box","text":"Management Arrangements","page_number":119,"box":{"x":69,"y":174,"width":202,"height":11}},{"id":"47de0f56-bdbc-4098-b1c8-87055082115d","block_type":"box","text":"Management Services.","page_number":119,"box":{"x":102,"y":197,"width":162,"height":11}},{"id":"1a1d7800-af52-4ae9-9a4a-962a503b9194","block_type":"box","text":"The Manager provides each Fund with investment advisory and management services.","page_number":119,"box":{"x":270,"y":197,"width":615,"height":11}},{"id":"4674bbf1-5c92-4f57-8562-f303d715d805","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":119,"box":{"x":69,"y":212,"width":836,"height":11}},{"id":"8052061b-86c8-4996-bfc8-fccd2f54313a","block_type":"box","text":"por tfolio and reviews the Fund’s holdings in light of its own research analysis and that from other relevant sources.","page_number":119,"box":{"x":70,"y":227,"width":820,"height":11}},{"id":"da0d069f-cbf1-4b32-b8a0-a43c4448b8a2","block_type":"box","text":"The responsibility for making decisions to buy, sell or hold a par ticular security rests with the Manager. The Manager","page_number":119,"box":{"x":68,"y":242,"width":832,"height":11}},{"id":"046416f3-64eb-4087-bc05-d2d2b1923db7","block_type":"box","text":"per forms cer tain of the other administrative services and provides all the office space, facilities, equipment and","page_number":119,"box":{"x":70,"y":257,"width":801,"height":11}},{"id":"5a860644-024e-48e7-8928-eb20071069a0","block_type":"box","text":"necessary personnel for management of each Fund.","page_number":119,"box":{"x":69,"y":272,"width":370,"height":11}},{"id":"12966ef0-b6ed-46cc-896a-2726cec14da9","block_type":"box","text":"Each Feeder Fund invests all or a por tion of its assets in shares of a Master Por tfolio. To the extent a Feeder","page_number":119,"box":{"x":102,"y":295,"width":778,"height":11}},{"id":"02a9386e-3c3a-4aba-9a60-65c10b3c355d","block_type":"box","text":"Fund invests all of its assets in a Master Por tfolio, it does not invest directly in por tfolio securities and does not","page_number":119,"box":{"x":70,"y":310,"width":800,"height":11}},{"id":"c329d892-776e-43ff-9a2a-cdb3fee6d739","block_type":"box","text":"require management services. For such Feeder Funds, por tfolio management occurs at the Master Por tfolio level.","page_number":119,"box":{"x":69,"y":325,"width":810,"height":11}},{"id":"7a91ee5e-dee6-4ad9-92e9-520c5fb1f8ae","block_type":"box","text":"Management Fee.","page_number":119,"box":{"x":102,"y":348,"width":126,"height":11}},{"id":"f3b9854b-4c51-455a-8043-02b275f27491","block_type":"box","text":"Each Fund has entered into a Management Agreement with the Manager pursuant to which","page_number":119,"box":{"x":235,"y":348,"width":646,"height":11}},{"id":"285992ea-14b5-484e-a277-311b6d060f7f","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":119,"box":{"x":68,"y":363,"width":841,"height":11}},{"id":"7fb4f827-a734-4af0-afbc-80337fcfba48","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":119,"box":{"x":69,"y":378,"width":833,"height":11}},{"id":"28b4c19b-bb56-4137-ad18-71f360ec818b","block_type":"box","text":"fiscal years or other applicable periods, see “Management, Advisory and Other Service Arrangements —","page_number":119,"box":{"x":68,"y":393,"width":746,"height":11}},{"id":"b7e2bc5d-51df-4356-9c0b-60a239ae0335","block_type":"box","text":"Management Agreement” or “Management and Advisory Arrangements,” as applicable, in Par t I of each Fund’s SAI.","page_number":119,"box":{"x":70,"y":408,"width":825,"height":11}},{"id":"2d882346-e3cf-40df-9bf9-748302251b46","block_type":"box","text":"For Funds that do not have an administrator, each Management Agreement obligates the Manager to provide","page_number":119,"box":{"x":102,"y":431,"width":774,"height":11}},{"id":"0a3c214c-8edf-4dd1-9878-4cd6e99406a9","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":119,"box":{"x":69,"y":446,"width":826,"height":11}},{"id":"00c05c58-108b-4670-846c-9080e90b607c","block_type":"box","text":"in connection with investment and economic research, trading and investment management of the Fund, as well as","page_number":119,"box":{"x":70,"y":461,"width":820,"height":11}},{"id":"7b09ca54-0f21-4b22-a80d-a2634b321c4a","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":119,"box":{"x":68,"y":476,"width":797,"height":11}},{"id":"e6117035-8f41-4033-9cd3-55443251ddcb","block_type":"box","text":"incurred in the operation of that Fund, including among other things: taxes; expenses for legal and auditing services;","page_number":119,"box":{"x":70,"y":491,"width":830,"height":12}},{"id":"0e90667d-6dba-4cf3-af76-ce3759b157a8","block_type":"box","text":"costs of preparing, printing and mailing proxies, shareholder repor ts, prospectuses and statements of additional","page_number":119,"box":{"x":69,"y":506,"width":802,"height":12}},{"id":"c8d3bcb8-5afb-4ae8-b0bb-9a01207396f2","block_type":"box","text":"information, except to the extent paid by BlackRock Investments, LLC (“BRIL” or the “Distributor”); charges of the","page_number":119,"box":{"x":70,"y":521,"width":809,"height":12}},{"id":"a4b20abd-e58e-452d-b075-ad5af2e8e157","block_type":"box","text":"custodian and sub-custodian, and the transfer agent; expenses of redemption of shares; Commission fees; expenses","page_number":119,"box":{"x":69,"y":537,"width":838,"height":11}},{"id":"f9538aa6-16a0-4480-9139-bd9b5578d078","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":119,"box":{"x":69,"y":552,"width":830,"height":11}},{"id":"7dcb699b-d4d2-40c8-92c1-19cd65ff7ba9","block_type":"box","text":"persons of a Fund as defined in the Investment Company Act; accounting and pricing costs (including the daily","page_number":119,"box":{"x":70,"y":567,"width":784,"height":11}},{"id":"7112019d-0559-47d0-be89-69d50162341c","block_type":"box","text":"calculations of NAV); insurance; interest; brokerage costs; litigation and other extraordinary or non-recurring","page_number":119,"box":{"x":69,"y":582,"width":767,"height":11}},{"id":"0b634158-db2e-4340-a724-de1732d3e0b1","block_type":"box","text":"expenses; and other expenses properly payable by the Fund. Cer tain accounting services are provided to each Fund","page_number":119,"box":{"x":69,"y":597,"width":825,"height":11}},{"id":"7ca2de2f-3a76-46e4-9c5d-f9aece6239ea","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":119,"box":{"x":69,"y":612,"width":827,"height":11}},{"id":"a7d991e3-3245-4dce-b9d4-73ff8fd23abb","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":119,"box":{"x":69,"y":627,"width":814,"height":12}},{"id":"6045c54d-17da-4854-84f7-36773ec108d6","block_type":"box","text":"each Fund. Each Fund pays a fee for these services. The Distributor pays cer tain promotional expenses of the Funds","page_number":119,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"fa16c55a-99c7-4343-8253-ec4e3df3f4ee","block_type":"box","text":"incurred in connection with the offering of shares of the Funds. Cer tain expenses are financed by each Fund pursuant","page_number":119,"box":{"x":70,"y":658,"width":839,"height":11}},{"id":"2962648e-6afc-4c19-868c-3d5bb5a9f86d","block_type":"box","text":"to distribution plans in compliance with Rule 12b-1 under the Investment Company Act. See “Purchase of Shares —","page_number":119,"box":{"x":68,"y":673,"width":828,"height":11}},{"id":"f1e1c45d-984b-4f7d-a198-a62c63550943","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans.”","page_number":119,"box":{"x":70,"y":688,"width":350,"height":11}},{"id":"aa87a293-e897-471a-bca3-3432873e42a4","block_type":"box","text":"Sub-Advisory Fee.","page_number":119,"box":{"x":102,"y":711,"width":124,"height":11}},{"id":"5103f140-5574-448f-907f-a082c3dcc135","block_type":"box","text":"The Manager of cer tain Funds has entered into one or more sub-advisory agreements (the","page_number":119,"box":{"x":232,"y":710,"width":643,"height":12}},{"id":"ccb850dd-45dd-4a24-8a82-161814f115f9","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":119,"box":{"x":70,"y":726,"width":839,"height":11}},{"id":"418239be-740c-406c-96f0-012f0cd9b88e","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":119,"box":{"x":68,"y":741,"width":830,"height":11}},{"id":"833bfcd2-a8cc-4cbd-ba95-a11d12fc84d2","block_type":"box","text":"Organization of the Manager.","page_number":119,"box":{"x":102,"y":763,"width":204,"height":12}},{"id":"8b77b353-9cae-48db-ba17-66b7a592e99d","block_type":"box","text":"BlackRock Advisors, LLC is a Delaware limited liability company and BlackRock","page_number":119,"box":{"x":313,"y":763,"width":560,"height":12}},{"id":"ce8d6e69-0c0d-41fd-a6f5-38b6360628a6","block_type":"box","text":"Fund Advisors is a California corporation. Each Manager is an indirect, majority-owned subsidiary of BlackRock, Inc.","page_number":119,"box":{"x":70,"y":778,"width":819,"height":12}},{"id":"6f5c782c-eeda-4ae8-8d69-5d4989cbc2fb","block_type":"box","text":"BlackRock, Inc., through its subsidiaries and divisions, provides (i) investment management services to individuals","page_number":119,"box":{"x":70,"y":794,"width":817,"height":11}},{"id":"dc6e7e6e-2482-4319-8b4b-233dc69da127","block_type":"box","text":"and institutional investors through separate account management, non-discretionary advisory programs and","page_number":119,"box":{"x":69,"y":809,"width":768,"height":11}},{"id":"2ba2f5af-8761-49d8-9f5d-079f0f6eabad","block_type":"box","text":"commingled investment vehicles; (ii) risk management services, investment accounting and trade processing tools;","page_number":119,"box":{"x":69,"y":824,"width":821,"height":11}},{"id":"dce5f272-2285-4051-8148-cacaa4038119","block_type":"box","text":"(iii) transition management services, and (iv) securities lending services.","page_number":119,"box":{"x":69,"y":839,"width":517,"height":11}},{"id":"b38263dd-5d37-431b-8cf4-a4ec812674e9","block_type":"box","text":"Duration and Termination.","page_number":119,"box":{"x":102,"y":862,"width":182,"height":9}},{"id":"8f5b2223-a990-41b1-9be2-84deab109932","block_type":"box","text":"Unless earlier terminated as described below, each Management Agreement and each","page_number":119,"box":{"x":292,"y":862,"width":613,"height":11}},{"id":"42e3bada-663c-4e9c-86a8-c2668d9b109b","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":119,"box":{"x":69,"y":877,"width":835,"height":11}},{"id":"b7f94999-40c9-42af-84c6-6da53dbe5518","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":119,"box":{"x":69,"y":892,"width":803,"height":11}},{"id":"c89c8f25-6be0-4b77-86e4-78b138ae987b","block_type":"box","text":"(b) by a majority of the Directors of the Fund who are not par ties to such agreement or interested persons (as defined","page_number":119,"box":{"x":69,"y":907,"width":839,"height":11}},{"id":"d4c7661a-ddfc-47ff-aa6f-1f717093ca10","block_type":"box","text":"II-82","page_number":119,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a804dc0e-a808-4b19-8af7-c41a80496244","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":119,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"65486138-31ab-4959-9b0a-9e33310fb1b7","block_type":"box","text":"in the Investment Company Act) of any such par ty. Each Management Agreement automatically terminates on","page_number":120,"box":{"x":70,"y":45,"width":778,"height":11}},{"id":"00c48815-76d4-4b2a-a769-b785dc7c0bd4","block_type":"box","text":"assignment and may be terminated without penalty on 60 days’ written notice at the option of either par ty thereto or","page_number":120,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"c45a54cb-bb7b-4354-83dd-f6ea5ee5bf41","block_type":"box","text":"by the vote of the shareholders of the applicable Fund.","page_number":120,"box":{"x":69,"y":75,"width":388,"height":11}},{"id":"4edbcd42-4970-477c-ac4d-d493ae752018","block_type":"box","text":"Other Service Arrangements","page_number":120,"box":{"x":69,"y":105,"width":205,"height":11}},{"id":"21d1dc62-d206-40ef-91ab-e8bd6f5c8938","block_type":"box","text":"Administrative Services and Administrative Fee.","page_number":120,"box":{"x":101,"y":128,"width":338,"height":9}},{"id":"13381bbf-74e0-484f-a0ef-7cfead0ad153","block_type":"box","text":"Cer tain Funds have entered into an administration agreement","page_number":120,"box":{"x":446,"y":128,"width":439,"height":11}},{"id":"2f2ff484-9899-486a-b4fa-ce8bea8882fe","block_type":"box","text":"(the “Administration Agreement”) with an administrator identified in the Fund’s Prospectus and Par t I of the Fund’s","page_number":120,"box":{"x":69,"y":143,"width":818,"height":11}},{"id":"c454e428-8efa-4950-828b-51f286b0d957","block_type":"box","text":"SAI (each an “Administrator”). For its services to a Fund, the Administrator receives monthly compensation at the","page_number":120,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"79fee3b6-d686-4aa0-877e-562435eed72b","block_type":"box","text":"annual rate set for th in each applicable Fund’s Prospectus. For information regarding any administrative fees paid by","page_number":120,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"c6a6f021-db2d-4731-b49e-7f5ba39603a7","block_type":"box","text":"your Fund to the Administrator for the periods indicated, see “Management, Advisory and Other Service","page_number":120,"box":{"x":68,"y":188,"width":738,"height":12}},{"id":"cfd6428d-f562-4362-964c-714a3dfaa0f2","block_type":"box","text":"Arrangements — Administration Agreement” or “Management and Advisory Arrangements,” as applicable, in Par t I of","page_number":120,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"2dbd56d1-72ec-4dd0-a201-c09aa67339c8","block_type":"box","text":"that Fund’s SAI.","page_number":120,"box":{"x":68,"y":219,"width":113,"height":8}},{"id":"3aaa336a-30d0-402f-985f-a09758060e78","block_type":"box","text":"For Funds that have an Administrator, the Administration Agreement obligates the Administrator to provide","page_number":120,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"04fdb543-e78a-4b7a-9e10-f433b65d3159","block_type":"box","text":"cer tain administrative services to the Fund and to pay, or cause its affiliates to pay, for maintaining its staff and","page_number":120,"box":{"x":69,"y":256,"width":800,"height":12}},{"id":"1fcb5fbd-d465-46f9-b868-d419ebd2928f","block_type":"box","text":"personnel and to provide office space, facilities and necessary personnel for the Fund. Each Administrator is also","page_number":120,"box":{"x":70,"y":271,"width":809,"height":12}},{"id":"f8ec89b0-de88-4e39-927c-780e5150f35c","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":120,"box":{"x":69,"y":286,"width":826,"height":12}},{"id":"5c4990a1-ac81-4924-887a-5f68d6948f76","block_type":"box","text":"persons of the Administrator or any of its affiliates.","page_number":120,"box":{"x":70,"y":302,"width":362,"height":11}},{"id":"baef694c-2687-4114-ae27-82f08b782df9","block_type":"box","text":"Duration and Termination of Administration Agreement.","page_number":120,"box":{"x":102,"y":324,"width":390,"height":12}},{"id":"280d6925-cef5-41ea-9936-cd99b48b0232","block_type":"box","text":"Unless earlier terminated as described below, each","page_number":120,"box":{"x":499,"y":325,"width":364,"height":10}},{"id":"202236b6-01c2-44ab-8ef8-2e6b0777faec","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":120,"box":{"x":68,"y":339,"width":832,"height":12}},{"id":"078d5f1d-1ba0-4697-80a2-2b1f5ead80c3","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":120,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"05ae7269-2841-4fb0-8d62-16862db29ab0","block_type":"box","text":"securities of such Fund and (b) by a majority of the Directors of the Fund who are not par ties to such contract or","page_number":120,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"b4dd495f-4eb1-4cbf-a5da-cd63e581cc17","block_type":"box","text":"interested persons (as defined in the Investment Company Act) of any such par ty. Such contract is not assignable","page_number":120,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"e20965ba-f7b2-4c8d-9f22-fa33ee123b7f","block_type":"box","text":"and may be terminated without penalty on written notice at the option of either par ty thereto or by the vote of the","page_number":120,"box":{"x":69,"y":400,"width":805,"height":11}},{"id":"7a29c22c-6a32-4a26-96bc-bc9a3605d912","block_type":"box","text":"shareholders of the Fund.","page_number":120,"box":{"x":69,"y":415,"width":181,"height":9}},{"id":"ef5f6b9c-1680-4973-b5c4-1beab45886f1","block_type":"box","text":"Transfer Agency Services.","page_number":120,"box":{"x":103,"y":438,"width":180,"height":11}},{"id":"a56e8a9f-20ac-4964-b24a-d4fb1574c082","block_type":"box","text":"BNY Mellon Investment Servicing (US) Inc. (in this capacity, the “Transfer Agent”), a","page_number":120,"box":{"x":291,"y":438,"width":595,"height":11}},{"id":"79bac07f-c2ae-4a61-b9fd-caf5ae854d9f","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":120,"box":{"x":69,"y":453,"width":816,"height":11}},{"id":"f35a4f07-eb7c-4459-8221-5d7c11b7c5a4","block_type":"box","text":"Agency, Dividend Disbursing Agency and Shareholder Servicing Agency Agreement (the “Transfer Agency Agreement”)","page_number":120,"box":{"x":68,"y":468,"width":833,"height":11}},{"id":"4a4a4fc9-6c05-45c6-9d0d-bde21892e91a","block_type":"box","text":"with the Funds. Pursuant to the Transfer Agency Agreement, the Transfer Agent is responsible for the issuance,","page_number":120,"box":{"x":68,"y":483,"width":792,"height":11}},{"id":"575b7160-8bb9-4db1-b957-f10dea08d3ab","block_type":"box","text":"transfer and redemption of shares and the opening and maintenance of shareholder accounts. Each Fund pays the","page_number":120,"box":{"x":68,"y":498,"width":819,"height":11}},{"id":"2840ee86-ef40-45bc-8fc2-34f9d7b638d5","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":120,"box":{"x":68,"y":513,"width":839,"height":12}},{"id":"d3cbc404-e879-40de-9a1c-38fb27d6848e","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":120,"box":{"x":70,"y":528,"width":831,"height":12}},{"id":"20f28716-9306-4873-917a-219754bf7239","block_type":"box","text":"for cer tain accounts that par ticipate in cer tain fee-based programs sponsored by the Manager or its affiliates. For","page_number":120,"box":{"x":68,"y":543,"width":813,"height":12}},{"id":"d9b3e444-8d1e-4f84-9efa-9063a7f5363a","block_type":"box","text":"purposes of each Transfer Agency Agreement, the term “account” includes a shareholder account maintained directly","page_number":120,"box":{"x":70,"y":559,"width":836,"height":11}},{"id":"faa2fa1e-ab74-4561-8114-bdfaa9118fa8","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":120,"box":{"x":69,"y":574,"width":806,"height":11}},{"id":"0cf8a876-572f-4116-92ce-355790f1390a","block_type":"box","text":"class on a recordkeeping system.","page_number":120,"box":{"x":69,"y":589,"width":238,"height":11}},{"id":"e49cc42e-9698-40b3-919b-d4c2426de4fa","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":120,"box":{"x":102,"y":612,"width":338,"height":11}},{"id":"517773e9-c6ba-44e1-961c-928dac71477d","block_type":"box","text":"The Audit Committee of each Fund, the members of which are","page_number":120,"box":{"x":446,"y":612,"width":441,"height":10}},{"id":"1ed2604f-ae1b-416d-8f5f-6ffe24b4c617","block_type":"box","text":"non-interested Directors of the Fund, has selected an independent registered public accounting firm for that Fund that","page_number":120,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"ad79d087-b1c4-485a-9fdb-89c0a7b86a89","block_type":"box","text":"audits the Fund’s financial statements. Please see the inside back cover page of your Fund’s Prospectus and Par t I","page_number":120,"box":{"x":69,"y":642,"width":823,"height":11}},{"id":"dc5278e6-85bb-494a-9229-730ecea71097","block_type":"box","text":"of this SAI for information on your Fund’s independent registered public accounting firm.","page_number":120,"box":{"x":69,"y":657,"width":627,"height":11}},{"id":"e63c2f53-c8fc-400b-a72a-926d8bf20e16","block_type":"box","text":"Custodian Services.","page_number":120,"box":{"x":102,"y":680,"width":141,"height":9}},{"id":"3f4c8287-ff8e-4a90-871b-30bbaa4019de","block_type":"box","text":"The name and address of the custodian (the “Custodian”) of each Fund are provided on the","page_number":120,"box":{"x":249,"y":680,"width":654,"height":11}},{"id":"c40914fc-9c70-47d1-8e02-701948a32771","block_type":"box","text":"inside back cover page of the Fund’s Prospectus. The Custodian is responsible for safeguarding and controlling the","page_number":120,"box":{"x":70,"y":695,"width":820,"height":11}},{"id":"6b43d538-af27-4180-889c-8bc823a17003","block_type":"box","text":"Fund’s cash and securities, handling the receipt and delivery of securities and collecting interest and dividends on","page_number":120,"box":{"x":70,"y":710,"width":814,"height":11}},{"id":"a2f15e89-9e13-49d9-86b2-35e969170753","block_type":"box","text":"the Fund’s investments. The Custodian is authorized to establish separate accounts in foreign currencies and to","page_number":120,"box":{"x":68,"y":725,"width":802,"height":11}},{"id":"fa1ce593-5473-4c75-9729-5621d9d06294","block_type":"box","text":"cause foreign securities owned by the Fund to be held in its offices outside the United States and with cer tain foreign","page_number":120,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"e9c513f0-efe9-493d-8c6a-b95f35343b97","block_type":"box","text":"banks and securities depositories. A Fund also may use special purpose custodian banks from time to time for","page_number":120,"box":{"x":69,"y":755,"width":792,"height":11}},{"id":"242f6655-66a4-4ce2-bcd1-d152151ef69b","block_type":"box","text":"cer tain assets.","page_number":120,"box":{"x":69,"y":771,"width":106,"height":8}},{"id":"35f13e31-34d5-496e-8193-bb29a2ed988a","block_type":"box","text":"For cer tain Feeder Funds, the Custodian also acts as the custodian of the Master Por tfolio’s assets.","page_number":120,"box":{"x":102,"y":793,"width":716,"height":10}},{"id":"4e7edffb-2f27-4146-9f23-512531f48c8c","block_type":"box","text":"Generally, overdraft charges, if any, are treated as interest expense. With respect to cer tain Funds, on a monthly","page_number":120,"box":{"x":102,"y":816,"width":803,"height":11}},{"id":"849985c9-35fa-4325-9c57-caf6e229e2fb","block_type":"box","text":"basis the Custodian nets the Fund’s daily positive and negative cash balances and calculates a credit (“custody","page_number":120,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"16e08402-7866-4bf8-8300-1c3e402dbb61","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":120,"box":{"x":69,"y":846,"width":834,"height":11}},{"id":"25ebaaae-9f21-468d-b27d-eabd11b92394","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":120,"box":{"x":69,"y":861,"width":826,"height":11}},{"id":"50ddb811-df7c-4d65-8d1f-d58cdc69154a","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":120,"box":{"x":69,"y":876,"width":807,"height":11}},{"id":"9db9ef53-b017-411e-9eb7-ae09f039e7c7","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":120,"box":{"x":68,"y":891,"width":836,"height":12}},{"id":"d79a7358-3947-4afe-b2dc-141de4ada7c2","block_type":"box","text":"Fund.","page_number":120,"box":{"x":70,"y":907,"width":36,"height":8}},{"id":"feed5ae3-3a92-4794-a994-3fa11c7523cb","block_type":"box","text":"II-83","page_number":120,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0d7c14f2-05c6-44fb-a3dc-69d0ece92d1f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":120,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"58956faa-397e-4e18-b544-04e00999bf0c","block_type":"box","text":"Accounting Services.","page_number":121,"box":{"x":101,"y":45,"width":148,"height":11}},{"id":"e67b54c4-f2a0-4b42-9974-a464bbfa6277","block_type":"box","text":"Each Fund has entered into an agreement with State Street, BNY Mellon or JPM, pursuant","page_number":121,"box":{"x":256,"y":45,"width":641,"height":11}},{"id":"f6c24b4f-f9d8-496a-9b4e-7946813e6a56","block_type":"box","text":"to which State Street, BNY Mellon or JPM provides cer tain accounting and administrative services to the Fund. Each","page_number":121,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"d833a757-8af6-483f-924d-e7358bac6f4f","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":121,"box":{"x":70,"y":75,"width":797,"height":11}},{"id":"d339f575-d7b4-41fc-a37f-33f944d95217","block_type":"box","text":"Master LLCs.","page_number":121,"box":{"x":70,"y":90,"width":91,"height":9}},{"id":"35554144-1eb4-4200-9e99-cf4ffca16734","block_type":"box","text":"See “Management, Advisory and Other Service Arrangements — Accounting Services” or “Management and","page_number":121,"box":{"x":102,"y":113,"width":771,"height":11}},{"id":"319fd338-11b3-4650-871a-3a9680969021","block_type":"box","text":"Advisory Arrangements — Accounting Services,” as applicable, in Par t I of each Fund’s SAI for information on the","page_number":121,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"6f48fb55-7f01-4370-a776-196477988ca6","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":121,"box":{"x":69,"y":143,"width":828,"height":11}},{"id":"1cf569aa-7de3-4588-870d-4fc6e4d09dc5","block_type":"box","text":"applicable, the Administrator for the periods indicated.","page_number":121,"box":{"x":69,"y":158,"width":386,"height":11}},{"id":"87c4095a-0536-4b1a-b3e1-93b2c6430ddf","block_type":"box","text":"Distribution Expenses.","page_number":121,"box":{"x":102,"y":181,"width":158,"height":11}},{"id":"323f7062-5ead-4a09-8145-9fa9e95ec84e","block_type":"box","text":"Each Fund has entered into a distribution agreement with the Distributor in connection","page_number":121,"box":{"x":267,"y":181,"width":614,"height":11}},{"id":"c3b01e7e-da50-4f83-868b-9e9e2ae8c842","block_type":"box","text":"with the continuous offering of each class of shares of the Fund (the “Distribution Agreements”). The Distribution","page_number":121,"box":{"x":68,"y":196,"width":807,"height":11}},{"id":"f713ce8d-7475-43e6-a665-c6d0ec5180b4","block_type":"box","text":"Agreements obligate the Distributor to pay cer tain expenses in connection with the offering of each class of shares of","page_number":121,"box":{"x":68,"y":211,"width":842,"height":11}},{"id":"2bfb4362-c760-4313-a681-ddc18ac1f46d","block_type":"box","text":"the Funds. After the prospectuses, statements of additional information and periodic repor ts have been prepared,","page_number":121,"box":{"x":68,"y":226,"width":813,"height":11}},{"id":"d041f65a-8997-4eb6-b6bb-160c6c5af08a","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":121,"box":{"x":69,"y":241,"width":836,"height":11}},{"id":"10472278-5fcb-4702-8abd-26e3d57e87cc","block_type":"box","text":"in connection with the offering to dealers and investors. The Distributor also pays for other supplementary sales","page_number":121,"box":{"x":70,"y":256,"width":799,"height":12}},{"id":"f9ceb9af-0b18-43c9-9120-0ba4e3b60646","block_type":"box","text":"literature and adver tising costs. Each Distribution Agreement is subject to the same renewal requirements and","page_number":121,"box":{"x":70,"y":272,"width":788,"height":11}},{"id":"5159fc46-d15e-4dce-a328-f6c193dec250","block_type":"box","text":"termination provisions as the Management Agreement described above.","page_number":121,"box":{"x":68,"y":287,"width":513,"height":11}},{"id":"4c740254-dff9-449d-a92c-f901debfc051","block_type":"box","text":"Code of Ethics","page_number":121,"box":{"x":69,"y":317,"width":105,"height":9}},{"id":"7d9473d4-3f56-4e87-9ebb-d76f2f034d13","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":121,"box":{"x":102,"y":339,"width":780,"height":12}},{"id":"c1c957eb-3d2a-4e9b-b5e9-30530451d8a2","block_type":"box","text":"17j-1 under the Investment Company Act. The Code of Ethics establishes procedures for personal investing and","page_number":121,"box":{"x":70,"y":355,"width":794,"height":11}},{"id":"411e6e76-779f-43d9-af4d-cde38fccd76b","block_type":"box","text":"restricts cer tain transactions. Employees subject to the Code of Ethics may invest in securities for their personal","page_number":121,"box":{"x":69,"y":370,"width":803,"height":11}},{"id":"093f75e7-8a2a-4adf-84de-dc7f744d6c64","block_type":"box","text":"investment accounts, including securities that may be purchased or held by a Fund.","page_number":121,"box":{"x":70,"y":385,"width":593,"height":11}},{"id":"a60e5d11-e0da-421b-8619-82d4163c12a9","block_type":"box","text":"SELECTIVE DISCLOSURE OF PORTFOLIO HOLDINGS","page_number":121,"box":{"x":282,"y":414,"width":413,"height":10}},{"id":"2017e140-bd29-48d0-9c42-2449e178fe68","block_type":"box","text":"The Board of Directors of each Fund and the Board of Directors of the Manager have each approved Por tfolio","page_number":121,"box":{"x":101,"y":437,"width":777,"height":11}},{"id":"c1fa2b5e-8dd5-4c14-b64d-af94700b1cbd","block_type":"box","text":"Holdings and Related Information Distribution Guidelines (the “Policy”) regarding the disclosure of each Fund’s","page_number":121,"box":{"x":70,"y":452,"width":788,"height":11}},{"id":"5ec4ab4b-9398-458f-8ee8-7c425d89fbcc","block_type":"box","text":"por tfolio securities, as applicable, and other por tfolio information. The purpose of the Policy is to ensure that","page_number":121,"box":{"x":70,"y":467,"width":778,"height":11}},{"id":"d1b86d59-2270-46dc-9062-98f5baf41a22","block_type":"box","text":"(i) shareholders and prospective shareholders of the Funds have equal access to por tfolio holdings and","page_number":121,"box":{"x":69,"y":482,"width":737,"height":12}},{"id":"ca8e94ef-2105-48af-babc-4efb1c36d52a","block_type":"box","text":"characteristics and (ii) third par ties (such as consultants, intermediaries and third-par ty data providers) have access","page_number":121,"box":{"x":69,"y":498,"width":829,"height":11}},{"id":"dfab874a-acf5-4797-ba4f-edd09da5ecc1","block_type":"box","text":"to such information no earlier or more frequently than shareholders and prospective shareholders.","page_number":121,"box":{"x":68,"y":513,"width":701,"height":11}},{"id":"ce227d75-4c73-4737-a884-92f4a009051e","block_type":"box","text":"Pursuant to the Policy, each Fund and the Manager may, under cer tain circumstances as set for th below, make","page_number":121,"box":{"x":102,"y":535,"width":791,"height":12}},{"id":"be4cbfa4-b6c9-4324-829c-eb6c5dc5a80e","block_type":"box","text":"selective disclosure with respect to a Fund’s Por tfolio Characteristics (as defined below) and Por tfolio Holdings (as","page_number":121,"box":{"x":69,"y":550,"width":819,"height":12}},{"id":"ea3883ff-d265-4b8f-bedf-ce68fe536955","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":121,"box":{"x":69,"y":566,"width":824,"height":11}},{"id":"f82a1a52-aea6-413c-ae38-2ba8a87fc523","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":121,"box":{"x":68,"y":581,"width":813,"height":11}},{"id":"5090353a-bb1f-4c20-bedf-eab9f57a8a58","block_type":"box","text":"The Board of Directors provides ongoing oversight of the Fund’s and Manager’s compliance with the Policy.","page_number":121,"box":{"x":68,"y":596,"width":761,"height":11}},{"id":"9836f94f-4f79-4c9b-ac17-9dda682cf78c","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":121,"box":{"x":70,"y":611,"width":825,"height":11}},{"id":"2b35081c-dd99-4a65-8e86-5d5abb8ed084","block_type":"box","text":"holdings information by an individual or firms in possession of that information.","page_number":121,"box":{"x":69,"y":626,"width":565,"height":11}},{"id":"b62b0fa3-fbc5-44c2-93d9-94f863755217","block_type":"box","text":"Disclosure of material non-public information (“Confidential Information”) about a Fund’s Por tfolio Holdings and/","page_number":121,"box":{"x":102,"y":649,"width":802,"height":11}},{"id":"a71c3c10-57ed-4fe0-8ad7-f82e41a37b21","block_type":"box","text":"or Por tfolio Characteristics is prohibited, except as provided in the Policy.","page_number":121,"box":{"x":69,"y":664,"width":520,"height":11}},{"id":"410f5377-02c5-4a2b-b84b-1ebffd91b2d3","block_type":"box","text":"Confidential Information relating to a Fund may not be distributed to persons not employed by BlackRock unless","page_number":121,"box":{"x":102,"y":686,"width":797,"height":12}},{"id":"13f36e3c-de49-44e7-aa57-ec95ce372c53","block_type":"box","text":"the Fund has a legitimate business purpose for doing so and confidentiality obligations are in effect, as appropriate.","page_number":121,"box":{"x":68,"y":702,"width":829,"height":11}},{"id":"63a18213-86ad-4dce-9631-f4a395dd2568","block_type":"box","text":"•","page_number":121,"box":{"x":69,"y":725,"width":6,"height":4}},{"id":"b9994bd6-6d42-4be6-9cf7-6fa8286aec58","block_type":"box","text":"Por tfolio Holdings","page_number":121,"box":{"x":102,"y":722,"width":126,"height":11}},{"id":"9d58ac44-4def-4268-b9d0-6e8fe0ff794b","block_type":"box","text":": “Por tfolio Holdings” are a Fund’s por tfolio securities and other instruments, and include, but","page_number":121,"box":{"x":229,"y":722,"width":671,"height":11}},{"id":"3448f054-300f-4ea0-9eb8-93a63cdd707c","block_type":"box","text":"are not limited to:","page_number":121,"box":{"x":102,"y":737,"width":125,"height":9}},{"id":"7bee3667-e9e7-4141-97e3-2afec335dafd","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":760,"width":6,"height":5}},{"id":"dd87b057-d90e-4264-a50b-cccdd29f2a82","block_type":"box","text":"for equity securities, information such as issuer name, CUSIP, ticker symbol, total shares and market value;","page_number":121,"box":{"x":134,"y":757,"width":768,"height":11}},{"id":"ba40d872-16ff-488b-9ce1-4777490e69ea","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":780,"width":6,"height":5}},{"id":"db5fc063-ae9f-4d7c-a7d9-20698f424a18","block_type":"box","text":"for fixed income securities, information such as issuer name, CUSIP, ticker symbol, coupon, maturity,","page_number":121,"box":{"x":134,"y":777,"width":720,"height":11}},{"id":"26e2e9fa-8d89-4275-af60-962da8265094","block_type":"box","text":"current face value, market value, yield, WAL, WAM, duration and convexity;","page_number":121,"box":{"x":134,"y":792,"width":529,"height":12}},{"id":"3f3c6540-b0bb-439d-9dc2-0fcfb0df9f75","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":815,"width":6,"height":5}},{"id":"063f45ed-f218-43e6-804a-9eefded02425","block_type":"box","text":"for all securities, information such as quantity, SEDOL and market price as of a specific date;","page_number":121,"box":{"x":134,"y":812,"width":664,"height":12}},{"id":"d86def88-c3db-4ff4-9d6b-7716334b561f","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":836,"width":6,"height":4}},{"id":"689fe2ea-3f11-4352-94b9-fdb4c399ab8a","block_type":"box","text":"for derivatives, indicative data including, but not limited to, pay leg, receive leg, notional amount, reset","page_number":121,"box":{"x":134,"y":833,"width":731,"height":11}},{"id":"981b2a36-22eb-4fa5-891b-e9ad9ef44a16","block_type":"box","text":"frequency and trade counterpar ty; and","page_number":121,"box":{"x":134,"y":848,"width":271,"height":11}},{"id":"21306854-217e-411f-88af-4d1b9fd04600","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":871,"width":6,"height":4}},{"id":"15ae7872-9ca9-449f-abaf-1a7a9fc5e08e","block_type":"box","text":"for trading strategies, specific por tfolio holdings, including the number of shares held, weightings of","page_number":121,"box":{"x":134,"y":868,"width":712,"height":11}},{"id":"585c6f57-c9b8-4610-a65e-71a814490f04","block_type":"box","text":"par ticular holdings, trading details, pending or recent transactions and por tfolio management plans to","page_number":121,"box":{"x":135,"y":883,"width":726,"height":11}},{"id":"7dee69ce-c06c-479e-b125-c689e535392b","block_type":"box","text":"purchase or sell par ticular securities or allocation within par ticular sectors.","page_number":121,"box":{"x":135,"y":898,"width":533,"height":11}},{"id":"4a95dbfe-7efa-419a-8563-dc08e3fce2b2","block_type":"box","text":"II-84","page_number":121,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1e69c031-987e-4854-a833-65cc0a4053dd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":121,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"43a6ebeb-b8f4-4298-ad03-65d455d83c29","block_type":"box","text":"•","page_number":122,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"7406f313-2282-4bc8-acbd-fe932189ca99","block_type":"box","text":"Por tfolio Characteristics (excluding Liquidity Metrics):","page_number":122,"box":{"x":102,"y":45,"width":377,"height":11}},{"id":"e101f526-08a1-483c-8832-f99993903233","block_type":"box","text":"“Por tfolio Characteristics” include, but are not limited to,","page_number":122,"box":{"x":486,"y":45,"width":404,"height":10}},{"id":"4707cea3-7e49-453b-855d-d6acf036450e","block_type":"box","text":"sector allocation, credit quality breakdown, maturity distribution, duration and convexity measures, average credit","page_number":122,"box":{"x":102,"y":60,"width":807,"height":11}},{"id":"bedadda2-8954-41b9-8eab-61c9e0f36557","block_type":"box","text":"quality, average maturity, average coupon, top 10 holdings with percent of the fund held, average market","page_number":122,"box":{"x":102,"y":75,"width":745,"height":11}},{"id":"ea97592c-1d64-4dd7-890d-1c907f89769a","block_type":"box","text":"capitalization, capitalization range, risk related information (","page_number":122,"box":{"x":101,"y":90,"width":427,"height":11}},{"id":"3a519b83-ab41-40d4-b567-a3c752905f78","block_type":"box","text":"e.g.","page_number":122,"box":{"x":529,"y":91,"width":25,"height":10}},{"id":"01198de5-2da0-4892-9af1-ae1095383e6b","block_type":"box","text":", value at risk, standard deviation), ROE, P/E,","page_number":122,"box":{"x":557,"y":90,"width":322,"height":11}},{"id":"6549863d-e159-4e72-9516-6ac9a6cc8a8d","block_type":"box","text":"P/B, P/CF, P/S and EPS.","page_number":122,"box":{"x":102,"y":105,"width":177,"height":11}},{"id":"63527277-66c2-48d3-9ca5-6a0177977b46","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":128,"width":6,"height":5}},{"id":"8f0516fc-bbdd-40ec-bc86-cb69110ef160","block_type":"box","text":"Additional characteristics specific to money market funds include, but are not limited to, historical daily and","page_number":122,"box":{"x":134,"y":125,"width":766,"height":11}},{"id":"8cee0e90-5b62-4839-9f00-f5b34666bb82","block_type":"box","text":"weekly liquid assets (as defined under Rule 2a-7) and historical fund net inflows and outflows.","page_number":122,"box":{"x":134,"y":140,"width":670,"height":12}},{"id":"7cc0ffd3-d98d-41d5-be57-a96482f1e3e3","block_type":"box","text":"•","page_number":122,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"3ebc379d-c79f-4ca1-a272-340926481975","block_type":"box","text":"Por tfolio Characteristics — Liquidity Metrics:","page_number":122,"box":{"x":102,"y":161,"width":318,"height":11}},{"id":"f5c20fb6-6d73-4267-8827-51a36419d1f0","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":184,"width":6,"height":4}},{"id":"758e2792-4608-4aba-9f9f-e8561974ce02","block_type":"box","text":"“Liquidity Metrics” which seek to ascer tain a Fund’s liquidity profile under BlackRock’s global liquidity risk","page_number":122,"box":{"x":135,"y":181,"width":754,"height":11}},{"id":"4f2a7015-9b23-4277-85f4-b3a89c01650e","block_type":"box","text":"methodology which include, but are not limited to: (a) disclosure regarding the number of days needed to","page_number":122,"box":{"x":135,"y":196,"width":746,"height":11}},{"id":"f7aaf1a4-12d3-47ae-9f43-cc29def0fb86","block_type":"box","text":"liquidate a por tfolio or the por tfolio’s underlying investments; and (b) the percentage of a Fund’s NAV","page_number":122,"box":{"x":135,"y":211,"width":721,"height":11}},{"id":"70d9e8e8-aedc-46ef-8a9c-f1fdb051cb71","block_type":"box","text":"invested in a par ticular liquidity tier under BlackRock’s global liquidity risk methodology.","page_number":122,"box":{"x":135,"y":226,"width":621,"height":11}},{"id":"be72d849-3b3b-4d46-864f-460874836232","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":249,"width":6,"height":5}},{"id":"4117c784-e6ba-4835-bad6-575e6d25705c","block_type":"box","text":"The dissemination of position-level liquidity metrics data and any non-public regulatory data pursuant to SEC","page_number":122,"box":{"x":134,"y":246,"width":771,"height":11}},{"id":"0a2f609c-fb14-4e08-8bf1-e6c36c76957b","block_type":"box","text":"Rule 22e-4 (including SEC liquidity tiering) is not permitted unless pre-approved.","page_number":122,"box":{"x":135,"y":261,"width":568,"height":12}},{"id":"c8fbb3f6-63b3-4e62-a46b-02e488c4d8ac","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":284,"width":6,"height":5}},{"id":"e5a34b5d-d0d7-49e2-8517-ffbc5553002c","block_type":"box","text":"Disclosure of Liquidity Metrics pursuant to Section 3 of the Policy should be reviewed by BlackRock’s Risk","page_number":122,"box":{"x":135,"y":281,"width":755,"height":12}},{"id":"ebf16474-f64e-4adc-a15e-b66c07432882","block_type":"box","text":"and Quantitative Analysis Group and the relevant por tfolio management team prior to dissemination.","page_number":122,"box":{"x":134,"y":297,"width":716,"height":11}},{"id":"35299aba-9d2e-4b91-aee8-9fdb2877e46e","block_type":"box","text":"Information that is non-material or that may be obtained from public sources (","page_number":122,"box":{"x":102,"y":319,"width":553,"height":11}},{"id":"4a046c8a-426b-4a93-90db-a42ed5df2766","block_type":"box","text":"i.e.","page_number":122,"box":{"x":658,"y":320,"width":20,"height":8}},{"id":"0396ad87-06df-4af9-b40e-b593ef0a7533","block_type":"box","text":", information that has been","page_number":122,"box":{"x":680,"y":319,"width":193,"height":11}},{"id":"79e6b5c5-7b36-46ce-9b1f-14940d9bea0b","block_type":"box","text":"publicly disclosed via a filing with the SEC (","page_number":122,"box":{"x":70,"y":334,"width":305,"height":12}},{"id":"63526528-696d-48e6-b399-b4d9dd276f44","block_type":"box","text":"e.g.","page_number":122,"box":{"x":377,"y":336,"width":25,"height":10}},{"id":"188db004-cd1e-4453-a227-1493a11c2bd9","block_type":"box","text":", a fund’s annual repor t and annual financial statements), through a","page_number":122,"box":{"x":404,"y":334,"width":485,"height":12}},{"id":"bf5eddc2-175e-4d28-8f0e-28e2671ac290","block_type":"box","text":"press release or placement on a publicly-available internet website), or information derived or calculated from such","page_number":122,"box":{"x":70,"y":349,"width":817,"height":12}},{"id":"583e30d6-403a-4561-bc7d-74cc3b0fb7e3","block_type":"box","text":"public sources shall not be deemed Confidential Information.","page_number":122,"box":{"x":70,"y":365,"width":433,"height":11}},{"id":"69d9d319-a400-4a3e-9926-058f77858552","block_type":"box","text":"Por tfolio Holdings and Por tfolio Characteristics may be disclosed in accordance with the below schedule.","page_number":122,"box":{"x":102,"y":387,"width":747,"height":12}},{"id":"0dea047f-43e4-48cc-98a4-885143e70a46","block_type":"box","text":"Prior to the time periods designated below, non-public portfolio holdings and portfolio characteristics may only","page_number":122,"box":{"x":102,"y":410,"width":806,"height":11}},{"id":"09de72fb-ea5a-4ba2-a757-83daaeb908e1","block_type":"box","text":"be disclosed with both a non-disclosure or confidentiality agreement and Fund CCO approval.","page_number":122,"box":{"x":69,"y":425,"width":678,"height":11}},{"id":"559f6f3d-a54a-4c0e-ac00-1b9b362dc556","block_type":"box","text":"Thereafter, BlackRock","page_number":122,"box":{"x":753,"y":425,"width":156,"height":11}},{"id":"8cb3a6cb-6f18-4aa6-8b95-d51ad7218738","block_type":"box","text":"may disclose such information to shareholders, prospective shareholders, intermediaries, consultants and third-par ty","page_number":122,"box":{"x":69,"y":440,"width":838,"height":11}},{"id":"68799740-80a1-489a-93c7-8e89d7f58449","block_type":"box","text":"data providers. BlackRock generally discloses por tfolio holdings and other por tfolio characteristics information on the","page_number":122,"box":{"x":69,"y":455,"width":837,"height":12}},{"id":"e4d918bf-d54b-4c98-b0cc-d07efad5460d","block_type":"box","text":"lag times established herein on its public website.","page_number":122,"box":{"x":70,"y":471,"width":356,"height":11}},{"id":"3b2baeb0-5cb6-4d8e-8bcc-2555f1876af6","block_type":"box","text":"II-85","page_number":122,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"58c4533b-ed2f-4f22-87fa-110ba63896f5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":122,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4ffdee3d-29fd-4727-8241-4afdcebf1c36","block_type":"box","text":"Time Periods for Portfolio Holdings","page_number":123,"box":{"x":440,"y":69,"width":254,"height":11}},{"id":"93daaf77-1012-4a34-b949-ae05c28d458a","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":123,"box":{"x":339,"y":91,"width":536,"height":11}},{"id":"575a2f19-02b2-49f4-b33c-ee80eca41ef0","block_type":"box","text":"Portfolio Holdings May be Disclosed","page_number":123,"box":{"x":609,"y":106,"width":263,"height":11}},{"id":"b2e3f212-5970-4fb1-9a56-9f05eb93afec","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":123,"box":{"x":231,"y":129,"width":277,"height":11}},{"id":"f4827dc9-e4e3-434a-8b38-2f3af686cc7f","block_type":"box","text":"market) except those noted below.","page_number":123,"box":{"x":232,"y":144,"width":243,"height":11}},{"id":"0a431214-bf6f-4694-bb57-05b893b46a7d","block_type":"box","text":"20 Calendar Days After Month-End","page_number":123,"box":{"x":578,"y":129,"width":244,"height":11}},{"id":"68252317-b1f4-4bea-92f5-7f23c57af2bd","block_type":"box","text":"Global Allocation funds,","page_number":123,"box":{"x":231,"y":167,"width":167,"height":10}},{"id":"ef66f755-68bd-44fc-ab83-efdcb0a7745a","block_type":"box","text":"1","page_number":123,"box":{"x":400,"y":167,"width":4,"height":5}},{"id":"421debc3-1e5d-4473-bdf2-c9174f04552f","block_type":"box","text":"BlackRock Core","page_number":123,"box":{"x":410,"y":167,"width":110,"height":9}},{"id":"1423e71a-812b-4ad7-a6e7-5bde7b86debf","block_type":"box","text":"Bond Por tfolio of BlackRock Funds V,","page_number":123,"box":{"x":232,"y":182,"width":261,"height":10}},{"id":"435b958f-6842-47d1-8a87-f3ddcc6cfbd3","block_type":"box","text":"BlackRock Strategic Income Oppor tunities","page_number":123,"box":{"x":232,"y":197,"width":298,"height":11}},{"id":"6b3cc892-fb41-441b-9564-63dd5e60442e","block_type":"box","text":"Por tfolio of BlackRock Funds V, BlackRock","page_number":123,"box":{"x":232,"y":212,"width":300,"height":11}},{"id":"eba6466f-a2b6-4f0d-99e3-aecb2e51bd65","block_type":"box","text":"Strategic Global Bond Fund, Inc., BlackRock","page_number":123,"box":{"x":231,"y":227,"width":312,"height":12}},{"id":"1ae9625b-a20e-46de-bca2-9a8af25147c2","block_type":"box","text":"Total Return Fund of BlackRock Bond Fund,","page_number":123,"box":{"x":231,"y":242,"width":306,"height":11}},{"id":"9bc24be4-c5e7-4da1-be62-8a42b845451a","block_type":"box","text":"Inc., BlackRock Total Return V.I. Fund of","page_number":123,"box":{"x":232,"y":258,"width":283,"height":10}},{"id":"849a227b-4b2f-47b8-8d34-df3726649ac5","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.,","page_number":123,"box":{"x":232,"y":273,"width":283,"height":10}},{"id":"d76f4c37-031c-42aa-bf8f-8210f99cd69a","block_type":"box","text":"BlackRock Unconstrained Equity Fund,","page_number":123,"box":{"x":232,"y":288,"width":270,"height":11}},{"id":"2bbb5279-38c7-4e23-9285-5feeb902bce3","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund of","page_number":123,"box":{"x":232,"y":303,"width":316,"height":11}},{"id":"19efbc70-53ea-44c8-9a15-80c64c4df236","block_type":"box","text":"BlackRock Funds IV and BlackRock Global","page_number":123,"box":{"x":232,"y":318,"width":296,"height":9}},{"id":"23d8040e-2a6b-4bba-8290-b5a15a06d1a7","block_type":"box","text":"Equity Market Neutral Fund of BlackRock","page_number":123,"box":{"x":232,"y":333,"width":288,"height":11}},{"id":"e0c87555-7e0d-46d7-9767-bf6b931dbd9d","block_type":"box","text":"Funds","page_number":123,"box":{"x":232,"y":348,"width":40,"height":9}},{"id":"08261eaf-b066-4742-8ba3-e892d8c8d5e0","block_type":"box","text":"SM","page_number":123,"box":{"x":274,"y":349,"width":10,"height":4}},{"id":"b6ea9f7c-d28b-4a08-b82d-2c4fbf3cc21d","block_type":"box","text":".","page_number":123,"box":{"x":287,"y":356,"width":1,"height":1}},{"id":"15e7b742-11d2-4827-94b2-4f07e5871f72","block_type":"box","text":"60 Calendar Days After Month-End","page_number":123,"box":{"x":578,"y":167,"width":244,"height":11}},{"id":"007affd0-cb5b-47fc-8297-986fa5ad1abd","block_type":"box","text":"1","page_number":123,"box":{"x":823,"y":167,"width":4,"height":5}},{"id":"6dd678a4-feef-44d8-9d4f-69dc04b5360a","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.,","page_number":123,"box":{"x":232,"y":371,"width":298,"height":11}},{"id":"4c9c2385-726a-453b-a4d4-a7b0beb1d059","block_type":"box","text":"BlackRock Equity Dividend Fund, BlackRock","page_number":123,"box":{"x":232,"y":386,"width":308,"height":11}},{"id":"0903c3d9-0188-4017-a2e3-4cf0a9c6a131","block_type":"box","text":"High Equity Income Fund of BlackRock","page_number":123,"box":{"x":232,"y":401,"width":271,"height":11}},{"id":"4a93bb66-03cd-40ae-9bf0-0a358bcee851","block_type":"box","text":"Funds","page_number":123,"box":{"x":232,"y":417,"width":40,"height":8}},{"id":"042651ad-950f-4a04-9b69-391f2f6e75fc","block_type":"box","text":"SM","page_number":123,"box":{"x":274,"y":417,"width":10,"height":4}},{"id":"aa623f13-588d-4ba0-b0de-9931ad376db7","block_type":"box","text":", BlackRock Large Cap Focus Growth","page_number":123,"box":{"x":286,"y":416,"width":260,"height":12}},{"id":"475f96bb-3d22-42e3-82de-b2f5147a1f18","block_type":"box","text":"Fund, Inc., BlackRock Large Cap Focus Value","page_number":123,"box":{"x":232,"y":432,"width":318,"height":11}},{"id":"ea1c0a26-fa47-4347-bb47-626df87731dd","block_type":"box","text":"Fund, Inc., BlackRock Mid-Cap Growth Equity","page_number":123,"box":{"x":232,"y":447,"width":316,"height":11}},{"id":"7febad00-91e9-4694-b41f-a10a36fddd27","block_type":"box","text":"Por tfolio of BlackRock Funds","page_number":123,"box":{"x":232,"y":462,"width":203,"height":9}},{"id":"61599d3a-80a1-4376-af45-1454593f5489","block_type":"box","text":"SM","page_number":123,"box":{"x":436,"y":462,"width":11,"height":4}},{"id":"a44fa541-5296-4884-ac8f-f88b4009ea81","block_type":"box","text":", BlackRock","page_number":123,"box":{"x":449,"y":462,"width":81,"height":10}},{"id":"d2f94621-cbb9-40cf-a8cb-739660197c76","block_type":"box","text":"Mid-Cap Value Fund of BlackRock Mid-Cap","page_number":123,"box":{"x":232,"y":477,"width":297,"height":11}},{"id":"c1437363-ac75-4f61-beec-05bfd5500f6b","block_type":"box","text":"Value Series, Inc.","page_number":123,"box":{"x":231,"y":492,"width":122,"height":10}},{"id":"b19643c2-494a-4ed4-ab37-15fd8450db08","block_type":"box","text":"15 Calendar Days After Month-End","page_number":123,"box":{"x":578,"y":371,"width":244,"height":11}},{"id":"38f16abf-df50-487b-8a42-dc595c142950","block_type":"box","text":"Time Periods for Portfolio Characteristics (Excluding Liquidity Metrics (Addressed Below))","page_number":123,"box":{"x":158,"y":515,"width":661,"height":11}},{"id":"8be29fda-0b00-4492-9898-3138b8f5334d","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":123,"box":{"x":339,"y":537,"width":536,"height":11}},{"id":"01d54e95-6a70-4589-9fbb-a604eb81793b","block_type":"box","text":"Portfolio Characteristics May be Disclosed","page_number":123,"box":{"x":585,"y":552,"width":311,"height":11}},{"id":"669a2111-9c8e-4631-a56b-ca87f370b849","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":123,"box":{"x":231,"y":575,"width":277,"height":11}},{"id":"3854504d-ef70-4e89-a676-0673e4ba5cf5","block_type":"box","text":"market)","page_number":123,"box":{"x":232,"y":590,"width":52,"height":11}},{"id":"ae7b1ab6-3286-4468-92c4-501f1b9d6b83","block_type":"box","text":"5 Calendar Days After Month-End","page_number":123,"box":{"x":578,"y":575,"width":234,"height":11}},{"id":"4def8e0f-6969-490c-840b-ea010b17269a","block_type":"box","text":"1","page_number":123,"box":{"x":69,"y":615,"width":3,"height":4}},{"id":"3442cce2-d33c-4e47-a09a-910edae202a3","block_type":"box","text":"Global Allocation Exception:","page_number":123,"box":{"x":94,"y":615,"width":164,"height":9}},{"id":"299421d1-19c0-4c82-9b14-f8a485581434","block_type":"box","text":"The “Global Allocation funds” include BlackRock Global Allocation Fund, Inc., BlackRock Global Allocation","page_number":123,"box":{"x":262,"y":615,"width":598,"height":9}},{"id":"a43ac235-ec64-4eb7-87db-997470e93bc4","block_type":"box","text":"Por tfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I. Fund of BlackRock Variable Series Funds, Inc. Information on","page_number":123,"box":{"x":94,"y":625,"width":784,"height":9}},{"id":"6c4129db-0eb0-492e-b5bc-49d3ecbc496e","block_type":"box","text":"cer tain Por tfolio Characteristics of BlackRock Global Allocation Por tfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I.","page_number":123,"box":{"x":93,"y":635,"width":795,"height":9}},{"id":"02add864-bd03-40fa-afbd-6da81f64e51b","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":123,"box":{"x":94,"y":645,"width":757,"height":9}},{"id":"12c17451-bd5c-46dd-b723-caf1e2b96b06","block_type":"box","text":"investments (and to advisers and sub-advisers of funds invested in BlackRock Global Allocation Por tfolio of BlackRock Series Fund, Inc. and","page_number":123,"box":{"x":94,"y":656,"width":797,"height":8}},{"id":"0875ba13-6903-4c47-8d33-378be2fba3bb","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":123,"box":{"x":94,"y":666,"width":793,"height":9}},{"id":"7fc5172a-c6f1-45cc-b056-6743983dc4b1","block_type":"box","text":"policies on a weekly basis (or such other period as may be determined to be appropriate).","page_number":123,"box":{"x":94,"y":676,"width":511,"height":9}},{"id":"4a32f309-6875-4e51-ae22-3abb439ae9ff","block_type":"box","text":"Open-End Mutual Funds and ETFs (Excluding Money Market Mutual Funds and MM ETFs)","page_number":123,"box":{"x":163,"y":694,"width":651,"height":11}},{"id":"72ce6828-c228-43b8-997b-280dbc837d76","block_type":"box","text":"Time Periods for Portfolio Characteristics: Liquidity Metrics","page_number":123,"box":{"x":350,"y":709,"width":434,"height":11}},{"id":"4ce631c8-974f-4d61-a56a-7ca4b17e5c27","block_type":"box","text":"Funds in Scope Days After Quarter-End — After Which","page_number":123,"box":{"x":339,"y":732,"width":540,"height":11}},{"id":"2cd4a4cf-f2c8-4e3e-a3c8-221d991829f2","block_type":"box","text":"Liquidity Metrics May be Disclosed","page_number":123,"box":{"x":613,"y":747,"width":255,"height":11}},{"id":"0cd38b56-08e3-4387-851e-8f08839370cf","block_type":"box","text":"All Open-End Mutual Funds and ETFs (non","page_number":123,"box":{"x":231,"y":770,"width":300,"height":11}},{"id":"7a0c34d2-f0c1-4271-b09b-4d0467b26c14","block_type":"box","text":"money market).","page_number":123,"box":{"x":232,"y":785,"width":108,"height":11}},{"id":"68300a38-1157-4554-8ec2-2c5f4fd1ac0c","block_type":"box","text":"60 Calendar Days After Quar ter-End","page_number":123,"box":{"x":578,"y":770,"width":253,"height":11}},{"id":"688ccf40-2765-4a9a-b6da-0841c6c59c7a","block_type":"box","text":"If Liquidity Metrics are disclosed to one party, they must also be disclosed to all other","page_number":123,"box":{"x":232,"y":808,"width":631,"height":11}},{"id":"f10e5ae4-19fc-4de3-a0e7-6d658a391f1a","block_type":"box","text":"parties requesting the same information.","page_number":123,"box":{"x":231,"y":823,"width":298,"height":11}},{"id":"ce3b625f-7cb0-455a-a59f-8072336bc7d7","block_type":"box","text":"Money Market Mutual Funds and ETFs","page_number":123,"box":{"x":340,"y":864,"width":281,"height":11}},{"id":"fe6b52e0-0e02-43e9-a308-f1db5197e7a4","block_type":"box","text":"2,3","page_number":123,"box":{"x":627,"y":864,"width":11,"height":5}},{"id":"3e61ce46-a056-4917-845b-67ed865acf09","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":123,"box":{"x":75,"y":879,"width":834,"height":11}},{"id":"5c3bd519-4cd3-4358-8969-e1d4eb110b07","block_type":"box","text":"the ETF Rule (Rule 6c-11) Policy.","page_number":123,"box":{"x":74,"y":894,"width":229,"height":11}},{"id":"bdbc034f-0511-4632-8db9-b785710ccf7e","block_type":"box","text":"II-86","page_number":123,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7e8ea337-bdb0-41ce-b72c-8682e2c7c0be","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":123,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d4802abc-00a9-43b4-a489-2c52b0c54e03","block_type":"box","text":"Time Periods","page_number":124,"box":{"x":520,"y":49,"width":94,"height":9}},{"id":"9206413b-a9b7-4d13-93c3-7f8a9e44bcf5","block_type":"box","text":"Prior to 5 Business Days After Month-End 5 Business Days After Month-End to Date of","page_number":124,"box":{"x":243,"y":72,"width":659,"height":11}},{"id":"7091078f-8d27-4a2e-9f2c-cf04540b7356","block_type":"box","text":"Public Filing","page_number":124,"box":{"x":697,"y":87,"width":88,"height":11}},{"id":"af2fae3d-ad03-4527-989d-4a413c63ceed","block_type":"box","text":"Portfolio","page_number":124,"box":{"x":75,"y":110,"width":61,"height":9}},{"id":"3d53670d-2073-41e7-84a9-c50267c5a3b8","block_type":"box","text":"Holdings","page_number":124,"box":{"x":75,"y":125,"width":61,"height":11}},{"id":"b92f253d-1681-4ff3-a15f-7a37441f6651","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":124,"box":{"x":231,"y":110,"width":297,"height":9}},{"id":"e47233ad-b281-42ea-aabd-97bbd8fb2c0c","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":124,"box":{"x":231,"y":125,"width":310,"height":11}},{"id":"38ff65a3-5029-413a-8430-730481f8b91b","block_type":"box","text":"except the following Por tfolio Holdings","page_number":124,"box":{"x":231,"y":140,"width":271,"height":11}},{"id":"3393de59-5c8e-49bf-ba2f-2a977bd5add2","block_type":"box","text":"information is required to be released on the","page_number":124,"box":{"x":232,"y":155,"width":318,"height":11}},{"id":"e07340a8-7e16-49f4-8673-c89ea131008e","block_type":"box","text":"website pursuant to Rule 2a-7 on a monthly","page_number":124,"box":{"x":231,"y":170,"width":311,"height":11}},{"id":"da3c93fb-4553-40a5-b3b0-6b7f4a4d009d","block_type":"box","text":"basis: name of issuer, category of","page_number":124,"box":{"x":231,"y":185,"width":244,"height":11}},{"id":"0e182183-e86d-4a27-9d4f-9c2e586b10fe","block_type":"box","text":"investment, CUSIP, principal amount, maturity","page_number":124,"box":{"x":232,"y":200,"width":325,"height":11}},{"id":"4e7fc683-2ac7-4d46-bd66-f6daf14e2c45","block_type":"box","text":"dates, yields and value. BlackRock will","page_number":124,"box":{"x":231,"y":216,"width":273,"height":10}},{"id":"ffd14fe5-3103-4dd6-9603-c410a39ad114","block_type":"box","text":"release this information on the following","page_number":124,"box":{"x":232,"y":230,"width":286,"height":12}},{"id":"310027f6-f7e5-40ab-b82e-047718c9eabb","block_type":"box","text":"timelines or on a more frequent timeline than","page_number":124,"box":{"x":231,"y":246,"width":323,"height":11}},{"id":"7932244b-2615-4d85-83c2-73b9fe5e3e7c","block_type":"box","text":"required under Rule 2a-7:","page_number":124,"box":{"x":232,"y":261,"width":179,"height":11}},{"id":"46e84fe0-0eb2-40e0-a3a2-9fc6c8e769c7","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":279,"width":4,"height":3}},{"id":"bec4887b-f461-4f4d-983c-c0adcd04ea0f","block_type":"box","text":"Government MMFs: Daily por tfolio holdings","page_number":124,"box":{"x":241,"y":276,"width":306,"height":11}},{"id":"2fd384d8-77e7-41ec-8762-7e3eb760b188","block_type":"box","text":"are released on the website on a one","page_number":124,"box":{"x":241,"y":291,"width":266,"height":9}},{"id":"fac34170-f10b-42ad-8bfb-61dc66f181e9","block_type":"box","text":"business day lag.","page_number":124,"box":{"x":241,"y":306,"width":122,"height":11}},{"id":"538b0056-cf58-4f64-9d10-e177375ef9ee","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":324,"width":4,"height":3}},{"id":"9b766b59-8b4e-4e10-8bed-299ea814f0e9","block_type":"box","text":"Money Market ETFs (prime and","page_number":124,"box":{"x":242,"y":321,"width":218,"height":11}},{"id":"a16c83cf-c3c2-4f6f-a298-18a42714fe68","block_type":"box","text":"government): Daily por tfolio holdings","page_number":124,"box":{"x":240,"y":336,"width":261,"height":12}},{"id":"3614d3fb-dc70-4120-b702-840401064472","block_type":"box","text":"information released pursuant to ETF rule","page_number":124,"box":{"x":242,"y":351,"width":294,"height":11}},{"id":"d62dec1f-3ff1-4f96-8e46-32aa3df5245e","block_type":"box","text":"requirements.","page_number":124,"box":{"x":241,"y":367,"width":97,"height":10}},{"id":"cfb02e77-957a-4744-87c2-a95c296754b8","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":385,"width":4,"height":3}},{"id":"8faf9263-046d-4794-badd-e5d1b848734e","block_type":"box","text":"Cer tain Money Market Mutual Funds and","page_number":124,"box":{"x":241,"y":382,"width":289,"height":11}},{"id":"16c8127b-6ff2-4d18-8dff-29e4da073a11","block_type":"box","text":"Money Market ETFs: Weekly schedule of","page_number":124,"box":{"x":242,"y":397,"width":285,"height":11}},{"id":"32fa0bf4-028c-4a10-85b0-6e420e7c5daf","block_type":"box","text":"investments (PDF) is posted to the website","page_number":124,"box":{"x":242,"y":412,"width":304,"height":11}},{"id":"bf3ade97-83ed-4bc1-8569-cf0671902e07","block_type":"box","text":"at least one business day after week-end.","page_number":124,"box":{"x":241,"y":427,"width":296,"height":11}},{"id":"beeaf000-1e43-41b6-abfa-4d0a605f0b7c","block_type":"box","text":"(The Cash business identifies those Funds.)","page_number":124,"box":{"x":241,"y":442,"width":312,"height":11}},{"id":"ff42ec86-bb2d-4938-a705-498692f95bf0","block_type":"box","text":"May disclose to shareholders, prospective","page_number":124,"box":{"x":578,"y":110,"width":300,"height":11}},{"id":"bf863dd9-c0aa-47ef-9a29-4b12f354a2ab","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":124,"box":{"x":578,"y":125,"width":297,"height":10}},{"id":"298f9765-e651-439a-9c1a-439423d7b8f1","block_type":"box","text":"and third par ty data providers. If Por tfolio","page_number":124,"box":{"x":578,"y":140,"width":294,"height":11}},{"id":"b5fb9f04-fba1-4457-9b95-22af7853b647","block_type":"box","text":"Holdings are disclosed to one par ty, they","page_number":124,"box":{"x":578,"y":155,"width":291,"height":11}},{"id":"3f8e9712-80f1-4c92-bb1d-4cac3ba04eb1","block_type":"box","text":"must also be disclosed to all other par ties","page_number":124,"box":{"x":578,"y":170,"width":302,"height":11}},{"id":"b867cd8d-2373-4cc9-af01-946eb77ded7c","block_type":"box","text":"requesting the same information.","page_number":124,"box":{"x":578,"y":185,"width":236,"height":11}},{"id":"2b3bb28d-9111-447d-a331-de2a463b394c","block_type":"box","text":"Portfolio","page_number":124,"box":{"x":75,"y":465,"width":61,"height":9}},{"id":"3c5947e9-6a7a-4511-b7ee-64c2a34a419a","block_type":"box","text":"Characteristics","page_number":124,"box":{"x":74,"y":480,"width":111,"height":9}},{"id":"0b648482-eadc-46c6-9727-9c2e0446891a","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":124,"box":{"x":231,"y":465,"width":297,"height":9}},{"id":"4cf68ed7-d17c-484d-98e2-62a6dc153c40","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":124,"box":{"x":231,"y":480,"width":310,"height":11}},{"id":"9829381c-4f8c-405f-ad1e-084743683ef7","block_type":"box","text":"except the following information is:","page_number":124,"box":{"x":231,"y":495,"width":247,"height":11}},{"id":"a74fad71-cade-4acd-973b-33a799de84c7","block_type":"box","text":"(i) required to be released on the Fund’s","page_number":124,"box":{"x":231,"y":510,"width":287,"height":11}},{"id":"6b806ef0-3142-456c-a8a6-e2646715d610","block_type":"box","text":"website daily (","page_number":124,"box":{"x":231,"y":526,"width":100,"height":10}},{"id":"447fcf54-9d41-4490-a243-dc8dc55c8c9b","block_type":"box","text":"i.e.","page_number":124,"box":{"x":334,"y":526,"width":20,"height":8}},{"id":"b02d589d-33f7-4d6a-aa77-99fad8255b5b","block_type":"box","text":", each Business Day as of","page_number":124,"box":{"x":356,"y":525,"width":186,"height":11}},{"id":"1f570c66-4949-469e-a02a-264148f08e5e","block_type":"box","text":"the end of the preceding Business Day):","page_number":124,"box":{"x":231,"y":540,"width":285,"height":12}},{"id":"08b49252-b9e5-473d-9564-456ef7b3d50c","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":559,"width":4,"height":3}},{"id":"0236a91d-620b-4e4d-a5f7-851968d25183","block_type":"box","text":"Historical NAVs calculated based on market","page_number":124,"box":{"x":242,"y":556,"width":309,"height":8}},{"id":"641d143b-1364-4fc1-aaa7-d33d70b926ab","block_type":"box","text":"factors (","page_number":124,"box":{"x":240,"y":571,"width":58,"height":11}},{"id":"0aaa4bbe-7a15-4481-bf15-091d3d07d2da","block_type":"box","text":"e.g.","page_number":124,"box":{"x":300,"y":572,"width":25,"height":10}},{"id":"6961bc96-9fa6-46de-aa7c-e3af6f6902f0","block_type":"box","text":", marked to market).","page_number":124,"box":{"x":328,"y":571,"width":143,"height":11}},{"id":"a1284af6-a38e-4adb-b934-67bbfb72ec21","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":589,"width":4,"height":3}},{"id":"ad7d8b08-1049-405d-b0d1-2f189c3646ce","block_type":"box","text":"Percentage of fund assets invested in daily","page_number":124,"box":{"x":241,"y":586,"width":307,"height":11}},{"id":"c2560573-0b09-46ee-bd40-d72326254118","block_type":"box","text":"and weekly liquid assets (as defined under","page_number":124,"box":{"x":241,"y":601,"width":304,"height":11}},{"id":"0c1bc278-590b-4ee2-b83a-782844634b50","block_type":"box","text":"Rule 2a-7).","page_number":124,"box":{"x":242,"y":616,"width":75,"height":11}},{"id":"fdaab6ef-99a0-4d8c-8704-7ebf7d10860d","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":634,"width":4,"height":3}},{"id":"896f3fba-f95b-4a54-a654-d36fccfcd50e","block_type":"box","text":"Daily net flow information (inflows less","page_number":124,"box":{"x":242,"y":631,"width":273,"height":11}},{"id":"22655f2b-f319-4336-bfcf-68fd89bd8cb7","block_type":"box","text":"outflows).","page_number":124,"box":{"x":241,"y":646,"width":67,"height":11}},{"id":"3fa8e4d6-d6a8-4160-999a-0574e9a9880a","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":664,"width":4,"height":4}},{"id":"95f39f1f-94ee-42ef-b68c-9cf020bdc3dd","block_type":"box","text":"Other information as may be required by","page_number":124,"box":{"x":241,"y":661,"width":287,"height":11}},{"id":"c7a31fe4-4859-47a5-8906-a15146169996","block_type":"box","text":"Rule 2a-7.","page_number":124,"box":{"x":242,"y":677,"width":70,"height":8}},{"id":"c0b4bd6c-0e6f-4ec3-8c45-1c35c67e8ec3","block_type":"box","text":"(ii) voluntarily released on the Fund’s","page_number":124,"box":{"x":241,"y":692,"width":262,"height":11}},{"id":"69abc71d-b64a-4f91-af2d-1624c51b079c","block_type":"box","text":"website daily (","page_number":124,"box":{"x":240,"y":707,"width":101,"height":11}},{"id":"4bc49034-008b-40a9-bc83-8788c87ff71b","block_type":"box","text":"i.e.","page_number":124,"box":{"x":343,"y":707,"width":20,"height":9}},{"id":"624cb49e-9305-4256-9224-f4bf927f5539","block_type":"box","text":", each Business Day as of","page_number":124,"box":{"x":366,"y":707,"width":186,"height":11}},{"id":"85850203-0c06-4351-8aa2-1ae66e9a4887","block_type":"box","text":"the end of the preceding Business Day):","page_number":124,"box":{"x":240,"y":722,"width":285,"height":11}},{"id":"18087347-68dc-4c96-812b-8bd9b7df3740","block_type":"box","text":"•","page_number":124,"box":{"x":234,"y":740,"width":4,"height":3}},{"id":"d390459a-9fbc-40f9-b5b9-80c5eca0a609","block_type":"box","text":"Fund SEC yields, WAM (required monthly),","page_number":124,"box":{"x":242,"y":737,"width":295,"height":11}},{"id":"61270135-a81b-44f8-8f63-826a56f11161","block_type":"box","text":"WAL (required monthly), fund size and share","page_number":124,"box":{"x":240,"y":752,"width":314,"height":11}},{"id":"b34d92dc-18c8-4739-ae21-df86fd93796c","block_type":"box","text":"class size.","page_number":124,"box":{"x":241,"y":767,"width":73,"height":9}},{"id":"fe73322a-6a5d-467d-a9eb-314aac256eb5","block_type":"box","text":"May disclose to shareholders, prospective","page_number":124,"box":{"x":578,"y":465,"width":300,"height":11}},{"id":"35ac06e8-cfff-47e1-b666-da69ac65e48b","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":124,"box":{"x":578,"y":480,"width":297,"height":10}},{"id":"af62a5a6-841f-477c-b6fc-a44db3259b44","block_type":"box","text":"and third par ty data providers. If Por tfolio","page_number":124,"box":{"x":578,"y":495,"width":294,"height":11}},{"id":"0210530f-6e92-4aba-8ac1-fbfc1c18a7fb","block_type":"box","text":"Characteristics are disclosed to one par ty,","page_number":124,"box":{"x":578,"y":510,"width":300,"height":11}},{"id":"b4d846c3-f425-43af-8119-6e56563270cc","block_type":"box","text":"they must also be disclosed to all other","page_number":124,"box":{"x":577,"y":526,"width":283,"height":10}},{"id":"d7216942-5cba-4a7b-af9e-68ddcacce57f","block_type":"box","text":"par ties requesting the same information.","page_number":124,"box":{"x":578,"y":540,"width":291,"height":12}},{"id":"e9cab2e3-a9a0-4e60-8953-fa2759fd0b0f","block_type":"box","text":"2","page_number":124,"box":{"x":69,"y":785,"width":3,"height":3}},{"id":"6104827e-3ce9-4e03-b710-1a75e3fe5ba1","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":124,"box":{"x":77,"y":785,"width":200,"height":9}},{"id":"c2968cd8-05db-4126-a71c-48c2884e6c50","block_type":"box","text":". Fund’s holdings may be disclosed in accordance with the frequency for money market funds.","page_number":124,"box":{"x":278,"y":785,"width":534,"height":9}},{"id":"44eed765-d35a-4856-b078-8ea614712471","block_type":"box","text":"3","page_number":124,"box":{"x":69,"y":800,"width":3,"height":3}},{"id":"548d53f2-4a66-4ce0-b67b-3d89365f5903","block_type":"box","text":"Circle Reserve Fund Exception","page_number":124,"box":{"x":76,"y":800,"width":179,"height":9}},{"id":"1f9b5c6b-0e42-4d7a-9b04-d8dd2f1d94fc","block_type":"box","text":": Information on por tfolio holdings and cer tain por tfolio characteristics of the Circle Reserve Fund of BlackRock","page_number":124,"box":{"x":257,"y":800,"width":634,"height":9}},{"id":"8b711e27-087c-4677-ae2c-681f72835262","block_type":"box","text":"Funds","page_number":124,"box":{"x":69,"y":813,"width":33,"height":7}},{"id":"548f34b1-e40a-4bf8-83c0-530f93e2ff06","block_type":"box","text":"SM","page_number":124,"box":{"x":103,"y":813,"width":8,"height":3}},{"id":"f8fb9c2a-04db-4166-bd03-d352075a3fc3","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":124,"box":{"x":117,"y":812,"width":748,"height":9}},{"id":"9fe61a91-3dd7-411e-b671-e9bb8db32d3f","block_type":"box","text":"BlackRock from time-to-time.","page_number":124,"box":{"x":69,"y":825,"width":162,"height":7}},{"id":"0a6cb0af-e188-4e8b-8ca9-3b9694210f06","block_type":"box","text":"Guidelines for Confidential and Non-Material Information.","page_number":124,"box":{"x":102,"y":848,"width":404,"height":9}},{"id":"5ba13a2f-0116-4ac0-8136-d7b615a37b64","block_type":"box","text":"Confidential Information may be disclosed to the","page_number":124,"box":{"x":512,"y":848,"width":346,"height":12}},{"id":"875da517-6049-4bdc-b6a6-d26c8445fac0","block_type":"box","text":"Fund’s Board of Directors and its counsel, outside counsel for the Fund, the Fund’s auditors and to cer tain third-par ty","page_number":124,"box":{"x":70,"y":863,"width":839,"height":12}},{"id":"41112ad8-2bef-413e-9be1-a112cd411c1f","block_type":"box","text":"service providers (","page_number":124,"box":{"x":69,"y":879,"width":130,"height":11}},{"id":"d151c35c-a959-43c3-acce-7917fba179c3","block_type":"box","text":"e.g.","page_number":124,"box":{"x":201,"y":880,"width":25,"height":10}},{"id":"3d388a4f-2c03-4c64-9e16-44a341581451","block_type":"box","text":", Fund administrator, Fund custodian, proxy voting service), securities lending borrowers,","page_number":124,"box":{"x":228,"y":879,"width":630,"height":11}},{"id":"94ec295c-b833-4660-88ad-f0cb6b9fb24f","block_type":"box","text":"broker-dealers that are fund counterpar ties and shareholders and their representatives that par ticipate in applicable","page_number":124,"box":{"x":69,"y":894,"width":829,"height":11}},{"id":"357493b0-886b-499c-8c6d-1ddfa868058c","block_type":"box","text":"redemptions in kind. Non-disclosure or confidentiality agreements will be in place with such service providers,","page_number":124,"box":{"x":69,"y":909,"width":781,"height":11}},{"id":"1d963343-a554-45e8-b548-def03a25b0b1","block_type":"box","text":"II-87","page_number":124,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"67947cd7-100d-4dda-a848-85f598de8e07","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":124,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ea77baf9-31fe-4714-866b-4e0558d1468f","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":125,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"1a2d376c-ec99-4f30-98e0-d5ea852fcc71","block_type":"box","text":"authorize the following, subject in the case of (ii) and (iii) to a confidentiality or non-disclosure arrangement:","page_number":125,"box":{"x":69,"y":60,"width":765,"height":11}},{"id":"9806a516-37d2-40fd-98bb-78d456bc694d","block_type":"box","text":"(i) the preparation and posting of the Fund’s Por tfolio Holdings and/or Por tfolio Characteristics to its website","page_number":125,"box":{"x":102,"y":80,"width":787,"height":11}},{"id":"7d44092c-32af-454e-bf80-28c67cd51ac0","block_type":"box","text":"on a more frequent basis than authorized above;","page_number":125,"box":{"x":131,"y":95,"width":346,"height":11}},{"id":"677c19c0-189e-4aa6-acd9-c16041a27b8c","block_type":"box","text":"(ii) the disclosure of the Fund’s Por tfolio Holdings to third-par ty service providers not noted above; and","page_number":125,"box":{"x":102,"y":115,"width":738,"height":11}},{"id":"ab1f72d5-5f96-4e8a-bf36-c457852525c2","block_type":"box","text":"(iii) the disclosure of the Fund’s Por tfolio Holdings and/or Por tfolio Characteristics to other par ties for legitimate","page_number":125,"box":{"x":102,"y":135,"width":804,"height":12}},{"id":"ebb7ae17-ccdb-475b-b389-036db745cd12","block_type":"box","text":"business purposes.","page_number":125,"box":{"x":131,"y":151,"width":138,"height":10}},{"id":"7136b3c0-c790-4e01-aa48-5b8a21432cff","block_type":"box","text":"Fact Sheets and Repor ts","page_number":125,"box":{"x":102,"y":173,"width":177,"height":11}},{"id":"a2b3c100-d47c-458b-853c-8e83da67f15a","block_type":"box","text":"•","page_number":125,"box":{"x":102,"y":196,"width":6,"height":5}},{"id":"94b37375-a674-4b00-9721-4bb215b5c324","block_type":"box","text":"Fund Fact Sheets are available to shareholders, prospective shareholders, intermediaries and consultants","page_number":125,"box":{"x":135,"y":193,"width":756,"height":11}},{"id":"5340b5ab-2a0a-4f80-8f77-d6ad7f8d7833","block_type":"box","text":"on a monthly or quar terly basis no earlier than the fifth calendar day after the end of a month or quar ter.","page_number":125,"box":{"x":134,"y":208,"width":744,"height":12}},{"id":"29053e89-b50e-42a1-ab5c-71c9a9ce5eb1","block_type":"box","text":"Other Information.","page_number":125,"box":{"x":102,"y":231,"width":128,"height":9}},{"id":"e4b401cf-c089-4282-b0a9-00d1bee1b7f5","block_type":"box","text":"The Policy shall also apply to other Confidential Information of a Fund such as per formance","page_number":125,"box":{"x":236,"y":231,"width":651,"height":11}},{"id":"ebb3e4de-39b0-48da-8ff9-153d5160a01e","block_type":"box","text":"attribution analyses or security-specific information (","page_number":125,"box":{"x":69,"y":246,"width":372,"height":11}},{"id":"15bfef95-0dff-4a47-897f-81cb8bcd653b","block_type":"box","text":"e.g.","page_number":125,"box":{"x":442,"y":248,"width":25,"height":9}},{"id":"911fb5f1-2ef3-4a2b-abfe-7cdff3c75a2e","block_type":"box","text":", information about Fund holdings where an issuer has been","page_number":125,"box":{"x":470,"y":246,"width":427,"height":11}},{"id":"7b963407-eb76-46d2-a994-f8d11a61c91e","block_type":"box","text":"downgraded, been acquired or declared bankruptcy).","page_number":125,"box":{"x":69,"y":262,"width":372,"height":11}},{"id":"47d87812-0f6f-44c9-bf4d-bc6e03e1e0b2","block_type":"box","text":"Data on NAVs, asset levels (by total Fund and share class), accruals, yields, capital gains, dividends and fund","page_number":125,"box":{"x":102,"y":284,"width":781,"height":11}},{"id":"079a8249-6c71-478f-bf98-ac7f10ce3eb2","block_type":"box","text":"returns (net of fees by share class) are generally available to shareholders, prospective shareholders, consultants,","page_number":125,"box":{"x":69,"y":299,"width":818,"height":11}},{"id":"1e05bf5d-a61b-4fa1-8956-28834d5413e5","block_type":"box","text":"and third-par ty data providers upon request, as soon as such data is available.","page_number":125,"box":{"x":69,"y":314,"width":562,"height":11}},{"id":"65c4f58d-85d5-4f05-8c67-c2e54fae69bf","block_type":"box","text":"Contact Information.","page_number":125,"box":{"x":102,"y":337,"width":144,"height":9}},{"id":"0a945897-09ec-48b6-9752-fc584a9e9e34","block_type":"box","text":"For information about por tfolio holdings and characteristics, BlackRock fund shareholders","page_number":125,"box":{"x":253,"y":337,"width":639,"height":11}},{"id":"515f8a2c-579e-4335-a452-a7a43753b458","block_type":"box","text":"and prospective investors should call the number set out on the back cover of the Prospectus.","page_number":125,"box":{"x":69,"y":352,"width":672,"height":11}},{"id":"e8f30a20-f51d-41d3-a384-1911da650659","block_type":"box","text":"Compensation.","page_number":125,"box":{"x":102,"y":375,"width":105,"height":11}},{"id":"eee6f78d-a8ee-48b3-a22a-4a6e4e3eac6c","block_type":"box","text":"Neither a Fund, a service provider nor any of their affiliated persons (as that term is defined in","page_number":125,"box":{"x":215,"y":375,"width":672,"height":11}},{"id":"32092db4-ce42-448e-9a14-02794bb4625f","block_type":"box","text":"the Investment Company Act) shall receive compensation in any form in connection with the disclosure of information","page_number":125,"box":{"x":68,"y":390,"width":837,"height":11}},{"id":"b380fc80-ab3f-46ed-8e56-e701873e7950","block_type":"box","text":"about such Fund’s Por tfolio Holdings or Por tfolio Characteristics.","page_number":125,"box":{"x":69,"y":405,"width":461,"height":11}},{"id":"eb732018-ab1f-4c53-b7c1-6e683ef6d508","block_type":"box","text":"Ongoing Arrangements.","page_number":125,"box":{"x":102,"y":428,"width":164,"height":11}},{"id":"eda3dba6-3081-4a89-b1e3-c059e6d4e8c1","block_type":"box","text":"The Manager has entered into ongoing agreements to provide selective disclosure of","page_number":125,"box":{"x":272,"y":428,"width":605,"height":11}},{"id":"22d46bb3-b10c-4f0c-a936-bc6c013bc906","block_type":"box","text":"Fund Por tfolio Holdings to the following persons or entities:","page_number":125,"box":{"x":70,"y":443,"width":420,"height":11}},{"id":"aaaf40fb-b3e0-4bc8-9a3d-0fa214d80e6b","block_type":"box","text":"1. Fund’s Board of Directors and, if necessary, independent Directors’ counsel and Fund counsel.","page_number":125,"box":{"x":70,"y":463,"width":707,"height":11}},{"id":"e1ac9a9b-6374-4ea0-aa1e-b4887b2f59c1","block_type":"box","text":"2. Fund’s Transfer Agent.","page_number":125,"box":{"x":69,"y":483,"width":190,"height":11}},{"id":"9282b91a-b1ae-4bcb-a7d5-e794d24e9a8a","block_type":"box","text":"3. Fund’s Custodian.","page_number":125,"box":{"x":69,"y":503,"width":160,"height":9}},{"id":"7890451b-ed26-483c-9a31-97de7fd5ebc1","block_type":"box","text":"4. Fund’s Administrator, if applicable.","page_number":125,"box":{"x":69,"y":523,"width":278,"height":11}},{"id":"f6b7f889-7034-4ddd-86ca-596d1e4f061b","block_type":"box","text":"5. Fund’s independent registered public accounting firm.","page_number":125,"box":{"x":69,"y":543,"width":414,"height":12}},{"id":"680ffdd7-0684-4dc2-8439-140e7e17ded2","block_type":"box","text":"6. Fund’s accounting services provider.","page_number":125,"box":{"x":69,"y":564,"width":291,"height":11}},{"id":"11ac862c-4e4e-4be4-9d8a-416b0ca0fbf2","block_type":"box","text":"7. Independent rating agencies — Lipper Inc., Moody’s, Fitch.","page_number":125,"box":{"x":69,"y":584,"width":451,"height":11}},{"id":"114b384b-7b78-442c-a28f-a48c4eb90637","block_type":"box","text":"8. Information aggregators — S&P Global, Bloomberg, eVestments Alliance and Informa/PSN Investment Solutions.","page_number":125,"box":{"x":69,"y":604,"width":837,"height":11}},{"id":"ea7b6b62-45d1-4d8a-b3d3-f722dda6665e","block_type":"box","text":"9. Pricing Vendors — Refinitiv Limited, Refinitiv US LLC, ICE Data Services, Bloomberg, IHS Markit, JP Morgan","page_number":125,"box":{"x":69,"y":624,"width":796,"height":11}},{"id":"de745a6c-8e75-4595-a4b9-d5f74511a364","block_type":"box","text":"Pricing-Direct, Valuation Research Corporation, Murray, Devine & Co., Inc. and WM Company PLC.","page_number":125,"box":{"x":102,"y":639,"width":690,"height":12}},{"id":"124510ae-f664-49d4-b2a9-c2a9e6690892","block_type":"box","text":"10. Valuation Providers — Houlihan Lokey, Lincoln Financial, Chatham and Kroll.","page_number":125,"box":{"x":70,"y":660,"width":573,"height":11}},{"id":"55ca72a6-c705-44b1-94f8-6a90c051f37d","block_type":"box","text":"11. Third-par ty feeder funds — Stock Index Fund, a series of Homestead Funds, Inc. and Transamerica Stock Index,","page_number":125,"box":{"x":70,"y":680,"width":827,"height":11}},{"id":"675116a6-1f25-4693-bc60-2f639fea795e","block_type":"box","text":"a series of Transamerica Funds and their respective boards, sponsors, administrators and other service","page_number":125,"box":{"x":102,"y":695,"width":741,"height":11}},{"id":"0d795f27-4856-4943-8646-4751c13ed38d","block_type":"box","text":"providers.","page_number":125,"box":{"x":102,"y":710,"width":68,"height":11}},{"id":"5c94ba4d-eb3d-4f4a-8186-963eaab7f897","block_type":"box","text":"12. Affiliated feeder funds — iShares S&P 500 Index Fund, iShares U.S. Aggregate Bond Index Fund, Treasury","page_number":125,"box":{"x":70,"y":730,"width":790,"height":11}},{"id":"a90dd138-f42a-482d-8752-76bf074c3d16","block_type":"box","text":"Money Market Fund (Cayman) and their respective boards, sponsors, administrators and other service providers.","page_number":125,"box":{"x":102,"y":745,"width":803,"height":11}},{"id":"1f20b3cd-6751-4166-9987-fac499a572d3","block_type":"box","text":"13. Other — Investment Company Institute, Goldman Sachs Asset Management, L.P., JPMorgan Chase Bank, N.A.,","page_number":125,"box":{"x":70,"y":765,"width":821,"height":12}},{"id":"ba048583-dab4-40f0-89a3-99de34a8e44d","block_type":"box","text":"Mizuho Asset Management Co., Ltd., Nationwide Fund Advisors, State Street Bank and Trust Company,","page_number":125,"box":{"x":102,"y":780,"width":732,"height":12}},{"id":"62fe31b1-7ec8-4e21-8a93-7656d4f14872","block_type":"box","text":"Donnelley Financial Solutions, Inc. and Silicon Valley Bank.","page_number":125,"box":{"x":102,"y":796,"width":416,"height":11}},{"id":"64955910-7d88-476b-ba92-06571077828d","block_type":"box","text":"In connection with effecting redemptions in kind, the Fund or the Manager may provide information about a","page_number":125,"box":{"x":102,"y":818,"width":762,"height":11}},{"id":"41640b83-51ac-4756-b620-ac691972fd0b","block_type":"box","text":"Fund’s por tfolio holdings, such as the securities to be delivered in connection with the redemption in kind, to a","page_number":125,"box":{"x":70,"y":833,"width":790,"height":12}},{"id":"349b353c-ad90-4122-91ef-fc3d16033a93","block_type":"box","text":"redeeming shareholder. Typically, such shareholder will be subject to a non-disclosure agreement or other duty to","page_number":125,"box":{"x":69,"y":849,"width":806,"height":11}},{"id":"22385eb0-cf5c-4922-84f5-dfb9344bc942","block_type":"box","text":"keep the information confidential.","page_number":125,"box":{"x":69,"y":863,"width":238,"height":11}},{"id":"af5e17cb-76d9-4639-bf9f-f839e8aa5ab8","block_type":"box","text":"With respect to each such arrangement, a Fund has a legitimate business purpose for the release of","page_number":125,"box":{"x":101,"y":886,"width":720,"height":12}},{"id":"cacab2a8-1685-4d42-bc9d-325ac09ac1d2","block_type":"box","text":"information. The release of the information is subject to confidential treatment to prohibit the entity from sharing with","page_number":125,"box":{"x":70,"y":901,"width":836,"height":12}},{"id":"415f5d13-d337-479b-92b8-cd751467b310","block_type":"box","text":"II-88","page_number":125,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"295feee4-75f8-41d8-8c37-d7a68f13620c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":125,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1ab14372-096d-4018-ae06-0f1cfcb90b60","block_type":"box","text":"an unauthorized source. The Funds, BlackRock and their affiliates do not receive any compensation or other","page_number":126,"box":{"x":69,"y":45,"width":770,"height":11}},{"id":"ff3db5b6-48a1-4044-9e6d-79029db78910","block_type":"box","text":"consideration in connection with such arrangements.","page_number":126,"box":{"x":69,"y":60,"width":375,"height":11}},{"id":"862f8e29-b731-4e3d-8e81-80b76443f56f","block_type":"box","text":"The Funds and the Manager may monitor, to the extent possible, the use of Confidential Information by the","page_number":126,"box":{"x":101,"y":82,"width":762,"height":12}},{"id":"a595fd47-eec5-4274-8e9d-34c5836c4cf8","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":126,"box":{"x":70,"y":98,"width":781,"height":11}},{"id":"51b7a3d1-b196-4661-814e-b40d2004a190","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":126,"box":{"x":69,"y":113,"width":775,"height":11}},{"id":"0a9a9ff4-7422-480a-a11e-6bc280129abe","block_type":"box","text":"Manager’s compliance personnel under the supervision of the Fund’s CCO, monitor the Manager’s securities trading","page_number":126,"box":{"x":70,"y":128,"width":830,"height":11}},{"id":"a05377fb-81f3-445c-8d0c-1a3d17aaf519","block_type":"box","text":"desks to determine whether individuals or firms who have received Confidential Information have made any trades on","page_number":126,"box":{"x":69,"y":143,"width":836,"height":11}},{"id":"43b031db-34b0-4a33-bd91-86f24480bdef","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":126,"box":{"x":68,"y":158,"width":822,"height":11}},{"id":"31e14051-16f2-48af-a820-a0129e40edce","block_type":"box","text":"personnel of the Manager or its affiliates in securities — including securities held by a Fund — about which the","page_number":126,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"f0981a52-0c4c-4f46-9575-78d1d6a21e7f","block_type":"box","text":"Manager has Confidential Information. There can be no assurance, however, that the Fund’s policies and procedures","page_number":126,"box":{"x":70,"y":188,"width":831,"height":12}},{"id":"e896c1ec-c5bd-4588-bde6-7c0215e1deb2","block_type":"box","text":"with respect to the selective disclosure of Por tfolio Holdings will prevent the misuse of such information by","page_number":126,"box":{"x":68,"y":203,"width":764,"height":12}},{"id":"6253c7f7-6494-4cc1-85dc-ad1994f5448c","block_type":"box","text":"individuals or firms that receive such information.","page_number":126,"box":{"x":70,"y":218,"width":351,"height":9}},{"id":"bd1d91d4-b745-49f2-b630-407770c9a424","block_type":"box","text":"Potential Conflicts of Interest","page_number":126,"box":{"x":69,"y":249,"width":216,"height":9}},{"id":"aeef7e5d-d247-442c-9d83-5cbfe8709ec3","block_type":"box","text":"Cer tain activities of BlackRock, Inc., BlackRock Advisors, LLC, BlackRock Fund Advisors and the other","page_number":126,"box":{"x":102,"y":271,"width":727,"height":11}},{"id":"aa3905c5-a20b-4033-addf-0075e63db5ab","block_type":"box","text":"subsidiaries of BlackRock, Inc. (collectively referred to in this section as “BlackRock”) and their respective directors,","page_number":126,"box":{"x":69,"y":286,"width":829,"height":12}},{"id":"fd7c339d-94e9-43f4-992b-1b64d36d32a2","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":126,"box":{"x":69,"y":302,"width":802,"height":11}},{"id":"6b3de5aa-b466-47cb-804d-0449b71482b4","block_type":"box","text":"actual or perceived conflicts of interest such as those described below.","page_number":126,"box":{"x":69,"y":317,"width":507,"height":11}},{"id":"0620a5dc-f401-4b4f-a291-241e2f114e80","block_type":"box","text":"BlackRock is one of the world’s largest asset management firms. BlackRock, its subsidiaries and their","page_number":126,"box":{"x":102,"y":339,"width":731,"height":12}},{"id":"edfc9dd8-87e6-4860-b4dc-646e7b5dbc0b","block_type":"box","text":"respective directors, officers and employees, including the business units or entities and personnel who may be","page_number":126,"box":{"x":69,"y":355,"width":799,"height":11}},{"id":"6e973672-e1f6-4595-b486-b5c6440433d3","block_type":"box","text":"involved in the investment activities and business operations of a Fund, are engaged worldwide in businesses,","page_number":126,"box":{"x":70,"y":370,"width":786,"height":11}},{"id":"84ef73eb-9eed-4b16-a16d-6dbdffe4cf21","block_type":"box","text":"including managing equities, fixed income securities, cash and alternative investments, and other financial services,","page_number":126,"box":{"x":70,"y":385,"width":829,"height":11}},{"id":"c65cb088-1f87-4d50-be29-46a639d930ed","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":126,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"efd2ea0a-9df6-45b9-84a5-076a84fb19ae","block_type":"box","text":"should be aware, and which may cause conflicts of interest that could disadvantage a Fund and its shareholders.","page_number":126,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"d4ac7058-b08d-4aa0-985f-f32f01d46981","block_type":"box","text":"These businesses and interests include potential multiple advisory, transactional, financial and other","page_number":126,"box":{"x":101,"y":438,"width":722,"height":11}},{"id":"eb15b71f-c4ab-4c43-b4fb-f2151cccd05e","block_type":"box","text":"relationships with, or interests in companies and interests in securities or other instruments that may be purchased","page_number":126,"box":{"x":69,"y":453,"width":827,"height":11}},{"id":"c8daa6c0-f587-4e0f-a780-810a4daf1b43","block_type":"box","text":"or sold by a Fund.","page_number":126,"box":{"x":69,"y":468,"width":125,"height":11}},{"id":"482a31ec-bbf8-464b-bf31-611246bb4b47","block_type":"box","text":"BlackRock may have proprietary interests in, and may manage or advise with respect to, accounts or funds","page_number":126,"box":{"x":102,"y":491,"width":762,"height":11}},{"id":"f1c170dd-f4f3-4794-bbf8-fdab6c0f8c6d","block_type":"box","text":"(including separate accounts and other funds and collective investment vehicles) that have investment objectives","page_number":126,"box":{"x":69,"y":506,"width":806,"height":11}},{"id":"7751d313-94d0-41bb-b841-e40eb9a1bb01","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":126,"box":{"x":70,"y":521,"width":828,"height":11}},{"id":"a6f5f9bf-1908-4643-890d-9e050e91fbb3","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":126,"box":{"x":69,"y":536,"width":808,"height":11}},{"id":"31cf6512-49be-4dd7-b616-138800a8976c","block_type":"box","text":"substantially similar to those of a Fund but with different fees and expenses, governance and structures, and/or","page_number":126,"box":{"x":69,"y":551,"width":803,"height":11}},{"id":"c37a25a4-1de1-4247-bf65-ced9b1920156","block_type":"box","text":"services provided by BlackRock","page_number":126,"box":{"x":69,"y":566,"width":224,"height":11}},{"id":"7219b83f-d2cd-47b9-b79a-a4ab7f176136","block_type":"box","text":".","page_number":126,"box":{"x":295,"y":574,"width":2,"height":1}},{"id":"4996d81e-9a5b-4e29-94d7-8ee21309f7c9","block_type":"box","text":"BlackRock is also a major par ticipant in the global currency, equities, swap and fixed","page_number":126,"box":{"x":304,"y":566,"width":603,"height":11}},{"id":"4ddfee6c-0246-426c-8fe3-452cebe6cf09","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":126,"box":{"x":70,"y":581,"width":791,"height":11}},{"id":"938fc551-ceb0-412d-b555-c3ced1926339","block_type":"box","text":"BlackRock is or may be actively engaged in transactions in the same securities, currencies, and instruments in which","page_number":126,"box":{"x":70,"y":597,"width":835,"height":11}},{"id":"1f985dfc-48ce-4757-b782-99a593187fa8","block_type":"box","text":"a Fund invests.","page_number":126,"box":{"x":69,"y":612,"width":106,"height":9}},{"id":"c686c6c1-59c9-4998-b61e-dd6e593469b0","block_type":"box","text":"Such activities could affect the prices and availability of the securities, currencies, and instruments in which a","page_number":126,"box":{"x":102,"y":634,"width":785,"height":11}},{"id":"b01768f7-d3d3-499d-b681-acf17069533e","block_type":"box","text":"Fund invests, which could have an adverse impact on a Fund’s per formance. Such transactions, par ticularly in","page_number":126,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"f3a83ed0-350b-491a-8896-e0f3112866b8","block_type":"box","text":"respect of most proprietary accounts or client accounts, will be executed independently of a Fund’s transactions and","page_number":126,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"b561cfcb-0542-4749-911c-4fac4e2fa968","block_type":"box","text":"thus at prices or rates that may be more or less favorable than those obtained by the Fund.","page_number":126,"box":{"x":68,"y":680,"width":652,"height":11}},{"id":"16ea2ca6-16ba-4d0e-a780-f63ed44c1fce","block_type":"box","text":"In addition, the por tfolio holdings of cer tain BlackRock-advised investment vehicles managed in an identical or","page_number":126,"box":{"x":102,"y":702,"width":787,"height":12}},{"id":"d57bccdc-365f-4eb0-b1b0-f9ed404ed786","block_type":"box","text":"substantially similar manner as cer tain Funds are made publicly available on a more timely basis than the applicable","page_number":126,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"86c5c884-c010-48c6-8eee-2e4295dea9de","block_type":"box","text":"Fund. In some cases, such por tfolio holdings are made publicly available on a daily basis. While not expected, it is","page_number":126,"box":{"x":70,"y":732,"width":816,"height":12}},{"id":"9cf90351-ebb3-4c57-b029-6fd115626961","block_type":"box","text":"possible that a recipient of por tfolio holdings information for such an investment vehicle could cause harm to a Fund","page_number":126,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"e9d1208a-104e-404f-a83a-7d0929b47b25","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":126,"box":{"x":68,"y":763,"width":813,"height":11}},{"id":"b8e27e99-edd3-4f21-8ec4-2c403dbf4bea","block_type":"box","text":"based on the information received.","page_number":126,"box":{"x":69,"y":778,"width":247,"height":9}},{"id":"0dce176e-e86e-4cc2-8a2a-a0f47a2bdeec","block_type":"box","text":"When BlackRock seeks to purchase or sell the same assets for client accounts, including a Fund, the assets","page_number":126,"box":{"x":101,"y":801,"width":777,"height":11}},{"id":"f3d58cc0-d48b-4209-b038-c7afc7c9effc","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":126,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"22b9a9dc-3110-4b2c-acaa-cbff3143d007","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":126,"box":{"x":69,"y":831,"width":835,"height":11}},{"id":"757660fc-ddee-460a-9d6d-16c1885ee085","block_type":"box","text":"Fund. In addition, transactions in investments by one or more other accounts managed by BlackRock may have the","page_number":126,"box":{"x":70,"y":846,"width":817,"height":11}},{"id":"97ea514a-35c8-4483-ac36-bf75e2a5062b","block_type":"box","text":"effect of diluting or otherwise disadvantaging the values, prices or investment strategies of a Fund, par ticularly, but","page_number":126,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"69fdbe80-099e-47cd-ad8c-1e422083b682","block_type":"box","text":"not limited to, with respect to small capitalization, emerging market or less liquid strategies. This may occur with","page_number":126,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"2aa7dbd0-799b-48b2-b4b3-816bff4866f9","block_type":"box","text":"respect to BlackRock-advised accounts when investment decisions regarding a Fund are based on research or other","page_number":126,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"ebd03142-53f1-4d23-9c21-d57e45946c9e","block_type":"box","text":"information that is also used to suppor t decisions for other accounts. When BlackRock implements a por tfolio","page_number":126,"box":{"x":70,"y":906,"width":785,"height":11}},{"id":"eff4a7f7-2417-46ff-8ec1-3ecce581ae74","block_type":"box","text":"II-89","page_number":126,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1c4c34e1-46dc-40aa-a06e-30bb24d7f868","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":126,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d27f5926-a0e3-44d4-a683-b943699c2fd5","block_type":"box","text":"decision or strategy on behalf of another account ahead of, or contemporaneously with, similar decisions or","page_number":127,"box":{"x":69,"y":45,"width":767,"height":11}},{"id":"125675df-75bd-4f3f-ac58-e8cdfb6355b9","block_type":"box","text":"strategies for a Fund, market impact, liquidity constraints, or other factors could result in the Fund receiving less","page_number":127,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"a43e1e02-817d-47ae-b96c-06d6bb67beff","block_type":"box","text":"favorable trading results and the costs of implementing such decisions or strategies could be increased or the Fund","page_number":127,"box":{"x":68,"y":75,"width":827,"height":11}},{"id":"f7756e3b-1495-4175-83e0-8d1c055a0af9","block_type":"box","text":"could otherwise be disadvantaged. BlackRock may, in cer tain cases, elect to implement internal policies and","page_number":127,"box":{"x":69,"y":90,"width":776,"height":11}},{"id":"14504309-2535-49ce-a6f3-ce28c3dc2df9","block_type":"box","text":"procedures designed to limit such consequences, which may cause a Fund to be unable to engage in cer tain","page_number":127,"box":{"x":70,"y":105,"width":774,"height":11}},{"id":"b4d00470-2c49-42a1-adc7-e7ffe1bc38db","block_type":"box","text":"activities, including purchasing or disposing of securities, when it might otherwise be desirable for it to do so.","page_number":127,"box":{"x":69,"y":120,"width":781,"height":12}},{"id":"eac46b89-1b16-4c96-bc25-b5f4a1b4de86","block_type":"box","text":"Conflicts may also arise because por tfolio decisions regarding a Fund may benefit other accounts managed by","page_number":127,"box":{"x":69,"y":135,"width":787,"height":12}},{"id":"ff022a35-c3f4-4803-8e4c-f8f72b9a1295","block_type":"box","text":"BlackRock. For example, the sale of a long position or establishment of a shor t position by a Fund may impair the","page_number":127,"box":{"x":70,"y":150,"width":809,"height":12}},{"id":"90483d62-8914-41d9-9eba-f9d812fb65ce","block_type":"box","text":"price of the same security sold shor t by (and therefore benefit) BlackRock or its other accounts or funds, and the","page_number":127,"box":{"x":70,"y":166,"width":805,"height":11}},{"id":"492e1614-5b89-41ba-bb66-488bab4d0dd1","block_type":"box","text":"purchase of a security or covering of a shor t position in a security by a Fund may increase the price of the same","page_number":127,"box":{"x":70,"y":181,"width":797,"height":11}},{"id":"ad3778e4-14fa-44b4-8ee9-2698fb38d92e","block_type":"box","text":"security held by (and therefore benefit) BlackRock or its other accounts or funds.","page_number":127,"box":{"x":69,"y":196,"width":573,"height":11}},{"id":"fe671a20-d2ee-4493-8d16-2178667367a8","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":127,"box":{"x":102,"y":218,"width":797,"height":12}},{"id":"b131cf91-fedc-44b5-bc3c-c3164b33ab9e","block_type":"box","text":"extend credit to different par ts of the capital structure of a single issuer. BlackRock may pursue rights, provide","page_number":127,"box":{"x":69,"y":234,"width":791,"height":11}},{"id":"12484c99-a276-4412-ac7c-58f2ac8f658d","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":127,"box":{"x":69,"y":249,"width":835,"height":11}},{"id":"8c4a5d1c-57d6-4645-b001-36e65db8387a","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":127,"box":{"x":69,"y":264,"width":812,"height":11}},{"id":"facd7a25-8ebd-4e34-8194-9f4c5a0d8e76","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":127,"box":{"x":69,"y":279,"width":803,"height":11}},{"id":"138c74dc-5afe-4c26-ba2b-1d89982c2833","block_type":"box","text":"Funds) hold positions in multiple par ts of the capital structure of an issuer, BlackRock may not pursue cer tain","page_number":127,"box":{"x":70,"y":294,"width":783,"height":11}},{"id":"41c00216-66a3-4d3d-bc53-c129005decb5","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":127,"box":{"x":69,"y":309,"width":818,"height":11}},{"id":"6053a659-b05d-4cf5-bc98-00d9bd7fa4b9","block_type":"box","text":"BlackRock addresses these and other potential conflicts of interest based on the facts and circumstances of","page_number":127,"box":{"x":70,"y":324,"width":777,"height":11}},{"id":"54fb7ee5-81b7-4174-aad2-d882d6a69650","block_type":"box","text":"par ticular situations. For example, BlackRock may determine to rely on information barriers between different","page_number":127,"box":{"x":70,"y":339,"width":780,"height":12}},{"id":"5a1f1857-1146-427e-ae76-4dde565e6f80","block_type":"box","text":"business units or por tfolio management teams. BlackRock may also determine to rely on the actions of similarly","page_number":127,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"a4c46a52-5448-452d-bacb-2732e504b023","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":127,"box":{"x":69,"y":370,"width":817,"height":11}},{"id":"3ba03078-a246-4a1e-9377-261bda5a80f4","block_type":"box","text":"Funds.","page_number":127,"box":{"x":70,"y":385,"width":44,"height":9}},{"id":"a2526ce2-4968-41db-aa90-191c0831155c","block_type":"box","text":"In addition, to the extent permitted by applicable law, cer tain Funds may invest their assets in other funds","page_number":127,"box":{"x":102,"y":407,"width":755,"height":12}},{"id":"7af2012c-c725-43f4-b249-44307e4d3507","block_type":"box","text":"advised by BlackRock, including funds that are managed by one or more of the same por tfolio managers, which could","page_number":127,"box":{"x":69,"y":423,"width":836,"height":11}},{"id":"17ac5678-49e7-4a3f-84e5-44728a6822e3","block_type":"box","text":"result in conflicts of interest relating to asset allocation, timing of Fund purchases and redemptions, and increased","page_number":127,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"f67e3aa7-0f91-438a-8b9b-0a65e9ce9c35","block_type":"box","text":"remuneration and profitability for BlackRock and/or its personnel, including por tfolio managers.","page_number":127,"box":{"x":69,"y":453,"width":679,"height":11}},{"id":"b2ea7222-6c70-481d-a6a7-35fcd784b5d4","block_type":"box","text":"Third par ties, including service providers to BlackRock or the Fund, may sponsor events (including, but not","page_number":127,"box":{"x":101,"y":476,"width":760,"height":11}},{"id":"e3574552-c1f0-455f-8b9c-f587d9e3afc0","block_type":"box","text":"limited to, marketing and promotional activities and presentations, educational training programs and conferences)","page_number":127,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"47f0ad6b-4932-4129-865a-c299e2d3bab3","block_type":"box","text":"for registered representatives, other professionals and individual investors. There is a potential conflict of interest as","page_number":127,"box":{"x":68,"y":506,"width":836,"height":11}},{"id":"b0487492-a8ad-400f-85fa-2a12958c0323","block_type":"box","text":"such sponsorships may defray the costs of such activities to BlackRock, and may provide an incentive to BlackRock","page_number":127,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"e559c775-a26c-4ced-b21e-65e321ff20e6","block_type":"box","text":"to retain such third par ties to provide services to the Fund.","page_number":127,"box":{"x":68,"y":536,"width":421,"height":11}},{"id":"05a5232f-8961-48ce-b535-041dc467d1dd","block_type":"box","text":"In cer tain circumstances, BlackRock, on behalf of the Funds, may seek to buy from or sell securities to another","page_number":127,"box":{"x":102,"y":559,"width":794,"height":11}},{"id":"eea3c4ad-38c7-4938-a156-389ca68b9511","block_type":"box","text":"fund or account advised by BlackRock. BlackRock may (but is not required to) effect purchases and sales between","page_number":127,"box":{"x":68,"y":574,"width":817,"height":11}},{"id":"29f42023-16fc-4f5a-9004-63a80d39b6fb","block_type":"box","text":"BlackRock clients (“cross trades”), including the Funds, if BlackRock believes such transactions are appropriate","page_number":127,"box":{"x":70,"y":589,"width":797,"height":11}},{"id":"31cc57bf-ba24-419e-9350-2c9b0fc49863","block_type":"box","text":"based on each par ty’s investment objectives and guidelines, subject to applicable law and regulation. There may be","page_number":127,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"652a0275-3874-4ecb-811b-422685396e31","block_type":"box","text":"potential conflicts of interest or regulatory issues relating to these transactions which could limit BlackRock’s","page_number":127,"box":{"x":70,"y":619,"width":780,"height":11}},{"id":"e8ce020b-be4f-49cd-9384-e8d30cdf02da","block_type":"box","text":"decision to engage in these transactions for the Funds. BlackRock may have a potentially conflicting division of","page_number":127,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"c7d534a3-67b5-453e-93ec-37690281177b","block_type":"box","text":"loyalties and responsibilities to the par ties in such transactions.","page_number":127,"box":{"x":70,"y":650,"width":457,"height":11}},{"id":"e7bd525c-3dc6-4609-91f5-62fd392d7aa7","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":127,"box":{"x":102,"y":672,"width":784,"height":11}},{"id":"1e9db1af-2f12-4b55-b361-0f63cee1747a","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":127,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"0dc95bc0-be3a-46af-b7fa-3cb478eeb01d","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":127,"box":{"x":70,"y":702,"width":827,"height":12}},{"id":"475b82aa-6d19-46a4-9562-4d27c23103c7","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":127,"box":{"x":70,"y":717,"width":828,"height":12}},{"id":"5f4a0894-e7c9-41ef-b7ba-b4de7999f61f","block_type":"box","text":"case.","page_number":127,"box":{"x":69,"y":735,"width":37,"height":7}},{"id":"cf5cf9a1-a3c9-4333-9465-5346d32ea1ec","block_type":"box","text":"The results of a Fund’s investment activities may differ significantly from the results achieved by BlackRock for","page_number":127,"box":{"x":101,"y":755,"width":791,"height":11}},{"id":"e7562034-8580-4c64-8f64-341e62d6e69f","block_type":"box","text":"its proprietary accounts or other accounts (including investment companies or collective investment vehicles) that it","page_number":127,"box":{"x":70,"y":771,"width":824,"height":11}},{"id":"6a678b35-c5ae-47a2-b79f-1452499c0e8a","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":127,"box":{"x":69,"y":786,"width":798,"height":11}},{"id":"2254a0be-b75f-4b69-8925-48e68dcb7b72","block_type":"box","text":"accounts will achieve investment results that are substantially more or less favorable than the results achieved by a","page_number":127,"box":{"x":69,"y":801,"width":828,"height":11}},{"id":"9f79d3a4-0106-4a24-8244-ff3c3b396695","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":127,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"64c8409e-5c01-489a-aa35-f053147c9714","block_type":"box","text":"accounts managed or advised by BlackRock achieve significant profits. The opposite result is also possible.","page_number":127,"box":{"x":69,"y":831,"width":767,"height":11}},{"id":"83014186-7e75-430b-848f-09bf07ff2852","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":127,"box":{"x":102,"y":853,"width":766,"height":12}},{"id":"27c6725b-9ede-40ac-abb6-ab5177877e7c","block_type":"box","text":"investment activities because of regulatory, legal or contractual requirements applicable to BlackRock or other","page_number":127,"box":{"x":70,"y":869,"width":786,"height":11}},{"id":"6499f62e-6921-4d03-b7bc-2d786a745ad9","block_type":"box","text":"accounts managed or advised by BlackRock, and/or the internal policies of BlackRock designed to comply with such","page_number":127,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"827f1d7f-fdbb-4e70-af51-7a419d7e8c4e","block_type":"box","text":"requirements. As a result, there may be periods, for example, when BlackRock will not initiate or recommend cer tain","page_number":127,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"bb8d18f0-2941-417a-9d5d-5b1ca840f6f7","block_type":"box","text":"II-90","page_number":127,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8e153aea-932c-4e36-b6ad-264e9beec13c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":127,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"103dd995-f0d2-46f2-84bf-24dab91f7306","block_type":"box","text":"types of transactions in cer tain securities or instruments with respect to which BlackRock is per forming services or","page_number":128,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"3fa8078f-883a-49c6-9d76-4d47d8d527fc","block_type":"box","text":"when position limits have been reached. For example, the investment activities of BlackRock for its proprietary","page_number":128,"box":{"x":68,"y":60,"width":790,"height":11}},{"id":"d36057ab-c494-4d16-b3b7-25af4d80375a","block_type":"box","text":"accounts and accounts under its management may limit the investment oppor tunities for a Fund in cer tain emerging","page_number":128,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"ac277213-62f5-4ac0-a546-ae44e766b398","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":128,"box":{"x":69,"y":90,"width":827,"height":11}},{"id":"c7216f08-df80-4a29-b084-d4df90c80c67","block_type":"box","text":"issuers, by affiliated foreign investors.","page_number":128,"box":{"x":70,"y":105,"width":271,"height":11}},{"id":"6d228859-5721-454f-b4ae-5049576d8430","block_type":"box","text":"In connection with its management of a Fund, BlackRock may have access to cer tain fundamental analysis and","page_number":128,"box":{"x":102,"y":128,"width":792,"height":11}},{"id":"20a18692-cfdd-4793-b49d-05b6da2f87db","block_type":"box","text":"proprietary technical models developed by BlackRock. BlackRock will not be under any obligation, however, to effect","page_number":128,"box":{"x":70,"y":143,"width":826,"height":11}},{"id":"439b886d-49a5-40e4-bd1e-5b1ce1cffee7","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":128,"box":{"x":68,"y":158,"width":821,"height":11}},{"id":"1b4846a7-4548-4ada-b88f-f8219b19c258","block_type":"box","text":"any obligation to make available any information regarding its proprietary activities or strategies, or the activities or","page_number":128,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"25d88e77-6f5d-4ca0-b0e1-12b0909760a5","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":128,"box":{"x":69,"y":188,"width":793,"height":12}},{"id":"7a98ab1d-8f84-4282-9140-b16baadbcc4d","block_type":"box","text":"anticipated that BlackRock will have access to such information for the purpose of managing the Fund. The","page_number":128,"box":{"x":69,"y":203,"width":762,"height":12}},{"id":"15c1fbdb-4577-4e15-83e0-424c3da0bcaa","block_type":"box","text":"proprietary activities or por tfolio strategies of BlackRock, or the activities or strategies used for accounts managed by","page_number":128,"box":{"x":70,"y":218,"width":839,"height":12}},{"id":"34f37c21-32bb-4ddc-b257-bbf4295f5e26","block_type":"box","text":"BlackRock or other client accounts could conflict with the transactions and strategies employed by BlackRock in","page_number":128,"box":{"x":70,"y":234,"width":795,"height":11}},{"id":"09bfbc24-4075-442d-9879-391783e895b9","block_type":"box","text":"managing a Fund.","page_number":128,"box":{"x":69,"y":249,"width":124,"height":11}},{"id":"948334f5-669a-4ece-8a00-c00dd69c94cb","block_type":"box","text":"The Funds may be included in investment models developed by BlackRock for use by clients and financial","page_number":128,"box":{"x":101,"y":271,"width":751,"height":12}},{"id":"53fdc721-56e2-449f-8315-faf5ab98e30a","block_type":"box","text":"advisors. To the extent clients invest in these investment models and increase the assets under management of the","page_number":128,"box":{"x":69,"y":286,"width":830,"height":12}},{"id":"be788810-cbd8-4337-9fb7-23477bd3f5f8","block_type":"box","text":"Funds, the investment management fee amounts paid by the Funds to BlackRock may also increase. The net asset","page_number":128,"box":{"x":70,"y":302,"width":820,"height":11}},{"id":"e2963f4c-f7d7-430e-8ef6-66a0ea5d23bc","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":128,"box":{"x":68,"y":317,"width":785,"height":11}},{"id":"84653790-dc96-4753-bc20-7e922a3d1702","block_type":"box","text":"por tfolios, as well as by BlackRock itself and by its advisory clients.","page_number":128,"box":{"x":70,"y":332,"width":481,"height":11}},{"id":"d81b0c59-e313-4a87-836e-161228f6c314","block_type":"box","text":"In addition, cer tain principals and cer tain employees of a Fund’s investment adviser are also principals or","page_number":128,"box":{"x":102,"y":355,"width":754,"height":11}},{"id":"bfa3b15b-cf4f-4235-9a98-9545ac5eb36c","block_type":"box","text":"employees of other business units or entities within BlackRock. As a result, these principals and employees may","page_number":128,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"32c97847-842b-4d0d-8a03-e6be87a9e851","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":128,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"90a76853-fe1d-451b-a122-e9be684f1d30","block_type":"box","text":"or entities or their clients may be a consideration of which investors in a Fund should be aware.","page_number":128,"box":{"x":69,"y":400,"width":680,"height":11}},{"id":"01947439-6dec-407b-998b-7d2bd88aa9e7","block_type":"box","text":"BlackRock may enter into transactions and invest in securities, instruments and currencies on behalf of a Fund","page_number":128,"box":{"x":102,"y":423,"width":791,"height":11}},{"id":"55bab81f-8b6f-44d2-afae-17d89cc40ad0","block_type":"box","text":"in which clients of BlackRock, or, to the extent permitted by the Commission and applicable law, BlackRock, serves","page_number":128,"box":{"x":70,"y":438,"width":820,"height":11}},{"id":"abed02a7-02a0-4816-9474-2a57f4d77616","block_type":"box","text":"as the counterpar ty, principal or issuer. In such cases, such par ty’s interests in the transaction will be adverse to the","page_number":128,"box":{"x":69,"y":453,"width":837,"height":11}},{"id":"c30a9997-5541-4c7f-a562-fdd3c446d3e8","block_type":"box","text":"interests of the Fund, and such par ty may have no incentive to assure that the Fund obtains the best possible prices","page_number":128,"box":{"x":70,"y":468,"width":832,"height":11}},{"id":"d0238c29-05f8-456b-b5a4-440f3ae9ba76","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":128,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"bb81908e-3095-42ab-acc8-e8083293727e","block_type":"box","text":"Fund may enhance the profitability of BlackRock.","page_number":128,"box":{"x":70,"y":498,"width":344,"height":11}},{"id":"c058c674-395d-4c67-966a-3a1a8bdb3326","block_type":"box","text":"BlackRock may also create, write or issue derivatives for clients, the underlying securities, currencies or","page_number":128,"box":{"x":102,"y":521,"width":741,"height":11}},{"id":"76e3de41-77bc-4676-b839-0c70bd54b480","block_type":"box","text":"instruments of which may be those in which a Fund invests or which may be based on the per formance of the Fund.","page_number":128,"box":{"x":70,"y":536,"width":824,"height":11}},{"id":"4005a6ba-cd17-4b84-be36-08e2d2e5ca18","block_type":"box","text":"Additionally, an affiliate of BlackRock will create, write or issue options, which may be based on the per formance of","page_number":128,"box":{"x":68,"y":551,"width":825,"height":11}},{"id":"d9b633c6-d658-4da8-9ced-9852852afe10","block_type":"box","text":"cer tain Funds. BlackRock has entered into an arrangement with Markit Indices Limited, the index provider for","page_number":128,"box":{"x":69,"y":566,"width":777,"height":11}},{"id":"3b166691-a9c3-4c5e-9b45-8a380eb14d20","block_type":"box","text":"underlying fixed-income indexes used by cer tain iShares ETFs, related to derivative fixed-income products that are","page_number":128,"box":{"x":69,"y":581,"width":810,"height":12}},{"id":"20f59bb4-610c-4336-86a2-efbe62d36c10","block_type":"box","text":"based on such iShares ETFs. Trading activity in these derivative products could also potentially lead to greater","page_number":128,"box":{"x":69,"y":597,"width":784,"height":11}},{"id":"65b53d82-f828-4085-b5d3-a79d1d9958c4","block_type":"box","text":"liquidity for such products, increased purchase activity with respect to these iShares ETFs and increased assets","page_number":128,"box":{"x":70,"y":612,"width":798,"height":11}},{"id":"9ff66602-df43-4cc7-9168-d6efbc156d79","block_type":"box","text":"under management for BlackRock.","page_number":128,"box":{"x":69,"y":627,"width":243,"height":11}},{"id":"662bfb57-ad85-465e-af98-03fe30649c40","block_type":"box","text":"A Fund may, subject to applicable law, purchase investments that are the subject of an underwriting or other","page_number":128,"box":{"x":101,"y":649,"width":773,"height":12}},{"id":"578848d6-6195-40e1-9ac5-388009a68794","block_type":"box","text":"distribution by BlackRock and may also enter into transactions with other clients of BlackRock where such other","page_number":128,"box":{"x":69,"y":664,"width":797,"height":12}},{"id":"01740735-58f8-4669-9916-201da745aef6","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":128,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"68268d07-68de-4d98-b65a-29566f752bc1","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":128,"box":{"x":68,"y":695,"width":837,"height":11}},{"id":"c9912834-a154-4595-b6da-9eee216b8869","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":128,"box":{"x":70,"y":710,"width":781,"height":11}},{"id":"e206abe9-87a7-4d82-841c-a17332beda37","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":128,"box":{"x":101,"y":733,"width":779,"height":11}},{"id":"72d40cd2-2f1a-42c5-8f95-ae9698243260","block_type":"box","text":"other commercial capacities for a Fund. It is anticipated that the commissions, mark-ups, mark-downs, financial","page_number":128,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"43c12315-911e-4f05-8d12-ad75ca48ab08","block_type":"box","text":"advisory fees, underwriting and placement fees, sales fees, financing and commitment fees, brokerage fees, other","page_number":128,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"07b78df8-52b1-4e48-bbfb-a743e17a9732","block_type":"box","text":"fees, compensation or profits, rates, terms and conditions charged by BlackRock will be in its view commercially","page_number":128,"box":{"x":68,"y":778,"width":802,"height":11}},{"id":"69f092df-da38-4c6f-84b0-8fbffbcf7559","block_type":"box","text":"reasonable, although BlackRock, including its sales personnel, will have an interest in obtaining fees and other","page_number":128,"box":{"x":69,"y":793,"width":792,"height":11}},{"id":"ebaa91a0-1099-4b52-aa28-d5a681d46909","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":128,"box":{"x":69,"y":808,"width":832,"height":11}},{"id":"82e6c8d6-f00f-4a47-af73-996a1ff529e6","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":128,"box":{"x":70,"y":823,"width":833,"height":11}},{"id":"e55a2c56-6ce1-453f-8ac0-46c570921c33","block_type":"box","text":"that acts as a broker, dealer, agent, lender or in other commercial capacities for a Fund or BlackRock.","page_number":128,"box":{"x":68,"y":838,"width":726,"height":12}},{"id":"ceb70d41-2c7b-43c5-8607-698ca274d681","block_type":"box","text":"Subject to applicable law, BlackRock (and its personnel and other distributors) will be entitled to retain fees and","page_number":128,"box":{"x":102,"y":861,"width":796,"height":11}},{"id":"1a76e0a6-5902-4971-ad69-6e9969544b9c","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":128,"box":{"x":69,"y":876,"width":837,"height":11}},{"id":"a0e928ad-7bd4-4d7c-b99a-9da2e34d0508","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":128,"box":{"x":69,"y":891,"width":823,"height":12}},{"id":"4e44c7c3-4379-4275-865d-6c8ce6dff8ed","block_type":"box","text":"II-91","page_number":128,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"04e25404-1b04-453e-8269-a7f0e4c28f2b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":128,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9883dcb5-b08e-4e58-844a-7228099bd1da","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":129,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"f435001c-a2f4-4f8f-b55b-d256dfbe1f6a","block_type":"box","text":"any such fees or other amounts.","page_number":129,"box":{"x":69,"y":60,"width":230,"height":11}},{"id":"300b5f7b-bc84-4fac-a942-60fdd5c7300e","block_type":"box","text":"When BlackRock acts as broker, dealer, agent, adviser or in other commercial capacities in relation to the Funds,","page_number":129,"box":{"x":101,"y":83,"width":805,"height":11}},{"id":"e0373b3a-b95e-4653-baf0-01abd40146ce","block_type":"box","text":"BlackRock may take commercial steps in its own interests, which may have an adverse effect on the Funds.","page_number":129,"box":{"x":70,"y":98,"width":768,"height":11}},{"id":"253efcc8-2e9c-43e9-86f6-187fdfacc2b8","block_type":"box","text":"A Fund will be required to establish business relationships with its counterpar ties based on the Fund’s own","page_number":129,"box":{"x":101,"y":120,"width":766,"height":11}},{"id":"09f27814-7764-4307-b312-1b7d2e917057","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":129,"box":{"x":69,"y":136,"width":793,"height":11}},{"id":"2e0dd569-9803-4ff4-a741-fd41743d3ddf","block_type":"box","text":"establishment of its business relationships, nor is it expected that the Fund’s counterpar ties will rely on the credit of","page_number":129,"box":{"x":69,"y":150,"width":835,"height":12}},{"id":"9c18ac25-5292-47be-b761-c97d2c7bdaca","block_type":"box","text":"BlackRock in evaluating the Fund’s creditwor thiness.","page_number":129,"box":{"x":70,"y":166,"width":374,"height":11}},{"id":"2ca2f81c-cfaa-4de8-a683-786f15bf4424","block_type":"box","text":"BlackRock Investment Management, LLC (“BIM”) or BlackRock Institutional Trust Company, N.A. (“BTC”), as","page_number":129,"box":{"x":102,"y":188,"width":768,"height":12}},{"id":"806c2b50-49e0-4cad-a97f-ce7ab4e49f3a","block_type":"box","text":"applicable, each an affiliate of BlackRock, pursuant to SEC exemptive relief, acts as securities lending agent to, and","page_number":129,"box":{"x":69,"y":203,"width":829,"height":12}},{"id":"c8086443-c719-4e79-a4db-7490b0bf21e3","block_type":"box","text":"receives a share of securities lending revenues from, the Funds. BlackRock will also receive compensation for","page_number":129,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"a1312072-b0d3-43a6-8f4f-529c2fe17758","block_type":"box","text":"managing the reinvestment of the cash collateral from securities lending. There are potential conflicts of interests in","page_number":129,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"2d15ab90-9164-4542-96eb-baa722a8e688","block_type":"box","text":"managing a securities lending program, including but not limited to: (i) BlackRock as securities lending agent may","page_number":129,"box":{"x":69,"y":249,"width":809,"height":11}},{"id":"44f7be5d-5413-42ff-ae51-cca1eda6a234","block_type":"box","text":"have an incentive to, among other things, increase or decrease the amount of securities on loan or to lend par ticular","page_number":129,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"5a8e8399-9214-41e0-9ad0-1fba1cab166c","block_type":"box","text":"securities in order to generate additional risk-adjusted revenue for BlackRock and its affiliates; and (ii) BlackRock as","page_number":129,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"56d1c8f3-7829-4e82-aaae-832136c0c4cc","block_type":"box","text":"securities lending agent may have an incentive to allocate loans to clients that would provide more revenue to","page_number":129,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"dad5d5e2-a566-4828-ae8a-9cb91241f0fd","block_type":"box","text":"BlackRock. As described fur ther below, BlackRock seeks to mitigate this conflict by providing its securities lending","page_number":129,"box":{"x":70,"y":309,"width":814,"height":11}},{"id":"dc2ab31b-e462-4a73-bd00-6eeb864be292","block_type":"box","text":"clients with equal lending oppor tunities over time in order to approximate pro rata allocation.","page_number":129,"box":{"x":69,"y":325,"width":660,"height":11}},{"id":"11146685-64f8-435d-98a8-340b860857b1","block_type":"box","text":"As par t of its securities lending program, BlackRock indemnifies the Funds and cer tain other clients and/or","page_number":129,"box":{"x":101,"y":347,"width":767,"height":11}},{"id":"b010cd63-1b40-42ed-8b61-2fdc6109e193","block_type":"box","text":"funds against a shor tfall in collateral in the event of borrower default. On a regular basis, BlackRock calculates the","page_number":129,"box":{"x":68,"y":362,"width":820,"height":11}},{"id":"0e4cb50f-8334-4a28-9825-e47de6b15f25","block_type":"box","text":"potential dollar exposure of collateral shor tfall resulting from a borrower default (“shor tfall risk”) in the securities","page_number":129,"box":{"x":70,"y":377,"width":806,"height":12}},{"id":"828bdd73-d531-4d75-8eb8-255479e9a001","block_type":"box","text":"lending program. BlackRock establishes program-wide borrower limits (“credit limits”) to actively manage borrower","page_number":129,"box":{"x":70,"y":393,"width":816,"height":11}},{"id":"b8ea7745-c571-41e3-bbf2-727300c3ded7","block_type":"box","text":"specific credit exposure. BlackRock oversees the risk model that calculates projected collateral shor tfall values using","page_number":129,"box":{"x":69,"y":407,"width":838,"height":12}},{"id":"f6119294-b096-45f5-9f3e-7bb0af118944","block_type":"box","text":"loan-level factors such as loan and collateral type and market value as well as specific borrower credit","page_number":129,"box":{"x":70,"y":423,"width":727,"height":11}},{"id":"3979127b-4e99-4f43-acf5-0cf10b2090e9","block_type":"box","text":"characteristics. When necessary, BlackRock may adjust securities lending program attributes by restricting eligible","page_number":129,"box":{"x":69,"y":438,"width":815,"height":11}},{"id":"864c8ae0-f14b-4738-8928-8ebdd9c6c32e","block_type":"box","text":"collateral or reducing borrower credit limits. As a result, the management of program-wide exposure as well as","page_number":129,"box":{"x":69,"y":453,"width":786,"height":11}},{"id":"6790149f-e07f-4713-8290-63f902699df4","block_type":"box","text":"BlackRock-specific indemnification exposure may affect the amount of securities lending activity BlackRock may","page_number":129,"box":{"x":70,"y":468,"width":796,"height":11}},{"id":"974af059-8da3-40ec-bf14-aad0f5545752","block_type":"box","text":"conduct at any given point in time by reducing the volume of lending oppor tunities for cer tain loans (including by","page_number":129,"box":{"x":69,"y":483,"width":799,"height":11}},{"id":"554e0408-6a38-4680-91c8-1cde19c8cf33","block_type":"box","text":"asset type, collateral type and/or revenue profile).","page_number":129,"box":{"x":69,"y":498,"width":356,"height":11}},{"id":"865218d5-9371-4c5c-90ed-6fb0d7882513","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":129,"box":{"x":102,"y":521,"width":801,"height":11}},{"id":"cd0e9492-93fc-462d-8d0d-0042fea0c201","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":129,"box":{"x":68,"y":536,"width":817,"height":11}},{"id":"ac9eb1a7-86ef-41b6-b40b-3ab131f14b7e","block_type":"box","text":"and/or market rules, liquidity considerations, or credit considerations, which may impact Funds by reducing or","page_number":129,"box":{"x":69,"y":551,"width":784,"height":11}},{"id":"6ed5ef87-eba2-490d-bb1e-7f5ed760a4c8","block_type":"box","text":"eliminating the volume of lending oppor tunities for cer tain types of loans, loans in par ticular markets, loans of","page_number":129,"box":{"x":69,"y":566,"width":789,"height":11}},{"id":"45307b7a-2a7c-4d8a-aec3-447902460324","block_type":"box","text":"par ticular securities or types of securities, or for loans overall. In addition, some borrowers may prefer cer tain","page_number":129,"box":{"x":70,"y":581,"width":783,"height":11}},{"id":"10b5951f-d8cd-4b25-a43f-efd675d9c52f","block_type":"box","text":"BlackRock lenders that provide additional protections against lender default that are favored by their prudential","page_number":129,"box":{"x":70,"y":596,"width":790,"height":12}},{"id":"4dc319df-29ab-4463-be04-2f053c0a4fd9","block_type":"box","text":"regulation.","page_number":129,"box":{"x":69,"y":612,"width":73,"height":11}},{"id":"b3728ed5-44ee-4292-bd6a-1d12c8c50d8a","block_type":"box","text":"BlackRock uses a predetermined systematic process in order to approximate pro rata allocation over time. In","page_number":129,"box":{"x":102,"y":634,"width":777,"height":11}},{"id":"f6c61200-5f2e-41cc-b7d3-b4a46aea218b","block_type":"box","text":"order to allocate a loan to a por tfolio: (i) BlackRock as a whole must have sufficient lending capacity pursuant to the","page_number":129,"box":{"x":69,"y":649,"width":830,"height":12}},{"id":"25335e72-6f50-4092-a319-cb6d31e43069","block_type":"box","text":"various program limits (","page_number":129,"box":{"x":68,"y":665,"width":168,"height":11}},{"id":"1a802fea-f024-4478-a181-b2b80a04ff7a","block_type":"box","text":"i.e.","page_number":129,"box":{"x":238,"y":665,"width":20,"height":8}},{"id":"15c872bd-ebd3-4b08-bd0f-38af11eb7b24","block_type":"box","text":"indemnification exposure limit and borrower credit limits); (ii) the lending por tfolio must","page_number":129,"box":{"x":265,"y":664,"width":621,"height":12}},{"id":"cb63d0f1-0489-47bb-b3a4-1b12b578b4d6","block_type":"box","text":"hold the asset at the time a loan oppor tunity arrives; and (iii) the lending por tfolio must also have enough inventory,","page_number":129,"box":{"x":69,"y":680,"width":827,"height":11}},{"id":"351ca741-1f22-4352-9d63-2509ba1b0796","block_type":"box","text":"either on its own or when aggregated with other por tfolios into one single market delivery, to satisfy the loan request.","page_number":129,"box":{"x":69,"y":695,"width":836,"height":11}},{"id":"0daccfb8-e79a-4de5-9592-042aaf9f9272","block_type":"box","text":"In doing so, BlackRock seeks to provide equal lending oppor tunities for all por tfolios, independent of whether","page_number":129,"box":{"x":70,"y":710,"width":780,"height":11}},{"id":"76617088-4bee-4c4b-8525-02cb65ce4344","block_type":"box","text":"BlackRock indemnifies the por tfolio. Equal oppor tunities for lending por tfolios does not guarantee equal outcomes.","page_number":129,"box":{"x":70,"y":725,"width":820,"height":11}},{"id":"d959f9e5-a108-4f29-982d-150359ee453b","block_type":"box","text":"Specifically, shor t and long-term outcomes for individual clients may vary due to asset mix, asset/liability spreads on","page_number":129,"box":{"x":69,"y":740,"width":834,"height":11}},{"id":"a2fed0f9-7b08-423a-921a-4e17c56e250d","block_type":"box","text":"different securities, and the overall limits imposed by the firm.","page_number":129,"box":{"x":69,"y":755,"width":444,"height":11}},{"id":"5e6e9a34-8452-4111-bb80-6dabd76581b2","block_type":"box","text":"Purchases and sales of securities and other assets for a Fund may be aggregated with orders for other","page_number":129,"box":{"x":102,"y":778,"width":734,"height":11}},{"id":"91ea917d-7ad1-480c-a91a-4ed830a1b365","block_type":"box","text":"BlackRock client accounts, including with accounts that pay different transaction costs solely due to the fact that they","page_number":129,"box":{"x":70,"y":793,"width":840,"height":11}},{"id":"4db4cdf8-aff9-410b-b403-85fe93baa290","block_type":"box","text":"have different research payment arrangements. BlackRock, however, is not required to aggregate orders if por tfolio","page_number":129,"box":{"x":69,"y":808,"width":822,"height":11}},{"id":"7057fd27-1384-40ba-9986-2701d8fe916d","block_type":"box","text":"management decisions for different accounts are made separately, or if they determine that aggregating is not","page_number":129,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"a157ec81-30f8-4b8b-95db-2ea0d14ebfaa","block_type":"box","text":"practicable or required, or in cases involving client direction.","page_number":129,"box":{"x":70,"y":839,"width":426,"height":11}},{"id":"eb67c07f-83f2-4905-b583-703a61dadb44","block_type":"box","text":"Prevailing trading activity frequently may make impossible the receipt of the same price or execution on the","page_number":129,"box":{"x":102,"y":861,"width":763,"height":11}},{"id":"86f86ed0-99d9-4a11-8fab-b927103a8bc7","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":129,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"faecccd6-794f-4825-a3f4-e0bae67a0121","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":129,"box":{"x":68,"y":891,"width":767,"height":12}},{"id":"a7fe49dd-cfe0-41b1-ab1b-9cf3705431d5","block_type":"box","text":"II-92","page_number":129,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c4d97b88-e18a-4620-8e37-9ab4aed163b6","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":129,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8a15e193-2f86-428b-a733-cfd82c599b16","block_type":"box","text":"occasions to the disadvantage of the Funds. In addition, under cer tain circumstances, the Funds will not be charged","page_number":130,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"07ffea7c-db24-4a42-9d77-65db216a3dbb","block_type":"box","text":"the same commission or commission equivalent rates in connection with an aggregated order.","page_number":130,"box":{"x":68,"y":60,"width":672,"height":11}},{"id":"9f3564ae-3e2f-4ead-91d0-221edb9873d9","block_type":"box","text":"As discussed in the section below entitled “Por tfolio Transactions and Brokerage—Transactions in Por tfolio","page_number":130,"box":{"x":101,"y":82,"width":767,"height":12}},{"id":"4f7e93b8-eb99-46d7-b1d3-e39dd70b652c","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":130,"box":{"x":69,"y":98,"width":832,"height":11}},{"id":"9905a830-d3be-4bd3-9ade-9a1745ac85fc","block_type":"box","text":"commission for effecting a transaction that exceeds the amount another broker or dealer would have charged for","page_number":130,"box":{"x":69,"y":113,"width":805,"height":11}},{"id":"072b384f-9525-4471-b3a7-fff046255448","block_type":"box","text":"effecting the same transaction in recognition of the value of brokerage and research services provided by that broker","page_number":130,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"e9f5919b-80e5-40ac-a9c7-8133ac484db5","block_type":"box","text":"or dealer. Under MiFID II, EU investment managers, including BlackRock International Limited (“BIL”) which acts as a","page_number":130,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"611c016f-9b8d-4966-9c80-77d7dbfb2663","block_type":"box","text":"sub-adviser to cer tain Funds, pay for research from brokers and dealers directly out of their own resources, rather","page_number":130,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"04bc4821-35f6-41ca-b468-ab71b7b9417b","block_type":"box","text":"than through client commissions.","page_number":130,"box":{"x":68,"y":173,"width":237,"height":11}},{"id":"93eba86c-731d-4d3e-9b2d-17f774f29957","block_type":"box","text":"Subject to applicable law, BlackRock may select brokers that furnish BlackRock, the Funds, other BlackRock","page_number":130,"box":{"x":102,"y":196,"width":770,"height":11}},{"id":"60ab010a-594c-4f02-aec6-46bd00b5d26d","block_type":"box","text":"client accounts or personnel, directly or through correspondent relationships, with research or other appropriate","page_number":130,"box":{"x":69,"y":211,"width":797,"height":11}},{"id":"976dc794-6903-4327-b66c-723357409a5b","block_type":"box","text":"services which provide, in BlackRock’s view, appropriate assistance to BlackRock in the investment decision making","page_number":130,"box":{"x":69,"y":226,"width":830,"height":11}},{"id":"f7a3f9e2-2607-4f5c-8a7f-19d813d10b2c","block_type":"box","text":"process (including with respect to futures, fixed-price offerings and OTC transactions). Such research or other","page_number":130,"box":{"x":70,"y":241,"width":780,"height":11}},{"id":"36fea302-333e-4914-8265-bd4affef4b15","block_type":"box","text":"services may include, to the extent permitted by law, research repor ts on companies, industries and securities;","page_number":130,"box":{"x":69,"y":257,"width":795,"height":10}},{"id":"e2745d08-2a15-4f20-8686-95b2e745a786","block_type":"box","text":"economic and financial data; financial publications; proxy analysis; trade industry seminars; computer data bases;","page_number":130,"box":{"x":69,"y":271,"width":815,"height":12}},{"id":"585ddf54-87ff-4d90-ae50-8e8af11b8b8c","block_type":"box","text":"research-oriented software and other services and products.","page_number":130,"box":{"x":69,"y":286,"width":430,"height":11}},{"id":"322e7c31-3e5f-4218-91df-77b7e4f185a9","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":130,"box":{"x":102,"y":309,"width":785,"height":11}},{"id":"0f3ee90d-6522-44b5-8159-17aa0474dba3","block_type":"box","text":"BlackRock client accounts, including in connection with BlackRock client accounts other than those that pay","page_number":130,"box":{"x":70,"y":325,"width":768,"height":11}},{"id":"f4b0ad36-a773-45d6-a4a7-42a902158c7b","block_type":"box","text":"commissions to the broker relating to the research or other service arrangements. Such products and services may","page_number":130,"box":{"x":69,"y":340,"width":826,"height":11}},{"id":"208aca80-da29-4fff-9dc0-7fb35f3d3c02","block_type":"box","text":"dispropor tionately benefit other BlackRock client accounts relative to the Funds based on the amount of brokerage","page_number":130,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"e4eaa349-f657-4d8f-8fdb-0676f372514e","block_type":"box","text":"commissions paid by the Funds and such other BlackRock client accounts. For example, research or other services","page_number":130,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"e1cb5708-a396-4d81-ac14-636edf44b4d1","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":130,"box":{"x":68,"y":385,"width":815,"height":11}},{"id":"375d9e88-b5c9-4489-a519-b1139187bb22","block_type":"box","text":"other BlackRock client accounts may receive the benefit, including dispropor tionate benefits, of economies of scale","page_number":130,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"2bbf233e-a0ec-4f40-992e-b1bb00d13280","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":130,"box":{"x":69,"y":415,"width":804,"height":11}},{"id":"5a36aa6f-af24-4b43-b882-1881cf560eb5","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":130,"box":{"x":70,"y":430,"width":819,"height":11}},{"id":"ca3dd557-2c65-45e3-87dc-aa4eeb432b0a","block_type":"box","text":"and services itself.","page_number":130,"box":{"x":69,"y":445,"width":134,"height":9}},{"id":"bea8a6e2-f8c2-47f1-aeec-9efb5eafb514","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may endeavor to execute trades through brokers who, pursuant","page_number":130,"box":{"x":102,"y":468,"width":793,"height":11}},{"id":"61b18937-272b-4254-b3b2-62a0305b193c","block_type":"box","text":"to such arrangements, provide research or other services in order to ensure the continued receipt of research or","page_number":130,"box":{"x":68,"y":483,"width":805,"height":11}},{"id":"b8c072e4-5c96-4e29-8481-1dadd8a43cef","block_type":"box","text":"other services BlackRock believes are useful in its investment decision-making process. BlackRock may from time to","page_number":130,"box":{"x":69,"y":498,"width":833,"height":11}},{"id":"5a5864fe-c79d-4c2d-95a1-0f3d6c6de6cd","block_type":"box","text":"time choose not to engage in the above described arrangements to varying degrees. BlackRock, unless prohibited by","page_number":130,"box":{"x":68,"y":514,"width":836,"height":11}},{"id":"06540ed3-e1f8-458e-975a-759e98dcd021","block_type":"box","text":"applicable law, may also enter into commission sharing arrangements under which BlackRock may execute","page_number":130,"box":{"x":69,"y":529,"width":760,"height":11}},{"id":"e87319a1-d6bc-4574-a06b-c29734c9e144","block_type":"box","text":"transactions through a broker-dealer and request that the broker-dealer allocate a por tion of the commissions or","page_number":130,"box":{"x":68,"y":543,"width":803,"height":12}},{"id":"1962b471-582a-45ce-915f-28f7059a09a2","block_type":"box","text":"commission credits to another firm that provides research to BlackRock. To the extent that BlackRock engages in","page_number":130,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"50ff77cf-0ef4-4c49-8702-f621263600eb","block_type":"box","text":"commission sharing arrangements, many of the same conflicts related to traditional soft dollars may exist.","page_number":130,"box":{"x":69,"y":574,"width":760,"height":11}},{"id":"8e762253-b1a1-4224-9dc5-ee31aab168b1","block_type":"box","text":"BlackRock may utilize cer tain electronic crossing networks (“ECNs”) (including, without limitation, ECNs in which","page_number":130,"box":{"x":102,"y":597,"width":799,"height":11}},{"id":"a800a3dd-c764-4529-89b4-d9ed7e9294b4","block_type":"box","text":"BlackRock has an investment or other interest, to the extent permitted by applicable law) in executing client","page_number":130,"box":{"x":70,"y":612,"width":767,"height":11}},{"id":"b8f3db12-3828-464d-98c6-557cf2aa6a85","block_type":"box","text":"securities transactions for cer tain types of securities. These ECNs may charge fees for their services, including","page_number":130,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"94c7d9ee-271d-4591-bbf3-19870bf82f1b","block_type":"box","text":"access fees and transaction fees. The transaction fees, which are similar to commissions or markups/ markdowns,","page_number":130,"box":{"x":69,"y":642,"width":825,"height":11}},{"id":"21d9254e-d341-4c8f-9ae5-a7afdc73d387","block_type":"box","text":"will generally be charged to clients and, like commissions and markups/markdowns, would generally be included in","page_number":130,"box":{"x":68,"y":657,"width":821,"height":11}},{"id":"b8e256eb-77c9-4c78-bfe5-4d9e28b8deb0","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":130,"box":{"x":68,"y":672,"width":833,"height":11}},{"id":"dc863eb2-fae3-4271-b030-e52992d05256","block_type":"box","text":"executing transactions on behalf of clients, including the Funds. In cer tain circumstances, ECNs may offer volume","page_number":130,"box":{"x":69,"y":687,"width":812,"height":11}},{"id":"7fb94127-654e-409d-90c9-3ac9979eb54b","block_type":"box","text":"discounts that will reduce the access fees typically paid by BlackRock. BlackRock will only utilize ECNs consistent","page_number":130,"box":{"x":69,"y":702,"width":809,"height":11}},{"id":"39c1bbe1-bb18-4f8d-a35d-5da5b9e28456","block_type":"box","text":"with its obligation to seek to obtain best execution in client transactions.","page_number":130,"box":{"x":68,"y":718,"width":519,"height":11}},{"id":"58c613e6-be11-4937-9a9f-68481e46ffb0","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":130,"box":{"x":102,"y":740,"width":793,"height":11}},{"id":"93c208b1-a3d4-4903-9851-f92d9b148f94","block_type":"box","text":"stock exchange. Transactions for a Fund may be executed on MEMX if third par ty brokers select MEMX as the","page_number":130,"box":{"x":69,"y":755,"width":782,"height":11}},{"id":"7763a389-4eb3-4936-879c-c39523666224","block_type":"box","text":"appropriate venue for execution of orders placed by BlackRock traders on behalf of client por tfolios.","page_number":130,"box":{"x":69,"y":770,"width":710,"height":11}},{"id":"21c532a0-29df-4474-bbe2-537edc286064","block_type":"box","text":"BlackRock has adopted policies and procedures designed to prevent conflicts of interest from influencing proxy","page_number":130,"box":{"x":102,"y":793,"width":792,"height":11}},{"id":"9cf96257-18f6-481a-9c46-7df8459da640","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":130,"box":{"x":68,"y":808,"width":784,"height":11}},{"id":"fd419214-276f-49e1-84da-1e8e26f657bf","block_type":"box","text":"decisions are made in accordance with BlackRock’s fiduciary obligations to its clients. Never theless, notwithstanding","page_number":130,"box":{"x":69,"y":823,"width":837,"height":12}},{"id":"c87daf8c-95b1-40ae-8faf-4d7d654a88b3","block_type":"box","text":"such proxy voting policies and procedures, actual proxy voting decisions of BlackRock may have the effect of favoring","page_number":130,"box":{"x":69,"y":838,"width":835,"height":12}},{"id":"0fa954bd-17f9-4c34-9001-336097d86d09","block_type":"box","text":"the interests of other clients or businesses of other divisions or units of BlackRock, provided that BlackRock believes","page_number":130,"box":{"x":68,"y":853,"width":837,"height":11}},{"id":"0059e1e1-e552-40c1-97e1-79061e8f4e0d","block_type":"box","text":"such voting decisions to be in accordance with its fiduciary obligations. For a more detailed discussion of these","page_number":130,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"b6612ed3-ee25-4f6b-8dc3-860cec65e47d","block_type":"box","text":"policies and procedures, see “Proxy Voting Policies and Procedures.”","page_number":130,"box":{"x":70,"y":884,"width":490,"height":11}},{"id":"9ebafb1a-484e-4d05-b9d0-0dbc6e0a3340","block_type":"box","text":"II-93","page_number":130,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9f322a90-3bec-470e-ac18-a56feeaf76dd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":130,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f507c46b-f539-40cc-9ce3-32d24835e412","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":131,"box":{"x":102,"y":45,"width":757,"height":11}},{"id":"a2baf7c2-5e59-4783-ac69-bc3ce4d9b1a8","block_type":"box","text":"separately managed accounts) may, subject to compliance with applicable law, purchase and hold shares of a Fund.","page_number":131,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"70fa112b-ca73-4823-8a64-7e8c5da05c72","block_type":"box","text":"Increasing a Fund’s assets may enhance investment flexibility and diversification and may contribute to economies of","page_number":131,"box":{"x":70,"y":75,"width":837,"height":11}},{"id":"7ddc14f5-8ace-441a-9ce6-449361eab35b","block_type":"box","text":"scale that tend to reduce the Fund’s expense ratio. BlackRock reserves the right, subject to compliance with","page_number":131,"box":{"x":69,"y":90,"width":774,"height":11}},{"id":"021e86f7-26b7-4b51-b532-07309cf05d2a","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":131,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"95c369d3-e554-43db-8935-4b3dcb9ae2d4","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":131,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"b59f968f-63a7-4c0d-9961-e146f51faf75","block_type":"box","text":"an adverse effect on the Fund’s investment flexibility, por tfolio diversification and expense ratio. BlackRock seeks to","page_number":131,"box":{"x":69,"y":135,"width":831,"height":11}},{"id":"0498afb2-e14a-4551-a9e7-e74235bc7af2","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":131,"box":{"x":69,"y":150,"width":834,"height":12}},{"id":"08b11d51-7693-4468-9ff0-901570f233ef","block_type":"box","text":"not obligated to do so and may elect not to do so.","page_number":131,"box":{"x":69,"y":166,"width":355,"height":11}},{"id":"aeeee45e-14aa-4dde-bd00-435b4c1a7f09","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":131,"box":{"x":102,"y":188,"width":742,"height":12}},{"id":"88c365ea-031a-413f-96d8-ec886d2f8276","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":131,"box":{"x":70,"y":203,"width":838,"height":12}},{"id":"61dabeeb-85aa-4765-997b-d962e2615389","block_type":"box","text":"structured notes) by entities for which BlackRock provides and is compensated for cash management services","page_number":131,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"b773e200-6280-4f28-af11-4849e0ad07ed","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":131,"box":{"x":69,"y":234,"width":816,"height":11}},{"id":"655fbe4f-129b-410e-90fb-c6091d694cd0","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":131,"box":{"x":69,"y":249,"width":806,"height":11}},{"id":"3514b271-a2bc-4a03-bbab-3b087289a352","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":131,"box":{"x":68,"y":264,"width":822,"height":11}},{"id":"c3ebbfc3-3007-4488-b42f-4ad3546b7f58","block_type":"box","text":"and sales of securities. As indicated below, BlackRock may engage in transactions with companies in which","page_number":131,"box":{"x":69,"y":279,"width":766,"height":11}},{"id":"1500efc3-9a52-4fef-9190-8dd95e35c1aa","block_type":"box","text":"BlackRock-advised funds or other clients of BlackRock have an investment.","page_number":131,"box":{"x":70,"y":294,"width":533,"height":9}},{"id":"c7b7cd1d-dc03-4957-9c80-b6bf52ae4903","block_type":"box","text":"BlackRock and its personnel and other financial service providers may have interests in promoting sales of the","page_number":131,"box":{"x":102,"y":317,"width":789,"height":11}},{"id":"f6640120-c62c-4b22-af32-00b92732eba9","block_type":"box","text":"Funds. With respect to BlackRock and its personnel, the remuneration and profitability relating to services to and","page_number":131,"box":{"x":70,"y":332,"width":805,"height":11}},{"id":"00cf4183-7380-43b1-b834-e441d28697e7","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":131,"box":{"x":69,"y":347,"width":813,"height":11}},{"id":"d24937ff-0a81-46fd-b772-7e200407f21e","block_type":"box","text":"sales of cer tain funds or other products that might be provided or offered. BlackRock and its sales personnel may","page_number":131,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"d901ff86-2ba9-47f3-a99c-0845aaee46d9","block_type":"box","text":"directly or indirectly receive a por tion of the fees and commissions charged to the Funds or their shareholders.","page_number":131,"box":{"x":69,"y":377,"width":788,"height":12}},{"id":"9f4b835e-8f98-44ad-a04d-a00df4573aa5","block_type":"box","text":"BlackRock and its advisory or other personnel may also benefit from increased amounts of assets under","page_number":131,"box":{"x":70,"y":392,"width":745,"height":12}},{"id":"3d125e9c-d82e-4aad-b075-f77782c1a733","block_type":"box","text":"management. Fees and commissions may also be higher than for other products or services, and the remuneration","page_number":131,"box":{"x":69,"y":407,"width":822,"height":12}},{"id":"3cc9635d-dc1b-4caa-a519-e47721bcde77","block_type":"box","text":"and profitability to BlackRock and such personnel resulting from transactions on behalf of or management of the","page_number":131,"box":{"x":69,"y":423,"width":801,"height":11}},{"id":"504c24ce-1439-448e-939b-52925762aa5a","block_type":"box","text":"Funds may be greater than the remuneration and profitability resulting from other funds or products.","page_number":131,"box":{"x":70,"y":438,"width":711,"height":11}},{"id":"1bf3eeef-9659-4e4e-bee4-0a26a59d4574","block_type":"box","text":"BlackRock may provide valuation assistance to cer tain clients with respect to cer tain securities or other","page_number":131,"box":{"x":102,"y":461,"width":741,"height":11}},{"id":"87d94580-e51b-4961-a255-0599c7d050c4","block_type":"box","text":"investments and the valuation recommendations made for such clients’ accounts may differ from the valuations for","page_number":131,"box":{"x":70,"y":475,"width":823,"height":12}},{"id":"7e7c814d-d0f0-43c5-ae62-cd12029f9a6b","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":131,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"11bedbcc-1d75-41d3-9a34-9370a104c96f","block_type":"box","text":"broker-dealer quotes or other data sources unavailable to the Fund’s pricing vendors. While BlackRock will generally","page_number":131,"box":{"x":69,"y":506,"width":825,"height":11}},{"id":"c5fae65c-0473-487c-acfe-9ca9fa4bc8c7","block_type":"box","text":"communicate its valuation information or determinations to a Fund’s pricing vendors and/or fund accountants, there","page_number":131,"box":{"x":69,"y":521,"width":830,"height":11}},{"id":"a12dce6e-6cf6-432c-998c-29b6ff50ba89","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":131,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"509988aa-740a-4329-beb0-b99f8a1c3b64","block_type":"box","text":"other investment than the valuation for such security or investment determined or recommended by BlackRock.","page_number":131,"box":{"x":69,"y":551,"width":792,"height":11}},{"id":"49a84297-bde0-4ad1-b311-df9373f04dac","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":131,"box":{"x":101,"y":574,"width":784,"height":11}},{"id":"b94b9317-3635-4bf6-bed8-cd13c42222b9","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":131,"box":{"x":69,"y":589,"width":837,"height":11}},{"id":"d3eb5985-8915-4e05-8768-a9223b14e297","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":131,"box":{"x":68,"y":604,"width":803,"height":11}},{"id":"86a7773d-b402-4c60-835a-6687d5a7b01d","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":131,"box":{"x":69,"y":619,"width":831,"height":11}},{"id":"c7c5abac-fa2f-45fd-830c-0abcb7c1c16d","block_type":"box","text":"assistance from other BlackRock pricing committees and in accordance with BlackRock’s policies and procedures","page_number":131,"box":{"x":69,"y":634,"width":811,"height":12}},{"id":"58ab840c-9f01-42ab-ab1b-77052a764469","block_type":"box","text":"(the “Valuation Procedures”). When determining a “fair value price,” the 2a-5 Committee seeks to determine the","page_number":131,"box":{"x":69,"y":649,"width":802,"height":12}},{"id":"3cccf929-fb1c-4ceb-88e0-3af30ec28083","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":131,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"93d74ba4-c5ff-4dbb-beef-dc0238ffbcb5","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":131,"box":{"x":68,"y":680,"width":832,"height":11}},{"id":"abe62803-37bd-44e5-bead-9e421380f6c8","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":131,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"ea14246c-cd6c-4d37-a923-42aea52d0f02","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":131,"box":{"x":68,"y":710,"width":829,"height":11}},{"id":"58b6e2d1-57b1-4103-951c-b40be9297de3","block_type":"box","text":"based on analytical values determined by BlackRock using proprietary or third par ty valuation models, fair value","page_number":131,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"7ca577d7-2f7f-424b-a599-c057f695b6ae","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":131,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"93f17348-3d16-4dac-9e55-2811bb8b31ae","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":131,"box":{"x":70,"y":755,"width":800,"height":11}},{"id":"933d487a-052f-49d4-aeff-744e08bbb5c5","block_type":"box","text":"period in which the par ticular fair values were used in determining a Fund’s NAV. As a result, a Fund’s sale or","page_number":131,"box":{"x":70,"y":770,"width":779,"height":12}},{"id":"f9623df5-f0e9-48ef-9b67-c6fee276ca4c","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":131,"box":{"x":69,"y":785,"width":834,"height":12}},{"id":"bdcc3f4a-6ece-4ecc-8406-acd1e35c073e","block_type":"box","text":"may have the effect of diluting or increasing the economic interest of existing shareholders and may affect the","page_number":131,"box":{"x":69,"y":801,"width":788,"height":11}},{"id":"f1c5427f-c223-4932-a6d0-2296457d883a","block_type":"box","text":"amount of revenue received by BlackRock with respect to services for which it receives an asset-based fee.","page_number":131,"box":{"x":69,"y":816,"width":765,"height":11}},{"id":"be07cacf-43dd-4518-9091-7225c455e671","block_type":"box","text":"To the extent permitted by applicable law, a Fund may invest all or some of its shor t term cash investments in","page_number":131,"box":{"x":101,"y":838,"width":784,"height":11}},{"id":"bee9ce52-e0e3-45db-af54-a0b46c8381ef","block_type":"box","text":"any money market fund or similarly-managed private fund advised or managed by BlackRock. In connection with any","page_number":131,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"c86c11db-8842-4b20-978f-8f7894e974f8","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":131,"box":{"x":69,"y":869,"width":833,"height":11}},{"id":"ab36bde9-c681-45a2-9003-681e852d4ae7","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":131,"box":{"x":69,"y":884,"width":822,"height":11}},{"id":"1e4a5c3a-8568-487d-bca1-be21cf6b1b14","block_type":"box","text":"some additional expenses.","page_number":131,"box":{"x":69,"y":899,"width":190,"height":11}},{"id":"d3278f62-b491-4169-baa3-df6857b95bd3","block_type":"box","text":"II-94","page_number":131,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"19d94b4f-aa8b-47d8-a661-f3b342a53c84","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":131,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1576df1d-ccea-4277-af12-91aad31ff0c9","block_type":"box","text":"BlackRock and its directors, officers and employees, may buy and sell securities or other investments for their","page_number":132,"box":{"x":102,"y":45,"width":787,"height":11}},{"id":"9fcb14c3-0180-4514-99e9-6c30f180c251","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":132,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"3a8692ad-fc34-4c4c-b34e-30a697fdaa8d","block_type":"box","text":"differing trading and investment strategies or constraints, positions may be taken by directors, officers and","page_number":132,"box":{"x":69,"y":75,"width":764,"height":11}},{"id":"7ed9c9ff-cb9e-4860-904f-bcab2d09673c","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":132,"box":{"x":69,"y":90,"width":809,"height":11}},{"id":"a08c3860-6822-4c8c-995d-ca3ad8852477","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":132,"box":{"x":70,"y":105,"width":802,"height":11}},{"id":"09560d98-b86c-4376-8700-97cd6b4d086a","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":132,"box":{"x":70,"y":120,"width":828,"height":11}},{"id":"b6469516-e2be-4285-af3e-a595caf8f04c","block_type":"box","text":"restricts securities trading in the personal accounts of investment professionals and others who normally come into","page_number":132,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"e398689a-f2ba-4a93-871d-75799547ab86","block_type":"box","text":"possession of information regarding the Fund’s por tfolio transactions. Each Code of Ethics is also available on the","page_number":132,"box":{"x":70,"y":150,"width":816,"height":12}},{"id":"75f1a87c-45f0-4157-9ab0-2d2b62295f11","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":132,"box":{"x":70,"y":166,"width":836,"height":11}},{"id":"2ba0da12-e958-4363-9e67-82a2e3408d18","block_type":"box","text":"a duplicating fee, by e-mail at publicinfo@sec.gov.","page_number":132,"box":{"x":69,"y":181,"width":352,"height":11}},{"id":"387c505c-fbbe-4443-90f7-2060828f0f96","block_type":"box","text":"BlackRock will not purchase securities or other proper ty from, or sell securities or other proper ty to, a Fund,","page_number":132,"box":{"x":102,"y":203,"width":768,"height":12}},{"id":"38e14ac0-d743-44a4-911b-ac9a0f346342","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":132,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"66711a0f-5ce9-4aa0-8ed2-ad6f8307b67c","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":132,"box":{"x":68,"y":234,"width":839,"height":10}},{"id":"56aca6a4-448d-4d62-b3d2-8501e48b78c0","block_type":"box","text":"or investment advisers or pursuant to exemptive orders granted to the Funds and/or BlackRock by the Commission.","page_number":132,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"54524ea8-f763-4a6c-8a15-c0d891a08e9e","block_type":"box","text":"These transactions would be effected in circumstances in which BlackRock determined that it would be appropriate","page_number":132,"box":{"x":68,"y":264,"width":824,"height":11}},{"id":"3b0776de-4796-4f4c-a2a0-57eb2a111aa6","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":132,"box":{"x":68,"y":279,"width":826,"height":11}},{"id":"4a0d5a38-7621-49dc-9eca-6838ad647a7f","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":132,"box":{"x":68,"y":294,"width":810,"height":11}},{"id":"66a300ae-155e-482f-8cd9-d091a6808e31","block_type":"box","text":"restricted because of regulatory requirements applicable to BlackRock and/or BlackRock’s internal policies designed","page_number":132,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"5facf0ae-114a-40f1-aca2-fc7b95c2ee36","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":132,"box":{"x":68,"y":324,"width":782,"height":11}},{"id":"a92b502d-ce44-41ed-8f4b-b61a2a787330","block_type":"box","text":"BlackRock would not be subject to some of those considerations. There may be periods when BlackRock may not","page_number":132,"box":{"x":70,"y":339,"width":807,"height":12}},{"id":"663a5e7f-de84-4c42-9350-729e162f8920","block_type":"box","text":"initiate or recommend cer tain types of transactions, or may otherwise restrict or limit its advice regarding cer tain","page_number":132,"box":{"x":70,"y":355,"width":804,"height":11}},{"id":"292d0865-9c6a-4f01-a907-d42f15bd2327","block_type":"box","text":"securities or instruments issued by or related to companies for which BlackRock is per forming advisory or other","page_number":132,"box":{"x":69,"y":370,"width":799,"height":11}},{"id":"17d303ec-92ac-462d-a6eb-8fe8f3e28a50","block_type":"box","text":"services or has proprietary positions. For example, when BlackRock is engaged to provide advisory or risk","page_number":132,"box":{"x":69,"y":385,"width":755,"height":11}},{"id":"8d0d2fd3-0083-48db-8082-2bbdc2ae8e33","block_type":"box","text":"management services for a company, BlackRock may be prohibited from or limited in purchasing or selling securities","page_number":132,"box":{"x":69,"y":400,"width":831,"height":11}},{"id":"e09f05cf-1a4d-44ea-801b-360d7240b971","block_type":"box","text":"of that company on behalf of a Fund, par ticularly where such services result in BlackRock obtaining material non","page_number":132,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"4f87aa64-9514-4046-8f58-f76f41105225","block_type":"box","text":"public information about the company (","page_number":132,"box":{"x":70,"y":430,"width":276,"height":11}},{"id":"a57ab9da-9843-45cf-b415-df7f34990a71","block_type":"box","text":"e.g.","page_number":132,"box":{"x":348,"y":432,"width":25,"height":9}},{"id":"c2b07af0-44dc-4104-8626-6aff8605086e","block_type":"box","text":", in connection with par ticipation in a creditors’ committee). Moreover,","page_number":132,"box":{"x":376,"y":430,"width":499,"height":11}},{"id":"5c764198-94a5-4943-9eba-4f475d2cf5ef","block_type":"box","text":"applicable provisions of the Investment Company Act or other regulatory considerations may restrict a Fund or","page_number":132,"box":{"x":69,"y":445,"width":784,"height":12}},{"id":"7621a8bf-f5be-4125-a0d4-b56055148602","block_type":"box","text":"BlackRock from effecting cer tain por tfolio transactions or taking other actions in respect of an investment on behalf","page_number":132,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"189bf4dc-af34-437f-9a66-23feb5d6f8e0","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":132,"box":{"x":69,"y":475,"width":830,"height":12}},{"id":"85812f80-0b1e-447b-92a5-1eec765fc91b","block_type":"box","text":"the investment. Similar situations could arise if personnel of BlackRock serve as directors of companies the","page_number":132,"box":{"x":68,"y":491,"width":773,"height":11}},{"id":"86044f22-748e-44a9-97aa-b84bcdd54151","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":132,"box":{"x":69,"y":506,"width":832,"height":11}},{"id":"acb68fdb-cef7-475e-bcde-4d043c7f57b7","block_type":"box","text":"with BlackRock’s policies and procedures (including the necessary implementation of appropriate information","page_number":132,"box":{"x":68,"y":521,"width":781,"height":11}},{"id":"dc3271b1-0746-4cdd-b064-a9144b1dfd4c","block_type":"box","text":"barriers), the Funds may purchase securities or instruments that are issued by such companies, are the subject of","page_number":132,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"eed6057a-4740-4d5b-9c3e-36090944aa16","block_type":"box","text":"an advisory or risk management assignment by BlackRock, or where personnel of BlackRock are directors or officers","page_number":132,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"37306ac7-b14d-4ed4-95d5-1522aa85d476","block_type":"box","text":"of the issuer.","page_number":132,"box":{"x":69,"y":566,"width":92,"height":9}},{"id":"c7aa193a-1ac4-4c50-a6c2-173e414b24ae","block_type":"box","text":"BlackRock has adopted and implemented policies and procedures that are designed to address potential","page_number":132,"box":{"x":102,"y":589,"width":748,"height":11}},{"id":"3e29e998-3ed1-4408-9b6c-d53ff888dc34","block_type":"box","text":"conflicts that arise in connection with the advisory services BlackRock provides to Funds and other clients. Cer tain","page_number":132,"box":{"x":69,"y":604,"width":819,"height":11}},{"id":"4a63d793-8d40-449d-b16e-6683ac1cfba4","block_type":"box","text":"BlackRock advisory personnel may take views, and make decisions or recommendations, that are different than or","page_number":132,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"1300b838-7710-4e82-a50f-80c2123df9a2","block_type":"box","text":"opposite those of other BlackRock advisory personnel. Cer tain por tfolio management teams within BlackRock may","page_number":132,"box":{"x":69,"y":634,"width":818,"height":12}},{"id":"2618ab1d-40a9-4b83-9e8e-717b0ffe50d5","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":132,"box":{"x":69,"y":649,"width":827,"height":12}},{"id":"ae44a856-42ef-4e96-ba4c-fddce85b339b","block_type":"box","text":"or adverse to the decisions made or the actions taken (or not taken) by the Funds’ por tfolio management teams. The","page_number":132,"box":{"x":69,"y":664,"width":835,"height":12}},{"id":"747674a6-2621-4a53-984b-8434374c3ef9","block_type":"box","text":"various por tfolio management teams may not share information with each other, including as a result of cer tain","page_number":132,"box":{"x":68,"y":680,"width":797,"height":11}},{"id":"82725382-ac8c-4532-82b9-f54e1d3a479c","block_type":"box","text":"information barriers and other policies, and will not have any obligation or other duty to do so.","page_number":132,"box":{"x":70,"y":695,"width":667,"height":11}},{"id":"b3988e3f-fc45-4ba8-9a83-bb29126b59ab","block_type":"box","text":"BlackRock has established cer tain information barriers and other policies to address the sharing of information","page_number":132,"box":{"x":102,"y":717,"width":794,"height":12}},{"id":"34a84e76-59af-4a01-90e1-c8d07528cf28","block_type":"box","text":"between different businesses within BlackRock, including with respect to personnel responsible with managing","page_number":132,"box":{"x":69,"y":732,"width":791,"height":12}},{"id":"363c6e10-4a36-4a2b-a01d-02923f347b76","block_type":"box","text":"por tfolios and voting proxies with respect to cer tain index equity por tfolios versus those responsible for managing","page_number":132,"box":{"x":70,"y":748,"width":812,"height":11}},{"id":"428eb042-8f9b-4a98-b716-90786d12f1c8","block_type":"box","text":"por tfolios and voting proxies with respect to all other por tfolios. As a result of information barriers, cer tain units of","page_number":132,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"7c833f9c-7e31-4e93-99a5-e70250ce19f9","block_type":"box","text":"BlackRock generally will not have access, or will have limited access, to cer tain information and personnel, including","page_number":132,"box":{"x":70,"y":778,"width":830,"height":11}},{"id":"51243fe4-ea54-4026-ac98-010b9f7a4589","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":132,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"661da601-10be-4aa9-a341-2065c81576df","block_type":"box","text":"possessed by such other units. Therefore, BlackRock may not be able to review potential investments for the Funds","page_number":132,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"18830cff-00b3-486d-9e5a-02051e996ce8","block_type":"box","text":"with the benefit of information held by cer tain areas of BlackRock.","page_number":132,"box":{"x":68,"y":823,"width":472,"height":11}},{"id":"5fa45ceb-80f7-4e9b-8d58-81ea363a47fe","block_type":"box","text":"BlackRock may determine to move cer tain personnel, businesses, or business units from one side of an","page_number":132,"box":{"x":102,"y":846,"width":744,"height":11}},{"id":"b72ca577-8a4d-453f-bfbf-d3fde2d83ff3","block_type":"box","text":"information barrier to the other side of the information barrier. In connection therewith, BlackRock personnel,","page_number":132,"box":{"x":70,"y":861,"width":775,"height":11}},{"id":"bbb5dd92-e42f-4ac9-aba4-e25f54dd664a","block_type":"box","text":"businesses, and business units that were moved will no longer have access to the information and personnel from","page_number":132,"box":{"x":69,"y":876,"width":818,"height":11}},{"id":"7429e2d6-8263-4041-a77b-b63dbecea507","block_type":"box","text":"the side of the information barrier from which they were moved. Information obtained in connection with such","page_number":132,"box":{"x":68,"y":891,"width":779,"height":11}},{"id":"f9166cf3-fb35-4488-9c5e-3e309c0a97c8","block_type":"box","text":"changes to information barriers may limit or restrict the ability of BlackRock to engage in or otherwise effect","page_number":132,"box":{"x":69,"y":906,"width":771,"height":12}},{"id":"fe0fbf74-13be-408f-9d57-c2b7fab9f4b7","block_type":"box","text":"II-95","page_number":132,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"55d0adc2-4d1c-4b6c-877a-a428a31b6e26","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":132,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"480b65b7-927f-46e0-ae57-e038a3ad0b85","block_type":"box","text":"transactions on behalf of the Funds (including purchasing or selling securities that BlackRock may otherwise have","page_number":133,"box":{"x":68,"y":45,"width":812,"height":11}},{"id":"0273deea-fe8e-4230-b231-0d2ba1e3f503","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":133,"box":{"x":70,"y":60,"width":803,"height":11}},{"id":"cb925410-db70-4ed5-b921-daef82d54d9d","block_type":"box","text":"have their intended impact due to, for example, changes in applicable law or inadver tent crossings of the barriers,","page_number":133,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"4377e225-0310-4335-b887-3a11403820a2","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":133,"box":{"x":69,"y":90,"width":829,"height":11}},{"id":"4462b9e8-cf73-4817-a445-440e0f1df4f2","block_type":"box","text":"a barrier.","page_number":133,"box":{"x":69,"y":105,"width":62,"height":9}},{"id":"d7b86c05-a48f-475c-83c1-bde0a0ccbdc1","block_type":"box","text":"Although the information barriers are intended to allow for independent por tfolio management decision-making","page_number":133,"box":{"x":101,"y":128,"width":788,"height":11}},{"id":"e9c4971e-5c83-413c-a95e-babc7b56dc2c","block_type":"box","text":"and proxy voting among cer tain BlackRock businesses, the investment activities of BlackRock for BlackRock clients,","page_number":133,"box":{"x":69,"y":143,"width":827,"height":11}},{"id":"53f3ea61-cd0d-4a12-ac02-b75a5ff9fbdb","block_type":"box","text":"as well as BlackRock’s proprietary accounts, may nonetheless limit the investment strategies and rights of other","page_number":133,"box":{"x":69,"y":158,"width":805,"height":11}},{"id":"074c2992-58bb-411e-979b-7f86c3cc9bf2","block_type":"box","text":"clients (including the Fund). As BlackRock’s assets under management increases, BlackRock clients may face greater","page_number":133,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"af56f385-20c4-4837-a247-8eb640ae13f2","block_type":"box","text":"negative impacts due to ownership restrictions and limitations imposed by laws, regulations, rules, regulators, or","page_number":133,"box":{"x":69,"y":188,"width":806,"height":12}},{"id":"f29f9e9e-e2e0-4823-9be3-4bf34f296abe","block_type":"box","text":"issuers. For example, in cer tain circumstances where a BlackRock client invests in securities issued by companies","page_number":133,"box":{"x":70,"y":204,"width":818,"height":11}},{"id":"994b3a1d-163c-4715-a6ba-fb1c0e4daeda","block_type":"box","text":"that operate in cer tain industries (","page_number":133,"box":{"x":68,"y":219,"width":244,"height":11}},{"id":"764e8f09-2f7d-4b26-b0b7-7e9671894072","block_type":"box","text":"e.g.","page_number":133,"box":{"x":314,"y":220,"width":25,"height":10}},{"id":"63950a7f-f999-4487-bfcc-db37e8ecb506","block_type":"box","text":", banking, insurance, and utilities) or in cer tain emerging or international","page_number":133,"box":{"x":342,"y":219,"width":515,"height":11}},{"id":"a9eccf85-405a-49f0-b858-f3a6133b101b","block_type":"box","text":"markets, or are subject to regulatory or corporate ownership restrictions (","page_number":133,"box":{"x":69,"y":234,"width":523,"height":11}},{"id":"9ce87c0a-5e6d-427f-99bd-1ee8ab4f2399","block_type":"box","text":"e.g.","page_number":133,"box":{"x":594,"y":235,"width":25,"height":10}},{"id":"b2124c04-5f72-42b3-bafb-bbbbd394d1c8","block_type":"box","text":", with mechanisms such as poison pills","page_number":133,"box":{"x":621,"y":234,"width":280,"height":11}},{"id":"a5be9cd8-1b9c-4895-879f-0a7cc873e36c","block_type":"box","text":"in place to prevent takeovers), or where a BlackRock client invests in cer tain futures and derivatives, there may be","page_number":133,"box":{"x":70,"y":249,"width":816,"height":11}},{"id":"101b33ff-0ffe-43eb-9953-f914f206ebbd","block_type":"box","text":"limits on the aggregate amount invested by BlackRock for its clients and BlackRock’s proprietary accounts that may","page_number":133,"box":{"x":70,"y":264,"width":825,"height":11}},{"id":"702d128e-58f3-467b-b201-77f7a17888f7","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":133,"box":{"x":69,"y":279,"width":837,"height":11}},{"id":"b963426c-690e-4fb4-b410-b1a791a3cf75","block_type":"box","text":"or non-disapproval or, if exceeded, may cause BlackRock or its clients to be subject to enforcement actions,","page_number":133,"box":{"x":69,"y":294,"width":769,"height":11}},{"id":"27054255-61bf-43ed-a012-c06999a41f0c","block_type":"box","text":"disgorgement of share ownership or profits, regulatory restrictions, complex compliance repor ting, increased","page_number":133,"box":{"x":69,"y":309,"width":775,"height":11}},{"id":"27cbd399-cf5c-446a-8636-e473b7b0244a","block_type":"box","text":"compliance costs or suffer disadvantages or business restrictions. In light of cer tain restrictions, BlackRock may also","page_number":133,"box":{"x":69,"y":324,"width":839,"height":12}},{"id":"3a449f5a-83d8-4c32-9aba-2fa42795dc67","block_type":"box","text":"seek to make indirect investments (","page_number":133,"box":{"x":69,"y":340,"width":255,"height":10}},{"id":"1a7a94fc-3405-484d-bd9a-402f74574a50","block_type":"box","text":"e.g.","page_number":133,"box":{"x":326,"y":341,"width":24,"height":10}},{"id":"ac0caafb-a6df-4044-8e70-8815c156fb52","block_type":"box","text":", using derivatives) on behalf of its clients to receive exposure to cer tain","page_number":133,"box":{"x":353,"y":339,"width":514,"height":12}},{"id":"6b9849d2-d571-44f5-9971-29890bba4a1b","block_type":"box","text":"securities in excess of the applicable ownership restrictions and limitations when legally permitted that will expose","page_number":133,"box":{"x":69,"y":355,"width":817,"height":11}},{"id":"a1290627-6126-4903-b7c8-31751e84476a","block_type":"box","text":"such clients to additional costs and additional risks, including any risks associated with investing in derivatives.","page_number":133,"box":{"x":69,"y":370,"width":795,"height":11}},{"id":"80f69105-36a8-4ce6-812e-5ac3a14f36fe","block_type":"box","text":"There may be limited availability of derivatives that provide indirect exposure to an impacted security. BlackRock","page_number":133,"box":{"x":68,"y":385,"width":799,"height":11}},{"id":"cf61ee80-a140-4532-869b-9da051f08b31","block_type":"box","text":"clients can be subject to more than one ownership limitation depending on each client’s holdings, and each","page_number":133,"box":{"x":69,"y":400,"width":767,"height":11}},{"id":"1853005e-ee5a-4913-85dc-3b270469c4d0","block_type":"box","text":"ownership limitation can impact multiple securities held by the client. Cer tain clients or shareholders may have their","page_number":133,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"0abe105b-af42-41c9-b1ff-bc38423a3ee8","block_type":"box","text":"own overlapping obligations to monitor their compliance with ownership limitations across their investments.","page_number":133,"box":{"x":69,"y":430,"width":772,"height":11}},{"id":"68f7bb6b-5d70-4549-a921-007b0c1589af","block_type":"box","text":"If cer tain aggregate ownership thresholds are reached either through the actions of BlackRock or a BlackRock","page_number":133,"box":{"x":102,"y":453,"width":783,"height":11}},{"id":"abe75a44-f3dc-4fe7-ae2a-ffc2f3ab2b21","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":133,"box":{"x":69,"y":468,"width":808,"height":11}},{"id":"c0a4279e-1ac5-4a23-89be-42cd1c2b012b","block_type":"box","text":"dispose of investments, or exercise rights (including voting) or under take business transactions, may be restricted by","page_number":133,"box":{"x":69,"y":483,"width":837,"height":11}},{"id":"584c2491-75af-41d6-98ee-72f0394ab193","block_type":"box","text":"law, regulation, rule, or organizational documents or otherwise impaired. For example, to meet the requirements of","page_number":133,"box":{"x":70,"y":498,"width":818,"height":11}},{"id":"ee2340c6-a580-42c6-905f-7c3c94f010b4","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":133,"box":{"x":69,"y":514,"width":821,"height":10}},{"id":"af485b41-9a68-40d7-b878-589a02d02db3","block_type":"box","text":"otherwise purchase or hold. The limitation or restriction may be based on the holdings of other BlackRock clients","page_number":133,"box":{"x":69,"y":528,"width":806,"height":12}},{"id":"ccbcae1d-25e7-4f02-b395-608819d4fa60","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":133,"box":{"x":70,"y":543,"width":839,"height":12}},{"id":"7f03b0da-8942-4ff5-a36f-1a18e6149879","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":133,"box":{"x":69,"y":559,"width":826,"height":11}},{"id":"132475ce-8a71-49c6-aca7-ef2cb346971b","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":133,"box":{"x":69,"y":574,"width":807,"height":11}},{"id":"960c8c69-85cc-4352-955e-9211948310b0","block_type":"box","text":"existing investments, utilize indirect investments, utilize information barriers, or otherwise restrict, forgo, or limit the","page_number":133,"box":{"x":69,"y":589,"width":830,"height":11}},{"id":"f01b0474-8700-41c3-9c22-07b16757a98e","block_type":"box","text":"exercise of rights (including transferring, outsourcing, or limiting voting rights or forgoing the right to receive","page_number":133,"box":{"x":69,"y":604,"width":765,"height":11}},{"id":"b7842529-80c7-4b5e-824f-78f6f60ccc51","block_type":"box","text":"dividends) when BlackRock, in its sole discretion, deems it appropriate in light of potential regulatory or other","page_number":133,"box":{"x":69,"y":619,"width":781,"height":11}},{"id":"68f4f015-16e3-4c03-9125-380275235e2e","block_type":"box","text":"restrictions on ownership or other consequences resulting from reaching investment thresholds. These types of","page_number":133,"box":{"x":69,"y":634,"width":796,"height":12}},{"id":"029d0371-309a-4bd0-b717-1a3436a19c2a","block_type":"box","text":"restrictions could negatively impact a client’s per formance or ability to meet its investment objective.","page_number":133,"box":{"x":69,"y":649,"width":720,"height":12}},{"id":"11c569ce-ab76-432b-bf91-a2e4601006df","block_type":"box","text":"When BlackRock or a BlackRock client is subject to an ownership limitation, BlackRock may in its discretion seek","page_number":133,"box":{"x":101,"y":672,"width":807,"height":11}},{"id":"5b5fc79f-e802-42f7-9812-9e5cec205162","block_type":"box","text":"permission from the applicable issuers or regulators to exceed the limitation. However, there is no guarantee that","page_number":133,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"9db69cdc-98c7-443f-b6d8-a5efc196f8fc","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":133,"box":{"x":70,"y":702,"width":829,"height":12}},{"id":"e4e99ed6-f361-45fa-b454-23ae71fdd4c3","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":133,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"df05968f-3cb5-40cd-aa0a-7952fb46efa9","block_type":"box","text":"from taking cer tain actions in connection with the approval, order, consent, relief or non-disapproval, which BlackRock","page_number":133,"box":{"x":68,"y":732,"width":841,"height":12}},{"id":"862e3d38-9177-4ca4-b906-1fc12ddec083","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":133,"box":{"x":69,"y":748,"width":770,"height":11}},{"id":"86d98e86-6cef-44df-9a87-1859f492dafa","block_type":"box","text":"otherwise would take. In those circumstances where ownership thresholds or limitations must be observed,","page_number":133,"box":{"x":69,"y":763,"width":769,"height":11}},{"id":"97f5b535-ed31-4208-a5a0-ec883be377cd","block_type":"box","text":"BlackRock seeks to allocate limited investment oppor tunities equitably among clients, taking into consideration","page_number":133,"box":{"x":70,"y":778,"width":794,"height":11}},{"id":"05f609df-6eea-4fb0-9ee0-b125827bfd8e","block_type":"box","text":"benchmark weight and investment strategy. BlackRock may adopt cer tain controls designed to prevent the","page_number":133,"box":{"x":69,"y":793,"width":757,"height":11}},{"id":"6ca347ed-b7bb-46a0-ac3a-a2b97687bf91","block_type":"box","text":"occurrence of a breach of any applicable ownership threshold or limits, including, for example, when ownership in","page_number":133,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"f4db6a47-927a-4710-8481-83f99253fc75","block_type":"box","text":"cer tain securities nears an applicable threshold, BlackRock may limit additional purchases in such securities or, with","page_number":133,"box":{"x":69,"y":823,"width":833,"height":11}},{"id":"027d9f7a-e6f7-49c8-bfe2-e656a39b51d7","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":133,"box":{"x":69,"y":838,"width":827,"height":11}},{"id":"d1b66c23-bf94-4a03-9bf0-4c37f64d3219","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":133,"box":{"x":68,"y":853,"width":803,"height":12}},{"id":"51574a30-f3c9-4655-84d3-5b9df9e0d2c0","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":133,"box":{"x":70,"y":869,"width":802,"height":11}},{"id":"503b9116-a70a-438b-895f-ea11abbba39f","block_type":"box","text":"reduce these positions to meet the applicable limitations and BlackRock or such client may be subject to regulatory","page_number":133,"box":{"x":69,"y":884,"width":826,"height":11}},{"id":"a3cc57fe-7f6a-4d17-9190-864c9b07286a","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":133,"box":{"x":69,"y":899,"width":834,"height":11}},{"id":"1da3d52e-1540-4203-b1e2-187bb8d89bb0","block_type":"box","text":"II-96","page_number":133,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c487f7b1-90c2-4122-af44-039fa8d2217f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":133,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3a8e8263-362d-44a9-b696-7649afb1c123","block_type":"box","text":"Ownership limitations are highly complex. It is possible that, despite BlackRock’s intent to either comply with or","page_number":134,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"2734e4d7-9a65-465f-bf93-3a4a1f30a99c","block_type":"box","text":"be granted permission to exceed ownership limitations, it may inadver tently breach a limit or violate the corporate or","page_number":134,"box":{"x":69,"y":60,"width":831,"height":11}},{"id":"68c85afb-8ac2-4b95-b477-4ed4bd7df115","block_type":"box","text":"regulatory approval, order, consent, relief or non-disapproval that was obtained.","page_number":134,"box":{"x":69,"y":75,"width":566,"height":11}},{"id":"d18a5b66-95e1-4572-92e2-574e76dbb928","block_type":"box","text":"In addition to the foregoing, other ownership thresholds may trigger repor ting requirements to governmental and","page_number":134,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"1469101a-45d8-43b9-b986-064a175c5105","block_type":"box","text":"regulatory authorities, and such repor ts may entail the disclosure of the identity of a client or BlackRock’s intended","page_number":134,"box":{"x":69,"y":113,"width":823,"height":11}},{"id":"38ff303e-255c-4cfb-8d94-8396085aa50f","block_type":"box","text":"strategy with respect to such security or asset.","page_number":134,"box":{"x":69,"y":128,"width":333,"height":11}},{"id":"6dc8ab32-fdc3-4726-b745-9e8ec6c2f3e1","block_type":"box","text":"BlackRock may maintain securities indices. To the extent permitted by applicable laws, the Funds may seek to","page_number":134,"box":{"x":102,"y":151,"width":785,"height":11}},{"id":"d23902f9-2da4-4550-ae10-fe9b3b19ee6c","block_type":"box","text":"license and use such indices as par t of their investment strategy. Index based funds that seek to track the","page_number":134,"box":{"x":70,"y":166,"width":760,"height":11}},{"id":"c7b49d87-b537-4164-8182-67a1a4fb5fc3","block_type":"box","text":"per formance of securities indices also may use the name of the index or index provider in the fund name. Index","page_number":134,"box":{"x":70,"y":181,"width":796,"height":11}},{"id":"1c350bd5-cf80-4bba-91f1-5aadf299fe66","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":134,"box":{"x":70,"y":196,"width":830,"height":11}},{"id":"dd70e9fd-00e4-4889-ae5d-3de3d0c23c8e","block_type":"box","text":"index or index name. In instances where BlackRock charges a unitary management fee, BlackRock may have a","page_number":134,"box":{"x":70,"y":211,"width":788,"height":11}},{"id":"3fc6f117-a09a-4b0b-b6aa-20553e5c0d08","block_type":"box","text":"financial incentive to use a BlackRock index that is less costly to BlackRock than a third par ty index. BlackRock may","page_number":134,"box":{"x":68,"y":226,"width":829,"height":11}},{"id":"afadbffe-69ec-4095-b2fe-43884ada9548","block_type":"box","text":"benefit from the Funds using BlackRock indices by creating increasing acceptance in the marketplace for such","page_number":134,"box":{"x":69,"y":241,"width":784,"height":11}},{"id":"02b630e0-ed6d-4b4a-be9b-423ea36fc822","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":134,"box":{"x":70,"y":257,"width":797,"height":11}},{"id":"7e5ce941-b16c-46fb-b683-84bf9333c87b","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":134,"box":{"x":70,"y":271,"width":837,"height":12}},{"id":"e175a03a-5c93-4048-b7f0-687a24f4f879","block_type":"box","text":"index licensing agreement with BlackRock will be as favorable as those terms offered to other licensees.","page_number":134,"box":{"x":70,"y":286,"width":746,"height":12}},{"id":"29ab21d5-9299-4c4c-88e9-5cf3815eaf78","block_type":"box","text":"BlackRock may enter into contractual arrangements with third-par ty service providers to a Fund (","page_number":134,"box":{"x":102,"y":309,"width":686,"height":11}},{"id":"75ead5e9-9976-44c2-9911-f8454cdd2cee","block_type":"box","text":"e.g.","page_number":134,"box":{"x":790,"y":311,"width":25,"height":9}},{"id":"ebf08bb9-b02e-45f6-ab20-913c2ebd38a7","block_type":"box","text":", custodians,","page_number":134,"box":{"x":817,"y":309,"width":90,"height":11}},{"id":"0b859c1d-d50a-4723-a68b-00b2017271ed","block_type":"box","text":"administrators and index providers) pursuant to which BlackRock receives fee discounts or concessions in","page_number":134,"box":{"x":69,"y":324,"width":756,"height":11}},{"id":"59c30401-ad7e-4e75-9fe2-4be5123e4e9d","block_type":"box","text":"recognition of BlackRock’s overall relationship with such service providers. BlackRock may also enter into contractual","page_number":134,"box":{"x":69,"y":339,"width":836,"height":12}},{"id":"aa1d6d71-1c1c-4c59-a56e-c9310bfe3c4b","block_type":"box","text":"arrangements with such service providers pursuant to which BlackRock incurs additional costs if the service","page_number":134,"box":{"x":69,"y":355,"width":772,"height":11}},{"id":"b360efa2-9a37-41cb-918a-64884d01de59","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":134,"box":{"x":70,"y":370,"width":800,"height":11}},{"id":"a765c468-e339-44eb-8209-3e11f044bd67","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":134,"box":{"x":69,"y":385,"width":771,"height":11}},{"id":"741122d8-6fdc-4249-9555-a6fa8eb153eb","block_type":"box","text":"discounts or concessions, or any additional savings, may accrue, in whole or in par t, to BlackRock, which could result","page_number":134,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"5412dd3f-c058-4f39-88e8-5ff6e7f49632","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":134,"box":{"x":70,"y":415,"width":785,"height":11}},{"id":"5c1d27b6-b9c1-4049-b29b-7e15eb4f8438","block_type":"box","text":"interest may arise with respect to contractual arrangements with third-par ty service providers to a Fund, or the","page_number":134,"box":{"x":70,"y":430,"width":786,"height":11}},{"id":"15046cad-3fa9-4e98-856d-20ba0bf2b95b","block_type":"box","text":"selection of such providers, par ticularly in circumstances where BlackRock is negotiating on behalf of both funds that","page_number":134,"box":{"x":69,"y":445,"width":837,"height":12}},{"id":"78797cb9-4a52-403e-9a32-4b6cd32d6509","block_type":"box","text":"have a unitary management fee and those that do not or different service providers have different fee structures.","page_number":134,"box":{"x":69,"y":460,"width":809,"height":12}},{"id":"816d0662-6060-4531-a0fd-b446c88402c3","block_type":"box","text":"Conflicts of interest may arise as a result of simultaneous investment management of multiple client accounts","page_number":134,"box":{"x":102,"y":483,"width":788,"height":11}},{"id":"46d40a26-9a83-4cbe-8424-ec023adb735a","block_type":"box","text":"by BlackRock’s investment professionals. For example, differences in the advisory fee structure may create the","page_number":134,"box":{"x":69,"y":498,"width":795,"height":11}},{"id":"d5c884f9-dc4f-4842-8241-61f0cf263679","block_type":"box","text":"appearance of actual or potential conflicts of interest because such differences could create pecuniary incentives for","page_number":134,"box":{"x":69,"y":513,"width":835,"height":11}},{"id":"c677935e-7b86-4649-90f5-15dc0fa76885","block_type":"box","text":"BlackRock to favor one client account over another.","page_number":134,"box":{"x":70,"y":528,"width":363,"height":9}},{"id":"ea13cd45-b74c-405e-8367-6eb83b7fd04e","block_type":"box","text":"BlackRock owns or has an ownership interest in cer tain trading, por tfolio management, operations and/or","page_number":134,"box":{"x":102,"y":551,"width":757,"height":11}},{"id":"39e82f70-16f4-4a50-bccd-9a3b8b093f63","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":134,"box":{"x":70,"y":566,"width":826,"height":11}},{"id":"f94649aa-6749-42d1-a8e7-7ffb245a05a5","block_type":"box","text":"in connection with the provision of services to accounts managed by BlackRock and funds managed and sponsored","page_number":134,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"4414a4b0-4092-4fb1-92a0-139da8a908ac","block_type":"box","text":"by BlackRock, including the Funds, that engage the service provider (typically the custodian). A Fund’s service","page_number":134,"box":{"x":69,"y":597,"width":782,"height":11}},{"id":"47ee4b70-d988-48cd-8938-c2255445f93d","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":134,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"22df39dc-cf98-4985-8169-72ae058d1eb0","block_type":"box","text":"use of these systems may enhance the profitability of BlackRock.","page_number":134,"box":{"x":69,"y":627,"width":465,"height":11}},{"id":"2f9ca3ec-ea23-4186-94c3-d19a5d6bb4aa","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":134,"box":{"x":102,"y":649,"width":804,"height":12}},{"id":"a235ee7d-98c1-48b0-b6cf-c3c59150c4b6","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":134,"box":{"x":69,"y":664,"width":840,"height":12}},{"id":"49288754-0c4d-4a94-bc1d-01d5a16c89d9","block_type":"box","text":"provider.","page_number":134,"box":{"x":70,"y":680,"width":58,"height":11}},{"id":"a7e4bce1-4d73-44f4-b6bc-b87355a39f8d","block_type":"box","text":"In recognition of a BlackRock client’s overall relationship with BlackRock, BlackRock may offer special pricing","page_number":134,"box":{"x":102,"y":702,"width":778,"height":12}},{"id":"a18dcf4e-99d7-4a8c-b824-516902b67460","block_type":"box","text":"arrangements for cer tain services provided by BlackRock. Any such special pricing arrangements will not affect Fund","page_number":134,"box":{"x":69,"y":717,"width":831,"height":12}},{"id":"97ebc234-387d-4ed9-9fb7-565290a38f9d","block_type":"box","text":"fees and expenses applicable to such client’s investment in a Fund.","page_number":134,"box":{"x":68,"y":732,"width":485,"height":11}},{"id":"79f02a67-3a09-4eff-a0d1-43d690f1b91e","block_type":"box","text":"Present and future activities of BlackRock and its directors, officers and employees, in addition to those","page_number":134,"box":{"x":102,"y":755,"width":742,"height":11}},{"id":"d92eaf80-b961-4139-8f09-15336e3fb09f","block_type":"box","text":"described in this section, may give rise to additional conflicts of interest.","page_number":134,"box":{"x":69,"y":770,"width":517,"height":12}},{"id":"3b3006bd-803d-4be7-9934-8fa08fe2414b","block_type":"box","text":"PURCHASE OF SHARES","page_number":134,"box":{"x":395,"y":800,"width":188,"height":10}},{"id":"f1d5ced3-092a-448d-a46c-6b0d67d73ad7","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":134,"box":{"x":102,"y":823,"width":800,"height":11}},{"id":"252f516e-3638-4de6-bdae-aa070560a58c","block_type":"box","text":"under the Investment Company Act. Investor A Shares are sold to investors choosing the initial sales charge","page_number":134,"box":{"x":69,"y":838,"width":771,"height":11}},{"id":"3fdc2a50-4384-4c29-8f4c-1ea8db40d74a","block_type":"box","text":"alternative, except that Investor A Shares of Index Funds (defined below) and BlackRock Shor t Obligations Fund are","page_number":134,"box":{"x":69,"y":853,"width":822,"height":11}},{"id":"0aa1e534-0216-42f3-b66e-ebe731312953","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":134,"box":{"x":68,"y":868,"width":809,"height":11}},{"id":"4bd5fdf1-8b3e-4242-993e-d0394433a408","block_type":"box","text":"sales charge alternative. Investor P Shares are available only to cer tain investors purchasing shares of Funds","page_number":134,"box":{"x":69,"y":883,"width":781,"height":11}},{"id":"7f83e028-098a-4b9f-a666-1de11d92c3e3","block_type":"box","text":"through registered representatives of an insurance company’s broker-dealer that has entered into an agreement with","page_number":134,"box":{"x":68,"y":898,"width":833,"height":11}},{"id":"3c05914e-f892-4454-bc73-2be8da35944a","block_type":"box","text":"II-97","page_number":134,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"618f087c-d8d4-4596-bc9a-74da2ef1809b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":134,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c7b4c748-0214-4bdb-a24a-768de5a8f6ba","block_type":"box","text":"the Distributor to offer such shares. Institutional Shares are sold to cer tain eligible investors without a sales charge.","page_number":135,"box":{"x":68,"y":45,"width":833,"height":11}},{"id":"14f2b724-3a49-46d3-ab9e-f96f7e903d01","block_type":"box","text":"Cer tain Funds offer Class R Shares, which are available only to cer tain employer-sponsored retirement plans and are","page_number":135,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"06b148c4-d9a0-462b-8eca-bb8544b7aeef","block_type":"box","text":"sold without a sales charge. Cer tain Funds offer Class G Shares, which are available only to investors on eligible","page_number":135,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"3cb57ea4-65a6-4edd-b0f6-7cc851c25b73","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":135,"box":{"x":70,"y":90,"width":816,"height":11}},{"id":"9c141d68-4b66-4907-89c7-63ccf860c067","block_type":"box","text":"financial intermediary that meets an initial investment minimum of $2 billion. In addition, cer tain Funds offer Service","page_number":135,"box":{"x":68,"y":104,"width":835,"height":12}},{"id":"deb97beb-5402-420e-9120-82b1334a3f26","block_type":"box","text":"Shares, BlackRock Shares and/or Class K Shares that are available only to cer tain eligible investors. Please see the","page_number":135,"box":{"x":69,"y":120,"width":834,"height":12}},{"id":"7621c706-f615-42d4-a45f-bc4b877e050e","block_type":"box","text":"appropriate Prospectus for your Fund to determine which classes are offered by your Fund and under what","page_number":135,"box":{"x":69,"y":135,"width":757,"height":11}},{"id":"39d8ed3d-0e05-49a4-a41e-2e144944f5f3","block_type":"box","text":"circumstances. Each class has different exchange privileges. See “Shareholder Services — Exchange Privilege.”","page_number":135,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"376dde58-a6f5-4ca1-8a7b-fb990abe4822","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":135,"box":{"x":101,"y":173,"width":799,"height":11}},{"id":"a6746287-36b1-4970-83eb-128fa31bce11","block_type":"box","text":"the purchase order by a dealer or other financial intermediary (“Selling Dealer”) that has been authorized by the","page_number":135,"box":{"x":68,"y":188,"width":798,"height":12}},{"id":"36484943-8bcc-4c49-a66d-f226c25c5f4d","block_type":"box","text":"Distributor by contract to accept such orders. In addition, with respect to the affiliated underlying funds in which","page_number":135,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"d6510c55-8e52-48e6-a309-c6fd5ffc8afc","block_type":"box","text":"target date funds advised by BlackRock or its affiliates (“BlackRock Target Date Funds”) invest, the applicable","page_number":135,"box":{"x":68,"y":218,"width":786,"height":12}},{"id":"30b3399d-fa8a-4793-ae35-392b32a925f7","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":135,"box":{"x":69,"y":234,"width":839,"height":11}},{"id":"9c74bd9e-e6e9-47d2-bbc4-548d878926e9","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":135,"box":{"x":69,"y":249,"width":795,"height":11}},{"id":"7d074328-a294-4f58-81c3-6176cdd795bf","block_type":"box","text":"Target Date Funds that allocate a por tion of such purchase order to such affiliated underlying fund. As to purchase","page_number":135,"box":{"x":68,"y":264,"width":819,"height":11}},{"id":"230902c2-eb0c-4c9c-a0c1-b931d0508da1","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":135,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"ca489bd9-d6ed-45d4-8d8a-5ab48cd410c1","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":135,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"1a5930df-26e6-485a-88b5-847e2cb2de8f","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":135,"box":{"x":70,"y":309,"width":812,"height":11}},{"id":"50fbc372-b93c-478d-9972-8aa210b43bf2","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":135,"box":{"x":68,"y":324,"width":828,"height":11}},{"id":"ba78f634-9a32-4d5e-8bc6-3fd1564c1c8c","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":135,"box":{"x":68,"y":339,"width":788,"height":12}},{"id":"175d430e-9f06-4fa6-87cd-9ff3b84ead0d","block_type":"box","text":"deemed received on the next business day. It is the responsibility of brokers to transmit purchase orders and","page_number":135,"box":{"x":69,"y":355,"width":779,"height":11}},{"id":"80a3e991-bf3a-4e45-8e81-0d8737e3bb2e","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":135,"box":{"x":70,"y":370,"width":830,"height":11}},{"id":"fcd1693f-bb5a-4824-934d-e3faa29474b0","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":135,"box":{"x":69,"y":385,"width":828,"height":11}},{"id":"a715183d-1c30-48e5-84b0-95b8d2cfccdd","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":135,"box":{"x":68,"y":399,"width":762,"height":12}},{"id":"6dbc5fd9-b208-4dd0-9dbb-f98f78d35767","block_type":"box","text":"The minimum investment for the initial purchase of shares is set for th in the Prospectus for each Fund. The","page_number":135,"box":{"x":101,"y":423,"width":768,"height":11}},{"id":"829b73f3-14fe-413f-ad0a-1432698abf8f","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":135,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"3516049b-b6d6-46d2-a4c2-d0553adf1ada","block_type":"box","text":"affiliates is $100, unless payment is made through a payroll deduction program in which case the minimum","page_number":135,"box":{"x":69,"y":452,"width":769,"height":12}},{"id":"98b4c685-5060-4dea-a19f-607aca0a75ba","block_type":"box","text":"investment is $25.","page_number":135,"box":{"x":70,"y":467,"width":132,"height":11}},{"id":"ab5315be-e11f-43d8-96d7-ec1aaba68c59","block_type":"box","text":"Each Fund has lower investment minimums for other categories of shareholders eligible to purchase Institutional","page_number":135,"box":{"x":102,"y":491,"width":802,"height":11}},{"id":"ee2b727c-63e8-438b-9c24-2ada3f6ca756","block_type":"box","text":"Shares, including selected fee-based programs. Each Fund may permit a lower initial investment for cer tain investors","page_number":135,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"7ac80e15-233a-4efe-b9d6-4c0ccd082158","block_type":"box","text":"if their purchase, combined with purchases by other investors received together by the Fund, meets the minimum","page_number":135,"box":{"x":70,"y":521,"width":806,"height":11}},{"id":"f62a9367-4756-4352-83ac-ad7b1286ad8c","block_type":"box","text":"investment requirement. Each Fund may reject any purchase order, modify or waive the minimum initial or","page_number":135,"box":{"x":70,"y":536,"width":751,"height":11}},{"id":"cacb8e67-9d70-4419-ab54-739ed0343523","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":135,"box":{"x":69,"y":551,"width":826,"height":11}},{"id":"9fe2f79b-b12e-47bc-8b8e-07734e77d427","block_type":"box","text":"Financial intermediaries may, in connection with a change in account type or otherwise in accordance with a","page_number":135,"box":{"x":102,"y":574,"width":768,"height":11}},{"id":"34767dd2-95a9-4924-b43a-322dc4abc22c","block_type":"box","text":"financial intermediary’s policies and procedures, exchange shares of a Fund from one class of shares to another","page_number":135,"box":{"x":68,"y":589,"width":807,"height":11}},{"id":"87e94d72-9e26-4fc9-ad7e-5ccde2bc0493","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":135,"box":{"x":69,"y":604,"width":836,"height":11}},{"id":"99b7db37-444a-44b9-bbe6-7b2394f231cb","block_type":"box","text":"charge (“CDSC”) and that shareholders meet eligibility requirements of the new share class. Please speak to your","page_number":135,"box":{"x":69,"y":619,"width":814,"height":11}},{"id":"1888cc85-efdd-4ee6-9bc5-80da0620b7d7","block_type":"box","text":"financial intermediary for information about specific policies and procedures applicable to your account.","page_number":135,"box":{"x":68,"y":634,"width":740,"height":11}},{"id":"7f452970-a70a-4d2d-ac8b-03469816b50f","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":135,"box":{"x":102,"y":657,"width":795,"height":11}},{"id":"ce55aa52-56ba-4c47-9b33-54f03160d9aa","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":135,"box":{"x":70,"y":672,"width":813,"height":11}},{"id":"7040e4bf-ac1c-4a2b-a518-5f07e40796f5","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":135,"box":{"x":68,"y":687,"width":827,"height":11}},{"id":"9b2cfc04-4a6d-470b-9d33-69d2868bd26e","block_type":"box","text":"financial intermediaries are permitted to withhold placing orders to benefit themselves by a price change.","page_number":135,"box":{"x":68,"y":702,"width":750,"height":12}},{"id":"902887ef-684e-4d76-b2be-039b0af9dcc8","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":135,"box":{"x":101,"y":725,"width":776,"height":11}},{"id":"d7161698-d870-48d4-8836-b9c3c6365d87","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":135,"box":{"x":69,"y":740,"width":831,"height":11}},{"id":"807ae372-bea8-45e4-8008-a7e24ea3f977","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":135,"box":{"x":69,"y":755,"width":822,"height":11}},{"id":"c896cf8b-79d0-4f65-9770-cdd39584239d","block_type":"box","text":"single fiduciary account although more than one beneficiary may be involved. The term “purchase” also includes","page_number":135,"box":{"x":69,"y":770,"width":802,"height":12}},{"id":"f1015cbf-e9a9-4060-929f-6b31ba5533ed","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":135,"box":{"x":70,"y":785,"width":839,"height":12}},{"id":"0680997f-9cb3-4409-856e-57f53e9802d7","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":135,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"9f61d2db-5db6-4dfb-8b43-7d21b0573884","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":135,"box":{"x":68,"y":816,"width":827,"height":11}},{"id":"29d3152a-3d4f-4407-92c4-18545e73f0d3","block_type":"box","text":"group of individuals whose sole organizational nexus is that its par ticipants are credit cardholders of a company,","page_number":135,"box":{"x":68,"y":831,"width":803,"height":11}},{"id":"f60f076b-cfc4-403d-a8bc-f79255760017","block_type":"box","text":"policyholders of an insurance company, customers of either a bank or broker-dealer or clients of an investment","page_number":135,"box":{"x":70,"y":846,"width":788,"height":11}},{"id":"e0fe68f0-4403-4183-a3a7-c985b92a6faa","block_type":"box","text":"adviser.","page_number":135,"box":{"x":69,"y":861,"width":53,"height":9}},{"id":"756c0534-1cb9-41ce-aaed-4495027313cd","block_type":"box","text":"With cer tain limited exceptions, the Funds are generally available only to investors residing in the United States","page_number":135,"box":{"x":101,"y":884,"width":795,"height":11}},{"id":"41a85f9b-6627-4197-b495-550667ee9733","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":135,"box":{"x":69,"y":899,"width":821,"height":11}},{"id":"90fadff8-3a3f-4263-b800-458aedd7cb6b","block_type":"box","text":"II-98","page_number":135,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e4d2ae53-f70a-4486-beb7-c8b531c32e94","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":135,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"76c3ea2d-e8b7-4e1d-8b49-d94f7003c3c3","block_type":"box","text":"additional investments (including by way of exchange from another Fund) into existing accounts, a Fund generally","page_number":136,"box":{"x":69,"y":45,"width":803,"height":11}},{"id":"abf10887-6131-4cf9-a5f9-324ff58f9b07","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":136,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"ee13003a-0cad-4ed1-bc3c-b6d68fa53df1","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":136,"box":{"x":68,"y":75,"width":747,"height":11}},{"id":"de8f238c-d3e0-44f9-9f7d-88cef33006d1","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":136,"box":{"x":70,"y":90,"width":809,"height":11}},{"id":"3025e8f7-61e7-4159-afb3-0e1c5aab9fb0","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":136,"box":{"x":69,"y":105,"width":819,"height":11}},{"id":"4a7b0f3f-1479-4164-b7f5-f466132598f2","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":136,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"63b7f296-4844-4cf1-979a-99ce67fc60fe","block_type":"box","text":"also be restricted from making additional investments.","page_number":136,"box":{"x":69,"y":135,"width":388,"height":12}},{"id":"0019c6ea-3e6b-473d-8573-247b7408fa88","block_type":"box","text":"In-Kind Purchases","page_number":136,"box":{"x":102,"y":158,"width":127,"height":9}},{"id":"9b313c30-076d-40a9-be85-ad742d4d5199","block_type":"box","text":". Payment for shares of a Fund may, at the discretion of BlackRock, be made in the form of","page_number":136,"box":{"x":230,"y":158,"width":649,"height":11}},{"id":"775c6de6-05ff-464a-b8a7-d2062ce81ccc","block_type":"box","text":"securities that are permissible investments for the Fund and that meet the investment objective, policies and","page_number":136,"box":{"x":69,"y":173,"width":779,"height":11}},{"id":"e847df16-3bcc-4c25-8880-6edab9d10e39","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":136,"box":{"x":70,"y":188,"width":820,"height":11}},{"id":"2d0c7222-d56d-489e-901c-699549c5e6e6","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":136,"box":{"x":69,"y":203,"width":827,"height":12}},{"id":"30183578-5a7a-4dd1-b2f8-829168168871","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":136,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"dffcabab-ec6b-4558-ba74-56e5334b4407","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":136,"box":{"x":69,"y":234,"width":817,"height":11}},{"id":"3c4302ca-b48c-4fba-886a-707bf60be26c","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":136,"box":{"x":68,"y":249,"width":837,"height":11}},{"id":"84452d8f-1ccf-4acf-a070-be59578bf861","block_type":"box","text":"securities. All dividends, interest, subscription or other rights per taining to such securities shall become the proper ty","page_number":136,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"7366e9e8-4dd8-49c8-bde6-533ad12373b8","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":136,"box":{"x":69,"y":279,"width":795,"height":11}},{"id":"7e6cfa7e-c332-4d19-8639-fe472d40ae71","block_type":"box","text":"receipt from the issuer. Shares purchased in exchange for securities generally cannot be redeemed until the transfer","page_number":136,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"f1495fd3-dfae-412f-8a95-7f8c1204d689","block_type":"box","text":"has settled.","page_number":136,"box":{"x":69,"y":309,"width":83,"height":9}},{"id":"d0a948a5-4fff-4969-87a9-612c167dca40","block_type":"box","text":"Institutional Shares","page_number":136,"box":{"x":69,"y":340,"width":142,"height":8}},{"id":"b274a3c9-50ee-4703-b051-0822174b392c","block_type":"box","text":"Institutional Shares may be purchased at NAV without a sales charge. Only cer tain investors are eligible to","page_number":136,"box":{"x":102,"y":362,"width":759,"height":11}},{"id":"daace1f3-ccc9-4920-8fbf-eb4130790dab","block_type":"box","text":"purchase Institutional Shares. Investors who are eligible to purchase Institutional Shares should purchase","page_number":136,"box":{"x":70,"y":377,"width":756,"height":12}},{"id":"cf862ec6-55f6-45ef-8cf0-93a431d17c0e","block_type":"box","text":"Institutional Shares because they are not subject to any sales charge and have lower ongoing expenses than","page_number":136,"box":{"x":70,"y":392,"width":775,"height":12}},{"id":"3bedb601-a7fb-4708-a5d8-9a54e0a0dab8","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":136,"box":{"x":70,"y":407,"width":839,"height":12}},{"id":"730279b8-7c86-4856-a295-e873883c2448","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":136,"box":{"x":69,"y":423,"width":807,"height":11}},{"id":"13acf1a7-2d0c-4f8f-a795-524237e3e300","block_type":"box","text":"sale of shares of any Fund at any time.","page_number":136,"box":{"x":69,"y":438,"width":276,"height":11}},{"id":"99e7e534-d525-423d-b7a9-f7bfe5816c82","block_type":"box","text":"Eligible Institutional Share Investors.","page_number":136,"box":{"x":102,"y":460,"width":259,"height":12}},{"id":"5b095fa6-c8f5-44ee-afa7-aa81c9445f52","block_type":"box","text":"Institutional Shares of the Funds may be purchased by customers of broker","page_number":136,"box":{"x":369,"y":460,"width":540,"height":12}},{"id":"b47f905c-1580-47f1-8b8f-0a07e9d46ae2","block_type":"box","text":"dealers and agents that have established a servicing relationship with the Fund on behalf of their customers. These","page_number":136,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"f3345281-fd95-4812-9f34-faa57f14dfbb","block_type":"box","text":"broker-dealers and agents may impose additional or different conditions on the purchase or redemption of Fund","page_number":136,"box":{"x":69,"y":491,"width":796,"height":11}},{"id":"2bf7f264-68c9-414f-a319-f5edb5096a52","block_type":"box","text":"shares by their customers and may charge their customers transaction, account or other fees on the purchase and","page_number":136,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"a12af684-7604-4c37-bcc7-ab676e4f601f","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":136,"box":{"x":69,"y":521,"width":840,"height":11}},{"id":"0352c5b6-b30b-446b-bb02-8b48ab4c7aef","block_type":"box","text":"any such fees and information regarding any additional or different conditions regarding purchases and redemptions.","page_number":136,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"59bff497-a49e-4ab8-9957-90b11d348855","block_type":"box","text":"Shareholders who are customers of such broker-dealers or agents should consult them for information regarding","page_number":136,"box":{"x":69,"y":551,"width":802,"height":11}},{"id":"28b62f20-4c11-43f6-a053-d00db4e67a5e","block_type":"box","text":"these fees and conditions.","page_number":136,"box":{"x":68,"y":566,"width":189,"height":9}},{"id":"3bc1ba18-3b92-4b1b-b951-5c456e2f0da3","block_type":"box","text":"Payment for Institutional Shares must normally be made in Federal funds or other funds immediately available by","page_number":136,"box":{"x":102,"y":589,"width":805,"height":11}},{"id":"0558d080-5392-45b1-b7ec-4d22963313f6","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":136,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"8459d8bf-7f69-460e-86e6-0a0b0b986d9a","block_type":"box","text":"cer tain Funds, be made in the form of securities that are permissible investments for such Funds. If payment for a","page_number":136,"box":{"x":69,"y":619,"width":817,"height":11}},{"id":"b729670c-e7ce-42d9-8f51-0e6f2392d8a6","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":136,"box":{"x":70,"y":634,"width":831,"height":12}},{"id":"259e175d-7f73-4c36-8dfa-a2e3ec2a69a5","block_type":"box","text":"incurred by the Fund.","page_number":136,"box":{"x":70,"y":650,"width":147,"height":11}},{"id":"3d594d67-ef7c-4d82-a8cd-451cd986f0f0","block_type":"box","text":"Cer tain of the Funds offer Institutional Shares as described in each such Fund’s Prospectus. In addition, the","page_number":136,"box":{"x":102,"y":672,"width":774,"height":11}},{"id":"d2909d0c-a7d1-4228-a996-7f67161629c7","block_type":"box","text":"following investors may purchase Institutional Shares: employees, officers and directors/trustees of BlackRock, Inc.,","page_number":136,"box":{"x":68,"y":687,"width":834,"height":11}},{"id":"8463ef8a-1f17-44c5-8e2c-c4072475186f","block_type":"box","text":"BlackRock Funds, Bank of America Corporation (“BofA Corp.”), Barclays PLC or their respective affiliates and","page_number":136,"box":{"x":70,"y":702,"width":773,"height":11}},{"id":"bebb1718-03e8-4ca4-abcc-01477a0dd16f","block_type":"box","text":"immediate family members of such persons, individuals and “Institutional Investors” with a minimum initial","page_number":136,"box":{"x":70,"y":717,"width":762,"height":12}},{"id":"67d23acb-da89-4ca3-a8ba-d3665a6985e6","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":136,"box":{"x":70,"y":732,"width":821,"height":12}},{"id":"86feffd0-fbed-4e9a-bd09-ada416fec493","block_type":"box","text":"an agreement with the Distributor to purchase such shares (“Institutional Investors” include, but are not limited to,","page_number":136,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"fee68be1-2daf-4ff7-ab35-27532fcb0570","block_type":"box","text":"endowments, foundations, family offices, local, city, and state governmental institutions, corporations, and insurance","page_number":136,"box":{"x":69,"y":763,"width":836,"height":11}},{"id":"6680af68-82ad-4447-beab-f54a439f814a","block_type":"box","text":"company separate accounts); employer-sponsored retirement plans (which, for this purpose, do not include SEP IRAs,","page_number":136,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"b9d1d8f8-c645-4c41-b519-d6326b457ece","block_type":"box","text":"SIMPLE IRAs or SARSEPs), state sponsored 529 college savings plans, collective trust funds, investment companies","page_number":136,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"5ca75162-5e3d-4748-9ed9-25ac65f42017","block_type":"box","text":"or other pooled investment vehicles, unaffiliated thrifts and unaffiliated banks and trust companies, each of which","page_number":136,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"f574811d-6f6f-48b9-b115-528ff1cea9a2","block_type":"box","text":"may purchase shares of the Fund through a financial intermediary that has entered into an agreement with the","page_number":136,"box":{"x":69,"y":823,"width":789,"height":12}},{"id":"46b5c86d-01e1-4b0f-a51c-1c901a502065","block_type":"box","text":"Distributor to purchase such shares; clients investing through a self-directed IRA brokerage account program","page_number":136,"box":{"x":70,"y":838,"width":772,"height":12}},{"id":"e85ebe64-3d41-483b-8a5b-b36be75cc7a4","block_type":"box","text":"sponsored by a retirement plan record-keeper, provided that such program offers only mutual fund options and that","page_number":136,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"55cb4c4a-553c-458c-9a6e-29d24f8d85ff","block_type":"box","text":"the program maintains an account with the Fund on an omnibus basis; clients of financial intermediaries that:","page_number":136,"box":{"x":68,"y":869,"width":783,"height":11}},{"id":"c938026c-a717-4cf2-bf35-b6e5fb68ea3a","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":136,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"163dce35-9a44-40cc-bcb0-2160bf951380","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares through a no-load program or investment platform, in each","page_number":136,"box":{"x":69,"y":899,"width":838,"height":11}},{"id":"8325b50d-7826-44ab-8882-c324e3a82ec0","block_type":"box","text":"II-99","page_number":136,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"26514851-7152-4ce6-98da-4b8649155ea0","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":136,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3b116ab9-f055-42b8-900c-e0b635bd5f93","block_type":"box","text":"case, with no minimum initial investment; clients investing through financial intermediaries that have entered into an","page_number":137,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"e92dc679-1995-4c46-bec5-a96a297aa78e","block_type":"box","text":"agreement with the Distributor to offer such shares on a platform that charges a transaction based sales","page_number":137,"box":{"x":69,"y":60,"width":751,"height":11}},{"id":"5d90d86c-9eb2-433f-818b-2a436f103526","block_type":"box","text":"commission outside of the Fund, with a minimum initial investment of $1,000; tax-qualified accounts for insurance","page_number":137,"box":{"x":69,"y":74,"width":817,"height":12}},{"id":"7e02d2c6-a974-4d86-9bfe-24e7ac9f8f25","block_type":"box","text":"agents that are registered representatives of an insurance company’s broker-dealer that has entered into an","page_number":137,"box":{"x":69,"y":90,"width":773,"height":11}},{"id":"532fd277-4543-4b7f-a1d0-d57e21aa26ef","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares, and the family members of such persons, with a","page_number":137,"box":{"x":69,"y":105,"width":771,"height":11}},{"id":"b6ee7c54-89f7-4463-b20c-06abda1e4f96","block_type":"box","text":"minimum initial investment of $1,000; trust depar tment clients of Bank of America, N.A. and its affiliates for whom","page_number":137,"box":{"x":69,"y":120,"width":822,"height":11}},{"id":"19391be8-bcb9-4d71-b4c6-c682eb9fee54","block_type":"box","text":"they (i) act in a fiduciary capacity (excluding par ticipant directed employee benefit plans), (ii) otherwise have","page_number":137,"box":{"x":68,"y":135,"width":771,"height":12}},{"id":"c6da40fa-09e5-4b30-b840-c85f74308f93","block_type":"box","text":"investment discretion, or (iii) act as custodian for at least $2 million in assets; and holders of cer tain BofA Corp.","page_number":137,"box":{"x":70,"y":150,"width":801,"height":11}},{"id":"494b2c9c-d396-4bea-ba03-41b97b085a07","block_type":"box","text":"sponsored unit investment trusts (UITs) who reinvest dividends received from such UITs in shares of a Fund.","page_number":137,"box":{"x":69,"y":166,"width":770,"height":11}},{"id":"6039266e-2b79-46d5-b20e-11267939c04b","block_type":"box","text":"Purchase Privileges of Cer tain Persons.","page_number":137,"box":{"x":102,"y":188,"width":280,"height":12}},{"id":"6dfbe0ee-6b34-4dee-8c80-56d898c2dc1f","block_type":"box","text":"Employees, officers, directors/trustees of BlackRock, Inc., BlackRock","page_number":137,"box":{"x":389,"y":188,"width":496,"height":11}},{"id":"2dff93a1-8bda-42da-9880-d1a2d1d3d780","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":137,"box":{"x":70,"y":203,"width":812,"height":12}},{"id":"f6f2ab4b-34c2-4d46-a3cd-a4ed526e30d5","block_type":"box","text":"persons may purchase Institutional Shares at lower investment minimums than stated in each Fund’s Prospectus. A","page_number":137,"box":{"x":70,"y":219,"width":828,"height":11}},{"id":"1a4cd23c-fb1c-49eb-ae75-a7e734f48cba","block_type":"box","text":"Fund realizes economies of scale and reduction of sales-related expenses by vir tue of the familiarity of these persons","page_number":137,"box":{"x":70,"y":234,"width":838,"height":11}},{"id":"a3597ca2-2234-46a9-a592-9b178e37838a","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":137,"box":{"x":68,"y":249,"width":826,"height":11}},{"id":"16b60797-576b-4c1a-ba7a-8cfa35e7afc5","block_type":"box","text":"satisfy the Fund’s suitability standards.","page_number":137,"box":{"x":69,"y":264,"width":279,"height":11}},{"id":"99ac89e7-377c-4d2e-a206-fde4f8b78450","block_type":"box","text":"Initial Sales Charge Alternative — Investor A Shares","page_number":137,"box":{"x":69,"y":294,"width":382,"height":11}},{"id":"11d1f8e6-4cb3-44d5-8503-e0486b291c41","block_type":"box","text":"Investors who prefer an initial sales charge alternative may elect to purchase Investor A Shares. Investor A1","page_number":137,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"184ae5a3-0ff2-4bb2-9072-bf638e3fd424","block_type":"box","text":"Shares are offered only (i) for purchase by cer tain employer-sponsored retirement plans and fee-based programs that","page_number":137,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"8169ace0-9be7-4dd2-8866-7e54135a44c7","block_type":"box","text":"have been previously approved by cer tain Funds, and (ii) to cer tain investors who currently hold Investor A1 Shares","page_number":137,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"04900e96-77a2-4d4a-a097-acf80530e596","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":137,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"33132930-bfc8-486f-b35a-5514c8b15fa5","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":137,"box":{"x":69,"y":377,"width":815,"height":11}},{"id":"39566be2-72e5-4dd6-b428-87bfcdbb3e46","block_type":"box","text":"sometimes referred to herein as “front-end load shares.” Investor A Shares of Index Funds (defined below) and","page_number":137,"box":{"x":69,"y":392,"width":791,"height":11}},{"id":"cf5cd9d8-884f-4b2b-b4d0-301634c90d9d","block_type":"box","text":"BlackRock Shor t Obligations Fund generally are not subject to an initial sales charge or front-end load.","page_number":137,"box":{"x":70,"y":407,"width":727,"height":12}},{"id":"1b6bf6fb-0a35-456e-bcff-41adacbe0400","block_type":"box","text":"Investors qualifying for significantly reduced initial sales charges may find the initial sales charge alternative","page_number":137,"box":{"x":102,"y":430,"width":770,"height":11}},{"id":"d938631d-2251-45d5-bbdc-bb2265191b41","block_type":"box","text":"par ticularly attractive because similar sales charge reductions are not available with respect to the deferred sales","page_number":137,"box":{"x":70,"y":445,"width":812,"height":12}},{"id":"4bd697c3-3e2b-43d6-a4e9-e81137a5b84d","block_type":"box","text":"charges imposed in connection with investments in Investor C Shares (sometimes referred to herein as “CDSC","page_number":137,"box":{"x":69,"y":460,"width":791,"height":12}},{"id":"21147676-947d-4ba4-bad7-6f9772a062a1","block_type":"box","text":"shares”). Investors who do not qualify for reduced initial sales charges and who expect to maintain their investment","page_number":137,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"a66bb113-0612-4f1c-8d26-c7e079150d51","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":137,"box":{"x":68,"y":491,"width":808,"height":11}},{"id":"b6a8ed82-f4a6-40ac-96de-c9aecafd3666","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":137,"box":{"x":69,"y":506,"width":834,"height":11}},{"id":"8e4d774a-9ef5-4fb6-bec6-d10c69dee8ab","block_type":"box","text":"service fee. Although some investors who previously purchased Institutional Shares may no longer be eligible to","page_number":137,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"503d82af-1e5b-4725-bdb0-9c5dd188b1db","block_type":"box","text":"purchase Institutional Shares of other Funds, those previously purchased Institutional Shares, together with all","page_number":137,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"2abc4768-5188-40c7-a865-0bbbe5f2c23d","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":137,"box":{"x":70,"y":551,"width":805,"height":11}},{"id":"086d443b-1af5-431e-b001-42362c913346","block_type":"box","text":"investor for a reduced initial sales charge on new initial sales charge purchases. In addition, the ongoing CDSC","page_number":137,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"e6052042-c9f8-4f87-af2e-71560e5082b2","block_type":"box","text":"shares service and distribution fees will cause CDSC shares to have higher expense ratios, pay lower dividends and","page_number":137,"box":{"x":69,"y":581,"width":826,"height":12}},{"id":"dd197ce7-ac70-42d7-8c08-8a0e86a94506","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":137,"box":{"x":69,"y":596,"width":802,"height":12}},{"id":"b5b7d58f-861d-4902-b751-b7d56a8a784f","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":137,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"4c62e20b-4ef0-466d-a583-6b0acee30975","block_type":"box","text":"have a lower total return than Institutional Shares.","page_number":137,"box":{"x":69,"y":627,"width":358,"height":9}},{"id":"5db6be77-2574-4278-84b9-73497571bbab","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Par t I of each Fund’s SAI for","page_number":137,"box":{"x":102,"y":649,"width":734,"height":12}},{"id":"2390ee68-37d0-4008-a10a-ceac19641a2e","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor A and Investor A1 Shares for the","page_number":137,"box":{"x":70,"y":664,"width":785,"height":11}},{"id":"3ee7fe1b-adeb-4130-bde0-e097ca4fca4c","block_type":"box","text":"periods indicated.","page_number":137,"box":{"x":70,"y":680,"width":124,"height":11}},{"id":"5a099c14-551d-4c24-ad4e-dfdf0ed76052","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":702,"width":806,"height":11}},{"id":"bddbcd10-fbe6-401c-b5bd-ec8e696d60bc","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":718,"width":830,"height":11}},{"id":"46d40745-dcdf-4ad8-a866-b1e378674169","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":732,"width":832,"height":12}},{"id":"26231afd-097c-467c-98fb-60e7d554f1fb","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":748,"width":714,"height":11}},{"id":"1c3d20d2-2d17-4652-aff0-4a7181509cc7","block_type":"box","text":"Initial Sales Charge — Investor P Shares","page_number":137,"box":{"x":69,"y":778,"width":297,"height":11}},{"id":"80b04cb3-0d92-48f2-bc8b-2d319ab684d5","block_type":"box","text":"Cer tain Funds offer Investor P Shares as described in each such Fund’s Prospectus, Investor P Shares are","page_number":137,"box":{"x":102,"y":801,"width":761,"height":11}},{"id":"b2e39386-1e89-489a-92c8-a6baff24419e","block_type":"box","text":"available for purchase only through registered representatives of an insurance company’s broker-dealer that has","page_number":137,"box":{"x":69,"y":816,"width":800,"height":11}},{"id":"c57277f2-c75c-472c-9a00-cf28a7b686fc","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":137,"box":{"x":69,"y":831,"width":812,"height":11}},{"id":"60889475-d0ca-4cd1-907d-33771a6400d2","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":137,"box":{"x":69,"y":846,"width":813,"height":11}},{"id":"af976499-2259-43b0-8fe9-7c7774ba4b9e","block_type":"box","text":"dividends and have a lower total return than Investor A Shares of the same Fund.","page_number":137,"box":{"x":69,"y":861,"width":578,"height":9}},{"id":"616790f9-4892-4a5e-a60d-fe4f1c447450","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Par t I of each Fund’s SAI for","page_number":137,"box":{"x":102,"y":884,"width":734,"height":11}},{"id":"fb9f1058-28ed-4823-8dcd-123b2937eaf4","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor P Shares for the periods indicated.","page_number":137,"box":{"x":70,"y":899,"width":800,"height":11}},{"id":"2751e861-acfa-44c8-a168-f72fd956f3cc","block_type":"box","text":"II-100","page_number":137,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"496f7c25-6abc-44ad-86e2-50c698307112","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":137,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fcfdc29a-126f-4f67-8eb6-f6b5444e6224","block_type":"box","text":"The Distributor may reallow discounts to selected securities dealers and other financial intermediaries and retain","page_number":138,"box":{"x":101,"y":45,"width":806,"height":11}},{"id":"0269dc3b-6471-4b0d-9042-ae8e58957ee2","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":138,"box":{"x":68,"y":60,"width":830,"height":11}},{"id":"1efaf6e0-87b8-444d-99ed-d65558a6a665","block_type":"box","text":"securities dealers and other financial intermediaries selling front-end load shares of a Fund will receive a concession","page_number":138,"box":{"x":69,"y":75,"width":832,"height":11}},{"id":"1023a21d-4d34-4688-ad80-5a4f2b997d5f","block_type":"box","text":"equal to most of the sales charge, they may be deemed to be underwriters under the Securities Act.","page_number":138,"box":{"x":69,"y":90,"width":714,"height":11}},{"id":"b2152bbd-0c97-4128-84dc-866e3a04c6c5","block_type":"box","text":"Reduced Initial Sales Charges","page_number":138,"box":{"x":69,"y":120,"width":219,"height":11}},{"id":"026fe8cf-50e5-441d-aa72-e01eecc2b3b3","block_type":"box","text":"Cer tain investors may be eligible for a reduction in or waiver of a sales load due to the nature of the investors","page_number":138,"box":{"x":102,"y":143,"width":782,"height":11}},{"id":"98205f68-dbf4-40fc-b97a-88980f25245a","block_type":"box","text":"and/or the reduced sales effor ts necessary to obtain their investments. Financial intermediaries may, in connection","page_number":138,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"46d08e6e-90a9-4aec-83f9-5ce9296ae30c","block_type":"box","text":"with a change in account type or otherwise in accordance with a financial intermediary’s policies and procedures,","page_number":138,"box":{"x":68,"y":173,"width":809,"height":11}},{"id":"062ede3f-268f-425d-8b53-a9ec808ae0bd","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":138,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"fa36f238-43e3-49b7-8c18-31a2dbe38467","block_type":"box","text":"exchanged shares are not subject to a contingent deferred sales charge and that shareholders meet the eligibility","page_number":138,"box":{"x":69,"y":203,"width":812,"height":12}},{"id":"46541c4f-25df-4c27-bab2-b39e3f0480b5","block_type":"box","text":"requirements of the new share class. Cer tain sales load reductions and waivers may be available to customers of","page_number":138,"box":{"x":69,"y":218,"width":813,"height":12}},{"id":"617df8de-8871-4be1-9b9a-b98365497b71","block_type":"box","text":"cer tain financial intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the","page_number":138,"box":{"x":69,"y":234,"width":793,"height":11}},{"id":"e4ee49ea-a02d-4b06-afec-b50b62947330","block_type":"box","text":"Fund’s Prospectus. Please speak to your financial intermediary for more information.","page_number":138,"box":{"x":70,"y":249,"width":603,"height":11}},{"id":"1a1af3ca-8713-4a95-a7da-f7a78e9cea09","block_type":"box","text":"Reinvested Dividends.","page_number":138,"box":{"x":102,"y":272,"width":156,"height":8}},{"id":"cbecca54-73f1-48d9-a454-296a80e675d2","block_type":"box","text":"No sales charges are imposed upon shares issued as a result of the automatic","page_number":138,"box":{"x":265,"y":271,"width":566,"height":12}},{"id":"fb910e84-d873-4497-b4e0-c5cccc5b2529","block_type":"box","text":"reinvestment of dividends.","page_number":138,"box":{"x":69,"y":286,"width":186,"height":10}},{"id":"b3cb2489-538a-40c1-8b04-e74236f36520","block_type":"box","text":"Right of Accumulation.","page_number":138,"box":{"x":102,"y":309,"width":158,"height":11}},{"id":"426fd7cd-d2fc-4cd7-a94d-a0b6999ba36b","block_type":"box","text":"Investors have a “right of accumulation” under which any of the following may be","page_number":138,"box":{"x":267,"y":309,"width":574,"height":11}},{"id":"8f4b4b5d-728d-490f-9db6-246063e3de27","block_type":"box","text":"combined with the amount of the current purchase in determining whether an investor qualifies for a breakpoint and","page_number":138,"box":{"x":69,"y":324,"width":826,"height":12}},{"id":"74b1d487-241c-4c7f-aead-e663d53aeb38","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":138,"box":{"x":69,"y":339,"width":810,"height":12}},{"id":"68e7836b-e23c-49be-969d-9562f62c78be","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":138,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"72373623-b3f9-47eb-bff9-2b737e152182","block_type":"box","text":"existing shares of cer tain unlisted closed-end management investment companies sponsored and advised by","page_number":138,"box":{"x":69,"y":370,"width":780,"height":11}},{"id":"62c69d16-1525-454e-9443-f7ef5a51569d","block_type":"box","text":"BlackRock or its affiliates (“Eligible Unlisted BlackRock Closed-End Funds”) and (iii) the investment in the BlackRock","page_number":138,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"a85f7b00-1505-4bf3-8e43-36a3d433a68d","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":138,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"cc13a0e1-9474-45c6-9143-bca9e897486f","block_type":"box","text":"intermediaries may value current holdings of their customers differently for purposes of determining whether an","page_number":138,"box":{"x":70,"y":415,"width":794,"height":11}},{"id":"b2906f47-d423-478d-8a48-092014dd7912","block_type":"box","text":"investor qualifies for a breakpoint and a reduced front-end sales charge, although customers of the same financial","page_number":138,"box":{"x":70,"y":430,"width":814,"height":11}},{"id":"5a4ff998-96e5-4d0d-9b42-7dcea92e6a51","block_type":"box","text":"intermediary will be treated similarly. In order to use this right, the investor must aler t BlackRock to the existence of","page_number":138,"box":{"x":70,"y":445,"width":828,"height":12}},{"id":"26d54878-5c99-480c-b3d2-5315ff0754ee","block_type":"box","text":"any previously purchased shares. Cer tain funds employ a “passive” management approach and attempt to match the","page_number":138,"box":{"x":69,"y":460,"width":838,"height":12}},{"id":"d6f161ba-79ff-49ed-aa8a-3c81ce4fb415","block_type":"box","text":"per formance of a target index as closely as possible before the deduction of Fund expenses (“Index Funds”).","page_number":138,"box":{"x":70,"y":475,"width":776,"height":12}},{"id":"d457ac52-d998-4ac6-82b5-7a9c140b20e8","block_type":"box","text":"Although Investor A Shares of Index Funds and BlackRock Shor t Obligations Fund generally are not subject to a sales","page_number":138,"box":{"x":68,"y":491,"width":835,"height":11}},{"id":"e4d1c1e4-8e1c-47e1-bfd8-fe44a289b99f","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":138,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"9e5166a7-5135-4061-ae6e-03142fcb8afc","block_type":"box","text":"in the Index Funds and BlackRock Shor t Obligations Fund may be combined with the amount of an investor’s current","page_number":138,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"4661bd70-f7b2-41c0-83b5-0b2763b87216","block_type":"box","text":"purchase in determining whether an investor qualifies for a breakpoint and a reduced front-end sales charge.","page_number":138,"box":{"x":70,"y":536,"width":774,"height":11}},{"id":"d18ff9c3-1351-4a14-b2a4-559b2525811b","block_type":"box","text":"Letter of Intent.","page_number":138,"box":{"x":102,"y":559,"width":109,"height":9}},{"id":"f487490f-0f17-4a9e-9495-e5019820f59a","block_type":"box","text":"An investor may qualify for a reduced front-end sales charge immediately by signing a “Letter of","page_number":138,"box":{"x":217,"y":559,"width":681,"height":11}},{"id":"94940aec-0f26-48eb-81b5-0ce8afb76cfd","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":138,"box":{"x":70,"y":574,"width":820,"height":11}},{"id":"2f537020-15ca-4a1b-b369-d31f33d4f26e","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":138,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"82ccf28e-b8a2-496e-8194-e92dabed92d1","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":138,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"7cf27688-cbc1-40bf-90fe-8d677fadfb57","block_type":"box","text":"more Eligible Unlisted BlackRock Closed-End Funds and/or (iii) make an investment through the BlackRock","page_number":138,"box":{"x":69,"y":619,"width":760,"height":11}},{"id":"9d9e65bb-97ec-4c42-bac9-4b32d5c40e68","block_type":"box","text":"CollegeAdvantage 529 Program in one or more BlackRock Funds. The initial investment must meet the minimum","page_number":138,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"80420653-789f-496d-863f-b1f745cd6064","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":138,"box":{"x":70,"y":649,"width":826,"height":12}},{"id":"9d205a09-3d08-4edc-b6c6-78eb04547daa","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":138,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"797df69d-12fc-483f-b218-ae6e96d0c97a","block_type":"box","text":"Investor P, Institutional, Class K and Premier Shares, Eligible Unlisted BlackRock Closed-End Funds and the","page_number":138,"box":{"x":70,"y":680,"width":764,"height":11}},{"id":"e730d9ca-a9d4-443c-b91f-db720bb022b4","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program Class A and Class C Units) as of the date of commencement that are","page_number":138,"box":{"x":70,"y":695,"width":800,"height":11}},{"id":"34ac2a93-7547-4e94-a6a0-3ad610fb3334","block_type":"box","text":"eligible under the Right of Accumulation may be counted towards the sales charge reduction. The investor must notify","page_number":138,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"279cd661-03f5-4461-9f92-022e88f15505","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":138,"box":{"x":68,"y":725,"width":835,"height":11}},{"id":"a30d350e-468a-4480-b57f-24c455ab9105","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program that should be counted towards the sales charge reduction and (ii) any","page_number":138,"box":{"x":70,"y":740,"width":811,"height":11}},{"id":"fe73f89c-07c2-42dd-a3a2-e15fe731d152","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":138,"box":{"x":69,"y":755,"width":814,"height":11}},{"id":"fb14e608-da02-41f0-8597-373a7cbc49d5","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":138,"box":{"x":68,"y":770,"width":827,"height":12}},{"id":"b12b4132-56e0-41d8-8fe3-74d6483c2bde","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":138,"box":{"x":69,"y":785,"width":827,"height":12}},{"id":"d0a2ee6d-021a-4b15-99fd-422e91c378ea","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":138,"box":{"x":69,"y":801,"width":817,"height":11}},{"id":"173cabea-1821-419a-b6f0-1eabebe421da","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":138,"box":{"x":70,"y":816,"width":807,"height":11}},{"id":"3a20451f-f1d5-4d8d-b8cc-e5272df0fedb","block_type":"box","text":"Shares, as applicable, held in escrow to pay the difference.","page_number":138,"box":{"x":69,"y":831,"width":423,"height":11}},{"id":"3d6e466d-f550-41e4-a187-d151ad6506f6","block_type":"box","text":"Placement Fees.","page_number":138,"box":{"x":102,"y":854,"width":116,"height":8}},{"id":"0eccff64-0859-4730-bde7-c8769ddcbd39","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":138,"box":{"x":102,"y":876,"width":777,"height":11}},{"id":"1ab81f51-2642-4155-879e-b2c80cefa653","block_type":"box","text":"which may depend on the policies, procedures and trading platforms of your financial intermediary.","page_number":138,"box":{"x":68,"y":891,"width":704,"height":12}},{"id":"2de80906-e332-4421-88f0-f3558d3648ed","block_type":"box","text":"II-101","page_number":138,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"01daf60a-1048-4636-8286-6aa175451cbc","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":138,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7f982c38-6e59-409c-9abb-0e7be6894f70","block_type":"box","text":"Except as noted below, these placement fees may be up to the following amounts for Investor A Shares:","page_number":139,"box":{"x":102,"y":45,"width":741,"height":11}},{"id":"47c03bfb-f8a5-4b88-887c-0783eb6b3783","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":72,"width":361,"height":10}},{"id":"ccc323af-7d30-4f37-ad2d-13bddaca9ff6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":139,"box":{"x":535,"y":72,"width":288,"height":9}},{"id":"61b6f45e-77b6-49ef-85ff-64864eacab4f","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":87,"width":361,"height":10}},{"id":"7e59bef5-b69e-4319-bad8-f9d61f625f23","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":88,"width":288,"height":8}},{"id":"217f14b7-841f-47b0-8f7e-b84bcb6d207c","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":102,"width":345,"height":10}},{"id":"974a10eb-6852-4b00-830c-9dcc3d9d4575","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":103,"width":305,"height":9}},{"id":"2aaf21c8-c1c9-45e1-9c21-eb4f368e0cbf","block_type":"box","text":"With respect to Investor A Shares of BlackRock Global Allocation Fund, Inc., BlackRock Dynamic High Income","page_number":139,"box":{"x":101,"y":126,"width":776,"height":12}},{"id":"603b6f0a-768f-49fd-938f-207331d9dd7c","block_type":"box","text":"Por tfolio (for shares purchased prior to July 1, 2020) and BlackRock Multi-Asset Income Por tfolio (for shares","page_number":139,"box":{"x":69,"y":142,"width":774,"height":11}},{"id":"d2dc5c96-9c2c-4f93-a412-53a3692cf390","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":139,"box":{"x":70,"y":157,"width":824,"height":11}},{"id":"8c4c0e2d-0480-4b5f-912c-93d2f3142506","block_type":"box","text":"and BlackRock Event Driven Equity Fund, the placement fees may be up to the following amounts:","page_number":139,"box":{"x":69,"y":172,"width":695,"height":11}},{"id":"b1f308c4-2771-4e6c-9de3-4e2696b3f4cb","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":199,"width":410,"height":11}},{"id":"13567d7a-5a7d-415b-bdef-efdf33db5f39","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":139,"box":{"x":583,"y":200,"width":240,"height":9}},{"id":"e683f0c7-20ea-4cc6-ace6-b0e05b187da4","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":214,"width":361,"height":11}},{"id":"e60cacbf-e7d9-4b19-8ca7-7a47ec980431","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":215,"width":288,"height":9}},{"id":"2673c8f1-0991-4b85-b78e-cf0271a39f6e","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":229,"width":345,"height":11}},{"id":"f64cd551-f7f6-4801-a291-a58ccc072b29","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":230,"width":305,"height":9}},{"id":"55c75ecd-6732-4e87-aeec-119964a0d4d5","block_type":"box","text":"With respect to Investor A Shares of BlackRock Systematic Multi-Strategy Fund of BlackRock Funds IV, BlackRock","page_number":139,"box":{"x":101,"y":254,"width":806,"height":11}},{"id":"c5dcee35-9655-45c8-b426-4a6494cf915f","block_type":"box","text":"Advantage CoreAlpha Bond Fund of BlackRock Funds VI, BlackRock Tactical Oppor tunities Fund of BlackRock Funds","page_number":139,"box":{"x":68,"y":269,"width":821,"height":11}},{"id":"6c64083f-6886-4da8-b640-b7b35fa73195","block_type":"box","text":"SM","page_number":139,"box":{"x":890,"y":269,"width":11,"height":5}},{"id":"22e9e5b8-793b-431f-bac8-4a7ee6c47484","block_type":"box","text":",","page_number":139,"box":{"x":903,"y":276,"width":2,"height":3}},{"id":"955221d1-1b18-470c-a1f9-48888e0f9fca","block_type":"box","text":"BlackRock High Yield Por tfolio, BlackRock Core Bond Por tfolio and BlackRock Sustainable High Yield Bond Fund of","page_number":139,"box":{"x":70,"y":284,"width":816,"height":11}},{"id":"c9bdaec5-c732-41be-b6cb-d3a365a7c60a","block_type":"box","text":"BlackRock Funds V, BlackRock Securitized Income Fund of Managed Account Series II and BlackRock Strategic Global","page_number":139,"box":{"x":70,"y":299,"width":835,"height":11}},{"id":"30585520-1957-453f-852a-55c27bd007fd","block_type":"box","text":"Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":314,"width":520,"height":12}},{"id":"7792b0d4-e0b4-4b36-a7db-32a321852270","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":341,"width":361,"height":11}},{"id":"d8a2eb30-d9a3-46af-b953-844db118cdb7","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":139,"box":{"x":535,"y":342,"width":288,"height":9}},{"id":"6a9a9036-d038-4871-81dd-fb858a48bc6b","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":356,"width":361,"height":11}},{"id":"4e71ad41-9b52-472c-ae56-51ebc6fd4832","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":357,"width":288,"height":9}},{"id":"2110b299-0862-45c7-827c-0866a570b84e","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":372,"width":345,"height":10}},{"id":"99b3db24-abd5-4701-91de-0df333d02be9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":372,"width":305,"height":9}},{"id":"86c9a859-bd10-409c-bd63-3af4ee33f287","block_type":"box","text":"With respect to Investor A Shares of BlackRock Mor tgage-Backed Securities Fund and BlackRock Impact","page_number":139,"box":{"x":101,"y":396,"width":743,"height":11}},{"id":"d66b40a3-fe1b-4c5e-bc53-b1494f1a2a29","block_type":"box","text":"Mor tgage Fund of BlackRock Funds V, the placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":411,"width":674,"height":12}},{"id":"72550fd0-6055-4751-9f20-5c2e4db250f5","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":438,"width":361,"height":11}},{"id":"098282a2-1280-427e-a7bb-b7bbdef85eff","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":439,"width":288,"height":9}},{"id":"b9d18d3b-7f82-4f5d-8dba-8f58c030367c","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":453,"width":361,"height":11}},{"id":"c9fcd78f-14ea-42b2-b4d5-840af581be46","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":535,"y":454,"width":288,"height":9}},{"id":"d506e11b-a5be-44e7-b8d0-4ac0c07f7a01","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":469,"width":345,"height":10}},{"id":"e0a1c2a4-b78c-414d-9a36-2429b3a3e30d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":139,"box":{"x":518,"y":469,"width":305,"height":9}},{"id":"b523d53a-357d-449e-a1d7-8f655c858412","block_type":"box","text":"With respect to Investor A Shares of BlackRock Managed Income Fund of BlackRock Funds II, the placement fees","page_number":139,"box":{"x":101,"y":493,"width":808,"height":11}},{"id":"3ee6ff9b-7bc9-4398-af93-d448de23bf22","block_type":"box","text":"may be up to the following amounts:","page_number":139,"box":{"x":69,"y":508,"width":257,"height":12}},{"id":"c58f1844-0d95-40fa-9705-6eb8939f6163","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":535,"width":410,"height":11}},{"id":"b90d8261-2898-442d-aeea-f11b6fdb1b85","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":583,"y":536,"width":240,"height":9}},{"id":"7846185d-1b16-46be-9aaa-7e7b07484582","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":550,"width":361,"height":11}},{"id":"e0ba1913-0ab9-4647-a081-a7ee78bcf556","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":535,"y":551,"width":288,"height":9}},{"id":"68ef3ef6-7750-4676-8785-cbf67929fe2f","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":566,"width":345,"height":10}},{"id":"2de07ded-99be-4240-8ae3-135162712a55","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":139,"box":{"x":518,"y":566,"width":305,"height":9}},{"id":"f6924506-6f37-4296-bae2-f017e365f30c","block_type":"box","text":"With respect to Investor A Shares of BlackRock Inflation Protected Bond Por tfolio of BlackRock Funds V, the","page_number":139,"box":{"x":101,"y":590,"width":768,"height":11}},{"id":"fb99b796-e246-4300-9876-e0f0178c4be8","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":605,"width":371,"height":12}},{"id":"63be6dd4-6393-40cb-b087-2bbbc6feb799","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":632,"width":361,"height":11}},{"id":"9d3192d2-b65c-4af0-be2c-e69ac73ebe5e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":139,"box":{"x":535,"y":633,"width":288,"height":9}},{"id":"1bcce009-249d-4103-881c-1cb8474b7bbf","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":647,"width":361,"height":11}},{"id":"77ddd78b-50d9-443a-9f94-d8359552e52d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":139,"box":{"x":535,"y":648,"width":288,"height":9}},{"id":"e88fc6ef-038b-4536-902a-59155f725a43","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":663,"width":345,"height":10}},{"id":"da353930-1706-4a3a-b383-ae7d87b40056","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.05%","page_number":139,"box":{"x":518,"y":663,"width":305,"height":9}},{"id":"cec019bc-5c76-4442-b6ed-839373762df5","block_type":"box","text":"With respect to Investor A Shares of BlackRock Low Duration Bond Por tfolio, BlackRock Floating Rate Income","page_number":139,"box":{"x":101,"y":687,"width":778,"height":11}},{"id":"710c9c2c-95de-478f-9bfb-f32ab9bb6b3a","block_type":"box","text":"Por tfolio, BlackRock Income Fund and BlackRock Strategic Income Oppor tunities Por tfolio of BlackRock Funds V, the","page_number":139,"box":{"x":69,"y":702,"width":830,"height":12}},{"id":"b356da98-edfe-45b5-b19c-adda9324b890","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":717,"width":371,"height":12}},{"id":"68bd696b-b75c-4dbe-81ba-74f59bae625d","block_type":"box","text":"$500,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":744,"width":410,"height":12}},{"id":"b14801cc-9c20-4a43-84df-ec14bbfa74fc","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":139,"box":{"x":583,"y":745,"width":240,"height":9}},{"id":"ff9c3cac-2baa-44f8-8ac6-10ac1720e008","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":760,"width":361,"height":10}},{"id":"31a42f84-fb99-4606-9303-2a97613230bc","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":760,"width":288,"height":9}},{"id":"1ebd2710-7952-432f-9da6-7d17c77ea246","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":775,"width":345,"height":10}},{"id":"a862e050-d3b7-4259-add5-29ad37c749cf","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":775,"width":305,"height":9}},{"id":"bc7683f0-e672-4a5f-8672-e56783dbda06","block_type":"box","text":"With respect to Investor A Shares of BlackRock Shor t Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":139,"box":{"x":101,"y":799,"width":779,"height":11}},{"id":"b76095ae-22bd-4c21-8a5d-7d5951817bca","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":139,"box":{"x":70,"y":814,"width":780,"height":12}},{"id":"4e098f77-9cf6-4900-bcb5-6eb279640707","block_type":"box","text":"$250,000 and above . . . .","page_number":139,"box":{"x":167,"y":841,"width":182,"height":12}},{"id":"48507d91-b8fc-4c5e-976b-12bbc846c682","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":355,"y":842,"width":468,"height":9}},{"id":"f179530a-252f-43cc-b89e-796ec60113c1","block_type":"box","text":"II-102","page_number":139,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"d4eb8e06-bbf6-4aa8-a981-09b2e5b781c6","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":139,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"35a63d18-eefd-4e8c-9c83-e61b629f435f","block_type":"box","text":"With respect to Investor A Shares of BlackRock Shor t Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":140,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"0be11dd7-c24e-4e36-be89-63c5e71ac438","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":140,"box":{"x":70,"y":60,"width":819,"height":11}},{"id":"14aa88a6-9d90-4673-aa80-6ad6c3dffe63","block_type":"box","text":"the following amounts:","page_number":140,"box":{"x":68,"y":75,"width":161,"height":11}},{"id":"7b801ffd-69da-4059-b1fb-d8e57740fadf","block_type":"box","text":"$100,000 and above . . . .","page_number":140,"box":{"x":167,"y":102,"width":182,"height":11}},{"id":"3792f9af-c275-4e48-9528-7a21ecd19115","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":355,"y":103,"width":468,"height":9}},{"id":"89be8437-676c-47e2-a895-a8b369f7909c","block_type":"box","text":"With respect to Investor A Shares of BlackRock Shor t Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":140,"box":{"x":101,"y":126,"width":779,"height":11}},{"id":"f71eb26a-0d4a-443c-9a48-df1a7dc31f48","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":140,"box":{"x":70,"y":142,"width":775,"height":11}},{"id":"709f54c8-3721-4b2b-b70a-64e7b5dfa94e","block_type":"box","text":"$250,000 and above . . . .","page_number":140,"box":{"x":167,"y":169,"width":182,"height":11}},{"id":"d3c027f4-981c-49d1-be74-8dd100245c18","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":355,"y":169,"width":468,"height":9}},{"id":"92c113d1-0215-4e41-8213-b0c218552749","block_type":"box","text":"With respect to Investor A Shares of BlackRock Strategic Municipal Oppor tunities Fund of BlackRock Municipal","page_number":140,"box":{"x":101,"y":193,"width":788,"height":12}},{"id":"8cdd53b5-0a5f-4d14-b1df-485c564094ca","block_type":"box","text":"Series Trust, BlackRock California Municipal Oppor tunities Fund of BlackRock California Municipal Series Trust,","page_number":140,"box":{"x":69,"y":208,"width":792,"height":11}},{"id":"e5e74cab-4865-4842-9450-4b9850a179f1","block_type":"box","text":"BlackRock New York Municipal Oppor tunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":140,"box":{"x":70,"y":224,"width":787,"height":11}},{"id":"1c2ac63e-2ad9-4040-8811-c470539e37bc","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust and BlackRock National Municipal","page_number":140,"box":{"x":69,"y":239,"width":834,"height":11}},{"id":"0b266479-6e64-48b7-afb1-6d2d5abf0b4d","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":140,"box":{"x":70,"y":254,"width":729,"height":11}},{"id":"1b06038a-95e5-48c9-b6c2-1f81adca38bf","block_type":"box","text":"$250,000 but less than $4 million . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":281,"width":410,"height":11}},{"id":"3ff0e46b-74c0-4496-96cf-137f9b77d12e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":140,"box":{"x":583,"y":282,"width":240,"height":8}},{"id":"4962c850-68a2-488d-9a07-5f6afe30c0e5","block_type":"box","text":"$4 million but less than $10 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":296,"width":361,"height":10}},{"id":"b31c96af-7ec3-4f02-8d1e-ee617a307a87","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":297,"width":288,"height":9}},{"id":"cab09972-b574-4d42-a7c7-52e1edc36cb2","block_type":"box","text":"$10 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":311,"width":345,"height":11}},{"id":"d1441e66-c36a-41fc-acd3-bfb57959cf33","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":312,"width":305,"height":9}},{"id":"32267aa2-77fc-4a8b-878e-d31c3ac2b7a9","block_type":"box","text":"With respect to Investor A Shares of BlackRock Dynamic High Income Por tfolio (for shares purchased on or after","page_number":140,"box":{"x":101,"y":336,"width":801,"height":11}},{"id":"4ece52a3-27f2-4699-a19e-d7227dac2d98","block_type":"box","text":"July 1, 2020) and BlackRock Multi-Asset Income Por tfolio (for shares purchased on or after July 1, 2020) of","page_number":140,"box":{"x":69,"y":351,"width":769,"height":11}},{"id":"2f2f65c8-fa2a-4926-b26e-5eb76c3a2b4c","block_type":"box","text":"BlackRock Funds II, BlackRock Total Return Fund of BlackRock Bond Fund, Inc. and BlackRock Balanced Fund, Inc.,","page_number":140,"box":{"x":70,"y":366,"width":818,"height":10}},{"id":"f5167ac5-7432-44b3-bc74-a0bd57176c3e","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":140,"box":{"x":68,"y":381,"width":401,"height":11}},{"id":"afb94212-02ae-4da2-9d5f-851ca9ef5534","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":408,"width":410,"height":11}},{"id":"e3b913b9-8b39-4742-acac-41006dea589e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":140,"box":{"x":583,"y":409,"width":240,"height":9}},{"id":"3d667474-e30e-4c62-b561-5dd243638b9f","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":423,"width":361,"height":11}},{"id":"049e2533-af8e-40be-a0a9-bbfc56e97147","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":424,"width":288,"height":9}},{"id":"92bb02d6-d599-4741-bb2f-6fed8c28e07a","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":438,"width":345,"height":11}},{"id":"219d73d2-0cc2-46d7-b1cd-eae8f5eeba9f","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":439,"width":305,"height":9}},{"id":"8d258e4b-6419-4bf7-8cef-589eda959c62","block_type":"box","text":"With respect to Investor P Shares of BlackRock LifePath","page_number":140,"box":{"x":101,"y":463,"width":398,"height":11}},{"id":"b128cf85-cdac-4202-b6c2-90e2ef0efbdf","block_type":"box","text":"®","page_number":140,"box":{"x":500,"y":463,"width":6,"height":5}},{"id":"95d7764d-8b42-455a-9285-2ff1a040cbc0","block_type":"box","text":"Index 2030 Fund, BlackRock LifePath","page_number":140,"box":{"x":513,"y":463,"width":264,"height":10}},{"id":"61252751-24c2-4c00-8b9f-4e01f9f4591f","block_type":"box","text":"®","page_number":140,"box":{"x":778,"y":463,"width":6,"height":5}},{"id":"54719b26-07a2-4dcd-ac53-3bd0dc675161","block_type":"box","text":"Index 2035","page_number":140,"box":{"x":791,"y":463,"width":79,"height":9}},{"id":"df5d7616-4885-4972-acdc-3c932313feef","block_type":"box","text":"Fund, BlackRock LifePath","page_number":140,"box":{"x":70,"y":478,"width":177,"height":11}},{"id":"d544da6b-8bc2-45cf-a5cc-671b6639ca5f","block_type":"box","text":"®","page_number":140,"box":{"x":249,"y":478,"width":6,"height":5}},{"id":"de51d43a-96f8-4a6c-8114-c3a9092ab91c","block_type":"box","text":"Index 2040 Fund, BlackRock LifePath","page_number":140,"box":{"x":261,"y":478,"width":265,"height":11}},{"id":"485f547a-1849-4448-878f-75f0cfa4e3d8","block_type":"box","text":"®","page_number":140,"box":{"x":527,"y":478,"width":6,"height":5}},{"id":"8aa46e21-74f7-4230-8639-9204e4aaebc3","block_type":"box","text":"Index 2045 Fund, BlackRock LifePath","page_number":140,"box":{"x":539,"y":478,"width":265,"height":11}},{"id":"a45454ef-316f-4ecd-b5f6-51b687cb7e5b","block_type":"box","text":"®","page_number":140,"box":{"x":805,"y":478,"width":6,"height":5}},{"id":"c0fe966a-e5f1-416e-a5f7-71e747c7c479","block_type":"box","text":"Index 2050","page_number":140,"box":{"x":817,"y":478,"width":80,"height":9}},{"id":"6bd2d124-ff5e-4e41-a104-9dd7aed50d6e","block_type":"box","text":"Fund, BlackRock LifePath","page_number":140,"box":{"x":70,"y":493,"width":177,"height":11}},{"id":"07689a90-2539-4c0c-b5bf-799dc1395f83","block_type":"box","text":"®","page_number":140,"box":{"x":248,"y":494,"width":6,"height":4}},{"id":"8c53ae04-0338-4c62-8c3d-d2b4f5836d40","block_type":"box","text":"Index 2055 Fund, BlackRock LifePath","page_number":140,"box":{"x":261,"y":493,"width":263,"height":11}},{"id":"00be1a8d-f2ce-4db0-89cf-6c82fdda6285","block_type":"box","text":"®","page_number":140,"box":{"x":526,"y":494,"width":6,"height":4}},{"id":"6cd86880-42ae-4c63-befa-6dc1b0e87061","block_type":"box","text":"Index 2060 Fund, BlackRock LifePath","page_number":140,"box":{"x":538,"y":493,"width":264,"height":11}},{"id":"f0bf1da3-f2a6-4252-a185-a57054c0e3b4","block_type":"box","text":"®","page_number":140,"box":{"x":803,"y":494,"width":6,"height":4}},{"id":"5d8faa66-254c-4728-959d-550686219b35","block_type":"box","text":"Index 2065","page_number":140,"box":{"x":815,"y":493,"width":80,"height":9}},{"id":"3f5f6997-cd95-41ad-8d12-f7ca44b72440","block_type":"box","text":"Fund, BlackRock LifePath","page_number":140,"box":{"x":70,"y":508,"width":177,"height":11}},{"id":"6d1e7bff-6974-4baf-a006-ffcd5a7a5bcc","block_type":"box","text":"®","page_number":140,"box":{"x":248,"y":509,"width":6,"height":4}},{"id":"ec42eec4-a2f4-4cdd-ac14-734a87c9c622","block_type":"box","text":"Index 2070 Fund and BlackRock LifePath","page_number":140,"box":{"x":261,"y":508,"width":290,"height":9}},{"id":"e9ec2737-d71c-4592-a3b2-1009792fc382","block_type":"box","text":"®","page_number":140,"box":{"x":552,"y":509,"width":6,"height":4}},{"id":"8880677a-93ce-4964-8857-5ee80245e30b","block_type":"box","text":"Index Retirement Fund of BlackRock Funds III,","page_number":140,"box":{"x":564,"y":508,"width":324,"height":11}},{"id":"ad2c97e1-1a35-45a7-9cb5-49ad805f0168","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":140,"box":{"x":68,"y":523,"width":401,"height":12}},{"id":"53d4d92a-bc41-4cc6-bd28-09d5a5608208","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":140,"box":{"x":167,"y":550,"width":206,"height":12}},{"id":"17789547-25f7-4e9e-95ef-b9e627e4538c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":140,"box":{"x":380,"y":551,"width":443,"height":9}},{"id":"6e342cd5-1f1b-4c43-afe1-2de11f2bcf81","block_type":"box","text":"With respect to Investor P Shares of iShares Municipal Bond Index Fund of BlackRock Funds","page_number":140,"box":{"x":101,"y":575,"width":657,"height":11}},{"id":"00e13786-e48e-4372-8da1-aacee599bc09","block_type":"box","text":"SM","page_number":140,"box":{"x":760,"y":575,"width":10,"height":5}},{"id":"4c932fab-5471-4e7d-aec1-aaae1f1cacac","block_type":"box","text":", the placement","page_number":140,"box":{"x":773,"y":575,"width":110,"height":11}},{"id":"ca1ca1cd-2311-4b2a-b8ad-d7d49567aff3","block_type":"box","text":"fees may be up to the following amounts:","page_number":140,"box":{"x":68,"y":590,"width":294,"height":11}},{"id":"10373414-a50f-4b68-b0e4-f0060e811cf7","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":140,"box":{"x":167,"y":617,"width":206,"height":11}},{"id":"4db142e9-b58f-4301-9d72-08bb2f8ab0f3","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":140,"box":{"x":380,"y":618,"width":443,"height":9}},{"id":"4ce3d990-936b-4f7f-97e4-252523cd35e7","block_type":"box","text":"There are no placement fees for Investor P Shares of iShares MSCI EAFE International Index Fund and iShares","page_number":140,"box":{"x":101,"y":642,"width":787,"height":11}},{"id":"362d2853-0302-403d-b166-fec994a97d7c","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":140,"box":{"x":70,"y":657,"width":808,"height":11}},{"id":"ff25edcc-2163-4d7e-a5f7-5ce51c66c24d","block_type":"box","text":"U.S. Aggregate Bond Index Fund of BlackRock Funds III.","page_number":140,"box":{"x":70,"y":672,"width":393,"height":11}},{"id":"2b156cfd-b21a-41e8-9fb7-f8a161c5568b","block_type":"box","text":"For the tables above, the placement fees indicated will apply up to the indicated breakpoint (so that, for","page_number":140,"box":{"x":102,"y":695,"width":740,"height":11}},{"id":"674ab5c6-2d47-4936-aa58-1fa5879b31b9","block_type":"box","text":"example, a sale of $4 million wor th of Investor A Shares of BlackRock Impact Mor tgage Fund of BlackRock Funds V","page_number":140,"box":{"x":69,"y":709,"width":823,"height":12}},{"id":"353a2d4d-9423-4d6c-a43a-c6f7123de38a","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":140,"box":{"x":68,"y":724,"width":780,"height":12}},{"id":"cfedbba1-5155-40b9-b197-33851f2fcafb","block_type":"box","text":"$1 million).","page_number":140,"box":{"x":69,"y":739,"width":79,"height":12}},{"id":"1d6001c9-269f-4c6a-a9a0-8544f7ea6799","block_type":"box","text":"Other.","page_number":140,"box":{"x":102,"y":763,"width":41,"height":9}},{"id":"22a8e02f-621b-4a71-91e8-3479a0024d1a","block_type":"box","text":"The following persons may also buy Investor A or Investor P Shares without paying a sales charge:","page_number":140,"box":{"x":149,"y":763,"width":698,"height":11}},{"id":"c73ecb51-33b1-4cec-92eb-22b368722272","block_type":"box","text":"(a) cer tain employer-sponsored retirement plans (for purposes of this waiver, employer-sponsored retirement plans do","page_number":140,"box":{"x":69,"y":778,"width":839,"height":11}},{"id":"ef181419-5cb0-4b7b-876f-721fd52cfacd","block_type":"box","text":"not include SEP IRAs, SIMPLE IRAs or SARSEPs); (b) rollovers of current investments through cer tain employer","page_number":140,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"7396c2ef-3f95-4b27-8b58-47cad5ee0e76","block_type":"box","text":"sponsored retirement plans provided the shares are transferred to Investor A or Investor P, as applicable, shares of","page_number":140,"box":{"x":69,"y":808,"width":825,"height":11}},{"id":"40fcb65b-a2c9-46c4-ac0f-b5049a29b1c6","block_type":"box","text":"the same or another BlackRock Fund as either a direct rollover, or subsequent to distribution, the rolled-over","page_number":140,"box":{"x":68,"y":823,"width":773,"height":11}},{"id":"9373a030-b25d-4335-b1cb-b18f5c5eb7db","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":140,"box":{"x":70,"y":839,"width":838,"height":11}},{"id":"4a4c2bc2-f73c-4fcb-a9ab-b8fa20dec1f2","block_type":"box","text":"that are sponsored by financial intermediary firms provided the financial intermediary firm has entered into a Class A","page_number":140,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"22978fd6-f696-4bff-bfb3-250bd087abb9","block_type":"box","text":"or Investor P NAV agreement, as applicable, with respect to such program with the Distributor; (c) insurance company","page_number":140,"box":{"x":69,"y":869,"width":836,"height":11}},{"id":"54afe307-d8aa-4aab-a86d-75f4c00c6729","block_type":"box","text":"separate accounts; (d) registered investment advisers, trust companies and bank trust depar tments exercising","page_number":140,"box":{"x":69,"y":884,"width":793,"height":11}},{"id":"67b2656b-fec5-492d-a333-5f27d91e1663","block_type":"box","text":"discretionary investment authority with respect to amounts to be invested in a Fund; (e) persons par ticipating in a","page_number":140,"box":{"x":69,"y":899,"width":811,"height":11}},{"id":"1f248bcb-8cb2-49d7-a699-c1b16ff477d7","block_type":"box","text":"II-103","page_number":140,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"27586ea3-eb26-46a1-870c-59370f52fa50","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":140,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"480f3b51-27d8-4ab1-a1da-fa27a2728875","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":141,"box":{"x":68,"y":45,"width":827,"height":11}},{"id":"e6e94ab6-3e42-474e-9a55-5c42ec4e3ef2","block_type":"box","text":"institution; (f) financial intermediaries who have entered into an agreement with the Distributor and have been","page_number":141,"box":{"x":70,"y":60,"width":782,"height":11}},{"id":"67ca4d2b-1c32-4a27-b490-d852e1592f66","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":141,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"3f544856-826b-413b-b887-36f04f4f315c","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":141,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"4336e9a7-ee70-49a6-bb3c-8b57999c435f","block_type":"box","text":"IRAs as permitted under the Internal Revenue Code; (h) with respect to Investor A Shares only, accounts opened","page_number":141,"box":{"x":70,"y":105,"width":799,"height":11}},{"id":"6fade059-f0b5-432a-97f5-6206d5349657","block_type":"box","text":"directly with a Fund that do not have a financial intermediary associated with the account; and (i) persons","page_number":141,"box":{"x":69,"y":120,"width":752,"height":11}},{"id":"5f7d8f24-11a1-4fd7-9fa3-0c627c89168e","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":141,"box":{"x":70,"y":135,"width":836,"height":11}},{"id":"1c2019eb-edfd-4cf6-b05f-3c0788c65e00","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":141,"box":{"x":69,"y":150,"width":812,"height":12}},{"id":"52462a95-a730-45cb-a07f-ce201ad827d3","block_type":"box","text":"Sub-Advisers, Transfer Agent, Distributor, fund accounting agents, Barclays PLC and their affiliates may buy Investor A","page_number":141,"box":{"x":69,"y":166,"width":840,"height":11}},{"id":"342128b3-e9ab-41e5-899b-9ad8000784af","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":141,"box":{"x":69,"y":181,"width":788,"height":11}},{"id":"631afa9d-eb7c-4e1f-b310-bc51d20bbe0f","block_type":"box","text":"including: (a) officers, directors and par tners; (b) employees and retirees; (c) employees or registered representatives","page_number":141,"box":{"x":70,"y":196,"width":838,"height":11}},{"id":"0307a13a-1472-4d27-924f-15fdec1a7cac","block_type":"box","text":"of firms who have entered into selling agreements to distribute shares of BlackRock-advised funds; (d) immediate","page_number":141,"box":{"x":69,"y":211,"width":810,"height":11}},{"id":"c886b1e4-4730-43d6-8176-4e95290f0960","block_type":"box","text":"family members of such persons (“immediate family members” shall be defined as the investor, the investor’s","page_number":141,"box":{"x":68,"y":226,"width":787,"height":11}},{"id":"afd01274-80ff-42f2-9d63-1ab2a4c875df","block_type":"box","text":"spouse or domestic par tner, children, parents and siblings); and (e) any trust, pension, profit-sharing or other benefit","page_number":141,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"44378798-7e4b-4d6e-8cff-3702b2478f50","block_type":"box","text":"plan for any of the persons set for th in (a) through (d). Investors who qualify for any of these exemptions from the","page_number":141,"box":{"x":70,"y":256,"width":808,"height":12}},{"id":"2cae1806-1860-405c-8745-1f3305e05570","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":141,"box":{"x":69,"y":271,"width":837,"height":12}},{"id":"e711f3d2-e71a-4d4f-83d1-030ea24b866a","block_type":"box","text":"investors exchanging Investor A Shares of one BlackRock Fund for Investor P Shares of another BlackRock Fund, or","page_number":141,"box":{"x":70,"y":286,"width":820,"height":12}},{"id":"8d45fe9a-1abf-4a93-b9f4-76e978c4f8a4","block_type":"box","text":"exchanging Investor P Shares of one BlackRock Fund for Investor A Shares of another BlackRock Fund, through an","page_number":141,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"f66ed1a8-6609-4dd6-9415-edbb20b4277f","block_type":"box","text":"intermediary-processed exchange, provided that the investor had previously paid a sales charge with respect to such","page_number":141,"box":{"x":70,"y":317,"width":831,"height":11}},{"id":"75eecbf4-cf34-46d6-87ce-8658c1af7a9c","block_type":"box","text":"shares. The availability of Investor A or Investor P Shares sales charge waivers may depend upon the policies,","page_number":141,"box":{"x":69,"y":332,"width":783,"height":11}},{"id":"3b10b8b5-7495-48ad-8377-df4925f69ace","block_type":"box","text":"procedures and trading platforms of your financial intermediary; consult your financial adviser.","page_number":141,"box":{"x":70,"y":347,"width":668,"height":11}},{"id":"87114d67-5ff5-4e0d-82e0-66704475dcd9","block_type":"box","text":"If you invest $1,000,000 ($250,000 for BlackRock Dynamic High Income Por tfolio, BlackRock Multi-Asset","page_number":141,"box":{"x":102,"y":369,"width":754,"height":12}},{"id":"042f5b08-caf3-4703-8708-e72b0908b1b4","block_type":"box","text":"Income Por tfolio and BlackRock Managed Income Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund","page_number":141,"box":{"x":70,"y":385,"width":823,"height":11}},{"id":"68665dde-8023-4c57-9a54-68d9e2e55d04","block_type":"box","text":"of BlackRock Funds IV, BlackRock Total Return Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund,","page_number":141,"box":{"x":69,"y":400,"width":833,"height":10}},{"id":"07564c9c-b04c-4dde-9fef-a7beb202654c","block_type":"box","text":"Inc., BlackRock National Municipal Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Shor t Duration Muni","page_number":141,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"5bdf231f-4715-407d-8b61-3dd7539fceb7","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Strategic Municipal Oppor tunities Fund of BlackRock","page_number":141,"box":{"x":70,"y":430,"width":781,"height":11}},{"id":"44e42521-308d-4e4d-af42-47b3584e3e41","block_type":"box","text":"Municipal Series Trust, BlackRock California Municipal Oppor tunities Fund of BlackRock California Municipal Series","page_number":141,"box":{"x":70,"y":445,"width":819,"height":11}},{"id":"fed8f4dc-588b-4f80-b45a-a9bc2bb73c80","block_type":"box","text":"Trust, BlackRock New York Municipal Oppor tunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":141,"box":{"x":68,"y":460,"width":835,"height":12}},{"id":"82e57f77-9084-4509-bb85-3ee0a2790161","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity","page_number":141,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"7ac5ebda-962b-4d30-9282-8408fa9852d3","block_type":"box","text":"Fund and BlackRock Balanced Fund, Inc., and $500,000 for BlackRock Low Duration Bond Por tfolio, BlackRock","page_number":141,"box":{"x":70,"y":490,"width":792,"height":11}},{"id":"13088cd4-8e60-4c63-8504-d19229a52cfd","block_type":"box","text":"Floating Rate Income Por tfolio, BlackRock Income Fund and BlackRock Strategic Income Oppor tunities Por tfolio of","page_number":141,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"d7eb56c1-0201-4a96-9462-485da3411fb3","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":141,"box":{"x":70,"y":521,"width":837,"height":11}},{"id":"b388237d-0874-4b5a-a741-6d95448a0e19","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":141,"box":{"x":70,"y":536,"width":790,"height":11}},{"id":"b4c1be3a-4422-43ad-8da0-7316eb303e36","block_type":"box","text":"shor ter holding period may apply depending on the Fund), you may be charged a deferred sales charge.","page_number":141,"box":{"x":69,"y":551,"width":736,"height":11}},{"id":"db4061cf-f5ee-4a6e-97fb-3a3d2d07c6c0","block_type":"box","text":"A deferred sales charge of up to 1.00% may apply to cer tain redemptions of Investor A Shares of the Index","page_number":141,"box":{"x":101,"y":574,"width":763,"height":11}},{"id":"79169bfd-aabb-4bfc-8ed3-3c7c1232343b","block_type":"box","text":"Funds and BlackRock Shor t Obligations Fund purchased in an exchange transaction for Investor A Shares of a","page_number":141,"box":{"x":70,"y":589,"width":782,"height":11}},{"id":"b3000b6d-bc90-4fd6-a872-b57bfc56e43b","block_type":"box","text":"por tfolio advised by BlackRock or its affiliates where no initial sales charge was paid at the time of purchase of such","page_number":141,"box":{"x":70,"y":604,"width":832,"height":11}},{"id":"10267dc0-7e41-4aa9-a705-a39cfe28541d","block_type":"box","text":"fund (an “Investor A Load-Waived BlackRock Por tfolio”) as par t of an investment of $1,000,000 (lesser amounts may","page_number":141,"box":{"x":68,"y":618,"width":839,"height":12}},{"id":"93f181d1-c9f5-4124-90c7-662fddd0ca79","block_type":"box","text":"apply depending on the Investor A Load-Waived BlackRock Por tfolio) or more. The Investor A Shares deferred sales","page_number":141,"box":{"x":69,"y":634,"width":817,"height":12}},{"id":"672baa0d-3bb1-4d3c-b999-c33d610ca145","block_type":"box","text":"charge is only charged upon redemptions of Investor A Shares within 18 months after you originally acquired such","page_number":141,"box":{"x":69,"y":649,"width":811,"height":12}},{"id":"212d6ffb-fcb8-4460-8a3f-2f4140b5bc2d","block_type":"box","text":"Investor A Shares of the Investor A Load-Waived BlackRock Por tfolio (a shor ter holding period may apply depending","page_number":141,"box":{"x":70,"y":664,"width":818,"height":12}},{"id":"779fe078-cb0a-42a5-a638-fbb3d27a297b","block_type":"box","text":"on the Investor A Load-Waived BlackRock Por tfolio), unless you qualify for a waiver. There is no deferred sales charge","page_number":141,"box":{"x":69,"y":680,"width":836,"height":11}},{"id":"30da9535-0f2a-4597-9f58-f7ae015d5cc5","block_type":"box","text":"charged on redemptions if you have owned your Investor A Shares for more than 18 months (or for a shor ter holding","page_number":141,"box":{"x":69,"y":695,"width":830,"height":11}},{"id":"21c6eb57-7f41-4c1c-81c2-8154e6da8e97","block_type":"box","text":"period, as applicable) (as measured from your original purchase of Investor A Shares that you exchanged into","page_number":141,"box":{"x":70,"y":710,"width":778,"height":11}},{"id":"3e67457e-9a0d-4391-a535-e0806d9ad20e","block_type":"box","text":"Investor A Shares of the Index Fund or BlackRock Shor t Obligations Fund).","page_number":141,"box":{"x":70,"y":725,"width":526,"height":11}},{"id":"3c651b5d-68e0-433e-b73a-6b864247a2da","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":141,"box":{"x":101,"y":748,"width":788,"height":11}},{"id":"f22399ad-0f8c-4d34-b94c-c4476d884a81","block_type":"box","text":"(a) redemptions of Investor A or Investor P Shares purchased through cer tain employer-sponsored retirement plans","page_number":141,"box":{"x":69,"y":763,"width":819,"height":11}},{"id":"ce10ae68-b78c-4423-bf3c-ec40623a355c","block_type":"box","text":"and rollovers of current investments in a Fund through such plans; (b) exchanges described in “Exchange Privilege”","page_number":141,"box":{"x":69,"y":778,"width":820,"height":11}},{"id":"593314cf-9627-4733-8731-3e098316e8ff","block_type":"box","text":"below; (c) redemptions made in connection with minimum required distributions from IRA and 403(b)(7) accounts due","page_number":141,"box":{"x":69,"y":793,"width":837,"height":11}},{"id":"e6266e1f-c1a2-4e3b-aed9-f5786e5df40d","block_type":"box","text":"to the shareholder reaching the applicable age triggering such distributions; (d) redemptions made with respect to","page_number":141,"box":{"x":68,"y":808,"width":812,"height":11}},{"id":"a1b6dbdb-2144-4935-845b-79d0bc6db9ac","block_type":"box","text":"cer tain retirement plans sponsored by a Fund, BlackRock or its affiliates; (e) redemptions (i) within one year of a","page_number":141,"box":{"x":69,"y":823,"width":803,"height":11}},{"id":"1e1cc1c4-4145-42b4-ade3-a9e55c6886d1","block_type":"box","text":"shareholder’s death or, if later, the receipt of a cer tified probate settlement (including in connection with the","page_number":141,"box":{"x":69,"y":838,"width":772,"height":12}},{"id":"71b61831-6df6-414c-838f-b881ecf7f313","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":141,"box":{"x":69,"y":853,"width":835,"height":12}},{"id":"9824dd0e-a2a6-4f2a-ab8c-424bd330c7ad","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":141,"box":{"x":69,"y":869,"width":814,"height":11}},{"id":"f65d4f55-c506-4585-bcfa-9a615b4a1e83","block_type":"box","text":"Investor A or Investor P Shares in accounts with low balances; (g) cer tain redemptions made pursuant to the","page_number":141,"box":{"x":70,"y":884,"width":772,"height":11}},{"id":"88b19ef5-6cb8-4f5d-a6eb-1d4b64f75cea","block_type":"box","text":"Systematic Withdrawal Plan (described below); (h) redemptions related to the payment of BNY Mellon Investment","page_number":141,"box":{"x":69,"y":899,"width":805,"height":11}},{"id":"e96187b4-5a52-4525-b0d5-01ae11eba7d2","block_type":"box","text":"II-104","page_number":141,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"747214ad-8b89-4307-8926-c0a7a7d6b39f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":141,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8fb99d21-ff8b-425a-b6f7-5b58dfde316f","block_type":"box","text":"Servicing Trust Company custodial IRA fees; and (i) redemptions when a shareholder can demonstrate hardship, in","page_number":142,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"7d50659c-57c0-46e0-9ce7-5599a7910eb2","block_type":"box","text":"the absolute discretion of a Fund.","page_number":142,"box":{"x":68,"y":60,"width":239,"height":9}},{"id":"ae3c6e3f-9525-4d11-99b0-60b15f30e5b4","block_type":"box","text":"With respect to cer tain employer-sponsored retirement plans, if a dealer waives its right to receive a placement","page_number":142,"box":{"x":101,"y":82,"width":794,"height":12}},{"id":"0c2b250f-e248-4326-9819-a9c77fd9d9cf","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":142,"box":{"x":68,"y":97,"width":776,"height":12}},{"id":"3e4d25a0-db46-4147-a905-361a8d5af9ee","block_type":"box","text":"BlackRock Dynamic High Income Por tfolio, BlackRock Multi-Asset Income Por tfolio and BlackRock Managed Income","page_number":142,"box":{"x":70,"y":113,"width":821,"height":11}},{"id":"d8b24e2a-ae17-4535-b245-ed641c12953b","block_type":"box","text":"Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund of BlackRock Funds IV, BlackRock Total Return","page_number":142,"box":{"x":70,"y":128,"width":800,"height":10}},{"id":"9630ca68-a953-4810-915d-b278b9090525","block_type":"box","text":"Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund, Inc., BlackRock National Municipal Fund of","page_number":142,"box":{"x":70,"y":143,"width":806,"height":11}},{"id":"a5cab398-27a5-4ee8-bf9a-d66cb0389857","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc., BlackRock Shor t Duration Muni Fund of BlackRock Municipal Bond Fund, Inc.,","page_number":142,"box":{"x":70,"y":158,"width":823,"height":11}},{"id":"435f55e1-54e3-486e-ab9e-d273856ac750","block_type":"box","text":"BlackRock Strategic Municipal Oppor tunities Fund of BlackRock Municipal Series Trust, BlackRock California","page_number":142,"box":{"x":70,"y":173,"width":770,"height":11}},{"id":"a855ef44-643f-463c-80a9-318ea30ca7f4","block_type":"box","text":"Municipal Oppor tunities Fund of BlackRock California Municipal Series Trust, BlackRock New York Municipal","page_number":142,"box":{"x":70,"y":188,"width":766,"height":11}},{"id":"5b40029a-2261-48ea-b13a-dad75034381d","block_type":"box","text":"Oppor tunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock Pennsylvania Municipal Bond Fund of","page_number":142,"box":{"x":69,"y":203,"width":837,"height":12}},{"id":"bb16839c-db3b-413c-a3cb-0106f51200e2","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity Fund and BlackRock Balanced Fund,","page_number":142,"box":{"x":70,"y":219,"width":805,"height":11}},{"id":"d6ba2b1f-77c0-4f67-b742-61e8d5c2eab0","block_type":"box","text":"Inc., and $500,000 for BlackRock Low Duration Bond Por tfolio, BlackRock Floating Rate Income Por tfolio, BlackRock","page_number":142,"box":{"x":70,"y":233,"width":832,"height":12}},{"id":"d9bb3460-b5f0-4f28-bc0c-5398cea729dd","block_type":"box","text":"Income Fund and BlackRock Strategic Income Oppor tunities Por tfolio of BlackRock Funds V) or more of Investor A or","page_number":142,"box":{"x":70,"y":249,"width":828,"height":11}},{"id":"ab609f5e-3547-4afd-8d7b-4f8205c34ef3","block_type":"box","text":"Investor P Shares. This may depend upon the policies, procedures and trading platforms of your financial","page_number":142,"box":{"x":70,"y":264,"width":746,"height":11}},{"id":"3d44f8ca-22bc-4fa5-a180-74a679cdddcf","block_type":"box","text":"intermediary; consult your financial adviser.","page_number":142,"box":{"x":70,"y":279,"width":307,"height":11}},{"id":"73471663-b418-40c5-90da-563ec0135029","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":142,"box":{"x":102,"y":302,"width":799,"height":11}},{"id":"ddf44589-3e60-4508-b444-6dc991db2e29","block_type":"box","text":"to transfer investment positions from a foreign registered investment company advised by BlackRock or its affiliates","page_number":142,"box":{"x":68,"y":317,"width":829,"height":11}},{"id":"433950cf-50e6-4f0b-825b-45bac38f4265","block_type":"box","text":"to a U.S. registered BlackRock-advised fund.","page_number":142,"box":{"x":68,"y":332,"width":317,"height":11}},{"id":"cad2b4c1-c175-4551-a495-7bb1dcf1f463","block_type":"box","text":"Acquisition of Cer tain Investment Companies.","page_number":142,"box":{"x":101,"y":355,"width":326,"height":11}},{"id":"a7c629f3-774c-4ebb-a92b-35281fc6a376","block_type":"box","text":"Investor A and Investor P Shares may be offered at NAV in","page_number":142,"box":{"x":434,"y":355,"width":413,"height":11}},{"id":"83840244-e8c1-4d68-bd99-dda3763c87ab","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":142,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"36d2eb16-1094-49b3-b0c4-840c63580e77","block_type":"box","text":"public or private investment company.","page_number":142,"box":{"x":70,"y":385,"width":266,"height":11}},{"id":"9b26d2fc-3e1a-438a-bd65-c10377947f31","block_type":"box","text":"Purchases Through Cer tain Financial Intermediaries.","page_number":142,"box":{"x":102,"y":408,"width":372,"height":11}},{"id":"07ef6fdb-d6b1-4f7c-80d3-d1babf873a08","block_type":"box","text":"Reduced sales charges may be applicable for purchases of","page_number":142,"box":{"x":481,"y":407,"width":421,"height":12}},{"id":"6d633778-f662-4c42-957f-d4c6f6d3a24a","block_type":"box","text":"Investor A, Investor A1 or Investor P Shares of a Fund through cer tain financial advisers, selected securities dealers","page_number":142,"box":{"x":70,"y":423,"width":825,"height":11}},{"id":"bd1f0e1f-0ea4-4105-b3f4-1a2d0f1958ab","block_type":"box","text":"and other financial intermediaries that meet and adhere to standards established by the Manager from time to time.","page_number":142,"box":{"x":69,"y":438,"width":830,"height":11}},{"id":"6affb351-60bb-4af0-b52c-f2341388eba7","block_type":"box","text":"Deferred Sales Charge Alternative — Investor C Shares","page_number":142,"box":{"x":69,"y":468,"width":405,"height":11}},{"id":"fc24016f-8b99-4c87-ac94-639c7c77ffc4","block_type":"box","text":"Investors choosing the deferred sales charge alternative should consider Investor C Shares if they are uncer tain","page_number":142,"box":{"x":102,"y":491,"width":799,"height":11}},{"id":"64ce7b92-777a-4f55-9b21-d92313895959","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":142,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"5d033ef6-30ae-487d-ae0e-c04dca41f8c3","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":142,"box":{"x":70,"y":520,"width":778,"height":12}},{"id":"857b4741-15be-4e7e-8169-840f376576a1","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":142,"box":{"x":70,"y":536,"width":826,"height":11}},{"id":"e61e5a0b-76e1-4734-a2ca-7cb0c9cb68df","block_type":"box","text":"set a lower maximum for Investor C Shares.","page_number":142,"box":{"x":69,"y":551,"width":311,"height":9}},{"id":"dacd9b20-9114-4cd7-8025-ee102b02d7dc","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":142,"box":{"x":102,"y":574,"width":789,"height":11}},{"id":"6c5c6b20-47f2-4324-a86f-61b09ede584e","block_type":"box","text":"intermediary associated with the account.","page_number":142,"box":{"x":70,"y":589,"width":297,"height":11}},{"id":"cbf3256c-217f-4a4e-b583-f1b388750c43","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":142,"box":{"x":102,"y":612,"width":669,"height":11}},{"id":"84228a40-a106-4605-a48a-bb496a7fafb0","block_type":"box","text":"The deferred sales charge alternatives may be par ticularly appealing to investors who do not qualify for the","page_number":142,"box":{"x":101,"y":634,"width":763,"height":12}},{"id":"d9b12e28-4a72-4b22-bf39-91891c954df3","block_type":"box","text":"reduction in initial sales charges. CDSC shares are subject to ongoing service fees and distribution fees; however,","page_number":142,"box":{"x":69,"y":649,"width":815,"height":12}},{"id":"87c03f52-a7d1-4dbd-819f-befc26bbf7d2","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":142,"box":{"x":68,"y":664,"width":813,"height":12}},{"id":"2f6e7e6a-401d-49a1-9b19-fd989f3a5e1e","block_type":"box","text":"CDSC shares.","page_number":142,"box":{"x":69,"y":680,"width":97,"height":9}},{"id":"ce651dfe-0d1c-45e5-b445-80ea92f6636b","block_type":"box","text":"BlackRock compensates financial advisers and other financial intermediaries for selling CDSC shares at the time","page_number":142,"box":{"x":102,"y":702,"width":804,"height":12}},{"id":"be22310c-57af-4341-a66a-fc0e4c9985bb","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":142,"box":{"x":69,"y":717,"width":827,"height":11}},{"id":"25fcca98-3453-4818-bb9a-a986364b2bd1","block_type":"box","text":"used by the Distributor to defray the expenses of securities dealers or other financial intermediaries related to","page_number":142,"box":{"x":69,"y":732,"width":786,"height":12}},{"id":"c26364d0-b09d-42cf-9ef3-e93adf84ac71","block_type":"box","text":"providing distribution-related services to each Fund in connection with the sale of the CDSC shares. The combination","page_number":142,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"ffb37ecf-abe7-4202-9b4f-97f0417d2ff0","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":142,"box":{"x":69,"y":763,"width":809,"height":11}},{"id":"1f0313ae-e235-46bf-bfac-23b627640f95","block_type":"box","text":"sales charge being deducted at the time of purchase. See “Distribution and/or Shareholder Servicing Plans” below.","page_number":142,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"b40a78a9-acae-4d90-a4fd-391595949c8c","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":142,"box":{"x":70,"y":793,"width":822,"height":11}},{"id":"97b42073-5918-45ed-94d8-6acd8bfd3f9c","block_type":"box","text":"sales charge rule. See “Limitations on the Payment of Deferred Sales Charges” below.","page_number":142,"box":{"x":69,"y":808,"width":618,"height":11}},{"id":"9a7a4677-d184-4c4e-9d40-2d5b0315b06c","block_type":"box","text":"Dealers will generally immediately receive commissions equal to 1.00% of the Investor C Shares sold by them","page_number":142,"box":{"x":102,"y":831,"width":782,"height":11}},{"id":"8a948757-b4ec-4f03-8284-c941d9542356","block_type":"box","text":"plus ongoing fees under the Fund’s Distribution and Service Plan. Dealers may not receive a commission in","page_number":142,"box":{"x":70,"y":846,"width":764,"height":11}},{"id":"26c3091a-0e57-4c8b-ad6a-d060c394023b","block_type":"box","text":"connection with sales of Investor C Shares to cer tain employer-sponsored retirement plans sponsored by the Fund,","page_number":142,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"394d3e0e-5f6d-4c9d-995d-0557cc4e425b","block_type":"box","text":"BlackRock or its affiliates, but may receive fees under the Distribution and Service Plan. These commissions and","page_number":142,"box":{"x":70,"y":876,"width":806,"height":11}},{"id":"dc9edd6c-f411-4d96-9dc3-77225b183554","block_type":"box","text":"payments may be different than the reallowances, placement fees and commissions paid to dealers in connection","page_number":142,"box":{"x":70,"y":891,"width":813,"height":11}},{"id":"27066c45-e9b2-4291-9985-a69dac26489f","block_type":"box","text":"II-105","page_number":142,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e18e8e28-de2a-4465-97ff-2eea72e0b41a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":142,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"47c7f2b2-1b99-4ace-a9a5-7a1514998935","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":143,"box":{"x":68,"y":45,"width":811,"height":11}},{"id":"d3eabd3e-d7dd-418a-afab-80bd1ffc7169","block_type":"box","text":"trading platforms of your financial intermediary; consult your financial adviser.","page_number":143,"box":{"x":68,"y":60,"width":554,"height":11}},{"id":"8f9a41a0-b9b2-4dfd-a889-50ca483e1e60","block_type":"box","text":"Each Fund has adopted an automatic conversion feature for Investor C Shares. Effective November 23, 2020,","page_number":143,"box":{"x":102,"y":82,"width":783,"height":11}},{"id":"1d460031-1d7c-4be9-b798-c309c96acff2","block_type":"box","text":"Investor C Shares held for approximately eight years will be conver ted into Investor A Shares, as set for th in each","page_number":143,"box":{"x":70,"y":98,"width":808,"height":11}},{"id":"cdb1f3cf-d58d-4540-a11c-b309b77b8a58","block_type":"box","text":"Fund’s Prospectus. In addition, accounts that do not have a financial intermediary associated with them are not","page_number":143,"box":{"x":70,"y":113,"width":797,"height":11}},{"id":"2ceee2e1-f375-410d-9276-825a1896688a","block_type":"box","text":"eligible to hold Investor C Shares, and any Investor C Shares held in such accounts will be automatically conver ted to","page_number":143,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"ac5c8e61-3cb4-4183-91a0-979d21bc009b","block_type":"box","text":"Investor A Shares.","page_number":143,"box":{"x":70,"y":143,"width":128,"height":9}},{"id":"9118e912-0b3d-41dc-99b0-7e510222d927","block_type":"box","text":"Conversion of Investor C Shares to Investor A Shares","page_number":143,"box":{"x":102,"y":166,"width":378,"height":9}},{"id":"1c4d0fbe-57ab-42be-b26b-95f50a9fbdb5","block_type":"box","text":"Effective November 23, 2020 (the “Effective Date”), approximately eight years after purchase, Investor C Shares","page_number":143,"box":{"x":102,"y":188,"width":804,"height":12}},{"id":"6cbaeab5-f566-47b7-a84d-efbd998be21b","block_type":"box","text":"of each Fund will conver t automatically into Investor A Shares of that Fund (the “Investor C 8-Year Conversion”).","page_number":143,"box":{"x":69,"y":203,"width":794,"height":12}},{"id":"bbdf4966-ce5c-4bbc-b547-3955f652b4f3","block_type":"box","text":"Cer tain funds (the “Predecessor Funds”) were reorganized into new Funds (the “Successor Funds”) pursuant to","page_number":143,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"35010e04-c6d6-4819-b439-290c095af5cf","block_type":"box","text":"reorganizations which occurred in September 2018. The holding period for Investor C Shares of Successor Funds","page_number":143,"box":{"x":69,"y":234,"width":806,"height":11}},{"id":"37fb52c2-3c65-4d82-9290-239a3e79caa3","block_type":"box","text":"includes the period such shares were held in the respective Predecessor Fund. It is the financial intermediary’s","page_number":143,"box":{"x":70,"y":249,"width":793,"height":11}},{"id":"e85351e4-e5f7-4824-9853-8d06a3a46a79","block_type":"box","text":"responsibility to ensure that the shareholder is credited with the proper holding period. As of the Effective Date,","page_number":143,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"2c73797d-6cf8-490d-8f51-15c9dca528a9","block_type":"box","text":"cer tain financial intermediaries, including group retirement recordkeeping platforms, may not have been tracking","page_number":143,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"f92562cc-b689-4121-8f86-abd19beab6a6","block_type":"box","text":"such holding periods and therefore may not be able to process such conversions. In such instances, Investor C","page_number":143,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"18a2c2ae-6be8-4e61-9ba1-2e7bc8d6fe62","block_type":"box","text":"Shares held as of the Effective Date will automatically conver t to Investor A Shares approximately eight years after","page_number":143,"box":{"x":69,"y":309,"width":817,"height":11}},{"id":"d301f034-5e77-4383-a52e-ec9f8245c3e8","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":143,"box":{"x":68,"y":324,"width":814,"height":12}},{"id":"3035b9d1-756d-41d7-9ce5-5fee1697e5c6","block_type":"box","text":"not implemented systems or procedures to track holding periods commencing from the Effective Date, shareholders","page_number":143,"box":{"x":69,"y":339,"width":828,"height":12}},{"id":"96f7342b-0689-41a3-a465-aaeec19770be","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":143,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"b5fe869a-1a82-4a79-b41c-857ca7d84329","block_type":"box","text":"any such shares will conver t to Investor A Shares as soon as reasonably practicable after such date.","page_number":143,"box":{"x":69,"y":370,"width":718,"height":11}},{"id":"c7c91937-3023-4e63-8a69-e3881ae5e60c","block_type":"box","text":"In addition, accounts that do not have a financial intermediary associated with them are not eligible to hold","page_number":143,"box":{"x":102,"y":392,"width":764,"height":12}},{"id":"1276e493-e876-4928-af9e-30e10072c70e","block_type":"box","text":"Investor C Shares, and any Investor C Shares held in such accounts will be automatically conver ted into Investor A","page_number":143,"box":{"x":70,"y":408,"width":816,"height":11}},{"id":"7be78ed6-a864-44dc-8229-0b94615ac6ce","block_type":"box","text":"Shares (the “Investor C Direct Accounts Conversion” and together with the Investor C 8-Year Conversion, the","page_number":143,"box":{"x":69,"y":423,"width":772,"height":11}},{"id":"56d16f14-fa43-462a-aed4-b4eaca77347e","block_type":"box","text":"“Investor C Conversions”).","page_number":143,"box":{"x":70,"y":438,"width":186,"height":11}},{"id":"ebc65e6a-1946-4434-86b2-299337a1ffd2","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":143,"box":{"x":101,"y":460,"width":776,"height":11}},{"id":"ebdf6242-d669-4443-842a-26fa4073c641","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":143,"box":{"x":69,"y":475,"width":824,"height":11}},{"id":"af5f955a-0adc-453f-8769-c5b132769664","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":143,"box":{"x":70,"y":491,"width":827,"height":11}},{"id":"55ce8059-1a5a-4083-90e0-d1854153d3af","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":143,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"f649621e-c7e0-4119-848c-26faad486aa4","block_type":"box","text":"Shares will also conver t automatically to Investor A Shares, as set for th in each Fund’s Prospectus. The Investor C","page_number":143,"box":{"x":69,"y":521,"width":818,"height":11}},{"id":"cf5bdc90-e06a-4333-b225-78593cffa7dc","block_type":"box","text":"Conversion Date for dividend reinvestment shares will be calculated taking into account the length of time the shares","page_number":143,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"a4e292bd-a714-42d6-a919-ad6426905d9a","block_type":"box","text":"underlying the dividend reinvestment shares were outstanding.","page_number":143,"box":{"x":69,"y":551,"width":445,"height":11}},{"id":"4cca4186-6991-4815-9135-1cdc96179360","block_type":"box","text":"Contingent Deferred Sales Charge — Investor C Shares","page_number":143,"box":{"x":102,"y":574,"width":396,"height":11}},{"id":"ac6f6baf-8878-4111-843e-19bc998efb97","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":143,"box":{"x":102,"y":596,"width":804,"height":12}},{"id":"59af0d24-7792-4b9c-bbf6-946f37a28e20","block_type":"box","text":"percentage of the dollar amount subject thereto. In determining whether an Investor C Shares CDSC is applicable to","page_number":143,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"6ac90f3c-e784-4340-8559-0de24a42a0c4","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":143,"box":{"x":69,"y":627,"width":837,"height":11}},{"id":"3d27742b-4127-497b-9306-3cd978f1adee","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":143,"box":{"x":68,"y":642,"width":795,"height":11}},{"id":"4625b07d-0b76-4ba4-bbe8-93bb13742600","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":143,"box":{"x":69,"y":657,"width":840,"height":11}},{"id":"158bc0f2-796d-401c-8ced-e244fda4abbc","block_type":"box","text":"Investor C Shares. In addition, no CDSC will be assessed on Investor C Shares acquired through reinvestment of","page_number":143,"box":{"x":70,"y":672,"width":804,"height":11}},{"id":"878cd02c-5b08-4298-a8c4-865e2108fc7c","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":143,"box":{"x":69,"y":687,"width":772,"height":11}},{"id":"62f6e24b-da41-4563-a0ec-701b87d52f3f","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":143,"box":{"x":70,"y":702,"width":790,"height":12}},{"id":"7f8c9f39-85fd-4bfe-a4e8-937fb92750f3","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":143,"box":{"x":69,"y":717,"width":776,"height":9}},{"id":"00643458-d7a0-4151-ac07-31325d278cc3","block_type":"box","text":"redemption.","page_number":143,"box":{"x":69,"y":733,"width":83,"height":10}},{"id":"16644499-fb1c-4067-99d6-d7dcb6c3713b","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Par t I of each Fund’s SAI for","page_number":143,"box":{"x":102,"y":755,"width":734,"height":11}},{"id":"f6256c51-1234-43f4-9d30-beec0505b686","block_type":"box","text":"information about amounts paid to the Distributor in connection with CDSC shares for the periods indicated.","page_number":143,"box":{"x":70,"y":770,"width":769,"height":11}},{"id":"0453facc-dc08-48eb-900e-e4619247c1b4","block_type":"box","text":"Investor C Shares — Contingent Deferred Sales Charge Waivers and Reductions","page_number":143,"box":{"x":102,"y":793,"width":572,"height":11}},{"id":"34c37034-aac8-4f4d-968b-b74fee7e9e80","block_type":"box","text":"The CDSC on Investor C Shares is not charged in connection with: (1) redemptions of Investor C Shares","page_number":143,"box":{"x":101,"y":816,"width":740,"height":11}},{"id":"19a7cfd0-7e21-41cc-a0bf-28293d3bbc60","block_type":"box","text":"purchased through cer tain employer-sponsored retirement plans and fee-based programs previously approved by","page_number":143,"box":{"x":70,"y":831,"width":802,"height":11}},{"id":"2794820c-d9ce-45be-b179-093f751e1e71","block_type":"box","text":"cer tain Funds and rollovers of current investments in the Fund through such plans; (2) exchanges described in","page_number":143,"box":{"x":69,"y":846,"width":786,"height":11}},{"id":"b4db597f-f011-44c2-ba58-9a6f46208a6e","block_type":"box","text":"“Exchange Privilege” below; (3) redemptions made in connection with minimum required distributions due to the","page_number":143,"box":{"x":70,"y":861,"width":797,"height":11}},{"id":"2e78ccac-2831-4cd8-bd06-6c074b298071","block_type":"box","text":"shareholder reaching age 72 from IRA and 403(b)(7) accounts; (4) redemptions made with respect to cer tain","page_number":143,"box":{"x":69,"y":876,"width":776,"height":11}},{"id":"d6321442-287c-4f3c-9105-1605462bafc2","block_type":"box","text":"retirement plans sponsored by the Fund, BlackRock or its affiliates; (5) redemptions in connection with a","page_number":143,"box":{"x":69,"y":891,"width":747,"height":11}},{"id":"96d31302-3995-4f46-9fd4-29d278fe3db9","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":143,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"3c13752a-c411-4a44-8483-cc23c0de288c","block_type":"box","text":"II-106","page_number":143,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"3f26cb0c-47d9-46f6-8482-16faa8b712e4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":143,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b527fcbd-44f7-46ce-b8dd-892088054ef9","block_type":"box","text":"following completion of probate (including in connection with the distribution of account assets to a beneficiary of the","page_number":144,"box":{"x":68,"y":45,"width":836,"height":11}},{"id":"bdac233d-3eb5-4279-9f81-bb775e091013","block_type":"box","text":"decedent) or disability (as defined in the Code) subsequent to the purchase of Investor C Shares; (6) withdrawals","page_number":144,"box":{"x":69,"y":60,"width":806,"height":11}},{"id":"9bdd35a0-badf-457f-918c-8a298075182d","block_type":"box","text":"resulting from shareholder disability (as defined in the Code) as long as the disability arose subsequent to the","page_number":144,"box":{"x":69,"y":75,"width":786,"height":11}},{"id":"18d4c530-6a9d-42b3-a676-58a0e772629b","block_type":"box","text":"purchase of the shares; (7) involuntary redemptions of Investor C Shares in accounts with low balances as described","page_number":144,"box":{"x":70,"y":90,"width":834,"height":11}},{"id":"c9c57da5-2324-4e2d-bb5e-f338e4ee1d19","block_type":"box","text":"in “Redemption of Shares” below; (8) redemptions made pursuant to a systematic withdrawal plan, subject to the","page_number":144,"box":{"x":70,"y":105,"width":809,"height":11}},{"id":"342ddd56-589b-4c6d-9327-b2bd9edd64b6","block_type":"box","text":"limitations set for th under “Systematic Withdrawal Plan” below; (9) redemptions related to the payment of BNY","page_number":144,"box":{"x":70,"y":120,"width":791,"height":11}},{"id":"a499fafa-dc7f-45c3-b507-62c035e7b3a7","block_type":"box","text":"Mellon Investment Servicing Trust Company custodial IRA fees; and (10) redemptions when a shareholder can","page_number":144,"box":{"x":70,"y":135,"width":784,"height":12}},{"id":"3cbbd6e3-406b-4204-b3a1-4cf913b066d5","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":144,"box":{"x":69,"y":150,"width":824,"height":12}},{"id":"067aec81-7ef2-4b50-8d63-592011c0e95d","block_type":"box","text":"acquired through the reinvestment of dividends or distributions.","page_number":144,"box":{"x":69,"y":166,"width":451,"height":11}},{"id":"70bae39f-1144-48e2-93e0-1318a6b97b3b","block_type":"box","text":"Cer tain CDSC waivers and reductions on Investor C Shares may be available to customers of cer tain financial","page_number":144,"box":{"x":102,"y":188,"width":781,"height":11}},{"id":"3f1975af-0b09-4b7a-afb8-523f7cc4842c","block_type":"box","text":"intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the Fund’s Prospectus.","page_number":144,"box":{"x":70,"y":203,"width":813,"height":12}},{"id":"72a603fb-bce8-4281-8f85-7076c2e65859","block_type":"box","text":"Please speak to your financial intermediary for more information.","page_number":144,"box":{"x":69,"y":218,"width":462,"height":12}},{"id":"45b868b0-4594-4545-baa8-fce4918a4a04","block_type":"box","text":"Class R Shares","page_number":144,"box":{"x":69,"y":249,"width":110,"height":9}},{"id":"61f2e7bd-2457-4ebe-8137-52729198471f","block_type":"box","text":"Cer tain of the Funds offer Class R Shares as described in each such Fund’s Prospectus. Class R Shares are","page_number":144,"box":{"x":102,"y":271,"width":775,"height":11}},{"id":"7f414302-d86d-48eb-993a-7dc0c99adcff","block_type":"box","text":"available only to cer tain employer-sponsored retirement plans. Class R Shares are not subject to an initial sales","page_number":144,"box":{"x":69,"y":287,"width":799,"height":11}},{"id":"a5627f2b-47db-4983-91b2-e398270af43d","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":144,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"c2c2af9b-f801-43b1-b79c-f8a7e751a9ec","block_type":"box","text":"0.25% per year. Distribution fees are used to suppor t the Fund’s marketing and distribution effor ts, such as","page_number":144,"box":{"x":69,"y":317,"width":772,"height":11}},{"id":"b7cc4549-14d7-484e-8a37-c127d8c97bc1","block_type":"box","text":"compensating financial advisers and other financial intermediaries, adver tising and promotion. Service fees are used","page_number":144,"box":{"x":69,"y":332,"width":836,"height":11}},{"id":"2e772553-f579-489f-b153-56966164d192","block_type":"box","text":"to compensate securities dealers and other financial intermediaries for service activities.","page_number":144,"box":{"x":68,"y":347,"width":636,"height":11}},{"id":"a6a93d58-f6a7-4d56-ac8b-09769c3311e5","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":144,"box":{"x":102,"y":370,"width":791,"height":11}},{"id":"33d1cfe0-4678-4a47-907c-9e9b3e2fb854","block_type":"box","text":"have paid as a shareholder of one of the other share classes.","page_number":144,"box":{"x":69,"y":385,"width":440,"height":11}},{"id":"61a71bcf-1c30-451e-91fd-87f6870a1588","block_type":"box","text":"Class K Shares","page_number":144,"box":{"x":69,"y":415,"width":109,"height":9}},{"id":"5e54f19f-6c72-465f-af01-9e865bef103d","block_type":"box","text":"Cer tain Funds offer Class K Shares as described in each such Fund’s Prospectus. Class K Shares are available","page_number":144,"box":{"x":102,"y":438,"width":797,"height":11}},{"id":"1a5d11ab-22a4-4822-bc07-f44d3890d26e","block_type":"box","text":"only to (i) cer tain employee benefit plans, such as health savings accounts, and cer tain employer-sponsored","page_number":144,"box":{"x":69,"y":453,"width":772,"height":11}},{"id":"1f7e94c8-5ee3-47d7-afa7-f54317635646","block_type":"box","text":"retirement plans (not including SEP IRAs, SIMPLE IRAs and SARSEPs) (collectively, “Employer-Sponsored Retirement","page_number":144,"box":{"x":69,"y":468,"width":827,"height":11}},{"id":"567718df-6847-4594-990b-a28d1c571f7d","block_type":"box","text":"Plans”), (ii) collective trust funds, investment companies and other pooled investment vehicles, each of which may","page_number":144,"box":{"x":69,"y":483,"width":817,"height":11}},{"id":"56a52311-dfe6-4b6e-af3f-21d215b4aa67","block_type":"box","text":"purchase shares of the Fund through a financial intermediary that has entered into an agreement with the Distributor","page_number":144,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"b81e18c7-71a5-4af1-80cb-7af4a3c574e0","block_type":"box","text":"to purchase such shares, (iii) “Institutional Investors,” which include but are not limited to, endowments,","page_number":144,"box":{"x":68,"y":514,"width":748,"height":10}},{"id":"17150136-6de1-4a20-826a-dd6a39ecfe1d","block_type":"box","text":"foundations, family offices, banks and bank trusts, local, city, and state governmental institutions, corporations and","page_number":144,"box":{"x":68,"y":528,"width":828,"height":12}},{"id":"05515a46-dc51-4d06-a3f8-26d57d4661b4","block_type":"box","text":"insurance company separate accounts, each of which may purchase shares of the Fund through a financial","page_number":144,"box":{"x":70,"y":543,"width":760,"height":12}},{"id":"674aa0b7-29e6-4405-99df-de5f95183d52","block_type":"box","text":"intermediary that has entered into an agreement with the Distributor to purchase such shares, (iv) clients of private","page_number":144,"box":{"x":70,"y":559,"width":823,"height":11}},{"id":"ca91e206-57b1-453a-b001-a8127685c39b","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":144,"box":{"x":69,"y":574,"width":836,"height":11}},{"id":"bc31f3f8-198d-431e-be57-9a73d4a175f2","block_type":"box","text":"Distributor to sell such shares; (v) fee-based advisory platforms of a financial intermediary that (a) has specifically","page_number":144,"box":{"x":70,"y":589,"width":814,"height":11}},{"id":"1600190e-9d3e-4717-9970-703dd1d4fc3f","block_type":"box","text":"acknowledged in a written agreement with the Distributor and/or its affiliate(s) that the financial intermediary shall","page_number":144,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"30e7ab49-cfc9-470d-9ca6-08ae3972dc68","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":144,"box":{"x":69,"y":619,"width":823,"height":11}},{"id":"e367cfd9-48ed-4f05-98c5-afebbc42fd92","block_type":"box","text":"Fund’s shares through another intermediary that has executed such an agreement and (vi) any other investors who","page_number":144,"box":{"x":70,"y":634,"width":818,"height":12}},{"id":"30f379dc-c4c6-45bf-86d0-99ab7974a372","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":144,"box":{"x":69,"y":649,"width":833,"height":12}},{"id":"db7ccc09-1c0c-4716-b1d6-19a511144d96","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":144,"box":{"x":69,"y":664,"width":807,"height":12}},{"id":"7d6e922d-dc7a-43eb-8fb0-e05e54d7e363","block_type":"box","text":"agreement referenced in (iv) above shall appear in a supplemental agreement to any selling, sub-transfer agent, or","page_number":144,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"a329e1d0-3b21-4ef5-a33f-dbf8c7a189e4","block_type":"box","text":"distribution and marketing agreement.","page_number":144,"box":{"x":69,"y":695,"width":270,"height":11}},{"id":"fd652c98-f413-4df9-a933-814b9f047a05","block_type":"box","text":"Class K Shares are also available to employees, officers and directors/trustees of BlackRock, Inc. and","page_number":144,"box":{"x":102,"y":717,"width":734,"height":12}},{"id":"e0238687-044d-4378-9dce-593e92ecb84f","block_type":"box","text":"BlackRock Funds and immediate family members of such persons, if they open an account directly with BlackRock.","page_number":144,"box":{"x":70,"y":732,"width":817,"height":12}},{"id":"da09eda8-b37d-456f-8536-77eb06bb9468","block_type":"box","text":"Eligible individuals who would like to conver t existing holdings to Class K Shares must contact BlackRock.","page_number":144,"box":{"x":70,"y":748,"width":753,"height":11}},{"id":"78bf58eb-6051-4396-a422-539db53b984e","block_type":"box","text":"Class G Shares","page_number":144,"box":{"x":69,"y":778,"width":110,"height":9}},{"id":"a5b19db0-ef38-49be-8adc-8bd40ff313d7","block_type":"box","text":"Cer tain Funds offer Class G Shares, which are available only to investors on eligible platforms. Eligible platforms","page_number":144,"box":{"x":102,"y":801,"width":804,"height":11}},{"id":"0c5277c2-124c-44bb-a76d-406b0cde966a","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":144,"box":{"x":69,"y":816,"width":826,"height":11}},{"id":"69d4014d-f424-4e5e-97c0-c8b62fba8661","block_type":"box","text":"that meets an initial investment minimum of $2 billion. For clients investing through such eligible platforms, the Fund","page_number":144,"box":{"x":68,"y":830,"width":836,"height":12}},{"id":"ca2567dd-3950-421a-909b-61de78ab0faa","block_type":"box","text":"does not impose investment minimums on any individual investor. Financial intermediaries may impose separate","page_number":144,"box":{"x":69,"y":846,"width":803,"height":11}},{"id":"6bd7bf2a-fb7a-432c-8f65-16d83109c7d5","block_type":"box","text":"eligibility requirements.","page_number":144,"box":{"x":69,"y":861,"width":164,"height":11}},{"id":"1d62b439-7768-4ecd-a94f-dfe9d4ff98cf","block_type":"box","text":"II-107","page_number":144,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"c9f4edd8-72b2-477f-aed7-148dd6ea8893","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":144,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"284b4bb3-db33-4e3a-b0ac-2e3007daa39d","block_type":"box","text":"Service Shares","page_number":145,"box":{"x":68,"y":45,"width":109,"height":9}},{"id":"c583c123-0fd5-4da1-8ec9-83de82438dae","block_type":"box","text":"Cer tain Funds offer Service Shares, which are available only to cer tain investors, including: (i) cer tain financial","page_number":145,"box":{"x":102,"y":67,"width":788,"height":12}},{"id":"6ff31972-bb70-416f-a922-47a581798765","block_type":"box","text":"institutions, such as banks and brokerage firms, acting on behalf of their customers; (ii) cer tain persons who were","page_number":145,"box":{"x":70,"y":82,"width":815,"height":12}},{"id":"8db322d1-3432-4fdf-9132-75e6eea475c9","block_type":"box","text":"shareholders of the Compass Capital Group of Funds at the time of its combination with The PNC","page_number":145,"box":{"x":69,"y":98,"width":693,"height":11}},{"id":"f4f5c27e-fd42-4507-9ef7-119580276d69","block_type":"box","text":"®","page_number":145,"box":{"x":763,"y":98,"width":6,"height":4}},{"id":"cfe13531-0e29-4e38-bc8f-46735df9d622","block_type":"box","text":"Fund in 1996; and","page_number":145,"box":{"x":775,"y":98,"width":130,"height":10}},{"id":"3535e38d-2a38-49a2-9e9d-2ddd3b2568b1","block_type":"box","text":"(iii) par ticipants in the Capital Directions","page_number":145,"box":{"x":69,"y":113,"width":287,"height":11}},{"id":"e1c718f6-e2b2-402f-831a-8dce87130553","block_type":"box","text":"SM","page_number":145,"box":{"x":357,"y":113,"width":11,"height":5}},{"id":"1730229a-b6d4-4ada-a289-e5ad725d11f4","block_type":"box","text":"asset allocation program. Service Shares are not subject to an initial sales","page_number":145,"box":{"x":374,"y":113,"width":534,"height":11}},{"id":"a2169801-4021-473e-b31b-d4d4d1c9652e","block_type":"box","text":"charge or a CDSC but are subject to an ongoing service fee as set for th in the applicable Fund’s Prospectus.","page_number":145,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"62a26562-e2c5-4a0a-ba74-9de643bf9134","block_type":"box","text":"BlackRock Shares","page_number":145,"box":{"x":69,"y":158,"width":133,"height":9}},{"id":"a148bbb7-ee54-4837-990d-4984b3e77873","block_type":"box","text":"Cer tain Funds offer BlackRock Shares, which are available only to cer tain investors. BlackRock Shares are","page_number":145,"box":{"x":102,"y":181,"width":760,"height":11}},{"id":"65d366f5-4af8-4e5f-98e5-e76144cd2fe0","block_type":"box","text":"offered without a sales charge to institutional and individual investors, registered investment advisers and cer tain","page_number":145,"box":{"x":69,"y":196,"width":813,"height":11}},{"id":"e25b437d-028d-489b-ac2f-243a5bc7cd9f","block_type":"box","text":"fee-based programs.","page_number":145,"box":{"x":68,"y":211,"width":145,"height":11}},{"id":"44451f56-6376-48c3-af36-b9c13d2bd017","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans","page_number":145,"box":{"x":69,"y":241,"width":348,"height":11}},{"id":"d6d94444-ebcc-4635-a0e6-0e33a3ba4f88","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":145,"box":{"x":102,"y":264,"width":790,"height":11}},{"id":"fad1c0c9-9455-4734-90de-3a0711703249","block_type":"box","text":"respect to cer tain share classes that allows the Fund to pay distribution fees for the sale of its shares and","page_number":145,"box":{"x":69,"y":279,"width":761,"height":11}},{"id":"f6c33378-43f0-421c-8773-0c0406a9d52e","block_type":"box","text":"shareholder servicing fees for cer tain services provided to its shareholders.","page_number":145,"box":{"x":69,"y":294,"width":541,"height":11}},{"id":"b9eab334-d73d-4c1c-9719-7b7800c23bb7","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":145,"box":{"x":102,"y":317,"width":803,"height":11}},{"id":"72ffb5ff-7a6a-4a13-90c0-ef8fcd381779","block_type":"box","text":"BlackRock, fees for distribution and sales suppor t services with respect to Investor A, Investor A1, Investor C,","page_number":145,"box":{"x":70,"y":332,"width":783,"height":11}},{"id":"9299dd96-df73-4736-a4d7-f054bc484920","block_type":"box","text":"Investor P, Service and Class R Shares. Currently, as described fur ther below, only Investor C and Class R Shares","page_number":145,"box":{"x":70,"y":347,"width":809,"height":11}},{"id":"832da5a6-c317-401d-a84a-f355fcc01ceb","block_type":"box","text":"bear the expense of distribution fees under a Plan.","page_number":145,"box":{"x":69,"y":362,"width":360,"height":11}},{"id":"e612932c-57f3-4841-a3cb-5a2994fbe8f7","block_type":"box","text":"Each Fund has entered into a distribution agreement with BRIL under which BRIL, as agent, offers shares of","page_number":145,"box":{"x":102,"y":385,"width":770,"height":11}},{"id":"ae8afe43-2faf-47a2-bc57-96b0543b29ab","block_type":"box","text":"each Fund on a continuous basis. BRIL has agreed to use appropriate effor ts to effect sales of the shares, but it is","page_number":145,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"d8471657-f119-4f63-b6d4-192ffddaa8de","block_type":"box","text":"not obligated to sell any par ticular amount of shares. BRIL’s principal business address is 50 Hudson Yards, New","page_number":145,"box":{"x":69,"y":415,"width":812,"height":11}},{"id":"417c590b-d79d-484b-ae6d-01947b3f593d","block_type":"box","text":"York, NY 10001. BRIL is an affiliate of BlackRock.","page_number":145,"box":{"x":68,"y":430,"width":355,"height":11}},{"id":"37182d77-037c-496c-9d6a-de3ded39fa38","block_type":"box","text":"Pursuant to the Plans, each Fund may also pay shareholder servicing fees (also referred to as general","page_number":145,"box":{"x":102,"y":453,"width":727,"height":11}},{"id":"7b7d04aa-a16d-4ed8-8a1c-3f4386eeb907","block_type":"box","text":"shareholder liaison services fees) to affiliated and unaffiliated brokers, dealers, financial institutions, insurance","page_number":145,"box":{"x":69,"y":468,"width":799,"height":11}},{"id":"7989513f-348d-4d6c-8f18-76f10cab5d57","block_type":"box","text":"companies, retirement plan record-keepers and other financial intermediaries (including BlackRock, BRIL and their","page_number":145,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"68d2cea9-9f21-42ae-b259-8cd2e269d0b7","block_type":"box","text":"affiliates) (collectively, “Service Organizations”) for cer tain suppor t services rendered by Service Organizations to","page_number":145,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"76847e32-2d61-4cd9-8a1f-15be21608f38","block_type":"box","text":"their customers (“Customers”) who are the beneficial owners of Investor A, Investor A1, Investor C, Investor P,","page_number":145,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"a22cbb67-c0e3-4586-b477-3bc12f00d6a9","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":145,"box":{"x":69,"y":528,"width":789,"height":12}},{"id":"85311af1-22ea-4d54-88be-b7176cad6be7","block_type":"box","text":"Fund’s Administrators and Transfer Agent to the Fund’s shareholders of record.","page_number":145,"box":{"x":70,"y":543,"width":562,"height":12}},{"id":"e175b49e-6bfc-4fb7-8cb4-4e5c61536701","block_type":"box","text":"The suppor t services provided by Service Organizations are general shareholder liaison services, which include,","page_number":145,"box":{"x":101,"y":566,"width":798,"height":11}},{"id":"17bb1901-29d6-4c57-8f4b-6c0f264df415","block_type":"box","text":"but are not limited to: (i) answering Customer inquiries regarding account status and history, the manner in which","page_number":145,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"7d84cc39-7866-4fb5-aeca-be68278cc0b4","block_type":"box","text":"purchases, exchanges and redemptions or repurchases of shares may be effected and cer tain other matters","page_number":145,"box":{"x":70,"y":596,"width":776,"height":12}},{"id":"8cfcd8f8-8742-41c0-94c8-35684065245f","block_type":"box","text":"per taining to the Customers’ investments; and (ii) assisting Customers in designating and changing dividend options,","page_number":145,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"32015915-7565-4b4e-ad5b-3ee6bab69b6a","block_type":"box","text":"account designations and addresses. The shareholder servicing fees payable pursuant to the Plans are paid to","page_number":145,"box":{"x":69,"y":627,"width":791,"height":11}},{"id":"c10e2b79-6de1-4533-a4b9-ef3ee2db7f9d","block_type":"box","text":"compensate Service Organizations for the administration and servicing of shareholder accounts and are not costs","page_number":145,"box":{"x":69,"y":642,"width":813,"height":11}},{"id":"fe13107f-39fd-4b39-a579-33438a198bad","block_type":"box","text":"which are primarily intended to result in the sale of the Fund’s shares.","page_number":145,"box":{"x":68,"y":657,"width":501,"height":11}},{"id":"54ddb937-1bde-41ed-ba64-25636445de0c","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":145,"box":{"x":102,"y":680,"width":783,"height":11}},{"id":"9f9e8828-e101-4d5d-9a43-5944bdac062a","block_type":"box","text":"the applicable share class regardless of the amount of expenses incurred. As a result, payments under the Plans","page_number":145,"box":{"x":68,"y":695,"width":810,"height":11}},{"id":"03eef7a7-f881-4e49-8b69-5d74583e3f9d","block_type":"box","text":"may be more or less than expenses incurred in connection with providing distribution and/or shareholder services","page_number":145,"box":{"x":69,"y":710,"width":813,"height":11}},{"id":"9f1b1909-7562-4859-90af-44bf4a18bb3c","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":145,"box":{"x":68,"y":725,"width":836,"height":11}},{"id":"09cde9ec-317a-4a3c-bbc2-2acc7732359e","block_type":"box","text":"providing services with respect to the related class is presented to the Directors for their consideration quar terly.","page_number":145,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"bad70a56-340a-4bca-a843-ab14226335e6","block_type":"box","text":"Payments under the Plans consist of the shareholder servicing fees and the distribution fees. Expenses with respect","page_number":145,"box":{"x":69,"y":755,"width":832,"height":11}},{"id":"12b113a3-8685-4d21-9a82-70a9f6dd4081","block_type":"box","text":"to providing distribution and/or shareholder services with respect to a class may consist of Service Organization","page_number":145,"box":{"x":68,"y":770,"width":803,"height":12}},{"id":"29545f1c-be32-4e3f-bad3-107c1b4bf494","block_type":"box","text":"financial adviser compensation, branch office and regional operation center selling and transaction processing","page_number":145,"box":{"x":68,"y":785,"width":788,"height":12}},{"id":"edd6bb97-86da-4bc1-a864-dd8b7d2a6c74","block_type":"box","text":"expenses, adver tising, sales promotion and marketing expenses. Payments under the Plans with respect to one","page_number":145,"box":{"x":69,"y":801,"width":798,"height":11}},{"id":"a11a75f5-2784-4a4d-8e3b-55f9658d956a","block_type":"box","text":"class will not be used to finance the expenditures of another class. Sales personnel may receive different","page_number":145,"box":{"x":69,"y":816,"width":755,"height":11}},{"id":"828b8919-97bf-4756-a323-da79c736e581","block_type":"box","text":"compensation for selling different classes of shares.","page_number":145,"box":{"x":69,"y":831,"width":375,"height":11}},{"id":"faffbad0-b136-484d-abb1-310697e82dc0","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":145,"box":{"x":102,"y":853,"width":803,"height":12}},{"id":"bcc72376-c885-4ec6-9d24-630897431d80","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":145,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"3640d406-ff4a-46b8-87fe-760081a3fbea","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":145,"box":{"x":68,"y":884,"width":788,"height":11}},{"id":"c107ea10-daef-4820-b1e2-a5254f48b744","block_type":"box","text":"interested Directors concluded that there is reasonable likelihood that the Plan will benefit the Fund and its related","page_number":145,"box":{"x":70,"y":899,"width":818,"height":9}},{"id":"4f6c458a-0fb2-4367-ac6e-1728d9efb49c","block_type":"box","text":"II-108","page_number":145,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"f007a9fb-2f85-413d-b2d0-472f50de8201","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":145,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0d36ce7e-edca-43ee-969d-108dda6b46d6","block_type":"box","text":"class of shareholders. The Plan provides, among other things, that: (i) the Board of Directors shall receive quar terly","page_number":146,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"7caef0bc-f50e-498f-bbe9-725d72f52c4a","block_type":"box","text":"repor ts regarding the amounts expended under the Plan and the purposes for which such expenditures were made;","page_number":146,"box":{"x":69,"y":60,"width":821,"height":11}},{"id":"f14f1277-ef5d-4ce8-91f1-37b9fc6459cb","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":146,"box":{"x":69,"y":75,"width":778,"height":11}},{"id":"cce8678f-4ba5-4b3a-b996-f3bff5db2069","block_type":"box","text":"Directors, including the directors who are not “interested persons” of the Fund (as defined in the Investment","page_number":146,"box":{"x":70,"y":90,"width":773,"height":11}},{"id":"4e997301-ce8d-4dfe-ad74-0fe0890c14a2","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":146,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"f27841f5-6455-4244-bc62-bc9e898e6397","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":146,"box":{"x":69,"y":120,"width":837,"height":12}},{"id":"4e923222-3444-4e8b-bde5-944a42060891","block_type":"box","text":"in accordance with Rule 12b-1 under the Investment Company Act; (iii) any material amendment thereto must be","page_number":146,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"5a1616aa-effc-4d4c-a2e1-a0081d642575","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":146,"box":{"x":69,"y":150,"width":787,"height":12}},{"id":"39d9d9af-29aa-457f-ac4c-002630bc76db","block_type":"box","text":"purpose; (iv) any amendment to increase materially the costs which any class of shares may bear for distribution","page_number":146,"box":{"x":70,"y":166,"width":802,"height":11}},{"id":"f272d8da-6d0e-4444-a37d-8450161d59f7","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":146,"box":{"x":69,"y":181,"width":826,"height":11}},{"id":"c5de557b-4ed8-434e-a170-cbc98bcddff0","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":146,"box":{"x":69,"y":196,"width":836,"height":11}},{"id":"01f286d7-b81a-4240-bd54-33bfbdfa3c5f","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":146,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"3f2294d6-11e5-4d6b-a24c-c2a2e1dd9fb2","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":146,"box":{"x":68,"y":226,"width":792,"height":11}},{"id":"c676aa75-cd8e-48e4-8f24-5bf5fe3f5ce8","block_type":"box","text":"Directors. Rule 12b-1 fur ther requires that each Fund preserve copies of each Plan and any repor t made pursuant to","page_number":146,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"fa8474b0-1aad-4ff5-a86e-c3e791752afc","block_type":"box","text":"such Plan for a period of not less than six years from the date of the Plan or such repor t, the first two years in an","page_number":146,"box":{"x":69,"y":256,"width":807,"height":11}},{"id":"12bb6d30-442f-424c-81e9-ef5f7beba135","block_type":"box","text":"easily accessible place.","page_number":146,"box":{"x":69,"y":272,"width":167,"height":11}},{"id":"53def800-f201-4238-888b-2c9df50b06c1","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":146,"box":{"x":102,"y":294,"width":804,"height":11}},{"id":"7687e409-d51e-4112-aef5-124df9348934","block_type":"box","text":"Directors, or by vote of the holders of a majority of the shares of such class.","page_number":146,"box":{"x":70,"y":309,"width":542,"height":11}},{"id":"aab8ef38-bd0c-4954-a1eb-a24c697130a2","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Par t I of each Fund’s SAI for","page_number":146,"box":{"x":102,"y":332,"width":734,"height":11}},{"id":"055412b8-11ba-441d-be62-967f9d8dedce","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":146,"box":{"x":70,"y":347,"width":814,"height":11}},{"id":"924a306d-9122-4e48-9988-b97ed284c74e","block_type":"box","text":"fiscal year.","page_number":146,"box":{"x":68,"y":362,"width":75,"height":11}},{"id":"99ca530e-13aa-465f-ba4e-b2221f2120ed","block_type":"box","text":"Limitations on the Payment of Deferred Sales Charges","page_number":146,"box":{"x":69,"y":392,"width":396,"height":11}},{"id":"e8f3278b-a1e3-4b6f-a491-41ea4f6c66b8","block_type":"box","text":"The maximum sales charge rule in the Conduct Rules of the Financial Industry Regulatory Authority (“FINRA”)","page_number":146,"box":{"x":101,"y":415,"width":777,"height":11}},{"id":"f2e3cffd-ad1a-483f-83aa-f9cc7f9fb15b","block_type":"box","text":"imposes a limitation on cer tain asset-based sales charges such as the distribution fee borne by Class R Shares, and","page_number":146,"box":{"x":70,"y":430,"width":835,"height":11}},{"id":"a8895a5a-5103-499c-9254-70807247bce7","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":146,"box":{"x":68,"y":445,"width":822,"height":11}},{"id":"0037e1f7-8671-41c7-94f9-5bad09278af8","block_type":"box","text":"servicing fee. The maximum sales charge rule is applied separately to each class and limits the aggregate of","page_number":146,"box":{"x":69,"y":460,"width":778,"height":12}},{"id":"f31844d9-4ee1-4600-a910-61ed1458199f","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":146,"box":{"x":69,"y":475,"width":840,"height":12}},{"id":"9fff9437-2326-4e93-82d6-61c650c4a625","block_type":"box","text":"Shares, computed separately (excluding shares issued pursuant to dividend reinvestments and exchanges), plus","page_number":146,"box":{"x":69,"y":491,"width":803,"height":11}},{"id":"526bef43-6c29-4cc1-8161-ac6c749b00f0","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":146,"box":{"x":69,"y":506,"width":794,"height":11}},{"id":"b0fdb373-1ce3-47b7-825a-4229d9c44551","block_type":"box","text":"unpaid balance being the maximum amount payable minus amounts received from the payment of the distribution fee","page_number":146,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"dadc11fe-4483-4d78-b685-a558a420432c","block_type":"box","text":"and the CDSC). See “Information on Sales Charges and Distribution Related Expenses” in Par t I of each Fund’s SAI","page_number":146,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"20c694aa-5633-4ada-8f4e-a7c23c36053c","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":146,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"05ea5ae3-7d0c-4027-80ae-802ba41044e6","block_type":"box","text":"and Class R Shares of your Fund.","page_number":146,"box":{"x":69,"y":566,"width":236,"height":11}},{"id":"7daf4171-d033-44a2-ab24-c8e8e1a83d06","block_type":"box","text":"Other Payments by the Fund","page_number":146,"box":{"x":69,"y":597,"width":206,"height":11}},{"id":"34804678-7336-40e7-952d-9ce042b68ee1","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":146,"box":{"x":102,"y":619,"width":800,"height":11}},{"id":"552fba8c-3fe8-4f0f-b5e3-e0d4a2136674","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":146,"box":{"x":68,"y":634,"width":816,"height":12}},{"id":"8d382c78-bf84-4832-8b20-84d2495e930d","block_type":"box","text":"Service Organizations pursuant to which the Fund will pay a Service Organization for administrative, networking,","page_number":146,"box":{"x":69,"y":649,"width":794,"height":12}},{"id":"6473eb44-cdc6-4e7e-b11a-987bc0564715","block_type":"box","text":"recordkeeping, sub-transfer agency, sub-accounting and/or shareholder services. These non-Plan payments are","page_number":146,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"749c5528-975a-4b75-85f2-3a105a6192fd","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":146,"box":{"x":68,"y":680,"width":841,"height":11}},{"id":"760e36a9-fb39-451d-a020-87e34de79656","block_type":"box","text":"Organization or (2) a fixed dollar amount for each account serviced by a Service Organization. The aggregate amount","page_number":146,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"03a20bdf-e502-4c66-81d8-fdd7498cdee2","block_type":"box","text":"of these payments may be substantial.","page_number":146,"box":{"x":69,"y":710,"width":276,"height":11}},{"id":"bf4310b7-8eba-440b-8fca-51a945d4ac92","block_type":"box","text":"Additional Payments by BlackRock","page_number":146,"box":{"x":68,"y":740,"width":256,"height":11}},{"id":"ae5b78a0-1570-4844-b87f-6383ff52a6f5","block_type":"box","text":"From time to time, BlackRock, BRIL and/or their affiliates (referred to in this section collectively as “BlackRock”)","page_number":146,"box":{"x":102,"y":763,"width":803,"height":11}},{"id":"f5ef32a3-ef45-4c30-8290-57296648bd9c","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":146,"box":{"x":69,"y":778,"width":823,"height":11}},{"id":"308b75df-0595-4b1e-b699-e451b207fd6a","block_type":"box","text":"its shareholders and/or for data provision or technology suppor t. A Service Organization may per form these","page_number":146,"box":{"x":70,"y":793,"width":768,"height":11}},{"id":"c192ff95-8a5a-46f6-92fc-c3ace2fe353b","block_type":"box","text":"obligations itself or may arrange for a third par ty to per form them. These payments, which are not made pursuant to","page_number":146,"box":{"x":69,"y":808,"width":830,"height":11}},{"id":"64b23c45-0784-4e55-88cf-a171a1c86387","block_type":"box","text":"a Plan or otherwise paid by a Fund, are referred to as “Additional Payments” herein.","page_number":146,"box":{"x":69,"y":823,"width":599,"height":11}},{"id":"a359ce70-5ddb-4d71-a119-628da5beaebb","block_type":"box","text":"Additional Payments are made from BlackRock’s own assets (which may come directly or indirectly from fees","page_number":146,"box":{"x":101,"y":846,"width":776,"height":11}},{"id":"5a14e525-8996-49e3-b1ac-4d263afd333a","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":146,"box":{"x":70,"y":861,"width":832,"height":11}},{"id":"14d454f3-c60e-4f1b-8d88-cc0e3c10690f","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":146,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"e41933a0-8cca-4034-83a3-6657a45c02b6","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":146,"box":{"x":69,"y":891,"width":802,"height":11}},{"id":"a7869ad8-27ce-41c3-9329-f230dfcc32dc","block_type":"box","text":"Service Organizations are in addition to any distribution or shareholder servicing fees paid under any Plan of any","page_number":146,"box":{"x":69,"y":906,"width":802,"height":12}},{"id":"bd466777-448f-48c9-93fc-16b3bdd69071","block_type":"box","text":"II-109","page_number":146,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"011ebdbd-db83-4ba9-8ed4-a140411a0d97","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":146,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3a975307-2057-42ee-aa68-bd035fe18962","block_type":"box","text":"Fund, any sales charges, commissions or other concessions described in the Prospectuses or this SAI, and any","page_number":147,"box":{"x":70,"y":45,"width":796,"height":11}},{"id":"b75aea6f-cb01-42a5-a3ba-de4971dcbb3b","block_type":"box","text":"administrative, networking, recordkeeping, sub-transfer agency or sub-accounting fees payable by a Fund. Pursuant to","page_number":147,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"a9396844-6826-42d6-98e9-d46e1dca8f30","block_type":"box","text":"applicable FINRA regulations, the details of cer tain of these payments, including the Service Organizations receiving","page_number":147,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"483649dc-686b-454b-ae1b-904a4836d155","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":147,"box":{"x":69,"y":90,"width":837,"height":11}},{"id":"de19dc64-2aa2-4680-8f75-98a931611e7b","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":147,"box":{"x":69,"y":105,"width":818,"height":11}},{"id":"cdee1845-7633-43bf-845c-827af93f5ce3","block_type":"box","text":"BlackRock may pay out of its own assets.","page_number":147,"box":{"x":70,"y":120,"width":294,"height":11}},{"id":"d2d8ca9f-bea9-4ddd-a176-cc069ba333de","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":147,"box":{"x":101,"y":143,"width":803,"height":11}},{"id":"0ff2398f-0206-4855-beb8-a7dce0605776","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":147,"box":{"x":69,"y":158,"width":792,"height":11}},{"id":"d7f2eda0-a76a-4ef6-a8fd-0f549f379433","block_type":"box","text":"Customers of the Service Organization involved, or may be calculated on another basis.","page_number":147,"box":{"x":69,"y":173,"width":623,"height":11}},{"id":"9d2a9da3-9c21-4817-8c28-51f5e2c76e5b","block_type":"box","text":"BlackRock negotiates Additional Payments with each Service Organization on an individual basis. Additional","page_number":147,"box":{"x":102,"y":196,"width":765,"height":11}},{"id":"d648379b-7087-4b20-be7a-6d8b9adf97b0","block_type":"box","text":"Payments may be different for different Service Organizations, and some Service Organizations may be paid pursuant","page_number":147,"box":{"x":69,"y":211,"width":841,"height":11}},{"id":"4c971a0d-9d4e-42fe-ba7b-9a45b3bc6d79","block_type":"box","text":"to more than one of the calculations described above. Not all Service Organizations receive Additional Payments.","page_number":147,"box":{"x":68,"y":226,"width":806,"height":11}},{"id":"5d314d7c-79f0-4c4c-8583-9fa639a6fce4","block_type":"box","text":"Sales-based payments primarily create incentives to make new sales of shares of the Fund, and asset-based","page_number":147,"box":{"x":69,"y":241,"width":776,"height":11}},{"id":"a3785e62-c5ad-4867-9db6-a366d6b6f9bb","block_type":"box","text":"payments primarily create incentives to retain previously sold shares of the Fund. The level of payments made to","page_number":147,"box":{"x":70,"y":256,"width":802,"height":11}},{"id":"518be1f0-d02f-442f-830b-ef188ba1cf66","block_type":"box","text":"these Service Organizations in any year will vary and may be limited to specific Funds or share classes. In cer tain","page_number":147,"box":{"x":68,"y":271,"width":811,"height":12}},{"id":"b487b305-0477-49c5-8091-0836df85a970","block_type":"box","text":"cases, these payments may be subject to cer tain minimum payment levels.","page_number":147,"box":{"x":69,"y":287,"width":538,"height":11}},{"id":"0c412a23-eaba-4aad-af4e-c7f3240160b7","block_type":"box","text":"The aggregate amount of Additional Payments made by BlackRock may be substantial and may be significant to","page_number":147,"box":{"x":101,"y":309,"width":795,"height":11}},{"id":"6c403f45-c4a5-4028-8a94-aabcd5ba71d6","block_type":"box","text":"cer tain Service Organizations. The categories of Additional Payments listed below are not mutually exclusive. The","page_number":147,"box":{"x":69,"y":324,"width":807,"height":12}},{"id":"10a29929-6103-468f-9bdc-ed06e184308f","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":147,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"7539717c-1fb6-40d3-b73f-f5fa53633e2f","block_type":"box","text":"Additional Payments. Such payments may be different for different Service Organizations and for different types of","page_number":147,"box":{"x":68,"y":355,"width":819,"height":11}},{"id":"1e02d1b5-0ee9-4692-b1ef-c9923cce188e","block_type":"box","text":"Funds.","page_number":147,"box":{"x":70,"y":370,"width":44,"height":9}},{"id":"81542479-7dd6-4af2-935a-b4011534a19a","block_type":"box","text":"A. Distribution and Marketing Suppor t","page_number":147,"box":{"x":101,"y":392,"width":270,"height":12}},{"id":"f9f4fffd-43d4-4c92-b081-6991e1933e78","block_type":"box","text":"Additional Payments may be made by BlackRock for distribution and marketing suppor t activities. These","page_number":147,"box":{"x":101,"y":415,"width":740,"height":11}},{"id":"e4c4d285-b6d7-4a43-bf73-6b767b9b20d8","block_type":"box","text":"payments may take the form of, among other things, “due diligence” payments for a Service Organization’s","page_number":147,"box":{"x":70,"y":430,"width":764,"height":11}},{"id":"c99ecbd7-fe5b-4192-8ed7-ceda34277c4a","block_type":"box","text":"examination of a Fund; payments for providing extra employee training and information relating to a Fund; fees for","page_number":147,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"b16a41a4-fa58-4e1f-9c93-f2dd32ac7c90","block_type":"box","text":"access (in some cases on a preferential basis) to the Service Organization’s registered representatives,","page_number":147,"box":{"x":69,"y":460,"width":742,"height":12}},{"id":"f915174d-71b9-4d3b-ae4a-ebce4f621d1e","block_type":"box","text":"salespersons or other personnel, including at sales meetings and conferences; “shelf space” payments for placing","page_number":147,"box":{"x":69,"y":475,"width":820,"height":12}},{"id":"3870e8f6-c3f0-41de-abf2-d98d508a5ba9","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":147,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"abdee607-e218-4eb6-86a6-24c26762ac78","block_type":"box","text":"may be a preferred or recommended list) of mutual funds available for purchase by its Customers or in cer tain sales","page_number":147,"box":{"x":69,"y":506,"width":830,"height":11}},{"id":"c48c9f1b-d64e-4604-95a3-8fb4e80d5712","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":147,"box":{"x":70,"y":521,"width":803,"height":11}},{"id":"bab224f1-b091-4380-9299-512a32b9402e","block_type":"box","text":"include promotions in communications with the Service Organization’s Customers, registered representatives,","page_number":147,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"383b6fa5-e2b0-4a41-91fe-4d8df45d964e","block_type":"box","text":"salespersons and/or other personnel); payments for the sale of shares and/or the maintenance of share balances;","page_number":147,"box":{"x":69,"y":551,"width":823,"height":11}},{"id":"72b99d49-4d21-4187-bef8-e6e003a53f91","block_type":"box","text":"transaction fees (also referred to as “ticket charges”); and payments for infrastructure suppor t. These payments","page_number":147,"box":{"x":68,"y":566,"width":805,"height":11}},{"id":"36421a1a-a123-4be1-a3cb-6d4843d2262e","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":147,"box":{"x":69,"y":581,"width":828,"height":12}},{"id":"c5c7836d-f0ed-485d-8907-6707e52b7d7c","block_type":"box","text":"of the assets attributable to that Service Organization invested in a Fund.","page_number":147,"box":{"x":69,"y":596,"width":523,"height":12}},{"id":"ff16010f-4137-473b-b081-acd1072f269c","block_type":"box","text":"B. Shareholder Services","page_number":147,"box":{"x":102,"y":619,"width":172,"height":9}},{"id":"3799cb8c-27ee-458c-8427-50e4b01c76a3","block_type":"box","text":"Many Fund shares are owned or held by Service Organizations for the benefit of their Customers. In these","page_number":147,"box":{"x":102,"y":642,"width":754,"height":11}},{"id":"bb73791d-eea4-4a53-9dd1-d87c2c0151a0","block_type":"box","text":"situations, a Fund may not maintain accounts in the name of the Customers and Service Organizations may per form","page_number":147,"box":{"x":69,"y":657,"width":830,"height":11}},{"id":"bfe5b41f-9ace-4383-ab45-ac60f4c416a9","block_type":"box","text":"some of the functions for these Customers’ accounts that the Transfer Agent would have per formed if the accounts","page_number":147,"box":{"x":69,"y":672,"width":823,"height":11}},{"id":"d4be82c1-d40f-438f-ac46-fa3a71842ac8","block_type":"box","text":"had been in the Customers’ names on the Fund’s books. Such services include sub-accounting services, shareholder","page_number":147,"box":{"x":69,"y":687,"width":839,"height":11}},{"id":"92226d9f-e7fd-4ecc-b095-31c8a0113cda","block_type":"box","text":"servicing and transaction processing services and are sometimes referred to as “recordkeeping,” “sub-transfer","page_number":147,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"dd0459ab-d178-4570-a92a-8eb0a8436478","block_type":"box","text":"agency,” “sub-accounting,” “networking” and/or “administrative” services. Additional Payments may exceed amounts","page_number":147,"box":{"x":69,"y":718,"width":837,"height":11}},{"id":"b3164b98-7690-4b84-9f9d-aa2466b0cf2a","block_type":"box","text":"that would be earned on these assets by the Transfer Agent for the per formance of these or similar services. These","page_number":147,"box":{"x":68,"y":732,"width":828,"height":12}},{"id":"3da3c9f4-c871-4fe6-89f5-77aba53e899c","block_type":"box","text":"Additional Payments made by BlackRock are in addition to any transfer agent, shareholder servicing and transaction","page_number":147,"box":{"x":68,"y":748,"width":827,"height":11}},{"id":"f4e53907-5457-4de2-8d7d-143070102619","block_type":"box","text":"processing fees paid by a Fund, as applicable.","page_number":147,"box":{"x":70,"y":763,"width":328,"height":11}},{"id":"9784a91a-c0a5-427f-894f-ec80e3d6659c","block_type":"box","text":"C. Data Provision and Technology Suppor t","page_number":147,"box":{"x":102,"y":786,"width":299,"height":11}},{"id":"7f800f56-3d70-4b4a-be38-fb014e560c81","block_type":"box","text":"BlackRock may make Additional Payments to Service Organizations for the provision of cer tain analytical or other","page_number":147,"box":{"x":102,"y":808,"width":805,"height":11}},{"id":"a3f093a0-3971-414d-a81e-7fd0533104c0","block_type":"box","text":"data services relating to the Funds, such as statistical information regarding sales of the Funds, or technology","page_number":147,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"ec879e77-9be3-441d-a714-64783e45de04","block_type":"box","text":"suppor t. Such Additional Payments are generally made as a fixed dollar amount, and not based on assets or sales.","page_number":147,"box":{"x":69,"y":838,"width":821,"height":12}},{"id":"28a57dc3-46d1-41f7-b9bb-4fbc52612e1b","block_type":"box","text":"D. Service Organizations Receiving Additional Payments","page_number":147,"box":{"x":102,"y":861,"width":397,"height":11}},{"id":"b08bb9c9-7357-4b69-9596-212246cc3b09","block_type":"box","text":"As of the date of this SAI, the Service Organizations listed below, and, in some cases, cer tain of the Service","page_number":147,"box":{"x":101,"y":884,"width":774,"height":11}},{"id":"3bc075fc-071e-4ca2-be11-8abf9a863199","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":147,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"7713767a-8def-45e4-8888-9931e3b68565","block_type":"box","text":"II-110","page_number":147,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"271ac891-7400-4088-9ef5-cb068ce21a9b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":147,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4e1001f4-0ba2-4290-90b5-f2dd264bf5ed","block_type":"box","text":"and BlackRock may pay Service Organizations or their affiliates additional types of Additional Payments in the future.","page_number":148,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"edbb264d-fc9d-4bda-a603-6e2523f25b8e","block_type":"box","text":"Please contact your Service Organization to determine whether it or its affiliate currently may be receiving such","page_number":148,"box":{"x":69,"y":60,"width":791,"height":11}},{"id":"dc4599ec-f073-4691-8f2e-f32e0e54dcd6","block_type":"box","text":"payments and to obtain fur ther information regarding any such payments.","page_number":148,"box":{"x":70,"y":75,"width":523,"height":11}},{"id":"608c2f7e-1f5f-471d-8f27-29d2bde8275b","block_type":"box","text":"&Par tners","page_number":148,"box":{"x":69,"y":106,"width":71,"height":9}},{"id":"228ad9da-d830-4dfc-a049-ca6dcfa8dfd0","block_type":"box","text":"AccuTech Systems Corporation","page_number":148,"box":{"x":68,"y":127,"width":219,"height":11}},{"id":"b125ce91-2916-4e03-98b8-6e51aeaba7ab","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":148,"box":{"x":68,"y":147,"width":164,"height":10}},{"id":"484153cc-110a-4d33-832a-cd3d686d2a91","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":148,"box":{"x":68,"y":167,"width":207,"height":11}},{"id":"59a7cd53-1f0e-438e-af5a-4ec46a7a4f25","block_type":"box","text":"Advisor Group, Inc.","page_number":148,"box":{"x":68,"y":187,"width":133,"height":11}},{"id":"3955f772-4d76-424e-9892-e875bab71c2f","block_type":"box","text":"AE Wealth Management, LLC","page_number":148,"box":{"x":68,"y":207,"width":205,"height":11}},{"id":"f4c60445-2be2-4758-a995-9628ab935133","block_type":"box","text":"Alight Solutions LLC","page_number":148,"box":{"x":68,"y":227,"width":142,"height":12}},{"id":"8df5561b-bf4d-42ec-9aa8-642b509cb0ab","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":148,"box":{"x":68,"y":247,"width":246,"height":11}},{"id":"2d539bb6-bef2-462a-9d97-219308d0f0ef","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":148,"box":{"x":68,"y":268,"width":310,"height":11}},{"id":"b8268952-6d73-4a55-99de-d0d58fbfa875","block_type":"box","text":"Allianz Life Insurance Company of Nor th America","page_number":148,"box":{"x":68,"y":288,"width":346,"height":11}},{"id":"c6d03c97-661c-4a70-affe-3a3eda75a7b0","block_type":"box","text":"Altruist Financial LLC","page_number":148,"box":{"x":68,"y":308,"width":149,"height":9}},{"id":"1cfe2fa8-ba8b-4e80-861b-ab99bb179b3e","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":148,"box":{"x":68,"y":328,"width":328,"height":11}},{"id":"b1bdce56-e814-4c8b-8206-e692ad031732","block_type":"box","text":"American General Life Insurance Company","page_number":148,"box":{"x":68,"y":348,"width":302,"height":11}},{"id":"d35235bb-2492-4608-8664-3d2e43f6603e","block_type":"box","text":"American United Life Insurance Company","page_number":148,"box":{"x":68,"y":368,"width":293,"height":12}},{"id":"c193ec89-9739-44da-818f-e02369ef2be9","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":148,"box":{"x":68,"y":389,"width":298,"height":11}},{"id":"a6666e87-ff8a-40a2-9d70-3e26881215c1","block_type":"box","text":"Anthem Securities LLC","page_number":148,"box":{"x":68,"y":409,"width":161,"height":9}},{"id":"077b957e-5abf-43d2-8bdb-27a888bf5706","block_type":"box","text":"Argent Institutional Trust Company","page_number":148,"box":{"x":68,"y":429,"width":246,"height":11}},{"id":"40a6c16e-04a5-44f9-b432-83746d98f517","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":148,"box":{"x":68,"y":449,"width":272,"height":11}},{"id":"959a7b38-0c43-4090-ac23-2a1fc7ffaca4","block_type":"box","text":"Ascensus, Inc.","page_number":148,"box":{"x":68,"y":469,"width":103,"height":11}},{"id":"c11049ae-9973-4911-a6fc-d2fb939b5476","block_type":"box","text":"Atomic Brokerage LLC","page_number":148,"box":{"x":68,"y":489,"width":156,"height":12}},{"id":"725c2ce0-460c-4ceb-a10e-5aa9f56d5c75","block_type":"box","text":"Avantax Investment Services, LLC","page_number":148,"box":{"x":68,"y":510,"width":241,"height":10}},{"id":"0e260bab-8bc4-4484-80ce-8dc29c7e2ac5","block_type":"box","text":"Bancroft Capital LLC","page_number":148,"box":{"x":70,"y":530,"width":143,"height":11}},{"id":"92805723-266b-41a0-b286-14cddc69361d","block_type":"box","text":"Bank of America, N.A.","page_number":148,"box":{"x":70,"y":550,"width":153,"height":10}},{"id":"206868bb-1f88-42b6-8a20-ceadb5871c33","block_type":"box","text":"Bank of New York Mellon","page_number":148,"box":{"x":70,"y":570,"width":174,"height":9}},{"id":"cc3d656e-776b-47bb-9832-49b49d3d29a6","block_type":"box","text":"Barclays Capital Inc.","page_number":148,"box":{"x":70,"y":590,"width":142,"height":11}},{"id":"e4cb17bc-6a6e-4d7b-bfe9-c8a09b10c329","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":148,"box":{"x":70,"y":610,"width":299,"height":11}},{"id":"704e063a-9f69-4393-90d7-f25d513305af","block_type":"box","text":"Benefit Trust Company","page_number":148,"box":{"x":70,"y":630,"width":160,"height":12}},{"id":"f0b54225-516e-4d6d-9859-9469294f4b29","block_type":"box","text":"Beta Capital Securities LLC","page_number":148,"box":{"x":70,"y":651,"width":192,"height":11}},{"id":"03d7f93c-5749-4ad8-b74f-6ebf1fb65512","block_type":"box","text":"bfinance US Ltd.","page_number":148,"box":{"x":69,"y":671,"width":116,"height":9}},{"id":"1ced6762-cf2c-4d58-8977-c7402748217b","block_type":"box","text":"BlackRock Advisors, LLC","page_number":148,"box":{"x":70,"y":691,"width":172,"height":10}},{"id":"86a8398a-faff-45fc-b103-c6fb30b28f8b","block_type":"box","text":"BMO Capital Markets Corp.","page_number":148,"box":{"x":70,"y":711,"width":191,"height":11}},{"id":"3371fb82-9c3f-4358-a29b-98d49ed194a8","block_type":"box","text":"BNP Paribas","page_number":148,"box":{"x":70,"y":731,"width":86,"height":9}},{"id":"54e74eb2-7920-42b4-bf3c-05d2c57d9aa3","block_type":"box","text":"BNP Paribas Investment Par tners UK Limited","page_number":148,"box":{"x":70,"y":752,"width":318,"height":8}},{"id":"5b816913-b91c-496b-aa7e-ae87197f5117","block_type":"box","text":"BNY Mellon, N.A.","page_number":148,"box":{"x":70,"y":772,"width":119,"height":10}},{"id":"057d48dc-2c6f-4653-bc58-696cbb82ea5e","block_type":"box","text":"BofA Securities, Inc.","page_number":148,"box":{"x":70,"y":792,"width":141,"height":10}},{"id":"d27fc4b7-4c89-40ef-b44c-0adca45bfea4","block_type":"box","text":"BOKF, N.A.","page_number":148,"box":{"x":70,"y":812,"width":74,"height":10}},{"id":"3e9891a4-04af-4d07-907c-7afe7ba1bab8","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":148,"box":{"x":70,"y":832,"width":259,"height":11}},{"id":"349979e3-f7a4-40a2-983a-b4b1675a3441","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":148,"box":{"x":70,"y":852,"width":302,"height":11}},{"id":"d84ea9a6-5e64-4bc2-8170-3eb0ff237bd3","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":148,"box":{"x":70,"y":872,"width":333,"height":12}},{"id":"a0f9a6c0-f443-4e79-8d43-eecb4a0e005d","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":148,"box":{"x":70,"y":893,"width":222,"height":9}},{"id":"c32c3f17-0244-4b2e-9393-8a7084184b27","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":148,"box":{"x":69,"y":913,"width":208,"height":11}},{"id":"b82dc3d5-9e2d-4588-a685-0160d017623a","block_type":"box","text":"Capital One, N.A.","page_number":148,"box":{"x":509,"y":106,"width":120,"height":11}},{"id":"d5de3195-2a72-4c68-9f58-71ecab2a43ea","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":148,"box":{"x":509,"y":127,"width":204,"height":9}},{"id":"25378e9f-770a-4be6-8f6d-a8835c0926d7","block_type":"box","text":"Cetera Advisors LLC","page_number":148,"box":{"x":509,"y":147,"width":142,"height":9}},{"id":"8dcd85d4-1316-4f86-a406-c37205839866","block_type":"box","text":"Cetera Financial Group","page_number":148,"box":{"x":509,"y":167,"width":161,"height":11}},{"id":"5791dfd5-7286-40d7-98e5-588e1b4c29f3","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":148,"box":{"x":509,"y":187,"width":228,"height":11}},{"id":"48b79ee5-c6d1-4bd9-b8a0-546768c9dd84","block_type":"box","text":"Cetera Investment Services LLC","page_number":148,"box":{"x":509,"y":207,"width":227,"height":9}},{"id":"f98da61c-bb16-4136-b9c5-b27c01678f07","block_type":"box","text":"CF Secured, LLC","page_number":148,"box":{"x":509,"y":227,"width":116,"height":11}},{"id":"2b0b7118-a738-403c-a628-0da1f651a7d6","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":148,"box":{"x":509,"y":248,"width":192,"height":10}},{"id":"419b4121-678b-4445-92cb-5470ea762c32","block_type":"box","text":"Charles Schwab Trust Bank","page_number":148,"box":{"x":509,"y":268,"width":195,"height":9}},{"id":"c554c646-dfd9-48f5-a82c-f27d4cd3fb87","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":148,"box":{"x":509,"y":288,"width":237,"height":11}},{"id":"92877b17-34b9-4a9b-ac81-12671caae698","block_type":"box","text":"CIM Investment Management, Inc.","page_number":148,"box":{"x":509,"y":308,"width":243,"height":11}},{"id":"37e66652-8b19-4abc-8637-3c53668a1b3b","block_type":"box","text":"Citco Securities, LLC","page_number":148,"box":{"x":509,"y":328,"width":147,"height":11}},{"id":"e812a32c-e0ee-4cc0-b313-b5edad7c5559","block_type":"box","text":"CitiBank, National Association","page_number":148,"box":{"x":509,"y":348,"width":213,"height":11}},{"id":"d6275037-7ca3-43f2-b4b2-acce8d2d3204","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":148,"box":{"x":509,"y":369,"width":210,"height":11}},{"id":"961baaa3-e1b2-4f60-8ece-ebdcf17678cb","block_type":"box","text":"Citizens Bank","page_number":148,"box":{"x":509,"y":389,"width":96,"height":9}},{"id":"bd5a235f-2681-4c28-b040-5ce2f4f3e52b","block_type":"box","text":"Citizens Business Bank","page_number":148,"box":{"x":509,"y":409,"width":167,"height":9}},{"id":"52691a07-805b-4463-a74d-d5459753841f","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":148,"box":{"x":509,"y":429,"width":224,"height":11}},{"id":"5548250d-f8dd-451e-a193-f6009feb1142","block_type":"box","text":"CMFG Life Insurance Company","page_number":148,"box":{"x":509,"y":449,"width":217,"height":11}},{"id":"25ea089b-476b-43f7-9483-39a7dc7da153","block_type":"box","text":"Comerica Bank","page_number":148,"box":{"x":509,"y":469,"width":107,"height":9}},{"id":"b1c30918-231f-44c3-89c1-863034e13193","block_type":"box","text":"Commonwealth Financial Network","page_number":148,"box":{"x":509,"y":489,"width":239,"height":9}},{"id":"bfe491af-8b3c-4a9f-81d3-b3470889ca7e","block_type":"box","text":"Computershare Trust Company","page_number":148,"box":{"x":509,"y":510,"width":220,"height":11}},{"id":"22d1f96c-4f94-4bbf-99b9-950022e5f6f2","block_type":"box","text":"Conduent HR Services, LLC","page_number":148,"box":{"x":509,"y":530,"width":196,"height":10}},{"id":"b24dd443-1754-4dbd-91d2-7461ea39c0d3","block_type":"box","text":"Delaware Life Insurance Company","page_number":148,"box":{"x":510,"y":550,"width":240,"height":11}},{"id":"642f2b45-88a8-4d47-97a8-0ccb55dfc21f","block_type":"box","text":"Delaware Trust Company","page_number":148,"box":{"x":510,"y":570,"width":176,"height":11}},{"id":"c54ec388-81d7-4e52-b93b-48f0ee7fd58c","block_type":"box","text":"Deutsche Bank AG","page_number":148,"box":{"x":510,"y":590,"width":131,"height":9}},{"id":"015537b2-5e57-434b-b836-5c49b769a066","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":148,"box":{"x":510,"y":610,"width":288,"height":11}},{"id":"4140bab2-de51-4687-9a6a-2455baaf6f8b","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":148,"box":{"x":510,"y":631,"width":232,"height":11}},{"id":"3799d0bd-d0e5-4e0e-80da-c350a24dd012","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":148,"box":{"x":510,"y":651,"width":337,"height":10}},{"id":"fee6f642-782f-462c-9735-2ca759ea95ae","block_type":"box","text":"Dynasty Financial Par tners LLC","page_number":148,"box":{"x":510,"y":671,"width":218,"height":11}},{"id":"69479f77-bf18-4834-a9e2-eb882247ed9d","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":148,"box":{"x":510,"y":691,"width":196,"height":10}},{"id":"be992d56-5f20-433d-88fc-3f039d075346","block_type":"box","text":"Empire Fidelity Investments Life Insurance Company","page_number":148,"box":{"x":510,"y":711,"width":370,"height":11}},{"id":"b3526a4d-c2f3-4465-a883-cbdd443b433e","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":148,"box":{"x":510,"y":731,"width":345,"height":11}},{"id":"0c3cf7a7-3988-41fb-bae3-2d44f3b82f1c","block_type":"box","text":"Empower Financial Services, Inc.","page_number":148,"box":{"x":510,"y":752,"width":232,"height":10}},{"id":"5576e251-387d-44c6-b37d-b6d3131c1e50","block_type":"box","text":"Empower Life & Annuity Insurance Company of New","page_number":148,"box":{"x":510,"y":772,"width":365,"height":11}},{"id":"f0ad0d1c-d46d-43ec-a280-a59d0079f338","block_type":"box","text":"York","page_number":148,"box":{"x":509,"y":787,"width":29,"height":9}},{"id":"a4dd721f-b1e7-4b24-8c43-28cec0cb784b","block_type":"box","text":"Empower Plan Services, LLC","page_number":148,"box":{"x":510,"y":807,"width":201,"height":11}},{"id":"1633b64c-37c3-4354-a824-fd1cbd09fa01","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":148,"box":{"x":510,"y":827,"width":246,"height":11}},{"id":"aaac41be-258a-4c41-9817-b606966f602b","block_type":"box","text":"Equitable Advisors, LLC","page_number":148,"box":{"x":510,"y":847,"width":165,"height":11}},{"id":"25400bd6-5092-4fd9-95e8-91c0a29653c6","block_type":"box","text":"Equitable Life Insurance Company","page_number":148,"box":{"x":510,"y":867,"width":240,"height":11}},{"id":"ab66ba3b-1fae-44a6-9e8a-fbfb7e487c3d","block_type":"box","text":"E*trade Savings Bank","page_number":148,"box":{"x":510,"y":888,"width":155,"height":11}},{"id":"1073374f-221b-42e9-a51e-ce2d68cc81cc","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":148,"box":{"x":510,"y":908,"width":271,"height":11}},{"id":"37902f7d-db95-4f6b-bc2b-c6191fbde501","block_type":"box","text":"II-111","page_number":148,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"0313b149-7904-45e8-8622-48b70dd2e18a","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":148,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b9298889-2ae3-4366-987f-c4ae929b94c7","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":149,"box":{"x":70,"y":45,"width":222,"height":11}},{"id":"94b97a05-7f11-469d-8fa8-056cf4527522","block_type":"box","text":"Fidelity Investments Institutional Operations Company,","page_number":149,"box":{"x":70,"y":65,"width":384,"height":11}},{"id":"2fdaad85-ef2a-45df-8092-43ffed349409","block_type":"box","text":"Inc.","page_number":149,"box":{"x":70,"y":80,"width":23,"height":9}},{"id":"bfd38acf-291f-4391-9988-295ba6782339","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":149,"box":{"x":70,"y":100,"width":316,"height":11}},{"id":"7aa597ff-b03f-49d5-9c65-0f90428b6a78","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":149,"box":{"x":70,"y":120,"width":179,"height":11}},{"id":"3ccd2ad8-3531-45cf-9a7b-1e70ae9b5376","block_type":"box","text":"First Allied Securities, Inc.","page_number":149,"box":{"x":70,"y":140,"width":182,"height":11}},{"id":"88d5002a-4ab1-468e-87fe-f74412d483ff","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":149,"box":{"x":70,"y":161,"width":273,"height":11}},{"id":"97172ebc-b73b-4f47-a97b-3c739b83e669","block_type":"box","text":"First Hawaiian Bank","page_number":149,"box":{"x":70,"y":181,"width":139,"height":9}},{"id":"b057552c-e672-496d-86d9-8ad6811415ed","block_type":"box","text":"First Republic Bank","page_number":149,"box":{"x":70,"y":201,"width":135,"height":11}},{"id":"c823cf70-086f-4f30-a8a7-664801a03b39","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":149,"box":{"x":70,"y":221,"width":339,"height":11}},{"id":"ed546ef8-a354-490b-b203-b04b1b1d67d2","block_type":"box","text":"Company of New York","page_number":149,"box":{"x":69,"y":236,"width":153,"height":11}},{"id":"17ea5ad8-63a8-442a-a01c-56416ae4e30d","block_type":"box","text":"First Symetra National Life Insurance Company of New","page_number":149,"box":{"x":70,"y":256,"width":385,"height":11}},{"id":"6e7ded18-c2f1-41c7-9fb1-c7c9795caf98","block_type":"box","text":"York","page_number":149,"box":{"x":68,"y":272,"width":30,"height":8}},{"id":"9cae56a2-a94b-49a8-a5a7-6eeb57dca55a","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":149,"box":{"x":70,"y":292,"width":257,"height":11}},{"id":"c3edbf11-8e9f-4266-906e-4c629374c07e","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":149,"box":{"x":70,"y":312,"width":287,"height":11}},{"id":"ee9240a9-7479-49af-9cf0-20a93ca5896e","block_type":"box","text":"FNEX Capital, LLC","page_number":149,"box":{"x":70,"y":332,"width":125,"height":11}},{"id":"cbedd7cd-6fe8-411a-a6f0-ea1282d2d6ed","block_type":"box","text":"Forethought Life Insurance Company","page_number":149,"box":{"x":70,"y":352,"width":259,"height":11}},{"id":"92b0feaf-cd53-4744-8c71-1e03d3168ee9","block_type":"box","text":"FSC Securities Corporation","page_number":149,"box":{"x":70,"y":372,"width":189,"height":11}},{"id":"046e247f-88ae-4612-8117-53160c0a8e91","block_type":"box","text":"Genwor th Life and Annuity Insurance Company","page_number":149,"box":{"x":69,"y":392,"width":331,"height":12}},{"id":"bbf2a706-473b-4058-b10d-2cb6adba3d3b","block_type":"box","text":"Genwor th Life Insurance Company of New York","page_number":149,"box":{"x":69,"y":412,"width":332,"height":12}},{"id":"2902025c-ccc7-4eb5-8c6e-d3e25cb2e473","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":149,"box":{"x":69,"y":433,"width":225,"height":10}},{"id":"68a761f2-645e-4b5a-bad1-117f9d2f6623","block_type":"box","text":"Goldman Sachs & Co.","page_number":149,"box":{"x":69,"y":453,"width":155,"height":9}},{"id":"0e08e327-9c7d-41d8-8db1-4b28be4b68e1","block_type":"box","text":"Great Pacific Securities, LLC","page_number":149,"box":{"x":69,"y":473,"width":201,"height":10}},{"id":"4e895770-c634-43b2-9fff-36007978e474","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":149,"box":{"x":69,"y":493,"width":273,"height":11}},{"id":"8907ca80-1dc3-4335-b243-649532856212","block_type":"box","text":"Hancock Whitney Bank","page_number":149,"box":{"x":70,"y":514,"width":161,"height":10}},{"id":"f37f43fc-c4c6-4b46-a5fc-c53dbd55e24f","block_type":"box","text":"Har tford Funds Management Company","page_number":149,"box":{"x":70,"y":533,"width":274,"height":12}},{"id":"561691bb-19ee-47df-84e4-b9257d5c8882","block_type":"box","text":"Har tford Securities Distribution Company, Inc.","page_number":149,"box":{"x":70,"y":554,"width":324,"height":11}},{"id":"ef8b475f-6740-43bf-b208-4557c3b353d9","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":149,"box":{"x":70,"y":574,"width":206,"height":10}},{"id":"50c97bd3-11fa-4f93-8eb9-fcfadf885858","block_type":"box","text":"Hightower Securities, Inc.","page_number":149,"box":{"x":70,"y":594,"width":179,"height":11}},{"id":"486960c9-7083-458a-bd1b-1628a714b3fd","block_type":"box","text":"Hilltop Securities Inc.","page_number":149,"box":{"x":70,"y":614,"width":149,"height":11}},{"id":"dcf01f55-f1b5-40e9-9cb0-6cf002244bda","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":149,"box":{"x":70,"y":634,"width":153,"height":11}},{"id":"30d811ec-7de8-4a1c-bb8a-ff230a299eb6","block_type":"box","text":"Huntington Securities, Inc.","page_number":149,"box":{"x":70,"y":655,"width":186,"height":11}},{"id":"99a36ca1-bc0c-4621-bb9f-0e683c72d7f6","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":149,"box":{"x":70,"y":675,"width":247,"height":10}},{"id":"f4e6d4ed-ed8f-4f00-8883-0bb09e1ca6dd","block_type":"box","text":"Integrity Life Insurance Company","page_number":149,"box":{"x":70,"y":695,"width":230,"height":11}},{"id":"54bc0250-0a46-4e0b-944e-a44823ce95af","block_type":"box","text":"Interactive Brokers, LLC","page_number":149,"box":{"x":70,"y":715,"width":168,"height":10}},{"id":"9f5ebd37-e759-42e3-a83b-3764ac1ee8ac","block_type":"box","text":"Investment Trust of California","page_number":149,"box":{"x":70,"y":735,"width":208,"height":9}},{"id":"effad657-88e1-44f8-82a6-c3026f0df1d0","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":149,"box":{"x":69,"y":755,"width":292,"height":11}},{"id":"236dd01f-767b-459c-916f-a0e023a065cb","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":149,"box":{"x":69,"y":775,"width":188,"height":12}},{"id":"467f818f-c3f5-4f45-8f42-16b49137cca2","block_type":"box","text":"Jefferies LLC","page_number":149,"box":{"x":69,"y":795,"width":91,"height":9}},{"id":"faf89e5e-ec07-4a09-b500-0a096bd603bc","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":149,"box":{"x":69,"y":816,"width":305,"height":11}},{"id":"446a06ba-3294-49f6-aaf7-7c5e99361aa5","block_type":"box","text":"Jefferson National Life Insurance Company of New York","page_number":149,"box":{"x":69,"y":836,"width":394,"height":11}},{"id":"3b0c74b5-3b03-42fa-91dd-46c441b7de4a","block_type":"box","text":"John Hancock Life Insurance Company (U.S.A.)","page_number":149,"box":{"x":69,"y":856,"width":332,"height":11}},{"id":"ae5d57e8-83db-4dc9-a311-ae5aef52bb0e","block_type":"box","text":"John Hancock Life Insurance Company of New York","page_number":149,"box":{"x":69,"y":876,"width":362,"height":11}},{"id":"ba400f25-682b-4fe1-8bfa-08a8173a6ca1","block_type":"box","text":"John Hancock Trust Company","page_number":149,"box":{"x":69,"y":896,"width":209,"height":11}},{"id":"189dc523-4bb7-44dc-8614-e38899e5fe80","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":149,"box":{"x":509,"y":45,"width":197,"height":11}},{"id":"91b00f85-bf32-4296-9727-7bbce415352c","block_type":"box","text":"Kestra Investment Services, LLC","page_number":149,"box":{"x":510,"y":65,"width":231,"height":10}},{"id":"78c3f8af-8155-4d3b-a696-59b6ffd6c18d","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":149,"box":{"x":510,"y":85,"width":267,"height":11}},{"id":"56448f36-d7a3-4b60-becd-cb7268f79800","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":149,"box":{"x":510,"y":105,"width":278,"height":11}},{"id":"f80140f2-eb12-4f12-98b0-7fb05261cd84","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":149,"box":{"x":510,"y":125,"width":310,"height":11}},{"id":"35960bbe-9aed-44a7-b99d-512e7bda5f64","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":149,"box":{"x":510,"y":145,"width":288,"height":12}},{"id":"9934c449-ab90-482a-8f6c-d2dbf26b2440","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":149,"box":{"x":510,"y":166,"width":229,"height":9}},{"id":"03c3b647-8d26-4689-bc14-7bd0b4c5da97","block_type":"box","text":"Lombard International Life Assurance Company","page_number":149,"box":{"x":510,"y":186,"width":336,"height":11}},{"id":"6dedc27e-9157-4172-8798-3c5b4c430065","block_type":"box","text":"LPL Financial LLC","page_number":149,"box":{"x":510,"y":206,"width":122,"height":9}},{"id":"490ef43d-a581-4e2c-a5d8-e7fdc89556cd","block_type":"box","text":"M&T Securities Inc.","page_number":149,"box":{"x":510,"y":226,"width":136,"height":9}},{"id":"46388fb9-cce3-4f43-ae9c-bac5228ea55f","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":149,"box":{"x":510,"y":246,"width":302,"height":11}},{"id":"f840f091-787f-4e1e-8c62-df3c6586c556","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":149,"box":{"x":510,"y":266,"width":338,"height":12}},{"id":"3cbce11d-a0ae-4419-adc9-828255ea4652","block_type":"box","text":"Members Life Insurance Company","page_number":149,"box":{"x":510,"y":286,"width":241,"height":12}},{"id":"cfd1104c-7d42-4851-a483-326930c74887","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":149,"box":{"x":510,"y":307,"width":356,"height":11}},{"id":"332adcfb-fb7b-4a89-9f23-9c22e12e08da","block_type":"box","text":"Metavante Corporation","page_number":149,"box":{"x":510,"y":327,"width":160,"height":11}},{"id":"1c8d67cb-3a6d-4a01-89fb-10c35e7b5a83","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":149,"box":{"x":510,"y":347,"width":264,"height":11}},{"id":"7f36373c-8b39-4881-a223-2c3bdcffec18","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":149,"box":{"x":510,"y":367,"width":330,"height":11}},{"id":"42bef934-ef78-464c-b935-a043f72a57ea","block_type":"box","text":"Midland Life Insurance Company","page_number":149,"box":{"x":510,"y":387,"width":231,"height":11}},{"id":"3085a50b-86d7-42d4-8e72-ab78fbc34b11","block_type":"box","text":"Minnesota Life Insurance Company","page_number":149,"box":{"x":510,"y":407,"width":249,"height":12}},{"id":"7042da6b-8754-481c-9853-50e71347702d","block_type":"box","text":"Mischler Financial Group","page_number":149,"box":{"x":510,"y":428,"width":173,"height":11}},{"id":"c9b5f89e-0861-40bf-bb48-dd1f1f32f22a","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":149,"box":{"x":510,"y":448,"width":189,"height":9}},{"id":"23f4f2f9-543e-4845-809f-cc6df36d955a","block_type":"box","text":"MML Distributors, LLC","page_number":149,"box":{"x":510,"y":468,"width":157,"height":10}},{"id":"0ff703e1-d5b2-4cc0-bb39-4c5a5a6f4e11","block_type":"box","text":"MML Investors Services, LLC","page_number":149,"box":{"x":510,"y":488,"width":206,"height":11}},{"id":"4899db1f-ddaa-44db-8219-d5a746d561b4","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":149,"box":{"x":510,"y":508,"width":185,"height":12}},{"id":"4256636a-4595-4e62-8353-712b4a2dc420","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":149,"box":{"x":510,"y":529,"width":230,"height":11}},{"id":"9c6f31aa-16cd-4039-a3fd-a9d36ba7bdba","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":149,"box":{"x":510,"y":549,"width":240,"height":11}},{"id":"3bd78b4a-9084-402a-afd8-79f4c732ae0e","block_type":"box","text":"MUFG Union Bank, National Association","page_number":149,"box":{"x":510,"y":569,"width":282,"height":10}},{"id":"e08b7a00-9caa-4369-845e-0c28f4528d36","block_type":"box","text":"Nassau Life Insurance Company","page_number":149,"box":{"x":510,"y":589,"width":228,"height":11}},{"id":"e20fff44-82c3-4a24-8e6f-61a36f71c32f","block_type":"box","text":"National Financial Services LLC","page_number":149,"box":{"x":510,"y":609,"width":222,"height":9}},{"id":"5f7adc86-020b-488f-ad84-b368c908241d","block_type":"box","text":"National Integrity Life Insurance Company","page_number":149,"box":{"x":510,"y":629,"width":295,"height":11}},{"id":"3ba9a5c0-d1db-43b6-a097-d3b1cb62f723","block_type":"box","text":"National Life Insurance Company","page_number":149,"box":{"x":510,"y":649,"width":233,"height":12}},{"id":"64d16841-6024-4859-8630-ca0709b98592","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":149,"box":{"x":510,"y":670,"width":245,"height":10}},{"id":"b45bbe67-6fcc-4657-8ea9-7ef97f05aede","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":149,"box":{"x":510,"y":690,"width":234,"height":9}},{"id":"7105d744-afaa-414d-9faa-90bdec97f35b","block_type":"box","text":"Nationwide Retirement Solutions","page_number":149,"box":{"x":510,"y":710,"width":231,"height":9}},{"id":"ec93a669-083f-4ded-8029-fd8ac6ef85f9","block_type":"box","text":"NCB Federal Savings Bank","page_number":149,"box":{"x":510,"y":730,"width":187,"height":11}},{"id":"c2d31de6-b564-4b59-af96-0de1dda31537","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":149,"box":{"x":510,"y":750,"width":289,"height":11}},{"id":"64a3939c-064e-4cf4-bc12-3a3726a93bb6","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":149,"box":{"x":510,"y":770,"width":343,"height":11}},{"id":"9f856c8f-b724-433c-b74e-bed77aadfc38","block_type":"box","text":"Newpor t Retirement Services, Inc.","page_number":149,"box":{"x":510,"y":791,"width":242,"height":10}},{"id":"4973ae96-0eea-4ade-b8b5-b21192726aec","block_type":"box","text":"Nor thbrook Bank & Trust Company","page_number":149,"box":{"x":510,"y":811,"width":247,"height":11}},{"id":"b3ef8388-3fa9-4991-a821-502d05062349","block_type":"box","text":"Nor thern Trust Company","page_number":149,"box":{"x":510,"y":831,"width":173,"height":11}},{"id":"cc707a33-332e-4625-b561-877e4ab3eb15","block_type":"box","text":"Nor thwestern Mutual Investment Services, LLC","page_number":149,"box":{"x":510,"y":851,"width":335,"height":10}},{"id":"161bb0f5-2559-4c3d-b0d8-6d7f54680bca","block_type":"box","text":"Nor thwestern Mutual Life Insurance Company","page_number":149,"box":{"x":510,"y":871,"width":325,"height":11}},{"id":"a8bee42d-e60b-4f99-a2ca-ee69296bd2e3","block_type":"box","text":"NYLife Distributors LLC","page_number":149,"box":{"x":510,"y":891,"width":162,"height":9}},{"id":"b5bbce05-0e40-49c0-a804-e9f6aced119b","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":149,"box":{"x":509,"y":912,"width":173,"height":10}},{"id":"dcd46a3b-7847-4493-ae48-d5b66f375c1e","block_type":"box","text":"II-112","page_number":149,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"ccea2fcf-23a2-4f9a-b2a7-3bc8ca4d034e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":149,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b3f6fbf8-4f19-4156-aec4-740b6a177255","block_type":"box","text":"Orion Advisor Services, LLC","page_number":150,"box":{"x":69,"y":45,"width":195,"height":10}},{"id":"2d1c1dd9-e661-4fd1-b703-4a56f00a73e4","block_type":"box","text":"Osaic Wealth, Inc.","page_number":150,"box":{"x":69,"y":65,"width":127,"height":10}},{"id":"051b095d-a511-4ee3-afb5-b336ab6fbdf8","block_type":"box","text":"Pacific Life & Annuity Company","page_number":150,"box":{"x":69,"y":85,"width":219,"height":11}},{"id":"44997e8c-93ec-4074-88e7-c2df17eb0904","block_type":"box","text":"Pacific Life Insurance Company","page_number":150,"box":{"x":69,"y":105,"width":221,"height":11}},{"id":"8bb1e292-9ec6-4fbc-9be4-bc4d6aec0302","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":150,"box":{"x":69,"y":125,"width":218,"height":11}},{"id":"dbb349ce-6662-4106-85e5-3293f5fde195","block_type":"box","text":"Park Avenue Securities LLC","page_number":150,"box":{"x":69,"y":146,"width":193,"height":8}},{"id":"5dc605b5-7556-4fb8-9cd7-e1e6b6172bf3","block_type":"box","text":"Penserra Securities LLC","page_number":150,"box":{"x":69,"y":166,"width":170,"height":9}},{"id":"0aeeaed2-11c5-4d48-a8b4-1c188e80ee57","block_type":"box","text":"Pershing LLC","page_number":150,"box":{"x":69,"y":186,"width":91,"height":11}},{"id":"bf6635ac-c8a7-46a7-b2d6-d06feb903d8c","block_type":"box","text":"PFPC Inc.","page_number":150,"box":{"x":69,"y":206,"width":65,"height":9}},{"id":"a230f5b8-d5ea-47c1-9bc2-a66eb2494d16","block_type":"box","text":"Piper Jaffray & Co.","page_number":150,"box":{"x":69,"y":226,"width":130,"height":11}},{"id":"9cba586e-5857-4ac5-bb52-cad9994d1f65","block_type":"box","text":"PNC Bank, National Association","page_number":150,"box":{"x":69,"y":246,"width":225,"height":11}},{"id":"8774eb45-3806-49b5-a9ad-2903838cd906","block_type":"box","text":"PNC Capital Markets LLC","page_number":150,"box":{"x":69,"y":266,"width":177,"height":11}},{"id":"453e61a6-1c10-44e6-a275-030baa9760bb","block_type":"box","text":"PNC Investments LLC","page_number":150,"box":{"x":69,"y":287,"width":152,"height":9}},{"id":"e6a5d685-b217-408f-bfb6-a0bd0f836fb8","block_type":"box","text":"Principal Bank","page_number":150,"box":{"x":69,"y":307,"width":100,"height":11}},{"id":"b2647c18-bb08-43d4-90bc-a6d667a2837a","block_type":"box","text":"Principal Life Insurance Company","page_number":150,"box":{"x":69,"y":327,"width":235,"height":11}},{"id":"ed4a870f-5ec3-422c-a75f-9ae4b1f14d64","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":150,"box":{"x":69,"y":347,"width":333,"height":11}},{"id":"670f921d-205e-4a7e-8ab6-cfdd2813ec0c","block_type":"box","text":"Protective Life Insurance Company","page_number":150,"box":{"x":69,"y":367,"width":245,"height":11}},{"id":"8aac2a28-2366-471a-874a-61768cbc725b","block_type":"box","text":"Pruco Life Insurance Company","page_number":150,"box":{"x":69,"y":387,"width":215,"height":11}},{"id":"4a8975a9-601f-48c5-ace8-25c83dd28492","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":150,"box":{"x":69,"y":407,"width":319,"height":12}},{"id":"4d96ce43-384e-495b-8db2-95ec9524b32c","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":150,"box":{"x":69,"y":428,"width":264,"height":10}},{"id":"2b6ecd16-e4b1-4ab9-bd1d-221550bac838","block_type":"box","text":"Prudential Insurance Company of America","page_number":150,"box":{"x":69,"y":448,"width":296,"height":11}},{"id":"65f4337c-9c2b-44b3-8ee6-63eee63c93a5","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":150,"box":{"x":70,"y":468,"width":248,"height":11}},{"id":"39e48478-69a1-4df2-826f-f2c99dfd6afe","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":150,"box":{"x":70,"y":488,"width":283,"height":11}},{"id":"a08147e4-d372-4d56-aa3d-be1f14f972c0","block_type":"box","text":"RBC Capital Markets, LLC","page_number":150,"box":{"x":70,"y":508,"width":181,"height":11}},{"id":"79189109-b94e-4a1a-8a8c-2e9f514d1cac","block_type":"box","text":"Regions Bank","page_number":150,"box":{"x":70,"y":529,"width":96,"height":11}},{"id":"197b14d2-3cbc-4cbe-9d5a-a4a671d717a9","block_type":"box","text":"Reliance Trust Company","page_number":150,"box":{"x":70,"y":549,"width":170,"height":11}},{"id":"9280a3d1-0382-4ea3-bd8c-e34383253f2d","block_type":"box","text":"Reliastar Life Insurance Company","page_number":150,"box":{"x":70,"y":569,"width":237,"height":11}},{"id":"b588cfa2-8567-4036-861a-65e01c5486f3","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":150,"box":{"x":70,"y":589,"width":325,"height":11}},{"id":"6c0d20de-61de-405a-90e8-2fb5fbbbe092","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":150,"box":{"x":70,"y":609,"width":205,"height":11}},{"id":"cb4d603a-583a-44e6-b17e-55f99136daa8","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":150,"box":{"x":70,"y":629,"width":306,"height":9}},{"id":"25623cfd-9b89-485c-9191-7bd4635fb687","block_type":"box","text":"RiverSource Life Insurance Company","page_number":150,"box":{"x":70,"y":649,"width":259,"height":12}},{"id":"1f351cf6-58ad-481b-914c-cfee78aadaf1","block_type":"box","text":"SagePoint Financial, Inc.","page_number":150,"box":{"x":69,"y":670,"width":173,"height":11}},{"id":"91358db0-92b7-4313-82c1-01388260cb1c","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":150,"box":{"x":69,"y":690,"width":260,"height":10}},{"id":"043dade6-0bc8-42bc-b08c-5838436478e3","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":150,"box":{"x":69,"y":710,"width":208,"height":11}},{"id":"a6774af1-e4ac-420a-a4bf-1fa44c363afe","block_type":"box","text":"Santander Bank, N.A.","page_number":150,"box":{"x":69,"y":730,"width":151,"height":10}},{"id":"9fe7b563-ae9f-441f-a660-b7d9a7f09a8a","block_type":"box","text":"Saturna Trust Company","page_number":150,"box":{"x":69,"y":750,"width":167,"height":11}},{"id":"7a1ca705-a33c-44cc-bef4-9b7fcc4f6543","block_type":"box","text":"Securities America, Inc.","page_number":150,"box":{"x":69,"y":770,"width":166,"height":11}},{"id":"ce9b3672-6b07-4e38-afe8-ab00cc5f91bc","block_type":"box","text":"Securities Finance Trust Company","page_number":150,"box":{"x":69,"y":791,"width":241,"height":11}},{"id":"deaf3785-355b-4f09-beb6-fa01fd0cea0b","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":150,"box":{"x":69,"y":811,"width":287,"height":11}},{"id":"1a1e83e0-c23a-4ab1-a812-dc88cb0f743e","block_type":"box","text":"Security Financial Resources, Inc.","page_number":150,"box":{"x":69,"y":831,"width":238,"height":11}},{"id":"39a7a850-fb82-4649-b1f1-2b14464c76e0","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":150,"box":{"x":69,"y":851,"width":305,"height":11}},{"id":"ca83f220-8b1a-44ef-b8fa-0d0ed8b2198e","block_type":"box","text":"SEI Private Trust Company","page_number":150,"box":{"x":69,"y":871,"width":187,"height":11}},{"id":"4160baea-c75f-4bd4-893d-af1f96ad604e","block_type":"box","text":"SG Americas Securities, LLC","page_number":150,"box":{"x":69,"y":891,"width":202,"height":11}},{"id":"45382636-aa22-4217-8fb3-7cad6d502385","block_type":"box","text":"Silicon Valley Bank","page_number":150,"box":{"x":69,"y":912,"width":132,"height":11}},{"id":"151e3136-56ca-4434-b9be-a066a0b05a66","block_type":"box","text":"Standard Insurance Company","page_number":150,"box":{"x":509,"y":45,"width":209,"height":11}},{"id":"ac7105ed-e8fd-4074-a38f-ba51bb895b5c","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":150,"box":{"x":509,"y":65,"width":355,"height":11}},{"id":"d76d7520-5e97-4527-9929-3acd83e75db8","block_type":"box","text":"State Farm Life Insurance Company","page_number":150,"box":{"x":509,"y":85,"width":254,"height":11}},{"id":"da091c0c-0236-4b4d-97b0-03ecef568878","block_type":"box","text":"State Farm VP Management Corp.","page_number":150,"box":{"x":509,"y":105,"width":240,"height":11}},{"id":"32b6ee4d-1a0c-4342-99bc-141198fedf44","block_type":"box","text":"State Street Bank and Trust Company","page_number":150,"box":{"x":509,"y":125,"width":269,"height":11}},{"id":"58aa4645-5fcf-426a-8830-94534aebc185","block_type":"box","text":"State Street Global Markets, LLC","page_number":150,"box":{"x":509,"y":146,"width":234,"height":10}},{"id":"181c8440-aa50-4b81-aac0-421f0bd56b02","block_type":"box","text":"Stern Brothers & Co.","page_number":150,"box":{"x":509,"y":166,"width":147,"height":9}},{"id":"509ade00-4326-40c7-93d7-ede2454895da","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":150,"box":{"x":509,"y":186,"width":291,"height":11}},{"id":"e48ccbab-917f-4c5f-bae3-063a28fac949","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":150,"box":{"x":509,"y":206,"width":232,"height":11}},{"id":"090c8307-1453-4f2f-b225-54eae9950552","block_type":"box","text":"SVB Asset Management","page_number":150,"box":{"x":509,"y":226,"width":171,"height":11}},{"id":"3b62b58f-1bab-476c-bf1f-33a03ef6330e","block_type":"box","text":"Symetra Life Insurance Company","page_number":150,"box":{"x":509,"y":246,"width":234,"height":11}},{"id":"a0e53b07-07f1-4447-a7b8-d54a0d2033fd","block_type":"box","text":"Syntal Capital Par tners, LLC","page_number":150,"box":{"x":509,"y":266,"width":199,"height":12}},{"id":"2668da99-1b37-4984-96db-b6f45f23ae3b","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":150,"box":{"x":509,"y":287,"width":314,"height":10}},{"id":"dfefc6a8-c796-464c-bd8a-1c3eebc7e71a","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance Company","page_number":150,"box":{"x":509,"y":307,"width":390,"height":11}},{"id":"b24fc6e1-cb08-4a6d-aa5d-6abf8e833d4e","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":150,"box":{"x":509,"y":327,"width":302,"height":11}},{"id":"9b59a00e-758c-48df-a162-a8e37fd44b8e","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":150,"box":{"x":509,"y":347,"width":197,"height":11}},{"id":"09a115d5-ba0d-46f1-abee-83fd9b1f1a47","block_type":"box","text":"TD Ameritrade, Inc.","page_number":150,"box":{"x":509,"y":367,"width":135,"height":11}},{"id":"9c3a8cff-14ca-4d4d-a79c-2923c42ad91b","block_type":"box","text":"TD Prime Services (US) LLC","page_number":150,"box":{"x":509,"y":387,"width":196,"height":11}},{"id":"4040917b-ed34-468a-ab4f-babe8be7c435","block_type":"box","text":"Teachers Insurance and Annuity Association of America","page_number":150,"box":{"x":509,"y":407,"width":392,"height":12}},{"id":"005dcd47-30cf-4485-98e5-b7ced68e9026","block_type":"box","text":"Tigress Financial Par tners, LLC","page_number":150,"box":{"x":509,"y":428,"width":220,"height":11}},{"id":"0b8473c4-148a-4913-bacd-56ccc1c40e85","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":150,"box":{"x":509,"y":448,"width":338,"height":11}},{"id":"58a3effa-a366-4b34-bab4-9be8dbdc5eee","block_type":"box","text":"Transamerica Life Insurance Company","page_number":150,"box":{"x":509,"y":468,"width":271,"height":11}},{"id":"1e741b8d-a98f-4d18-9c19-0300071b6c19","block_type":"box","text":"Treasury Brokerage","page_number":150,"box":{"x":509,"y":488,"width":137,"height":11}},{"id":"c3c72031-b42b-4fb2-8dd6-db9c11ccc4dc","block_type":"box","text":"Triad Advisors, LLC","page_number":150,"box":{"x":509,"y":508,"width":134,"height":11}},{"id":"5f142492-a816-476a-b22b-4908df67fde1","block_type":"box","text":"Truist Bank","page_number":150,"box":{"x":509,"y":529,"width":80,"height":8}},{"id":"8e4cc514-e3dc-49b8-b158-f2d169752392","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":150,"box":{"x":510,"y":549,"width":218,"height":11}},{"id":"09369721-3be7-4c02-98b4-9fc03c0c1bb7","block_type":"box","text":"U.S. Bank, National Association","page_number":150,"box":{"x":510,"y":569,"width":224,"height":10}},{"id":"67679639-5ff3-4dcc-ae77-6128f5f1f228","block_type":"box","text":"UBATCO & Co.","page_number":150,"box":{"x":510,"y":589,"width":99,"height":9}},{"id":"dda2528b-d0c3-4f3f-8280-5ba69243e478","block_type":"box","text":"UBS Financial Services, Inc.","page_number":150,"box":{"x":510,"y":609,"width":197,"height":11}},{"id":"d18b7c99-d7d5-4380-8cc5-273db0d979e1","block_type":"box","text":"UBS Securities LLC","page_number":150,"box":{"x":510,"y":629,"width":136,"height":9}},{"id":"2a41386a-e2dd-4957-939c-9c19785544ff","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":150,"box":{"x":510,"y":649,"width":199,"height":11}},{"id":"92335df0-a6db-49f5-b721-6eadc1151190","block_type":"box","text":"UMB Bank, National Association","page_number":150,"box":{"x":510,"y":670,"width":228,"height":10}},{"id":"862c6ca6-ceb1-4b0c-aa47-98dc34358036","block_type":"box","text":"United States Life Insurance Company in the City of","page_number":150,"box":{"x":510,"y":690,"width":367,"height":11}},{"id":"bcd45970-b45a-476d-945f-862e2e641962","block_type":"box","text":"New York","page_number":150,"box":{"x":510,"y":705,"width":63,"height":9}},{"id":"5e3af42d-d4a8-4c2d-a0fc-901261d3d8d5","block_type":"box","text":"VALIC Retirement Services Company","page_number":150,"box":{"x":509,"y":725,"width":260,"height":11}},{"id":"b1cad00e-48fd-4101-9077-ecce1b8e2516","block_type":"box","text":"Vanguard Group, Inc.","page_number":150,"box":{"x":509,"y":745,"width":147,"height":11}},{"id":"c93fcc82-9d81-4feb-b63a-b04745bf44fa","block_type":"box","text":"Vanguard Marketing Corporation","page_number":150,"box":{"x":509,"y":765,"width":227,"height":12}},{"id":"7b87ac5f-6f6f-4fe0-b80a-ef16f91ad76c","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":150,"box":{"x":509,"y":786,"width":198,"height":11}},{"id":"3cd10bcf-7d2a-4630-af77-f32e226c489f","block_type":"box","text":"Voya Financial Par tners, LLC","page_number":150,"box":{"x":509,"y":806,"width":201,"height":11}},{"id":"65371c3f-38f1-4473-8ac9-34eb5d539bca","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":150,"box":{"x":509,"y":826,"width":259,"height":11}},{"id":"e2c391e1-5b2d-48b2-8c4a-3bdda2f764ee","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":150,"box":{"x":509,"y":846,"width":265,"height":11}},{"id":"63bf747f-b539-4c11-b7b4-3806215b1d34","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":150,"box":{"x":509,"y":866,"width":238,"height":11}},{"id":"5423ad34-9cb9-4245-8b8b-2b46acfe3f4a","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":150,"box":{"x":509,"y":886,"width":348,"height":11}},{"id":"db2b8777-11c8-4fe0-b234-4b9a7f80c011","block_type":"box","text":"Waddell & Reed, Inc.","page_number":150,"box":{"x":509,"y":906,"width":147,"height":11}},{"id":"dcec9355-8d73-417b-8e7a-0cb59bb76ab4","block_type":"box","text":"II-113","page_number":150,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"a6fe450c-6d97-410b-b0db-9d199ab399c4","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":150,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"91cd019f-bef9-4da6-8b70-0147b9863320","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":151,"box":{"x":68,"y":45,"width":183,"height":11}},{"id":"428d556f-8e6c-46d5-835b-11673f6880ee","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":151,"box":{"x":68,"y":65,"width":313,"height":11}},{"id":"906eea47-334f-4a16-8bb6-f99066977a9f","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":151,"box":{"x":68,"y":85,"width":161,"height":11}},{"id":"ae33f5f9-26a9-44e9-acb2-ea29eaea0c8a","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":151,"box":{"x":68,"y":105,"width":247,"height":11}},{"id":"ab960ef3-d624-41e5-97ca-83210b2955e6","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":151,"box":{"x":68,"y":125,"width":210,"height":12}},{"id":"757caae2-b753-40a7-8db1-dbf0d9279000","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":151,"box":{"x":509,"y":45,"width":193,"height":11}},{"id":"5696edae-3fa8-421c-9930-f2119c5d06dd","block_type":"box","text":"Wilmington Trust, National Association","page_number":151,"box":{"x":509,"y":65,"width":273,"height":11}},{"id":"a483e655-98a6-4338-b6ce-361d59d0ad31","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":151,"box":{"x":509,"y":85,"width":238,"height":11}},{"id":"c7aab39e-93c8-456d-818a-d17d13c1367f","block_type":"box","text":"ZB, National Association","page_number":151,"box":{"x":509,"y":105,"width":173,"height":11}},{"id":"25b20f69-e5bc-4f4b-8ec6-d19db005b686","block_type":"box","text":"E. Sponsorship and Other Incentive Payments and Services","page_number":151,"box":{"x":102,"y":164,"width":423,"height":11}},{"id":"1b7844be-3e75-4e52-b2ba-0df223e1022b","block_type":"box","text":"In addition to the Additional Payments described above, BlackRock may contribute to various other incentive","page_number":151,"box":{"x":102,"y":187,"width":769,"height":11}},{"id":"6cf76d21-1801-439c-b0be-cb1cd2611db7","block_type":"box","text":"arrangements to promote the sale of shares, including hosting proprietary and financially sponsoring Service","page_number":151,"box":{"x":69,"y":202,"width":776,"height":11}},{"id":"ed54938d-e92c-4636-a739-5fb7e51c69ff","block_type":"box","text":"Organizations’ training and educational seminars, conferences, meetings or events. BlackRock may also pay for the","page_number":151,"box":{"x":69,"y":217,"width":824,"height":12}},{"id":"9260f84c-8fdd-4dde-96de-e3e4161ecf2c","block_type":"box","text":"travel, meal, lodging and other expenses of Service Organizations and their salespersons or other personnel in","page_number":151,"box":{"x":68,"y":232,"width":791,"height":12}},{"id":"459c1e06-8fda-47a3-bafe-9fcce4a09663","block_type":"box","text":"connection with educational and sales promotional programs. This compensation is not included in, and is made in","page_number":151,"box":{"x":69,"y":248,"width":820,"height":11}},{"id":"4d7a594f-5e70-4117-8edd-46a753c4e557","block_type":"box","text":"addition to, the Additional Payments described above. These payments may be made directly to the Service","page_number":151,"box":{"x":69,"y":263,"width":767,"height":11}},{"id":"23bf3e4c-6cdb-474b-bab2-e0a2b4535932","block_type":"box","text":"Organizations or their affiliates, or to a third par ty vendor, and may vary depending upon the nature of the event or","page_number":151,"box":{"x":69,"y":278,"width":817,"height":11}},{"id":"5fde1459-9188-4b96-8ca0-edfa6bb4862c","block_type":"box","text":"the relationship and are subject to applicable laws and regulations, including the rules of applicable self-regulatory","page_number":151,"box":{"x":68,"y":293,"width":819,"height":11}},{"id":"684a296f-dc39-4a8a-956a-b97e56f2748a","block_type":"box","text":"organizations, such as FINRA. BlackRock may pay Service Organizations additional types of incentive compensation","page_number":151,"box":{"x":69,"y":308,"width":823,"height":11}},{"id":"5a999c39-3dda-42f9-a847-df4da53dfa2d","block_type":"box","text":"in the future to the extent not prohibited by applicable laws or regulations.","page_number":151,"box":{"x":70,"y":323,"width":526,"height":11}},{"id":"908bd9bb-a92c-45f3-9054-0e7d4f060932","block_type":"box","text":"Separately, BlackRock has developed proprietary tools, calculators and related interactive or digital content that","page_number":151,"box":{"x":102,"y":346,"width":797,"height":11}},{"id":"ef850ce2-1908-4307-83af-78891dcb7fc2","block_type":"box","text":"is made available through the www.BlackRock.com website at no additional cost to Service Organizations. BlackRock","page_number":151,"box":{"x":70,"y":361,"width":833,"height":11}},{"id":"d9892720-e5c1-4261-8521-3ec162c7774f","block_type":"box","text":"configures these tools and calculators and localizes the content for Service Organizations as par t of its customary","page_number":151,"box":{"x":69,"y":376,"width":817,"height":11}},{"id":"532b3595-30cc-4810-8575-3815ed5e7875","block_type":"box","text":"digital marketing suppor t and promotion of the Funds or other BlackRock funds, iShares ETFs and other exchange","page_number":151,"box":{"x":69,"y":391,"width":815,"height":11}},{"id":"5609adfc-69ea-46dd-bea6-48673a9f72a5","block_type":"box","text":"traded products.","page_number":151,"box":{"x":68,"y":406,"width":116,"height":11}},{"id":"2971e2c4-cc04-4820-8e5d-9d395a0e32b2","block_type":"box","text":"F. Conflicts","page_number":151,"box":{"x":102,"y":429,"width":78,"height":9}},{"id":"7e11185d-18c1-4ea9-94eb-24c51d84ef49","block_type":"box","text":"Additional Payments made by BlackRock to a Service Organization or its affiliates or other incentive","page_number":151,"box":{"x":101,"y":452,"width":710,"height":11}},{"id":"9f0d5752-8f0e-46ee-ba13-899ab313eead","block_type":"box","text":"arrangements may be an impor tant factor in the Service Organization’s willingness to suppor t the sale of a Fund","page_number":151,"box":{"x":69,"y":467,"width":803,"height":11}},{"id":"66e92439-8058-4bd8-b1bc-691f51e7c26a","block_type":"box","text":"and/or par ticular share class through its distribution system or to per form services with respect to such Fund.","page_number":151,"box":{"x":69,"y":482,"width":788,"height":11}},{"id":"730e853f-cdb6-4456-8e46-6c75ed271043","block_type":"box","text":"Additional Payments and other incentive arrangements may also be impor tant factors in the Service Organization’s","page_number":151,"box":{"x":68,"y":497,"width":819,"height":11}},{"id":"bf1bcb2e-3e54-4196-b880-7aef55dda823","block_type":"box","text":"willingness to recommend the BlackRock Fund complex in general.","page_number":151,"box":{"x":68,"y":512,"width":473,"height":11}},{"id":"a18e4790-a676-4a62-b234-ec157749bc15","block_type":"box","text":"BlackRock may be motivated to pay Additional Payments and other incentive compensation to promote the sale","page_number":151,"box":{"x":102,"y":535,"width":793,"height":11}},{"id":"19a6e930-044c-402f-82cd-a9619813912f","block_type":"box","text":"of Fund shares to Customers of Service Organizations and the retention of those investments by such Customers. To","page_number":151,"box":{"x":69,"y":550,"width":835,"height":11}},{"id":"815e7521-aefa-4202-b8b2-012288a41989","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":151,"box":{"x":68,"y":565,"width":833,"height":11}},{"id":"30cbb3c8-73bf-457b-9e2f-094498b6079a","block_type":"box","text":"BlackRock benefits from the incremental management and other fees paid by the Fund with respect to those assets.","page_number":151,"box":{"x":70,"y":580,"width":830,"height":11}},{"id":"b41a78db-476e-47f6-bf72-748474757c15","block_type":"box","text":"Service Organizations may have financial incentives for recommending a par ticular Fund, share class or fund","page_number":151,"box":{"x":102,"y":603,"width":774,"height":11}},{"id":"4db1b812-0482-4620-9adf-76a79475b895","block_type":"box","text":"complex over another. Service Organizations may charge their Customers additional fees in connection with the","page_number":151,"box":{"x":69,"y":618,"width":794,"height":11}},{"id":"7d85ee88-0f43-4f6d-ac44-2309385d57f2","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":151,"box":{"x":70,"y":633,"width":818,"height":11}},{"id":"46afec2b-f6fc-4d9b-b56d-b34b4478fd19","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":151,"box":{"x":69,"y":648,"width":836,"height":11}},{"id":"f8060b70-73a1-4044-96fd-13d6f1105d93","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":151,"box":{"x":69,"y":663,"width":723,"height":12}},{"id":"e73540bb-3899-4ce6-b80d-e1a85e33ab21","block_type":"box","text":"Shareholders should consider whether such incentives exist when evaluating any recommendations from a","page_number":151,"box":{"x":102,"y":686,"width":759,"height":11}},{"id":"5e200abf-64f3-498a-ba28-b7eeda031575","block_type":"box","text":"Service Organization to purchase or sell shares of a Fund and when considering which share class is most","page_number":151,"box":{"x":69,"y":701,"width":760,"height":11}},{"id":"b7ac1a06-4d07-48b4-9b72-40514d24fcd2","block_type":"box","text":"appropriate.","page_number":151,"box":{"x":69,"y":716,"width":84,"height":11}},{"id":"dc912ddf-395e-445f-aeda-81270af2b7bf","block_type":"box","text":"You should consult with your Service Organization, and review carefully any disclosure by the Service","page_number":151,"box":{"x":160,"y":716,"width":738,"height":11}},{"id":"1ee5c620-ca9b-43ce-9b51-d9ec0d92bced","block_type":"box","text":"Organization, as to compensation received by it or its affiliates and for more information about the payments","page_number":151,"box":{"x":69,"y":731,"width":795,"height":11}},{"id":"42ab09fd-0d4e-45d2-a402-03d84fb2e762","block_type":"box","text":"described above.","page_number":151,"box":{"x":69,"y":746,"width":122,"height":9}},{"id":"34d9b2dd-c18f-44b5-afc0-e4d3d076071c","block_type":"box","text":"REDEMPTION OF SHARES","page_number":151,"box":{"x":385,"y":776,"width":208,"height":10}},{"id":"eb7613ba-d4dc-4ebf-a5fa-c1c46d5ea7cd","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":151,"box":{"x":102,"y":799,"width":798,"height":11}},{"id":"0adfa255-1263-474b-b3ea-a5a2971ba284","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":151,"box":{"x":68,"y":814,"width":836,"height":11}},{"id":"466feefd-e7cc-411f-8511-a4a412b0bd23","block_type":"box","text":"computing a Fund’s NAV), by delivery of securities and other assets selected from the Fund’s por tfolio holdings at the","page_number":151,"box":{"x":69,"y":829,"width":840,"height":11}},{"id":"445f0a40-f784-4313-a088-34f7176d6647","block_type":"box","text":"Manager’s discretion. In kind payment means payment will be made in por tfolio securities and other assets rather","page_number":151,"box":{"x":70,"y":844,"width":814,"height":11}},{"id":"c6da14a7-7dce-4768-87c8-0bf4fae14707","block_type":"box","text":"than cash. Redemptions in kind may be used in applicable circumstances, generally if the relevant shareholder is","page_number":151,"box":{"x":68,"y":859,"width":809,"height":11}},{"id":"894f9b8c-2e49-467d-9363-20d79dc59503","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":151,"box":{"x":69,"y":874,"width":827,"height":12}},{"id":"2e8aaab8-14e4-4b63-89d4-2515f3707cd2","block_type":"box","text":"shareholder might incur brokerage or other transaction costs to conver t the securities and other assets to cash. Each","page_number":151,"box":{"x":69,"y":890,"width":839,"height":11}},{"id":"8193cadc-db30-4436-ab9e-85dbad649dfa","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":151,"box":{"x":70,"y":904,"width":797,"height":12}},{"id":"6471efcf-f1c5-44a2-b868-5fbeaef18b91","block_type":"box","text":"II-114","page_number":151,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"06241ce2-414e-4d23-9e58-a3eecf12e7f7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":151,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"90fc3a2f-9e4f-406e-b7c3-b6dd18b25d0d","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":152,"box":{"x":69,"y":44,"width":833,"height":12}},{"id":"9770c23b-e30c-422f-99a4-4934687ac80f","block_type":"box","text":"for any shareholder of the Fund.","page_number":152,"box":{"x":68,"y":60,"width":227,"height":11}},{"id":"1b4e7f82-f4ea-415b-91d8-1c2d1ff748bd","block_type":"box","text":"The redemption price is the NAV per share next determined after the initial receipt of proper notice of","page_number":152,"box":{"x":101,"y":82,"width":722,"height":11}},{"id":"4a746bec-1929-499d-b186-bda1fb67c27d","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":152,"box":{"x":69,"y":98,"width":818,"height":11}},{"id":"3db6fa3d-23f3-4a06-a08d-74f55b4644e5","block_type":"box","text":"time of purchase, depending in par t on the market value of the securities held by the Fund at such time. Except for","page_number":152,"box":{"x":68,"y":113,"width":821,"height":11}},{"id":"f7f64063-3bac-4130-8057-15aef21c0289","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":152,"box":{"x":69,"y":128,"width":815,"height":11}},{"id":"e2080c50-5ba4-4779-873d-47ef0f4a7e92","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":152,"box":{"x":68,"y":143,"width":812,"height":11}},{"id":"1bf7eb73-6db7-4571-8f1e-888255c0c3b7","block_type":"box","text":"redemption.","page_number":152,"box":{"x":69,"y":158,"width":83,"height":11}},{"id":"605a8dd2-0c76-4f95-ac7e-720f63b6a073","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":152,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"b5790d6d-228c-4e0b-8dc0-f13c67eafbd9","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":152,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"779cda6e-5b64-408e-a307-e9f4cd2ac11d","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":152,"box":{"x":68,"y":211,"width":811,"height":11}},{"id":"78afb626-d1bc-4405-9a27-b3ba95f849a7","block_type":"box","text":"emergency exists, as defined by the Commission, as a result of which disposal of por tfolio securities or","page_number":152,"box":{"x":69,"y":226,"width":741,"height":11}},{"id":"6023eef1-8ac3-413e-92aa-fd9ca713a637","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":152,"box":{"x":69,"y":241,"width":813,"height":11}},{"id":"425a1d53-367e-4ab2-86a7-f8e9bd7ed234","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":152,"box":{"x":69,"y":256,"width":787,"height":11}},{"id":"f58cd0e0-f163-49db-a722-a1d5d5633d7a","block_type":"box","text":"recordation of the transfer of its shares upon the occurrence of any of the foregoing conditions.)","page_number":152,"box":{"x":69,"y":271,"width":685,"height":12}},{"id":"c09777cb-609b-40e9-a573-c72f61af9b8f","block_type":"box","text":"Each Fund, with other investment companies advised by the Manager, has entered into a joint committed line of","page_number":152,"box":{"x":102,"y":294,"width":798,"height":11}},{"id":"0792bf1f-ca82-4841-bc5a-fb3458023469","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":152,"box":{"x":69,"y":309,"width":820,"height":11}},{"id":"5fe042dc-4387-4c9a-842f-11389d82eabd","block_type":"box","text":"meet redemption requests from shareholders in extraordinary or emergency circumstances.","page_number":152,"box":{"x":69,"y":324,"width":653,"height":12}},{"id":"9f552ecf-a0d7-4b5c-aa30-ba2cc9661d2a","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":152,"box":{"x":102,"y":347,"width":803,"height":11}},{"id":"fbf2b837-9473-4804-8830-b6e43ddddda4","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":152,"box":{"x":69,"y":362,"width":827,"height":11}},{"id":"2116c1f5-9ccb-442b-9db6-594fc30ef0a6","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":152,"box":{"x":68,"y":377,"width":824,"height":12}},{"id":"a2960e2c-312e-494f-af30-0bc5e12c873b","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":152,"box":{"x":70,"y":392,"width":825,"height":12}},{"id":"02e4bc7b-06f2-4c2d-9794-e147564103be","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":152,"box":{"x":69,"y":407,"width":825,"height":12}},{"id":"3cc25bc7-b52e-4e36-a84f-324cba35766a","block_type":"box","text":"so redeemed shall have no fur ther right with respect thereto other than to receive payment of the redemption price.","page_number":152,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"8aacafcd-7c83-42cd-a767-38bec2b847fa","block_type":"box","text":"Redemption","page_number":152,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"79bd7b4e-6f0c-461d-8de4-b7f3e9f0c5f7","block_type":"box","text":"Investor A, Investor A1, Investor C, Institutional and Class R Shares","page_number":152,"box":{"x":70,"y":476,"width":481,"height":10}},{"id":"82836dc5-2bb7-4056-8547-e4f624c56a90","block_type":"box","text":"Redeem by Telephone:","page_number":152,"box":{"x":102,"y":498,"width":162,"height":11}},{"id":"87a5fd81-ab46-4031-9747-56696ef90f8f","block_type":"box","text":"You may sell Investor Shares, excluding Investor P Shares, held at BlackRock by","page_number":152,"box":{"x":270,"y":498,"width":571,"height":11}},{"id":"bc9a80fa-9269-41a4-9cdc-9a2fe781820e","block_type":"box","text":"telephone request if cer tain conditions are met and if the amount being sold is less than (i) $100,000 for payments","page_number":152,"box":{"x":68,"y":513,"width":829,"height":12}},{"id":"cb3a129b-557c-4a47-9b44-069fa6be272e","block_type":"box","text":"by check or (ii) $250,000 for payments through the Automated Clearing House Network (“ACH”) or wire transfer.","page_number":152,"box":{"x":69,"y":528,"width":798,"height":12}},{"id":"f6c8b8e4-274b-43a8-b043-e711ad661ef2","block_type":"box","text":"Cer tain redemption requests, such as those in excess of these amounts, and those where (i) the Fund does not have","page_number":152,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"7543f1a1-06cb-4098-a2a9-7fad3fb201e8","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":152,"box":{"x":68,"y":559,"width":831,"height":11}},{"id":"3ed350d6-1b6e-4fbe-ba10-dd0a2acf6a0c","block_type":"box","text":"be in writing with a medallion signature guarantee provided by any “eligible guarantor institution” as defined in Rule","page_number":152,"box":{"x":69,"y":574,"width":822,"height":11}},{"id":"df64e9e2-c631-43dc-95b9-480ed044816e","block_type":"box","text":"17Ad-15 under the Securities Exchange Act of 1934 (the “Exchange Act”), whose existence and validity may be","page_number":152,"box":{"x":70,"y":589,"width":791,"height":11}},{"id":"8288d216-d7aa-4055-956f-9bf63340047f","block_type":"box","text":"verified by the Transfer Agent through the use of industry publications. For Institutional Shares, cer tain redemption","page_number":152,"box":{"x":68,"y":604,"width":818,"height":11}},{"id":"10ea7b37-5700-456d-9924-7c9fc4b8b2a0","block_type":"box","text":"requests may require written instructions with a medallion signature guarantee. Call (800) 441-7762 for details. You","page_number":152,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"ef1cba88-74be-4764-9a96-4d89392adfbe","block_type":"box","text":"can obtain a medallion signature guarantee stamp from a bank, securities dealer, securities broker, credit union,","page_number":152,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"f67da0d0-4f96-487c-9073-3765830f345f","block_type":"box","text":"savings and loan association, national securities exchange or registered securities association. The three recognized","page_number":152,"box":{"x":69,"y":650,"width":834,"height":11}},{"id":"0cf7cc79-346e-48c6-8a1c-6342692abaee","block_type":"box","text":"medallion programs are Securities Transfer Agent Medallion Program, Stock Exchanges Medallion Program and New","page_number":152,"box":{"x":69,"y":664,"width":825,"height":12}},{"id":"80fe2167-9d30-4e8e-8004-cdcfb79569f3","block_type":"box","text":"York Stock Exchange, Inc. Medallion Signature Program. Signature guarantees which are not a par t of these programs","page_number":152,"box":{"x":68,"y":680,"width":840,"height":11}},{"id":"206642c1-7fdd-42c8-ab94-3361e6944611","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":152,"box":{"x":68,"y":695,"width":835,"height":11}},{"id":"8512a69d-ddac-433e-9130-864033b464c2","block_type":"box","text":"required signature guarantee is all that is required for a redemption. In some cases, however, other documents may","page_number":152,"box":{"x":69,"y":710,"width":828,"height":11}},{"id":"e7f731ee-c82c-4213-a2ed-954b7fa5623e","block_type":"box","text":"be necessary. Additional documentary evidence of authority is required by the Transfer Agent in the event redemption","page_number":152,"box":{"x":69,"y":725,"width":835,"height":11}},{"id":"ad7e1f68-b335-49b7-b8b6-fb2b4db1b53a","block_type":"box","text":"is requested by a corporation, par tnership, trust, fiduciary, executor or administrator.","page_number":152,"box":{"x":70,"y":740,"width":603,"height":11}},{"id":"ff12a1ba-f24b-448d-9491-839ec54a6fc2","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":152,"box":{"x":102,"y":763,"width":774,"height":11}},{"id":"2804d28c-29f2-4066-9ca6-603df92682f6","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":152,"box":{"x":69,"y":778,"width":795,"height":11}},{"id":"1c9de1a4-c0b3-4b0a-8d5c-67b39440104a","block_type":"box","text":"Distributor will employ reasonable procedures to confirm that instructions communicated by telephone are genuine.","page_number":152,"box":{"x":70,"y":793,"width":821,"height":11}},{"id":"ed09ca0c-702e-40c7-b039-43e251683ed7","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":152,"box":{"x":68,"y":808,"width":823,"height":11}},{"id":"780dbcef-d16f-4dca-b4dd-cca694fc1b46","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":152,"box":{"x":69,"y":823,"width":823,"height":11}},{"id":"33b7a7ef-7dc7-4351-9ccb-8f875c91ca07","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":152,"box":{"x":69,"y":838,"width":809,"height":11}},{"id":"6a997f45-81be-4c01-ad32-cf480fc5402e","block_type":"box","text":"divorced, (vi) the address on the account has changed within the last 30 days or share cer tificates have been issued","page_number":152,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"4a125946-c895-4a3a-8292-1e40ad2eed6b","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":152,"box":{"x":69,"y":869,"width":821,"height":11}},{"id":"62fef480-41e4-403c-b1ad-538dbd0da8dd","block_type":"box","text":"address registered on the account and the social security number registered on the account. The Fund and its","page_number":152,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"24ffb043-ad2b-4d2b-afbd-cf70e9e533f7","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":152,"box":{"x":69,"y":899,"width":820,"height":11}},{"id":"f6c7f415-4e59-476c-814d-f9fa0eda3f2c","block_type":"box","text":"II-115","page_number":152,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"ed50dbbe-b8e0-42b7-93f6-a46f04d82f16","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":152,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"860afd89-e582-48dc-b69e-04a718059a74","block_type":"box","text":"are reasonably believed to be genuine in accordance with such procedures. Before telephone requests will be","page_number":153,"box":{"x":69,"y":45,"width":782,"height":11}},{"id":"13ebb88f-f16c-4c46-b90d-08e0b56cee66","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":153,"box":{"x":69,"y":60,"width":838,"height":11}},{"id":"f274fcc2-01ed-4ca7-8e83-59d751785f69","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":153,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"f2e18778-2e74-4e96-a52f-372b1d5e11ed","block_type":"box","text":"change, telephone redemptions may be difficult to complete. Please find below alternative redemption methods.","page_number":153,"box":{"x":69,"y":90,"width":800,"height":11}},{"id":"d6d79bcf-804f-4421-9d9e-cbdbac02a3d2","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":153,"box":{"x":102,"y":113,"width":776,"height":11}},{"id":"fa403612-eae4-40ef-b63b-6678845a3bf8","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":153,"box":{"x":70,"y":128,"width":823,"height":11}},{"id":"db4fc236-ed76-42e2-a0f1-ccadba4f6491","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":153,"box":{"x":69,"y":143,"width":820,"height":11}},{"id":"1d8f7dbc-c7c3-48cd-95c2-a00d34fdc3d4","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":153,"box":{"x":68,"y":158,"width":826,"height":11}},{"id":"d0087934-f1be-4a22-96a8-8683967c4353","block_type":"box","text":"the redemption order will be accepted and processed the next succeeding business day when the Federal Reserve","page_number":153,"box":{"x":68,"y":173,"width":817,"height":11}},{"id":"fc8f0dd7-4915-4299-af0e-2ca1f341f405","block_type":"box","text":"Bank of Philadelphia is open, provided that the Fund’s custodian is also open for business.","page_number":153,"box":{"x":70,"y":188,"width":648,"height":11}},{"id":"2e0e45d2-54df-4e75-91bc-a5a534df382e","block_type":"box","text":"Redeem by VRU:","page_number":153,"box":{"x":102,"y":211,"width":120,"height":11}},{"id":"0d64b1d2-e382-4b9c-a18b-89a6d9d22751","block_type":"box","text":"Investor class shares, excluding Investor P Shares, may also be redeemed by use of a Fund’s","page_number":153,"box":{"x":229,"y":211,"width":667,"height":11}},{"id":"e8609654-ef1d-48c6-8550-d4366da414df","block_type":"box","text":"automated voice response unit service (“VRU”). Payment for Investor class shares redeemed by VRU may be made","page_number":153,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"f1244a67-2e95-4d13-a8db-b7a9e725e5e1","block_type":"box","text":"for non-retirement accounts in amounts up to $25,000, either through check, ACH or wire.","page_number":153,"box":{"x":68,"y":241,"width":644,"height":11}},{"id":"b25342b5-471a-40c1-9382-407132608415","block_type":"box","text":"Redeem by Internet:","page_number":153,"box":{"x":102,"y":264,"width":147,"height":11}},{"id":"a8065150-157f-45d4-915c-e8c995af9549","block_type":"box","text":"Cer tain Investor and Institutional class shares may also be redeemed by logging onto the","page_number":153,"box":{"x":255,"y":264,"width":637,"height":11}},{"id":"36c73878-c907-4e15-af6f-604cae379c4e","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":153,"box":{"x":70,"y":279,"width":836,"height":11}},{"id":"3951989f-c209-4998-bc01-c825eaa5930e","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":153,"box":{"x":68,"y":294,"width":823,"height":11}},{"id":"9988d3dd-b62a-4665-976b-6de01c84db9b","block_type":"box","text":"to $100,000 per account per day, either through check, ACH or wire. Different maximums may apply to cer tain","page_number":153,"box":{"x":68,"y":309,"width":789,"height":11}},{"id":"1b10a9b0-adee-4b39-8b01-d34165c65d23","block_type":"box","text":"institutional investors.","page_number":153,"box":{"x":70,"y":325,"width":155,"height":8}},{"id":"e6614fe3-0546-4000-afbf-7b3bdaa9f273","block_type":"box","text":"Redeem in Writing:","page_number":153,"box":{"x":102,"y":347,"width":137,"height":11}},{"id":"54dd7f8b-cf97-4452-8ce6-c184f49ead3b","block_type":"box","text":"If you hold shares with the Transfer Agent you may redeem such shares without charge by","page_number":153,"box":{"x":247,"y":347,"width":639,"height":11}},{"id":"354b75b6-5b68-4ffc-ac7f-cba58b326f27","block_type":"box","text":"writing to BlackRock, P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Redemption requests delivered other","page_number":153,"box":{"x":68,"y":362,"width":831,"height":11}},{"id":"b374f96f-0a14-4011-ab30-ce2d15e4d28e","block_type":"box","text":"than by mail should be sent to BlackRock, Attention: 534429, 1350 Penn Avenue Suite 102, Pittsburgh,","page_number":153,"box":{"x":68,"y":377,"width":745,"height":12}},{"id":"f812d0b5-a004-409e-a0e7-84f479a3f557","block_type":"box","text":"Pennsylvania 15222. If you hold share cer tificates issued by your Fund, the letter must be accompanied by","page_number":153,"box":{"x":69,"y":392,"width":764,"height":12}},{"id":"d9a1ad64-9e9c-451c-a22c-94d57e2d4e18","block_type":"box","text":"cer tificates for the shares. All shareholders on the account must sign the letter. A medallion signature guarantee will","page_number":153,"box":{"x":69,"y":407,"width":831,"height":12}},{"id":"d3f1e3d2-8185-402a-a2dc-e826bd015a99","block_type":"box","text":"generally be required but may be waived in cer tain limited circumstances. You can obtain a medallion signature","page_number":153,"box":{"x":68,"y":423,"width":794,"height":11}},{"id":"b6089c97-c323-4625-8c30-76d3d6e24b2c","block_type":"box","text":"guarantee stamp from a bank, securities dealer, securities broker, credit union, savings and loan association,","page_number":153,"box":{"x":68,"y":438,"width":782,"height":11}},{"id":"d2a53e7f-4205-4a2d-b313-57642559f49b","block_type":"box","text":"national securities exchange or registered securities association. A notary public seal will not be acceptable. If you","page_number":153,"box":{"x":69,"y":453,"width":817,"height":11}},{"id":"09b898d2-298e-46fc-b53f-034ddb1983d9","block_type":"box","text":"hold stock cer tificates, return the cer tificates with the letter. Proceeds from redemptions may be sent via check, ACH","page_number":153,"box":{"x":69,"y":468,"width":836,"height":11}},{"id":"ae89ae01-1cf6-47e5-a67d-0ed8e0d03d27","block_type":"box","text":"or wire to the bank account of record.","page_number":153,"box":{"x":69,"y":483,"width":266,"height":9}},{"id":"e4aa2ead-6aa1-4c9f-9322-a87d526bf5c1","block_type":"box","text":"Redemptions of Investor P Shares, Service Shares, Class G Shares, Class K Shares and BlackRock Shares may","page_number":153,"box":{"x":102,"y":506,"width":802,"height":11}},{"id":"ce7f013f-e143-4229-b335-dcafcc9896ba","block_type":"box","text":"be made in the manner and amounts described in the Prospectuses.","page_number":153,"box":{"x":69,"y":521,"width":489,"height":11}},{"id":"8c450259-e27a-4fbd-9776-88959a42906a","block_type":"box","text":"The Funds or the Transfer Agent may temporarily suspend telephone transactions at any time.","page_number":153,"box":{"x":101,"y":543,"width":668,"height":12}},{"id":"41597f34-aee3-4c6e-ab4a-d28673954149","block_type":"box","text":"If you redeem shares directly with the Transfer Agent, payments will generally be mailed within one business day","page_number":153,"box":{"x":102,"y":566,"width":800,"height":11}},{"id":"65bb3a99-94f9-46b7-beaf-222de875cc2d","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":153,"box":{"x":69,"y":581,"width":838,"height":12}},{"id":"f92ad85f-5a88-4197-a9bc-020dfbbd1163","block_type":"box","text":"(that is, cash, Federal funds or cer tified check drawn on a U.S. bank) has been collected for the purchase of Fund","page_number":153,"box":{"x":69,"y":596,"width":811,"height":11}},{"id":"25d531b6-d70d-4cea-ac6f-b3bd32936663","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":153,"box":{"x":69,"y":612,"width":789,"height":11}},{"id":"96719a68-f03a-4743-9a36-701cb983131e","block_type":"box","text":"contains a fractional share balance following a redemption, the fractional share balance will be automatically","page_number":153,"box":{"x":69,"y":627,"width":775,"height":11}},{"id":"ca9d2874-d063-4284-91fe-ec9d130ee159","block_type":"box","text":"redeemed by the Fund.","page_number":153,"box":{"x":69,"y":642,"width":162,"height":11}},{"id":"ceaa1f8f-5538-40c3-884c-2cab7bc39113","block_type":"box","text":"Note on Low Balance Accounts.","page_number":153,"box":{"x":102,"y":665,"width":223,"height":8}},{"id":"453af47e-8b61-47c3-95d3-3606631e252b","block_type":"box","text":"Because of the high cost of maintaining smaller shareholder accounts,","page_number":153,"box":{"x":332,"y":664,"width":503,"height":12}},{"id":"a0437469-8a98-4af6-8ab4-04095e652c0b","block_type":"box","text":"BlackRock has set a minimum balance of $500 in each Fund position you hold within your account (“Fund","page_number":153,"box":{"x":70,"y":679,"width":752,"height":12}},{"id":"26803fec-fd16-4af4-955b-cd7ebebdd39e","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":153,"box":{"x":70,"y":694,"width":829,"height":12}},{"id":"b060e9ed-d928-4f3e-8080-2d1fd476555f","block_type":"box","text":"for any reason, including market fluctuation.","page_number":153,"box":{"x":68,"y":710,"width":313,"height":11}},{"id":"f1c8cb64-e2c3-4c5b-9cf3-6e66c77beca1","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":153,"box":{"x":101,"y":732,"width":775,"height":12}},{"id":"045c5f27-e99c-4c09-8833-a3e10962beba","block_type":"box","text":"involuntary redemption. This notification will provide you with a 90 calendar day period to make an additional","page_number":153,"box":{"x":70,"y":748,"width":773,"height":11}},{"id":"75812298-4f0b-4ca5-a0fe-d6f8bbae054b","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":153,"box":{"x":70,"y":762,"width":776,"height":12}},{"id":"36c6da54-6f84-4e7a-bb8a-a465c2d35014","block_type":"box","text":"redemption. This involuntary redemption will not charge any deferred sales charge, and may not apply to accounts of","page_number":153,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"9d81f4b5-b54e-4db8-82d3-a494f56f4cc5","block_type":"box","text":"cer tain employer-sponsored retirement plans (not including IRAs), qualified state tuition plan (529 Plan) accounts,","page_number":153,"box":{"x":69,"y":793,"width":811,"height":11}},{"id":"7412b48a-913c-451a-9a01-42c094d3420c","block_type":"box","text":"and select fee-based programs at your financial intermediary.","page_number":153,"box":{"x":69,"y":808,"width":435,"height":11}},{"id":"d39088bf-815b-42e8-b47e-5d3c618e986c","block_type":"box","text":"Redemptions in Kind:","page_number":153,"box":{"x":102,"y":831,"width":153,"height":11}},{"id":"9952c31e-0463-49d5-a166-6b1e4196ee6f","block_type":"box","text":"Each Fund reserves the right to honor any request for redemption by making payment in","page_number":153,"box":{"x":263,"y":831,"width":624,"height":11}},{"id":"e87bedc7-1478-4139-9e60-878a892a8f3c","block_type":"box","text":"whole or in par t by delivering securities valued in the same way as they would be valued for purposes of computing a","page_number":153,"box":{"x":68,"y":846,"width":833,"height":11}},{"id":"ecde41fc-5058-4ced-90ea-1fa43b627e73","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":153,"box":{"x":70,"y":860,"width":825,"height":12}},{"id":"c0922bb3-efc4-4aa3-ad81-9235b3f27e22","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":153,"box":{"x":69,"y":876,"width":811,"height":11}},{"id":"572c1928-d92d-474f-9d7b-62cdebe5be46","block_type":"box","text":"normally be paid in cash but may be paid wholly or par tly by a distribution in kind of securities.","page_number":153,"box":{"x":69,"y":891,"width":672,"height":11}},{"id":"773f86e3-5544-44dd-99bb-dbb39bdea8bd","block_type":"box","text":"II-116","page_number":153,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"454f84c3-988d-4003-8a84-d7bbe9235ef3","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":153,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"91df86e4-2aa5-4aaf-a217-4f347835cb95","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":154,"box":{"x":101,"y":45,"width":787,"height":11}},{"id":"1240f853-95b5-42cc-8bad-a32d576acb8f","block_type":"box","text":"rata representation of the Fund’s por tfolio or a non-pro-rata representation of the Fund’s por tfolio depending upon","page_number":154,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"9ceda065-b6b4-487b-a093-b31e0415b45f","block_type":"box","text":"various circumstances and subject to the Funds’ policies and procedures and any applicable laws or regulations. In","page_number":154,"box":{"x":68,"y":75,"width":822,"height":11}},{"id":"1a7d9679-20b8-420d-a009-328425da8dd8","block_type":"box","text":"effecting such redemption in kind, the Manager may select securities to distribute to the redeeming shareholder by","page_number":154,"box":{"x":69,"y":90,"width":822,"height":11}},{"id":"1715f2c2-17a3-4c85-a369-9f4f86883de2","block_type":"box","text":"considering cer tain factors, including, without limitation, the por tfolio management team’s model or optimal por tfolio,","page_number":154,"box":{"x":69,"y":105,"width":838,"height":11}},{"id":"d7f4f039-9cd0-4245-bfa9-74c1d253ef18","block_type":"box","text":"risk management considerations, compliance considerations, the active positioning of a Fund post-redemption, the","page_number":154,"box":{"x":69,"y":120,"width":818,"height":12}},{"id":"97a82b20-2460-42ad-b0a5-d838f5f927a2","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":154,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"a184032b-849f-43c7-bd91-9992c6084b54","block_type":"box","text":"retain those securities that will per form the best. An Index Fund may deviate from pro rata redemptions but will seek","page_number":154,"box":{"x":69,"y":150,"width":832,"height":12}},{"id":"528a40d9-22d3-40d5-b2d4-02e305785780","block_type":"box","text":"for the securities and other assets to be distributed to be deemed to be a fair representation of por tfolio holdings","page_number":154,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"6b228bee-8b95-49f1-9efd-3b5158ab85a4","block_type":"box","text":"and the interests of the remaining shareholders in the Index Fund to not be diluted.","page_number":154,"box":{"x":69,"y":181,"width":594,"height":11}},{"id":"3791b528-e822-4182-a137-457d514fe19c","block_type":"box","text":"The Funds may effect redemptions in kind in an effor t to, among other considerations: (a) manage the por tfolio","page_number":154,"box":{"x":101,"y":203,"width":795,"height":12}},{"id":"26f44bf0-0495-4c91-95aa-f8e9e4fb499b","block_type":"box","text":"efficiently or for any other por tfolio management purpose, and (b) externalize cer tain transaction costs that would","page_number":154,"box":{"x":69,"y":218,"width":810,"height":12}},{"id":"f7c64a1e-acfa-46de-af8c-23059633b237","block_type":"box","text":"otherwise be borne by a Fund in connection with redemption activity or por tfolio turnover. Redemptions in kind may","page_number":154,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"4a091f87-2d04-4323-b29e-4a4e98b1168b","block_type":"box","text":"reduce the need for the Fund to maintain shor t-term cash reserves, reduce Fund transaction costs, reduce the need","page_number":154,"box":{"x":69,"y":249,"width":828,"height":10}},{"id":"b6cb9a4f-d421-4385-88c0-b5615e653986","block_type":"box","text":"for the Fund to sell its investments at inoppor tune times, and lower Fund capital gain recognition, all of which may be","page_number":154,"box":{"x":68,"y":264,"width":838,"height":11}},{"id":"9a8008c1-e234-4b83-8042-9bec43d683a7","block_type":"box","text":"considerations when determining whether to effect a redemption in kind. However, there can be no assurance that","page_number":154,"box":{"x":69,"y":279,"width":817,"height":11}},{"id":"2e18e90b-4852-4d67-af1f-368034587d39","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":154,"box":{"x":69,"y":294,"width":802,"height":11}},{"id":"25f28dad-9c94-4314-b246-12ffa48fcf2b","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":154,"box":{"x":70,"y":309,"width":837,"height":11}},{"id":"1305215f-0f57-4b66-881a-cc1c5c6fa40a","block_type":"box","text":"other things, how they hold their Fund shares or the small value of the redemptions.","page_number":154,"box":{"x":69,"y":324,"width":598,"height":12}},{"id":"4d1c5c15-05c7-489c-b763-c952d6a7d9fb","block_type":"box","text":"In some circumstances, in order to meet Fund liquidity needs, for optimization of the Fund’s por tfolio, or a","page_number":154,"box":{"x":102,"y":347,"width":756,"height":11}},{"id":"4465cae4-92d0-4d72-b14c-7022f19a78de","block_type":"box","text":"combination thereof, a Fund, in its discretion, may accept large purchase orders from one or more financial","page_number":154,"box":{"x":69,"y":362,"width":764,"height":11}},{"id":"08454297-579d-479d-ac02-57a9678e7069","block_type":"box","text":"institutions that are willing, upon redemption of their investment in the Fund, to receive their redemption proceeds in","page_number":154,"box":{"x":70,"y":377,"width":830,"height":12}},{"id":"c7173762-ad81-4947-89f4-98138ab38c96","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":154,"box":{"x":69,"y":392,"width":821,"height":12}},{"id":"c23996bb-81b5-4cef-ab61-7c8d13e80d5e","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":154,"box":{"x":68,"y":408,"width":837,"height":11}},{"id":"895b0473-50cd-47d0-ad4a-69568463ea81","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":154,"box":{"x":68,"y":423,"width":784,"height":11}},{"id":"e0916951-2c37-49d1-86e1-1c3c5f122a74","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":154,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"50f150ea-0709-48a4-92f6-415732486b29","block_type":"box","text":"things, limitations on frequency of redemptions in kind under the Fund’s policies and availability of shareholders able","page_number":154,"box":{"x":68,"y":453,"width":835,"height":11}},{"id":"89231c7d-b6fb-49c6-a725-f3b32952c7ca","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":154,"box":{"x":68,"y":468,"width":796,"height":11}},{"id":"6f9098c5-2fb5-467f-9d16-2ce8e7afd83a","block_type":"box","text":"institutions that par ticipate in the transactions described in this sub-section do not receive a fee from the Fund for","page_number":154,"box":{"x":70,"y":483,"width":816,"height":11}},{"id":"e33fb25f-88a9-44d9-89ae-b99b4812548c","block_type":"box","text":"doing so. The Funds’ shor t-term trading policy shall not apply to the transactions described in this sub-section.","page_number":154,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"dc0484f2-c373-40bc-8d3a-b6563738893a","block_type":"box","text":"If you receive securities through a redemption in kind, and desire to conver t them to cash, you may pay taxes","page_number":154,"box":{"x":102,"y":521,"width":779,"height":11}},{"id":"277ba4dc-f44a-4231-942a-8e7611505d4d","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":154,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"dbdbf915-e621-465a-beda-15750b471880","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":154,"box":{"x":68,"y":551,"width":800,"height":11}},{"id":"ba5cdf9b-ca5c-496f-a106-00747d795840","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":154,"box":{"x":69,"y":566,"width":826,"height":11}},{"id":"fcd4ac2f-dc58-41b1-b27a-10b565dbacb3","block_type":"box","text":"the NAV of the corresponding Fund.","page_number":154,"box":{"x":68,"y":581,"width":251,"height":12}},{"id":"c856dbfa-f5b5-4e95-9665-9c83e741c834","block_type":"box","text":"Repurchase","page_number":154,"box":{"x":69,"y":612,"width":85,"height":11}},{"id":"c906afe8-846d-4e1e-a17c-876c84804209","block_type":"box","text":"A Fund normally will accept orders to repurchase shares from Selling Dealers for their customers. Shares will be","page_number":154,"box":{"x":101,"y":634,"width":800,"height":12}},{"id":"b74a8d1c-e0d0-4ddb-99b8-ed1f014a5624","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":154,"box":{"x":70,"y":649,"width":833,"height":12}},{"id":"9db0bd54-a6aa-48d1-8ddf-8bd87d08a84d","block_type":"box","text":"authorized by the Distributor by contract to accept such orders. As to repurchase orders received by Selling Dealers","page_number":154,"box":{"x":69,"y":665,"width":822,"height":11}},{"id":"86090e8e-b1c2-46ad-ba5e-dad54ad9f664","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":154,"box":{"x":70,"y":680,"width":809,"height":11}},{"id":"81507155-0081-479e-baa5-d2c56b27502b","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":154,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"729e7848-f8e1-4050-a178-daca04c097aa","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":154,"box":{"x":70,"y":710,"width":796,"height":11}},{"id":"f71e1697-1caf-4ebe-be59-8e76d2939397","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":154,"box":{"x":69,"y":725,"width":812,"height":11}},{"id":"f19975ae-1f81-402c-9da7-2c19166e3750","block_type":"box","text":"next business day.","page_number":154,"box":{"x":69,"y":740,"width":130,"height":11}},{"id":"8f7e67fe-711a-479c-83a1-72360d34d2b8","block_type":"box","text":"These repurchase arrangements are for your convenience and do not involve a charge by the Fund (other than","page_number":154,"box":{"x":101,"y":763,"width":783,"height":11}},{"id":"665e8f36-db9e-413a-b891-0e999d567207","block_type":"box","text":"any applicable CDSC or redemption fee). However, Selling Dealers may charge a processing fee in connection with","page_number":154,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"bb771fee-e23a-46cc-83b2-1e19ed7c5dfd","block_type":"box","text":"such transactions. In addition, securities firms that do not have selected dealer agreements with the Distributor may","page_number":154,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"c165d5c3-0936-4fa6-a9b4-eb00f7abdcb8","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":154,"box":{"x":70,"y":808,"width":814,"height":11}},{"id":"867400ee-6524-4a70-8b1d-69b12af00846","block_type":"box","text":"reject any order for repurchase. A shareholder whose order for repurchase is rejected by a Fund, however, may","page_number":154,"box":{"x":69,"y":823,"width":788,"height":11}},{"id":"70ecd864-b3e7-483f-8a0d-fc392ea90ee2","block_type":"box","text":"redeem shares as set out above.","page_number":154,"box":{"x":69,"y":839,"width":235,"height":8}},{"id":"6927e7d8-ec70-4401-851f-e121895c80c9","block_type":"box","text":"II-117","page_number":154,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"b05ffec3-5d53-414d-bcd9-2b93367db30f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":154,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ea1051ff-9903-4ac5-accd-535b5f8c9bd1","block_type":"box","text":"Reinstatement Privilege — Investor A and Investor P Shares","page_number":155,"box":{"x":69,"y":45,"width":440,"height":11}},{"id":"a4d279f4-6bc9-4033-8940-9c6b5d85d6bd","block_type":"box","text":"Upon redemption of Investor A, Investor A1, Investor P or Institutional Shares, as applicable, shareholders may","page_number":155,"box":{"x":102,"y":67,"width":791,"height":11}},{"id":"3cd67433-36cd-4cbd-9b83-feb0d8c66586","block_type":"box","text":"reinvest all or a por tion of their redemption proceeds (after paying any applicable CDSC) in Investor A or Investor P","page_number":155,"box":{"x":69,"y":82,"width":815,"height":12}},{"id":"a5da37c8-4e59-4bf7-843c-870fccb37201","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":155,"box":{"x":69,"y":98,"width":822,"height":11}},{"id":"ed211984-71a2-44dd-a8cb-2d0b6616bf8a","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":155,"box":{"x":68,"y":113,"width":806,"height":11}},{"id":"6570852b-174e-4b19-98a6-9064eb4336f6","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":155,"box":{"x":69,"y":128,"width":768,"height":11}},{"id":"5fe8ae50-fe87-478b-9e66-d3c6f100a6c3","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":155,"box":{"x":70,"y":143,"width":827,"height":11}},{"id":"47475f0c-3cf9-4c45-b8c9-a7b6c4136597","block_type":"box","text":"this privilege, the Transfer Agent must receive written notification from the shareholder of record or the registered","page_number":155,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"6b82ff60-25b9-42bf-b6cf-010e8fa5fc49","block_type":"box","text":"representative of record, at the time of purchase. Investors should consult a tax advisor concerning the tax","page_number":155,"box":{"x":69,"y":173,"width":764,"height":11}},{"id":"84b918a6-244f-41ed-acfd-331d8d9eda73","block_type":"box","text":"consequences of exercising this reinstatement privilege.","page_number":155,"box":{"x":69,"y":188,"width":400,"height":12}},{"id":"4f8d531e-09b6-46ca-9e20-09ede65d194f","block_type":"box","text":"SHAREHOLDER SERVICES","page_number":155,"box":{"x":384,"y":218,"width":210,"height":9}},{"id":"d212118a-b5d8-4ed5-a951-a43cdb7cd5df","block_type":"box","text":"Each Fund offers one or more of the shareholder services described below that are designed to facilitate","page_number":155,"box":{"x":102,"y":241,"width":747,"height":11}},{"id":"0aeb13ab-b375-4436-b2b5-9b7aa9b0f350","block_type":"box","text":"investment in its shares. You can obtain more information about these services from each Fund by calling the","page_number":155,"box":{"x":70,"y":256,"width":781,"height":11}},{"id":"d830bb5c-4881-4639-857d-1239272607ed","block_type":"box","text":"telephone number on the cover page, or from the Distributor, your financial adviser, your selected securities dealer or","page_number":155,"box":{"x":68,"y":271,"width":836,"height":11}},{"id":"5c9e56b6-66e7-4c4b-b27e-b4f708c49996","block_type":"box","text":"other financial intermediary. Cer tain of these services are available only to U.S. investors.","page_number":155,"box":{"x":69,"y":286,"width":641,"height":11}},{"id":"f7a3536e-63d8-4b40-89b4-caef17f83ad3","block_type":"box","text":"Investment Account","page_number":155,"box":{"x":69,"y":316,"width":146,"height":9}},{"id":"d9db4fd5-e37e-4106-89cb-6edab6564254","block_type":"box","text":"If your account is maintained at the Transfer Agent (an “Investment Account”) you will receive statements, at","page_number":155,"box":{"x":102,"y":339,"width":774,"height":11}},{"id":"148a8bc1-58f4-43e2-9ec3-df1e926164b1","block_type":"box","text":"least quar terly, from the Transfer Agent. These statements will serve as confirmations for automatic investment","page_number":155,"box":{"x":70,"y":354,"width":796,"height":11}},{"id":"928529e2-bac4-4b60-82d9-cddf246a19e0","block_type":"box","text":"purchases and the reinvestment of dividends. The statements also will show any other activity in your Investment","page_number":155,"box":{"x":70,"y":369,"width":807,"height":11}},{"id":"789aea73-1ec5-42c1-9720-69371ea8f5cb","block_type":"box","text":"Account since the last statement. You also will receive separate confirmations for each purchase or sale transaction","page_number":155,"box":{"x":68,"y":384,"width":830,"height":11}},{"id":"4952d87a-bf76-4cbc-925f-a6d41d479582","block_type":"box","text":"other than automatic investment purchases and the reinvestment of dividends. If your Investment Account is held at","page_number":155,"box":{"x":69,"y":399,"width":829,"height":11}},{"id":"1d6a8905-0157-4978-9e8b-22371f45cd52","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":155,"box":{"x":68,"y":414,"width":815,"height":12}},{"id":"887b3000-3dc4-41ab-84f7-bd82e1167c09","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":155,"box":{"x":70,"y":429,"width":781,"height":12}},{"id":"ff1fd662-4948-47f0-a8b4-127f2da9a07d","block_type":"box","text":"selected securities dealer or other financial intermediary. If you transfer shares out of an account maintained with a","page_number":155,"box":{"x":69,"y":445,"width":825,"height":11}},{"id":"d2ca98cb-ba64-4d97-95f1-14d242e8eead","block_type":"box","text":"selected securities dealer or other financial intermediary, an Investment Account in your name may be opened","page_number":155,"box":{"x":69,"y":460,"width":785,"height":11}},{"id":"51294dfd-5c33-4d27-a0cc-7c270757face","block_type":"box","text":"automatically at the Transfer Agent.","page_number":155,"box":{"x":69,"y":475,"width":251,"height":11}},{"id":"c354584f-3e4b-4e37-9767-0a960d269a5b","block_type":"box","text":"You may transfer Fund shares from a selected securities dealer or other financial intermediary to another","page_number":155,"box":{"x":101,"y":498,"width":750,"height":11}},{"id":"281187b1-3430-4674-82f0-bdf6c4fe25c4","block_type":"box","text":"securities dealer or other financial intermediary that has entered into an agreement with the Distributor. Cer tain","page_number":155,"box":{"x":69,"y":513,"width":797,"height":11}},{"id":"aac3e9e4-32ef-4ad2-acbe-01e54605ed53","block_type":"box","text":"shareholder services may not be available for the transferred shares. All future trading of these assets must be","page_number":155,"box":{"x":69,"y":528,"width":797,"height":11}},{"id":"e53fa472-4b62-4ef3-9451-22dd775729d8","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":155,"box":{"x":69,"y":543,"width":826,"height":11}},{"id":"73a4811a-4f09-45ba-8a70-fe938150d07e","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":155,"box":{"x":68,"y":558,"width":792,"height":11}},{"id":"bfcee76b-fa9a-4942-acc9-a17d4ab526fb","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":155,"box":{"x":69,"y":573,"width":824,"height":11}},{"id":"7ee38c70-bee2-429b-ae1f-ccd8bd65bd85","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":155,"box":{"x":69,"y":588,"width":820,"height":11}},{"id":"09115c69-b6c6-4188-89aa-cd48f5864767","block_type":"box","text":"Transfer Agent registered in the name of the securities dealer or other financial intermediary for your benefit whether","page_number":155,"box":{"x":68,"y":603,"width":833,"height":12}},{"id":"2ea7d5b6-1f84-4673-b725-5fed63e1bb89","block_type":"box","text":"the securities dealer or other financial intermediary has entered into a selected dealer agreement or not. In the","page_number":155,"box":{"x":68,"y":618,"width":795,"height":12}},{"id":"6116afb4-b47f-4549-b4ed-52269eab955c","block_type":"box","text":"interest of economy and convenience and because of the operating procedures of each Fund, share cer tificates will","page_number":155,"box":{"x":70,"y":634,"width":822,"height":11}},{"id":"099e1408-c664-4e0f-a5ba-b3f67c438a5d","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":155,"box":{"x":69,"y":649,"width":814,"height":11}},{"id":"fbf372fa-aeea-44f4-8965-e9ad63abca32","block_type":"box","text":"the holders thereof will have the same rights and ownership with respect to such shares as if cer tificates had been","page_number":155,"box":{"x":68,"y":664,"width":822,"height":11}},{"id":"6525c17f-831e-4285-bee9-b15608183b20","block_type":"box","text":"issued.","page_number":155,"box":{"x":70,"y":679,"width":49,"height":9}},{"id":"74f39ff4-9652-428a-bc45-bd95457676b5","block_type":"box","text":"If you are considering transferring a tax-deferred retirement account, such as an individual retirement account,","page_number":155,"box":{"x":102,"y":702,"width":785,"height":11}},{"id":"3ddeba72-770f-4142-b43e-6252905bc1f6","block_type":"box","text":"from one selected securities dealer to another securities dealer or other financial intermediary, you should be aware","page_number":155,"box":{"x":68,"y":717,"width":830,"height":11}},{"id":"7f4837c2-f8b2-4ff4-a6b1-807f943b8efa","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":155,"box":{"x":68,"y":732,"width":790,"height":11}},{"id":"430cd56c-e414-498b-b91b-df3d22bef4b3","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":155,"box":{"x":69,"y":747,"width":831,"height":11}},{"id":"08dbbedf-54e9-4c83-a38e-410ba308d2c6","block_type":"box","text":"to maintain a retirement account at the original selected securities dealer for those shares.","page_number":155,"box":{"x":68,"y":762,"width":652,"height":11}},{"id":"8b4d578c-9a95-4714-906a-160d9052d928","block_type":"box","text":"Exchange Privilege","page_number":155,"box":{"x":69,"y":792,"width":138,"height":11}},{"id":"0c19cfce-407d-4835-a787-3fcb78761229","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":155,"box":{"x":102,"y":815,"width":797,"height":11}},{"id":"ab5e8b56-a345-4df1-adf2-fd9954bce7f6","block_type":"box","text":"each Fund have an exchange privilege with cer tain other Funds. However, Investor A1 Shares may only exchange out.","page_number":155,"box":{"x":69,"y":830,"width":832,"height":11}},{"id":"bdfafa73-4fde-41f1-bc9a-4f94aa38038c","block_type":"box","text":"The minimum amount for exchanges of Investor class shares is $1,000, although you may exchange less than","page_number":155,"box":{"x":68,"y":845,"width":788,"height":12}},{"id":"93042d1a-5ddf-47e9-ac32-141cd4547d5e","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":155,"box":{"x":69,"y":860,"width":796,"height":12}},{"id":"74ad6117-7994-4713-b173-4748b7319bf0","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":155,"box":{"x":69,"y":875,"width":824,"height":12}},{"id":"399d8b62-226a-4122-b9d3-3660a01e7daa","block_type":"box","text":"closed to new investors. Before effecting an exchange, you should obtain a currently effective prospectus of the fund","page_number":155,"box":{"x":69,"y":891,"width":835,"height":11}},{"id":"4f14a4ba-9d68-43f6-8669-a62caedcff19","block_type":"box","text":"II-118","page_number":155,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e49af7d3-37f9-477e-8ad5-6912d4fee1fe","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":155,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2c4e1f02-f519-46a2-b28c-bc0cb0b98d79","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":156,"box":{"x":70,"y":45,"width":820,"height":11}},{"id":"179994d4-be53-405b-9a7a-5795329b9c8d","block_type":"box","text":"shares and a purchase of the acquired shares for U.S. federal income tax purposes.","page_number":156,"box":{"x":69,"y":60,"width":600,"height":11}},{"id":"50ac28cc-e4b8-4498-82f4-85daaa3250ff","block_type":"box","text":"Exchanges of Investor A, Investor A1, Investor P, Class K, Institutional and Class G Shares.","page_number":156,"box":{"x":102,"y":82,"width":648,"height":12}},{"id":"6c43c889-0d08-4308-864f-4dc84a01b02b","block_type":"box","text":"Institutional Shares","page_number":156,"box":{"x":757,"y":83,"width":137,"height":8}},{"id":"4bc033eb-ae95-4820-ade6-5e692e7af3a1","block_type":"box","text":"are exchangeable with Institutional Shares of other Funds. Investor A and Investor A1 Shares are exchangeable for","page_number":156,"box":{"x":69,"y":98,"width":817,"height":11}},{"id":"72a32793-58c8-46cc-807d-7408ff47fb6a","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":156,"box":{"x":70,"y":113,"width":798,"height":11}},{"id":"7f6c11b9-a9e3-43c3-82d0-cbbbc98c0f3b","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":156,"box":{"x":69,"y":128,"width":838,"height":11}},{"id":"d6ec628e-672c-4275-9fcf-dab4d2c67557","block_type":"box","text":"intermediary. Class K Shares are exchangeable for Class K Shares of other Funds. Class G Shares are exchangeable","page_number":156,"box":{"x":70,"y":143,"width":834,"height":11}},{"id":"0211d6ea-e3ec-412b-9dbe-6894790870cd","block_type":"box","text":"for Class G Shares of other Funds.","page_number":156,"box":{"x":68,"y":158,"width":246,"height":9}},{"id":"0c3ca177-72c3-4658-a0ef-1f0d857878e6","block_type":"box","text":"Exchanges of Institutional Shares outstanding for Institutional Shares of a second fund or for shares of a money","page_number":156,"box":{"x":102,"y":181,"width":800,"height":11}},{"id":"7f630e56-3d61-48aa-95c7-40b7071a3ef0","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":156,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"b5dcdb7b-a7bc-47ae-90a1-5f64cccac279","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":156,"box":{"x":69,"y":211,"width":795,"height":11}},{"id":"633e8e95-83b4-44a6-b2fb-e2fc4fa4b11e","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":156,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"1bb13d03-8ad7-4e3f-99f8-20700721ae6c","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":156,"box":{"x":70,"y":241,"width":814,"height":11}},{"id":"351eb743-6821-43fa-8560-4eb7d88478b8","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":156,"box":{"x":69,"y":256,"width":796,"height":12}},{"id":"fb230c24-2f46-40d9-b41a-ab826bd7cba4","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":156,"box":{"x":69,"y":271,"width":828,"height":12}},{"id":"054b14f5-ea38-4b94-be8a-809221567ad2","block_type":"box","text":"G Shares of a second fund are effected on the basis of relative NAV per share.","page_number":156,"box":{"x":69,"y":286,"width":561,"height":11}},{"id":"bd28b5e0-62a5-4fbd-8013-3ddb5c2105c0","block_type":"box","text":"Exchanges of Investor C Shares.","page_number":156,"box":{"x":102,"y":309,"width":229,"height":11}},{"id":"50bd46cd-4f72-47d2-8c55-03190b26ac79","block_type":"box","text":"Shareholders of cer tain Funds with Investor C Shares outstanding (“outstanding","page_number":156,"box":{"x":338,"y":309,"width":570,"height":11}},{"id":"3d50131c-392d-4267-914d-f3f20b408f4e","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":156,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"42689cfc-52e3-4c77-b435-16f46e251814","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":156,"box":{"x":68,"y":339,"width":839,"height":12}},{"id":"4a1f28f4-edc4-4697-b8e0-b19502689f88","block_type":"box","text":"the payment of any CDSC. Cer tain Funds impose different CDSC schedules. For purposes of computing the CDSC","page_number":156,"box":{"x":68,"y":355,"width":811,"height":11}},{"id":"db2fa71b-dc0e-420d-b2a5-c85183256e3a","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":156,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"b355b7f1-9b31-4249-a13f-27d2a4703c23","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":156,"box":{"x":68,"y":385,"width":781,"height":11}},{"id":"81f60d62-c047-45e4-a98b-5a7938c98163","block_type":"box","text":"towards the holding period of the new Investor C Shares or new money market fund Shares.","page_number":156,"box":{"x":68,"y":400,"width":654,"height":11}},{"id":"3462b83e-5aeb-4831-b86b-3c5c3c8b3292","block_type":"box","text":"Exchanges of Service Shares.","page_number":156,"box":{"x":102,"y":423,"width":211,"height":11}},{"id":"871f9107-7939-4013-ba67-78008e892fa7","block_type":"box","text":"Service Shares can be exchanged for Service Shares of Funds that are covered by","page_number":156,"box":{"x":319,"y":423,"width":588,"height":11}},{"id":"b3fa1271-a0de-4d33-bcf3-2525746772e8","block_type":"box","text":"selected dealer agreements with the Distributor.","page_number":156,"box":{"x":69,"y":438,"width":342,"height":11}},{"id":"e6973d10-f604-4946-87e9-fcd365e4c166","block_type":"box","text":"Exchanges for Shares of a Money Market Fund.","page_number":156,"box":{"x":102,"y":460,"width":335,"height":12}},{"id":"9155620f-093c-448d-8445-f217dc6ed942","block_type":"box","text":"You may exchange any class of Investor class shares, excluding","page_number":156,"box":{"x":443,"y":460,"width":455,"height":12}},{"id":"4645d252-116b-4b4c-99b0-3a6c1cb3d190","block_type":"box","text":"Investor P Shares, for shares of an affiliated money market fund. If you exchange into BlackRock Summit Cash","page_number":156,"box":{"x":70,"y":475,"width":788,"height":12}},{"id":"9ce592d1-9e2d-4341-9c23-5d1de3790ae7","block_type":"box","text":"Reserves Fund (“Summit”), a series of BlackRock Financial Institutions Series Trust, you will receive one of two","page_number":156,"box":{"x":70,"y":491,"width":793,"height":11}},{"id":"e91d5817-d732-44d5-81d5-25c6f5df3fd8","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":156,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"1f0c91b0-2778-4f19-a405-3466da34da26","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":156,"box":{"x":69,"y":521,"width":824,"height":11}},{"id":"9cae488d-bff6-4bc5-90b0-940b0693c210","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":156,"box":{"x":69,"y":536,"width":805,"height":11}},{"id":"6197cecb-e1b2-4460-a535-f351c1ff9c0e","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":156,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"4fe9eb61-ebbe-4605-988f-7f0e08e4ba24","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":156,"box":{"x":69,"y":566,"width":758,"height":11}},{"id":"3a8ab7ce-f115-4781-a25a-7f161ec3a6a7","block_type":"box","text":"satisfaction of the holding period requirement for purposes of reducing any CDSC. Investor C Shares of Summit are","page_number":156,"box":{"x":69,"y":581,"width":822,"height":12}},{"id":"b8bcfb51-a9f5-4837-aae2-0537c2ace5c4","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":156,"box":{"x":69,"y":596,"width":782,"height":12}},{"id":"5933a3bf-2b6c-4fd2-92de-dfb9c815628d","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":156,"box":{"x":70,"y":612,"width":814,"height":11}},{"id":"04b04f77-89c6-46c4-80c6-04ab5cfba7fb","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":156,"box":{"x":69,"y":627,"width":830,"height":11}},{"id":"c01ae90a-07fe-447f-8921-218f2c82f137","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":156,"box":{"x":69,"y":642,"width":821,"height":11}},{"id":"4e7a9c4b-4905-4634-9002-0919e586a806","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":156,"box":{"x":69,"y":657,"width":823,"height":11}},{"id":"14fcae1d-131d-43d9-af72-0b8ee6de3404","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":156,"box":{"x":70,"y":672,"width":781,"height":11}},{"id":"6fd6a959-20c6-41a4-b600-209c2380cc2d","block_type":"box","text":"exchange.","page_number":156,"box":{"x":69,"y":687,"width":70,"height":11}},{"id":"dea70ea6-2862-414e-af7a-7a0498ab53f2","block_type":"box","text":"Exchanges by Par ticipants in Cer tain Programs.","page_number":156,"box":{"x":102,"y":710,"width":337,"height":11}},{"id":"d89a24d3-2b0e-475a-9aad-48822e092e11","block_type":"box","text":"The exchange privilege may be modified with respect to cer tain","page_number":156,"box":{"x":445,"y":710,"width":448,"height":11}},{"id":"3e0f201b-a956-40bf-9005-b306078b5dc3","block_type":"box","text":"par ticipants in mutual fund advisory programs and other fee-based programs sponsored by the Manager, an affiliate","page_number":156,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"99eb17a1-24ef-4533-adde-604b92c48c79","block_type":"box","text":"of the Manager, or selected securities dealers or other financial intermediaries that have an agreement with the","page_number":156,"box":{"x":69,"y":740,"width":796,"height":11}},{"id":"96c3a4d1-8c53-49cd-9aab-45ab3a2514f2","block_type":"box","text":"Distributor. See “Fee-Based Programs” below.","page_number":156,"box":{"x":70,"y":755,"width":324,"height":11}},{"id":"c2a9c5ab-6601-4905-881e-13a459b21df8","block_type":"box","text":"Exercise of the Exchange Privilege.","page_number":156,"box":{"x":102,"y":778,"width":245,"height":11}},{"id":"ff4a979b-fc43-4f33-b11e-c0cc3f0e79de","block_type":"box","text":"To exercise the exchange privilege, you should contact your financial adviser","page_number":156,"box":{"x":353,"y":778,"width":543,"height":11}},{"id":"ff04fb91-7730-4af3-bda7-5da33555a1d8","block_type":"box","text":"or the Transfer Agent, who will advise each Fund of the exchange. If you do not hold share cer tificates, you may","page_number":156,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"97e85116-2bb8-489d-af07-3a2d0fe9315a","block_type":"box","text":"exercise the exchange privilege by wire through your securities dealer or other financial intermediary. Each Fund","page_number":156,"box":{"x":69,"y":808,"width":795,"height":11}},{"id":"d5fa57b9-479e-4173-9be1-67176ab1147f","block_type":"box","text":"reserves the right to require a properly completed exchange application.","page_number":156,"box":{"x":69,"y":823,"width":512,"height":12}},{"id":"3efae02d-1397-42f5-8920-4e833bf1091b","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":156,"box":{"x":101,"y":846,"width":772,"height":11}},{"id":"cdc2f92b-8040-4b6c-8796-aef828259c3f","block_type":"box","text":"Transfer Agent at the following address: P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Shareholders are","page_number":156,"box":{"x":68,"y":861,"width":824,"height":11}},{"id":"bc471d9d-14d5-49db-8b20-d44be9ac6694","block_type":"box","text":"automatically provided with telephone exchange privileges when opening an account, unless they indicate on the","page_number":156,"box":{"x":69,"y":876,"width":801,"height":11}},{"id":"85b5b197-4e6d-468b-b1ca-6da57c89d516","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":156,"box":{"x":68,"y":891,"width":817,"height":12}},{"id":"c5af65c4-a54f-4633-9321-40b7ac3f4301","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":156,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"02b5307b-ca37-48ce-bd9a-4901263c72b1","block_type":"box","text":"II-119","page_number":156,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"69326995-f008-4d71-8228-57658e6666cf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":156,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ebbef363-4518-474c-8e0a-9d2d05361c35","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":157,"box":{"x":69,"y":45,"width":840,"height":11}},{"id":"cf7b9729-92af-4cb6-a65d-a9aa76d6cd4f","block_type":"box","text":"telephone at (800) 441-7762 to request the exchange. During periods of substantial economic or market change,","page_number":157,"box":{"x":68,"y":60,"width":811,"height":11}},{"id":"ae2dbe47-571e-4993-9cd8-246c2f31e37f","block_type":"box","text":"telephone exchanges may be difficult to complete and shareholders may have to submit exchange requests to the","page_number":157,"box":{"x":68,"y":75,"width":815,"height":11}},{"id":"36613f70-2163-4f45-be22-8219235e7214","block_type":"box","text":"Transfer Agent in writing.","page_number":157,"box":{"x":68,"y":90,"width":175,"height":11}},{"id":"7c8a325c-ce29-4f10-91d0-f03a942dafbd","block_type":"box","text":"If the exchanging shareholder does not currently own shares of the investment por tfolio whose shares are being","page_number":157,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"39c2e0c7-9d34-4719-9bfc-f4888b4b24e2","block_type":"box","text":"acquired, a new account will be established with the same registration, dividend and capital gain options and broker","page_number":157,"box":{"x":69,"y":128,"width":828,"height":11}},{"id":"fa5b16bc-87c0-4c68-8644-294985a62e2a","block_type":"box","text":"of record as the account from which shares are exchanged, unless otherwise specified in writing by the shareholder","page_number":157,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"95365404-6c58-475a-b19a-3171696c6d4e","block_type":"box","text":"with all signatures guaranteed by an eligible guarantor institution as defined below. In order to par ticipate in the","page_number":157,"box":{"x":68,"y":158,"width":797,"height":11}},{"id":"e63aa1e0-13bc-475e-b0ca-adeaf6aaf34e","block_type":"box","text":"Automatic Investment Program or establish a Systematic Withdrawal Plan for the new account, however, an","page_number":157,"box":{"x":68,"y":173,"width":763,"height":11}},{"id":"59706692-b7f3-4206-8fdf-c6877853356a","block_type":"box","text":"exchanging shareholder must file a specific written request.","page_number":157,"box":{"x":69,"y":188,"width":424,"height":12}},{"id":"10872616-1ed4-4bce-9fb3-bb5e827fb2bf","block_type":"box","text":"Any share exchange must satisfy the requirements relating to the minimum initial investment requirement, and","page_number":157,"box":{"x":101,"y":211,"width":790,"height":11}},{"id":"3c0de736-9c59-477a-bfe8-eea56575feda","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":157,"box":{"x":69,"y":226,"width":808,"height":11}},{"id":"f5d2b31e-7019-45c5-809e-eac14a0acf7f","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":157,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"17a0f326-b3d1-472e-850e-56a4039091ef","block_type":"box","text":"exchange request, shareholders should consult a tax or other financial adviser and should consider the investment","page_number":157,"box":{"x":69,"y":256,"width":819,"height":12}},{"id":"3e2156e6-fb07-4a6b-9efe-d1eaaf1ce405","block_type":"box","text":"objective, policies and restrictions of the investment por tfolio into which the shareholder is making an exchange.","page_number":157,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"37f8db7d-d667-4dc2-9c01-0489806a6f04","block_type":"box","text":"Brokers may charge a fee for handling exchanges.","page_number":157,"box":{"x":70,"y":286,"width":354,"height":12}},{"id":"27c69e24-ea72-4ad2-b7f9-ada58ce66069","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":157,"box":{"x":101,"y":309,"width":782,"height":11}},{"id":"631f50ac-fc54-4dae-9bea-a14a9817d23d","block_type":"box","text":"given to shareholders of any material modification or termination except where notice is not required. The Funds","page_number":157,"box":{"x":68,"y":324,"width":800,"height":12}},{"id":"a11554d2-2950-4e41-b152-7b216b04629f","block_type":"box","text":"reserve the right to reject any telephone exchange request. Telephone exchanges may be subject to limitations as to","page_number":157,"box":{"x":69,"y":340,"width":831,"height":11}},{"id":"35af5517-0eb0-40b1-b2e0-a48fb6ab0be1","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":157,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"add20322-373b-4e28-91ef-44524df03e51","block_type":"box","text":"do not operate to the disadvantage of any por tfolio or its shareholders.","page_number":157,"box":{"x":69,"y":370,"width":506,"height":11}},{"id":"cef6e3fa-c826-445c-afb0-0dcbd2e4af7e","block_type":"box","text":"The Funds, the Administrators and BRIL will employ reasonable procedures to confirm that instructions","page_number":157,"box":{"x":101,"y":392,"width":733,"height":12}},{"id":"8e2d37e3-dd02-41c0-88b7-5c051fa974de","block_type":"box","text":"communicated by telephone are genuine. The Funds, the Administrators and BRIL will not be liable for any loss,","page_number":157,"box":{"x":69,"y":407,"width":793,"height":12}},{"id":"7a46f154-e52d-4a60-9849-9093e5831c77","block_type":"box","text":"liability, cost or expense for acting upon telephone instructions reasonably believed to be genuine in accordance with","page_number":157,"box":{"x":70,"y":423,"width":832,"height":11}},{"id":"fe0debe4-3879-4953-a397-e9ffc319f17b","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":157,"box":{"x":69,"y":438,"width":785,"height":11}},{"id":"74e222a6-a462-4403-aacc-060a2d9d9de7","block_type":"box","text":"telephonic or written exchange instructions from any person representing himself to be the investor and believed by","page_number":157,"box":{"x":68,"y":453,"width":825,"height":11}},{"id":"5597aeba-cfca-4287-aaca-3db2219358b6","block_type":"box","text":"the Fund’s Transfer Agent to be genuine. The records of the Fund’s Transfer Agent per taining to such instructions are","page_number":157,"box":{"x":68,"y":468,"width":837,"height":11}},{"id":"ccfdecf2-c8df-4d27-bab4-df4d4c08563e","block_type":"box","text":"binding. The exchange privilege may be modified or terminated at any time upon 60 days’ notice to affected","page_number":157,"box":{"x":69,"y":483,"width":767,"height":11}},{"id":"82eb7183-1fed-4adb-8451-d60ff4c57e62","block_type":"box","text":"shareholders. The exchange privilege is only available in states where the exchange may legally be made.","page_number":157,"box":{"x":69,"y":498,"width":750,"height":11}},{"id":"1db1fc44-85d3-4602-8863-ed5f165bac4b","block_type":"box","text":"Each Fund reserves the right to limit the number of times an investor may exercise the exchange privilege.","page_number":157,"box":{"x":102,"y":521,"width":757,"height":11}},{"id":"8a88eff4-ca76-48dc-ae33-36706543f4e5","block_type":"box","text":"Cer tain Funds may suspend the continuous offering of their shares to the general public at any time and may resume","page_number":157,"box":{"x":69,"y":536,"width":837,"height":11}},{"id":"f398fb8b-67b5-4dff-8118-c1a4dff7025e","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":157,"box":{"x":69,"y":551,"width":805,"height":11}},{"id":"7bf0297d-370c-4031-9101-b6a8ea7c49ae","block_type":"box","text":"exchange legally may be made. The exchange privilege may be applicable to other new mutual funds whose shares","page_number":157,"box":{"x":69,"y":566,"width":817,"height":11}},{"id":"a1c6cf55-6bb8-4a35-a3f3-09ac9d4c891b","block_type":"box","text":"may be distributed by the Distributor.","page_number":157,"box":{"x":69,"y":582,"width":262,"height":10}},{"id":"09699b7d-2b91-4ded-a9e0-e1a7c16b5d30","block_type":"box","text":"Participation in Fee-Based Programs","page_number":157,"box":{"x":69,"y":612,"width":266,"height":11}},{"id":"2c852363-05ae-479f-a286-bff028a6d330","block_type":"box","text":"If you par ticipate in cer tain fee-based programs offered by BlackRock or an affiliate of BlackRock, or selected","page_number":157,"box":{"x":102,"y":634,"width":780,"height":12}},{"id":"0f1e7af6-41b6-4cec-a5e7-30d6a5ed7624","block_type":"box","text":"securities dealers or other financial intermediaries that have agreements with the Distributor or in cer tain fee-based","page_number":157,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"c59fd609-8bb1-4b25-aa49-491599e93980","block_type":"box","text":"programs in which BlackRock par ticipates, you may be able to buy Institutional Shares, including by exchanges from","page_number":157,"box":{"x":70,"y":664,"width":825,"height":12}},{"id":"f61a0ef5-4f19-402f-b635-c5521a98788d","block_type":"box","text":"other share classes. Sales charges on the shares being exchanged may be reduced or waived under cer tain","page_number":157,"box":{"x":69,"y":680,"width":770,"height":11}},{"id":"ddb71aa7-4b4b-4515-884e-8d1a3f503adc","block_type":"box","text":"circumstances. You generally cannot transfer shares held through a fee-based program into another account. Instead,","page_number":157,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"f86f2869-3d74-4db1-86ce-3ab2e065a25b","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":157,"box":{"x":70,"y":710,"width":808,"height":11}},{"id":"f34df795-05e1-46b5-bca0-9a203cc97962","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":157,"box":{"x":70,"y":725,"width":838,"height":11}},{"id":"bee1f096-7d98-4af7-8873-f2a7601fa249","block_type":"box","text":"and you may pay any applicable sales charges or redemption fee. Please speak to your financial intermediary for","page_number":157,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"a9cbd1d0-5878-4d33-a1a0-356df31b4d85","block_type":"box","text":"information about specific policies and procedures applicable to your account.","page_number":157,"box":{"x":70,"y":755,"width":555,"height":11}},{"id":"2727d9f1-2b44-45d2-ad7a-1a57508218ac","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":157,"box":{"x":102,"y":778,"width":788,"height":11}},{"id":"02bd47bf-e97e-4c34-ba8d-8e8a80e7278e","block_type":"box","text":"an account. In cer tain circumstances, when a shareholder chooses to continue to hold the shares, whatever share","page_number":157,"box":{"x":69,"y":793,"width":817,"height":10}},{"id":"b5921133-dcc3-4e9a-aecb-4b208bae4b94","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":157,"box":{"x":69,"y":808,"width":796,"height":11}},{"id":"cca0a2d3-21dc-43a4-a919-12991c5913ed","block_type":"box","text":"periods within the program may be subject to a fee upon redemption. Shareholders that held Investor A or","page_number":157,"box":{"x":70,"y":823,"width":754,"height":12}},{"id":"4ae9504d-2b9b-4316-b355-ed08fbfafeda","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":157,"box":{"x":70,"y":838,"width":820,"height":12}},{"id":"6ce9e21c-2d0c-4662-8704-ff051dc11498","block_type":"box","text":"Fund, but may be subject to upfront sales charges with respect to Investor A Shares. Additional purchases of","page_number":157,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"fa86bb87-7c0e-4351-905a-f9bd22c92cf6","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":157,"box":{"x":70,"y":869,"width":791,"height":11}},{"id":"d0d98007-5ee0-4e7e-ae9f-6468e9c59e89","block_type":"box","text":"eligible to purchase Institutional Shares. Please speak to your financial intermediary for more information.","page_number":157,"box":{"x":69,"y":884,"width":756,"height":11}},{"id":"acb3c471-dd1d-4882-8999-8f1ee86537f0","block_type":"box","text":"II-120","page_number":157,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"8012c97a-956f-44f0-8c88-c45119e20cd2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":157,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"be2d3e0c-8686-4e5b-947c-840e2f962e0f","block_type":"box","text":"Cer tain financial intermediaries may, in connection with a change in account type (for example, due to leaving a","page_number":158,"box":{"x":102,"y":45,"width":793,"height":11}},{"id":"c758d93c-3689-4c28-b1e9-3e888a7767e9","block_type":"box","text":"fee-based program or upon termination of the fee-based program) or otherwise in accordance with the financial","page_number":158,"box":{"x":68,"y":60,"width":791,"height":11}},{"id":"4f36d286-ad0a-4090-8e1e-41601ec10694","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":158,"box":{"x":70,"y":75,"width":830,"height":11}},{"id":"351ece4e-98ca-4185-a3f9-6c3c239bfdb7","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":158,"box":{"x":69,"y":90,"width":807,"height":11}},{"id":"b03bd202-ec56-4850-abe8-f1e2000c9887","block_type":"box","text":"eligibility requirements of the new share class. Please speak to your financial intermediary for information about","page_number":158,"box":{"x":69,"y":105,"width":801,"height":11}},{"id":"b36b206a-fc78-4b54-aec3-a6c8996f3843","block_type":"box","text":"specific policies and procedures applicable to your account.","page_number":158,"box":{"x":69,"y":120,"width":424,"height":11}},{"id":"ebcef896-077e-4b6b-aa0d-443d6a94dde5","block_type":"box","text":"Details about the features of each fee-based program and the relevant charges, terms and conditions are","page_number":158,"box":{"x":102,"y":143,"width":752,"height":11}},{"id":"30277723-8737-41a3-b5f7-bc2343e623e9","block_type":"box","text":"included in the client agreement for each fee-based program and are available from your financial professional,","page_number":158,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"c42c36e3-321a-454c-be42-823ebb677eb7","block_type":"box","text":"selected securities dealer or other financial intermediary. Please speak to your financial intermediary for more","page_number":158,"box":{"x":69,"y":173,"width":785,"height":11}},{"id":"87e3ec33-053e-4aab-8447-9cd93c967b47","block_type":"box","text":"information.","page_number":158,"box":{"x":70,"y":188,"width":83,"height":9}},{"id":"945a5613-75ff-4126-95eb-934ccbc44e4d","block_type":"box","text":"Retirement and Education Savings Plans","page_number":158,"box":{"x":69,"y":219,"width":296,"height":11}},{"id":"7a67fc51-9117-44fa-80e3-176cb432a328","block_type":"box","text":"Individual retirement accounts and other retirement and education savings plans are available from your financial","page_number":158,"box":{"x":102,"y":241,"width":805,"height":11}},{"id":"ad3c3ce4-e228-44a8-a144-dad9ce4f802f","block_type":"box","text":"intermediary. Under these plans, investments may be made in a Fund (other than a Municipal Fund) and cer tain of","page_number":158,"box":{"x":70,"y":256,"width":815,"height":11}},{"id":"5ff9637a-3392-4de6-b815-8394c818506a","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":158,"box":{"x":68,"y":271,"width":819,"height":12}},{"id":"162d4a3d-ba8a-4d85-9c7b-7a8812f8b368","block_type":"box","text":"associated with investing through these plans. Information with respect to these plans is available on request from","page_number":158,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"76976f65-1b62-4de4-8e58-7c54efa9b04a","block_type":"box","text":"your financial intermediary.","page_number":158,"box":{"x":68,"y":302,"width":191,"height":11}},{"id":"51c7f5e3-b363-42a0-ab09-42f8937646b2","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":158,"box":{"x":102,"y":324,"width":796,"height":11}},{"id":"7be32d36-0ee9-498b-97e8-7f66f3c9ae74","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":158,"box":{"x":68,"y":339,"width":784,"height":12}},{"id":"0fc8dbe4-f46d-426e-9ccf-26d84f87eaf7","block_type":"box","text":"distributed as well. Investors considering par ticipation in any retirement or education savings plan should review","page_number":158,"box":{"x":69,"y":355,"width":801,"height":11}},{"id":"01c15f26-ce14-4fcf-9196-ea608e8c0c4c","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":158,"box":{"x":69,"y":370,"width":753,"height":11}},{"id":"30429ea7-7c46-4dad-8376-e1cdf6ec3d25","block_type":"box","text":"establishment and maintenance of any such plan.","page_number":158,"box":{"x":69,"y":385,"width":354,"height":11}},{"id":"ed0b36fb-6c8f-4b24-9370-d8b36e4afc89","block_type":"box","text":"Automatic Investment Plans","page_number":158,"box":{"x":68,"y":415,"width":207,"height":9}},{"id":"a7db0b89-981b-4c0b-b7bd-dc56917f57a1","block_type":"box","text":"Investor class shareholders and cer tain Service Share shareholders who were shareholders of the Compass","page_number":158,"box":{"x":102,"y":438,"width":773,"height":11}},{"id":"46e97a78-8f98-4610-99a2-6b996ecefdb5","block_type":"box","text":"Capital Group of Funds at the time of its combination with The PNC","page_number":158,"box":{"x":69,"y":453,"width":477,"height":11}},{"id":"e23ccfc8-a7aa-489a-ab13-fff7223cbbb8","block_type":"box","text":"®","page_number":158,"box":{"x":547,"y":453,"width":6,"height":5}},{"id":"1eee4912-15b2-47e3-b1a9-40c0e7fc7bc6","block_type":"box","text":"Fund in 1996 may arrange for periodic","page_number":158,"box":{"x":559,"y":453,"width":272,"height":11}},{"id":"c8fe81c0-e6f6-4964-9b15-fd494370c3f0","block_type":"box","text":"investments in that Fund through automatic deductions from a checking or savings account. The minimum pre","page_number":158,"box":{"x":70,"y":468,"width":787,"height":11}},{"id":"ed469040-4763-47bb-841f-794b0b98329a","block_type":"box","text":"authorized investment amount is $50. If you buy shares of a Fund through cer tain accounts, no minimum charge to","page_number":158,"box":{"x":69,"y":482,"width":822,"height":12}},{"id":"6a7d1a4f-73a8-4d79-9618-5de0b3a6d2c0","block_type":"box","text":"your bank account is required. Contact your financial adviser or other financial intermediary for more information.","page_number":158,"box":{"x":68,"y":498,"width":805,"height":11}},{"id":"886d1b13-919f-4843-b20e-38efecd8d2d6","block_type":"box","text":"Automatic Dividend Reinvestment Plan","page_number":158,"box":{"x":68,"y":529,"width":285,"height":8}},{"id":"22c4251c-4fd3-4056-936c-6a262c8237c2","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":158,"box":{"x":102,"y":551,"width":782,"height":11}},{"id":"5550509b-87c3-45be-ad43-69f76ba3e4fb","block_type":"box","text":"shareholders. All distributions are automatically reinvested at NAV in the form of additional full and fractional shares","page_number":158,"box":{"x":69,"y":566,"width":828,"height":11}},{"id":"cc1c0bab-595f-49ca-b681-f318270680ad","block_type":"box","text":"of the same class of shares of the relevant Fund unless a shareholder elects otherwise or as otherwise set for th in a","page_number":158,"box":{"x":69,"y":581,"width":839,"height":9}},{"id":"99fe7f8a-5534-4493-b21b-6eb6576142ef","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":158,"box":{"x":70,"y":596,"width":822,"height":12}},{"id":"9bce4623-d099-49f3-8da2-de75afc1dbac","block_type":"box","text":"become effective with respect to dividends paid after its receipt by the Transfer Agent.","page_number":158,"box":{"x":69,"y":612,"width":614,"height":11}},{"id":"0ae99e13-ee32-45e0-8dd0-5a9d48174176","block_type":"box","text":"Systematic Withdrawal Plans","page_number":158,"box":{"x":68,"y":642,"width":214,"height":11}},{"id":"219b5d5d-6907-422e-b350-0b8d0e23a9d7","block_type":"box","text":"Shareholders may receive regular distributions from their accounts via a Systematic Withdrawal Plan (“SWP”).","page_number":158,"box":{"x":102,"y":664,"width":780,"height":12}},{"id":"2bca393c-68f2-488f-8d8c-e747e08ef303","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":158,"box":{"x":70,"y":679,"width":742,"height":12}},{"id":"569ea7b6-e2de-450c-a4dd-ee0de35ae64c","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":158,"box":{"x":69,"y":694,"width":834,"height":12}},{"id":"9eff909f-6acf-41a9-be17-628eed76554f","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":158,"box":{"x":68,"y":710,"width":823,"height":11}},{"id":"c3670f9f-f051-4215-9a7a-e76bcf76c944","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":158,"box":{"x":69,"y":725,"width":840,"height":11}},{"id":"7b09887e-faec-407c-bede-ab1c1c62b5f8","block_type":"box","text":"by completing the Systematic Withdrawal Plan Application Form which may be obtained by visiting our website at","page_number":158,"box":{"x":69,"y":740,"width":800,"height":11}},{"id":"33c4cd52-3a4c-43a6-9e54-2d4692e6bbdb","block_type":"box","text":"www.blackrock.com.","page_number":158,"box":{"x":68,"y":755,"width":142,"height":9}},{"id":"01c063ca-3ca3-4e16-b330-087c37443092","block_type":"box","text":"Shareholders should realize that if withdrawals exceed income dividends their invested principal in the account","page_number":158,"box":{"x":102,"y":778,"width":789,"height":11}},{"id":"69662c4a-bab3-44f2-94b6-d2aff904d611","block_type":"box","text":"will be depleted. To par ticipate in the SWP, shareholders must have their dividends automatically reinvested.","page_number":158,"box":{"x":68,"y":793,"width":774,"height":11}},{"id":"b321cff9-68ea-4c44-8aa0-46f7c2b181de","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":158,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"b0122f35-64be-402b-ace7-97da6516c47e","block_type":"box","text":"(800) 441-7762. Purchases of additional Investor A or Investor P Shares of the Fund concurrently with withdrawals","page_number":158,"box":{"x":69,"y":823,"width":817,"height":11}},{"id":"7847854b-97b7-469f-86b7-7980051a3354","block_type":"box","text":"may be disadvantageous to investors because of the sales charges involved and, therefore, are discouraged. No","page_number":158,"box":{"x":69,"y":838,"width":803,"height":12}},{"id":"c3357078-07b4-4668-be2b-03bb0cf09216","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":158,"box":{"x":69,"y":853,"width":820,"height":12}},{"id":"9b03220c-4d52-46c6-8566-a9821c345d96","block_type":"box","text":"original investment on an annualized basis. For example, monthly, quar terly and semi-annual SWP redemptions of","page_number":158,"box":{"x":69,"y":869,"width":810,"height":11}},{"id":"8aeda0a6-be68-4ba8-a4cc-b3baace43eea","block_type":"box","text":"II-121","page_number":158,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"7a20724b-9ae0-4a21-ba16-36a0449ca1d9","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":158,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b7c44767-d6c7-4a44-b075-186a2e6678a2","block_type":"box","text":"Investor C Shares will not be subject to the CDSC if they do not exceed 1% (monthly), 3% (quar terly) and 6% (semi","page_number":159,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"12e5f599-b348-4753-b700-2abc29dae28d","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":159,"box":{"x":69,"y":60,"width":840,"height":11}},{"id":"c377be4a-44a2-43e5-9dea-2aa8a2106486","block_type":"box","text":"of this limit are still subject to the applicable CDSC.","page_number":159,"box":{"x":69,"y":75,"width":367,"height":11}},{"id":"8fc293d6-cfb5-40d6-a20d-37d872cc8b7f","block_type":"box","text":"For this reason, a shareholder may not par ticipate in the Automatic Investment Plan described above (see “How","page_number":159,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"8be10505-dd7f-4bea-9b93-b02f91bcc396","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":159,"box":{"x":68,"y":113,"width":834,"height":11}},{"id":"138408ee-bdf3-4fb3-be3a-1a4092728ea3","block_type":"box","text":"Prospectus) and the SWP at the same time.","page_number":159,"box":{"x":69,"y":128,"width":311,"height":11}},{"id":"e4057869-30df-41ec-a753-f4e924f75c94","block_type":"box","text":"Dividend Allocation Plan","page_number":159,"box":{"x":69,"y":158,"width":176,"height":9}},{"id":"23898102-7a02-405e-b6b2-bcad4837630e","block_type":"box","text":"The Dividend Allocation Plan, as applicable, allows shareholders to elect to have all their dividends and any other","page_number":159,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"793a42c8-b05d-486c-b1bb-cd7ea6ac254e","block_type":"box","text":"distributions from any Eligible Fund (which means funds so designated by the Distributor from time to time)","page_number":159,"box":{"x":69,"y":196,"width":763,"height":11}},{"id":"0abee75d-239e-4960-b678-de32fafff536","block_type":"box","text":"automatically invested at NAV in one other such Eligible Fund designated by the shareholder, provided the account","page_number":159,"box":{"x":69,"y":211,"width":814,"height":11}},{"id":"7bd70b3f-39c8-45d5-82aa-755006c89db5","block_type":"box","text":"into which the dividends and distributions are directed is initially funded with the requisite minimum amount.","page_number":159,"box":{"x":70,"y":226,"width":771,"height":11}},{"id":"4435320f-3f9f-42fa-b127-67a7e02a1d1d","block_type":"box","text":"PRICING OF SHARES","page_number":159,"box":{"x":406,"y":256,"width":167,"height":9}},{"id":"c8159fc4-3ef9-4996-998a-723a78458332","block_type":"box","text":"Determination of Net Asset Value","page_number":159,"box":{"x":69,"y":286,"width":243,"height":9}},{"id":"6f67324a-d384-44f4-91c1-4628a4cb813c","block_type":"box","text":"Valuation of Shares.","page_number":159,"box":{"x":101,"y":309,"width":145,"height":9}},{"id":"214c6569-aab7-4e24-9fcb-8c77effa60a0","block_type":"box","text":"The NAV for each class of shares of each Fund is generally calculated as of the close of","page_number":159,"box":{"x":252,"y":309,"width":626,"height":11}},{"id":"eba53c06-3695-445a-a660-b0db369403d1","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":159,"box":{"x":69,"y":324,"width":785,"height":11}},{"id":"8d7b2ce5-1cf0-4459-adfd-f53deba5bfd3","block_type":"box","text":"Valuation of assets held by a Fund is as follows:","page_number":159,"box":{"x":68,"y":339,"width":343,"height":11}},{"id":"4e61344f-ed01-4367-918b-0fea937aec17","block_type":"box","text":"Equity Investments.","page_number":159,"box":{"x":102,"y":362,"width":143,"height":11}},{"id":"98750728-2142-4f15-a5d3-6a7f4cbb286c","block_type":"box","text":"Equity securities traded on a recognized securities exchange (","page_number":159,"box":{"x":252,"y":362,"width":439,"height":11}},{"id":"894b2592-3975-46b3-8634-ce61745b7b1f","block_type":"box","text":"e.g.","page_number":159,"box":{"x":693,"y":363,"width":25,"height":10}},{"id":"b3b0e130-b52f-4493-b597-b27cdd59d59e","block_type":"box","text":", NYSE), on separate","page_number":159,"box":{"x":720,"y":362,"width":147,"height":11}},{"id":"c1852370-edab-4e77-8ff7-5db3677245ea","block_type":"box","text":"trading boards of a securities exchange or through a market system that provides contemporaneous transaction","page_number":159,"box":{"x":68,"y":377,"width":799,"height":11}},{"id":"f560c677-5f8e-4200-8758-2f0469203c4c","block_type":"box","text":"pricing information (each, an “Exchange”) are valued using information obtained via independent pricing services,","page_number":159,"box":{"x":70,"y":392,"width":808,"height":11}},{"id":"0ca8c62c-6d4f-4b09-9464-675ef3de38df","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":159,"box":{"x":68,"y":407,"width":820,"height":11}},{"id":"952386db-f6d0-4d61-b481-390a254852bc","block_type":"box","text":"Exchange prior to the time as of which the assets or liabilities are valued. However, under cer tain circumstances,","page_number":159,"box":{"x":70,"y":422,"width":805,"height":11}},{"id":"4d735939-293e-4e01-a127-6b1e86a8ff88","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":159,"box":{"x":69,"y":437,"width":793,"height":11}},{"id":"3142b401-3bfa-45ca-a4d7-99355ec1cc55","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":159,"box":{"x":70,"y":452,"width":836,"height":11}},{"id":"ea09e715-71f2-4501-ba1a-cbd8898a0228","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":159,"box":{"x":68,"y":468,"width":815,"height":11}},{"id":"6df6c194-d1f1-497a-9404-6555f976101a","block_type":"box","text":"last bid (long positions) or ask (shor t positions) price, if available, will be used as the value of such security. If a Fund","page_number":159,"box":{"x":70,"y":482,"width":837,"height":12}},{"id":"71e4a187-e7e8-4f81-98d5-7940b794d5e9","block_type":"box","text":"holds both long and shor t positions in the same security, the last bid price will be applied to securities held long and","page_number":159,"box":{"x":69,"y":498,"width":832,"height":11}},{"id":"547be80a-fcc9-4b97-88fa-3d27dfae93c1","block_type":"box","text":"the last ask price will be applied to securities sold shor t. If no bid or ask price is available on a day on which a Fund","page_number":159,"box":{"x":68,"y":513,"width":828,"height":11}},{"id":"e33c27b3-8816-4294-9621-a76a6a1eccf8","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":159,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"48698718-dff3-42e0-b9e9-a9f4a04decbb","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":159,"box":{"x":70,"y":543,"width":798,"height":11}},{"id":"d678b9e5-f92a-4894-ba94-d2a4d6f87afb","block_type":"box","text":"defined below).","page_number":159,"box":{"x":69,"y":558,"width":106,"height":11}},{"id":"6a85d6c9-5b95-4fa3-a0f2-433262572653","block_type":"box","text":"Fixed-Income Investments.","page_number":159,"box":{"x":102,"y":581,"width":194,"height":9}},{"id":"51e2e907-8a15-416a-aaaa-061489e46319","block_type":"box","text":"Fixed-income securities are generally valued using prices provided by dealers or","page_number":159,"box":{"x":304,"y":581,"width":565,"height":11}},{"id":"a795e026-6165-4cb6-b2ec-c54ff3e8ab8b","block_type":"box","text":"prices (including evaluated prices) supplied by the Fund’s approved independent third-par ty pricing services, each in","page_number":159,"box":{"x":70,"y":596,"width":825,"height":11}},{"id":"f42b29a8-eb85-401e-96f7-cdde310e9362","block_type":"box","text":"accordance with the Valuation Procedures. The pricing services may use valuation models that utilize cer tain inputs","page_number":159,"box":{"x":69,"y":611,"width":823,"height":11}},{"id":"51bb84ee-c43d-4c8e-99ab-cc61e7f2b5b0","block_type":"box","text":"and assumptions to derive values, including transaction data (","page_number":159,"box":{"x":69,"y":626,"width":443,"height":11}},{"id":"d3e4667a-7907-4b9a-8388-298ce4f5ef22","block_type":"box","text":"e.g.","page_number":159,"box":{"x":514,"y":628,"width":24,"height":9}},{"id":"1cc17372-57a2-48f3-8dd3-ec3062d287da","block_type":"box","text":", recent representative bids and offers), credit","page_number":159,"box":{"x":541,"y":626,"width":328,"height":11}},{"id":"a2722df3-1624-4069-984b-47b51f05a062","block_type":"box","text":"quality information, perceived market movements, news, and other relevant information and by other methods, which","page_number":159,"box":{"x":69,"y":641,"width":834,"height":11}},{"id":"37b82e1e-11c9-4b81-9523-71bc8d6ebcd7","block_type":"box","text":"may include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type;","page_number":159,"box":{"x":69,"y":656,"width":769,"height":11}},{"id":"24660495-d7d4-4211-aa91-cde67339854f","block_type":"box","text":"indications as to values from dealers; general market conditions; and/or other factors and assumptions. Pricing","page_number":159,"box":{"x":70,"y":671,"width":797,"height":12}},{"id":"64acc3ec-7759-4c7b-8490-59da6a5422bb","block_type":"box","text":"services generally value fixed-income securities assuming orderly transactions of an institutional round lot size, but","page_number":159,"box":{"x":69,"y":686,"width":821,"height":12}},{"id":"61ed7d43-95ac-4d26-8da2-00047e8f04a4","block_type":"box","text":"the Fund may hold or transact in such securities in smaller, odd lot sizes. Odd lots of securities in cer tain asset","page_number":159,"box":{"x":68,"y":702,"width":798,"height":11}},{"id":"fd1e7c4f-ea13-4ea5-9cec-7ec842a6d915","block_type":"box","text":"classes may trade at lower prices than institutional round lots, and the value ultimately realized when the securities","page_number":159,"box":{"x":69,"y":717,"width":825,"height":11}},{"id":"bc50230d-0da4-4f70-8e27-b1ae153d4ee2","block_type":"box","text":"are sold could differ from the prices used by a Fund. The amor tized cost method of valuation may be used with","page_number":159,"box":{"x":69,"y":732,"width":791,"height":11}},{"id":"7c348b59-597d-431f-94f7-7c8e237bb1ff","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":159,"box":{"x":69,"y":747,"width":814,"height":11}},{"id":"e84914ad-0cec-471d-8de1-c917eb6bbe82","block_type":"box","text":"value. Cer tain fixed-income investments, including asset-backed and mor tgage related securities, may be valued","page_number":159,"box":{"x":68,"y":762,"width":802,"height":11}},{"id":"15c771cc-be42-446e-a817-875cf58a3114","block_type":"box","text":"based on valuation models that consider the estimated cash flows of each tranche of the issuer, establish a","page_number":159,"box":{"x":69,"y":777,"width":773,"height":11}},{"id":"415a950a-9d91-4dc1-8b5a-93d473fff4d0","block_type":"box","text":"benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique","page_number":159,"box":{"x":69,"y":792,"width":795,"height":12}},{"id":"11e26349-fd1c-4234-aadb-95a99afecfb1","block_type":"box","text":"attributes of the tranche.","page_number":159,"box":{"x":69,"y":807,"width":176,"height":9}},{"id":"03669100-f76a-42ee-a3b3-229a33dfba62","block_type":"box","text":"Options, Futures, Swaps and Other Derivatives.","page_number":159,"box":{"x":101,"y":830,"width":344,"height":11}},{"id":"374b1c28-e0dd-490d-b898-174412a4e484","block_type":"box","text":"Exchange-traded equity options (except ETF options, equity","page_number":159,"box":{"x":453,"y":830,"width":416,"height":11}},{"id":"db5a95b3-c173-4d96-bd35-014663cba46b","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":159,"box":{"x":70,"y":845,"width":829,"height":11}},{"id":"915d6860-ed4f-4782-8a0b-3fda5be336b3","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":159,"box":{"x":69,"y":860,"width":824,"height":12}},{"id":"4683facc-090d-4ae2-95d7-5e27eb1d9d79","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":159,"box":{"x":68,"y":875,"width":838,"height":12}},{"id":"e851eedf-5bc1-42ea-a7ea-437cb4581da8","block_type":"box","text":"the Fund values such option, the last bid (long positions) or ask (shor t positions) price, if available, will be used as","page_number":159,"box":{"x":68,"y":891,"width":820,"height":11}},{"id":"830feb89-c715-4dfc-aeb6-1c7a3a12734a","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":159,"box":{"x":68,"y":906,"width":808,"height":11}},{"id":"02838259-0611-441a-9364-5b18d3873542","block_type":"box","text":"II-122","page_number":159,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"be436826-5357-4e21-963d-5338bf398a48","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":159,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4b0623bc-6101-4f8d-bd04-a665bee32f91","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":160,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"7a83119d-4a4d-437c-a493-fbe2cbb2e946","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":160,"box":{"x":68,"y":60,"width":789,"height":11}},{"id":"3d7414bd-083a-4f63-8281-b92a9c188e70","block_type":"box","text":"options, ETF options, equity index options and OTC derivatives, may be valued using a mathematical model which","page_number":160,"box":{"x":69,"y":75,"width":807,"height":11}},{"id":"e4665ef3-e40a-46b8-8855-9a0ca5054c3c","block_type":"box","text":"may incorporate a number of market data factors. Financial futures contracts and options thereon, which are traded","page_number":160,"box":{"x":69,"y":90,"width":824,"height":11}},{"id":"bc2fd0b9-9e22-4e5f-82fa-f724b57e99b3","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":160,"box":{"x":69,"y":105,"width":833,"height":11}},{"id":"ecf98d7c-200c-42c7-bd5e-88b65a42d6cb","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":160,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"4f51d657-ae14-49de-8d54-e46276c422ca","block_type":"box","text":"accordance with the Valuation Procedures.","page_number":160,"box":{"x":69,"y":136,"width":301,"height":8}},{"id":"fa95ae17-fcf1-4f08-b205-f7b496bf94bb","block_type":"box","text":"Underlying Funds.","page_number":160,"box":{"x":102,"y":158,"width":128,"height":11}},{"id":"ecac9460-e88f-43fd-a2f9-2c0b5b87302a","block_type":"box","text":"Shares of underlying open-end funds that are not traded on an exchange (including money","page_number":160,"box":{"x":237,"y":158,"width":640,"height":11}},{"id":"784e35ea-b915-4f6d-b7bc-b2c8f27fdfcb","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":160,"box":{"x":69,"y":173,"width":830,"height":11}},{"id":"4c220b0f-3d35-4280-bbdd-237098cec2ec","block_type":"box","text":"at their most recent closing price.","page_number":160,"box":{"x":69,"y":188,"width":238,"height":12}},{"id":"173ff469-c33c-4ab6-a218-fb4c4b72d3ba","block_type":"box","text":"General Valuation Information.","page_number":160,"box":{"x":101,"y":211,"width":220,"height":9}},{"id":"f3461537-078f-44df-8ff9-182a14201a21","block_type":"box","text":"Prices obtained from independent third-par ty pricing services, broker-dealers or","page_number":160,"box":{"x":328,"y":211,"width":564,"height":11}},{"id":"5aa0b3cc-d267-4bd8-af79-82bf4cd1baed","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":160,"box":{"x":69,"y":226,"width":831,"height":9}},{"id":"31abfb67-fe46-4e54-9aca-88fd1c532cd1","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":160,"box":{"x":68,"y":241,"width":828,"height":11}},{"id":"c3adfc58-3487-44f0-8db3-3d6b53b0e31d","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":160,"box":{"x":69,"y":257,"width":829,"height":11}},{"id":"2967ec8a-358b-48bb-9c67-621175afaf68","block_type":"box","text":"applied prospectively. Such determination will be made considering per tinent facts and circumstances surrounding","page_number":160,"box":{"x":69,"y":271,"width":817,"height":12}},{"id":"0b440852-22df-43c2-8d42-9eb88d2fa055","block_type":"box","text":"the revision.","page_number":160,"box":{"x":68,"y":287,"width":87,"height":9}},{"id":"9b339131-6a00-4189-8c13-fdba3ec9a449","block_type":"box","text":"In determining the market value of por tfolio investments, the Fund may employ independent third-par ty pricing","page_number":160,"box":{"x":102,"y":309,"width":784,"height":11}},{"id":"e25b9251-ac59-4656-a261-7a23b6c9f1d1","block_type":"box","text":"services, which may use, without limitation, evaluated pricing methods that take into consideration market indexes,","page_number":160,"box":{"x":69,"y":325,"width":823,"height":11}},{"id":"88edf5c2-5405-41d3-8a42-603e41bf9217","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":160,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"01d5b922-4984-4a61-89e1-e896f62992fb","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":160,"box":{"x":70,"y":355,"width":832,"height":11}},{"id":"0e2be276-1fd3-4239-a9e6-9ecbe275c046","block_type":"box","text":"price the Fund could receive upon the sale of any par ticular por tfolio investment may differ from the Fund’s valuation","page_number":160,"box":{"x":70,"y":370,"width":832,"height":11}},{"id":"3101316a-44ea-4658-83a8-dc3c5cc081ef","block_type":"box","text":"of the investment, par ticularly for assets that trade in thin or volatile markets or that are valued using a fair valuation","page_number":160,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"5c9c296a-0600-49e3-a3e7-f92c719b6455","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":160,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"60ee605b-9ffb-47d7-bdd5-c287c4ea3c4d","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":160,"box":{"x":70,"y":415,"width":833,"height":11}},{"id":"24c35dc3-52cd-4461-9761-ac3d25dfcfdf","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":160,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"55e69cdf-e902-4775-9a04-614c6fe8e6cb","block_type":"box","text":"impacted by technological issues and/or errors by pricing services or other third-par ty service providers.","page_number":160,"box":{"x":70,"y":446,"width":741,"height":11}},{"id":"2d9d7aa1-82ca-47fa-a99a-811383b78df1","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":160,"box":{"x":102,"y":468,"width":800,"height":11}},{"id":"8d82e77e-1209-481e-9bf9-02c053a29f05","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":160,"box":{"x":69,"y":483,"width":811,"height":11}},{"id":"856e91d8-a915-422b-9478-358ade9cb492","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":160,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"bbf68a87-3df9-4fad-9030-843a45908bcb","block_type":"box","text":"value. All other assets and liabilities (including securities for which market quotations are not readily available) held","page_number":160,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"d87a8789-e451-4c10-821a-6abaddeeb6cf","block_type":"box","text":"by a Fund (including restricted securities and private market investments, as applicable) are valued at fair value as","page_number":160,"box":{"x":69,"y":528,"width":817,"height":12}},{"id":"1f25d609-9fc7-4eba-84a0-de74bf07ada5","block_type":"box","text":"determined in good faith by BlackRock pursuant to the Valuation Procedures. Any assets and liabilities which are","page_number":160,"box":{"x":69,"y":543,"width":802,"height":12}},{"id":"ab59e7ec-0651-49d9-bb16-0c02c4c1cd59","block_type":"box","text":"denominated in a foreign currency are translated into U.S. dollars at the prevailing market rates.","page_number":160,"box":{"x":69,"y":559,"width":685,"height":11}},{"id":"531f9d55-6a0a-45ef-8c24-a541bd5ab3b0","block_type":"box","text":"Cer tain of the securities acquired by the Funds may be traded on foreign exchanges or OTC markets on days on","page_number":160,"box":{"x":102,"y":581,"width":795,"height":12}},{"id":"72ef044a-e28a-4673-b7b8-b77f4feb1e04","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":160,"box":{"x":68,"y":596,"width":805,"height":12}},{"id":"898771b1-b0fd-4db2-823b-6f87e11e4cd6","block_type":"box","text":"days when investors can neither purchase nor redeem shares of the Fund.","page_number":160,"box":{"x":69,"y":612,"width":529,"height":11}},{"id":"4e60c32a-c1fa-4020-9e82-6944a1aa5a56","block_type":"box","text":"Fair Value.","page_number":160,"box":{"x":102,"y":634,"width":74,"height":9}},{"id":"f417d2b1-6b43-49ee-9b81-42658d8e587e","block_type":"box","text":"When market quotations are not readily available or are believed by BlackRock to be unreliable, a","page_number":160,"box":{"x":183,"y":634,"width":693,"height":11}},{"id":"dcd6a7c5-96bd-415b-832a-61331bbc12ae","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":160,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"6b699557-ec08-4b3b-a932-93b33c879bfd","block_type":"box","text":"accordance with the Valuation Procedures. Pursuant to Rule 2a-5 under the Investment Company Act, the Board of","page_number":160,"box":{"x":69,"y":664,"width":816,"height":12}},{"id":"25ec25ab-582e-4382-8b55-e6212bc7d059","block_type":"box","text":"Directors has designated BlackRock as the valuation designee for the respective Funds for which it serves as","page_number":160,"box":{"x":70,"y":680,"width":779,"height":11}},{"id":"396264e3-ba26-4986-b397-f58cfb423950","block_type":"box","text":"investment adviser. BlackRock may reasonably conclude that a market quotation is not readily available or is","page_number":160,"box":{"x":70,"y":695,"width":773,"height":11}},{"id":"07743b28-4cc2-49c5-8423-be87494826ba","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":160,"box":{"x":69,"y":710,"width":772,"height":11}},{"id":"0cc66618-85cf-43ea-a9a6-0335134d665f","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":160,"box":{"x":69,"y":725,"width":826,"height":11}},{"id":"bd7c1eca-1309-493c-9170-6484fb3ac0d2","block_type":"box","text":"(","page_number":160,"box":{"x":69,"y":740,"width":3,"height":11}},{"id":"c40de7e0-112b-468b-8c2d-a223d65bd1bf","block_type":"box","text":"e.g.","page_number":160,"box":{"x":74,"y":742,"width":25,"height":9}},{"id":"13645f97-dc15-4da6-96b5-3c2502a15bf6","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":160,"box":{"x":101,"y":740,"width":806,"height":11}},{"id":"1fa7a8d6-c181-4ae5-9c5a-7e4935f6771e","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":160,"box":{"x":69,"y":755,"width":813,"height":11}},{"id":"b8eb496e-3726-4071-be6d-98b7e2e2500d","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":160,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"1e16b72c-29e4-4c0e-be59-9d2468943753","block_type":"box","text":"purpose, a “significant event” is deemed to occur if BlackRock determines, in its reasonable business judgment, that","page_number":160,"box":{"x":70,"y":785,"width":838,"height":12}},{"id":"173a18ad-eb94-4320-96c3-1b31e3d92404","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":160,"box":{"x":69,"y":801,"width":824,"height":11}},{"id":"f0800d0e-067c-4d86-bf27-8d5c6fd32ab1","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":160,"box":{"x":69,"y":816,"width":828,"height":11}},{"id":"e4e7904a-e8fa-4d84-8f36-920804a4db3f","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":160,"box":{"x":69,"y":831,"width":793,"height":11}},{"id":"8f6cb9e6-f06d-4c0c-bd1a-3ed5646334d1","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":160,"box":{"x":70,"y":846,"width":819,"height":11}},{"id":"62f8cfa1-cb85-4781-ac34-541d7edf2e3f","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":160,"box":{"x":68,"y":861,"width":810,"height":11}},{"id":"fbdaabc1-0608-4191-bf53-6cc8446623c6","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":160,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"6f7da9cb-d6fd-4bbb-99e5-a4a07b4f1910","block_type":"box","text":"be treated as a Fair Value Asset. For cer tain foreign assets, a third-par ty vendor supplies evaluated, systematic fair","page_number":160,"box":{"x":69,"y":891,"width":822,"height":12}},{"id":"acebdc9b-103d-45fe-ac05-699460261b5e","block_type":"box","text":"value pricing based upon the movement of a proprietary multi-factor model after the relevant foreign markets have","page_number":160,"box":{"x":68,"y":906,"width":814,"height":12}},{"id":"a72d0fb6-f638-4225-aa02-dc628f5862b0","block_type":"box","text":"II-123","page_number":160,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e6d18f2b-f6a8-4e4d-9f8e-cd45b8d53bee","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":160,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b4695d97-902f-4996-a688-ebbaca43de74","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":161,"box":{"x":69,"y":45,"width":827,"height":11}},{"id":"4c698cbe-af12-4aa7-8a08-aaccffb5364c","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":161,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"a6541cd8-0e8a-463f-a0ef-d9a8f0d2c3e5","block_type":"box","text":"pricing time.","page_number":161,"box":{"x":70,"y":75,"width":85,"height":11}},{"id":"81e20f67-10ad-4735-ab15-a3bdbc6a8c60","block_type":"box","text":"BlackRock’s Rule 2a-5 Committee is responsible for reviewing and approving methodologies by investment type","page_number":161,"box":{"x":102,"y":98,"width":794,"height":11}},{"id":"5280bd24-1727-4ea2-81aa-f6872f5b398f","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":161,"box":{"x":69,"y":113,"width":829,"height":11}},{"id":"75657399-8473-4dbf-94d0-dd0c67f031aa","block_type":"box","text":"assists BlackRock by periodically endeavoring to confirm the prices it receives from all third-par ty pricing services,","page_number":161,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"7b36d7c4-1632-4d5c-87d1-005ac58d2974","block_type":"box","text":"index providers and broker-dealers. BlackRock regularly evaluates the values assigned to the securities and other","page_number":161,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"74f9c3d0-c5ba-43e7-94be-482ae7738673","block_type":"box","text":"assets and liabilities of the Funds.","page_number":161,"box":{"x":69,"y":158,"width":245,"height":9}},{"id":"8fcb5e54-706b-4a3c-b1c9-a8f2d6b8d50e","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":161,"box":{"x":101,"y":181,"width":795,"height":11}},{"id":"d2c6cdca-07d3-4df8-8a7e-b62062cde073","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":161,"box":{"x":69,"y":196,"width":832,"height":11}},{"id":"0966690f-790f-42ce-afab-15f221d0c949","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":161,"box":{"x":69,"y":211,"width":805,"height":11}},{"id":"34927819-89bb-4eec-842b-c5765a0b178c","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":161,"box":{"x":69,"y":226,"width":834,"height":11}},{"id":"5b35219c-c658-4caf-adb5-d22f08679588","block_type":"box","text":"determinations will be based upon all available factors that BlackRock deems relevant at the time of the","page_number":161,"box":{"x":69,"y":241,"width":744,"height":11}},{"id":"d2642021-f02e-49c2-8940-0049e7823548","block_type":"box","text":"determination, and may be based on analytical values determined by BlackRock using proprietary or third-par ty","page_number":161,"box":{"x":69,"y":257,"width":791,"height":11}},{"id":"0f6dc9d8-92fa-4c8c-aec6-a1e56f84739d","block_type":"box","text":"valuation models.","page_number":161,"box":{"x":68,"y":272,"width":125,"height":8}},{"id":"0aa977ce-4c61-48fe-8bf0-2e58b9d865ac","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":161,"box":{"x":102,"y":294,"width":785,"height":11}},{"id":"15d7246f-bf9f-4a01-8770-382e38007eba","block_type":"box","text":"value of an investment, one or more fair value methodologies may be used (depending on cer tain factors, including","page_number":161,"box":{"x":68,"y":309,"width":822,"height":11}},{"id":"5e161d15-141e-4cda-b437-e1d6b7f51491","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":161,"box":{"x":68,"y":324,"width":820,"height":12}},{"id":"8b4725ef-33a8-45c0-94fb-017bbd6499f0","block_type":"box","text":"alternatively, using proprietary or third-par ty models that may rely upon one or more unobservable inputs. Prices of","page_number":161,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"122ee62c-b413-42d6-8627-d8b455fa2f54","block_type":"box","text":"actual, executed or historical transactions in the relevant investment (or comparable instruments) or, where","page_number":161,"box":{"x":69,"y":355,"width":766,"height":11}},{"id":"4f98b776-469e-4014-87b5-1392f1f1c8fe","block_type":"box","text":"appropriate, an appraisal by a third-par ty experienced in the valuation of similar instruments, may also be used as a","page_number":161,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"92de3e40-6055-4606-8a88-691ac40f954b","block_type":"box","text":"basis for establishing the fair value of an investment.","page_number":161,"box":{"x":69,"y":385,"width":378,"height":11}},{"id":"d71fe18a-bc30-46b8-bf75-768bd79b0f67","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":161,"box":{"x":101,"y":407,"width":784,"height":12}},{"id":"75f49382-a651-4bea-93c5-6b56df0fa583","block_type":"box","text":"liabilities could have been sold during the period in which the par ticular fair values were used in determining a Fund’s","page_number":161,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"bd1b26f0-e61f-41d3-bb51-859669c3fb61","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":161,"box":{"x":70,"y":438,"width":834,"height":11}},{"id":"b8fdcdb2-8cbd-4a74-883d-bdcd52c95211","block_type":"box","text":"fair value, may have the effect of diluting or increasing the economic interest of existing shareholders.","page_number":161,"box":{"x":68,"y":453,"width":728,"height":11}},{"id":"4da8f500-6b0a-45e2-8fca-740376b55e16","block_type":"box","text":"Each Fund’s annual audited financial statements, which are prepared in accordance with accounting principles","page_number":161,"box":{"x":102,"y":475,"width":786,"height":12}},{"id":"7ee59fb1-f67d-477b-aa0a-dc8ae3ff9cfc","block_type":"box","text":"generally accepted in the United States of America (“US GAAP”), follow the requirements for valuation set for th in","page_number":161,"box":{"x":68,"y":491,"width":809,"height":11}},{"id":"1d660b2b-5eb8-4cc1-bb6f-614ce128d558","block_type":"box","text":"Financial Accounting Standards Board Accounting Standards Codification Topic 820, “Fair Value Measurements and","page_number":161,"box":{"x":70,"y":506,"width":821,"height":11}},{"id":"c70b6827-60dc-4817-a286-7de62597f351","block_type":"box","text":"Disclosures” (“ASC 820”), which defines and establishes a framework for measuring fair value under US GAAP and","page_number":161,"box":{"x":70,"y":521,"width":818,"height":11}},{"id":"bce6b373-adbb-46ca-a3d5-5f2a552f7548","block_type":"box","text":"expands financial statement disclosure requirements relating to fair value measurements.","page_number":161,"box":{"x":69,"y":536,"width":641,"height":11}},{"id":"1fa31f88-d9ba-42d0-87af-96f7507eaa3a","block_type":"box","text":"Generally, ASC 820 and other accounting rules applicable to funds and various assets in which they invest are","page_number":161,"box":{"x":102,"y":559,"width":786,"height":11}},{"id":"8013c6aa-fd88-43b6-b32b-624a50ba39b4","block_type":"box","text":"evolving. Such changes may adversely affect a Fund. For example, the evolution of rules governing the determination","page_number":161,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"761c9dbf-49ef-40e5-9753-5a90c18a6e16","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":161,"box":{"x":69,"y":589,"width":780,"height":11}},{"id":"15c52513-1312-4225-bb32-481ab1755bf5","block_type":"box","text":"increase the cost and/or reduce the availability of third-par ty determinations of fair market value. This may in turn","page_number":161,"box":{"x":70,"y":604,"width":810,"height":11}},{"id":"963104ee-3c56-4eb2-8479-7c868e118b3e","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":161,"box":{"x":70,"y":619,"width":810,"height":11}},{"id":"7b0d5004-dc5e-4f5a-bffe-06fd87df0f74","block_type":"box","text":"par ty determination of fair market value.","page_number":161,"box":{"x":70,"y":634,"width":285,"height":11}},{"id":"abf8476e-b54c-44ff-a6dd-9c03e3031dd7","block_type":"box","text":"Computation of Offering Price Per Share","page_number":161,"box":{"x":69,"y":665,"width":292,"height":11}},{"id":"7053b33b-fd11-4bd9-9b65-84a0476d1d7f","block_type":"box","text":"See “Computation of Offering Price Per Share” in Par t I of a Fund’s SAI for an illustration of the computation of","page_number":161,"box":{"x":102,"y":687,"width":791,"height":11}},{"id":"935355bc-106b-4da7-95d6-f127797fd899","block_type":"box","text":"the offering price for shares of your Fund.","page_number":161,"box":{"x":68,"y":702,"width":295,"height":12}},{"id":"20bc0638-5c90-4a6a-bd07-75ccce5a4be7","block_type":"box","text":"PORTFOLIO TRANSACTIONS AND BROKERAGE","page_number":161,"box":{"x":303,"y":732,"width":373,"height":10}},{"id":"c214f42c-7c67-4569-9e99-19a71f8702b1","block_type":"box","text":"Transactions in Portfolio Securities","page_number":161,"box":{"x":68,"y":762,"width":257,"height":9}},{"id":"d2b1859d-e9b7-4f4e-8b8b-99037a6dbe9b","block_type":"box","text":"Subject to policies established by the Board of Directors, BlackRock is primarily responsible for the execution of","page_number":161,"box":{"x":102,"y":785,"width":798,"height":11}},{"id":"a76a994c-da12-488d-85e4-2b4bfea912cb","block_type":"box","text":"a Fund’s por tfolio transactions and the allocation of brokerage. BlackRock does not execute transactions through any","page_number":161,"box":{"x":69,"y":800,"width":839,"height":11}},{"id":"c7261da4-771c-4c3a-b462-38924ab957be","block_type":"box","text":"par ticular broker or dealer, but seeks to obtain the best net results for the Fund, taking into account cer tain factors","page_number":161,"box":{"x":70,"y":815,"width":822,"height":11}},{"id":"1d8598ff-6018-4ae4-9033-937a9876512c","block_type":"box","text":"set out below. While BlackRock generally seeks reasonable trade execution costs, a Fund does not necessarily pay","page_number":161,"box":{"x":69,"y":830,"width":820,"height":11}},{"id":"176409cb-849f-4c6c-a5d8-947775972e97","block_type":"box","text":"the lowest spread or commission available, and payment of the lowest commission or spread is not necessarily","page_number":161,"box":{"x":68,"y":845,"width":798,"height":11}},{"id":"763d9fcc-beba-48c4-9a04-276e256328c5","block_type":"box","text":"consistent with obtaining the best price and execution in par ticular transactions. Subject to applicable legal","page_number":161,"box":{"x":69,"y":860,"width":765,"height":12}},{"id":"0f542207-0656-42e6-8eaa-73d50e152917","block_type":"box","text":"requirements, BlackRock may select a broker based par tly upon brokerage or research services provided to","page_number":161,"box":{"x":69,"y":876,"width":768,"height":11}},{"id":"feddea06-68dc-426a-99b9-12fd8967fba6","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":161,"box":{"x":70,"y":891,"width":830,"height":11}},{"id":"a612abf5-8976-4348-b9f8-8dfc38de928e","block_type":"box","text":"II-124","page_number":161,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"5e3bd9d0-c2df-4982-8c2c-2a47e030f3bf","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":161,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c98bfb53-ebb3-4aef-b153-09dcfd31374d","block_type":"box","text":"commission than other brokers would charge if BlackRock determines in good faith that the commission is","page_number":162,"box":{"x":69,"y":45,"width":760,"height":11}},{"id":"cf099e69-53c0-476c-b09d-ff549af7d234","block_type":"box","text":"reasonable in relation to the services provided.","page_number":162,"box":{"x":69,"y":60,"width":336,"height":11}},{"id":"c7ae7a0f-7b9e-43ef-a414-a824c6582e76","block_type":"box","text":"In the case of Feeder Funds, because each Feeder Fund generally invests exclusively in beneficial interests of a","page_number":162,"box":{"x":102,"y":82,"width":794,"height":12}},{"id":"9c73af63-cea0-41f5-9938-0b139b145ca3","block_type":"box","text":"Master Por tfolio, it is expected that all transactions in por tfolio securities will be entered into by the Master Por tfolio.","page_number":162,"box":{"x":70,"y":98,"width":835,"height":11}},{"id":"e24dbe7e-384e-4b8a-b404-6e2b4e800345","block_type":"box","text":"In selecting brokers or dealers to execute por tfolio transactions, the Manager and sub-advisers seek to obtain","page_number":162,"box":{"x":102,"y":120,"width":784,"height":12}},{"id":"889db735-7bd3-443c-b0ff-583736deb3c3","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":162,"box":{"x":68,"y":135,"width":829,"height":12}},{"id":"ad5c75e3-358c-4baa-8b2e-b19386039a0b","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":162,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"882a2c14-46b2-419b-ac51-174f3a76776c","block_type":"box","text":"(ii) the desired timing of the transaction; (iii) BlackRock’s knowledge of the expected commission rates and spreads","page_number":162,"box":{"x":69,"y":166,"width":826,"height":11}},{"id":"ff29dba8-c36f-43c9-b04f-593d216df5ce","block_type":"box","text":"currently available; (iv) the activity existing and expected in the market for the par ticular security or instrument,","page_number":162,"box":{"x":69,"y":181,"width":789,"height":11}},{"id":"eb84f134-e104-4693-b8cf-274c8ba9672a","block_type":"box","text":"including any anticipated execution difficulties; (v) the full range of brokerage services provided; (vi) the broker’s or","page_number":162,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"d7ebe80c-722b-4ccd-b61d-1a3916a72d08","block_type":"box","text":"dealer’s capital; (vii) the quality of research and research services provided; (viii) the reasonableness of the","page_number":162,"box":{"x":69,"y":211,"width":769,"height":11}},{"id":"bbfa757e-c92f-4042-8a6f-1cd0e0e77ac6","block_type":"box","text":"commission, dealer spread or its equivalent for the specific transaction; and (ix) BlackRock’s knowledge of any actual","page_number":162,"box":{"x":69,"y":226,"width":837,"height":11}},{"id":"f8abd27d-6041-41ee-9a66-1543c4012d68","block_type":"box","text":"or apparent operational problems of a broker or dealer.","page_number":162,"box":{"x":69,"y":241,"width":391,"height":11}},{"id":"dd325d0e-7941-4e75-81a6-573767e61801","block_type":"box","text":"Section 28(e) of the Exchange Act (“Section 28(e)”) permits an investment adviser, under cer tain circumstances","page_number":162,"box":{"x":102,"y":264,"width":801,"height":11}},{"id":"4aa53854-3b60-4f27-8bf3-b67c21e79483","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":162,"box":{"x":68,"y":279,"width":802,"height":11}},{"id":"31e33747-432d-4e20-9842-c6dba2ece798","block_type":"box","text":"another broker or dealer would have charged for effecting the same transaction in recognition of the value of","page_number":162,"box":{"x":69,"y":294,"width":775,"height":11}},{"id":"4a98cef4-e1f6-440d-8e59-5ef121922644","block_type":"box","text":"brokerage and research services provided by that broker or dealer. This includes commissions paid on riskless","page_number":162,"box":{"x":69,"y":309,"width":790,"height":11}},{"id":"eb2ccc24-c224-464c-9ffc-460e8aa7ee46","block_type":"box","text":"principal transactions under cer tain conditions. Brokerage and research services include: (1) furnishing advice as to","page_number":162,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"5720df0b-8ead-443c-b3c0-d37d2fe54d8d","block_type":"box","text":"the value of securities, including pricing and appraisal advice, credit analysis, risk measurement analysis,","page_number":162,"box":{"x":68,"y":339,"width":753,"height":12}},{"id":"457fc278-8261-4138-a7c2-d8347080bbfc","block_type":"box","text":"per formance and other analysis, as well as the advisability of investing in, purchasing or selling securities, and the","page_number":162,"box":{"x":70,"y":355,"width":818,"height":11}},{"id":"50cfc8cb-6bce-4591-a4c6-70e6c80df946","block_type":"box","text":"availability of securities or purchasers or sellers of securities; (2) furnishing analyses and repor ts concerning issuers,","page_number":162,"box":{"x":69,"y":370,"width":837,"height":11}},{"id":"d1b29867-0775-42ab-9529-3db633033b65","block_type":"box","text":"industries, securities, economic factors and trends, por tfolio strategy, and the per formance of accounts; and","page_number":162,"box":{"x":70,"y":385,"width":775,"height":11}},{"id":"0a4f140f-7506-41c7-bfea-9e0894c07459","block_type":"box","text":"(3) effecting securities transactions and per forming functions incidental to securities transactions (such as","page_number":162,"box":{"x":69,"y":400,"width":764,"height":11}},{"id":"d7b0cf35-67a0-487c-bc2e-f472889e7ca6","block_type":"box","text":"clearance, settlement, and custody). BlackRock believes that access to independent investment research is","page_number":162,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"adea7f1b-bc66-4abf-81fa-9f42acb7007f","block_type":"box","text":"beneficial to its investment decision-making processes and, therefore, to the Funds.","page_number":162,"box":{"x":69,"y":430,"width":599,"height":11}},{"id":"a25708ad-da76-4ad2-96fb-65486fe3d2bb","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may par ticipate in client commission arrangements under which","page_number":162,"box":{"x":102,"y":453,"width":796,"height":11}},{"id":"605faa2a-f216-4890-b86b-48e51fa7632f","block_type":"box","text":"BlackRock may execute transactions through a broker-dealer and request that the broker-dealer allocate a por tion of","page_number":162,"box":{"x":70,"y":468,"width":829,"height":11}},{"id":"b670b2b1-e219-4ec4-9b7a-ed3f10c51d3d","block_type":"box","text":"the commissions or commission credits to another firm that provides research to BlackRock. BlackRock believes that","page_number":162,"box":{"x":68,"y":483,"width":839,"height":11}},{"id":"a2e83e0c-cec8-4a2a-b606-59177e68a8d7","block_type":"box","text":"research services obtained through soft dollar or commission sharing arrangements enhance its investment decision","page_number":162,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"37d05b4a-d3f7-40e1-8ea6-4b2065651470","block_type":"box","text":"making capabilities, thereby increasing the prospects for higher investment returns. BlackRock will engage only in","page_number":162,"box":{"x":69,"y":513,"width":809,"height":12}},{"id":"a731090d-8503-4583-a34e-296e9ee83833","block_type":"box","text":"soft dollar or commission sharing transactions that comply with the requirements of Section 28(e). Cer tain Funds","page_number":162,"box":{"x":69,"y":528,"width":808,"height":12}},{"id":"e17ab095-645d-4122-91c9-05431b308af1","block_type":"box","text":"may be subject to additional regulations, including MiFID II. Under MiFID II, EU investment managers, including BIL,","page_number":162,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"c2aa7fc1-edad-44de-8ceb-a0718803af9b","block_type":"box","text":"pay for any research out of their own resources and not through soft dollars or commission sharing arrangements.","page_number":162,"box":{"x":70,"y":559,"width":813,"height":11}},{"id":"50b172af-2bf6-45f7-b43d-b63e9b5360cb","block_type":"box","text":"BlackRock regularly evaluates the soft dollar products and services utilized, as well as the overall soft dollar and","page_number":162,"box":{"x":70,"y":574,"width":801,"height":11}},{"id":"b3cb174e-8725-4e15-abc3-abe7cb65b570","block_type":"box","text":"commission sharing arrangements to ensure that trades are executed by firms that are regarded as best able to","page_number":162,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"ddd1a7f0-389b-4b40-a007-4c5faa726ef9","block_type":"box","text":"execute trades for client accounts, while at the same time providing access to the research and other services","page_number":162,"box":{"x":69,"y":604,"width":790,"height":11}},{"id":"be94ec36-715c-4fa8-a5f7-09ecbc5ca50b","block_type":"box","text":"BlackRock views as impactful to its trading results.","page_number":162,"box":{"x":70,"y":619,"width":361,"height":11}},{"id":"46b51426-e035-4006-94ac-31095a0832e8","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may utilize soft dollars and related services, including research","page_number":162,"box":{"x":102,"y":642,"width":791,"height":11}},{"id":"5d4cdab6-1bc2-407b-acd3-a87326118e3c","block_type":"box","text":"(whether prepared by the broker-dealer or prepared by a third-par ty and provided to BlackRock by the broker-dealer)","page_number":162,"box":{"x":69,"y":657,"width":819,"height":11}},{"id":"4b228fe3-5e49-4053-9904-4e7b31ca38f8","block_type":"box","text":"and execution or brokerage services within applicable rules and BlackRock’s policies to the extent that such","page_number":162,"box":{"x":69,"y":672,"width":772,"height":11}},{"id":"6b3a64c4-8ffa-40fd-b4f7-0bab627af642","block_type":"box","text":"permitted services do not compromise BlackRock’s ability to seek to obtain best execution. In this regard, the","page_number":162,"box":{"x":70,"y":687,"width":785,"height":11}},{"id":"2ed6ce85-59bb-45e4-bcce-19bf7c3b63a5","block_type":"box","text":"por tfolio management investment and/or trading teams may consider a variety of factors, including the degree to","page_number":162,"box":{"x":70,"y":702,"width":806,"height":12}},{"id":"7f58eba5-0354-4e1b-b440-ef4cf733bd88","block_type":"box","text":"which the broker-dealer: (a) provides access to company management; (b) provides access to their analysts;","page_number":162,"box":{"x":68,"y":718,"width":772,"height":11}},{"id":"71005986-2ce2-4bf3-a4cc-398bcf53684d","block_type":"box","text":"(c) provides meaningful/insightful research notes on companies or other potential investments; (d) facilitates calls on","page_number":162,"box":{"x":69,"y":732,"width":838,"height":12}},{"id":"7a5d28ce-b82e-46cb-889a-1e5ac971e90e","block_type":"box","text":"which meaningful or insightful ideas about companies or potential investments are discussed; (e) facilitates","page_number":162,"box":{"x":68,"y":748,"width":769,"height":11}},{"id":"0ad4e95d-eeda-4fa1-8e50-f805e15ef95e","block_type":"box","text":"conferences at which meaningful or insightful ideas about companies or potential investments are discussed; or","page_number":162,"box":{"x":69,"y":763,"width":801,"height":11}},{"id":"ae479e53-c2ee-40ec-9a8d-e9534c331917","block_type":"box","text":"(f) provides research tools such as market data, financial analysis, and other third-par ty related research and","page_number":162,"box":{"x":69,"y":778,"width":778,"height":11}},{"id":"0d0dacb5-ae92-4b72-a739-0db9e96e788c","block_type":"box","text":"brokerage tools that aid in the investment process.","page_number":162,"box":{"x":69,"y":793,"width":363,"height":11}},{"id":"ddaf7066-d3b9-4f91-b18f-45d37e1ec8a3","block_type":"box","text":"Research-oriented services for which BlackRock, unless prohibited by applicable law, might pay with Fund","page_number":162,"box":{"x":102,"y":816,"width":749,"height":11}},{"id":"8e641464-e05a-4310-a54a-600757d4da84","block_type":"box","text":"commissions may be in written form or through direct contact with individuals and may include information as to","page_number":162,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"69bab084-c417-4a61-8a08-6b91d39b8f23","block_type":"box","text":"par ticular companies or industries and securities or groups of securities, as well as market, economic, or","page_number":162,"box":{"x":70,"y":846,"width":752,"height":11}},{"id":"4c5b46e6-f3aa-48e1-abbc-71a3cb468002","block_type":"box","text":"institutional advice and statistical information, political developments and technical market information that assists","page_number":162,"box":{"x":70,"y":861,"width":823,"height":11}},{"id":"939ba992-ed0c-4e41-93ff-a3a2ec054c3a","block_type":"box","text":"in the valuation of investments. Except as noted immediately below, research services furnished by brokers may be","page_number":162,"box":{"x":70,"y":876,"width":822,"height":11}},{"id":"07a646fc-6a5a-4eca-a519-8f999160f463","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":162,"box":{"x":69,"y":891,"width":840,"height":12}},{"id":"4160da7a-b8a6-438f-a5a3-c3c03b253ce1","block_type":"box","text":"that paid commissions to the broker providing such services. In some cases, research information received from","page_number":162,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"c0f036e3-a22f-42ed-8f90-dcea85875f37","block_type":"box","text":"II-125","page_number":162,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"1debd946-3c1f-47cf-8e8c-a138c632b8db","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":162,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f1327469-1277-4401-a530-e23bf16717a6","block_type":"box","text":"brokers by mutual fund management personnel, or personnel principally responsible for BlackRock’s individually","page_number":163,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"d3730aee-2897-4bdb-95a2-2210e3cefe3e","block_type":"box","text":"managed por tfolios, is not necessarily shared by and between such personnel. Any investment advisory or other fees","page_number":163,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"80774fee-9984-4652-b02a-561e82e8175e","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":163,"box":{"x":70,"y":75,"width":832,"height":11}},{"id":"8c8608d3-9533-4f3a-9e8e-0e674c9cd345","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":163,"box":{"x":70,"y":90,"width":798,"height":11}},{"id":"7c810ec1-7190-4a50-8a48-51173bc1f3dd","block_type":"box","text":"occurs BlackRock makes a good faith allocation, under all the circumstances, between the research and non","page_number":163,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"fdc75982-b274-4c7c-a385-0e62b78d3014","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":163,"box":{"x":69,"y":120,"width":827,"height":12}},{"id":"ea37e7a2-349c-442f-8af9-dbb4f9558318","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":163,"box":{"x":69,"y":135,"width":821,"height":12}},{"id":"2d45f1e5-5d70-4a58-828f-1f1f82ef3454","block_type":"box","text":"non-research purposes. In making this good faith allocation, BlackRock faces a potential conflict of interest, but","page_number":163,"box":{"x":69,"y":150,"width":797,"height":12}},{"id":"12cb8be4-0806-4f44-b4ee-878e607438b1","block_type":"box","text":"BlackRock believes that its allocation procedures are reasonably designed to ensure that it appropriately allocates","page_number":163,"box":{"x":70,"y":166,"width":815,"height":11}},{"id":"51708e6e-9d9b-4302-b823-8793bbbd33a3","block_type":"box","text":"the anticipated use of such services to their research and non-research uses.","page_number":163,"box":{"x":68,"y":181,"width":555,"height":11}},{"id":"a5a938f6-b3fa-42f5-90fc-5ed1f361cf8d","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":163,"box":{"x":102,"y":203,"width":802,"height":12}},{"id":"0ed565c6-2e52-43e2-941d-3d82e173f085","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":163,"box":{"x":68,"y":218,"width":825,"height":12}},{"id":"a1fa0dfb-a418-48da-8d58-83d6a5ec64bb","block_type":"box","text":"or agree with clients to have research costs paid by clients through research payment accounts that are directly","page_number":163,"box":{"x":69,"y":234,"width":798,"height":11}},{"id":"4f5a64bb-5209-4087-923e-b64422108b0b","block_type":"box","text":"funded or funded by a specific client research charge collected alongside execution commissions, provided that the","page_number":163,"box":{"x":68,"y":249,"width":824,"height":11}},{"id":"04bdddc3-de20-48bb-96f1-f6060b77f1ba","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":163,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"60c607c8-b679-4f42-96e0-cafedc1c25c8","block_type":"box","text":"resources and not through soft dollars or commission sharing arrangements.","page_number":163,"box":{"x":69,"y":279,"width":547,"height":11}},{"id":"6d2403ca-9013-4122-9050-e4ff65817644","block_type":"box","text":"Payments of commissions to brokers who are affiliated persons of the Fund, or the Master Por tfolio with respect","page_number":163,"box":{"x":102,"y":302,"width":804,"height":11}},{"id":"e3ef35da-a686-4601-98bc-c20fefce00e8","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":163,"box":{"x":68,"y":317,"width":806,"height":11}},{"id":"59a9cf24-ab9d-40c5-980f-2042dc47e96b","block_type":"box","text":"Investment Company Act. Subject to policies established by the Board of Directors of the Master Por tfolio, BlackRock","page_number":163,"box":{"x":70,"y":332,"width":836,"height":11}},{"id":"932b4175-a94c-4d54-bc48-07602ee3b6a6","block_type":"box","text":"is primarily responsible for the execution of the Master Por tfolio’s por tfolio transactions and the allocation of","page_number":163,"box":{"x":70,"y":347,"width":777,"height":11}},{"id":"2fa6b71e-347b-43d1-b693-452ee4b9ee8e","block_type":"box","text":"brokerage.","page_number":163,"box":{"x":69,"y":362,"width":74,"height":11}},{"id":"28e3c2f7-2531-481a-977e-4fddf1fb3a99","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":163,"box":{"x":102,"y":385,"width":781,"height":11}},{"id":"7fb56e1f-4637-4641-bf23-302c5249feab","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":163,"box":{"x":68,"y":400,"width":810,"height":11}},{"id":"fbe99dd0-db40-4ce9-b8e3-0238aea19917","block_type":"box","text":"research services. FINRA has adopted rules expressly permitting these types of arrangements under cer tain","page_number":163,"box":{"x":69,"y":415,"width":771,"height":11}},{"id":"23de541e-5774-4193-a2d3-eb116487fd71","block_type":"box","text":"circumstances. Generally, the broker will provide research “credits” in these situations at a rate that is higher than","page_number":163,"box":{"x":69,"y":430,"width":818,"height":11}},{"id":"e85e9f02-64c7-4546-ba3a-38ac2075ee75","block_type":"box","text":"that available for typical secondary market transactions. These arrangements may not fall within the safe harbor of","page_number":163,"box":{"x":68,"y":445,"width":821,"height":12}},{"id":"616e3558-d0c3-47eb-82bd-6e085777fa65","block_type":"box","text":"Section 28(e).","page_number":163,"box":{"x":69,"y":460,"width":99,"height":11}},{"id":"889b3bdb-3eb6-4cf4-b438-285fd97db880","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":163,"box":{"x":102,"y":483,"width":755,"height":9}},{"id":"ecafb8b9-2c29-4273-9f7f-43757858d06e","block_type":"box","text":"brokers or dealers to execute por tfolio transactions for a Fund; however, whether or not a par ticular broker or dealer","page_number":163,"box":{"x":69,"y":498,"width":828,"height":11}},{"id":"a6a62f78-3460-4b74-af00-400e1abe9e5e","block_type":"box","text":"sells shares of the mutual funds advised by BlackRock neither qualifies nor disqualifies such broker or dealer to","page_number":163,"box":{"x":69,"y":513,"width":799,"height":11}},{"id":"aa1ae9ec-c34e-4b67-9a9b-bd40eda359f9","block_type":"box","text":"execute transactions for those mutual funds.","page_number":163,"box":{"x":69,"y":528,"width":319,"height":9}},{"id":"3f77e29b-a559-4f95-9784-603c771530dd","block_type":"box","text":"Each Fund anticipates that its brokerage transactions involving foreign securities generally will be conducted","page_number":163,"box":{"x":102,"y":551,"width":770,"height":11}},{"id":"984f6b0b-5341-4037-b82d-7e18b68eb642","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":163,"box":{"x":70,"y":566,"width":825,"height":11}},{"id":"440014c3-c5ce-4646-850b-7d0491a167d2","block_type":"box","text":"in the form of depositary receipts, or other securities conver tible into foreign equity securities. Depositary receipts","page_number":163,"box":{"x":70,"y":581,"width":816,"height":12}},{"id":"5ad67dff-af65-44fb-8ee1-64b2925d014f","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":163,"box":{"x":69,"y":597,"width":805,"height":11}},{"id":"771c6298-0480-4366-8af5-2c0a023ab511","block_type":"box","text":"American Depositary Receipts, like other securities traded in the United States, will be subject to negotiated","page_number":163,"box":{"x":68,"y":612,"width":773,"height":11}},{"id":"cbce6410-cf48-47d1-828e-a9689c5f4f36","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":163,"box":{"x":69,"y":627,"width":798,"height":11}},{"id":"ad82904d-9188-4aab-91e3-8d81fb9d7ae9","block_type":"box","text":"intends to manage its por tfolio so as to give reasonable assurance that it will be able to obtain U.S. dollars to the","page_number":163,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"597147af-67c7-41d4-a2eb-3f56bdd92f72","block_type":"box","text":"extent necessary to meet anticipated redemptions. Under present conditions, it is not believed that these","page_number":163,"box":{"x":69,"y":657,"width":754,"height":11}},{"id":"264cd5c4-225f-4650-a65c-f329d793cc31","block_type":"box","text":"considerations will have a significant effect on a Fund’s por tfolio strategies.","page_number":163,"box":{"x":69,"y":672,"width":540,"height":11}},{"id":"8b0d060e-63d4-44b9-bd5c-e8b817374e43","block_type":"box","text":"See “Por tfolio Transactions and Brokerage” in the SAI for information about the brokerage commissions paid by","page_number":163,"box":{"x":102,"y":695,"width":798,"height":11}},{"id":"1bafab9c-caf2-4219-be22-904921e61a23","block_type":"box","text":"your Fund, including commissions paid to affiliates, if any, for the periods indicated.","page_number":163,"box":{"x":68,"y":710,"width":597,"height":11}},{"id":"a018f714-633e-4e2e-b51f-fb6930dc659d","block_type":"box","text":"Each Fund may invest in cer tain securities traded in the OTC market and intends to deal directly with the dealers","page_number":163,"box":{"x":102,"y":733,"width":802,"height":11}},{"id":"597b14d7-9c21-4b82-ad61-cb7c1f9d3626","block_type":"box","text":"who make a market in the par ticular securities, except in those circumstances in which better prices and execution","page_number":163,"box":{"x":68,"y":748,"width":822,"height":11}},{"id":"5dbc552f-b38a-4b7e-91eb-efa685ba72d2","block_type":"box","text":"are available elsewhere. Under the Investment Company Act, persons affiliated with a Fund and persons who are","page_number":163,"box":{"x":69,"y":763,"width":804,"height":11}},{"id":"aac584d2-e260-4c77-a803-8a9823efb43e","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":163,"box":{"x":69,"y":778,"width":832,"height":11}},{"id":"ec5c13a4-798b-4b9d-b1ee-f7e9c8678df3","block_type":"box","text":"of securities unless a permissive order allowing such transactions is obtained from the Commission. Since","page_number":163,"box":{"x":69,"y":793,"width":762,"height":11}},{"id":"b5591744-17ef-4c71-8097-e81eb04d959e","block_type":"box","text":"transactions in the OTC market usually involve transactions with the dealers acting as principal for their own","page_number":163,"box":{"x":68,"y":808,"width":770,"height":11}},{"id":"dbb3433e-f7e4-4aa8-a249-5a1907336cf0","block_type":"box","text":"accounts, the Funds will not deal with affiliated persons in connection with such transactions. However, an affiliated","page_number":163,"box":{"x":69,"y":823,"width":828,"height":11}},{"id":"83b09b34-d758-4427-a8a1-ea93efe17600","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":163,"box":{"x":70,"y":838,"width":814,"height":12}},{"id":"a9aa4ec6-54c4-4549-87b9-35c8e7053608","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":163,"box":{"x":69,"y":853,"width":825,"height":12}},{"id":"06bd8d93-1e41-4fb0-8f79-cb6f4a3736a9","block_type":"box","text":"commission received by non-affiliated brokers in connection with comparable transactions.","page_number":163,"box":{"x":69,"y":869,"width":645,"height":11}},{"id":"301f1d40-afa2-4a8f-ad11-a5520316f523","block_type":"box","text":"OTC issues, including most fixed-income securities such as corporate debt and U.S. Government Securities, are","page_number":163,"box":{"x":102,"y":891,"width":797,"height":12}},{"id":"84dd6446-2081-42b9-9458-30fdc6ea37e3","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":163,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"45092745-f16a-419b-9b7e-448ff9257159","block_type":"box","text":"II-126","page_number":163,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"016ac35d-4b36-4dcf-89e9-7348c22de195","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":163,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4f637d00-411b-46ff-aab6-5b03ded3ce23","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":164,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"2096ade0-97b1-4232-a7d1-abdb28724188","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":164,"box":{"x":69,"y":60,"width":833,"height":11}},{"id":"b71db418-e4cb-424c-a9d2-eb19140e2be5","block_type":"box","text":"domestic securities will generally include a “spread,” which is the difference between the prices at which the dealer","page_number":164,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"9e9c1c17-7ff4-4937-a1e2-b110d1f8237b","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":164,"box":{"x":70,"y":90,"width":730,"height":11}},{"id":"aa31b061-0e55-4794-b131-e63e24b591a6","block_type":"box","text":"Purchases of money market instruments by a Fund are made from dealers, underwriters and issuers. The Funds","page_number":164,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"5514d690-0dd1-4142-988a-aeff464ac5e9","block_type":"box","text":"do not currently expect to incur any brokerage commission expense on such transactions because money market","page_number":164,"box":{"x":69,"y":128,"width":807,"height":11}},{"id":"780f7754-bbe8-442b-8fef-56d6580b8924","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":164,"box":{"x":70,"y":143,"width":812,"height":11}},{"id":"1cf33d60-95ae-4b1f-a3a2-e5e7104e4db3","block_type":"box","text":"stated commission. The price of the security, however, usually includes a profit to the dealer. Each money market","page_number":164,"box":{"x":69,"y":158,"width":807,"height":11}},{"id":"9902beab-05ba-4a5b-8747-031358a028b1","block_type":"box","text":"fund intends to purchase only securities with remaining maturities of 397 days or less as determined in accordance","page_number":164,"box":{"x":68,"y":173,"width":827,"height":11}},{"id":"80e20cc6-efc9-4218-b0ab-cae8f20e4576","block_type":"box","text":"with the rules of the Commission. As a result, the por tfolio turnover rates of a money market fund will be relatively","page_number":164,"box":{"x":68,"y":188,"width":817,"height":11}},{"id":"99245233-6965-4a7e-ba5d-5d0efb8b622f","block_type":"box","text":"high. However, because brokerage commissions will not normally be paid with respect to investments made by a","page_number":164,"box":{"x":69,"y":204,"width":802,"height":11}},{"id":"fba4d70f-69c1-44d5-8009-4adae9122e30","block_type":"box","text":"money market fund, the turnover rates should not adversely affect the Fund’s NAVs or net income.","page_number":164,"box":{"x":69,"y":218,"width":700,"height":12}},{"id":"b9efff0b-7a6b-451d-a2fb-32bb5974042c","block_type":"box","text":"Securities purchased in underwritten offerings include a fixed amount of compensation to the underwriter,","page_number":164,"box":{"x":102,"y":241,"width":756,"height":11}},{"id":"6a42df21-d272-4d71-b45e-27e5429ebda0","block_type":"box","text":"generally referred to as the underwriter’s concession or discount. When offered securities are purchased or sold","page_number":164,"box":{"x":68,"y":256,"width":804,"height":12}},{"id":"e736b31c-a66e-48ad-90ae-85044eeee996","block_type":"box","text":"directly from or to an issuer, no commissions or discounts are paid except where required by local markets.","page_number":164,"box":{"x":69,"y":271,"width":766,"height":12}},{"id":"89227e77-f3bd-4be0-9429-30ea39f4a459","block_type":"box","text":"The Manager or sub-advisers may seek to obtain an under taking from issuers of commercial paper or dealers","page_number":164,"box":{"x":101,"y":294,"width":780,"height":11}},{"id":"41a3928b-f8b0-4b9c-8639-fc83559ab7ed","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":164,"box":{"x":69,"y":309,"width":826,"height":11}},{"id":"910d59a5-5483-4eba-b4d9-3dae03a4d39f","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":164,"box":{"x":69,"y":324,"width":806,"height":11}},{"id":"434888fc-a5e6-4453-8ff0-130a4ef15985","block_type":"box","text":"anticipated need for liquidity makes such action desirable. Any such repurchase prior to maturity reduces the","page_number":164,"box":{"x":69,"y":339,"width":776,"height":12}},{"id":"d4d3bc79-84f9-4ce9-a666-f05768ddec1a","block_type":"box","text":"possibility that a Fund would incur a capital loss in liquidating commercial paper, especially if interest rates have","page_number":164,"box":{"x":70,"y":355,"width":800,"height":11}},{"id":"9645c618-f7b0-42e5-af0e-8a9c5e4c9191","block_type":"box","text":"risen since acquisition of such commercial paper.","page_number":164,"box":{"x":69,"y":370,"width":352,"height":11}},{"id":"09f9cfb1-4e9e-41c8-8f71-68e26c1d14dd","block_type":"box","text":"Investment decisions for each Fund and for other investment accounts managed by the Manager or sub-advisers","page_number":164,"box":{"x":102,"y":392,"width":800,"height":12}},{"id":"df78826f-8461-4b70-8419-33a9efc052ac","block_type":"box","text":"are made independently of each other in light of differing conditions. BlackRock allocates investments among client","page_number":164,"box":{"x":69,"y":407,"width":824,"height":12}},{"id":"51fe1623-46da-4df8-8bca-14d51144ecf0","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":164,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"c2aad1e2-01d4-4977-a21f-c385643e747d","block_type":"box","text":"These factors include: (i) investment objectives or strategies for par ticular accounts, including sector, industry,","page_number":164,"box":{"x":68,"y":438,"width":788,"height":11}},{"id":"65ed11f7-225d-4e16-9a74-fbda38634701","block_type":"box","text":"country or region and capitalization weightings, (ii) tax considerations of an account, (iii) risk or investment","page_number":164,"box":{"x":69,"y":453,"width":759,"height":11}},{"id":"107c737e-b4ab-4dd5-a948-248933eedd5a","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":164,"box":{"x":69,"y":468,"width":780,"height":11}},{"id":"1c105b10-e1d9-450d-bcee-e4bdd596189c","block_type":"box","text":"available investment, (vi) cash availability and liquidity requirements for accounts, (vii) regulatory restrictions,","page_number":164,"box":{"x":69,"y":483,"width":777,"height":11}},{"id":"b7c28cd7-7b9f-4cdc-9a30-96f7cddf650b","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":164,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"9c79b4d0-1e8d-4a42-b54d-3fa8f06883d0","block_type":"box","text":"approved by BlackRock’s general counsel. Moreover, investments may not be allocated to one client account over","page_number":164,"box":{"x":69,"y":514,"width":811,"height":11}},{"id":"1fe5ad18-8fa5-433e-bb8e-f46bfd0d6221","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":164,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"d31fc019-e817-48eb-bb65-7bdfe6eb74e8","block_type":"box","text":"generate higher fees paid by one client account over another or to produce greater per formance compensation to","page_number":164,"box":{"x":68,"y":543,"width":808,"height":12}},{"id":"9c5feae5-6838-422c-96a4-7b08fbad985e","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":164,"box":{"x":70,"y":559,"width":832,"height":11}},{"id":"73b24e69-eae0-4959-8c5c-78304fc077d6","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":164,"box":{"x":70,"y":574,"width":836,"height":11}},{"id":"e2b8e905-23be-4efe-8e20-0b5565a951a1","block_type":"box","text":"or (v) to manage or equalize investment per formance among different client accounts.","page_number":164,"box":{"x":69,"y":589,"width":613,"height":11}},{"id":"3072448e-4ed0-4210-8f9e-cdbb6f6af121","block_type":"box","text":"Equity securities will generally be allocated among client accounts within the same investment mandate on a pro","page_number":164,"box":{"x":102,"y":612,"width":802,"height":11}},{"id":"0f0b866c-8fb5-465f-93bc-ca8b44aada3f","block_type":"box","text":"rata basis. All allocations of equity securities will be subject, where relevant, to share minimums established for","page_number":164,"box":{"x":69,"y":627,"width":800,"height":11}},{"id":"5dae0acf-ee02-4142-a034-f79701048b8e","block_type":"box","text":"accounts and compliance constraints.","page_number":164,"box":{"x":69,"y":642,"width":269,"height":11}},{"id":"1ed59baa-81d9-4fb0-ad12-9648f385d45f","block_type":"box","text":"Initial public offerings of securities may be over-subscribed and subsequently trade at a premium in the","page_number":164,"box":{"x":102,"y":664,"width":736,"height":12}},{"id":"c3004a19-9a51-4345-a2c9-f46364b1b99e","block_type":"box","text":"secondary market. In these situations, the supply of securities available for client accounts is often less than the","page_number":164,"box":{"x":69,"y":680,"width":808,"height":11}},{"id":"79e1da46-48c4-4477-b160-3ea9359bb30f","block_type":"box","text":"amount of securities the accounts would otherwise take. In order to allocate these investments fairly and equitably","page_number":164,"box":{"x":69,"y":695,"width":821,"height":11}},{"id":"10ea37ef-c340-4ec1-8363-33a90b7b918b","block_type":"box","text":"among client accounts over time, each por tfolio manager or a member of his or her respective investment team will","page_number":164,"box":{"x":69,"y":710,"width":823,"height":11}},{"id":"363ab6eb-8696-4f36-847f-67af85858885","block_type":"box","text":"indicate to BlackRock’s trading desk their level of interest in a par ticular offering with respect to eligible client","page_number":164,"box":{"x":70,"y":725,"width":783,"height":11}},{"id":"9d30dc1b-e753-4666-8970-6aaa4bb64ec9","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":164,"box":{"x":69,"y":740,"width":793,"height":11}},{"id":"d86f91a8-4a2c-4919-a6cb-4e44cf604d32","block_type":"box","text":"eligible for par ticular client accounts that are managed by por tfolio teams who have indicated interest in the offering","page_number":164,"box":{"x":69,"y":755,"width":831,"height":11}},{"id":"f7e858b3-b6dd-4759-a413-dca7114b3b69","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":164,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"0c1e8744-39c3-462b-bf97-b5c23d506519","block_type":"box","text":"the case of international equity securities, the country where the offering is taking place and the investment mandate","page_number":164,"box":{"x":68,"y":785,"width":839,"height":12}},{"id":"391dfbd3-e480-4503-9476-a6570af43b2e","block_type":"box","text":"of the client account. Generally, shares received during the initial public offering will be allocated among par ticipating","page_number":164,"box":{"x":69,"y":801,"width":835,"height":11}},{"id":"5012ccd4-a37a-469c-8914-79380ac7e5e0","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":164,"box":{"x":69,"y":816,"width":819,"height":11}},{"id":"8743e47b-e36e-491a-a431-850c9e444154","block_type":"box","text":"allocated among all accounts for which the investment is eligible, por tfolio managers may rotate such investment","page_number":164,"box":{"x":69,"y":831,"width":808,"height":11}},{"id":"fe989002-7555-4a6d-ac32-57d42767e55e","block_type":"box","text":"oppor tunities among one or more accounts so long as the rotation system provides for fair access for all client","page_number":164,"box":{"x":69,"y":846,"width":791,"height":11}},{"id":"b86c4bd2-b27d-4f7c-be77-2d1d2ee38068","block_type":"box","text":"accounts over time. Other allocation methodologies that are considered by BlackRock to be fair and equitable to","page_number":164,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"dafbf9e0-2618-4207-9cd8-387c41e414c6","block_type":"box","text":"clients may be used as well.","page_number":164,"box":{"x":69,"y":876,"width":200,"height":11}},{"id":"463fac89-60f5-4e8d-acab-9ffdb7a43a53","block_type":"box","text":"II-127","page_number":164,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"30a87313-9659-4ce3-9e07-1cb8a1a3d151","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":164,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c110f990-9558-40c6-bb15-1c292f49d380","block_type":"box","text":"Because different accounts may have differing investment objectives and policies, BlackRock may buy and sell","page_number":165,"box":{"x":102,"y":45,"width":789,"height":11}},{"id":"e14ca1f9-6c98-499e-9204-ea2dbf7acda2","block_type":"box","text":"the same securities at the same time for different clients based on the par ticular investment objective, guidelines","page_number":165,"box":{"x":68,"y":60,"width":815,"height":11}},{"id":"7c817618-5c41-4468-8a15-cf255a65f3de","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":165,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"f6ddd0f2-1fd9-4ad3-95a2-81654659d61f","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":165,"box":{"x":68,"y":90,"width":833,"height":11}},{"id":"e841c68b-3c60-4344-8d91-e7653c374c5d","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":165,"box":{"x":69,"y":105,"width":829,"height":11}},{"id":"15e63547-e3b9-49ec-a2ed-282b876b7338","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":165,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"7d1dcd65-e3e3-44e8-abd0-05786fe4a839","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":165,"box":{"x":69,"y":135,"width":806,"height":11}},{"id":"1a1050b2-6b11-4092-b795-49fba6d67899","block_type":"box","text":"adversely impacting other BlackRock clients that still hold the security. If purchases or sales of securities arise for","page_number":165,"box":{"x":69,"y":150,"width":814,"height":12}},{"id":"79d46217-e623-4679-b5cd-511533d3dc26","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":165,"box":{"x":69,"y":166,"width":836,"height":9}},{"id":"7880e005-eadf-41df-b6a0-7f636baa13bf","block_type":"box","text":"affiliate act as investment manager, transactions in such securities will be made, insofar as feasible, for the","page_number":165,"box":{"x":69,"y":181,"width":773,"height":11}},{"id":"c89ee933-5880-44eb-bb65-7b719281906c","block_type":"box","text":"respective funds and clients in a manner deemed equitable to all.","page_number":165,"box":{"x":69,"y":196,"width":467,"height":11}},{"id":"0b88d94c-fb8f-4cd2-8479-494ed252b9e0","block_type":"box","text":"In cer tain instances, BlackRock may find it efficient for purposes of seeking to obtain best execution, to","page_number":165,"box":{"x":102,"y":218,"width":741,"height":12}},{"id":"b1241901-fe18-483c-92b9-d5ff8b11b853","block_type":"box","text":"aggregate cer tain contemporaneous purchases or sale orders of its advisory accounts. In general, all","page_number":165,"box":{"x":69,"y":234,"width":721,"height":11}},{"id":"5b4d0a09-8ec9-41e2-ae4c-4149c2486130","block_type":"box","text":"contemporaneous trades for client accounts under management by the same por tfolio manager or investment team","page_number":165,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"893dd1c3-026e-4ce8-9456-6dfd3cc642cb","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":165,"box":{"x":68,"y":264,"width":795,"height":11}},{"id":"b022a3f2-f360-4766-9260-adf7f0710809","block_type":"box","text":"oppor tunity to achieve a more favorable execution at a potentially lower execution cost. The costs associated with an","page_number":165,"box":{"x":69,"y":279,"width":834,"height":11}},{"id":"b4475daf-0d1d-491d-9b48-7d804bcf5d37","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":165,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"62a4ebae-4604-448f-b216-08da6ce5827c","block_type":"box","text":"par ticular por tfolio manager or management team is filled at several different prices through multiple trades, all","page_number":165,"box":{"x":70,"y":309,"width":796,"height":11}},{"id":"4750cfd5-f993-4e9c-82e6-396035a64935","block_type":"box","text":"accounts par ticipating in the order will receive the average price except in the case of cer tain international markets","page_number":165,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"cf6a2f6e-e3b3-40e1-82fa-c419ae75ebbd","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":165,"box":{"x":68,"y":339,"width":819,"height":12}},{"id":"8717b6e7-d170-47f2-84eb-81e926dac81a","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":165,"box":{"x":70,"y":355,"width":771,"height":11}},{"id":"a514b229-7c45-41fc-a0ca-f20b9c8eb8b1","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":165,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"0dbaa8fe-3394-456d-a209-0cd1d9725ca4","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":165,"box":{"x":68,"y":385,"width":835,"height":11}},{"id":"98041698-19cb-48d4-bd7a-3045aabeabb7","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":165,"box":{"x":68,"y":400,"width":817,"height":11}},{"id":"9e108036-b330-424e-88dd-15c9be6ebd8f","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":165,"box":{"x":68,"y":415,"width":823,"height":11}},{"id":"98a1e534-225d-4fd2-90c4-96c975bc1971","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":165,"box":{"x":69,"y":430,"width":803,"height":11}},{"id":"a150a0ae-d934-4f27-9fe4-b103e361fb19","block_type":"box","text":"A Fund will not purchase securities during the existence of any underwriting or selling group relating to such","page_number":165,"box":{"x":101,"y":453,"width":767,"height":11}},{"id":"989b2887-b67b-4276-b369-4844959a2b73","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":165,"box":{"x":69,"y":468,"width":826,"height":11}},{"id":"f2d95f44-b646-4d2a-8eeb-10b98e031cf2","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":165,"box":{"x":69,"y":483,"width":816,"height":11}},{"id":"f3e4d4db-ce1e-4a5c-9f64-b23d71bfb43d","block_type":"box","text":"Investment Company Act. In no instance will por tfolio securities be purchased from or sold to BlackRock, BRIL or any","page_number":165,"box":{"x":70,"y":498,"width":833,"height":11}},{"id":"6c3855c8-1822-4a86-a39f-2261a3e64431","block_type":"box","text":"affiliated person of the foregoing entities except as permitted by Commission exemptive order or by applicable law.","page_number":165,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"cdbf010a-9c43-44de-9112-06d42c3e42a3","block_type":"box","text":"A Fund’s purchase and sale orders for securities may be combined with those of other investment companies,","page_number":165,"box":{"x":101,"y":536,"width":786,"height":11}},{"id":"2838635c-b9bd-4e56-8df2-0f4f9edb36ce","block_type":"box","text":"clients or accounts that BlackRock manages or advises. If purchases or sales of por tfolio securities of a Fund and","page_number":165,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"f97ba1bd-b752-477d-a245-6eed482f3384","block_type":"box","text":"one or more other accounts managed or advised by BlackRock are considered at or about the same time,","page_number":165,"box":{"x":69,"y":566,"width":751,"height":11}},{"id":"4beb1afc-c7d9-4a3e-9e59-dd39eecf9177","block_type":"box","text":"transactions in such securities are allocated among the Fund and the other accounts in a manner deemed equitable","page_number":165,"box":{"x":68,"y":582,"width":829,"height":11}},{"id":"dd39946c-5843-426c-b194-59f07ecf34bf","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":165,"box":{"x":68,"y":596,"width":799,"height":12}},{"id":"9d79a72d-5818-4b9d-8c19-822f5cb9bcba","block_type":"box","text":"security as far as a Fund is concerned. However, in other cases, it is possible that the ability to par ticipate in volume","page_number":165,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"22d61bf9-ca40-4b29-b255-bad005eaecec","block_type":"box","text":"transactions and to negotiate lower transaction costs will be beneficial to the Fund. BlackRock may deal, trade and","page_number":165,"box":{"x":68,"y":627,"width":820,"height":11}},{"id":"e8e5efd2-c47c-417e-a93c-7336d9292cc1","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":165,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"0cc21606-6de2-4cd3-9693-a7f0b578a69b","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":165,"box":{"x":69,"y":657,"width":781,"height":10}},{"id":"032d19ff-2745-47bc-8415-6c046a8daf2d","block_type":"box","text":"conformity with the Investment Company Act and Commission rules and regulations. Under these provisions, any","page_number":165,"box":{"x":69,"y":672,"width":805,"height":11}},{"id":"0d6aa27e-1e19-4db9-9339-0b6c7ee9cadb","block_type":"box","text":"commissions paid to affiliated brokers or dealers must be reasonable and fair compared to the commissions charged","page_number":165,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"d2c49f80-dfa4-40af-b8a8-14c8aa3d5edf","block_type":"box","text":"by other brokers or dealers in comparable transactions. A Fund will not deal with affiliates in principal transactions","page_number":165,"box":{"x":69,"y":702,"width":815,"height":11}},{"id":"2e3ce5fc-0363-4e09-b660-5c3ee6f23573","block_type":"box","text":"unless permitted by applicable Commission rules or regulations, or by Commission exemptive order.","page_number":165,"box":{"x":69,"y":718,"width":713,"height":11}},{"id":"434b3c00-0f25-4302-b2f5-59299ab07ae5","block_type":"box","text":"Portfolio Turnover","page_number":165,"box":{"x":69,"y":748,"width":129,"height":9}},{"id":"f6a209b6-1b6d-45ec-aa5c-57967551bd66","block_type":"box","text":"The por tfolio turnover rate is calculated by dividing the lesser of a Fund’s annual sales or purchases of por tfolio","page_number":165,"box":{"x":101,"y":770,"width":798,"height":12}},{"id":"b01e531a-209f-4f3c-94a3-212efb4ab47f","block_type":"box","text":"securities (exclusive of purchases or sales of U.S. Government Securities and all other securities whose maturities at","page_number":165,"box":{"x":69,"y":785,"width":839,"height":11}},{"id":"3d84a55a-51dc-4ecf-b450-4e17597feb4f","block_type":"box","text":"the time of acquisition were one year or less) by the monthly average value of the securities in the por tfolio during","page_number":165,"box":{"x":68,"y":801,"width":814,"height":11}},{"id":"5b300035-8e9c-4ba3-b023-acf5d3210a50","block_type":"box","text":"the year. A high rate of por tfolio turnover results in cer tain tax consequences, such as increased capital gain","page_number":165,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"e721b919-8163-4864-b4df-05bfed4792e2","block_type":"box","text":"dividends and/or ordinary income dividends, and in correspondingly greater transaction costs in the form of dealer","page_number":165,"box":{"x":69,"y":831,"width":818,"height":11}},{"id":"d5e21c5e-85eb-469a-98ae-0eaacc49cb26","block_type":"box","text":"spreads and brokerage commissions, which are borne directly by a Fund.","page_number":165,"box":{"x":69,"y":846,"width":519,"height":11}},{"id":"95b63ce0-171d-4190-b0c1-c28c1c61e443","block_type":"box","text":"II-128","page_number":165,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"86712b37-56c3-4edc-914d-7dac6e4ac641","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":165,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1f4463fb-376c-48f5-81f3-c2ca625c3582","block_type":"box","text":"DIVIDENDS AND TAXES","page_number":166,"box":{"x":396,"y":45,"width":186,"height":10}},{"id":"ca275f7a-4271-457e-8633-8f64548c107d","block_type":"box","text":"Dividends","page_number":166,"box":{"x":69,"y":76,"width":69,"height":8}},{"id":"0cec73b1-7654-4e5c-8506-bcd99e1213c9","block_type":"box","text":"Each Fund intends to distribute substantially all of its net investment income, if any. Dividends from such net","page_number":166,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"167cd437-b994-43ed-8088-d7cfe4cab15d","block_type":"box","text":"investment income are paid as set for th in each Fund’s Prospectus. Each Fund also intends to distribute all net","page_number":166,"box":{"x":70,"y":113,"width":795,"height":11}},{"id":"669f8618-7fcd-4562-a70d-2cc544222338","block_type":"box","text":"realized capital gains, if any, as set for th in such Fund’s Prospectus. From time to time, a Fund may declare a special","page_number":166,"box":{"x":69,"y":128,"width":837,"height":12}},{"id":"8a2089a9-93ab-45d7-a7ab-75f75fee51c7","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 cer tain","page_number":166,"box":{"x":69,"y":143,"width":836,"height":12}},{"id":"c950f6f5-4b31-4a82-9979-524fd5530bf2","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":166,"box":{"x":70,"y":159,"width":822,"height":11}},{"id":"171315d5-cd50-4f00-a65c-c6698de47651","block_type":"box","text":"net income from cer tain foreign currency transactions, such income will be distributed at least annually.","page_number":166,"box":{"x":69,"y":174,"width":739,"height":11}},{"id":"dcba47de-2433-4c04-9008-b4d35a378ff6","block_type":"box","text":"For information concerning the manner in which dividends may be reinvested automatically in shares of each","page_number":166,"box":{"x":102,"y":196,"width":773,"height":12}},{"id":"42362a6b-3b09-4417-b244-1ad6f657e68f","block_type":"box","text":"Fund, as applicable, see “Shareholder Services — Automatic Dividend Reinvestment Plan.” Shareholders may also","page_number":166,"box":{"x":70,"y":212,"width":819,"height":11}},{"id":"ad092382-0195-4a73-880d-e14ae4f80a8e","block_type":"box","text":"elect in writing to receive any such dividends in cash. Dividends are taxable to shareholders, as discussed below,","page_number":166,"box":{"x":69,"y":227,"width":807,"height":11}},{"id":"10382084-56a8-44b2-b0e2-f0302024ce1f","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":166,"box":{"x":68,"y":242,"width":800,"height":11}},{"id":"1c2a63c4-487a-4132-99f8-c3505564de95","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":166,"box":{"x":69,"y":257,"width":801,"height":11}},{"id":"939523be-d528-4b0a-a679-ce237fae3484","block_type":"box","text":"result of the service, distribution and higher transfer agency fees applicable to CDSC shares, the service fees","page_number":166,"box":{"x":69,"y":272,"width":783,"height":11}},{"id":"18509bb2-ee82-45a3-a065-0522399f8ffb","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":166,"box":{"x":69,"y":287,"width":820,"height":11}},{"id":"e2524938-cabe-413c-b396-3ad97535ff53","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":166,"box":{"x":69,"y":302,"width":794,"height":11}},{"id":"4e90f40e-7743-42f9-afdc-d8843d569df3","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":166,"box":{"x":69,"y":317,"width":834,"height":12}},{"id":"0d2a8ca0-bdfc-47fe-bcf1-f64a5031e238","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":166,"box":{"x":68,"y":332,"width":826,"height":11}},{"id":"de759b33-b516-4747-a630-e0baa57dfbd5","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":166,"box":{"x":69,"y":348,"width":816,"height":11}},{"id":"b7d414cb-0dd1-4ea4-b437-4087f31f035b","block_type":"box","text":"fees and higher transfer agency fees applicable to CDSC shares.","page_number":166,"box":{"x":68,"y":363,"width":461,"height":11}},{"id":"c1d02d81-5c23-4309-b0cb-35904979dcfb","block_type":"box","text":"Taxes","page_number":166,"box":{"x":68,"y":393,"width":42,"height":9}},{"id":"a6597cc0-8b5c-4d31-926f-6912afea1fd3","block_type":"box","text":"Each Fund intends to continue to qualify for the special tax treatment afforded to regulated investment","page_number":166,"box":{"x":102,"y":416,"width":732,"height":11}},{"id":"8e6bd322-c3a6-4573-909a-22e9c52773a2","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":166,"box":{"x":69,"y":431,"width":825,"height":11}},{"id":"2376fbf8-0d42-4f9f-9990-35fd620d9c94","block_type":"box","text":"U.S. federal income tax on the par t of its investment company taxable income and net realized capital gains that it","page_number":166,"box":{"x":70,"y":446,"width":817,"height":11}},{"id":"72f26e24-eb6e-4127-9c5f-cceaaa68c388","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":166,"box":{"x":69,"y":461,"width":832,"height":11}},{"id":"5c204b9f-959c-4a00-bdf0-3725ae1e0475","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":166,"box":{"x":69,"y":476,"width":791,"height":11}},{"id":"ba6de6bb-acaf-4f1f-9d64-1c8beca324c9","block_type":"box","text":"company, a Fund must meet cer tain requirements regarding the source of its income and the composition and","page_number":166,"box":{"x":69,"y":491,"width":786,"height":12}},{"id":"6bdb1a44-7370-4d76-aec7-e06eb737e1ee","block_type":"box","text":"diversification of its assets. See Par t II, “Investment Risks and Considerations—Investment Restrictions (All Funds)”","page_number":166,"box":{"x":69,"y":506,"width":831,"height":11}},{"id":"4c7506ce-9abb-48d1-9323-4d05b9847b91","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":166,"box":{"x":68,"y":521,"width":819,"height":12}},{"id":"47482d89-0331-4014-9f4f-9a9a31d28e0c","block_type":"box","text":"underlying assets of the Master Por tfolio in which it has invested for purposes of satisfying the asset diversification","page_number":166,"box":{"x":69,"y":537,"width":824,"height":11}},{"id":"040ae46b-fa1c-4efa-8479-aae8af062a57","block_type":"box","text":"requirement and various other requirements of the Code applicable to regulated investment companies.","page_number":166,"box":{"x":69,"y":552,"width":739,"height":11}},{"id":"0c5c2c9b-c9c0-4de1-80f2-740c1a0e2007","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":166,"box":{"x":101,"y":574,"width":792,"height":12}},{"id":"2444ce0c-a43a-44a7-be09-bac48afcc72e","block_type":"box","text":"failure to diversify its holdings in the manner described above by paying a tax, by disposing of cer tain assets, or by","page_number":166,"box":{"x":68,"y":589,"width":819,"height":12}},{"id":"8fbeae2c-ea12-4c54-b0bc-356266aa87f7","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":166,"box":{"x":70,"y":605,"width":830,"height":11}},{"id":"cda52527-4cba-4f93-9502-2bed1000058c","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":166,"box":{"x":68,"y":620,"width":744,"height":11}},{"id":"bc5635bd-0718-4f34-b676-4507be707e71","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":166,"box":{"x":69,"y":635,"width":835,"height":11}},{"id":"c47e5173-c927-4a4f-9f09-6bfd5ab55b9f","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":166,"box":{"x":69,"y":650,"width":808,"height":11}},{"id":"cf9b0946-bef2-4543-adfc-36177f0c54b7","block_type":"box","text":"company with respect to items attributable to an interest in a qualified publicly-traded par tnership. A Fund’s","page_number":166,"box":{"x":69,"y":665,"width":767,"height":11}},{"id":"deec798b-9653-477e-8c6b-6b3559b0fdce","block_type":"box","text":"investments in par tnerships, including in qualified publicly-traded par tnerships, may result in the Fund being subject","page_number":166,"box":{"x":70,"y":680,"width":826,"height":12}},{"id":"bcf8d754-785d-4e12-be76-4d8aedf95997","block_type":"box","text":"to state, local, or non-U.S. income, franchise or withholding tax liabilities.","page_number":166,"box":{"x":68,"y":695,"width":521,"height":12}},{"id":"b8e66ca4-0a2a-4565-b88c-18f0c09a0e42","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":166,"box":{"x":102,"y":718,"width":798,"height":11}},{"id":"096497b1-eada-4bd4-9729-518558e46a29","block_type":"box","text":"qualify as a regulated investment company under the Code, notwithstanding the availability of cer tain relief","page_number":166,"box":{"x":69,"y":733,"width":762,"height":11}},{"id":"e0eb3e48-767f-4cd4-856e-5bbc09151820","block_type":"box","text":"provisions, such Fund would be taxed in the same manner as an ordinary corporation and all distributions from","page_number":166,"box":{"x":70,"y":748,"width":789,"height":11}},{"id":"944dae9a-c879-4270-935b-320096c89791","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":166,"box":{"x":69,"y":763,"width":837,"height":12}},{"id":"8bca73b2-5487-4f29-b933-7d00cb635e8e","block_type":"box","text":"ordinary dividend income eligible for taxation at a reduced tax rate for non-corporate shareholders and the dividends","page_number":166,"box":{"x":69,"y":778,"width":831,"height":12}},{"id":"7c5de2d8-4bdc-4c05-a54d-c3866bff6cd6","block_type":"box","text":"received deduction for corporate shareholders. However, a Municipal Fund’s distributions derived from income on tax","page_number":166,"box":{"x":69,"y":794,"width":837,"height":11}},{"id":"630c84a0-fd17-47b8-8b13-468ad6ebea07","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":166,"box":{"x":69,"y":809,"width":825,"height":11}},{"id":"9af00d16-26cf-4f7b-88b6-6b7cb1b7e7ad","block_type":"box","text":"series of a regulated investment company that consists of multiple series is treated as a separate corporation for","page_number":166,"box":{"x":69,"y":824,"width":811,"height":11}},{"id":"8d5bfb7e-d74f-4b2f-b34f-ec2d97b3487c","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":166,"box":{"x":70,"y":839,"width":813,"height":11}},{"id":"0bcb71c4-40ce-48b0-8d65-04708a0d3b09","block_type":"box","text":"under the rules for regulated investment companies. Losses in one series of a regulated investment company do not","page_number":166,"box":{"x":69,"y":854,"width":834,"height":11}},{"id":"a7c82a03-b830-4b1e-995d-6bc303490791","block_type":"box","text":"offset gains in another, and the requirements (other than cer tain organizational requirements) for qualifying for","page_number":166,"box":{"x":69,"y":869,"width":790,"height":11}},{"id":"8366cea5-b16c-4780-84da-3303f11d071a","block_type":"box","text":"regulated investment company status will be determined at the level of the individual series. In the following","page_number":166,"box":{"x":69,"y":884,"width":771,"height":12}},{"id":"dd80a3f8-4962-4faa-9953-609dcd7d98c4","block_type":"box","text":"discussion, the term “Fund” means each individual series, if applicable.","page_number":166,"box":{"x":69,"y":899,"width":512,"height":11}},{"id":"8d40aa8a-839a-452f-9a36-215b9375c364","block_type":"box","text":"II-129","page_number":166,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"8db726b7-91ef-4172-9063-b2c2d933ea58","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":166,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5cba3a53-2085-49d3-aaa3-d756ac315d67","block_type":"box","text":"The Code requires a regulated investment company to pay a nondeductible 4% excise tax to the extent the","page_number":167,"box":{"x":101,"y":45,"width":759,"height":11}},{"id":"f7c7a736-65cf-48df-b0c2-1959b016601d","block_type":"box","text":"regulated investment company does not distribute, during each calendar year, at least 98% of its ordinary income,","page_number":167,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"d6f42d14-0722-4947-8d54-495f12a41bf7","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":167,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"3275710d-a191-472a-9f21-b4afd839a241","block_type":"box","text":"the regulated investment company’s taxable year ended on October 31, plus cer tain undistributed amounts from the","page_number":167,"box":{"x":68,"y":90,"width":832,"height":11}},{"id":"883d0d4e-0671-499f-8374-cddac4d5a211","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":167,"box":{"x":70,"y":105,"width":825,"height":11}},{"id":"ac04293d-ca90-4efc-b3a5-6cb01c429b2f","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":167,"box":{"x":70,"y":120,"width":810,"height":11}},{"id":"19ab9608-0bdc-4ddb-9269-f179e3a2b345","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":167,"box":{"x":69,"y":135,"width":828,"height":12}},{"id":"3cf322de-ef33-4d21-9792-0086ec3c0312","block_type":"box","text":"the tax only on the amount by which it does not meet the foregoing distribution requirements.","page_number":167,"box":{"x":68,"y":150,"width":666,"height":12}},{"id":"997a4806-73b2-4cb5-8c37-0316217f729a","block_type":"box","text":"Net capital loss carryforwards may be applied against realized capital gains in each succeeding year, until they","page_number":167,"box":{"x":102,"y":173,"width":790,"height":11}},{"id":"1056860c-cf5b-4fba-aef3-042193379481","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":167,"box":{"x":69,"y":188,"width":830,"height":12}},{"id":"f724aaf0-6987-4776-8865-39e6088c4d87","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":167,"box":{"x":69,"y":203,"width":770,"height":12}},{"id":"62f5bb9b-ab91-4afb-b0ed-de26b5110761","block_type":"box","text":"limitation.","page_number":167,"box":{"x":70,"y":219,"width":68,"height":8}},{"id":"3f2803b5-d81b-435c-94a3-deb2eed5d9c1","block_type":"box","text":"Dividends paid by a Fund from its ordinary income or from an excess of net shor t-term capital gain over net long","page_number":167,"box":{"x":102,"y":241,"width":803,"height":11}},{"id":"04f1e3c4-ec4d-437f-a95b-ebf3ab91ebfc","block_type":"box","text":"term capital loss (together referred to as “ordinary income dividends”) are taxable to shareholders as ordinary","page_number":167,"box":{"x":68,"y":256,"width":790,"height":12}},{"id":"125f00bb-e42f-440e-af51-590b9e2d8f99","block_type":"box","text":"income. Distributions made from an excess of net long-term capital gain over net shor t-term capital loss (including","page_number":167,"box":{"x":70,"y":271,"width":815,"height":12}},{"id":"bc1b2570-5897-4d3f-995f-366dcc3f559d","block_type":"box","text":"gains or losses from cer tain transactions in futures and options) (“capital gain dividends”) are taxable to","page_number":167,"box":{"x":68,"y":286,"width":748,"height":12}},{"id":"4691e80f-d5a8-4bf6-abea-ca5ad19498bf","block_type":"box","text":"shareholders as long-term capital gains, regardless of the length of time the shareholder has owned Fund shares.","page_number":167,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"78c88c89-8e29-4703-a579-9520c5323825","block_type":"box","text":"Distributions paid by a Fund that are repor ted as exempt-interest dividends will not be subject to regular U.S. federal","page_number":167,"box":{"x":70,"y":317,"width":829,"height":11}},{"id":"62bf9ed7-1a32-4c7c-ae7f-322b1a75b04c","block_type":"box","text":"income tax. Cer tain dividend income and long-term capital gains are eligible for taxation at a reduced rate that","page_number":167,"box":{"x":70,"y":332,"width":785,"height":11}},{"id":"8ca25e6d-f89b-4f92-93ef-364c58b9df6e","block_type":"box","text":"applies to non-corporate shareholders. Under these rules, the por tion of ordinary income dividends constituting","page_number":167,"box":{"x":69,"y":347,"width":795,"height":11}},{"id":"f9da82a0-5d43-4182-93f7-d454e34ceef1","block_type":"box","text":"“qualified dividend income” when paid by a regulated investment company to a non-corporate shareholder may be","page_number":167,"box":{"x":70,"y":362,"width":809,"height":11}},{"id":"d0fe0a3b-a391-4d9b-9388-64867aa0cc25","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":167,"box":{"x":68,"y":377,"width":814,"height":12}},{"id":"0c7eba2c-03d6-485c-a9f7-f2e69aadca0e","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":167,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"9a204c34-9ede-474f-9a33-a1727febca71","block_type":"box","text":"the date on which the shares become ex-dividend with respect to such dividend (or, in the case of cer tain","page_number":167,"box":{"x":68,"y":407,"width":751,"height":11}},{"id":"c3277556-d260-40be-9955-0076be24ae38","block_type":"box","text":"accumulated dividends with respect to preferred stocks, the shareholder has held the shares on which the dividend","page_number":167,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"7234ed77-7143-4a8c-9a1e-bd21e1c55415","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":167,"box":{"x":68,"y":438,"width":817,"height":11}},{"id":"37cd64d3-1cc6-4ca2-b4e1-152c10663a7e","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":167,"box":{"x":68,"y":453,"width":813,"height":11}},{"id":"76bcfe9e-8015-447f-9e86-7247209f8dab","block_type":"box","text":"are derived from income on debt securities, cer tain types of preferred stock treated as debt for U.S. federal income","page_number":167,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"bc3867a8-1f4a-4478-954a-884da9ae00e1","block_type":"box","text":"tax purposes and shor t-term capital gains, such distributions will not constitute “qualified dividend income.” In","page_number":167,"box":{"x":68,"y":483,"width":789,"height":11}},{"id":"42169322-d0cb-449e-b05f-99c5ed3b9b11","block_type":"box","text":"addition, distributions that are derived from securities lending income, such as substitute dividend payments, will not","page_number":167,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"3c47eabf-4466-4ef8-991e-1f2c7013a7be","block_type":"box","text":"constitute “qualified dividend income.”","page_number":167,"box":{"x":69,"y":513,"width":275,"height":11}},{"id":"993605c1-1425-46b3-b6ea-868a8d40350e","block_type":"box","text":"A 3.8% Medicare tax is imposed on the net investment income (which includes taxable dividends and redemption","page_number":167,"box":{"x":101,"y":536,"width":806,"height":11}},{"id":"ce54f1fc-87ae-4c3c-8346-f975adbc54c6","block_type":"box","text":"proceeds) of cer tain individuals, trusts and estates.","page_number":167,"box":{"x":70,"y":551,"width":368,"height":11}},{"id":"3384936a-523d-413a-a968-d22aa78cf4ac","block_type":"box","text":"A Fund’s net capital gain (the excess of net long-term capital gains over net shor t-term capital losses) is not","page_number":167,"box":{"x":101,"y":574,"width":772,"height":11}},{"id":"bef0f177-a564-410d-b6a7-1f03d1ac3f34","block_type":"box","text":"subject to the 90% distribution requirement for taxation as a regulated investment company, described above. If a","page_number":167,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"a8e13094-c4a9-49fd-9357-487b1f6e8b1c","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":167,"box":{"x":70,"y":604,"width":745,"height":11}},{"id":"f1598aea-6ba9-4ba5-b2fc-8402cd553f44","block_type":"box","text":"undistributed capital gain in a written statement furnished to its shareholders, who will be required to include in","page_number":167,"box":{"x":69,"y":619,"width":795,"height":11}},{"id":"bdd15610-7d11-429d-84f8-b2d31f677307","block_type":"box","text":"income, as long-term capital gain, their propor tionate shares of such undistributed net capital gain, will be deemed to","page_number":167,"box":{"x":70,"y":634,"width":838,"height":12}},{"id":"169a2544-daad-4264-bc8c-d240b4087c52","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":167,"box":{"x":69,"y":649,"width":809,"height":12}},{"id":"fa6f3da8-f85b-43a8-9648-34947ba19faf","block_type":"box","text":"exceeds that liability) their propor tionate shares of the tax paid by the Fund on that gain, and shall increase the tax","page_number":167,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"37e71f73-5427-4260-8366-5d413dfab502","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":167,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"54c4c14c-1806-40db-923c-dd25f7a1f704","block_type":"box","text":"against their taxes.","page_number":167,"box":{"x":69,"y":695,"width":135,"height":11}},{"id":"af914153-4013-41dd-b63d-22d3acbad43d","block_type":"box","text":"Distributions in excess of a Fund’s current and accumulated earnings and profits will first reduce the adjusted","page_number":167,"box":{"x":102,"y":717,"width":783,"height":12}},{"id":"579d1cc3-045e-4ddd-95e9-28aad3f282de","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":167,"box":{"x":68,"y":732,"width":812,"height":12}},{"id":"5f82bfe5-c919-4119-b0f2-670b2097789c","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":167,"box":{"x":69,"y":748,"width":769,"height":11}},{"id":"d824a3d3-049f-4365-93d8-7ad21cbdd10f","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":167,"box":{"x":69,"y":763,"width":805,"height":11}},{"id":"0e551cc3-ef14-46e8-9f83-d1239c0bcf26","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":167,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"978a1f49-5028-4bfb-9858-3cc2fd97f9e8","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":167,"box":{"x":68,"y":793,"width":831,"height":11}},{"id":"8469bd83-e6ca-4de8-8d4a-280dfdf5abb4","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":167,"box":{"x":68,"y":808,"width":817,"height":11}},{"id":"721cfadd-ac8a-4bfa-bc46-aaa5f02437f2","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":167,"box":{"x":70,"y":823,"width":797,"height":12}},{"id":"57c01402-e407-4270-b2e7-dd30f972f732","block_type":"box","text":"dividends received by the shareholder.","page_number":167,"box":{"x":69,"y":839,"width":272,"height":10}},{"id":"0dcb2aac-5da6-4f51-b5ee-519caadb84fe","block_type":"box","text":"Ordinary income and capital gain dividends are taxable to shareholders even if they are reinvested in additional","page_number":167,"box":{"x":102,"y":861,"width":792,"height":11}},{"id":"33fb6456-0810-4749-bd35-0b4cfb577213","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":167,"box":{"x":69,"y":876,"width":835,"height":11}},{"id":"82641c5f-247d-4d9f-8fd6-44766c564e35","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":167,"box":{"x":68,"y":891,"width":809,"height":11}},{"id":"88cd38e2-3fc6-4a38-a0ca-287de4aac75a","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":167,"box":{"x":68,"y":906,"width":819,"height":11}},{"id":"bb269fa4-879c-47db-9183-d24695d2307b","block_type":"box","text":"II-130","page_number":167,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"d005f62c-88f2-46b0-8202-5f7b0901d445","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":167,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6df00955-d105-4fb5-a277-1efbaf50007d","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":168,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"a4e90f4a-e7df-4fc7-9f24-bd3e5b0ebbdc","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":168,"box":{"x":69,"y":60,"width":794,"height":11}},{"id":"af00956e-5a80-49b6-b417-cc895fe83288","block_type":"box","text":"calendar taxable year, if the Fund repor ts more capital gain dividends than it earns in such taxable year, then the","page_number":168,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"14a8ba22-538b-4ee8-b215-24bac80da32f","block_type":"box","text":"Fund will reduce the amounts repor ted as capital gains. Where possible, such reduction will first be allocated to","page_number":168,"box":{"x":70,"y":90,"width":797,"height":11}},{"id":"b8fa78e9-b2ec-4a85-b39b-92ee6b94ac68","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":168,"box":{"x":69,"y":105,"width":810,"height":11}},{"id":"e552b3d9-b648-4da1-b5ce-7f77fb3dcde6","block_type":"box","text":"taxable year, cer tain net capital losses arising after October 31 of the current taxable year, and cer tain net ordinary","page_number":168,"box":{"x":68,"y":120,"width":826,"height":12}},{"id":"6d933243-2e5d-4734-901d-ce1e831a2e82","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":168,"box":{"x":70,"y":135,"width":772,"height":12}},{"id":"48275e59-930c-4402-90ac-7dd80dba9739","block_type":"box","text":"increasing the amount of dividends otherwise includible in the shareholder’s income with respect to the current","page_number":168,"box":{"x":70,"y":150,"width":795,"height":12}},{"id":"406fd2a7-a30c-4148-91df-cdb5c96e2ccf","block_type":"box","text":"taxable year.","page_number":168,"box":{"x":68,"y":166,"width":89,"height":11}},{"id":"4af37db8-d04e-4949-b6d7-dd5b96b632e4","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":168,"box":{"x":102,"y":188,"width":733,"height":12}},{"id":"ac0275d7-87e6-43d6-bce3-24a60d8fe06b","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":168,"box":{"x":69,"y":203,"width":832,"height":11}},{"id":"bdf43994-a66f-4f8c-b17f-86fe2a9fecb2","block_type":"box","text":"basis in the conver ted Investor C Shares and the holding period of the acquired Investor A Shares will include the","page_number":168,"box":{"x":69,"y":218,"width":809,"height":12}},{"id":"6589af33-4a04-4ba3-b278-eebcbc6fd385","block_type":"box","text":"holding period for the conver ted Investor C Shares.","page_number":168,"box":{"x":69,"y":234,"width":362,"height":11}},{"id":"0bd06e96-04a8-4d90-8f5c-71b1df372aeb","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":168,"box":{"x":102,"y":256,"width":795,"height":12}},{"id":"c55313b7-0874-40a1-a031-7544812becec","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":168,"box":{"x":69,"y":271,"width":824,"height":12}},{"id":"46951844-6d29-4be1-8909-bc98c3057f72","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":168,"box":{"x":69,"y":287,"width":797,"height":11}},{"id":"16a52f8e-5d39-43a6-85b5-ca79c79470df","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":168,"box":{"x":69,"y":302,"width":791,"height":11}},{"id":"6a2caab5-4aea-48e9-9fc7-87c9bc55ae7e","block_type":"box","text":"privilege. Instead, such sales charge will be treated as an amount paid for the new shares.","page_number":168,"box":{"x":70,"y":317,"width":646,"height":11}},{"id":"438bc321-0759-4dd5-bffe-9f300e540af2","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":168,"box":{"x":101,"y":339,"width":762,"height":12}},{"id":"91d4f3ce-14e4-4fc4-9bc4-35d83db6b29d","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":168,"box":{"x":69,"y":355,"width":836,"height":11}},{"id":"a2f7ac66-f5ab-442e-a1ba-3bea658bba8d","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":168,"box":{"x":69,"y":370,"width":822,"height":11}},{"id":"707c33c0-933e-446f-bb37-98cf682f19b5","block_type":"box","text":"generally be treated as shor t-term capital gain or loss. Any loss realized upon a taxable disposition of shares held for","page_number":168,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"f4c39516-4b4f-407b-bf6c-877e04a8b15e","block_type":"box","text":"six months or less will be treated as long-term capital loss, rather than shor t-term capital loss, to the extent of any","page_number":168,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"07fc753e-e011-4872-874c-a2e85b13ac77","block_type":"box","text":"amounts treated as distributions to the shareholder of long-term capital gain (including any amounts credited to the","page_number":168,"box":{"x":69,"y":415,"width":823,"height":11}},{"id":"69cd6154-e131-4e29-afc7-eb96ec2b3717","block_type":"box","text":"shareholder as undistributed capital gains). Shareholders that hold shares of a Fund through a qualified tax-exempt","page_number":168,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"6ae8b280-76bd-4459-846e-1c4971a64a97","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":168,"box":{"x":70,"y":445,"width":829,"height":11}},{"id":"20e1957e-6021-4ecb-8c57-f03108d32d79","block_type":"box","text":"special tax rules that apply to their investments.","page_number":168,"box":{"x":69,"y":461,"width":343,"height":11}},{"id":"1daca178-287e-4c5f-8c39-201b1f68bad5","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":168,"box":{"x":101,"y":483,"width":807,"height":11}},{"id":"6b534167-3cd1-4530-b0d1-2f39d981a677","block_type":"box","text":"are acquired (whether through the automatic reinvestment of dividends or otherwise) within a 61-day period beginning","page_number":168,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"0007c5b4-bad1-4fa3-8b11-1dedf14c2c45","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":168,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"8877dde5-c720-4372-b9bc-eb9a4f7b42d9","block_type":"box","text":"basis of the shares acquired will be adjusted to reflect the disallowed loss.","page_number":168,"box":{"x":69,"y":528,"width":534,"height":12}},{"id":"d447709c-4ee8-4d0b-8d87-65e2bb6a657b","block_type":"box","text":"A Fund is also generally required by law to repor t to each shareholder and to the IRS cost basis information for","page_number":168,"box":{"x":101,"y":551,"width":792,"height":11}},{"id":"6f064e43-9807-4053-aadb-83f99f8fceec","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":168,"box":{"x":69,"y":566,"width":800,"height":11}},{"id":"8af78c41-eb86-49d4-a334-9d30fae774e6","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":168,"box":{"x":70,"y":581,"width":828,"height":12}},{"id":"12176abd-a879-412d-93c7-88ec0c903b1e","block_type":"box","text":"long-term or shor t-term. The adjusted cost basis of shares will be based on the default cost basis repor ting method","page_number":168,"box":{"x":70,"y":596,"width":824,"height":12}},{"id":"9b748fe7-a36a-4dad-8aea-9568c98ec261","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":168,"box":{"x":69,"y":612,"width":816,"height":11}},{"id":"adffafe8-30dd-40cf-87fe-65c34a168ac8","block_type":"box","text":"different IRS-accepted method offered by the Fund. These requirements, however, will not apply for investments","page_number":168,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"9b4179a0-92f9-4b16-b51c-033f8aff86f7","block_type":"box","text":"through an IRA or other tax-advantaged account. Shareholders should consult their tax advisors to determine the best","page_number":168,"box":{"x":68,"y":642,"width":840,"height":11}},{"id":"9c653495-28f9-4e03-a83f-8483664ee80d","block_type":"box","text":"cost basis method for their tax situation, and to obtain more information about how these cost basis repor ting","page_number":168,"box":{"x":69,"y":657,"width":788,"height":11}},{"id":"1b14a743-16bd-43e4-83bb-31b22d6ab8bb","block_type":"box","text":"requirements apply to them. For shares of a Fund acquired before January 1, 2012, these requirements will not","page_number":168,"box":{"x":69,"y":672,"width":797,"height":11}},{"id":"0c73b554-37bc-4964-bbf8-70a55f7db3a4","block_type":"box","text":"apply, but the Fund will continue to repor t to the IRS the gross proceeds received by a shareholder from the sale or","page_number":168,"box":{"x":69,"y":687,"width":821,"height":11}},{"id":"ada1d2f2-9b14-42fb-8776-97994fd3e710","block_type":"box","text":"redemption of such shares.","page_number":168,"box":{"x":69,"y":702,"width":195,"height":11}},{"id":"e5311d2b-ef01-46f0-8df5-7bbbe1f590db","block_type":"box","text":"The Manager may determine it is in the best interest of a Fund to distribute por tfolio securities in kind for the","page_number":168,"box":{"x":101,"y":725,"width":780,"height":11}},{"id":"f6561e9b-6988-4b23-84e2-898aa954bef6","block_type":"box","text":"purposes of por tfolio management when meeting redemption requests. When the Manager determines to do so, a","page_number":168,"box":{"x":70,"y":740,"width":814,"height":11}},{"id":"bf5c374f-4f20-41fb-8666-d25d01e90bcd","block_type":"box","text":"Fund generally will not recognize taxable gains in respect of the por tfolio securities it distributes to the redeeming","page_number":168,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"ed9702d7-9189-4e0e-8852-9ad9dd31cc47","block_type":"box","text":"shareholder, which may reduce the amount of taxable gains the Fund would otherwise be required to distribute.","page_number":168,"box":{"x":69,"y":770,"width":793,"height":12}},{"id":"3776da9d-264d-4c49-9564-7f5c6cd45c8c","block_type":"box","text":"While a Fund may engage in redemptions in kind that have the effect of reducing or eliminating distributable","page_number":168,"box":{"x":101,"y":793,"width":770,"height":11}},{"id":"1aaa6d7c-0576-4d9f-a9a2-3a4870fd7c76","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":168,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"d9800a6d-c402-4075-8b5c-409b44f3823d","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":168,"box":{"x":69,"y":823,"width":833,"height":12}},{"id":"872ea6f0-3454-4844-98cb-8bcdd6936917","block_type":"box","text":"that each Fund will distribute capital gains.","page_number":168,"box":{"x":68,"y":839,"width":305,"height":11}},{"id":"85c9400c-c5cd-436b-868d-e399dc7273ae","block_type":"box","text":"Cer tain Funds may invest in derivative contracts such as options, futures contracts, forward contracts and swap","page_number":168,"box":{"x":102,"y":861,"width":799,"height":11}},{"id":"eb312fde-9c0b-45eb-aa2c-167bf0e13fde","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":168,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"dd454026-9938-4740-985a-8cd34cc2e4bf","block_type":"box","text":"investment in the underlying security and may adversely affect the timing, character and amount of income the Fund","page_number":168,"box":{"x":70,"y":891,"width":826,"height":12}},{"id":"d95bc640-c5cd-4f0f-95a3-72ccb1764226","block_type":"box","text":"realizes from its investments. As a result, a larger por tion of the Fund’s distributions may be treated as ordinary","page_number":168,"box":{"x":69,"y":906,"width":803,"height":12}},{"id":"1fa27518-7b95-4383-ba94-67c61bd34fd3","block_type":"box","text":"II-131","page_number":168,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"8f464fb1-d15f-4b2a-85ca-c9fa9132c1d6","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":168,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7be8076e-4f2b-4457-9e38-54a56c7f1084","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":169,"box":{"x":70,"y":45,"width":825,"height":11}},{"id":"b10b0b83-90a4-4679-ae6e-8995fc045890","block_type":"box","text":"(and, for purposes of the 4% excise tax, cer tain other dates as prescribed under the Code) are generally “marked-to","page_number":169,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"82071d33-9063-4aa5-b077-947b56b873b6","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":169,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"74d27c67-9277-46f4-aad0-60268ef2d33d","block_type":"box","text":"considered 60% long-term and 40% shor t-term capital gain or loss), which may increase the amount that must be","page_number":169,"box":{"x":69,"y":90,"width":808,"height":11}},{"id":"14541098-3eba-4786-9ebe-730084e395e5","block_type":"box","text":"distributed to meet distribution requirements and avoid the excise tax. In addition, the tax treatment of cer tain","page_number":169,"box":{"x":69,"y":105,"width":787,"height":11}},{"id":"6e0640a8-9e29-4aac-b3f2-2074f58cc700","block_type":"box","text":"derivative contracts, such as swap agreements, is unsettled and may be subject to future legislation, regulation or","page_number":169,"box":{"x":69,"y":120,"width":816,"height":12}},{"id":"e7da5c22-de39-465a-a1e3-a83c38c6abd9","block_type":"box","text":"administrative pronouncements issued by the IRS. If such future guidance limits the Fund’s ability to use derivatives,","page_number":169,"box":{"x":69,"y":135,"width":832,"height":12}},{"id":"c1228078-1479-4ca9-8ef9-879198397f33","block_type":"box","text":"the Fund may have to find other ways of achieving its investment objectives.","page_number":169,"box":{"x":68,"y":150,"width":542,"height":12}},{"id":"350a9e8c-6bb9-460f-8867-aa02c770adde","block_type":"box","text":"Cer tain swap agreements, including exchange-traded swap agreements, are treated as notional principal","page_number":169,"box":{"x":102,"y":173,"width":744,"height":11}},{"id":"e778a72b-af24-4a56-9bd3-ff85243d57a9","block_type":"box","text":"contracts rather than as section 1256 contracts. This can affect the type of income earned by such swap","page_number":169,"box":{"x":69,"y":188,"width":751,"height":11}},{"id":"bf797975-d01b-4fb4-8e3e-198c741b459b","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":169,"box":{"x":69,"y":203,"width":819,"height":12}},{"id":"c361caba-f535-497b-9015-ed0e26e6e57b","block_type":"box","text":"on a section 1256 contract is treated as shor t-term capital gain taxed at ordinary rates and 60% is treated as long","page_number":169,"box":{"x":69,"y":219,"width":823,"height":11}},{"id":"aef2b97e-69f6-4a65-ac13-a4a952e29b5a","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":169,"box":{"x":68,"y":234,"width":823,"height":11}},{"id":"e97d476b-6d8e-4d65-8580-e072413a65b9","block_type":"box","text":"which may be taxable at more favorable rates than ordinary income. Proposed regulations interpret what types of","page_number":169,"box":{"x":68,"y":249,"width":807,"height":11}},{"id":"c7ce06ef-5124-4576-acef-78e6373327f8","block_type":"box","text":"swap agreements are to be treated as notional principal contracts rather than as section 1256 contracts. When","page_number":169,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"3ffabc2d-af0c-4bae-acce-5e4672e62ccd","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":169,"box":{"x":68,"y":279,"width":838,"height":11}},{"id":"80dfb6af-fa58-4583-8df3-fef2f5efe8ed","block_type":"box","text":"of the distributions made to shareholders as ordinary income and less as long-term capital gains.","page_number":169,"box":{"x":69,"y":294,"width":695,"height":11}},{"id":"2355d4eb-6665-400d-b65e-0ce9c94b9574","block_type":"box","text":"Cer tain Funds may invest in zero coupon U.S. Treasury bonds and other debt securities that are issued at a","page_number":169,"box":{"x":102,"y":317,"width":768,"height":11}},{"id":"6b9d1c59-1624-42f7-9d63-6df7223cc6f7","block_type":"box","text":"discount or provide for deferred interest. Even though a Fund receives no actual interest payments on these","page_number":169,"box":{"x":69,"y":332,"width":769,"height":11}},{"id":"47a5bf0d-99f2-4fb2-a485-a253f0937954","block_type":"box","text":"securities, it will be deemed to receive income equal, generally, to a por tion of the excess of the stated redemption","page_number":169,"box":{"x":69,"y":347,"width":822,"height":11}},{"id":"adaeaa0e-21c0-4e2e-87b8-69a949aa2f86","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":169,"box":{"x":70,"y":362,"width":819,"height":11}},{"id":"63529b85-1159-4508-8a1b-ed802698bb13","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":169,"box":{"x":68,"y":377,"width":818,"height":12}},{"id":"170b0506-1878-4b5f-b5c2-898f7a0f35b2","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":169,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"898db517-6550-443d-963d-aded89a86411","block_type":"box","text":"in order to satisfy its distribution requirements. In addition, a Fund’s investment in foreign currencies or foreign","page_number":169,"box":{"x":70,"y":407,"width":792,"height":12}},{"id":"7f04b524-ec44-4a91-96d4-30a89bc5bf7d","block_type":"box","text":"currency denominated or referenced debt securities, cer tain asset-backed securities and contingent payment and","page_number":169,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"c135273f-6272-476b-9043-24c366b72ff1","block_type":"box","text":"inflation-indexed debt instruments also may increase or accelerate the Fund’s recognition of income, including the","page_number":169,"box":{"x":70,"y":438,"width":812,"height":11}},{"id":"3249b5a7-9259-4106-850a-0f309fe390ad","block_type":"box","text":"recognition of taxable income in excess of cash generated by such investments. Any transaction by the Fund in","page_number":169,"box":{"x":69,"y":453,"width":789,"height":11}},{"id":"83bd8f95-c756-45ae-a499-1ebbcf2c9c3a","block_type":"box","text":"foreign currencies, foreign currency-denominated debt obligations or cer tain foreign currency options, futures","page_number":169,"box":{"x":68,"y":468,"width":777,"height":11}},{"id":"d76a0553-08e5-437c-af71-c89d9ce8e426","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":169,"box":{"x":69,"y":483,"width":810,"height":11}},{"id":"bea47d9b-48c9-4c23-a0e5-0d63ba5b7ed5","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":169,"box":{"x":70,"y":498,"width":801,"height":11}},{"id":"7a6fa765-7478-48ac-9474-63043382cca2","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":169,"box":{"x":69,"y":513,"width":762,"height":12}},{"id":"e71c2699-bb04-4898-9307-e4868ba12d37","block_type":"box","text":"potentially require the recharacterization of prior ordinary income distributions. Such ordinary income treatment may","page_number":169,"box":{"x":70,"y":528,"width":827,"height":12}},{"id":"01531afb-4d95-47e7-b88d-0fe2065804e4","block_type":"box","text":"accelerate Fund distributions to shareholders and increase the distributions taxed to shareholders as ordinary","page_number":169,"box":{"x":69,"y":544,"width":787,"height":11}},{"id":"9fa5601f-3514-44c4-aa56-91b0c0167c0b","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":169,"box":{"x":70,"y":559,"width":822,"height":11}},{"id":"b21dae8f-7dab-478d-a252-bb164483bc9a","block_type":"box","text":"in subsequent taxable years.","page_number":169,"box":{"x":70,"y":574,"width":203,"height":11}},{"id":"005e06cb-ad18-4db1-ba7b-0a62b4d13a1f","block_type":"box","text":"Ordinary income dividends paid to shareholders who are nonresident aliens or foreign entities (other than pass","page_number":169,"box":{"x":102,"y":596,"width":795,"height":12}},{"id":"482d4ca4-9472-427a-9d4b-9863632b5baf","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":169,"box":{"x":68,"y":612,"width":816,"height":11}},{"id":"4ee8f8b4-af60-41e2-9482-222d3c78d674","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":169,"box":{"x":69,"y":627,"width":835,"height":11}},{"id":"3b88deb4-cce3-4d11-881e-c7194d995cae","block_type":"box","text":"withholding exemption is provided under applicable treaty law. Capital gain dividends paid to shareholders that are","page_number":169,"box":{"x":68,"y":642,"width":815,"height":11}},{"id":"3673954d-e7b1-423f-a92d-a5ef8c68f4de","block_type":"box","text":"nonresident aliens or foreign entities, if and to the extent properly repor ted as capital gain dividends, generally will","page_number":169,"box":{"x":69,"y":657,"width":816,"height":11}},{"id":"164b6018-b80e-422d-a801-f6e0f1cd1d10","block_type":"box","text":"not be subject to a 30% withholding tax, unless cer tain exceptions apply. Dividends derived by a regulated investment","page_number":169,"box":{"x":69,"y":672,"width":840,"height":11}},{"id":"7abe211c-c4b4-411b-bf9f-4b477cc914b0","block_type":"box","text":"company from shor t-term capital gains and qualified net interest income (including income from original issue","page_number":169,"box":{"x":69,"y":687,"width":781,"height":11}},{"id":"e717e620-65ff-4cc3-bad8-2001a0ac231a","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":169,"box":{"x":69,"y":702,"width":824,"height":12}},{"id":"56b659d3-0f59-4be4-b898-f584d9d28b55","block_type":"box","text":"extent properly repor ted as “shor t-term capital gain dividends” or “interest-related dividends”, respectively, generally","page_number":169,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"706f928c-84af-4668-ba6f-b2922fa0c788","block_type":"box","text":"will not be subject to U.S. withholding tax. Where possible, the Funds intend to repor t such dividends as interest","page_number":169,"box":{"x":68,"y":733,"width":808,"height":11}},{"id":"23df366d-2675-467a-b83c-fd1d0ae6256a","block_type":"box","text":"related dividends or shor t-term capital gain dividends. However, depending on its circumstances, a Fund may repor t","page_number":169,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"851a181a-f019-49cb-bc29-c3de3b8773d2","block_type":"box","text":"all, some or none of its potentially eligible dividends as interest-related or as shor t-term capital gain dividends, and/","page_number":169,"box":{"x":69,"y":763,"width":830,"height":11}},{"id":"528448c7-f813-47ca-866f-9c27d21c90f5","block_type":"box","text":"or treat such dividends, in whole or in par t, as ineligible for this exemption from withholding. In order to qualify for","page_number":169,"box":{"x":69,"y":778,"width":811,"height":11}},{"id":"f24800b8-dd24-4da1-9a60-ba7a1652ef0d","block_type":"box","text":"this exemption from withholding, a foreign shareholder must comply with applicable cer tification requirements","page_number":169,"box":{"x":68,"y":793,"width":784,"height":11}},{"id":"411bdf2f-fb64-4c07-b7d0-022749228092","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":169,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"5814d627-1755-4c64-a813-788de1345bf8","block_type":"box","text":"Form). In the case of shares held through an intermediary, the intermediary may withhold even if the Fund repor ts the","page_number":169,"box":{"x":70,"y":823,"width":839,"height":12}},{"id":"270ce679-1042-44e0-aac9-f771dee8dd79","block_type":"box","text":"payment as an interest-related or shor t-term capital gain dividend. Foreign shareholders should contact their","page_number":169,"box":{"x":70,"y":839,"width":772,"height":11}},{"id":"ba37d02e-7845-4add-a556-74d7216f4039","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":169,"box":{"x":70,"y":853,"width":791,"height":11}},{"id":"bd29a20f-fd9d-4694-a46b-e7b2a932253b","block_type":"box","text":"por tion, if any, of a Fund’s distributions will be repor ted as interest-related dividends or shor t-term capital gain","page_number":169,"box":{"x":70,"y":869,"width":787,"height":11}},{"id":"30b4fbdc-80ba-4319-8cf9-5fe7d4bece72","block_type":"box","text":"dividends under these rules.","page_number":169,"box":{"x":69,"y":884,"width":201,"height":9}},{"id":"ff49752f-852d-45bf-9a26-6356585d27ae","block_type":"box","text":"II-132","page_number":169,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"5c5e1e6b-717c-45a9-a3fc-1c7ab790e457","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":169,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b0937289-cf45-47be-99ae-ef1680ff22bb","block_type":"box","text":"Distributions to cer tain foreign shareholders by a Fund at least 50% of the assets of which are “U.S. real","page_number":170,"box":{"x":102,"y":45,"width":747,"height":11}},{"id":"b4a14acf-6abb-4b96-a599-726cfdc96249","block_type":"box","text":"proper ty interests” (as defined in the Code and Treasury regulations) at any time during the five-year period ending on","page_number":170,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"d18472e9-b18f-486c-ba43-8aa5efad6202","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":170,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"9f3c1007-9b26-4988-9b49-3684a0528449","block_type":"box","text":"real proper ty interests (including shares in cer tain “U.S. real proper ty holding corporations” such as cer tain REITs,","page_number":170,"box":{"x":69,"y":90,"width":817,"height":11}},{"id":"e5faaf53-f0b5-4647-aced-8226c85ede80","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":170,"box":{"x":69,"y":105,"width":786,"height":11}},{"id":"0bfa6992-4118-4f73-9a4c-e1bf9af026c8","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":170,"box":{"x":69,"y":120,"width":800,"height":12}},{"id":"29d1d0fa-e949-4b4e-af18-cefec186b68c","block_type":"box","text":"period ending on the date of the distributions), generally must be treated by such foreign shareholders as income","page_number":170,"box":{"x":70,"y":135,"width":807,"height":12}},{"id":"20df073e-5437-443c-a840-512835d630d6","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":170,"box":{"x":69,"y":150,"width":772,"height":12}},{"id":"11faaa94-aec0-4c9d-82f9-88e9d0b80e34","block_type":"box","text":"graduated rates applicable to U.S. shareholders, except for distributions to foreign shareholders that held no more","page_number":170,"box":{"x":68,"y":166,"width":818,"height":11}},{"id":"e0174474-618f-4150-80b1-3531e45d3e1a","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":170,"box":{"x":68,"y":181,"width":820,"height":11}},{"id":"dcb6860a-74c3-477c-8ca5-8f36782ca8fa","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":170,"box":{"x":69,"y":196,"width":833,"height":11}},{"id":"12e99344-da70-4a92-89d4-88a7e5b1a47d","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":170,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"a9907e88-2331-4602-b222-197d00e51e86","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":170,"box":{"x":69,"y":226,"width":774,"height":11}},{"id":"e2a65461-3a78-446b-b9f5-442d59f2fa27","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":170,"box":{"x":69,"y":241,"width":839,"height":11}},{"id":"cda5a28f-629e-4d08-8881-d1d6cb65249f","block_type":"box","text":"sales or redemptions of shares held by cer tain foreign shareholders in such a Fund generally will be subject to U.S.","page_number":170,"box":{"x":69,"y":256,"width":822,"height":12}},{"id":"f605886d-b119-468f-be9f-a300678b183c","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":170,"box":{"x":70,"y":271,"width":827,"height":12}},{"id":"fc037683-a7b4-468b-8b42-7cdff6df306c","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":170,"box":{"x":69,"y":286,"width":823,"height":12}},{"id":"b5893c36-5521-48d0-996a-7f7c8744cd76","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":170,"box":{"x":68,"y":302,"width":827,"height":11}},{"id":"87a25143-f8f4-410b-ab61-2db3cd503cda","block_type":"box","text":"at all times during the five-year period ending on the date of the sale or redemption.","page_number":170,"box":{"x":69,"y":317,"width":596,"height":11}},{"id":"a47c7264-1cbd-49ae-9a17-4584e6ae6dab","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":170,"box":{"x":102,"y":339,"width":802,"height":12}},{"id":"7147a610-774f-4976-8cf1-87149ebcb71b","block_type":"box","text":"distributions made in the form of U.S. real proper ty interests (including shares in cer tain “U.S. real proper ty holding","page_number":170,"box":{"x":69,"y":355,"width":827,"height":11}},{"id":"4609e6d6-3a57-4299-88d0-74388bf55711","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":170,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"e0135f3a-fa5d-4c74-b673-9291250d39af","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":170,"box":{"x":69,"y":385,"width":824,"height":11}},{"id":"456ddf68-b297-4200-b3b7-d8361b5692c7","block_type":"box","text":"five-year period ending on the date of the distribution) generally will cause the Fund to recognize a por tion of any","page_number":170,"box":{"x":68,"y":400,"width":801,"height":11}},{"id":"cb5b06e6-a78f-494b-a71d-55b82d3f9158","block_type":"box","text":"unrecognized gain in the U.S. real proper ty interests equal to the product of (i) the excess of fair market value of","page_number":170,"box":{"x":69,"y":415,"width":803,"height":11}},{"id":"cfb1b2fb-dab1-4649-b861-93b694e19577","block_type":"box","text":"such U.S. real proper ty interests over the Fund’s adjusted bases in such interests and (ii) the greatest foreign","page_number":170,"box":{"x":69,"y":430,"width":785,"height":11}},{"id":"7a18183c-6b49-43a4-a9ed-99fee9fc450a","block_type":"box","text":"ownership percentage of the Fund during the five-year period ending on the date of distribution.","page_number":170,"box":{"x":69,"y":445,"width":676,"height":12}},{"id":"a29f176e-f13b-4b7e-b879-59ab20812cbc","block_type":"box","text":"A foreign shareholder may also be subject to cer tain “wash sale” rules to prevent the avoidance of the tax filing","page_number":170,"box":{"x":101,"y":468,"width":798,"height":11}},{"id":"c626773c-cbf5-40b5-a83e-0682de4658c5","block_type":"box","text":"and payment obligations discussed above through the sale and repurchase of Fund shares.","page_number":170,"box":{"x":69,"y":483,"width":651,"height":11}},{"id":"121980f8-d615-4c3d-8ca8-8439f3954aa4","block_type":"box","text":"Shareholders that are nonresident aliens or foreign entities are urged to consult their own tax advisors","page_number":170,"box":{"x":102,"y":506,"width":731,"height":11}},{"id":"e1208e9d-d3e4-4c1c-899e-7a39186ddb84","block_type":"box","text":"concerning the par ticular tax consequences to them of an investment in a Fund.","page_number":170,"box":{"x":69,"y":521,"width":570,"height":11}},{"id":"2b5f0480-679f-4027-8113-ecf24dce42ea","block_type":"box","text":"Separately, a 30% withholding tax is currently imposed on U.S.-source dividends, interest and other income","page_number":170,"box":{"x":102,"y":544,"width":763,"height":11}},{"id":"d6b7063f-ab7b-46cb-96e1-f272e580d95a","block_type":"box","text":"items paid to (i) cer tain foreign financial institutions and investment funds, and (ii) cer tain other foreign entities. To","page_number":170,"box":{"x":70,"y":559,"width":820,"height":11}},{"id":"dfe00897-46f3-48dd-9156-b86380f22f6f","block_type":"box","text":"avoid withholding, foreign financial institutions and investment funds will generally either need to (a) collect and","page_number":170,"box":{"x":69,"y":574,"width":794,"height":11}},{"id":"f4724213-c774-42e6-a7c5-eec662101a76","block_type":"box","text":"repor t to the IRS detailed information identifying their U.S. accounts and U.S. account holders, comply with due","page_number":170,"box":{"x":69,"y":589,"width":794,"height":11}},{"id":"8ba0b611-8889-4fe2-a820-503af93ed083","block_type":"box","text":"diligence procedures for identifying U.S. accounts and withhold tax on cer tain payments made to noncomplying","page_number":170,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"4d56100c-d221-432e-9521-4eb4953811aa","block_type":"box","text":"foreign entities and account holders or (b) if an intergovernmental agreement is entered into and implementing","page_number":170,"box":{"x":68,"y":619,"width":791,"height":11}},{"id":"fe61f82e-7b8b-45bb-a77e-02f3120925c9","block_type":"box","text":"legislation is adopted, comply with the agreement and legislation. Other foreign entities will generally either need to","page_number":170,"box":{"x":70,"y":634,"width":822,"height":12}},{"id":"e0c94ded-3712-494d-ae86-b218377cb237","block_type":"box","text":"provide detailed information identifying each substantial U.S. owner or cer tify there are no such owners.","page_number":170,"box":{"x":70,"y":649,"width":739,"height":12}},{"id":"556499d4-0147-4a31-aadf-175ef06d828b","block_type":"box","text":"Under cer tain provisions of the Code, some shareholders may be subject to a 24% withholding tax on ordinary","page_number":170,"box":{"x":102,"y":672,"width":786,"height":11}},{"id":"a6ae09f4-1c75-46bd-8c79-474049305be7","block_type":"box","text":"income dividends, capital gain dividends and redemption payments (“backup withholding”). Generally, shareholders","page_number":170,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"11a25516-bcc5-4864-bb7d-ed017c7576c2","block_type":"box","text":"subject to backup withholding will be non-corporate shareholders for whom no cer tified taxpayer identification number","page_number":170,"box":{"x":69,"y":702,"width":837,"height":12}},{"id":"6d926031-0b1b-4243-af2b-5313d683c4de","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":170,"box":{"x":70,"y":717,"width":821,"height":12}},{"id":"b68429c1-1322-4024-b641-72a68fa5f5a1","block_type":"box","text":"account, an investor must cer tify under penalty of perjury that such number is correct and that such investor is not","page_number":170,"box":{"x":69,"y":732,"width":819,"height":12}},{"id":"d361da80-01eb-4481-ab15-e00acd14384c","block_type":"box","text":"otherwise subject to backup withholding. Backup withholding is not an additional tax. Any amount withheld generally","page_number":170,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"acef9554-c729-4b16-a955-33d9f357d212","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":170,"box":{"x":69,"y":763,"width":802,"height":11}},{"id":"62a3dee9-1889-4068-8869-79b592590e3e","block_type":"box","text":"required information is timely forwarded to the IRS.","page_number":170,"box":{"x":69,"y":778,"width":364,"height":11}},{"id":"da1c9076-277c-483e-bc16-d62cf6d947cb","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":170,"box":{"x":102,"y":800,"width":774,"height":12}},{"id":"c26c1b3a-9264-4760-a060-db97ba53da6f","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":170,"box":{"x":68,"y":815,"width":787,"height":12}},{"id":"dc3b20a4-6f1a-4e0f-b8a7-a55d1d24c0f4","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":170,"box":{"x":68,"y":830,"width":835,"height":12}},{"id":"3a15f0c5-af25-4cd1-8d38-ea5ddb00df81","block_type":"box","text":"the shareholder must file a disclosure statement on IRS Form 8886 with the IRS. Direct shareholders of por tfolio","page_number":170,"box":{"x":68,"y":846,"width":809,"height":11}},{"id":"ba2d4294-f9f8-4fc0-87ea-f9a46ac2e79b","block_type":"box","text":"securities are in many cases exempted. That a loss is repor table under these regulations does not affect the legal","page_number":170,"box":{"x":69,"y":861,"width":817,"height":11}},{"id":"e025d1e0-0c57-4e5e-a794-5d86034d4efa","block_type":"box","text":"determination of whether the taxpayer’s treatment of the loss is proper. Shareholders should consult their tax","page_number":170,"box":{"x":69,"y":876,"width":783,"height":11}},{"id":"7cbe4ec6-8fa5-43b7-8b41-f4583524e656","block_type":"box","text":"advisors to determine the applicability of these regulations in light of their individual circumstances.","page_number":170,"box":{"x":69,"y":891,"width":710,"height":12}},{"id":"e1e52b60-73e8-47b5-9038-b166af43106b","block_type":"box","text":"II-133","page_number":170,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9fc8d055-7f38-4d43-9b7a-b7ddce92de51","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":170,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"38249205-c4e2-492f-9fdb-b6b8ca537094","block_type":"box","text":"Cer tain types of income received by a Fund from REITs, real estate mor tgage investment conduits, taxable","page_number":171,"box":{"x":102,"y":45,"width":758,"height":11}},{"id":"5bcd8ff7-fdbf-4de8-9551-9aa75485e2cf","block_type":"box","text":"mor tgage pools or other investments may cause the Fund to repor t some or all of its distributions as “excess","page_number":171,"box":{"x":69,"y":60,"width":782,"height":11}},{"id":"c7241135-0875-4d87-ac25-962c242b3886","block_type":"box","text":"inclusion income.” To Fund shareholders, such excess inclusion income may: (i) constitute taxable income, as","page_number":171,"box":{"x":70,"y":75,"width":783,"height":11}},{"id":"5d274d08-ab79-4cd3-9f68-1df9bc31e3d3","block_type":"box","text":"unrelated business taxable income (“UBTI”) for those shareholders who would otherwise be tax-exempt such as","page_number":171,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"a3c907fd-b09f-4f80-ba50-e0512852a25a","block_type":"box","text":"individual retirement accounts, 401(k) accounts, Keogh plans, pension plans and cer tain charitable entities; (ii) not","page_number":171,"box":{"x":70,"y":105,"width":822,"height":11}},{"id":"ece7ca21-7d6e-4fe9-b894-207f03eabcdf","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":171,"box":{"x":69,"y":120,"width":836,"height":12}},{"id":"444f3e84-086e-463c-ab6a-2b8bfb63b9f2","block_type":"box","text":"U.S. shareholders even from tax treaty countries; and (iv) cause the Fund to be subject to tax if cer tain “disqualified","page_number":171,"box":{"x":70,"y":135,"width":826,"height":11}},{"id":"d6af8b3f-59c2-4eb7-9e91-e45d46fa64be","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":171,"box":{"x":69,"y":150,"width":808,"height":12}},{"id":"d98acccd-23c6-4797-b970-e05bf25894fa","block_type":"box","text":"expected to generate excess inclusion income, but the Fund may not always be successful in doing so. Because","page_number":171,"box":{"x":69,"y":166,"width":800,"height":11}},{"id":"ab0215c8-4496-4247-853b-b5f79445a06f","block_type":"box","text":"information about a REIT’s investments may be inadequate or inaccurate, or because a REIT may change its","page_number":171,"box":{"x":70,"y":181,"width":770,"height":11}},{"id":"8a54ea85-084f-4a23-9384-04d72451af02","block_type":"box","text":"investment program, the Fund may not be successful in avoiding the consequences described above. Avoidance of","page_number":171,"box":{"x":70,"y":196,"width":816,"height":11}},{"id":"ecf9f405-acd4-4d6e-9367-43ad1f18b9e0","block_type":"box","text":"investments in REITs that generate excess inclusion income may require the Fund to forego otherwise attractive","page_number":171,"box":{"x":70,"y":211,"width":796,"height":11}},{"id":"4bb8ae32-be1a-436a-aaee-2c57d530770f","block_type":"box","text":"investment oppor tunities.","page_number":171,"box":{"x":70,"y":226,"width":180,"height":11}},{"id":"7c9b6540-53dc-40f4-8cb3-bf0e57a91ef0","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":171,"box":{"x":102,"y":249,"width":801,"height":11}},{"id":"6e90ce05-cdbc-4a77-9781-7defb861bd85","block_type":"box","text":"imposed by foreign countries. Tax conventions between cer tain foreign countries and the United States may reduce or","page_number":171,"box":{"x":70,"y":264,"width":839,"height":11}},{"id":"8739a3c1-f0e4-4db8-a75e-c836e3dad536","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":171,"box":{"x":69,"y":279,"width":840,"height":11}},{"id":"c0bcfbce-c7e0-4521-9d1e-f6a60e390412","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":171,"box":{"x":68,"y":294,"width":837,"height":11}},{"id":"2240a7f5-5333-45b1-9270-2e6ce5e25453","block_type":"box","text":"Fund, subject to cer tain requirements and limitations contained in the Code. For example, cer tain retirement","page_number":171,"box":{"x":70,"y":309,"width":774,"height":11}},{"id":"5c4bd801-e93c-4871-9902-5e0df27f55a4","block_type":"box","text":"accounts and cer tain tax-exempt organizations cannot claim foreign tax credits on investments in foreign securities","page_number":171,"box":{"x":69,"y":324,"width":820,"height":12}},{"id":"079ff562-1bfb-4c7a-b875-ccb11078ae28","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":171,"box":{"x":69,"y":339,"width":795,"height":12}},{"id":"bc09fc3d-1859-4a8d-8923-e9256642b592","block_type":"box","text":"respect to a security only if the holder of the security meets cer tain holding period requirements. Both the","page_number":171,"box":{"x":69,"y":355,"width":755,"height":11}},{"id":"c9fbbb2a-4c4d-492e-b218-8c4c7056bf2d","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":171,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"4b57834f-0e6e-4494-b068-c0106336e02d","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":171,"box":{"x":69,"y":385,"width":839,"height":11}},{"id":"8001e81c-43e2-44f6-9aed-23277b23e3dd","block_type":"box","text":"the Fund. Fur ther, to the extent that a Fund engages in securities lending with respect to a security paying income","page_number":171,"box":{"x":68,"y":400,"width":812,"height":11}},{"id":"63ffe5b4-90e7-4330-b318-7bd2f0465e1b","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":171,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"6ad03b5e-5222-42da-a442-4a3d078c606c","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":171,"box":{"x":68,"y":430,"width":827,"height":11}},{"id":"07417ea0-8121-4fd5-b2e5-332d09393a48","block_type":"box","text":"IRS pursuant to which shareholders of the Fund will be required to include their propor tionate shares of such foreign","page_number":171,"box":{"x":70,"y":445,"width":829,"height":12}},{"id":"2b88a396-28dd-4086-8ff3-92b29cf80ab0","block_type":"box","text":"taxes in their U.S. income tax returns as gross income, treat such propor tionate shares as taxes paid by them, and","page_number":171,"box":{"x":68,"y":460,"width":825,"height":12}},{"id":"f08f0b35-f6e4-4d1c-b7b7-bd2cb34d3382","block_type":"box","text":"deduct such propor tionate shares in computing their taxable incomes or, alternatively, use them as foreign tax","page_number":171,"box":{"x":69,"y":475,"width":788,"height":12}},{"id":"ea33d332-e51d-4fcf-8ebe-3a5742a42143","block_type":"box","text":"credits against their U.S. income taxes. No deductions for foreign taxes, however, may be claimed by noncorporate","page_number":171,"box":{"x":69,"y":491,"width":818,"height":11}},{"id":"d2c1b893-44c1-4bcc-92d4-ad586867448a","block_type":"box","text":"shareholders who do not itemize deductions. A shareholder that is a nonresident alien individual or a foreign","page_number":171,"box":{"x":69,"y":506,"width":773,"height":11}},{"id":"ad16e674-97da-4cb9-b072-fdaaa33198ba","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":171,"box":{"x":69,"y":521,"width":817,"height":11}},{"id":"5d32e527-dc8c-46c3-bc06-caea3b734cf5","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":171,"box":{"x":70,"y":536,"width":814,"height":11}},{"id":"bc4b69c0-178d-4b7c-ac8b-b31eac3d3f71","block_type":"box","text":"having been paid by such shareholder. A Fund will repor t annually to its shareholders the amount per share of such","page_number":171,"box":{"x":69,"y":551,"width":821,"height":11}},{"id":"bd83df57-5d69-46a8-81c4-081c0ba37dad","block_type":"box","text":"foreign taxes and other information needed to claim the foreign tax credit.","page_number":171,"box":{"x":68,"y":566,"width":527,"height":11}},{"id":"daf4cc60-0676-43a2-a53e-1253446b68ba","block_type":"box","text":"Cer tain transactions entered into by the Funds are subject to special tax rules of the Code that may, among","page_number":171,"box":{"x":102,"y":589,"width":768,"height":11}},{"id":"d15a3e1e-e907-41ee-873a-3b5c0e943441","block_type":"box","text":"other things, (a) affect the character of gains and losses realized, (b) disallow, suspend or otherwise limit the","page_number":171,"box":{"x":69,"y":604,"width":780,"height":11}},{"id":"8678ef98-3be7-40b3-9013-8d8a27bdf68e","block_type":"box","text":"allowance of cer tain losses or deductions, and (c) accelerate the recognition of income without a corresponding","page_number":171,"box":{"x":69,"y":619,"width":797,"height":11}},{"id":"37e59a52-9501-4b0e-a11c-d0e8bfe76583","block_type":"box","text":"receipt of cash (with which to make the necessary distributions to satisfy distribution requirements applicable to","page_number":171,"box":{"x":69,"y":634,"width":802,"height":11}},{"id":"a37b5109-d5cf-44ad-a83a-cb2bdc977424","block_type":"box","text":"regulated investment companies). Operation of these rules could, therefore, affect the character, amount and timing","page_number":171,"box":{"x":69,"y":649,"width":831,"height":12}},{"id":"d616e33a-da5b-4484-9cad-92937bea1496","block_type":"box","text":"of distributions to shareholders. Special tax rules also may require a Fund to mark-to-market cer tain types of","page_number":171,"box":{"x":69,"y":664,"width":776,"height":12}},{"id":"53425b53-9d11-4d89-8821-c4d6a3407789","block_type":"box","text":"positions in its por tfolio (","page_number":171,"box":{"x":70,"y":680,"width":177,"height":11}},{"id":"75bf3f8b-f41c-44f4-a786-2b09e5f1ecca","block_type":"box","text":"i.e.","page_number":171,"box":{"x":249,"y":680,"width":20,"height":9}},{"id":"b04fe5c5-56f7-46c5-8273-78d78b7619c0","block_type":"box","text":", treat them as sold on the last day of the taxable year), and may result in the recognition","page_number":171,"box":{"x":272,"y":680,"width":636,"height":11}},{"id":"17c8a157-431a-4e1d-80e6-526eb873f2a4","block_type":"box","text":"of income without a corresponding receipt of cash. Funds engaging in transactions affected by these provisions","page_number":171,"box":{"x":69,"y":695,"width":795,"height":11}},{"id":"92840d64-1b75-4f7d-ac91-346bfaaabec9","block_type":"box","text":"intend to monitor their transactions, make appropriate tax elections and make appropriate entries in their books and","page_number":171,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"d1a496b7-60f0-46c9-af8e-131d9bb68e13","block_type":"box","text":"records to lessen the effect of these tax rules and avoid any possible disqualification from the special treatment","page_number":171,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"12d21fc6-976a-494b-b1cb-8740d2cf72ba","block_type":"box","text":"afforded regulated investment companies under the Code.","page_number":171,"box":{"x":69,"y":740,"width":415,"height":11}},{"id":"1d8e3c55-6ce1-40e9-b829-31ba7f37200a","block_type":"box","text":"Cer tain of a Fund’s investments in derivative instruments and foreign currency-denominated instruments, and","page_number":171,"box":{"x":102,"y":763,"width":781,"height":11}},{"id":"9b0def4f-9e4b-49ad-85c8-e8a83b476de5","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":171,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"0570dacf-1f7c-4611-a1e7-e564184abbec","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":171,"box":{"x":70,"y":793,"width":811,"height":11}},{"id":"506dd741-a186-4ced-a52e-a9bf19d76f8a","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":171,"box":{"x":69,"y":808,"width":818,"height":11}},{"id":"9b5f4845-3d29-47e5-91e5-5fc3c0ce8494","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":171,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"7c38e857-d2cb-4748-9d21-29fa7f31e8d6","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":171,"box":{"x":69,"y":838,"width":834,"height":11}},{"id":"798e1831-0edb-40a8-82a0-fdd5d0b490ec","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":171,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"1060b48b-4868-4dc9-b955-59ce8fcbc021","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":171,"box":{"x":69,"y":869,"width":805,"height":11}},{"id":"eb816e2d-3263-45dc-8b10-3b61bc9e85a8","block_type":"box","text":"II-134","page_number":171,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"1572e4b1-3e75-4ae5-a058-38d11280accd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":171,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8f93d4a3-f528-44df-a39c-5cea3fd4ef76","block_type":"box","text":"earnings and profits (including earnings and profits arising from tax-exempt income), (ii) thereafter, as a return of","page_number":172,"box":{"x":69,"y":45,"width":805,"height":11}},{"id":"5fc99d3c-7c0e-473b-9080-8250fea7e7bc","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":172,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"38f9f913-2857-4e3a-a407-c725e3acd4de","block_type":"box","text":"capital asset.","page_number":172,"box":{"x":69,"y":75,"width":95,"height":11}},{"id":"bafdffd2-9619-4cd0-a7f1-114998f800a8","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":172,"box":{"x":102,"y":98,"width":787,"height":11}},{"id":"c397bd6d-9310-41f9-906d-f0ef0412bb27","block_type":"box","text":"indefinitely or permanently deferred as “wash sales.” Distributions of shor t-term capital gains by underlying funds will","page_number":172,"box":{"x":70,"y":113,"width":836,"height":11}},{"id":"24799eb9-7c6b-4ef9-a9f3-a70e25e7f55f","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":172,"box":{"x":69,"y":128,"width":812,"height":11}},{"id":"8544cc00-884f-40bb-b0ee-d8a51d2f5255","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":172,"box":{"x":69,"y":143,"width":805,"height":11}},{"id":"97b069a3-c769-4eac-b057-1bdeca90d04d","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":172,"box":{"x":68,"y":158,"width":829,"height":11}},{"id":"4700625c-a83b-4811-8a4f-6301ff484b74","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":172,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"c03b7afc-d563-41d2-a1d2-635c422fe43e","block_type":"box","text":"Fund were to invest otherwise.","page_number":172,"box":{"x":70,"y":188,"width":216,"height":9}},{"id":"4816ba6f-3b36-4240-aaf6-fd29f90f59fa","block_type":"box","text":"A Fund may take cer tain positions through a wholly-owned (or majority-owned), foreign subsidiary (the","page_number":172,"box":{"x":101,"y":211,"width":721,"height":11}},{"id":"3f01c61e-8789-46e6-866e-6d9303d81228","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":172,"box":{"x":70,"y":226,"width":787,"height":11}},{"id":"91c33635-66b9-459e-bab8-370f940b6bfa","block_type":"box","text":"income will be “subpar t F income” for U.S. federal income tax purposes. If that is the case, the Fund will be required","page_number":172,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"22be634f-09af-4fa9-970e-a81b9073a235","block_type":"box","text":"to repor t all of the Subsidiary’s net income as ordinary income regardless of whether that income would be treated","page_number":172,"box":{"x":68,"y":256,"width":823,"height":12}},{"id":"7ed07c45-4bab-4d1c-895b-b3fa9baeb9af","block_type":"box","text":"differently (for example, as capital gain) at the Subsidiary level and regardless of whether that income is distributed","page_number":172,"box":{"x":69,"y":271,"width":825,"height":12}},{"id":"3bee3e7a-c6a4-47ae-9284-f22eda6895fa","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":172,"box":{"x":68,"y":286,"width":838,"height":12}},{"id":"8fb4d08c-3d08-4c97-8dcd-c5a2be75c99a","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":172,"box":{"x":68,"y":302,"width":830,"height":11}},{"id":"7f702734-0554-4539-8a0d-8ee7a9186ca5","block_type":"box","text":"expected that the Subsidiary will be subject to an entity-level federal tax.","page_number":172,"box":{"x":69,"y":317,"width":515,"height":11}},{"id":"2a9d9b2d-dd86-4d4e-a8dd-1238d61ada11","block_type":"box","text":"If a Fund purchases shares of an investment company (or similar investment entity) organized under foreign law,","page_number":172,"box":{"x":102,"y":339,"width":798,"height":12}},{"id":"9e8c8680-ef3d-4bb8-91c0-dd2265462d7b","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":172,"box":{"x":68,"y":355,"width":835,"height":11}},{"id":"1b59755c-e836-4760-bb63-d723464fbbcf","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":172,"box":{"x":70,"y":370,"width":827,"height":11}},{"id":"bcbc93ef-8702-48d6-94a7-42101b919a31","block_type":"box","text":"to tax underpayments) on tax liability treated as having been deferred with respect to cer tain distributions from such","page_number":172,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"bfaad48a-3ac2-4366-a2a4-8a4c23fb8385","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":172,"box":{"x":69,"y":400,"width":802,"height":11}},{"id":"68e3bc8d-98cd-4d51-95ab-8f521077641d","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":172,"box":{"x":69,"y":415,"width":821,"height":11}},{"id":"86adacc9-37be-4a7f-a079-ccb3f19dbeca","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":172,"box":{"x":70,"y":430,"width":797,"height":11}},{"id":"637dd402-1d23-4fe8-9b04-a376c92cc3bc","block_type":"box","text":"made separately for each PFIC held and, once made, would be effective for all subsequent taxable years, unless","page_number":172,"box":{"x":69,"y":445,"width":801,"height":11}},{"id":"4ef8b557-e985-4bf9-9742-03d8f71d27fb","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":172,"box":{"x":69,"y":460,"width":818,"height":12}},{"id":"8d4abdb2-1162-44fb-8cd6-fd1510d584d4","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":172,"box":{"x":68,"y":475,"width":797,"height":12}},{"id":"604da55d-c66e-46c8-a4c6-d986a9e45434","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":172,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"9647a0c9-4fdf-4b93-97a9-9721e16eb84e","block_type":"box","text":"to-market election, a Fund could avoid imposition of the interest charge with respect to excess distributions from","page_number":172,"box":{"x":68,"y":506,"width":804,"height":11}},{"id":"449e6369-4344-4228-85f3-37df0a1b2a3e","block_type":"box","text":"PFICs, but in any par ticular year might be required to recognize income in excess of the distributions it received from","page_number":172,"box":{"x":69,"y":521,"width":831,"height":11}},{"id":"3173c8e6-ec51-4a3e-9a2f-945605aeecf9","block_type":"box","text":"PFICs.","page_number":172,"box":{"x":69,"y":536,"width":42,"height":9}},{"id":"4e092678-2888-48f6-b245-a4c91eb8a4d2","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":172,"box":{"x":102,"y":559,"width":804,"height":11}},{"id":"a30245af-eaf4-4541-b6ab-3baa9f2e4185","block_type":"box","text":"of the foregoing requirements, the Fund would be required to include in income each year a por tion of the ordinary","page_number":172,"box":{"x":69,"y":574,"width":816,"height":11}},{"id":"1011f4c0-99f6-417f-8cfe-87dec55bf62e","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":172,"box":{"x":69,"y":589,"width":816,"height":11}},{"id":"e0acea5c-b208-401e-a7c7-9d0b327c3e6d","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":172,"box":{"x":68,"y":604,"width":840,"height":11}},{"id":"984dfc3c-e3f8-4986-b6ff-e3a2a80f038d","block_type":"box","text":"the Fund would be required to obtain cer tain annual information from the PFICs in which it invests, which may be","page_number":172,"box":{"x":68,"y":619,"width":804,"height":11}},{"id":"f83b5cbb-e9eb-4be6-b6db-524aa5d072ed","block_type":"box","text":"difficult or impossible to obtain.","page_number":172,"box":{"x":69,"y":634,"width":225,"height":11}},{"id":"584b94ef-0b1b-4415-a3ba-bad95a7adf1b","block_type":"box","text":"In cer tain situations, a Fund may, for a taxable year, defer all or a por tion of its net capital loss (or if there is no","page_number":172,"box":{"x":102,"y":657,"width":796,"height":11}},{"id":"8b17b04e-e311-457d-b312-624855335960","block_type":"box","text":"net capital loss, any net long-term or shor t-term capital loss) realized after October and its late-year ordinary loss","page_number":172,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"a97d7f51-d737-4446-8c3b-334270795662","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":172,"box":{"x":69,"y":687,"width":778,"height":11}},{"id":"6bacb7e5-6ca5-4f2f-abc4-49be6ff79253","block_type":"box","text":"currency and PFIC gains plus the excess of post-December ordinary losses over post-December ordinary income) until","page_number":172,"box":{"x":69,"y":702,"width":838,"height":12}},{"id":"35d033cc-b5fe-4d0a-9b5f-14432ea66a81","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":172,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"471ec584-5bc6-4f63-b6f5-643e07525efc","block_type":"box","text":"recognition of such realized losses. Such deferrals and other rules regarding gains and losses realized after October","page_number":172,"box":{"x":69,"y":732,"width":830,"height":12}},{"id":"d2adae6b-433c-4fff-ad73-a849ca3f63fe","block_type":"box","text":"(or December) may affect the tax character of shareholder distributions.","page_number":172,"box":{"x":69,"y":748,"width":511,"height":11}},{"id":"8a8f8cac-e6d4-4bec-a585-e092cabad81f","block_type":"box","text":"Municipal Funds","page_number":172,"box":{"x":102,"y":771,"width":115,"height":10}},{"id":"bd327465-173b-420b-a21c-185f6bdcef55","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":172,"box":{"x":102,"y":793,"width":798,"height":11}},{"id":"3826198b-bddd-4f97-86c6-b0d380456ff5","block_type":"box","text":"Code. Under such section if, at the close of each quar ter of a Fund’s taxable year, at least 50% of the value of the","page_number":172,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"ee55cd67-525a-4f6e-b094-d10cc2fc198f","block_type":"box","text":"Fund’s total assets consists of obligations exempt from U.S. federal income tax (“tax-exempt obligations”) under","page_number":172,"box":{"x":70,"y":823,"width":803,"height":12}},{"id":"fc4db030-7231-4af6-8e52-8b6a4dc91a4c","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":172,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"ab52eb82-d075-403b-a60b-5483059f1176","block_type":"box","text":"qualified to pay exempt-interest dividends to holders of all outstanding classes of its shares (together the","page_number":172,"box":{"x":69,"y":853,"width":752,"height":12}},{"id":"aab52f93-5141-4389-8397-a4d89da11162","block_type":"box","text":"“shareholders”). Exempt-interest dividends are dividends or any par t thereof paid by a Fund that are attributable to","page_number":172,"box":{"x":70,"y":869,"width":817,"height":11}},{"id":"6aa07e4b-3bc4-4203-be60-66717ffd66ca","block_type":"box","text":"interest on tax-exempt obligations and repor ted by the Fund as exempt-interest dividends. A Fund will allocate","page_number":172,"box":{"x":70,"y":884,"width":780,"height":11}},{"id":"45a8e10c-caf8-4b91-9ae8-7d5f02288f22","block_type":"box","text":"interest from tax-exempt obligations (as well as ordinary income, capital gains and tax preference items discussed","page_number":172,"box":{"x":70,"y":899,"width":815,"height":11}},{"id":"42624ae2-81f5-418f-810c-0f8022369b0d","block_type":"box","text":"II-135","page_number":172,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e19b929c-e25b-4c0e-8c5b-92ed7c7662c0","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":172,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ab50307f-cd59-497d-b635-277083c2828e","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":173,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"46924be5-a5ca-42fa-b01e-c185b74233d8","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":173,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"158db64e-62a1-417f-9dee-401bf8eaf2cd","block_type":"box","text":"to each class of shareholders during the taxable year, or such other method as the IRS may prescribe.","page_number":173,"box":{"x":68,"y":75,"width":730,"height":11}},{"id":"ff5b7872-2450-4882-848a-0a30012de791","block_type":"box","text":"Exempt-interest dividends will be excludable from a shareholder’s gross income for U.S. federal income tax","page_number":173,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"ba75c48a-65dd-4d55-bd6c-9ae466c9605e","block_type":"box","text":"purposes. Exempt-interest dividends are included, however, in determining the por tion, if any, of a person’s social","page_number":173,"box":{"x":70,"y":113,"width":809,"height":11}},{"id":"c79d0387-383c-450c-9825-373bdc9306b6","block_type":"box","text":"security and railroad retirement benefits subject to U.S. federal income taxes. Interest on indebtedness incurred or","page_number":173,"box":{"x":69,"y":128,"width":821,"height":11}},{"id":"c73df00f-98eb-4766-ac04-de21e0d461aa","block_type":"box","text":"continued to purchase or carry shares of a regulated investment company paying exempt-interest dividends, such as","page_number":173,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"1067b2d5-e575-4be0-844f-94cc4eafc126","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":173,"box":{"x":68,"y":158,"width":800,"height":11}},{"id":"bc49e892-bdea-4c24-819f-c17d216323bc","block_type":"box","text":"exempt-interest dividends. Shareholders are advised to consult their tax advisors with respect to whether exempt","page_number":173,"box":{"x":69,"y":173,"width":810,"height":11}},{"id":"ebe02e0f-a4f8-47a6-ba49-3e38011c3677","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":173,"box":{"x":70,"y":188,"width":836,"height":11}},{"id":"2fe7de85-8449-4a0e-9779-b94e7fa70f1c","block_type":"box","text":"user” or “related person” under Code Section 147(a) with respect to proper ty financed with the proceeds of an issue","page_number":173,"box":{"x":69,"y":203,"width":835,"height":12}},{"id":"23a82023-0ac7-49dd-8472-457244dfa602","block_type":"box","text":"of PABs, if any, held by a Fund.","page_number":173,"box":{"x":69,"y":218,"width":217,"height":12}},{"id":"8d8327fc-53e0-4f47-a20e-e213f5a9da89","block_type":"box","text":"Substitute payments received by a Fund representing interest paid on tax-exempt obligations loaned out by the","page_number":173,"box":{"x":102,"y":241,"width":788,"height":11}},{"id":"cc8858f9-4d48-4d63-883d-375107d17f8b","block_type":"box","text":"Fund will not be considered exempt interest, and distributions by the Fund of such substitute payments will not","page_number":173,"box":{"x":70,"y":256,"width":790,"height":11}},{"id":"643f0fb4-95ff-46f6-86f2-37f502a34d79","block_type":"box","text":"constitute exempt-interest dividends.","page_number":173,"box":{"x":69,"y":272,"width":261,"height":10}},{"id":"3f8af555-7fab-434f-b29f-40c2a38c07e4","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":173,"box":{"x":102,"y":294,"width":765,"height":11}},{"id":"d7966496-fb98-422d-a9ff-fa837122357c","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":173,"box":{"x":69,"y":309,"width":819,"height":11}},{"id":"1858cee5-e90c-459f-ab7d-29227b1d8eae","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":173,"box":{"x":68,"y":324,"width":813,"height":12}},{"id":"3c0d4422-0682-47fa-8fda-6ec6ddc9f7d5","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":173,"box":{"x":70,"y":339,"width":809,"height":12}},{"id":"cb9a15f8-a431-47f7-9c10-ccb6b13c8b68","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":173,"box":{"x":69,"y":355,"width":829,"height":11}},{"id":"549c7dbf-81ee-4b66-8508-fba0e421d375","block_type":"box","text":"any capital gain dividends received by the shareholder.","page_number":173,"box":{"x":69,"y":370,"width":388,"height":11}},{"id":"9849d106-0b9d-4698-b464-a319eed6a2fc","block_type":"box","text":"All or a por tion of a Fund’s gains from the sale or redemption of tax-exempt obligations purchased at a market","page_number":173,"box":{"x":101,"y":392,"width":787,"height":12}},{"id":"fc59de5c-2a98-4227-89f9-130eb478f159","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":173,"box":{"x":69,"y":407,"width":817,"height":12}},{"id":"e368a97c-ddca-4794-af50-ffe3a611ee46","block_type":"box","text":"income dividends received by shareholders.","page_number":173,"box":{"x":70,"y":423,"width":309,"height":11}},{"id":"18636b89-579a-46af-9265-cb9d3780cb63","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":173,"box":{"x":101,"y":446,"width":766,"height":11}},{"id":"2bb6df8f-9018-4042-8433-36cd578dc311","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":173,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"8ea4b931-8992-4a67-9bf6-41c2f7a416cf","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":173,"box":{"x":70,"y":476,"width":815,"height":11}},{"id":"eb56d62f-0580-4aed-93ec-75458e1bcc7e","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":173,"box":{"x":70,"y":491,"width":815,"height":11}},{"id":"ffa69448-be1d-43f0-a7c4-2f19216ffe64","block_type":"box","text":"the accrued market discount.","page_number":173,"box":{"x":68,"y":506,"width":208,"height":9}},{"id":"c4251acd-39d2-4ac8-8fb2-477502bf5b92","block_type":"box","text":"The Code subjects interest received on cer tain otherwise tax-exempt securities to a federal alternative minimum","page_number":173,"box":{"x":101,"y":528,"width":801,"height":12}},{"id":"7ac1cf8e-3a14-487c-8ae1-0885b1a5ce06","block_type":"box","text":"tax. The alternative minimum tax applies to interest received on cer tain “PABs” issued after August 7, 1986. PABs","page_number":173,"box":{"x":68,"y":543,"width":818,"height":12}},{"id":"ba874c14-279e-4de5-8083-8dcf5f06f902","block_type":"box","text":"are bonds that, although tax-exempt, are used for purposes other than those generally per formed by governmental","page_number":173,"box":{"x":69,"y":559,"width":816,"height":11}},{"id":"217334b0-23fc-437f-968a-0de80b0df9df","block_type":"box","text":"units and that benefit non-governmental entities (","page_number":173,"box":{"x":69,"y":574,"width":351,"height":11}},{"id":"628b11c6-d973-4957-baeb-fdeb4c859619","block_type":"box","text":"e.g.","page_number":173,"box":{"x":422,"y":575,"width":24,"height":10}},{"id":"510b3bd4-d9fb-4e10-bafe-584353c40443","block_type":"box","text":", bonds used for industrial development or housing purposes).","page_number":173,"box":{"x":449,"y":574,"width":441,"height":11}},{"id":"3f43cc3b-88a2-4d68-9f41-95851d66037e","block_type":"box","text":"Income received on such bonds is classified as an item of “tax preference,” which could subject cer tain investors in","page_number":173,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"7a540f37-279d-403f-bb9c-9a0e90eb3cb3","block_type":"box","text":"such bonds, including shareholders of a Fund, to a federal alternative minimum tax. A Fund will purchase such","page_number":173,"box":{"x":69,"y":604,"width":786,"height":11}},{"id":"aca2f8f8-b3da-460a-b999-7720d943590f","block_type":"box","text":"“PABs” and will repor t to shareholders after the close of the calendar year the por tion of the Fund’s dividends","page_number":173,"box":{"x":70,"y":619,"width":782,"height":11}},{"id":"1c5449e1-6292-4cd9-a29d-652262794bc5","block_type":"box","text":"declared during the year that constitute an item of tax preference for alternative minimum tax purposes.","page_number":173,"box":{"x":69,"y":634,"width":740,"height":12}},{"id":"59a1d929-35a1-4359-83bf-40cc0cd5e647","block_type":"box","text":"Each Municipal Fund may engage in interest rate swap transactions. The U.S. federal income tax rules governing","page_number":173,"box":{"x":102,"y":657,"width":802,"height":11}},{"id":"57c054de-1cd2-45a4-b53f-eae433485090","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":173,"box":{"x":68,"y":672,"width":812,"height":11}},{"id":"15ace14e-97db-44d0-9132-6b91e1ee851c","block_type":"box","text":"such arrangements as ordinary income and to amor tize payments made under cer tain circumstances. Because","page_number":173,"box":{"x":69,"y":687,"width":794,"height":11}},{"id":"dd9d5bda-b67c-40ad-b580-863f56e12cb5","block_type":"box","text":"payments received by a Fund in connection with swap transactions will be taxable rather than tax-exempt and","page_number":173,"box":{"x":70,"y":703,"width":776,"height":10}},{"id":"8132ba64-09f7-4746-a23e-f00e963195d6","block_type":"box","text":"because swap payments made by a Fund will offset both taxable and tax-exempt gross income propor tionately, they","page_number":173,"box":{"x":69,"y":717,"width":826,"height":12}},{"id":"91361000-a1c4-408e-9090-b97cc73c108a","block_type":"box","text":"may result in increased taxable distributions to shareholders.","page_number":173,"box":{"x":69,"y":733,"width":436,"height":11}},{"id":"22d69852-3ab8-4156-b736-633ec27c0975","block_type":"box","text":"Please see Par t I of your Fund’s SAI for cer tain state tax information relevant to an investment in BlackRock","page_number":173,"box":{"x":102,"y":755,"width":771,"height":11}},{"id":"d3a0bdd0-6f83-42b4-9b78-f666d5f4a686","block_type":"box","text":"California Municipal Oppor tunities Fund, BlackRock New Jersey Municipal Bond Fund, BlackRock New York Municipal","page_number":173,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"030bd7d4-c73c-4cee-a1e8-d7b44e97bdb5","block_type":"box","text":"Oppor tunities Fund and BlackRock Pennsylvania Municipal Bond Fund, as well as information on economic conditions","page_number":173,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"0f5e4db0-e6c8-4725-b20b-b5f033f17ba5","block_type":"box","text":"within each applicable state.","page_number":173,"box":{"x":68,"y":801,"width":203,"height":11}},{"id":"b37c00da-37ba-4e58-92be-5cb39046a51a","block_type":"box","text":"In the case of a Feeder Fund, such Fund is entitled to look to the underlying assets of the Master Por tfolio in","page_number":173,"box":{"x":102,"y":823,"width":774,"height":12}},{"id":"1f2f97bb-8def-4fbe-8d1d-bc5262478bd1","block_type":"box","text":"which it has invested for purposes of satisfying various qualification requirements of the Code applicable to regulated","page_number":173,"box":{"x":68,"y":838,"width":837,"height":12}},{"id":"559feacd-7152-4121-867a-0bf6c4e5501d","block_type":"box","text":"investment companies. Each Master Por tfolio is classified either as a par tnership or a separate disregarded entity","page_number":173,"box":{"x":70,"y":853,"width":816,"height":12}},{"id":"6d6e73be-d23f-4a6d-adf3-9911467719e7","block_type":"box","text":"(depending on the par ticular Master Por tfolio) for U.S. federal income tax purposes. If applicable tax provisions were","page_number":173,"box":{"x":69,"y":869,"width":830,"height":11}},{"id":"7b24cc72-6847-4c4b-ad74-d13dcbc8ce59","block_type":"box","text":"to change the classification of a Master Por tfolio, then the Board of Directors of a Feeder Fund would determine, in","page_number":173,"box":{"x":68,"y":884,"width":822,"height":11}},{"id":"edfac45b-0d3f-42dd-b195-5dac114c691d","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":173,"box":{"x":70,"y":899,"width":783,"height":11}},{"id":"cdaa6753-c238-4167-bab2-1b29c5ce6d83","block_type":"box","text":"II-136","page_number":173,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"593cc6a3-0687-4c9e-ae1a-30ee26633bac","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":173,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f99711bc-6357-4009-a365-ef8092e0ddbc","block_type":"box","text":"withdraw the Feeder Fund’s investments from the Master Por tfolio and to retain an investment manager to manage","page_number":174,"box":{"x":68,"y":45,"width":822,"height":11}},{"id":"f51b3ee6-099b-4fce-95e0-5c98dabf33b6","block_type":"box","text":"the Feeder Fund’s assets in accordance with the investment policies applicable to the Feeder Fund.","page_number":174,"box":{"x":68,"y":60,"width":710,"height":11}},{"id":"f90e26ff-4ea5-4358-9451-9593851aa823","block_type":"box","text":"Ordinary income and capital gain dividends may also be subject to state and local taxes. Cer tain states exempt","page_number":174,"box":{"x":102,"y":83,"width":796,"height":11}},{"id":"a38d1424-a1cc-4c04-b486-2cb942561dab","block_type":"box","text":"from state income taxation dividends paid by regulated investment companies that are derived from interest on U.S.","page_number":174,"box":{"x":68,"y":98,"width":828,"height":11}},{"id":"ff0bda4f-8b07-48af-b5a2-9be100db24c0","block_type":"box","text":"government obligations. State law varies as to whether dividend income attributable to U.S. government obligations is","page_number":174,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"4fe9e874-9270-4b2a-b052-ceb81eb2b34e","block_type":"box","text":"exempt from state income tax.","page_number":174,"box":{"x":69,"y":128,"width":216,"height":11}},{"id":"14dbe03d-ab49-4a5d-9121-11db02dcad49","block_type":"box","text":"Shareholders of each Fund are urged to consult their tax advisers regarding specific questions as to federal,","page_number":174,"box":{"x":102,"y":150,"width":771,"height":12}},{"id":"90dcaf74-959e-4aec-b70f-16f8c74b0a50","block_type":"box","text":"foreign, state or local taxes with respect to their Fund. Foreign investors should consider applicable foreign taxes in","page_number":174,"box":{"x":68,"y":166,"width":823,"height":11}},{"id":"1ee02547-c95e-44a2-bb7b-65148aba81b4","block_type":"box","text":"their evaluation of an investment in a Fund.","page_number":174,"box":{"x":68,"y":181,"width":309,"height":9}},{"id":"6acb7145-90d4-4107-8804-408459830536","block_type":"box","text":"The foregoing general discussion of U.S. federal income tax consequences is based on the Code and the","page_number":174,"box":{"x":101,"y":203,"width":749,"height":12}},{"id":"229954a5-f56a-4a62-9e2c-49f231549297","block_type":"box","text":"regulations issued thereunder as in effect on the date of this SAI. Future legislative or administrative changes or","page_number":174,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"192846ba-487c-4880-9f26-71c64ba527f8","block_type":"box","text":"cour t decisions may significantly change the conclusions expressed in this discussion, and any such changes or","page_number":174,"box":{"x":69,"y":234,"width":801,"height":11}},{"id":"6540fff9-97ce-4156-acc3-b683a53065b0","block_type":"box","text":"decisions may have a retroactive effect.","page_number":174,"box":{"x":69,"y":249,"width":283,"height":11}},{"id":"c10fcbb3-f7bf-4e1c-a10b-0b57665d2239","block_type":"box","text":"PERFORMANCE DATA","page_number":174,"box":{"x":403,"y":278,"width":173,"height":10}},{"id":"c241d5e5-04c1-4179-8c2e-799e282b1b60","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":174,"box":{"x":102,"y":301,"width":738,"height":11}},{"id":"5b39939d-2427-4502-8381-df24d0e82189","block_type":"box","text":"applicable, yield and tax-equivalent yield in adver tisements or information furnished to present or prospective","page_number":174,"box":{"x":69,"y":316,"width":779,"height":11}},{"id":"3ab258b8-97ae-49bd-8003-1f2778f1fe68","block_type":"box","text":"shareholders. Total return, yield and tax-equivalent yield each is based on a Fund’s historical per formance and is not","page_number":174,"box":{"x":69,"y":331,"width":833,"height":11}},{"id":"26df8199-82e2-4bf1-af9f-d5fe08e68899","block_type":"box","text":"intended to indicate future per formance. Average annual total return is determined separately for each class of","page_number":174,"box":{"x":70,"y":346,"width":792,"height":12}},{"id":"671a72fb-f358-4b77-b5cd-6bd7df6e969d","block_type":"box","text":"shares in accordance with a formula specified by the Commission.","page_number":174,"box":{"x":69,"y":361,"width":473,"height":12}},{"id":"190c1455-4033-4f93-be9a-44597ecca7d6","block_type":"box","text":"Quotations of average annual total return, before tax, for the specified periods are computed by finding the","page_number":174,"box":{"x":102,"y":384,"width":761,"height":11}},{"id":"2206a534-c226-495b-ab38-e67ed9f8af6b","block_type":"box","text":"average annual compounded rates of return (based on net investment income and any realized and unrealized capital","page_number":174,"box":{"x":69,"y":399,"width":836,"height":12}},{"id":"51966c09-d371-4e73-a5df-172612d4c76a","block_type":"box","text":"gains or losses on por tfolio investments over such periods) that would equate the initial amount invested to the","page_number":174,"box":{"x":68,"y":414,"width":798,"height":12}},{"id":"c74f79ad-8879-425a-a410-88dad1a460e7","block_type":"box","text":"redeemable value of such investment at the end of each period. Average annual total return before taxes is","page_number":174,"box":{"x":69,"y":429,"width":765,"height":12}},{"id":"324557ea-4332-4dfd-b5b8-1b7b6e6ac0d6","block_type":"box","text":"computed assuming all dividends are reinvested and taking into account all applicable recurring and nonrecurring","page_number":174,"box":{"x":69,"y":445,"width":808,"height":11}},{"id":"0c7bb779-c5b5-4285-b61a-5f64c5055a5b","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":174,"box":{"x":69,"y":460,"width":813,"height":11}},{"id":"ea72a773-6eb3-4f6c-bfa4-26d901f9041b","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":174,"box":{"x":69,"y":475,"width":839,"height":11}},{"id":"90dc94ac-22ae-4b42-a558-6f93ed18a056","block_type":"box","text":"but does not take into account taxes payable on dividends or on redemption.","page_number":174,"box":{"x":69,"y":490,"width":546,"height":11}},{"id":"f04048a8-d11c-4751-a549-488416959363","block_type":"box","text":"Quotations of average annual total return, after taxes, on dividends for the specified periods are computed by","page_number":174,"box":{"x":102,"y":513,"width":781,"height":11}},{"id":"3f9eec58-eca7-408d-b8e1-6c02fd758fb8","block_type":"box","text":"finding the average annual compounded rates of return that would equate the initial amount invested to the ending","page_number":174,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"304b10a3-cc2d-454d-a0d3-5d94807b468d","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":174,"box":{"x":68,"y":543,"width":810,"height":11}},{"id":"fd95b861-9c6e-4198-8938-16309466f7fc","block_type":"box","text":"period. Average annual total return after taxes on dividends is computed assuming all dividends, less the taxes due","page_number":174,"box":{"x":70,"y":558,"width":823,"height":11}},{"id":"2a82ede0-781e-41ed-b7e8-c54ba2a91ede","block_type":"box","text":"on such dividends, are reinvested and taking into account all applicable recurring and nonrecurring expenses,","page_number":174,"box":{"x":69,"y":573,"width":780,"height":11}},{"id":"aa58478f-2a0a-4f89-ae5a-7889c7735b68","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":174,"box":{"x":70,"y":588,"width":825,"height":12}},{"id":"20c056ac-fb72-4ce1-baef-0d21f9a16cf8","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":174,"box":{"x":69,"y":603,"width":817,"height":11}},{"id":"2d434fda-31ed-4849-934e-c76daa057e4d","block_type":"box","text":"due on dividends are calculated by applying to each dividend the highest applicable marginal U.S. federal individual","page_number":174,"box":{"x":69,"y":618,"width":820,"height":12}},{"id":"1be7d71f-5e4a-4d21-b4c5-6c9e99b0adbb","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":174,"box":{"x":70,"y":634,"width":833,"height":11}},{"id":"cdb4bef3-8655-4de6-8655-3f13b3367de7","block_type":"box","text":"(including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each dividend. The","page_number":174,"box":{"x":69,"y":649,"width":797,"height":11}},{"id":"49b6a530-f791-48b5-9463-2dc59813bc62","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":174,"box":{"x":68,"y":664,"width":824,"height":11}},{"id":"405c9f39-8252-486f-94ed-737b002a29c7","block_type":"box","text":"may be adjusted to reflect subsequent recharacterizations of distributions. The applicable tax rates may vary over the","page_number":174,"box":{"x":69,"y":679,"width":837,"height":11}},{"id":"8698629d-7309-4a32-b018-12eb562fbddb","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":694,"width":814,"height":11}},{"id":"d685e91a-5f53-447d-bdfc-14860e32d5a9","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":174,"box":{"x":69,"y":709,"width":830,"height":11}},{"id":"f07ea4fc-1262-488e-ab55-a90208ab9231","block_type":"box","text":"redemption at the end of the applicable periods with no tax consequences associated with such redemption.","page_number":174,"box":{"x":69,"y":724,"width":774,"height":11}},{"id":"172d8963-a5d5-48ef-8a36-3657cf38c710","block_type":"box","text":"Quotations of average annual total return, after taxes, on both dividends and redemption for the specified","page_number":174,"box":{"x":102,"y":747,"width":752,"height":11}},{"id":"35bcb0c5-f3c4-48a5-942c-35f00270cfe6","block_type":"box","text":"periods are computed by finding the average annual compounded rates of return that would equate the initial amount","page_number":174,"box":{"x":70,"y":762,"width":835,"height":11}},{"id":"fca9f94e-eb32-4bfb-af0e-3bc6835c22d9","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":174,"box":{"x":70,"y":777,"width":820,"height":12}},{"id":"aa958d2f-0aa8-4672-a81d-be5fafeb0440","block_type":"box","text":"received during such period as well as on complete redemption. Average annual total return after taxes on","page_number":174,"box":{"x":69,"y":792,"width":756,"height":12}},{"id":"dc3beb73-c958-4c65-bab1-4495d872ab0a","block_type":"box","text":"distributions and redemption is computed assuming all dividends, less the taxes due on such dividends, are","page_number":174,"box":{"x":69,"y":808,"width":772,"height":11}},{"id":"74e0824f-05b6-4afc-abb1-f17d650e18a5","block_type":"box","text":"reinvested and taking into account all applicable recurring and nonrecurring expenses, including the maximum sales","page_number":174,"box":{"x":69,"y":823,"width":827,"height":11}},{"id":"686f26fa-6d89-490d-a0cd-d896c5218b75","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":174,"box":{"x":69,"y":838,"width":825,"height":11}},{"id":"939a966d-24e4-4137-bd52-23f55f43d6ba","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":174,"box":{"x":70,"y":853,"width":812,"height":11}},{"id":"18ea99d3-0207-4c66-8f19-1e6223032a42","block_type":"box","text":"complete redemption and payment of taxes due on such redemption. The ending value is determined assuming","page_number":174,"box":{"x":69,"y":868,"width":795,"height":11}},{"id":"c8cfec24-58aa-472e-8de0-36eba9c55300","block_type":"box","text":"complete redemption at the end of the applicable periods, subtracting capital gains taxes resulting from the","page_number":174,"box":{"x":69,"y":883,"width":768,"height":11}},{"id":"2399370c-46d3-4700-8f97-5128f0465981","block_type":"box","text":"redemption and adding the presumed tax benefit from capital losses resulting from redemption. The taxes due on","page_number":174,"box":{"x":69,"y":898,"width":810,"height":11}},{"id":"5ecbe568-6647-45cc-855e-1a1d9ce1c9c9","block_type":"box","text":"II-137","page_number":174,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"6c272dc0-d924-4b25-9b34-499e645fb624","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":174,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"dfef3015-1031-4d7c-b195-c72970580de7","block_type":"box","text":"dividends and on the deemed redemption are calculated by applying the highest applicable marginal U.S. federal","page_number":175,"box":{"x":69,"y":45,"width":802,"height":11}},{"id":"ad1b1a2c-cae4-4c00-a8fa-b5c8059d1a4a","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":175,"box":{"x":70,"y":60,"width":825,"height":11}},{"id":"0ef8fb2a-9004-4da1-a091-cc51102e77af","block_type":"box","text":"the tax character (including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each","page_number":175,"box":{"x":68,"y":75,"width":823,"height":11}},{"id":"64249d01-fe7c-497f-ba1c-42ea428c5d4e","block_type":"box","text":"component of each dividend and/or the redemption payment. The applicable tax rates may vary over the","page_number":175,"box":{"x":69,"y":90,"width":743,"height":11}},{"id":"0387da58-8bb3-41f0-b296-209f12dc909c","block_type":"box","text":"measurement period. The effects of state and local taxes are not reflected. Applicable tax credits, such as foreign","page_number":175,"box":{"x":69,"y":105,"width":814,"height":11}},{"id":"6c5605ed-88bd-4b50-b9da-12f01ab42e92","block_type":"box","text":"tax credits, are taken into account according to federal law.","page_number":175,"box":{"x":68,"y":120,"width":422,"height":12}},{"id":"209e975a-2cff-4786-a385-1901706241ec","block_type":"box","text":"A Fund also may quote annual, average annual and annualized total return and aggregate total return","page_number":175,"box":{"x":101,"y":143,"width":720,"height":11}},{"id":"ccc825ce-4abf-4cf6-94a2-3574688c7e60","block_type":"box","text":"per formance data, both as a percentage and as a dollar amount based on a hypothetical investment of $1,000 or","page_number":175,"box":{"x":70,"y":157,"width":813,"height":12}},{"id":"60c44eca-7598-48d1-a641-74662085c79a","block_type":"box","text":"some other amount, for various periods other than those noted in Par t I of each Fund’s SAI. Such data will be","page_number":175,"box":{"x":69,"y":173,"width":781,"height":11}},{"id":"4c360eaf-4320-4a53-af45-dcee650e5245","block_type":"box","text":"computed as described above, except that (1) as required by the periods of the quotations, actual annual, annualized","page_number":175,"box":{"x":69,"y":188,"width":837,"height":11}},{"id":"4bccff9d-c7ee-4eec-81a9-20a97d787d48","block_type":"box","text":"or aggregate data, rather than average annual data, may be quoted and (2) the maximum applicable sales charges","page_number":175,"box":{"x":69,"y":203,"width":817,"height":12}},{"id":"bc618cfa-a57b-4c32-817f-5feedc05c93e","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":175,"box":{"x":68,"y":218,"width":815,"height":11}},{"id":"3752ce7d-ea79-4fb2-a3a0-7d4fd008ee02","block_type":"box","text":"per formance data calculations of including or excluding the maximum applicable sales charges, actual annual or","page_number":175,"box":{"x":70,"y":234,"width":801,"height":11}},{"id":"6b26b812-da48-4685-a59a-9ee13a3ac609","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":175,"box":{"x":69,"y":249,"width":819,"height":11}},{"id":"2501c3c6-56cc-4fcc-b8ff-324b381869cc","block_type":"box","text":"return reflect compounding of return; aggregate total return data generally will be higher than average annual total","page_number":175,"box":{"x":69,"y":264,"width":811,"height":11}},{"id":"e945e70b-bbd6-4ef6-b643-6d36b69f485b","block_type":"box","text":"return data since the aggregate rates of return reflect compounding over a longer period of time.","page_number":175,"box":{"x":69,"y":279,"width":686,"height":11}},{"id":"39b600e1-30b3-4fd7-999a-608e2639ee3d","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":175,"box":{"x":101,"y":302,"width":796,"height":11}},{"id":"489824c5-93dc-413d-9bf3-be4be6e80815","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":175,"box":{"x":69,"y":317,"width":821,"height":11}},{"id":"f0213ec5-bca1-4f53-9e46-64f3168cafa0","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":175,"box":{"x":68,"y":332,"width":817,"height":11}},{"id":"60296a08-05f6-4645-8178-65f31e8b1225","block_type":"box","text":"Tax equivalent yield quotations will be computed by dividing (a) the par t of a Fund’s yield that is tax-exempt by (b) one","page_number":175,"box":{"x":68,"y":347,"width":837,"height":11}},{"id":"3215f8bf-2368-4779-afda-86a5dc82791c","block_type":"box","text":"minus a stated tax rate and adding the result to that par t, if any, of the Fund’s yield that is not tax-exempt.","page_number":175,"box":{"x":69,"y":362,"width":759,"height":11}},{"id":"315c991e-5c1a-4ebf-8ad8-77434a67cc88","block_type":"box","text":"A Fund’s total return will vary depending on market conditions, the securities comprising a Fund’s por tfolio, a","page_number":175,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"bd95c854-c2b1-4c81-97e9-e79e66a159bf","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":175,"box":{"x":70,"y":400,"width":819,"height":11}},{"id":"8583c207-32b9-4a96-a785-a7f720769175","block_type":"box","text":"The value of an investment in a Fund will fluctuate and an investor’s shares, when redeemed, may be wor th more or","page_number":175,"box":{"x":68,"y":415,"width":830,"height":11}},{"id":"0e16af38-3c13-4ef0-8299-ec559b32ace0","block_type":"box","text":"less than their original cost.","page_number":175,"box":{"x":70,"y":430,"width":196,"height":11}},{"id":"5468d5f1-3153-4fa1-a3e5-4f8cebe9a5ff","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":175,"box":{"x":102,"y":453,"width":782,"height":11}},{"id":"03962a21-c016-44fb-9931-671caa06bd9f","block_type":"box","text":"the case of CDSC shares applicable to cer tain investors, as described under “Purchase of Shares” and “Redemption","page_number":175,"box":{"x":68,"y":468,"width":836,"height":11}},{"id":"2cd818c4-2738-41d8-a544-ec25cfa51d58","block_type":"box","text":"of Shares,” respectively, the total return data quoted by a Fund in adver tisements directed to such investors may","page_number":175,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"7f41ccc4-7ae7-49c1-aa5a-a2da9e882a16","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":175,"box":{"x":68,"y":498,"width":820,"height":11}},{"id":"630aae54-e3e0-4342-93f6-6234cc4a424b","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":175,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"964d2af8-04fc-4817-92b6-4f40ae7fea69","block_type":"box","text":"lower amount of expenses is deducted.","page_number":175,"box":{"x":70,"y":528,"width":278,"height":11}},{"id":"a35d094b-d7ed-4a02-acd1-937ebfef05ed","block_type":"box","text":"On occasion, a Fund may compare its per formance to, among other things, the Fund’s benchmark index","page_number":175,"box":{"x":102,"y":551,"width":741,"height":11}},{"id":"cbcb26b2-63b8-44a2-886c-b7bf502762f1","block_type":"box","text":"indicated in the Prospectus, the Value Line Composite Index, the Dow Jones Industrial Average, or to other published","page_number":175,"box":{"x":70,"y":566,"width":830,"height":11}},{"id":"eada427f-e4d2-4b0a-ab71-fb070bdf4527","block_type":"box","text":"indices, or to per formance data published by Lipper Inc., Morningstar, Inc. (“Morningstar”),","page_number":175,"box":{"x":70,"y":581,"width":646,"height":12}},{"id":"b0d2e349-d4d8-4b25-a5ce-5a3ecedb5293","block_type":"box","text":"Money Magazine, U.S.","page_number":175,"box":{"x":724,"y":581,"width":156,"height":12}},{"id":"8d8b8081-ea48-4f71-b609-acd836c33c81","block_type":"box","text":"News & World Repor t, BusinessWeek, Forbes Magazine, For tune Magazine","page_number":175,"box":{"x":70,"y":597,"width":533,"height":11}},{"id":"9a3be21f-5009-4d97-bfa9-69efe4ea5386","block_type":"box","text":"or other industry publications. When","page_number":175,"box":{"x":608,"y":597,"width":257,"height":11}},{"id":"c1b1fc3f-62af-4ec2-98c1-14be316a6d59","block_type":"box","text":"comparing its per formance to a market index, a Fund may refer to various statistical measures derived from the","page_number":175,"box":{"x":69,"y":612,"width":797,"height":11}},{"id":"60330471-3b1d-46c2-b4ca-920ea5d9d383","block_type":"box","text":"historical per formance of a Fund and the index, such as standard deviation and beta. As with other per formance","page_number":175,"box":{"x":69,"y":627,"width":803,"height":11}},{"id":"cfac95b8-5d75-47f8-b1b5-221a39ba8f44","block_type":"box","text":"data, per formance comparisons should not be considered indicative of a Fund’s relative per formance for any future","page_number":175,"box":{"x":69,"y":642,"width":824,"height":11}},{"id":"583b2ad5-ae36-43fd-a0f1-a35536a78dd8","block_type":"box","text":"period. In addition, from time to time a Fund may include the Fund’s Morningstar risk-adjusted per formance ratings","page_number":175,"box":{"x":70,"y":657,"width":818,"height":11}},{"id":"d83cdb32-8eb3-4ff0-b448-d37677778cf8","block_type":"box","text":"assigned by Morningstar in adver tising or supplemental sales literature. From time to time a Fund may quote in","page_number":175,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"74dcacb5-695b-4fc0-a696-e88645f40022","block_type":"box","text":"adver tisements or other materials other applicable measures of Fund per formance and may also make reference to","page_number":175,"box":{"x":69,"y":687,"width":826,"height":11}},{"id":"c0ed1727-c240-4380-a78d-a1905ca050be","block_type":"box","text":"awards that may be given to the Manager. Cer tain Funds may also compare their per formance to composite indices","page_number":175,"box":{"x":69,"y":702,"width":825,"height":12}},{"id":"3ce1bfbb-53c4-451d-854f-913cec8409d1","block_type":"box","text":"developed by Fund management.","page_number":175,"box":{"x":69,"y":718,"width":233,"height":11}},{"id":"16f8adc8-a09c-49bf-b016-7b1067e823bb","block_type":"box","text":"A Fund may provide information designed to help investors understand how the Fund is seeking to achieve its","page_number":175,"box":{"x":101,"y":740,"width":780,"height":11}},{"id":"c2af74c9-242f-4a63-8d46-753f93051926","block_type":"box","text":"investment objectives. This may include information about past, current or possible economic, market, political or","page_number":175,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"eda4ea41-c08b-4ea1-810a-72e6a026f011","block_type":"box","text":"other conditions, descriptive information or general principles of investing such as asset allocation, diversification","page_number":175,"box":{"x":69,"y":770,"width":810,"height":12}},{"id":"bb3844e5-c2cd-4074-9fe5-024ffff809cb","block_type":"box","text":"and risk tolerance, discussion of a Fund’s por tfolio composition, investment philosophy, strategy or investment","page_number":175,"box":{"x":69,"y":785,"width":792,"height":12}},{"id":"62990216-5a04-41ff-bed0-04be7bf4cf49","block_type":"box","text":"techniques, comparisons of the Fund’s per formance or por tfolio composition to that of other funds or types of","page_number":175,"box":{"x":68,"y":801,"width":788,"height":11}},{"id":"e33aa01c-f571-4243-a7a4-4d86b37ad0c5","block_type":"box","text":"investments, indices relevant to the comparison being made, or to a hypothetical or model por tfolio. A Fund may also","page_number":175,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"a3250002-8028-4900-842b-39fecd82c8b1","block_type":"box","text":"quote various measures of volatility and benchmark correlation in adver tising and other materials, and may compare","page_number":175,"box":{"x":69,"y":831,"width":830,"height":11}},{"id":"e14f3e77-9526-4f9d-814b-a646dd62a7d4","block_type":"box","text":"these measures to those of other funds or types of investments.","page_number":175,"box":{"x":68,"y":846,"width":461,"height":11}},{"id":"f7690e84-bc58-49eb-abfc-7ddb9afe6285","block_type":"box","text":"II-138","page_number":175,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"a7bff8b5-974f-48b8-b661-f9b66c69934f","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":175,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"beec7233-df42-4d7c-9192-ebe822c256fd","block_type":"box","text":"PROXY VOTING POLICIES AND PROCEDURES","page_number":176,"box":{"x":308,"y":45,"width":362,"height":10}},{"id":"a7b18386-230b-43bd-9713-0d8f30cfd8d5","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":176,"box":{"x":101,"y":68,"width":802,"height":11}},{"id":"ef21812b-fb21-476d-bef1-9e71c6d334da","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":176,"box":{"x":70,"y":83,"width":809,"height":11}},{"id":"a902fb2e-4ba7-4d85-9d6c-cfbf285133a0","block_type":"box","text":"Policy”), with respect to cer tain Funds, and (ii) the Index Equity Fund Proxy Voting Policy, with respect to cer tain other","page_number":176,"box":{"x":69,"y":98,"width":833,"height":11}},{"id":"919afaa2-3ebe-473e-b601-4a80e5edebf6","block_type":"box","text":"Funds, as applicable. Please refer to Par t I of this SAI, which discloses the policy applicable to each Fund.","page_number":176,"box":{"x":70,"y":113,"width":755,"height":11}},{"id":"450d8eee-2ade-4709-a5ed-2bfe301b1278","block_type":"box","text":"With respect to Funds covered by the Active Fund Proxy Voting Policy, the Manager has adopted the BlackRock","page_number":176,"box":{"x":101,"y":136,"width":785,"height":11}},{"id":"2d295393-e95a-4c02-aabd-ddd25e0c29a6","block_type":"box","text":"Active Investment Stewardship—Global Engagement and Voting Guidelines (the “BAIS Guidelines”). Cer tain of such","page_number":176,"box":{"x":68,"y":151,"width":822,"height":11}},{"id":"ea7a0b58-fe5c-4da0-92b7-d1340d22288c","block_type":"box","text":"Funds, as listed within the Active Fund Proxy Voting Policy and as disclosed in Par t I of this SAI, follow supplemental","page_number":176,"box":{"x":70,"y":166,"width":824,"height":11}},{"id":"210684f8-28bb-47eb-ae3f-977f11d799a2","block_type":"box","text":"guidelines within the BAIS Guidelines that are applicable to cer tain climate and decarbonization issues (the “BAIS","page_number":176,"box":{"x":68,"y":181,"width":812,"height":12}},{"id":"12027620-61e3-4a43-b5e5-cfa7402b8994","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":176,"box":{"x":69,"y":197,"width":392,"height":10}},{"id":"fb687383-bba7-4b30-a7f2-6c4a392f2fbd","block_type":"box","text":"With respect to Funds covered by the Index Equity Fund Proxy Voting Policy, the Manager has adopted the","page_number":176,"box":{"x":101,"y":219,"width":749,"height":11}},{"id":"441929fb-0604-4708-a049-f67dadf74cf4","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) Global Benchmark Policy, comprised of the Global Principles for","page_number":176,"box":{"x":70,"y":234,"width":759,"height":11}},{"id":"619fcc05-ece2-4623-9249-b5da63dc7ffb","block_type":"box","text":"Benchmark Policies, regional voting guidelines, and engagement priorities, which are each available upon request. In","page_number":176,"box":{"x":70,"y":250,"width":830,"height":11}},{"id":"264a3531-d1ba-4d9f-90ec-15b2f7716e81","block_type":"box","text":"addition, cer tain of such Funds, as listed within the Index Equity Fund Proxy Voting Policy and as disclosed in Par t I of","page_number":176,"box":{"x":69,"y":264,"width":838,"height":12}},{"id":"ede3e48e-5a97-4841-85d7-9a672430d5bf","block_type":"box","text":"this SAI, follow supplemental guidelines that are applicable to cer tain climate and decarbonization issues (the “BIS","page_number":176,"box":{"x":68,"y":280,"width":822,"height":11}},{"id":"77123b28-aac6-4a6f-b4a5-da74fdb78639","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":176,"box":{"x":69,"y":295,"width":392,"height":11}},{"id":"06ff67a6-2d33-492c-9972-2ff79edd29e1","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":176,"box":{"x":102,"y":317,"width":767,"height":12}},{"id":"7c17b5e2-c322-485b-8039-19f1b3e7efc9","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":176,"box":{"x":68,"y":332,"width":827,"height":12}},{"id":"85ec91de-0d47-4321-baef-1cd17a7b3b3b","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":176,"box":{"x":69,"y":348,"width":819,"height":11}},{"id":"25bcd671-3539-40cf-9359-7ffbe8a624f4","block_type":"box","text":"underlying fund may use the Index Equity Fund Proxy Voting Policy, and the opposite is also true.","page_number":176,"box":{"x":69,"y":363,"width":684,"height":11}},{"id":"a0d6b549-ec4b-4828-a095-c8f644473e9e","block_type":"box","text":"Copies of the Active Fund Proxy Voting Policy, Index Equity Fund Proxy Voting Policy, the BAIS Guidelines, the","page_number":176,"box":{"x":102,"y":385,"width":766,"height":12}},{"id":"25cee4b1-fde3-4d74-8377-460f47408464","block_type":"box","text":"Global Principles for Benchmark Policies and the BIS Climate and Decarbonization Stewardship Guidelines are","page_number":176,"box":{"x":69,"y":401,"width":784,"height":11}},{"id":"5e569238-e688-4312-ab75-ea996e7b1f5d","block_type":"box","text":"attached as Appendix B to this SAI. Only those guidelines that are applicable to a par ticular Fund pursuant to the","page_number":176,"box":{"x":69,"y":416,"width":805,"height":11}},{"id":"79271a5e-7755-453c-86a0-33a26d410eee","block_type":"box","text":"Active Fund Proxy Voting Policy or the Index Equity Fund Proxy Voting Policy are considered to form a par t of the","page_number":176,"box":{"x":68,"y":431,"width":790,"height":11}},{"id":"706e7582-7db4-46d9-bc4c-c30ec7b884dd","block_type":"box","text":"Fund’s SAI. Information on how each Fund voted proxies relating to por tfolio securities during the most recent 12-","page_number":176,"box":{"x":70,"y":446,"width":810,"height":11}},{"id":"77a08eb3-d476-454f-a866-9e5eccc93d80","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":176,"box":{"x":69,"y":461,"width":788,"height":11}},{"id":"088de5c2-8323-4fac-8741-ddfbfada9e49","block_type":"box","text":"Commission’s website at http://www.sec.gov.","page_number":176,"box":{"x":69,"y":476,"width":327,"height":11}},{"id":"1070bae2-4edf-4ad5-8982-d445cf136dc4","block_type":"box","text":"GENERAL INFORMATION","page_number":176,"box":{"x":391,"y":506,"width":195,"height":9}},{"id":"b689e39b-725b-48b0-937c-5b7e6039e812","block_type":"box","text":"Description of Shares","page_number":176,"box":{"x":69,"y":536,"width":156,"height":11}},{"id":"742a4be1-450d-4de6-b8ea-0a62f4daa5a6","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":176,"box":{"x":102,"y":559,"width":800,"height":9}},{"id":"68fce35c-73bb-4e29-8d6c-fecd83356ab8","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":176,"box":{"x":69,"y":574,"width":811,"height":11}},{"id":"19dab5dc-fe4b-4b8b-9633-db5176f03463","block_type":"box","text":"Shareholders of a class that bears distribution and/or service expenses have exclusive voting rights with respect to","page_number":176,"box":{"x":69,"y":589,"width":825,"height":11}},{"id":"106dc0d2-c9cf-448e-a920-f1af178566b9","block_type":"box","text":"matters relating to such distribution and service expenditures. Voting rights are not cumulative, so that the holders of","page_number":176,"box":{"x":69,"y":604,"width":838,"height":11}},{"id":"e6803205-4d59-4da4-a50d-4dfed2218a4e","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":176,"box":{"x":69,"y":619,"width":835,"height":11}},{"id":"e0404c9f-1524-4da0-8f75-c4c63b162d30","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":176,"box":{"x":69,"y":634,"width":781,"height":12}},{"id":"ff196f68-0a61-48d4-bef7-e54582486755","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":176,"box":{"x":102,"y":657,"width":801,"height":11}},{"id":"97d71e01-f0b8-48a1-9c80-d7059abfdb3f","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":176,"box":{"x":69,"y":672,"width":760,"height":11}},{"id":"5829c62d-f26a-4ef6-9ed5-73f8a958bb74","block_type":"box","text":"management agreement; (iii) approval of a distribution agreement; and (iv) ratification of selection of independent","page_number":176,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"8e3d503a-8f03-4e08-8f40-fceaf54b6861","block_type":"box","text":"accountants. Shares issued are fully paid and non-assessable and have no preemptive rights. Redemption and","page_number":176,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"2e0d8c4f-d7d2-4149-9f07-46c72adad152","block_type":"box","text":"conversion rights are discussed elsewhere herein and in each Fund’s Prospectus. Each share of each class of","page_number":176,"box":{"x":69,"y":717,"width":787,"height":12}},{"id":"ed74324b-d59b-4ebf-8aa6-96ffcf84b334","block_type":"box","text":"Common Stock is entitled to par ticipate equally in dividends and distributions declared by a Fund and in the net","page_number":176,"box":{"x":69,"y":733,"width":797,"height":11}},{"id":"b63c40ae-cd7f-4e7e-9775-71965e9a05e4","block_type":"box","text":"assets of the Fund upon liquidation or dissolution after satisfaction of outstanding liabilities.","page_number":176,"box":{"x":69,"y":748,"width":658,"height":11}},{"id":"3b93552c-514d-4d97-87c1-a7caf95249f7","block_type":"box","text":"For Funds organized as Maryland corporations, the by-laws of the Fund require that a special meeting of","page_number":176,"box":{"x":102,"y":770,"width":741,"height":12}},{"id":"71b80f84-e271-4195-8c4d-8e1d3c5b96ce","block_type":"box","text":"shareholders be held upon the written request of a minimum percentage of the outstanding shares of the Fund","page_number":176,"box":{"x":69,"y":785,"width":790,"height":12}},{"id":"9f8f3a08-8bb6-457f-b6fb-cf08de8d6c95","block_type":"box","text":"entitled to vote at such meeting, if they comply with applicable Maryland law.","page_number":176,"box":{"x":69,"y":801,"width":546,"height":11}},{"id":"a7f1758b-6d06-4a26-b1be-ec6d06cbf5ce","block_type":"box","text":"Cer tain of the Funds are organized as “Massachusetts business trusts.” Under Massachusetts law,","page_number":176,"box":{"x":102,"y":823,"width":712,"height":12}},{"id":"8c256bb7-f384-4a88-8362-5a622295d5dd","block_type":"box","text":"shareholders of such a trust may, under cer tain circumstances, be held personally liable as par tners for its","page_number":176,"box":{"x":69,"y":838,"width":765,"height":11}},{"id":"cb8b8bc8-f9b7-4990-97a4-28a726355749","block_type":"box","text":"obligations. However, the Declaration of Trust establishing a trust, a copy of which for each applicable Fund, together","page_number":176,"box":{"x":69,"y":853,"width":834,"height":12}},{"id":"8a343134-4828-4b4e-aa6f-ec990002ed76","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":176,"box":{"x":68,"y":869,"width":729,"height":11}},{"id":"e83767f9-1eb1-47ac-8803-ea27c824a1d5","block_type":"box","text":"Commonwealth of Massachusetts, contains an express disclaimer of shareholder liability for acts or obligations of","page_number":176,"box":{"x":69,"y":884,"width":815,"height":11}},{"id":"c61c78c1-76c3-484a-8b39-e5419a468ca0","block_type":"box","text":"the trust and provides for indemnification and reimbursement of expenses out of the trust proper ty for any","page_number":176,"box":{"x":68,"y":899,"width":761,"height":11}},{"id":"403952fd-6e2a-4e5d-91dc-d8ab7846feaa","block_type":"box","text":"II-139","page_number":176,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"1ab9bc1f-fea1-4512-9c62-3db9f9055c46","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":176,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"708ac0b4-6a96-4882-ab4a-35ecd8f9ee63","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":177,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"bafd6d6f-22b5-467b-a5ad-b6b24e8529e1","block_type":"box","text":"may maintain appropriate insurance (for example, fidelity bond and errors and omissions insurance) for the protection","page_number":177,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"440f8da7-d3fb-4b7a-a420-0fede1b09ea8","block_type":"box","text":"of the trust, its shareholders, trustees, officers, employees and agents covering possible tor t and other liabilities.","page_number":177,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"1f97ab24-8287-4d9d-ace5-ece21f88aff9","block_type":"box","text":"Thus, the risk of a shareholder incurring financial loss on account of shareholder liability is limited to circumstances","page_number":177,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"b77026be-fa50-410d-a64a-b627639282a1","block_type":"box","text":"in which both inadequate insurance existed and the trust itself was unable to meet its obligations.","page_number":177,"box":{"x":70,"y":105,"width":699,"height":11}},{"id":"851e7343-9e6b-4808-9b81-50aa889c9008","block_type":"box","text":"Cer tain Funds are organized as Delaware statutory trusts.","page_number":177,"box":{"x":102,"y":128,"width":413,"height":11}},{"id":"6a16e78e-47b9-41d0-8c47-9fa88f291ea9","block_type":"box","text":"Additional Information","page_number":177,"box":{"x":68,"y":158,"width":161,"height":9}},{"id":"5d109173-6093-4faa-8a91-ce185522ec30","block_type":"box","text":"Under a separate agreement, BlackRock has granted cer tain Funds the right to use the “BlackRock” name and","page_number":177,"box":{"x":102,"y":181,"width":789,"height":11}},{"id":"e11aa0a4-4c22-495b-9e60-defc34a0c291","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":177,"box":{"x":69,"y":196,"width":799,"height":11}},{"id":"7d6846dd-4e9a-482d-aa3c-82ac41035e9f","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":177,"box":{"x":70,"y":211,"width":837,"height":11}},{"id":"42b6c722-7636-400d-8c7a-f6b0c0d9cba3","block_type":"box","text":"such name to any other company.","page_number":177,"box":{"x":69,"y":226,"width":238,"height":11}},{"id":"c44f15dc-9fd8-4bd2-93b0-9f349440bc30","block_type":"box","text":"II-140","page_number":177,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9cfe7cca-8443-4f61-93de-7d5feea62eb1","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":177,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"45259b00-4507-448a-8b13-ad4263bdf675","block_type":"box","text":"APPENDIX A","page_number":178,"box":{"x":438,"y":45,"width":101,"height":10}},{"id":"64115e26-39d7-4d93-9daa-289be0f6a9ce","block_type":"box","text":"Description of Bond Ratings","page_number":178,"box":{"x":377,"y":68,"width":224,"height":13}},{"id":"2c9d72c6-8b38-46fe-9246-b1ed4e0ac95e","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":178,"box":{"x":101,"y":91,"width":743,"height":12}},{"id":"149d17f0-0585-4c1e-b8bd-8daca8dc2c09","block_type":"box","text":"designated as a nationally recognized statistical rating organization (“NRSRO”) by the Securities and Exchange","page_number":178,"box":{"x":69,"y":106,"width":787,"height":12}},{"id":"fbb37f29-c6ad-40a7-af5d-5794e093e9b2","block_type":"box","text":"Commission (“SEC”). While NRSROs may from time to time revise such ratings, they under take no obligation to do","page_number":178,"box":{"x":69,"y":121,"width":817,"height":12}},{"id":"13cb3c8e-23b9-42a4-83b7-47fb84bdc1e5","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":178,"box":{"x":69,"y":137,"width":837,"height":11}},{"id":"2efaa2b6-b2d0-42c3-a05e-430213e524c1","block_type":"box","text":"securities on a par ticular subsequent date.","page_number":178,"box":{"x":69,"y":152,"width":306,"height":11}},{"id":"d56c2fe4-7e8d-45ae-944d-cc344085e05c","block_type":"box","text":"NRSROs may rate specific investments (","page_number":178,"box":{"x":102,"y":174,"width":286,"height":12}},{"id":"03be489f-c72e-4b70-ab53-676cc80f5cf6","block_type":"box","text":"e.g.","page_number":178,"box":{"x":390,"y":176,"width":25,"height":10}},{"id":"3a75f8a1-4af2-4e51-bcc7-7f7fe10b6069","block_type":"box","text":", bonds), issuers (","page_number":178,"box":{"x":417,"y":175,"width":128,"height":10}},{"id":"348ae5e9-6d78-46ea-8246-26a81d196155","block_type":"box","text":"e.g.","page_number":178,"box":{"x":547,"y":176,"width":25,"height":10}},{"id":"40ed61da-8579-4581-8e40-fd88d268a9ab","block_type":"box","text":", corporations, governments and financial","page_number":178,"box":{"x":574,"y":174,"width":293,"height":12}},{"id":"4edfe1c8-5bd3-4698-b882-a79bf1d75573","block_type":"box","text":"institutions) and/or programs (","page_number":178,"box":{"x":70,"y":190,"width":217,"height":11}},{"id":"cb8fcd28-3651-47d6-ab73-5daa65ab17ea","block_type":"box","text":"e.g.","page_number":178,"box":{"x":289,"y":191,"width":25,"height":10}},{"id":"a50b8a3f-456e-4070-a391-5d988ed064be","block_type":"box","text":", commercial paper programs). However, cer tain types of investments may not be","page_number":178,"box":{"x":317,"y":189,"width":578,"height":12}},{"id":"e7cd54bf-ae94-43f1-8470-0695dd9060bd","block_type":"box","text":"rated by NRSROs, such as cer tain government/sovereign obligations, US agency securities, commercial paper, time","page_number":178,"box":{"x":69,"y":205,"width":826,"height":11}},{"id":"582ca6fe-9250-4125-a951-f1491cbd00a0","block_type":"box","text":"deposits at financial institutions, and derivative instruments such as credit default swaps. For these types of","page_number":178,"box":{"x":69,"y":220,"width":777,"height":11}},{"id":"cd4dc218-00d7-4d7b-a3bc-c763b57fd2fd","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":178,"box":{"x":70,"y":235,"width":807,"height":11}},{"id":"3ba2a5eb-7903-41ea-8cc1-cf13b8d09138","block_type":"box","text":"specific investment but has rated the investment’s issuer, program, financial institution or underlying reference","page_number":178,"box":{"x":69,"y":250,"width":791,"height":11}},{"id":"95dfb843-0839-4749-b14a-4ef507e1f989","block_type":"box","text":"asset, BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates (“BlackRock”) may consider","page_number":178,"box":{"x":69,"y":265,"width":816,"height":11}},{"id":"2465a4b2-35bc-4076-97dd-85d2ad3b4934","block_type":"box","text":"the investment to have the same NRSRO rating as its issuer, program, financial institution or underlying reference","page_number":178,"box":{"x":68,"y":280,"width":812,"height":12}},{"id":"6ba5541a-ea6d-440f-833e-b922b92847bf","block_type":"box","text":"asset, as applicable. In the case of municipal securities, where one NRSRO provides multiple ratings for the same","page_number":178,"box":{"x":69,"y":295,"width":815,"height":12}},{"id":"064ac7a2-9794-4c78-b025-1601afab6a45","block_type":"box","text":"security (","page_number":178,"box":{"x":69,"y":311,"width":63,"height":11}},{"id":"6ab6a86b-d439-4721-87f4-4de53b0841fc","block_type":"box","text":"e.g.","page_number":178,"box":{"x":134,"y":312,"width":25,"height":10}},{"id":"b25f0b87-e127-4a61-9857-a3ecba423d9c","block_type":"box","text":", “underlying,” “insured” and/or “enhanced” ratings), BlackRock may consider the security to have the","page_number":178,"box":{"x":161,"y":311,"width":730,"height":11}},{"id":"f17551ff-ecef-482e-ae2c-305b6aa3d1d6","block_type":"box","text":"highest of the multiple ratings.","page_number":178,"box":{"x":69,"y":326,"width":216,"height":11}},{"id":"ad2652b3-34c6-4dda-b200-bca78604dfdc","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":178,"box":{"x":102,"y":348,"width":760,"height":12}},{"id":"e3cd89d2-a16e-42f8-af4f-81535cc9cca2","block_type":"box","text":"Preliminary prospectuses or term sheets for new issue securities may include an expected rating for the security (as","page_number":178,"box":{"x":69,"y":363,"width":830,"height":12}},{"id":"45d34356-47ea-4605-8fc6-2554764b96f2","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":178,"box":{"x":69,"y":378,"width":812,"height":12}},{"id":"1af39739-9d6c-4d35-ade1-f7034ea3a7aa","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":178,"box":{"x":69,"y":394,"width":776,"height":11}},{"id":"4faba0dd-a1ef-4d29-a532-ce0b4f5f222f","block_type":"box","text":"attribute an expected rating to the security based on: (i) the expected rating of the security set for th in the","page_number":178,"box":{"x":69,"y":409,"width":756,"height":11}},{"id":"a8ba0462-a5e7-44c0-86fd-200358e46718","block_type":"box","text":"preliminary prospectus or term sheet for the security; (ii) the NRSRO’s rating for the issuer of the security set for th in","page_number":178,"box":{"x":70,"y":424,"width":835,"height":11}},{"id":"803ff3af-9b46-41d9-8ed1-45ab05e05f09","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":178,"box":{"x":68,"y":439,"width":836,"height":11}},{"id":"f85aaed5-940b-43c2-a798-803ea0ef77a8","block_type":"box","text":"a prior issuance having a similar structure or the same sponsor.","page_number":178,"box":{"x":69,"y":454,"width":456,"height":11}},{"id":"c2f4e7e1-32f3-485d-839c-a39b97537a78","block_type":"box","text":"Where the investment objective of a fund is to track the per formance of an index that includes credit ratings","page_number":178,"box":{"x":101,"y":477,"width":771,"height":11}},{"id":"8515573f-46b1-4605-ac72-e9b5297e31ef","block_type":"box","text":"eligibility criteria as par t of its index methodology, the fund may purchase any security within the index, such security","page_number":178,"box":{"x":69,"y":492,"width":832,"height":11}},{"id":"0e476f78-3882-4556-88d0-cf4f5e0b0569","block_type":"box","text":"having been determined by the index provider as meeting its credit ratings eligibility criteria. The credit ratings","page_number":178,"box":{"x":69,"y":507,"width":782,"height":11}},{"id":"6b3d82e8-7537-45cb-a444-26433255b948","block_type":"box","text":"practices of an index provider may differ from BlackRock’s practices, as described above. Fur ther, the fund may","page_number":178,"box":{"x":70,"y":522,"width":796,"height":11}},{"id":"8744486a-038b-4e3d-a146-ffd708fe2c09","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":178,"box":{"x":70,"y":537,"width":811,"height":12}},{"id":"b8d35bb8-51a3-4725-b257-fdc7879478a0","block_type":"box","text":"differs from the credit rating specified in its index methodology in various circumstances, including where a security is","page_number":178,"box":{"x":69,"y":552,"width":840,"height":12}},{"id":"d211de10-aa74-415f-94dc-bf78f1dc96e5","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":178,"box":{"x":69,"y":567,"width":824,"height":12}},{"id":"736f0dcc-bd96-4b3f-b45e-c2ad41bd48af","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":178,"box":{"x":68,"y":583,"width":781,"height":11}},{"id":"653fdb7d-0251-4c08-8315-d42a3a8b020a","block_type":"box","text":"Fixed-income securities which are unrated may expose the investor to risks with respect to capacity to pay","page_number":178,"box":{"x":102,"y":606,"width":756,"height":10}},{"id":"fc0eb264-7b56-4b79-b7e6-fce099e95388","block_type":"box","text":"interest or repay principal which are similar to the risks of lower-rated speculative bonds (although BlackRock may","page_number":178,"box":{"x":70,"y":620,"width":811,"height":12}},{"id":"706b53b8-d103-4c99-8358-5dc275a155d4","block_type":"box","text":"deem such unrated securities to be of higher quality). Evaluation of these securities is dependent on BlackRock’s","page_number":178,"box":{"x":69,"y":635,"width":809,"height":12}},{"id":"97902c60-e623-4f42-869a-51a23a7f808e","block_type":"box","text":"judgment, analysis and experience in the evaluation of such securities.","page_number":178,"box":{"x":67,"y":651,"width":506,"height":11}},{"id":"5d5da9e2-0585-4c06-b08f-99afcc129ebe","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":178,"box":{"x":102,"y":673,"width":776,"height":12}},{"id":"ba117ddf-3193-48c9-9fa0-8b9a2dad9721","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":178,"box":{"x":69,"y":688,"width":818,"height":12}},{"id":"ea30378f-c0e3-449d-8c1e-11e5396330da","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":178,"box":{"x":102,"y":711,"width":799,"height":11}},{"id":"65fe1683-8e31-47c1-a4b2-71f4468a3e92","block_type":"box","text":"Fitch. Other terms used to describe such securities include “lower rated bonds,” “non-investment grade bonds,”","page_number":178,"box":{"x":70,"y":726,"width":798,"height":11}},{"id":"4eae54fd-52d1-4b4b-bf34-0395ada9b612","block_type":"box","text":"“below investment grade bonds,” and “junk bonds.”","page_number":178,"box":{"x":70,"y":742,"width":368,"height":11}},{"id":"cbdaa237-7d4b-4565-a6d2-9637fca1a107","block_type":"box","text":"The descriptions below relate to general long-term and shor t-term obligations of an issuer.","page_number":178,"box":{"x":101,"y":764,"width":643,"height":11}},{"id":"4b712b7f-72b4-42a3-aed2-52a80c59f451","block_type":"box","text":"A Description of Moody’s Investors Service, Inc.’s (“Moody’s”) Global Rating Scales","page_number":178,"box":{"x":68,"y":794,"width":616,"height":11}},{"id":"2de8cbd4-9143-4e38-bd33-3536e19547d8","block_type":"box","text":"Credit ratings are assigned on Moody’s global long-term and shor t-term rating scales and are forward-looking","page_number":178,"box":{"x":102,"y":817,"width":777,"height":11}},{"id":"1630ae21-0172-4f01-9537-e22266838a47","block_type":"box","text":"opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions,","page_number":178,"box":{"x":69,"y":832,"width":818,"height":11}},{"id":"af4667ae-73e4-4c18-9cf8-793a634f4e95","block_type":"box","text":"structured finance vehicles, project finance vehicles, and public sector entities. Moody’s defines credit risk as the","page_number":178,"box":{"x":69,"y":847,"width":812,"height":11}},{"id":"1b7a9afa-3651-401a-bf1c-7a014a242b65","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":178,"box":{"x":69,"y":862,"width":812,"height":12}},{"id":"a174b9d3-05ee-4cb4-8ad0-bcaeae07d8f6","block_type":"box","text":"loss in the event of default or impairment. The contractual financial obligations addressed by Moody’s ratings are","page_number":178,"box":{"x":70,"y":877,"width":807,"height":12}},{"id":"98351268-9096-494f-8a35-3a30a13a0603","block_type":"box","text":"those that call for, without regard to enforceability, the payment of an ascer tainable amount, which may vary based","page_number":178,"box":{"x":68,"y":892,"width":821,"height":12}},{"id":"9b6bbbc7-5480-4533-89be-7beac3b14ea5","block_type":"box","text":"upon standard sources of variation (","page_number":178,"box":{"x":69,"y":908,"width":257,"height":11}},{"id":"a1d31429-40ae-4dbc-99d1-10360ef41538","block_type":"box","text":"e.g.","page_number":178,"box":{"x":328,"y":909,"width":25,"height":10}},{"id":"9cd0c4c8-d83d-4a03-b395-6674c1e7810f","block_type":"box","text":", floating interest rates), by an ascer tainable date. Moody’s rating addresses","page_number":178,"box":{"x":355,"y":908,"width":548,"height":11}},{"id":"1cbe054d-a102-442d-97fa-fbb30ce20592","block_type":"box","text":"A-1","page_number":178,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"8bdd7898-1e70-4ceb-809a-b1b805fc37ec","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":178,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4285bab7-ac76-4f47-b174-7a82260400e5","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":179,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"098a83e9-0b6a-4f4e-a8fd-58f584f8dc51","block_type":"box","text":"not address non-standard sources of variation in the amount of the principal obligation (","page_number":179,"box":{"x":69,"y":60,"width":627,"height":11}},{"id":"47668378-7ce6-4dcb-ac37-e24740a636a6","block_type":"box","text":"e.g.","page_number":179,"box":{"x":697,"y":61,"width":25,"height":10}},{"id":"15d969f5-40f7-4bb4-9827-4a751187fcf6","block_type":"box","text":", equity indexed), absent","page_number":179,"box":{"x":725,"y":60,"width":174,"height":11}},{"id":"88f45717-859a-4394-bd9f-fdb4471bbefb","block_type":"box","text":"an express statement to the contrary in a press release accompanying an initial rating. Long-term ratings are","page_number":179,"box":{"x":69,"y":75,"width":777,"height":11}},{"id":"0ca877b4-adba-4074-a30d-9de260753531","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":179,"box":{"x":69,"y":90,"width":771,"height":11}},{"id":"62f98dfb-a39d-474b-bf18-4491947c14ba","block_type":"box","text":"likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in","page_number":179,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"39efed57-794b-4184-98ce-065b9980c2a9","block_type":"box","text":"the event of default or impairment. Shor t-term ratings are assigned for obligations with an original maturity of thir teen","page_number":179,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"f3429b06-f182-48c7-b42f-0fc1d4e773a8","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":179,"box":{"x":69,"y":135,"width":822,"height":12}},{"id":"101a08b0-1542-4745-81dd-edaa354a00a4","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":179,"box":{"x":68,"y":150,"width":829,"height":12}},{"id":"2ba247cd-edd5-4721-b944-2f87e7e311b7","block_type":"box","text":"and instrument level on both the long-term scale and the shor t-term scale. Typically, ratings are made publicly","page_number":179,"box":{"x":69,"y":166,"width":784,"height":11}},{"id":"ccdaa0d3-b61f-4c92-b3d3-9633b9f53037","block_type":"box","text":"available although private and unpublished ratings may also be assigned.","page_number":179,"box":{"x":69,"y":181,"width":521,"height":11}},{"id":"e9751c47-afcb-4317-809a-6903dbe69cd0","block_type":"box","text":"Moody’s differentiates structured finance ratings from fundamental ratings (","page_number":179,"box":{"x":102,"y":203,"width":542,"height":12}},{"id":"be5b247f-0906-472f-b780-4532ad03a862","block_type":"box","text":"i.e.","page_number":179,"box":{"x":646,"y":204,"width":20,"height":8}},{"id":"6af679b5-23e0-460e-827d-77055be64069","block_type":"box","text":", ratings on nonfinancial","page_number":179,"box":{"x":669,"y":203,"width":169,"height":12}},{"id":"a3ecc5f5-123a-4c01-bdc8-c9c72636d436","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":179,"box":{"x":69,"y":218,"width":837,"height":12}},{"id":"3ab4a8dc-80dd-4f02-9196-0b6df6bc97e3","block_type":"box","text":"finance ratings. The addition of (sf) to structured finance ratings should eliminate any presumption that such ratings","page_number":179,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"7691098f-feec-4877-be89-6cc23bfc1bd2","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":179,"box":{"x":69,"y":249,"width":832,"height":11}},{"id":"3fb0ba4c-55bf-4933-85f1-a19971386cff","block_type":"box","text":"security ratings indicates that otherwise similarly rated structured finance and fundamental securities may have","page_number":179,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"80e84da9-af2d-494d-ac6d-c0403a4c096d","block_type":"box","text":"different risk characteristics. Through its current methodologies, however, Moody’s aspires to achieve broad","page_number":179,"box":{"x":69,"y":279,"width":771,"height":11}},{"id":"d2ddb1c3-c6c1-4ba9-8a67-d3b1c5e325dc","block_type":"box","text":"expected equivalence in structured finance and fundamental rating per formance when measured over a long period","page_number":179,"box":{"x":69,"y":294,"width":821,"height":11}},{"id":"66071aa6-0d3f-4bea-9c02-65d0d9a3200d","block_type":"box","text":"of time.","page_number":179,"box":{"x":69,"y":309,"width":53,"height":9}},{"id":"913a2c48-d350-4de9-9cb3-0f64dbbde7cc","block_type":"box","text":"Description of Moody’s Global Long-Term Rating Scale","page_number":179,"box":{"x":69,"y":339,"width":395,"height":12}},{"id":"22023fb2-f59f-4243-89ae-164af5a4e89c","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":179,"box":{"x":68,"y":367,"width":815,"height":11}},{"id":"d7612737-c825-4c10-b2b0-da0728bc2107","block_type":"box","text":"risk.","page_number":179,"box":{"x":197,"y":383,"width":28,"height":8}},{"id":"dfbf405b-7607-4f5b-86ed-689b88d3fcca","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":179,"box":{"x":68,"y":402,"width":773,"height":12}},{"id":"fdd108e6-6568-411c-a801-5117c2078c7c","block_type":"box","text":"A Obligations rated A are judged to be upper-medium grade and are subject to low credit risk.","page_number":179,"box":{"x":68,"y":423,"width":776,"height":11}},{"id":"fc04f42f-8ee8-423f-bfd1-7162a0102900","block_type":"box","text":"Baa Obligations rated Baa are judged to be medium-grade and subject to moderate credit risk and as","page_number":179,"box":{"x":70,"y":443,"width":813,"height":11}},{"id":"83564f92-4506-400c-a526-75d4bfb755f4","block_type":"box","text":"such may possess cer tain speculative characteristics.","page_number":179,"box":{"x":196,"y":458,"width":385,"height":11}},{"id":"7b5b177b-5729-417b-9e54-c51c23906502","block_type":"box","text":"Ba Obligations rated Ba are judged to be speculative and are subject to substantial credit risk.","page_number":179,"box":{"x":70,"y":478,"width":775,"height":11}},{"id":"474051ef-59aa-4db2-8329-d4a5331c0404","block_type":"box","text":"B Obligations rated B are considered speculative and are subject to high credit risk.","page_number":179,"box":{"x":70,"y":498,"width":707,"height":11}},{"id":"8ee7c88d-b35b-4430-b62f-1b7824812ba0","block_type":"box","text":"Caa Obligations rated Caa are judged to be speculative of poor standing and are subject to very high","page_number":179,"box":{"x":69,"y":518,"width":810,"height":12}},{"id":"cbe3023d-0fc5-4764-8299-9c7e0a46bfc2","block_type":"box","text":"credit risk.","page_number":179,"box":{"x":196,"y":534,"width":74,"height":8}},{"id":"08135426-3a3f-4c41-9f18-f970a12753a4","block_type":"box","text":"Ca Obligations rated Ca are highly speculative and are likely in, or very near, default, with some","page_number":179,"box":{"x":69,"y":554,"width":783,"height":11}},{"id":"7fb90b9a-6ad1-4350-a777-4f72cff656b0","block_type":"box","text":"prospect of recovery of principal and interest.","page_number":179,"box":{"x":197,"y":569,"width":322,"height":11}},{"id":"a71f8d17-765e-45cc-9197-cb4bfd444290","block_type":"box","text":"C Obligations rated C are the lowest rated and are typically in default, with little prospect for recovery","page_number":179,"box":{"x":69,"y":589,"width":834,"height":11}},{"id":"2c3567b6-2404-469b-9ec0-78130bfdbf7c","block_type":"box","text":"of principal or interest.","page_number":179,"box":{"x":196,"y":604,"width":160,"height":11}},{"id":"7d136025-d18e-449c-9930-ad2f8d846eed","block_type":"box","text":"Note:","page_number":179,"box":{"x":102,"y":624,"width":37,"height":9}},{"id":"e0fc11b1-cdac-4ed8-95c9-299a87e9c278","block_type":"box","text":"Moody’s appends numerical modifiers 1, 2, and 3 to each generic rating classification from Aa through","page_number":179,"box":{"x":146,"y":624,"width":731,"height":11}},{"id":"6cefa109-2748-4229-970f-e5c31c53d3c0","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":179,"box":{"x":69,"y":639,"width":831,"height":12}},{"id":"c0374e3e-084c-4112-94d5-d68ff57528db","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":179,"box":{"x":70,"y":654,"width":829,"height":12}},{"id":"09b156e6-72fa-416c-ae8f-6364b7b3a221","block_type":"box","text":"Additionally, a “(hyb)” indicator is appended to all ratings of hybrid securities issued by banks, insurers, finance","page_number":179,"box":{"x":68,"y":669,"width":795,"height":12}},{"id":"57a34b15-eec6-4d5f-8001-8cec8a521caa","block_type":"box","text":"companies, and securities firms.","page_number":179,"box":{"x":69,"y":685,"width":232,"height":11}},{"id":"cf5df4ee-ec78-48d4-801f-9485315d7567","block_type":"box","text":"By their terms, hybrid securities allow for the omission of scheduled dividends, interest, or principal payments,","page_number":179,"box":{"x":102,"y":707,"width":787,"height":11}},{"id":"6801ca79-9d56-43bd-8e60-7fb06789654f","block_type":"box","text":"which can potentially result in impairment if such an omission occurs. Hybrid securities may also be subject to","page_number":179,"box":{"x":68,"y":722,"width":788,"height":12}},{"id":"55e0649e-c8d0-4180-a8e0-cac53211f643","block_type":"box","text":"contractually allowable write-downs of principal that could result in impairment. Together with the hybrid indicator, the","page_number":179,"box":{"x":69,"y":738,"width":833,"height":11}},{"id":"eae4ddb3-8051-4e89-b854-c66751c1349c","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":179,"box":{"x":70,"y":753,"width":809,"height":11}},{"id":"8fd0fa1a-1a14-4c0b-bee8-967e408149fc","block_type":"box","text":"that security.","page_number":179,"box":{"x":68,"y":768,"width":91,"height":11}},{"id":"2f4076c1-8567-4036-8040-02b796428550","block_type":"box","text":"Description of Moody’s Global Short-Term Rating Scale","page_number":179,"box":{"x":69,"y":798,"width":400,"height":11}},{"id":"c197008e-9e45-451c-8c40-3f4ec7e15639","block_type":"box","text":"P-1 Ratings of Prime-1 reflect a superior ability to repay shor t-term obligations.","page_number":179,"box":{"x":69,"y":826,"width":658,"height":11}},{"id":"86a2aab6-e061-4fc4-a3b2-e8cb76474d49","block_type":"box","text":"P-2 Ratings of Prime-2 reflect a strong ability to repay shor t-term obligations.","page_number":179,"box":{"x":69,"y":846,"width":645,"height":11}},{"id":"f0c36b6b-48c2-45ea-a9d4-29eb8d288c1b","block_type":"box","text":"P-3 Ratings of Prime-3 reflect an acceptable ability to repay shor t-term obligations.","page_number":179,"box":{"x":69,"y":866,"width":686,"height":11}},{"id":"4dfaff8b-2ed9-41a7-ad9f-975b13200730","block_type":"box","text":"NP Issuers (or suppor ting institutions) rated Not Prime do not fall within any of the Prime rating","page_number":179,"box":{"x":70,"y":886,"width":778,"height":12}},{"id":"6faf3895-6c8e-4e2f-877c-177b201479e4","block_type":"box","text":"categories.","page_number":179,"box":{"x":196,"y":902,"width":77,"height":11}},{"id":"54be98c4-0bc3-4bdf-91f8-d5a124c213c8","block_type":"box","text":"A-2","page_number":179,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"9af0a3e7-5b11-4f23-8979-0ae177af9c44","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":179,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ff6360cc-55ab-4cd8-b266-0347b096a36f","block_type":"box","text":"Description of Moody’s U.S. Municipal Short-Term Debt and Demand Obligation Ratings","page_number":180,"box":{"x":69,"y":45,"width":637,"height":11}},{"id":"661d5770-2342-4eb3-a983-43d30a5b3774","block_type":"box","text":"Moody’s uses the global shor t-term Prime rating scale for commercial paper issued by U.S. municipalities and","page_number":180,"box":{"x":102,"y":67,"width":784,"height":12}},{"id":"4bd13117-8a27-4965-8d9b-6e26a8b56fd2","block_type":"box","text":"nonprofits. These commercial paper programs may be backed by external letters of credit or liquidity facilities, or by","page_number":180,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"10f8c944-440f-4371-a3cb-ff24565bf264","block_type":"box","text":"an issuer’s self-liquidity.","page_number":180,"box":{"x":69,"y":98,"width":170,"height":11}},{"id":"0220e00f-6c85-4312-9e1c-02e6db51210c","block_type":"box","text":"For other shor t-term municipal obligations, Moody’s uses one of two other shor t-term rating scales, the","page_number":180,"box":{"x":102,"y":120,"width":736,"height":12}},{"id":"6dfebf85-305f-401e-8bcd-186c21d323ea","block_type":"box","text":"Municipal Investment Grade (“MIG”) and Variable Municipal Investment Grade (“VMIG”) scales discussed below.","page_number":180,"box":{"x":70,"y":135,"width":796,"height":11}},{"id":"9541917e-1dcc-4f45-91b5-de5dbd823101","block_type":"box","text":"MIG Ratings","page_number":180,"box":{"x":102,"y":158,"width":85,"height":11}},{"id":"2093201c-def4-44d7-8c42-3844a2281aba","block_type":"box","text":"Moody’s uses the MIG scale for U.S. municipal cash flow notes, bond anticipation notes and cer tain other shor t","page_number":180,"box":{"x":102,"y":181,"width":803,"height":11}},{"id":"3afb8cf6-af18-46eb-9940-30ed1b2a7b97","block_type":"box","text":"term obligations, which typically mature in three years or less. Under cer tain circumstances, Moody’s uses the MIG","page_number":180,"box":{"x":68,"y":196,"width":823,"height":11}},{"id":"a547f20d-3bf7-42f1-aaae-ac7ed5ffd559","block_type":"box","text":"scale for bond anticipation notes with maturities of up to five years.","page_number":180,"box":{"x":69,"y":211,"width":480,"height":11}},{"id":"94402fb4-e7ed-4350-bc26-f266b262aef2","block_type":"box","text":"MIG Scale","page_number":180,"box":{"x":102,"y":234,"width":71,"height":9}},{"id":"e7b9b94b-1a7d-4668-aa62-77373c9f20a3","block_type":"box","text":"MIG 1 This designation denotes superior credit quality. Excellent protection is afforded by established","page_number":180,"box":{"x":70,"y":261,"width":802,"height":12}},{"id":"b37afc9d-6797-4b80-8f5b-0e84dc515906","block_type":"box","text":"cash flows, highly reliable liquidity suppor t, or demonstrated broad-based access to the market for","page_number":180,"box":{"x":196,"y":276,"width":703,"height":12}},{"id":"ebafc09d-6ada-4270-adfd-78484a19d2f5","block_type":"box","text":"refinancing.","page_number":180,"box":{"x":197,"y":292,"width":80,"height":11}},{"id":"0fed5e83-ef00-466f-bec5-cc709bb1b57e","block_type":"box","text":"MIG 2 This designation denotes strong credit quality. Margins of protection are ample, although not as","page_number":180,"box":{"x":70,"y":312,"width":809,"height":11}},{"id":"d9578126-3e42-4b34-bb87-2756df496352","block_type":"box","text":"large as in the preceding group.","page_number":180,"box":{"x":197,"y":327,"width":224,"height":11}},{"id":"e43cc2f7-326d-418b-b0e5-f1b05320847e","block_type":"box","text":"MIG 3 This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be","page_number":180,"box":{"x":70,"y":347,"width":785,"height":11}},{"id":"a79aff01-42e6-48b6-bd2d-4e2e1a2a98ef","block_type":"box","text":"narrow, and market access for refinancing is likely to be less well-established.","page_number":180,"box":{"x":197,"y":362,"width":554,"height":11}},{"id":"b868f6c9-922c-4ee8-8778-f66fcaf58574","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Debt instruments in this category may","page_number":180,"box":{"x":69,"y":382,"width":813,"height":12}},{"id":"72a3e411-16a6-4a4d-a3bb-70cf03ba868e","block_type":"box","text":"lack sufficient margins of protection.","page_number":180,"box":{"x":197,"y":397,"width":259,"height":12}},{"id":"d6c0a78e-225f-48dc-aee2-810354acfc95","block_type":"box","text":"VMIG Ratings","page_number":180,"box":{"x":68,"y":425,"width":100,"height":11}},{"id":"f8606679-bbbc-47f5-9ac9-e14ccb7c3fc9","block_type":"box","text":"In the case of variable rate demand obligations (“VRDOs”), a two-component rating is assigned. The components","page_number":180,"box":{"x":102,"y":448,"width":804,"height":11}},{"id":"99fb59b9-22f7-4a31-9f02-864d07d8c4d5","block_type":"box","text":"are a long-term rating and a shor t-term payment obligation rating. The long-term rating addresses the issuer’s ability","page_number":180,"box":{"x":69,"y":463,"width":829,"height":11}},{"id":"35ba4f7b-37ba-478b-8313-ff3404cef3ad","block_type":"box","text":"to meet scheduled principal and interest payments. The shor t-term payment obligation rating addresses the ability of","page_number":180,"box":{"x":68,"y":478,"width":836,"height":11}},{"id":"822d74ac-3389-461a-a9d3-e4bf7e7f0e17","block_type":"box","text":"the issuer or the liquidity provider meet any purchase-price payment obligation resulting from optional tenders (“on","page_number":180,"box":{"x":68,"y":493,"width":817,"height":11}},{"id":"ce8cfa92-8c77-413f-84d6-8f05cd47a6b0","block_type":"box","text":"demand”) and/or mandatory tenders of the VRDO. The shor t-term demand obligation rating uses the VMIG scale.","page_number":180,"box":{"x":69,"y":508,"width":807,"height":12}},{"id":"3181c404-9c5a-45f4-9a67-e1c0851e89a3","block_type":"box","text":"VMIG ratings with liquidity suppor t use as an input the shor t-term Counterpar ty Risk Assessment of the suppor t","page_number":180,"box":{"x":68,"y":523,"width":800,"height":12}},{"id":"9be3c8de-91e9-4f94-880a-d5a6736e8c95","block_type":"box","text":"provider, or the long-term rating of the underlying obligor in the absence of third par ty liquidity suppor t. Transitions of","page_number":180,"box":{"x":70,"y":538,"width":832,"height":12}},{"id":"27a87d29-b7af-44fc-852f-06bef345c063","block_type":"box","text":"VMIG ratings of demand obligations with conditional liquidity suppor t differ from transitions on the Prime scale to","page_number":180,"box":{"x":68,"y":554,"width":807,"height":11}},{"id":"79e98f15-afd9-4b93-926f-27e3f057a6e5","block_type":"box","text":"reflect the risk that external liquidity suppor t will terminate if the issuer’s long-term rating drops below investment","page_number":180,"box":{"x":69,"y":569,"width":812,"height":11}},{"id":"755ac632-0ba8-49d8-aeba-74b4e5f3b1b7","block_type":"box","text":"grade.","page_number":180,"box":{"x":68,"y":584,"width":43,"height":11}},{"id":"4501775e-bb04-4d97-88a3-04e1d57f0802","block_type":"box","text":"Moody’s typically assigns the VMIG shor t-term demand obligation rating if the frequency of the demand feature is","page_number":180,"box":{"x":102,"y":606,"width":807,"height":12}},{"id":"32cf722e-a0c2-46a8-8313-80a85ba00256","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":180,"box":{"x":70,"y":622,"width":833,"height":11}},{"id":"acab65f4-5775-44dc-b430-7fd660aebe38","block_type":"box","text":"payable only with remarketing proceeds, the shor t-term demand obligation rating is “NR”.","page_number":180,"box":{"x":70,"y":637,"width":635,"height":11}},{"id":"e2d32519-8df5-423a-947c-82558fb1aa8c","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":180,"box":{"x":102,"y":659,"width":778,"height":12}},{"id":"4744487f-8f1f-455c-99e8-05b46afef2ac","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":180,"box":{"x":70,"y":675,"width":795,"height":11}},{"id":"a6383d09-b33d-4646-b8bb-54bc0eab3d31","block_type":"box","text":"liquidity of the corporate obligor.","page_number":180,"box":{"x":70,"y":690,"width":226,"height":11}},{"id":"f5d65a2c-420a-4e97-a759-ff340a0c9d53","block_type":"box","text":"VMIG Scale","page_number":180,"box":{"x":101,"y":712,"width":81,"height":9}},{"id":"49e1edf0-a3d7-4089-967a-067ff0aa7216","block_type":"box","text":"VMIG 1 This designation denotes superior credit quality. Excellent protection is afforded by the superior","page_number":180,"box":{"x":68,"y":740,"width":808,"height":11}},{"id":"3761e4b5-4404-466b-85b6-bc78d54a13ba","block_type":"box","text":"shor t-term credit strength of the liquidity provider and structural and legal protections.","page_number":180,"box":{"x":196,"y":755,"width":613,"height":11}},{"id":"c7875f07-b53f-43b0-ab2a-4631044325d1","block_type":"box","text":"VMIG 2 This designation denotes strong credit quality. Good protection is afforded by the strong shor t-term","page_number":180,"box":{"x":68,"y":775,"width":834,"height":12}},{"id":"0b1b93aa-7203-4fd9-b59f-aadbcf536205","block_type":"box","text":"credit strength of the liquidity provider and structural and legal protections.","page_number":180,"box":{"x":196,"y":790,"width":533,"height":12}},{"id":"36e3bf96-f5b9-4b31-95c0-bf528e37a87d","block_type":"box","text":"VMIG 3 This designation denotes acceptable credit quality. Adequate protection is afforded by the","page_number":180,"box":{"x":68,"y":811,"width":768,"height":11}},{"id":"15747c63-3a60-4685-80b7-38e131888733","block_type":"box","text":"satisfactory shor t-term credit strength of the liquidity provider and structural and legal protections.","page_number":180,"box":{"x":196,"y":826,"width":701,"height":11}},{"id":"19a4e9cd-b9c8-41cd-a299-d2c4cff8aebc","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Demand features rated in this category","page_number":180,"box":{"x":69,"y":846,"width":820,"height":11}},{"id":"21137f6a-8a0d-49dc-ba48-a66ea9b42dd4","block_type":"box","text":"may be suppor ted by a liquidity provider that does not have a sufficiently strong shor t-term rating or","page_number":180,"box":{"x":197,"y":861,"width":711,"height":11}},{"id":"a5285a3e-cbfa-424c-8024-90937144f172","block_type":"box","text":"may lack the structural or legal protections.","page_number":180,"box":{"x":197,"y":876,"width":308,"height":11}},{"id":"47729566-23cc-4fec-b1ce-70121a91689b","block_type":"box","text":"A-3","page_number":180,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"fcb6489d-13ba-46e4-857f-0cd866fce580","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":180,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"469c784b-13d4-461e-a2ca-22be88ee1a9a","block_type":"box","text":"Description of S&P Global Ratings (“S&P”), a Division of S&P Global Inc., Issue Credit Ratings","page_number":181,"box":{"x":69,"y":45,"width":691,"height":11}},{"id":"41fa6b08-cff3-4967-acf7-2997b58b46a4","block_type":"box","text":"An S&P issue credit rating is a forward-looking opinion about the creditwor thiness of an obligor with respect to a","page_number":181,"box":{"x":101,"y":67,"width":801,"height":12}},{"id":"e8ed9aeb-6009-47aa-bee1-4c730d4b7912","block_type":"box","text":"specific financial obligation, a specific class of financial obligations, or a specific financial program (including ratings","page_number":181,"box":{"x":69,"y":82,"width":829,"height":12}},{"id":"6eff2157-e301-4485-9011-769dd6452f9e","block_type":"box","text":"on medium-term note programs and commercial paper programs). It takes into consideration the creditwor thiness of","page_number":181,"box":{"x":69,"y":98,"width":831,"height":11}},{"id":"24e64674-3d13-4942-a852-7a897bb5b9d3","block_type":"box","text":"guarantors, insurers, or other forms of credit enhancement on the obligation and takes into account the currency in","page_number":181,"box":{"x":68,"y":113,"width":823,"height":11}},{"id":"669deae3-4d3d-46b0-a69e-8714a44fae1c","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":181,"box":{"x":68,"y":128,"width":841,"height":11}},{"id":"7c499349-488b-4e0b-84c7-5b64c233cef9","block_type":"box","text":"its financial commitments as they come due, and this opinion may assess terms, such as collateral security and","page_number":181,"box":{"x":70,"y":143,"width":801,"height":11}},{"id":"0e1a28ed-d79e-4fff-8db1-a92e039cb696","block_type":"box","text":"subordination, which could affect ultimate payment in the event of default.","page_number":181,"box":{"x":69,"y":158,"width":530,"height":11}},{"id":"01216072-ec40-45c7-9d7e-a98172920f66","block_type":"box","text":"Issue credit ratings can be either long-term or shor t-term. Shor t-term issue credit ratings are generally assigned","page_number":181,"box":{"x":102,"y":181,"width":796,"height":11}},{"id":"3a606766-7548-42e1-b9c6-64527aa59184","block_type":"box","text":"to those obligations considered shor t-term in the relevant market, typically with an original maturity of no more than","page_number":181,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"5af0ab2d-3a85-447b-92a6-8df098aed906","block_type":"box","text":"365 days. Shor t-term issue credit ratings are also used to indicate the creditwor thiness of an obligor with respect to","page_number":181,"box":{"x":69,"y":211,"width":832,"height":11}},{"id":"c4d67201-b3fd-410f-ac52-fd1c08fc2c2e","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":181,"box":{"x":70,"y":226,"width":826,"height":11}},{"id":"6a8cb26d-8427-4391-bc81-76ee87cd2772","block_type":"box","text":"an original maturity of greater than 365 days. However, the ratings S&P assigns to cer tain instruments may diverge","page_number":181,"box":{"x":69,"y":241,"width":823,"height":11}},{"id":"add7fb43-6e8d-42b7-b434-105a68beb0fb","block_type":"box","text":"from these guidelines based on market practices.","page_number":181,"box":{"x":68,"y":256,"width":354,"height":12}},{"id":"6335806c-51bc-46c6-8b33-f53a34c6b725","block_type":"box","text":"Issue credit ratings are based, in varying degrees, on S&P’s analysis of the following considerations:","page_number":181,"box":{"x":102,"y":279,"width":718,"height":11}},{"id":"bd2c9159-c1d9-421b-8f83-ace5d5e6af11","block_type":"box","text":"•","page_number":181,"box":{"x":69,"y":302,"width":6,"height":5}},{"id":"1a57bf1c-05d4-4faf-98ce-043885bc9f0b","block_type":"box","text":"The likelihood of payment—the capacity and willingness of the obligor to meet its financial commitments on an","page_number":181,"box":{"x":101,"y":299,"width":790,"height":11}},{"id":"46787615-36d4-4c70-9923-4e29a42886e0","block_type":"box","text":"obligation in accordance with the terms of the obligation;","page_number":181,"box":{"x":102,"y":314,"width":404,"height":12}},{"id":"3e152475-61b6-4afc-a19d-c673753ef500","block_type":"box","text":"•","page_number":181,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"5ca6a83f-c9a5-42be-a724-79ed237a80f2","block_type":"box","text":"The nature and provisions of the financial obligation, and the promise S&P imputes; and","page_number":181,"box":{"x":101,"y":334,"width":629,"height":12}},{"id":"9a93a1f9-ecae-4176-b05b-0c9b91f060a6","block_type":"box","text":"•","page_number":181,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"15089dc0-bc2c-4269-8df5-9f535dac1726","block_type":"box","text":"The protection afforded by, and relative position of, the financial obligation in the event of a bankruptcy,","page_number":181,"box":{"x":101,"y":355,"width":738,"height":11}},{"id":"df15d5bd-6b99-4cdd-b284-77f9913e6e00","block_type":"box","text":"reorganization, or other arrangement under the laws of bankruptcy and other laws affecting creditors’ rights.","page_number":181,"box":{"x":102,"y":370,"width":770,"height":11}},{"id":"13436fcd-4bf0-4cd3-8cbb-00b9877e52eb","block_type":"box","text":"An issue rating is an assessment of default risk but may incorporate an assessment of relative seniority or","page_number":181,"box":{"x":101,"y":392,"width":763,"height":12}},{"id":"55336d90-1834-49dd-adfe-3c81591d4bf3","block_type":"box","text":"ultimate recovery in the event of default. Junior obligations are typically rated lower than senior obligations, to reflect","page_number":181,"box":{"x":69,"y":407,"width":833,"height":12}},{"id":"07515209-45d0-42a0-9038-5fc35eea1c57","block_type":"box","text":"lower priority in bankruptcy, as noted above. (Such differentiation may apply when an entity has both senior and","page_number":181,"box":{"x":70,"y":423,"width":794,"height":11}},{"id":"a5766d1f-49a1-4bc0-a0f2-64271e3b7846","block_type":"box","text":"subordinated obligations, secured and unsecured obligations, or operating company and holding company","page_number":181,"box":{"x":69,"y":438,"width":754,"height":11}},{"id":"959ea89e-47ea-4b89-8087-039eed24f299","block_type":"box","text":"obligations.)","page_number":181,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"525fa3e4-697b-4af8-8567-da9897cd18e0","block_type":"box","text":"Long-Term Issue Credit Ratings*","page_number":181,"box":{"x":69,"y":483,"width":236,"height":11}},{"id":"d1de59ce-76fb-46f7-93a8-88b0def49724","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":181,"box":{"x":68,"y":511,"width":833,"height":11}},{"id":"1116cbe8-6957-44f8-b641-a58ad8c8da0f","block_type":"box","text":"financial commitments on the obligation is extremely strong.","page_number":181,"box":{"x":196,"y":526,"width":429,"height":11}},{"id":"2d9a58b2-8480-4b68-a2f9-220f58dfd53f","block_type":"box","text":"AA An obligation rated ‘AA’ differs from the highest-rated obligations only to a small degree. The","page_number":181,"box":{"x":68,"y":546,"width":788,"height":11}},{"id":"b561c4f6-3e4f-4577-bb5d-4dc251a83ce8","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is very strong.","page_number":181,"box":{"x":196,"y":561,"width":602,"height":11}},{"id":"e21e5d79-65b8-47c1-8d11-01df00139e12","block_type":"box","text":"A An obligation rated ‘A’ is somewhat more susceptible to the adverse effects of changes in","page_number":181,"box":{"x":68,"y":581,"width":770,"height":12}},{"id":"22f63c95-eced-45cc-b2a6-46e4ae1d7d9e","block_type":"box","text":"circumstances and economic conditions than obligations in higher-rated categories. However, the","page_number":181,"box":{"x":196,"y":597,"width":692,"height":11}},{"id":"5cf653a4-8c43-4e42-b7c3-69f0f1ded7c9","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is still strong.","page_number":181,"box":{"x":196,"y":612,"width":598,"height":11}},{"id":"547e7b40-c759-4dea-9dce-cf530d6d13fe","block_type":"box","text":"BBB An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic","page_number":181,"box":{"x":70,"y":632,"width":806,"height":11}},{"id":"9e6a6989-b3a4-4f4d-a245-82bcfe69cd83","block_type":"box","text":"conditions or changing circumstances are more likely to weaken the obligor’s capacity to meet its","page_number":181,"box":{"x":196,"y":647,"width":694,"height":11}},{"id":"9ef70adc-9bef-4b79-a2bb-08fd39f2b76b","block_type":"box","text":"financial commitments on the obligation.","page_number":181,"box":{"x":196,"y":662,"width":289,"height":11}},{"id":"b3139f45-e677-41eb-b14c-7e7b72907ba8","block_type":"box","text":"BB,","page_number":181,"box":{"x":70,"y":682,"width":22,"height":11}},{"id":"f0efe90f-e1dd-405d-bfbb-4df747a5df8c","block_type":"box","text":"B,","page_number":181,"box":{"x":70,"y":697,"width":12,"height":11}},{"id":"e4e98b33-2709-467d-8069-c840afd6ebca","block_type":"box","text":"CCC,","page_number":181,"box":{"x":69,"y":712,"width":33,"height":11}},{"id":"6a7574aa-7a15-41f9-a585-eb7fab553cbb","block_type":"box","text":"CC,","page_number":181,"box":{"x":69,"y":728,"width":23,"height":10}},{"id":"f37ada83-3864-4ac6-bd8b-a13247ef9aa3","block_type":"box","text":"and C","page_number":181,"box":{"x":69,"y":743,"width":40,"height":9}},{"id":"7f5b4b6c-380d-41ba-809a-abaa0baf97bf","block_type":"box","text":"Obligations rated ‘BB’, ‘B’, ‘CCC’, ‘CC’, and ‘C’ are regarded as having significant speculative","page_number":181,"box":{"x":196,"y":682,"width":667,"height":11}},{"id":"61519759-b7da-40fc-8c4b-6f356c823c39","block_type":"box","text":"characteristics. ‘BB’ indicates the least degree of speculation and ‘C’ the highest. While such","page_number":181,"box":{"x":196,"y":697,"width":667,"height":12}},{"id":"be59c932-aa46-4877-a068-4a283c74736c","block_type":"box","text":"obligations will likely have some quality and protective characteristics, these may be outweighed by","page_number":181,"box":{"x":196,"y":713,"width":707,"height":11}},{"id":"c13b049c-a56b-4464-896b-c6235784dd94","block_type":"box","text":"large uncer tainties or major exposure to adverse conditions.","page_number":181,"box":{"x":197,"y":728,"width":428,"height":11}},{"id":"9c58fe0f-594d-4b3e-bd0d-1ec789fa26be","block_type":"box","text":"BB An obligation rated ‘BB’ is less vulnerable to nonpayment than other speculative issues. However, it","page_number":181,"box":{"x":70,"y":763,"width":838,"height":11}},{"id":"07ce98b1-f60a-4261-81ea-2a7a2dc87f76","block_type":"box","text":"faces major ongoing uncer tainties or exposure to adverse business, financial, or economic","page_number":181,"box":{"x":196,"y":778,"width":646,"height":11}},{"id":"590d2f6c-7660-4aba-9e87-840f2affcd5b","block_type":"box","text":"conditions that could lead to the obligor’s inadequate capacity to meet its financial commitments","page_number":181,"box":{"x":196,"y":793,"width":692,"height":11}},{"id":"0fb54a55-9952-4577-ba23-e0d920f34e29","block_type":"box","text":"on the obligation.","page_number":181,"box":{"x":196,"y":808,"width":122,"height":11}},{"id":"ac48f5ba-8765-481b-95c6-f5ead619082e","block_type":"box","text":"B An obligation rated ‘B’ is more vulnerable to nonpayment than obligations rated ‘BB’, but the obligor","page_number":181,"box":{"x":70,"y":828,"width":840,"height":12}},{"id":"c43c3b10-a5e3-45c0-a149-619fc4bf09aa","block_type":"box","text":"currently has the capacity to meet its financial commitments on the obligation. Adverse business,","page_number":181,"box":{"x":196,"y":843,"width":695,"height":12}},{"id":"15f65bdc-609f-455f-9c46-a2f018e8a267","block_type":"box","text":"financial, or economic conditions will likely impair the obligor’s capacity or willingness to meet its","page_number":181,"box":{"x":196,"y":858,"width":691,"height":12}},{"id":"4f8657f7-5c65-4101-8cca-9ca0afa1095b","block_type":"box","text":"financial commitments on the obligation.","page_number":181,"box":{"x":196,"y":874,"width":289,"height":11}},{"id":"b36e47b9-8022-4016-a371-b20d788dc792","block_type":"box","text":"A-4","page_number":181,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"ee957167-4d20-42d1-9309-3cd32df297fa","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":181,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a7970bfc-7ef9-4f35-90b7-fb8c3b24ae22","block_type":"box","text":"CCC An obligation rated ‘CCC’ is currently vulnerable to nonpayment and is dependent upon favorable","page_number":182,"box":{"x":69,"y":48,"width":816,"height":12}},{"id":"62b09bb1-9acf-428f-baa6-c17e24ab1d8c","block_type":"box","text":"business, financial, and economic conditions for the obligor to meet its financial commitments on","page_number":182,"box":{"x":196,"y":63,"width":695,"height":12}},{"id":"b53884aa-2d7e-453e-90a1-30cdab8f58af","block_type":"box","text":"the obligation. In the event of adverse business, financial, or economic conditions, the obligor is","page_number":182,"box":{"x":195,"y":79,"width":687,"height":11}},{"id":"6423a24c-cbce-474b-b01c-9d81ff8f67c4","block_type":"box","text":"not likely to have the capacity to meet its financial commitments on the obligation.","page_number":182,"box":{"x":197,"y":94,"width":586,"height":11}},{"id":"779ac6d9-3fae-4883-86cd-ff6ab48cc92f","block_type":"box","text":"CC An obligation rated ‘CC’ is currently highly vulnerable to nonpayment. The ‘CC’ rating is used when","page_number":182,"box":{"x":69,"y":114,"width":826,"height":11}},{"id":"9ab0cef9-c1e2-4d38-ac4f-92e1eae28328","block_type":"box","text":"a default has not yet occurred but S&P expects default to be a vir tual cer tainty, regardless of the","page_number":182,"box":{"x":196,"y":129,"width":692,"height":11}},{"id":"f3914b99-f6c6-4a4e-a263-87e996393285","block_type":"box","text":"anticipated time to default.","page_number":182,"box":{"x":196,"y":144,"width":191,"height":11}},{"id":"86523250-330b-468a-a80e-c3787c024b80","block_type":"box","text":"C An obligation rated ‘C’ is currently highly vulnerable to nonpayment, and the obligation is expected","page_number":182,"box":{"x":69,"y":164,"width":826,"height":12}},{"id":"b7baa5c6-22c9-48ba-89b2-dcefde68a537","block_type":"box","text":"to have lower relative seniority or lower ultimate recovery compared with obligations that are rated","page_number":182,"box":{"x":195,"y":180,"width":700,"height":11}},{"id":"dce32b82-27c1-4dc3-9f52-7eda4c2d8caa","block_type":"box","text":"higher.","page_number":182,"box":{"x":197,"y":195,"width":45,"height":11}},{"id":"d8a4a694-e0cc-4a10-83a0-0f50cff0df7f","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":182,"box":{"x":70,"y":215,"width":789,"height":11}},{"id":"c7e8499f-1abe-45f6-8c7b-b158b02510d1","block_type":"box","text":"instruments, the ‘D’ rating category is used when payments on an obligation are not made on the","page_number":182,"box":{"x":197,"y":230,"width":695,"height":11}},{"id":"d239128e-8f45-42de-a7cf-ddf6205309ac","block_type":"box","text":"date due, unless S&P believes that such payments will be made within five business days in the","page_number":182,"box":{"x":196,"y":245,"width":686,"height":11}},{"id":"65a17a9f-35dd-4914-8213-29662d3c316e","block_type":"box","text":"absence of a stated grace period or within the earlier of the stated grace period or 30 calendar","page_number":182,"box":{"x":196,"y":260,"width":676,"height":11}},{"id":"80854ae1-dcc1-4428-9342-9c3c25724857","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":182,"box":{"x":196,"y":275,"width":708,"height":11}},{"id":"3dfde6cb-539c-4ae6-abf6-9758942deedd","block_type":"box","text":"action and where default on an obligation is a vir tual cer tainty, for example due to automatic stay","page_number":182,"box":{"x":196,"y":290,"width":694,"height":12}},{"id":"1911afe3-3db6-44e1-90df-15d425b5805e","block_type":"box","text":"provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed debt","page_number":182,"box":{"x":197,"y":305,"width":626,"height":12}},{"id":"c75a398f-5bab-4321-a331-2c5bdc9ddfac","block_type":"box","text":"restructuring.","page_number":182,"box":{"x":197,"y":321,"width":92,"height":11}},{"id":"ab93f3b0-b256-4763-95e4-5895f327ec47","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":182,"box":{"x":103,"y":341,"width":756,"height":11}},{"id":"7e6c82e0-dd91-4f54-a8b8-12f7cae4c7f1","block_type":"box","text":"standing within the rating categories.","page_number":182,"box":{"x":69,"y":356,"width":262,"height":11}},{"id":"d6c82faf-69fe-45dd-b9a5-501353ed16f3","block_type":"box","text":"Short-Term Issue Credit Ratings","page_number":182,"box":{"x":68,"y":386,"width":233,"height":11}},{"id":"ddacc96a-e61e-4d86-be75-0313c1475766","block_type":"box","text":"A-1 A shor t-term obligation rated ‘A-1’ is rated in the highest category by S&P. The obligor’s capacity to","page_number":182,"box":{"x":68,"y":414,"width":833,"height":11}},{"id":"51b05825-ac99-4802-9011-a1fd3d22c247","block_type":"box","text":"meet its financial commitments on the obligation is strong. Within this category, cer tain obligations","page_number":182,"box":{"x":197,"y":429,"width":707,"height":11}},{"id":"51a3bc0e-9974-4e50-a14d-c5577d080bcf","block_type":"box","text":"are designated with a plus sign (+). This indicates that the obligor’s capacity to meet its financial","page_number":182,"box":{"x":196,"y":444,"width":691,"height":11}},{"id":"a99ea014-54b0-4830-abe9-d9740c083c51","block_type":"box","text":"commitments on these obligations is extremely strong.","page_number":182,"box":{"x":196,"y":459,"width":390,"height":11}},{"id":"74b0e310-3387-47da-b3d6-0cf8ec10ab79","block_type":"box","text":"A-2 A shor t-term obligation rated ‘A-2’ is somewhat more susceptible to the adverse effects of changes","page_number":182,"box":{"x":68,"y":479,"width":837,"height":12}},{"id":"0710bb76-e69c-4586-9f1a-7d67d8939e39","block_type":"box","text":"in circumstances and economic conditions than obligations in higher rating categories. However,","page_number":182,"box":{"x":197,"y":495,"width":684,"height":11}},{"id":"43c0e5ca-8f5e-4a4e-a074-a819f49e447c","block_type":"box","text":"the obligor’s capacity to meet its financial commitments on the obligation is satisfactory.","page_number":182,"box":{"x":195,"y":509,"width":634,"height":12}},{"id":"aed3f9c3-7d33-4f0a-89b9-1356452a8023","block_type":"box","text":"A-3 A shor t-term obligation rated ‘A-3’ exhibits adequate protection parameters. However, adverse","page_number":182,"box":{"x":68,"y":530,"width":798,"height":11}},{"id":"f7f29c82-e9ba-4b07-901e-b1e39d8454e9","block_type":"box","text":"economic conditions or changing circumstances are more likely to weaken an obligor’s capacity to","page_number":182,"box":{"x":196,"y":545,"width":699,"height":11}},{"id":"6ff05333-495c-45be-97cd-d0c04af5ead5","block_type":"box","text":"meet its financial commitments on the obligation.","page_number":182,"box":{"x":197,"y":560,"width":351,"height":11}},{"id":"e4721313-181b-4263-95e2-8675de6a177e","block_type":"box","text":"B A shor t-term obligation rated ‘B’ is regarded as vulnerable and has significant speculative","page_number":182,"box":{"x":70,"y":580,"width":765,"height":11}},{"id":"5943b436-d416-4908-ab13-b18a7fb4d561","block_type":"box","text":"characteristics. The obligor currently has the capacity to meet its financial commitments; however,","page_number":182,"box":{"x":196,"y":595,"width":700,"height":11}},{"id":"d0590fbc-7410-461c-b4d7-1561393716d9","block_type":"box","text":"it faces major ongoing uncer tainties that could lead to the obligor’s inadequate capacity to meet its","page_number":182,"box":{"x":197,"y":610,"width":708,"height":12}},{"id":"dfffa170-b739-4daf-af26-d4c0e2be6339","block_type":"box","text":"financial commitments.","page_number":182,"box":{"x":196,"y":625,"width":165,"height":9}},{"id":"62f3b47f-067e-480b-92ba-b656aa0bceca","block_type":"box","text":"C A shor t-term obligation rated ‘C’ is currently vulnerable to nonpayment and is dependent upon","page_number":182,"box":{"x":69,"y":646,"width":796,"height":11}},{"id":"ac8fba4c-f7c2-4fa6-937e-85f8eadc2159","block_type":"box","text":"favorable business, financial, and economic conditions for the obligor to meet its financial","page_number":182,"box":{"x":196,"y":661,"width":641,"height":11}},{"id":"82bdb717-64d4-4919-897e-6a0c4e75078d","block_type":"box","text":"commitments on the obligation.","page_number":182,"box":{"x":196,"y":676,"width":224,"height":11}},{"id":"9bd985ae-e00d-4c5a-9a22-a05f9640ddae","block_type":"box","text":"D A shor t-term obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid","page_number":182,"box":{"x":70,"y":696,"width":808,"height":11}},{"id":"1be67bdb-a9cf-41b1-959c-3f73d81c0cb6","block_type":"box","text":"capital instruments, the ‘D’ rating category is used when payments on an obligation are not made","page_number":182,"box":{"x":196,"y":711,"width":698,"height":11}},{"id":"4cffc68c-7692-4089-9c30-62312069a97c","block_type":"box","text":"on the date due, unless S&P believes that such payments will be made within any stated grace","page_number":182,"box":{"x":196,"y":726,"width":678,"height":12}},{"id":"78b2b28b-e1d7-4f3a-9988-9c17df9d0786","block_type":"box","text":"period. However, any stated grace period longer than five business days will be treated as five","page_number":182,"box":{"x":197,"y":741,"width":669,"height":12}},{"id":"e554a994-05e2-4f3d-b6a8-6aa6c5e8ce81","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":182,"box":{"x":196,"y":756,"width":707,"height":12}},{"id":"d44f18e4-9937-4ee5-966e-23c3a73b3c32","block_type":"box","text":"of a similar action and where default on an obligation is a vir tual cer tainty, for example due to","page_number":182,"box":{"x":196,"y":772,"width":669,"height":11}},{"id":"e51a1e2d-e818-4d69-a1b1-647553d6b398","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":182,"box":{"x":196,"y":787,"width":700,"height":11}},{"id":"07387c4d-25fe-49e7-a33a-6c5521e4c1b4","block_type":"box","text":"debt restructuring.","page_number":182,"box":{"x":196,"y":802,"width":130,"height":11}},{"id":"087330a2-ebec-4eaa-8d8a-8fd1977c7f8d","block_type":"box","text":"Description of S&P’s Municipal Short-Term Note Ratings","page_number":182,"box":{"x":69,"y":830,"width":411,"height":11}},{"id":"7dc3fe67-46b4-41b1-91d1-d8ff7470d7e0","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":182,"box":{"x":101,"y":852,"width":772,"height":11}},{"id":"20d565cf-e6e1-4443-b271-802248e0dd8b","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":182,"box":{"x":69,"y":868,"width":823,"height":11}},{"id":"a64765eb-3b60-404d-ae78-e4e8b2bb9892","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":182,"box":{"x":69,"y":882,"width":832,"height":12}},{"id":"c96006db-6429-441e-8378-846e96277e5b","block_type":"box","text":"assign, S&P’s analysis will review the following considerations:","page_number":182,"box":{"x":69,"y":898,"width":447,"height":11}},{"id":"8b6a79e7-abb3-4873-bcf7-7efdb969a568","block_type":"box","text":"A-5","page_number":182,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"31854f31-bab0-4125-aaf3-33cb086488fa","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":182,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"afbf68da-b835-4bf9-8e75-a0d6b0cf4bc4","block_type":"box","text":"•","page_number":183,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"081a0eea-0cff-4879-ac13-64e2709177fa","block_type":"box","text":"Amor tization schedule—the larger the final maturity relative to other maturities, the more likely it will be treated","page_number":183,"box":{"x":101,"y":45,"width":796,"height":11}},{"id":"34ab5061-22e4-489c-a977-3c3ea26741b6","block_type":"box","text":"as a note; and","page_number":183,"box":{"x":102,"y":60,"width":101,"height":10}},{"id":"4f51b5f9-f702-45c8-9d0f-7a07f0fcd861","block_type":"box","text":"•","page_number":183,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"526a5206-1489-49f7-9818-9cbe8f6f2521","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":183,"box":{"x":102,"y":80,"width":794,"height":11}},{"id":"ca383409-f387-4595-b7c1-63aa66662ebe","block_type":"box","text":"treated as a note.","page_number":183,"box":{"x":101,"y":95,"width":127,"height":9}},{"id":"05f4585b-7f3d-43ca-8f61-e0402a7f4101","block_type":"box","text":"S&P’s municipal shor t-term note rating symbols are as follows:","page_number":183,"box":{"x":102,"y":118,"width":448,"height":11}},{"id":"67586940-04af-4a90-9569-2299a585a93c","block_type":"box","text":"SP-1 Strong capacity to pay principal and interest. An issue determined to possess a very strong","page_number":183,"box":{"x":69,"y":146,"width":779,"height":11}},{"id":"5db4b5a0-94fc-4875-96e8-a2e57e0f65eb","block_type":"box","text":"capacity to pay debt service is given a plus (+) designation.","page_number":183,"box":{"x":196,"y":161,"width":422,"height":11}},{"id":"5e0f73ca-447b-4f1c-923c-ca08566092a1","block_type":"box","text":"SP-2 Satisfactory capacity to pay principal and interest, with some vulnerability to adverse financial and","page_number":183,"box":{"x":69,"y":181,"width":825,"height":11}},{"id":"9dffb1f3-afa9-4363-b2e3-8c7834650328","block_type":"box","text":"economic changes over the term of the notes.","page_number":183,"box":{"x":196,"y":196,"width":327,"height":11}},{"id":"2537e044-4974-498a-b65e-dd03b42a6058","block_type":"box","text":"SP-3 Speculative capacity to pay principal and interest.","page_number":183,"box":{"x":69,"y":216,"width":479,"height":11}},{"id":"4ec3e523-eb7f-40d0-b5c8-4d4017a547fe","block_type":"box","text":"D ‘D’ is assigned upon failure to pay the note when due, completion of a distressed debt","page_number":183,"box":{"x":70,"y":236,"width":745,"height":11}},{"id":"bb7acb2d-c460-40db-8912-a48a14349913","block_type":"box","text":"restructuring, or the filing of a bankruptcy petition or the taking of similar action and where default","page_number":183,"box":{"x":197,"y":251,"width":699,"height":12}},{"id":"68a8a47e-b594-4598-a6b2-4c585c7e1036","block_type":"box","text":"on an obligation is a vir tual cer tainty, for example due to automatic stay provisions.","page_number":183,"box":{"x":196,"y":266,"width":594,"height":12}},{"id":"2e956377-ba6d-4703-b01e-9a0f5dd021e2","block_type":"box","text":"Description of Fitch Ratings’ (“Fitch”) Credit Ratings Scales","page_number":183,"box":{"x":69,"y":294,"width":442,"height":11}},{"id":"984214de-740f-4efb-bf4c-46ecf421b469","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":183,"box":{"x":102,"y":317,"width":793,"height":11}},{"id":"6b4cf117-6f8f-4230-93aa-b47fa68208d3","block_type":"box","text":"meet financial commitments. Issuer default ratings (IDRs) are assigned to corporations, sovereign entities, financial","page_number":183,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"a26fc41d-3421-4e0d-91e2-ab5e01807bf2","block_type":"box","text":"institutions such as banks, leasing companies and insurers, and public finance entities (local and regional","page_number":183,"box":{"x":70,"y":347,"width":756,"height":11}},{"id":"871e7669-302d-4928-a937-02970e9b410d","block_type":"box","text":"governments). Issue level ratings are also assigned, often include an expectation of recovery and may be notched","page_number":183,"box":{"x":68,"y":362,"width":813,"height":11}},{"id":"f44ef004-62f9-4574-b55b-4790dca4feea","block_type":"box","text":"above or below the issuer level rating. Issue ratings are assigned to secured and unsecured debt securities, loans,","page_number":183,"box":{"x":69,"y":377,"width":819,"height":12}},{"id":"24330932-38ad-4e20-ad71-985e0f135622","block_type":"box","text":"preferred stock and other instruments, Structured finance ratings are issue ratings to securities backed by","page_number":183,"box":{"x":70,"y":392,"width":760,"height":12}},{"id":"de022b5c-6c31-4f1e-a413-86fdf226d95c","block_type":"box","text":"receivables or other financial assets that consider the obligations’ relative vulnerability to default.","page_number":183,"box":{"x":69,"y":407,"width":694,"height":12}},{"id":"791ed729-2672-4ef7-867b-a67e6a384daa","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":183,"box":{"x":102,"y":430,"width":747,"height":11}},{"id":"25d224fa-e59d-433d-8bca-4f37541aa312","block_type":"box","text":"commitments, such as interest, preferred dividends, repayment of principal, insurance claims or counterpar ty","page_number":183,"box":{"x":69,"y":445,"width":782,"height":11}},{"id":"9140af71-b3e4-461d-8926-9ee3f0debafd","block_type":"box","text":"obligations. Credit ratings relating to securities and obligations of an issuer can include a recovery expectation.","page_number":183,"box":{"x":69,"y":460,"width":793,"height":12}},{"id":"07d81549-5b44-415f-9bf4-87ee586fa914","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":183,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"979a8aed-2858-4917-a395-34460412d7c0","block_type":"box","text":"accordance with the terms on which they invested. The agency’s credit ratings cover the global spectrum of","page_number":183,"box":{"x":69,"y":491,"width":766,"height":11}},{"id":"35d1f041-6971-4fcd-b156-aeeafb116253","block_type":"box","text":"corporate, sovereign financial, bank, insurance, and public finance entities (including supranational and sub-national","page_number":183,"box":{"x":69,"y":506,"width":827,"height":11}},{"id":"2e7c2228-b908-4dee-ae84-dc56f2ba52cc","block_type":"box","text":"entities) and the securities or other obligations they issue, as well as structured finance securities backed by","page_number":183,"box":{"x":69,"y":521,"width":779,"height":11}},{"id":"23ec4ac1-1c50-46a8-9a19-83571ea0c938","block_type":"box","text":"receivables or other financial assets.","page_number":183,"box":{"x":69,"y":536,"width":262,"height":9}},{"id":"8a7bf63f-a390-430e-93a7-cff1f1cde524","block_type":"box","text":"The terms “investment grade” and “speculative grade” have established themselves over time as shor thand to","page_number":183,"box":{"x":101,"y":559,"width":794,"height":11}},{"id":"d17a5468-b443-45a5-8cca-9d7b5b05f118","block_type":"box","text":"describe the categories ‘AAA’ to ‘BBB’ (investment grade) and ‘BB’ to ‘D’ (speculative grade). The terms investment","page_number":183,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"fa8ea835-ac5a-4fa2-8134-cc5129186147","block_type":"box","text":"grade and speculative grade are market conventions and do not imply any recommendation or endorsement of a","page_number":183,"box":{"x":68,"y":589,"width":800,"height":11}},{"id":"a30207cf-8db5-4f18-a74f-5bee836a799e","block_type":"box","text":"specific security for investment purposes. Investment grade categories indicate relatively low to moderate credit risk,","page_number":183,"box":{"x":69,"y":604,"width":832,"height":11}},{"id":"8352d673-7b0d-4e81-87d9-a7884efe3217","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":183,"box":{"x":68,"y":619,"width":793,"height":11}},{"id":"14739499-0677-47f2-b78d-8990c1b71ebf","block_type":"box","text":"occurred.","page_number":183,"box":{"x":69,"y":634,"width":65,"height":9}},{"id":"addde7ec-c031-4b0a-a104-585e42ec8631","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":183,"box":{"x":102,"y":657,"width":779,"height":11}},{"id":"b3bb72b0-c48d-44a3-be00-34d57650c405","block_type":"box","text":"Such issues are also denoted as ‘NR’.","page_number":183,"box":{"x":69,"y":672,"width":274,"height":9}},{"id":"aa1ae4b6-f7a2-438a-8023-6e35cc066126","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":183,"box":{"x":102,"y":695,"width":797,"height":11}},{"id":"3a8095f0-65d6-4e7a-9954-83c0b82bb6ab","block_type":"box","text":"not predictive of a specific frequency of default or loss.","page_number":183,"box":{"x":69,"y":710,"width":391,"height":11}},{"id":"e2ad8e8d-730e-495b-8931-e097eca18263","block_type":"box","text":"Fitch’s credit ratings do not directly address any risk other than credit risk. In par ticular, ratings do not deal with","page_number":183,"box":{"x":102,"y":733,"width":798,"height":11}},{"id":"618f1c8f-698d-498c-98f5-656e397edaa7","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":183,"box":{"x":68,"y":748,"width":780,"height":11}},{"id":"9375bafc-9728-4fcb-9ebf-aed522132e0e","block_type":"box","text":"considerations. However, in terms of payment obligation on the rated liability, market risk may be considered to the","page_number":183,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"b584c424-efd0-4cc5-9299-607bf91e9678","block_type":"box","text":"extent that it influences the ability of an issuer to pay upon a commitment.","page_number":183,"box":{"x":69,"y":778,"width":531,"height":11}},{"id":"03429861-f2ac-4080-9e75-0e842c4ed305","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":183,"box":{"x":102,"y":801,"width":801,"height":11}},{"id":"9ef4260e-d704-4033-b450-9b94133b55ff","block_type":"box","text":"the obligation to pay upon a commitment (for example, in the case of index-linked bonds).","page_number":183,"box":{"x":68,"y":816,"width":639,"height":11}},{"id":"7f0082a3-6a55-4e4d-b6ee-717a11379556","block_type":"box","text":"In the default components of ratings assigned to individual obligations or instruments, the agency typically rates","page_number":183,"box":{"x":102,"y":838,"width":799,"height":12}},{"id":"9f31c0d2-835a-40ad-97c5-73e3db6e101b","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":183,"box":{"x":68,"y":853,"width":794,"height":12}},{"id":"1d6f2896-d741-4b22-aba1-01388f487dd9","block_type":"box","text":"limited cases, Fitch may include additional considerations (","page_number":183,"box":{"x":70,"y":869,"width":420,"height":11}},{"id":"4c8a72df-b974-4800-9c04-e06153012c4c","block_type":"box","text":"i.e.","page_number":183,"box":{"x":492,"y":869,"width":20,"height":9}},{"id":"8b9729d8-5452-4fc4-8029-6d27cadad5a3","block_type":"box","text":"rate to a higher or lower standard than that implied in","page_number":183,"box":{"x":519,"y":869,"width":380,"height":11}},{"id":"8ca65db1-7d3e-4f35-9b8d-505c88628269","block_type":"box","text":"the obligation’s documentation).","page_number":183,"box":{"x":68,"y":884,"width":230,"height":11}},{"id":"5eccce01-1ad9-4bc7-9743-631e374b35c7","block_type":"box","text":"A-6","page_number":183,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"9498db0c-3d03-450d-a989-6ca137f9336c","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":183,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"27ef0b3c-d987-4351-babf-ad62daa6f874","block_type":"box","text":"The primary credit rating scales can be used to provide a rating of privately issued obligations or cer tain note","page_number":184,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"e02af098-e993-4fff-a5b8-69b4a7573bd4","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":184,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"2fa62c36-2423-4390-a148-020a3b4d66b2","block_type":"box","text":"agents in the form of a rating letter.","page_number":184,"box":{"x":69,"y":75,"width":253,"height":11}},{"id":"88d53a99-0dfc-4b95-a1c5-f9fd4077f57a","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":184,"box":{"x":101,"y":98,"width":797,"height":11}},{"id":"7c100d03-0cd3-4126-86bb-b1aed1b8a5c6","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":184,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"8f392f6a-32cd-489e-b874-5d2d7ad9dac9","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":184,"box":{"x":69,"y":128,"width":796,"height":11}},{"id":"a465693f-0df6-4d5f-b21c-c24e0ad31fc3","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":184,"box":{"x":69,"y":143,"width":811,"height":11}},{"id":"fd097eb9-6353-4fa9-ba98-8eb540ea1298","block_type":"box","text":"case letter symbol combined with either an ‘*’ (","page_number":184,"box":{"x":69,"y":158,"width":340,"height":11}},{"id":"65a0a736-c292-4e97-b95e-e82d158d1774","block_type":"box","text":"e.g.","page_number":184,"box":{"x":410,"y":160,"width":25,"height":9}},{"id":"d1acf218-5985-43e0-9787-163845c27a28","block_type":"box","text":"‘bbb+*’) or (cat) suffix to denote the opinion status. Credit","page_number":184,"box":{"x":443,"y":158,"width":418,"height":11}},{"id":"08b3be04-f343-40d6-9707-7e6bac7ddc1f","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":184,"box":{"x":69,"y":173,"width":780,"height":11}},{"id":"289faf79-0c50-4fe4-8b2b-a5ceaa62d58f","block_type":"box","text":"sufficiently available. Rating assessment services are a notch-specific view using the primary rating scale of how an","page_number":184,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"ef5cfb23-3714-4baa-b3b0-28da24619958","block_type":"box","text":"existing or potential rating may be changed by a given set of hypothetical circumstances. While credit opinions and","page_number":184,"box":{"x":69,"y":203,"width":816,"height":12}},{"id":"a1366f68-014e-4b07-ba56-3c5f73c8525b","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":184,"box":{"x":69,"y":219,"width":808,"height":11}},{"id":"32742fbf-ee8b-4d00-b699-0c2b9439c1f3","block_type":"box","text":"assigned, which can signify the trajectory of the credit profile.","page_number":184,"box":{"x":69,"y":234,"width":437,"height":11}},{"id":"67986526-2d52-4c5b-af61-ef9290acab36","block_type":"box","text":"Description of Fitch’s Long-Term Corporate Finance Obligations Rating Scales","page_number":184,"box":{"x":69,"y":264,"width":567,"height":11}},{"id":"b4bed984-b18e-4c23-983b-80f596d288ba","block_type":"box","text":"Ratings of individual securities or financial obligations of a corporate issuer address relative vulnerability to","page_number":184,"box":{"x":102,"y":286,"width":763,"height":12}},{"id":"a4f3a332-a2cd-4aa7-9f55-24062cd0df2f","block_type":"box","text":"default on an ordinal scale. In addition, for financial obligations in corporate finance, a measure of recovery given","page_number":184,"box":{"x":69,"y":302,"width":807,"height":11}},{"id":"c9c4e49b-12a6-4ebb-82a9-e71cf781978b","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":184,"box":{"x":69,"y":317,"width":840,"height":11}},{"id":"b6077a72-5140-4598-a5c7-a48d1eba45cb","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":184,"box":{"x":70,"y":332,"width":833,"height":11}},{"id":"54239a6d-60a5-45b5-a915-e0ce4486b6df","block_type":"box","text":"On the contrary, Ratings of debtor-in-possession (“DIP”) obligations incorporate the expectation of full repayment.","page_number":184,"box":{"x":69,"y":347,"width":807,"height":11}},{"id":"ce30aa3c-6b6c-4666-be52-513d0ff480ee","block_type":"box","text":"The relationship between the issuer scale and obligation scale assumes a generic historical average recovery.","page_number":184,"box":{"x":101,"y":370,"width":784,"height":11}},{"id":"b0fef15b-ec22-4710-a851-4bd68d863a6a","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":184,"box":{"x":70,"y":385,"width":787,"height":11}},{"id":"6b3634f1-001a-4bbc-8875-a89dd9987d62","block_type":"box","text":"default rating (“IDR”), based on their relative ranking, relative vulnerability to default or based on explicit Recovery","page_number":184,"box":{"x":69,"y":400,"width":813,"height":11}},{"id":"93fdcf4d-ce7b-4b1b-a67d-b4668ba77ee8","block_type":"box","text":"Ratings.","page_number":184,"box":{"x":70,"y":415,"width":55,"height":11}},{"id":"dbb725c9-e72d-4cb3-b844-121c400aeead","block_type":"box","text":"As a result, individual obligations of entities, such as corporations, are assigned ratings higher, lower, or the","page_number":184,"box":{"x":101,"y":438,"width":772,"height":11}},{"id":"0c62d6d0-8441-47ca-b0fe-56e32310bf90","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":184,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"2050eab0-ee8a-459c-b68a-2c97a38efcfb","block_type":"box","text":"end of the ratings scale, Fitch publishes explicit Recovery Ratings in many cases to complement issuer and","page_number":184,"box":{"x":69,"y":468,"width":766,"height":11}},{"id":"e0c5210a-0caf-451f-b76e-7747be9f57bd","block_type":"box","text":"obligation ratings.","page_number":184,"box":{"x":69,"y":483,"width":125,"height":11}},{"id":"9a5173a3-f3aa-4602-b56e-6205e5da437f","block_type":"box","text":"Fitch long-term obligations rating scales are as follows:","page_number":184,"box":{"x":102,"y":506,"width":390,"height":11}},{"id":"495f2acb-acb1-4904-a950-43aa0e1d85fa","block_type":"box","text":"AAA Highest Credit Quality. ‘AAA’ ratings denote the lowest expectation of default risk. They are","page_number":184,"box":{"x":68,"y":533,"width":774,"height":12}},{"id":"6ad0f57b-a695-48bd-b26d-b528fb1dc4e1","block_type":"box","text":"assigned only in cases of exceptionally strong capacity for payment of financial commitments. This","page_number":184,"box":{"x":196,"y":549,"width":703,"height":11}},{"id":"c86816ae-a31a-4f02-94be-e97db709c193","block_type":"box","text":"capacity is highly unlikely to be adversely affected by foreseeable events.","page_number":184,"box":{"x":196,"y":564,"width":521,"height":11}},{"id":"8acca2ae-f938-4db5-bbcf-31be6f90f052","block_type":"box","text":"AA Very High Credit Quality. ‘AA’ ratings denote expectations of very low default risk. They indicate very","page_number":184,"box":{"x":68,"y":584,"width":838,"height":11}},{"id":"6f3c71b2-b618-49d5-b00f-179a4d19bffe","block_type":"box","text":"strong capacity for payment of financial commitments. This capacity is not significantly vulnerable","page_number":184,"box":{"x":196,"y":599,"width":694,"height":11}},{"id":"3cb1b979-02bc-4851-b0c0-95c328263cf8","block_type":"box","text":"to foreseeable events.","page_number":184,"box":{"x":195,"y":614,"width":159,"height":9}},{"id":"7d4a6559-4ae4-4709-88e1-8a1130e096ae","block_type":"box","text":"A High Credit Quality. ‘A’ ratings denote expectations of low default risk. The capacity for payment of","page_number":184,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"9ed23527-f35f-4950-8991-de2b53e0151e","block_type":"box","text":"financial commitments is considered strong. This capacity may, never theless, be more vulnerable","page_number":184,"box":{"x":196,"y":649,"width":695,"height":12}},{"id":"5f649dfe-8eed-4533-851b-d4991b4331aa","block_type":"box","text":"to adverse business or economic conditions than is the case for higher ratings.","page_number":184,"box":{"x":195,"y":664,"width":565,"height":12}},{"id":"179eef76-f2cd-40bd-9b67-cfcef4e821c3","block_type":"box","text":"BBB Good Credit Quality. ‘BBB’ ratings indicate that expectations of default risk are currently low. The","page_number":184,"box":{"x":70,"y":685,"width":814,"height":11}},{"id":"8e95e106-b418-4fa7-bf2d-2aa2ef25ef2d","block_type":"box","text":"capacity for payment of financial commitments is considered adequate, but adverse business or","page_number":184,"box":{"x":196,"y":700,"width":686,"height":11}},{"id":"0f865ff4-4202-4315-b497-609052807e8c","block_type":"box","text":"economic conditions are more likely to impair this capacity.","page_number":184,"box":{"x":196,"y":715,"width":420,"height":11}},{"id":"1d11c3cc-7602-4c89-b9cd-92bbc9c3be38","block_type":"box","text":"BB Speculative. ‘BB’ ratings indicate an elevated vulnerability to default risk, par ticularly in the event of","page_number":184,"box":{"x":70,"y":735,"width":839,"height":11}},{"id":"5a1e54c8-ef3c-4dcd-8f19-dc70748086a4","block_type":"box","text":"adverse changes in business or economic conditions over time; however, business or financial","page_number":184,"box":{"x":196,"y":750,"width":672,"height":11}},{"id":"db083785-6da4-4030-9ce9-f248387a3fca","block_type":"box","text":"flexibility exists that suppor ts the servicing of financial commitments.","page_number":184,"box":{"x":196,"y":765,"width":495,"height":12}},{"id":"2c188cf7-c6c1-498e-846c-3bae8f4589b9","block_type":"box","text":"B Highly Speculative. ‘B’ ratings indicate that material default risk is present, but a limited margin of","page_number":184,"box":{"x":70,"y":785,"width":828,"height":12}},{"id":"162d1f64-1696-4f7e-b8ad-02d176f86f9c","block_type":"box","text":"safety remains. Financial commitments are currently being met; however, capacity for continued","page_number":184,"box":{"x":196,"y":801,"width":682,"height":11}},{"id":"f2de7a9b-af2e-41fa-ab60-1fd1c31d6e2a","block_type":"box","text":"payment is vulnerable to deterioration in the business and economic environment.","page_number":184,"box":{"x":197,"y":816,"width":584,"height":11}},{"id":"ca50ae0e-e65e-4da5-8bee-cc9ea0dde518","block_type":"box","text":"CCC Substantial Credit Risk. ‘CCC’ ratings indicate very low margin for safety. Default is a real","page_number":184,"box":{"x":69,"y":836,"width":764,"height":11}},{"id":"0cb72cbf-2a1b-48ff-871d-9f8abae2f991","block_type":"box","text":"possibility.","page_number":184,"box":{"x":197,"y":851,"width":72,"height":11}},{"id":"eecf05f5-edb5-4a43-a3bc-fc6bf4612c51","block_type":"box","text":"CC Very High Levels of Credit Risk. ‘CC’ ratings indicate default of some kind appears probable.","page_number":184,"box":{"x":69,"y":871,"width":784,"height":11}},{"id":"c288890f-8109-477c-a564-21e8723858d9","block_type":"box","text":"C Exceptionally High Levels of Credit Risk. ‘C’ ratings indicate default or default-like process has","page_number":184,"box":{"x":69,"y":891,"width":798,"height":12}},{"id":"eb3dccb3-61b0-4074-9a9a-43c856277888","block_type":"box","text":"begun, or for a closed funding vehicle, payment capacity is irrevocably impaired.","page_number":184,"box":{"x":196,"y":906,"width":569,"height":12}},{"id":"e86e9c25-cee1-4be1-9a11-5d7ab819559a","block_type":"box","text":"A-7","page_number":184,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"5f22a120-0356-48e3-a36f-148a9fd4ad60","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":184,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"07fb255a-f0ef-497a-8ba9-38bfdec62f6a","block_type":"box","text":"RD Restricted Default. ‘RD’ ratings indicate an issuer that in Fitch’s opinion has experienced an","page_number":185,"box":{"x":70,"y":48,"width":782,"height":12}},{"id":"302ff2ef-3cc5-47ab-9075-bcb04b01b457","block_type":"box","text":"uncured payment default or distressed debt exchange on a bond, loan or other material financial","page_number":185,"box":{"x":197,"y":63,"width":686,"height":12}},{"id":"78d96460-e620-4618-bca9-3efe676b6e82","block_type":"box","text":"obligation, but has not entered into bankruptcy filings, administration, receivership, liquidation, or","page_number":185,"box":{"x":196,"y":79,"width":696,"height":11}},{"id":"62a3e61d-7d0e-4d02-9371-98d54d52e6da","block_type":"box","text":"other formal winding-up procedure, and has not otherwise ceased operating.","page_number":185,"box":{"x":196,"y":94,"width":544,"height":11}},{"id":"7f7c37fe-faa2-4d8a-84e4-ece211381808","block_type":"box","text":"D Default. ‘D’ ratings indicate an issuer that in Fitch’s opinion has entered into bankruptcy filings,","page_number":185,"box":{"x":70,"y":114,"width":807,"height":11}},{"id":"7b36a52b-eade-4317-bd25-e58114e15a10","block_type":"box","text":"administration, receivership, liquidation or other formal winding-up procedure or that has otherwise","page_number":185,"box":{"x":196,"y":129,"width":705,"height":11}},{"id":"a8559eed-656f-49ad-82d6-2bd967172df4","block_type":"box","text":"ceased business and debt is still outstanding.","page_number":185,"box":{"x":196,"y":144,"width":328,"height":11}},{"id":"8b7064d8-b06e-4d2c-b223-f53422a35067","block_type":"box","text":"Within rating categories, Fitch may use modifiers. The modifiers “+” or “-” may be appended to a rating to denote","page_number":185,"box":{"x":101,"y":164,"width":808,"height":12}},{"id":"28e0248a-a616-4959-a8e3-ef6957df24ea","block_type":"box","text":"relative status within major rating categories.","page_number":185,"box":{"x":69,"y":180,"width":320,"height":11}},{"id":"fd068141-33d6-4852-95d7-d23067427f16","block_type":"box","text":"For example, the rating category ‘AA’ has three notch-specific rating levels (‘AA+’; ‘AA’; ‘AA–’; each a rating","page_number":185,"box":{"x":102,"y":202,"width":761,"height":11}},{"id":"ae94e304-0ade-47b8-8b6f-e016565d8e44","block_type":"box","text":"level). Such suffixes are not added to ‘AAA’ ratings and ratings below the ‘CCC’ category. For the shor t-term rating","page_number":185,"box":{"x":70,"y":217,"width":813,"height":12}},{"id":"fd2ee71d-d326-4093-b839-1b332f8399ca","block_type":"box","text":"category of ‘F1’, a ‘+’ may be appended.","page_number":185,"box":{"x":69,"y":232,"width":289,"height":12}},{"id":"cc2c7c6a-e906-4705-b0d1-bbc52b1d0a38","block_type":"box","text":"Description of Fitch’s Short-Term Ratings Assigned to Issuers and Obligations","page_number":185,"box":{"x":69,"y":263,"width":568,"height":11}},{"id":"eef6fe15-8ef8-4083-9927-edd43c95b022","block_type":"box","text":"A shor t-term issuer or obligation rating is based in all cases on the shor t-term vulnerability to default of the rated","page_number":185,"box":{"x":101,"y":285,"width":806,"height":12}},{"id":"f07d33ef-ab3e-48de-878b-47cd7dccb99c","block_type":"box","text":"entity and relates to the capacity to meet financial obligations in accordance with the documentation governing the","page_number":185,"box":{"x":69,"y":300,"width":817,"height":12}},{"id":"9d2b7117-4b0c-4793-9086-3f1628286cc7","block_type":"box","text":"relevant obligation. Shor t-term deposit ratings may be adjusted for loss severity. Shor t-term ratings are assigned to","page_number":185,"box":{"x":69,"y":315,"width":822,"height":12}},{"id":"951d5271-75a4-419c-a8f2-7a6a4498d2f0","block_type":"box","text":"obligations whose initial maturity is viewed as “shor t term” based on market convention. Typically, this means up to","page_number":185,"box":{"x":69,"y":331,"width":827,"height":11}},{"id":"09dd5364-3812-4072-9a7f-a5e4ebddba4c","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":185,"box":{"x":70,"y":346,"width":808,"height":11}},{"id":"e0c43196-7bf7-4e1c-a9a6-fd532298822d","block_type":"box","text":"finance markets.","page_number":185,"box":{"x":68,"y":361,"width":118,"height":9}},{"id":"9906006e-8348-441f-b770-5fa3592df3a0","block_type":"box","text":"Fitch shor t-term ratings are as follows:","page_number":185,"box":{"x":102,"y":383,"width":273,"height":12}},{"id":"81bfc559-f5d3-403a-aa1f-3fbd8bdeeb76","block_type":"box","text":"F1 Highest Shor t-Term Credit Quality. Indicates the strongest intrinsic capacity for timely payment of","page_number":185,"box":{"x":70,"y":411,"width":816,"height":12}},{"id":"aea24c6d-ae47-4c5d-8806-b3efa186651c","block_type":"box","text":"financial commitments; may have an added “+” to denote any exceptionally strong credit feature.","page_number":185,"box":{"x":196,"y":426,"width":692,"height":12}},{"id":"54bfa640-8b70-4275-896f-c528b395d221","block_type":"box","text":"F2 Good Shor t-Term Credit Quality. Good intrinsic capacity for timely payment of financial","page_number":185,"box":{"x":70,"y":446,"width":734,"height":12}},{"id":"4585cb8c-9c54-41cd-9e18-a2b652e6f418","block_type":"box","text":"commitments.","page_number":185,"box":{"x":196,"y":462,"width":100,"height":9}},{"id":"abf25ab9-556c-4a53-a9a7-2218b7072c72","block_type":"box","text":"F3 Fair Shor t-Term Credit Quality. The intrinsic capacity for timely payment of financial commitments is","page_number":185,"box":{"x":70,"y":482,"width":831,"height":11}},{"id":"cda64ece-b155-4eb2-bd37-e9d2295646e7","block_type":"box","text":"adequate.","page_number":185,"box":{"x":196,"y":497,"width":70,"height":11}},{"id":"d5773cd1-f781-458d-8a95-302428cd5ac9","block_type":"box","text":"B Speculative Shor t-Term Credit Quality. Minimal capacity for timely payment of financial","page_number":185,"box":{"x":70,"y":517,"width":737,"height":11}},{"id":"d3a3bf9b-55a9-4939-8d31-5c96d769ab56","block_type":"box","text":"commitments, plus heightened vulnerability to near term adverse changes in financial and","page_number":185,"box":{"x":196,"y":532,"width":641,"height":11}},{"id":"ec0c3f00-2461-4559-8da9-56f03257ba28","block_type":"box","text":"economic conditions.","page_number":185,"box":{"x":196,"y":548,"width":149,"height":8}},{"id":"02bba089-6d3f-4c3f-b71b-cfee9569c991","block_type":"box","text":"C High Shor t-Term Default Risk. Default is a real possibility.","page_number":185,"box":{"x":69,"y":567,"width":535,"height":12}},{"id":"a421fa69-e16f-4cbd-9ac8-e2e8d5313183","block_type":"box","text":"RD Restricted Default. Indicates an entity that has defaulted on one or more of its financial","page_number":185,"box":{"x":70,"y":588,"width":749,"height":11}},{"id":"0b9d7158-9fff-4b71-8166-eed43c7542b7","block_type":"box","text":"commitments, although it continues to meet other financial obligations. Typically applicable to entity","page_number":185,"box":{"x":196,"y":603,"width":714,"height":11}},{"id":"37a9c900-029d-45cc-9e64-4d149cc50e36","block_type":"box","text":"ratings only.","page_number":185,"box":{"x":197,"y":618,"width":83,"height":11}},{"id":"0c4ba181-bed5-4e88-9363-4bcefab06778","block_type":"box","text":"D Default. Indicates a broad-based default event for an entity, or the default of a shor t-term","page_number":185,"box":{"x":70,"y":638,"width":761,"height":11}},{"id":"deedbdfd-135f-4341-939b-78e662ba37ec","block_type":"box","text":"obligation.","page_number":185,"box":{"x":196,"y":653,"width":72,"height":11}},{"id":"c7b34cea-2190-4e48-80be-2f87596acf30","block_type":"box","text":"A-8","page_number":185,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"f6c1b2c8-074f-419d-a52d-d5daecb34b14","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":185,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c497c1c1-563b-4333-9b54-4e854f709a0e","block_type":"box","text":"APPENDIX B","page_number":186,"box":{"x":438,"y":76,"width":101,"height":9}},{"id":"5d7341a1-16d3-4b66-9861-a194d85b5c3d","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":186,"box":{"x":247,"y":106,"width":484,"height":11}},{"id":"0d7d5a78-e8f3-43b7-b394-65dd91e50a0f","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":186,"box":{"x":247,"y":121,"width":486,"height":11}},{"id":"29c340f4-e38b-42af-815a-71cd357d3d54","block_type":"box","text":"Effective Date: January 1, 2025","page_number":186,"box":{"x":376,"y":136,"width":227,"height":11}},{"id":"2e33f187-6a0d-434c-8b80-9a402274be76","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":186,"box":{"x":231,"y":159,"width":515,"height":11}},{"id":"a54c2c8d-724e-478e-8da5-581027ff9612","block_type":"box","text":"□","page_number":186,"box":{"x":284,"y":181,"width":15,"height":12}},{"id":"c03ff370-6efa-4edf-9f69-8065cefd791d","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":186,"box":{"x":306,"y":182,"width":388,"height":11}},{"id":"560f8158-a0d0-4dc2-8f03-8973d049a3ae","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":186,"box":{"x":205,"y":204,"width":589,"height":11}},{"id":"a425fb61-3198-41a5-90be-e1cfbd316a87","block_type":"box","text":"□","page_number":186,"box":{"x":405,"y":227,"width":14,"height":11}},{"id":"599060c5-b873-491b-beac-5019ae19e794","block_type":"box","text":"Money Market Funds","page_number":186,"box":{"x":426,"y":227,"width":147,"height":11}},{"id":"21546d4b-e5ec-4ac8-8318-951443d75011","block_type":"box","text":"□","page_number":186,"box":{"x":416,"y":249,"width":14,"height":12}},{"id":"d0348c33-c6f8-40b1-972f-4bea4bd8f59e","block_type":"box","text":"Closed-End Funds","page_number":186,"box":{"x":437,"y":249,"width":125,"height":9}},{"id":"509f34ba-a046-42f5-939b-f7900d676635","block_type":"box","text":"□","page_number":186,"box":{"x":460,"y":272,"width":14,"height":11}},{"id":"c3ee1b2c-3210-4d44-864d-2fb00c55a227","block_type":"box","text":"Other","page_number":186,"box":{"x":481,"y":272,"width":38,"height":9}},{"id":"f395f8eb-cff4-42fd-95cf-39cd5aee31f0","block_type":"box","text":"Objective and Scope","page_number":186,"box":{"x":101,"y":295,"width":149,"height":11}},{"id":"d4a22e7b-8c06-49c1-a59c-374400ea4884","block_type":"box","text":"Set for th below is the Open-End Active and Fixed Income Index Fund Proxy Voting Policy.","page_number":186,"box":{"x":134,"y":317,"width":622,"height":12}},{"id":"b2095c98-47f4-4b8e-a210-a4c5389fd8f7","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":186,"box":{"x":102,"y":340,"width":354,"height":11}},{"id":"fd3fff6e-9650-4e77-b9b8-bc65ace130b3","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of cer tain open-end funds (the “Funds”) advised by","page_number":186,"box":{"x":134,"y":363,"width":702,"height":11}},{"id":"41f7e7f8-9ae0-4d48-9d6d-7f6eea094362","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":186,"box":{"x":102,"y":378,"width":789,"height":11}},{"id":"bc470aad-4819-4853-a3eb-ffc08aec8afa","block_type":"box","text":"voting proxies relating to por tfolio securities of the Funds, and have determined that it is in the best interests of","page_number":186,"box":{"x":101,"y":393,"width":801,"height":11}},{"id":"5790529a-cde3-4c63-87ad-d32086f08d2d","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":186,"box":{"x":101,"y":408,"width":763,"height":11}},{"id":"f71dfd62-e2db-4faf-b645-c18423a09f9f","block_type":"box","text":"principles outlined in this Policy, as par t of BlackRock’s authority to manage, acquire and dispose of account","page_number":186,"box":{"x":102,"y":423,"width":775,"height":12}},{"id":"31b3a9b4-41c9-4574-bfb6-1f95bc1ee991","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":186,"box":{"x":102,"y":439,"width":651,"height":11}},{"id":"2a164e60-58d0-483d-ad7e-f60c4a5e1e9f","block_type":"box","text":"BlackRock has adopted the BlackRock Active Investment Stewardship Global Engagement and Voting","page_number":186,"box":{"x":135,"y":461,"width":718,"height":11}},{"id":"734cf04c-570b-400c-bb56-3cb90aa443b3","block_type":"box","text":"Guidelines (as from time to time amended, the “Guidelines”) governing proxy voting by active and fixed income","page_number":186,"box":{"x":102,"y":476,"width":788,"height":11}},{"id":"112a1aa6-8811-47f1-9258-d7a3d13dabb6","block_type":"box","text":"index Funds managed by BlackRock. The Guidelines include “climate and decarbonization” guidelines which","page_number":186,"box":{"x":102,"y":491,"width":766,"height":12}},{"id":"9f10d886-c0ba-4d99-b328-51a68269d584","block_type":"box","text":"apply to the Funds listed in Appendix A, if any.","page_number":186,"box":{"x":102,"y":506,"width":325,"height":12}},{"id":"5a26310a-97cb-419a-bc85-c9ec73a669c9","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":186,"box":{"x":135,"y":529,"width":751,"height":11}},{"id":"1d194469-2ef3-4da6-91a0-f6e631743178","block_type":"box","text":"respect of securities held by each such Fund (or may refrain from voting) in accordance with the Guidelines.","page_number":186,"box":{"x":102,"y":544,"width":765,"height":11}},{"id":"ce705af8-c234-472b-813d-e8d6c3d5b9b4","block_type":"box","text":"Conflicts Management","page_number":186,"box":{"x":101,"y":567,"width":165,"height":11}},{"id":"5a50eb50-8a27-4f98-9063-c84b29796446","block_type":"box","text":"BlackRock Active Investment Stewardship (“BAIS”) maintains policies and procedures that seek to prevent","page_number":186,"box":{"x":135,"y":590,"width":758,"height":11}},{"id":"0030d8ea-4546-4904-bc8c-b1fea8b28887","block_type":"box","text":"undue influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise","page_number":186,"box":{"x":102,"y":605,"width":797,"height":11}},{"id":"87a6f4e1-3800-4150-bbc4-e8ebd95c413c","block_type":"box","text":"of proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":186,"box":{"x":102,"y":620,"width":805,"height":11}},{"id":"d7617b59-7c5e-4525-9db4-4032721a6bbb","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":186,"box":{"x":102,"y":635,"width":797,"height":11}},{"id":"57edab26-64b3-4c06-848c-53ffd4933be1","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":186,"box":{"x":102,"y":650,"width":756,"height":11}},{"id":"3fcb7be6-f76d-4dd0-aaf0-65a45f74a139","block_type":"box","text":"cer tain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":186,"box":{"x":101,"y":665,"width":800,"height":11}},{"id":"c3c3e216-5450-4a32-a936-dd5ad6093d44","block_type":"box","text":"BAIS will adhere to the Guidelines.","page_number":186,"box":{"x":102,"y":680,"width":244,"height":9}},{"id":"dd9dfd8f-b0a0-4d56-81bc-8cf149b8d270","block_type":"box","text":"In cer tain instances, BAIS will engage an independent third-par ty voting service provider to make proxy","page_number":186,"box":{"x":135,"y":703,"width":731,"height":11}},{"id":"5385e23b-aaf3-469e-8ccd-289544213678","block_type":"box","text":"voting recommendations as a fur ther safeguard to avoid potential conflicts of interest, to satisfy regulatory","page_number":186,"box":{"x":101,"y":718,"width":763,"height":11}},{"id":"c0a3eaad-eb5e-4185-a440-e0eab00a5ce7","block_type":"box","text":"compliance requirements, or as may be otherwise required by applicable law.","page_number":186,"box":{"x":101,"y":733,"width":550,"height":11}},{"id":"371f06bb-95aa-4081-8dd2-5c32c584b2ab","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":186,"box":{"x":134,"y":756,"width":774,"height":11}},{"id":"6449c159-36f6-42cb-be81-d6e17d534a25","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":186,"box":{"x":102,"y":771,"width":791,"height":11}},{"id":"ec2ca18f-bd17-47ce-80c6-bb684e53be76","block_type":"box","text":"in clients’ financial interests. The Guidelines set for th BlackRock’s approach to recalling securities on loan in","page_number":186,"box":{"x":102,"y":786,"width":778,"height":11}},{"id":"e3ba4639-a5b1-4372-9d84-6ca26670f232","block_type":"box","text":"connection with proxy voting.","page_number":186,"box":{"x":101,"y":801,"width":203,"height":11}},{"id":"55280fb6-78db-4ccb-bd6b-6c5b023a7fb4","block_type":"box","text":"Reports to the Board","page_number":186,"box":{"x":102,"y":824,"width":153,"height":11}},{"id":"84b1b362-7bf1-4c2a-8ad9-5efde4b2e6b2","block_type":"box","text":"BlackRock will repor t on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":186,"box":{"x":135,"y":846,"width":755,"height":12}},{"id":"0348d62f-63a5-42bb-a0fc-557a2b85f1e4","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":186,"box":{"x":102,"y":862,"width":794,"height":11}},{"id":"cb9eb7c6-b974-49b9-bde6-d64467bca2a0","block_type":"box","text":"were in accordance with the Guidelines and (2) any material changes to the Guidelines, including material","page_number":186,"box":{"x":101,"y":877,"width":753,"height":11}},{"id":"c95bb689-aff9-4b72-bd4a-3cd82e31591b","block_type":"box","text":"changes to conflicts management practices, that have not previously been repor ted.","page_number":186,"box":{"x":101,"y":892,"width":600,"height":11}},{"id":"ffa4fe33-632f-4864-ad6a-245ed90aa63d","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":186,"box":{"x":449,"y":45,"width":461,"height":11}},{"id":"1250c477-9fde-464e-b13c-6089ee5915a7","block_type":"box","text":"BlackRock","page_number":186,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"afaab2d3-ac69-4161-9a45-cdf666b0bf0e","block_type":"box","text":"Public Page 1 of 2","page_number":186,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"35a0a109-ef67-463f-b927-5413ecb4669b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":186,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ceed9bbb-054d-49d3-b6c4-d6dfb78d564b","block_type":"box","text":"Appendix A","page_number":187,"box":{"x":101,"y":75,"width":82,"height":11}},{"id":"68367f0b-d40a-4dfc-82d9-ed84f7d08366","block_type":"box","text":"BlackRock U.S. Carbon Transition Readiness ETF","page_number":187,"box":{"x":135,"y":98,"width":347,"height":9}},{"id":"8bfaa2d4-1517-411e-9b29-4f2e160a3b49","block_type":"box","text":"BlackRock World ex U.S. Carbon Transition Readiness ETF","page_number":187,"box":{"x":135,"y":120,"width":413,"height":9}},{"id":"c37dbdbd-a877-471a-938d-7ffe0f59ead6","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":187,"box":{"x":449,"y":45,"width":461,"height":11}},{"id":"5cd1109d-5bbb-4c22-8793-d233ff23f369","block_type":"box","text":"BlackRock","page_number":187,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"3252e085-5c52-4a4d-98c9-974c9dfb6be6","block_type":"box","text":"Public Page 2 of 2","page_number":187,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"0c36e4e4-94f5-439f-9f7e-da4b50833a32","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":187,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c5177c98-3dcc-4964-80a6-e729a10470c7","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":188,"box":{"x":334,"y":45,"width":311,"height":11}},{"id":"8a0fce56-6870-4991-85b5-076eda82e1ce","block_type":"box","text":"Global Engagement and Voting Guidelines","page_number":188,"box":{"x":337,"y":67,"width":304,"height":11}},{"id":"885f69d3-ac36-4a19-9619-f8330d02f8d6","block_type":"box","text":"Effective as of January 2026","page_number":188,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"07cfb6f5-2190-406a-a503-6864bd9700ac","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":188,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d12ac4df-13d9-480a-a3d6-06f8beb57ff6","block_type":"box","text":"TABLE OF CONTENTS","page_number":189,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"b96e8520-e25b-46c0-b81f-d984853f2f38","block_type":"box","text":"Page","page_number":189,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"5ef0257d-ff98-4641-8136-d6bc4fef9750","block_type":"box","text":"OVERVIEW","page_number":189,"box":{"x":74,"y":84,"width":79,"height":9}},{"id":"3400f952-8abd-4ea2-90b0-3275a2cee2f1","block_type":"box","text":"....................................................................................... 3","page_number":189,"box":{"x":161,"y":84,"width":743,"height":9}},{"id":"b13d23a4-5e0d-485d-8bd3-16683dbb651a","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":189,"box":{"x":74,"y":101,"width":235,"height":9}},{"id":"44e74397-0b98-4195-98e5-3eaf8baa7894","block_type":"box","text":".................................................................... 4","page_number":189,"box":{"x":316,"y":101,"width":588,"height":9}},{"id":"fd89ba12-7dd0-4b30-a722-aee876e03a5a","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":189,"box":{"x":73,"y":117,"width":424,"height":9}},{"id":"65e18adb-fb11-4b4d-81a9-dbce3aa011da","block_type":"box","text":"............................................. 4","page_number":189,"box":{"x":504,"y":117,"width":400,"height":9}},{"id":"6e4dd3cb-497e-4d02-9017-bd747c2fb3eb","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":189,"box":{"x":74,"y":134,"width":451,"height":10}},{"id":"f1e3477c-f20f-49cb-8b92-9f8f3b3d371d","block_type":"box","text":".......................................... 4","page_number":189,"box":{"x":528,"y":134,"width":376,"height":8}},{"id":"a0f36c68-1556-4165-bc92-26fa2d16887d","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":189,"box":{"x":74,"y":150,"width":433,"height":9}},{"id":"c5969d79-12b4-4e0a-8602-073242133855","block_type":"box","text":"............................................ 5","page_number":189,"box":{"x":512,"y":150,"width":392,"height":9}},{"id":"81b84a1b-5062-4499-9dba-f10daef1ae8f","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":189,"box":{"x":74,"y":166,"width":178,"height":9}},{"id":"c894dac3-fe24-49e5-83fa-35abed057093","block_type":"box","text":"........................................................................... 6","page_number":189,"box":{"x":259,"y":166,"width":645,"height":9}},{"id":"7cdd33eb-9591-43b4-90ef-130e1e796bd1","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":189,"box":{"x":74,"y":183,"width":207,"height":9}},{"id":"ccc0bac5-bc09-4055-a0da-3a46912b1b51","block_type":"box","text":"....................................................................... 8","page_number":189,"box":{"x":292,"y":183,"width":612,"height":9}},{"id":"5fb6b344-bb88-4b43-96d2-3e524eeb8b0d","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":189,"box":{"x":74,"y":199,"width":325,"height":9}},{"id":"41e6175c-724f-46c4-804d-6fac997cf36c","block_type":"box","text":"......................................................... 9","page_number":189,"box":{"x":406,"y":199,"width":498,"height":9}},{"id":"d3b87332-5685-4811-8f1f-ee0ae4bc68b2","block_type":"box","text":"CAPITAL STRUCTURE","page_number":189,"box":{"x":74,"y":215,"width":156,"height":9}},{"id":"df04773f-8b90-40c2-a510-6deba74cd900","block_type":"box","text":".............................................................................. 9","page_number":189,"box":{"x":234,"y":215,"width":670,"height":9}},{"id":"bc811d18-22dc-43d1-993e-1c571aa18197","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":189,"box":{"x":73,"y":232,"width":315,"height":9}},{"id":"165da7e1-15c9-4617-b1e1-15443cb4bfc3","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":189,"box":{"x":398,"y":232,"width":506,"height":9}},{"id":"8c5b64dc-2cf1-4e10-ae5a-190d46085f5b","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":189,"box":{"x":74,"y":248,"width":430,"height":11}},{"id":"250aef22-aeaa-4454-ae7b-aa2d54bfc4d2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":189,"box":{"x":512,"y":248,"width":392,"height":9}},{"id":"7376e36a-6ca8-43ac-85fd-8611f6aecfa8","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":189,"box":{"x":73,"y":265,"width":319,"height":8}},{"id":"742fa59d-6c67-48c6-8849-088fc399486d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11","page_number":189,"box":{"x":398,"y":265,"width":506,"height":8}},{"id":"30d576b2-2fe6-43e0-b85a-9395b63ab7ce","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":189,"box":{"x":73,"y":281,"width":207,"height":9}},{"id":"e2ea80ae-2025-4aac-bc52-756698370b60","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":189,"box":{"x":283,"y":281,"width":621,"height":9}},{"id":"1654fdc0-ef03-4b1b-aa8b-277c9b253bfe","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":189,"box":{"x":74,"y":297,"width":259,"height":9}},{"id":"43a5d5d0-e5c0-4691-b58b-dc32e45912a5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":189,"box":{"x":340,"y":297,"width":564,"height":9}},{"id":"4bf6cf77-1c08-4509-8b60-d526f3dcb53a","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":189,"box":{"x":74,"y":314,"width":489,"height":9}},{"id":"33671882-0a1f-414f-b1f9-fc66e8428e55","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":189,"box":{"x":569,"y":314,"width":335,"height":8}},{"id":"98704eb2-8443-4d15-b060-dd50a8ba79d2","block_type":"box","text":"KEY STAKEHOLDERS","page_number":189,"box":{"x":74,"y":330,"width":151,"height":9}},{"id":"aac7e3ac-5bee-4116-8c15-aa19d556330c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":189,"box":{"x":234,"y":330,"width":670,"height":9}},{"id":"9c6c3353-6816-429b-8668-b4132107c0a4","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":189,"box":{"x":74,"y":346,"width":448,"height":9}},{"id":"e5ffb346-efbf-4004-92ea-2a2096c8cb7e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":189,"box":{"x":528,"y":347,"width":376,"height":8}},{"id":"bd7d4975-c3c4-4122-ab18-42dbec69dbca","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR","page_number":189,"box":{"x":73,"y":363,"width":771,"height":9}},{"id":"d9d9e666-2bcd-47c7-811c-06b3056cf979","block_type":"box","text":"NON-INDEX EQUITY INVESTMENT STRATEGIES","page_number":189,"box":{"x":74,"y":378,"width":339,"height":11}},{"id":"b5d1a034-6640-4750-bb17-d9fdb84c1ed8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16","page_number":189,"box":{"x":422,"y":378,"width":482,"height":9}},{"id":"b81a0b7c-4bc3-455e-b22a-cbad3253a554","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":189,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"ba75c02a-f4f1-4d70-961f-03e0df0f58b6","block_type":"box","text":"Global Engagement and Voting Guidelines | 2","page_number":189,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"2a0fa20f-52a6-4162-a3c7-62e84b754522","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":189,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9256be7d-c36b-4e8f-9f27-fe8449497da8","block_type":"box","text":"OVERVIEW","page_number":190,"box":{"x":450,"y":45,"width":79,"height":9}},{"id":"64b8ff54-cd18-4fa7-98ee-15aebebd25ef","block_type":"box","text":"This document provides high level guidance on how BlackRock Active Investment Stewardship (BAIS) views","page_number":190,"box":{"x":101,"y":67,"width":760,"height":12}},{"id":"9f998708-ba09-4d5c-94b5-d450707a0ec7","block_type":"box","text":"corporate governance matters that are commonly put to a shareholder vote, or on which investors engage with","page_number":190,"box":{"x":69,"y":83,"width":785,"height":11}},{"id":"cad95aae-9639-4748-8d70-142cff21500c","block_type":"box","text":"issuers.","page_number":190,"box":{"x":70,"y":98,"width":54,"height":9}},{"id":"2c7778fa-f60c-48a2-b091-335880b40bc6","block_type":"box","text":"1","page_number":190,"box":{"x":131,"y":94,"width":4,"height":4}},{"id":"3b8e68c7-14bd-408b-8fec-d4b7bb6a0cf1","block_type":"box","text":"BAIS works in par tnership with BlackRock’s investment teams, excluding index equity","page_number":190,"box":{"x":141,"y":98,"width":606,"height":11}},{"id":"49eeed38-f0d6-4505-bdd7-55db844b9145","block_type":"box","text":"2","page_number":190,"box":{"x":747,"y":98,"width":4,"height":4}},{"id":"c9e3d74c-bd97-45f9-ae2b-20eacbb7f5ff","block_type":"box","text":", providing exper tise","page_number":190,"box":{"x":753,"y":98,"width":143,"height":11}},{"id":"ea5790d7-1ac3-4e6c-9671-92c00a5f1c83","block_type":"box","text":"on investment stewardship and engaging with companies alongside and on behalf of those teams when appropriate.","page_number":190,"box":{"x":69,"y":113,"width":828,"height":11}},{"id":"ff3a308c-805c-47c1-94d0-ed09070e5528","block_type":"box","text":"The team is responsible for establishing voting guidelines for the active equity platform, providing vote","page_number":190,"box":{"x":68,"y":128,"width":729,"height":11}},{"id":"3c3cd2ab-1872-42ce-97d5-5c7ada145359","block_type":"box","text":"recommendations and operationalizing voting decisions. The guidance informs the voting recommendations BAIS","page_number":190,"box":{"x":69,"y":143,"width":803,"height":11}},{"id":"05c29082-b196-4161-ab99-27d16a71def3","block_type":"box","text":"makes to BlackRock’s active por tfolio managers. It applies to active equity holdings in BlackRock’s fundamental","page_number":190,"box":{"x":69,"y":158,"width":800,"height":11}},{"id":"07036b57-e81a-460c-a42c-574757f6a743","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":190,"box":{"x":69,"y":173,"width":831,"height":11}},{"id":"79f56d07-404f-4256-9326-af7a15ea9224","block_type":"box","text":"active fixed income strategies, to the extent those strategies hold voting securities or conduct issuer engagements.","page_number":190,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"7386d4a9-ccf0-4601-9986-e097089911ab","block_type":"box","text":"The guidelines are not prescriptive as active por tfolio managers have discretion as to how they integrate these","page_number":190,"box":{"x":68,"y":203,"width":789,"height":12}},{"id":"b98594e8-064f-4df7-a122-53300d4ecae4","block_type":"box","text":"guidelines within their investment processes in light of their clients’ or funds’ investment objectives. There are","page_number":190,"box":{"x":68,"y":218,"width":788,"height":12}},{"id":"81234006-2239-4c2e-a0b3-1a0fd48fb2fb","block_type":"box","text":"separate, independently developed principles and voting policies that are applied to BlackRock’s index equity","page_number":190,"box":{"x":69,"y":234,"width":778,"height":11}},{"id":"5d686b66-ff3b-41d1-b8de-e78443d3319e","block_type":"box","text":"investments by a distinct and independent function, BlackRock Investment Stewardship.","page_number":190,"box":{"x":70,"y":249,"width":627,"height":11}},{"id":"882bd7be-a6b5-4f79-a685-5109e453adb9","block_type":"box","text":"1","page_number":190,"box":{"x":69,"y":294,"width":4,"height":4}},{"id":"d4658458-cc70-4463-a3b7-6a1f2ff36865","block_type":"box","text":"This document includes BAIS’ benchmark policy, which covers nearly all active equity holdings in BlackRock’s","page_number":190,"box":{"x":78,"y":293,"width":777,"height":11}},{"id":"6f04e06f-b6cf-406a-9619-a64c341079d2","block_type":"box","text":"fundamental equity, systematic equity and multi-asset solutions strategies. The benchmark policy also may apply to","page_number":190,"box":{"x":68,"y":308,"width":823,"height":11}},{"id":"85082b77-525c-416e-8df3-5acc5fcc8e08","block_type":"box","text":"holdings in BlackRock’s index and active fixed income strategies, to the extent those strategies hold voting securities","page_number":190,"box":{"x":69,"y":323,"width":837,"height":12}},{"id":"16e692c5-9341-4084-b67e-ddbdead4c65a","block_type":"box","text":"or conduct issuer engagements. This document also includes BAIS’ decarbonization policy, which covers holdings in","page_number":190,"box":{"x":69,"y":339,"width":824,"height":11}},{"id":"73440397-c3cc-4955-86e1-0f12070d392f","block_type":"box","text":"BlackRock active funds that have climate and decarbonization objectives in addition to financial objectives.","page_number":190,"box":{"x":70,"y":354,"width":759,"height":11}},{"id":"c87a4ad9-7d67-4210-8e86-d47626525a1f","block_type":"box","text":"2","page_number":190,"box":{"x":69,"y":372,"width":4,"height":4}},{"id":"d3a35b62-42ba-4666-a742-ed356b277954","block_type":"box","text":"BlackRock segmented active and index equity investment functions, including stewardship, in January 2025 as par t","page_number":190,"box":{"x":79,"y":371,"width":825,"height":11}},{"id":"2f4debe1-c898-4c9f-8264-068b3b2ad316","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":190,"box":{"x":69,"y":386,"width":830,"height":12}},{"id":"356edd75-9dc7-4eb9-b8d9-2e57cb50e95d","block_type":"box","text":"result, there are two stewardship teams, which operate independently of one another and have separate voting","page_number":190,"box":{"x":69,"y":401,"width":792,"height":12}},{"id":"c5f1d7bb-46ab-4254-a09c-db1d39931147","block_type":"box","text":"policies.","page_number":190,"box":{"x":70,"y":417,"width":56,"height":11}},{"id":"45a035ec-6516-491d-bdda-c6577f77f932","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":190,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"009110cb-5bdb-4855-8ef5-f51632b45bbb","block_type":"box","text":"Global Engagement and Voting Guidelines | 3","page_number":190,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"10001c61-8e56-479b-a0db-413d261dff77","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":190,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"64305ad4-e1bd-4b3a-a433-6bfe493f6848","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":191,"box":{"x":372,"y":45,"width":235,"height":9}},{"id":"63755e1b-c647-4578-9fcb-a099bd232485","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":191,"box":{"x":102,"y":64,"width":777,"height":11}},{"id":"1c92e923-c0fe-40ed-80d5-63c3fa776731","block_type":"box","text":"belongs to BlackRock’s clients, many of whom make their own asset allocation and por tfolio construction decisions.","page_number":191,"box":{"x":69,"y":78,"width":828,"height":12}},{"id":"655c7401-ccb5-408a-a893-df2c4d835918","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":191,"box":{"x":68,"y":93,"width":835,"height":11}},{"id":"af421c87-24f4-4f07-a829-16327158221d","block_type":"box","text":"by understanding clients’ long-term investment objectives and offering choice on how and where they wish to invest","page_number":191,"box":{"x":69,"y":108,"width":823,"height":11}},{"id":"a5151714-f56c-4c59-bb93-76c13616dc83","block_type":"box","text":"their money. BlackRock then helps clients seek the best risk-adjusted returns based on those choices, underpinning","page_number":191,"box":{"x":68,"y":123,"width":830,"height":11}},{"id":"b99a2b91-7d77-4a0a-b91d-94aff5b6e3aa","block_type":"box","text":"this work with research, data and analytics.","page_number":191,"box":{"x":68,"y":138,"width":309,"height":11}},{"id":"0ab1b657-a5a3-4f58-9058-f456ba1874fe","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":191,"box":{"x":101,"y":156,"width":796,"height":12}},{"id":"867e9280-6dc2-4e96-b7f9-4a4e0133653b","block_type":"box","text":"stewards of our clients’ assets, we engage with companies to discuss the corporate governance and business","page_number":191,"box":{"x":69,"y":171,"width":787,"height":12}},{"id":"92345064-0854-4efb-9c65-584518460ff1","block_type":"box","text":"practices that, in our experience, suppor t companies in delivering durable, risk-adjusted financial returns over time.","page_number":191,"box":{"x":70,"y":186,"width":820,"height":12}},{"id":"4eac0d0d-56ba-46ad-a498-437a863641ca","block_type":"box","text":"We are committed to building strong relationships through constructive, ongoing dialogue with the boards and","page_number":191,"box":{"x":68,"y":201,"width":782,"height":11}},{"id":"bf4c9bd1-2f18-46ed-93dc-5fa1c2ad4e2d","block_type":"box","text":"executive management of the companies in which our clients are invested.","page_number":191,"box":{"x":69,"y":216,"width":531,"height":11}},{"id":"8be3a743-af1a-4045-b177-9400c3b02d22","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":191,"box":{"x":277,"y":246,"width":424,"height":9}},{"id":"1f8f92b5-035e-4802-888b-bb90777abe7e","block_type":"box","text":"BlackRock Active Investment Stewardship (BAIS) is a specialist team within the Por tfolio Management Group and","page_number":191,"box":{"x":102,"y":265,"width":804,"height":11}},{"id":"e5cc3ce7-6aea-48a0-898d-9d997cc1d685","block_type":"box","text":"manages BlackRock’s stewardship engagement and voting on behalf of clients invested in active strategies globally.","page_number":191,"box":{"x":69,"y":280,"width":826,"height":11}},{"id":"007498ae-dbaa-4ba7-b218-fffe72375f80","block_type":"box","text":"BAIS is also responsible for engagement with issuers in index fixed income strategies, where appropriate. Our","page_number":191,"box":{"x":70,"y":295,"width":783,"height":11}},{"id":"84b51d98-a6f1-4279-93f6-f2049e8bf7d0","block_type":"box","text":"activities are informed by these Global Engagement and Voting Guidelines (the “Guidelines”) and insights from active","page_number":191,"box":{"x":69,"y":309,"width":834,"height":12}},{"id":"5e2a1bc7-a67e-41c1-80e5-495ab3dbfb85","block_type":"box","text":"investment analysts and por tfolio managers, with whom we work closely in engaging companies and voting at","page_number":191,"box":{"x":70,"y":324,"width":779,"height":12}},{"id":"10ef7fbe-c37c-4daa-9147-d516a07ea5ef","block_type":"box","text":"shareholder meetings.","page_number":191,"box":{"x":69,"y":339,"width":158,"height":11}},{"id":"9315e8c7-dca3-4971-9752-933c2a2e37ca","block_type":"box","text":"Engagement with public companies is the foundation of our approach to stewardship within fundamental active","page_number":191,"box":{"x":102,"y":358,"width":789,"height":11}},{"id":"4fc820fc-b093-49b3-9882-f13dc0244342","block_type":"box","text":"investing.","page_number":191,"box":{"x":70,"y":373,"width":65,"height":11}},{"id":"e3fc9964-e7c4-47a1-8921-fe069ba7cc12","block_type":"box","text":"3","page_number":191,"box":{"x":137,"y":373,"width":4,"height":5}},{"id":"f3fd040c-ff1d-48d0-8803-6c585f8a24d7","block_type":"box","text":"Through direct dialogue with company leadership, we seek to understand their businesses and how they","page_number":191,"box":{"x":146,"y":373,"width":744,"height":11}},{"id":"01e21c40-92e2-4997-abf5-70ad3f565b62","block_type":"box","text":"manage risks and oppor tunities to deliver durable, risk-adjusted financial returns. Por tfolio managers and","page_number":191,"box":{"x":69,"y":387,"width":751,"height":12}},{"id":"ae1a8eaa-c0c8-4be4-a292-7eb482f25868","block_type":"box","text":"stewardship specialists may engage jointly or independently on material corporate governance matters. Our","page_number":191,"box":{"x":69,"y":402,"width":765,"height":12}},{"id":"e4ea447b-3749-45dd-8f49-8306c315fd6c","block_type":"box","text":"discussions focus on topics relevant to a company’s success over time, including governance and leadership,","page_number":191,"box":{"x":69,"y":417,"width":782,"height":12}},{"id":"a033b788-5e69-4f46-acbe-8d86a2e287a1","block_type":"box","text":"corporate strategy, capital structure and financial per formance, operations and material sustainability-related risks,","page_number":191,"box":{"x":69,"y":432,"width":820,"height":11}},{"id":"4a30b91c-790c-45ee-ab1c-383c10b320d5","block_type":"box","text":"as well as macro-economic, geopolitical and sector dynamics. We aim to be constructive investors and are generally","page_number":191,"box":{"x":69,"y":447,"width":828,"height":11}},{"id":"e75313cc-81bb-46bc-ac4b-7fd05c8b1bfc","block_type":"box","text":"suppor tive of management teams that have a track record of financial value creation. We aim to build and maintain","page_number":191,"box":{"x":69,"y":462,"width":821,"height":11}},{"id":"dbc795d7-2df4-4a0f-8513-129bed6acc37","block_type":"box","text":"strong relationships with company leadership based on open dialogue and mutual respect.","page_number":191,"box":{"x":69,"y":477,"width":645,"height":11}},{"id":"fa4e0fbe-41db-451b-acb8-7eb6e5d99d3c","block_type":"box","text":"Different active equity strategies may implement these voting guidelines differently, as a result of the latitude","page_number":191,"box":{"x":102,"y":495,"width":780,"height":12}},{"id":"6a01e2a2-fa2a-4eca-8fa5-a29cdb85dc8b","block_type":"box","text":"each por tfolio manager has to make independent voting decisions on their holdings. For example, BAIS will generally","page_number":191,"box":{"x":69,"y":510,"width":831,"height":11}},{"id":"07582664-4b66-4815-8691-c81cfcee072b","block_type":"box","text":"vote the holdings in Systematic Active Equity por tfolios in accordance with these guidelines. We provide voting","page_number":191,"box":{"x":68,"y":525,"width":787,"height":11}},{"id":"abcf2380-d31a-46ac-b559-c38e08ce6856","block_type":"box","text":"recommendations to fundamental equity por tfolio managers, who may determine to vote differently based on each","page_number":191,"box":{"x":69,"y":540,"width":816,"height":11}},{"id":"9f59197a-d096-4ab3-aa0d-6d738ec6429d","block_type":"box","text":"por tfolio’s investment objectives and strategy.","page_number":191,"box":{"x":70,"y":555,"width":327,"height":11}},{"id":"face4059-1fb2-4e5b-bf5e-295d3af47838","block_type":"box","text":"These guidelines discuss BAIS’ views on corporate governance topics on which we may engage with","page_number":191,"box":{"x":101,"y":574,"width":711,"height":11}},{"id":"e0f7f51c-8d30-4045-9b84-71d4bacf95a6","block_type":"box","text":"management teams and board directors","page_number":191,"box":{"x":69,"y":589,"width":285,"height":11}},{"id":"ea768cbc-f645-4f61-b93e-d53fc60cd49d","block_type":"box","text":"4","page_number":191,"box":{"x":355,"y":589,"width":5,"height":4}},{"id":"2bbd45a8-2252-4ca9-8bf0-24c172bb9724","block_type":"box","text":"and on matters that routinely come to a shareholder vote. We recognize that","page_number":191,"box":{"x":366,"y":589,"width":544,"height":11}},{"id":"15bc2523-335b-4f83-bf37-887eb20fa6d2","block_type":"box","text":"accepted corporate governance norms can differ across markets, and believe these guidelines represent globally","page_number":191,"box":{"x":69,"y":603,"width":807,"height":11}},{"id":"84b7f95e-b060-4a0b-b73a-5cf68cdae00f","block_type":"box","text":"applicable elements of governance that suppor t a company’s ability to manage material risks and oppor tunities and","page_number":191,"box":{"x":69,"y":618,"width":827,"height":11}},{"id":"d9d9a6a9-7ad8-4a54-b0b3-7e0fd9f387f8","block_type":"box","text":"deliver financial returns to investors. Generally, we believe companies should observe accepted corporate governance","page_number":191,"box":{"x":69,"y":633,"width":840,"height":11}},{"id":"8d5573be-e02d-4dc2-b872-b17443e6626a","block_type":"box","text":"norms within their local markets or, par ticularly in markets without well-established norms, aspire to widely","page_number":191,"box":{"x":69,"y":648,"width":762,"height":11}},{"id":"7826744e-447b-4480-8738-03ba90fc7d3b","block_type":"box","text":"recognized international best practices. As one of many minority shareholders, BlackRock cannot – and does not try","page_number":191,"box":{"x":69,"y":663,"width":827,"height":11}},{"id":"49d951fa-d629-4e30-bed6-d398aed2bef0","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":191,"box":{"x":68,"y":678,"width":837,"height":11}},{"id":"391891b1-8b4f-4ec1-9e91-efc12bfb499f","block_type":"box","text":"their approach to corporate governance best aligns with the financial interests of their investors.","page_number":191,"box":{"x":68,"y":692,"width":687,"height":12}},{"id":"f2180658-af71-4e7b-ae47-99df5adb3086","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":191,"box":{"x":263,"y":722,"width":451,"height":11}},{"id":"ff891edc-f028-4e15-814d-cfe1be2b13c5","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":191,"box":{"x":101,"y":741,"width":753,"height":12}},{"id":"ac6c807b-e1f3-4197-87d6-225283a4c64c","block_type":"box","text":"governance. The voting rights attached to clients’ holdings are an impor tant mechanism for investors to express","page_number":191,"box":{"x":68,"y":756,"width":801,"height":11}},{"id":"7db61dc5-727b-4902-8f1e-e9916c37b904","block_type":"box","text":"suppor t for, or concern about, a company’s per formance. As a fiduciary, BlackRock is legally required to make proxy","page_number":191,"box":{"x":69,"y":771,"width":829,"height":11}},{"id":"9ded13f6-9833-4272-9464-7e3fa2676be0","block_type":"box","text":"voting determinations, on behalf of clients who have delegated voting authority to us, in a manner consistent with","page_number":191,"box":{"x":68,"y":786,"width":809,"height":11}},{"id":"28a68510-3bc0-4b12-adc3-7f8cddc3146d","block_type":"box","text":"BlackRock’s contractual arrangements with clients and funds.","page_number":191,"box":{"x":70,"y":801,"width":438,"height":11}},{"id":"3dfb7e6d-9af3-4d37-a515-4b6e77aea1a9","block_type":"box","text":"3","page_number":191,"box":{"x":69,"y":830,"width":4,"height":5}},{"id":"f400097f-a407-469a-a304-e76db89e5467","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":191,"box":{"x":79,"y":830,"width":790,"height":11}},{"id":"08f6da6d-535c-4d88-a76b-9856fa0f07e3","block_type":"box","text":"shareholders to maintain their eligibility to repor t their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":191,"box":{"x":69,"y":845,"width":836,"height":11}},{"id":"c5c76966-b80c-48df-935c-d427995b0461","block_type":"box","text":"We comply fully with these requirements and do not engage with por tfolio companies for the purpose, or with the","page_number":191,"box":{"x":68,"y":860,"width":805,"height":11}},{"id":"49d292c0-56d7-4a96-89f5-6a54415de596","block_type":"box","text":"effect, of changing or influencing control of the company.","page_number":191,"box":{"x":69,"y":875,"width":403,"height":12}},{"id":"68aae0e7-046b-4974-9b38-b1492e009f05","block_type":"box","text":"4","page_number":191,"box":{"x":69,"y":893,"width":4,"height":5}},{"id":"c0186e07-6412-4c42-a79e-7ed72208edca","block_type":"box","text":"References to the board, board directors or non-executive directors should be understood to include supervisory","page_number":191,"box":{"x":79,"y":893,"width":801,"height":11}},{"id":"be720c05-4aaf-4f24-8651-6d607f484b4a","block_type":"box","text":"boards and their members, where relevant.","page_number":191,"box":{"x":69,"y":908,"width":306,"height":11}},{"id":"60d32dfe-de67-497a-b336-a336e7f58aaa","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":191,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"7ab0e9d5-84c4-43e2-ab9e-e4a42039e949","block_type":"box","text":"Global Engagement and Voting Guidelines | 4","page_number":191,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"2e119ab9-d7d6-4f55-a56f-7d512e95fab8","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":191,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"24eff849-e610-4cc0-8032-38231718741d","block_type":"box","text":"In general, we tend to suppor t the recommendations of the board of directors and management. As indicated","page_number":192,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"dcdf9328-5b05-40e7-b692-45ddde9aad4f","block_type":"box","text":"below, we may vote against management recommendations when we have concerns about how companies are","page_number":192,"box":{"x":69,"y":60,"width":788,"height":11}},{"id":"c3f2d6a3-bed9-4f9d-86aa-0e2e9ec3a668","block_type":"box","text":"serving the financial interests of our clients as their shareholders. BAIS takes a globally consistent approach to","page_number":192,"box":{"x":69,"y":74,"width":795,"height":12}},{"id":"2031bc4a-72ec-488b-ba2b-20449155f051","block_type":"box","text":"voting but considers the different corporate governance regulations and norms across markets. Votes are determined","page_number":192,"box":{"x":68,"y":89,"width":839,"height":12}},{"id":"e2135f07-d043-4054-9a41-f0413de11be0","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":192,"box":{"x":69,"y":104,"width":823,"height":11}},{"id":"c9d2f86a-c6e8-4ff8-bed5-89c391cd4c65","block_type":"box","text":"Please see page 19 for more information about how we fulfill and oversee our investment stewardship","page_number":192,"box":{"x":69,"y":119,"width":729,"height":11}},{"id":"711afbc0-bee7-4133-ba78-05bb055f2544","block_type":"box","text":"responsibilities for BlackRock’s non-index equity strategies.","page_number":192,"box":{"x":69,"y":134,"width":423,"height":11}},{"id":"3e717745-3992-4f14-b6c7-9df7792df681","block_type":"box","text":"5","page_number":192,"box":{"x":493,"y":134,"width":5,"height":5}},{"id":"1414dc2a-2691-4698-9788-4389249d23cf","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":192,"box":{"x":272,"y":164,"width":434,"height":9}},{"id":"b6b055da-ff6d-40a0-bb8e-b54806c9c94d","block_type":"box","text":"Although fixed income investors do not have the right to vote at shareholder meetings, issuer engagement is a","page_number":192,"box":{"x":101,"y":183,"width":788,"height":11}},{"id":"33d77228-f230-4051-ae87-9ef012cc4aa4","block_type":"box","text":"component of fixed income investment strategies at BlackRock, par ticularly for those with sustainability objectives in","page_number":192,"box":{"x":69,"y":198,"width":831,"height":11}},{"id":"8b9d63fe-861f-4261-b295-6acff1ca6274","block_type":"box","text":"addition to financial objectives. Most corporate governance-related fixed income engagements are under taken in","page_number":192,"box":{"x":69,"y":212,"width":801,"height":12}},{"id":"61f6e40c-8dd9-4d2a-a080-d93284a497b4","block_type":"box","text":"conjunction with the active investment stewardship team, and often active equity investors. In addition to the topics","page_number":192,"box":{"x":69,"y":227,"width":824,"height":11}},{"id":"a5827210-ac03-470b-a25b-60078984379d","block_type":"box","text":"listed below, engagement with fixed income investment teams may help inform an issuer’s approach to structuring","page_number":192,"box":{"x":70,"y":242,"width":816,"height":11}},{"id":"0b99fa47-9467-430b-945d-9b8fa0dcdf97","block_type":"box","text":"specialist issuances and the standard terms and information in bond documentation.","page_number":192,"box":{"x":69,"y":257,"width":608,"height":11}},{"id":"b45376a9-6982-4ca5-9788-002e5f7815e5","block_type":"box","text":"5","page_number":192,"box":{"x":69,"y":302,"width":4,"height":4}},{"id":"13a5bc42-86ff-44f3-9ce9-4a8fa282b7b3","block_type":"box","text":"Non-index equity strategies include active equity holdings in BlackRock’s fundamental equity, systematic equity and","page_number":192,"box":{"x":79,"y":301,"width":820,"height":11}},{"id":"bd4626d5-87f5-4995-b431-b8ab97ce37c4","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":192,"box":{"x":69,"y":316,"width":822,"height":12}},{"id":"b0b2d00d-d79c-4394-ba5e-13f60ed01b59","block_type":"box","text":"extent those strategies hold voting securities or conduct issuer engagements.","page_number":192,"box":{"x":69,"y":332,"width":554,"height":11}},{"id":"845dec88-d5e4-4dba-87f7-b3210f76c3bd","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":192,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"29e3ed46-10a6-418a-9a56-7ae7ed388f7a","block_type":"box","text":"Global Engagement and Voting Guidelines | 5","page_number":192,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"b36d7284-cc97-45aa-8c45-bb1d09f5059b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":192,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d8a81055-63af-4fde-a691-e9071d02d7a4","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":193,"box":{"x":400,"y":45,"width":178,"height":9}},{"id":"f340d153-4072-46d0-911e-0063e3e4b7ce","block_type":"box","text":"Roles and responsibilities","page_number":193,"box":{"x":69,"y":67,"width":186,"height":11}},{"id":"94e16f28-ac6a-4802-b2fa-2d86e718ad80","block_type":"box","text":"There is widespread consensus that the foundation of good corporate governance is an effective board of","page_number":193,"box":{"x":101,"y":86,"width":754,"height":11}},{"id":"2708e534-a4d3-44f0-8d0b-f4c092899a5e","block_type":"box","text":"directors that is able to advise and supervise management in an independent and objective manner.","page_number":193,"box":{"x":69,"y":101,"width":715,"height":11}},{"id":"41e54941-611f-4863-8272-f4529e370648","block_type":"box","text":"6","page_number":193,"box":{"x":786,"y":101,"width":4,"height":5}},{"id":"51bb5ad5-81d9-46cb-884f-3fb7fe605a36","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":193,"box":{"x":101,"y":119,"width":765,"height":12}},{"id":"637a4448-6a2c-41d1-9522-24777b9f01a3","block_type":"box","text":"realization of a company’s strategy, purpose and culture. These constructs are interdependent and, when aligned,","page_number":193,"box":{"x":69,"y":134,"width":811,"height":12}},{"id":"8ea01485-2204-4187-8784-1c6af24c5c94","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":193,"box":{"x":69,"y":149,"width":822,"height":11}},{"id":"68484e24-8280-48dc-9ead-1581102b51eb","block_type":"box","text":"of corporate or employee misconduct, and attract and retain the caliber of workers necessary to deliver financial","page_number":193,"box":{"x":69,"y":164,"width":799,"height":11}},{"id":"fae0773d-77ff-4370-8657-a99b01f29dd5","block_type":"box","text":"per formance over time.","page_number":193,"box":{"x":70,"y":179,"width":164,"height":11}},{"id":"9f932e07-5cc1-4a19-90c4-2c5f3530d26a","block_type":"box","text":"In overseeing the management of the company, the board ensures the necessary resources, policies and","page_number":193,"box":{"x":102,"y":198,"width":750,"height":11}},{"id":"396dc144-5fbe-47df-a2a0-b2e54364aa35","block_type":"box","text":"procedures are in place to help management meet its strategic objectives within an agreed risk tolerance.","page_number":193,"box":{"x":70,"y":213,"width":753,"height":11}},{"id":"4f0c1dd3-8233-45ca-badc-2e2b6afcaf42","block_type":"box","text":"One of the most impor tant responsibilities of the board is to appoint, and remove as necessary, the chief","page_number":193,"box":{"x":102,"y":231,"width":753,"height":11}},{"id":"6f2e9874-dc77-490f-9bba-1442e111e383","block_type":"box","text":"executive officer (“CEO”). In addition, the board plays a meaningful role in monitoring the per formance of the CEO","page_number":193,"box":{"x":69,"y":246,"width":811,"height":11}},{"id":"333519d4-321b-4303-a29b-43c86b1c2a33","block_type":"box","text":"and other key executives, determining executive compensation, ensuring a rigorous audit, overseeing strategy","page_number":193,"box":{"x":69,"y":261,"width":783,"height":11}},{"id":"71a7a22b-cb98-4558-9078-9398653ea7f3","block_type":"box","text":"execution and risk management and engaging with shareholders, and other stakeholders, as necessary.","page_number":193,"box":{"x":69,"y":276,"width":742,"height":11}},{"id":"34bac0de-52e2-4fec-8884-b6a9f87bdc79","block_type":"box","text":"Composition and effectiveness","page_number":193,"box":{"x":69,"y":298,"width":224,"height":11}},{"id":"7a97aec2-fa6a-4e64-89fb-7419637cd1ef","block_type":"box","text":"Appointment process","page_number":193,"box":{"x":68,"y":317,"width":152,"height":11}},{"id":"76574488-b874-4685-86b6-4efda7d06092","block_type":"box","text":"A formal and transparent process for identifying and appointing director candidates is critical to ensuring the","page_number":193,"box":{"x":101,"y":335,"width":773,"height":12}},{"id":"577fa56f-26c3-48d2-913d-98794eef8488","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":193,"box":{"x":69,"y":350,"width":792,"height":11}},{"id":"06a11bd3-9b27-4a35-8969-0c438a428dca","block_type":"box","text":"committee determines the general criteria given the company’s circumstances (","page_number":193,"box":{"x":69,"y":365,"width":568,"height":11}},{"id":"5037082b-3a89-4625-bfc0-bdebd566379b","block_type":"box","text":"e.g.","page_number":193,"box":{"x":638,"y":367,"width":25,"height":9}},{"id":"99b6f6f5-6fb4-452e-90d4-01ddd88d4aa8","block_type":"box","text":", sector, maturity, geographic","page_number":193,"box":{"x":666,"y":365,"width":204,"height":11}},{"id":"fe0a811c-a9b6-4b31-aa74-2640495377e9","block_type":"box","text":"footprint) and any additional criteria for a specific role being filled (","page_number":193,"box":{"x":68,"y":380,"width":474,"height":11}},{"id":"aafc1faa-63a0-4ede-90ef-832f87c0984e","block_type":"box","text":"e.g.","page_number":193,"box":{"x":544,"y":381,"width":25,"height":10}},{"id":"0e1ed222-ca60-440b-9ab0-4b9a32fabb45","block_type":"box","text":", financial exper tise, industry track record). To","page_number":193,"box":{"x":571,"y":380,"width":327,"height":11}},{"id":"ff95ef97-683b-4b8b-9aa5-574495db3700","block_type":"box","text":"inform the process, we encourage companies to review the skills and experience of incumbent directors to identify","page_number":193,"box":{"x":70,"y":395,"width":815,"height":11}},{"id":"36aff3ef-ef24-4c89-ae83-74f5eff4daf8","block_type":"box","text":"any gaps and whether the skills and experience of a director candidate would be additive. We welcome disclosures","page_number":193,"box":{"x":69,"y":410,"width":817,"height":11}},{"id":"8cb2d067-73b7-4e8f-86fb-77782a3443a8","block_type":"box","text":"that explain how the board considered different skills and experience to ensure that the directors collectively can be","page_number":193,"box":{"x":68,"y":425,"width":829,"height":11}},{"id":"4c0aeae9-9e26-4816-9d5a-8ce935b1d980","block_type":"box","text":"effective in fulfilling their responsibilities. We assess a company’s board composition against that of its peer group","page_number":193,"box":{"x":69,"y":439,"width":821,"height":12}},{"id":"f22c3883-cc9d-4a7e-bc8a-d5ba2b66087c","block_type":"box","text":"and local market requirements.","page_number":193,"box":{"x":69,"y":455,"width":221,"height":10}},{"id":"04f40219-3221-4d87-871a-62a383055174","block_type":"box","text":"Shareholders periodically vote to elect directors to serve on the board. We do not prescribe any par ticular board","page_number":193,"box":{"x":102,"y":473,"width":798,"height":11}},{"id":"5ebdbc3c-5140-4df9-80a2-8444e5605b1a","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":193,"box":{"x":69,"y":488,"width":800,"height":11}},{"id":"02cd1887-6fe6-48f8-a7ff-e0c8f96a7165","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":193,"box":{"x":70,"y":503,"width":794,"height":11}},{"id":"70ac578a-f846-406f-97d4-33233896ee74","block_type":"box","text":"committee, where a company has not demonstrated it has an appointment process that results in a high functioning","page_number":193,"box":{"x":69,"y":517,"width":830,"height":12}},{"id":"4854421a-5b54-41cb-a8f0-dc27b746be85","block_type":"box","text":"board with the appropriate complement of skills and experience amongst the directors to suppor t strong financial","page_number":193,"box":{"x":69,"y":532,"width":808,"height":12}},{"id":"510bb6b0-0278-4702-aeff-36c00acd2457","block_type":"box","text":"per formance over time. We may vote against newly nominated directors who do not seem to have the appropriate","page_number":193,"box":{"x":70,"y":547,"width":808,"height":12}},{"id":"0df3abb5-2702-4592-bbe4-f690d6769ad2","block_type":"box","text":"skills or experience to contribute to the board’s effectiveness.","page_number":193,"box":{"x":69,"y":562,"width":442,"height":11}},{"id":"d9da19bb-9f2f-4660-89f5-8047844018dc","block_type":"box","text":"Independence","page_number":193,"box":{"x":70,"y":585,"width":99,"height":10}},{"id":"3a9fd9a9-e955-4db1-9c18-01dac08208e8","block_type":"box","text":"Director independence from management, significant shareholders or other stakeholders (","page_number":193,"box":{"x":102,"y":603,"width":642,"height":11}},{"id":"f3d4994e-ac89-459a-b75e-a050a6ac9915","block_type":"box","text":"e.g.","page_number":193,"box":{"x":746,"y":605,"width":25,"height":9}},{"id":"aee86573-dd4f-48ff-8798-4ba818b4eed7","block_type":"box","text":", government or","page_number":193,"box":{"x":773,"y":604,"width":111,"height":10}},{"id":"12a8f28b-417d-46a9-8d3b-03482aec7d6e","block_type":"box","text":"employees) is of paramount impor tance to the protection of the interests of minority shareholders such as","page_number":193,"box":{"x":69,"y":618,"width":759,"height":11}},{"id":"21fc1dd8-b980-4aca-af7b-69c3649fb532","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":193,"box":{"x":70,"y":633,"width":793,"height":11}},{"id":"1cdfec71-6cdb-46f1-85d7-8cc9a52128a5","block_type":"box","text":"conflicts of interest or undue influence.","page_number":193,"box":{"x":69,"y":648,"width":278,"height":9}},{"id":"9541851c-466a-417c-bcf7-8935db108940","block_type":"box","text":"7","page_number":193,"box":{"x":349,"y":648,"width":4,"height":5}},{"id":"0ac0f97a-0c6e-494d-a06f-e27090d74df8","block_type":"box","text":"This also helps to ensure that board committees are composed of a","page_number":193,"box":{"x":358,"y":648,"width":486,"height":11}},{"id":"d919db3a-331a-4280-8005-e743d8616845","block_type":"box","text":"sufficient number of independent directors. Companies domiciled in markets with a higher threshold for board","page_number":193,"box":{"x":69,"y":663,"width":783,"height":11}},{"id":"d413b280-883f-4840-a00d-d398e9be0c8e","block_type":"box","text":"independence should meet those local requirements.","page_number":193,"box":{"x":70,"y":678,"width":378,"height":10}},{"id":"47142854-8def-4f10-8a03-4ff122f60d4e","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":193,"box":{"x":101,"y":696,"width":803,"height":11}},{"id":"aac4e28d-98fd-4572-9c3a-1851207aa1bb","block_type":"box","text":"independence. We may also vote against the election of the chair of the committee responsible for board","page_number":193,"box":{"x":70,"y":711,"width":748,"height":11}},{"id":"24a2647e-2a90-4601-9194-b4753fa18573","block_type":"box","text":"composition if this is a perennial issue.","page_number":193,"box":{"x":69,"y":726,"width":280,"height":11}},{"id":"81d2a408-2e67-4fb7-96a8-7731e7d5037f","block_type":"box","text":"6","page_number":193,"box":{"x":69,"y":756,"width":4,"height":4}},{"id":"32bbbaaa-13aa-4be2-87a6-1b79512476d1","block_type":"box","text":"See the Corporate Governance Codes of Germany, Japan, and the UK, as well as the corporate governance","page_number":193,"box":{"x":93,"y":755,"width":763,"height":11}},{"id":"4e3790df-de07-411f-a573-273a81a41fac","block_type":"box","text":"principles of the US Business Roundtable as examples.","page_number":193,"box":{"x":94,"y":770,"width":394,"height":11}},{"id":"afddc27d-a030-4328-a022-95570a57be81","block_type":"box","text":"7","page_number":193,"box":{"x":69,"y":788,"width":4,"height":5}},{"id":"319a35fe-6bdd-41c7-b356-dc185b3b4c05","block_type":"box","text":"Common impediments to independence may include but are not limited to: current or recent employment at the","page_number":193,"box":{"x":93,"y":788,"width":795,"height":11}},{"id":"d05ad680-1dcf-47f0-8361-20c4dbbe4543","block_type":"box","text":"company or a subsidiary; being, or representing, a shareholder with a substantial shareholding in the company;","page_number":193,"box":{"x":93,"y":803,"width":793,"height":11}},{"id":"1b862f65-2d19-4702-8c78-ce2548983b3f","block_type":"box","text":"interlocking directorships; lengthy tenure, and having any other interest, business, or other relationship which","page_number":193,"box":{"x":94,"y":818,"width":778,"height":11}},{"id":"c75c7c7f-520a-48ee-b138-7753ca763d09","block_type":"box","text":"could, or could reasonably be perceived to, materially inter fere with a director’s ability to act in the best interests","page_number":193,"box":{"x":93,"y":833,"width":807,"height":11}},{"id":"2f4ddc9b-a790-4005-bc63-ae234a0a48cf","block_type":"box","text":"of the company and shareholders.","page_number":193,"box":{"x":93,"y":848,"width":242,"height":11}},{"id":"47a10dc6-475f-43d9-8914-57a5d0ce591e","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":193,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"f55ba47a-d1ac-4b63-9a39-ad155c1d86ca","block_type":"box","text":"Global Engagement and Voting Guidelines | 6","page_number":193,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"1808e375-a9c4-4946-8909-436aa66dcd77","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":193,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4711d173-0af6-4df2-8435-806aa8cbccd5","block_type":"box","text":"Independent board leadership","page_number":194,"box":{"x":70,"y":45,"width":212,"height":11}},{"id":"1e82e083-4815-4f9b-a721-d397cc51a964","block_type":"box","text":"Practices across markets differ, as do board structures, but we observe two main approaches to independent","page_number":194,"box":{"x":102,"y":63,"width":784,"height":11}},{"id":"8534c4ce-2afd-4971-a229-18a158b89548","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":194,"box":{"x":69,"y":78,"width":827,"height":11}},{"id":"5054560e-d69e-46f9-a6b4-8699e6824c0b","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":194,"box":{"x":68,"y":93,"width":774,"height":11}},{"id":"4904a6bb-739a-4545-b9a3-08b9a61fc268","block_type":"box","text":"coordinating with the other non-executive directors and working closely with the executive chair on the board agenda","page_number":194,"box":{"x":69,"y":108,"width":826,"height":11}},{"id":"144944ac-b422-4f52-9ce6-f99220d7cc42","block_type":"box","text":"and other board procedures. In this case, the executive chair and the lead independent director work together to","page_number":194,"box":{"x":69,"y":123,"width":801,"height":11}},{"id":"eb9916b0-d719-4a98-aced-d1dd289b03ff","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":194,"box":{"x":69,"y":138,"width":823,"height":11}},{"id":"e78fa414-ea95-4325-9113-c7a3451055ec","block_type":"box","text":"the chair of a relevant committee, should be available to investors to discuss governance matters such as CEO","page_number":194,"box":{"x":68,"y":152,"width":793,"height":12}},{"id":"5e44abc8-0cfd-41cc-bf3d-64c8347dba26","block_type":"box","text":"succession, executive pay, and board per formance. We look to boards to explain their board leadership model and","page_number":194,"box":{"x":69,"y":167,"width":816,"height":11}},{"id":"44ccafef-1913-47e5-90c8-62166bce994a","block_type":"box","text":"how it serves the interests of shareholders.","page_number":194,"box":{"x":69,"y":182,"width":311,"height":9}},{"id":"fbabe038-fd04-4808-babc-ec7c89cd6ccb","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":194,"box":{"x":101,"y":201,"width":798,"height":11}},{"id":"d3f77d11-e457-4a91-8092-478a70720475","block_type":"box","text":"an identified independent leader of the board with clear responsibilities for board per formance. We may vote against","page_number":194,"box":{"x":69,"y":216,"width":831,"height":11}},{"id":"1ff4714a-f5d0-4639-9f48-a9baa2b347f2","block_type":"box","text":"the most senior independent director if the board has a policy of not engaging with shareholders.","page_number":194,"box":{"x":68,"y":231,"width":691,"height":11}},{"id":"8e9f450f-14c0-41e2-86c1-652044e4045b","block_type":"box","text":"Tenure and succession","page_number":194,"box":{"x":70,"y":253,"width":162,"height":9}},{"id":"b8f20564-9772-490e-955e-00d0d7f64036","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":194,"box":{"x":102,"y":272,"width":803,"height":11}},{"id":"3b684df5-ff05-486c-bbb3-c8ddb7093c9e","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":194,"box":{"x":69,"y":286,"width":805,"height":11}},{"id":"616137b9-f827-45fb-ab0a-969c504612dd","block_type":"box","text":"director tenure par ticularly around the contributions of directors who have served for longer periods than typically","page_number":194,"box":{"x":69,"y":301,"width":806,"height":12}},{"id":"d530c1b5-7f31-4abe-b9b7-1c478241724c","block_type":"box","text":"provided for under local practice. In our experience, long-serving directors could become less independent given their","page_number":194,"box":{"x":70,"y":316,"width":833,"height":12}},{"id":"86ba4956-82b4-49bf-aff4-7a5628b03b95","block_type":"box","text":"long-term relationship with management and involvement in past board decisions.","page_number":194,"box":{"x":70,"y":331,"width":581,"height":11}},{"id":"2dd41e4c-7fa1-4790-94e1-e517a59698b2","block_type":"box","text":"Succession planning for board roles helps achieve the appropriate cadence of turnover that balances renewal","page_number":194,"box":{"x":102,"y":350,"width":779,"height":11}},{"id":"c22f9828-a0ce-43f0-89c1-e3fed9147884","block_type":"box","text":"through the regular introduction of directors with fresh perspectives and exper tise with continuity through the","page_number":194,"box":{"x":68,"y":365,"width":777,"height":11}},{"id":"ea0219ef-ad18-441a-b1d3-8e5e624a4cc0","block_type":"box","text":"retention of directors with long-term knowledge of the board and company.","page_number":194,"box":{"x":69,"y":379,"width":528,"height":12}},{"id":"1134c5ed-385c-4bb7-9b1f-5acea46fb11b","block_type":"box","text":"In markets where there is not specific director tenure guidance from regulation or corporate governance best","page_number":194,"box":{"x":102,"y":398,"width":774,"height":11}},{"id":"76d1e171-6a7e-48d8-982d-3da28feb6de8","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":194,"box":{"x":70,"y":413,"width":795,"height":11}},{"id":"84827675-d21d-475b-b2e8-4a095d21c0de","block_type":"box","text":"company does not clearly disclose its approach to director tenure and board renewal. We may vote against the","page_number":194,"box":{"x":69,"y":428,"width":788,"height":11}},{"id":"b6565430-8c4e-454f-ba08-a2479bf6b4de","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":194,"box":{"x":69,"y":443,"width":839,"height":11}},{"id":"2c9d9207-ebdf-4e32-9ac4-af24f30a01c5","block_type":"box","text":"for their continued service is not evident.","page_number":194,"box":{"x":68,"y":458,"width":292,"height":9}},{"id":"a05eead4-c2d9-48e0-98f9-34ad2b3de316","block_type":"box","text":"Capacity","page_number":194,"box":{"x":70,"y":480,"width":60,"height":11}},{"id":"8b4798f0-934b-40a6-b67b-dd15ad86cce3","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":194,"box":{"x":101,"y":499,"width":784,"height":11}},{"id":"df692ab9-31e6-4d85-b3a6-f60939dc7e57","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":194,"box":{"x":69,"y":513,"width":801,"height":12}},{"id":"9207c858-e416-41cb-9685-dbd8353d6af5","block_type":"box","text":"company taking into consideration competing responsibilities. We recognize that board leadership roles vary across","page_number":194,"box":{"x":69,"y":529,"width":823,"height":11}},{"id":"e6861baa-0a55-433d-aa47-d8b6d7b26c6d","block_type":"box","text":"markets in responsibilities and required time commitment but note that they are generally more intensive than a","page_number":194,"box":{"x":69,"y":543,"width":800,"height":11}},{"id":"37facf34-0c26-4fed-85ac-5447e07901d2","block_type":"box","text":"standard directorship. We will take local norms and practices into consideration when making our voting","page_number":194,"box":{"x":69,"y":558,"width":741,"height":11}},{"id":"3a6bfdb3-7d01-4b65-b7ee-a6cd942e9cb6","block_type":"box","text":"determinations across markets.","page_number":194,"box":{"x":69,"y":573,"width":226,"height":9}},{"id":"d1cb2502-8ba4-473a-9a2c-7ebeff39ae69","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":194,"box":{"x":101,"y":592,"width":776,"height":11}},{"id":"eb2c1d94-e289-43b6-ad54-31f6fc161a47","block_type":"box","text":"their duties to the board and company.","page_number":194,"box":{"x":68,"y":607,"width":275,"height":11}},{"id":"6b15b0c6-8520-4626-9195-f3c83aa48e6b","block_type":"box","text":"Director elections","page_number":194,"box":{"x":70,"y":629,"width":124,"height":9}},{"id":"5ab55208-4807-4fae-b175-13b29e5e13eb","block_type":"box","text":"Regular election of directors, ideally annually, suppor ts director accountability to shareholders. A classified board","page_number":194,"box":{"x":102,"y":647,"width":805,"height":12}},{"id":"b34381cb-3875-4d10-8bc8-5728c14c914e","block_type":"box","text":"structure","page_number":194,"box":{"x":69,"y":663,"width":63,"height":8}},{"id":"10191030-cdd8-485e-8484-2b210f93a5fd","block_type":"box","text":"8","page_number":194,"box":{"x":133,"y":663,"width":4,"height":4}},{"id":"2324b51b-6a7b-4627-89e2-d36ec70298ca","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":194,"box":{"x":144,"y":662,"width":761,"height":12}},{"id":"330058a1-af99-4bc2-ba0d-1887f3036d98","block_type":"box","text":"basis of its business model (","page_number":194,"box":{"x":69,"y":677,"width":206,"height":11}},{"id":"5a84c1ed-abe8-4946-b6de-8b3b6fc52b99","block_type":"box","text":"e.g.","page_number":194,"box":{"x":277,"y":679,"width":24,"height":10}},{"id":"e4c1b800-7300-4ca3-a783-736a6d187746","block_type":"box","text":", a non-operating company such as closed-end funds).","page_number":194,"box":{"x":304,"y":677,"width":382,"height":12}},{"id":"9710bc5c-d84f-48b3-9d9e-2ce5b8971082","block_type":"box","text":"Shareholders should have the oppor tunity to evaluate nominated directors individually rather than in bundled","page_number":194,"box":{"x":102,"y":696,"width":774,"height":11}},{"id":"fca39bdd-aa29-42a1-bbd5-0f5459f592de","block_type":"box","text":"slates. We look to companies to provide sufficient information on each director standing for election so that","page_number":194,"box":{"x":69,"y":711,"width":770,"height":11}},{"id":"739d5983-d2d5-4617-95e7-75dbce7d1db1","block_type":"box","text":"shareholders can assess their capabilities and suitability. We will generally not suppor t the election of directors","page_number":194,"box":{"x":69,"y":726,"width":794,"height":11}},{"id":"e8c09ae6-14e2-48ff-ac0a-d0666bb24210","block_type":"box","text":"whose names and biographical details have not been disclosed sufficiently in advance of the shareholder meeting.","page_number":194,"box":{"x":68,"y":740,"width":818,"height":12}},{"id":"d31fd0f2-12bd-4f24-b73a-d3d3d962d894","block_type":"box","text":"Each director’s appointment should be dependent on receiving a simple majority of the votes cast at the","page_number":194,"box":{"x":102,"y":759,"width":743,"height":11}},{"id":"6a9ef812-8a30-4ad1-9015-b053bb273d58","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":194,"box":{"x":69,"y":774,"width":823,"height":11}},{"id":"b1b9bc90-0c5a-4f3a-a841-3913700a3d44","block_type":"box","text":"to how its approach best serves investors’ interests.","page_number":194,"box":{"x":68,"y":789,"width":377,"height":11}},{"id":"bf32f33a-b54b-432c-b623-fc6e3e86a1d9","block_type":"box","text":"We may vote for shareholder or management proposals seeking to establish annual election of directors and/or","page_number":194,"box":{"x":101,"y":807,"width":798,"height":12}},{"id":"03c7a8c1-bbb5-4b4e-bc39-e2e02ac6947f","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":194,"box":{"x":69,"y":822,"width":822,"height":12}},{"id":"2ebc72ab-b0e4-4b51-8d14-2896bc5f903a","block_type":"box","text":"par t of a single slate if we have concerns about the profile or per formance of an individual director.","page_number":194,"box":{"x":70,"y":837,"width":706,"height":12}},{"id":"cfe9d42e-56cf-4536-a9c5-d81b48869621","block_type":"box","text":"8","page_number":194,"box":{"x":69,"y":867,"width":4,"height":4}},{"id":"6418574e-5a0f-4d78-bec6-114865c0933d","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":194,"box":{"x":78,"y":866,"width":818,"height":12}},{"id":"9ffb2906-d732-485d-b0af-eb03aefe00ee","block_type":"box","text":"directors stands for election in any one year.","page_number":194,"box":{"x":69,"y":882,"width":315,"height":11}},{"id":"ad05c33b-2d13-448f-9633-fbd6c2f6ff99","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":194,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"8eadb108-6ba1-4576-a930-a5a9c0903249","block_type":"box","text":"Global Engagement and Voting Guidelines | 7","page_number":194,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"bac933fd-7e0d-4543-80f5-93ed5e643976","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":194,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"977171a5-ba2d-44ca-b873-a0b176a67357","block_type":"box","text":"Committees","page_number":195,"box":{"x":70,"y":45,"width":84,"height":9}},{"id":"93c39be0-a337-4457-8925-c3720f701a46","block_type":"box","text":"Many boards establish committees to focus on specific responsibilities of the board such as audit and risk,","page_number":195,"box":{"x":102,"y":63,"width":766,"height":11}},{"id":"fe92effb-092f-4aa3-863d-d745a4a99466","block_type":"box","text":"governance and human capital, and executive compensation, amongst other matters. We do not prescribe to","page_number":195,"box":{"x":68,"y":78,"width":776,"height":11}},{"id":"c1ac2cf8-8fde-4735-9257-ebfd7be7a2bb","block_type":"box","text":"companies what committees they should establish, but we seek to understand the board’s rationale for the","page_number":195,"box":{"x":69,"y":93,"width":766,"height":11}},{"id":"8175e8a2-eb6e-4944-a768-ce3a721f167a","block_type":"box","text":"committee structure it determines is appropriate. We note that, in some markets, regulation requires such","page_number":195,"box":{"x":69,"y":108,"width":759,"height":11}},{"id":"d0be01c4-a897-4e7a-a553-4f54699f6ca6","block_type":"box","text":"committees. The responsibilities of each committee should be clear, and the board should ensure that all critical","page_number":195,"box":{"x":69,"y":123,"width":804,"height":11}},{"id":"41deaa9a-564b-4e73-905b-d9ff5c70a58d","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":195,"box":{"x":69,"y":138,"width":837,"height":11}},{"id":"a8f495af-2075-4a6a-959f-7047e01fb483","block_type":"box","text":"the board discloses the structure, membership, propor tion of independent directors, and responsibilities of each","page_number":195,"box":{"x":68,"y":152,"width":806,"height":11}},{"id":"5a0db65b-038d-4833-9769-d733b6d846fc","block_type":"box","text":"committee. The responsibilities we typically see assigned to the three most common committees include:","page_number":195,"box":{"x":69,"y":168,"width":752,"height":11}},{"id":"5aaf282b-bcef-4736-9a77-bc8c01200ea7","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":188,"width":6,"height":4}},{"id":"e2fb1c44-588c-48d6-b12a-eaf29d80a654","block_type":"box","text":"Audit and risk – oversight responsibilities for the integrity of financial repor ting, risk management and","page_number":195,"box":{"x":101,"y":185,"width":722,"height":11}},{"id":"aabf3db3-32de-4576-9d5d-7cceecd6a7ca","block_type":"box","text":"compliance with legal and regulatory requirements; may also play an oversight role in relation to the internal","page_number":195,"box":{"x":101,"y":200,"width":771,"height":11}},{"id":"c5b613a0-29c7-444c-b631-7c3fa1566cda","block_type":"box","text":"audit function and whistleblowing mechanisms.","page_number":195,"box":{"x":102,"y":214,"width":335,"height":12}},{"id":"ed81b5f9-37c8-4e28-a32e-9abcde6e2d5b","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":235,"width":6,"height":4}},{"id":"efb960b1-0286-4eff-b0f4-f8d5a60fa7db","block_type":"box","text":"Nominating, governance and human capital – oversight responsibilities for corporate governance principles and","page_number":195,"box":{"x":102,"y":232,"width":790,"height":11}},{"id":"d250329c-eade-4c0b-a9be-86811f5bc188","block_type":"box","text":"practices of the company, including the periodic review of board per formance; responsibility for succession","page_number":195,"box":{"x":102,"y":247,"width":761,"height":11}},{"id":"beef0557-25ed-422a-8579-976d6e8348d1","block_type":"box","text":"planning for CEO and key board roles, as well as the director appointment process; may also have oversight","page_number":195,"box":{"x":102,"y":262,"width":769,"height":11}},{"id":"15e545fc-aaea-48a9-82bb-f952adec2a9f","block_type":"box","text":"responsibilities for human capital management strategies, including corporate culture and purpose.","page_number":195,"box":{"x":102,"y":276,"width":707,"height":12}},{"id":"ccaf8045-92a4-4a57-b09f-92e5519ea02e","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":297,"width":6,"height":4}},{"id":"6278d9de-f4af-40fe-9ec5-f677a33cd65b","block_type":"box","text":"Executive compensation – determines the compensation policies and programs for the CEO and other executive","page_number":195,"box":{"x":102,"y":294,"width":796,"height":11}},{"id":"9908006e-6129-460d-a8d6-99113e1e3ae4","block_type":"box","text":"officers, approves annual awards and payments under the policies; may also have oversight responsibilities for","page_number":195,"box":{"x":102,"y":309,"width":793,"height":11}},{"id":"73ec6c0c-c4a2-4782-b111-e620e39b70e6","block_type":"box","text":"firm-wide compensation policies.","page_number":195,"box":{"x":101,"y":323,"width":232,"height":11}},{"id":"4b1ba8e3-e8c0-4057-bde5-66e3354c2c14","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":195,"box":{"x":101,"y":342,"width":807,"height":11}},{"id":"d8d53753-ddcb-4a43-9ec8-388b45a94346","block_type":"box","text":"to convey concerns about how a committee has under taken its responsibilities. We may vote against the election of","page_number":195,"box":{"x":68,"y":357,"width":828,"height":11}},{"id":"e5478c19-ac71-41eb-b6b0-1a50d638a1d9","block_type":"box","text":"the most senior non-executive director if there is not a clearly disclosed approach to board committees.","page_number":195,"box":{"x":68,"y":372,"width":738,"height":11}},{"id":"79fa6a60-b27b-46e7-8343-91f321fe4309","block_type":"box","text":"Board and director evaluation","page_number":195,"box":{"x":70,"y":395,"width":209,"height":8}},{"id":"3a991517-7bcd-469d-a808-ffd79f55deee","block_type":"box","text":"We consider it best practice for companies to conduct an annual review of the per formance of the board, the","page_number":195,"box":{"x":101,"y":413,"width":776,"height":11}},{"id":"35a95005-7ab7-4c6b-815b-3bf5f5722e43","block_type":"box","text":"committees, the chair and individual directors. Periodically, this review could be under taken by an independent third","page_number":195,"box":{"x":69,"y":428,"width":825,"height":11}},{"id":"5602b8fd-7f8e-469b-9aa1-6da3b178c37c","block_type":"box","text":"par ty able to bring objective perspectives to the board on governance and per formance. We encourage companies to","page_number":195,"box":{"x":70,"y":443,"width":831,"height":11}},{"id":"66f1156a-6217-4f09-abba-bd06fa254774","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":195,"box":{"x":69,"y":458,"width":835,"height":11}},{"id":"30379239-3cc6-40bb-89ec-d8c1bf8c861a","block_type":"box","text":"a result.","page_number":195,"box":{"x":69,"y":473,"width":57,"height":8}},{"id":"d171f06b-2ede-4016-91d8-3e8fc594f4b0","block_type":"box","text":"Access to independent advice","page_number":195,"box":{"x":68,"y":495,"width":214,"height":11}},{"id":"dd56c668-3045-4a21-a63f-0e3680c75cf0","block_type":"box","text":"To suppor t the directors in effectively fulfilling their duties to the company and shareholders, they should have","page_number":195,"box":{"x":101,"y":513,"width":786,"height":12}},{"id":"c56785e3-a44f-4254-b70c-822ebce1fd92","block_type":"box","text":"access to independent advice. In cer tain circumstances, it may be helpful to boards to retain independent third","page_number":195,"box":{"x":69,"y":528,"width":793,"height":11}},{"id":"7650c1d2-b814-4b5e-bcac-863f120e8202","block_type":"box","text":"par ties to advise on critical matters. These might include new industry developments such as emergent and","page_number":195,"box":{"x":70,"y":543,"width":770,"height":11}},{"id":"c840272c-f5cf-497c-ae75-cb245ee13ed5","block_type":"box","text":"disruptive technology, operating events with material consequences for the company’s reputation and/or","page_number":195,"box":{"x":69,"y":558,"width":746,"height":11}},{"id":"9684a5fb-b636-4477-992e-4308ce022d1e","block_type":"box","text":"per formance, or significant transactions. Board committees may similarly retain third par ties to advise them on","page_number":195,"box":{"x":70,"y":573,"width":793,"height":11}},{"id":"4a53c884-c7b0-4d02-b89f-f9f655e66158","block_type":"box","text":"specialist matters such as audit, compensation and succession planning.","page_number":195,"box":{"x":69,"y":588,"width":524,"height":11}},{"id":"00425dfd-725f-4f7b-802a-dc5c365bd947","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":195,"box":{"x":385,"y":618,"width":207,"height":9}},{"id":"e2807424-d8e1-4bd0-ab00-795e3f8769af","block_type":"box","text":"Boards play an impor tant role in establishing compensation arrangements that enable the company to recruit,","page_number":195,"box":{"x":102,"y":637,"width":784,"height":11}},{"id":"addb6da6-0e69-4e3b-ad0a-b107d6881a7f","block_type":"box","text":"retain and reward the caliber of executive management necessary to lead and operate the company to deliver","page_number":195,"box":{"x":69,"y":652,"width":782,"height":11}},{"id":"402a006d-7be6-4065-9bd8-c0a500fb4c84","block_type":"box","text":"superior financial returns over time. We focus on alignment between variable pay and a company’s financial","page_number":195,"box":{"x":69,"y":666,"width":766,"height":12}},{"id":"36b98778-2da0-4c39-997d-2a2e9e9adc6a","block_type":"box","text":"per formance.","page_number":195,"box":{"x":70,"y":681,"width":93,"height":11}},{"id":"1076b5fe-f14f-48d2-9acb-ab5cae42a3c8","block_type":"box","text":"Generally, executive compensation arrangements have four components: base salary, annual bonus that rewards","page_number":195,"box":{"x":102,"y":700,"width":805,"height":11}},{"id":"e9dfe144-5ef0-4dc0-a128-f6c22ae5df90","block_type":"box","text":"per formance against shor t-term metrics, incentives – most often share-based that reward per formance against long","page_number":195,"box":{"x":70,"y":715,"width":831,"height":11}},{"id":"0c47eb7f-1905-463a-8f5a-86bd471f4b3e","block_type":"box","text":"term metrics, and pensions and benefits. In our observation, base salary, pensions and benefits are largely set","page_number":195,"box":{"x":68,"y":730,"width":798,"height":11}},{"id":"68f8ae68-48e4-462c-aaec-28f2a3084f07","block_type":"box","text":"relative to market norms and benchmarks. The annual bonus and share-based incentive, or variable pay plans, tend","page_number":195,"box":{"x":69,"y":745,"width":824,"height":11}},{"id":"afa9ad72-68be-42ff-8219-4c35accc918b","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":195,"box":{"x":68,"y":760,"width":807,"height":11}},{"id":"364c142d-8b14-401a-9288-12a1ecc914df","block_type":"box","text":"recruit and motivate.","page_number":195,"box":{"x":69,"y":774,"width":146,"height":9}},{"id":"bf666c6f-3e26-41c5-98d1-49518ec79d8a","block_type":"box","text":"Recognizing the unique circumstances of each company, we determine whether to suppor t a company’s","page_number":195,"box":{"x":102,"y":793,"width":739,"height":11}},{"id":"05f0bc76-1377-47e8-a5bf-ef78d9c822f7","block_type":"box","text":"approach to executive compensation on a case-by-case basis. We rely on companies providing sufficient quantitative","page_number":195,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"0adb26f1-0f0d-4793-a5f8-10b6958e26f3","block_type":"box","text":"and qualitative information in their disclosures to enable shareholders to understand the compensation","page_number":195,"box":{"x":69,"y":823,"width":737,"height":11}},{"id":"943caac4-a294-4971-b28d-5964598e0b9f","block_type":"box","text":"arrangements and assess the alignment with investors’ interests. Features we look for in compensation","page_number":195,"box":{"x":69,"y":837,"width":741,"height":12}},{"id":"e9a5d619-86b8-4b15-bbf2-37a28e99570b","block_type":"box","text":"arrangements include:","page_number":195,"box":{"x":69,"y":853,"width":157,"height":11}},{"id":"610919ef-b96a-4a63-b392-cead1c2baffa","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":873,"width":6,"height":4}},{"id":"9bdae525-c444-4d36-93a2-9144489d71f8","block_type":"box","text":"Fixed pay components, including base salary, benefits and prerequisites that are appropriate in the context of","page_number":195,"box":{"x":102,"y":870,"width":783,"height":11}},{"id":"d0764d67-6ee5-40f1-bf16-35ed6d9e6de5","block_type":"box","text":"the company’s size, sector and market.","page_number":195,"box":{"x":101,"y":885,"width":280,"height":11}},{"id":"fe090c1d-f4ed-412d-97bc-58cd643f2263","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":195,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"0090dea3-e844-408b-a7c0-ad8463e61830","block_type":"box","text":"Global Engagement and Voting Guidelines | 8","page_number":195,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"b783f220-88f7-4fc7-8599-af53def5c889","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":195,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"dbf7c91c-1b59-4874-93f8-256be7afe79f","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"0e2939a9-1fbc-4cd3-b893-37d5ce13b975","block_type":"box","text":"Variable pay subject to per formance metrics that are closely linked to the company’s shor t- and long-term","page_number":196,"box":{"x":101,"y":45,"width":752,"height":11}},{"id":"8e0eed26-4eeb-4a2b-9610-dc8270f887aa","block_type":"box","text":"strategic objectives.","page_number":196,"box":{"x":102,"y":60,"width":140,"height":11}},{"id":"3036c486-de58-4719-98f9-d796085b9f3c","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":80,"width":6,"height":4}},{"id":"60e2b354-1d3c-4991-8611-c2fc40822c81","block_type":"box","text":"Long-term incentives that motivate sustained per formance across a multi-year period.","page_number":196,"box":{"x":102,"y":77,"width":609,"height":11}},{"id":"efe06658-6ba4-4b77-ac3b-031006e74f3a","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":97,"width":6,"height":5}},{"id":"2faa5c87-2955-4726-a4ce-1c232eaeadc2","block_type":"box","text":"A balance between fixed and variable pay, shor t- and long-term incentives, and specific instruments (cash and","page_number":196,"box":{"x":101,"y":94,"width":784,"height":12}},{"id":"c29f0d13-686f-4445-b536-3aa15fcfa634","block_type":"box","text":"equity awards) that promotes pay program durability and seldom necessitates one-off, discretionary payments.","page_number":196,"box":{"x":101,"y":109,"width":790,"height":11}},{"id":"33eca339-e617-45e2-ac03-117eeee7f104","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":129,"width":6,"height":5}},{"id":"720e9ddc-b2dd-453e-a2db-8c7d4eed6ae5","block_type":"box","text":"Pay outcomes that are consistent with the returns to investors over the relevant time period.","page_number":196,"box":{"x":102,"y":127,"width":658,"height":11}},{"id":"55352ee1-497c-4138-952f-f19191c89e11","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":147,"width":6,"height":4}},{"id":"817c01a1-dc12-47ce-b671-fe1b7c1b4fc4","block_type":"box","text":"Board discretion, if allowed within the variable pay arrangements, to be used sparingly, responsibly and","page_number":196,"box":{"x":102,"y":144,"width":735,"height":11}},{"id":"acae54e7-eec7-4a4a-856e-b5b49706f031","block_type":"box","text":"transparently.","page_number":196,"box":{"x":101,"y":159,"width":95,"height":11}},{"id":"74e76fae-31e8-4b13-ace2-b9471b8bdbac","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":179,"width":6,"height":5}},{"id":"aa931624-f37e-4f6b-a271-6cba08d51e53","block_type":"box","text":"A requirement, that par ticipants in long-term share-based incentive plans build a meaningful shareholding in the","page_number":196,"box":{"x":101,"y":176,"width":798,"height":11}},{"id":"aa68147b-7e88-4701-869b-12b97eee5ef4","block_type":"box","text":"company within a defined time period, as determined by the board or relevant board committee.","page_number":196,"box":{"x":101,"y":191,"width":683,"height":11}},{"id":"70bbc82a-6930-473a-b84d-ae0fe10f5ca5","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":211,"width":6,"height":5}},{"id":"cba2033e-2ef1-46db-acdf-7576de9707bf","block_type":"box","text":"Change of control provisions that appropriately balance the interests of executives and shareholders.","page_number":196,"box":{"x":102,"y":208,"width":720,"height":12}},{"id":"3def7ab6-bc75-419a-af41-18848bd95ba8","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":229,"width":6,"height":4}},{"id":"5f5af536-4ee7-4367-a9d2-fcda587164f9","block_type":"box","text":"Clawback or malus provisions that allow the company to recoup or hold back variable compensation from","page_number":196,"box":{"x":102,"y":226,"width":747,"height":11}},{"id":"c3968fb9-f580-4af2-9ec9-bf3df6697058","block_type":"box","text":"individuals whose awards were based on fraudulent activities, misstated financial repor ts, or executive","page_number":196,"box":{"x":102,"y":241,"width":733,"height":11}},{"id":"568f911b-b295-4247-a7e3-ec6a6467a25b","block_type":"box","text":"misconduct.","page_number":196,"box":{"x":102,"y":256,"width":84,"height":8}},{"id":"ec5a0e01-0021-49f6-90c8-c7ec2e74a122","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":276,"width":6,"height":4}},{"id":"c60787f5-e983-4f35-98c9-bf14a0a1cba0","block_type":"box","text":"Severance arrangements that protect the company’s interests but do not cost more than is contractual.","page_number":196,"box":{"x":102,"y":273,"width":738,"height":11}},{"id":"a1f0c77d-ada1-4b87-afa2-3141f0fb7349","block_type":"box","text":"We may vote against proposals to introduce new share-based incentives, approve existing policies or plans, or","page_number":196,"box":{"x":101,"y":292,"width":787,"height":11}},{"id":"4cbff527-68bb-418b-9726-3c0b947efa55","block_type":"box","text":"approve the compensation repor t where we do not see alignment between executive compensation arrangements","page_number":196,"box":{"x":69,"y":307,"width":810,"height":11}},{"id":"d381969e-be20-4f7b-be8d-99ae5e3f9558","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":196,"box":{"x":69,"y":321,"width":831,"height":11}},{"id":"ae1a386f-04db-4dc6-997f-4d882d33418c","block_type":"box","text":"compensation misaligned with per formance, we may vote against the election of the chair of the responsible","page_number":196,"box":{"x":69,"y":336,"width":775,"height":11}},{"id":"ebc7e704-504b-41d9-8486-73bf16292390","block_type":"box","text":"committee, or the most senior independent director.","page_number":196,"box":{"x":69,"y":351,"width":371,"height":11}},{"id":"16aba4c4-1325-4124-9ee0-bdb8b8bdd2f3","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":196,"box":{"x":326,"y":381,"width":325,"height":9}},{"id":"f1ddb023-eb63-40c7-9073-7514e327b183","block_type":"box","text":"Companies generally pay non-executive directors an annual retainer or fee in cash, shares or a combination of","page_number":196,"box":{"x":102,"y":400,"width":785,"height":11}},{"id":"831cb4ab-8f1c-4c2a-864c-d8249414f44a","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":196,"box":{"x":68,"y":415,"width":831,"height":11}},{"id":"cb9ee34b-00e3-440d-8e1f-5b68cbdca60e","block_type":"box","text":"do not suppor t non-executive directors par ticipating in per formance-based incentive plans as doing so may create a","page_number":196,"box":{"x":69,"y":430,"width":825,"height":11}},{"id":"f7f77ac7-21a4-40f2-b0a6-cb70158b7b11","block_type":"box","text":"conflict of interest and undermine their independence from management, whom they oversee.","page_number":196,"box":{"x":69,"y":444,"width":668,"height":12}},{"id":"273e06ad-fa67-445c-ab19-648919ab395a","block_type":"box","text":"CAPITAL STRUCTURE","page_number":196,"box":{"x":411,"y":475,"width":156,"height":8}},{"id":"088b6025-af1a-4271-93f6-eba16cd708c7","block_type":"box","text":"Boards are responsible for ensuring senior executive leadership has established a capital strategy that achieves","page_number":196,"box":{"x":102,"y":493,"width":800,"height":12}},{"id":"8ebbc775-bce7-425b-9c9c-b238e4981c09","block_type":"box","text":"appropriate capital allocation in suppor t of long-term financial resilience.","page_number":196,"box":{"x":69,"y":508,"width":516,"height":11}},{"id":"0e90306a-e434-4113-97d1-32f4e4f8d298","block_type":"box","text":"Where company practices diverge from those set out below, we look for companies to disclose why they view","page_number":196,"box":{"x":101,"y":527,"width":776,"height":11}},{"id":"a2f91c7e-b400-4bb7-a1ff-879d670ff1af","block_type":"box","text":"these practices to be aligned with shareholders’ interests. We may vote against management proposals seeking","page_number":196,"box":{"x":68,"y":542,"width":803,"height":11}},{"id":"e5316b66-5c6e-48f0-a750-1da8771b8ddc","block_type":"box","text":"capital-related authorities, or the election of the most senior independent director, if we have concerns about a","page_number":196,"box":{"x":69,"y":557,"width":790,"height":11}},{"id":"39ad5882-9d72-48e9-b712-458f6af7f67c","block_type":"box","text":"company’s approach. We may also suppor t a shareholder proposal seeking conversion of shares with differentiated","page_number":196,"box":{"x":69,"y":571,"width":825,"height":12}},{"id":"be5af239-1cdd-4b80-b6c3-56caf58a4573","block_type":"box","text":"voting rights to a one-share, one-vote standard.","page_number":196,"box":{"x":68,"y":587,"width":336,"height":11}},{"id":"f4a88f98-8f91-4965-9142-5c51b68297f3","block_type":"box","text":"Share issuance","page_number":196,"box":{"x":68,"y":609,"width":111,"height":9}},{"id":"c80d8443-cbce-4974-8167-dd3e6da461e2","block_type":"box","text":"We assess requests for share issuance for par ticular transactions on a case-by-case basis. We will generally","page_number":196,"box":{"x":101,"y":627,"width":776,"height":12}},{"id":"c98f4aab-a27b-415d-8653-e136476c15fd","block_type":"box","text":"suppor t authorities to issue shares when subject to pre-emptive rights, and up to 20% absent pre-emptive rights. We","page_number":196,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"9c539f14-e61e-4501-9105-a2da09fbe9f5","block_type":"box","text":"consider it good practice for companies to seek regular approval of these authorities to allow shareholders to take","page_number":196,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"6617acb8-2309-4037-855e-547d7ee36f59","block_type":"box","text":"into consideration how prior authorities were used, as well as the current circumstances of the company and the","page_number":196,"box":{"x":70,"y":672,"width":802,"height":11}},{"id":"ea0cddff-f488-4463-ac8a-6e56122b8df0","block_type":"box","text":"market environment.","page_number":196,"box":{"x":69,"y":687,"width":145,"height":9}},{"id":"ec4c1b23-6182-45fa-ba7c-728788db8ccc","block_type":"box","text":"Share buybacks","page_number":196,"box":{"x":68,"y":709,"width":116,"height":11}},{"id":"1e6a5524-3f79-419e-852e-3030255949b7","block_type":"box","text":"We assess share buyback proposals in the context of the company’s disclosed capital management strategy and","page_number":196,"box":{"x":101,"y":728,"width":806,"height":11}},{"id":"6d61fedf-865a-4ec5-a0e1-fd59c9f88a77","block_type":"box","text":"management’s determination of the appropriate balance between investment that suppor ts the long-term growth of","page_number":196,"box":{"x":69,"y":743,"width":823,"height":11}},{"id":"3a8428b8-9fcc-4988-b6fd-e5a3501ca37d","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":196,"box":{"x":68,"y":758,"width":836,"height":11}},{"id":"f347486e-372b-492d-b3c6-c0cef9480092","block_type":"box","text":"company’s balance sheet and executive compensation arrangements and the price at which shares are repurchased","page_number":196,"box":{"x":69,"y":773,"width":830,"height":11}},{"id":"4e727f84-c9bf-4880-95ca-b4a38dc91ff2","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":196,"box":{"x":69,"y":787,"width":822,"height":12}},{"id":"cc89f100-35a3-443a-a7c9-2e44bdedcfaa","block_type":"box","text":"allow shareholders to take into consideration how prior authorities were used, as well as the current circumstances","page_number":196,"box":{"x":69,"y":802,"width":823,"height":11}},{"id":"70c74cb5-b046-47fa-9168-91e5e69c4e46","block_type":"box","text":"of the company and the market environment.","page_number":196,"box":{"x":69,"y":817,"width":319,"height":11}},{"id":"beb01942-61ac-4b23-8312-a0ca759374af","block_type":"box","text":"Dividends","page_number":196,"box":{"x":69,"y":840,"width":69,"height":8}},{"id":"720853d9-754f-47e4-b87b-403206c7261e","block_type":"box","text":"We generally defer to management and the board on dividend policy but may engage to seek fur ther clarification","page_number":196,"box":{"x":101,"y":858,"width":799,"height":11}},{"id":"27bc1b6b-e025-4aab-8fae-c695ee430533","block_type":"box","text":"where a proposed dividend appears out of line with the company’s financial position.","page_number":196,"box":{"x":68,"y":873,"width":604,"height":11}},{"id":"3fc1a077-63de-4441-8f87-59a097d6646f","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":196,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"e763809e-185c-4db1-8825-74eb8d817e74","block_type":"box","text":"Global Engagement and Voting Guidelines | 9","page_number":196,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"1f0e3e7b-d181-41c6-9574-1a2b1739e6aa","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":196,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c8cb5d93-0676-42e5-b2cd-5ffb4cf21e1f","block_type":"box","text":"Differentiated voting rights","page_number":197,"box":{"x":69,"y":45,"width":196,"height":11}},{"id":"4a4f69a4-ae38-4976-81b4-0ea9f2617106","block_type":"box","text":"We prefer companies to adopt a one-share, one-vote structure for share classes with the same economic","page_number":197,"box":{"x":101,"y":63,"width":750,"height":11}},{"id":"db92faef-6128-457c-a023-eae7ac0a63de","block_type":"box","text":"exposure. Cer tain companies, par ticularly those new to public markets, could make the case to adopt a","page_number":197,"box":{"x":69,"y":78,"width":740,"height":11}},{"id":"e6c75f61-1277-4071-a174-577e38d94d3b","block_type":"box","text":"differentiated voting rights structure, or dual class stock. In those situations, we encourage companies to evaluate","page_number":197,"box":{"x":69,"y":93,"width":819,"height":11}},{"id":"ac912366-bb31-439a-ae16-b19277544c99","block_type":"box","text":"and seek approval for their capital structure on a periodic basis.","page_number":197,"box":{"x":69,"y":108,"width":456,"height":11}},{"id":"de09034a-21d9-4e52-9f1a-236ca330b9e9","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":197,"box":{"x":332,"y":138,"width":314,"height":9}},{"id":"28a149b6-8586-4c08-b13b-68b4d0c485ad","block_type":"box","text":"We monitor developments in transactions and special situations closely and under take our own detailed","page_number":197,"box":{"x":101,"y":157,"width":743,"height":11}},{"id":"aafe005b-400b-4c79-bd23-c6a94438824a","block_type":"box","text":"analyses of proposals.","page_number":197,"box":{"x":69,"y":172,"width":159,"height":11}},{"id":"ce51a5ba-2833-4cec-a90f-d21f4ee7f41f","block_type":"box","text":"Mergers and acquisitions","page_number":197,"box":{"x":69,"y":194,"width":184,"height":11}},{"id":"9ecaf842-6a32-40a2-a85a-5e50937d67e6","block_type":"box","text":"We evaluate proposed mergers or acquisitions by assessing the financial outcome for our clients as minority","page_number":197,"box":{"x":101,"y":213,"width":775,"height":11}},{"id":"9a99756a-30b7-460f-a5a0-f2d5c8f5900f","block_type":"box","text":"shareholders. Management should provide an assessment of the proposed transaction’s strategic and financial","page_number":197,"box":{"x":69,"y":228,"width":797,"height":11}},{"id":"80ca9f85-b28b-4dc7-ba41-0bcfa8409e62","block_type":"box","text":"rationale, along with its execution and operational risks. We review each transaction independently based on these","page_number":197,"box":{"x":69,"y":243,"width":819,"height":11}},{"id":"d1185866-b623-4696-9746-8bade7cf56c8","block_type":"box","text":"factors and the degree to which the transaction enhances shareholder value. The board might consider establishing","page_number":197,"box":{"x":68,"y":257,"width":827,"height":12}},{"id":"5a27a28e-2e57-4e03-ab44-4e5c23b3c9eb","block_type":"box","text":"an ad hoc transaction committee to under take an independent assessment of a significant merger or acquisition, in","page_number":197,"box":{"x":69,"y":272,"width":827,"height":11}},{"id":"c13a4286-6181-45e1-bef5-a1d55b1dad89","block_type":"box","text":"advance of making its recommendation to shareholders.","page_number":197,"box":{"x":69,"y":287,"width":400,"height":11}},{"id":"78ff4fc0-5c37-4908-8642-fe5952034432","block_type":"box","text":"We will vote against transactions that, in our assessment, do not advance our clients’ financial interests.","page_number":197,"box":{"x":101,"y":306,"width":749,"height":11}},{"id":"70aff114-885f-496b-9837-1bfe2cf59e9c","block_type":"box","text":"Anti-takeover defenses","page_number":197,"box":{"x":68,"y":328,"width":167,"height":9}},{"id":"f1148d37-b023-4009-b28f-135b1f15ee74","block_type":"box","text":"In principle, we do not suppor t companies using anti-takeover defenses, also known as poison pills or","page_number":197,"box":{"x":102,"y":347,"width":727,"height":11}},{"id":"4c136a57-0e12-449e-b383-4518b6b8f663","block_type":"box","text":"shareholder rights plans, as they can entrench management and boards which have not delivered long-term","page_number":197,"box":{"x":69,"y":362,"width":766,"height":11}},{"id":"261c390d-fe73-4fa1-87dd-29ff54e6517a","block_type":"box","text":"shareholder value. By exception, a poison pill may be suppor ted if its purpose is to delay a takeover that is","page_number":197,"box":{"x":69,"y":376,"width":763,"height":12}},{"id":"0842ed89-b44a-4b24-a093-dd3efd7982a9","block_type":"box","text":"considered sub-optimal and enable management to seek an improved offer. Similarly, management could make the","page_number":197,"box":{"x":69,"y":391,"width":821,"height":12}},{"id":"d15bbdbb-06cf-4a95-91a2-1af64da1b31f","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":197,"box":{"x":69,"y":406,"width":799,"height":11}},{"id":"145aca1f-6dbf-4cc1-a522-384479a60f14","block_type":"box","text":"investors. Defense mechanisms introduced in these circumstances should be limited in term and threshold, and also","page_number":197,"box":{"x":70,"y":421,"width":836,"height":11}},{"id":"ade32767-95ec-49fe-ac73-db3184566359","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":197,"box":{"x":69,"y":436,"width":835,"height":11}},{"id":"1c90cfa0-031c-476c-a18f-c4b05c2b9296","block_type":"box","text":"a shareholder vote any mechanisms expected to be in place for more than 12 months.","page_number":197,"box":{"x":69,"y":451,"width":616,"height":11}},{"id":"df5cdbc5-28b0-4586-a1c1-9bd887947236","block_type":"box","text":"Shareholder activism","page_number":197,"box":{"x":68,"y":473,"width":153,"height":9}},{"id":"109ede3f-cd79-4548-aef4-bd4d0f2fafa9","block_type":"box","text":"When companies are the focus of an activism campaign, we may communicate with the activist to understand","page_number":197,"box":{"x":101,"y":492,"width":783,"height":11}},{"id":"2c35762b-15ee-4624-8d1d-f37273e081bd","block_type":"box","text":"their analysis and objectives, once they have publicly disclosed their campaign. We may also engage with company","page_number":197,"box":{"x":68,"y":507,"width":819,"height":11}},{"id":"bfccf8ce-2b88-429c-b040-91c96244b06b","block_type":"box","text":"management and possibly board members, especially those the activist may be seeking to replace. In our","page_number":197,"box":{"x":69,"y":522,"width":755,"height":11}},{"id":"b431c2d9-5cf1-4273-a4e5-4be9f67d8896","block_type":"box","text":"assessment, we evaluate various factors, including the concerns raised by the activist and the case for change; the","page_number":197,"box":{"x":69,"y":536,"width":824,"height":12}},{"id":"3330d7fc-5814-451b-b797-d207861e07c0","block_type":"box","text":"quality of both the activist’s and management’s plans; and the qualifications of each par ty’s candidates. We evaluate","page_number":197,"box":{"x":69,"y":551,"width":839,"height":12}},{"id":"31166e33-b53c-40e3-8f89-3f579ded0416","block_type":"box","text":"each contested situation by assessing the potential financial outcome for our clients as minority shareholders.","page_number":197,"box":{"x":69,"y":566,"width":788,"height":11}},{"id":"7a5c5f26-65f5-4032-9c7b-dc68e24a304a","block_type":"box","text":"We may suppor t board candidates nominated by a shareholder activist if BAIS, in its independent judgment, or","page_number":197,"box":{"x":101,"y":585,"width":789,"height":11}},{"id":"88826baa-ceef-4956-b932-0bf9e49f99a8","block_type":"box","text":"the relevant por tfolio manager has determined that there is a case for change to enhance shareholder value, or if the","page_number":197,"box":{"x":68,"y":600,"width":839,"height":11}},{"id":"028c8c1b-4d74-4034-bca8-60078d3ad9d3","block_type":"box","text":"incumbent board members do not demonstrate the relevant skills and exper tise or have a poor track record of","page_number":197,"box":{"x":70,"y":614,"width":786,"height":11}},{"id":"10679f2b-b0a7-4011-8d79-b0b989b417ad","block_type":"box","text":"protecting shareholders’ interests.","page_number":197,"box":{"x":70,"y":630,"width":244,"height":11}},{"id":"9944bcb5-0b5b-428d-9d4b-0f987aadd52c","block_type":"box","text":"Significant shareholders and related party transactions","page_number":197,"box":{"x":68,"y":652,"width":403,"height":11}},{"id":"59daec38-2ace-444e-bac6-a8d5e2e55858","block_type":"box","text":"Boards of companies with affiliated shareholders or directors should give equitable consideration to the","page_number":197,"box":{"x":102,"y":670,"width":740,"height":12}},{"id":"cf14a823-9d05-4b3a-825b-545ba162f81b","block_type":"box","text":"interests of all shareholders when evaluating related par ty transactions.","page_number":197,"box":{"x":70,"y":685,"width":511,"height":12}},{"id":"e3f89c97-6862-4341-9559-ce6c3816ebf6","block_type":"box","text":"We consider it good practice for transactions with related par ties, such as significant shareholders or companies","page_number":197,"box":{"x":101,"y":704,"width":805,"height":11}},{"id":"6d32b6ba-6ca7-4d3f-b8d6-64a97cd8ac79","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":197,"box":{"x":69,"y":719,"width":832,"height":11}},{"id":"9b7ddd3e-6325-47fa-bae2-0c55173eefcf","block_type":"box","text":"have been agreed with a non-related par ty. In our view, such transactions should be reviewed and approved by the","page_number":197,"box":{"x":69,"y":734,"width":812,"height":11}},{"id":"f9164098-7e5d-4eed-b3f7-ae976e9711b4","block_type":"box","text":"independent members of the board, and if voted on, only disinterested shareholders should vote.","page_number":197,"box":{"x":70,"y":748,"width":692,"height":12}},{"id":"d88673e3-ea34-47b9-ae05-6d340da7a7d4","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":197,"box":{"x":274,"y":779,"width":430,"height":10}},{"id":"02d0dd1b-109d-470c-9903-1dce5091f727","block_type":"box","text":"Investors depend on corporate repor ting, both regulatory and voluntary, to understand a company’s strategy, its","page_number":197,"box":{"x":102,"y":798,"width":796,"height":11}},{"id":"7959eeee-b1e5-4020-9359-71fa55e06419","block_type":"box","text":"implementation and financial per formance, as well as to assess the quality of management and operations and","page_number":197,"box":{"x":70,"y":812,"width":795,"height":12}},{"id":"ecd2b716-33db-4323-a891-746c57a7c999","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":197,"box":{"x":70,"y":827,"width":779,"height":11}},{"id":"c25d026b-03b5-448b-9ab2-3830bb238826","block_type":"box","text":"oversee corporate repor ting and the policies and procedures underpinning the internal audit function and external","page_number":197,"box":{"x":69,"y":842,"width":809,"height":11}},{"id":"b2fe1033-7391-47a7-8f81-b7a1181ccdbc","block_type":"box","text":"audit.","page_number":197,"box":{"x":69,"y":857,"width":38,"height":9}},{"id":"29c8d25c-022a-4335-9996-d20543f79ca1","block_type":"box","text":"A company’s financial repor ting should provide decision-useful information for investors, and other stakeholders,","page_number":197,"box":{"x":101,"y":875,"width":803,"height":12}},{"id":"ddb0c93e-9aa1-41a4-9567-152011594a63","block_type":"box","text":"on its financial per formance and position. It should provide an accurate and balanced assessment of the risks and","page_number":197,"box":{"x":69,"y":890,"width":819,"height":11}},{"id":"1af741e4-748b-4668-af52-abe28938a679","block_type":"box","text":"oppor tunities the company faces in realizing its long-term strategy. Accordingly, the assumptions made by","page_number":197,"box":{"x":69,"y":905,"width":752,"height":12}},{"id":"4a2a368c-3340-4df4-8840-8097009ea328","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":197,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"ae7f404e-9350-492d-b8cc-38930ce0ed93","block_type":"box","text":"Global Engagement and Voting Guidelines | 10","page_number":197,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"63394868-6ef2-4e08-bb18-f761aeb34817","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":197,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"860ebef9-eb86-493a-a329-8fbef3ab0af6","block_type":"box","text":"management and reviewed by the auditor in preparing the financial statements should be reasonable and justified.","page_number":198,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"fa9d3aa8-53b3-4e99-a496-2aa19f3fb339","block_type":"box","text":"Financial statements should be prepared in accordance with globally developed repor ting standards and any","page_number":198,"box":{"x":70,"y":60,"width":771,"height":11}},{"id":"ee2df801-a143-4887-96a9-6a067972658d","block_type":"box","text":"divergence from generally accepted accounting principles should be explained in detail and justified. Accounting","page_number":198,"box":{"x":69,"y":74,"width":796,"height":12}},{"id":"9a4b1ac2-a893-47e4-b24c-7d3db0817cc4","block_type":"box","text":"restatements should be explained in detail and any remedial actions, and the implications of these, disclosed.","page_number":198,"box":{"x":69,"y":89,"width":788,"height":11}},{"id":"7f108078-2d14-4a3e-a84e-3bb77cf69bfc","block_type":"box","text":"In this context, audit committees play a vital role in a company’s financial repor ting system by providing","page_number":198,"box":{"x":102,"y":108,"width":739,"height":11}},{"id":"73b2a315-a015-4c2f-9a24-33d6bd7cea4e","block_type":"box","text":"independent oversight of the accounts, material financial and, where appropriate to the jurisdiction, non-financial","page_number":198,"box":{"x":70,"y":123,"width":801,"height":11}},{"id":"a174e4c2-9653-4f69-a527-187309b5c7bd","block_type":"box","text":"information, internal control frameworks and Enterprise Risk Management systems. In our view, effective audit","page_number":198,"box":{"x":70,"y":138,"width":787,"height":11}},{"id":"937f4109-13b9-4979-9d69-9aec1fc0070b","block_type":"box","text":"committee oversight strengthens the quality and reliability of a company’s financial statements and provides an","page_number":198,"box":{"x":69,"y":152,"width":795,"height":12}},{"id":"551586ce-e758-4f88-b1fc-a7d42245319b","block_type":"box","text":"impor tant level of reassurance to shareholders. Audit committees should have a procedure in place for assessing the","page_number":198,"box":{"x":70,"y":167,"width":838,"height":12}},{"id":"2fcdb0e3-cbec-49a0-ae22-80271008d06c","block_type":"box","text":"independence of the auditor and the quality of the external audit process annually.","page_number":198,"box":{"x":70,"y":182,"width":585,"height":11}},{"id":"67381f98-9c63-45b3-88ca-327fc649ad06","block_type":"box","text":"Similarly, we encourage companies to disclose material sustainability-related factors that are integral to how a","page_number":198,"box":{"x":102,"y":201,"width":784,"height":11}},{"id":"43a1899e-492e-4cac-9044-4e3d4113210d","block_type":"box","text":"company manages risks or generates revenue. BAIS finds it helpful to our understanding when companies provide","page_number":198,"box":{"x":69,"y":216,"width":812,"height":11}},{"id":"5617ddcf-2802-4803-806f-42511a44bfc3","block_type":"box","text":"robust, standardized disclosures on their material sustainability-related risks and oppor tunities. The International","page_number":198,"box":{"x":69,"y":231,"width":806,"height":11}},{"id":"9cc236ed-0fd8-4fa7-a796-ddd4f0e28266","block_type":"box","text":"Sustainability Standards Board (ISSB) is one entity working to meet these objectives through its repor ting standards,","page_number":198,"box":{"x":69,"y":246,"width":832,"height":11}},{"id":"346fbfda-f05c-47c7-aadd-a46ce6f8cc84","block_type":"box","text":"which may be helpful to companies in preparing such repor ts.","page_number":198,"box":{"x":68,"y":260,"width":440,"height":12}},{"id":"3e732054-7ece-4e26-89ec-7841116ba392","block_type":"box","text":"9","page_number":198,"box":{"x":509,"y":261,"width":5,"height":4}},{"id":"d13f0fc9-1031-43fc-a54b-195756ceadf3","block_type":"box","text":"However, we do not mandate any specific disclosure","page_number":198,"box":{"x":520,"y":260,"width":372,"height":11}},{"id":"90d1ff6b-4290-4820-811c-93e38e9e5a95","block_type":"box","text":"framework, and note that companies in cer tain jurisdictions are subject to mandatory repor ting requirements under","page_number":198,"box":{"x":68,"y":275,"width":824,"height":11}},{"id":"2966ef38-8202-4826-9590-0950112929e9","block_type":"box","text":"standards specified by policy makers.","page_number":198,"box":{"x":69,"y":290,"width":267,"height":11}},{"id":"81d66486-e93b-4a97-bf9e-392937b78991","block_type":"box","text":"10","page_number":198,"box":{"x":338,"y":290,"width":9,"height":5}},{"id":"2e9ab393-7558-4389-8cdc-cae792a644ab","block_type":"box","text":"Companies should establish robust risk management and internal control processes appropriate to the","page_number":198,"box":{"x":102,"y":309,"width":735,"height":11}},{"id":"a42266c9-7a0d-47db-8b43-aa804c3641a9","block_type":"box","text":"company’s business, risk tolerance, and regulatory environment. A credible whistleblowing system for employees,","page_number":198,"box":{"x":69,"y":323,"width":810,"height":12}},{"id":"2bbfecb4-712f-43eb-83ae-f4dc8175aa9c","block_type":"box","text":"and potentially other stakeholders, can be a useful mechanism for ensuring that senior management and the board","page_number":198,"box":{"x":69,"y":338,"width":822,"height":12}},{"id":"efb3163e-1710-4876-9fa1-d176a07d4d72","block_type":"box","text":"are aware of potential misconduct or breaches in risk management and internal control processes.","page_number":198,"box":{"x":69,"y":353,"width":704,"height":12}},{"id":"bffc64cf-e2a8-4d26-a1ca-b95526ab4da5","block_type":"box","text":"A comprehensive audit conducted by an independent audit firm contributes to investor confidence in the quality","page_number":198,"box":{"x":101,"y":372,"width":794,"height":11}},{"id":"465c73bb-0e79-440b-8c96-08d946f8e064","block_type":"box","text":"of corporate repor ting. It is helpful when the audit repor t gives some insight into the scope and focus of the audit, as","page_number":198,"box":{"x":69,"y":387,"width":836,"height":11}},{"id":"508d6947-ff75-47e5-8fcb-8a7e99b20a3c","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":198,"box":{"x":68,"y":402,"width":838,"height":11}},{"id":"08c4524f-13f7-4e40-835e-28842669964f","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":198,"box":{"x":69,"y":416,"width":773,"height":11}},{"id":"6d915f00-1399-4ebe-8c55-236393996053","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":198,"box":{"x":69,"y":431,"width":804,"height":12}},{"id":"71e7a341-70ec-4ed2-a47d-74dfee0c02bc","block_type":"box","text":"audit. The audit committee should explain its position on auditor tenure and how it confirmed that the auditor","page_number":198,"box":{"x":69,"y":446,"width":780,"height":11}},{"id":"d8224b99-0435-42ca-97f3-aede268c5cdb","block_type":"box","text":"remained independent.","page_number":198,"box":{"x":69,"y":461,"width":163,"height":11}},{"id":"6e629682-3434-4fa8-9c69-828ff5a3b915","block_type":"box","text":"We may vote against the election of the responsible directors if corporate repor ting is insufficient or there are","page_number":198,"box":{"x":101,"y":480,"width":783,"height":11}},{"id":"a6d9d46a-6234-4d3e-a37c-656256ff4a16","block_type":"box","text":"material misstatements in financial repor ts. In markets where relevant, we may vote against a proposal to approve","page_number":198,"box":{"x":69,"y":495,"width":819,"height":11}},{"id":"0fc1eee3-4f3f-47a3-8ab9-35a4232bd498","block_type":"box","text":"the financial statements or the discharge of the board when we are concerned about the quality of corporate","page_number":198,"box":{"x":68,"y":509,"width":774,"height":12}},{"id":"677a410e-1274-49f0-8575-b5cb2bcd3155","block_type":"box","text":"repor ting or the audit. We may vote against proposals to appoint the auditor, ratify the audit repor t, or approve the","page_number":198,"box":{"x":69,"y":524,"width":816,"height":12}},{"id":"84a87575-6baa-4291-852c-bb770448b47f","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":198,"box":{"x":69,"y":539,"width":779,"height":11}},{"id":"ae39e1fd-6447-4598-b125-737c16132c81","block_type":"box","text":"misstatements in financial repor ts and the board has not established reasonable remediation plans.","page_number":198,"box":{"x":69,"y":554,"width":718,"height":11}},{"id":"3e88c1ab-e88d-4e5b-be27-5a972966468b","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":198,"box":{"x":329,"y":584,"width":319,"height":9}},{"id":"eed57a6e-cd27-416a-8e31-8b4a6ddb6615","block_type":"box","text":"General shareholder meetings","page_number":198,"box":{"x":69,"y":607,"width":217,"height":11}},{"id":"04e153a2-2a72-4e6d-a607-cd9c2fd0e0d3","block_type":"box","text":"Companies normally have an annual general meeting of shareholders at which routine and non-routine items of","page_number":198,"box":{"x":102,"y":625,"width":792,"height":12}},{"id":"f29f0dd3-de17-47d6-82d1-70c248a46010","block_type":"box","text":"business are discussed and voted on by shareholders in attendance or submitting proxy votes. Companies should","page_number":198,"box":{"x":69,"y":640,"width":812,"height":11}},{"id":"6ce61d9d-6109-4d33-8ddd-709454610130","block_type":"box","text":"disclose materials relevant to the shareholder meeting sufficiently in advance so that shareholders can take them","page_number":198,"box":{"x":69,"y":655,"width":813,"height":11}},{"id":"e5aff435-eea3-4741-8300-425cdad963fb","block_type":"box","text":"into consideration in their voting decisions. Many companies offer shareholders the option of par ticipating in the","page_number":198,"box":{"x":70,"y":670,"width":801,"height":11}},{"id":"d8ae6163-7522-4d6a-bf45-17e75303e73f","block_type":"box","text":"meeting vir tually which, whilst welcome, should not limit the rights of shareholders to par ticipate as they would during","page_number":198,"box":{"x":69,"y":685,"width":841,"height":11}},{"id":"9e79c1ba-a0ce-4bb9-a45d-1ac6267e691f","block_type":"box","text":"an in-person meeting.","page_number":198,"box":{"x":69,"y":700,"width":152,"height":11}},{"id":"a08f4b48-651e-4003-ab63-675202c7437d","block_type":"box","text":"We may vote against directors when materials related to the business of the shareholder meeting are not","page_number":198,"box":{"x":101,"y":718,"width":752,"height":12}},{"id":"7bba4033-7b6b-4a3e-a621-0b7b98b44abc","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":198,"box":{"x":70,"y":733,"width":821,"height":11}},{"id":"4c771179-4b11-4935-9aa3-65c2320f8dd2","block_type":"box","text":"may vote against directors if the format of the shareholder meeting does not accommodate reasonable shareholder","page_number":198,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"c3e653c3-40cb-4901-b0b2-1fa59d377bfd","block_type":"box","text":"par ticipation.","page_number":198,"box":{"x":70,"y":763,"width":91,"height":11}},{"id":"cd6f2774-ef07-46a1-81c8-0e91fb4d467d","block_type":"box","text":"9","page_number":198,"box":{"x":69,"y":793,"width":4,"height":4}},{"id":"3d9b83b0-853b-4d12-a450-715fa00fc33d","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Repor ting Standards","page_number":198,"box":{"x":93,"y":792,"width":744,"height":11}},{"id":"ad8d6e8a-edac-4e8f-92a5-868d1ff5ca45","block_type":"box","text":"(IFRS) Foundation. Please refer to the IFRS website to learn more about the framework and standards S1","page_number":198,"box":{"x":94,"y":807,"width":748,"height":11}},{"id":"12ed5d69-4c77-4352-87db-39ba4473af50","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":198,"box":{"x":94,"y":822,"width":778,"height":12}},{"id":"763c134f-3a46-4c02-b3ab-7c4b2ca5113d","block_type":"box","text":"Disclosures.”","page_number":198,"box":{"x":94,"y":838,"width":93,"height":8}},{"id":"5d30f71a-2a30-4d20-be03-3076449b63ce","block_type":"box","text":"10","page_number":198,"box":{"x":69,"y":856,"width":9,"height":4}},{"id":"020a6c5d-1f97-44f5-92ba-2d42d8d2222e","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":198,"box":{"x":93,"y":858,"width":810,"height":11}},{"id":"4ff1a877-c725-45e5-9519-25a254d407e1","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/companyrepor ting\r\nandaditing/companrepor ting/corporatesstainabilitrepor tingen","page_number":198,"box":{"x":94,"y":866,"width":804,"height":12}},{"id":"762ebe1f-df44-4fbb-a56d-13ebf755ee21","block_type":"box","text":"p/ p//p/p\r\nrepor ting-and-auditing/company-repor ting/corporate-sustainability-repor ting_en.","page_number":198,"box":{"x":94,"y":876,"width":564,"height":11}},{"id":"de83377d-596a-4ca0-84f5-71cb3d7f4671","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":198,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"9c3c4db7-57ab-40c8-a19c-14a474930cf8","block_type":"box","text":"Global Engagement and Voting Guidelines | 11","page_number":198,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"5ac33a54-c484-4932-8685-9359b2ee8174","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":198,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"07b38eda-73ff-44c8-a115-d1e5b4417af4","block_type":"box","text":"Bylaw amendments","page_number":199,"box":{"x":69,"y":45,"width":141,"height":11}},{"id":"70cd13d2-cd72-40fd-9aed-d0ff76ea02c3","block_type":"box","text":"We review bylaw amendments proposed by management on a case-by-case basis and will generally suppor t","page_number":199,"box":{"x":101,"y":64,"width":766,"height":11}},{"id":"5ad36b1f-0dc0-4d9d-90b4-cb3ba500e248","block_type":"box","text":"those that are aligned with the interests of minority shareholders. Any material changes to the bylaws should be","page_number":199,"box":{"x":68,"y":78,"width":800,"height":11}},{"id":"b76cbe28-d299-4c01-9875-750dac0a809a","block_type":"box","text":"explained in detail and put to a shareholder vote.","page_number":199,"box":{"x":69,"y":93,"width":349,"height":11}},{"id":"fbfaed2e-3a31-4a58-8c19-b1a3e98862da","block_type":"box","text":"We may vote against bylaw amendments that reduce shareholder rights and protections or introduce additional","page_number":199,"box":{"x":101,"y":112,"width":790,"height":11}},{"id":"a5a3a70b-247f-4a58-ab75-6fd545854b66","block_type":"box","text":"burdens. We may vote against directors if material changes are made to the bylaws without shareholder approval.","page_number":199,"box":{"x":69,"y":126,"width":810,"height":12}},{"id":"736f4c7c-4cf2-4295-9748-ed5f20212583","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":199,"box":{"x":102,"y":145,"width":790,"height":11}},{"id":"08e86e7e-969d-425d-801b-c5e4a99d24a1","block_type":"box","text":"group, with a meaningful shareholding, the right to call a special meeting of shareholders. The shareholding required","page_number":199,"box":{"x":68,"y":160,"width":831,"height":11}},{"id":"c530f4ca-c4af-4078-94a2-d053947ce8fa","block_type":"box","text":"to exercise this right should balance its utility with the cost to the company of holding special meetings.","page_number":199,"box":{"x":68,"y":175,"width":740,"height":11}},{"id":"55c97ccd-204e-44ba-b19d-b023bcf3ce64","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":199,"box":{"x":102,"y":193,"width":790,"height":12}},{"id":"6cdfbbc1-67bd-434e-a951-a5638c2fd42f","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":199,"box":{"x":68,"y":208,"width":834,"height":12}},{"id":"d2d6310c-3315-43aa-8a3d-7f13ec7f52a5","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":199,"box":{"x":69,"y":223,"width":758,"height":12}},{"id":"cbf1484c-99a0-4754-b907-8a2ce4da4505","block_type":"box","text":"nomination process.","page_number":199,"box":{"x":69,"y":238,"width":143,"height":11}},{"id":"141d79aa-4033-4cc0-9fc9-bdf2d2ca6a08","block_type":"box","text":"Whilst we would not use either of these rights ourselves, we see them as impor tant accountability mechanisms.","page_number":199,"box":{"x":101,"y":257,"width":799,"height":11}},{"id":"b17ee982-89b7-4514-bd79-787a3a8122b9","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":199,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"804cfadc-d7ad-4806-8146-4130de89680c","block_type":"box","text":"Change of domicile","page_number":199,"box":{"x":69,"y":294,"width":139,"height":11}},{"id":"12982ff5-1c80-465e-a23a-87ce7e0f93fa","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":199,"box":{"x":101,"y":313,"width":778,"height":11}},{"id":"8db6a944-5680-4d69-8aab-c1567b09719f","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":199,"box":{"x":69,"y":328,"width":766,"height":11}},{"id":"3afec1fa-e1ac-4414-92fb-be36f348ff5d","block_type":"box","text":"immaterial.","page_number":199,"box":{"x":70,"y":343,"width":77,"height":8}},{"id":"c05c2d00-13fb-4d3e-8771-2cd292a290e8","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":199,"box":{"x":101,"y":361,"width":777,"height":11}},{"id":"2c571039-d138-459d-93ab-7e3fc31c4865","block_type":"box","text":"with our clients’ financial interests.","page_number":199,"box":{"x":68,"y":376,"width":249,"height":9}},{"id":"1200dd62-28ae-435b-bf1a-737da5312cc4","block_type":"box","text":"Changes to a company’s purpose or the nature of its business","page_number":199,"box":{"x":69,"y":398,"width":452,"height":11}},{"id":"6d3202b4-357e-48bd-8785-bc434fef5fe5","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":199,"box":{"x":102,"y":417,"width":803,"height":11}},{"id":"7fee78ae-7968-4b14-b0e8-fe923521926f","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":199,"box":{"x":70,"y":432,"width":829,"height":11}},{"id":"961218c7-ec34-4dbe-b24c-fe5dd263c175","block_type":"box","text":"on the suitability of a company for their investment strategy or por tfolio.","page_number":199,"box":{"x":69,"y":447,"width":511,"height":11}},{"id":"8595c825-98d6-4ad1-a642-cd76b926a893","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":199,"box":{"x":101,"y":465,"width":792,"height":12}},{"id":"f7cf7177-350d-4347-823f-e6f2c004c087","block_type":"box","text":"the board has not provided a credible argument for change.","page_number":199,"box":{"x":68,"y":480,"width":424,"height":12}},{"id":"e26061dc-5f07-4d0f-a6e3-4a0ef732f56c","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":199,"box":{"x":385,"y":510,"width":207,"height":9}},{"id":"2e1713b5-d581-4555-a2ce-b2016c729442","block_type":"box","text":"Shareholders in many markets, who meet cer tain eligibility criteria, have the right to submit proposals to the","page_number":199,"box":{"x":102,"y":529,"width":772,"height":11}},{"id":"478d88c3-2f15-4825-a9a6-fd1cc7221e76","block_type":"box","text":"general shareholder meeting asking a company to take a par ticular course of action subject to the proposal being","page_number":199,"box":{"x":68,"y":544,"width":811,"height":11}},{"id":"a8054c73-e637-4b93-80a4-2f7de8f6a0bb","block_type":"box","text":"suppor ted by a majority of votes cast at the meeting. The topics raised can address a range of matters that may be","page_number":199,"box":{"x":69,"y":559,"width":824,"height":11}},{"id":"3703636a-0279-46bd-9905-0fa9c3a27124","block_type":"box","text":"relevant to a company’s business.","page_number":199,"box":{"x":69,"y":574,"width":243,"height":11}},{"id":"5e2408a4-f2f1-46fa-b61a-1de4e28230b2","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":199,"box":{"x":101,"y":592,"width":730,"height":11}},{"id":"c1e0c712-470a-4834-b2e8-77e4a616a783","block_type":"box","text":"company’s business and its current approach, whether the actions sought are consistent with shareholders’","page_number":199,"box":{"x":69,"y":607,"width":772,"height":11}},{"id":"9afaebf0-2bb0-4e56-b271-b5c25bf38517","block_type":"box","text":"interests, and what impact the proposal being acted upon might have on financial per formance.","page_number":199,"box":{"x":70,"y":622,"width":681,"height":11}},{"id":"a705741b-62d8-468e-843e-d314d73e5de9","block_type":"box","text":"Our general approach where we have concerns about a company’s governance, disclosures or per formance is to","page_number":199,"box":{"x":102,"y":641,"width":801,"height":11}},{"id":"f035b84b-a8c7-4a2f-b51d-a6d7e27c4f28","block_type":"box","text":"engage to understand the apparent difference in perspective. If we are concerned a company is not acting in","page_number":199,"box":{"x":69,"y":656,"width":774,"height":11}},{"id":"be0a6b25-6b3f-49cc-846b-687799bb027a","block_type":"box","text":"shareholders’ financial interests, we may vote against the election of directors. We may suppor t a relevant","page_number":199,"box":{"x":69,"y":670,"width":761,"height":12}},{"id":"920a4f00-f92f-49eb-9279-88b9c0e4ec17","block_type":"box","text":"shareholder proposal if doing so is aligned with our clients’ financial interests. We generally do not suppor t","page_number":199,"box":{"x":69,"y":685,"width":764,"height":12}},{"id":"44c0abeb-0f48-43ed-b84e-83e0c1f6ffa6","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":199,"box":{"x":69,"y":700,"width":785,"height":11}},{"id":"c9124493-0415-45d9-8728-f85385b65345","block_type":"box","text":"operations, or are unrelated to how a company manages risk or generates financial returns.","page_number":199,"box":{"x":69,"y":715,"width":653,"height":11}},{"id":"31146b1d-bd45-4699-8992-cd782fc53559","block_type":"box","text":"BlackRock is subject to rules, regulations, agency guidance and contractual agreements that place restrictions","page_number":199,"box":{"x":102,"y":734,"width":788,"height":11}},{"id":"215ccb3c-970a-47e9-9541-ad28f7f45af3","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":199,"box":{"x":69,"y":748,"width":822,"height":12}},{"id":"a6bdf229-f382-47a7-91d3-1c0ee9892907","block_type":"box","text":"ability to submit shareholder proposals. We do not submit shareholder proposals but can vote, on behalf of clients","page_number":199,"box":{"x":69,"y":763,"width":817,"height":12}},{"id":"f9645100-6004-4715-a136-4484a380d6f9","block_type":"box","text":"who authorize us to do so, on proposals put for th by others.","page_number":199,"box":{"x":68,"y":778,"width":428,"height":11}},{"id":"5fb2754d-5f23-412e-9220-c9f32787666e","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":199,"box":{"x":359,"y":808,"width":260,"height":9}},{"id":"d4fb3e20-b941-4873-9318-6a811230b640","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":199,"box":{"x":101,"y":827,"width":795,"height":11}},{"id":"458b7be7-c897-4e4e-9ec5-efa7b6c22507","block_type":"box","text":"in which they engage. When a corporation repor ts material financial risk related to policy and or regulatory changes,","page_number":199,"box":{"x":70,"y":842,"width":824,"height":11}},{"id":"d7405d95-fc44-4072-841f-06bfdaa9dc80","block_type":"box","text":"BAIS may seek to understand how it is addressing the material risk identified. We seek to understand how","page_number":199,"box":{"x":70,"y":857,"width":757,"height":11}},{"id":"6f7bb30d-bd84-4846-9154-f0b0883ab4c6","block_type":"box","text":"companies engage in corporate political activities and ensure that their par ticipation is consistent with their public","page_number":199,"box":{"x":69,"y":872,"width":814,"height":11}},{"id":"34f8cc89-b88f-45d0-b17a-2f4cb2827c8a","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":199,"box":{"x":69,"y":887,"width":780,"height":11}},{"id":"4d9d4dbc-45b0-455f-be8b-8e7eef49334a","block_type":"box","text":"approach taken by management on corporate political activities as there can be reputational risks arising from","page_number":199,"box":{"x":69,"y":901,"width":786,"height":12}},{"id":"27662a04-f02e-41de-bbb9-3d6801fbf1b9","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":199,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"b1d75b2f-2706-4be5-adf4-50b22777199a","block_type":"box","text":"Global Engagement and Voting Guidelines | 12","page_number":199,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"9512a140-cbe8-4aea-8caf-e9f038088bcc","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":199,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bf6c33ba-bd49-41fc-8780-55e6c8b2f8e6","block_type":"box","text":"inconsistencies between a company’s policy engagement and stated policy positions. Companies should, as a","page_number":200,"box":{"x":70,"y":45,"width":786,"height":11}},{"id":"2fe300e7-bd2a-4510-8e32-da6458088354","block_type":"box","text":"minimum, meet all regulatory disclosure requirements on political activities. We may engage a company where we","page_number":200,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"43122fd7-2f0f-4959-9567-9c488bf0b75a","block_type":"box","text":"would like to better understand its approach to policy engagement, where relevant.","page_number":200,"box":{"x":68,"y":75,"width":590,"height":11}},{"id":"e6da7f8f-bb3c-4a3e-9a25-da7a95fb1c8d","block_type":"box","text":"To mitigate the risk of inconsistencies, companies may wish to assess the alignment between their policy","page_number":200,"box":{"x":101,"y":93,"width":753,"height":11}},{"id":"42739d46-e6a9-4375-ac8c-1317a848b954","block_type":"box","text":"priorities and the policy positions of the trade associations of which they are active members and any engagements","page_number":200,"box":{"x":70,"y":108,"width":823,"height":11}},{"id":"27f081a9-e7d4-44bc-924c-dc3c74e2bea8","block_type":"box","text":"under taken by trade associations on behalf of members.","page_number":200,"box":{"x":69,"y":123,"width":404,"height":11}},{"id":"29a7b3ce-e835-48d8-ad3b-defb7d20ff2e","block_type":"box","text":"We may suppor t a relevant shareholder proposal, or vote against directors, where a company’s disclosures are","page_number":200,"box":{"x":101,"y":142,"width":793,"height":11}},{"id":"d7ac3683-ab30-486e-be18-65837d38fc45","block_type":"box","text":"insufficient to address the material risk it has identified.","page_number":200,"box":{"x":70,"y":156,"width":400,"height":9}},{"id":"efcc9170-130c-4f4c-ae3b-885217a46d91","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":200,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"fd7bf089-2e9d-48dc-add6-f6d6a2ecf2d5","block_type":"box","text":"Global Engagement and Voting Guidelines | 13","page_number":200,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"51c95ebb-1b60-45ef-8eb3-279dcf74ce40","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":200,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cb679359-7c61-421f-beac-d202d1023a90","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":201,"box":{"x":245,"y":45,"width":489,"height":9}},{"id":"861a8801-58f1-40ec-89e7-d29f67820e7f","block_type":"box","text":"We seek to understand how companies manage the material risks and oppor tunities inherent in their business","page_number":201,"box":{"x":101,"y":64,"width":790,"height":11}},{"id":"65f79a1a-e604-40f1-b8a1-d76fb7292595","block_type":"box","text":"operations. In our experience, sustainability-related factors","page_number":201,"box":{"x":69,"y":78,"width":418,"height":12}},{"id":"e16560a4-11d2-462d-b148-45d9a0dafa91","block_type":"box","text":"11","page_number":201,"box":{"x":488,"y":79,"width":9,"height":4}},{"id":"6de67437-c18a-4b57-867d-2c72f1ac6672","block_type":"box","text":"that are relevant to a company’s business or material to","page_number":201,"box":{"x":502,"y":79,"width":402,"height":11}},{"id":"6331fc43-0db7-41c2-840b-3acd9b7cf348","block_type":"box","text":"its financial per formance, are generally operational considerations embedded into day-to-day management systems.","page_number":201,"box":{"x":70,"y":93,"width":824,"height":12}},{"id":"e7432009-14b8-49dc-a5ac-1c54171d33f4","block_type":"box","text":"Cer tain sustainability issues may also inform long-term strategic planning, for example, investing in product","page_number":201,"box":{"x":69,"y":108,"width":766,"height":11}},{"id":"8dec057c-b90b-4df7-b122-e1d4f6301fa5","block_type":"box","text":"innovation in anticipation of changing consumer demand or adapting supply chains in response to changing","page_number":201,"box":{"x":70,"y":123,"width":764,"height":11}},{"id":"b48a5bf9-870f-48ac-95b0-e534f4def643","block_type":"box","text":"regulatory requirements.","page_number":201,"box":{"x":69,"y":138,"width":174,"height":11}},{"id":"8b7a09c4-400d-45ac-a563-04d62c62471a","block_type":"box","text":"We recognize that the specific sustainability-related factors that may be financially material or business relevant","page_number":201,"box":{"x":101,"y":156,"width":798,"height":12}},{"id":"0a08dd07-4ad1-4314-bf8d-4168df13c28f","block_type":"box","text":"will vary by company business model, sector, key markets, and time horizon, amongst other considerations. From","page_number":201,"box":{"x":68,"y":172,"width":809,"height":11}},{"id":"fd702963-a30a-4360-989a-c8045d34f10b","block_type":"box","text":"company disclosures and our engagement, we aim to understand how management is identifying, assessing and","page_number":201,"box":{"x":69,"y":186,"width":803,"height":12}},{"id":"88df1e59-52ae-47ed-af4b-1d418b29bd33","block_type":"box","text":"integrating material sustainability-related risks and oppor tunities into their business decision-making and practices.","page_number":201,"box":{"x":70,"y":201,"width":820,"height":11}},{"id":"ce35b908-45b9-4c07-8e58-065116cd3345","block_type":"box","text":"Doing so helps us under take a more holistic assessment of a company’s potential financial per formance and the","page_number":201,"box":{"x":70,"y":216,"width":808,"height":11}},{"id":"2530f1c8-b014-496b-a538-03e0460eb5dc","block_type":"box","text":"likely risk-adjusted returns of an investment.","page_number":201,"box":{"x":70,"y":231,"width":313,"height":11}},{"id":"87c91be5-811f-49dd-ad1c-b9bf13fdd59d","block_type":"box","text":"We may vote against directors or suppor t a relevant shareholder proposal if we have concerns about how a","page_number":201,"box":{"x":101,"y":249,"width":764,"height":12}},{"id":"4611b1c9-3efc-404f-a731-7ad0093b745f","block_type":"box","text":"company is managing or disclosing its approach to material sustainability-related risks that may impact financial","page_number":201,"box":{"x":69,"y":264,"width":798,"height":12}},{"id":"22f37296-63f2-480f-bf4c-3eabde6b47b5","block_type":"box","text":"returns.","page_number":201,"box":{"x":69,"y":280,"width":54,"height":8}},{"id":"bbfb6629-6d01-4ce4-82b8-a02ba2ea35fe","block_type":"box","text":"KEY STAKEHOLDERS","page_number":201,"box":{"x":414,"y":309,"width":151,"height":9}},{"id":"322e9f4c-a103-4ecc-9004-399e996577f8","block_type":"box","text":"In our view, companies should understand and take into consideration the interests of the various par ties on","page_number":201,"box":{"x":102,"y":328,"width":774,"height":11}},{"id":"b386a019-887b-4ae4-80cd-62149837aa50","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":201,"box":{"x":68,"y":343,"width":826,"height":11}},{"id":"ea033033-24cb-4908-9c6e-28d077dbd130","block_type":"box","text":"what is material to their business and long-term financial per formance. For many companies, key stakeholders","page_number":201,"box":{"x":68,"y":358,"width":790,"height":11}},{"id":"db2c0ab9-82dc-4732-8eea-0afe17322545","block_type":"box","text":"include employees, business par tners (such as suppliers and distributors), clients and consumers, regulators, and","page_number":201,"box":{"x":70,"y":373,"width":817,"height":11}},{"id":"58c542e5-bf43-4e7d-8b58-40ad4576fa15","block_type":"box","text":"the communities in which they operate. Companies that appropriately balance the interests of investors and other","page_number":201,"box":{"x":68,"y":387,"width":813,"height":12}},{"id":"a06db559-4e01-4c2c-a6e8-fdcd7df1083b","block_type":"box","text":"stakeholders are, in our experience, more likely to be financially resilient over time.","page_number":201,"box":{"x":69,"y":402,"width":592,"height":12}},{"id":"01214903-e277-46f6-a888-ccce0ad14577","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":201,"box":{"x":265,"y":432,"width":448,"height":9}},{"id":"9fb955f5-a4b9-417a-a119-6e0afd76516e","block_type":"box","text":"Cer tain active BlackRock funds have climate and decarbonization objectives in addition to financial objectives.","page_number":201,"box":{"x":102,"y":451,"width":784,"height":11}},{"id":"e73375b7-e4f5-46e5-a91a-1711338d04cf","block_type":"box","text":"Consistent with the objectives of those investment strategies, our stewardship activity in relation to the holdings in","page_number":201,"box":{"x":69,"y":466,"width":818,"height":11}},{"id":"a8814462-6256-4cde-b505-2c1cc6ed258a","block_type":"box","text":"those funds differs in some respects from BAIS’ benchmark guidelines, which are described above. Specifically, for","page_number":201,"box":{"x":68,"y":481,"width":823,"height":11}},{"id":"8a2c38ec-4676-4780-aa7f-14bae39a7287","block_type":"box","text":"those funds’ holdings, we look to investee companies to demonstrate that they are aligned with a decarbonization","page_number":201,"box":{"x":68,"y":496,"width":814,"height":11}},{"id":"801583a9-ec2e-4b62-bb47-6e0417aa6647","block_type":"box","text":"pathway that means their business model would be viable in a low-carbon economy,","page_number":201,"box":{"x":70,"y":511,"width":594,"height":11}},{"id":"36b10780-8a6b-4bc2-a6c3-a58b6a0358e2","block_type":"box","text":"i.e.","page_number":201,"box":{"x":672,"y":511,"width":20,"height":9}},{"id":"29d527d2-4b2a-49d2-aee3-b28f8d1ce46a","block_type":"box","text":", one in which global","page_number":201,"box":{"x":694,"y":511,"width":144,"height":11}},{"id":"6b5cbc30-98c4-4c96-bac5-f0f187f57d4c","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":201,"box":{"x":68,"y":526,"width":821,"height":11}},{"id":"9ecce0b6-fab5-49f0-957a-b9c67d40e6b9","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":201,"box":{"x":69,"y":540,"width":839,"height":12}},{"id":"ecd0681d-6fd6-47fd-8c76-0a4d6622ebda","block_type":"box","text":"accounts, these guidelines are only implemented upon explicit selection and approval by the applicable fund board or","page_number":201,"box":{"x":69,"y":555,"width":837,"height":12}},{"id":"c3466f30-0814-48e3-9074-042581e4e608","block_type":"box","text":"client.","page_number":201,"box":{"x":69,"y":570,"width":41,"height":9}},{"id":"d4c60fc3-2552-4f5d-845b-dfd884ec0f12","block_type":"box","text":"These decarbonization stewardship guidelines focus on companies which produce goods and services that","page_number":201,"box":{"x":101,"y":589,"width":761,"height":11}},{"id":"0078b785-4743-4c59-ae13-4e1ceaf03900","block_type":"box","text":"contribute to real world decarbonization or have a carbon intensive business model and face outsized impacts from","page_number":201,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"8510c014-01fc-4f19-b7bc-09e805a2efe0","block_type":"box","text":"the low carbon transition, based on repor ted and estimated scopes 1, 2, and 3 greenhouse gas emissions. These","page_number":201,"box":{"x":68,"y":619,"width":817,"height":11}},{"id":"fadcb3fe-b4f5-4a69-ac74-8ec404578df6","block_type":"box","text":"companies should provide disclosures that set out their governance, strategy, risk management processes and","page_number":201,"box":{"x":69,"y":634,"width":792,"height":11}},{"id":"48e9811a-7fe7-4706-abeb-79f7dc11a960","block_type":"box","text":"metrics and targets relevant to decarbonization. It is helpful to investors’ understanding when these disclosures","page_number":201,"box":{"x":69,"y":648,"width":799,"height":12}},{"id":"6751a34e-4a4a-4713-96f2-9e93913657f7","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":201,"box":{"x":70,"y":663,"width":812,"height":11}},{"id":"f8ae5254-55f3-4b35-99f3-0b135dc1bbe2","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":201,"box":{"x":68,"y":678,"width":831,"height":11}},{"id":"6be48523-52f8-485a-8d14-8966cc3f79e3","block_type":"box","text":"1 and 2 emissions.","page_number":201,"box":{"x":70,"y":693,"width":135,"height":9}},{"id":"d85b20fa-c4d7-4d27-9b43-51f6dccea376","block_type":"box","text":"Under these climate- and decarbonization-specific guidelines, BAIS may recommend a vote against directors or","page_number":201,"box":{"x":102,"y":711,"width":788,"height":12}},{"id":"aea37aeb-0e2d-47e7-9bf6-774cdfca168e","block_type":"box","text":"suppor t for a relevant shareholder proposal if a company does not appear to be adequately acting to address or","page_number":201,"box":{"x":69,"y":726,"width":800,"height":12}},{"id":"bea01516-8463-4dff-90d3-78d4c5d99c47","block_type":"box","text":"disclosing material climate-related risks, consistent with the parameters set out in these climate-and decarbonization","page_number":201,"box":{"x":69,"y":741,"width":839,"height":12}},{"id":"486ddc31-2481-4726-9db2-dcfc2cf2c205","block_type":"box","text":"specific guidelines. We may recommend suppor ting shareholder proposals seeking information relevant to a","page_number":201,"box":{"x":69,"y":756,"width":771,"height":11}},{"id":"61910899-00e8-42b2-be3b-17bd65df42b4","block_type":"box","text":"11","page_number":201,"box":{"x":69,"y":786,"width":9,"height":4}},{"id":"e89ae6fb-7fda-43fb-a8d7-fa86acd5d142","block_type":"box","text":"By material sustainability-related risks and oppor tunities, we mean the drivers of risk and financial value creation in","page_number":201,"box":{"x":84,"y":785,"width":822,"height":11}},{"id":"eb8af628-8d0c-48aa-ae84-19c6f1ed4d62","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":201,"box":{"x":69,"y":800,"width":835,"height":12}},{"id":"b16581a9-8ecf-43d9-8f74-2fcd8b5040d8","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":201,"box":{"x":70,"y":816,"width":827,"height":11}},{"id":"3012c992-affe-4ae4-b2d6-7aacb7cdcaef","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":201,"box":{"x":70,"y":831,"width":826,"height":11}},{"id":"b525bfad-3046-4570-8070-a3991292cd10","block_type":"box","text":"operates, customer loyalty, and relationships with regulators. It is our view that well-managed companies will","page_number":201,"box":{"x":69,"y":846,"width":773,"height":11}},{"id":"4013b6af-226c-455a-b6b1-3794ae162865","block_type":"box","text":"effectively evaluate and manage material sustainability-related risks and oppor tunities relevant to their businesses.","page_number":201,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"04f94a73-3841-4d19-85c1-4e9fcf459551","block_type":"box","text":"Governance is the core means by which boards can oversee the creation of durable financial value over time.","page_number":201,"box":{"x":69,"y":876,"width":777,"height":11}},{"id":"577d8fed-ec12-4507-8beb-1adef0a30acc","block_type":"box","text":"Appropriate risk oversight of business-relevant and material sustainability-related considerations is a component of a","page_number":201,"box":{"x":68,"y":891,"width":833,"height":11}},{"id":"d8ac5894-cd45-49ba-a262-761044ba4b93","block_type":"box","text":"sound governance framework.","page_number":201,"box":{"x":69,"y":906,"width":212,"height":12}},{"id":"c1ce5def-f268-460a-8fbf-cb16893539e6","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":201,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"fc7509f7-0115-46b1-8978-cfd97e99f428","block_type":"box","text":"Global Engagement and Voting Guidelines | 14","page_number":201,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"25784657-3473-41ba-a550-18f0e23f309b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":201,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9047579a-64ff-4c00-9d62-4cf3d14ba0d4","block_type":"box","text":"company’s stated low-carbon transition strategy or targets that the company does not currently provide and that","page_number":202,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"3403f90a-d8e6-4ccc-aa0c-e060bf74b6fd","block_type":"box","text":"would be helpful to investment decision-making. We would not recommend suppor t for shareholder proposals that","page_number":202,"box":{"x":68,"y":59,"width":814,"height":12}},{"id":"57e87119-169d-45e2-8b13-a1ed622e9254","block_type":"box","text":"seek to constrain board or management decision-making or direct specific business or strategic decisions. As under","page_number":202,"box":{"x":69,"y":74,"width":828,"height":12}},{"id":"9d90ce4a-ff82-40b4-a4d7-a99691dd6f74","block_type":"box","text":"the BAIS benchmark approach, the active por tfolio managers are ultimately responsible for voting consistent with","page_number":202,"box":{"x":68,"y":89,"width":807,"height":12}},{"id":"1fb81af8-707f-460c-a240-b4b50099b002","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":202,"box":{"x":68,"y":104,"width":832,"height":11}},{"id":"98cd3ed5-4300-4bd7-9a97-426bcbeaa48f","block_type":"box","text":"climate risk and the energy transition is under taken in line with BAIS’ benchmark guidelines.","page_number":202,"box":{"x":69,"y":119,"width":658,"height":11}},{"id":"71eac5ec-5571-48a0-83ac-11b64fd49831","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":202,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"0bba42f7-ed4a-4fac-92b4-59d6f4c501ee","block_type":"box","text":"Global Engagement and Voting Guidelines | 15","page_number":202,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"48d20f65-c588-4f00-9cc7-3616d5c07427","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":202,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4cd8096b-3f88-49db-9cda-aa7872b0b4e0","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR NON","page_number":203,"box":{"x":83,"y":45,"width":812,"height":9}},{"id":"f894eb38-249f-4e95-912c-2b0a80366d35","block_type":"box","text":"INDEX EQUITY INVESTMENT STRATEGIES","page_number":203,"box":{"x":338,"y":60,"width":302,"height":10}},{"id":"efbcb4f6-fda8-4622-a220-4b77d03e6022","block_type":"box","text":"Oversight","page_number":203,"box":{"x":69,"y":83,"width":68,"height":11}},{"id":"15944157-1501-47d1-95b7-de920801af6a","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":203,"box":{"x":101,"y":101,"width":793,"height":11}},{"id":"9940810d-8f4a-4cc2-9e0b-3f052e11ca2f","block_type":"box","text":"accordance with the BlackRock Active Investment Stewardship Global Engagement and Voting Guidelines (the","page_number":203,"box":{"x":69,"y":116,"width":778,"height":11}},{"id":"bc9cff3f-611f-4f80-a429-e864e154a99a","block_type":"box","text":"“Guidelines”), which require the application of professional judgment and consideration of each company’s unique","page_number":203,"box":{"x":70,"y":131,"width":814,"height":11}},{"id":"15676b33-58f5-4421-8ac4-81ebecfc7043","block_type":"box","text":"circumstances, as well as input from active investors. BAIS is independent from BlackRock Investment Stewardship","page_number":203,"box":{"x":69,"y":146,"width":825,"height":11}},{"id":"270ee96d-5adc-46d7-9c9b-65cde7606d81","block_type":"box","text":"in our engagement and voting activities, repor ting lines, and oversight.","page_number":203,"box":{"x":70,"y":161,"width":500,"height":11}},{"id":"d9ae7e7b-d0f0-48eb-badf-e8dcb91944f6","block_type":"box","text":"The Stewardship Leaders Group, comprised of senior active investors and other relevant stakeholders in","page_number":203,"box":{"x":101,"y":179,"width":744,"height":11}},{"id":"26a4634f-7cbd-4044-bc33-c56203811d7e","block_type":"box","text":"BlackRock’s legal, public policy, sustainability and communications teams, helps shape the firm’s approach to","page_number":203,"box":{"x":70,"y":194,"width":786,"height":11}},{"id":"6a1a28c7-b769-43d5-9298-63ce29ac4837","block_type":"box","text":"investment stewardship on non-index equity investment strategies. The Group may advise on and review amendments","page_number":203,"box":{"x":70,"y":209,"width":839,"height":11}},{"id":"f94caad3-6296-4901-b106-2f103559dbd9","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":203,"box":{"x":68,"y":224,"width":822,"height":11}},{"id":"7bf81902-a533-4f1b-8acd-ab08f60b0602","block_type":"box","text":"relevant active equity investors.","page_number":203,"box":{"x":69,"y":239,"width":223,"height":11}},{"id":"713b6be1-d08d-4b09-be98-0c2dc296bb57","block_type":"box","text":"BAIS carries out engagement with companies in collaboration with active investment colleagues, executes proxy","page_number":203,"box":{"x":102,"y":257,"width":797,"height":12}},{"id":"b45505ab-a245-4064-a0ef-ce8c21f98426","block_type":"box","text":"votes, and conducts vote operations (including maintaining records of votes cast) in a manner consistent with the","page_number":203,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"381cdb4b-9bf0-4c1e-9b4a-cb13addb5a31","block_type":"box","text":"Guidelines. BAIS also conducts research on corporate governance issues and par ticipates in industry discussions to","page_number":203,"box":{"x":69,"y":287,"width":832,"height":11}},{"id":"8fae4713-f986-4c0e-a62a-08703ac81145","block_type":"box","text":"contribute to and keep abreast of impor tant developments in the corporate governance field. BAIS may use third","page_number":203,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"a30f3131-8b45-49ab-acc0-ad2819c6e357","block_type":"box","text":"par ties for cer tain of the foregoing activities and per forms oversight of those third par ties (see “Use and oversight of","page_number":203,"box":{"x":70,"y":317,"width":836,"height":11}},{"id":"d0bc4683-d1fa-45a0-8a76-7f1eb3e135c4","block_type":"box","text":"third-par ty vote services providers” below).","page_number":203,"box":{"x":68,"y":332,"width":305,"height":11}},{"id":"16b2ea9e-d795-4480-bf97-59de96af5829","block_type":"box","text":"Voting guidelines and vote execution","page_number":203,"box":{"x":68,"y":354,"width":269,"height":11}},{"id":"ddad756b-92a3-46bf-9c1b-d8fbe485274a","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":203,"box":{"x":102,"y":373,"width":790,"height":11}},{"id":"2fc8e79e-3365-4598-8242-b43e08d60d15","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":203,"box":{"x":69,"y":387,"width":838,"height":12}},{"id":"e9f9e154-b15d-4acb-9fe1-cc35c8c708de","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":203,"box":{"x":69,"y":402,"width":831,"height":12}},{"id":"6de99e6e-cfdf-4997-a3cb-d3a9abba98d3","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":203,"box":{"x":68,"y":417,"width":809,"height":12}},{"id":"eeb2f50d-501d-4074-9f1f-e03d65a5b834","block_type":"box","text":"judgment, and without regard to the relationship of the issuer (or any shareholder proponent or dissident","page_number":203,"box":{"x":67,"y":432,"width":749,"height":11}},{"id":"960faa5a-2ba0-4834-97a0-d82989e31ed4","block_type":"box","text":"shareholder) to the Fund, the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees","page_number":203,"box":{"x":69,"y":447,"width":825,"height":11}},{"id":"35b4dcc4-864a-4896-b557-cc72e5b08536","block_type":"box","text":"(see “Conflicts management policies and procedures,” below).","page_number":203,"box":{"x":69,"y":462,"width":445,"height":11}},{"id":"df63519f-91a0-43eb-932d-f0bd4ebf6fdf","block_type":"box","text":"When exercising voting rights, BAIS will normally vote on specific proxy issues in accordance with the Guidelines,","page_number":203,"box":{"x":101,"y":480,"width":803,"height":12}},{"id":"a584ee3d-f222-4afe-8b6b-3ce023ac6fd9","block_type":"box","text":"although por tfolio managers have the right to vote differently on their holdings if they determine doing so is more","page_number":203,"box":{"x":69,"y":495,"width":806,"height":12}},{"id":"00850649-e2a1-4b3e-a1c3-b94b288d586a","block_type":"box","text":"aligned with the investment objective and financial interests of clients invested in the funds they manage.","page_number":203,"box":{"x":69,"y":510,"width":752,"height":11}},{"id":"2d9e8a01-afa3-407d-8e51-076799ec0a81","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":203,"box":{"x":101,"y":529,"width":782,"height":11}},{"id":"f226afcb-7f69-4b81-acd3-9eb92423330a","block_type":"box","text":"context of the individual circumstances of each company and the specific issue under review. As such, the Guidelines","page_number":203,"box":{"x":69,"y":544,"width":837,"height":11}},{"id":"c0c24a60-7ce4-479f-a64a-4b0dcb667cb3","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":203,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"30e32f08-c384-407f-ac89-a9f7be3d85dc","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":203,"box":{"x":68,"y":574,"width":838,"height":11}},{"id":"7b993db9-3a14-4975-9f59-9f50bd9137eb","block_type":"box","text":"Guidelines are reviewed annually and updated as necessary to reflect changes in market practices, developments in","page_number":203,"box":{"x":69,"y":588,"width":829,"height":12}},{"id":"a25f39db-002f-42d1-8967-7c7e2fdaf0fd","block_type":"box","text":"corporate governance and feedback from companies and clients. In this way, BAIS aims to maintain policies that","page_number":203,"box":{"x":69,"y":603,"width":802,"height":11}},{"id":"51543b3f-03bb-4de2-a124-4c840edc3d6b","block_type":"box","text":"explain our approach to governance practices most aligned with clients’ long-term financial interests.","page_number":203,"box":{"x":69,"y":618,"width":718,"height":11}},{"id":"1babe01d-4aaf-4bdd-8384-58c92b8a1e5d","block_type":"box","text":"In cer tain markets, proxy voting involves logistical issues which can affect BAIS’ ability to vote such proxies, as","page_number":203,"box":{"x":102,"y":637,"width":792,"height":11}},{"id":"48d37b38-f65b-40eb-bbf1-507062e3a9bb","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":203,"box":{"x":68,"y":652,"width":791,"height":11}},{"id":"6e3f8438-ebcb-4fdc-9aa0-59b876c077bc","block_type":"box","text":"shareholder meetings; ii) restrictions on a foreigner’s ability to exercise votes; iii) requirements to vote proxies in","page_number":203,"box":{"x":69,"y":666,"width":805,"height":12}},{"id":"38cb9636-0fb6-4a93-ba1d-00a8ba19b071","block_type":"box","text":"person; iv) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":203,"box":{"x":70,"y":682,"width":784,"height":11}},{"id":"7cbe883c-fe80-45dc-a51b-41d0aadc3f41","block_type":"box","text":"dispose of their holdings from the point at which votes are submitted until after the shareholder meeting has","page_number":203,"box":{"x":69,"y":696,"width":775,"height":11}},{"id":"baf99080-6f83-4461-827f-d5af00c26bd2","block_type":"box","text":"occurred); v) potential difficulties in translating the proxy; vi) regulatory constraints; and vii) requirements to provide","page_number":203,"box":{"x":69,"y":711,"width":824,"height":11}},{"id":"0eb883e9-de98-4e5a-b557-852185b1bceb","block_type":"box","text":"local agents with powers of attorney to facilitate voting instructions. We are not suppor tive of impediments to the","page_number":203,"box":{"x":70,"y":726,"width":806,"height":11}},{"id":"50c656a7-b284-42db-afd3-b25b9847ad40","block_type":"box","text":"exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":203,"box":{"x":69,"y":741,"width":704,"height":11}},{"id":"f333a69d-b4c8-4ed5-844c-0d2bda87618b","block_type":"box","text":"BlackRock votes proxies in these situations on a “best-effor ts” basis. In addition, BAIS may determine that it is","page_number":203,"box":{"x":102,"y":759,"width":796,"height":12}},{"id":"c24a225b-35c1-455e-9550-40dad2a220bb","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":203,"box":{"x":68,"y":774,"width":799,"height":12}},{"id":"a64aede5-2f91-4aed-84b7-f17c07185b75","block_type":"box","text":"(including but not limited to oppor tunity costs associated with share-blocking constraints) associated with exercising","page_number":203,"box":{"x":69,"y":789,"width":829,"height":11}},{"id":"d2875e81-2cdb-4c86-92cd-2927a8b9ae3d","block_type":"box","text":"a vote are expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":203,"box":{"x":69,"y":804,"width":661,"height":11}},{"id":"c56368d3-500b-4fc6-b9c1-f68d95e6ea86","block_type":"box","text":"Voting Choice","page_number":203,"box":{"x":68,"y":826,"width":101,"height":12}},{"id":"13f2d18b-5c15-4762-8c21-3d30e6d8cce7","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more oppor tunities to par ticipate in","page_number":203,"box":{"x":102,"y":845,"width":800,"height":11}},{"id":"ea936fc2-3621-431c-8853-ce866aba5ae1","block_type":"box","text":"the proxy voting process where legally and operationally viable.","page_number":203,"box":{"x":68,"y":860,"width":447,"height":11}},{"id":"195fc315-317a-47cc-b186-506d23b7955b","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":203,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"d8ce1e13-1482-430f-8b77-10cbc2bc6d2a","block_type":"box","text":"Global Engagement and Voting Guidelines | 16","page_number":203,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"1f6880d1-deb1-436b-a20b-15b9cdc5c0ad","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":203,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"268880cd-af84-4233-b942-6230340ebebd","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in cer tain institutional pooled funds in the U.S.,","page_number":204,"box":{"x":101,"y":45,"width":786,"height":11}},{"id":"2a0bc474-166e-44bd-a8ee-e983dc02f9e2","block_type":"box","text":"UK, and Canada that use systematic active equity (SAE) and multi-asset strategies. In addition, institutional clients in","page_number":204,"box":{"x":70,"y":60,"width":834,"height":11}},{"id":"a77c90e3-1f3d-4ed5-9ded-f90ca4a819da","block_type":"box","text":"separately managed accounts (SMAs) are eligible for BlackRock Voting Choice regardless of their investment","page_number":204,"box":{"x":69,"y":74,"width":774,"height":12}},{"id":"fe43ec2e-554a-4132-ba4a-3b72106a3b49","block_type":"box","text":"strategies.","page_number":204,"box":{"x":69,"y":89,"width":74,"height":12}},{"id":"fd1e3e72-aaad-44db-a783-41e98ccaf878","block_type":"box","text":"12","page_number":204,"box":{"x":145,"y":90,"width":9,"height":4}},{"id":"92cae8a5-ed3b-4bf0-9316-a450bae0de0e","block_type":"box","text":"As a result, the shares attributed to BlackRock in company share registers may be voted differently depending","page_number":204,"box":{"x":101,"y":108,"width":788,"height":11}},{"id":"47c39f62-6aea-4a04-a870-07cce2fe0cc1","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":204,"box":{"x":69,"y":123,"width":834,"height":10}},{"id":"02956810-60a7-47e3-a423-b65fbb94faca","block_type":"box","text":"with a third-par ty policy, or have elected to vote shares in accordance with their own policy. Our clients have greater","page_number":204,"box":{"x":68,"y":138,"width":823,"height":11}},{"id":"a776ca88-10a9-4561-aecb-2e441a4800ce","block_type":"box","text":"control over proxy voting because of Voting Choice.","page_number":204,"box":{"x":69,"y":152,"width":360,"height":12}},{"id":"31981183-8b5c-4361-8000-0a4dbab66c67","block_type":"box","text":"13","page_number":204,"box":{"x":431,"y":153,"width":9,"height":4}},{"id":"574960aa-0014-4262-a453-ede0c73ac276","block_type":"box","text":"Use and oversight of third-party vote services providers","page_number":204,"box":{"x":69,"y":175,"width":403,"height":11}},{"id":"0b08aaaf-6e36-4918-a141-d0c800dbbc9a","block_type":"box","text":"Third-par ty vote services providers – or proxy research firms – provide research and recommendations on proxy","page_number":204,"box":{"x":101,"y":193,"width":794,"height":12}},{"id":"43d5ec3f-c38d-452d-a571-a6bae13f59c9","block_type":"box","text":"votes, as well as voting infrastructure. BlackRock contracts primarily with the vote services provider ISS and","page_number":204,"box":{"x":68,"y":208,"width":770,"height":12}},{"id":"4a952f20-ff2d-408e-b71d-53995962eddf","block_type":"box","text":"leverages its online platform to supply research and suppor t voting, record keeping, and repor ting processes. We","page_number":204,"box":{"x":70,"y":223,"width":807,"height":12}},{"id":"d7e6bea4-173a-4295-85b0-f6684e36516c","block_type":"box","text":"also use Glass Lewis’ research and analysis as an input into our voting process. It is impor tant to note that, although","page_number":204,"box":{"x":69,"y":238,"width":839,"height":11}},{"id":"ca7cea3a-5b9e-4c92-8514-95e2637ce6c8","block_type":"box","text":"proxy research firms provide impor tant data and analysis, BAIS does not rely solely on their information or follow their","page_number":204,"box":{"x":70,"y":253,"width":839,"height":11}},{"id":"fa5801be-ee35-440d-a197-fe0a2eb78ad7","block_type":"box","text":"voting recommendations. A company’s disclosures, our engagements and voting, investment colleagues’ insights and","page_number":204,"box":{"x":68,"y":268,"width":840,"height":11}},{"id":"01adf168-832d-4d15-afac-d82940e634d5","block_type":"box","text":"our Guidelines are impor tant inputs into our voting decisions on behalf of clients.","page_number":204,"box":{"x":69,"y":283,"width":578,"height":11}},{"id":"cf69eaf0-ca48-498e-9ecf-a33d766de788","block_type":"box","text":"Given the large universe of actively held companies, BAIS employs the proxy services provider to streamline the","page_number":204,"box":{"x":102,"y":301,"width":795,"height":12}},{"id":"62eb4bbc-4b1b-4410-bd50-441b994c5c5c","block_type":"box","text":"voting process by making voting recommendations based on BAIS’ Guidelines when the items on a shareholder","page_number":204,"box":{"x":68,"y":316,"width":795,"height":12}},{"id":"2083d01e-347e-4d02-9281-007a3ad3e92b","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":204,"box":{"x":69,"y":331,"width":799,"height":11}},{"id":"bca67f30-a1bf-4de8-b9ca-c5de7d30ba8b","block_type":"box","text":"necessary to the relevant por tfolio managers and vote. BAIS reviews and can override the recommendations of the","page_number":204,"box":{"x":69,"y":346,"width":819,"height":11}},{"id":"ef4ab6a9-cb35-4ccd-83ab-4e7b75c71341","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":204,"box":{"x":68,"y":361,"width":785,"height":11}},{"id":"05b81998-7afc-4a21-a34e-56a5f0f09ae4","block_type":"box","text":"monitor securities filings, research repor ts, company announcements, and direct communications from companies to","page_number":204,"box":{"x":69,"y":376,"width":837,"height":11}},{"id":"3a5df027-2e48-49fb-97be-fc3f0524ac7b","block_type":"box","text":"ensure awareness of supplemental disclosures and proxy materials that may require a modification of votes.","page_number":204,"box":{"x":69,"y":390,"width":775,"height":12}},{"id":"8162652f-0aee-4ccf-8582-3883ec8f8b42","block_type":"box","text":"BAIS closely monitors the third-par ty vote services providers we contract with to ensure that they are meeting our","page_number":204,"box":{"x":102,"y":409,"width":807,"height":11}},{"id":"ec739526-d8c6-4c62-9e91-52c524f9b34d","block_type":"box","text":"service level expectations and have effective policies and procedures in place to manage potential conflicts of","page_number":204,"box":{"x":69,"y":424,"width":788,"height":11}},{"id":"dc0fba31-9426-4c9f-ae3e-e18242e2e673","block_type":"box","text":"interest. Our oversight of service providers includes regular meetings with client service teams, systematic","page_number":204,"box":{"x":70,"y":439,"width":760,"height":11}},{"id":"a40ce717-a81f-4f0a-a687-0e11ee75f0eb","block_type":"box","text":"monitoring of vendor operations, as well as annual due diligence meetings in accordance with BlackRock’s firmwide","page_number":204,"box":{"x":69,"y":454,"width":824,"height":11}},{"id":"444400d3-3176-4123-8819-25cc41d09e32","block_type":"box","text":"policies.","page_number":204,"box":{"x":70,"y":469,"width":56,"height":11}},{"id":"3f1be1f0-3aae-4693-959e-8daab55748bb","block_type":"box","text":"Conflicts management policies and procedures","page_number":204,"box":{"x":69,"y":491,"width":342,"height":11}},{"id":"c502c701-e30f-4be9-8e57-1b18130004a5","block_type":"box","text":"BlackRock maintains policies and procedures that seek to prevent undue influence on BAIS’ proxy voting activity.","page_number":204,"box":{"x":102,"y":510,"width":801,"height":11}},{"id":"6885e975-925e-4eec-8529-ceca68c8b468","block_type":"box","text":"Such influence might stem from any relationship between the investee company (or any shareholder proponent or","page_number":204,"box":{"x":69,"y":525,"width":809,"height":11}},{"id":"c2a20990-2d70-43d4-b7c8-57f46f093d47","block_type":"box","text":"dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or BlackRock employees.","page_number":204,"box":{"x":69,"y":539,"width":831,"height":12}},{"id":"6dda1e77-356b-4084-94f5-729439b546f8","block_type":"box","text":"The following are examples of sources of perceived or potential conflicts of interest:","page_number":204,"box":{"x":68,"y":554,"width":598,"height":12}},{"id":"e64ed29d-7b90-4e2f-8e19-4284105d2262","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":575,"width":6,"height":4}},{"id":"fe718466-1e52-422b-bbc8-576ca743597b","block_type":"box","text":"BlackRock clients who may be issuers of securities or proponents of shareholder resolutions","page_number":204,"box":{"x":102,"y":572,"width":660,"height":11}},{"id":"138f09ed-140a-4819-a3d2-94b8983400a6","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":592,"width":6,"height":5}},{"id":"d5ed9c5b-a3ad-4c76-8152-1856b18ccda7","block_type":"box","text":"BlackRock business par tners or third par ties who may be issuers of securities or proponents of shareholder","page_number":204,"box":{"x":102,"y":589,"width":772,"height":11}},{"id":"4848a5cf-c3b4-4bc2-a37d-35e722efd396","block_type":"box","text":"resolutions","page_number":204,"box":{"x":102,"y":604,"width":78,"height":9}},{"id":"eee01eee-5ab7-474e-a060-998dea4cfa05","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":624,"width":6,"height":5}},{"id":"71f34f49-1e25-45ad-8642-4918f5867c73","block_type":"box","text":"BlackRock employees who may sit on the boards of public companies held in Funds managed by BlackRock","page_number":204,"box":{"x":102,"y":621,"width":766,"height":12}},{"id":"39d68caa-4a48-472e-87e2-c22405d97e57","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":642,"width":6,"height":4}},{"id":"d43fd361-038d-4543-a73a-2be82e1b65ea","block_type":"box","text":"Significant BlackRock, Inc. investors who may be issuers of securities held in Funds managed by BlackRock","page_number":204,"box":{"x":102,"y":639,"width":767,"height":11}},{"id":"3d73fcb5-87c7-4ae9-83e4-1e47a10a7044","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":659,"width":6,"height":5}},{"id":"a0344322-8b8e-4d01-a26b-5494b34b958f","block_type":"box","text":"Securities of BlackRock, Inc. or BlackRock investment funds held in Funds managed by BlackRock","page_number":204,"box":{"x":102,"y":656,"width":698,"height":11}},{"id":"3ada8a4b-af18-42d0-a2fa-1f1bd96999f3","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":676,"width":6,"height":5}},{"id":"16fdab6f-6afe-43cd-ab31-d3a0c071b6da","block_type":"box","text":"BlackRock, Inc. board members who serve as senior executives or directors of public companies held in Funds","page_number":204,"box":{"x":102,"y":673,"width":789,"height":11}},{"id":"82445164-53c6-4e80-93ff-d1df02099289","block_type":"box","text":"managed by BlackRock","page_number":204,"box":{"x":102,"y":689,"width":163,"height":11}},{"id":"78b4ae02-c4e5-4b75-86c9-9b065bc561db","block_type":"box","text":"BlackRock has taken cer tain steps to mitigate perceived or potential conflicts including, but not limited to, the","page_number":204,"box":{"x":102,"y":707,"width":785,"height":11}},{"id":"c84db5b8-8e46-4b2f-91c1-1135254f18e1","block_type":"box","text":"following:","page_number":204,"box":{"x":68,"y":722,"width":66,"height":11}},{"id":"8ed2e6f0-48c5-4331-bd64-525ee6b70dc7","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":742,"width":6,"height":5}},{"id":"a5f18d05-0edf-41a1-8a4f-48dffc3b6554","block_type":"box","text":"Adopted these Guidelines which are designed to advance our clients’ long-term financial interests in the","page_number":204,"box":{"x":101,"y":739,"width":741,"height":11}},{"id":"10c17797-8fbc-4d2c-9371-7cbfb4dcf524","block_type":"box","text":"companies in which BlackRock invests on their behalf","page_number":204,"box":{"x":101,"y":754,"width":383,"height":11}},{"id":"92dd88d8-1c46-4a22-a4f6-9c02eb769a7d","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":774,"width":6,"height":5}},{"id":"9a096f23-b56f-4628-8afc-eacd5a5e73de","block_type":"box","text":"Established a repor ting structure that separates BAIS from employees with sales, vendor management, or","page_number":204,"box":{"x":102,"y":771,"width":757,"height":12}},{"id":"72ec56ba-131f-40f7-afb9-e29ca7ff0a45","block_type":"box","text":"business par tnership roles. In addition, BlackRock seeks to ensure that all engagements with corporate issuers,","page_number":204,"box":{"x":102,"y":787,"width":802,"height":11}},{"id":"77e66a84-0a4b-43ba-a3eb-3d2c0de68e61","block_type":"box","text":"dissident shareholders or shareholder proponents are managed consistently and without regard to BlackRock’s","page_number":204,"box":{"x":101,"y":801,"width":794,"height":11}},{"id":"e0a1f9bc-4680-45a9-896d-48b625eb8abf","block_type":"box","text":"relationship with such par ties. Clients or business par tners are not given preferential treatment or differentiated","page_number":204,"box":{"x":102,"y":816,"width":801,"height":11}},{"id":"91d0442a-53c7-4a71-b4ea-d5a94393e505","block_type":"box","text":"access. BAIS prioritizes engagements based on factors including, but not limited to, our need for additional","page_number":204,"box":{"x":102,"y":831,"width":762,"height":11}},{"id":"45c178cc-62f7-49d6-bbcf-ff70fa2d884a","block_type":"box","text":"12","page_number":204,"box":{"x":69,"y":861,"width":9,"height":4}},{"id":"bfcd9c2b-ba24-4a07-9f3d-e87d458075f2","block_type":"box","text":"With Voting Choice, SMAs have the ability to select from a set of voting policies from third-par ty proxy advisers the","page_number":204,"box":{"x":83,"y":860,"width":814,"height":11}},{"id":"1ad9afb0-f8e8-4985-ae7c-af762cb353ca","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":204,"box":{"x":70,"y":875,"width":838,"height":12}},{"id":"65177d7d-6a69-4d51-a36b-3c44524e503c","block_type":"box","text":"votes based on the client’s selected voting policy.","page_number":204,"box":{"x":68,"y":891,"width":354,"height":11}},{"id":"e9c9a208-6ec7-41f1-ab9d-a3a8a4f6402d","block_type":"box","text":"13","page_number":204,"box":{"x":69,"y":908,"width":9,"height":5}},{"id":"2299e475-bfb6-40c3-87f1-1e2066ad4611","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":204,"box":{"x":84,"y":908,"width":820,"height":11}},{"id":"291447d4-024d-4473-99f2-53822eb3f52a","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":204,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"f803a306-26cd-4e56-bed3-a1ed501d3dce","block_type":"box","text":"Global Engagement and Voting Guidelines | 17","page_number":204,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"60d7fe0e-6f44-4c81-9dd3-ddd790a444f5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":204,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"52a6b73c-870f-42ce-81d7-8250b4fc9da6","block_type":"box","text":"information to make a more informed voting decision or to better understand a company’s perspectives on","page_number":205,"box":{"x":102,"y":45,"width":759,"height":11}},{"id":"1d204313-3b6f-4194-92b1-1cc1cb7a4140","block_type":"box","text":"financially material risks and oppor tunities. Within the normal course of business, BAIS may engage directly with","page_number":205,"box":{"x":101,"y":59,"width":802,"height":12}},{"id":"bdadbb51-a478-4a5b-ab75-d2740724dd9a","block_type":"box","text":"BlackRock clients, business par tners and/or third par ties, and/or with employees with sales, vendor","page_number":205,"box":{"x":102,"y":75,"width":719,"height":11}},{"id":"8d921ee4-8c86-4799-a881-193587c0d8a0","block_type":"box","text":"management, or business par tnership roles, in discussions regarding our approach to stewardship, general","page_number":205,"box":{"x":102,"y":89,"width":766,"height":12}},{"id":"840a0e8c-f08b-4bec-94b3-f119a3905f7c","block_type":"box","text":"corporate governance matters, client repor ting needs, and/or to otherwise ensure that proxy-related client","page_number":205,"box":{"x":101,"y":104,"width":758,"height":11}},{"id":"238032de-efa2-4a53-8ebc-c8758ff9cde4","block_type":"box","text":"service levels are met","page_number":205,"box":{"x":102,"y":119,"width":157,"height":9}},{"id":"e96f1ae7-45e9-4320-b7b7-31129f24a712","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":139,"width":6,"height":5}},{"id":"71921551-ea8f-41d3-a232-652012805020","block_type":"box","text":"Determined to engage, in cer tain instances, an independent third-par ty voting service provider to make proxy","page_number":205,"box":{"x":102,"y":137,"width":777,"height":11}},{"id":"496952b5-8544-474e-9200-883588431edf","block_type":"box","text":"voting recommendations as a fur ther safeguard to avoid perceived or potential conflicts of interest, to satisfy","page_number":205,"box":{"x":101,"y":151,"width":779,"height":11}},{"id":"18978ab3-0da0-4094-8ab2-2ec485f00d46","block_type":"box","text":"regulatory requirements, or as may be otherwise required by applicable law. In such circumstances, the","page_number":205,"box":{"x":102,"y":166,"width":738,"height":11}},{"id":"35c85c9e-e813-410a-90ec-a568ff02aa79","block_type":"box","text":"independent third-par ty voting service provider provides BlackRock with recommendations, in accordance with","page_number":205,"box":{"x":102,"y":181,"width":782,"height":11}},{"id":"a2a30d35-1940-4466-a3c3-31f7c20b9af0","block_type":"box","text":"the Guidelines, as to how to vote such proxies. BlackRock uses an independent third-par ty voting service","page_number":205,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"f3bd0460-f948-478f-b679-6d70c3824d18","block_type":"box","text":"provider to make proxy voting recommendations for shares of BlackRock, Inc. and companies affiliated with","page_number":205,"box":{"x":102,"y":211,"width":765,"height":11}},{"id":"64880b93-5666-400a-bf9a-7de47a41f389","block_type":"box","text":"BlackRock, Inc. BlackRock may also use an independent third-par ty voting service provider to make proxy voting","page_number":205,"box":{"x":102,"y":226,"width":797,"height":11}},{"id":"3b8c101f-0ce9-414c-8e7c-60cd009962ca","block_type":"box","text":"recommendations for cer tain perceived or potential conflicts of interest, including:","page_number":205,"box":{"x":102,"y":240,"width":584,"height":12}},{"id":"9fb7f9b2-2d84-4f05-ac9d-b03e293c6316","block_type":"box","text":"•","page_number":205,"box":{"x":102,"y":261,"width":6,"height":4}},{"id":"2420f62a-4f52-4791-b973-91a99565b58c","block_type":"box","text":"public companies that include BlackRock employees on their boards of directors","page_number":205,"box":{"x":135,"y":258,"width":570,"height":11}},{"id":"f4b55f9e-e327-44cf-ad46-88a4736e575d","block_type":"box","text":"•","page_number":205,"box":{"x":102,"y":278,"width":6,"height":5}},{"id":"83ae3085-23de-4453-ad30-981781ff10b0","block_type":"box","text":"public companies of which a BlackRock, Inc. board member serves as a senior executive or a member of","page_number":205,"box":{"x":135,"y":275,"width":748,"height":11}},{"id":"dabe6f2b-3710-4bc5-8654-161ec9c90e10","block_type":"box","text":"the board of directors","page_number":205,"box":{"x":134,"y":290,"width":153,"height":9}},{"id":"50345a54-eeb5-4cb3-9c94-ebd5f4c16d82","block_type":"box","text":"•","page_number":205,"box":{"x":102,"y":310,"width":6,"height":5}},{"id":"09c97303-af03-4a56-a29f-c0a554942c79","block_type":"box","text":"public companies that are the subject of cer tain transactions involving BlackRock Funds","page_number":205,"box":{"x":135,"y":307,"width":626,"height":12}},{"id":"6a1c5626-b08f-473a-aefc-6be4e69a2312","block_type":"box","text":"•","page_number":205,"box":{"x":102,"y":328,"width":6,"height":4}},{"id":"d964475c-a6f2-491f-a805-bf6f4da3c889","block_type":"box","text":"public companies that are joint venture par tners with BlackRock, and","page_number":205,"box":{"x":135,"y":325,"width":490,"height":11}},{"id":"315e1267-8d0c-45ee-81d3-47341ae9ca48","block_type":"box","text":"•","page_number":205,"box":{"x":102,"y":345,"width":6,"height":5}},{"id":"3bde275d-0af0-4a8a-9a69-ed651e4d0a51","block_type":"box","text":"public companies when legal or regulatory requirements compel BlackRock to use an independent third","page_number":205,"box":{"x":135,"y":342,"width":740,"height":11}},{"id":"d85ab402-6796-4b28-8448-11783e3c78b4","block_type":"box","text":"par ty voting service provider","page_number":205,"box":{"x":135,"y":357,"width":200,"height":11}},{"id":"4d7b17ff-c568-4309-9a92-2b27dc0338de","block_type":"box","text":"In selecting an independent third-par ty voting service provider, we assess several characteristics, including but","page_number":205,"box":{"x":102,"y":376,"width":790,"height":11}},{"id":"afe33938-dbc3-4be7-9497-e142feba7f1b","block_type":"box","text":"not limited to: independence, an ability to analyze proxy issues and make recommendations in the economic interest","page_number":205,"box":{"x":69,"y":391,"width":834,"height":11}},{"id":"b818e5de-bd99-4e27-85e3-cc2795ee2dce","block_type":"box","text":"of our clients in accordance with the Guidelines, reputation for reliability and integrity, and operational capacity to","page_number":205,"box":{"x":69,"y":405,"width":806,"height":12}},{"id":"a51b88f3-0d4b-4acd-a332-edaafae6db18","block_type":"box","text":"accurately deliver the assigned recommendations in a timely manner. We may engage more than one independent","page_number":205,"box":{"x":69,"y":420,"width":813,"height":12}},{"id":"94c213fc-432f-4e3a-97a2-255c54c32176","block_type":"box","text":"third-par ty voting service provider, in par t to mitigate potential or perceived conflicts of interest at a single voting","page_number":205,"box":{"x":68,"y":435,"width":804,"height":11}},{"id":"2865dbc0-cb58-4439-9d76-79afd891a3b9","block_type":"box","text":"service provider.","page_number":205,"box":{"x":69,"y":450,"width":115,"height":11}},{"id":"f64db219-65d1-4b31-89ae-adfc3fbcaec4","block_type":"box","text":"Securities lending","page_number":205,"box":{"x":68,"y":473,"width":131,"height":11}},{"id":"207b5a52-e5a8-409d-844f-51ee8655deea","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":205,"box":{"x":102,"y":491,"width":785,"height":11}},{"id":"a5e65b84-cbcb-4f0a-92ad-8fdeb40d263d","block_type":"box","text":"regulated practice that contributes to capital market efficiency. It also enables funds to generate additional returns","page_number":205,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"54e3dbc1-6708-478b-9533-8ae6587756de","block_type":"box","text":"which in turn may allow fund providers to offset fund expenses.","page_number":205,"box":{"x":68,"y":521,"width":452,"height":11}},{"id":"2554b649-7d4c-4acd-b375-e9492a4d2f9b","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":205,"box":{"x":101,"y":540,"width":779,"height":11}},{"id":"6f90eccc-76fb-4dce-b5fa-7ac1fb0438de","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":205,"box":{"x":70,"y":554,"width":816,"height":12}},{"id":"fa51ed03-04cf-442d-b8d3-a290d07b1530","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":205,"box":{"x":69,"y":569,"width":836,"height":11}},{"id":"43d7ab14-873e-4a7e-b529-fcd087478938","block_type":"box","text":"cases, the decision to recall securities on loan as par t of BlackRock’s securities lending program in order to vote is","page_number":205,"box":{"x":69,"y":584,"width":824,"height":11}},{"id":"0cce1b02-bb66-4fc3-8139-b47bf2b3647e","block_type":"box","text":"based on an evaluation of various factors that include, but are not limited to, assessing potential securities lending","page_number":205,"box":{"x":69,"y":599,"width":823,"height":11}},{"id":"b03441ee-2f65-4d1a-8637-cfcad54407d5","block_type":"box","text":"revenue alongside the potential long-term financial value to clients of voting those securities (based on the","page_number":205,"box":{"x":69,"y":614,"width":761,"height":11}},{"id":"9ef4b2d3-3c08-4e20-a9cd-4b55afb0347a","block_type":"box","text":"information available at the time of recall consideration). BAIS works with active por tfolio managers, as well as","page_number":205,"box":{"x":70,"y":629,"width":789,"height":11}},{"id":"9e61435e-d56c-42f5-8631-8bab89640795","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":205,"box":{"x":69,"y":643,"width":821,"height":12}},{"id":"2811a60b-68a5-45cc-87f3-4d3591d2158e","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":205,"box":{"x":102,"y":662,"width":770,"height":11}},{"id":"901da30f-0de8-464d-b4a4-ffac0b7e0c1d","block_type":"box","text":"shares would not warrant recalling securities on loan. However, in cer tain instances, BlackRock may determine, in","page_number":205,"box":{"x":69,"y":677,"width":813,"height":11}},{"id":"89d82689-1950-44ce-90a0-b8fef35bd0fc","block_type":"box","text":"our independent business judgment as a fiduciary, that the value of voting outweighs the securities lending revenue","page_number":205,"box":{"x":69,"y":692,"width":825,"height":11}},{"id":"4b39df12-e760-4d15-8841-e11e88740a38","block_type":"box","text":"loss to clients and would therefore recall shares to be voted in those instances.","page_number":205,"box":{"x":70,"y":707,"width":568,"height":9}},{"id":"0f9e4567-a3cb-43c4-bb59-dd6b6f55315a","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":205,"box":{"x":102,"y":725,"width":790,"height":12}},{"id":"0e511918-a357-45b1-86ed-beb64a929c0b","block_type":"box","text":"and may modify it as necessary.","page_number":205,"box":{"x":69,"y":740,"width":228,"height":11}},{"id":"b6539644-3a25-4afb-b346-a6ae98d9a06a","block_type":"box","text":"Reporting and vote transparency","page_number":205,"box":{"x":69,"y":763,"width":239,"height":11}},{"id":"73c3e273-beed-405f-abb1-95cb64f4cb96","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":205,"box":{"x":102,"y":781,"width":788,"height":11}},{"id":"0b21ebca-d08c-4da4-92dd-0f89f8de2e75","block_type":"box","text":"our engagement and voting policies and activities through direct communication and disclosure on our website.","page_number":205,"box":{"x":69,"y":796,"width":791,"height":11}},{"id":"caa45b8f-cf5a-404b-83c0-015a4d8502bc","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":205,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"cd679cfd-125e-42fb-bcac-9795a212d794","block_type":"box","text":"Global Engagement and Voting Guidelines | 18","page_number":205,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"2ffe079c-cdd9-44eb-ae30-89e2e5d60296","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":205,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ac56d4cc-fc1e-461a-8980-86f79be3d483","block_type":"box","text":"Want to know more?","page_number":206,"box":{"x":68,"y":762,"width":152,"height":8}},{"id":"cefc09e2-7329-4663-9e0b-348b0df32b86","block_type":"box","text":"blackrock.com/stewardship | ContactActiveStewardship@blackrock.com","page_number":206,"box":{"x":69,"y":791,"width":510,"height":13}},{"id":"85f3b025-bb0c-4f27-bebb-5c6f2ea19d45","block_type":"box","text":"The document is provided for information purposes only and is subject to change. Reliance upon this information is","page_number":206,"box":{"x":68,"y":822,"width":823,"height":11}},{"id":"664d0d17-dc30-4907-a112-3648e2826d65","block_type":"box","text":"at the sole discretion of the reader.","page_number":206,"box":{"x":69,"y":837,"width":250,"height":9}},{"id":"3d4dfd9f-c581-46ad-a625-2611c9c17fa7","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":206,"box":{"x":69,"y":868,"width":196,"height":10}},{"id":"b63debfd-7fbe-4e75-b5af-3c8b2b4a0319","block_type":"box","text":"©","page_number":206,"box":{"x":68,"y":898,"width":6,"height":4}},{"id":"7e138101-1007-4b80-890f-3efe185c0e04","block_type":"box","text":"2025 BlackRock, Inc. All rights reserved. BLACKROCK is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":206,"box":{"x":75,"y":898,"width":809,"height":11}},{"id":"85ce32e0-1df9-4a35-b623-e04b80ab4b3a","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":206,"box":{"x":70,"y":913,"width":624,"height":11}},{"id":"c882a12e-cc08-4f4e-96d4-0b52a927e3dc","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":206,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"35e55332-44ec-4a24-b323-dab91e9e9400","block_type":"box","text":"Global Engagement and Voting Guidelines | 19","page_number":206,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"ec0a34f8-bda1-44e7-bf44-3250b2d8c2fd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":206,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"98ffafbe-5021-48c1-8aec-829c7f580001","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":207,"box":{"x":352,"y":75,"width":275,"height":11}},{"id":"3cbb5677-0d19-49b1-9cce-7936c25ee5b0","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":207,"box":{"x":247,"y":90,"width":486,"height":11}},{"id":"d6459ca0-3932-4bf7-8685-51706de9af62","block_type":"box","text":"Effective Date: January 1, 2025","page_number":207,"box":{"x":376,"y":105,"width":227,"height":11}},{"id":"f36ad198-f8b4-488f-84b9-d952ab14f4f4","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":207,"box":{"x":231,"y":128,"width":515,"height":11}},{"id":"8328bb11-1159-4b9a-8ee1-b432c88e7604","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":207,"box":{"x":306,"y":151,"width":388,"height":11}},{"id":"e0717c2e-36d0-46d7-bfc1-e7c44733f508","block_type":"box","text":"□","page_number":207,"box":{"x":184,"y":173,"width":14,"height":11}},{"id":"305b24ae-f93d-4dce-8052-ed375014f1d0","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":207,"box":{"x":205,"y":173,"width":589,"height":11}},{"id":"8a57b8b4-369b-4006-ab05-8d1b11181023","block_type":"box","text":"□","page_number":207,"box":{"x":405,"y":196,"width":14,"height":11}},{"id":"f750d269-c6d4-4772-beab-9d7cd628a4b2","block_type":"box","text":"Money Market Funds","page_number":207,"box":{"x":426,"y":196,"width":147,"height":11}},{"id":"1e33ed89-aa78-4cb7-8e68-752bfca1f4c7","block_type":"box","text":"□","page_number":207,"box":{"x":416,"y":218,"width":14,"height":12}},{"id":"42aa869b-c75e-4ed6-9c41-439c11ec9d7e","block_type":"box","text":"Closed-End Funds","page_number":207,"box":{"x":437,"y":219,"width":125,"height":8}},{"id":"413e7406-123d-4a46-880f-8dd27322d968","block_type":"box","text":"□","page_number":207,"box":{"x":460,"y":241,"width":14,"height":11}},{"id":"11952dc4-4978-4bf3-8ec2-0621f8f821bf","block_type":"box","text":"Other","page_number":207,"box":{"x":481,"y":241,"width":38,"height":9}},{"id":"e2d45675-9311-4175-a708-3bc2d53ee37d","block_type":"box","text":"Objective and Scope","page_number":207,"box":{"x":101,"y":260,"width":149,"height":11}},{"id":"0335ccea-5f12-48ba-885f-12945059b56f","block_type":"box","text":"Set for th below is the Index Equity Fund Proxy Voting Policy.","page_number":207,"box":{"x":134,"y":279,"width":421,"height":11}},{"id":"14394950-7055-4d16-a7ac-66b03ba0d44d","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":207,"box":{"x":102,"y":297,"width":354,"height":11}},{"id":"5725c1e4-3124-41b4-a00b-15b5e4068076","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of cer tain open-end funds (the “Funds”) advised by","page_number":207,"box":{"x":134,"y":316,"width":702,"height":11}},{"id":"c350f6dc-6c2e-48dc-a4ef-8b4b8f93be63","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":207,"box":{"x":102,"y":331,"width":789,"height":11}},{"id":"139ecdaf-f9da-4b82-a917-3a3809579b06","block_type":"box","text":"voting proxies relating to por tfolio securities of the Funds, and have determined that it is in the best interests of","page_number":207,"box":{"x":101,"y":346,"width":801,"height":11}},{"id":"36a050e6-5ef3-448e-9c87-348b8b4ba5f3","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":207,"box":{"x":101,"y":361,"width":763,"height":11}},{"id":"aa34239e-9b34-41bf-9269-2318b1cb3602","block_type":"box","text":"principles outlined in this Policy, as par t of BlackRock’s authority to manage, acquire and dispose of account","page_number":207,"box":{"x":102,"y":375,"width":775,"height":12}},{"id":"969201e4-5eed-4415-92b4-44628afc7a1a","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":207,"box":{"x":102,"y":391,"width":651,"height":11}},{"id":"6d5435a5-7488-4fb2-abef-0283eb503d7a","block_type":"box","text":"BlackRock has adopted the BlackRock Investment Stewardship Global Benchmark Policy (as from time to","page_number":207,"box":{"x":135,"y":409,"width":748,"height":11}},{"id":"e85f0c2c-41dc-4e72-86e9-eb480003df28","block_type":"box","text":"time amended, the “Guidelines”) governing proxy voting by index equity Funds managed by BlackRock, except for","page_number":207,"box":{"x":101,"y":424,"width":804,"height":11}},{"id":"f5bd16ca-c5b8-410b-accd-24d3ff5d65bf","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":207,"box":{"x":101,"y":439,"width":793,"height":11}},{"id":"f3aff833-9fe2-4831-8799-dc4a8f15141e","block_type":"box","text":"time amended, the “BlackRock Climate and Decarbonization Stewardship Guidelines”) governing proxy voting for","page_number":207,"box":{"x":101,"y":454,"width":801,"height":11}},{"id":"e2e09ada-66fc-4df6-9fd2-dc332c8c5d76","block_type":"box","text":"matters covered in the BlackRock Climate and Decarbonization Stewardship Guidelines by the Funds listed in","page_number":207,"box":{"x":102,"y":469,"width":777,"height":11}},{"id":"df63a8e6-641d-41ec-ab0a-03f61aa7a383","block_type":"box","text":"Appendix A.","page_number":207,"box":{"x":101,"y":484,"width":82,"height":10}},{"id":"c46ed693-add7-4c4b-9776-51f31412e486","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":207,"box":{"x":135,"y":502,"width":751,"height":11}},{"id":"1be0ea34-66d1-4bca-8d1c-da72f7c5ca67","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":207,"box":{"x":102,"y":517,"width":791,"height":11}},{"id":"e7cdcdd8-4803-4d82-bab6-b1785b61fd43","block_type":"box","text":"the BlackRock Climate and Decarbonization Stewardship Guidelines, as applicable.","page_number":207,"box":{"x":101,"y":532,"width":591,"height":11}},{"id":"3d54ad2c-d61b-44a5-86f5-be66bff6eb9c","block_type":"box","text":"Conflicts Management","page_number":207,"box":{"x":101,"y":550,"width":165,"height":11}},{"id":"2172438f-05d0-41e3-aacd-c4d6f1beaf64","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) maintains policies and procedures that seek to prevent undue","page_number":207,"box":{"x":135,"y":569,"width":751,"height":11}},{"id":"e56a8f79-75b6-4172-9461-0d302b87c62f","block_type":"box","text":"influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise of","page_number":207,"box":{"x":102,"y":584,"width":767,"height":11}},{"id":"47d68286-3c4e-4cfd-9ed7-01382fcbb9cf","block_type":"box","text":"proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":207,"box":{"x":102,"y":599,"width":787,"height":11}},{"id":"5e2ffb16-ee79-4c0a-a7ce-cf8d6bb0a193","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":207,"box":{"x":102,"y":614,"width":797,"height":11}},{"id":"226c86fc-0ad5-45f2-8a51-3ce2e508b925","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":207,"box":{"x":102,"y":628,"width":756,"height":12}},{"id":"6c7e6241-6963-443b-83d5-eba0c23ed03f","block_type":"box","text":"cer tain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":207,"box":{"x":101,"y":643,"width":800,"height":12}},{"id":"fc1352e2-30bc-4569-bfae-56a9141b804a","block_type":"box","text":"BIS will adhere to the Guidelines.","page_number":207,"box":{"x":102,"y":658,"width":235,"height":9}},{"id":"db455caa-adde-48d7-b360-36ba54ebc127","block_type":"box","text":"In cer tain instances, BIS will engage an independent third-par ty voting service provider to make proxy voting","page_number":207,"box":{"x":135,"y":677,"width":769,"height":11}},{"id":"b6c1c12d-31f3-46c8-88a0-751c722ce978","block_type":"box","text":"recommendations as a fur ther safeguard to avoid potential conflicts of interest, to satisfy regulatory compliance","page_number":207,"box":{"x":102,"y":692,"width":800,"height":11}},{"id":"c502dd5c-627c-49ad-b90d-320efebbf34a","block_type":"box","text":"requirements, or as may be otherwise required by applicable law.","page_number":207,"box":{"x":102,"y":707,"width":463,"height":11}},{"id":"e2c56c30-051e-45d1-a4cc-b0b7e52824b6","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":207,"box":{"x":134,"y":725,"width":774,"height":11}},{"id":"dda71ce9-2e12-44c8-b31a-366301710f60","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":207,"box":{"x":102,"y":740,"width":791,"height":11}},{"id":"74aaf8a5-576e-460e-bf00-f684d3105005","block_type":"box","text":"in clients’ financial interests. The Guidelines set for th BlackRock’s approach to recalling securities on loan in","page_number":207,"box":{"x":102,"y":755,"width":778,"height":11}},{"id":"18feb69b-64f0-4680-9706-c84f0ff2ebd8","block_type":"box","text":"connection with proxy voting.","page_number":207,"box":{"x":101,"y":770,"width":203,"height":11}},{"id":"3dfa1cc3-c01c-45a0-b868-23ee5810f43a","block_type":"box","text":"Reports to the Board","page_number":207,"box":{"x":102,"y":789,"width":153,"height":10}},{"id":"74913281-f11b-4d5f-8043-38de8b8f6870","block_type":"box","text":"BlackRock will repor t on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":207,"box":{"x":135,"y":807,"width":755,"height":11}},{"id":"34a9d3e1-d45a-4d74-afc3-8ed274e46a9d","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":207,"box":{"x":102,"y":822,"width":794,"height":11}},{"id":"6721b4d8-678c-453f-9fef-5ccdf317ef04","block_type":"box","text":"were in accordance with the Guidelines and the BlackRock Climate and Decarbonization Stewardship Guidelines,","page_number":207,"box":{"x":101,"y":837,"width":802,"height":11}},{"id":"e568975a-3dbd-421a-9dcb-2ad50fe4f4d8","block_type":"box","text":"as applicable (2) any material changes to the Guidelines and the BlackRock Climate and Decarbonization","page_number":207,"box":{"x":102,"y":852,"width":747,"height":11}},{"id":"ad649608-34c9-4eb8-94ea-421823d14ca6","block_type":"box","text":"Stewardship Guidelines, including material changes to conflicts management practices, that have not previously","page_number":207,"box":{"x":102,"y":866,"width":798,"height":12}},{"id":"f6f0e432-7f04-4d09-97f7-59323b9379bc","block_type":"box","text":"been repor ted.","page_number":207,"box":{"x":102,"y":882,"width":104,"height":10}},{"id":"68ce91e7-4c90-43f8-b320-90e22bb2242f","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":207,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"930608ed-4d64-47a9-b207-53d625d20695","block_type":"box","text":"BlackRock","page_number":207,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"7e3567e0-9fd9-4fc1-96b7-89b28d750257","block_type":"box","text":"Public Page 1 of 2","page_number":207,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"bf3f2c59-8cce-4d3b-bda4-b8046ae03f64","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":207,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3ea4a38f-b05b-41df-8db9-dd0d7dbc29ac","block_type":"box","text":"Appendix A","page_number":208,"box":{"x":101,"y":75,"width":82,"height":11}},{"id":"279f3d84-03c7-4ed9-b445-7fdba4cc64ce","block_type":"box","text":"iShares Climate Conscious & Transition MSCI USA ETF","page_number":208,"box":{"x":135,"y":98,"width":389,"height":9}},{"id":"3ef4cbf8-414e-4abb-a2f7-b0b44d9f04b8","block_type":"box","text":"iShares ESG Advanced MSCI EAFE ETF","page_number":208,"box":{"x":135,"y":120,"width":274,"height":9}},{"id":"763d81d8-0a0a-4616-9b95-f69ac2438138","block_type":"box","text":"iShares ESG Advanced MSCI EM ETF","page_number":208,"box":{"x":135,"y":143,"width":261,"height":9}},{"id":"33700431-b937-4cdb-bd21-fcff5f969812","block_type":"box","text":"iShares ESG Advanced MSCI USA ETF","page_number":208,"box":{"x":135,"y":166,"width":268,"height":9}},{"id":"accaff5e-6232-4acf-92a7-330632412cf0","block_type":"box","text":"iShares ESG MSCI EM Leaders ETF","page_number":208,"box":{"x":135,"y":188,"width":250,"height":9}},{"id":"6f86a8a2-3ea1-43cb-9367-658d123c3af2","block_type":"box","text":"iShares ESG MSCI USA Leaders ETF","page_number":208,"box":{"x":135,"y":211,"width":257,"height":9}},{"id":"852dc040-d253-4f91-af67-9b5faf36ae01","block_type":"box","text":"iShares MSCI ACWI Low Carbon Target ETF","page_number":208,"box":{"x":135,"y":234,"width":304,"height":11}},{"id":"c57fc331-5cfe-4781-8d00-302de69e45a8","block_type":"box","text":"iShares MSCI KLD 400 Social ETF","page_number":208,"box":{"x":135,"y":256,"width":242,"height":9}},{"id":"d1e6f954-573c-4f7c-bc5e-342316d71dc5","block_type":"box","text":"iShares MSCI USA ESG Select ETF","page_number":208,"box":{"x":135,"y":279,"width":245,"height":9}},{"id":"9892e14b-87c2-42a3-bafc-f7427e365090","block_type":"box","text":"iShares Paris-Aligned Climate MSCI USA ETF","page_number":208,"box":{"x":135,"y":302,"width":315,"height":11}},{"id":"bfa3888f-ebd0-44f7-bf89-7a5a4e8920b3","block_type":"box","text":"iShares Paris-Aligned Climate MSCI World ex USA ETF","page_number":208,"box":{"x":135,"y":324,"width":380,"height":12}},{"id":"85509641-ae23-4dd6-9e87-4981dc66944d","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":208,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"ca94eef1-ab3f-4ba0-b539-7f875d3602fd","block_type":"box","text":"BlackRock","page_number":208,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"0cc31be8-8da2-4f10-90b3-5c7c395158ec","block_type":"box","text":"Public Page 2 of 2","page_number":208,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"dcaf0c07-b835-4141-aec2-98507952417d","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":208,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bed9935f-fbeb-46b6-bd2e-c4aae19d95b3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":209,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"7b9f7019-c2e3-4bd7-beea-48f3cd73369d","block_type":"box","text":"Global Principles for Benchmark Policies","page_number":209,"box":{"x":341,"y":67,"width":296,"height":11}},{"id":"1fe1cf7a-ddb0-49b5-94b0-04cb37c2d5c3","block_type":"box","text":"Effective as of January 2026","page_number":209,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"8719c9c9-aa3b-4155-bd0f-e6ed4042b45d","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":209,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1b9133ad-34cc-4710-88e8-effd59229568","block_type":"box","text":"TABLE OF CONTENTS","page_number":210,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"6a0af5d3-c57f-445a-8b37-db83254ba50d","block_type":"box","text":"Page","page_number":210,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"f99bb6a1-c980-43ce-b8b5-19219bffd578","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":210,"box":{"x":74,"y":84,"width":451,"height":9}},{"id":"66a583ae-dea8-4137-bac6-4c715a25c22d","block_type":"box","text":".......................................... 3","page_number":210,"box":{"x":528,"y":84,"width":376,"height":9}},{"id":"f3221608-0bb9-442f-82ca-985e5fa197d9","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":210,"box":{"x":74,"y":101,"width":337,"height":9}},{"id":"0a79ade0-8342-4adb-88b9-e4b296a278c8","block_type":"box","text":"........................................................ 3","page_number":210,"box":{"x":414,"y":101,"width":490,"height":9}},{"id":"404ae0a5-bfbd-4227-b78a-7d5317012742","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":210,"box":{"x":74,"y":117,"width":197,"height":9}},{"id":"e5352054-7d4b-417b-a538-e32ac1f4b3aa","block_type":"box","text":"......................................................................... 4","page_number":210,"box":{"x":275,"y":117,"width":629,"height":9}},{"id":"4902c730-b3ec-47ad-866c-e87334a4a308","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":210,"box":{"x":74,"y":134,"width":190,"height":8}},{"id":"f85de6af-a6a6-4ebd-b886-ae11e5006979","block_type":"box","text":".......................................................................... 5","page_number":210,"box":{"x":267,"y":134,"width":637,"height":8}},{"id":"848d898e-f75c-4ee7-99c1-6aa90ae8e4ac","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":210,"box":{"x":73,"y":150,"width":294,"height":9}},{"id":"45a5e692-ef51-4ecb-944b-32975ebe1281","block_type":"box","text":"............................................................. 7","page_number":210,"box":{"x":373,"y":150,"width":531,"height":9}},{"id":"1215a046-f2a9-45a9-9851-aa8e02fba516","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":210,"box":{"x":74,"y":166,"width":728,"height":11}},{"id":"e920fb5a-d6d9-4d0a-90d7-dd1356d3f605","block_type":"box","text":"........ 7","page_number":210,"box":{"x":805,"y":166,"width":99,"height":9}},{"id":"149a6112-a47f-4d9d-a15d-04cf30d60ba7","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":210,"box":{"x":74,"y":183,"width":322,"height":9}},{"id":"e48237c8-ad1a-47dd-9f90-5c150a665e86","block_type":"box","text":"......................................................... 8","page_number":210,"box":{"x":406,"y":183,"width":498,"height":9}},{"id":"9ff6c5af-8aa5-41c5-9ed6-c2865b769e18","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":210,"box":{"x":73,"y":199,"width":595,"height":9}},{"id":"31c8529f-b90b-407a-b447-4fbc06c17f44","block_type":"box","text":"........................ 9","page_number":210,"box":{"x":675,"y":199,"width":229,"height":9}},{"id":"c06d1972-3823-4dc7-83fd-b3570db55778","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":210,"box":{"x":73,"y":215,"width":207,"height":9}},{"id":"9dbc8426-5394-4b27-8385-f0768b3735b5","block_type":"box","text":"........................................................................ 9","page_number":210,"box":{"x":283,"y":215,"width":621,"height":9}},{"id":"d17fbf5c-b23c-4bf7-aa95-b400f2b72467","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":210,"box":{"x":74,"y":232,"width":484,"height":9}},{"id":"6a10433c-1053-49d7-b126-7d7e2ec7ffc9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":210,"box":{"x":561,"y":232,"width":343,"height":9}},{"id":"220cd8bd-c827-4b20-9999-91aa444120da","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":210,"box":{"x":74,"y":248,"width":553,"height":9}},{"id":"cca0ebc0-72da-426d-a6c7-ef5864846c81","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":210,"box":{"x":634,"y":248,"width":270,"height":9}},{"id":"bc5e75a5-f257-4930-9ea0-291640542665","block_type":"box","text":"VOTING CHOICE","page_number":210,"box":{"x":73,"y":265,"width":118,"height":8}},{"id":"1aa67326-74f3-499e-b7f4-9aebd3589fc3","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13","page_number":210,"box":{"x":194,"y":265,"width":710,"height":8}},{"id":"2662ba84-3e95-4711-be71-6de0dab10fb9","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":210,"box":{"x":74,"y":295,"width":293,"height":9}},{"id":"d840333f-9fdd-4991-86b1-31d5e3f70c60","block_type":"box","text":".............................................................","page_number":210,"box":{"x":373,"y":302,"width":491,"height":2}},{"id":"dafa6f86-87ee-4538-8b42-eb8a0f4af58d","block_type":"box","text":"14","page_number":210,"box":{"x":886,"y":281,"width":18,"height":9}},{"id":"765ba1cb-48b8-4e4a-9f3a-0af1e7b51fe8","block_type":"box","text":"The purpose of this document is to provide an overarching explanation of BlackRock’s global approach to our","page_number":210,"box":{"x":75,"y":341,"width":778,"height":12}},{"id":"db3a3531-7833-481b-8a65-e6c4580e565a","block_type":"box","text":"responsibilities as a shareholder on behalf of our clients, the principles that guide our dialogue with","page_number":210,"box":{"x":74,"y":355,"width":711,"height":11}},{"id":"a94a0358-d002-4d8c-8f18-dadb6a34b75f","block_type":"box","text":"companies, and our commitments to clients in terms of our own governance and transparency.","page_number":210,"box":{"x":74,"y":369,"width":674,"height":11}},{"id":"dcb5d405-09f5-494d-8ca9-f461ea3dbc76","block_type":"box","text":"BlackRock Investment Stewardship","page_number":210,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"1aaa6878-4947-4d61-b198-cb7ee1db9858","block_type":"box","text":"Global Principles | 2","page_number":210,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"1d3d8fb8-fcf0-42f8-8d30-06baff9685d0","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":210,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"41e3f89a-177f-486f-b9c1-46a5ab12f9da","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":211,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"ae105c23-e230-493f-8d67-196b5df1a674","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":211,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"7aef426f-d9d2-4c35-a08f-dc273fb29ad1","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":211,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"adf6e927-7757-44fc-8f48-a6f2aa7ceeb0","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":211,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"be41985d-6c77-4759-a17f-512ec81a3ce5","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":211,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"5519996d-03c1-43fe-a26f-612d99991466","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship effor ts, reflecting the","page_number":211,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"92b5c076-38c4-4cb2-8458-5affa21e5f66","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":211,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"3950afa9-8a69-42bc-894b-c608f7839a30","block_type":"box","text":"1. Engaging with the boards and management of companies","page_number":211,"box":{"x":69,"y":171,"width":451,"height":11}},{"id":"80669cc0-cb55-4992-b0ee-03f4068e4d93","block_type":"box","text":"in which clients are invested to deepen our","page_number":211,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"5d1963ce-6af3-48cd-9ec9-9a8c07a94e36","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":211,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"1457b8e1-a0b6-4348-97c7-632de8049ec6","block_type":"box","text":"oppor tunities over time, and to help inform our voting on behalf of clients.","page_number":211,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"d948dc00-c690-48ad-a26f-01b100fe5e66","block_type":"box","text":"1","page_number":211,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"81ca70c5-4e8c-4985-bd5a-98f2e3e14ba1","block_type":"box","text":"2. Voting at shareholder meetings","page_number":211,"box":{"x":69,"y":221,"width":260,"height":11}},{"id":"e798a2b3-3eed-46e3-bcc0-4a1cc7466ae2","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":211,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"92543244-8e4b-4e7f-82c9-5fef3ee74d87","block_type":"box","text":"to vote on their behalf.","page_number":211,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"efa321e4-7f4c-41fa-856f-c6c8430fd39b","block_type":"box","text":"3. Contributing to industry dialogue on stewardship","page_number":211,"box":{"x":69,"y":256,"width":388,"height":11}},{"id":"7a794e54-d85a-4408-92c0-5e07e4fb38f7","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":211,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"5c7ca358-c9e6-46ac-bfbc-10c9c0933fd5","block_type":"box","text":"clients’ investments.","page_number":211,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"54f53227-a9e6-43a4-8650-b5b94957de2a","block_type":"box","text":"4. Reporting on our activities to inform clients","page_number":211,"box":{"x":69,"y":292,"width":351,"height":11}},{"id":"c1c7fc49-850d-4c2e-9e60-1747861a1c9e","block_type":"box","text":"about our stewardship effor ts on their behalf through a range of","page_number":211,"box":{"x":426,"y":292,"width":457,"height":11}},{"id":"4675db2e-6af5-4f7f-a96a-35c43c7c1b7e","block_type":"box","text":"publications on our website and direct client communications.","page_number":211,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"7a947aeb-7160-4f6b-a2f9-c8dee9f7a43a","block_type":"box","text":"This document provides an overarching explanation of the principles that guide our approach to engaging and","page_number":211,"box":{"x":101,"y":329,"width":778,"height":12}},{"id":"4e605bb6-fae2-4316-8cbf-516a1556a8a1","block_type":"box","text":"voting on corporate governance matters and other material risks and oppor tunities under BIS’ Benchmark Policies.","page_number":211,"box":{"x":68,"y":345,"width":817,"height":11}},{"id":"883e7271-a87a-49e1-911a-992b1a4f6bfb","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":211,"box":{"x":68,"y":360,"width":790,"height":11}},{"id":"458da936-5326-4ee1-9bba-82262619bfa6","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":211,"box":{"x":70,"y":375,"width":829,"height":11}},{"id":"34a8aaa6-4b13-4c56-b5e5-465c92089615","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":211,"box":{"x":69,"y":390,"width":648,"height":11}},{"id":"d8311730-9339-40ba-9e67-bea4004c9163","block_type":"box","text":"2","page_number":211,"box":{"x":718,"y":390,"width":4,"height":5}},{"id":"b19decb4-7178-4490-a6e7-38034083fa49","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":211,"box":{"x":321,"y":420,"width":337,"height":9}},{"id":"78647315-ee6b-4aff-bbe1-ab0d5882b212","block_type":"box","text":"Sound governance is critical to a company’s ability to create long-term financial value. We maintain global","page_number":211,"box":{"x":102,"y":443,"width":751,"height":11}},{"id":"794c438c-55da-4155-b9c8-d6592864c743","block_type":"box","text":"principles on corporate governance, which guide our approach to stewardship across jurisdictions, while recognizing","page_number":211,"box":{"x":70,"y":458,"width":824,"height":11}},{"id":"e546b8be-cea7-43d4-9fd8-b9b26b4b7fb2","block_type":"box","text":"the unique characteristics of the different markets where companies operate.","page_number":211,"box":{"x":68,"y":473,"width":553,"height":11}},{"id":"c0154ec7-2da1-4bb8-94bb-09524a4e5074","block_type":"box","text":"Setting, executing, and overseeing strategy are the responsibility of management and the board. As one of many","page_number":211,"box":{"x":102,"y":496,"width":802,"height":11}},{"id":"d467529b-9997-4ac7-9591-44420de626b3","block_type":"box","text":"minority shareholders in public companies, BlackRock does not direct a company’s strategy or its implementation,","page_number":211,"box":{"x":69,"y":511,"width":813,"height":11}},{"id":"8acfa5e5-1da0-48bb-9fab-e26f17398ec3","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":211,"box":{"x":69,"y":526,"width":840,"height":11}},{"id":"bc9d5771-9e14-4ecf-b872-db703c1569bb","block_type":"box","text":"understand how corporate leadership is managing material risks and capitalizing on oppor tunities to help protect and","page_number":211,"box":{"x":69,"y":541,"width":835,"height":11}},{"id":"902e7378-51da-474a-87b5-3b48982be3ed","block_type":"box","text":"enhance the company’s ability to deliver long-term financial returns.","page_number":211,"box":{"x":69,"y":556,"width":481,"height":11}},{"id":"75c1f94e-c393-4bae-b0b2-a7daef45fd07","block_type":"box","text":"STEWARDSHIP IN PRACTICE","page_number":211,"box":{"x":384,"y":586,"width":210,"height":9}},{"id":"515d0c04-909c-4954-b935-50c4f0186e1c","block_type":"box","text":"The assets BlackRock manages belong to our clients, which include public and private pension plans, insurers,","page_number":211,"box":{"x":101,"y":609,"width":791,"height":11}},{"id":"0ce3593b-ad15-4b58-916f-8437575a3368","block_type":"box","text":"official institutions, endowments, universities, charities, family offices, wealth managers, and ultimately, the","page_number":211,"box":{"x":69,"y":624,"width":772,"height":11}},{"id":"6439dc4e-20c2-4e75-a074-d2805573c938","block_type":"box","text":"individual investors that they serve. Through stewardship, we assess how companies are creating long-term financial","page_number":211,"box":{"x":70,"y":639,"width":831,"height":12}},{"id":"58f5cec7-b24c-43fa-b41f-ed21c24afc13","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":211,"box":{"x":68,"y":654,"width":780,"height":12}},{"id":"76c59914-7037-44b1-92ed-d08c5905dd6a","block_type":"box","text":"program - including when engaging with companies and voting at shareholder meetings on behalf of clients - is","page_number":211,"box":{"x":70,"y":669,"width":784,"height":12}},{"id":"f55bc014-7e16-4bdc-b29d-6be5ef33ebdb","block_type":"box","text":"conducted from a long-term investor perspective and takes a financial materiality-based approach, focused solely on","page_number":211,"box":{"x":69,"y":685,"width":828,"height":11}},{"id":"6dfc714e-6d93-4791-936a-647788064a91","block_type":"box","text":"advancing clients’ long-term financial interests.","page_number":211,"box":{"x":69,"y":700,"width":334,"height":11}},{"id":"1f223711-ca94-4510-a77b-f35d1696565e","block_type":"box","text":"BIS engages with the boards and management of companies in which clients are invested to deepen our","page_number":211,"box":{"x":102,"y":722,"width":745,"height":12}},{"id":"725416fc-a931-4bbe-9576-23deddf81ef8","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":211,"box":{"x":69,"y":738,"width":785,"height":11}},{"id":"35781a44-dd1f-4ccd-894e-868af25e71a6","block_type":"box","text":"oppor tunities over time, and to help inform our voting on behalf of clients. Engagements provide companies with the","page_number":211,"box":{"x":69,"y":753,"width":829,"height":11}},{"id":"7251dbd6-941d-4426-9696-f494d0d00813","block_type":"box","text":"oppor tunity to share their perspectives on topics that, in BIS’ experience, impact the long-term financial returns","page_number":211,"box":{"x":69,"y":768,"width":795,"height":11}},{"id":"ef3d8b44-d023-488a-a1c5-943ba0b35f7b","block_type":"box","text":"BlackRock’s clients depend on to meet their financial goals.","page_number":211,"box":{"x":70,"y":783,"width":425,"height":11}},{"id":"16e20a1a-342e-4241-a421-98b7695be709","block_type":"box","text":"1","page_number":211,"box":{"x":69,"y":813,"width":4,"height":4}},{"id":"32514b88-d6dd-45d7-b505-4fb524d9d68d","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":211,"box":{"x":79,"y":812,"width":790,"height":11}},{"id":"5267593f-e5af-4b5d-a27f-faf15df1d909","block_type":"box","text":"shareholders to maintain their eligibility to repor t their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":211,"box":{"x":69,"y":827,"width":836,"height":12}},{"id":"9792d4a6-178a-4a9e-9014-c987805d81dd","block_type":"box","text":"We comply fully with these requirements and do not engage with por tfolio companies for the purpose, or with the","page_number":211,"box":{"x":68,"y":842,"width":805,"height":12}},{"id":"cd75ec8e-78ab-4a7c-8517-b102b1795180","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":211,"box":{"x":69,"y":857,"width":405,"height":12}},{"id":"8a579cbd-d608-42c7-ad40-90e0e3ae72c6","block_type":"box","text":"2","page_number":211,"box":{"x":69,"y":876,"width":4,"height":4}},{"id":"b00bd0c1-9e2d-4ee6-9baa-4621b29f4bcb","block_type":"box","text":"Alongside the Global Principles and regional voting guidelines, BIS publishes Engagement Priorities which reflect the","page_number":211,"box":{"x":78,"y":875,"width":827,"height":11}},{"id":"787617ca-e89a-4e66-97d2-b7d623d49658","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":211,"box":{"x":68,"y":890,"width":818,"height":12}},{"id":"513b6d80-0cbd-4a41-9797-36c4fafaf087","block_type":"box","text":"material business risk or oppor tunity.","page_number":211,"box":{"x":69,"y":906,"width":264,"height":11}},{"id":"34f1f2b7-d52b-4752-9728-35639778c5b1","block_type":"box","text":"BlackRock Investment Stewardship","page_number":211,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"519fa8b5-3a57-4290-94cb-f641a9c6f9b9","block_type":"box","text":"Global Principles | 3","page_number":211,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"921db62d-6f23-41f0-9f29-09869ecb470e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":211,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8ee3bbd9-cce0-450f-be73-0bf72d6e53a1","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":212,"box":{"x":101,"y":45,"width":753,"height":11}},{"id":"1233d840-3fe1-4be6-b129-b80f58e3ea66","block_type":"box","text":"governance. As a fiduciary, BlackRock is legally required to make proxy voting determinations in a manner that is","page_number":212,"box":{"x":68,"y":60,"width":805,"height":11}},{"id":"b625cee2-a1a4-4c36-b536-d00c82fa308d","block_type":"box","text":"consistent with the investment objectives of clients who have delegated voting authority to us. BIS’ Benchmark","page_number":212,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"74e6724d-606d-4a4f-87f6-07c7efc494a9","block_type":"box","text":"Policies, and the vote decisions made consistent with those policies, reflect our reasonable and independent","page_number":212,"box":{"x":69,"y":90,"width":779,"height":11}},{"id":"12165f30-4880-4c38-afd3-a8a5cfa8e4b5","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":212,"box":{"x":67,"y":105,"width":816,"height":11}},{"id":"64e26bfd-67c7-44f6-9562-e2d0b4c534f2","block_type":"box","text":"factors, including in-depth analysis of company disclosures, comparisons against industry peers, third-par ty research,","page_number":212,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"8f164a0e-5e6b-4977-b6fd-298ebfec41bd","block_type":"box","text":"and, where appropriate, engagement with companies.","page_number":212,"box":{"x":69,"y":136,"width":381,"height":11}},{"id":"61d8dbb3-e52d-43b6-acc3-f965085dc117","block_type":"box","text":"Generally, BIS suppor ts the vote recommendations of the board of directors and management at companies","page_number":212,"box":{"x":102,"y":158,"width":770,"height":11}},{"id":"6ef55fdd-4114-4da1-afc2-00f059851edc","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":212,"box":{"x":68,"y":173,"width":838,"height":11}},{"id":"ffdf520b-114b-4b00-a433-f5f2f2f02e55","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":212,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"2c3a2bd8-f798-4480-a283-0bb2a792c311","block_type":"box","text":"suppor t the election of directors or other management proposals, or we might not suppor t management’s voting","page_number":212,"box":{"x":69,"y":203,"width":802,"height":12}},{"id":"a0aaee57-55a6-4c01-aac9-207ef8f5b779","block_type":"box","text":"recommendation on a shareholder proposal.","page_number":212,"box":{"x":69,"y":219,"width":315,"height":10}},{"id":"c83f5d2a-5404-4078-addb-55bfdfcc65a1","block_type":"box","text":"SHAREHOLDER RIGHTS","page_number":212,"box":{"x":403,"y":249,"width":172,"height":9}},{"id":"82ae6b3d-c013-47f0-abc3-a3276e04b75f","block_type":"box","text":"BlackRock’s global approach as a shareholder on behalf of our clients is underpinned by cer tain rights attached","page_number":212,"box":{"x":102,"y":271,"width":796,"height":12}},{"id":"7e897b6a-adc7-4f99-afde-35a82bc8387b","block_type":"box","text":"to shareholding in most markets, as established by corporate laws, regulations, and listing rules.","page_number":212,"box":{"x":68,"y":287,"width":693,"height":11}},{"id":"60455178-3993-4e42-b575-c5ffbad2da99","block_type":"box","text":"3","page_number":212,"box":{"x":763,"y":287,"width":4,"height":4}},{"id":"9598c17e-1060-4940-9a03-087ce193c382","block_type":"box","text":"For example, in","page_number":212,"box":{"x":774,"y":287,"width":106,"height":10}},{"id":"c81922d5-1f78-4ddc-9e3d-035cf4b40193","block_type":"box","text":"most markets, shareholders have the right to:","page_number":212,"box":{"x":69,"y":302,"width":326,"height":11}},{"id":"1f58f028-1fa3-4fa6-a4e8-30e93e919a9a","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":325,"width":6,"height":4}},{"id":"57388134-07ed-4ab9-a343-633d0e5658d4","block_type":"box","text":"Vote to elect, remove, and nominate directors, approve the appointment of the auditor, and amend the corporate","page_number":212,"box":{"x":101,"y":322,"width":804,"height":11}},{"id":"666c42be-6e30-4fc2-9723-767d804fe5a0","block_type":"box","text":"char ter or bylaws.","page_number":212,"box":{"x":101,"y":337,"width":126,"height":11}},{"id":"8dff0fbf-9e9b-4623-9143-40dee1c4ebb4","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"5fbffc2c-d7b4-42f2-bd0f-755cf8f5b834","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":212,"box":{"x":101,"y":357,"width":789,"height":11}},{"id":"a3a13a0f-3c99-4288-8162-1b8038d43a7e","block_type":"box","text":"changes to the purpose of the business, dilution levels, and pre-emptive rights.","page_number":212,"box":{"x":101,"y":372,"width":564,"height":11}},{"id":"6403699d-1901-4ed0-a8f1-d4fcfaebb352","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":395,"width":6,"height":5}},{"id":"6addff2a-f3a5-4a6e-868f-35d69719c1ce","block_type":"box","text":"Access sufficient and timely information on governance, strategic, and business matters — where such matters","page_number":212,"box":{"x":101,"y":392,"width":799,"height":12}},{"id":"a904ea6e-c663-4f47-b9eb-40171dcbd01a","block_type":"box","text":"are material — to make informed decisions.","page_number":212,"box":{"x":102,"y":407,"width":313,"height":9}},{"id":"4ead9041-430d-48db-82cd-23c279a805cb","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":212,"box":{"x":391,"y":438,"width":196,"height":9}},{"id":"47158184-ec28-43fb-bbdd-2188a40ff7fc","block_type":"box","text":"In our experience, there are cer tain globally applicable elements of corporate governance that contribute to a","page_number":212,"box":{"x":102,"y":460,"width":776,"height":12}},{"id":"2e754c4d-01b2-4c61-a083-de4acc60c112","block_type":"box","text":"company’s ability to create long-term financial value for shareholders. These are topics that shareholders may have","page_number":212,"box":{"x":69,"y":475,"width":822,"height":12}},{"id":"450e6547-9581-4434-9f6f-ca192e9a7aed","block_type":"box","text":"the ability to vote on at shareholder meetings. These areas include:","page_number":212,"box":{"x":68,"y":491,"width":482,"height":11}},{"id":"40e50e27-50f6-47d8-a409-d94c687f4ee2","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":514,"width":6,"height":4}},{"id":"cca56567-ab85-4085-a525-62d9ead4e206","block_type":"box","text":"Boards and directors","page_number":212,"box":{"x":102,"y":511,"width":147,"height":9}},{"id":"93d13f89-6de2-4c01-af22-28517c366135","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":534,"width":6,"height":4}},{"id":"426f9f8f-33eb-40a3-819e-b2ac02cc3481","block_type":"box","text":"Auditors and audit-related issues","page_number":212,"box":{"x":101,"y":531,"width":234,"height":9}},{"id":"12e4cee9-b0f2-400c-a73d-0f5e8b81a5c9","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":554,"width":6,"height":5}},{"id":"8297319f-32b7-4480-b714-f8c48d0c3f03","block_type":"box","text":"Capital structure, mergers, acquisitions, asset sales, and other special situations","page_number":212,"box":{"x":102,"y":551,"width":583,"height":11}},{"id":"12d6df07-9b20-409c-974f-57bad2c74e1a","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":574,"width":6,"height":5}},{"id":"2d8e042e-09c4-420a-89a4-73c84acaf93c","block_type":"box","text":"Executive compensation","page_number":212,"box":{"x":102,"y":571,"width":170,"height":11}},{"id":"49898754-0c55-4b8f-be83-703fe9041663","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":594,"width":6,"height":5}},{"id":"8a37da78-e3a6-4ae9-a531-a83bf1c5290e","block_type":"box","text":"Shareholder protections and other significant corporate governance matters","page_number":212,"box":{"x":102,"y":591,"width":539,"height":12}},{"id":"f831965a-d427-4a99-accd-ad412697c665","block_type":"box","text":"•","page_number":212,"box":{"x":69,"y":614,"width":6,"height":5}},{"id":"ea0b3d02-d32b-46a9-885f-06581b861050","block_type":"box","text":"Shareholder proposals","page_number":212,"box":{"x":102,"y":612,"width":160,"height":11}},{"id":"fed4e4f4-bf2a-4e41-9df9-14002b2181c4","block_type":"box","text":"The BIS Benchmark Policies are not prescriptive but rather are applied on a pragmatic basis, taking into","page_number":212,"box":{"x":101,"y":634,"width":740,"height":12}},{"id":"eb2cfe71-05aa-470e-bad3-aecc344d469b","block_type":"box","text":"consideration a number of company-specific factors, including the sector, market, and business environment within","page_number":212,"box":{"x":69,"y":649,"width":819,"height":12}},{"id":"56b68693-cef1-4784-b9dd-97e40413211e","block_type":"box","text":"which companies operate.","page_number":212,"box":{"x":68,"y":665,"width":186,"height":10}},{"id":"16ca61c7-4270-458c-9b36-f787e8d532be","block_type":"box","text":"At the regional level, it is our view that companies should observe the accepted corporate governance standards","page_number":212,"box":{"x":101,"y":687,"width":803,"height":11}},{"id":"5dca844c-273e-4952-b1b5-2d3ecd99a277","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":212,"box":{"x":70,"y":702,"width":785,"height":11}},{"id":"52e4d356-beaf-442b-8265-335a890320d6","block_type":"box","text":"suppor ts durable, long-term financial value creation. Our regional voting guidelines explain how the BIS Global","page_number":212,"box":{"x":69,"y":717,"width":781,"height":12}},{"id":"2e70ae55-0273-4057-aac7-901beab014e6","block_type":"box","text":"Principles inform our voting decisions in relation to common ballot items for shareholder meetings in those markets.","page_number":212,"box":{"x":69,"y":732,"width":829,"height":12}},{"id":"d6115eab-8255-40d1-aacf-0fa9aa31fd45","block_type":"box","text":"4","page_number":212,"box":{"x":899,"y":733,"width":5,"height":4}},{"id":"9c252c1f-a724-4bc2-a404-fac538e69769","block_type":"box","text":"3","page_number":212,"box":{"x":69,"y":762,"width":4,"height":5}},{"id":"52341a71-f737-40d3-8304-224614d68463","block_type":"box","text":"Examples include: Government of Canada, “Canada Business Corporations Act,” amended 2024; European Union,","page_number":212,"box":{"x":79,"y":762,"width":816,"height":11}},{"id":"098bdd61-ac9a-4e0a-b715-3984f67bb605","block_type":"box","text":"“Shareholder Rights Directive II,” 2017; and the China Securities Regulatory Commission, “Code of Corporate","page_number":212,"box":{"x":70,"y":777,"width":784,"height":11}},{"id":"075d172f-6512-422a-ae74-04cf67a1b64e","block_type":"box","text":"Governance for Listed Companies in China,” 2001. Websites accessed in December 2025.","page_number":212,"box":{"x":69,"y":792,"width":650,"height":11}},{"id":"5551da9c-9459-49cf-93bb-49dcb6a52e47","block_type":"box","text":"4","page_number":212,"box":{"x":69,"y":810,"width":4,"height":4}},{"id":"3ee70fd8-bddb-4cc1-833f-45c3722bdaaf","block_type":"box","text":"Our regional voting guidelines reflect these different market standards and norms. Depending on the market,","page_number":212,"box":{"x":79,"y":810,"width":776,"height":11}},{"id":"821c3d37-659c-46f5-a950-17c0ff477f15","block_type":"box","text":"generally accepted practice is informed by corporate law, market regulation, best practices, and industry initiatives,","page_number":212,"box":{"x":68,"y":825,"width":821,"height":11}},{"id":"63013f9a-38e8-4e37-8c49-c85664c0276f","block_type":"box","text":"amongst other factors. BIS carries out engagement with companies, executes proxy votes, and conducts vote","page_number":212,"box":{"x":69,"y":840,"width":780,"height":11}},{"id":"3db57546-d83d-42b8-9510-a64c049be68f","block_type":"box","text":"operations (including maintaining records of votes cast) in a manner consistent with the relevant regional voting","page_number":212,"box":{"x":69,"y":855,"width":796,"height":11}},{"id":"f7bcea25-c658-4289-aba0-9f9dcc4ab7e8","block_type":"box","text":"guidelines.","page_number":212,"box":{"x":68,"y":870,"width":76,"height":11}},{"id":"025bf723-2ae3-44d5-99bf-2eb47aee2b57","block_type":"box","text":"BlackRock Investment Stewardship","page_number":212,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"56864a25-ceac-43a8-9204-7f07491b612a","block_type":"box","text":"Global Principles | 4","page_number":212,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"7a20ed5d-4312-4910-9c82-9bfbfe884e1e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":212,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0041ffef-d193-4d17-8d6b-b088254d7578","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":213,"box":{"x":394,"y":45,"width":190,"height":9}},{"id":"0c5054a8-d089-4b23-aeed-ffa221ea6f29","block_type":"box","text":"Oversight role of the board","page_number":213,"box":{"x":69,"y":75,"width":194,"height":11}},{"id":"6e2c9eb6-71b6-4d5c-a0c1-306780890749","block_type":"box","text":"Companies whose boards are comprised of appropriately qualified, engaged directors with professional","page_number":213,"box":{"x":102,"y":98,"width":734,"height":11}},{"id":"f21d3e2a-25f0-4ca1-9542-de8184c6666d","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":213,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"e86ec521-a6a6-4ec7-a36b-4e65d8d1a06c","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":213,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"5346a184-8725-4b59-ad8b-4dfcad43b912","block_type":"box","text":"advantage, providing valuable oversight and contributing to the most impor tant management decisions that suppor t","page_number":213,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"d0e71547-ad47-4e80-9177-a47ef7812e9a","block_type":"box","text":"long-term financial per formance.","page_number":213,"box":{"x":70,"y":158,"width":229,"height":11}},{"id":"20ef7e44-9027-4627-9cdc-20d6b9456854","block_type":"box","text":"For this reason, our investment stewardship effor ts focus on the effectiveness of the board of directors. We","page_number":213,"box":{"x":102,"y":181,"width":771,"height":11}},{"id":"932c5a7d-820a-4863-b7ae-f7ad8eb2cb8d","block_type":"box","text":"engage, as necessary, with members of the board’s nominating and/or governance committee to assess whether","page_number":213,"box":{"x":69,"y":196,"width":811,"height":11}},{"id":"15b23825-9942-4b93-afe8-309b7d3638a1","block_type":"box","text":"governance practices and board composition are effective given a company’s business model, sector, market, and","page_number":213,"box":{"x":68,"y":211,"width":817,"height":11}},{"id":"b3c38767-2675-45b3-a51d-3860d61ae8ca","block_type":"box","text":"the business environment in which a company is operating.","page_number":213,"box":{"x":68,"y":226,"width":422,"height":11}},{"id":"4e196d0c-0cc5-4b9e-8a39-dd094ee4dd97","block_type":"box","text":"We consider it good practice when the board establishes and maintains a framework of robust and effective","page_number":213,"box":{"x":101,"y":249,"width":770,"height":11}},{"id":"daf4130c-9a9f-4f8a-ac30-b5253371508e","block_type":"box","text":"governance mechanisms that suppor ts its oversight of the company’s strategy and operations, consistent with the","page_number":213,"box":{"x":68,"y":264,"width":817,"height":11}},{"id":"09607bfb-de18-49c9-ba32-eacbd72a2681","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":213,"box":{"x":70,"y":279,"width":799,"height":11}},{"id":"5311e417-5a85-4e26-a685-7637627827c8","block_type":"box","text":"committees of the board and how directors engage with and oversee management, as well as disclosure of material","page_number":213,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"06fa17ca-30ea-4c1d-bf38-008a9f64ce39","block_type":"box","text":"risks that may affect a company’s long-term strategy and how management is effectively identifying, managing, and","page_number":213,"box":{"x":69,"y":309,"width":822,"height":11}},{"id":"3d193f65-2656-44f8-993f-68b57b7237aa","block_type":"box","text":"mitigating such risks.","page_number":213,"box":{"x":69,"y":325,"width":150,"height":11}},{"id":"6b5afc15-d967-4fec-ab65-2e4e2a91b7f9","block_type":"box","text":"Understanding management’s long-term strategy and the milestones against which investors should assess its","page_number":213,"box":{"x":102,"y":347,"width":791,"height":11}},{"id":"baa93663-c699-4e5f-8d45-522eb9b9f65b","block_type":"box","text":"implementation is central to our approach. If any strategic targets are significantly missed or materially restated, we","page_number":213,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"9f632168-6bb3-4307-9e7d-4a0d0098eb29","block_type":"box","text":"find it helpful when company disclosures provide a detailed explanation of the changes and an indication of the","page_number":213,"box":{"x":68,"y":377,"width":793,"height":12}},{"id":"9029048d-9923-4554-8c70-3dec71e90adf","block_type":"box","text":"board’s role in reviewing the revised targets. We look to the board to ar ticulate the effectiveness of these","page_number":213,"box":{"x":69,"y":392,"width":755,"height":12}},{"id":"daab34a3-65fe-4a91-a1b5-739e113a716c","block_type":"box","text":"mechanisms in overseeing the management of business risks and oppor tunities and the fulfillment of the company’s","page_number":213,"box":{"x":69,"y":407,"width":835,"height":12}},{"id":"2451563c-5175-4380-b2bb-0696340ff130","block_type":"box","text":"strategy.","page_number":213,"box":{"x":69,"y":423,"width":58,"height":11}},{"id":"26e65517-de41-472b-b06e-1c44bd11a5b9","block_type":"box","text":"Where a company has not adequately disclosed or demonstrated that its board has fulfilled these corporate","page_number":213,"box":{"x":101,"y":445,"width":769,"height":11}},{"id":"97ad9d55-4c1a-40b2-888a-be2be50b758b","block_type":"box","text":"governance and risk oversight responsibilities, we may consider not suppor ting the election of directors who, in our","page_number":213,"box":{"x":68,"y":460,"width":823,"height":12}},{"id":"e27a2324-cf86-4a1e-971b-5c1570f75983","block_type":"box","text":"assessment, have par ticular responsibility for the issues.","page_number":213,"box":{"x":69,"y":475,"width":409,"height":12}},{"id":"2e79d830-2305-4c6e-bef9-3a0a9bac68d0","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":213,"box":{"x":101,"y":498,"width":791,"height":11}},{"id":"b543fda3-674d-4ccf-86bd-08b89b9ac2b0","block_type":"box","text":"the board’s effectiveness as a group include the relevance of individual directors’ qualifications and skillsets, as well","page_number":213,"box":{"x":68,"y":513,"width":836,"height":12}},{"id":"1f0a329a-a26d-4484-9432-c18ef02ad51e","block_type":"box","text":"as directors’ capacity and other time commitments, and how these factors may contribute to the company’s financial","page_number":213,"box":{"x":69,"y":528,"width":833,"height":12}},{"id":"68994015-b48d-4d0c-9daf-33cf433051cd","block_type":"box","text":"per formance. We look to boards to establish formal and transparent processes for nominating directors that reflect","page_number":213,"box":{"x":70,"y":543,"width":823,"height":12}},{"id":"bfccc691-4e0d-483c-91c6-977eaf6b73ec","block_type":"box","text":"the company’s long-term strategy and business model.","page_number":213,"box":{"x":68,"y":559,"width":390,"height":11}},{"id":"5211203f-32b3-4eb0-ae5e-0c5bdfa2ca7b","block_type":"box","text":"In the section titled “Board quality and effectiveness” below, we provide more detail about our approach to board","page_number":213,"box":{"x":102,"y":581,"width":807,"height":11}},{"id":"3d32d959-57b0-444f-b974-bb8d92f96501","block_type":"box","text":"composition and how it underpins board effectiveness and long-term financial value creation.","page_number":213,"box":{"x":69,"y":596,"width":662,"height":12}},{"id":"5330a0da-6588-4bc6-8101-22d0775789c8","block_type":"box","text":"Regular accountability through director elections","page_number":213,"box":{"x":69,"y":627,"width":358,"height":11}},{"id":"eae4f1cd-6cf6-4a66-978c-de6bc34b4f04","block_type":"box","text":"The election of directors to the board is a right of shareholders and an impor tant signal of suppor t for, or","page_number":213,"box":{"x":101,"y":649,"width":750,"height":12}},{"id":"4ed7be17-431d-49cf-be80-bfe94a26e1e4","block_type":"box","text":"concern about, the per formance of the board in overseeing and advising management. To ensure accountability for","page_number":213,"box":{"x":69,"y":664,"width":819,"height":12}},{"id":"afeb8c52-488b-4e1e-9536-675d4429c929","block_type":"box","text":"their decisions on behalf of shareholders, directors should stand for election on a regular basis, ideally annually.","page_number":213,"box":{"x":68,"y":680,"width":802,"height":11}},{"id":"16966659-1737-457d-b170-f76d41e57135","block_type":"box","text":"5","page_number":213,"box":{"x":872,"y":680,"width":4,"height":4}},{"id":"1c77f92f-903f-4f90-8948-b84ec7a2ff21","block_type":"box","text":"Annual director elections allow shareholders to reaffirm their suppor t for, or concerns about, board members’","page_number":213,"box":{"x":68,"y":695,"width":782,"height":11}},{"id":"420e93c1-e2b8-4947-ae98-a98c86a61707","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":213,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"bb6c4a20-fc35-4f2b-a300-17e096b35eea","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":213,"box":{"x":68,"y":725,"width":832,"height":11}},{"id":"9824fc34-4314-43cd-a0dd-d73f34ac6b06","block_type":"box","text":"with a propor tion of directors being put forward for election at each shareholder meeting.","page_number":213,"box":{"x":68,"y":740,"width":636,"height":11}},{"id":"6fcf45b5-d555-40b9-95df-b657e7c7cad1","block_type":"box","text":"BOARD QUALITY AND EFFECTIVENESS","page_number":213,"box":{"x":348,"y":770,"width":282,"height":11}},{"id":"1caffb62-37e5-4b2a-a718-4537f771e956","block_type":"box","text":"Regular director elections also give boards the oppor tunity to adjust their composition in an orderly way to reflect","page_number":213,"box":{"x":102,"y":793,"width":805,"height":11}},{"id":"729ffefb-1b5f-47d6-bd01-e7183a4061bf","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":213,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"2a594a7a-daa0-47cd-93d5-27ffe89bff6e","block_type":"box","text":"be brought onto the board periodically to refresh the group’s thinking, while suppor ting both continuity and","page_number":213,"box":{"x":69,"y":823,"width":758,"height":12}},{"id":"679802e5-846a-4deb-82cc-b81f0e124212","block_type":"box","text":"5","page_number":213,"box":{"x":69,"y":853,"width":4,"height":4}},{"id":"5899196a-091e-4dd3-8236-072273438776","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":213,"box":{"x":79,"y":852,"width":795,"height":12}},{"id":"0ebf1a7e-f37f-4fe6-9a39-94e8c95132b0","block_type":"box","text":"market regulation or voluntary best practice.","page_number":213,"box":{"x":69,"y":868,"width":314,"height":11}},{"id":"4b8dfc63-9f1f-44be-b388-128a15f3d0a3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":213,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"e689b7db-6c1a-4c59-88a7-8b85bf7486b2","block_type":"box","text":"Global Principles | 5","page_number":213,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"1e61e645-27a2-4817-a31b-ae155c2b5d71","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":213,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"62ef6b8e-a6b4-4fdc-8784-a6f370bb859b","block_type":"box","text":"appropriate succession planning. We consider the average overall tenure of the board and seek a balance between","page_number":214,"box":{"x":69,"y":45,"width":819,"height":11}},{"id":"6987def0-6547-4e3c-afbe-9f85fb5ec1f3","block_type":"box","text":"the knowledge and experience of longer-serving directors and the fresh perspectives of directors who joined more","page_number":214,"box":{"x":68,"y":60,"width":809,"height":11}},{"id":"9689da72-2384-4933-af84-ad452fb1c036","block_type":"box","text":"recently.","page_number":214,"box":{"x":69,"y":75,"width":57,"height":11}},{"id":"ec5aac3b-f57a-429b-a011-5c829e4e8f45","block_type":"box","text":"We appreciate when companies regularly review and assess how directors nominated for election contribute to","page_number":214,"box":{"x":101,"y":98,"width":789,"height":11}},{"id":"fa2b24e3-6d8a-4155-ac4c-642f3292dcd8","block_type":"box","text":"the effectiveness of the board. In our view, the company’s assessment should consider a number of factors,","page_number":214,"box":{"x":68,"y":113,"width":774,"height":11}},{"id":"6d44ed1b-c093-4357-b00b-ae80bef2faf1","block_type":"box","text":"including each director’s independence and time commitments, as well as the breadth and relevance of director","page_number":214,"box":{"x":70,"y":128,"width":798,"height":11}},{"id":"a1aec8c6-606f-42de-8536-e772cb0d44e1","block_type":"box","text":"experiences and skillsets, and how these collectively contribute to the board’s effectiveness in advising and","page_number":214,"box":{"x":69,"y":143,"width":770,"height":11}},{"id":"609a91d7-a8d0-415b-bd92-3489eeda5e13","block_type":"box","text":"overseeing management in delivering long-term financial returns.","page_number":214,"box":{"x":69,"y":158,"width":459,"height":11}},{"id":"d5f198f3-af9e-4e38-a6bd-adaeb34cac62","block_type":"box","text":"Director independence","page_number":214,"box":{"x":69,"y":188,"width":164,"height":11}},{"id":"2d5fa6b1-c4bf-4bbf-b593-ceb9e500b0f1","block_type":"box","text":"Director independence — from management, significant shareholders, or other related par ties — is a central","page_number":214,"box":{"x":102,"y":211,"width":777,"height":11}},{"id":"110af298-b698-4f16-9042-f69f11136617","block_type":"box","text":"tenet of sound corporate governance across markets.","page_number":214,"box":{"x":68,"y":226,"width":382,"height":11}},{"id":"a34cf23b-f890-47f9-b951-8ed92458890e","block_type":"box","text":"6","page_number":214,"box":{"x":452,"y":226,"width":4,"height":5}},{"id":"5e02f9ca-d367-4e6d-9329-92e58e2420eb","block_type":"box","text":"We look to boards to have a sufficient number of independent","page_number":214,"box":{"x":462,"y":226,"width":442,"height":11}},{"id":"d6896530-a56a-4720-bbd3-3e9f98a19535","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":214,"box":{"x":69,"y":241,"width":825,"height":11}},{"id":"9e42a67f-2a48-4dfb-b5a7-c81416f5ee24","block_type":"box","text":"and its ability to oversee management. We generally consider it good practice for independent directors to make a","page_number":214,"box":{"x":69,"y":256,"width":813,"height":12}},{"id":"ec307b34-b2ea-4144-900d-3e0eb1397905","block_type":"box","text":"majority of the board, or in the case of controlled companies, at least one-third.","page_number":214,"box":{"x":69,"y":271,"width":566,"height":12}},{"id":"46547c51-8ff3-4da1-80d1-9dbb5d3d67e7","block_type":"box","text":"Common impediments to independence may include but are not limited to:","page_number":214,"box":{"x":102,"y":294,"width":531,"height":11}},{"id":"e271eb0f-518e-47d2-8755-3ce536969000","block_type":"box","text":"•","page_number":214,"box":{"x":69,"y":317,"width":6,"height":5}},{"id":"12fd4d67-9c97-4e86-96ff-d8fa18524253","block_type":"box","text":"Current or recent employment at the company or a subsidiary","page_number":214,"box":{"x":102,"y":314,"width":438,"height":11}},{"id":"4976a570-4ef7-43bb-9e7e-933babb28c2a","block_type":"box","text":"•","page_number":214,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"f6e7e0c1-112f-44a2-95fc-117844f8588e","block_type":"box","text":"Being, or representing, a shareholder with a substantial shareholding in the company","page_number":214,"box":{"x":102,"y":335,"width":606,"height":11}},{"id":"7a774454-20a2-4faf-8116-f0a9741c5fe4","block_type":"box","text":"•","page_number":214,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"85c60a7b-0efd-4417-b391-f76ebe590ecf","block_type":"box","text":"Interlocking directorates","page_number":214,"box":{"x":102,"y":355,"width":170,"height":11}},{"id":"7006a86c-26ec-48af-ad0e-205813126073","block_type":"box","text":"•","page_number":214,"box":{"x":69,"y":378,"width":6,"height":4}},{"id":"d5ebbdbb-241c-499d-bf22-523d9246bf99","block_type":"box","text":"Having any other interest, business, or other relationship which could, or could reasonably be perceived to,","page_number":214,"box":{"x":102,"y":375,"width":761,"height":11}},{"id":"4981421a-613e-4264-9657-f933f240529d","block_type":"box","text":"materially inter fere with a director’s ability to act in the best interests of the company and shareholders","page_number":214,"box":{"x":102,"y":390,"width":738,"height":11}},{"id":"3fa80660-c525-464b-b2b5-9b641638b7c7","block_type":"box","text":"In our experience, boards are most effective at overseeing and advising management when there is a senior,","page_number":214,"box":{"x":102,"y":412,"width":775,"height":12}},{"id":"3b5a64b3-46fc-44e0-bce9-2ccf225e2f59","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":214,"box":{"x":70,"y":428,"width":827,"height":11}},{"id":"afd0d4a6-120d-41eb-9a9c-2d65178153f0","block_type":"box","text":"independent), be designated as a lead independent director. The role of this director is to suppor t independent board","page_number":214,"box":{"x":70,"y":443,"width":835,"height":11}},{"id":"8ce8c5cd-afc5-4828-b391-88d4aa8bd66a","block_type":"box","text":"members in fulfilling their oversight responsibilities effectively by shaping the agenda, ensuring adequate information","page_number":214,"box":{"x":69,"y":458,"width":834,"height":11}},{"id":"88402899-6c8a-49ad-b702-db1cc6c5fc90","block_type":"box","text":"is provided to the board, and encouraging independent director par ticipation in board deliberations. We appreciate","page_number":214,"box":{"x":70,"y":473,"width":813,"height":11}},{"id":"7a968a37-daa9-4450-a5f0-61b9cd0700ad","block_type":"box","text":"when the lead independent director or another appropriate director is available to meet with shareholders to explain","page_number":214,"box":{"x":68,"y":488,"width":826,"height":11}},{"id":"136ddadd-f72c-4261-92d0-2751c0ed3e63","block_type":"box","text":"and contextualize a company’s approach as a situation warrants.","page_number":214,"box":{"x":69,"y":503,"width":463,"height":11}},{"id":"23bae23f-d189-430b-a531-c5832764de1e","block_type":"box","text":"Boards may face matters that could involve conflicts of interest for executives or affiliated directors, or that","page_number":214,"box":{"x":102,"y":526,"width":765,"height":11}},{"id":"1c61b3a7-8450-4195-b1c4-4df847a3e3d5","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":214,"box":{"x":69,"y":541,"width":837,"height":11}},{"id":"16042e4c-2bf9-4b9a-8b3a-53c329924c7d","block_type":"box","text":"committees with a majority of independent directors, depending on market norms and a company’s ownership","page_number":214,"box":{"x":69,"y":556,"width":784,"height":11}},{"id":"a8bbac9a-add2-4f8d-89b0-17387134f399","block_type":"box","text":"structure. In many markets, these committees of the board specialize in audit, director nominations, and","page_number":214,"box":{"x":69,"y":571,"width":747,"height":11}},{"id":"c852906b-0c20-47e9-bf1d-c91be583f1d0","block_type":"box","text":"compensation matters, among others. An ad hoc committee might also be formed to decide on a special transaction,","page_number":214,"box":{"x":69,"y":586,"width":836,"height":12}},{"id":"e34ff192-08fc-47be-a9eb-97be759f90d8","block_type":"box","text":"par ticularly one involving a related par ty, or to investigate a significant adverse event.","page_number":214,"box":{"x":70,"y":601,"width":607,"height":12}},{"id":"71b513e6-e700-483b-a2cb-21361ceed7ec","block_type":"box","text":"Sufficient capacity","page_number":214,"box":{"x":68,"y":632,"width":137,"height":11}},{"id":"02e3cd59-4077-4ec6-8937-3c8d2a210237","block_type":"box","text":"As the role and expectations of a director are increasingly demanding, directors must be able to commit an","page_number":214,"box":{"x":101,"y":654,"width":763,"height":12}},{"id":"d5a0181c-70d9-4907-a1b2-4185dbf3aebc","block_type":"box","text":"appropriate amount of time to board and committee matters. It is impor tant that directors have the capacity to meet","page_number":214,"box":{"x":69,"y":669,"width":830,"height":12}},{"id":"48a23b79-c8cb-4cc8-8c67-dc7dde1a3990","block_type":"box","text":"all of their responsibilities — including when there are unforeseen events — and therefore, we consider it best","page_number":214,"box":{"x":69,"y":685,"width":791,"height":11}},{"id":"785e96e2-7ca8-4917-883c-4942e01895d2","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":214,"box":{"x":70,"y":700,"width":804,"height":11}},{"id":"64525219-32af-4b5e-ae19-9bcff93a57b6","block_type":"box","text":"Board composition","page_number":214,"box":{"x":69,"y":730,"width":135,"height":11}},{"id":"5a28a498-d4b1-4ef3-a894-4bc9e13c5ce8","block_type":"box","text":"In assessing board composition, we take into account a company’s board size, business model, strategy, market","page_number":214,"box":{"x":102,"y":753,"width":806,"height":11}},{"id":"8a5fffd5-5326-43e5-a669-8b2cbccd1145","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":214,"box":{"x":69,"y":768,"width":836,"height":11}},{"id":"7d3f0037-aee5-47f0-a650-836fa686ab08","block_type":"box","text":"companies explain how their approach to board composition suppor ts the company’s governance practices.","page_number":214,"box":{"x":69,"y":783,"width":767,"height":11}},{"id":"8f70a780-78f2-4bd9-8882-b1bb26dc3a3a","block_type":"box","text":"When nominating directors to the board, we look to companies to provide sufficient information on the individual","page_number":214,"box":{"x":101,"y":806,"width":802,"height":11}},{"id":"2041281f-1012-4d74-9b21-015d4f6efaf5","block_type":"box","text":"candidates so that shareholders can assess the capabilities and suitability of each individual nominee and their fit","page_number":214,"box":{"x":69,"y":821,"width":818,"height":11}},{"id":"f09011ad-c1d8-4c38-a44d-784fb1d6947f","block_type":"box","text":"within overall board composition. These disclosures should explain how the collective experience and exper tise of the","page_number":214,"box":{"x":68,"y":836,"width":840,"height":11}},{"id":"fd6f9802-d875-40df-a0de-32bd365dbe78","block_type":"box","text":"board, as well as the par ticular skillsets of individual directors, aligns with the company’s long-term strategy. Highly","page_number":214,"box":{"x":69,"y":851,"width":823,"height":11}},{"id":"940541ce-9f07-4d75-88c0-1593dec195c8","block_type":"box","text":"6","page_number":214,"box":{"x":69,"y":881,"width":4,"height":4}},{"id":"984b2729-1777-44c1-a322-8eba9113c985","block_type":"box","text":"For example, please see: Tokyo Stock Exchange, “Japan’s Corporate Governance Code,” June 11, 2021; Financial","page_number":214,"box":{"x":79,"y":880,"width":813,"height":11}},{"id":"a8c09863-4860-43d6-9cc0-8c7609ef0e9b","block_type":"box","text":"Repor ting Council, “UK Corporate Governance Code,” January 2024, accessed in December 2025.","page_number":214,"box":{"x":70,"y":895,"width":704,"height":12}},{"id":"fe494b57-3f18-475e-806b-2e8dc8bde86f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":214,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"9e377845-a2d5-427d-b9cf-5d598e7a36bd","block_type":"box","text":"Global Principles | 6","page_number":214,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"7959f7eb-1960-414f-88ca-d4757d65906b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":214,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2906255b-ffab-456f-bf1d-5779bbbd8080","block_type":"box","text":"qualified, engaged directors with professional characteristics relevant to a company’s business and strategy enhance","page_number":215,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"f7883ba3-8386-4019-96ff-e98322e5098f","block_type":"box","text":"the ability of the board to add value and be the voice of shareholders in board discussions.","page_number":215,"box":{"x":68,"y":60,"width":650,"height":11}},{"id":"5529ede3-73e6-4ea0-a873-aa44c37039d3","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":215,"box":{"x":102,"y":82,"width":775,"height":12}},{"id":"77a149d3-52d5-41ea-a19a-45c483a1a624","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":215,"box":{"x":69,"y":98,"width":806,"height":11}},{"id":"23af4959-39f8-4b58-99e6-bbc33e23be73","block_type":"box","text":"oversee management. We note that in many markets, policymakers have set board gender diversity goals which we","page_number":215,"box":{"x":69,"y":113,"width":820,"height":11}},{"id":"721f9ff9-088f-45fc-ba40-14bc4937822e","block_type":"box","text":"may discuss with companies, par ticularly if there is a risk their board composition may be misaligned.","page_number":215,"box":{"x":69,"y":128,"width":726,"height":11}},{"id":"bf26ea40-3f00-40a6-8f4c-3915637b55f3","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":215,"box":{"x":342,"y":158,"width":293,"height":9}},{"id":"ff51e1bf-bad5-429c-837c-e8081f62d878","block_type":"box","text":"BIS recognizes the critical impor tance of financial statements to provide a complete and accurate por trayal of a","page_number":215,"box":{"x":102,"y":181,"width":795,"height":11}},{"id":"fed7482c-3cf9-42c2-83e1-49d1fc59ee82","block_type":"box","text":"company’s financial condition. Accordingly, we look for the assumptions made by management, and reviewed by the","page_number":215,"box":{"x":69,"y":196,"width":825,"height":11}},{"id":"896f2c3a-d6e7-4ee1-8103-d2e36079b6ba","block_type":"box","text":"auditor in preparing the financial statements, to be reasonable and justified.","page_number":215,"box":{"x":69,"y":211,"width":543,"height":11}},{"id":"d4da9776-6a85-40d9-82d3-2c93e14f68cb","block_type":"box","text":"We view the audit committee, or its equivalent, as responsible for overseeing the management of the","page_number":215,"box":{"x":101,"y":234,"width":722,"height":11}},{"id":"ae58af42-897d-4331-b809-ef3dd0064dbf","block_type":"box","text":"independent auditor and the internal audit function at a company. The committee plays an impor tant role in a","page_number":215,"box":{"x":70,"y":249,"width":778,"height":11}},{"id":"fe8dce6c-01aa-4f50-9a85-d37bb5dd8763","block_type":"box","text":"company’s financial repor ting system by providing independent oversight of the accounts, material financial, and,","page_number":215,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"454e1f16-8bac-4db2-b0ea-bba9ba1f683e","block_type":"box","text":"where appropriate to the jurisdiction, non-financial information and internal control frameworks. Moreover, in the","page_number":215,"box":{"x":68,"y":279,"width":799,"height":11}},{"id":"7ee4612e-f0df-4260-98fa-a9c3198f9fda","block_type":"box","text":"absence of a dedicated risk committee, these committees can provide oversight of Enterprise Risk Management","page_number":215,"box":{"x":69,"y":294,"width":801,"height":11}},{"id":"01b9da59-6b86-401c-8162-aa8bed084e58","block_type":"box","text":"systems.","page_number":215,"box":{"x":69,"y":310,"width":62,"height":10}},{"id":"38420ff3-3381-4137-9df3-1d024673eb91","block_type":"box","text":"7","page_number":215,"box":{"x":133,"y":310,"width":4,"height":4}},{"id":"c1d36f8b-79a5-4f02-96c0-8b2735cc3660","block_type":"box","text":"In our view, effective audit committee oversight strengthens the quality and reliability of a company’s","page_number":215,"box":{"x":144,"y":309,"width":717,"height":11}},{"id":"ffdfddd0-9d97-4f64-bf21-555f906fcc34","block_type":"box","text":"financial statements and provides an impor tant level of reassurance to shareholders.","page_number":215,"box":{"x":68,"y":324,"width":609,"height":11}},{"id":"6fa13dd5-3559-414c-be71-3613b54ed512","block_type":"box","text":"We look to audit committees, or their equivalent, to have clearly ar ticulated char ters that set out their","page_number":215,"box":{"x":101,"y":347,"width":727,"height":11}},{"id":"d02377cd-b360-4abd-bcdb-da7c5fe40b31","block_type":"box","text":"responsibilities. Additionally, having a rotation plan can periodically refresh the committee membership and introduce","page_number":215,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"e09abefa-8cea-4c4c-b924-7419afc2a16b","block_type":"box","text":"new perspectives. We recognize that audit committees will rely on management, internal audit, and the independent","page_number":215,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"e2ae34e5-b4d9-4f6e-adf3-08e8c326f732","block_type":"box","text":"auditor to fulfill their responsibilities. However, we look to committee members to demonstrate they have relevant","page_number":215,"box":{"x":69,"y":392,"width":810,"height":12}},{"id":"a50a92ec-7d70-4675-bb55-294e65bc998f","block_type":"box","text":"exper tise to monitor and oversee the audit process and related activities.","page_number":215,"box":{"x":69,"y":408,"width":523,"height":10}},{"id":"e5deff07-1a89-4d4f-b31c-c01139047faf","block_type":"box","text":"We take par ticular note of unexplained changes in repor ting methodology, cases involving significant financial","page_number":215,"box":{"x":101,"y":430,"width":780,"height":11}},{"id":"a0d13357-c8e4-4f7b-aff7-3807d746df28","block_type":"box","text":"restatements, or ad hoc notifications of material financial weakness. In this respect, we look to audit committees to","page_number":215,"box":{"x":69,"y":445,"width":828,"height":11}},{"id":"852cb4be-6276-4492-a15e-18e1289ed4ef","block_type":"box","text":"provide timely disclosure on the remediation of key and critical audit matters identified either by the external auditor","page_number":215,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"1a1a4542-cfc1-4dea-87db-0d110a04e5e5","block_type":"box","text":"or internal audit function.","page_number":215,"box":{"x":69,"y":475,"width":178,"height":9}},{"id":"961eb437-643b-4acf-ad04-9a77d51e3017","block_type":"box","text":"The integrity of financial statements depends on the auditor being free of any impediments that could","page_number":215,"box":{"x":101,"y":498,"width":723,"height":11}},{"id":"70adf449-62c3-40fc-aa9c-800d37663aad","block_type":"box","text":"compromise its ability to serve as an effective check on management. To that end, it is impor tant that auditors are,","page_number":215,"box":{"x":69,"y":513,"width":825,"height":12}},{"id":"564d07e1-1a41-4d09-892c-2e61ef7e5138","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":215,"box":{"x":69,"y":528,"width":824,"height":12}},{"id":"c51498ce-649b-4abf-abe7-2ae7b628a9cd","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":215,"box":{"x":70,"y":543,"width":839,"height":11}},{"id":"1fc4cdce-2e2a-48db-813e-a36d778efc39","block_type":"box","text":"assessing the independence of the auditor and the quality of the external audit process on an annual basis.","page_number":215,"box":{"x":69,"y":559,"width":770,"height":11}},{"id":"e0dbf167-7240-4c02-a3f7-8de34dc6097b","block_type":"box","text":"Comprehensive disclosure provides investors with an understanding of the company’s long-term operational risk","page_number":215,"box":{"x":102,"y":581,"width":799,"height":12}},{"id":"e0586468-9d51-4458-ad10-319f30bcdb8b","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":215,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"8b169f9d-edae-4fda-b503-2d5c261bf29a","block_type":"box","text":"to periodically review the company’s risk assessment and risk management policies and the significant risks and","page_number":215,"box":{"x":68,"y":612,"width":806,"height":11}},{"id":"bc2eba9d-616e-4be4-ace3-189e681c64c0","block_type":"box","text":"exposures identified by management, the internal auditors or the independent auditors, and management’s steps to","page_number":215,"box":{"x":69,"y":627,"width":829,"height":11}},{"id":"31a73a38-68ce-46eb-b632-76f1884e3d52","block_type":"box","text":"address them. In the absence of detailed disclosures, we may conclude that companies are not adequately managing","page_number":215,"box":{"x":69,"y":642,"width":840,"height":11}},{"id":"fa13e49d-51cd-48f9-a989-361b4c0dc853","block_type":"box","text":"risk.","page_number":215,"box":{"x":69,"y":657,"width":28,"height":9}},{"id":"b9079efb-6360-4913-9ebe-80503aa1a192","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":215,"box":{"x":125,"y":687,"width":728,"height":11}},{"id":"46c3840b-3eba-4eb9-a3b3-445f68e42e7f","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":215,"box":{"x":101,"y":710,"width":798,"height":11}},{"id":"4c399e46-954a-4e38-963d-41da5c69f1dd","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":215,"box":{"x":70,"y":725,"width":824,"height":11}},{"id":"dd472c45-ff9a-4040-a5ea-5f0cd9b81716","block_type":"box","text":"protection for shareholders against the dilution of their interests.","page_number":215,"box":{"x":70,"y":740,"width":460,"height":11}},{"id":"80f2d3a2-41a7-42d9-9d84-2c2d8c2e90f7","block_type":"box","text":"In principle, we have concerns with the creation of a share class with equivalent economic exposure and","page_number":215,"box":{"x":102,"y":763,"width":743,"height":11}},{"id":"4d45495b-1508-46dd-8cee-bf3958902d2d","block_type":"box","text":"differentiated voting rights. As a result, BIS generally suppor ts bylaw amendments that introduce the adoption of","page_number":215,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"d13bacde-991c-414b-88a3-809aee0bd584","block_type":"box","text":"“one share, one vote” for registered shareholders.","page_number":215,"box":{"x":70,"y":793,"width":358,"height":11}},{"id":"6f0b0add-b7f1-4333-ba8d-057070057043","block_type":"box","text":"7","page_number":215,"box":{"x":69,"y":823,"width":4,"height":4}},{"id":"a0cb6e53-4502-4b9a-92e1-22cfff61016d","block_type":"box","text":"Enterprise Risk Management is a process, effected by the entity’s board of directors, management, and other","page_number":215,"box":{"x":79,"y":822,"width":784,"height":12}},{"id":"8df6f7b7-8347-469a-a153-1820c2e5d7ef","block_type":"box","text":"personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect","page_number":215,"box":{"x":70,"y":837,"width":834,"height":12}},{"id":"68b1c0d7-0911-4f9c-812b-d3fa3e6d46a4","block_type":"box","text":"the entity, and manage risk to be within the risk appetite, to provide reasonable assurance regarding the achievement","page_number":215,"box":{"x":68,"y":853,"width":841,"height":11}},{"id":"fa155968-9a64-4a1f-af9e-ac84c3f2f311","block_type":"box","text":"of objectives. Please see: The Committee of Sponsoring Organizations of the Treadway Commission (COSO),","page_number":215,"box":{"x":69,"y":868,"width":771,"height":11}},{"id":"62948ba7-e46f-436c-8009-4d3bf21ec75c","block_type":"box","text":"“Enterprise Risk Management,” 2023, accessed in December 2025.","page_number":215,"box":{"x":70,"y":883,"width":488,"height":11}},{"id":"0acdc32d-b402-4954-820b-51e9e75ca386","block_type":"box","text":"BlackRock Investment Stewardship","page_number":215,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"dbbedce4-3edd-4dad-b2d1-76448be9cc54","block_type":"box","text":"Global Principles | 7","page_number":215,"box":{"x":768,"y":942,"width":140,"height":13}},{"id":"b88ae60a-4b99-4981-a657-2034ab08b3b5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":215,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"54172ee7-21c9-4dfb-9d70-6307e3d64943","block_type":"box","text":"However, we recognize that in cer tain markets, at least for a period of time, companies may have a valid reason","page_number":216,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"02187907-f231-4c92-974e-79f7dc4ee591","block_type":"box","text":"for listing dual classes of shares with differentiated voting rights. In our view, such companies should review these","page_number":216,"box":{"x":68,"y":60,"width":818,"height":11}},{"id":"6f5ab402-b67d-4788-b2fa-d69937603098","block_type":"box","text":"share class structures on a regular basis or as company circumstances change. Additionally, they should seek","page_number":216,"box":{"x":69,"y":75,"width":788,"height":11}},{"id":"2ff076dc-4f74-4951-afab-3e43ad803c2d","block_type":"box","text":"shareholder approval of their capital structure on a periodic basis via a management proposal at the company’s","page_number":216,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"3e71d97d-73a6-4391-af77-9f2147400498","block_type":"box","text":"shareholder meeting. The proposal should give unaffiliated shareholders the oppor tunity to affirm the current","page_number":216,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"3a4a4366-82ec-4bbc-96e8-21d5771e8614","block_type":"box","text":"structure or establish mechanisms to end or phase out controlling structures at the appropriate time, while","page_number":216,"box":{"x":69,"y":120,"width":764,"height":12}},{"id":"9f590643-7b47-443d-90a6-b53d5bccda9c","block_type":"box","text":"minimizing costs to shareholders.","page_number":216,"box":{"x":69,"y":136,"width":238,"height":11}},{"id":"ec8b17ff-615d-48cc-b00a-8e0d4564f4f0","block_type":"box","text":"In assessing mergers, asset sales, or other special situations, BIS’ primary consideration is the long-term","page_number":216,"box":{"x":102,"y":158,"width":756,"height":11}},{"id":"5252fd51-0947-498b-b606-84f712774ddc","block_type":"box","text":"financial interests of our clients as shareholders, and so we will review any proposed transaction with that objective","page_number":216,"box":{"x":68,"y":173,"width":826,"height":11}},{"id":"6a52460b-fe36-4815-ac87-283a7c00e3bd","block_type":"box","text":"in mind. Typically, we review factors such as whether the proposed transaction has the unanimous suppor t of the","page_number":216,"box":{"x":70,"y":188,"width":806,"height":11}},{"id":"691c57a1-8c4c-4909-a2da-d5345c6c4ed8","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":216,"box":{"x":69,"y":204,"width":799,"height":11}},{"id":"0c8a7a2a-940b-455b-b52d-8e25bd7f9645","block_type":"box","text":"economic and strategic rationale. We may also seek reassurance from the board that the financial interests of","page_number":216,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"9747a004-9f9b-4dc5-9ad4-d504074a0663","block_type":"box","text":"executives and/or board members in a given transaction have not adversely affected their ability to place","page_number":216,"box":{"x":69,"y":234,"width":750,"height":11}},{"id":"9ab40670-c8a2-4580-9b2d-8c7ba2702de1","block_type":"box","text":"shareholders’ interests before their own. Where the transaction involves related par ties, the recommendation to","page_number":216,"box":{"x":69,"y":249,"width":801,"height":11}},{"id":"ee2c4d73-e055-402f-8af4-7b5fd9ace928","block_type":"box","text":"suppor t should come from the independent directors, a best practice in most markets, and ideally, the terms should","page_number":216,"box":{"x":69,"y":264,"width":830,"height":11}},{"id":"610a1336-fbca-4d22-bdc3-c59d5c543bec","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":216,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"0de59f61-d7f7-475d-b3f5-af5474c0f09f","block_type":"box","text":"a separate vote of the non-conflicted par ties.","page_number":216,"box":{"x":69,"y":294,"width":320,"height":11}},{"id":"6135861c-7154-495a-a650-2d8762214224","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":216,"box":{"x":101,"y":317,"width":806,"height":11}},{"id":"b20c25d1-f330-4f67-b573-8e4e5c14db77","block_type":"box","text":"open market without unnecessary restriction. In our view, corporate mechanisms designed to limit shareholders’","page_number":216,"box":{"x":69,"y":332,"width":801,"height":11}},{"id":"32941dc1-798f-4128-b52a-bc03de79df26","block_type":"box","text":"ability to sell their shares are contrary to basic proper ty rights. Such mechanisms can serve to protect and entrench","page_number":216,"box":{"x":69,"y":347,"width":829,"height":11}},{"id":"89f244ed-eb34-4fa9-ba89-9ca8801acd98","block_type":"box","text":"interests other than those of the shareholders. In our view, shareholders are broadly capable of making decisions in","page_number":216,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"acbafb4b-b8f6-4f03-a228-c1d0ff73438b","block_type":"box","text":"their own best interests. We encourage any shareholder rights plans proposed by a board to be subject to","page_number":216,"box":{"x":68,"y":377,"width":755,"height":12}},{"id":"5692dbeb-60be-40a8-ad14-aa638b35500c","block_type":"box","text":"shareholder approval upon introduction and periodically thereafter.","page_number":216,"box":{"x":69,"y":392,"width":472,"height":12}},{"id":"1459a30d-a865-4ad4-9fff-ac3f77066d8c","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":216,"box":{"x":328,"y":423,"width":322,"height":9}},{"id":"527de6bc-d8d9-4fe2-83be-b1af82e549a0","block_type":"box","text":"Executive compensation is an impor tant tool used by companies to suppor t long-term financial value creation. A","page_number":216,"box":{"x":102,"y":445,"width":799,"height":12}},{"id":"4fd42510-d5b7-42ae-a8ae-224780fc46dd","block_type":"box","text":"well-structured compensation policy rewards the successful delivery of strategic, operational, and/or financial goals;","page_number":216,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"01fc543e-09d4-4ab4-aec4-2daa72cd0e53","block_type":"box","text":"encourages an appropriate risk appetite; and aligns the interests of shareholders and executives through equity","page_number":216,"box":{"x":69,"y":475,"width":797,"height":12}},{"id":"398878f4-dbb0-4ff2-8c41-d1e61c5aba5e","block_type":"box","text":"ownership.","page_number":216,"box":{"x":69,"y":491,"width":75,"height":11}},{"id":"9a430fe1-bfa7-43a7-b098-45015e22ee37","block_type":"box","text":"8","page_number":216,"box":{"x":146,"y":491,"width":4,"height":4}},{"id":"71b63201-46c1-407a-8d42-8693a50f4652","block_type":"box","text":"We look for a clear link between variable pay and operational and financial per formance that suppor t sustained","page_number":216,"box":{"x":101,"y":513,"width":793,"height":11}},{"id":"cc06702f-0ab5-4c4c-b6f0-e20e829df2f4","block_type":"box","text":"financial value creation for our clients as shareholders. We appreciate when per formance targets incorporate","page_number":216,"box":{"x":68,"y":528,"width":778,"height":12}},{"id":"d0239f2d-f242-4bcc-bf90-edf365c29b4c","block_type":"box","text":"ambitious objectives, and the corresponding metrics are aligned with the company’s strategy and business model.","page_number":216,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"25c595ca-94f5-4be1-961b-3ee434a9bc8b","block_type":"box","text":"BIS does not have a position on whether companies choose to use sustainability-related criteria in compensation","page_number":216,"box":{"x":70,"y":559,"width":804,"height":11}},{"id":"ad476512-e5c5-4891-9791-779ef5398079","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":216,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"857be121-4476-42d1-9b00-ebffaf320f7a","block_type":"box","text":"financial or operational targets. We appreciate when long-term incentive plans encompass timeframes that: 1) are","page_number":216,"box":{"x":68,"y":589,"width":813,"height":11}},{"id":"65282003-7461-49a0-877c-76163390b22f","block_type":"box","text":"distinct from annual executive compensation structures and metrics, and 2) encourage the delivery of strong financial","page_number":216,"box":{"x":69,"y":604,"width":839,"height":11}},{"id":"4ae9df00-ceed-4a79-9438-d83fb4a8bb03","block_type":"box","text":"results over a period of years.","page_number":216,"box":{"x":69,"y":619,"width":211,"height":11}},{"id":"eefaf1fe-f843-4840-a60c-c849fa0f196d","block_type":"box","text":"We consider it best practice when board members responsible for designing and approving executive","page_number":216,"box":{"x":101,"y":642,"width":718,"height":11}},{"id":"7ee48a3c-690f-402a-b59d-5148e3b468c0","block_type":"box","text":"compensation carefully consider the company’s specific circumstances. Factors to consider may include the","page_number":216,"box":{"x":69,"y":657,"width":770,"height":11}},{"id":"4a0a0531-7699-4677-9dc2-ef5ba1931da0","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":216,"box":{"x":69,"y":672,"width":838,"height":11}},{"id":"9b3b2e10-99a0-4644-b247-5038395dc0dc","block_type":"box","text":"look to the compensation committees to guard against contractual arrangements that would entitle executives to","page_number":216,"box":{"x":70,"y":687,"width":804,"height":11}},{"id":"e379f2b9-a469-4144-b52b-c48f596ffab4","block_type":"box","text":"material compensation for early termination of their employment. Finally, we look for pension contributions and other","page_number":216,"box":{"x":69,"y":702,"width":831,"height":11}},{"id":"a845c9eb-2772-401d-a814-b228b6786a44","block_type":"box","text":"deferred compensation arrangements to be reasonable in light of market practices or the company’s business and","page_number":216,"box":{"x":69,"y":717,"width":817,"height":12}},{"id":"86503a15-3e35-4414-aaff-f98f96ec9a46","block_type":"box","text":"executive compensation strategies.","page_number":216,"box":{"x":69,"y":733,"width":250,"height":11}},{"id":"abff7e7d-21bb-4e01-9f1c-bd600e7aa62a","block_type":"box","text":"We are not suppor tive of one-off or special bonuses unrelated to company or individual per formance. Where","page_number":216,"box":{"x":101,"y":755,"width":772,"height":11}},{"id":"f447cea5-be9b-4299-a30d-0f3628e46a23","block_type":"box","text":"discretion has been used by the compensation committee, or its equivalent, we appreciate disclosure relating to how","page_number":216,"box":{"x":69,"y":771,"width":836,"height":11}},{"id":"3c078079-5af6-4171-b221-5c128652d18c","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":216,"box":{"x":69,"y":785,"width":803,"height":12}},{"id":"13b5883b-ac7e-4618-b5ec-b6cbe46bd5b8","block_type":"box","text":"addition, we acknowledge that the use of peer group evaluation by compensation committees can help ensure","page_number":216,"box":{"x":69,"y":801,"width":785,"height":11}},{"id":"03b4f534-60ec-4d6d-840d-109994ba3d1b","block_type":"box","text":"competitive pay. However, we encourage companies to clearly explain how compensation outcomes have rewarded","page_number":216,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"81c7293b-afc6-4d9c-a945-193638b3fc91","block_type":"box","text":"per formance rather than solely base increases in total compensation on peer benchmarking.","page_number":216,"box":{"x":70,"y":831,"width":659,"height":11}},{"id":"59be814e-b2b1-48eb-a685-d6d859ec4df8","block_type":"box","text":"8","page_number":216,"box":{"x":69,"y":860,"width":4,"height":5}},{"id":"9d8858b8-46d2-4b30-974d-a2d1a7c36b13","block_type":"box","text":"The terms “compensation,” “remuneration,” and “pay” are used interchangeably to describe the same concept in","page_number":216,"box":{"x":78,"y":860,"width":811,"height":11}},{"id":"1b3d42e4-cfe8-4732-b27b-21b2db188b50","block_type":"box","text":"different markets.","page_number":216,"box":{"x":69,"y":875,"width":126,"height":9}},{"id":"10d75c74-8eff-47eb-b0ce-5b26d022288c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":216,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"9871d46d-e064-4ce8-8d9d-b11014d50dc2","block_type":"box","text":"Global Principles | 8","page_number":216,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"915f8e77-3dbd-43f8-b1b8-3b37e8c3acb8","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":216,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"59206af5-80aa-41bc-ba40-cc68541a1392","block_type":"box","text":"We consider the inclusion of building clawback provisions into incentive plans as good practice. Such provisions","page_number":217,"box":{"x":101,"y":45,"width":797,"height":11}},{"id":"df251b8a-0c73-4a56-b3e4-f148cd03a41a","block_type":"box","text":"could require executives to forgo awards when compensation was based on faulty financial statements or deceptive","page_number":217,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"0a5a7e3d-cd14-4e7d-98bc-8893d9dc9f36","block_type":"box","text":"business practices, or when their behavior caused material financial harm to shareholders, material reputational risk","page_number":217,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"aa101804-7cbe-4620-bf4f-2ef9c4af238a","block_type":"box","text":"to the company, or resulted in a criminal investigation.","page_number":217,"box":{"x":68,"y":90,"width":386,"height":11}},{"id":"a8b700c3-61fb-4165-9387-83b405dc45bb","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":217,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"cba94be2-349c-4f27-ba36-5e1654d0af9d","block_type":"box","text":"effor t expended in fulfilling their professional responsibilities. Additionally, these compensation arrangements should","page_number":217,"box":{"x":69,"y":128,"width":834,"height":11}},{"id":"2c3155bb-1751-41fd-8dd1-9cd5da1fac1b","block_type":"box","text":"not risk compromising directors’ independence or aligning their interests too closely with those of the management,","page_number":217,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"bbc4fbef-9d82-488d-893d-ab12d0984d99","block_type":"box","text":"whom they are charged with overseeing.","page_number":217,"box":{"x":68,"y":158,"width":285,"height":11}},{"id":"3060c2f8-b841-4dc6-aa77-0d69d99932ff","block_type":"box","text":"When assessing compensation proposals, BIS reviews companies’ disclosures to determine whether the board’s","page_number":217,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"e678bc9b-eabe-4e5b-8e95-b07023b6d55a","block_type":"box","text":"approach to executive compensation is rigorous in light of the company’s stated long-term corporate strategy and","page_number":217,"box":{"x":69,"y":196,"width":807,"height":11}},{"id":"cb280e17-386c-4a7a-b816-d9991c34a6dd","block_type":"box","text":"specific circumstances, as well as local market and policy developments.","page_number":217,"box":{"x":69,"y":211,"width":521,"height":11}},{"id":"71fdcbac-9129-4eda-9b6c-375d40ad833a","block_type":"box","text":"When our analysis indicates that executive compensation is misaligned with company per formance, BIS may not","page_number":217,"box":{"x":101,"y":234,"width":802,"height":11}},{"id":"3b46f3bf-fea1-4c9a-9764-6276d3fe603d","block_type":"box","text":"suppor t management’s proposals to approve compensation, where they are on the agenda. We may also not suppor t","page_number":217,"box":{"x":69,"y":249,"width":838,"height":11}},{"id":"06bfb5a1-698a-4ffa-bf65-c1bebfd54f55","block_type":"box","text":"members of the compensation committee or equivalent board members for poor compensation practices or","page_number":217,"box":{"x":69,"y":264,"width":766,"height":11}},{"id":"7334c8c8-ac6a-4f20-a3bb-31ef5ca7411d","block_type":"box","text":"structures.","page_number":217,"box":{"x":69,"y":280,"width":76,"height":8}},{"id":"5c4f481f-e809-4ae3-b1c8-e352d3b39dbf","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":217,"box":{"x":191,"y":309,"width":595,"height":9}},{"id":"3b620ed1-e38c-41f1-8b6b-426c96afb40f","block_type":"box","text":"Corporate form","page_number":217,"box":{"x":69,"y":339,"width":108,"height":11}},{"id":"d4ac3ea3-aa40-427e-b54f-d000a80680d4","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":217,"box":{"x":102,"y":362,"width":781,"height":11}},{"id":"819af446-1e9a-4d80-b1de-388df8310cad","block_type":"box","text":"the company’s purpose and business model.","page_number":217,"box":{"x":68,"y":377,"width":320,"height":11}},{"id":"10697d80-56bd-487a-948f-44c04ff07020","block_type":"box","text":"9","page_number":217,"box":{"x":390,"y":378,"width":4,"height":4}},{"id":"7b0d837a-81b6-42dc-a885-e767d1ec19b2","block_type":"box","text":"We look to companies proposing to change their corporate form to a","page_number":217,"box":{"x":399,"y":377,"width":487,"height":12}},{"id":"b7dfb5ec-d58c-4866-9f10-e545ec9d8864","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":217,"box":{"x":70,"y":392,"width":791,"height":12}},{"id":"61ab4936-c0b8-437e-89ce-1380417b12d5","block_type":"box","text":"applicable law. We appreciate when suppor ting documentation from companies or shareholders proposing to alter the","page_number":217,"box":{"x":69,"y":407,"width":839,"height":12}},{"id":"3f26fcfd-4ee8-4df9-9dec-f8b812f7af7d","block_type":"box","text":"corporate form clearly explains how the interests of shareholders and different stakeholders would be impacted as","page_number":217,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"5e7cea0a-cbd7-47d2-87b4-2c7d76fbe836","block_type":"box","text":"well as the accountability and voting mechanisms that would be available to shareholders. We generally suppor t","page_number":217,"box":{"x":68,"y":438,"width":800,"height":11}},{"id":"41c0b536-b7ef-4a7d-847f-b735273fc020","block_type":"box","text":"management proposals if our analysis indicates that shareholders’ financial interests are adequately protected.","page_number":217,"box":{"x":69,"y":453,"width":796,"height":11}},{"id":"82aa2d4d-280b-4452-a97b-7d54aa8a9a49","block_type":"box","text":"Corporate form shareholder proposals are evaluated on a case-by-case basis.","page_number":217,"box":{"x":69,"y":468,"width":552,"height":11}},{"id":"8d540d24-96b0-44fd-b354-0c6e6e5f543e","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":217,"box":{"x":385,"y":498,"width":207,"height":9}},{"id":"c75d4124-9e5c-4c7b-bc9c-441cec2eadbf","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":217,"box":{"x":102,"y":521,"width":777,"height":11}},{"id":"64a26fa5-743c-4e20-8a43-d327f85b968c","block_type":"box","text":"long as cer tain requirements are met. Shareholder proposals span a wide range of topics, including governance","page_number":217,"box":{"x":70,"y":536,"width":796,"height":11}},{"id":"15a6c374-b8ed-41d9-b0c3-3945b0b02473","block_type":"box","text":"reforms, capital management, and changes in the management or disclosure of sustainability-related risks. These","page_number":217,"box":{"x":69,"y":551,"width":813,"height":11}},{"id":"86158759-f87f-4b18-9b46-44adc98c933d","block_type":"box","text":"proposals have a varying degree of relevance for companies across sectors, locations, and business models.","page_number":217,"box":{"x":70,"y":566,"width":779,"height":11}},{"id":"a5f4365e-5832-49a4-8f14-3a6dac10d110","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":217,"box":{"x":102,"y":589,"width":775,"height":11}},{"id":"97b7d1df-14a5-45b9-87a7-efdfa7335e44","block_type":"box","text":"proposal’s implications for long-term financial value creation for shareholders. Our analysis considers whether a","page_number":217,"box":{"x":70,"y":604,"width":796,"height":11}},{"id":"430ac0bc-33ab-446e-99d2-46c182b7c334","block_type":"box","text":"shareholder proposal addresses a material risk that may impact a company’s long-term financial per formance. BIS","page_number":217,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"29dc2c7a-7217-4134-ac5e-b702903f0004","block_type":"box","text":"may suppor t shareholder proposals that request disclosures that help us, as long-term investors on behalf of our","page_number":217,"box":{"x":69,"y":634,"width":809,"height":12}},{"id":"649f4332-6271-415d-badb-bae562603a74","block_type":"box","text":"clients, better understand the material risks and oppor tunities companies face and how they are managing them,","page_number":217,"box":{"x":69,"y":649,"width":807,"height":12}},{"id":"b7d6fa82-0c61-4556-8ced-2647c4507fc6","block_type":"box","text":"especially where this information is additive given the company’s existing disclosures. We look for consistency","page_number":217,"box":{"x":69,"y":664,"width":787,"height":12}},{"id":"8f8504e4-1721-4061-a63d-219b9df79038","block_type":"box","text":"between the specific request formally made in the proposal, the suppor ting documentation, and the proponents’","page_number":217,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"36444e8f-9c6d-44d6-a365-995d1e78e50f","block_type":"box","text":"other communications on the issues. We also assess the company’s practices and disclosures and the costs and","page_number":217,"box":{"x":69,"y":695,"width":813,"height":11}},{"id":"cd645401-cc5c-43c6-88cf-41a24984bc8c","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":217,"box":{"x":69,"y":710,"width":791,"height":11}},{"id":"9f50acb3-0d70-43c6-ab85-cde84854141d","block_type":"box","text":"governance practices and disclosures against those of their peers.","page_number":217,"box":{"x":68,"y":725,"width":475,"height":11}},{"id":"0d54d763-9469-45a4-817b-effc5b4addde","block_type":"box","text":"BIS does not suppor t shareholder proposals that we view as inconsistent with long-term financial value or that","page_number":217,"box":{"x":102,"y":748,"width":787,"height":11}},{"id":"e26053e9-4091-45f4-9361-527bfbe3aa1c","block_type":"box","text":"seek to micromanage companies. We take into consideration the legal effect of the proposal, as shareholder","page_number":217,"box":{"x":69,"y":763,"width":778,"height":11}},{"id":"bb4c8712-ee58-4937-b468-93026d87a28c","block_type":"box","text":"proposals may be advisory or legally binding depending on the jurisdiction, while others may make requests that","page_number":217,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"700ad17c-fdba-4429-a3d5-2db26c2ad4c0","block_type":"box","text":"would be deemed illegal in a given jurisdiction.","page_number":217,"box":{"x":68,"y":793,"width":331,"height":11}},{"id":"b0c4aded-0de5-4cae-b14e-f9b2ec01e23e","block_type":"box","text":"In our experience, it is helpful when companies disclose the names of the proponent or organization that has","page_number":217,"box":{"x":102,"y":816,"width":777,"height":11}},{"id":"2b19a4cf-0d60-4703-8bf6-a194fd0613b8","block_type":"box","text":"submitted or advised on the proposal. We recognize that some shareholder proposals bundle topics and/or specific","page_number":217,"box":{"x":69,"y":831,"width":825,"height":11}},{"id":"de6a8a33-940c-4d2a-86cb-fc2ff2975021","block_type":"box","text":"requests. Fur ther, the proponent’s suppor ting statement may refer to topics that are not directly related to the","page_number":217,"box":{"x":69,"y":846,"width":788,"height":11}},{"id":"537205f9-45f0-456c-930f-f2ad96a8f78d","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":217,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"1798f1f1-73d2-4665-9a20-133bbe0e7e05","block_type":"box","text":"the proponent. Therefore, when we vote in suppor t of a proposal, we are not necessarily endorsing every element of","page_number":217,"box":{"x":68,"y":876,"width":831,"height":11}},{"id":"64d93453-5d08-480f-8eda-4fbbfbd4dd70","block_type":"box","text":"9","page_number":217,"box":{"x":69,"y":906,"width":4,"height":4}},{"id":"8b927a6f-ccb5-471a-8936-d58eaf0a457a","block_type":"box","text":"Corporate form refers to the legal structure by which a business is organized.","page_number":217,"box":{"x":79,"y":905,"width":550,"height":12}},{"id":"a302b60e-14e3-4ebc-b97f-d5e82b791994","block_type":"box","text":"BlackRock Investment Stewardship","page_number":217,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"21f53253-6668-4367-ba3c-9cfb5450fd4a","block_type":"box","text":"Global Principles | 9","page_number":217,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"4eabf096-3f74-4b80-860d-80d3a64dc181","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":217,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"417ab393-7ae3-4410-9253-a2f1e3ad38cd","block_type":"box","text":"the proposal or the reasoning, objectives, or suppor ting statement of the proponent. We may suppor t a proposal for","page_number":218,"box":{"x":68,"y":45,"width":829,"height":11}},{"id":"2d2e7ea7-9cb1-457b-b01b-b32037fad0ad","block_type":"box","text":"different reasons than those put for th by the proponent, when we believe that overall it may advance our clients’","page_number":218,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"1cc72058-09a3-4705-af5b-70f67c9a08b9","block_type":"box","text":"long-term financial interests.","page_number":218,"box":{"x":70,"y":75,"width":201,"height":11}},{"id":"7ec24ab2-b751-4e2e-a542-d89c807e7502","block_type":"box","text":"BlackRock is subject to cer tain rules, regulations, agency guidance, and contractual agreements that place","page_number":218,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"92430e3a-507d-4062-b242-27ca540f1feb","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":218,"box":{"x":69,"y":113,"width":809,"height":11}},{"id":"e461eaa4-93ca-4257-8f93-3b116dd316a6","block_type":"box","text":"clients. BlackRock does not nominate directors for board elections or submit shareholder proposals to companies.","page_number":218,"box":{"x":69,"y":128,"width":817,"height":11}},{"id":"1599393b-0ae7-4a7c-bdc7-ccd99e84575b","block_type":"box","text":"Non-compliance with these requirements could adversely affect BlackRock’s ability to serve its clients’ interests.","page_number":218,"box":{"x":70,"y":143,"width":803,"height":11}},{"id":"bccb793e-aa64-4d4b-a9c4-872db42a54da","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":218,"box":{"x":247,"y":173,"width":484,"height":9}},{"id":"9be60643-595c-4b0e-977f-c0009a31a2da","block_type":"box","text":"Appropriate oversight of material risks and oppor tunities, including material sustainability-related risks and","page_number":218,"box":{"x":101,"y":196,"width":760,"height":11}},{"id":"cb3c4412-83e3-45d4-b6c7-3807eb11c74c","block_type":"box","text":"oppor tunities, is an impor tant component of having an effective governance framework that suppor ts durable, long","page_number":218,"box":{"x":69,"y":211,"width":824,"height":11}},{"id":"91976e9c-3444-4927-8ba3-6a128e86dbf7","block_type":"box","text":"term financial value creation.","page_number":218,"box":{"x":68,"y":226,"width":206,"height":9}},{"id":"067062d5-1dec-4714-85b8-70d0d7d52155","block_type":"box","text":"10","page_number":218,"box":{"x":276,"y":226,"width":9,"height":5}},{"id":"137c6a56-a3fb-42b8-a5da-7822cb56cbde","block_type":"box","text":"We look to companies to provide robust disclosure that allows investors to effectively evaluate companies’","page_number":218,"box":{"x":101,"y":249,"width":761,"height":11}},{"id":"99c732f6-c3c6-4103-acb7-2edefb89c99a","block_type":"box","text":"strategy and business practices related to material sustainability-related risks and oppor tunities. We find it helpful","page_number":218,"box":{"x":69,"y":264,"width":814,"height":11}},{"id":"d0174371-e89e-40ea-8d85-f8575ae1c900","block_type":"box","text":"when companies’ disclosures demonstrate that they have a resilient business model that integrates material","page_number":218,"box":{"x":68,"y":279,"width":777,"height":11}},{"id":"19ed9d08-c947-40ba-9dec-a054267a37ce","block_type":"box","text":"sustainability-related risks and oppor tunities into their strategy, risk management, and metrics and targets, including","page_number":218,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"eae63060-dc02-4290-9988-5686ea194a35","block_type":"box","text":"industry-specific metrics.","page_number":218,"box":{"x":70,"y":309,"width":175,"height":11}},{"id":"a0462585-8c62-429a-ac8c-386411fde2e7","block_type":"box","text":"Standardized disclosure of sustainability-related data suppor ts investors in making informed decisions. The","page_number":218,"box":{"x":102,"y":332,"width":765,"height":11}},{"id":"acc14955-29f8-42ab-84e8-eeb0c2ff2e6b","block_type":"box","text":"International Sustainability Standards Board (ISSB) standards, IFRS S1 and S2, represent one such approach to","page_number":218,"box":{"x":70,"y":347,"width":800,"height":11}},{"id":"fba7a69f-b8cb-472b-b7a1-7685de51bf48","block_type":"box","text":"standardization that we find useful in our analysis.","page_number":218,"box":{"x":69,"y":362,"width":358,"height":11}},{"id":"29f682c2-7a6c-42d9-8ca0-d1fd1f02c19d","block_type":"box","text":"11","page_number":218,"box":{"x":429,"y":363,"width":9,"height":4}},{"id":"01a403dd-30af-4569-97aa-fa917602d84d","block_type":"box","text":"However, we do not mandate any specific disclosure framework","page_number":218,"box":{"x":444,"y":362,"width":451,"height":11}},{"id":"feb05692-5438-4de6-9b56-a20f4509a348","block_type":"box","text":"companies should use, and recognize that companies may repor t using different standards, some of which may be","page_number":218,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"eadf2319-445b-4939-8815-ce660a49a5ae","block_type":"box","text":"required by regulation. In such cases, we ask that companies highlight the metrics that are industry- or company","page_number":218,"box":{"x":69,"y":393,"width":806,"height":11}},{"id":"1375e0d3-a126-4911-8c5a-c30f519b977a","block_type":"box","text":"specific.","page_number":218,"box":{"x":69,"y":407,"width":57,"height":11}},{"id":"fe43f832-19f8-4e8f-b7d3-69e36d9da843","block_type":"box","text":"We also recognize that companies may be phasing in repor ting over several years. We do not prescribe timelines","page_number":218,"box":{"x":101,"y":430,"width":805,"height":11}},{"id":"99ee0a0f-240f-45bb-b3e7-b6d8db810e30","block_type":"box","text":"regarding when companies should make sustainability-related disclosures but appreciate it when companies produce","page_number":218,"box":{"x":69,"y":446,"width":833,"height":11}},{"id":"8880514f-f398-41d1-a3a6-acfbb962fb6f","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":218,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"2479984a-991a-40df-876a-5f33e6189360","block_type":"box","text":"to assess the data and make informed voting decisions.","page_number":218,"box":{"x":68,"y":475,"width":401,"height":12}},{"id":"5e1671c7-37bd-4b39-b0c7-e2c8b8edf408","block_type":"box","text":"Industry initiatives on managing specific operational risks may also provide useful guidance to companies on","page_number":218,"box":{"x":102,"y":498,"width":775,"height":11}},{"id":"47d83b96-f4d0-420d-b600-553ff2732406","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":218,"box":{"x":69,"y":513,"width":804,"height":12}},{"id":"68bb42b5-64f4-43db-8eb3-7b8514df95b4","block_type":"box","text":"when companies disclose any relevant global sustainability-related standards adopted, the industry initiatives in","page_number":218,"box":{"x":68,"y":529,"width":799,"height":11}},{"id":"e061e818-4978-41bf-8901-aa5fc6ef7c04","block_type":"box","text":"which they par ticipate, any peer group benchmarking under taken, and any assurance processes to help investors","page_number":218,"box":{"x":68,"y":544,"width":810,"height":11}},{"id":"bab0fc82-8bd3-4934-8979-af5b4fad0ef7","block_type":"box","text":"understand their approach to sustainable and responsible business practices.","page_number":218,"box":{"x":69,"y":559,"width":556,"height":11}},{"id":"ef3000ad-7239-4a60-b623-5fade78d76d8","block_type":"box","text":"10","page_number":218,"box":{"x":69,"y":603,"width":9,"height":5}},{"id":"6a01b852-6c9a-4304-9338-eab034ed6c9c","block_type":"box","text":"By material sustainability-related risks and oppor tunities, we mean the drivers of risk and financial value creation in","page_number":218,"box":{"x":84,"y":603,"width":822,"height":11}},{"id":"066ea1b8-6731-49ce-893f-ac023a69131a","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":218,"box":{"x":69,"y":618,"width":835,"height":11}},{"id":"065b08eb-a3bc-4e25-87cb-819fc75e68f4","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":218,"box":{"x":70,"y":633,"width":827,"height":12}},{"id":"67979ba2-0e92-4382-bb4e-02c318df5fd7","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":218,"box":{"x":70,"y":649,"width":826,"height":11}},{"id":"91a34efa-32d2-40f1-91ed-48cee416e563","block_type":"box","text":"operates, customer loyalty, and relationships with regulators.","page_number":218,"box":{"x":69,"y":664,"width":433,"height":11}},{"id":"59b47ce2-069b-400b-9a02-a2449b2c87c2","block_type":"box","text":"11","page_number":218,"box":{"x":69,"y":682,"width":9,"height":4}},{"id":"fa786f60-2af8-486f-80ad-6f926a00b31a","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Repor ting Standards","page_number":218,"box":{"x":83,"y":681,"width":744,"height":11}},{"id":"4f55d57a-6b96-41dd-b92c-6a84edd2260f","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":218,"box":{"x":69,"y":696,"width":828,"height":11}},{"id":"9cd30eef-1379-4590-a0fc-3da9b260877a","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":218,"box":{"x":69,"y":711,"width":830,"height":12}},{"id":"a14b7381-44fd-497d-badc-5aeb91c19e90","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":218,"box":{"x":69,"y":726,"width":809,"height":12}},{"id":"e36f9d2c-0fde-4861-8ce2-de86fa985b40","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":218,"box":{"x":70,"y":742,"width":778,"height":11}},{"id":"3cb55d82-296f-4fe7-a437-c3770e155a30","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":218,"box":{"x":70,"y":757,"width":380,"height":9}},{"id":"936a096a-546c-41e3-b36e-5e67c70b8856","block_type":"box","text":"BlackRock Investment Stewardship","page_number":218,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"f9824704-f6c6-468f-be8f-8b3b558ebd1e","block_type":"box","text":"Global Principles | 10","page_number":218,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"671c07e5-8a94-44b0-8f41-b4db461521e3","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":218,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fd4c7642-0ca8-4d0d-8326-8ad3e59dd897","block_type":"box","text":"CLIMATE AND NATURE-RELATED RISK","page_number":219,"box":{"x":351,"y":45,"width":277,"height":9}},{"id":"1e19251f-18fc-4905-b241-01c96437170f","block_type":"box","text":"Many companies are assessing how to navigate the low-carbon transition while delivering long-term financial","page_number":219,"box":{"x":102,"y":67,"width":769,"height":12}},{"id":"223bd4f8-be96-4ac2-b3b0-f30678633bfd","block_type":"box","text":"value to investors. For companies facing material climate-related risks, we find it helpful when they publicly disclose,","page_number":219,"box":{"x":68,"y":82,"width":829,"height":12}},{"id":"46b8fe6b-713d-49ab-94b2-1b9112c40ca3","block_type":"box","text":"consistent with their business model and sector, how they intend to deliver long-term financial per formance through","page_number":219,"box":{"x":69,"y":98,"width":824,"height":11}},{"id":"8a724bd3-821e-4a84-8637-4fc3edf06ff3","block_type":"box","text":"the low-carbon transition, including where available, their transition plan.","page_number":219,"box":{"x":68,"y":113,"width":514,"height":11}},{"id":"0fc2785f-9684-4686-9558-5f894c6bf0a9","block_type":"box","text":"12, 13","page_number":219,"box":{"x":584,"y":113,"width":26,"height":5}},{"id":"dbbc3bc9-4e63-414a-8139-8ccfd4be0054","block_type":"box","text":"From company disclosures and","page_number":219,"box":{"x":617,"y":113,"width":218,"height":11}},{"id":"30cabcbb-d381-46d8-9bc9-24424ff9b846","block_type":"box","text":"engagement, we seek to understand the strategies companies have in place to manage material risks to, and","page_number":219,"box":{"x":69,"y":128,"width":782,"height":11}},{"id":"0c96a68f-a516-4c2c-9cf6-f297f0940b1f","block_type":"box","text":"oppor tunities for, their long-term business model associated with a range of climate-related scenarios.","page_number":219,"box":{"x":69,"y":143,"width":729,"height":11}},{"id":"e98821db-fa44-4054-bb61-545c5040e01d","block_type":"box","text":"Recognizing the value of these disclosures, cer tain markets such as the European Union mandate large","page_number":219,"box":{"x":102,"y":166,"width":740,"height":11}},{"id":"697454d1-aef4-4f8c-9769-963cf2c40c73","block_type":"box","text":"companies to disclose such climate-related financial information, while in other jurisdictions these disclosures are","page_number":219,"box":{"x":69,"y":181,"width":814,"height":11}},{"id":"20e97e8b-ebca-4fa8-a43d-ca0c8868b8c8","block_type":"box","text":"viewed as best practice in the market.","page_number":219,"box":{"x":68,"y":196,"width":271,"height":11}},{"id":"2a7f9001-427d-4491-82f0-f101b46b23fb","block_type":"box","text":"The ISSB standards provide one such framework that can assist investors in assessing company-specific","page_number":219,"box":{"x":101,"y":218,"width":749,"height":12}},{"id":"6cafd027-7b9e-48fe-9758-6b1ed9241557","block_type":"box","text":"climate-related risks and oppor tunities, and informing investment decisions. Such disclosures also provide investors","page_number":219,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"c668d3f4-7fe0-4ac8-b5e4-f263723fd06f","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":219,"box":{"x":68,"y":249,"width":809,"height":11}},{"id":"374663ac-a0ea-4c98-95f2-d1f70b6e3efd","block_type":"box","text":"managing their own carbon emissions or emissions intensities to the extent financially practicable.","page_number":219,"box":{"x":69,"y":264,"width":702,"height":11}},{"id":"82036156-86ec-4255-aeda-b47c9aae5fa0","block_type":"box","text":"The ISSB standards, for example, contemplate disclosures on how companies are setting shor t-, medium- and","page_number":219,"box":{"x":101,"y":286,"width":786,"height":12}},{"id":"023e7a3e-c5a4-4c77-8e5e-f5f3920cc83a","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":219,"box":{"x":70,"y":302,"width":834,"height":11}},{"id":"56532a87-3f9d-406f-a561-bccf2438f4de","block_type":"box","text":"emissions (GHG) reductions and to demonstrate how their targets are consistent with the long-term financial","page_number":219,"box":{"x":69,"y":317,"width":773,"height":11}},{"id":"12c2c0b8-b890-4cd7-b66e-0af2e0f5b69e","block_type":"box","text":"interests of their investors.","page_number":219,"box":{"x":70,"y":332,"width":190,"height":9}},{"id":"1f2f3655-cc40-4966-971e-6bce83c8e5f1","block_type":"box","text":"While we recognize that regulators in some markets are moving to mandate cer tain disclosures, at this stage,","page_number":219,"box":{"x":101,"y":355,"width":784,"height":11}},{"id":"d45ba905-e8fa-48c4-8580-25e80c27291d","block_type":"box","text":"we view scope 3 emissions differently from scopes 1 and 2, given methodological complexity, regulatory uncer tainty,","page_number":219,"box":{"x":68,"y":370,"width":832,"height":11}},{"id":"c364f6a2-161c-4a9e-abe9-5e6f4f5ae403","block_type":"box","text":"concerns about double-counting, and lack of direct control by companies. We welcome disclosures and commitments","page_number":219,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"2e654d8c-ee1e-4b0f-876d-8aa6f86c61b4","block_type":"box","text":"that companies choose to make regarding material scope 3 emissions and recognize that these are provided on a","page_number":219,"box":{"x":68,"y":400,"width":815,"height":11}},{"id":"684c9510-6353-4bf5-9779-5b1fd7bb7d58","block_type":"box","text":"good-faith basis as methodology develops.","page_number":219,"box":{"x":68,"y":415,"width":303,"height":11}},{"id":"79fb5c08-c920-40e1-bcbc-0c27e1ae7272","block_type":"box","text":"In addition to climate-related risks and oppor tunities, for companies whose strategies, operations or supply","page_number":219,"box":{"x":102,"y":438,"width":766,"height":11}},{"id":"344240f8-693b-4a5f-ac1c-f53f1f1f5dce","block_type":"box","text":"chains are materially reliant on natural capital, nature-related risks and oppor tunities may affect their ability to","page_number":219,"box":{"x":69,"y":453,"width":788,"height":11}},{"id":"bb98c409-62b6-4bf9-93d2-c12e37a50f5a","block_type":"box","text":"generate long-term financial returns.","page_number":219,"box":{"x":68,"y":468,"width":258,"height":11}},{"id":"32b35d12-02e9-448e-9d4e-b4cd42692dc6","block_type":"box","text":"14","page_number":219,"box":{"x":328,"y":468,"width":9,"height":5}},{"id":"f93b65fb-626e-4111-bf0a-e3ca032ebee0","block_type":"box","text":"For these companies, we rely on disclosures to understand how their","page_number":219,"box":{"x":344,"y":468,"width":490,"height":11}},{"id":"6a32600c-de9e-481d-9b82-47c5e7586b36","block_type":"box","text":"strategies consider nature-related impacts and dependencies and to assess how the board oversees these risks.","page_number":219,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"a43236ed-4e23-410c-b170-972e31ce46aa","block_type":"box","text":"15","page_number":219,"box":{"x":878,"y":484,"width":9,"height":4}},{"id":"170ef8c4-b048-46fe-88d0-6e18bcda661d","block_type":"box","text":"COMPANIES’ IMPACT ON THEIR WORKFORCE, SUPPLY CHAINS, AND COMMUNITIES","page_number":219,"box":{"x":179,"y":513,"width":620,"height":11}},{"id":"e1880517-345b-4f20-8ebc-20652e8cb41f","block_type":"box","text":"Companies determine their key stakeholders based on what is material to their business and long-term financial","page_number":219,"box":{"x":102,"y":536,"width":799,"height":11}},{"id":"95ce5c7e-4708-4bd8-9395-b369ffc66af8","block_type":"box","text":"per formance. For many companies, key stakeholders include employees, business supply chains, clients and","page_number":219,"box":{"x":70,"y":551,"width":778,"height":11}},{"id":"0ae6234b-ab5e-4c63-85a1-56fcd2b765c0","block_type":"box","text":"consumers, regulators, and the communities in which they operate.","page_number":219,"box":{"x":69,"y":566,"width":479,"height":11}},{"id":"2ab8c02c-81ce-47e9-a19b-5d0d571549f4","block_type":"box","text":"In our experience, companies that invest in the relationships that are critical to their strategic objectives are","page_number":219,"box":{"x":102,"y":589,"width":770,"height":11}},{"id":"2cf53668-ce1a-40f4-a908-878ac9142e06","block_type":"box","text":"more likely to deliver durable, long-term financial per formance. By contrast, we have found that poor relationships","page_number":219,"box":{"x":69,"y":604,"width":810,"height":11}},{"id":"70c1f69f-14c6-41fb-9292-58d5c52c240b","block_type":"box","text":"12","page_number":219,"box":{"x":69,"y":634,"width":9,"height":4}},{"id":"ae72b579-8ba5-4380-8e2f-c1e76ed0765e","block_type":"box","text":"We have observed that more companies are developing such plans, and public policymakers in cer tain markets are","page_number":219,"box":{"x":83,"y":633,"width":823,"height":12}},{"id":"ae1510e2-2c29-4d83-88f2-b322de59f525","block_type":"box","text":"signaling their intentions to require them or already have requirements in place, such as Australia, Brazil, and the","page_number":219,"box":{"x":69,"y":649,"width":808,"height":11}},{"id":"dc2f5d32-72e2-43b9-a4f4-269e905dc98d","block_type":"box","text":"European Union (please see the International Transition Plan Network for information). We view transition plans as a","page_number":219,"box":{"x":70,"y":663,"width":827,"height":11}},{"id":"cf2a50ee-1ce7-4ab9-8bda-85186b9598e9","block_type":"box","text":"method for a company to both internally assess and externally communicate its long-term strategy, ambition,","page_number":219,"box":{"x":69,"y":679,"width":774,"height":11}},{"id":"899bbdfc-ebba-4238-9e40-d65044805065","block_type":"box","text":"objectives, and actions to create financial value through the global transition towards a low-carbon economy. Across","page_number":219,"box":{"x":69,"y":694,"width":825,"height":11}},{"id":"956c2ccc-b8ef-41d5-81ba-e65bb6709f79","block_type":"box","text":"the landscape there remains divergence on the objectives of such plans and the details they should contain. While","page_number":219,"box":{"x":68,"y":709,"width":819,"height":11}},{"id":"042ecfea-b497-42bb-8a17-676f102709d8","block_type":"box","text":"transition plans can be helpful disclosure, BIS does not make the preparation and production of transition plans a","page_number":219,"box":{"x":68,"y":724,"width":813,"height":11}},{"id":"56b57f24-54d5-437a-8a40-a6c23b651568","block_type":"box","text":"voting issue. BIS may engage companies that have chosen to publish a transition plan to understand their planned","page_number":219,"box":{"x":68,"y":739,"width":819,"height":11}},{"id":"d7668697-b44b-4360-952a-20410e1d1f95","block_type":"box","text":"actions and resource implications. Website accessed in December 2025.","page_number":219,"box":{"x":69,"y":754,"width":522,"height":11}},{"id":"8e4b9fef-32c3-4c78-8817-de42b4a86e23","block_type":"box","text":"13","page_number":219,"box":{"x":69,"y":772,"width":9,"height":5}},{"id":"6936ad1d-6e17-488d-951f-cd52eb5dfc90","block_type":"box","text":"For more information, please see our commentary “Climate-related risks and a low-carbon transition,” December","page_number":219,"box":{"x":84,"y":772,"width":804,"height":11}},{"id":"0642ff14-3989-4688-815b-14fa0f32e8a3","block_type":"box","text":"2025.","page_number":219,"box":{"x":69,"y":787,"width":42,"height":9}},{"id":"bfdf3a00-b481-4648-94c3-459c5924e4cb","block_type":"box","text":"14","page_number":219,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"567cf647-8abb-4f29-b155-c691c9f11c8d","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on natural capital,” December","page_number":219,"box":{"x":84,"y":805,"width":796,"height":11}},{"id":"47daa0b6-3a41-4b7f-8331-91cc9ee7cae5","block_type":"box","text":"2025.","page_number":219,"box":{"x":69,"y":820,"width":42,"height":9}},{"id":"0ebb602d-ab14-4454-a588-8df62e9736a5","block_type":"box","text":"15","page_number":219,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"d45c553d-b3c5-415e-a7d2-1507c0d989fe","block_type":"box","text":"Given the growing awareness of the materiality of these issues for cer tain businesses, enhanced repor ting on a","page_number":219,"box":{"x":84,"y":837,"width":797,"height":12}},{"id":"ad201cca-f3fc-4a0c-8091-60fbb3302e5f","block_type":"box","text":"company’s natural capital dependencies and impacts would aid investors’ understanding. The recommendations of","page_number":219,"box":{"x":69,"y":852,"width":820,"height":12}},{"id":"5463bc2c-c8f5-4201-a2f3-065f0c82ed60","block_type":"box","text":"the Taskforce on Nature-related Financial Disclosures (TNFD) may prove useful to some companies. We recognize that","page_number":219,"box":{"x":68,"y":868,"width":842,"height":11}},{"id":"442b6e95-329f-4cb2-96e8-fc276bcfcf7c","block_type":"box","text":"some companies may repor t using different standards, which may be required by regulation, or one of a number of","page_number":219,"box":{"x":69,"y":883,"width":820,"height":11}},{"id":"c036848e-a0f6-481e-b09c-0735faabb9b8","block_type":"box","text":"other private sector standards. TNFD-aligned repor ting is not a voting issue. Website accessed in December 2025.","page_number":219,"box":{"x":69,"y":898,"width":817,"height":11}},{"id":"7d7031e2-f2f6-4fa2-89f3-3aa6a5f3cfbc","block_type":"box","text":"BlackRock Investment Stewardship","page_number":219,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"21515d86-c26a-4b78-85ff-797c10405cfd","block_type":"box","text":"Global Principles | 11","page_number":219,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"c1a4ea08-7a89-49e0-a88c-74a86139c483","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":219,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5c850340-f85c-4741-b3b3-e9c290323ac2","block_type":"box","text":"may create adverse impacts that could expose companies to legal, regulatory, operational, and reputational risks.","page_number":220,"box":{"x":69,"y":45,"width":811,"height":11}},{"id":"8d32e5da-0cb0-4eed-af9b-f270238d1225","block_type":"box","text":"This is par ticularly relevant to a company’s workforce, which is central to long-term financial value creation.","page_number":220,"box":{"x":68,"y":60,"width":764,"height":11}},{"id":"e123e32b-08c6-4516-9e9e-c61cfb36c23f","block_type":"box","text":"16","page_number":220,"box":{"x":834,"y":60,"width":9,"height":5}},{"id":"08bac405-7a80-4db7-837d-93573dc436cb","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":220,"box":{"x":101,"y":82,"width":783,"height":12}},{"id":"81c85015-0851-45f6-9805-8956ab500ad4","block_type":"box","text":"identified their key stakeholders and considered their interests in business decision-making. In addition to","page_number":220,"box":{"x":70,"y":98,"width":755,"height":11}},{"id":"b6916c50-dc3d-4c6c-a1c1-0c9bf8db6051","block_type":"box","text":"understanding broader stakeholder relationships, BIS finds it helpful when companies discuss how they consider the","page_number":220,"box":{"x":69,"y":113,"width":831,"height":11}},{"id":"1268661f-311e-461b-8569-68745e152bae","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":220,"box":{"x":69,"y":128,"width":809,"height":11}},{"id":"ff0ae961-01ed-47cd-92f2-3f48ac8992d2","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":220,"box":{"x":69,"y":143,"width":821,"height":11}},{"id":"9ae7f31d-e728-43ad-98be-e37e229a90cb","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":220,"box":{"x":69,"y":158,"width":775,"height":11}},{"id":"4889634b-1558-45ba-8e9a-a28b34b3cd19","block_type":"box","text":"company’s policies or practices, which are the responsibility of management and the board.","page_number":220,"box":{"x":69,"y":173,"width":653,"height":11}},{"id":"033f7d0d-ae01-45cc-b839-d9fd1f6e7559","block_type":"box","text":"In addition, we find it helpful when companies disclose their approach to addressing material adverse impacts","page_number":220,"box":{"x":102,"y":196,"width":784,"height":11}},{"id":"562f9992-6122-4b3a-bac2-3c953c6977b0","block_type":"box","text":"that could arise from their business practices and affect critical relationships with their stakeholders. We encourage","page_number":220,"box":{"x":68,"y":211,"width":829,"height":11}},{"id":"e9421df1-5467-4558-b2d1-4cd44086c872","block_type":"box","text":"companies to implement, to the extent appropriate, monitoring processes (often referred to as due diligence) to","page_number":220,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"8eaafbf1-ef81-4cb0-83d8-0d2cc01619e6","block_type":"box","text":"identify and mitigate potential adverse impacts and grievance mechanisms to remediate any actual adverse material","page_number":220,"box":{"x":70,"y":241,"width":828,"height":11}},{"id":"d9ef4f29-9d1c-436d-9ee0-afd610ccfab2","block_type":"box","text":"impacts.","page_number":220,"box":{"x":70,"y":257,"width":58,"height":10}},{"id":"817151b1-a374-4848-9b2d-d5fd32b81568","block_type":"box","text":"We look to boards to oversee management’s approach to addressing material risks related to key stakeholders","page_number":220,"box":{"x":101,"y":279,"width":794,"height":11}},{"id":"bf63c47c-814b-43ca-a15b-c0a35da6d891","block_type":"box","text":"and may convey concerns about board oversight in our voting on director elections or suppor ting a business relevant","page_number":220,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"6b888d16-b3c5-4388-8878-c203eb557507","block_type":"box","text":"shareholder proposal when, in our assessment, the board is not acting in shareholders’ long-term financial interests.","page_number":220,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"91c09cb8-d56e-498c-9cfc-13c2026d224b","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":220,"box":{"x":213,"y":340,"width":553,"height":8}},{"id":"c2e9f34a-e5d4-4985-9c3b-6f5913bcf1a1","block_type":"box","text":"BIS’ governance structure suppor ts oversight and accountability of stewardship-related activities on behalf of","page_number":220,"box":{"x":102,"y":362,"width":778,"height":11}},{"id":"b37308cc-d800-4301-884e-1d6c0b2d3131","block_type":"box","text":"clients at the global and regional level.","page_number":220,"box":{"x":69,"y":377,"width":274,"height":12}},{"id":"4b2b2bf2-ca70-4215-b001-3b58f8f5403a","block_type":"box","text":"At the top of this governance structure, the risk-focused BIS Global Oversight Committee (the Committee)","page_number":220,"box":{"x":101,"y":400,"width":751,"height":11}},{"id":"28d58b98-2bf0-4564-a77f-bbe1e948cd97","block_type":"box","text":"suppor ts BIS’ regulatory responsibilities in relation to proxy voting, including adherence to policies and procedures as","page_number":220,"box":{"x":69,"y":415,"width":840,"height":11}},{"id":"097a2040-25ef-4b87-b83a-650a84658f65","block_type":"box","text":"well as market-level stewardship requirements. The Committee reviews and approves amendments to the Global","page_number":220,"box":{"x":68,"y":430,"width":802,"height":11}},{"id":"f796701f-571b-4802-abd9-2f84ec2d401e","block_type":"box","text":"Principles and regional voting guidelines. The Committee also reviews periodic repor ts regarding the votes cast by","page_number":220,"box":{"x":69,"y":445,"width":813,"height":12}},{"id":"b0ff0af0-1a51-4cbc-adf6-9f41efed85eb","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":220,"box":{"x":70,"y":460,"width":835,"height":12}},{"id":"02493159-7936-4a3a-8aa9-de7f081c44f3","block_type":"box","text":"considerations. The Committee is chaired by the Global Heads of the Investment Stewardship function and its","page_number":220,"box":{"x":69,"y":475,"width":783,"height":12}},{"id":"60e42c92-dc04-4565-8e31-bc07854a1214","block_type":"box","text":"members include senior BlackRock executives with legal, risk, and other experience relevant to team oversight who","page_number":220,"box":{"x":69,"y":491,"width":820,"height":11}},{"id":"ae7f2b68-7049-41c8-84a6-b391e980ee32","block_type":"box","text":"are independent from the investment stewardship function.","page_number":220,"box":{"x":69,"y":506,"width":421,"height":11}},{"id":"4e3fcf84-8468-486f-ba1a-c498afea3073","block_type":"box","text":"The Global Heads have primary oversight of BIS’ activities globally, including voting in accordance with the Global","page_number":220,"box":{"x":101,"y":528,"width":804,"height":12}},{"id":"1fa4bd2a-49ac-4bcf-88f0-0bff57d3d005","block_type":"box","text":"Principles and regional voting guidelines. At the regional level, three regional Heads for the Americas, APAC, and","page_number":220,"box":{"x":69,"y":543,"width":798,"height":12}},{"id":"8a408e4e-f678-4bfb-ad79-dd0fb98a618f","block_type":"box","text":"EMEA oversee BIS’ activities for their specific markets.","page_number":220,"box":{"x":70,"y":559,"width":389,"height":11}},{"id":"55383819-d132-49c4-a6d4-dc3db06802d0","block_type":"box","text":"VOTE EXECUTION","page_number":220,"box":{"x":424,"y":589,"width":129,"height":9}},{"id":"38942dfd-b861-4d27-afd9-19ab34027c8c","block_type":"box","text":"BIS votes proxies on behalf of index equity funds and accounts when authorized by our clients. We have","page_number":220,"box":{"x":102,"y":612,"width":739,"height":11}},{"id":"89b23040-c9d2-49ef-a60e-dbe68e947cba","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":220,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"14ac881b-c202-42f9-9160-8291f4bf11a4","block_type":"box","text":"from voting when logistical issues arise (see below). The BIS Benchmark Policies – and the vote decisions made","page_number":220,"box":{"x":68,"y":642,"width":801,"height":11}},{"id":"af348ade-86c2-4cf3-8c96-b3967d382b24","block_type":"box","text":"consistent with those policies – reflect our reasonable and independent judgment and are made without regard to the","page_number":220,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"5c680def-1a19-4f81-9b8c-434585194058","block_type":"box","text":"relationship between the issuer of the proxy (or any shareholder proponent or dissident shareholder) and the Fund,","page_number":220,"box":{"x":69,"y":672,"width":817,"height":11}},{"id":"57278d25-48ef-44b0-b12d-74ef904e1493","block_type":"box","text":"the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees (see “Conflicts","page_number":220,"box":{"x":68,"y":687,"width":751,"height":11}},{"id":"d12ecf15-3b59-4474-b6e5-2d51274d72e6","block_type":"box","text":"management policies and procedures,” below).","page_number":220,"box":{"x":69,"y":703,"width":334,"height":11}},{"id":"2a9eee7f-8b3e-4069-97ba-56d730b91083","block_type":"box","text":"In cer tain markets, proxy voting involves logistical issues which can affect BIS’ ability to vote, as well as the cost","page_number":220,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"c4eaca7b-41cd-490b-ad92-14771f94acdc","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":220,"box":{"x":69,"y":740,"width":801,"height":11}},{"id":"2a4b6d69-79bd-4efb-b55c-169c5725b2da","block_type":"box","text":"shareholder meetings; 2) restrictions on a foreigner’s ability to exercise votes; 3) requirements to vote proxies in","page_number":220,"box":{"x":69,"y":755,"width":805,"height":11}},{"id":"ee18545c-a266-454c-ae2b-c16df00b8952","block_type":"box","text":"person; 4) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":220,"box":{"x":70,"y":771,"width":783,"height":11}},{"id":"faeb9763-6be7-4ddc-8a62-4df0da015555","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":220,"box":{"x":69,"y":785,"width":811,"height":12}},{"id":"5af8b53f-2d3a-43e3-bef8-a50d96337f19","block_type":"box","text":"has occurred); 5) potential difficulties in translating the proxy; 6) regulatory constraints; and 7) requirements to","page_number":220,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"ea70d83d-abce-4649-a296-7438c561f955","block_type":"box","text":"provide local agents with powers of attorney to facilitate voting instructions. We are not suppor tive of impediments to","page_number":220,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"13cdcd14-7392-4a8b-bd49-9c7dda6bb588","block_type":"box","text":"the exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":220,"box":{"x":68,"y":831,"width":732,"height":11}},{"id":"58369773-8862-4235-b1b0-8f13fab78111","block_type":"box","text":"16","page_number":220,"box":{"x":69,"y":860,"width":9,"height":5}},{"id":"0f593da6-ee24-4f9c-b858-0f444a102906","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on human capital management,”","page_number":220,"box":{"x":84,"y":860,"width":814,"height":11}},{"id":"663a6de2-252e-4488-864b-bbb0ed0cf711","block_type":"box","text":"December 2025.","page_number":220,"box":{"x":70,"y":875,"width":118,"height":9}},{"id":"94297ee2-3cb3-4c6e-8bf9-acf9e5fea6b3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":220,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"23fe4f73-c5d9-43f2-974c-c942c75a3c59","block_type":"box","text":"Global Principles | 12","page_number":220,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"d79a49b8-f91f-4326-af18-05c83b4f6048","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":220,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"31646dbf-e1cc-4d92-9431-ee05c9559886","block_type":"box","text":"BIS votes proxies in these situations on a “best-effor ts” basis. In addition, BIS may determine that it is generally","page_number":221,"box":{"x":102,"y":45,"width":807,"height":11}},{"id":"9df3c68a-b095-4ce9-b25c-37684d2233ef","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":221,"box":{"x":70,"y":60,"width":830,"height":11}},{"id":"47baa31e-3325-42db-ae23-dae37d7aabaa","block_type":"box","text":"not limited to oppor tunity costs associated with share-blocking constraints) associated with exercising a vote are","page_number":221,"box":{"x":69,"y":75,"width":805,"height":11}},{"id":"56c86c05-6100-4579-a6a0-6a14214d8538","block_type":"box","text":"expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":221,"box":{"x":69,"y":90,"width":585,"height":11}},{"id":"23a454f3-2ead-45fa-abf9-8ccc2b925f76","block_type":"box","text":"CONFLICTS MANAGEMENT POLICIES AND PROCEDURES","page_number":221,"box":{"x":281,"y":120,"width":416,"height":9}},{"id":"0860c5f4-f774-4b4f-bd2f-bf0128950f8b","block_type":"box","text":"BIS is a dedicated function whose responsibilities are separate from BlackRock’s sales, business par tnership or","page_number":221,"box":{"x":102,"y":143,"width":804,"height":11}},{"id":"f1df2d38-59d2-4c57-a245-389a3a359a08","block_type":"box","text":"enterprise-level vendor management activities.","page_number":221,"box":{"x":69,"y":158,"width":329,"height":11}},{"id":"94ad49e6-93e5-47fd-8fc6-d0bc4603cf64","block_type":"box","text":"BlackRock maintains policies and procedures that are designed to prevent undue influence on BIS’ proxy voting","page_number":221,"box":{"x":102,"y":181,"width":794,"height":11}},{"id":"a6da1d51-d0a9-47f1-bb70-15fd2585f7c8","block_type":"box","text":"activity. Such influence might stem from any relationship between the investee company (or any shareholder","page_number":221,"box":{"x":69,"y":196,"width":771,"height":11}},{"id":"f8efdd34-4ea2-4dac-a6de-c89c71097efc","block_type":"box","text":"proponent or dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or","page_number":221,"box":{"x":70,"y":211,"width":763,"height":11}},{"id":"2b730ec2-4225-4c0e-a684-b8c4c595b7b8","block_type":"box","text":"BlackRock employees.","page_number":221,"box":{"x":70,"y":226,"width":157,"height":11}},{"id":"a1a97d68-97df-4bfe-ba1a-8599d720ee00","block_type":"box","text":"For information on how BIS manages conflicts of interest, please see our disclosure.","page_number":221,"box":{"x":102,"y":249,"width":602,"height":11}},{"id":"96414ec9-04bf-4f37-b8ba-9d1c809bdc9f","block_type":"box","text":"SECURITIES LENDING","page_number":221,"box":{"x":409,"y":279,"width":159,"height":9}},{"id":"8afedc08-1eed-4c91-8d3d-a27f897efaf8","block_type":"box","text":"When authorized, BlackRock acts as a securities lending agent on behalf of its clients. Lending securities","page_number":221,"box":{"x":101,"y":302,"width":751,"height":11}},{"id":"ed7c468d-6630-4e7d-8c45-0e9132c1f47b","block_type":"box","text":"enables BlackRock to increase the returns in clients’ por tfolios, and BlackRock’s lending agreements allow it to","page_number":221,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"e6fdc0bd-a809-4eb4-a7f1-45094ac08a86","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":221,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"5f95d02d-337e-4c4f-a690-195a7f4d6b15","block_type":"box","text":"out on loan. Entitlements associated with the lent securities (dividends, coupons, etc.), while on loan are paid back","page_number":221,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"688406d8-628a-4c92-992f-81d23f2e1cc5","block_type":"box","text":"to the lender of the security as stipulated in industry standard legal agreements.","page_number":221,"box":{"x":68,"y":362,"width":575,"height":11}},{"id":"66898149-c823-4edb-9af9-27c57befd00d","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":221,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"b18d12b2-9bc3-4be5-a4d8-42b870ed566b","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":221,"box":{"x":70,"y":400,"width":827,"height":11}},{"id":"4ff33062-00c9-44f5-b2aa-fd5010dd8b1f","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":221,"box":{"x":70,"y":415,"width":832,"height":11}},{"id":"6b405e53-86e3-41c7-97d9-f5cd98114141","block_type":"box","text":"recall securities on loan as par t of BlackRock’s securities lending program in order to vote is based on an evaluation","page_number":221,"box":{"x":69,"y":430,"width":832,"height":11}},{"id":"a26ed2d7-9539-42b3-adcd-034f071e593d","block_type":"box","text":"of various factors that include, but are not limited to, assessing potential securities lending revenue alongside the","page_number":221,"box":{"x":69,"y":445,"width":814,"height":12}},{"id":"73099fb3-df78-4abe-aa6c-2c54b252c36e","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":221,"box":{"x":70,"y":460,"width":834,"height":12}},{"id":"b4d0aa74-dfb1-47d7-a6be-7787d5431b96","block_type":"box","text":"of recall consideration).","page_number":221,"box":{"x":69,"y":475,"width":166,"height":12}},{"id":"9509c44f-b4e0-4370-adbe-3d325223d709","block_type":"box","text":"17","page_number":221,"box":{"x":237,"y":476,"width":9,"height":4}},{"id":"0b581760-d8b5-4e44-b889-6a5ddd497c3c","block_type":"box","text":"BIS works with colleagues in the Securities Lending and Risk and Quantitative Analysis","page_number":221,"box":{"x":252,"y":476,"width":617,"height":11}},{"id":"52a61c9f-f8f2-42ad-85d2-05a4f86acf5d","block_type":"box","text":"teams to evaluate the costs and benefits to clients of recalling shares on loan.","page_number":221,"box":{"x":68,"y":491,"width":563,"height":11}},{"id":"9c788cfd-5611-4424-8234-ee80fc6720ab","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":221,"box":{"x":102,"y":513,"width":770,"height":12}},{"id":"678b2125-52b6-433b-a4e3-33bf055841c1","block_type":"box","text":"shares would be less than the potential revenue the loan may provide clients. However, in cer tain instances,","page_number":221,"box":{"x":69,"y":529,"width":774,"height":11}},{"id":"2fffc4f1-2446-4e32-8230-3d31cb2e3f07","block_type":"box","text":"BlackRock may determine, in our independent business judgment as a fiduciary, that the value of voting outweighs","page_number":221,"box":{"x":70,"y":543,"width":816,"height":12}},{"id":"62fa74a7-6138-43a6-aaa2-9418b26c8088","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":221,"box":{"x":68,"y":559,"width":822,"height":11}},{"id":"9ea434d7-0bfc-4961-9f14-a460a76ee179","block_type":"box","text":"impor tant to note that the majority of lendable assets in the market at any given time are not out on loan.","page_number":221,"box":{"x":70,"y":574,"width":752,"height":11}},{"id":"804c8666-8807-4213-866d-ffe30a9e1e85","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":221,"box":{"x":102,"y":596,"width":790,"height":12}},{"id":"33072ce0-6b80-4114-88c9-98ca396031a5","block_type":"box","text":"and may modify it as necessary.","page_number":221,"box":{"x":69,"y":612,"width":228,"height":11}},{"id":"131de7b8-aa38-47ad-9fe8-520cde908caa","block_type":"box","text":"VOTING CHOICE","page_number":221,"box":{"x":430,"y":642,"width":117,"height":9}},{"id":"e564c18b-6605-4145-a34a-8541a36f6e84","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more oppor tunities to par ticipate in","page_number":221,"box":{"x":102,"y":664,"width":800,"height":12}},{"id":"b463809a-8204-497a-aa74-326bc46c66aa","block_type":"box","text":"the proxy voting process, where legally and operationally viable.","page_number":221,"box":{"x":68,"y":680,"width":452,"height":11}},{"id":"236452b3-61d7-4f8c-9010-5ca8e9870148","block_type":"box","text":"18","page_number":221,"box":{"x":522,"y":680,"width":9,"height":4}},{"id":"910745a0-b78b-4654-b564-97403b3a63d8","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in cer tain institutional pooled funds in the U.S.,","page_number":221,"box":{"x":101,"y":702,"width":786,"height":12}},{"id":"7a5dc5d9-e84a-47bc-bd19-967b57f8be0a","block_type":"box","text":"UK, Ireland, Canada, and Switzerland that utilize index equity investment strategies, as well as eligible clients in","page_number":221,"box":{"x":70,"y":718,"width":797,"height":11}},{"id":"29ac23e4-c6b7-41d5-a822-9398ff5789f5","block_type":"box","text":"17","page_number":221,"box":{"x":69,"y":747,"width":8,"height":4}},{"id":"a4c3c76f-33db-4104-b3b2-7011d05ffe10","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":221,"box":{"x":84,"y":747,"width":789,"height":11}},{"id":"b84fd3c0-20b9-41bf-95c5-d88cbad674e3","block_type":"box","text":"date of a shareholder meeting typically falls before the proxy statements are released. Accordingly, it is not","page_number":221,"box":{"x":69,"y":762,"width":763,"height":11}},{"id":"b082ca40-5fe2-453f-8d0f-a14808eed0b8","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":221,"box":{"x":70,"y":777,"width":794,"height":11}},{"id":"ded1d2c2-897f-4096-b371-283cc187a298","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":221,"box":{"x":69,"y":792,"width":833,"height":11}},{"id":"44711e93-9fb6-4b9d-bf90-83f424e4ed0b","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":221,"box":{"x":69,"y":807,"width":821,"height":11}},{"id":"bbba5c2a-4be5-4b8b-876d-61b1e3fafae6","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":221,"box":{"x":69,"y":822,"width":823,"height":12}},{"id":"4e3bb55e-55dd-4509-b80b-8c884b099ad9","block_type":"box","text":"fund (thereby forgoing potential securities lending revenue for the fund’s shareholders) or leaving shares on loan to","page_number":221,"box":{"x":68,"y":837,"width":822,"height":12}},{"id":"655830e2-eafb-42ff-9407-533084e3f51e","block_type":"box","text":"potentially earn revenue for the fund (thereby forgoing the oppor tunity to vote).","page_number":221,"box":{"x":70,"y":852,"width":558,"height":12}},{"id":"985fbd77-6801-4cdf-948a-3d9e19db578e","block_type":"box","text":"18","page_number":221,"box":{"x":69,"y":870,"width":9,"height":5}},{"id":"8a7dd406-078c-44fe-bb3a-a8afc96cda0d","block_type":"box","text":"BlackRock will determine eligibility criteria under this program based upon, among other things, local market","page_number":221,"box":{"x":84,"y":870,"width":771,"height":11}},{"id":"bb4daf4f-a15f-4247-a66a-f06d83b946f4","block_type":"box","text":"regulation and practice, cost considerations, operational risk and/or complexity, and financial considerations,","page_number":221,"box":{"x":69,"y":885,"width":779,"height":11}},{"id":"c63b690f-5050-4b1d-bfbe-10a94e5c5bf0","block_type":"box","text":"including the decision to lend securities.","page_number":221,"box":{"x":70,"y":901,"width":285,"height":11}},{"id":"463e933b-b93c-4808-96a7-dbfe3c56b3ff","block_type":"box","text":"BlackRock Investment Stewardship","page_number":221,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"4f8470c3-2a7e-4fb8-a4c1-90afa8ea452d","block_type":"box","text":"Global Principles | 13","page_number":221,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"eed5408e-6b18-4929-8543-a6f4e0841f07","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":221,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"48552d6c-9468-4e36-862b-875e6aec5e86","block_type":"box","text":"cer tain institutional pooled funds in the U.S., UK, Canada, and Switzerland that use systematic active equity","page_number":222,"box":{"x":69,"y":45,"width":772,"height":11}},{"id":"fba4405d-f07d-453a-bb6e-b62d0040fdba","block_type":"box","text":"(SAE) strategies. In addition, institutional clients in separately managed accounts (SMAs) continue to be eligible for","page_number":222,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"f3f667a7-f41a-456c-8084-ed4eebddd818","block_type":"box","text":"BlackRock Voting Choice regardless of their investment strategies.","page_number":222,"box":{"x":70,"y":75,"width":471,"height":11}},{"id":"24cec637-242c-426a-bc23-706bc2e058c0","block_type":"box","text":"19","page_number":222,"box":{"x":543,"y":75,"width":9,"height":5}},{"id":"1d4cb9f0-bc99-4839-8576-b4ffb1b0057e","block_type":"box","text":"Voting Choice is also available for eligible U.S.","page_number":222,"box":{"x":558,"y":75,"width":328,"height":11}},{"id":"debcc6b8-166b-4d7c-a7f9-cc40a84b940d","block_type":"box","text":"retail shareholder accounts invested in BlackRock’s largest U.S. exchange-traded fund.","page_number":222,"box":{"x":69,"y":90,"width":619,"height":11}},{"id":"cd865855-4dff-4701-bae0-7ed4b0474da1","block_type":"box","text":"20","page_number":222,"box":{"x":690,"y":90,"width":9,"height":5}},{"id":"77913c29-070b-4905-b8bb-76559ec9c598","block_type":"box","text":"As a result, the shares attributed to BlackRock por tfolios in company share registers may be voted differently","page_number":222,"box":{"x":101,"y":113,"width":782,"height":11}},{"id":"9968312f-fab4-49e8-9a7e-92d5727ed477","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":222,"box":{"x":69,"y":128,"width":767,"height":11}},{"id":"9c8c983a-4671-4f5c-8453-1cf0a3b4123d","block_type":"box","text":"accordance with a third-par ty policy, or have elected to vote shares in accordance with their own policy. Our clients","page_number":222,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"9b6adc44-a1a2-4eed-b2b2-7665e5dc6eff","block_type":"box","text":"have greater control over proxy voting because of Voting Choice.","page_number":222,"box":{"x":69,"y":158,"width":454,"height":11}},{"id":"e4792460-d669-4ebc-a679-b88c0ac6e89d","block_type":"box","text":"21","page_number":222,"box":{"x":525,"y":158,"width":9,"height":5}},{"id":"20238a95-54b1-430d-9599-0a43717a775a","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":222,"box":{"x":343,"y":188,"width":293,"height":9}},{"id":"83066053-95cc-4dc2-b582-ef6e932d6336","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":222,"box":{"x":101,"y":211,"width":789,"height":11}},{"id":"c1577419-5135-4b02-bf24-3911ba3b081c","block_type":"box","text":"our engagement and voting policies and activities through direct communication and through disclosure on our","page_number":222,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"aeb83436-82dc-4f50-8991-6b31a850551a","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":222,"box":{"x":68,"y":241,"width":795,"height":11}},{"id":"b51271a1-4442-4639-bd5f-32e7f7212832","block_type":"box","text":"invest on their behalf. We also publish commentaries to share our approach to engagement on our five engagement","page_number":222,"box":{"x":70,"y":256,"width":825,"height":12}},{"id":"1aa73040-37f2-433c-ba6f-a87763d4fb5b","block_type":"box","text":"priorities, as well as quar terly repor ts detailing our proxy voting and engagement activities.","page_number":222,"box":{"x":70,"y":272,"width":644,"height":11}},{"id":"314e2221-a29b-4201-8692-26475b7420f3","block_type":"box","text":"19","page_number":222,"box":{"x":69,"y":324,"width":9,"height":4}},{"id":"0beec7b7-e736-41c6-b9fa-abbb25ebe82a","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":222,"box":{"x":83,"y":323,"width":739,"height":12}},{"id":"703049ec-bae4-42c2-9f63-094d21b2bdd4","block_type":"box","text":"preferences from a set of voting policies from third-par ty proxy advisers. BlackRock can then use its proxy voting","page_number":222,"box":{"x":70,"y":338,"width":800,"height":12}},{"id":"64ef42b2-5a4e-4097-b621-056e008f8a4e","block_type":"box","text":"infrastructure to cast votes for the SMA based on the client’s selected voting policy.","page_number":222,"box":{"x":70,"y":354,"width":596,"height":11}},{"id":"956fe49b-c413-40f1-9e12-ca63339a4668","block_type":"box","text":"20","page_number":222,"box":{"x":69,"y":372,"width":9,"height":4}},{"id":"ea8e0afa-4065-4e9a-8016-e7a8c14fe53f","block_type":"box","text":"Read more about BlackRock Voting Choice on our website.","page_number":222,"box":{"x":84,"y":371,"width":415,"height":11}},{"id":"5499f7ee-3ae1-4db0-a2b9-288181c063b5","block_type":"box","text":"21","page_number":222,"box":{"x":69,"y":389,"width":9,"height":5}},{"id":"d99c1a0f-2173-40b6-b774-e36f1d0ce758","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":222,"box":{"x":84,"y":389,"width":820,"height":11}},{"id":"2ce77eb5-40f0-411e-be16-dba9033601c1","block_type":"box","text":"BlackRock Investment Stewardship","page_number":222,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"18a94640-8671-42e0-b7a0-4847d793793b","block_type":"box","text":"Global Principles | 14","page_number":222,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"d72851b5-8a3f-45ec-8714-1d211bddf329","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":222,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"46974c5d-9ec3-4032-99dd-aff34e98b1ef","block_type":"box","text":"Want to know more?","page_number":223,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"05b58387-de6d-4880-b168-916a704d2f94","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":223,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"52be4257-36f1-439a-a3b1-aa3ee64d5202","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":223,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"726b70dd-c676-4055-9121-aea17750ea87","block_type":"box","text":"principal.","page_number":223,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"8801ba77-f179-40bd-bb9f-9fa2476ce3bd","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":223,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"73422db4-af74-4406-8d4a-26d57d41df71","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":223,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"668913bd-370a-4511-a741-e693df655307","block_type":"box","text":"BLACKROCK","page_number":223,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"35194a19-8b47-4481-9e38-658ecc4d94a4","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":223,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"df30a002-ab7b-4a12-9f71-4c1f5353bc96","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":223,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"8d629792-3147-4382-b643-87cb98ec5110","block_type":"box","text":"BlackRock Investment Stewardship","page_number":223,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"c4c1b98f-4c3c-4dd6-bad9-033ba29a0ee1","block_type":"box","text":"Global Principles | 15","page_number":223,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"e6cf84b4-90c6-49c0-80a5-aa5b7f7c0a7b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":223,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"672b6bbe-db77-4a8d-a60c-688422292eec","block_type":"box","text":"BlackRock Investment Stewardship","page_number":224,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"66fe6573-47aa-46b4-80a2-2eed3f881444","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines","page_number":224,"box":{"x":297,"y":67,"width":384,"height":11}},{"id":"6bdcf662-32a0-4f38-9adf-579367e6c403","block_type":"box","text":"Effective as of January 2026","page_number":224,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"62bfe792-f524-4b0e-a75c-b890ebb26ec2","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":224,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7de61ca9-e7ea-4a23-98b4-14371e6dd01c","block_type":"box","text":"Contents","page_number":225,"box":{"x":456,"y":45,"width":66,"height":9}},{"id":"23e3024e-00eb-4b0a-a5c4-69823ebe41ff","block_type":"box","text":"Introduction to BlackRock Investment Stewardship 3","page_number":225,"box":{"x":69,"y":80,"width":840,"height":11}},{"id":"cd5c007d-226d-44c9-b950-a99954cb3284","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition 3","page_number":225,"box":{"x":68,"y":96,"width":841,"height":11}},{"id":"87e1dba8-34d7-4184-bac1-b6068cf9f967","block_type":"box","text":"The Climate and Decarbonization Stewardship Guidelines 3","page_number":225,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"8a8bb144-ab12-45a9-8968-d694dd8b8436","block_type":"box","text":"Understanding the investment implications of the transition to a low-carbon economy 4","page_number":225,"box":{"x":69,"y":129,"width":840,"height":11}},{"id":"c4f6182c-cd63-427e-b018-bf62c49e4bd1","block_type":"box","text":"The Guidelines’ design principles","page_number":225,"box":{"x":68,"y":146,"width":240,"height":11}},{"id":"89b3a116-138d-4708-a63b-14c36990254c","block_type":"box","text":"4","page_number":225,"box":{"x":900,"y":146,"width":9,"height":8}},{"id":"1e8bb77f-2521-4c7e-995d-f800e33e8863","block_type":"box","text":"Voting approach under the Guidelines","page_number":225,"box":{"x":68,"y":162,"width":273,"height":11}},{"id":"9f4e0a11-7d85-41bd-941e-921eb13803d9","block_type":"box","text":"5","page_number":225,"box":{"x":901,"y":162,"width":8,"height":9}},{"id":"8de4673d-80df-47de-94df-668188281461","block_type":"box","text":"Related matters","page_number":225,"box":{"x":69,"y":178,"width":117,"height":9}},{"id":"08c4b21c-71ba-4d28-ad3d-bd2da5c01471","block_type":"box","text":"8","page_number":225,"box":{"x":900,"y":178,"width":9,"height":9}},{"id":"418f9f81-7cf7-4da3-aa66-ecdb3c932187","block_type":"box","text":"Appendix 1","page_number":225,"box":{"x":68,"y":195,"width":82,"height":11}},{"id":"d3c79ce7-bd98-4ce5-9124-5858d0b6d5d1","block_type":"box","text":"10","page_number":225,"box":{"x":891,"y":195,"width":18,"height":9}},{"id":"52aba624-3ffa-4bdf-a57e-fdc2035ebaf5","block_type":"box","text":"Appendix 2","page_number":225,"box":{"x":68,"y":211,"width":82,"height":11}},{"id":"0fc02963-a78c-4d47-8385-ed5e4f705cf8","block_type":"box","text":"11","page_number":225,"box":{"x":891,"y":211,"width":18,"height":9}},{"id":"d12228a7-adcf-4ded-b757-3096dbcb6e13","block_type":"box","text":"BlackRock Investment Stewardship","page_number":225,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"9c4d6076-d360-45d3-b73d-875df4ccca2a","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 2","page_number":225,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"2d2269df-8c5e-4e0a-8205-2af11972125b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":225,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"77f93821-afd7-4131-9a2d-ae400e630f74","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":226,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"4964d897-c8b1-423b-8fc7-da95fb2b21da","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":226,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"33f16e67-562f-43ba-a740-e520fc723616","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":226,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"79c7fbb2-a54d-4cf8-ae3c-b5c59fb6084c","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":226,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"f9d7f4cd-e59b-49e0-aed5-71e44c91959c","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":226,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"80fb1706-d261-44b2-8b39-5c302cbaa3c3","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship effor ts, reflecting the","page_number":226,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"f8528298-6b41-4148-910d-3262276d2542","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":226,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"31d21fcc-23ed-42ec-8b2c-c1e8404adb4c","block_type":"box","text":"1.","page_number":226,"box":{"x":70,"y":171,"width":11,"height":9}},{"id":"14d6f592-0ba4-4f93-b498-abba36e468ff","block_type":"box","text":"Engaging with the boards and management of companies","page_number":226,"box":{"x":102,"y":171,"width":418,"height":11}},{"id":"a912c1b6-fe8b-474e-a00e-976f3b16549c","block_type":"box","text":"in which clients are invested to deepen our","page_number":226,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"9a1846a0-614b-45f4-a625-00de538b32c4","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":226,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"81c3577d-6b61-434d-9523-5ca804c17a5c","block_type":"box","text":"oppor tunities over time, and to help inform our voting on behalf of clients.","page_number":226,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"20563b7f-674f-4cf1-ade3-cded3be37dd7","block_type":"box","text":"1","page_number":226,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"d726fd9a-4d8b-4588-a193-796167338bbf","block_type":"box","text":"2.","page_number":226,"box":{"x":69,"y":221,"width":12,"height":9}},{"id":"dd2197af-2773-45ca-a251-2d72363b81bd","block_type":"box","text":"Voting at shareholder meetings","page_number":226,"box":{"x":101,"y":221,"width":228,"height":11}},{"id":"dd8f976d-b91e-42b2-8369-562072cec5fa","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":226,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"6ddbe9ab-0984-4988-985e-e57d367a8647","block_type":"box","text":"to vote on their behalf.","page_number":226,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"85d2942e-ded3-4768-9747-4a24cee1a4fd","block_type":"box","text":"3.","page_number":226,"box":{"x":69,"y":256,"width":12,"height":9}},{"id":"5a59913c-57a9-4a08-9c4c-6cac0a47c5dc","block_type":"box","text":"Contributing to industry dialogue on stewardship","page_number":226,"box":{"x":101,"y":256,"width":356,"height":11}},{"id":"a47b884e-965e-4ea0-bd96-1f0cde7b9bf3","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":226,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"699eb098-e9e6-465f-ba75-9734f3e617aa","block_type":"box","text":"clients’ investments.","page_number":226,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"27fcb69d-b48c-41d0-8e15-dfdc1a9d79e7","block_type":"box","text":"4.","page_number":226,"box":{"x":69,"y":292,"width":12,"height":8}},{"id":"05efa77c-e244-43a8-b51a-2312298c3c92","block_type":"box","text":"Reporting on our activities","page_number":226,"box":{"x":102,"y":292,"width":193,"height":11}},{"id":"39e16912-8b06-4427-ab19-d42a17a539b7","block_type":"box","text":"to inform clients about our stewardship effor ts on their behalf through a range of","page_number":226,"box":{"x":301,"y":292,"width":579,"height":11}},{"id":"ffb52ea8-4d3d-4ac3-b3b0-8f5e993b281d","block_type":"box","text":"publications on our website and direct client communications.","page_number":226,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"fe3eaad0-2236-4e73-8372-839c0c6f53e4","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition","page_number":226,"box":{"x":68,"y":337,"width":635,"height":11}},{"id":"7388633f-be80-47cb-a3c5-58d26e858886","block_type":"box","text":"2, 3","page_number":226,"box":{"x":704,"y":337,"width":17,"height":6}},{"id":"deff496c-378b-4832-93a2-082f7ed0a7eb","block_type":"box","text":"Some of our clients are pursuing decarbonization as an investment objective, including many of our largest","page_number":226,"box":{"x":102,"y":360,"width":761,"height":11}},{"id":"98264f1a-1e8f-4955-bccd-5fbf2a87e995","block_type":"box","text":"European clients, who have made net zero commitments.","page_number":226,"box":{"x":70,"y":375,"width":407,"height":11}},{"id":"70d72d25-3e1e-45d8-942c-0c75a8515a0a","block_type":"box","text":"4","page_number":226,"box":{"x":479,"y":375,"width":4,"height":4}},{"id":"e72fe431-a151-4a99-b6f0-9e348aec399e","block_type":"box","text":"To suppor t our clients’ unique and varied investment","page_number":226,"box":{"x":488,"y":375,"width":376,"height":11}},{"id":"03972dce-f706-4d86-9817-d8ca1e9ed6f1","block_type":"box","text":"objectives, in July 2024, BlackRock launched the Climate and Decarbonization Stewardship program.","page_number":226,"box":{"x":69,"y":390,"width":718,"height":11}},{"id":"3841980a-6341-4f65-9b32-ca7ff40cd30f","block_type":"box","text":"The Climate and Decarbonization Stewardship team (the dedicated team) applies these proxy voting guidelines","page_number":226,"box":{"x":101,"y":413,"width":789,"height":11}},{"id":"318b5273-bde4-4dde-a7b4-ca093451a51a","block_type":"box","text":"(the Guidelines) to those funds that BlackRock offers to clients that have climate and decarbonization objectives and","page_number":226,"box":{"x":69,"y":428,"width":833,"height":11}},{"id":"4aeff553-56fd-48d9-8e78-169d03b784fd","block_type":"box","text":"where the funds’ respective governing body has explicitly approved the application of the Guidelines (referred to in","page_number":226,"box":{"x":68,"y":443,"width":814,"height":11}},{"id":"42fd7867-ef3e-4176-b1d7-6c97c1f787e8","block_type":"box","text":"this document as “in-scope funds”).","page_number":226,"box":{"x":68,"y":458,"width":256,"height":11}},{"id":"84530fb1-689b-46e4-8a1a-a1e53851158d","block_type":"box","text":"5","page_number":226,"box":{"x":326,"y":458,"width":4,"height":5}},{"id":"384ab324-b295-4b94-aea7-f4afeb05f0ad","block_type":"box","text":"Separately managed account (SMA) clients have a range of options, including","page_number":226,"box":{"x":336,"y":458,"width":551,"height":11}},{"id":"741554b3-1238-473f-8845-9d4b27dd24ed","block_type":"box","text":"instructing BlackRock to apply these Guidelines to their SMA holdings.","page_number":226,"box":{"x":70,"y":473,"width":499,"height":11}},{"id":"32aadcd2-bc60-4563-b120-fd6037a940c9","block_type":"box","text":"THE CLIMATE AND DECARBONIZATION STEWARDSHIP GUIDELINES","page_number":226,"box":{"x":242,"y":503,"width":493,"height":9}},{"id":"49cc7f67-a2fc-4965-aad6-499f29d3294a","block_type":"box","text":"These Guidelines set out the dedicated team’s approach to engaging and voting on matters related to climate","page_number":226,"box":{"x":101,"y":526,"width":784,"height":11}},{"id":"6158898d-9709-4f29-bc59-c32aeef73235","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":226,"box":{"x":69,"y":541,"width":806,"height":11}},{"id":"e7398ede-b947-4bf7-8cdb-d417584e64f4","block_type":"box","text":"apply these Guidelines.","page_number":226,"box":{"x":69,"y":556,"width":165,"height":11}},{"id":"a08c566c-1016-4e00-ae1d-2fcf86ad720d","block_type":"box","text":"The Guidelines differ from the Benchmark Policies in that they consider, in addition to financial objectives,","page_number":226,"box":{"x":101,"y":579,"width":755,"height":11}},{"id":"275b5c43-8525-4f9e-90f0-3eac0c0a841c","block_type":"box","text":"companies’ strategies to align with the transition to a low-carbon economy. They also incorporate the more ambitious","page_number":226,"box":{"x":69,"y":594,"width":834,"height":11}},{"id":"9cee887d-d96a-4b43-8572-be4858c8788f","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":226,"box":{"x":68,"y":609,"width":806,"height":11}},{"id":"fbb03260-9516-41b7-baa5-706cc6795b1d","block_type":"box","text":"6","page_number":226,"box":{"x":876,"y":609,"width":4,"height":5}},{"id":"16ac187d-aa51-4d5d-947f-f60c26ac8bed","block_type":"box","text":"The Guidelines apply primarily to companies in sectors that play an impor tant role in the transition to a low","page_number":226,"box":{"x":101,"y":632,"width":766,"height":11}},{"id":"7f0d5bd0-497c-4876-9093-c4fe9e1f58a8","block_type":"box","text":"carbon economy. This includes companies which produce goods and services that contribute to real world","page_number":226,"box":{"x":69,"y":647,"width":753,"height":11}},{"id":"5db0654d-83b7-40c7-bcf4-547619d3578b","block_type":"box","text":"decarbonization or have a carbon intensive business model and face outsized impacts from the low-carbon transition,","page_number":226,"box":{"x":69,"y":662,"width":836,"height":11}},{"id":"8ee0f95b-41e3-4fe1-9812-a4b2339a9583","block_type":"box","text":"1","page_number":226,"box":{"x":69,"y":692,"width":4,"height":4}},{"id":"015e3d2c-e526-4fe2-a731-1df03f149d35","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":226,"box":{"x":79,"y":691,"width":790,"height":11}},{"id":"7292e212-a379-4722-8e70-fd16ab663d50","block_type":"box","text":"shareholders to maintain their eligibility to repor t their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":226,"box":{"x":69,"y":706,"width":836,"height":12}},{"id":"d765556a-16d3-475f-a9a8-655896aed6d8","block_type":"box","text":"We comply fully with these requirements and do not engage with por tfolio companies for the purpose, or with the","page_number":226,"box":{"x":68,"y":721,"width":805,"height":12}},{"id":"78cc5e80-d8d6-4c28-9251-a378f69212a0","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":226,"box":{"x":69,"y":737,"width":405,"height":11}},{"id":"7ec8f6e8-b349-43c4-adda-aaea60a38793","block_type":"box","text":"2","page_number":226,"box":{"x":69,"y":755,"width":4,"height":4}},{"id":"c31a1890-7487-4c89-abcc-0948c7e94f69","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":226,"box":{"x":79,"y":754,"width":780,"height":11}},{"id":"ab9ea287-f87b-4123-9f8c-dd25b6b20382","block_type":"box","text":"commitments to align their investment strategies with the transition to a low-carbon economy. This stewardship","page_number":226,"box":{"x":69,"y":770,"width":793,"height":11}},{"id":"af2f3d20-e2f6-45fc-b6ad-d5e40b824127","block_type":"box","text":"option helps those clients meet their climate and decarbonization investment objectives and is par t of BlackRock’s","page_number":226,"box":{"x":69,"y":784,"width":820,"height":12}},{"id":"1aa48f95-8f62-47ea-ad36-f6eb15381b64","block_type":"box","text":"commitment to offer clients choice.","page_number":226,"box":{"x":69,"y":799,"width":252,"height":10}},{"id":"10a319c7-42cc-43b0-8db5-2ee82c5ad2be","block_type":"box","text":"3","page_number":226,"box":{"x":69,"y":818,"width":4,"height":4}},{"id":"a498934a-2fe7-45ad-91ac-462a6cfef0ee","block_type":"box","text":"Key climate, decarbonization and low-carbon transition related terms used in these Guidelines are explained in","page_number":226,"box":{"x":79,"y":817,"width":788,"height":11}},{"id":"230eceb0-ee9f-4803-9970-8c4c9ba3f3af","block_type":"box","text":"appendix 1.","page_number":226,"box":{"x":69,"y":833,"width":81,"height":10}},{"id":"9aeb4d12-a1c3-4968-97a4-3b9bdfa3cf40","block_type":"box","text":"4","page_number":226,"box":{"x":69,"y":850,"width":4,"height":5}},{"id":"9c1d1322-7f71-4c29-8d34-56b898ca9de1","block_type":"box","text":"Includes a select group of our largest client relationships. Net zero commitments are sourced from respective","page_number":226,"box":{"x":79,"y":850,"width":782,"height":11}},{"id":"26d8125d-47da-4604-9d74-dca2efffe6b1","block_type":"box","text":"company websites, as of January 2025.","page_number":226,"box":{"x":69,"y":865,"width":284,"height":11}},{"id":"d595a726-8d8d-458c-b8ec-9ad47bf30a26","block_type":"box","text":"5","page_number":226,"box":{"x":69,"y":883,"width":4,"height":5}},{"id":"e23bc7e8-b622-422e-a4df-d4b56356f802","block_type":"box","text":"A list of approved funds is on BlackRock’s website here.","page_number":226,"box":{"x":78,"y":883,"width":401,"height":11}},{"id":"d1e43235-1dda-4e24-8ff1-febe36f40d81","block_type":"box","text":"6","page_number":226,"box":{"x":69,"y":901,"width":4,"height":4}},{"id":"5ef9a99f-4ea3-478c-8969-65fdbc9644e7","block_type":"box","text":"United Nations Climate Change, “The Paris Agreement,” accessed in December 2025.","page_number":226,"box":{"x":79,"y":900,"width":614,"height":12}},{"id":"fea9d7c6-91e8-4146-bcc8-4cf641add0e8","block_type":"box","text":"BlackRock Investment Stewardship","page_number":226,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"649c33d4-aed1-4c57-b982-3aa1a09ba74b","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 3","page_number":226,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"510f98a4-8467-4e8a-a0b4-41dedb51f4b7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":226,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"666ae093-0186-4fe0-8e6d-e3fdad2a7392","block_type":"box","text":"par ticularly those representing the major sources of scopes 1, 2, and 3 greenhouse gas (GHG) emissions across","page_number":227,"box":{"x":70,"y":45,"width":806,"height":11}},{"id":"3b8c2155-c934-4d15-957c-3cc465d47c5f","block_type":"box","text":"companies held by in-scope funds and accounts that have selected the Guidelines.","page_number":227,"box":{"x":69,"y":60,"width":590,"height":11}},{"id":"005be0b2-c849-4b1d-8e72-8ed36301f66e","block_type":"box","text":"7","page_number":227,"box":{"x":661,"y":60,"width":4,"height":5}},{"id":"995cf738-5af7-4c52-9f47-ca2fa3cb2537","block_type":"box","text":"For companies and matters not related to climate and transition risks, the dedicated team follows BIS’","page_number":227,"box":{"x":102,"y":82,"width":731,"height":11}},{"id":"ffe41eac-b836-409e-ab86-b25e1cbb3df2","block_type":"box","text":"Benchmark Policies.","page_number":227,"box":{"x":70,"y":98,"width":141,"height":9}},{"id":"8d67c145-65cc-459e-820e-b0d77ec4ce01","block_type":"box","text":"8","page_number":227,"box":{"x":213,"y":98,"width":4,"height":4}},{"id":"64711ac2-8126-4eba-9c2c-34f49d36bc47","block_type":"box","text":"In addition, for clients who do not direct BlackRock to prioritize climate risks and","page_number":227,"box":{"x":224,"y":98,"width":572,"height":11}},{"id":"4b3b52db-d2e2-4c27-b118-9d3291b78dab","block_type":"box","text":"decarbonization as an investment objective, BIS under takes our stewardship responsibilities in line with our","page_number":227,"box":{"x":69,"y":113,"width":769,"height":11}},{"id":"b7e54d50-2307-4c7c-98a1-f39e92aa73df","block_type":"box","text":"Benchmark Policies, with a sole focus on advancing those clients’ long-term financial interests. This includes","page_number":227,"box":{"x":70,"y":128,"width":775,"height":11}},{"id":"2a83a2bf-ec77-495e-9c42-b538a6eb938e","block_type":"box","text":"consideration of climate-related risks and oppor tunities in a company’s business model, where material to the","page_number":227,"box":{"x":69,"y":143,"width":787,"height":11}},{"id":"9cc7a835-bc54-4b4b-a606-88ea203ec6fc","block_type":"box","text":"company’s ability to deliver long-term financial returns.","page_number":227,"box":{"x":69,"y":158,"width":388,"height":11}},{"id":"ca1b6c57-2545-4ec9-8877-3ad5b90f904e","block_type":"box","text":"Please see Appendix 2, which sets out the key differences between the BIS Benchmark Policies and these","page_number":227,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"9db47ed9-488a-4371-9b97-f725c0c25cfe","block_type":"box","text":"Guidelines on items related to climate risk and the transition to a low-carbon economy.","page_number":227,"box":{"x":69,"y":196,"width":617,"height":11}},{"id":"58e07d58-ab60-4a8d-a873-90d3d140b10d","block_type":"box","text":"UNDERSTANDING THE INVESTMENT IMPLICATIONS OF THE TRANSITION TO A LOW-CARBON ECONOMY","page_number":227,"box":{"x":111,"y":226,"width":757,"height":9}},{"id":"4fb54bc4-9ef4-466d-b6cc-a44d5fa3e161","block_type":"box","text":"Research from the BlackRock Investment Institute (BII) highlights that changing government policy, technology,","page_number":227,"box":{"x":102,"y":249,"width":785,"height":11}},{"id":"bb4518d5-acb8-440f-9341-6b96266e643f","block_type":"box","text":"and consumer and investor preferences are driving the transition to a low-carbon economy, but sectors and markets","page_number":227,"box":{"x":69,"y":264,"width":825,"height":11}},{"id":"7a3d12a0-12e1-4002-8b40-0ffd6401745b","block_type":"box","text":"can decarbonize at varying speeds given the dynamic and uncer tain nature of technological feasibility, consumer","page_number":227,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"d0f11b54-48a5-4414-85c6-4de4ca71ef41","block_type":"box","text":"demand, and government policies, among other factors.","page_number":227,"box":{"x":69,"y":294,"width":395,"height":11}},{"id":"da76857a-9d79-4370-b1fd-ef4100ed6ec0","block_type":"box","text":"9, 10","page_number":227,"box":{"x":466,"y":294,"width":21,"height":6}},{"id":"4baaf57f-ce55-4c6b-b3ea-ddcac7f318c2","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":227,"box":{"x":101,"y":317,"width":808,"height":11}},{"id":"27f73355-0780-4cf6-8921-6b0cec88304a","block_type":"box","text":"BlackRock Investment Institute Transition Scenario (BIITS), powered by Aladdin","page_number":227,"box":{"x":70,"y":332,"width":559,"height":11}},{"id":"b08366e0-6185-4bf9-9200-bf257e3c4d55","block_type":"box","text":"®","page_number":227,"box":{"x":630,"y":332,"width":6,"height":5}},{"id":"4319141c-f8f5-4941-8bb3-9612c6120a97","block_type":"box","text":"technology. BIITS is a research","page_number":227,"box":{"x":641,"y":332,"width":223,"height":11}},{"id":"a4cc9142-64e0-4434-ab2d-1bd358ce2bd8","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":227,"box":{"x":69,"y":347,"width":799,"height":11}},{"id":"f1ddfb0a-2351-4b63-8484-bfa24d73dd23","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":227,"box":{"x":69,"y":362,"width":828,"height":11}},{"id":"b4562235-2776-4979-ad07-bd243de39629","block_type":"box","text":"based its key assumptions on rigorous research, and the input of BlackRock’s por tfolio managers and other exper ts.","page_number":227,"box":{"x":69,"y":377,"width":834,"height":12}},{"id":"627e2d3e-5138-440b-98d2-32b69f92e70a","block_type":"box","text":"These Guidelines draw from the proprietary insights generated by BIITS and Aladdin Climate","page_number":227,"box":{"x":101,"y":400,"width":655,"height":11}},{"id":"fa182cdc-9271-485e-bcb1-3c27cae31a66","block_type":"box","text":"®","page_number":227,"box":{"x":756,"y":400,"width":6,"height":5}},{"id":"d3829e39-2ee1-4bc4-9ec7-322bf67feb52","block_type":"box","text":", BlackRock’s Risk","page_number":227,"box":{"x":764,"y":400,"width":131,"height":10}},{"id":"fddeab09-31a7-4582-8351-f8f0c4579eef","block_type":"box","text":"and Quantitative Analysis Group, and the broader BIS team to help inform and guide engagement and voting activities","page_number":227,"box":{"x":69,"y":415,"width":838,"height":11}},{"id":"fe6c796c-a8bc-4139-8a96-a94dd7f39276","block_type":"box","text":"on behalf of clients invested in in-scope funds and SMAs.","page_number":227,"box":{"x":69,"y":430,"width":408,"height":11}},{"id":"76a84268-2ee2-491a-bbff-06bdf2b73272","block_type":"box","text":"11","page_number":227,"box":{"x":479,"y":431,"width":9,"height":4}},{"id":"d2872bd0-a3a6-4cc2-adfd-7cd935fe25b8","block_type":"box","text":"In doing so, the dedicated team takes into consideration","page_number":227,"box":{"x":495,"y":430,"width":401,"height":11}},{"id":"9ed180d8-843b-4ad2-9f49-745d76d77ee9","block_type":"box","text":"the fact that the necessary data to assess individual companies currently has limitations, but is improving.","page_number":227,"box":{"x":68,"y":445,"width":763,"height":12}},{"id":"fd5830fe-6bf9-40e4-b0d0-1dbf44963012","block_type":"box","text":"THE GUIDELINES’ DESIGN PRINCIPLES","page_number":227,"box":{"x":347,"y":476,"width":284,"height":8}},{"id":"834c2200-b48f-468d-a9e8-f88b5badf3cc","block_type":"box","text":"The framework of these Guidelines is designed to:","page_number":227,"box":{"x":101,"y":498,"width":357,"height":11}},{"id":"fd96c098-09a4-47e6-84af-dd6930079df3","block_type":"box","text":"•","page_number":227,"box":{"x":69,"y":521,"width":6,"height":5}},{"id":"0c6e2c3c-ff66-4923-ba3b-daa314319225","block_type":"box","text":"Prioritize sectors and companies that play an important role in the transition to a low-carbon economy:","page_number":227,"box":{"x":102,"y":518,"width":751,"height":11}},{"id":"3d412f04-5f70-43a2-9f5b-229eaf33afef","block_type":"box","text":"This","page_number":227,"box":{"x":859,"y":519,"width":28,"height":8}},{"id":"fc93764c-8038-4971-8481-93f67147964f","block_type":"box","text":"includes companies which produce goods and services that contribute to real world decarbonization or have a","page_number":227,"box":{"x":102,"y":534,"width":782,"height":11}},{"id":"ed5bd4e9-9541-43cc-8f6e-046abd0238ee","block_type":"box","text":"carbon intensive business model and face outsized impacts from the low-carbon transition.","page_number":227,"box":{"x":101,"y":549,"width":648,"height":11}},{"id":"dd26b4d8-6f8e-4120-a434-d414b1262248","block_type":"box","text":"•","page_number":227,"box":{"x":69,"y":572,"width":6,"height":4}},{"id":"0edcd97c-87ea-490f-a7b7-f25edab28996","block_type":"box","text":"Apply a nuanced approach to our analysis that acknowledges the unevenness of the low-carbon transition","page_number":227,"box":{"x":101,"y":569,"width":772,"height":11}},{"id":"8c67f357-059b-4d84-9ac4-ac3c56f81592","block_type":"box","text":"across sectors and markets:","page_number":227,"box":{"x":101,"y":584,"width":208,"height":9}},{"id":"bf88b3f9-6c93-42be-9274-6b239f7a8f95","block_type":"box","text":"The Guidelines take into consideration the varying speeds at which sectors and","page_number":227,"box":{"x":315,"y":584,"width":566,"height":11}},{"id":"cb3f8ee6-a19e-43ee-94e7-76c4003c98e1","block_type":"box","text":"markets are decarbonizing based on technological feasibility, consumer demand, government policy, regulatory","page_number":227,"box":{"x":102,"y":599,"width":789,"height":11}},{"id":"3bf005ae-9c03-494f-86ce-b0f70eaf6b05","block_type":"box","text":"frameworks and other factors. Fur ther, the Guidelines recognize that these factors are uncer tain and dynamic.","page_number":227,"box":{"x":101,"y":614,"width":785,"height":11}},{"id":"3e646055-6df6-4dd2-99f9-131c4c459fb5","block_type":"box","text":"•","page_number":227,"box":{"x":69,"y":637,"width":6,"height":5}},{"id":"63090a11-3087-4cf5-a7bd-b0afa31171d2","block_type":"box","text":"Take a long-term, pragmatic approach to the low-carbon transition that minimizes disruption to portfolio","page_number":227,"box":{"x":101,"y":634,"width":759,"height":11}},{"id":"8dc47fa4-a01f-4386-8679-3ca85586ed61","block_type":"box","text":"companies and their key stakeholders:","page_number":227,"box":{"x":101,"y":649,"width":282,"height":11}},{"id":"73b0df88-16d2-4443-bbc1-94607fb343bd","block_type":"box","text":"The Guidelines recognize the challenges that many companies face in","page_number":227,"box":{"x":389,"y":649,"width":496,"height":12}},{"id":"42832223-b94c-4a78-92a8-040f5b37dc1f","block_type":"box","text":"adapting their business models to the low-carbon transition. It reflects a view that a smooth transition — where","page_number":227,"box":{"x":102,"y":664,"width":794,"height":12}},{"id":"29075b3b-ad9f-4c9a-85b6-45a1f7831256","block_type":"box","text":"companies adapt while continuing to deliver financial returns — is a better long-term investment outcome and","page_number":227,"box":{"x":101,"y":680,"width":783,"height":11}},{"id":"cdad6fc7-3809-4edb-a56c-4277c54138a4","block_type":"box","text":"7","page_number":227,"box":{"x":69,"y":709,"width":4,"height":5}},{"id":"e978bebd-de1c-4023-bfbd-cc486879daf5","block_type":"box","text":"These companies may already be low-carbon operators or be demonstrating momentum in reducing emissions in","page_number":227,"box":{"x":78,"y":709,"width":803,"height":11}},{"id":"496d8185-6c95-4c57-ab0b-539f4e06005a","block_type":"box","text":"their operations, providing key inputs or goods and services that suppor t real world decarbonization, or pivoting their","page_number":227,"box":{"x":68,"y":724,"width":832,"height":11}},{"id":"d5ad29f9-0fce-4267-9933-9c6bd2bb9cc2","block_type":"box","text":"current business model to contribute to the transition to a low-carbon economy.","page_number":227,"box":{"x":69,"y":739,"width":565,"height":11}},{"id":"e58bdb90-bf75-4f0e-890c-ca1a24d0e1df","block_type":"box","text":"8","page_number":227,"box":{"x":69,"y":757,"width":4,"height":5}},{"id":"441d5e8e-1fd4-45ee-8124-5a069483ebd3","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":227,"box":{"x":78,"y":757,"width":789,"height":11}},{"id":"3a38baee-5b0d-4282-8457-a164c9ef41ff","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":227,"box":{"x":70,"y":772,"width":829,"height":11}},{"id":"10e3b297-7af2-49af-bd1d-54e8e80326bc","block_type":"box","text":"based approach, and are focused solely on advancing clients’ financial interests.","page_number":227,"box":{"x":69,"y":787,"width":576,"height":11}},{"id":"cab02e87-ece2-4616-b224-830fab4365cc","block_type":"box","text":"9","page_number":227,"box":{"x":69,"y":805,"width":4,"height":4}},{"id":"44fa1f59-0cc9-404c-8992-e9c4e155c249","block_type":"box","text":"BII’s latest research shows that while decarbonization continues, its pace is increasingly uneven across sectors and","page_number":227,"box":{"x":79,"y":805,"width":828,"height":11}},{"id":"bf7772c7-e3f9-4a60-914b-51d45bf987f4","block_type":"box","text":"regions, and overall slower than previously expected.","page_number":227,"box":{"x":69,"y":820,"width":375,"height":11}},{"id":"06919ea3-e379-4859-b493-39dc1678f6b4","block_type":"box","text":"10","page_number":227,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"57a56534-89d4-4db0-8171-d576e23a42cf","block_type":"box","text":"BlackRock, “Evolving energy transition, evolving oppor tunities,” February 2025.","page_number":227,"box":{"x":84,"y":837,"width":565,"height":12}},{"id":"f4126a3c-6114-4968-ad3b-e48b246dabcf","block_type":"box","text":"11","page_number":227,"box":{"x":69,"y":855,"width":9,"height":5}},{"id":"780ca4d7-c706-42c7-aad2-5c2a91aef3fc","block_type":"box","text":"Aladdin","page_number":227,"box":{"x":83,"y":855,"width":51,"height":9}},{"id":"9b43567d-7ecc-4ac2-97c1-2bf91810a9f7","block_type":"box","text":"®","page_number":227,"box":{"x":135,"y":855,"width":6,"height":5}},{"id":"c3cd1f55-2086-4759-8259-36ffa58925b5","block_type":"box","text":"Climate is a suite of climate analytics including forward-looking scenario analysis and net zero alignment","page_number":227,"box":{"x":147,"y":855,"width":745,"height":11}},{"id":"cc831bfc-a2a9-486e-a5cf-658ef91de0f1","block_type":"box","text":"analytics. Aladdin","page_number":227,"box":{"x":69,"y":870,"width":123,"height":11}},{"id":"3ce9eee7-971f-4d56-8c82-c978a790e708","block_type":"box","text":"®","page_number":227,"box":{"x":193,"y":870,"width":6,"height":5}},{"id":"3b4789d6-1126-4b57-bcc6-4edaa5cca788","block_type":"box","text":"is a proprietary investment and risk management platform.","page_number":227,"box":{"x":205,"y":870,"width":418,"height":11}},{"id":"88954030-35e7-425d-a252-8ae88c4d1b61","block_type":"box","text":"BlackRock Investment Stewardship","page_number":227,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"3a81bf6e-ba3b-4bb1-8eb7-ed5da7406289","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 4","page_number":227,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"1ac90a63-614e-4e7a-b538-05408e2fb1e7","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":227,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"75686fbb-6291-4357-8e0a-ccd6af3b6501","block_type":"box","text":"less disruptive to other key stakeholders than a disorderly transition. Fur ther, the Guidelines consider the","page_number":228,"box":{"x":102,"y":45,"width":751,"height":11}},{"id":"eccfb804-9811-4754-9724-50119a58dbe5","block_type":"box","text":"differences between the actions and outcomes over which company management has influence, and those it","page_number":228,"box":{"x":101,"y":60,"width":778,"height":11}},{"id":"bca7a29f-bb15-420b-a9f4-d76db16ba732","block_type":"box","text":"does not.","page_number":228,"box":{"x":101,"y":75,"width":66,"height":9}},{"id":"bde16812-c58c-4a3d-a1c2-a15a05a0eaf0","block_type":"box","text":"•","page_number":228,"box":{"x":69,"y":98,"width":6,"height":4}},{"id":"287a808f-9d3d-48eb-b9c2-9569c6cc6eee","block_type":"box","text":"Focus on useful, contextualized disclosures that help inform investors views, while recognizing data","page_number":228,"box":{"x":102,"y":95,"width":729,"height":11}},{"id":"43242f05-a2d0-4308-8351-a20df596a415","block_type":"box","text":"limitations:","page_number":228,"box":{"x":102,"y":110,"width":80,"height":9}},{"id":"4c15b533-dca0-4102-94c8-89515b5ee3d3","block_type":"box","text":"Under the Guidelines, the dedicated team looks for disclosures that outline key milestones and","page_number":228,"box":{"x":189,"y":110,"width":679,"height":11}},{"id":"70db7547-3570-45d8-9bf0-0c6a1747f5dd","block_type":"box","text":"dependencies underpinning the company’s low-carbon transition strategy, explain the trade-offs required to adapt","page_number":228,"box":{"x":101,"y":125,"width":807,"height":12}},{"id":"c0e395cc-6cd7-4966-bd78-fe7bed56cc7d","block_type":"box","text":"the business model, and include relevant data and narrative.","page_number":228,"box":{"x":101,"y":141,"width":433,"height":10}},{"id":"16f56c9e-7923-48a2-b995-886ceebe8628","block_type":"box","text":"•","page_number":228,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"23cac07d-f214-4bd5-a35c-370112b5c57d","block_type":"box","text":"Consistency with the participating clients’ position as a minority investor:","page_number":228,"box":{"x":101,"y":161,"width":541,"height":11}},{"id":"afbb5192-9f19-43ec-8b57-652e7db6d688","block_type":"box","text":"The boards and executive leadership","page_number":228,"box":{"x":648,"y":161,"width":261,"height":11}},{"id":"e3f0ffe6-e32f-437f-ac9b-de2d60e160ac","block_type":"box","text":"of companies determine a company’s strategy and its implementation. Under the Guidelines, the dedicated team","page_number":228,"box":{"x":102,"y":176,"width":805,"height":11}},{"id":"9b0ac7f7-0d0d-4db4-a317-58d55629d825","block_type":"box","text":"makes decisions on how to engage companies and vote proxies independently, based on its professional","page_number":228,"box":{"x":102,"y":191,"width":748,"height":11}},{"id":"899c4c1f-3fc0-4fa4-8236-348ea7e9bf88","block_type":"box","text":"judgment of the priorities and outcomes most aligned with par ticipating clients’ investment objectives.","page_number":228,"box":{"x":100,"y":206,"width":730,"height":11}},{"id":"063896b6-ec55-481e-9652-5776a246dce1","block_type":"box","text":"Voting approach under the Guidelines","page_number":228,"box":{"x":68,"y":236,"width":273,"height":11}},{"id":"65036bde-56fc-4321-bdca-a35543e5d993","block_type":"box","text":"12","page_number":228,"box":{"x":342,"y":237,"width":9,"height":4}},{"id":"30a72b96-26ca-4163-a87a-1648869ebecc","block_type":"box","text":"When evaluating each voting item across management or shareholder proposals, the dedicated team applies a","page_number":228,"box":{"x":101,"y":259,"width":791,"height":11}},{"id":"0cbeaf0d-38af-4a60-abd7-6f97f4f3a774","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":228,"box":{"x":69,"y":274,"width":813,"height":11}},{"id":"a725794b-9d84-43a9-a03b-c4f31c1150b6","block_type":"box","text":"acknowledges the distinction between what company management can influence and what lies beyond its control. As","page_number":228,"box":{"x":69,"y":289,"width":833,"height":11}},{"id":"a1c1f201-ee32-4a87-b3ed-8791b4b0cfdc","block_type":"box","text":"a result, voting decisions — on behalf of in-scope funds and SMAs — on similar proposals included on different","page_number":228,"box":{"x":69,"y":304,"width":799,"height":11}},{"id":"d77091c0-d20f-4d19-b08a-d9388f0242d7","block_type":"box","text":"companies’ shareholder meeting agendas may vary depending on company, sector, or market-specific circumstances.","page_number":228,"box":{"x":69,"y":319,"width":837,"height":12}},{"id":"3a1b4ae0-f7c3-40b5-a4a3-f54fc7fd7cc1","block_type":"box","text":"Consistent with the investment objective of each fund or account that has selected these Guidelines, the","page_number":228,"box":{"x":102,"y":342,"width":748,"height":11}},{"id":"e1cb3829-807f-4e86-80ff-ba3f0d08be79","block_type":"box","text":"dedicated team will look to the companies to demonstrate the following:","page_number":228,"box":{"x":69,"y":357,"width":513,"height":11}},{"id":"fe6f7af5-76ae-4f0a-9b37-a52e70138851","block_type":"box","text":"Corporate Disclosures","page_number":228,"box":{"x":69,"y":387,"width":160,"height":11}},{"id":"5e762bb3-ecd0-44b6-ace2-bfd9e2370345","block_type":"box","text":"13","page_number":228,"box":{"x":230,"y":388,"width":9,"height":4}},{"id":"ac5c7216-d17e-4980-a75e-038c0bd507dc","block_type":"box","text":"In the context of these Guidelines, the dedicated team looks for companies to provide sufficient disclosure to","page_number":228,"box":{"x":102,"y":410,"width":781,"height":11}},{"id":"0ed74533-b4cf-4bff-97e5-88fddebbcfd0","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":228,"box":{"x":69,"y":425,"width":825,"height":11}},{"id":"75806d92-6296-4324-aa2b-66a1906b4b20","block_type":"box","text":"to companies that are impor tant to the transition to a low-carbon economy to explain the strategy and governance","page_number":228,"box":{"x":68,"y":440,"width":812,"height":12}},{"id":"7d51bc6d-0c01-4067-8113-dacec094f134","block_type":"box","text":"frameworks that they have determined most appropriate, which may include:","page_number":228,"box":{"x":68,"y":455,"width":545,"height":11}},{"id":"35fdc5fd-2580-46db-b9be-12074f860878","block_type":"box","text":"(1) a low-carbon transition strategy to demonstrate their alignment with the ambition to limit average global","page_number":228,"box":{"x":69,"y":476,"width":769,"height":11}},{"id":"f939c733-5684-4e27-befe-0be11b38ac67","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":228,"box":{"x":101,"y":491,"width":800,"height":11}},{"id":"d5e813f8-5a8b-4723-a430-cee46ac0ac1b","block_type":"box","text":"net-zero GHG emissions by 2050, with appropriate near- and medium-term milestones to assess their progress.","page_number":228,"box":{"x":102,"y":506,"width":796,"height":11}},{"id":"6dca3d4f-91ff-4320-b2ff-6aa398112b11","block_type":"box","text":"(2) low-carbon transition-related repor ting. Standardized disclosure of sustainability-related data suppor ts investors","page_number":228,"box":{"x":69,"y":526,"width":828,"height":11}},{"id":"70979800-2b6e-4616-8da8-769460128f17","block_type":"box","text":"in making informed decisions. The International Sustainability Standards Board (ISSB) standards, IFRS S1 and","page_number":228,"box":{"x":102,"y":541,"width":787,"height":11}},{"id":"2acd38c5-7a3a-4d18-840b-7b29561ec0d7","block_type":"box","text":"S2, represent one such approach to standardization that the dedicated team finds useful in its analysis.","page_number":228,"box":{"x":102,"y":556,"width":741,"height":11}},{"id":"fad08789-ff32-415f-85db-46843dac091e","block_type":"box","text":"14, 15","page_number":228,"box":{"x":845,"y":557,"width":25,"height":5}},{"id":"1fa30ff5-12c5-4d11-9a95-0e8d307540e2","block_type":"box","text":"IFRS","page_number":228,"box":{"x":877,"y":556,"width":30,"height":9}},{"id":"00dc58f6-de10-4a74-9d9e-64ab996eaa19","block_type":"box","text":"S1 addresses the general requirements of sustainability repor ting and IFRS S2 sets out the disclosures that","page_number":228,"box":{"x":102,"y":571,"width":774,"height":12}},{"id":"519174e9-3742-4a10-90f6-64ddc28c1f84","block_type":"box","text":"provide investors with decision-useful information about a company’s most significant climate- and low-carbon","page_number":228,"box":{"x":102,"y":586,"width":781,"height":12}},{"id":"44a1c475-d506-49e5-9111-507741e3ce18","block_type":"box","text":"transition-related risks and oppor tunities. This includes receiving independent, third-par ty assurances, as audit","page_number":228,"box":{"x":101,"y":602,"width":792,"height":11}},{"id":"b71f6904-92a4-4c23-a78e-0e0b00a5e66d","block_type":"box","text":"and assurance standards are developed.","page_number":228,"box":{"x":102,"y":617,"width":290,"height":11}},{"id":"dfe7d664-aa48-4ac6-94f6-2d27d067e1d3","block_type":"box","text":"12","page_number":228,"box":{"x":69,"y":646,"width":9,"height":5}},{"id":"5d85023b-525b-4a7f-8eb6-970647da8ba6","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":228,"box":{"x":83,"y":646,"width":825,"height":11}},{"id":"aa0fd769-f29d-4aea-a301-4fd103319e3a","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":228,"box":{"x":69,"y":661,"width":833,"height":11}},{"id":"67be37e4-3798-4cff-a858-7e6ad8805e54","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":228,"box":{"x":68,"y":676,"width":830,"height":11}},{"id":"c25b6653-54e0-4810-8395-d1c6107b88ba","block_type":"box","text":"company, as well as individual ballot items at shareholder meetings.","page_number":228,"box":{"x":69,"y":691,"width":486,"height":11}},{"id":"94424f22-6eb9-4037-841c-7759752aca0b","block_type":"box","text":"13","page_number":228,"box":{"x":69,"y":709,"width":9,"height":5}},{"id":"6df70e35-84e8-4833-8e03-c1637e3fd967","block_type":"box","text":"Given data and measurement limitations, companies may need to provide estimated GHG emissions where","page_number":228,"box":{"x":84,"y":709,"width":764,"height":11}},{"id":"a16fa01c-0b7a-405e-880e-a09fc5c1686f","block_type":"box","text":"repor ting methodologies are nascent. In addition, cer tain disclosures related to a company’s plans for adapting their","page_number":228,"box":{"x":69,"y":724,"width":834,"height":11}},{"id":"7582e952-2122-48f3-b510-c267aa4438df","block_type":"box","text":"business models through the low-carbon transition may require forward-looking statements.","page_number":228,"box":{"x":69,"y":739,"width":651,"height":11}},{"id":"498c702f-a19e-42b8-bfb5-c48b4804dc89","block_type":"box","text":"14","page_number":228,"box":{"x":69,"y":757,"width":9,"height":4}},{"id":"a6839089-d31f-4457-bea0-caa0d229f32a","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Repor ting Standards","page_number":228,"box":{"x":83,"y":757,"width":744,"height":11}},{"id":"f6476104-0a82-40b8-bea4-65103e0de666","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":228,"box":{"x":69,"y":772,"width":828,"height":11}},{"id":"68a5f4b3-e69f-4004-b84e-1f7fef5a7d6e","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":228,"box":{"x":69,"y":787,"width":830,"height":11}},{"id":"be15b8cc-5927-458d-832e-b323eac40b10","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":228,"box":{"x":69,"y":802,"width":809,"height":11}},{"id":"2cde8417-ea01-4816-9b86-89e9dda93408","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":228,"box":{"x":70,"y":817,"width":778,"height":11}},{"id":"105d740d-7185-4036-85b8-6e8d70ee50f3","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":228,"box":{"x":70,"y":832,"width":380,"height":9}},{"id":"ce141b1a-598c-4c7c-bcc0-ab3a3808ef94","block_type":"box","text":"15","page_number":228,"box":{"x":69,"y":850,"width":9,"height":5}},{"id":"ed59c6d4-8030-473f-9c86-4c11975bce87","block_type":"box","text":"A number of jurisdictions are consulting on adopting the standards issued to date or have already committed to","page_number":228,"box":{"x":83,"y":850,"width":795,"height":11}},{"id":"670e676f-a7b9-4348-ac72-cd59b1432b84","block_type":"box","text":"doing so. BIS does not mandate any specific disclosure framework companies should use, and recognize that some","page_number":228,"box":{"x":69,"y":865,"width":826,"height":11}},{"id":"ee2f6dcb-1c1b-4b26-bb62-258da3c0b61f","block_type":"box","text":"companies may repor t using different standards, some of which may be required by regulation. In such cases, we","page_number":228,"box":{"x":69,"y":880,"width":811,"height":11}},{"id":"3d31c58e-3d92-42df-bb57-7f08166bcc59","block_type":"box","text":"ask that companies highlight the metrics that are industry- or company-specific. We also recognize that companies","page_number":228,"box":{"x":69,"y":895,"width":816,"height":12}},{"id":"3bd75a7f-c98b-4a92-ac37-61d839d60864","block_type":"box","text":"may be phasing in repor ting over several years. We do not prescribe timelines regarding when companies should","page_number":228,"box":{"x":69,"y":911,"width":803,"height":11}},{"id":"975028f5-0f8b-44db-8e31-b97de63e7f6e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":228,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"cbe67c25-31d5-4e7e-a86f-7916530988e8","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 5","page_number":228,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"57f6dfa2-daab-4472-a7db-6863c07d93d8","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":228,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"292e9bae-49a1-43d4-8900-4da301cdeee2","block_type":"box","text":"(3) scope 1 and scope 2, and most significant scope 3 GHG emissions","page_number":229,"box":{"x":69,"y":45,"width":513,"height":11}},{"id":"7081b2ab-b078-42f0-8171-ffe65f1f3760","block_type":"box","text":"16, 17","page_number":229,"box":{"x":583,"y":45,"width":26,"height":5}},{"id":"832f3985-d6d9-40b4-b688-1377ad695804","block_type":"box","text":"In addition, the dedicated team looks to","page_number":229,"box":{"x":615,"y":45,"width":283,"height":10}},{"id":"fcaf21de-e384-47b2-8aa3-a299093d99c4","block_type":"box","text":"companies to disclose their emissions reduction targets for scope 1 and 2 emissions, science-based where","page_number":229,"box":{"x":101,"y":60,"width":770,"height":11}},{"id":"6fc9c555-ae7e-451c-83e2-cb822a9ac752","block_type":"box","text":"possible. The team welcomes disclosure of targets or indicative goals, where companies have set them, for","page_number":229,"box":{"x":102,"y":75,"width":768,"height":11}},{"id":"7c452ee6-8239-4327-83d2-f174870709e9","block_type":"box","text":"scope 3 emissions reductions. Scope 3 information, including how a company is working with its value chain to","page_number":229,"box":{"x":102,"y":90,"width":792,"height":11}},{"id":"dc9fb818-abb9-4a2c-8f32-7641499121d0","block_type":"box","text":"accelerate reductions in GHG intensity, provides useful insight to investors focused on investing in the low","page_number":229,"box":{"x":102,"y":105,"width":760,"height":11}},{"id":"5d19427e-ecf5-4cbb-ad11-b0c127b565f1","block_type":"box","text":"carbon transition and understanding the impact of their investments on their decarbonization goals.","page_number":229,"box":{"x":101,"y":120,"width":709,"height":12}},{"id":"df2994c0-711c-4ad8-adf4-832ebfbec518","block_type":"box","text":"18","page_number":229,"box":{"x":812,"y":121,"width":9,"height":4}},{"id":"c4362bf1-876c-472a-9d41-7957f5add71e","block_type":"box","text":"However,","page_number":229,"box":{"x":827,"y":120,"width":62,"height":11}},{"id":"d2d9f1e5-48cb-4b23-b771-2ded4e416230","block_type":"box","text":"the team recognizes that companies have varying ability to influence the emissions across the different par ts of","page_number":229,"box":{"x":101,"y":135,"width":802,"height":12}},{"id":"81e837f1-ebdc-4421-b8e0-619be25e49ca","block_type":"box","text":"their value chain and, therefore, it is helpful when disclosures explain the implications for the achievement of","page_number":229,"box":{"x":101,"y":150,"width":780,"height":11}},{"id":"ffb1d0ea-6791-4c74-ac7b-280a4665099e","block_type":"box","text":"their decarbonization targets. For some companies that play an impor tant role in the low-carbon transition, scope","page_number":229,"box":{"x":101,"y":166,"width":807,"height":11}},{"id":"2162f0eb-c901-449e-b02b-f8b40f7181c9","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":229,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"ae40c1be-9d12-43e4-b1ef-9fc58f80ca7d","block_type":"box","text":"companies should be required to enforce emissions reduction targets outside of their control, where relevant, we","page_number":229,"box":{"x":101,"y":196,"width":808,"height":11}},{"id":"27f0f312-6252-4537-8b04-0127f77f1310","block_type":"box","text":"look for disclosures on how the company approaches the low-carbon transition in these cases. This may include","page_number":229,"box":{"x":102,"y":211,"width":797,"height":11}},{"id":"2f1f2780-edaa-46df-9122-1ca494c08ec1","block_type":"box","text":"plans and targets to grow businesses that contribute to real world decarbonization, forward-looking capital or","page_number":229,"box":{"x":102,"y":226,"width":777,"height":11}},{"id":"f5c66acd-bd05-48c3-8ba0-21e9f768b6e3","block_type":"box","text":"procurement allocation plans to net-zero aligned activities or suppliers, and strategies to mitigate material","page_number":229,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"b48deb2d-76c3-4527-a312-6be45cbcec03","block_type":"box","text":"transition risks.","page_number":229,"box":{"x":101,"y":257,"width":110,"height":8}},{"id":"34aa507b-e589-4b4c-921a-aa2cf2015d58","block_type":"box","text":"(4) where relevant, disclosures that describe the company’s exposure to climate-related physical risks—such as","page_number":229,"box":{"x":69,"y":277,"width":808,"height":11}},{"id":"ac65a10c-0a9c-4690-9dab-4cd2d847037d","block_type":"box","text":"acute risks from extreme weather events or chronic risks from long-term shifts in climate patterns—and how","page_number":229,"box":{"x":102,"y":292,"width":773,"height":11}},{"id":"dacb7ce9-e6b0-4c68-af35-e0f35fc15553","block_type":"box","text":"these risks could reasonably be expected to affect the company’s operations, assets, or supply chains.","page_number":229,"box":{"x":101,"y":307,"width":739,"height":11}},{"id":"3711bb6e-4a07-458f-85f7-c12215fee49d","block_type":"box","text":"Transition plans","page_number":229,"box":{"x":68,"y":337,"width":115,"height":11}},{"id":"38e1eefd-6639-4dff-8cec-f20c9140db45","block_type":"box","text":"Some companies have published transition plans outlining how they intend to implement their low-carbon","page_number":229,"box":{"x":102,"y":360,"width":748,"height":11}},{"id":"d5eb7eea-c20b-4674-adb9-96596c3bd1b5","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":229,"box":{"x":68,"y":375,"width":831,"height":11}},{"id":"466325b0-ee95-44bc-a237-37808cf1093e","block_type":"box","text":"its transition towards a lower-carbon economy, including actions such as reducing its greenhouse gas emissions”","page_number":229,"box":{"x":70,"y":390,"width":805,"height":11}},{"id":"9dd2de10-82f1-4662-a436-d6f3e3ddbbb7","block_type":"box","text":"(see Appendix 1).","page_number":229,"box":{"x":69,"y":405,"width":122,"height":11}},{"id":"9dfa4ef9-44ef-4a3a-8c9e-6ed2f918c5b7","block_type":"box","text":"19","page_number":229,"box":{"x":193,"y":405,"width":9,"height":5}},{"id":"31096a34-8238-4f7a-bc7f-d0c21b4a42dd","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":229,"box":{"x":101,"y":428,"width":800,"height":11}},{"id":"aab3578c-25b0-4c84-9a3d-86c708f580a2","block_type":"box","text":"transition plans.","page_number":229,"box":{"x":68,"y":443,"width":115,"height":11}},{"id":"001cdd13-e880-40df-8f14-31c46df19704","block_type":"box","text":"20","page_number":229,"box":{"x":184,"y":443,"width":9,"height":5}},{"id":"57ba4de3-5890-4cb1-b909-3395b2207374","block_type":"box","text":"Recent guidance from the ISSB on disclosures about transition plans highlights the convergence of","page_number":229,"box":{"x":200,"y":443,"width":706,"height":11}},{"id":"55f21af9-7c9e-4e42-a144-69963f2e71cc","block_type":"box","text":"repor ting approaches.","page_number":229,"box":{"x":69,"y":458,"width":156,"height":11}},{"id":"2c710739-fb4c-43eb-9590-b54bc46c370c","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":229,"box":{"x":101,"y":481,"width":762,"height":11}},{"id":"4096cb69-0806-446e-a9ab-1e2c2dacbad4","block_type":"box","text":"typically provide valuable insights that inform the dedicated team’s approach to engaging and voting on matters","page_number":229,"box":{"x":68,"y":496,"width":796,"height":11}},{"id":"e83d9d10-66da-4c75-b458-ff6b7657e261","block_type":"box","text":"related to climate and transition risks on behalf of in-scope funds and accounts.","page_number":229,"box":{"x":69,"y":511,"width":570,"height":11}},{"id":"25a28059-fc1c-4b90-b115-607cbe58ccac","block_type":"box","text":"make sustainability-related disclosures but appreciate it when companies produce them sufficiently in advance of","page_number":229,"box":{"x":69,"y":537,"width":810,"height":12}},{"id":"f909c938-fcd0-45e6-ae79-7a71cac08a21","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":229,"box":{"x":68,"y":553,"width":822,"height":11}},{"id":"6c6bd4fa-ad93-41ea-8ec7-abf636cce5cc","block_type":"box","text":"informed voting decisions.","page_number":229,"box":{"x":70,"y":568,"width":184,"height":11}},{"id":"2234907a-7337-4e43-b883-04dd73de61df","block_type":"box","text":"16","page_number":229,"box":{"x":69,"y":586,"width":9,"height":4}},{"id":"55425a2c-d0c5-4a58-8d9e-89c1ab7b2cbe","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":585,"width":825,"height":12}},{"id":"61a7c0fa-4401-4cb8-a91d-469075c159b2","block_type":"box","text":"paper: FTSE Russel, “Scope for improvement: Solving the Scope 3 conundrum,” January 2024, accessed in","page_number":229,"box":{"x":70,"y":600,"width":768,"height":12}},{"id":"061b3d2d-692d-47c9-812d-7268b7fa972f","block_type":"box","text":"December 2025.","page_number":229,"box":{"x":70,"y":616,"width":118,"height":9}},{"id":"e7ec1229-9261-43a1-8b61-79cd20b98893","block_type":"box","text":"17","page_number":229,"box":{"x":69,"y":634,"width":8,"height":4}},{"id":"66ba3fba-570c-429b-83ea-dc39940fb9df","block_type":"box","text":"Under this policy, the dedicated team looks for GHG emissions disclosures to be aligned with the Greenhouse Gas","page_number":229,"box":{"x":84,"y":633,"width":815,"height":12}},{"id":"67087ed1-de93-4494-9362-0e69d5408a3c","block_type":"box","text":"Protocol (GHG Protocol). The Protocol Standards and Guidance are currently being updated to ensure they continue to","page_number":229,"box":{"x":69,"y":648,"width":838,"height":12}},{"id":"64412624-0ab5-4a32-b9b7-50db169cbe87","block_type":"box","text":"provide “a rigorous and credible accounting foundation for businesses to measure, plan and track progress toward","page_number":229,"box":{"x":70,"y":663,"width":816,"height":12}},{"id":"05c5ce57-48bc-4eb4-b195-4963de8f706b","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":229,"box":{"x":69,"y":679,"width":784,"height":11}},{"id":"354562cf-7abb-4738-892b-f360aba682d9","block_type":"box","text":"18","page_number":229,"box":{"x":69,"y":697,"width":9,"height":4}},{"id":"db5873cd-8669-4b08-8459-b1a42946e9d0","block_type":"box","text":"The dedicated team does not believe the purpose of scope 3 disclosure requirements should be to push publicly","page_number":229,"box":{"x":83,"y":696,"width":804,"height":11}},{"id":"b5fa69eb-207c-42d4-85b1-caeb6a1c9868","block_type":"box","text":"traded companies into the role of enforcing emission reduction targets outside of their control. Given methodological","page_number":229,"box":{"x":68,"y":711,"width":832,"height":12}},{"id":"b666dff4-72cd-4a8e-a945-e44a92924bc7","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":229,"box":{"x":69,"y":726,"width":832,"height":12}},{"id":"e95d78a2-d80b-4fbc-93a8-b81780de33c0","block_type":"box","text":"useful when companies focus their disclosures on those of the fifteen scope 3 GHG Protocol categories that are","page_number":229,"box":{"x":69,"y":742,"width":800,"height":11}},{"id":"4dbf1b0c-2f75-487d-b753-f2a7c4c05a57","block_type":"box","text":"material to their business models.","page_number":229,"box":{"x":69,"y":757,"width":243,"height":9}},{"id":"b1db754e-168d-4e54-85d2-ab1cf15dfbb5","block_type":"box","text":"19","page_number":229,"box":{"x":69,"y":775,"width":9,"height":4}},{"id":"83beb3cd-6905-45e6-8b87-fe27e6436683","block_type":"box","text":"International Financial Repor ting Standards, “IFRS S2: Climate-related Disclosures,” June 2023, accessed in","page_number":229,"box":{"x":84,"y":774,"width":777,"height":12}},{"id":"f95ce82b-5036-4a89-9da0-068d1402d673","block_type":"box","text":"December 2025.","page_number":229,"box":{"x":70,"y":790,"width":118,"height":8}},{"id":"f3012161-f261-4c59-b1ab-e3ae146636aa","block_type":"box","text":"20","page_number":229,"box":{"x":69,"y":807,"width":9,"height":5}},{"id":"50914fd6-c6fa-42e7-b7e0-91c995d848fe","block_type":"box","text":"More companies are developing such plans, and public policymakers in cer tain markets are signaling their","page_number":229,"box":{"x":84,"y":807,"width":758,"height":11}},{"id":"eeaa3e0c-0511-49da-ac5c-6282b4d11850","block_type":"box","text":"intentions to require them or already have requirements in place, such as Australia, Brazil, and the European Union","page_number":229,"box":{"x":70,"y":822,"width":820,"height":11}},{"id":"e67479d1-2dfd-48d5-8a1e-bf9289c2e765","block_type":"box","text":"(please see the International Transition Plan Network for information). BlackRock views transition plans as a method","page_number":229,"box":{"x":69,"y":837,"width":829,"height":11}},{"id":"4c925797-d565-4900-bf9e-f5b657d23a42","block_type":"box","text":"for a company to both internally assess and externally communicate its long-term strategy, ambition, objectives, and","page_number":229,"box":{"x":68,"y":852,"width":829,"height":12}},{"id":"037db023-d523-4324-9f74-c5dc86928cea","block_type":"box","text":"actions to create financial value through the global transition towards a low-carbon economy. Across the landscape","page_number":229,"box":{"x":69,"y":868,"width":818,"height":11}},{"id":"0e768a51-0a60-4765-9804-7c74a9032744","block_type":"box","text":"there remains divergence on the objectives of such plans and the details they should contain. Website accessed in","page_number":229,"box":{"x":68,"y":883,"width":821,"height":11}},{"id":"a3849315-e42a-4417-8db9-bdaa67baa7d8","block_type":"box","text":"December 2025.","page_number":229,"box":{"x":70,"y":898,"width":118,"height":9}},{"id":"27c28182-442e-41c1-9cc4-c5a889142b95","block_type":"box","text":"BlackRock Investment Stewardship","page_number":229,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"005004b0-8e9f-4b4e-9942-6271bd4aed81","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 6","page_number":229,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"14c184c2-7b37-466c-a5cf-b14dc0de9cdb","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":229,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"357a2812-4d82-468a-abba-e6234f39d18f","block_type":"box","text":"Boards and directors","page_number":230,"box":{"x":69,"y":45,"width":151,"height":9}},{"id":"bb0c8644-dcd0-494d-b395-0d1a94868789","block_type":"box","text":"An effective and well-functioning board that has appropriate governance structures to facilitate oversight of a","page_number":230,"box":{"x":101,"y":67,"width":775,"height":12}},{"id":"3337058f-ce8a-4afc-a692-309de2da49bc","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":230,"box":{"x":69,"y":83,"width":782,"height":11}},{"id":"ab573f8d-a362-4c70-824c-6f2e7d287fad","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":230,"box":{"x":68,"y":98,"width":825,"height":11}},{"id":"432906b4-375b-44a6-96b3-6a82e99e8a90","block_type":"box","text":"understand whether:","page_number":230,"box":{"x":69,"y":113,"width":145,"height":9}},{"id":"38130880-2136-4a69-a9f5-6a49d3cd6bca","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":136,"width":6,"height":4}},{"id":"9dc1fde6-4cab-46d4-ac2a-71381330bb4c","block_type":"box","text":"The board has clear oversight responsibilities for climate and low-carbon transition-related risks and","page_number":230,"box":{"x":101,"y":133,"width":711,"height":11}},{"id":"8ac7eac1-1c21-45f1-9b31-0d6fcfa65f29","block_type":"box","text":"oppor tunities in the company’s business model. The Guidelines consider the whole board to have responsibility","page_number":230,"box":{"x":102,"y":148,"width":796,"height":11}},{"id":"6905aa1e-b0e7-47f3-a0a5-5132c3aa9dcf","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":230,"box":{"x":101,"y":163,"width":765,"height":11}},{"id":"ae97bb9a-a399-4ebc-8bad-59ba7c42b7a5","block_type":"box","text":"carbon economy.","page_number":230,"box":{"x":101,"y":178,"width":119,"height":11}},{"id":"79246bd6-c7ca-4c6f-8c67-91bc53302681","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":201,"width":6,"height":5}},{"id":"70fd3185-44b5-40ae-882a-a269e20fc165","block_type":"box","text":"Management has established a robust low-carbon transition framework and long-term strategy, with clear","page_number":230,"box":{"x":102,"y":198,"width":747,"height":12}},{"id":"42ffa4e6-3052-43dd-8dfd-e6ae057362a9","block_type":"box","text":"accountability for delivery by senior executives.","page_number":230,"box":{"x":102,"y":213,"width":333,"height":12}},{"id":"46301d90-db86-44fc-ae35-f0f83b69e233","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":237,"width":6,"height":4}},{"id":"087d1da5-cf8e-42c2-9d35-d52f5f2e5219","block_type":"box","text":"The capital management strategy explains how the company allocates investments to (traditional and next","page_number":230,"box":{"x":101,"y":234,"width":758,"height":11}},{"id":"a6b61b43-8c04-4a0e-8ee8-3db1c4fbe021","block_type":"box","text":"generation) business lines and innovation, and returns cash to shareholders, consistent with the company’s","page_number":230,"box":{"x":101,"y":249,"width":772,"height":11}},{"id":"c19f103a-268e-49f0-987e-a198aeffe40e","block_type":"box","text":"stated low-carbon transition strategy.","page_number":230,"box":{"x":102,"y":264,"width":260,"height":11}},{"id":"b56e17f3-a1e4-4574-92a3-718422e0465d","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":287,"width":6,"height":4}},{"id":"53b4c376-af60-4999-9600-a3402b7760e8","block_type":"box","text":"The climate and low-carbon transition risks most likely to significantly impact the business are integrated into the","page_number":230,"box":{"x":101,"y":284,"width":807,"height":11}},{"id":"b146a87e-4314-4dd3-8702-fb8f1c7708a3","block_type":"box","text":"company’s enterprise risk management processes and repor ting.","page_number":230,"box":{"x":101,"y":299,"width":465,"height":11}},{"id":"a784de7f-b223-4ab8-a227-e1179a5f3d47","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":322,"width":6,"height":5}},{"id":"c6afe768-07a7-4e75-8dee-ad6af6bc58ec","block_type":"box","text":"The company has set scope 1 and 2 GHG emissions reduction targets, science-based and independently verified","page_number":230,"box":{"x":101,"y":319,"width":804,"height":12}},{"id":"6f012caf-8c61-467f-9536-e40562f8202c","block_type":"box","text":"where possible, against a baseline, that are consistent with the ambition to limit average global temperature rise","page_number":230,"box":{"x":101,"y":335,"width":806,"height":11}},{"id":"3e018524-1414-4e75-96b8-a9856b6172d9","block_type":"box","text":"to no more than 1.5°C above pre-industrial levels.","page_number":230,"box":{"x":101,"y":350,"width":354,"height":10}},{"id":"d9286e6b-c88c-48b4-a5bd-d628ebf9a3ef","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":373,"width":6,"height":4}},{"id":"0a4b28d8-9a50-4e29-a66d-957f9b1ae1e3","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":230,"box":{"x":101,"y":370,"width":788,"height":11}},{"id":"2e50395c-19ec-4f19-8382-e07c2e57f8f1","block_type":"box","text":"long-term low-carbon transition strategy.","page_number":230,"box":{"x":102,"y":385,"width":282,"height":11}},{"id":"b498d4bd-5d95-4a16-b2c1-8ebeea7122dd","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":408,"width":6,"height":4}},{"id":"383d8342-33e0-4374-ada3-319395191b1d","block_type":"box","text":"The company is monitoring its most significant scope 3 emissions and disclosing these where it is confident in","page_number":230,"box":{"x":101,"y":405,"width":790,"height":11}},{"id":"b5711f8f-b901-405a-8600-12aef837f512","block_type":"box","text":"the data. Given for thcoming regulatory requirements in cer tain jurisdictions, some companies are voluntarily","page_number":230,"box":{"x":101,"y":420,"width":774,"height":11}},{"id":"489cb798-bbf6-4ff7-a980-959258fe5f9d","block_type":"box","text":"disclosing scope 3 emissions reductions targets and plans, setting out how they are working on decarbonization","page_number":230,"box":{"x":101,"y":435,"width":800,"height":11}},{"id":"ea6c7e9d-157a-4ddc-a376-24316886d71b","block_type":"box","text":"with the different constituents in their value chain.","page_number":230,"box":{"x":101,"y":450,"width":358,"height":9}},{"id":"8cefd21b-676a-48b4-99f4-8139c0c1a1b3","block_type":"box","text":"21","page_number":230,"box":{"x":461,"y":451,"width":9,"height":4}},{"id":"d4b285d1-d41e-449e-8b79-d8a5af9a92fb","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":473,"width":6,"height":5}},{"id":"2baa10b2-9590-48b0-b6cb-cc6eed9c4c37","block_type":"box","text":"The company’s governance and oversight processes for managing material risks associated with corporate","page_number":230,"box":{"x":101,"y":470,"width":761,"height":12}},{"id":"dac5c094-6b95-49b8-bdad-234349dd9744","block_type":"box","text":"political activities including applicable policies and procedures where relevant.","page_number":230,"box":{"x":102,"y":486,"width":556,"height":11}},{"id":"2e3d9394-59f0-44ff-9902-5c4a737ddf4e","block_type":"box","text":"22","page_number":230,"box":{"x":660,"y":486,"width":8,"height":4}},{"id":"7aebdecf-de10-47c4-93f9-bbeb682ad7fe","block_type":"box","text":"The dedicated team looks for","page_number":230,"box":{"x":674,"y":486,"width":208,"height":9}},{"id":"abbfbf94-5746-4f58-be8b-45fa4ba7d29c","block_type":"box","text":"public policy engagement to be consistent with a company’s stated strategic policy objectives, including those","page_number":230,"box":{"x":102,"y":501,"width":783,"height":11}},{"id":"7b505dc9-69a7-4347-9385-8e8f42679b8c","block_type":"box","text":"related to the low-carbon transition.","page_number":230,"box":{"x":102,"y":516,"width":251,"height":9}},{"id":"42a9e1b2-d2e1-4515-bcb2-2a95da531b67","block_type":"box","text":"Voting against directors over concerns about climate risk","page_number":230,"box":{"x":68,"y":546,"width":420,"height":11}},{"id":"4944ea17-0671-480d-8e47-94bc0ff7a7a1","block_type":"box","text":"In implementing these Guidelines, the dedicated team generally suppor ts non-executive directors standing for","page_number":230,"box":{"x":102,"y":569,"width":781,"height":11}},{"id":"4f8fb148-b82e-4d94-abaa-05ca368b1b14","block_type":"box","text":"election where, in its assessment based on company disclosures and engagement, a company is executing on its","page_number":230,"box":{"x":69,"y":584,"width":811,"height":11}},{"id":"37be26c5-1592-45f9-92c0-3fa580c32cc6","block_type":"box","text":"commitment to align with the transition to a low-carbon economy, as defined above. Where the dedicated team","page_number":230,"box":{"x":69,"y":599,"width":788,"height":11}},{"id":"a4a4cba8-179d-4a6d-9746-78614c668d27","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":230,"box":{"x":69,"y":614,"width":828,"height":11}},{"id":"1faca6f3-8eda-43fe-a617-95253867afb0","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":230,"box":{"x":69,"y":629,"width":780,"height":11}},{"id":"5119a1ed-7c7a-4b7d-bb74-bd142d06ba90","block_type":"box","text":"committee with low-carbon transition, climate or sustainability risk oversight responsibilities, other members of the","page_number":230,"box":{"x":69,"y":644,"width":817,"height":12}},{"id":"b863c3ca-6a46-4ff6-b49f-528fc5f33bcf","block_type":"box","text":"relevant committee, the lead independent director or the non-executive chair of the board. In cer tain markets, the","page_number":230,"box":{"x":69,"y":659,"width":808,"height":11}},{"id":"746656d9-1a69-47f2-9376-00ae3caca183","block_type":"box","text":"team may withhold suppor t for the discharge of the supervisory board or equivalent and/or board repor ts.","page_number":230,"box":{"x":68,"y":675,"width":758,"height":11}},{"id":"de6b935c-856b-4259-9c7a-6cebf8c75dbd","block_type":"box","text":"23","page_number":230,"box":{"x":828,"y":675,"width":9,"height":4}},{"id":"0f5cb88c-1225-4ce7-913a-c50306df0540","block_type":"box","text":"21","page_number":230,"box":{"x":69,"y":704,"width":9,"height":5}},{"id":"2c8e2b84-e6d7-44db-ae74-0b6fbecc95f3","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":230,"box":{"x":84,"y":704,"width":825,"height":11}},{"id":"2f27e362-e9e5-44c5-ace1-5ef99579f386","block_type":"box","text":"paper “Scope for improvement: Solving the Scope 3 conundrum.” Their research indicates that there are 2-3 material","page_number":230,"box":{"x":70,"y":719,"width":835,"height":11}},{"id":"f7152b20-65f0-41d2-aeee-fde9cd1ed57f","block_type":"box","text":"scope 3 GHG emissions categories by sector. The research uses a definition of materiality from the GHG Protocol,","page_number":230,"box":{"x":69,"y":734,"width":813,"height":11}},{"id":"e5ccd079-2d80-478f-9257-2ea003e170b3","block_type":"box","text":"which “encourages companies to maintain a representative inventory of the “most significant GHG emissions, [that]","page_number":230,"box":{"x":68,"y":749,"width":828,"height":11}},{"id":"e468640f-9154-462d-a43f-b9ed79c3c9b8","block_type":"box","text":"offer the most significant GHG reduction oppor tunities and are most relevant to the company’s business goals.”","page_number":230,"box":{"x":69,"y":764,"width":801,"height":12}},{"id":"f7640941-7a9d-45ee-84ce-1f0208c998fd","block_type":"box","text":"Website accessed in December 2025.","page_number":230,"box":{"x":68,"y":779,"width":272,"height":9}},{"id":"bd32a888-7c3b-477e-ae3b-4e504427c382","block_type":"box","text":"22","page_number":230,"box":{"x":69,"y":797,"width":9,"height":5}},{"id":"e12d07a6-223c-4331-99bf-0f10f9785162","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":797,"width":787,"height":11}},{"id":"36f7af46-a30e-4a5b-9d5a-76db58e7532b","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":230,"box":{"x":68,"y":812,"width":500,"height":11}},{"id":"17d3de06-5eb5-4d78-a2ea-a5937219aa56","block_type":"box","text":"23","page_number":230,"box":{"x":69,"y":830,"width":9,"height":5}},{"id":"0d4de5ea-cdec-4314-83b6-6792fcad882d","block_type":"box","text":"Board repor t votes are generally advisory and relate to repor ts issued by the board of directors that may contain","page_number":230,"box":{"x":84,"y":830,"width":801,"height":11}},{"id":"a5db69f5-a550-4df6-84fd-2c16e8aa5366","block_type":"box","text":"information on a company’s sustainability effor ts, operational resilience, or financial condition, among others.","page_number":230,"box":{"x":70,"y":845,"width":782,"height":11}},{"id":"43ca9c8f-a871-4432-b4a4-2e0611fd7f85","block_type":"box","text":"BlackRock Investment Stewardship","page_number":230,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"ef9edf69-1bf6-49d3-84b8-308ba0bf025c","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 7","page_number":230,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"e8abd434-b197-4409-968d-6f7ee24affcd","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":230,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3688d84b-891e-4db2-a68c-995b54944c7c","block_type":"box","text":"Where the dedicated team has not suppor ted director elections over climate concerns in a prior year, and the","page_number":231,"box":{"x":101,"y":45,"width":780,"height":11}},{"id":"725b519f-e407-4186-9f57-81d7641775b6","block_type":"box","text":"company has not subsequently made progress towards aligning with the transition to a low-carbon economy, the team","page_number":231,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"dc8a0113-a832-45d6-a497-4c5d7c0ae575","block_type":"box","text":"may escalate by not suppor ting the re-election of additional responsible directors.","page_number":231,"box":{"x":69,"y":75,"width":582,"height":11}},{"id":"4344bf44-b41f-4e10-bc33-f770a6209379","block_type":"box","text":"24","page_number":231,"box":{"x":653,"y":75,"width":9,"height":5}},{"id":"20253ccf-a37b-41d2-9b96-4c119449cc42","block_type":"box","text":"Management proposals to approve a climate strategy or progress report","page_number":231,"box":{"x":69,"y":105,"width":528,"height":11}},{"id":"bd4d3180-6119-4430-9af2-6d9a548ca48c","block_type":"box","text":"In cer tain markets, company management may submit proposals— commonly referred to as “Say on Climate” —","page_number":231,"box":{"x":102,"y":128,"width":807,"height":11}},{"id":"09841863-96bd-4a86-b085-e7158019b6c3","block_type":"box","text":"seeking shareholder approval of their climate action plans or progress repor ts. The Guidelines consider these","page_number":231,"box":{"x":69,"y":143,"width":782,"height":11}},{"id":"cb1fa634-de0e-4e7b-b092-517106796769","block_type":"box","text":"proposals as a valuable governance mechanism that can enhance transparency, accountability, and investors’","page_number":231,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"c9b183eb-8a0c-4f45-8a46-2831962d0ea0","block_type":"box","text":"understanding of a company’s climate strategy. The dedicated team generally suppor ts management’s climate","page_number":231,"box":{"x":69,"y":173,"width":787,"height":11}},{"id":"53a7f47a-9f9a-4cc1-852b-612e81afa856","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":231,"box":{"x":69,"y":188,"width":838,"height":12}},{"id":"b5cb37b7-70eb-4cdd-9bc1-d24130996339","block_type":"box","text":"transition. Similarly, the dedicated team generally suppor ts management’s proposal on a progress repor t if the","page_number":231,"box":{"x":68,"y":203,"width":792,"height":12}},{"id":"78305e05-f8ce-4b43-8865-e746df8ca3c9","block_type":"box","text":"company has clearly explained its progress against, and any deviations from or changes to, its stated low-carbon","page_number":231,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"590c855f-d077-41b1-804e-13c66ab8eb10","block_type":"box","text":"transition plan and targets.","page_number":231,"box":{"x":68,"y":234,"width":193,"height":11}},{"id":"684db751-366a-4d19-bf85-f321b8a5b324","block_type":"box","text":"Shareholder proposals on climate and low-carbon transition matters","page_number":231,"box":{"x":68,"y":264,"width":495,"height":11}},{"id":"db8a3c3a-e70e-44df-92ba-4ddebd95acdd","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":231,"box":{"x":102,"y":287,"width":777,"height":11}},{"id":"312a2948-4707-44df-a90c-f0fff7b7d988","block_type":"box","text":"long as cer tain requirements are met. Shareholder proposals span a wide range of topics and have varying degrees","page_number":231,"box":{"x":70,"y":302,"width":824,"height":11}},{"id":"fe6bb726-ef77-42a8-9d7c-1fbe9fa87165","block_type":"box","text":"of relevance for companies across sectors, locations, and business models.","page_number":231,"box":{"x":69,"y":317,"width":543,"height":11}},{"id":"ddc2218b-8820-46cb-8958-98c99e861f30","block_type":"box","text":"Each shareholder proposal is evaluated on a case-by-case basis, focusing on its merit while considering the","page_number":231,"box":{"x":102,"y":339,"width":767,"height":12}},{"id":"038cee80-3aab-45a0-9fec-137b113853f9","block_type":"box","text":"company’s individual circumstances. When the dedicated team votes in suppor t of a proposal, it is not necessarily","page_number":231,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"a68d5bde-6a9c-4e5e-b692-fd632110e188","block_type":"box","text":"endorsing every element of the proposal or the reasoning, objectives, or suppor ting statement of the proponent.","page_number":231,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"c29035d0-9682-4564-8058-128d50e50c22","block_type":"box","text":"In addition to financial materiality, the Guidelines consider the proposal’s relevance to the company’s low-carbon","page_number":231,"box":{"x":102,"y":392,"width":802,"height":12}},{"id":"f0f5b73f-cf84-4f29-8122-3df78abba76f","block_type":"box","text":"transition strategy and targets. The dedicated team assesses the implications for, and the relevance to, the","page_number":231,"box":{"x":68,"y":407,"width":770,"height":12}},{"id":"bdffad0d-14db-4d46-ab72-e24bcaf5dd66","block_type":"box","text":"company’s stated low-carbon transition strategy and targets. Under the Guidelines, the team may suppor t","page_number":231,"box":{"x":69,"y":423,"width":754,"height":11}},{"id":"7035a649-797c-4978-bda9-62feb3538a04","block_type":"box","text":"shareholder proposals that, for example, ask a company to:","page_number":231,"box":{"x":69,"y":438,"width":425,"height":11}},{"id":"cfdc21cd-7caa-47fb-bf0b-5de7d0ae106a","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":461,"width":6,"height":4}},{"id":"33735d70-cb48-45f9-9d4f-113d30e45623","block_type":"box","text":"Publish a business plan, and related disclosures, consistent with the ambition to limit average global","page_number":231,"box":{"x":102,"y":458,"width":719,"height":11}},{"id":"7b0bc9ab-dc69-4df3-9d49-793eca288fac","block_type":"box","text":"temperature rise to no more than 1.5°C above pre-industrial levels","page_number":231,"box":{"x":101,"y":473,"width":474,"height":11}},{"id":"3fcc765b-7f17-48c1-82f7-076e2d5f47a7","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":496,"width":6,"height":5}},{"id":"ad159a86-a072-4541-9911-5f8edd881729","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":231,"box":{"x":101,"y":493,"width":807,"height":11}},{"id":"91a8ca54-1c0a-4dc0-b7f3-2776ead019f1","block_type":"box","text":"goal of the company achieving net zero GHG emissions by 2050","page_number":231,"box":{"x":101,"y":508,"width":457,"height":12}},{"id":"aad4387a-882c-499d-a219-389a397524cd","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":531,"width":6,"height":5}},{"id":"ed2998b5-7579-4c8d-80a9-6fc9accd3cf6","block_type":"box","text":"Disclose the categories of scope 3 GHG emissions most significant to a company’s business model","page_number":231,"box":{"x":102,"y":528,"width":712,"height":12}},{"id":"c7cbef69-90c7-45fe-8837-b45dfd765b4d","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":551,"width":6,"height":5}},{"id":"923dbe42-8961-492f-8f70-73f0fe905477","block_type":"box","text":"Improve voluntary disclosures on the alignment of a company’s climate-related corporate political activities with","page_number":231,"box":{"x":102,"y":549,"width":794,"height":11}},{"id":"558e5f07-00c5-4691-bc16-9542c490a16d","block_type":"box","text":"its strategic policy positions, where existing disclosure is insufficient","page_number":231,"box":{"x":102,"y":564,"width":489,"height":11}},{"id":"8e1e8812-6a51-442f-bbb9-45ae2bcf04b9","block_type":"box","text":"25","page_number":231,"box":{"x":592,"y":564,"width":9,"height":5}},{"id":"bad1f266-5427-4d58-8325-b9db840e85fd","block_type":"box","text":"The dedicated team does not suppor t shareholder proposals that seek to constrain board or management","page_number":231,"box":{"x":101,"y":587,"width":758,"height":11}},{"id":"5c0dfef5-09fb-469d-ad7d-c07c6c8accd7","block_type":"box","text":"decision-making or direct specific business or strategic decisions.","page_number":231,"box":{"x":69,"y":601,"width":468,"height":12}},{"id":"c6ac2675-0cf5-40da-a49a-8274b2d63b9f","block_type":"box","text":"RELATED MATTERS","page_number":231,"box":{"x":419,"y":632,"width":140,"height":9}},{"id":"a038a8d1-e97e-4abc-9ea1-f28e447c651a","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":231,"box":{"x":101,"y":655,"width":771,"height":11}},{"id":"8c93b832-a9eb-4cfe-a164-1ec73c2f66f4","block_type":"box","text":"matters relevant to the transition to a low-carbon economy. Under these Guidelines, the dedicated team engages,","page_number":231,"box":{"x":69,"y":670,"width":808,"height":11}},{"id":"909ae938-0fd7-4963-bae9-0cb446ba6121","block_type":"box","text":"where appropriate, to enhance its understanding of a company’s approach. Generally, voting on these matters would","page_number":231,"box":{"x":68,"y":685,"width":831,"height":11}},{"id":"19ac6a39-1b1a-4ffc-945d-ef9b73064143","block_type":"box","text":"be covered by BIS’ Benchmark Policies.","page_number":231,"box":{"x":69,"y":700,"width":280,"height":11}},{"id":"6a4fe878-8d9b-415d-b01c-609de0d1cedf","block_type":"box","text":"Executive compensation","page_number":231,"box":{"x":69,"y":730,"width":177,"height":11}},{"id":"84f4d066-8592-4855-bcbb-b5b7bbe0fd15","block_type":"box","text":"The dedicated team looks to company boards to put in place a compensation structure that incentivizes and","page_number":231,"box":{"x":101,"y":753,"width":772,"height":11}},{"id":"de6c4d64-1f6d-477b-8670-e51ecf323431","block_type":"box","text":"rewards executives appropriately. Some companies, in light of their long-term strategy, may decide to include relevant","page_number":231,"box":{"x":69,"y":768,"width":837,"height":11}},{"id":"a807914e-c221-4090-b263-a0c916b84962","block_type":"box","text":"GHG emissions reduction targets or low-carbon transition-related metrics in their incentive plans. In such cases, the","page_number":231,"box":{"x":69,"y":783,"width":826,"height":11}},{"id":"9b258462-04df-4664-919b-7dc7482657b0","block_type":"box","text":"dedicated team would engage to understand the alignment between those metrics and the company’s stated climate","page_number":231,"box":{"x":69,"y":798,"width":834,"height":11}},{"id":"fc772853-518d-4b69-9966-7f94673682f8","block_type":"box","text":"24","page_number":231,"box":{"x":69,"y":828,"width":9,"height":4}},{"id":"a3e265b7-4d6f-4e9b-85c7-bd4e9afbbf8f","block_type":"box","text":"While the dedicated team may escalate voting by not suppor ting additional management proposals, principally","page_number":231,"box":{"x":83,"y":827,"width":787,"height":12}},{"id":"d82ba3c4-18fd-4b4d-94d5-11d8233a0a96","block_type":"box","text":"director elections, the team does not consider filing shareholder proposals, preannouncing voting intentions or using","page_number":231,"box":{"x":69,"y":842,"width":832,"height":12}},{"id":"71e05de7-70bd-4f5e-8564-9a9c0d9e32e5","block_type":"box","text":"the media to amplify concerns as appropriate courses of action. The dedicated team will continue to take a","page_number":231,"box":{"x":68,"y":857,"width":765,"height":12}},{"id":"e29a2ed0-89b2-4613-ba90-cbe4ac3afe8c","block_type":"box","text":"constructive, long-term focused approach, to engagement and voting on behalf of clients under these Guidelines.","page_number":231,"box":{"x":69,"y":873,"width":805,"height":11}},{"id":"abf77201-5e02-4cf0-81a9-421083b79ab5","block_type":"box","text":"25","page_number":231,"box":{"x":69,"y":891,"width":9,"height":4}},{"id":"c71ed2f3-c05f-4876-9d2c-1bb3bc5d620e","block_type":"box","text":"Corporate political activities may include lobbying as defined by local regulations, policy engagement (including","page_number":231,"box":{"x":84,"y":890,"width":787,"height":12}},{"id":"05a2f80b-1cb5-4521-b33c-0950acaffe21","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":231,"box":{"x":68,"y":906,"width":500,"height":10}},{"id":"a6ba9f18-8dc8-4631-b199-bcb3dde2b873","block_type":"box","text":"BlackRock Investment Stewardship","page_number":231,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"be585c07-d8c3-4328-a26b-895bda370a91","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 8","page_number":231,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"ca49285f-ff7b-47f1-9c1c-22cf80a8a8e1","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":231,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6cbb0ae6-6312-4727-8eba-54577923f8c5","block_type":"box","text":"strategy. Clear disclosure also helps investors assess whether pay structures are consistent with long-term climate","page_number":232,"box":{"x":69,"y":45,"width":821,"height":11}},{"id":"7d16d581-b9c8-4b96-80c6-00c456465d8a","block_type":"box","text":"strategy and risk management.","page_number":232,"box":{"x":69,"y":60,"width":219,"height":11}},{"id":"c4f88c1b-c06b-40e7-b6e3-0a0c8f44bb71","block_type":"box","text":"Auditors and audit-related issues","page_number":232,"box":{"x":68,"y":90,"width":240,"height":9}},{"id":"7d0a2ec3-1830-4ed3-8a9d-98715a4fa8b0","block_type":"box","text":"For companies with material climate or transition risks or oppor tunities in their business models, the dedicated","page_number":232,"box":{"x":102,"y":113,"width":793,"height":11}},{"id":"7c3cfa1f-cc99-4dc1-a493-45b4e93e6c88","block_type":"box","text":"team is interested in understanding whether the company considers and, if relevant, quantifies, and accounts for","page_number":232,"box":{"x":68,"y":128,"width":807,"height":11}},{"id":"818d63d7-2fbb-42be-82d5-35d55932fda2","block_type":"box","text":"material climate-related risks in its financial statements, including if the company explains such risks within the","page_number":232,"box":{"x":69,"y":143,"width":794,"height":11}},{"id":"2d4477a5-dc7c-4111-bf57-c607194cbab3","block_type":"box","text":"context of its audit repor t. The team notes that assurance of corporate disclosures related to climate risk and the","page_number":232,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"ceb6dae0-b2d1-4332-b6d2-2855bdf2e862","block_type":"box","text":"transition to a low-carbon economy is still nascent.","page_number":232,"box":{"x":68,"y":173,"width":361,"height":11}},{"id":"4792ef61-9f4d-4993-9127-53f73f920ce5","block_type":"box","text":"Mergers, acquisitions, asset sales, and other special situations","page_number":232,"box":{"x":69,"y":203,"width":463,"height":11}},{"id":"a03b9e23-b615-4078-804e-070e0f2682bb","block_type":"box","text":"Special situations will be considered on their financial merits, but the dedicated team may engage on climate","page_number":232,"box":{"x":102,"y":226,"width":783,"height":11}},{"id":"c0f49a7e-f272-45f5-834a-9a19de568537","block_type":"box","text":"related factors under these Guidelines where a transaction may significantly alter a company’s climate strategy or a","page_number":232,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"c0cdb18c-d973-4c2b-8427-c1955df082dc","block_type":"box","text":"shareholder activist has proposed governance, strategic or operational changes that may impact its climate strategy.","page_number":232,"box":{"x":69,"y":257,"width":831,"height":11}},{"id":"cef489e1-d42c-4f94-a4c3-6376ec68e938","block_type":"box","text":"The dedicated team does not promote changes in corporate control or engage in shareholder activism.","page_number":232,"box":{"x":68,"y":272,"width":731,"height":11}},{"id":"982d5194-276a-4e47-9f8d-8aa941fe455c","block_type":"box","text":"Other business relevant sustainability-related risks and opportunities","page_number":232,"box":{"x":69,"y":302,"width":503,"height":11}},{"id":"17050b70-cc78-46ba-8079-7399ccde6b36","block_type":"box","text":"Climate risk and the transition to a low-carbon economy are interconnected with a number of other material","page_number":232,"box":{"x":102,"y":324,"width":762,"height":11}},{"id":"62a02ffb-c666-4c97-864c-6d1c55988fe3","block_type":"box","text":"sustainability-related risks and oppor tunities that may be relevant to a company’s business model and long-term","page_number":232,"box":{"x":69,"y":340,"width":802,"height":11}},{"id":"e1c4a3ad-b9c4-4fb9-adac-b317716683ba","block_type":"box","text":"financial per formance. These include a company’s impacts or dependencies on natural capital and key","page_number":232,"box":{"x":68,"y":355,"width":734,"height":11}},{"id":"80f20a2f-9783-4940-a4cb-180e7b964534","block_type":"box","text":"stakeholders.","page_number":232,"box":{"x":69,"y":370,"width":95,"height":9}},{"id":"655b8450-e672-4f87-98b8-6467ddc720fe","block_type":"box","text":"26","page_number":232,"box":{"x":166,"y":370,"width":9,"height":5}},{"id":"ad803822-e144-4046-a234-d779f7021f8f","block_type":"box","text":"In the context of these Guidelines, the dedicated team may engage companies to better understand","page_number":232,"box":{"x":182,"y":370,"width":710,"height":11}},{"id":"49b87aaf-c08f-4502-a41f-eb4d4c7af9f5","block_type":"box","text":"how they are managing the impact on people (e.g., employees, suppliers, customers and communities) of any","page_number":232,"box":{"x":69,"y":385,"width":783,"height":11}},{"id":"fdaff196-276f-4c28-af13-31318e7099c0","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":232,"box":{"x":69,"y":400,"width":832,"height":11}},{"id":"21a4b4d3-6922-42fc-acea-16fb0e0fd84f","block_type":"box","text":"team may engage companies that face risks and oppor tunities related to land use and deforestation, access to fresh","page_number":232,"box":{"x":68,"y":415,"width":838,"height":11}},{"id":"688696c3-3ae9-4226-8aa8-04bee4571b0e","block_type":"box","text":"water, or the ability to secure scarce resources critical to the transition to a low-carbon economy.","page_number":232,"box":{"x":68,"y":430,"width":690,"height":11}},{"id":"93bb10d4-e5e4-4823-8b13-d49710df034a","block_type":"box","text":"26","page_number":232,"box":{"x":69,"y":475,"width":9,"height":4}},{"id":"e9e937a8-ae96-4894-9574-cbcbb81895bf","block_type":"box","text":"Engagement with companies on these issues is informed by BIS’ commentaries on natural capital, human capital","page_number":232,"box":{"x":84,"y":474,"width":807,"height":12}},{"id":"fb1bed0a-caf4-4026-8735-a3dd63c5826d","block_type":"box","text":"management, and corporate human rights risks, December 2025.","page_number":232,"box":{"x":69,"y":490,"width":468,"height":11}},{"id":"98b6e977-6f48-486e-892a-f634fcbe66ce","block_type":"box","text":"BlackRock Investment Stewardship","page_number":232,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"21b1c7bc-5faa-4adc-adab-1469831a39df","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 9","page_number":232,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"51499b33-e333-4375-b098-e4ecd7f74b63","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":232,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b39fb08e-de41-468f-8922-f59fc4c11a4a","block_type":"box","text":"Appendix 1","page_number":233,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"3df744d0-9988-4219-b3dc-937c97cc325d","block_type":"box","text":"Terminology","page_number":233,"box":{"x":68,"y":75,"width":87,"height":11}},{"id":"c1bbb1bd-13cd-48e3-a0c4-72d5c2942d70","block_type":"box","text":"We understand the key concepts referred to within these Guidelines as follows:","page_number":233,"box":{"x":101,"y":98,"width":565,"height":11}},{"id":"0cdd12dc-78e2-4f06-81e0-72e41d89ac50","block_type":"box","text":"Climate risk:","page_number":233,"box":{"x":101,"y":120,"width":92,"height":9}},{"id":"89670fee-dfc1-4de2-959e-1af9c3229828","block_type":"box","text":"Includes physical risk, the increased risk to companies’ assets and activities caused by the direct","page_number":233,"box":{"x":200,"y":120,"width":698,"height":11}},{"id":"ede6070c-b07f-4be0-973c-8b981c30ec3f","block_type":"box","text":"impact of changing weather patterns and natural catastrophes, and transition risk, the impact of the transition to a","page_number":233,"box":{"x":70,"y":135,"width":818,"height":12}},{"id":"2d6b3730-b6aa-4ced-a14a-1179c7e7ded3","block_type":"box","text":"low-carbon economy on a company’s long-term profitability.","page_number":233,"box":{"x":70,"y":150,"width":416,"height":12}},{"id":"701e811f-cbc0-4be6-a90c-24b4392ad4ab","block_type":"box","text":"Transition to a low-carbon economy (“low-carbon transition”):","page_number":233,"box":{"x":101,"y":173,"width":449,"height":11}},{"id":"8c5e8377-9da1-4536-a931-4af731ded894","block_type":"box","text":"The global economic shift toward lower","page_number":233,"box":{"x":556,"y":173,"width":278,"height":11}},{"id":"666fcaa3-add3-4e6e-950e-27ddbe85f53b","block_type":"box","text":"emissions across many sectors and business models. The economic transformation is being driven by changes in","page_number":233,"box":{"x":69,"y":188,"width":811,"height":12}},{"id":"de5421bb-a13b-4fcf-8307-367612bec6f9","block_type":"box","text":"government policy, technology, and consumer and investor preferences, as well as the physical effects of climate","page_number":233,"box":{"x":68,"y":203,"width":807,"height":12}},{"id":"55191079-37fb-414b-86ff-523173bda47f","block_type":"box","text":"change (e.g., extreme weather), and can potentially have a material impact on clients’ investments and por tfolios.","page_number":233,"box":{"x":69,"y":218,"width":812,"height":12}},{"id":"e2a9eaba-a413-4c11-a769-7286fbf1b32a","block_type":"box","text":"Decarbonization:","page_number":233,"box":{"x":102,"y":241,"width":120,"height":9}},{"id":"55a982d1-aa69-4828-855e-4d84b334c9f1","block_type":"box","text":"the process of reducing or eliminating emissions of carbon dioxide (CO2) from human activity","page_number":233,"box":{"x":228,"y":241,"width":664,"height":11}},{"id":"8ca609ef-2138-4520-9403-2dea2fcbea18","block_type":"box","text":"and removing carbon currently in the atmosphere. This can be carried out by countries, companies and even","page_number":233,"box":{"x":69,"y":257,"width":771,"height":11}},{"id":"575091b1-1da1-4a5d-aa84-3e5ee4e195d6","block_type":"box","text":"individual consumers. Sometimes the concept is understood to include the reduction and elimination of other GHG,","page_number":233,"box":{"x":70,"y":271,"width":820,"height":11}},{"id":"a9f3e0bb-4733-44dc-be69-a19794cba332","block_type":"box","text":"e.g., methane.","page_number":233,"box":{"x":69,"y":287,"width":102,"height":11}},{"id":"2e172df6-9b44-492b-8708-7b5a1a9b5323","block_type":"box","text":"Climate-related risks and opportunities:","page_number":233,"box":{"x":101,"y":309,"width":289,"height":11}},{"id":"0954861b-0fab-44b0-b73e-f8cf4e29dcf6","block_type":"box","text":"The investment oppor tunities and risks associated with the transition","page_number":233,"box":{"x":396,"y":309,"width":495,"height":11}},{"id":"6f7f9e58-26f9-4ad0-a683-b044335a7117","block_type":"box","text":"to a low-carbon economy, including transition risks and oppor tunities and physical risks and oppor tunities in adapting","page_number":233,"box":{"x":68,"y":325,"width":838,"height":11}},{"id":"3a83f9fc-336c-42c0-a8c8-5812bed61886","block_type":"box","text":"to physical climate change.","page_number":233,"box":{"x":68,"y":340,"width":193,"height":11}},{"id":"a6d4772b-97f2-41ae-bbe5-f9f30c6e45fc","block_type":"box","text":"Climate-related transition plan:","page_number":233,"box":{"x":101,"y":362,"width":226,"height":11}},{"id":"d31ff9a5-90ab-4315-8baa-796c8ef7da33","block_type":"box","text":"“An aspect of an entity’s overall strategy that lays out the entity’s targets,","page_number":233,"box":{"x":334,"y":362,"width":525,"height":11}},{"id":"42dc62af-7f56-49bf-be52-89324af3d937","block_type":"box","text":"actions or resources for its transition towards a lower-carbon economy, including actions such as reducing its","page_number":233,"box":{"x":69,"y":377,"width":778,"height":12}},{"id":"47871ead-06ad-41a0-9fd6-4a3981a32516","block_type":"box","text":"greenhouse gas emissions.”","page_number":233,"box":{"x":68,"y":393,"width":203,"height":11}},{"id":"01436688-e733-4fa8-85e5-3271b8200f4f","block_type":"box","text":"27","page_number":233,"box":{"x":273,"y":393,"width":9,"height":4}},{"id":"51155770-fbb0-43cc-897f-d98205da7fe5","block_type":"box","text":"Science-based GHG emissions reduction targets:","page_number":233,"box":{"x":101,"y":415,"width":356,"height":11}},{"id":"a4d9fdfc-3417-4700-a837-80b6e140857d","block_type":"box","text":"Targets that “","page_number":233,"box":{"x":463,"y":415,"width":96,"height":11}},{"id":"f6014966-cb40-46ea-a5da-99deb785e968","block_type":"box","text":"are in line with what the latest climate science","page_number":233,"box":{"x":569,"y":415,"width":331,"height":9}},{"id":"1cf08c9a-988b-4222-8bd8-387f3e2214ed","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":233,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"884c7004-7c26-4ec5-be12-15cf355b0d9d","block_type":"box","text":"levels. Science-based targets give companies a clearly defined path to reduce GHG emissions in line with limiting","page_number":233,"box":{"x":70,"y":445,"width":806,"height":12}},{"id":"d8bdcbfa-c796-415a-a7e9-f37748e20fb1","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":233,"box":{"x":68,"y":460,"width":824,"height":12}},{"id":"425a7a88-e01f-47ec-ab1f-5b7bbb35aaea","block_type":"box","text":"with the Paris Agreement goals.”","page_number":233,"box":{"x":68,"y":476,"width":232,"height":11}},{"id":"bc64c3d2-3f80-41e1-8ab3-c679df8f6c51","block_type":"box","text":"28","page_number":233,"box":{"x":302,"y":476,"width":9,"height":4}},{"id":"990048ec-0add-437a-9d06-032074a7ef30","block_type":"box","text":"Scope 1:","page_number":233,"box":{"x":101,"y":498,"width":63,"height":11}},{"id":"5b44b587-610f-41ff-b0a4-960901094d88","block_type":"box","text":"Direct GHG emissions. Direct GHG emissions occur from sources that are owned or controlled by the","page_number":233,"box":{"x":172,"y":498,"width":718,"height":11}},{"id":"d11f313e-cb86-4b49-9dac-9b7fca84d19a","block_type":"box","text":"company, for example, emissions from combustion in owned or controlled boilers, furnaces, vehicles, etc.; emissions","page_number":233,"box":{"x":69,"y":513,"width":836,"height":11}},{"id":"e6561891-1307-4617-b97a-6d7c270f0fae","block_type":"box","text":"from chemical production in owned or controlled process equipment.","page_number":233,"box":{"x":68,"y":528,"width":489,"height":11}},{"id":"73049af3-f56d-4450-a734-e96f1286f789","block_type":"box","text":"29","page_number":233,"box":{"x":559,"y":529,"width":9,"height":4}},{"id":"24f95c44-a0e8-4fb7-be47-612dea25d5fb","block_type":"box","text":"Scope 2","page_number":233,"box":{"x":101,"y":551,"width":59,"height":11}},{"id":"13db656a-11b0-4b26-ae0c-82e779d73847","block_type":"box","text":": Electricity indirect GHG emissions Scope 2 accounts for GHG emissions from the generation of","page_number":233,"box":{"x":162,"y":551,"width":685,"height":11}},{"id":"4303317b-ebb5-49cc-8202-a4d9a1042335","block_type":"box","text":"purchased electricity [steam, and heating/cooling] consumed by the company. [It] is defined as electricity [steam,","page_number":233,"box":{"x":70,"y":566,"width":807,"height":11}},{"id":"aeac969c-2747-4a8c-be3b-4a73d15faf0d","block_type":"box","text":"and heating/cooling] that is purchased or otherwise brought into the organizational boundary of the company.","page_number":233,"box":{"x":69,"y":581,"width":781,"height":12}},{"id":"5217b285-9740-45ee-a91e-0f9d5b934579","block_type":"box","text":"30","page_number":233,"box":{"x":852,"y":582,"width":9,"height":4}},{"id":"127e765a-0bf0-46ab-923a-47d03b4ac3f8","block_type":"box","text":"Scope 3:","page_number":233,"box":{"x":101,"y":604,"width":63,"height":11}},{"id":"5bcb0c04-146d-4557-b7cc-30222ac5fcde","block_type":"box","text":"Other indirect GHG emissions. Scope 3 is an optional repor ting category that allows for the treatment","page_number":233,"box":{"x":171,"y":604,"width":725,"height":11}},{"id":"b065843a-66b3-4337-8684-ac5d974ed194","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":233,"box":{"x":69,"y":619,"width":803,"height":11}},{"id":"45e1abe0-e413-495d-a64c-301e385a6bdb","block_type":"box","text":"from sources not owned or controlled by the company.","page_number":233,"box":{"x":68,"y":634,"width":386,"height":11}},{"id":"2284573f-9aaf-4976-b662-94a5a3a9a2ca","block_type":"box","text":"31","page_number":233,"box":{"x":456,"y":635,"width":9,"height":4}},{"id":"23b1669c-b8f5-44e3-87bf-dbbf740f8427","block_type":"box","text":"27","page_number":233,"box":{"x":69,"y":679,"width":8,"height":4}},{"id":"319e5ffc-7196-4244-9c26-05436e5254a8","block_type":"box","text":"As defined by the International Financial Repor ting Standards, “IFRS S2: Climate-related Disclosures,” June 2023..","page_number":233,"box":{"x":83,"y":679,"width":821,"height":11}},{"id":"48d8c57f-c36d-4345-a327-84a6b704a204","block_type":"box","text":"Several jurisdictions are basing their own transition plan disclosure frameworks on the IFRS S2 definition. We","page_number":233,"box":{"x":69,"y":694,"width":779,"height":11}},{"id":"fb8c5038-5cc8-4027-aeca-ac90b21a982f","block_type":"box","text":"anticipate transition plan disclosure becoming mandatory in an increasing number of jurisdictions over the near term.","page_number":233,"box":{"x":69,"y":709,"width":836,"height":11}},{"id":"d1469a60-a004-4114-9bc3-97a55f85abb4","block_type":"box","text":"28","page_number":233,"box":{"x":69,"y":727,"width":9,"height":4}},{"id":"830e74d9-27ce-491f-a8cf-212aabb5056c","block_type":"box","text":"As defined by the Science Based Targets initiative (SBTi). SBTi “is a corporate climate action organization that","page_number":233,"box":{"x":83,"y":726,"width":785,"height":12}},{"id":"4a996227-f7ed-45bc-94d9-a757d1dae7fb","block_type":"box","text":"enables companies and financial institutions worldwide to play their par t in combating the climate crisis. We develop","page_number":233,"box":{"x":69,"y":742,"width":831,"height":11}},{"id":"1198f64e-9380-47cc-8e59-8de2cc4a68e6","block_type":"box","text":"standards, tools and guidance which allow companies to set greenhouse gas (GHG) emissions reductions targets in","page_number":233,"box":{"x":69,"y":757,"width":826,"height":11}},{"id":"8b6a6479-e244-4f2d-9e10-4124bd4f67ce","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":233,"box":{"x":70,"y":772,"width":795,"height":11}},{"id":"5666f57a-4340-45c3-a1a6-c6215de0d86e","block_type":"box","text":"Source: Science Based Targets initiative, “About Us.” Websites accessed in December 2025.","page_number":233,"box":{"x":69,"y":787,"width":666,"height":11}},{"id":"57d01aa6-0e55-4cf4-83e2-02c4c76e0805","block_type":"box","text":"29","page_number":233,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"c2d9617d-4d45-4f04-8efa-5b26164baba9","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Repor ting Standard,” Revised Edition.","page_number":233,"box":{"x":84,"y":805,"width":670,"height":11}},{"id":"17a5856d-3d76-49fd-9466-92c4fdbe0277","block_type":"box","text":"30","page_number":233,"box":{"x":69,"y":823,"width":9,"height":4}},{"id":"a0e3c118-4c7d-476a-a4a8-fe841dcce01b","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Repor ting Standard,” Revised Edition.","page_number":233,"box":{"x":84,"y":822,"width":670,"height":12}},{"id":"ca88bff0-b59a-4595-a9b9-62e20ee2c17b","block_type":"box","text":"31","page_number":233,"box":{"x":69,"y":840,"width":9,"height":5}},{"id":"0ddc02d4-e66a-4be3-84d6-844e1fb7a61d","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Repor ting Standard,” Revised Edition.","page_number":233,"box":{"x":84,"y":840,"width":670,"height":11}},{"id":"6860aed0-e610-4b89-aec1-14796ae3eb7c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":233,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"7cdb3874-ff61-449f-8147-dbacf8878624","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 10","page_number":233,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"f06856c9-a131-4399-88f8-fd6564267d1b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":233,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"91294208-cca1-46b4-bd84-384759b136f6","block_type":"box","text":"Appendix 2","page_number":234,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"6c08f52e-7a9c-45f4-be97-464db246bf10","block_type":"box","text":"Comparison of key differences between how the BIS’ Benchmark Policies considers climate-related risks,","page_number":234,"box":{"x":101,"y":67,"width":771,"height":11}},{"id":"5c614ac2-15fd-4129-95f3-8a16486adb3c","block_type":"box","text":"where appropriate, and these Guidelines:","page_number":234,"box":{"x":68,"y":83,"width":299,"height":10}},{"id":"394b091f-9cf9-4163-8398-0ec745dc29d4","block_type":"box","text":"32","page_number":234,"box":{"x":368,"y":83,"width":10,"height":4}},{"id":"8953c4a8-dbc9-4eb1-b22c-2cfbb0a05278","block_type":"box","text":"BIS Benchmark Policies","page_number":234,"box":{"x":302,"y":106,"width":174,"height":9}},{"id":"7c4d923d-fa7b-4399-98ab-7cc21ef8adc3","block_type":"box","text":"33","page_number":234,"box":{"x":477,"y":107,"width":9,"height":4}},{"id":"504a476e-db7e-4c23-985a-d83292941924","block_type":"box","text":"Decarbonization Guidelines","page_number":234,"box":{"x":643,"y":106,"width":196,"height":9}},{"id":"74f27f4f-2caf-4c5b-855a-6d501076c016","block_type":"box","text":"Key concepts","page_number":234,"box":{"x":75,"y":122,"width":98,"height":11}},{"id":"7bc8fcbf-a727-42f1-8156-79cf97ac1bd9","block_type":"box","text":"Focuses on financial per formance","page_number":234,"box":{"x":232,"y":121,"width":240,"height":11}},{"id":"37a0392d-4628-439d-8c2a-2e31fa7d046b","block_type":"box","text":"and engages companies on","page_number":234,"box":{"x":231,"y":137,"width":195,"height":11}},{"id":"1c9046b2-5b10-4295-b459-eb724cb944a7","block_type":"box","text":"climate and transition topics when","page_number":234,"box":{"x":231,"y":152,"width":244,"height":11}},{"id":"9c5c502f-9a90-41c7-b593-7a486ce46d38","block_type":"box","text":"material to their business","page_number":234,"box":{"x":232,"y":167,"width":181,"height":9}},{"id":"6d311875-3f83-40e3-a7e0-684ea5050879","block_type":"box","text":"Prioritizes the disclosure of how a","page_number":234,"box":{"x":232,"y":186,"width":239,"height":9}},{"id":"e745fa43-1f4e-466e-b528-9be527df5e19","block_type":"box","text":"company is managing material","page_number":234,"box":{"x":231,"y":201,"width":215,"height":11}},{"id":"01c84abd-376b-4fb4-af1d-d7e10eadc1f6","block_type":"box","text":"climate and transition-related risks","page_number":234,"box":{"x":231,"y":216,"width":246,"height":9}},{"id":"212b7678-8e4a-4788-b7f1-bef4a2972383","block_type":"box","text":"and oppor tunities","page_number":234,"box":{"x":231,"y":231,"width":125,"height":11}},{"id":"12f3a0eb-0f9d-4a2f-a2b4-0a3853cce8a1","block_type":"box","text":"Considers both financial per formance","page_number":234,"box":{"x":578,"y":121,"width":267,"height":11}},{"id":"71e4eb36-2765-4d30-af36-724389331a0b","block_type":"box","text":"and decarbonization objectives","page_number":234,"box":{"x":578,"y":137,"width":218,"height":11}},{"id":"53e4c40d-66c6-45cc-9f9d-83c39f0e61b5","block_type":"box","text":"consistent with funds’ and clients’","page_number":234,"box":{"x":577,"y":152,"width":244,"height":9}},{"id":"7c660a09-453b-4c5e-a05a-f9873053e48c","block_type":"box","text":"investment objectives","page_number":234,"box":{"x":578,"y":167,"width":153,"height":11}},{"id":"01db9603-43c1-48e6-a0cf-71221ad4754c","block_type":"box","text":"Assesses the alignment of a","page_number":234,"box":{"x":577,"y":186,"width":203,"height":11}},{"id":"a6b25d84-53b1-4615-a82c-1b75be77e6ac","block_type":"box","text":"company’s business model","page_number":234,"box":{"x":577,"y":201,"width":193,"height":11}},{"id":"78a2f71c-5b0e-458f-adec-8a806fa3e6dd","block_type":"box","text":"with the ambition to limit global","page_number":234,"box":{"x":577,"y":216,"width":223,"height":11}},{"id":"b685c72b-e01a-47fd-8b06-973a56340f0f","block_type":"box","text":"average temperature rise to","page_number":234,"box":{"x":578,"y":231,"width":196,"height":11}},{"id":"b9a894d9-a2d8-4ab4-9662-e5bb79ed2371","block_type":"box","text":"1.5°C above pre-industrial levels","page_number":234,"box":{"x":578,"y":246,"width":230,"height":11}},{"id":"e27f5490-260e-4a9c-9408-5ee33e6fd6b8","block_type":"box","text":"Prioritized","page_number":234,"box":{"x":75,"y":269,"width":72,"height":9}},{"id":"32e106fd-723b-4ca2-85bb-56bbbdd8090a","block_type":"box","text":"companies for","page_number":234,"box":{"x":74,"y":284,"width":103,"height":11}},{"id":"03a83d2e-a382-481a-9432-3d07d9316385","block_type":"box","text":"climate-related","page_number":234,"box":{"x":74,"y":299,"width":109,"height":9}},{"id":"74001274-3728-435f-9bf6-ba2ec98171ac","block_type":"box","text":"engagement","page_number":234,"box":{"x":74,"y":315,"width":90,"height":10}},{"id":"53797ec0-0bf4-4091-979b-774d5d9d4ecc","block_type":"box","text":"Largest Scope 1 and 2 GHG emitters Largest total value chain GHG","page_number":234,"box":{"x":232,"y":269,"width":557,"height":11}},{"id":"f4d66be0-7da2-4139-9b26-7a2eadb4db05","block_type":"box","text":"emitters (Scope 1, 2, and 3)","page_number":234,"box":{"x":578,"y":284,"width":201,"height":11}},{"id":"757631db-5669-4f02-8d2d-adc97062ccf5","block_type":"box","text":"Emissions","page_number":234,"box":{"x":75,"y":337,"width":72,"height":9}},{"id":"ad3013e2-35fe-474c-8aec-cf5b2c65907c","block_type":"box","text":"reporting","page_number":234,"box":{"x":75,"y":352,"width":66,"height":11}},{"id":"bbef028c-28ae-4732-b31e-5cd75e6360c3","block_type":"box","text":"Seeks repor ting of Scope 1 and 2 Seeks repor ting of Scope 1, 2 and","page_number":234,"box":{"x":231,"y":337,"width":592,"height":11}},{"id":"91e8b085-1e54-404b-a219-c314471c8a9e","block_type":"box","text":"significant 3","page_number":234,"box":{"x":578,"y":352,"width":86,"height":11}},{"id":"908945b3-33a0-483f-b489-3e27e9260627","block_type":"box","text":"Emissions targets","page_number":234,"box":{"x":75,"y":375,"width":130,"height":11}},{"id":"734ffa75-9589-4329-b246-84a1faffaa03","block_type":"box","text":"& decarbonization","page_number":234,"box":{"x":74,"y":390,"width":131,"height":9}},{"id":"3a84a9d0-39d4-47f8-bb2b-17b3f8a0d09c","block_type":"box","text":"efforts","page_number":234,"box":{"x":74,"y":405,"width":48,"height":9}},{"id":"eeb0d6fa-8663-49b4-93be-3507b834e72c","block_type":"box","text":"Seeks the disclosure of Scope 1 and","page_number":234,"box":{"x":231,"y":375,"width":262,"height":11}},{"id":"a624f4c7-f2e2-46df-9c5e-91afc2afca44","block_type":"box","text":"2 targets","page_number":234,"box":{"x":231,"y":390,"width":64,"height":11}},{"id":"1a75c342-f881-4f36-85b3-19ff6226d39c","block_type":"box","text":"Seeks Scope 1 and 2 targets and","page_number":234,"box":{"x":578,"y":375,"width":239,"height":11}},{"id":"af756cc2-d4f9-4c69-b4f0-d9cd5393d02d","block_type":"box","text":"assesses decarbonization effor ts","page_number":234,"box":{"x":578,"y":390,"width":238,"height":9}},{"id":"f1adf678-7ac1-4938-8693-c0017b2d3239","block_type":"box","text":"Temperature &","page_number":234,"box":{"x":74,"y":428,"width":108,"height":11}},{"id":"d5ec5314-5161-4ee9-87dd-53fdebb5c755","block_type":"box","text":"scenario","page_number":234,"box":{"x":74,"y":443,"width":61,"height":9}},{"id":"c07ffbef-3193-4d02-b750-f6aa132a53e9","block_type":"box","text":"alignment/","page_number":234,"box":{"x":74,"y":458,"width":82,"height":11}},{"id":"21d644bf-0d63-412c-b6f5-13cf14d166d2","block_type":"box","text":"pathways","page_number":234,"box":{"x":75,"y":473,"width":68,"height":11}},{"id":"ee996744-e0a8-4e2d-b456-aa198f88f5cb","block_type":"box","text":"Seeks disclosure from companies","page_number":234,"box":{"x":231,"y":428,"width":241,"height":11}},{"id":"ea19bfd6-2d2d-4d25-ae90-5732853d5124","block_type":"box","text":"that identifies and discusses the","page_number":234,"box":{"x":231,"y":443,"width":233,"height":9}},{"id":"0e55ea17-4e10-4067-af15-6f9f74004a84","block_type":"box","text":"most plausible decarbonization","page_number":234,"box":{"x":232,"y":458,"width":219,"height":11}},{"id":"5bbc0805-a8ec-4cd7-9182-3955d1a286aa","block_type":"box","text":"pathway","page_number":234,"box":{"x":232,"y":473,"width":57,"height":11}},{"id":"5e5daa7f-61f3-42a6-9eb5-242d33222d4a","block_type":"box","text":"Assesses temperature and","page_number":234,"box":{"x":577,"y":428,"width":191,"height":11}},{"id":"465b317a-a477-4120-8ba1-2276aaf76554","block_type":"box","text":"scenario alignment/pathways","page_number":234,"box":{"x":578,"y":443,"width":209,"height":11}},{"id":"ab0d5365-db20-4e07-bbf3-0b9a87b3f586","block_type":"box","text":"to 1.5°C degrees","page_number":234,"box":{"x":577,"y":458,"width":121,"height":11}},{"id":"bf9e8b68-1b68-418a-99ad-8b096c40cdd2","block_type":"box","text":"Science-based","page_number":234,"box":{"x":74,"y":496,"width":104,"height":9}},{"id":"c2c98f9f-29b8-4c78-8097-6e0fbc0cfc9e","block_type":"box","text":"targets","page_number":234,"box":{"x":74,"y":511,"width":53,"height":11}},{"id":"117b49f6-01f1-412e-adfe-a4884ee43212","block_type":"box","text":"commitments &","page_number":234,"box":{"x":74,"y":526,"width":116,"height":9}},{"id":"6f81041e-5896-41f7-b5f8-2a6b73d71cff","block_type":"box","text":"verifications","page_number":234,"box":{"x":74,"y":541,"width":89,"height":9}},{"id":"2e252960-65ae-4a8e-b7f9-c7340a94b950","block_type":"box","text":"Disclosure topic but not vote","page_number":234,"box":{"x":232,"y":496,"width":203,"height":11}},{"id":"090d81d3-3b4e-4517-beb0-91641895f8ee","block_type":"box","text":"escalation criteria","page_number":234,"box":{"x":231,"y":511,"width":126,"height":9}},{"id":"406c9e88-266d-4ec9-8f17-5ec3c11ce5ce","block_type":"box","text":"Seeks science-based targets and","page_number":234,"box":{"x":578,"y":496,"width":235,"height":11}},{"id":"8b44a91f-e586-4032-9d46-0dfe3409d37c","block_type":"box","text":"verifications where possible; may","page_number":234,"box":{"x":577,"y":511,"width":237,"height":11}},{"id":"8eacb668-a207-47c7-a320-7752e1a7c17d","block_type":"box","text":"take voting action where absent","page_number":234,"box":{"x":577,"y":526,"width":227,"height":11}},{"id":"a8038b7f-663e-49ee-8a85-5cb3d28a4d29","block_type":"box","text":"Company’s role in","page_number":234,"box":{"x":74,"y":564,"width":130,"height":11}},{"id":"ee93dc78-fd27-4daf-b4c9-df1edb635776","block_type":"box","text":"the transition","page_number":234,"box":{"x":74,"y":579,"width":98,"height":9}},{"id":"d6326646-1a21-4cb9-ab81-2820671af822","block_type":"box","text":"Disclosure topic but not vote","page_number":234,"box":{"x":232,"y":564,"width":203,"height":11}},{"id":"02272a84-4e5f-4ad2-a6eb-28f211edb288","block_type":"box","text":"escalation criteria","page_number":234,"box":{"x":231,"y":579,"width":126,"height":9}},{"id":"c97b5d57-f77d-498d-af3f-3284ac036ec8","block_type":"box","text":"Assesses activities benefitting from","page_number":234,"box":{"x":577,"y":564,"width":254,"height":11}},{"id":"d7739cde-82f0-4e75-b57f-831a95e5e20a","block_type":"box","text":"and/or contributing to the transition","page_number":234,"box":{"x":578,"y":579,"width":254,"height":11}},{"id":"7f70acb6-de46-46cd-996a-80cfad268e74","block_type":"box","text":"to a low-carbon economy","page_number":234,"box":{"x":577,"y":594,"width":176,"height":11}},{"id":"49c5dd68-1252-4d83-860a-0f1beeb5b574","block_type":"box","text":"Shareholder","page_number":234,"box":{"x":74,"y":617,"width":87,"height":9}},{"id":"63c17ffc-c7a9-4cab-8a3e-c00dbcd0037a","block_type":"box","text":"proposals","page_number":234,"box":{"x":75,"y":632,"width":69,"height":11}},{"id":"c1631f38-c097-4909-92b7-746f0de46d6f","block_type":"box","text":"Case-by-case approach with focus","page_number":234,"box":{"x":231,"y":617,"width":240,"height":11}},{"id":"ae41ad8c-7132-4565-bf13-99d94dcf0ee2","block_type":"box","text":"on implications for long-term","page_number":234,"box":{"x":231,"y":632,"width":202,"height":11}},{"id":"dda23c1c-e2df-4767-b81e-0242dc6f2ea9","block_type":"box","text":"financial value creation","page_number":234,"box":{"x":231,"y":647,"width":163,"height":9}},{"id":"c25e515f-fbe0-4fc6-a5cf-339fbb2e0256","block_type":"box","text":"No suppor t for shareholder","page_number":234,"box":{"x":232,"y":666,"width":192,"height":11}},{"id":"ff1781dc-4cde-4a58-8dc1-a1fb15516684","block_type":"box","text":"proposals that seek to direct","page_number":234,"box":{"x":232,"y":681,"width":205,"height":11}},{"id":"cd94c9ae-8f87-48e6-8f27-30904d9ca4f0","block_type":"box","text":"management strategy","page_number":234,"box":{"x":232,"y":697,"width":153,"height":10}},{"id":"e6015ffb-ffd7-4f99-aafe-49501d6e1461","block_type":"box","text":"Case-by-case approach with","page_number":234,"box":{"x":578,"y":617,"width":195,"height":11}},{"id":"1a91f07d-60a0-4ace-837d-0e8c0cce1859","block_type":"box","text":"fur ther consideration given to","page_number":234,"box":{"x":577,"y":632,"width":209,"height":11}},{"id":"bcde026a-0992-40b3-aaf0-003004651c3c","block_type":"box","text":"decarbonization objectives in","page_number":234,"box":{"x":578,"y":647,"width":204,"height":11}},{"id":"30d4146b-61f4-4580-958f-0b50ec2b7305","block_type":"box","text":"addition to financial per formance","page_number":234,"box":{"x":578,"y":662,"width":235,"height":11}},{"id":"6938c0cc-2475-464d-8594-c6fd56f7e058","block_type":"box","text":"No suppor t for shareholder","page_number":234,"box":{"x":578,"y":681,"width":192,"height":11}},{"id":"34b66a0f-95a9-493a-a9ae-0433e19c3ce4","block_type":"box","text":"proposals that seek to direct","page_number":234,"box":{"x":578,"y":696,"width":205,"height":11}},{"id":"1dfd20ba-8ffa-4f12-ab60-f5212165ffff","block_type":"box","text":"management strategy","page_number":234,"box":{"x":578,"y":712,"width":154,"height":10}},{"id":"d0deba90-48be-40c9-a4fc-93d2d30197d4","block_type":"box","text":"32","page_number":234,"box":{"x":69,"y":750,"width":9,"height":5}},{"id":"4e08553a-6bed-4347-a9e3-b8ba299787a6","block_type":"box","text":"There may be some regional variations in voting under these Guidelines in light of company circumstances, policy","page_number":234,"box":{"x":83,"y":750,"width":809,"height":11}},{"id":"75960b78-fecf-4e6e-890d-046101cd863d","block_type":"box","text":"requirements in a par ticular market or a country’s Nationally Defined Contributions, amongst other things.","page_number":234,"box":{"x":69,"y":765,"width":755,"height":11}},{"id":"0d988c29-1cae-4a20-be5b-ce0a9ea8ffa5","block_type":"box","text":"33","page_number":234,"box":{"x":69,"y":783,"width":9,"height":4}},{"id":"33b6cc81-ad84-41c4-b4b4-6382bf4e384f","block_type":"box","text":"The BIS Global Principles, regional voting guidelines, and Engagement Priorities (collectively, the BIS Benchmark","page_number":234,"box":{"x":83,"y":783,"width":798,"height":11}},{"id":"a32b3578-e360-433a-90b4-53cf26f81b9c","block_type":"box","text":"Policies) set out the core elements of corporate governance that guide our investment stewardship program. The","page_number":234,"box":{"x":69,"y":798,"width":803,"height":11}},{"id":"870bcc6e-e992-4c93-b76f-88c7c6649a61","block_type":"box","text":"Benchmark Policies apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":234,"box":{"x":70,"y":813,"width":800,"height":11}},{"id":"e5aa000e-aa07-499a-b651-61ec9ee3f4d9","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":234,"box":{"x":69,"y":828,"width":648,"height":11}},{"id":"5a35b8a5-362a-4edb-a1e0-c67b98db9500","block_type":"box","text":"BlackRock Investment Stewardship","page_number":234,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"d10e9616-880e-43d9-b007-0782100f6026","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 11","page_number":234,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"777c8d42-fb4b-465a-8a7d-c00585765af5","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":234,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b7cc1884-d611-42c9-8b82-bd0bed7c6b9e","block_type":"box","text":"Want to know more?","page_number":235,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"e70ba2a4-182c-455a-a613-c256dcd1846f","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":235,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"889adcf0-a801-45c5-9c6e-f15a65e3ef8f","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":235,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"294d1269-b819-446e-8e9d-ae1af3646587","block_type":"box","text":"principal.","page_number":235,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"429dc09f-26bc-492a-8c10-d18a55b95053","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":235,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"d3664ad1-7686-4e83-89fc-9a7acf46daac","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":235,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"837cbcab-04e3-4527-96c8-5c9faf66c4b9","block_type":"box","text":"BLACKROCK","page_number":235,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"6d46b488-aaa5-4a70-95bd-b79d8433ab98","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":235,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"93e19c23-4924-4c9b-a8a3-fa4adb9b76f8","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":235,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"431dc4bc-1dd4-484c-8d7c-226aa51b9863","block_type":"box","text":"BlackRock Investment Stewardship","page_number":235,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"1bd4254c-725e-4405-92b5-c9fff1851881","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 12","page_number":235,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"5d75dbcd-d83b-4e69-9ddc-2b16dbe88e4b","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":235,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"477b8aa1-9072-482c-bf89-e0bbcea123bd","block_type":"box","text":"[This page intentionally left blank]","page_number":236,"box":{"x":370,"y":489,"width":238,"height":12}},{"id":"4afbb751-1938-4ab2-a9b9-eb15330cff6d","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":236,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6b766951-9aa5-4eaf-8f75-4fda7e47fba5","block_type":"box","text":"[This page intentionally left blank]","page_number":237,"box":{"x":370,"y":489,"width":238,"height":12}},{"id":"ffc3b3ac-66e7-4855-8143-95b6b1f38e4e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":237,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4e46f0bb-b044-4d6c-8ef1-7bae151e235e","block_type":"box","text":"[This page intentionally left blank]","page_number":238,"box":{"x":370,"y":489,"width":238,"height":12}},{"id":"0ff931e6-8984-477b-93c5-73e713dd685e","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":238,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a3553dd1-a779-4529-8047-6c74354d010b","block_type":"box","text":"SAI-HSO-0926","page_number":239,"box":{"x":69,"y":943,"width":100,"height":9}},{"id":"74369932-e230-40f5-ba0f-fe2cf33cc715","block_type":"box","text":"BNM1026U-6032633-19203496","page_number":239,"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":[8,9,10,11,12,13,14,15,16,17,18,19,20,21,22,23,24,25,26,27,28,29,30,31,32,33,34,35,36,37,38,39,40,41,42,43,44,45,46,47,48,49,50,51,52,53,54,55,56,57,58,59,60,61,62,63,64,65,66,67,68,69,70,71,72,73,74,75,76,77,78,79,80,81,82,83,84,85,86,87,88,89,90,91,92,93,94,95,96,97,98,99,100,101,102,103,104,105,106,107,108,109,110,111,112,113,114,115,116,117,118,119,120,121,122,123,124,125,126,127,128,129,130,131,132,133,134,135,136,137,138,139,140,141,142,143,144,145,146,147,148,149,150,151,152,153,154,155,156,157,158,159,160,161,162,163,164,165,166,167,168,169,170,171,172,173,174,175,176,177,178,179,180,181,182,183,184,185,186,187,188,189,190,191,192,193,194,195,196,197,198,199,200,201,202,203,204,205,206,207,208,209,210,211,212,213,214,215,216,217,218,219,220,221,222,223,224,225,226,227,228,229,230,231,232,233,234,235,236,237,238,239]}],"page_height":[{"value":774,"pages":[1,2,3,4,5,6,7]},{"value":792,"pages":[8,9,10,11,12,13,14,15,16,17,18,19,20,21,22,23,24,25,26,27,28,29,30,31,32,33,34,35,36,37,38,39,40,41,42,43,44,45,46,47,48,49,50,51,52,53,54,55,56,57,58,59,60,61,62,63,64,65,66,67,68,69,70,71,72,73,74,75,76,77,78,79,80,81,82,83,84,85,86,87,88,89,90,91,92,93,94,95,96,97,98,99,100,101,102,103,104,105,106,107,108,109,110,111,112,113,114,115,116,117,118,119,120,121,122,123,124,125,126,127,128,129,130,131,132,133,134,135,136,137,138,139,140,141,142,143,144,145,146,147,148,149,150,151,152,153,154,155,156,157,158,159,160,161,162,163,164,165,166,167,168,169,170,171,172,173,174,175,176,177,178,179,180,181,182,183,184,185,186,187,188,189,190,191,192,193,194,195,196,197,198,199,200,201,202,203,204,205,206,207,208,209,210,211,212,213,214,215,216,217,218,219,220,221,222,223,224,225,226,227,228,229,230,231,232,233,234,235,236,237,238,239]}],"attributes":{"chunk_type":"page_range","start_page":1,"end_page":239}},"source":{"type":"Model","id":"github:dorsalhub/pdf-extractor","version":"0.5.0","execution_id":"11338dea-39d4-4ee6-b4dd-d19767385a8d"},"user_id":1000002,"date_created":"2026-10-19T23:24:15.894000Z","date_modified":"2026-10-19T23:24:15.894000Z","private":false}