{"annotation_id":"75ab5445-0698-494d-9156-72151a7038d5","file_hash":"927d7225920d4c02cd8d9c90060c1e550af288a2bafe11f97b4266f737361217","schema_id":"open/document-extraction","schema_version":"0.5.0","record":{"extraction_type":"boxes","producer":"pdf-extractor-v0.5.0","blocks":[{"id":"5ed2d9ea-0327-4323-a339-4e822c7d23fd","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":1,"box":{"x":116,"y":87,"width":296,"height":12}},{"id":"31b9433e-4c31-4007-99f6-a2b2da198fae","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":1,"box":{"x":116,"y":103,"width":325,"height":12}},{"id":"2512f716-3cce-4547-9531-8a8a6c154b96","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":1,"box":{"x":116,"y":118,"width":266,"height":12}},{"id":"0cf813d9-14fd-4a81-9d50-09edb8cd7553","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":1,"box":{"x":116,"y":134,"width":232,"height":11}},{"id":"e659504b-a4a1-4ed5-acb7-8662cfd36a8e","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":1,"box":{"x":116,"y":150,"width":203,"height":11}},{"id":"899da615-431c-4ade-b683-e285b94c7076","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":1,"box":{"x":116,"y":165,"width":331,"height":12}},{"id":"56c0ad78-3b92-4076-9cb5-776f50491dd5","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":1,"box":{"x":116,"y":180,"width":317,"height":12}},{"id":"4210c381-cae0-4974-a9ce-50377a7dabe5","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":1,"box":{"x":116,"y":196,"width":301,"height":12}},{"id":"26a30ae4-8170-4ba8-b2b4-731b36a50476","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":1,"box":{"x":116,"y":212,"width":248,"height":11}},{"id":"d08e324c-5101-47b7-9db9-d7101fc96ab1","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":1,"box":{"x":116,"y":227,"width":332,"height":9}},{"id":"40be437a-e8c4-471e-a061-13252731db27","block_type":"box","text":"BlackRock Funds","page_number":1,"box":{"x":116,"y":243,"width":127,"height":9}},{"id":"c3c9821d-b391-4e3d-a25b-f38bf60bd311","block_type":"box","text":"SM","page_number":1,"box":{"x":244,"y":242,"width":15,"height":6}},{"id":"265dd6fe-d54e-4318-87e2-1010e4777b04","block_type":"box","text":"BlackRock Funds II","page_number":1,"box":{"x":116,"y":258,"width":149,"height":9}},{"id":"dfb2ad6d-753f-4fdb-8724-7dfbcfcebf30","block_type":"box","text":"BlackRock Funds III","page_number":1,"box":{"x":116,"y":274,"width":155,"height":9}},{"id":"53618313-6913-41b1-9beb-e148526d84f6","block_type":"box","text":"BlackRock Funds IV","page_number":1,"box":{"x":116,"y":289,"width":154,"height":9}},{"id":"f7bc725b-6b69-43c9-92c5-efb16f252cd0","block_type":"box","text":"BlackRock Funds V","page_number":1,"box":{"x":116,"y":305,"width":148,"height":9}},{"id":"56d4c0cc-59c0-465a-b322-22aff17d019e","block_type":"box","text":"BlackRock Funds VI","page_number":1,"box":{"x":116,"y":320,"width":154,"height":9}},{"id":"79837459-f2b8-4ea5-9eaf-4b46d0017484","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":1,"box":{"x":116,"y":336,"width":292,"height":11}},{"id":"eaadeb49-2533-4e74-ae3c-b055863c3670","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":1,"box":{"x":116,"y":351,"width":213,"height":11}},{"id":"f963293b-1b1d-465b-9829-ecbb0ed30073","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":1,"box":{"x":520,"y":87,"width":324,"height":12}},{"id":"7490c41e-821d-4420-8207-73ce0d8b2091","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":1,"box":{"x":520,"y":103,"width":349,"height":12}},{"id":"2d618e99-e46a-4bac-ab7c-5214ba490468","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":1,"box":{"x":520,"y":118,"width":335,"height":12}},{"id":"a9b24306-043b-4362-a030-47820e4d8303","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":1,"box":{"x":520,"y":134,"width":296,"height":12}},{"id":"38d4c97d-40de-458e-84df-73642ebde713","block_type":"box","text":"BlackRock Liquidity Funds","page_number":1,"box":{"x":520,"y":149,"width":203,"height":12}},{"id":"06b89a47-f9c0-45d5-b11d-f6389a4ec889","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":1,"box":{"x":520,"y":165,"width":282,"height":12}},{"id":"0d021e39-be9f-4d4b-87b6-ff01720c802e","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":1,"box":{"x":520,"y":180,"width":339,"height":12}},{"id":"2d325560-cdc5-4b34-9635-40764821fdb5","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":196,"width":282,"height":12}},{"id":"84020789-16c9-4183-b6b5-54fdd85b6099","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":1,"box":{"x":520,"y":211,"width":252,"height":12}},{"id":"0a34fc7d-1ae8-4a33-9c2a-03b62019b170","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":1,"box":{"x":520,"y":227,"width":264,"height":9}},{"id":"a46698ea-b050-4a7c-9c09-643f2cf39118","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":1,"box":{"x":520,"y":242,"width":208,"height":12}},{"id":"2351d19e-e249-4ce5-b859-491795d98bcb","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":1,"box":{"x":520,"y":258,"width":226,"height":11}},{"id":"77eea16c-d40c-4caa-b5a9-e9c7aa81a178","block_type":"box","text":"BlackRock Series, Inc.","page_number":1,"box":{"x":520,"y":274,"width":166,"height":11}},{"id":"dd6fbcf3-2939-41e6-8f7e-0397ed004931","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":289,"width":325,"height":12}},{"id":"e14ddae8-6c71-43d1-9ded-db4db3740611","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":1,"box":{"x":520,"y":305,"width":288,"height":11}},{"id":"205d5b2c-b364-4fc6-af09-532dd2c34679","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":1,"box":{"x":520,"y":320,"width":282,"height":11}},{"id":"6a67a9e1-fa10-4c24-984d-9bab6d07de0d","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":1,"box":{"x":520,"y":336,"width":299,"height":11}},{"id":"d39579ac-9e08-496c-96e6-08f5a6ee0cb6","block_type":"box","text":"Supplement dated October 16, 2026","page_number":1,"box":{"x":372,"y":378,"width":260,"height":12}},{"id":"80d2004b-2514-4d14-a8b6-bdb5cf5e3503","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":"8a4601bf-0dea-47fa-86b3-37ca133fb85d","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":"be01a945-a214-44e4-af93-ef0f180dc6f8","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":"83fec42d-4162-4c9c-9f0a-832952300f67","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":"d4c3731d-4175-4b7b-b523-d4a6580757d2","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":"04ec06b6-9753-4e08-89f2-5a29fbeb5225","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":"85ff7908-b009-4cf1-a55c-46932ad57951","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":"45dcabb4-b024-4e2f-9456-3862a18a75c8","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":"aad37153-816d-4e65-bcad-92ff5b540a48","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":"504cd794-93db-41d3-a007-9a5e1706f505","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":"12422e99-ba61-400a-baff-fd820df8b847","block_type":"box","text":"&Partners","page_number":1,"box":{"x":116,"y":584,"width":72,"height":9}},{"id":"05664c98-1635-40cc-b708-7e9ae840e815","block_type":"box","text":"AccuTech Systems Corporation","page_number":1,"box":{"x":116,"y":599,"width":219,"height":12}},{"id":"f44d2e7a-f561-4ec0-b1c1-58275c7273a1","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":1,"box":{"x":116,"y":615,"width":173,"height":10}},{"id":"f3d179df-a5a8-4fb6-8cbb-c34f23454546","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":1,"box":{"x":116,"y":630,"width":215,"height":12}},{"id":"c773f508-d801-49d5-b3af-080d9b9e2f33","block_type":"box","text":"Advisor Group, Inc.","page_number":1,"box":{"x":116,"y":646,"width":140,"height":11}},{"id":"f4c681dd-d08b-4118-a593-54e204e3467e","block_type":"box","text":"AE Wealth Management, LLC","page_number":1,"box":{"x":116,"y":661,"width":207,"height":12}},{"id":"9f0cc119-c7ca-4791-841c-4ddd27dd11b9","block_type":"box","text":"Alight Solutions LLC","page_number":1,"box":{"x":116,"y":677,"width":146,"height":11}},{"id":"58868ccd-92f8-48f5-889f-e712af7b7273","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":1,"box":{"x":116,"y":692,"width":250,"height":11}},{"id":"5bb3e4bf-1a17-43e8-a1ba-30c9488da444","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":1,"box":{"x":116,"y":708,"width":314,"height":11}},{"id":"e9d9b70f-20a1-46ef-ba56-2bd70f02b3c6","block_type":"box","text":"Allianz Life Insurance Company of North America","page_number":1,"box":{"x":116,"y":723,"width":345,"height":12}},{"id":"12df0137-c5a5-48ba-b126-3815fe3a6e38","block_type":"box","text":"Altruist Financial LLC","page_number":1,"box":{"x":116,"y":739,"width":154,"height":9}},{"id":"6b84744a-c5e9-460c-b09b-7acf09827e02","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":1,"box":{"x":116,"y":754,"width":313,"height":12}},{"id":"5d4c28b3-b3e1-4e8f-b080-6b4c02a3aa9d","block_type":"box","text":"American General Life Insurance Company","page_number":1,"box":{"x":116,"y":770,"width":295,"height":11}},{"id":"b8e1a390-7c9d-4307-afd8-43b7cf3d6042","block_type":"box","text":"American United Life Insurance Company","page_number":1,"box":{"x":116,"y":785,"width":288,"height":12}},{"id":"da4fb79a-5fdc-4adf-b2be-8fbdd0553bb6","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":1,"box":{"x":116,"y":801,"width":292,"height":11}},{"id":"b875f671-52a1-41bb-9474-758016d899ff","block_type":"box","text":"Anthem Securities LLC","page_number":1,"box":{"x":116,"y":816,"width":160,"height":9}},{"id":"ccbe8279-982d-4b58-a6bc-57243b2dc799","block_type":"box","text":"Argent Institutional Trust Company","page_number":1,"box":{"x":116,"y":832,"width":246,"height":11}},{"id":"5746a7d2-3fdd-4d49-8e20-caec4fd8c3c5","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":1,"box":{"x":116,"y":847,"width":263,"height":11}},{"id":"71efd027-df63-420c-bd63-72e1ade4c258","block_type":"box","text":"Ascensus, Inc.","page_number":1,"box":{"x":116,"y":863,"width":102,"height":10}},{"id":"990278cd-917e-4ff6-8864-7aaa41dbbfbe","block_type":"box","text":"Atomic Brokerage LLC","page_number":1,"box":{"x":116,"y":878,"width":165,"height":12}},{"id":"2a272e8f-e349-4b03-9e52-8c972062f916","block_type":"box","text":"Avantax Investment Services, LLC","page_number":1,"box":{"x":116,"y":894,"width":242,"height":10}},{"id":"404f4f08-02d4-44dc-913a-dc92b95abeac","block_type":"box","text":"Bancroft Capital LLC","page_number":1,"box":{"x":116,"y":909,"width":147,"height":12}},{"id":"f58b4daf-1545-44dd-9ead-b393a6b88acb","block_type":"box","text":"Bank of America, N.A.","page_number":1,"box":{"x":520,"y":584,"width":161,"height":10}},{"id":"f7c9c1e1-1ea4-480e-b72e-f9772b1558c4","block_type":"box","text":"Bank of New York Mellon","page_number":1,"box":{"x":520,"y":599,"width":185,"height":9}},{"id":"6a479b2d-1410-4278-a49b-4256a2cd9802","block_type":"box","text":"Barclays Capital Inc.","page_number":1,"box":{"x":520,"y":615,"width":146,"height":11}},{"id":"6bdd245f-27ab-4e67-a3d3-8f42e3135371","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":1,"box":{"x":520,"y":630,"width":295,"height":11}},{"id":"f72eab30-ca0c-4991-b50c-f1ee33236995","block_type":"box","text":"Benefit Trust Company","page_number":1,"box":{"x":520,"y":646,"width":163,"height":11}},{"id":"eae8c5ef-b881-47e6-98d2-c8b05855605b","block_type":"box","text":"Beta Capital Securities LLC","page_number":1,"box":{"x":520,"y":661,"width":190,"height":12}},{"id":"690c6592-e18c-4b7d-9782-68b0afab7871","block_type":"box","text":"bfinance US Ltd.","page_number":1,"box":{"x":520,"y":677,"width":114,"height":9}},{"id":"6b16ed90-50f2-4e58-b542-a29bbfc04578","block_type":"box","text":"BlackRock Advisors, LLC","page_number":1,"box":{"x":520,"y":692,"width":179,"height":11}},{"id":"11ea96e4-0e99-4874-b5ab-852be34ffd8d","block_type":"box","text":"BMO Capital Markets Corp.","page_number":1,"box":{"x":520,"y":708,"width":191,"height":11}},{"id":"88085e56-752f-4fe4-b282-c72002fe6cdb","block_type":"box","text":"BNP Paribas","page_number":1,"box":{"x":520,"y":723,"width":85,"height":9}},{"id":"91352734-a3d3-4175-b731-d9d8f21201dd","block_type":"box","text":"BNP Paribas Investment Partners UK Limited","page_number":1,"box":{"x":520,"y":739,"width":311,"height":9}},{"id":"2622dd05-3568-4bbb-a2b1-f92c797c0230","block_type":"box","text":"BNY Mellon, N.A.","page_number":1,"box":{"x":520,"y":754,"width":128,"height":11}},{"id":"547f13c4-3d46-4118-b2f4-03d1dd0aa9e0","block_type":"box","text":"BofA Securities, Inc.","page_number":1,"box":{"x":520,"y":770,"width":141,"height":10}},{"id":"e20cded5-4d06-4d51-8a69-aebb17f528ad","block_type":"box","text":"BOKF, N.A.","page_number":1,"box":{"x":520,"y":785,"width":84,"height":11}},{"id":"acd4892c-b39f-4380-8f11-9df15ac22edf","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":1,"box":{"x":520,"y":801,"width":253,"height":11}},{"id":"0980d0be-d31f-46d9-8d69-72f614601bd3","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":1,"box":{"x":520,"y":816,"width":300,"height":12}},{"id":"1f1a8d2f-8bb9-43a9-8db9-624178210c29","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":1,"box":{"x":520,"y":832,"width":327,"height":11}},{"id":"64cde0fb-ed14-404e-9410-5117aab068f6","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":1,"box":{"x":520,"y":847,"width":226,"height":9}},{"id":"4313222c-99b5-4d34-9eb2-f5d6b86c10d3","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":1,"box":{"x":520,"y":863,"width":210,"height":11}},{"id":"44328a1b-2fe8-413c-bf4f-c1a28e7a2799","block_type":"box","text":"Capital One, N.A.","page_number":1,"box":{"x":520,"y":878,"width":126,"height":12}},{"id":"a5fe7559-533c-4729-be7f-435dc7cca970","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":1,"box":{"x":520,"y":894,"width":212,"height":9}},{"id":"c995155d-bcfd-45dc-ab5e-f061f9a7515e","block_type":"box","text":"Cetera Advisors LLC","page_number":1,"box":{"x":520,"y":909,"width":144,"height":9}},{"id":"e0cde29b-a9eb-44fc-9cf2-777b930778a5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":1,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"c00a0520-cb57-4a2d-a8ea-8b9106a67020","block_type":"box","text":"Cetera Financial Group","page_number":2,"box":{"x":116,"y":88,"width":162,"height":11}},{"id":"e89d1abb-b848-4352-8ea3-3891bb31cd45","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":2,"box":{"x":116,"y":103,"width":227,"height":12}},{"id":"af3675b1-f0a8-40cf-b638-fa9023183b14","block_type":"box","text":"Cetera Investment Services LLC","page_number":2,"box":{"x":116,"y":119,"width":224,"height":9}},{"id":"613d4f16-74fb-4583-b4c9-7007d235415e","block_type":"box","text":"CF Secured, LLC","page_number":2,"box":{"x":116,"y":134,"width":123,"height":11}},{"id":"6714e2b3-ae2f-4b62-8ba6-081c1840ff3d","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":2,"box":{"x":116,"y":150,"width":192,"height":10}},{"id":"909b3e5e-db4a-4d4d-86a2-a084a49f7755","block_type":"box","text":"Charles Schwab Trust Bank","page_number":2,"box":{"x":116,"y":165,"width":192,"height":9}},{"id":"527da36b-b736-4c61-9748-209857231a51","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":2,"box":{"x":116,"y":181,"width":238,"height":11}},{"id":"ea138aee-179d-471d-b74a-7314cea9d6db","block_type":"box","text":"CIM Investment Management, Inc.","page_number":2,"box":{"x":116,"y":196,"width":241,"height":12}},{"id":"893446c9-2d44-4123-85f5-09648a535671","block_type":"box","text":"Citco Securities, LLC","page_number":2,"box":{"x":116,"y":212,"width":151,"height":10}},{"id":"dc855b9e-e194-4565-8aca-cae4900911ba","block_type":"box","text":"CitiBank, National Association","page_number":2,"box":{"x":116,"y":227,"width":215,"height":11}},{"id":"9ae137ff-7d42-4a9e-a86f-6a3612994e88","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":2,"box":{"x":116,"y":243,"width":212,"height":11}},{"id":"a0559fd9-5b95-405a-b7dd-ce57fc659e6d","block_type":"box","text":"Citizens Bank","page_number":2,"box":{"x":116,"y":258,"width":99,"height":9}},{"id":"699078da-8bfb-481e-a889-8e13aae2b1aa","block_type":"box","text":"Citizens Business Bank","page_number":2,"box":{"x":116,"y":274,"width":163,"height":9}},{"id":"e769c190-556e-4b02-94d4-d86535efcbdf","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":2,"box":{"x":116,"y":289,"width":231,"height":12}},{"id":"fe2302ad-92f8-4989-bf73-625aa2a0ae72","block_type":"box","text":"CMFG Life Insurance Company","page_number":2,"box":{"x":116,"y":305,"width":223,"height":11}},{"id":"bc8a3d6b-cd22-413c-b5bc-c222ae7cf07f","block_type":"box","text":"Comerica Bank","page_number":2,"box":{"x":116,"y":320,"width":109,"height":9}},{"id":"1d17091c-bf22-4ace-be03-db5680367a50","block_type":"box","text":"Commonwealth Financial Network","page_number":2,"box":{"x":116,"y":336,"width":242,"height":9}},{"id":"57ea33df-b500-4c35-896f-e21ec0108176","block_type":"box","text":"Computershare Trust Company","page_number":2,"box":{"x":116,"y":351,"width":216,"height":12}},{"id":"a25c264c-9df0-4c2d-9ee1-3a0fb2842989","block_type":"box","text":"Conduent HR Services, LLC","page_number":2,"box":{"x":116,"y":367,"width":198,"height":10}},{"id":"b05437f4-8174-4c4c-9337-9e138042fa18","block_type":"box","text":"Delaware Life Insurance Company","page_number":2,"box":{"x":116,"y":382,"width":240,"height":12}},{"id":"5d1de028-edec-4c82-9154-37b5b1fd8a63","block_type":"box","text":"Delaware Trust Company","page_number":2,"box":{"x":116,"y":398,"width":178,"height":11}},{"id":"9e63c1a2-656e-425b-85bd-1435ad053d69","block_type":"box","text":"Deutsche Bank AG","page_number":2,"box":{"x":116,"y":413,"width":135,"height":9}},{"id":"0717d461-6262-4aba-a276-289347ac3cd1","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":2,"box":{"x":116,"y":429,"width":285,"height":11}},{"id":"c1f44231-b37b-44ad-88cb-8ddd03b5d4cd","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":2,"box":{"x":116,"y":444,"width":232,"height":12}},{"id":"db2bb2bb-8b47-46f5-8236-80b0cccaaddb","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":2,"box":{"x":116,"y":460,"width":328,"height":10}},{"id":"185c18c0-e723-4a50-992d-f60b483a2ae2","block_type":"box","text":"Dynasty Financial Partners LLC","page_number":2,"box":{"x":116,"y":475,"width":223,"height":12}},{"id":"e44c04b6-2818-406a-a77c-16d07208f316","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":2,"box":{"x":116,"y":491,"width":200,"height":10}},{"id":"2062692f-a2dc-48ca-995c-f31e97fe617d","block_type":"box","text":"Empire Fidelity Investments Life Insurance","page_number":2,"box":{"x":116,"y":506,"width":298,"height":12}},{"id":"cd3dc70d-2f2b-467c-891d-5f18bc0b3f74","block_type":"box","text":"Company","page_number":2,"box":{"x":116,"y":522,"width":69,"height":11}},{"id":"814e14f2-c507-4a79-92de-c13f6a639a76","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":2,"box":{"x":116,"y":537,"width":349,"height":12}},{"id":"a6886132-dc08-4d11-9de5-242cc428ff3b","block_type":"box","text":"Empower Financial Services, Inc.","page_number":2,"box":{"x":116,"y":553,"width":232,"height":11}},{"id":"af1229cf-638d-4700-952d-1710d2391c1c","block_type":"box","text":"Empower Life & Annuity Insurance Company of","page_number":2,"box":{"x":116,"y":568,"width":336,"height":12}},{"id":"4a29abf6-14a6-4f0f-80e3-cf4c23650051","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":584,"width":74,"height":9}},{"id":"b16fb509-d193-4e47-ab30-510a247b129e","block_type":"box","text":"Empower Plan Services, LLC","page_number":2,"box":{"x":116,"y":599,"width":205,"height":12}},{"id":"414fc202-ff1f-40aa-8768-786ad2f74abb","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":2,"box":{"x":116,"y":615,"width":238,"height":11}},{"id":"8ddd2dd1-4177-4761-a3ab-a6037a397921","block_type":"box","text":"Equitable Advisors, LLC","page_number":2,"box":{"x":116,"y":630,"width":174,"height":12}},{"id":"d5203d4c-c290-4aaf-9a9d-c3cbb3490662","block_type":"box","text":"Equitable Life Insurance Company","page_number":2,"box":{"x":116,"y":646,"width":240,"height":11}},{"id":"6a102bfb-c3da-4d0e-9651-8a8e13890172","block_type":"box","text":"E*trade Savings Bank","page_number":2,"box":{"x":116,"y":661,"width":150,"height":12}},{"id":"a1de79ac-07f7-4613-8df1-6765d0f23d2f","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":2,"box":{"x":116,"y":677,"width":262,"height":11}},{"id":"c87a39ce-4a32-4706-bff9-b42bf491c503","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":2,"box":{"x":116,"y":692,"width":223,"height":12}},{"id":"dce041c8-4b8d-4e9e-8c8f-c12341db8d69","block_type":"box","text":"Fidelity Investments Institutional Operations","page_number":2,"box":{"x":116,"y":708,"width":301,"height":11}},{"id":"b2904fa1-a6b0-4dd4-9b24-ea89e9b905f9","block_type":"box","text":"Company, Inc.","page_number":2,"box":{"x":116,"y":723,"width":98,"height":12}},{"id":"e5a10566-87e8-4ab9-97dd-0d5af91764f7","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":2,"box":{"x":116,"y":739,"width":309,"height":11}},{"id":"8dfbac8f-f470-4052-b2ff-fbf814a7af39","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":2,"box":{"x":116,"y":754,"width":178,"height":11}},{"id":"04c48b76-33dc-403f-bdac-283c74eda717","block_type":"box","text":"First Allied Securities, Inc.","page_number":2,"box":{"x":116,"y":770,"width":181,"height":10}},{"id":"76370d25-50e0-4eba-a86c-1268cb7da27f","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":2,"box":{"x":116,"y":785,"width":269,"height":12}},{"id":"48c15d1d-c01f-454c-b63e-42fc4cbe2dec","block_type":"box","text":"First Hawaiian Bank","page_number":2,"box":{"x":116,"y":801,"width":139,"height":9}},{"id":"820e57b0-56c5-4f09-9739-b0df2350d14d","block_type":"box","text":"First Republic Bank","page_number":2,"box":{"x":116,"y":816,"width":136,"height":12}},{"id":"301c4798-ce37-442e-8358-75d7201baa39","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":2,"box":{"x":116,"y":832,"width":339,"height":11}},{"id":"518dbd0b-6d2e-4f0c-ba0d-9f6f2852f2f9","block_type":"box","text":"Company of New York","page_number":2,"box":{"x":116,"y":847,"width":162,"height":12}},{"id":"75746a3b-1806-44b5-a662-0167a85311bf","block_type":"box","text":"First Symetra National Life Insurance Company of","page_number":2,"box":{"x":116,"y":863,"width":348,"height":11}},{"id":"de55616f-3b3f-4499-9f57-a429f839a960","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":878,"width":74,"height":9}},{"id":"26e22928-e9b9-4e80-af6c-26d7a7d7d357","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":2,"box":{"x":116,"y":894,"width":262,"height":11}},{"id":"6688b2a8-07ed-44ab-9096-3acdd27f4f37","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":2,"box":{"x":116,"y":909,"width":283,"height":12}},{"id":"0bf3962a-a56c-4b04-b944-062d1f3f5030","block_type":"box","text":"FNEX Capital, LLC","page_number":2,"box":{"x":520,"y":88,"width":141,"height":11}},{"id":"c5f4aa25-3086-4dbb-9b4c-df8ccd83301b","block_type":"box","text":"Forethought Life Insurance Company","page_number":2,"box":{"x":520,"y":103,"width":258,"height":12}},{"id":"45f912e7-17d2-44aa-b3b3-c94d39e31946","block_type":"box","text":"FSC Securities Corporation","page_number":2,"box":{"x":520,"y":119,"width":190,"height":11}},{"id":"bba6ce6e-971c-4313-af7f-9bc8d4102f36","block_type":"box","text":"Genworth Life and Annuity Insurance Company","page_number":2,"box":{"x":520,"y":134,"width":331,"height":12}},{"id":"28394b34-c971-43c2-9407-f182fa612132","block_type":"box","text":"Genworth Life Insurance Company of New York","page_number":2,"box":{"x":520,"y":150,"width":336,"height":11}},{"id":"5fa31554-8f85-404a-ad37-ae515549cb00","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":2,"box":{"x":520,"y":165,"width":233,"height":11}},{"id":"a37d993e-39fd-4ec6-b1bd-86a19c7e2c4f","block_type":"box","text":"Goldman Sachs & Co.","page_number":2,"box":{"x":520,"y":181,"width":156,"height":9}},{"id":"b05b26fa-df43-45bc-8b9e-bea7d1a0561c","block_type":"box","text":"Great Pacific Securities, LLC","page_number":2,"box":{"x":520,"y":196,"width":203,"height":11}},{"id":"bd7ce933-b94e-4e48-9995-c24602fe425a","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":2,"box":{"x":520,"y":212,"width":275,"height":11}},{"id":"a5efd11e-0598-4e33-9b15-72878622c8d1","block_type":"box","text":"Hancock Whitney Bank","page_number":2,"box":{"x":520,"y":227,"width":166,"height":12}},{"id":"e487e8ad-2f2d-45b8-be7d-072d68cb9441","block_type":"box","text":"Hartford Funds Management Company","page_number":2,"box":{"x":520,"y":243,"width":269,"height":11}},{"id":"32eeaef1-9196-4438-a30a-757db4805c10","block_type":"box","text":"Hartford Securities Distribution Company, Inc.","page_number":2,"box":{"x":520,"y":258,"width":322,"height":12}},{"id":"97652454-acb3-4914-a78a-91e0435e95d7","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":2,"box":{"x":520,"y":274,"width":203,"height":10}},{"id":"9ed44858-ffab-44b4-b94c-ff593268eaed","block_type":"box","text":"Hightower Securities, Inc.","page_number":2,"box":{"x":520,"y":289,"width":181,"height":12}},{"id":"76541f51-7b00-45fa-8934-621ff9bf1e32","block_type":"box","text":"Hilltop Securities Inc.","page_number":2,"box":{"x":520,"y":305,"width":152,"height":11}},{"id":"f9382d83-eeca-4b78-a1d8-0d734b426547","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":2,"box":{"x":520,"y":320,"width":166,"height":11}},{"id":"1b23b23e-d85e-4683-a00d-9fed0a67ec60","block_type":"box","text":"Huntington Securities, Inc.","page_number":2,"box":{"x":520,"y":336,"width":186,"height":11}},{"id":"5b8a873f-3d4c-4feb-ba9d-d63ee8d97cb8","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":2,"box":{"x":520,"y":351,"width":249,"height":11}},{"id":"2f2db39f-671a-4786-adfe-6e8b472c1062","block_type":"box","text":"Integrity Life Insurance Company","page_number":2,"box":{"x":520,"y":367,"width":234,"height":11}},{"id":"d18a972f-2e32-4ce4-879d-30cb51c86ce2","block_type":"box","text":"Interactive Brokers, LLC","page_number":2,"box":{"x":520,"y":382,"width":174,"height":11}},{"id":"187ef732-6a1b-4d3d-bccf-592d805a4840","block_type":"box","text":"Investment Trust of California","page_number":2,"box":{"x":520,"y":398,"width":209,"height":9}},{"id":"d93f6069-ae00-4fce-bd40-80a8ce8a1f4f","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":2,"box":{"x":520,"y":413,"width":287,"height":12}},{"id":"d2ac0e6e-fb4d-4d5e-8bf4-423fc9e2d8f4","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":2,"box":{"x":520,"y":429,"width":193,"height":11}},{"id":"b712e6b0-0a0b-4cc9-a20b-7b293d2b49f9","block_type":"box","text":"Jefferies LLC","page_number":2,"box":{"x":520,"y":444,"width":97,"height":9}},{"id":"304a131b-59ef-49e4-8cea-135cfd966481","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":2,"box":{"x":520,"y":460,"width":300,"height":11}},{"id":"4119252e-3e3d-46ba-b86c-de8aec459a48","block_type":"box","text":"Jefferson National Life Insurance Company of New","page_number":2,"box":{"x":520,"y":475,"width":354,"height":12}},{"id":"e2973731-84bd-479a-99da-c1323be003b1","block_type":"box","text":"York","page_number":2,"box":{"x":520,"y":491,"width":39,"height":9}},{"id":"bedd5c72-e8a2-4c32-bad9-2670410f2e89","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":"6dff5c8e-e88a-4645-9e5e-b1473a2eca2f","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":"bef45609-3c4c-48dd-a07c-e314a77fa9d5","block_type":"box","text":"John Hancock Trust Company","page_number":2,"box":{"x":520,"y":537,"width":209,"height":12}},{"id":"79e4446c-1616-4b43-b9b7-636d08724492","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":2,"box":{"x":520,"y":553,"width":199,"height":11}},{"id":"ec627466-f9e1-42e7-823e-149600261a45","block_type":"box","text":"Kestra Investment Services, LLC","page_number":2,"box":{"x":520,"y":568,"width":229,"height":11}},{"id":"59324909-93bb-4c29-bacd-d837e3a61b7c","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":2,"box":{"x":520,"y":584,"width":274,"height":11}},{"id":"6b4ef269-4401-4637-baff-97737736ecab","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":2,"box":{"x":520,"y":599,"width":280,"height":12}},{"id":"b2fd6561-27fc-420f-9bc5-dd62391a7d11","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":2,"box":{"x":520,"y":615,"width":328,"height":11}},{"id":"27c545d2-ded9-48f7-8cec-d325020ea145","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":2,"box":{"x":520,"y":630,"width":290,"height":12}},{"id":"21d2b0d6-dd77-43e7-9423-6ec09465c8f3","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":2,"box":{"x":520,"y":646,"width":233,"height":9}},{"id":"36e5be95-b9d4-4b47-90d3-0a26e9ef12d6","block_type":"box","text":"Lombard International Life Assurance Company","page_number":2,"box":{"x":520,"y":661,"width":328,"height":12}},{"id":"c2c8b7a9-3f33-42f2-97d7-e184b16effdf","block_type":"box","text":"LPL Financial LLC","page_number":2,"box":{"x":520,"y":677,"width":132,"height":9}},{"id":"d6b94bec-e76d-4fe9-b8a2-e3a6d84012c1","block_type":"box","text":"M&T Securities Inc.","page_number":2,"box":{"x":520,"y":692,"width":138,"height":9}},{"id":"15084a2b-7554-45ae-960f-523a7d5ec7cb","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":2,"box":{"x":520,"y":708,"width":291,"height":11}},{"id":"4d7deacd-60ce-49b7-8bda-1c4aaf79db66","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":2,"box":{"x":520,"y":723,"width":321,"height":12}},{"id":"e1dffb2e-159b-467e-87fe-d9eec96c2fbc","block_type":"box","text":"Members Life Insurance Company","page_number":2,"box":{"x":520,"y":739,"width":235,"height":11}},{"id":"77a174d4-7e83-4cc0-9410-2afb21d0f7bf","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":2,"box":{"x":520,"y":754,"width":353,"height":12}},{"id":"0d831b10-5c19-4738-ac34-e340505fd2d4","block_type":"box","text":"Metavante Corporation","page_number":2,"box":{"x":520,"y":770,"width":156,"height":11}},{"id":"9a21ee79-3a59-46ee-bad2-0ebbd28f4090","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":2,"box":{"x":520,"y":785,"width":259,"height":12}},{"id":"af1e712f-8548-41b6-bf89-5b105ec5790b","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":2,"box":{"x":520,"y":801,"width":328,"height":11}},{"id":"899aeb0d-cb54-4852-ba0e-81997dc91c94","block_type":"box","text":"Midland Life Insurance Company","page_number":2,"box":{"x":520,"y":816,"width":228,"height":12}},{"id":"e82206ce-f422-40b8-af07-efb3756d07e1","block_type":"box","text":"Minnesota Life Insurance Company","page_number":2,"box":{"x":520,"y":832,"width":247,"height":11}},{"id":"a935fa27-52f7-4fae-8c9d-1ada48d45f06","block_type":"box","text":"Mischler Financial Group","page_number":2,"box":{"x":520,"y":847,"width":178,"height":12}},{"id":"bb939a30-dcc2-4822-baf4-427f27a07240","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":2,"box":{"x":520,"y":863,"width":195,"height":9}},{"id":"018fd925-2a12-4bb8-9fec-dd5448f59999","block_type":"box","text":"MML Distributors, LLC","page_number":2,"box":{"x":520,"y":878,"width":169,"height":11}},{"id":"6b2e8b6e-8adf-47cf-be39-3025bcdef731","block_type":"box","text":"MML Investors Services, LLC","page_number":2,"box":{"x":520,"y":894,"width":212,"height":10}},{"id":"9143f9dc-c8ae-4395-8bc8-2cbc20d8fe82","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":2,"box":{"x":520,"y":909,"width":189,"height":12}},{"id":"534c81dc-84ef-470a-85e2-6628ec8f879e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":2,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"bba45dc4-39dd-468a-966a-6062becb250f","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":3,"box":{"x":116,"y":88,"width":232,"height":11}},{"id":"bf82f2c1-45ac-4a44-994a-9e21ce0964f0","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":3,"box":{"x":116,"y":103,"width":245,"height":12}},{"id":"4afdbc4c-1497-4451-9bb1-63d0804a91ed","block_type":"box","text":"MUFG Union Bank, National Association","page_number":3,"box":{"x":116,"y":119,"width":289,"height":10}},{"id":"d61df604-737c-4caa-b1dc-d7a029451dda","block_type":"box","text":"Nassau Life Insurance Company","page_number":3,"box":{"x":116,"y":134,"width":224,"height":12}},{"id":"42aa0e8a-6662-4eb4-a796-fc662409e5c1","block_type":"box","text":"National Financial Services LLC","page_number":3,"box":{"x":116,"y":150,"width":226,"height":9}},{"id":"1499ea2b-7000-4eab-a9c2-315a6255c6c4","block_type":"box","text":"National Integrity Life Insurance Company","page_number":3,"box":{"x":116,"y":165,"width":296,"height":12}},{"id":"85fce17c-4c84-4bd7-959b-fe1a4db48925","block_type":"box","text":"National Life Insurance Company","page_number":3,"box":{"x":116,"y":181,"width":234,"height":11}},{"id":"93b5d7be-f585-4404-be06-fc63853c4188","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":3,"box":{"x":116,"y":196,"width":245,"height":11}},{"id":"9720b2d5-1bc6-4a0e-8b21-63760274708d","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":3,"box":{"x":116,"y":212,"width":242,"height":9}},{"id":"6bb66f67-3eb5-444d-ac7b-c18e28d69e53","block_type":"box","text":"Nationwide Retirement Solutions","page_number":3,"box":{"x":116,"y":227,"width":230,"height":9}},{"id":"b7e11bb2-7b6a-40cf-86a2-9bae59c1b33e","block_type":"box","text":"NCB Federal Savings Bank","page_number":3,"box":{"x":116,"y":243,"width":191,"height":11}},{"id":"fe91ded3-5e0a-40d0-88c7-9f1141cfd171","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":3,"box":{"x":116,"y":258,"width":288,"height":12}},{"id":"1acb3ed6-da9a-4c70-989a-311db0da878f","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":3,"box":{"x":116,"y":274,"width":350,"height":11}},{"id":"9f5c914a-9812-4023-88c3-10ca86ef8928","block_type":"box","text":"Newport Retirement Services, Inc.","page_number":3,"box":{"x":116,"y":289,"width":237,"height":12}},{"id":"efaf956f-1a7f-4683-96d2-cab15dca5502","block_type":"box","text":"Northbrook Bank & Trust Company","page_number":3,"box":{"x":116,"y":305,"width":249,"height":11}},{"id":"c1fa0cb7-b380-4725-84c5-ec34292587ba","block_type":"box","text":"Northern Trust Company","page_number":3,"box":{"x":116,"y":320,"width":174,"height":12}},{"id":"c3244f7a-c6cc-4244-9af3-27e71c4b6622","block_type":"box","text":"Northwestern Mutual Investment Services, LLC","page_number":3,"box":{"x":116,"y":336,"width":329,"height":10}},{"id":"f7e89448-04ee-4cb1-bbf2-fd05bc78796e","block_type":"box","text":"Northwestern Mutual Life Insurance Company","page_number":3,"box":{"x":116,"y":351,"width":320,"height":12}},{"id":"d807e9ac-6736-40e8-b5e7-cff8a284c0eb","block_type":"box","text":"NYLife Distributors LLC","page_number":3,"box":{"x":116,"y":367,"width":177,"height":9}},{"id":"0b745b0c-a4cd-4cee-a5e3-77336d8b4b7e","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":3,"box":{"x":116,"y":382,"width":175,"height":12}},{"id":"f863d95a-3b9e-48e5-beb0-a3924286bbd2","block_type":"box","text":"Orion Advisor Services, LLC","page_number":3,"box":{"x":116,"y":398,"width":203,"height":10}},{"id":"2668c4f5-a7bc-48e2-91f1-9c5c759e4833","block_type":"box","text":"Osaic Wealth, Inc.","page_number":3,"box":{"x":116,"y":413,"width":129,"height":11}},{"id":"03e2bcf4-2426-4cd5-bbb2-3cd234bd0438","block_type":"box","text":"Pacific Life & Annuity Company","page_number":3,"box":{"x":116,"y":429,"width":230,"height":11}},{"id":"cbe416b6-565a-4237-b1de-4c9850f99cf7","block_type":"box","text":"Pacific Life Insurance Company","page_number":3,"box":{"x":116,"y":444,"width":223,"height":12}},{"id":"743f4fbc-15d8-46eb-a7d8-ea32e7255afc","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":3,"box":{"x":116,"y":460,"width":221,"height":10}},{"id":"ab7df103-72b9-4247-ab81-7b3053cfe0f4","block_type":"box","text":"Park Avenue Securities LLC","page_number":3,"box":{"x":116,"y":475,"width":198,"height":9}},{"id":"8891751b-0b61-4bcf-8605-91639e4dab42","block_type":"box","text":"Penserra Securities LLC","page_number":3,"box":{"x":116,"y":491,"width":169,"height":9}},{"id":"6c3fc39c-f143-49a9-9575-bf4c85d6a07c","block_type":"box","text":"Pershing LLC","page_number":3,"box":{"x":116,"y":506,"width":99,"height":12}},{"id":"d9507d79-62a3-45d2-ae1e-7747d3de1b23","block_type":"box","text":"PFPC Inc.","page_number":3,"box":{"x":116,"y":522,"width":73,"height":9}},{"id":"d5e8f72f-a349-4d48-b8bc-6473bbeeb3b7","block_type":"box","text":"Piper Jaffray & Co.","page_number":3,"box":{"x":116,"y":537,"width":136,"height":12}},{"id":"c6c2bc29-61ca-450e-8783-e6e2c5407cfb","block_type":"box","text":"PNC Bank, National Association","page_number":3,"box":{"x":116,"y":553,"width":226,"height":10}},{"id":"c3eba5bd-2476-41fb-8b8f-d8cb4867687e","block_type":"box","text":"PNC Capital Markets LLC","page_number":3,"box":{"x":116,"y":568,"width":185,"height":12}},{"id":"07753df1-1adc-44c0-802b-cc035ae8737a","block_type":"box","text":"PNC Investments LLC","page_number":3,"box":{"x":116,"y":584,"width":158,"height":9}},{"id":"e7ef5f34-0580-4f89-8e19-55657f791ac9","block_type":"box","text":"Principal Bank","page_number":3,"box":{"x":116,"y":599,"width":105,"height":12}},{"id":"157e2727-80a9-4695-a642-6e37769e2121","block_type":"box","text":"Principal Life Insurance Company","page_number":3,"box":{"x":116,"y":615,"width":237,"height":11}},{"id":"94394eb0-43d6-4732-b74a-30e6445455f0","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":3,"box":{"x":116,"y":630,"width":332,"height":12}},{"id":"fe7a425e-c5b5-4e58-a799-748e860093bd","block_type":"box","text":"Protective Life Insurance Company","page_number":3,"box":{"x":116,"y":646,"width":244,"height":11}},{"id":"42bfb852-f310-4842-9b42-512685fe38c4","block_type":"box","text":"Pruco Life Insurance Company","page_number":3,"box":{"x":116,"y":661,"width":210,"height":12}},{"id":"f003a6f0-fa65-430b-9671-314dd14ece1f","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":3,"box":{"x":116,"y":677,"width":311,"height":11}},{"id":"d9a0819f-6ba9-454a-8042-298f5362dad0","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":3,"box":{"x":116,"y":692,"width":257,"height":11}},{"id":"301733d5-91e9-4edf-9f9f-c58acd58a712","block_type":"box","text":"Prudential Insurance Company of America","page_number":3,"box":{"x":116,"y":708,"width":289,"height":11}},{"id":"0bc02a2b-6b73-472d-bedb-53aff03c3a60","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":3,"box":{"x":116,"y":723,"width":237,"height":12}},{"id":"17c4eff8-001a-4ba1-b27b-c8b5008024ec","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":3,"box":{"x":116,"y":739,"width":272,"height":11}},{"id":"7e4c4eb7-d491-4c65-9d5b-2eeea6f2bd4b","block_type":"box","text":"RBC Capital Markets, LLC","page_number":3,"box":{"x":116,"y":754,"width":185,"height":12}},{"id":"e1ecea2a-d885-4c7f-b246-668d398463c7","block_type":"box","text":"Regions Bank","page_number":3,"box":{"x":116,"y":770,"width":95,"height":11}},{"id":"005b532d-0e7d-48ae-ab03-fd6e7f7cacbf","block_type":"box","text":"Reliance Trust Company","page_number":3,"box":{"x":116,"y":785,"width":168,"height":12}},{"id":"b64896d8-fcc4-4912-9167-109e9acbc8d7","block_type":"box","text":"Reliastar Life Insurance Company","page_number":3,"box":{"x":116,"y":801,"width":231,"height":11}},{"id":"2e273f63-7d99-4269-b8b1-ff664f34734b","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":3,"box":{"x":116,"y":816,"width":325,"height":12}},{"id":"bad0b0d9-9fae-427d-b289-fd9d9780abf2","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":3,"box":{"x":116,"y":832,"width":207,"height":10}},{"id":"882af7f0-88a0-49f1-856f-6cfb31343929","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":3,"box":{"x":116,"y":847,"width":311,"height":9}},{"id":"0484d94b-b24a-439b-9ef9-0e22ca8976d2","block_type":"box","text":"RiverSource Life Insurance Company","page_number":3,"box":{"x":116,"y":863,"width":260,"height":11}},{"id":"bdc8e867-0400-4ce6-a363-7408edb6095d","block_type":"box","text":"SagePoint Financial, Inc.","page_number":3,"box":{"x":116,"y":878,"width":173,"height":12}},{"id":"d0eadbea-fab0-4acd-b796-8433103ed43d","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":3,"box":{"x":116,"y":894,"width":252,"height":10}},{"id":"fa7acd22-da2a-4ba0-ac5f-94e2e3a44b61","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":3,"box":{"x":116,"y":909,"width":207,"height":12}},{"id":"4e1bda3f-f253-460d-9a24-a2aa4da35570","block_type":"box","text":"Santander Bank, N.A.","page_number":3,"box":{"x":520,"y":88,"width":152,"height":10}},{"id":"84bbf1c0-7afe-4ddb-b5a2-452e2effb1bf","block_type":"box","text":"Saturna Trust Company","page_number":3,"box":{"x":520,"y":103,"width":165,"height":12}},{"id":"e7b5f422-2b5b-4f71-884f-b26de57bc6ea","block_type":"box","text":"Securities America, Inc.","page_number":3,"box":{"x":520,"y":119,"width":167,"height":10}},{"id":"09ba31db-637e-4ee6-b55d-c5f2b8295c62","block_type":"box","text":"Securities Finance Trust Company","page_number":3,"box":{"x":520,"y":134,"width":238,"height":12}},{"id":"3d14a829-4371-4d1a-a473-244c0dbd87a4","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":3,"box":{"x":520,"y":150,"width":286,"height":11}},{"id":"7a2f66de-cb1f-4786-8a71-ff14902abfe9","block_type":"box","text":"Security Financial Resources, Inc.","page_number":3,"box":{"x":520,"y":165,"width":235,"height":12}},{"id":"dc6631e6-8be6-43eb-88e3-e413f80d6eef","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":3,"box":{"x":520,"y":181,"width":304,"height":11}},{"id":"ff08b2d5-24d2-4e65-8ef3-9662c0c8c7f4","block_type":"box","text":"SEI Private Trust Company","page_number":3,"box":{"x":520,"y":196,"width":191,"height":12}},{"id":"f16f4d22-4253-4afa-b12a-0dbc1b39c042","block_type":"box","text":"SG Americas Securities, LLC","page_number":3,"box":{"x":520,"y":212,"width":205,"height":10}},{"id":"e96dede3-cd10-4422-beba-fe0727e603a8","block_type":"box","text":"Silicon Valley Bank","page_number":3,"box":{"x":520,"y":227,"width":141,"height":12}},{"id":"f25a7922-65f9-4cd3-8806-73165914da66","block_type":"box","text":"Standard Insurance Company","page_number":3,"box":{"x":520,"y":243,"width":203,"height":11}},{"id":"71bceb66-d0db-49cc-8e05-46d4e6a4cf34","block_type":"box","text":"Standard Retirement Services, Inc.","page_number":3,"box":{"x":520,"y":258,"width":239,"height":11}},{"id":"e2a543db-f377-4dbd-98e2-a89c905c9489","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":3,"box":{"x":520,"y":274,"width":347,"height":11}},{"id":"6e4ae8c7-46c8-459b-abf1-0108b59f242a","block_type":"box","text":"State Farm Life Insurance Company","page_number":3,"box":{"x":520,"y":289,"width":249,"height":12}},{"id":"67a96f48-ed03-46ae-a99e-61778193df22","block_type":"box","text":"State Farm VP Management Corp.","page_number":3,"box":{"x":520,"y":305,"width":237,"height":11}},{"id":"c25d4623-398d-44fd-ac1d-de1759ac5084","block_type":"box","text":"State Street Bank and Trust Company","page_number":3,"box":{"x":520,"y":320,"width":259,"height":12}},{"id":"b791d4af-07ff-4e47-9025-c055db350d39","block_type":"box","text":"State Street Global Markets, LLC","page_number":3,"box":{"x":520,"y":336,"width":231,"height":10}},{"id":"3c542d1e-64f4-4175-8c85-3668e2d56d82","block_type":"box","text":"Stern Brothers & Co.","page_number":3,"box":{"x":520,"y":351,"width":147,"height":9}},{"id":"2565754e-a5f4-4b66-9fd5-261a6a62c15e","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":3,"box":{"x":520,"y":367,"width":290,"height":11}},{"id":"6dfeaf2e-7fcf-4bfd-9816-6806e56b6a5a","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":3,"box":{"x":520,"y":382,"width":227,"height":12}},{"id":"b48e3e7a-a8ba-4e7a-a42e-562e4b2f3b36","block_type":"box","text":"SVB Asset Management","page_number":3,"box":{"x":520,"y":398,"width":170,"height":11}},{"id":"7d50f337-950e-4ba7-8df7-da23fdf71fa0","block_type":"box","text":"Symetra Life Insurance Company","page_number":3,"box":{"x":520,"y":413,"width":232,"height":12}},{"id":"48052149-17b6-4e4f-af7b-c935ecdfe55a","block_type":"box","text":"Syntal Capital Partners, LLC","page_number":3,"box":{"x":520,"y":429,"width":200,"height":11}},{"id":"b09bb7ed-ef7e-489a-b5e7-0f957502faea","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":3,"box":{"x":520,"y":444,"width":310,"height":11}},{"id":"6fe9bebc-8cdb-4fca-82dd-7d6ae660d4cf","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance","page_number":3,"box":{"x":520,"y":460,"width":319,"height":11}},{"id":"e3dec27a-4263-4bdd-b1ea-fa21f1353407","block_type":"box","text":"Company","page_number":3,"box":{"x":520,"y":475,"width":69,"height":12}},{"id":"068d4a82-08f8-481e-844d-bfa46f31edd7","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":3,"box":{"x":520,"y":491,"width":301,"height":11}},{"id":"f9f1ff35-510c-41bf-a43d-2957e7911a3d","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":3,"box":{"x":520,"y":506,"width":204,"height":12}},{"id":"89de29b4-b78e-46b8-8091-9d1b5eccbbbd","block_type":"box","text":"TD Ameritrade, Inc.","page_number":3,"box":{"x":520,"y":522,"width":141,"height":10}},{"id":"ea4c5835-672c-47c2-9d98-49b7efb4b57d","block_type":"box","text":"TD Prime Services (US) LLC","page_number":3,"box":{"x":520,"y":537,"width":205,"height":11}},{"id":"10b6e6fa-c613-4eb2-b364-764b8efed361","block_type":"box","text":"Teachers Insurance and Annuity Association of","page_number":3,"box":{"x":520,"y":553,"width":325,"height":11}},{"id":"6e4b277f-c64f-4a7a-8949-04334c12c4ec","block_type":"box","text":"America","page_number":3,"box":{"x":520,"y":568,"width":62,"height":9}},{"id":"e7ed4b7e-fbfd-4030-adf6-1f3a75381982","block_type":"box","text":"Tigress Financial Partners, LLC","page_number":3,"box":{"x":520,"y":584,"width":220,"height":11}},{"id":"e583f495-9059-4eba-86fd-e878f6917ca6","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":3,"box":{"x":520,"y":599,"width":335,"height":12}},{"id":"0af834f9-92d9-4f03-ad0e-ce6c73fdf7ed","block_type":"box","text":"Transamerica Life Insurance Company","page_number":3,"box":{"x":520,"y":615,"width":268,"height":11}},{"id":"d7ada77e-f963-4700-b270-074a0a91c9e6","block_type":"box","text":"Treasury Brokerage","page_number":3,"box":{"x":520,"y":630,"width":138,"height":12}},{"id":"519f5ecf-babe-40aa-bf8b-0b8e2c56ae01","block_type":"box","text":"Triad Advisors, LLC","page_number":3,"box":{"x":520,"y":646,"width":146,"height":10}},{"id":"f636ffa3-5a7c-4c9c-aa43-c2461cec9b44","block_type":"box","text":"Truist Bank","page_number":3,"box":{"x":520,"y":661,"width":80,"height":9}},{"id":"18c382a5-dfb9-4448-a893-e9277644618e","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":3,"box":{"x":520,"y":677,"width":210,"height":11}},{"id":"e82b19d8-effd-470f-b4e6-56147f5121fe","block_type":"box","text":"U.S. Bank, National Association","page_number":3,"box":{"x":520,"y":692,"width":219,"height":11}},{"id":"12576fb7-ff43-440a-99da-2644e45d6525","block_type":"box","text":"UBATCO & Co.","page_number":3,"box":{"x":520,"y":708,"width":113,"height":9}},{"id":"3ecc67ba-e1c1-4826-a849-c6b3821f6d59","block_type":"box","text":"UBS Financial Services, Inc.","page_number":3,"box":{"x":520,"y":723,"width":194,"height":11}},{"id":"28327c72-e045-4c1d-9dee-7919b6fdf922","block_type":"box","text":"UBS Securities LLC","page_number":3,"box":{"x":520,"y":739,"width":139,"height":9}},{"id":"d3b64322-e90f-4deb-8eeb-403066d11379","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":3,"box":{"x":520,"y":754,"width":200,"height":11}},{"id":"97eb0e6f-5914-43d8-83fa-295b02900356","block_type":"box","text":"UMB Bank, National Association","page_number":3,"box":{"x":520,"y":770,"width":228,"height":10}},{"id":"11848bab-b24a-4cdf-b3da-1e9b75547c14","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":"6f4e7ba6-a680-4341-9532-8476f1ebed21","block_type":"box","text":"New York","page_number":3,"box":{"x":520,"y":801,"width":70,"height":9}},{"id":"adcd7fbb-ee25-4bc1-9306-ae86a619eca0","block_type":"box","text":"VALIC Retirement Services Company","page_number":3,"box":{"x":520,"y":816,"width":261,"height":12}},{"id":"5735f3b0-7d03-4f6f-81d2-2a944e36535a","block_type":"box","text":"Vanguard Group, Inc.","page_number":3,"box":{"x":520,"y":832,"width":152,"height":11}},{"id":"5529b950-4a56-4e76-98dc-2185f9068e91","block_type":"box","text":"Vanguard Marketing Corporation","page_number":3,"box":{"x":520,"y":847,"width":230,"height":12}},{"id":"ae7ea48a-a994-4031-86ff-a65088c2cdd4","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":3,"box":{"x":520,"y":863,"width":207,"height":11}},{"id":"8fd75711-411c-4117-b97e-178b09cbef65","block_type":"box","text":"Voya Financial Partners, LLC","page_number":3,"box":{"x":520,"y":878,"width":207,"height":12}},{"id":"f9dcae99-ccdd-4968-a9b3-2b18d6d744eb","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":3,"box":{"x":520,"y":894,"width":262,"height":11}},{"id":"71421b71-e2ad-4473-a1f9-a84c94aa5ec9","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":3,"box":{"x":520,"y":909,"width":263,"height":12}},{"id":"328ec303-dbe0-455c-81c3-157a10c75a8d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":3,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"f4a303a0-e1a0-4bbd-93a7-ad0f74159d70","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":4,"box":{"x":116,"y":88,"width":245,"height":11}},{"id":"116382d1-15c7-4024-96e2-792dec1ba8ec","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":4,"box":{"x":116,"y":103,"width":347,"height":12}},{"id":"fccce22c-eddb-497a-95a2-d22dc7b1d9ed","block_type":"box","text":"Waddell & Reed, Inc.","page_number":4,"box":{"x":116,"y":119,"width":151,"height":10}},{"id":"cc2f75dc-55af-4c15-a323-ec2484f87ce1","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":4,"box":{"x":116,"y":134,"width":192,"height":12}},{"id":"7600ef33-9310-4c13-b5d6-f91744b5e548","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":4,"box":{"x":116,"y":150,"width":322,"height":11}},{"id":"3964289d-b378-42c4-867a-b04092f2350d","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":4,"box":{"x":116,"y":165,"width":168,"height":12}},{"id":"1bfdfba5-5a3f-4370-91b3-bb477f7193ab","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":4,"box":{"x":520,"y":88,"width":251,"height":11}},{"id":"e271adfb-4231-4233-9e49-e3ea86ded57a","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":4,"box":{"x":520,"y":103,"width":213,"height":12}},{"id":"cb9887e5-8fb5-4348-8178-1cfb42920ddd","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":4,"box":{"x":520,"y":119,"width":198,"height":11}},{"id":"17a197c9-9a2c-4510-a709-f10dcaf11ec3","block_type":"box","text":"Wilmington Trust, National Association","page_number":4,"box":{"x":520,"y":134,"width":275,"height":12}},{"id":"285b6b1e-4832-4da3-9d03-8f250e7a8d0f","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":4,"box":{"x":520,"y":150,"width":238,"height":11}},{"id":"d76ff4b2-73f4-4dea-b073-3e9c957ff0c4","block_type":"box","text":"ZB, National Association","page_number":4,"box":{"x":520,"y":165,"width":176,"height":11}},{"id":"62feec8f-72d5-47a4-8dc0-bcd95f41936b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":4,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"365957ca-ab79-4c18-a9e1-870f4ef78722","block_type":"box","text":"Appendix A","page_number":5,"box":{"x":456,"y":87,"width":91,"height":12}},{"id":"9dfb65fe-9a3d-40ba-aaa1-6ef735d12b81","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":5,"box":{"x":116,"y":118,"width":296,"height":12}},{"id":"51191902-ff34-43bd-88a8-591285f33e5a","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":5,"box":{"x":116,"y":149,"width":325,"height":12}},{"id":"2e2600d7-16c3-452f-9ad7-cbabd03ae4b2","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":5,"box":{"x":116,"y":180,"width":266,"height":12}},{"id":"87a497ab-081f-401f-be37-3de0b59a6820","block_type":"box","text":"BATS: Securitized Total Return Series","page_number":5,"box":{"x":150,"y":196,"width":267,"height":9}},{"id":"fe98b51a-683a-4467-8f07-eeb0634b9732","block_type":"box","text":"BATS: Corporate Credit Total Return Series","page_number":5,"box":{"x":150,"y":212,"width":304,"height":11}},{"id":"121dd4f3-9329-4cbc-976b-50ed232eeebc","block_type":"box","text":"BATS: High Income Municipal Series","page_number":5,"box":{"x":150,"y":227,"width":263,"height":12}},{"id":"19a79980-3a89-4146-b006-9479a2f13f53","block_type":"box","text":"BATS: High Income Taxable Series","page_number":5,"box":{"x":150,"y":243,"width":248,"height":11}},{"id":"6b4ba1d9-f36a-4987-8f70-f0f868c5a0ea","block_type":"box","text":"BATS: Mortgage Total Return Series","page_number":5,"box":{"x":150,"y":258,"width":256,"height":12}},{"id":"d34dac99-4b84-4205-9dbc-fce0bb25285c","block_type":"box","text":"BATS: Interest Rate Hedge Series","page_number":5,"box":{"x":150,"y":274,"width":235,"height":11}},{"id":"7a775250-a8bc-4835-bbc0-f3038f55faac","block_type":"box","text":"BATS: Short Duration Taxable Total","page_number":5,"box":{"x":150,"y":289,"width":254,"height":9}},{"id":"b4327977-39c7-4f1b-86f8-58a2f84feeee","block_type":"box","text":"Return Series","page_number":5,"box":{"x":150,"y":305,"width":95,"height":9}},{"id":"50c3b5de-8207-4403-890d-c414e789ee0f","block_type":"box","text":"BATS: Short Term Municipal Income Series","page_number":5,"box":{"x":150,"y":320,"width":306,"height":12}},{"id":"d12b4d1f-3cf6-4ccd-8ba4-6f5cdc461407","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":5,"box":{"x":116,"y":351,"width":232,"height":11}},{"id":"8a573d3f-4d8e-48aa-91df-be3958c2461c","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":5,"box":{"x":116,"y":382,"width":203,"height":11}},{"id":"f74bbae8-024f-4af2-a3cd-2a44b6d4fe92","block_type":"box","text":"BlackRock Total Return Fund","page_number":5,"box":{"x":150,"y":398,"width":207,"height":9}},{"id":"c4a4ccb6-b464-42b5-8651-38ce264f9088","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":5,"box":{"x":116,"y":429,"width":331,"height":11}},{"id":"018b8300-0058-4fea-81fa-b3fa0c583087","block_type":"box","text":"BlackRock California Municipal Opportunities","page_number":5,"box":{"x":150,"y":444,"width":321,"height":12}},{"id":"b1c17409-52ad-40f1-ba47-8610f9593507","block_type":"box","text":"Fund","page_number":5,"box":{"x":150,"y":460,"width":38,"height":9}},{"id":"4c6b8ffd-83df-4a35-a5a5-f4b11e563cf1","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":5,"box":{"x":116,"y":491,"width":317,"height":11}},{"id":"3d480787-a308-4cf3-a765-23ff256985a0","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":5,"box":{"x":116,"y":522,"width":301,"height":11}},{"id":"a5ebee66-6eef-49da-bcc1-98a2fa5a569b","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":5,"box":{"x":116,"y":553,"width":248,"height":11}},{"id":"a9914d22-1dc5-4d21-87b1-cdf38c5914f6","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":5,"box":{"x":116,"y":584,"width":332,"height":9}},{"id":"9d516ef5-2cf7-40ad-bde8-fa2032deeac8","block_type":"box","text":"BlackRock Summit Cash Reserves Fund","page_number":5,"box":{"x":150,"y":599,"width":278,"height":9}},{"id":"4ae842a9-6bec-439d-b99a-3aa771af58a0","block_type":"box","text":"BlackRock Funds","page_number":5,"box":{"x":116,"y":630,"width":127,"height":9}},{"id":"a8da19c1-7801-428f-b521-2dcf98e1bed8","block_type":"box","text":"SM","page_number":5,"box":{"x":244,"y":630,"width":15,"height":6}},{"id":"ba63f176-7cd3-48db-9fa3-646b8521b317","block_type":"box","text":"BlackRock Advantage Emerging Markets Fund","page_number":5,"box":{"x":150,"y":646,"width":325,"height":11}},{"id":"dc50c2a2-786e-4219-8df6-c5ea57dce692","block_type":"box","text":"BlackRock Advantage International Fund","page_number":5,"box":{"x":150,"y":661,"width":281,"height":12}},{"id":"8e043321-6010-42b6-bea4-346d91807c28","block_type":"box","text":"BlackRock Advantage Large Cap Growth Fund","page_number":5,"box":{"x":150,"y":677,"width":320,"height":11}},{"id":"57064876-e916-4296-89d0-ef3cd0d4575c","block_type":"box","text":"BlackRock Advantage Small Cap Core Fund","page_number":5,"box":{"x":150,"y":692,"width":302,"height":12}},{"id":"5be1af7a-2c6c-458c-86f6-cbdda648fbe5","block_type":"box","text":"BlackRock Advantage Small Cap Growth Fund","page_number":5,"box":{"x":150,"y":708,"width":321,"height":11}},{"id":"74a76c46-0d0d-479c-acca-a7dcc6e2d10f","block_type":"box","text":"BlackRock China A Opportunities Fund","page_number":5,"box":{"x":150,"y":723,"width":271,"height":12}},{"id":"33ef8ef7-fc0f-4769-a0f3-f336bdc0fb29","block_type":"box","text":"BlackRock Commodity Strategies Fund","page_number":5,"box":{"x":150,"y":739,"width":268,"height":11}},{"id":"43c2bfc1-4b1f-49a8-9569-707ccd041efa","block_type":"box","text":"BlackRock Daily Reinvestment Stablecoin","page_number":5,"box":{"x":150,"y":754,"width":288,"height":12}},{"id":"e7ee78ab-1733-4b10-8315-b5522d58e54c","block_type":"box","text":"Reserve Vehicle","page_number":5,"box":{"x":150,"y":770,"width":110,"height":9}},{"id":"4ead9d99-74a2-4567-8cac-bf0c1d5f12c7","block_type":"box","text":"BlackRock Defensive Advantage Emerging","page_number":5,"box":{"x":150,"y":785,"width":294,"height":12}},{"id":"27931dc9-2fd7-4703-8d29-a8639917ab97","block_type":"box","text":"Markets Fund","page_number":5,"box":{"x":150,"y":801,"width":93,"height":9}},{"id":"9b9e711e-514f-4761-a32e-c84ce0c07452","block_type":"box","text":"BlackRock Emerging Markets ex-China Fund","page_number":5,"box":{"x":150,"y":816,"width":309,"height":12}},{"id":"20d3cde9-7813-4f26-920a-f8ec6bd18e86","block_type":"box","text":"BlackRock Energy Opportunities Fund","page_number":5,"box":{"x":150,"y":832,"width":267,"height":11}},{"id":"5f729d9d-bc04-45f7-8ee9-99c40d017605","block_type":"box","text":"BlackRock Exchange Portfolio","page_number":5,"box":{"x":150,"y":847,"width":213,"height":12}},{"id":"7bbd7783-7d40-40ba-9fed-96a324e615f5","block_type":"box","text":"BlackRock Global Equity Market Neutral Fund","page_number":5,"box":{"x":150,"y":863,"width":324,"height":11}},{"id":"7df9571f-9948-4c59-aa0c-f05e2bd0a289","block_type":"box","text":"BlackRock Health Sciences Opportunities","page_number":5,"box":{"x":150,"y":878,"width":288,"height":12}},{"id":"550d180e-df1e-4b2f-8ea6-1e0b2d95e42a","block_type":"box","text":"Portfolio","page_number":5,"box":{"x":150,"y":894,"width":63,"height":9}},{"id":"0ea4cae4-b61c-4983-9c70-c49e9dabdd4b","block_type":"box","text":"BlackRock High Equity Income Fund","page_number":5,"box":{"x":150,"y":909,"width":255,"height":12}},{"id":"68bd1a29-21cd-4c09-9c4c-ddf1a7e8123c","block_type":"box","text":"BlackRock Mid-Cap Growth Equity Portfolio","page_number":5,"box":{"x":554,"y":119,"width":312,"height":11}},{"id":"fae2b922-543d-400a-aef5-f40597f71862","block_type":"box","text":"BlackRock Real Estate Securities Fund","page_number":5,"box":{"x":554,"y":134,"width":269,"height":9}},{"id":"4cf17210-b865-410f-87c2-545aafcbd24f","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":5,"box":{"x":554,"y":150,"width":241,"height":11}},{"id":"2e7e6596-c962-4546-aad5-311a87a4f0e9","block_type":"box","text":"BlackRock Sustainable Aware Advantage","page_number":5,"box":{"x":554,"y":165,"width":287,"height":12}},{"id":"676b5ce7-d379-4f37-a70c-d16943da2c33","block_type":"box","text":"Emerging Markets Equity Fund","page_number":5,"box":{"x":554,"y":181,"width":218,"height":11}},{"id":"fd811432-ccf4-4e4e-add6-f6b7bc2a1a3c","block_type":"box","text":"BlackRock Sustainable Aware Advantage Large","page_number":5,"box":{"x":554,"y":196,"width":330,"height":12}},{"id":"79ee94b3-6ddf-4e90-8740-a62935f778eb","block_type":"box","text":"Cap Core Fund","page_number":5,"box":{"x":554,"y":212,"width":106,"height":11}},{"id":"2b9c7ad4-9cc3-4153-982b-ce8308822061","block_type":"box","text":"BlackRock Tactical Opportunities Fund","page_number":5,"box":{"x":554,"y":227,"width":273,"height":12}},{"id":"2dc28e8c-97d2-479d-9d1e-0025537d9caa","block_type":"box","text":"BlackRock Technology Opportunities Fund","page_number":5,"box":{"x":554,"y":243,"width":299,"height":11}},{"id":"f470bfaa-2e51-480b-afc7-4989b3240979","block_type":"box","text":"BlackRock Wealth Liquid Environmentally","page_number":5,"box":{"x":554,"y":258,"width":298,"height":12}},{"id":"5dad4ba2-9682-42e9-b064-095b120cc5fe","block_type":"box","text":"Aware Fund","page_number":5,"box":{"x":554,"y":274,"width":87,"height":9}},{"id":"e5ce46a2-5a75-4134-9eed-b8833ccac474","block_type":"box","text":"Circle Reserve Fund","page_number":5,"box":{"x":554,"y":289,"width":142,"height":9}},{"id":"aa3b2c31-59f5-47f6-9b42-ad4dcb378352","block_type":"box","text":"iShares Developed Real Estate Index Fund","page_number":5,"box":{"x":554,"y":305,"width":292,"height":11}},{"id":"29e4460a-d0bc-40cd-9fd3-a8584470dd34","block_type":"box","text":"iShares Enhanced Roll Yield Index Fund","page_number":5,"box":{"x":554,"y":320,"width":280,"height":9}},{"id":"abd77982-5d25-4d58-8745-e5e14ec2427c","block_type":"box","text":"iShares FTSE NAREIT All Equity REIT Index","page_number":5,"box":{"x":554,"y":336,"width":322,"height":11}},{"id":"ef8e39a2-7054-4e37-afba-a6b694b4a3bb","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":351,"width":38,"height":9}},{"id":"750a2c2b-a22d-47b4-84bc-c4a5146d031d","block_type":"box","text":"iShares Municipal Bond Index Fund","page_number":5,"box":{"x":554,"y":367,"width":249,"height":11}},{"id":"6ff3e81e-dd68-455a-a720-e42b41cd94df","block_type":"box","text":"iShares Russell Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":382,"width":254,"height":12}},{"id":"d281cc02-231c-4b5e-871e-4fb94366cbb5","block_type":"box","text":"iShares Russell Small/Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":398,"width":298,"height":11}},{"id":"936699cb-fe4e-4e82-90bf-b99f13161138","block_type":"box","text":"iShares Short-Term TIPS Bond Index Fund","page_number":5,"box":{"x":554,"y":413,"width":297,"height":9}},{"id":"63ac7003-d829-4edf-ad55-83a9bfda715a","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":"87e2ffd4-1011-43c2-a742-708fa0d82aa0","block_type":"box","text":"iShares U.S. Intermediate Credit Bond Index","page_number":5,"box":{"x":554,"y":444,"width":306,"height":9}},{"id":"288f2780-a459-406e-a3ac-9a147d43e60a","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"a41c1f97-45bc-46a8-bf57-1b7635792a77","block_type":"box","text":"iShares U.S. Intermediate Government Bond","page_number":5,"box":{"x":554,"y":475,"width":306,"height":9}},{"id":"5f673bdf-1fca-497f-9cc7-49757a82e451","block_type":"box","text":"Index Fund","page_number":5,"box":{"x":554,"y":491,"width":81,"height":9}},{"id":"d4d1478e-8403-4c73-a3df-4d10be6b9691","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":"961f0b25-df30-4645-ab65-945d2303f032","block_type":"box","text":"iShares U.S. Long Government Bond Index","page_number":5,"box":{"x":554,"y":522,"width":299,"height":11}},{"id":"73871bb1-6b3d-4428-927e-043552940f9c","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":537,"width":38,"height":9}},{"id":"e58b616a-235e-46fc-b0f1-7f962067e8cd","block_type":"box","text":"iShares U.S. Securitized Bond Index Fund","page_number":5,"box":{"x":554,"y":553,"width":290,"height":9}},{"id":"4ce9819c-b0d3-4769-bacc-ce8d9ce7f1d5","block_type":"box","text":"BlackRock Funds II","page_number":5,"box":{"x":520,"y":584,"width":149,"height":9}},{"id":"17c591b9-4039-458b-acdd-afee91dd1793","block_type":"box","text":"BlackRock 20/80 Target Allocation Fund","page_number":5,"box":{"x":554,"y":599,"width":283,"height":12}},{"id":"0113f1de-54fc-4a18-8a38-2c061cefea1c","block_type":"box","text":"BlackRock 40/60 Target Allocation Fund","page_number":5,"box":{"x":554,"y":615,"width":283,"height":11}},{"id":"fae9cee2-bf7d-457a-b596-c91daf036373","block_type":"box","text":"BlackRock 60/40 Target Allocation Fund","page_number":5,"box":{"x":554,"y":630,"width":283,"height":12}},{"id":"3659d0d4-5a06-4415-b510-eacf68034138","block_type":"box","text":"BlackRock 80/20 Target Allocation Fund","page_number":5,"box":{"x":554,"y":646,"width":283,"height":11}},{"id":"5c85f33e-57c0-4be3-8f10-721c7b6e2164","block_type":"box","text":"BlackRock Dynamic High Income Portfolio","page_number":5,"box":{"x":554,"y":661,"width":296,"height":12}},{"id":"62914109-c3d3-4526-bcbc-33e7d40e5bd2","block_type":"box","text":"BlackRock Global Dividend Portfolio","page_number":5,"box":{"x":554,"y":677,"width":255,"height":9}},{"id":"cfe67800-f2fc-4cbd-95af-6458eeaacd9f","block_type":"box","text":"BlackRock Managed Income Fund","page_number":5,"box":{"x":554,"y":692,"width":235,"height":12}},{"id":"19f84e01-45ee-4194-99f4-9d60e52b8eac","block_type":"box","text":"BlackRock Multi-Asset Income Portfolio","page_number":5,"box":{"x":554,"y":708,"width":277,"height":9}},{"id":"cbb59fda-e52a-49b8-8fa6-015719d5971b","block_type":"box","text":"BlackRock Retirement Income 2030 Fund","page_number":5,"box":{"x":554,"y":723,"width":285,"height":9}},{"id":"c5efd8df-1ecf-4f62-b41e-43ed512e44f9","block_type":"box","text":"BlackRock Funds III","page_number":5,"box":{"x":520,"y":754,"width":151,"height":9}},{"id":"d9ef63eb-1c15-4f96-9c92-df8d49a183ab","block_type":"box","text":"BlackRock Cash Funds: Institutional","page_number":5,"box":{"x":554,"y":770,"width":247,"height":9}},{"id":"273e9e8f-3d97-419d-b27e-5887eda4e43f","block_type":"box","text":"BlackRock Cash Funds: Treasury","page_number":5,"box":{"x":554,"y":785,"width":226,"height":12}},{"id":"640a988c-624e-4cfb-a2dd-f59e6f84f6fc","block_type":"box","text":"BlackRock Diversified Equity Alpha Fund","page_number":5,"box":{"x":554,"y":801,"width":288,"height":11}},{"id":"9e247b7c-1ff4-4be0-aaff-c88c324be330","block_type":"box","text":"BlackRock Diversified Fixed Income Fund","page_number":5,"box":{"x":554,"y":816,"width":290,"height":9}},{"id":"90fa0970-9f2f-476f-a903-c37e1e91fa24","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":832,"width":136,"height":9}},{"id":"943f80e0-be72-4899-af6c-17a78ed0bd2e","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":831,"width":9,"height":6}},{"id":"fe0ea8df-1c90-4b02-8e04-e7ad24eec5bb","block_type":"box","text":"Dynamic Retirement","page_number":5,"box":{"x":700,"y":832,"width":149,"height":11}},{"id":"d8344bd2-199c-4411-baa9-07cb1e125cff","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":847,"width":38,"height":9}},{"id":"9b39b6c1-0b4e-4c05-85ad-1561763efd5a","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":863,"width":136,"height":9}},{"id":"d81a185a-2bd9-4403-aa26-5d26203df419","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":862,"width":9,"height":6}},{"id":"f6e9092e-f428-498a-99b2-00a97cb1d416","block_type":"box","text":"Dynamic 2030 Fund","page_number":5,"box":{"x":700,"y":863,"width":147,"height":11}},{"id":"8a624cf9-9720-4127-8921-d3c68d055ec9","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":878,"width":136,"height":9}},{"id":"cf719998-a4e9-4379-be9e-1cc0bd0017af","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":877,"width":9,"height":7}},{"id":"55fe0bd9-b921-4a27-86a4-e3095cdad1e1","block_type":"box","text":"Dynamic 2035 Fund","page_number":5,"box":{"x":700,"y":878,"width":147,"height":12}},{"id":"0a8d519d-85ea-4f6d-a5b1-e5fc79fb04c1","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":894,"width":136,"height":9}},{"id":"eaf465e6-fbfa-4615-9ec2-fc8d97b6ecc4","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":893,"width":9,"height":6}},{"id":"437a3d64-6fdf-4c64-b180-4b2686f2623c","block_type":"box","text":"Dynamic 2040 Fund","page_number":5,"box":{"x":700,"y":894,"width":147,"height":11}},{"id":"617b11b3-ebc6-4da3-9fa7-6d572a443263","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":909,"width":136,"height":9}},{"id":"9974f25b-2e1a-4cc4-91ab-3b7d08534d10","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":908,"width":9,"height":7}},{"id":"c8805177-2910-48c1-a86d-ff1c554c6ddd","block_type":"box","text":"Dynamic 2045 Fund","page_number":5,"box":{"x":705,"y":909,"width":138,"height":12}},{"id":"198d5833-e958-474e-844f-349997dfa40a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":5,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"e84d7b0f-174f-4bde-9ff5-87e35e8a4b67","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":88,"width":136,"height":9}},{"id":"64e41431-f372-4b23-9bcc-cc4ffb57356e","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":87,"width":9,"height":6}},{"id":"acd2987b-261b-4c2e-aa19-b51f5400fa53","block_type":"box","text":"Dynamic 2050 Fund","page_number":6,"box":{"x":296,"y":88,"width":147,"height":11}},{"id":"e42fe5ce-2b76-4c61-aa3c-bb2551482139","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":103,"width":136,"height":9}},{"id":"324e8659-02b2-4e6b-9083-0e856ff5c261","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":102,"width":9,"height":7}},{"id":"8711d021-87ad-4d15-8a7f-8533376cb7c4","block_type":"box","text":"Dynamic 2055 Fund","page_number":6,"box":{"x":296,"y":103,"width":147,"height":12}},{"id":"d13a7ac0-339e-466c-b58d-160c4bb9eedb","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":119,"width":136,"height":9}},{"id":"ee9fabb9-85e9-4a06-9fa2-d4c8a2426457","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":118,"width":9,"height":6}},{"id":"79df6ebb-e36c-48e5-b440-5b1bccc059d0","block_type":"box","text":"Dynamic 2060 Fund","page_number":6,"box":{"x":296,"y":119,"width":147,"height":11}},{"id":"25263f84-d8e2-4315-8ca9-77405bfd65f2","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":134,"width":136,"height":9}},{"id":"c3d1e072-d0d5-4abd-b6a3-82b270d089d6","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":133,"width":9,"height":7}},{"id":"298e4a9a-3ebb-4973-9cfd-d6edf0c62dbb","block_type":"box","text":"Dynamic 2065 Fund","page_number":6,"box":{"x":296,"y":134,"width":147,"height":12}},{"id":"7b28148d-027d-45e9-abc2-c430d980de82","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":150,"width":136,"height":9}},{"id":"0502425c-279a-41df-88c4-54c1c13b62e6","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":149,"width":9,"height":6}},{"id":"fccbfa86-95d4-4663-a805-32498aa53b25","block_type":"box","text":"Dynamic 2070 Fund","page_number":6,"box":{"x":296,"y":150,"width":147,"height":11}},{"id":"9ec7d6dc-f160-40e5-ab4f-fd1ad02142e8","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":165,"width":136,"height":9}},{"id":"3963c06b-5f0b-4153-9319-affb30de0309","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":164,"width":9,"height":7}},{"id":"9b0e6c9e-66f5-406c-b672-0d28a2d8d26a","block_type":"box","text":"Index Retirement Fund","page_number":6,"box":{"x":296,"y":165,"width":165,"height":9}},{"id":"a9c51c97-70c7-463c-8c73-2767093fe3bb","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":181,"width":136,"height":9}},{"id":"8bebdb42-8177-4a5d-bef9-cf2e0926b58f","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":180,"width":9,"height":6}},{"id":"cede8f7d-d87f-4442-b83c-57d27e9f2f41","block_type":"box","text":"Index 2030 Fund","page_number":6,"box":{"x":296,"y":181,"width":124,"height":9}},{"id":"817e8447-4b8b-4de2-a2a0-7de0634465d0","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":196,"width":136,"height":9}},{"id":"d84b1863-5f2d-4fb1-96c5-402749be41bf","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":195,"width":9,"height":7}},{"id":"70cc5f2e-c5c9-4db1-934f-464d32533829","block_type":"box","text":"Index 2035 Fund","page_number":6,"box":{"x":296,"y":196,"width":124,"height":9}},{"id":"3b602e8c-58f7-4def-b17f-b84cfecf0b21","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":212,"width":136,"height":9}},{"id":"e7bdc238-d529-4361-8d0a-a79f90880e74","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":211,"width":9,"height":6}},{"id":"7bf59237-d42f-404a-bccd-b817927c7858","block_type":"box","text":"Index 2040 Fund","page_number":6,"box":{"x":296,"y":212,"width":124,"height":9}},{"id":"fc8c2cba-ae7e-422e-bb1a-33e4591f6d62","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":227,"width":136,"height":9}},{"id":"a8c7a2f1-12d9-462d-b714-03905a09b2d4","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":226,"width":9,"height":7}},{"id":"1e671c8a-3242-4d3f-b042-ae2b79c38945","block_type":"box","text":"Index 2045 Fund","page_number":6,"box":{"x":296,"y":227,"width":124,"height":9}},{"id":"eddef2bd-0801-4c4d-a472-1c170e21e2c7","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":243,"width":136,"height":9}},{"id":"1ab45e2a-f2c5-4676-a079-f3bc53ef1666","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":242,"width":9,"height":6}},{"id":"3681cfda-8c70-44d2-b80c-4ce3940c0547","block_type":"box","text":"Index 2050 Fund","page_number":6,"box":{"x":296,"y":243,"width":124,"height":9}},{"id":"8e52cf2c-8de6-42bd-b629-09cf0f9b74d7","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":258,"width":136,"height":9}},{"id":"291a5f17-2fb1-4319-8cda-22ab1326a70b","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":257,"width":9,"height":7}},{"id":"2f286726-98c1-4bc0-b3d9-ff700e196c01","block_type":"box","text":"Index 2055 Fund","page_number":6,"box":{"x":296,"y":258,"width":124,"height":9}},{"id":"d5d06ed4-1aea-473a-8158-5700a564f774","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":274,"width":136,"height":9}},{"id":"ac1c067a-f184-401e-be17-5ef3b6364e28","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":273,"width":9,"height":6}},{"id":"1b56aac0-de1b-4976-90ce-ee2c9b7a0b57","block_type":"box","text":"Index 2060 Fund","page_number":6,"box":{"x":296,"y":274,"width":124,"height":9}},{"id":"79f07deb-2af8-4afa-b81a-6c65ab95cf11","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":289,"width":136,"height":9}},{"id":"6ee4059a-5ba6-471d-8555-74ce3c72be87","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":288,"width":9,"height":7}},{"id":"c3c78069-1049-4b14-98b2-c0530ab16931","block_type":"box","text":"Index 2065 Fund","page_number":6,"box":{"x":296,"y":289,"width":124,"height":9}},{"id":"4fded777-191f-4568-8b79-5b4a9bec60ec","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":305,"width":136,"height":9}},{"id":"75b4aaaf-5ab4-4c72-adbf-7ddf4d96850a","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":304,"width":9,"height":6}},{"id":"34d3847e-984a-403a-b1f8-11bd5bf24c23","block_type":"box","text":"Index 2070 Fund","page_number":6,"box":{"x":296,"y":305,"width":124,"height":9}},{"id":"41af788b-7465-4a37-a949-262642ac3ef5","block_type":"box","text":"iShares MSCI Total International Index Fund","page_number":6,"box":{"x":150,"y":320,"width":310,"height":9}},{"id":"cdae0113-85d2-447a-a4dd-65cc36d934fa","block_type":"box","text":"iShares Russell 1000 Large-Cap Index Fund","page_number":6,"box":{"x":150,"y":336,"width":303,"height":11}},{"id":"35069f3c-326e-4707-a8ad-8190a7c48afe","block_type":"box","text":"iShares S&P 500 Index Fund","page_number":6,"box":{"x":150,"y":351,"width":200,"height":9}},{"id":"94644141-157e-4857-b291-9237d6be7916","block_type":"box","text":"iShares U.S. Aggregate Bond Index Fund","page_number":6,"box":{"x":150,"y":367,"width":284,"height":11}},{"id":"ada42e4d-17e5-4737-b907-b1872bcc57b2","block_type":"box","text":"BlackRock Funds IV","page_number":6,"box":{"x":116,"y":398,"width":154,"height":9}},{"id":"ef056666-1aa9-4d16-812f-a29dabb0d76e","block_type":"box","text":"BlackRock Credit Relative Value Fund","page_number":6,"box":{"x":150,"y":413,"width":268,"height":9}},{"id":"e16a4600-442c-4a08-aff1-5a0335637f2d","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund","page_number":6,"box":{"x":150,"y":429,"width":299,"height":11}},{"id":"bd29f2f0-f4ec-42f5-9b37-05851e93ab89","block_type":"box","text":"BlackRock Funds V","page_number":6,"box":{"x":116,"y":460,"width":148,"height":9}},{"id":"aa0ed30e-c7dd-40eb-9768-39764d63f147","block_type":"box","text":"BlackRock Core Bond Portfolio","page_number":6,"box":{"x":150,"y":475,"width":220,"height":9}},{"id":"8e2cdbd8-3b82-4ce4-8bc6-108c859e6982","block_type":"box","text":"BlackRock Floating Rate Income Portfolio","page_number":6,"box":{"x":150,"y":491,"width":293,"height":11}},{"id":"e72f2a9e-e879-4dbb-b6b2-109ed3949426","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":150,"y":506,"width":222,"height":12}},{"id":"45b778db-738b-4151-8512-b12caf9f548b","block_type":"box","text":"BlackRock Income Fund","page_number":6,"box":{"x":150,"y":522,"width":172,"height":9}},{"id":"d3879a95-9edd-47c7-a753-c6fce61de532","block_type":"box","text":"BlackRock Inflation Protected Bond Portfolio","page_number":6,"box":{"x":150,"y":537,"width":313,"height":9}},{"id":"9b09a9e4-4ca4-4152-a441-b64665f068b2","block_type":"box","text":"BlackRock Low Duration Bond Portfolio","page_number":6,"box":{"x":150,"y":553,"width":282,"height":9}},{"id":"be43e24f-0c17-435e-8303-5fb4038c0bbc","block_type":"box","text":"BlackRock Strategic Income Opportunities","page_number":6,"box":{"x":150,"y":568,"width":294,"height":12}},{"id":"8f9103f7-6d65-4dfb-9521-ec29276e1323","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":150,"y":584,"width":63,"height":9}},{"id":"38d06ae3-1672-4730-8c7a-68483144d002","block_type":"box","text":"BlackRock Funds VI","page_number":6,"box":{"x":116,"y":615,"width":154,"height":9}},{"id":"05a98f74-3e70-42e5-bb32-1c6eec4e8848","block_type":"box","text":"BlackRock Advantage CoreAlpha Bond Fund","page_number":6,"box":{"x":150,"y":630,"width":313,"height":12}},{"id":"dade2f69-1bb4-45a0-b051-1a1bf9a1916d","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":6,"box":{"x":116,"y":661,"width":287,"height":11}},{"id":"79ce0e8d-5aac-4b16-822d-f2c6146ae761","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":6,"box":{"x":116,"y":692,"width":208,"height":11}},{"id":"0f58c5f6-227f-459b-b988-eff7ce5feda2","block_type":"box","text":"iShares MSCI EAFE International Index Fund","page_number":6,"box":{"x":150,"y":708,"width":312,"height":9}},{"id":"99d08662-cf3f-4203-8913-2d3b57f02780","block_type":"box","text":"iShares Russell 2000 Small-Cap Index Fund","page_number":6,"box":{"x":150,"y":723,"width":298,"height":12}},{"id":"4043d492-9521-4350-ad0a-5b97df95ffb7","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":6,"box":{"x":116,"y":754,"width":319,"height":12}},{"id":"cd539b79-0da6-48f8-8b26-04ecd8f90e1d","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":6,"box":{"x":116,"y":785,"width":344,"height":12}},{"id":"cc41e496-1633-450c-8196-a7ce1f7a5bd7","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":6,"box":{"x":116,"y":816,"width":330,"height":12}},{"id":"73dc239d-9653-4ab7-8b66-1df915020083","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":6,"box":{"x":116,"y":847,"width":296,"height":12}},{"id":"53881fcc-580a-4bc1-a745-17853b8257e9","block_type":"box","text":"BlackRock Advantage Large Cap Core Fund","page_number":6,"box":{"x":150,"y":863,"width":306,"height":11}},{"id":"647649f2-30c9-4065-99f2-ee21c475b4a9","block_type":"box","text":"BlackRock Advantage Large Cap Value Fund","page_number":6,"box":{"x":150,"y":878,"width":314,"height":12}},{"id":"815d1b15-1d6d-482f-a5e0-38db1217673a","block_type":"box","text":"BlackRock Event Driven Equity Fund","page_number":6,"box":{"x":150,"y":894,"width":261,"height":11}},{"id":"e421481f-79cf-4cff-a5e1-b81c7e1ed2d2","block_type":"box","text":"BlackRock Liquidity Funds","page_number":6,"box":{"x":520,"y":87,"width":203,"height":12}},{"id":"26646439-64c5-4388-8531-585fe387529a","block_type":"box","text":"FedFund","page_number":6,"box":{"x":554,"y":103,"width":63,"height":9}},{"id":"c7f0f8e4-786c-4a0f-a560-dacc1421d262","block_type":"box","text":"MuniCash","page_number":6,"box":{"x":554,"y":119,"width":74,"height":9}},{"id":"843c3d6d-90cc-4a48-9a39-5259343fc277","block_type":"box","text":"TempCash","page_number":6,"box":{"x":554,"y":134,"width":77,"height":12}},{"id":"36260204-9167-44b6-80ae-94eddd9c3dbe","block_type":"box","text":"BlackRock Select Treasury Based Liquidity","page_number":6,"box":{"x":554,"y":150,"width":300,"height":11}},{"id":"d425a40d-d11f-4f38-b3c0-0fd5ed9595df","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":165,"width":38,"height":9}},{"id":"ac46e3f1-3929-4d2a-92af-5dff5a98eda9","block_type":"box","text":"T-Fund","page_number":6,"box":{"x":554,"y":181,"width":54,"height":9}},{"id":"009d0da2-8568-467c-a189-32aa96adb02c","block_type":"box","text":"Treasury Trust Fund","page_number":6,"box":{"x":554,"y":196,"width":142,"height":12}},{"id":"e0fcece4-cd4c-4686-9aff-0c43411aa91f","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":6,"box":{"x":520,"y":227,"width":282,"height":12}},{"id":"6ab644ee-b734-4b7e-a238-0cf26d8395bd","block_type":"box","text":"BlackRock Mid-Cap Value Fund","page_number":6,"box":{"x":554,"y":243,"width":227,"height":11}},{"id":"2d2edce1-1499-4925-819a-a3f08bd76e5f","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":6,"box":{"x":520,"y":274,"width":339,"height":11}},{"id":"9faf5278-e004-4331-a1c1-1fbf4c235a40","block_type":"box","text":"BlackRock New Jersey Municipal Bond Fund","page_number":6,"box":{"x":554,"y":289,"width":314,"height":12}},{"id":"ff1de506-8168-49ac-9725-41b5808f1180","block_type":"box","text":"BlackRock New York Municipal Opportunities","page_number":6,"box":{"x":554,"y":305,"width":324,"height":11}},{"id":"272a92e1-b6de-4501-9181-1874645c0879","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":320,"width":38,"height":9}},{"id":"c659d47c-a3e2-42cb-92bd-bf8f00737e09","block_type":"box","text":"BlackRock Pennsylvania Municipal Bond Fund","page_number":6,"box":{"x":554,"y":336,"width":326,"height":11}},{"id":"91fb255a-758d-4a4b-b5aa-07784f64884b","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":367,"width":282,"height":11}},{"id":"0187fcc1-804b-4cbe-a48e-cc746d9ff0dc","block_type":"box","text":"BlackRock National Municipal Fund","page_number":6,"box":{"x":554,"y":382,"width":253,"height":12}},{"id":"6235572e-b6bc-4ce5-8f46-a68b05f76ab6","block_type":"box","text":"BlackRock Short Duration Muni Fund","page_number":6,"box":{"x":554,"y":398,"width":263,"height":9}},{"id":"11855f5b-b1ce-4d14-a6f9-4dc949f05b04","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":6,"box":{"x":520,"y":429,"width":252,"height":11}},{"id":"792a6056-dcfa-4510-8852-9eab801de4f8","block_type":"box","text":"BlackRock Strategic Municipal Opportunities","page_number":6,"box":{"x":554,"y":444,"width":313,"height":12}},{"id":"737f296c-bd23-43ac-b240-c759b02ecb8f","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"416b88ae-b818-4fbf-b8a9-52e55f687ed5","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":6,"box":{"x":520,"y":491,"width":264,"height":9}},{"id":"3e209f6c-613c-41ed-afeb-7e3b9c621fa1","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":6,"box":{"x":520,"y":522,"width":208,"height":11}},{"id":"337e98a7-8cb5-49cb-adf0-5286bf3ea7b5","block_type":"box","text":"BlackRock Advantage Large Cap Core Portfolio","page_number":6,"box":{"x":554,"y":537,"width":331,"height":12}},{"id":"2f572404-5f71-4ed4-ac47-c356e22c8c45","block_type":"box","text":"BlackRock Balanced Portfolio","page_number":6,"box":{"x":554,"y":553,"width":209,"height":9}},{"id":"d17406b5-0d83-4c68-99ca-4c7121f5bc4e","block_type":"box","text":"BlackRock Capital Appreciation Portfolio","page_number":6,"box":{"x":554,"y":568,"width":288,"height":12}},{"id":"bed45bf6-b3c8-4cca-87a7-945266a00815","block_type":"box","text":"BlackRock Global Allocation Portfolio","page_number":6,"box":{"x":554,"y":584,"width":268,"height":9}},{"id":"0ee75a27-7296-4bd1-8ac5-2af31a44c577","block_type":"box","text":"BlackRock Government Money Market","page_number":6,"box":{"x":554,"y":599,"width":272,"height":12}},{"id":"1a503abe-d087-4c4f-aa5c-eb61d45aaf9f","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":554,"y":615,"width":63,"height":9}},{"id":"23d25b68-2b5d-467d-a340-3b85b5620b02","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":6,"box":{"x":520,"y":646,"width":226,"height":11}},{"id":"c120998f-d1f9-44a5-8218-3c33dd7d2d88","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":554,"y":661,"width":217,"height":12}},{"id":"a08e3443-66f7-4e0b-98a8-8daa16b310c4","block_type":"box","text":"BlackRock Series, Inc.","page_number":6,"box":{"x":520,"y":692,"width":161,"height":11}},{"id":"35107e42-6a95-41ab-84b1-a70f1aeb5905","block_type":"box","text":"BlackRock International Fund","page_number":6,"box":{"x":554,"y":708,"width":203,"height":9}},{"id":"7c6a9e4d-a3e2-4ac6-be06-1952e521201d","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":739,"width":320,"height":11}},{"id":"28d6023d-3897-4326-a2ca-1c3eabe05231","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":6,"box":{"x":520,"y":770,"width":283,"height":11}},{"id":"999032e1-a182-4d55-8212-3c2464761ecb","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":6,"box":{"x":520,"y":801,"width":277,"height":11}},{"id":"43895829-24a5-4282-85f5-f8446505f0cd","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":"d60ada03-846d-464c-8a0d-ff35a3d120fe","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":832,"width":38,"height":9}},{"id":"9d3621da-dd0a-4b97-929c-0fe86e196945","block_type":"box","text":"BlackRock Advantage Large Cap Core V.I.","page_number":6,"box":{"x":554,"y":847,"width":298,"height":12}},{"id":"34485d36-6f54-4cf5-a5cf-16f91f079101","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":863,"width":38,"height":9}},{"id":"483b4939-1e8d-4773-9637-51803dccf064","block_type":"box","text":"BlackRock Advantage Large Cap Value V.I.","page_number":6,"box":{"x":554,"y":878,"width":305,"height":12}},{"id":"b3689609-58b7-435c-98a3-e2764bc218e4","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":894,"width":38,"height":9}},{"id":"d1fe57ee-5a53-437f-84e4-af9de9a1236f","block_type":"box","text":"BlackRock Advantage SMID Cap V.I. Fund","page_number":6,"box":{"x":554,"y":909,"width":298,"height":12}},{"id":"071b6ed5-6ef7-4cc8-a9b2-9d08747724ec","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":6,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"697e53cc-e694-4722-a6ae-5d5acaa7b506","block_type":"box","text":"BlackRock Basic Value V.I. Fund","page_number":7,"box":{"x":150,"y":88,"width":234,"height":9}},{"id":"1340c5c2-b067-4c77-823d-4f43b407fc0b","block_type":"box","text":"BlackRock Capital Appreciation V.I. Fund","page_number":7,"box":{"x":150,"y":103,"width":293,"height":12}},{"id":"4e8a07c0-7256-4aaf-9925-764629d56847","block_type":"box","text":"BlackRock Equity Dividend V.I. Fund","page_number":7,"box":{"x":150,"y":119,"width":264,"height":11}},{"id":"45befdd8-3edb-408c-98a5-1d3b2899bc17","block_type":"box","text":"BlackRock Global Allocation V.I. Fund","page_number":7,"box":{"x":150,"y":134,"width":273,"height":9}},{"id":"b326ec48-26ed-41d6-8dde-f4ea8d90fdf0","block_type":"box","text":"BlackRock Government Money Market V.I.","page_number":7,"box":{"x":150,"y":150,"width":302,"height":11}},{"id":"81dc083c-f539-46aa-a2f4-c850e0bd3c8f","block_type":"box","text":"Fund","page_number":7,"box":{"x":150,"y":165,"width":38,"height":9}},{"id":"637a9566-2df9-47e0-abae-35fa9c8a6a17","block_type":"box","text":"BlackRock International Index V.I. Fund","page_number":7,"box":{"x":150,"y":181,"width":281,"height":9}},{"id":"4dafed4d-9f0a-4825-a3e0-5a551e528cf5","block_type":"box","text":"BlackRock International V.I. Fund","page_number":7,"box":{"x":150,"y":196,"width":238,"height":9}},{"id":"5823b1bd-5012-417f-8034-e712ecb06767","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":"1439484b-7536-49c2-b291-ce2fd2720b37","block_type":"box","text":"BlackRock Managed Volatility V.I. Fund","page_number":7,"box":{"x":554,"y":103,"width":283,"height":12}},{"id":"fe6547de-d32d-4825-b525-741480b99a9d","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":"d98d35cf-04a6-4264-b763-5ad07e30e235","block_type":"box","text":"BlackRock Small Cap Index V.I. Fund","page_number":7,"box":{"x":554,"y":134,"width":265,"height":12}},{"id":"6e71800a-4c6d-43e4-aa61-37a8ddde42f5","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":7,"box":{"x":520,"y":165,"width":299,"height":11}},{"id":"515a3076-fa9f-4657-84aa-e7a2ed4e6513","block_type":"box","text":"BlackRock High Yield V.I. Fund","page_number":7,"box":{"x":554,"y":181,"width":227,"height":11}},{"id":"4b9d9f85-9050-4c97-8042-615e8fb8d084","block_type":"box","text":"BlackRock Total Return V.I. Fund","page_number":7,"box":{"x":554,"y":196,"width":238,"height":9}},{"id":"5151201c-21e1-4790-b4de-c95ee9d92421","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":"098d8282-dc83-4afc-8646-f5ef86608dc5","block_type":"box","text":"SAI-GLOBAL-1026SUP","page_number":7,"box":{"x":116,"y":258,"width":175,"height":9}},{"id":"f01f39c0-7a0d-42e4-8e68-b0be03109014","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":7,"box":{"x":636,"y":981,"width":176,"height":7}},{"id":"098153fa-8a87-4dcb-b275-56ecb819ecd9","block_type":"box","text":"STATEMENT OF ADDITIONAL INFORMATION","page_number":8,"box":{"x":271,"y":83,"width":435,"height":11}},{"id":"56295362-f4bd-4a12-af88-038c10a34b47","block_type":"box","text":"BlackRock Funds","page_number":8,"box":{"x":371,"y":120,"width":216,"height":14}},{"id":"17f67664-9d8a-4b5c-8d09-8c88f630917b","block_type":"box","text":"SM","page_number":8,"box":{"x":589,"y":120,"width":19,"height":7}},{"id":"65a2ed26-9d68-4125-9858-026b12927926","block_type":"box","text":"BlackRock Commodity Strategies Fund","page_number":8,"box":{"x":347,"y":149,"width":285,"height":11}},{"id":"3d93e310-717f-4270-b962-a09b240d3a39","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":"fe107770-fff4-4230-9f2e-fadaf9a0fe1a","block_type":"box","text":"This Statement of Additional Information of BlackRock Commodity Strategies Fund (the “Fund”), a series","page_number":8,"box":{"x":101,"y":233,"width":798,"height":12}},{"id":"30ef372e-5dd9-47f8-89f5-b3271124bea7","block_type":"box","text":"of BlackRock Funds","page_number":8,"box":{"x":69,"y":249,"width":150,"height":9}},{"id":"fb9116c8-a7bd-44af-82a4-b9adee019160","block_type":"box","text":"SM","page_number":8,"box":{"x":220,"y":249,"width":12,"height":5}},{"id":"215a642b-983f-4d3d-9971-3f020ab5c08d","block_type":"box","text":"(the “Trust”), is not a prospectus and should be read in conjunction with the","page_number":8,"box":{"x":237,"y":248,"width":575,"height":12}},{"id":"27657060-7dde-4d09-932f-1883bfe0a900","block_type":"box","text":"Prospectuses of the Fund, dated September 28, 2026, as they may be amended or supplemented from time to","page_number":8,"box":{"x":70,"y":264,"width":836,"height":11}},{"id":"718e461d-5bd6-438a-b049-6b3633d8fe39","block_type":"box","text":"time (the “Prospectus”), which has been filed with the Securities and Exchange Commission (the","page_number":8,"box":{"x":69,"y":279,"width":735,"height":12}},{"id":"fc9c6a09-441a-46e8-911a-edb796d52950","block_type":"box","text":"“Commission” or the “SEC”) and can be obtained, without charge, by calling (800) 441-7762 or by writing to","page_number":8,"box":{"x":69,"y":294,"width":820,"height":12}},{"id":"a9609cc7-eae7-4216-9e23-f1a085ca8bd9","block_type":"box","text":"the Fund at the above address. Part I of this Statement of Additional Information and the portions of Part II of","page_number":8,"box":{"x":69,"y":309,"width":832,"height":11}},{"id":"40778bcb-94fa-4c6f-a1d3-ee7006ce74d4","block_type":"box","text":"this Statement of Additional Information that relate to the Fund have been incorporated by reference into the","page_number":8,"box":{"x":69,"y":324,"width":830,"height":12}},{"id":"21a3e245-fb7e-4b6d-ba85-66ab84561a57","block_type":"box","text":"Fund’s Prospectus. The portions of Part II of this Statement of Additional Information that do not relate to the","page_number":8,"box":{"x":70,"y":339,"width":830,"height":12}},{"id":"7d69776d-db55-48a3-b199-5a2a183d231f","block_type":"box","text":"Fund do not form a part of the Fund’s Statement of Additional Information, have not been incorporated by","page_number":8,"box":{"x":70,"y":354,"width":806,"height":12}},{"id":"8cbd42a5-f4b6-4e78-9cdd-1243e1171169","block_type":"box","text":"reference into the Fund’s Prospectus and should not be relied upon by investors in the Fund. The audited","page_number":8,"box":{"x":70,"y":369,"width":798,"height":12}},{"id":"919d3a09-63b7-45c3-8ca1-a637b4b03e9c","block_type":"box","text":"financial statements of the Fund are incorporated into this Statement of Additional Information by reference","page_number":8,"box":{"x":69,"y":385,"width":826,"height":11}},{"id":"bc04c4f2-754c-4888-868b-e8b2811b1c1d","block_type":"box","text":"to the Fund’s Annual Financial Statements and Additional Information for the fiscal year ended May 31, 2026,","page_number":8,"box":{"x":69,"y":400,"width":836,"height":12}},{"id":"9a6611f3-3642-48cc-a667-02bc046060f4","block_type":"box","text":"as filed with the SEC on Form N-CSR (the “2026 Annual Financial Statements”). You may request a copy of the","page_number":8,"box":{"x":69,"y":415,"width":840,"height":12}},{"id":"c20ddf53-da13-449a-a259-c0f04608926e","block_type":"box","text":"2026 Annual Financial Statements at no charge by calling (800) 441-7762 between 8:00 a.m. and 6:00 p.m.","page_number":8,"box":{"x":69,"y":430,"width":822,"height":12}},{"id":"1ffebf59-d307-42eb-be5e-69c75272b5c2","block_type":"box","text":"Eastern time on any business day.","page_number":8,"box":{"x":70,"y":445,"width":258,"height":12}},{"id":"adb21b02-1974-4346-9321-e5f1a1dca74f","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":468,"width":767,"height":12}},{"id":"b6ed3782-de42-4d3d-9a9b-8493a986abc6","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":483,"width":796,"height":12}},{"id":"b3a47707-29dc-4091-a2d2-48346e6f0ce5","block_type":"box","text":"modifications by the Commission, Commission staff or other authority with appropriate jurisdiction, including","page_number":8,"box":{"x":70,"y":498,"width":837,"height":12}},{"id":"650b4221-60da-4337-bb14-264ed42e83b5","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":513,"width":749,"height":12}},{"id":"69729d06-9899-46ec-8878-e6ad66b5669a","block_type":"box","text":"Commission staff or other authority.","page_number":8,"box":{"x":70,"y":528,"width":274,"height":12}},{"id":"8a39433f-3596-445e-8783-deb8e298e6b8","block_type":"box","text":"Class","page_number":8,"box":{"x":69,"y":557,"width":31,"height":7}},{"id":"33172414-55c0-41ab-9289-970abf1fdae9","block_type":"box","text":"Ticker Symbol","page_number":8,"box":{"x":827,"y":557,"width":82,"height":9}},{"id":"79623255-7860-4d7a-a0e6-75fd23e5b549","block_type":"box","text":"Investor A Shares","page_number":8,"box":{"x":70,"y":575,"width":124,"height":8}},{"id":"ea3f28c8-82c9-445a-a5d8-9537a24e664b","block_type":"box","text":"..........................................................................","page_number":8,"box":{"x":199,"y":582,"width":597,"height":1}},{"id":"9575a24c-0c59-4522-989f-7d0808147f4d","block_type":"box","text":"BCSAX","page_number":8,"box":{"x":846,"y":575,"width":47,"height":8}},{"id":"b4202230-9de4-4db7-b7cc-cdd2c52640fc","block_type":"box","text":"Investor C Shares.","page_number":8,"box":{"x":70,"y":590,"width":131,"height":9}},{"id":"28e393cb-376b-474c-97af-e1e6b17163ea","block_type":"box","text":".........................................................................","page_number":8,"box":{"x":208,"y":597,"width":588,"height":1}},{"id":"67e9510f-6330-451a-be70-e0780bcb2458","block_type":"box","text":"BCSCX","page_number":8,"box":{"x":845,"y":590,"width":48,"height":9}},{"id":"7876c513-e302-4990-97fb-9f25a51eb3b5","block_type":"box","text":"Institutional Shares","page_number":8,"box":{"x":70,"y":605,"width":137,"height":9}},{"id":"618e3401-f6b5-44ce-ae7d-eba001bdc8ba","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BICSX","page_number":8,"box":{"x":216,"y":605,"width":677,"height":9}},{"id":"66309fa4-20df-4a0c-aa7e-6291df8bb298","block_type":"box","text":"Class K Shares","page_number":8,"box":{"x":69,"y":620,"width":109,"height":9}},{"id":"9b723f02-f2a7-4444-bf71-26d0c5d679e7","block_type":"box","text":"............................................................................","page_number":8,"box":{"x":183,"y":627,"width":613,"height":2}},{"id":"3d0c39bc-2468-4e05-bbcb-6be81d041896","block_type":"box","text":"BCSKX","page_number":8,"box":{"x":845,"y":620,"width":48,"height":9}},{"id":"e3d3d3fb-f05a-48d0-9597-e7ba24837a87","block_type":"box","text":"BlackRock Advisors, LLC — Manager","page_number":8,"box":{"x":260,"y":674,"width":460,"height":20}},{"id":"30433ffa-5f2b-4c28-9728-502787b1e475","block_type":"box","text":"BlackRock Investments, LLC — Distributor","page_number":8,"box":{"x":222,"y":697,"width":536,"height":18}},{"id":"8c74d2a8-ffbd-4c49-b8fb-ff3816c6213f","block_type":"box","text":"The date of this Statement of Additional Information is September 28, 2026.","page_number":8,"box":{"x":199,"y":757,"width":579,"height":11}},{"id":"891febd1-42d7-4b5c-ab77-6b4dc7f356cd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":8,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f9bce58d-5dd8-4ac6-a4f6-3e8baadaedf0","block_type":"box","text":"TABLE OF CONTENTS","page_number":9,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"056a6e95-a753-4163-aa0f-8dd418d30b2e","block_type":"box","text":"Page","page_number":9,"box":{"x":869,"y":73,"width":28,"height":9}},{"id":"d85e21ab-e62f-4a28-96d1-3795302a9e3b","block_type":"box","text":"PART I","page_number":9,"box":{"x":69,"y":92,"width":47,"height":9}},{"id":"4a42211a-6def-4552-8674-4b22576a241d","block_type":"box","text":"Investment Objective and Policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-1","page_number":9,"box":{"x":70,"y":108,"width":839,"height":11}},{"id":"0b8d3cb9-8a7d-47b5-bb05-0ae966e65dbd","block_type":"box","text":"Investment Restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-6","page_number":9,"box":{"x":70,"y":125,"width":839,"height":9}},{"id":"124dff2f-b463-4c25-a336-125d79b75d87","block_type":"box","text":"Information on Trustees and Officers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-8","page_number":9,"box":{"x":70,"y":141,"width":839,"height":9}},{"id":"460e13e0-9af3-472f-89e3-073a23644cab","block_type":"box","text":"Management, Advisory and Other Service Arrangements. . . . . . . . .","page_number":9,"box":{"x":70,"y":158,"width":469,"height":11}},{"id":"6ff43a28-cd66-42e8-bccb-5046966430da","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-19","page_number":9,"box":{"x":545,"y":158,"width":364,"height":8}},{"id":"b274a5c4-75b1-4416-8cce-75e3df3f486b","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":"cbd09149-6c80-45d5-8f3f-6f56d1aa5037","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":545,"y":174,"width":364,"height":9}},{"id":"45c46770-6663-4782-b11c-a8a2133f2909","block_type":"box","text":"Computation of Offering Price Per Share . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":190,"width":446,"height":11}},{"id":"1245be6e-e443-4659-9141-434104dbafde","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":521,"y":190,"width":388,"height":9}},{"id":"0e4a613a-98e6-4df3-ae58-f5ac15232c57","block_type":"box","text":"Portfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":206,"width":283,"height":12}},{"id":"d1d19de1-f1fc-4c27-bc8d-ba4a0b2e97b6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":358,"y":207,"width":551,"height":8}},{"id":"f1ef90ca-f48f-4d01-99d4-b6ae835728af","block_type":"box","text":"Additional Information. . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":68,"y":223,"width":308,"height":9}},{"id":"5641be66-43d4-4a5b-879a-92b3cef9d085","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-26","page_number":9,"box":{"x":382,"y":223,"width":527,"height":9}},{"id":"2598ab39-ebc2-4d43-a0cc-1d6d68baf524","block_type":"box","text":"Financial Statements","page_number":9,"box":{"x":70,"y":239,"width":148,"height":9}},{"id":"e299a898-6dac-4264-9cb1-77e82ccff2da","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-28","page_number":9,"box":{"x":227,"y":239,"width":682,"height":9}},{"id":"d8f03999-a7b9-4dd0-9134-4901d77b1f5c","block_type":"box","text":"PART II","page_number":9,"box":{"x":69,"y":271,"width":52,"height":9}},{"id":"e71672fb-ccba-491a-a0b1-c4b525d5b43e","block_type":"box","text":"Investment Risks and Considerations . . . . . . . .","page_number":9,"box":{"x":70,"y":287,"width":330,"height":9}},{"id":"84cfcd1d-189c-4453-a4f1-f094d13cbdf7","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-1","page_number":9,"box":{"x":407,"y":287,"width":502,"height":9}},{"id":"073bfc42-a8d1-4a09-9f40-878d4c633803","block_type":"box","text":"Management and Other Service Arrangements . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":70,"y":304,"width":461,"height":11}},{"id":"f3df5b80-cbb5-4639-b56e-3cd819e88ed8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-82","page_number":9,"box":{"x":537,"y":304,"width":372,"height":9}},{"id":"ab8f4fb8-a8c5-4297-a043-94c9d331f036","block_type":"box","text":"Selective Disclosure of Portfolio Holdings. . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":320,"width":446,"height":11}},{"id":"02aa0901-25c2-42bb-b89e-663aec5f7823","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-84","page_number":9,"box":{"x":521,"y":320,"width":388,"height":9}},{"id":"4512e833-4e98-4632-a6af-0d62fb45ff70","block_type":"box","text":"Purchase of Shares","page_number":9,"box":{"x":69,"y":336,"width":139,"height":9}},{"id":"b4a32cf2-a55c-488f-a65f-90b23e4515ae","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-97","page_number":9,"box":{"x":211,"y":336,"width":697,"height":9}},{"id":"62f49bdd-ebca-4a6d-a515-913fead77e4f","block_type":"box","text":"Redemption of Shares . .","page_number":9,"box":{"x":70,"y":353,"width":176,"height":11}},{"id":"774a904c-67d4-4e64-962c-fd13e3ae3de5","block_type":"box","text":"........................................................................... I","page_number":9,"box":{"x":252,"y":353,"width":619,"height":9}},{"id":"f93823df-0484-4563-9a37-bfe3011e51dc","block_type":"box","text":"I-114","page_number":9,"box":{"x":874,"y":353,"width":35,"height":9}},{"id":"a4313328-9507-4bc8-a683-4d621f49e26a","block_type":"box","text":"Shareholder Services . .","page_number":9,"box":{"x":69,"y":369,"width":168,"height":9}},{"id":"1313b358-5714-43a5-a42d-100cf0265a1c","block_type":"box","text":"............................................................................ I","page_number":9,"box":{"x":244,"y":369,"width":627,"height":9}},{"id":"73c5949f-e893-496b-bd39-ba81cffa2391","block_type":"box","text":"I-118","page_number":9,"box":{"x":874,"y":369,"width":35,"height":9}},{"id":"7de3307f-91e9-4605-b9b2-9a06c2b2e096","block_type":"box","text":"Pricing of Shares","page_number":9,"box":{"x":69,"y":385,"width":119,"height":12}},{"id":"3e8cf7c8-1c90-420c-8e31-2586d8ef1e17","block_type":"box","text":".................................................................................. I","page_number":9,"box":{"x":195,"y":386,"width":676,"height":8}},{"id":"9fa24609-6884-4cde-adee-5542404dc369","block_type":"box","text":"I-122","page_number":9,"box":{"x":874,"y":386,"width":35,"height":8}},{"id":"854aa4c5-ed38-4af4-9668-871e61765625","block_type":"box","text":"Portfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":402,"width":283,"height":11}},{"id":"550d8e25-2ad6-41f8-91f6-1d156a305a52","block_type":"box","text":".............................................................. I","page_number":9,"box":{"x":358,"y":402,"width":513,"height":9}},{"id":"7f3db647-0776-4442-a1b9-874b46ebd591","block_type":"box","text":"I-124","page_number":9,"box":{"x":874,"y":402,"width":35,"height":9}},{"id":"2a4f6bd1-8c99-4739-a08b-99f75d307114","block_type":"box","text":"Dividends and Taxes . .","page_number":9,"box":{"x":70,"y":418,"width":159,"height":9}},{"id":"a5b1c93a-d1ab-466c-a19e-e06c727ec5e6","block_type":"box","text":"............................................................................. I","page_number":9,"box":{"x":236,"y":418,"width":635,"height":9}},{"id":"3baa8eff-fa4b-4f5e-9619-05a9b7bb91b9","block_type":"box","text":"I-129","page_number":9,"box":{"x":874,"y":418,"width":35,"height":9}},{"id":"086c91d1-2c1c-4189-95d2-6c6e8f04e545","block_type":"box","text":"Performance Data","page_number":9,"box":{"x":69,"y":435,"width":129,"height":9}},{"id":"e3a57f09-48df-4147-a4a8-142a2f7d1651","block_type":"box","text":"................................................................................. I","page_number":9,"box":{"x":203,"y":435,"width":668,"height":8}},{"id":"bd386b56-b406-4469-b789-45187549c549","block_type":"box","text":"I-137","page_number":9,"box":{"x":874,"y":435,"width":34,"height":9}},{"id":"3314b40b-1cee-4975-b5d9-bed59b48c16d","block_type":"box","text":"Proxy Voting Policies and Procedures. . . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":451,"width":437,"height":11}},{"id":"9879b012-aebf-4013-b6ad-126a517fc7db","block_type":"box","text":"........................................... I","page_number":9,"box":{"x":513,"y":451,"width":358,"height":9}},{"id":"33b2c8d8-441f-457f-b154-45c86c76d7cd","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":451,"width":35,"height":9}},{"id":"fba1860f-a080-4527-8e49-ae62d1f9fe76","block_type":"box","text":"General Information","page_number":9,"box":{"x":69,"y":467,"width":140,"height":9}},{"id":"8d5951e0-40ef-4d0d-893f-ae7f44b8a6dc","block_type":"box","text":"............................................................................... I","page_number":9,"box":{"x":219,"y":468,"width":652,"height":8}},{"id":"bcc664e8-4c65-476c-90f2-6f2335e73535","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":467,"width":35,"height":9}},{"id":"60ff52a5-a922-4354-93e6-636fb1e80062","block_type":"box","text":"Appendix A — Description of Bond Ratings. . . .","page_number":9,"box":{"x":68,"y":484,"width":332,"height":11}},{"id":"6a0fe9b2-6fa0-4aa9-81e3-9e0c10f8e316","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A-1","page_number":9,"box":{"x":407,"y":484,"width":502,"height":9}},{"id":"bd572bd2-d842-47d8-b12d-3e1374c7968d","block_type":"box","text":"Appendix B — Proxy Voting Policies . . . . . .","page_number":9,"box":{"x":68,"y":500,"width":300,"height":11}},{"id":"ef3c847e-626a-4614-b372-d2e888867f73","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B-1","page_number":9,"box":{"x":374,"y":500,"width":535,"height":9}},{"id":"e80f3bcb-cf5b-4db8-8ba5-d028585f2c94","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":9,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4ab36b05-b551-4322-ab0e-d61b3c59f9f9","block_type":"box","text":"PART I: INFORMATION ABOUT BLACKROCK COMMODITY STRATEGIES FUND","page_number":10,"box":{"x":210,"y":45,"width":559,"height":9}},{"id":"7574a82c-9282-455c-920d-72e8944700a3","block_type":"box","text":"Part I of this Statement of Additional Information (“SAI”) sets forth information about BlackRock Commodity","page_number":10,"box":{"x":102,"y":67,"width":769,"height":11}},{"id":"0574e624-71e0-4cdd-b18f-336cc70c3a6b","block_type":"box","text":"Strategies Fund (the “Fund”), a series of BlackRock Funds","page_number":10,"box":{"x":69,"y":82,"width":414,"height":12}},{"id":"a61ef420-3915-45a9-92a1-7692915b486e","block_type":"box","text":"SM","page_number":10,"box":{"x":484,"y":83,"width":11,"height":4}},{"id":"47124426-7fe3-4de0-acc2-a906db0094a3","block_type":"box","text":"(the “Trust”). It includes information about the Trust’s","page_number":10,"box":{"x":501,"y":82,"width":383,"height":11}},{"id":"ba82924b-7c63-42a1-8423-f46936cbf7eb","block_type":"box","text":"Board of Trustees (the “Board”), the advisory and management services provided to and the management fees paid","page_number":10,"box":{"x":70,"y":98,"width":827,"height":11}},{"id":"b7682198-3f5e-4a0d-8e95-1928e7aa5d7c","block_type":"box","text":"by the Fund and information about other fees applicable to and services provided to the Fund. This Part I of this SAI","page_number":10,"box":{"x":69,"y":113,"width":825,"height":11}},{"id":"cfc2e47d-6e15-449f-994a-794b55987c43","block_type":"box","text":"should be read in conjunction with the Fund’s Prospectus and those portions of Part II of this SAI that pertain to the","page_number":10,"box":{"x":69,"y":128,"width":829,"height":11}},{"id":"d8c75887-8fd0-4dac-9644-11124821fee8","block_type":"box","text":"Fund.","page_number":10,"box":{"x":70,"y":143,"width":36,"height":9}},{"id":"7d79c395-430b-49fd-a10e-7e089714569f","block_type":"box","text":"I. Investment Objective and Policies","page_number":10,"box":{"x":69,"y":173,"width":262,"height":11}},{"id":"b8452f49-5e38-4043-b0da-7067f7d952a9","block_type":"box","text":"Please see the section “Details About the Fund — How the Fund Invests” in the Prospectus for information","page_number":10,"box":{"x":102,"y":196,"width":762,"height":11}},{"id":"76f0fa40-620c-449b-a114-d3678339145f","block_type":"box","text":"about the Fund’s investment objective and policies. Additional information regarding the Fund’s investment objective","page_number":10,"box":{"x":69,"y":211,"width":830,"height":11}},{"id":"b19585b5-d030-4b07-bcf0-bff9f7215ba3","block_type":"box","text":"and policies is included below.","page_number":10,"box":{"x":69,"y":226,"width":215,"height":11}},{"id":"113f44d9-7f75-4857-9fd2-42f5b5c3cdf9","block_type":"box","text":"Organization and Management of the Wholly-Owned Subsidiary","page_number":10,"box":{"x":102,"y":249,"width":447,"height":11}},{"id":"91a0484b-c8e8-4a11-85f7-094c27369fbc","block_type":"box","text":"The Fund may invest up to 25% of its total assets in the shares of BlackRock Cayman Commodity Strategies","page_number":10,"box":{"x":101,"y":271,"width":773,"height":12}},{"id":"a61205a2-b528-45ab-94cf-7219e2decfa5","block_type":"box","text":"Fund, Ltd. (the “Subsidiary”), a wholly-owned subsidiary of the Fund. Investments in the Subsidiary are expected to","page_number":10,"box":{"x":70,"y":286,"width":820,"height":12}},{"id":"e1248258-74fd-45a2-8dcc-269127a1a147","block_type":"box","text":"provide the Fund with exposure to investment returns of commodities within the limitations of Subchapter M of the","page_number":10,"box":{"x":70,"y":302,"width":815,"height":11}},{"id":"4c3b3c40-65b3-45f3-bc52-00f09cfad0f2","block_type":"box","text":"Internal Revenue Code of 1986, as amended (the “Code”). The Subsidiary is advised by BlackRock Advisors, LLC","page_number":10,"box":{"x":70,"y":317,"width":807,"height":11}},{"id":"e375269d-d875-48ef-8bbd-d0482a435876","block_type":"box","text":"(“BlackRock” or the “Manager”). The Subsidiary (unlike the Fund) may invest without limitation in commodity-linked","page_number":10,"box":{"x":69,"y":332,"width":818,"height":11}},{"id":"363d1500-36b7-4126-939d-f2321c3f6508","block_type":"box","text":"derivatives. However, the Subsidiary is otherwise subject to the same fundamental, non-fundamental and certain","page_number":10,"box":{"x":69,"y":347,"width":805,"height":11}},{"id":"1585cd33-1ab6-4186-9c16-d2632a71e159","block_type":"box","text":"other investment restrictions as the Fund. The Subsidiary is a company organized under the laws of the Cayman","page_number":10,"box":{"x":69,"y":362,"width":799,"height":11}},{"id":"6748e226-1d80-4f36-9a74-20f5df8ebb3a","block_type":"box","text":"Islands, whose registered office is located at the offices of Maples Corporate Services Limited, P.O. Box 309, Ugland","page_number":10,"box":{"x":70,"y":377,"width":837,"height":12}},{"id":"66d4ac54-51b2-4489-ad58-64594407a057","block_type":"box","text":"House, Grand Cayman KYI-1104, Cayman Islands. The Subsidiary’s affairs are overseen by a board of directors,","page_number":10,"box":{"x":70,"y":392,"width":799,"height":12}},{"id":"093828cc-1056-4a65-bde5-1b1fb4f22379","block_type":"box","text":"which is comprised of John M. Perlowski, a Trustee of the Trust, and Neal J. Andrews, Chief Financial Officer of the","page_number":10,"box":{"x":68,"y":407,"width":819,"height":11}},{"id":"fc4e115e-9023-4c6a-bffd-84a71c5735a0","block_type":"box","text":"Trust. The Fund is the sole shareholder of the Subsidiary, and shares of the Subsidiary will not be sold or offered to","page_number":10,"box":{"x":68,"y":423,"width":828,"height":11}},{"id":"bb4f7820-4277-40a5-aef4-1b56993d452e","block_type":"box","text":"other investors.","page_number":10,"box":{"x":69,"y":438,"width":109,"height":9}},{"id":"d2d1ac77-cf1f-427c-a893-6b522adee5fa","block_type":"box","text":"The Subsidiary invests primarily in commodity-linked derivatives. The Fund will gain exposure to the investment","page_number":10,"box":{"x":101,"y":460,"width":790,"height":12}},{"id":"359ef239-8436-4c0c-ae0a-4cfd887fdd0c","block_type":"box","text":"returns of commodities indirectly by investing in the Subsidiary. To the extent that BlackRock believes that such","page_number":10,"box":{"x":69,"y":475,"width":794,"height":12}},{"id":"42ca1572-ff3f-4074-8262-0d7617b6bd15","block_type":"box","text":"instruments provide suitable exposure to commodities, the Fund’s investment in the Subsidiary will likely increase.","page_number":10,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"3169093a-a6a5-4f3b-828a-28fd11393180","block_type":"box","text":"BlackRock manages the assets of the Subsidiary, but receives no additional compensation for doing so.","page_number":10,"box":{"x":70,"y":506,"width":740,"height":11}},{"id":"1230df4d-b3e5-4943-a964-239f1c857f86","block_type":"box","text":"BlackRock also provides certain administrative services for the Subsidiary, but receives no additional","page_number":10,"box":{"x":102,"y":528,"width":721,"height":12}},{"id":"d25954e9-b3cd-42b3-985c-63553a0f2736","block_type":"box","text":"compensation for doing so. The Manager has entered into a sub-advisory agreement with BlackRock International","page_number":10,"box":{"x":69,"y":543,"width":808,"height":12}},{"id":"0ea2d9df-084a-4481-a622-4c8fc856f869","block_type":"box","text":"Limited with respect to the Subsidiary. The Subsidiary has entered into separate contracts for the provision of","page_number":10,"box":{"x":70,"y":559,"width":784,"height":11}},{"id":"041adc7b-0227-47df-9d6b-c653868e2b04","block_type":"box","text":"custody, transfer agency, and accounting agent services with the same or with affiliates of the same service","page_number":10,"box":{"x":69,"y":574,"width":771,"height":11}},{"id":"c393c6fc-9e6f-4f42-b965-e9661ff861d3","block_type":"box","text":"providers that provide those services to the Fund.","page_number":10,"box":{"x":70,"y":589,"width":353,"height":11}},{"id":"1d161335-3aec-4c70-ac8d-3aa35469e687","block_type":"box","text":"The Subsidiary is managed pursuant to compliance policies and procedures that are the same, in all material","page_number":10,"box":{"x":101,"y":612,"width":780,"height":11}},{"id":"9765de09-90f5-4374-b700-220582d9b116","block_type":"box","text":"respects, as the policies and procedures adopted by the Fund. As a result, the Manager, in managing the","page_number":10,"box":{"x":69,"y":627,"width":750,"height":11}},{"id":"9f390962-64a4-4212-838f-5aba9b58256a","block_type":"box","text":"Subsidiary’s portfolio, is subject to the same investment policies and restrictions that apply to the management of","page_number":10,"box":{"x":69,"y":642,"width":820,"height":11}},{"id":"37088d3d-3683-435b-a1b3-a5af6bf5001f","block_type":"box","text":"the Fund, and, in particular, to the requirements relating to portfolio leverage, liquidity, brokerage, and the timing and","page_number":10,"box":{"x":68,"y":657,"width":836,"height":11}},{"id":"d0566050-6ce1-4122-b425-03f39bcba68a","block_type":"box","text":"method of the valuation of the Subsidiary’s portfolio investments and shares of the Subsidiary. These policies and","page_number":10,"box":{"x":69,"y":672,"width":818,"height":11}},{"id":"7764fa8b-6178-4911-972f-c19e26602881","block_type":"box","text":"restrictions are described elsewhere in detail in this SAI. The Fund and Subsidiary test for compliance with certain","page_number":10,"box":{"x":69,"y":687,"width":814,"height":11}},{"id":"762e24ec-048e-4e93-aadd-f58de539f120","block_type":"box","text":"investment restrictions on a consolidated basis.","page_number":10,"box":{"x":70,"y":703,"width":341,"height":8}},{"id":"794b2c27-86ae-44bd-a80d-5af778100ab5","block_type":"box","text":"The financial statements of the Subsidiary are consolidated with the Fund’s financial statements in the Fund’s","page_number":10,"box":{"x":101,"y":725,"width":788,"height":11}},{"id":"471c58f0-9e5b-4a09-ac30-10ddfb28f976","block_type":"box","text":"Annual and Semi-Annual Financial Statements and Additional Information. Copies of the Fund’s annual and semi","page_number":10,"box":{"x":68,"y":740,"width":805,"height":11}},{"id":"6cf2770e-3caa-4ffd-8a3d-76f4aa6f7074","block_type":"box","text":"annual reports and Annual and Semi-Annual Financial Statements and Additional Information are available at no","page_number":10,"box":{"x":69,"y":755,"width":797,"height":11}},{"id":"7fb4abc0-d8d9-4e58-b083-5cd7d28cad8b","block_type":"box","text":"charge upon request by calling (800) 441-7762 between 8:00 a.m. and 6:00 p.m. Eastern time on any business day.","page_number":10,"box":{"x":69,"y":770,"width":836,"height":12}},{"id":"61381f18-2a5e-44e1-8eb4-9be26f54ee36","block_type":"box","text":"The Subsidiary is not registered under the Investment Company Act of 1940, as amended (the “Investment","page_number":10,"box":{"x":101,"y":793,"width":766,"height":11}},{"id":"000c36f2-12b8-4c82-af96-d00f5e1b89d0","block_type":"box","text":"Company Act”) and, unless otherwise noted in the Fund’s Prospectus or this SAI, is not subject to all the investor","page_number":10,"box":{"x":69,"y":808,"width":810,"height":11}},{"id":"7c936e07-7aa6-49ae-93ef-eab32cbd18f6","block_type":"box","text":"protections of the Investment Company Act. However, the Fund wholly owns and controls the Subsidiary, and the","page_number":10,"box":{"x":70,"y":823,"width":800,"height":11}},{"id":"1db63f3d-8a94-40f8-8ee6-7cba9d665844","block_type":"box","text":"Fund and the Subsidiary are both managed by BlackRock, making it unlikely that the Subsidiary will take action","page_number":10,"box":{"x":70,"y":838,"width":790,"height":12}},{"id":"92934b8d-950c-4bfa-9632-3037cce2583a","block_type":"box","text":"contrary to the interests of the Fund and its shareholders. The Trust’s Board has oversight responsibility for the","page_number":10,"box":{"x":69,"y":853,"width":796,"height":12}},{"id":"e1331a2b-5e7e-4395-a957-7392262bcf3f","block_type":"box","text":"investment activities of the Fund, including its investment in the Subsidiary, and the Fund’s role as sole shareholder","page_number":10,"box":{"x":70,"y":869,"width":828,"height":11}},{"id":"4d3f1077-3440-40ef-a137-a1ac1dba19a3","block_type":"box","text":"of the Subsidiary. As noted above, the Subsidiary is subject to the same investment restrictions and limitations, and","page_number":10,"box":{"x":69,"y":884,"width":831,"height":11}},{"id":"e16b3bf4-7169-482e-97d1-fe013d22ec4f","block_type":"box","text":"follows the same compliance policies and procedures, as the Fund. Changes in the laws of the United States and/or","page_number":10,"box":{"x":68,"y":899,"width":834,"height":11}},{"id":"a89e26a4-8601-48e2-84bd-969013444c16","block_type":"box","text":"I-1","page_number":10,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"a7eae72b-a94a-41cb-be26-3c2951aabeb5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":10,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ae453e0a-59c7-4b9f-9e8c-ae1930cdddb3","block_type":"box","text":"the Cayman Islands could result in the inability of the Fund and/or the Subsidiary to operate as described in the","page_number":11,"box":{"x":68,"y":45,"width":800,"height":11}},{"id":"fbb97dbb-b3bd-44b7-8a4c-53da4c608988","block_type":"box","text":"Fund’s Prospectus and this SAI and could adversely affect the Fund. For example, the Cayman Islands does not","page_number":11,"box":{"x":70,"y":60,"width":795,"height":11}},{"id":"f042e42c-4ae4-4a1d-8063-6805bbb98892","block_type":"box","text":"currently impose any income, corporate or capital gains tax, estate duty, inheritance tax, gift tax or withholding tax on","page_number":11,"box":{"x":69,"y":75,"width":834,"height":11}},{"id":"edaec719-d0b7-48e3-a73f-9029955b652b","block_type":"box","text":"the Subsidiary. If Cayman Islands law changes such that the Subsidiary must pay Cayman Islands taxes, Fund","page_number":11,"box":{"x":68,"y":90,"width":786,"height":11}},{"id":"64bc53a3-64fb-4214-82e5-19c69fdca0c0","block_type":"box","text":"shareholders would likely suffer decreased investment returns.","page_number":11,"box":{"x":69,"y":105,"width":448,"height":11}},{"id":"a8ce82cf-c3b4-4d38-9bba-c9a4acf7530f","block_type":"box","text":"Furthermore, the Fund will be subject to the distribution requirement on such Subsidiary income.","page_number":11,"box":{"x":102,"y":128,"width":689,"height":11}},{"id":"5078b78b-5335-4eb2-8137-1dfdd6f6d188","block_type":"box","text":"***","page_number":11,"box":{"x":469,"y":151,"width":40,"height":5}},{"id":"88ea87eb-27d8-496b-8829-ae08fffc28ca","block_type":"box","text":"In connection with its use of derivatives, the Fund does not expect to have exposure of more than 25% of its","page_number":11,"box":{"x":102,"y":174,"width":772,"height":11}},{"id":"82c52ae0-fbd3-4bb1-b724-a454ed04346c","block_type":"box","text":"total assets at any time to any one counterparty.","page_number":11,"box":{"x":68,"y":189,"width":346,"height":11}},{"id":"1a31b74b-2b09-4ec6-9130-b210ab1d7688","block_type":"box","text":"The Fund is currently classified as a diversified fund under the Investment Company Act. This means that the","page_number":11,"box":{"x":101,"y":212,"width":777,"height":11}},{"id":"a8d21c70-b956-45f6-b3eb-767b8e9c570f","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":11,"box":{"x":70,"y":227,"width":751,"height":11}},{"id":"9f1102f9-f431-4a70-b58c-83e94c6ea75a","block_type":"box","text":"Government, its agencies or instrumentalities and (ii) securities of other investment companies) if, with respect to","page_number":11,"box":{"x":69,"y":242,"width":813,"height":11}},{"id":"6a45bb97-1898-418f-80c3-68c780c5d22a","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":11,"box":{"x":69,"y":257,"width":827,"height":11}},{"id":"f3469da2-db17-4cf8-85b6-73ccbc16323e","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":11,"box":{"x":69,"y":272,"width":781,"height":11}},{"id":"471cad71-6b34-4d23-b3c2-46194a605c5f","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":11,"box":{"x":69,"y":287,"width":759,"height":11}},{"id":"0e6038f3-0c57-4712-837f-323a880c097d","block_type":"box","text":"Investment Company Act, the Fund cannot change its classification from diversified to non-diversified without","page_number":11,"box":{"x":70,"y":302,"width":774,"height":12}},{"id":"f0521085-5d94-47b9-9c5e-df6a55115c1a","block_type":"box","text":"shareholder approval.","page_number":11,"box":{"x":69,"y":318,"width":153,"height":10}},{"id":"2cc68f70-68be-4034-a728-922ad88c4c43","block_type":"box","text":"In implementing the Fund’s investment strategy, from time to time, BlackRock, the Fund’s investment manager,","page_number":11,"box":{"x":102,"y":340,"width":792,"height":11}},{"id":"5f314e61-0702-472a-9c1e-2a1f29e630b0","block_type":"box","text":"may consider and employ techniques and strategies designed to minimize and defer the U.S. federal income taxes","page_number":11,"box":{"x":69,"y":355,"width":816,"height":11}},{"id":"cf8627a7-34f4-4624-8186-4227f7edb42c","block_type":"box","text":"which may be incurred by shareholders in connection with their investment in the Fund.","page_number":11,"box":{"x":68,"y":371,"width":620,"height":10}},{"id":"6e715ba2-028a-46ec-8ef4-0170b1c54d9b","block_type":"box","text":"Set forth below is a listing of some of the types of investments and investment strategies that the Fund may","page_number":11,"box":{"x":102,"y":393,"width":774,"height":11}},{"id":"e428b42d-39da-4875-af20-b1b165447cf9","block_type":"box","text":"use, and the risks and considerations associated with those investments and investment strategies. Please see Part","page_number":11,"box":{"x":69,"y":408,"width":837,"height":11}},{"id":"365700a6-e9f7-4bf9-b43c-ab5801f53a71","block_type":"box","text":"II of this SAI for further information on these investments and investment strategies. Information contained in Part II","page_number":11,"box":{"x":70,"y":423,"width":828,"height":12}},{"id":"56671df3-e4ff-4ef5-bd41-adfadd5fb0a4","block_type":"box","text":"about the risks and considerations associated with investments and/or investment strategies applies only to the","page_number":11,"box":{"x":69,"y":439,"width":805,"height":11}},{"id":"afe784db-59da-49bb-845b-092c0b116d6c","block_type":"box","text":"extent the Fund makes each type of investment or uses each investment strategy. Also set forth below is a listing of","page_number":11,"box":{"x":69,"y":453,"width":830,"height":12}},{"id":"9d39c656-85d5-490e-814d-43ed029f92d2","block_type":"box","text":"the proxy voting policy and related guidelines applicable to the Fund. Please see “Proxy Voting Policies and","page_number":11,"box":{"x":68,"y":469,"width":760,"height":11}},{"id":"9cd82a7a-af30-40dd-9849-4d35c04b86dd","block_type":"box","text":"Procedures” in Part II of this SAI for further information about these policies. A copy of each policy is included in","page_number":11,"box":{"x":69,"y":484,"width":801,"height":11}},{"id":"7d49b777-480e-4848-89cc-48ddac1f192c","block_type":"box","text":"Appendix B.","page_number":11,"box":{"x":68,"y":499,"width":83,"height":11}},{"id":"07432aa8-f1d4-414a-a6ba-fc6978033fdb","block_type":"box","text":"Information that does not apply to the Fund does not form a part of the Fund’s SAI and should not be relied on","page_number":11,"box":{"x":102,"y":521,"width":789,"height":12}},{"id":"a5ebec60-828a-46a6-851a-eae53720ee9c","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":11,"box":{"x":69,"y":537,"width":822,"height":11}},{"id":"aa6a2146-c9af-4a37-ba69-72df67fd7930","block_type":"box","text":"part of the Fund’s SAI.","page_number":11,"box":{"x":70,"y":552,"width":158,"height":11}},{"id":"3ede8588-f1c9-4612-ba08-7596fe882343","block_type":"box","text":"Commodity Strategies Fund","page_number":11,"box":{"x":727,"y":581,"width":162,"height":8}},{"id":"b7f71087-7200-422d-97f8-ad88c82c8972","block_type":"box","text":"Asset-Backed Securities","page_number":11,"box":{"x":72,"y":600,"width":161,"height":8}},{"id":"db324f02-fcf9-4003-abce-b389872706ee","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":600,"width":8,"height":8}},{"id":"0d7275c4-6f6f-4956-a412-df4091bb0344","block_type":"box","text":"Asset-Based Securities","page_number":11,"box":{"x":72,"y":620,"width":152,"height":8}},{"id":"af04ec44-1245-4c71-8ed8-74d0848b6213","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":620,"width":8,"height":8}},{"id":"edb8ccf3-dea6-4e98-a9be-6094b439377b","block_type":"box","text":"Precious Metal-Related Securities","page_number":11,"box":{"x":83,"y":640,"width":215,"height":8}},{"id":"b6dc6204-1b60-4cd8-ba7b-3120de3e62a2","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":640,"width":8,"height":8}},{"id":"7437cf39-4570-452b-acde-684b58832177","block_type":"box","text":"Borrowing and Leverage","page_number":11,"box":{"x":73,"y":660,"width":157,"height":10}},{"id":"436ce699-d629-40a1-b56b-949c130b86d8","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":661,"width":8,"height":7}},{"id":"50a8233a-5f51-4708-8b0f-e99b6a9668cf","block_type":"box","text":"Cash Management","page_number":11,"box":{"x":73,"y":681,"width":122,"height":9}},{"id":"0f1dfbca-9da1-48c4-bcaa-3042261c21ec","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":681,"width":8,"height":7}},{"id":"b1a36574-5080-44ed-8e10-ba786223f618","block_type":"box","text":"Collateralized Debt Obligations","page_number":11,"box":{"x":73,"y":701,"width":202,"height":10}},{"id":"a2d1b437-22a0-4f2e-ba1f-0753a0acc46e","block_type":"box","text":"Collateralized Bond Obligations","page_number":11,"box":{"x":83,"y":721,"width":198,"height":10}},{"id":"c7e74d56-960d-45a7-84c1-49b36b20d29c","block_type":"box","text":"Collateralized Loan Obligations","page_number":11,"box":{"x":83,"y":741,"width":196,"height":10}},{"id":"cdbe2962-a55c-4aa2-a1ef-16d0d29ee629","block_type":"box","text":"Commercial Paper","page_number":11,"box":{"x":73,"y":761,"width":120,"height":10}},{"id":"1ac346eb-91ed-4340-92af-8baac2e4cc1d","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":761,"width":8,"height":8}},{"id":"a1eafbd3-a013-4e6c-a5a0-cdb77af111f9","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments","page_number":11,"box":{"x":73,"y":781,"width":431,"height":10}},{"id":"c16077c0-b6d6-47be-808c-628730f87f09","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":781,"width":8,"height":8}},{"id":"3275b0a5-4e49-4307-95fe-bb37fa4ac3f7","block_type":"box","text":"Qualifying Hybrid Instruments","page_number":11,"box":{"x":83,"y":801,"width":187,"height":11}},{"id":"184ba979-a8f9-4fbd-838d-fca97db43257","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":802,"width":8,"height":7}},{"id":"887b73b7-02dc-4c9c-b58c-231894b966bb","block_type":"box","text":"Hybrid Instruments Without Principal Protection X","page_number":11,"box":{"x":83,"y":822,"width":729,"height":10}},{"id":"70ed1889-8924-474f-8d5b-d417c4f2bcd1","block_type":"box","text":"Limitations on Leverage","page_number":11,"box":{"x":83,"y":842,"width":151,"height":10}},{"id":"58ed89f0-7426-4e98-ac65-750b8b4ac702","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":842,"width":8,"height":8}},{"id":"73d3c701-04ef-4a21-aa31-0e52d142086b","block_type":"box","text":"Counterparty Risk","page_number":11,"box":{"x":83,"y":862,"width":114,"height":10}},{"id":"bca61331-4b0a-497e-9c5b-16917ab5d558","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":862,"width":8,"height":8}},{"id":"6fa870a5-94f1-41e5-bd28-17dac39d5658","block_type":"box","text":"Convertible Securities","page_number":11,"box":{"x":73,"y":882,"width":145,"height":8}},{"id":"a63bfff9-b6f6-4baa-b534-d15602cbf527","block_type":"box","text":"X","page_number":11,"box":{"x":804,"y":882,"width":8,"height":8}},{"id":"bc6753a6-3500-40cd-bdae-4d8d31f85068","block_type":"box","text":"Corporate Loans","page_number":11,"box":{"x":73,"y":902,"width":107,"height":10}},{"id":"f3b8e8c2-31c1-4146-a275-b4a7aff7a7f3","block_type":"box","text":"I-2","page_number":11,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"b18ee346-f2f9-4e66-b3a0-f0d61f592b1c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":11,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5014422b-3a89-453a-bd21-dbbff3b96102","block_type":"box","text":"Commodity Strategies Fund","page_number":12,"box":{"x":727,"y":50,"width":162,"height":8}},{"id":"4a184486-83da-4985-b623-d1420a8812cd","block_type":"box","text":"Direct Lending","page_number":12,"box":{"x":83,"y":69,"width":91,"height":10}},{"id":"4003a82c-38a4-4f86-886e-80e9e3efbd0c","block_type":"box","text":"Credit Linked Securities","page_number":12,"box":{"x":73,"y":89,"width":157,"height":8}},{"id":"45acbc58-bbff-413b-9085-14e007afb9d8","block_type":"box","text":"Debt Securities","page_number":12,"box":{"x":73,"y":109,"width":100,"height":8}},{"id":"eee2506e-5f0d-4541-9615-beb21b72d7d7","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":109,"width":8,"height":8}},{"id":"4e2f4854-8474-4b93-bf54-b7289e540f6f","block_type":"box","text":"Floating and Variable Rate Securities","page_number":12,"box":{"x":83,"y":129,"width":234,"height":10}},{"id":"27a2684a-623c-4167-a857-5d97422b04fc","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":130,"width":8,"height":7}},{"id":"9ea1e58f-fed6-4eff-9635-4a99d82058c2","block_type":"box","text":"Inflation-Indexed Bonds","page_number":12,"box":{"x":83,"y":149,"width":148,"height":9}},{"id":"2d4107f8-470b-4724-83ab-f68583a58476","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":150,"width":8,"height":7}},{"id":"24a7d93f-1b4c-4cfe-8877-d99c0854ec93","block_type":"box","text":"Investment Grade Debt Obligations","page_number":12,"box":{"x":83,"y":170,"width":223,"height":10}},{"id":"e890776c-b88e-4b85-b3c3-7d02e4c40411","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":170,"width":8,"height":8}},{"id":"160e0431-d538-404c-b4a5-99f4483e9ac6","block_type":"box","text":"High Yield Investments (“Junk Bonds”)","page_number":12,"box":{"x":83,"y":190,"width":246,"height":10}},{"id":"a3b597b4-097a-451a-be2f-441a458692f3","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":190,"width":8,"height":8}},{"id":"fd0935f3-c059-42fe-a32e-54d24af15d5d","block_type":"box","text":"Mezzanine Investments","page_number":12,"box":{"x":93,"y":210,"width":149,"height":8}},{"id":"13aac369-d9a6-4b4a-8001-9cbcfa25e933","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":210,"width":8,"height":8}},{"id":"a993ed5b-b021-44e1-b090-85e0c3d070e9","block_type":"box","text":"Pay-in-kind Bonds","page_number":12,"box":{"x":83,"y":230,"width":110,"height":10}},{"id":"8f6d3081-1d1e-4e45-8f12-4794c2e35868","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":230,"width":8,"height":8}},{"id":"39687380-2366-4f2b-b47c-bbc2213072e7","block_type":"box","text":"Supranational Entities","page_number":12,"box":{"x":83,"y":250,"width":140,"height":10}},{"id":"db0821e1-1024-4508-bc0d-5739e189572b","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":250,"width":8,"height":8}},{"id":"29d279ef-7c7e-486a-8cf7-53f5b89a478f","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs)","page_number":12,"box":{"x":73,"y":271,"width":296,"height":9}},{"id":"c559c354-3813-4e9c-abe0-1f72a9d8d9d5","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":271,"width":8,"height":7}},{"id":"e62ad897-5c05-462b-bea9-fdf53660500f","block_type":"box","text":"Derivatives","page_number":12,"box":{"x":73,"y":291,"width":72,"height":8}},{"id":"3b3635f1-ef95-4530-ba35-f29037776000","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":291,"width":8,"height":8}},{"id":"8bb68cd8-f3d7-4180-98b1-efbe81cce9e7","block_type":"box","text":"Hedging","page_number":12,"box":{"x":83,"y":311,"width":51,"height":10}},{"id":"89ae818a-9d5d-43b9-9072-fd295c259ca5","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":311,"width":8,"height":8}},{"id":"cde2daaf-8266-4914-bff9-95bb1800d808","block_type":"box","text":"Speculation","page_number":12,"box":{"x":83,"y":331,"width":74,"height":10}},{"id":"d21d78e8-e4b5-4d1c-aa65-76075d7cd0de","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":331,"width":8,"height":8}},{"id":"762b6132-afd6-4518-b749-374a2463bbef","block_type":"box","text":"Risk Factors in Derivatives","page_number":12,"box":{"x":83,"y":351,"width":168,"height":8}},{"id":"8dc178e4-a80b-4147-baf3-0a415d825219","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":351,"width":8,"height":8}},{"id":"3cdb8cdf-421c-4a3c-afcf-4cc0d4924ae8","block_type":"box","text":"Correlation Risk","page_number":12,"box":{"x":93,"y":371,"width":101,"height":8}},{"id":"c68f295f-b89b-4a10-bbc1-920a27421ab6","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":371,"width":8,"height":8}},{"id":"ba32fd46-6bd1-432d-8cf0-b200f672fe41","block_type":"box","text":"Counterparty Risk","page_number":12,"box":{"x":93,"y":391,"width":114,"height":10}},{"id":"77fa31d9-2623-4a8f-ab42-ead97347b30b","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":392,"width":8,"height":7}},{"id":"56154fc6-5291-42a9-943c-c9ea437b9ec3","block_type":"box","text":"Credit Risk","page_number":12,"box":{"x":93,"y":412,"width":69,"height":8}},{"id":"688b68af-cb91-4393-a357-fb0ce889e0fe","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":412,"width":8,"height":8}},{"id":"de082439-be61-4b80-a2f9-b9f4f488cc78","block_type":"box","text":"Currency Risk","page_number":12,"box":{"x":93,"y":432,"width":87,"height":10}},{"id":"f3f416ed-3484-492f-9f47-74530a31b3fe","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":432,"width":8,"height":8}},{"id":"79b1dfa3-82d8-48ad-903e-61b3011e6c21","block_type":"box","text":"Illiquidity Risk","page_number":12,"box":{"x":93,"y":452,"width":87,"height":10}},{"id":"66a8ab6b-81b3-44f8-9f42-b9611641242f","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":452,"width":8,"height":8}},{"id":"bf4aaa7b-6cf9-41ec-96a7-5e61f7480290","block_type":"box","text":"Index Risk","page_number":12,"box":{"x":93,"y":472,"width":65,"height":8}},{"id":"015ba538-ee52-4ce6-b89c-5cc4f45805c1","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":472,"width":8,"height":8}},{"id":"6be41cb9-abeb-4238-b3e0-ec529ded375e","block_type":"box","text":"Legal Risk","page_number":12,"box":{"x":93,"y":492,"width":65,"height":10}},{"id":"55d36a39-eecf-47f0-9cb1-3ee0ed61af35","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":492,"width":8,"height":8}},{"id":"81afb594-0985-4624-912e-ec67be6a18eb","block_type":"box","text":"Leverage Risk","page_number":12,"box":{"x":93,"y":513,"width":88,"height":9}},{"id":"bb4bcdc8-88d1-4bd0-bf83-6ee36f3d231b","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":513,"width":8,"height":7}},{"id":"fab1e6f4-8d41-4bce-b76f-23efe5a887ab","block_type":"box","text":"Market Risk","page_number":12,"box":{"x":93,"y":533,"width":75,"height":8}},{"id":"1893b0d3-0603-4929-9fc7-ab2822f0ce77","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":533,"width":8,"height":7}},{"id":"29c7386c-fd36-4f61-8896-79077985a055","block_type":"box","text":"Operational Risk","page_number":12,"box":{"x":93,"y":553,"width":104,"height":9}},{"id":"3abf549e-19ae-481d-ba35-95e5aef0f92c","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":553,"width":8,"height":8}},{"id":"b414cc34-5ad2-4211-b0f1-e55bce8ae44a","block_type":"box","text":"Valuation Risk","page_number":12,"box":{"x":92,"y":573,"width":90,"height":8}},{"id":"4edbc027-76d0-44c5-895f-a37d431596dd","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":573,"width":8,"height":8}},{"id":"e16580a7-abef-4afd-8624-d3d4955efde5","block_type":"box","text":"Volatility Risk","page_number":12,"box":{"x":92,"y":593,"width":85,"height":10}},{"id":"3c3fffab-eb4d-4223-b59f-b9ab79cff517","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":593,"width":8,"height":8}},{"id":"a2419657-db5e-4497-9a35-d916295c359e","block_type":"box","text":"Futures","page_number":12,"box":{"x":83,"y":613,"width":46,"height":8}},{"id":"b9a5123e-d781-4803-836d-f1ec0db74509","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":613,"width":8,"height":8}},{"id":"e6135080-9a3f-446b-9560-384830f10423","block_type":"box","text":"Swap Agreements","page_number":12,"box":{"x":83,"y":633,"width":114,"height":10}},{"id":"29c309b7-6686-432c-be0c-2bfcdf1b841c","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":633,"width":8,"height":8}},{"id":"ad430404-3571-4fad-9b33-e5ab4b7c2cf6","block_type":"box","text":"Credit Default Swaps and Similar Instruments X","page_number":12,"box":{"x":93,"y":653,"width":719,"height":10}},{"id":"a7ee36f5-a80d-4cc3-b41c-32045f9a20a3","block_type":"box","text":"Interest Rate Swaps, Floors and Caps","page_number":12,"box":{"x":93,"y":674,"width":241,"height":9}},{"id":"4df6f2fd-4d42-401b-9594-cbea0d1aa962","block_type":"box","text":"Total Return Swaps","page_number":12,"box":{"x":92,"y":694,"width":123,"height":10}},{"id":"5a413a53-201d-47e5-96d0-43f6a8a4fd8b","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":694,"width":8,"height":8}},{"id":"a78b3360-ba36-4efa-b589-03176afe1f0a","block_type":"box","text":"Options","page_number":12,"box":{"x":83,"y":714,"width":48,"height":10}},{"id":"25b20743-2a94-4833-b976-4f55bd2db0d1","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":714,"width":8,"height":8}},{"id":"0596dde0-f2e9-45ad-9090-9da3944d4c50","block_type":"box","text":"Options on Securities and Securities Indices X","page_number":12,"box":{"x":93,"y":734,"width":719,"height":10}},{"id":"7f8311b8-146e-4f6f-87e4-375cdf66d7c1","block_type":"box","text":"Call Options","page_number":12,"box":{"x":93,"y":754,"width":76,"height":10}},{"id":"9f9d8041-e831-4c10-86d6-d55b08e562ab","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":754,"width":8,"height":8}},{"id":"158e0164-c59e-4ce3-b529-e9e200ee9fa8","block_type":"box","text":"Put Options","page_number":12,"box":{"x":93,"y":774,"width":73,"height":10}},{"id":"23297a72-f37d-46e0-8aee-750da68af937","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":775,"width":8,"height":7}},{"id":"b2298d8f-4776-487b-917d-b492891abc49","block_type":"box","text":"Options on Government National Mortgage Association (“GNMA”) Certificates","page_number":12,"box":{"x":93,"y":794,"width":496,"height":11}},{"id":"59fd6410-1f18-4bda-9447-6c21667e89c4","block_type":"box","text":"Options on Swaps (“Swaptions”)","page_number":12,"box":{"x":93,"y":815,"width":207,"height":10}},{"id":"b7408800-d183-4d95-9b31-5efd0524c762","block_type":"box","text":"FLEX Options","page_number":12,"box":{"x":93,"y":835,"width":82,"height":10}},{"id":"2196086a-de0c-4d3c-ba9d-dd627f1dc92e","block_type":"box","text":"Foreign Exchange Transactions","page_number":12,"box":{"x":83,"y":855,"width":196,"height":10}},{"id":"b31f8011-56d6-4b73-af49-92390c0bc017","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":855,"width":8,"height":8}},{"id":"045bd860-d6f8-40b7-9963-3718c2d8dfc9","block_type":"box","text":"Spot Transactions and FX Forwards","page_number":12,"box":{"x":93,"y":875,"width":225,"height":10}},{"id":"189940cf-91ba-46c8-856a-06a6d644098c","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":875,"width":8,"height":8}},{"id":"64baa673-2883-4052-b22c-4f841dce3812","block_type":"box","text":"Currency Futures","page_number":12,"box":{"x":93,"y":895,"width":107,"height":10}},{"id":"4378e32c-5056-409f-a1d0-86af9c08a17d","block_type":"box","text":"X","page_number":12,"box":{"x":804,"y":896,"width":8,"height":7}},{"id":"b7a79572-0c82-40b8-b123-b8dc3b1d0d4d","block_type":"box","text":"I-3","page_number":12,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"66d5101c-c494-46dd-8f3e-5e8beac74f58","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":12,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b401581b-5981-465e-8281-b97835174ddc","block_type":"box","text":"Commodity Strategies Fund","page_number":13,"box":{"x":727,"y":50,"width":162,"height":8}},{"id":"7596672e-5e2c-4750-8c1e-cd58f8bc5a04","block_type":"box","text":"Currency Options","page_number":13,"box":{"x":93,"y":69,"width":108,"height":10}},{"id":"52a1af7d-15c6-4082-b079-ca318c5f01ba","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":69,"width":8,"height":8}},{"id":"e5f13059-bba8-42ee-9902-17fec5701a17","block_type":"box","text":"Currency Swaps","page_number":13,"box":{"x":93,"y":89,"width":101,"height":10}},{"id":"0f568f19-c5bd-49fc-9327-b5b3ba7845d2","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":89,"width":8,"height":8}},{"id":"31e79721-a279-4fc9-8a37-9eaf53f63af8","block_type":"box","text":"Distressed Securities","page_number":13,"box":{"x":73,"y":109,"width":139,"height":8}},{"id":"8374a890-86b9-43ea-b1fe-560ddd37b099","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":13,"box":{"x":73,"y":129,"width":384,"height":10}},{"id":"518bc7dc-4572-4cbe-9d11-1252f5bf6190","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":130,"width":8,"height":7}},{"id":"617968bb-689a-4893-9508-5f32e4aca5db","block_type":"box","text":"Equity Securities","page_number":13,"box":{"x":73,"y":150,"width":110,"height":9}},{"id":"ef88d993-c769-45f0-97c9-8f7c4d7f61d0","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":150,"width":8,"height":7}},{"id":"346afc3f-84c8-4a0f-b4b6-719ccfb9f483","block_type":"box","text":"Real Estate-Related Securities","page_number":13,"box":{"x":83,"y":170,"width":193,"height":8}},{"id":"846b26c4-b2cb-4b5c-9484-080e356ce393","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":170,"width":8,"height":8}},{"id":"83d68aeb-5662-47c8-ad22-d98bfe6b3084","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies X","page_number":13,"box":{"x":83,"y":190,"width":729,"height":10}},{"id":"2e8ae6d1-0e4b-4f82-8226-1645dd3271b0","block_type":"box","text":"Tracking Stocks","page_number":13,"box":{"x":82,"y":210,"width":100,"height":10}},{"id":"e9c61991-ade7-46ae-9161-7b06ed18af77","block_type":"box","text":"Exchange-Traded Notes (“ETNs”)","page_number":13,"box":{"x":73,"y":230,"width":216,"height":10}},{"id":"02870489-bf0d-4360-b37b-0029eb37e5ec","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":230,"width":8,"height":8}},{"id":"2c9c2c14-9d1a-4c9b-a8fe-4349e3a11637","block_type":"box","text":"Foreign Investments","page_number":13,"box":{"x":73,"y":250,"width":133,"height":10}},{"id":"c9fd4d94-de4b-4ed8-bc52-2bfa860f7d0d","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":250,"width":8,"height":8}},{"id":"cb93db68-2550-4aa0-adba-7edc76c943c5","block_type":"box","text":"Foreign Investment Risks","page_number":13,"box":{"x":83,"y":271,"width":160,"height":10}},{"id":"5992dd70-f25b-4a4d-bee6-5f36d49218a9","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":271,"width":8,"height":7}},{"id":"66d88414-9a88-4313-9ca3-b21813e2eb3f","block_type":"box","text":"Foreign Market Risk","page_number":13,"box":{"x":83,"y":291,"width":127,"height":10}},{"id":"d7457cdf-65ba-4f36-a2b0-4b386bc4fd30","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":291,"width":8,"height":8}},{"id":"f628eedd-59a7-45b1-8e8a-ae45be544177","block_type":"box","text":"Foreign Economy Risk","page_number":13,"box":{"x":83,"y":311,"width":139,"height":10}},{"id":"778f1416-7eef-4a25-b4f1-a46dfc1721a6","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":311,"width":8,"height":8}},{"id":"21e9b0b9-1ba9-48ab-bdd9-5d13371ae157","block_type":"box","text":"Currency Risk and Exchange Risk","page_number":13,"box":{"x":83,"y":331,"width":212,"height":10}},{"id":"1afb168f-990c-4b13-a5ff-b603d963cdd8","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":331,"width":8,"height":8}},{"id":"843d1925-8aca-4c01-bc98-52d6696c2b65","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards X","page_number":13,"box":{"x":83,"y":351,"width":729,"height":10}},{"id":"8dafd52f-f231-400f-b4de-2ae9828b5099","block_type":"box","text":"Certain Risks of Holding Fund Assets Outside the United States X","page_number":13,"box":{"x":83,"y":371,"width":729,"height":10}},{"id":"9b85d185-4960-4f3a-815a-3159e0c141f9","block_type":"box","text":"Publicly Available Information","page_number":13,"box":{"x":83,"y":391,"width":185,"height":10}},{"id":"3d633344-4a89-4b66-9041-8adfd0eaff0a","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":392,"width":8,"height":7}},{"id":"7167347b-82fc-499a-a117-7b4d325e4d3f","block_type":"box","text":"Settlement Risk","page_number":13,"box":{"x":83,"y":412,"width":101,"height":8}},{"id":"0a19412a-38aa-4d02-8447-b1d3e2596699","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":412,"width":8,"height":8}},{"id":"d42d18d3-970e-4e6a-aefc-adeec07fddca","block_type":"box","text":"Sovereign Debt","page_number":13,"box":{"x":83,"y":432,"width":97,"height":10}},{"id":"b51c3ef0-e91d-495f-bce5-6b190eafce00","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":432,"width":8,"height":8}},{"id":"c660673a-895b-4b55-9bc3-e96e3d2fd048","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":13,"box":{"x":82,"y":452,"width":194,"height":10}},{"id":"18e9d1ac-8f00-4841-bbc3-eebda9e7d642","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":452,"width":8,"height":8}},{"id":"6d59a971-3aa8-465d-922a-1565d3f0add0","block_type":"box","text":"U.S. Economic Trading Partners Risk","page_number":13,"box":{"x":83,"y":472,"width":234,"height":10}},{"id":"1d308efd-655f-4622-be27-decf496477e2","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":472,"width":8,"height":8}},{"id":"68f27020-b19b-44d1-a0fa-d6339967f737","block_type":"box","text":"Funding Agreements","page_number":13,"box":{"x":73,"y":492,"width":134,"height":10}},{"id":"2627bd66-6ad0-4ad9-aa50-5deeec5adaf8","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":492,"width":8,"height":8}},{"id":"b658a47f-132b-4012-bec5-9277cda58315","block_type":"box","text":"Guarantees","page_number":13,"box":{"x":73,"y":512,"width":74,"height":8}},{"id":"92f43d8a-7cde-4d84-b637-c38675dda444","block_type":"box","text":"Illiquid Investments","page_number":13,"box":{"x":73,"y":533,"width":128,"height":9}},{"id":"8f7c65fe-41b5-480a-afd8-c99b973f2aa5","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":533,"width":8,"height":7}},{"id":"bf0f9568-2a34-4209-acc2-63fc508c1558","block_type":"box","text":"Index Funds","page_number":13,"box":{"x":73,"y":553,"width":78,"height":8}},{"id":"52b109bc-711f-4c43-847f-5ad2376a2153","block_type":"box","text":"Cash Flows; Expenses","page_number":13,"box":{"x":83,"y":573,"width":142,"height":10}},{"id":"e0a74119-ce24-4de4-ba52-5db2bd49b009","block_type":"box","text":"Tracking Error Risk","page_number":13,"box":{"x":82,"y":593,"width":120,"height":10}},{"id":"394a7c2e-e09f-463f-ad2e-5e8b76f936b6","block_type":"box","text":"S&P 500 Index","page_number":13,"box":{"x":83,"y":613,"width":96,"height":8}},{"id":"8cba6cb9-67a6-4a35-be62-722bfd01f118","block_type":"box","text":"Russell Indexes","page_number":13,"box":{"x":83,"y":633,"width":100,"height":8}},{"id":"ecd5152b-66bc-48f2-a2a8-0c608d6368ed","block_type":"box","text":"MSCI Indexes","page_number":13,"box":{"x":83,"y":654,"width":86,"height":8}},{"id":"7e679c7b-e7bd-4a0b-aa98-98ec5c9dc2b7","block_type":"box","text":"FTSE Indexes","page_number":13,"box":{"x":83,"y":674,"width":84,"height":8}},{"id":"3fba50ab-d066-412d-b88e-c06cec47aa45","block_type":"box","text":"Bloomberg Indexes","page_number":13,"box":{"x":83,"y":694,"width":121,"height":10}},{"id":"11d08cff-edfa-44b9-aade-c3f62bb9af57","block_type":"box","text":"ICE BofA Indexes","page_number":13,"box":{"x":83,"y":714,"width":108,"height":8}},{"id":"e690e7fe-bc9e-4e9f-82a7-29f5fe565bae","block_type":"box","text":"Indexed and Inverse Securities","page_number":13,"box":{"x":73,"y":734,"width":201,"height":8}},{"id":"f2b00b2f-1efe-4b44-a112-2e7f55412d0c","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":734,"width":8,"height":8}},{"id":"241516ed-ff90-4345-871f-66a47b95e366","block_type":"box","text":"Inflation Risk","page_number":13,"box":{"x":73,"y":754,"width":86,"height":8}},{"id":"94248450-11c2-476b-9208-b70a516d4d34","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":754,"width":8,"height":8}},{"id":"d04970e7-1ea0-486d-abe6-481a370ef3e7","block_type":"box","text":"Initial Public Offering (“IPO”) Risk","page_number":13,"box":{"x":73,"y":774,"width":224,"height":10}},{"id":"6eec6dbd-e2ed-4797-9888-5c180c199bc3","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":775,"width":8,"height":7}},{"id":"d50f0e20-a539-4311-addf-1e3c5e4ec699","block_type":"box","text":"Investment in Emerging Markets","page_number":13,"box":{"x":73,"y":795,"width":214,"height":10}},{"id":"487fddfe-cb5a-42b6-9fd5-4f8548b217d6","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":795,"width":8,"height":8}},{"id":"35a72f9a-392b-40b4-8524-49e48c438ee2","block_type":"box","text":"Brady Bonds","page_number":13,"box":{"x":83,"y":815,"width":79,"height":10}},{"id":"cd7e823d-309e-41b1-9092-1ab04b1534be","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":815,"width":8,"height":8}},{"id":"06575d58-2102-4a3d-a58b-e690e29021d6","block_type":"box","text":"China Investments Risk","page_number":13,"box":{"x":83,"y":835,"width":150,"height":8}},{"id":"814f33f7-74fb-482c-a5c8-7b719b2c3a5d","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":835,"width":8,"height":8}},{"id":"b596bf46-d646-4a7f-82f1-92447172959a","block_type":"box","text":"Investment in Other Investment Companies","page_number":13,"box":{"x":73,"y":855,"width":284,"height":10}},{"id":"d9a38f21-9497-49cc-a1db-b16deda355fd","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":855,"width":8,"height":8}},{"id":"016542f2-57f1-49cc-ad3a-81883e376855","block_type":"box","text":"Exchange-Traded Funds","page_number":13,"box":{"x":83,"y":875,"width":148,"height":10}},{"id":"8bbdfbba-f6b0-4bdf-a2bc-347f1e63bcb4","block_type":"box","text":"X","page_number":13,"box":{"x":804,"y":875,"width":8,"height":8}},{"id":"846deb04-9e1f-461c-b14e-f46511cfdb7d","block_type":"box","text":"Issuer Insolvency Risk","page_number":13,"box":{"x":73,"y":895,"width":146,"height":10}},{"id":"16b8dcf1-878d-411b-a772-a1c844fb8a46","block_type":"box","text":"I-4","page_number":13,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"7470d632-6c30-424b-b300-c9298268bf68","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":13,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2c2bf637-3882-4560-838e-54a5612a30e4","block_type":"box","text":"Commodity Strategies Fund","page_number":14,"box":{"x":727,"y":50,"width":162,"height":8}},{"id":"21c8cd09-f33a-4d95-b92a-9edf248db63a","block_type":"box","text":"Lease Obligations","page_number":14,"box":{"x":73,"y":69,"width":116,"height":10}},{"id":"a6f6020e-83e9-4ab6-8eba-54fbdfd7848d","block_type":"box","text":"Life Settlement Investments","page_number":14,"box":{"x":73,"y":89,"width":185,"height":8}},{"id":"09ed15f4-e901-44df-97cd-f8c609f9685c","block_type":"box","text":"Liquidity Risk Management","page_number":14,"box":{"x":73,"y":109,"width":178,"height":10}},{"id":"b83a25d2-5ec7-4872-8236-720370c516c5","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":109,"width":8,"height":8}},{"id":"6bcba9d2-a215-413a-8c3c-86f5f8f5eab5","block_type":"box","text":"Market Risks/Recent Market Events","page_number":14,"box":{"x":73,"y":129,"width":244,"height":10}},{"id":"5450a020-28d1-4605-ad37-a13b19f0d3f4","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":130,"width":8,"height":7}},{"id":"ec17ecb0-778f-4b29-8db2-83c6aaf4afa1","block_type":"box","text":"Master Limited Partnerships","page_number":14,"box":{"x":73,"y":150,"width":186,"height":9}},{"id":"e7ff0010-28f9-4073-922f-742962f3fccc","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":150,"width":8,"height":7}},{"id":"edf9c225-dac4-4093-b0b9-486b98d347bc","block_type":"box","text":"Merger Transaction Risk","page_number":14,"box":{"x":73,"y":170,"width":161,"height":10}},{"id":"ada8b21f-c8f8-499c-818f-c09115378622","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":170,"width":8,"height":8}},{"id":"bf17d295-8f44-4e11-93dc-c70990984b17","block_type":"box","text":"Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S.","page_number":14,"box":{"x":73,"y":190,"width":600,"height":10}},{"id":"6606c827-18a5-475e-869f-5c9e8ed2186e","block_type":"box","text":"Banks","page_number":14,"box":{"x":88,"y":204,"width":40,"height":8}},{"id":"bc6c887a-93ba-484c-aaab-1f044ee259b3","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":204,"width":8,"height":8}},{"id":"e8bd78fa-1430-4fb0-b206-3818ca42726c","block_type":"box","text":"Money Market Securities","page_number":14,"box":{"x":73,"y":224,"width":165,"height":10}},{"id":"c791f8e3-fdb2-4001-8fcf-345c75d0fc93","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":224,"width":8,"height":8}},{"id":"42b402ea-c672-4674-941e-3aabc5fcfabc","block_type":"box","text":"Mortgage-Related Securities","page_number":14,"box":{"x":73,"y":244,"width":188,"height":10}},{"id":"eec59c7b-02d9-48ff-a466-73d7d1ff9ff2","block_type":"box","text":"Mortgage-Backed Securities","page_number":14,"box":{"x":83,"y":264,"width":178,"height":10}},{"id":"708d7618-4991-4bac-9b7f-6e109156e30d","block_type":"box","text":"Collateralized Mortgage Obligations (“CMOs”)","page_number":14,"box":{"x":83,"y":284,"width":291,"height":10}},{"id":"2532aade-fd4f-4c9a-9ad7-d5ab93f116bf","block_type":"box","text":"Adjustable Rate Mortgage Securities","page_number":14,"box":{"x":82,"y":305,"width":234,"height":10}},{"id":"0904fa85-147c-403b-863f-e71b6c2a1569","block_type":"box","text":"CMO Residuals","page_number":14,"box":{"x":83,"y":325,"width":97,"height":8}},{"id":"5ad24b09-58a7-4fba-ba4f-3a9869da0523","block_type":"box","text":"Stripped Mortgage-Backed Securities","page_number":14,"box":{"x":83,"y":345,"width":237,"height":10}},{"id":"c89dac1e-6d99-4c5e-bde3-8d41b121faad","block_type":"box","text":"Tiered Index Bonds","page_number":14,"box":{"x":82,"y":365,"width":122,"height":8}},{"id":"4cb7a82b-c14c-44db-ba2c-3a0300da90a7","block_type":"box","text":"TBA Commitments","page_number":14,"box":{"x":82,"y":385,"width":118,"height":8}},{"id":"e0003c79-f3f9-4215-906a-d0b4344f714c","block_type":"box","text":"Mortgage Dollar Rolls","page_number":14,"box":{"x":83,"y":405,"width":137,"height":10}},{"id":"d6ca33c6-2ac5-4b53-85d6-8d89195fd17d","block_type":"box","text":"Net Interest Margin (NIM) Securities","page_number":14,"box":{"x":83,"y":425,"width":230,"height":11}},{"id":"7d9e99c8-362b-4923-bc6b-1218f80a043d","block_type":"box","text":"Municipal Investments","page_number":14,"box":{"x":73,"y":446,"width":148,"height":9}},{"id":"4b491ac7-2614-4d16-9c09-6c63fa381e7f","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds","page_number":14,"box":{"x":83,"y":466,"width":442,"height":10}},{"id":"a2c51008-3bc8-40af-ab10-f001fc5e1d11","block_type":"box","text":"Description of Municipal Bonds","page_number":14,"box":{"x":83,"y":486,"width":198,"height":10}},{"id":"193f23b0-bbe8-437e-abf9-80876c4643c4","block_type":"box","text":"General Obligation Bonds","page_number":14,"box":{"x":93,"y":506,"width":161,"height":10}},{"id":"ee797c73-7932-4bab-819a-8205a4b8586e","block_type":"box","text":"Revenue Bonds","page_number":14,"box":{"x":93,"y":526,"width":98,"height":8}},{"id":"3ffffcaa-b990-43f1-b482-eddae044e83e","block_type":"box","text":"Private Activity Bonds (“PABs”)","page_number":14,"box":{"x":93,"y":547,"width":194,"height":9}},{"id":"fea03f12-e683-4cf3-b1d3-6afc868e4e28","block_type":"box","text":"Moral Obligation Bonds","page_number":14,"box":{"x":93,"y":567,"width":148,"height":10}},{"id":"5ffc6e4f-fbcf-4db1-b527-0213739fe78e","block_type":"box","text":"Municipal Notes","page_number":14,"box":{"x":93,"y":587,"width":102,"height":9}},{"id":"fcf18687-293b-43b2-a6f8-4c6129df5c64","block_type":"box","text":"Municipal Commercial Paper","page_number":14,"box":{"x":93,"y":607,"width":182,"height":10}},{"id":"9aa0a1f0-2e9f-4298-ac63-a9ee94494bad","block_type":"box","text":"Municipal Lease Obligations","page_number":14,"box":{"x":93,"y":627,"width":179,"height":10}},{"id":"d05bfbdc-aebd-47c5-8fdc-366cea83fdb7","block_type":"box","text":"Tender Option Bonds","page_number":14,"box":{"x":92,"y":647,"width":133,"height":10}},{"id":"6389676d-7049-450e-a61f-bf1f970e8cdc","block_type":"box","text":"Yields","page_number":14,"box":{"x":92,"y":667,"width":38,"height":8}},{"id":"b09b6022-939b-4815-a216-bbbaf738bdc5","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”)","page_number":14,"box":{"x":92,"y":688,"width":288,"height":10}},{"id":"d96380d5-5fb2-4fdb-a449-bbae4179064c","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes","page_number":14,"box":{"x":92,"y":708,"width":416,"height":9}},{"id":"d44449d5-9da6-46f7-9496-d85ec2eb24a2","block_type":"box","text":"Call Rights","page_number":14,"box":{"x":93,"y":728,"width":67,"height":10}},{"id":"82076b7a-f940-462a-94f6-aed27778f5e5","block_type":"box","text":"Municipal Interest Rate Swap Transactions","page_number":14,"box":{"x":93,"y":748,"width":272,"height":10}},{"id":"f7bb8216-bcf5-4e34-93dc-880489abea9b","block_type":"box","text":"Insured Municipal Bonds","page_number":14,"box":{"x":93,"y":768,"width":157,"height":10}},{"id":"3c40df8e-a331-420a-865f-6e8441b4d311","block_type":"box","text":"Build America Bonds","page_number":14,"box":{"x":93,"y":788,"width":131,"height":8}},{"id":"87682abc-3ff2-40b9-bfca-09558e302186","block_type":"box","text":"Tax-Exempt Municipal Investments","page_number":14,"box":{"x":82,"y":809,"width":219,"height":9}},{"id":"aaf9d9d1-caa8-4634-ab15-60b189729245","block_type":"box","text":"Operational and Technology Risks","page_number":14,"box":{"x":73,"y":829,"width":221,"height":10}},{"id":"1d8b2d24-05b7-419e-847f-1da6fe250a26","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":829,"width":8,"height":8}},{"id":"70c76f84-4d6f-4e40-8de6-31c929022289","block_type":"box","text":"Participation Notes","page_number":14,"box":{"x":73,"y":849,"width":127,"height":10}},{"id":"af6bdf19-764b-428a-9229-e5d120f5acad","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":849,"width":8,"height":8}},{"id":"c9eae087-020b-4b9e-acb5-b27c93b1c06b","block_type":"box","text":"Portfolio Turnover Rates","page_number":14,"box":{"x":73,"y":869,"width":159,"height":8}},{"id":"11dcbb9b-4054-403b-8aa6-b7ea7f16ac7d","block_type":"box","text":"Preferred Stock","page_number":14,"box":{"x":73,"y":889,"width":103,"height":8}},{"id":"b34614bb-9fc8-45d3-9cab-4f36cbc40f74","block_type":"box","text":"X","page_number":14,"box":{"x":804,"y":889,"width":8,"height":8}},{"id":"df5b97d7-2351-466b-a089-f4cfc1dc98c1","block_type":"box","text":"I-5","page_number":14,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"fc1cb1b2-5d3d-4900-9fdf-6e3c0475926e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":14,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3dc51824-3a22-4958-ae7b-ff0a0a0dc0b4","block_type":"box","text":"Commodity Strategies Fund","page_number":15,"box":{"x":727,"y":50,"width":162,"height":8}},{"id":"a97b1b0e-a026-4abb-84ed-80e68163a12d","block_type":"box","text":"Tax-Exempt Preferred Shares","page_number":15,"box":{"x":82,"y":69,"width":184,"height":10}},{"id":"ddc8df7a-d4dd-41f1-8545-bda7b17e88c1","block_type":"box","text":"Trust Preferred Securities","page_number":15,"box":{"x":82,"y":89,"width":164,"height":8}},{"id":"6924ef86-e6b3-47bf-a8e0-246bea7b37bd","block_type":"box","text":"Proxy Voting Policies","page_number":15,"box":{"x":73,"y":109,"width":138,"height":10}},{"id":"7b411957-13fc-4640-9991-a6000467cc85","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":109,"width":8,"height":8}},{"id":"2fc1383c-56bd-4499-9087-b718b9d50555","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":15,"box":{"x":83,"y":129,"width":414,"height":10}},{"id":"0f125e7f-0a73-4346-937e-e9073b53b00a","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":130,"width":8,"height":7}},{"id":"c5d2d4fa-f455-46ca-8b66-a2d83c69047e","block_type":"box","text":"BlackRock Active Investment Stewardship Climate and Decarbonization Stewardship","page_number":15,"box":{"x":93,"y":150,"width":538,"height":9}},{"id":"f56ed4e0-ac99-438f-8504-9719b99619cc","block_type":"box","text":"Guidelines","page_number":15,"box":{"x":102,"y":161,"width":67,"height":8}},{"id":"3dc4b42f-b29f-4f66-bbf1-54d54b73e1e4","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":15,"box":{"x":83,"y":181,"width":233,"height":10}},{"id":"7cb6fa64-16ed-42e1-a537-b9e2c2ae9bc8","block_type":"box","text":"BlackRock Investment Stewardship Climate and Decarbonization Stewardship Guidelines","page_number":15,"box":{"x":93,"y":201,"width":567,"height":10}},{"id":"03512ffa-4cc1-4c2d-bfff-23f4b0a7c635","block_type":"box","text":"Real Estate Investment Trusts (“REITs”)","page_number":15,"box":{"x":73,"y":221,"width":265,"height":10}},{"id":"adf8db7c-6213-4dc4-8e9e-0ef6e2cf3e82","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":221,"width":8,"height":8}},{"id":"f6add251-f2f7-4bbf-a61a-7fade9b909dd","block_type":"box","text":"Reference Rate Replacement Risk","page_number":15,"box":{"x":73,"y":241,"width":226,"height":10}},{"id":"3edcf68d-a1ea-4c32-8485-ae9753820cf4","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":242,"width":8,"height":7}},{"id":"843b83e1-66d8-452c-a07c-b71b0c875e62","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts","page_number":15,"box":{"x":73,"y":262,"width":385,"height":10}},{"id":"0a48ccd9-d664-47a3-bc55-188a239342c5","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":262,"width":8,"height":8}},{"id":"3b949188-cddf-412c-bb53-761029cf3ec7","block_type":"box","text":"Restricted Securities","page_number":15,"box":{"x":73,"y":282,"width":138,"height":8}},{"id":"a7e69b70-d529-4371-9197-6603c45dda31","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":282,"width":8,"height":8}},{"id":"525058b7-1485-4810-bc89-16d2679eb166","block_type":"box","text":"Reverse Repurchase Agreements","page_number":15,"box":{"x":73,"y":302,"width":218,"height":10}},{"id":"ea0de38b-a65a-47aa-abfd-61b162da8e21","block_type":"box","text":"Rights Offerings and Warrants to Purchase","page_number":15,"box":{"x":73,"y":322,"width":281,"height":10}},{"id":"c088e391-df84-43a7-801b-6173eaf181e1","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":322,"width":8,"height":8}},{"id":"94891e5e-6643-40a6-979f-dc1cb3091a5d","block_type":"box","text":"Rule 144A Securities","page_number":15,"box":{"x":73,"y":342,"width":139,"height":8}},{"id":"7af5b98e-cb9a-42d9-b9c0-5b249ff413c7","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":342,"width":8,"height":8}},{"id":"f491b49a-6212-45d8-a9d1-c32be115a516","block_type":"box","text":"Securities Lending","page_number":15,"box":{"x":72,"y":362,"width":122,"height":10}},{"id":"e056831f-b9e1-4e03-9bb4-e4d698ac22b8","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":363,"width":8,"height":7}},{"id":"36793a41-e6e4-462e-a899-9000737b8729","block_type":"box","text":"Short Sales","page_number":15,"box":{"x":72,"y":383,"width":76,"height":8}},{"id":"7d78c45c-cc93-4160-a201-9ee9ffbef382","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":383,"width":8,"height":8}},{"id":"065f92c7-884e-4c30-850e-3b5eec51c234","block_type":"box","text":"Special Purpose Acquisition Companies","page_number":15,"box":{"x":72,"y":403,"width":260,"height":10}},{"id":"09b7d6fb-49d5-4756-a239-8174134031c2","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":403,"width":8,"height":8}},{"id":"74385f38-d1e0-4b80-9bb0-a4b0f15c8837","block_type":"box","text":"Standby Commitment Agreements","page_number":15,"box":{"x":72,"y":423,"width":226,"height":10}},{"id":"95aec1ba-df0f-436e-8c0f-3e961424f352","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":423,"width":8,"height":8}},{"id":"85f4f777-4b4c-40e3-96af-1890417d9ad4","block_type":"box","text":"Stripped Securities","page_number":15,"box":{"x":72,"y":443,"width":125,"height":10}},{"id":"713d3f82-8917-4afd-873d-f529389c0358","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":443,"width":8,"height":8}},{"id":"69fe6958-5263-4896-8ca8-cc6fa3cc9f95","block_type":"box","text":"Structured Notes","page_number":15,"box":{"x":72,"y":463,"width":113,"height":8}},{"id":"7feb7391-c04f-4b99-a3a4-c6611742b97e","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":463,"width":8,"height":8}},{"id":"6e0d4dc8-bc7c-471b-8b7e-eebad26dceee","block_type":"box","text":"Taxability Risk","page_number":15,"box":{"x":73,"y":483,"width":95,"height":10}},{"id":"98ef9f1b-a597-4d92-a052-37dda539dec1","block_type":"box","text":"Temporary Defensive Measures","page_number":15,"box":{"x":73,"y":504,"width":204,"height":9}},{"id":"bb15081c-d3d7-4048-9aa1-ac15155a4afb","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":504,"width":8,"height":7}},{"id":"22cc4402-51f1-446e-9cc1-dbb03ff56e2a","block_type":"box","text":"U.S. Government Obligations","page_number":15,"box":{"x":73,"y":524,"width":188,"height":10}},{"id":"139879e1-93de-4453-96b3-f1c28af7bfef","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":524,"width":8,"height":8}},{"id":"4ac5cf5a-85b1-4d2d-aa40-c4a0b2dbefbe","block_type":"box","text":"U.S. Treasury Obligations","page_number":15,"box":{"x":83,"y":544,"width":161,"height":10}},{"id":"c400b60d-585b-412d-a154-ecfabd8ead8f","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":544,"width":8,"height":8}},{"id":"0b19d391-bd15-45c8-966a-dc45aebf4c88","block_type":"box","text":"U.S. Treasury Rolls","page_number":15,"box":{"x":73,"y":564,"width":124,"height":10}},{"id":"b581b229-3ba0-4741-910c-96ce23a33e80","block_type":"box","text":"Utility Industries","page_number":15,"box":{"x":73,"y":584,"width":108,"height":10}},{"id":"3a61d219-4cca-44b4-a1a8-f16b6369683c","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":584,"width":8,"height":8}},{"id":"f27dfc2d-84e5-4409-a43d-0bd6e43a04ab","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments","page_number":15,"box":{"x":72,"y":604,"width":524,"height":10}},{"id":"c37958a8-ca07-4d7e-bffe-4eaa00bea577","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":604,"width":8,"height":8}},{"id":"f372aa7a-d4e7-4ac5-bed3-c8f6d1c803e1","block_type":"box","text":"Yields and Ratings","page_number":15,"box":{"x":72,"y":625,"width":123,"height":9}},{"id":"460c5ecc-8d3a-495c-a0ca-ba5e770f918e","block_type":"box","text":"Zero Coupon Securities","page_number":15,"box":{"x":73,"y":645,"width":154,"height":10}},{"id":"31047905-e12b-4e1c-a3a9-7dfff5d882d0","block_type":"box","text":"X","page_number":15,"box":{"x":804,"y":645,"width":8,"height":8}},{"id":"b017b44e-2058-4def-88a7-aad506804301","block_type":"box","text":"Regulation Regarding Derivatives.","page_number":15,"box":{"x":102,"y":668,"width":246,"height":11}},{"id":"a50a510a-3a00-4897-b8b6-e3d3db3446b7","block_type":"box","text":"The Commodity Futures Trading Commission (“CFTC”) subjects advisers to","page_number":15,"box":{"x":355,"y":668,"width":530,"height":12}},{"id":"d228d9db-1023-4431-8897-c01a4353fc1c","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":683,"width":828,"height":12}},{"id":"00d5a491-692c-4917-850f-04b64106ff21","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":698,"width":837,"height":12}},{"id":"bad6dbb7-d175-43cd-ad4c-b35f5eb4f885","block_type":"box","text":"and swaps (“CFTC Derivatives”), or (ii) markets itself as providing investment exposure to such instruments. Due to","page_number":15,"box":{"x":69,"y":714,"width":823,"height":11}},{"id":"ce2e6adf-6e0e-4ef0-88d2-d1eb865a05c0","block_type":"box","text":"the Fund’s potential use of CFTC Derivatives above the prescribed levels, however, the Fund will be considered a","page_number":15,"box":{"x":68,"y":729,"width":803,"height":11}},{"id":"c765453f-ecb3-4bc6-b749-74c595e10442","block_type":"box","text":"“commodity pool” under the Commodity Exchange Act. Accordingly, BlackRock has registered as a “commodity pool","page_number":15,"box":{"x":70,"y":744,"width":821,"height":11}},{"id":"c3d1d0de-55b6-44a3-8a79-6186d11b862f","block_type":"box","text":"operator” and is subject to CFTC regulation in respect of the Fund.","page_number":15,"box":{"x":69,"y":759,"width":472,"height":11}},{"id":"35c6aee8-91b5-4ffa-be70-5a199079c8cb","block_type":"box","text":"II. Investment Restrictions","page_number":15,"box":{"x":69,"y":789,"width":194,"height":9}},{"id":"8a45852e-be62-49a2-b587-33beaee18bfa","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":812,"width":800,"height":11}},{"id":"07215d2a-f7e4-4a39-a42d-877c3fa543fd","block_type":"box","text":"Certain 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":827,"width":825,"height":11}},{"id":"927ac5fe-6ed0-4e7f-9aa8-a32a04e0b16b","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":842,"width":809,"height":11}},{"id":"a905829b-08fa-4ea5-ba52-240eeecfc9cf","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":857,"width":803,"height":12}},{"id":"ecebf5ca-a200-4d7d-8ac2-924c4d20edbb","block_type":"box","text":"outstanding shares are represented or (ii) more than 50% of the outstanding shares).","page_number":15,"box":{"x":69,"y":872,"width":608,"height":12}},{"id":"3a3b7989-df3e-41ff-9571-328d503fb869","block_type":"box","text":"Under these fundamental investment restrictions, the Fund may not:","page_number":15,"box":{"x":102,"y":895,"width":485,"height":11}},{"id":"f9227dc5-fb04-45b5-a6fa-ceb43a4677ca","block_type":"box","text":"I-6","page_number":15,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"25914453-5e03-40ea-b605-b8662c84c5c7","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":15,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2d6a6c6b-bd6b-4b89-8c5b-d017e70fe904","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 time of","page_number":16,"box":{"x":102,"y":45,"width":807,"height":11}},{"id":"1d892cb2-1ab1-48a0-8de4-0445141958f8","block_type":"box","text":"purchase to be invested in the securities of one or more issuers conducting their principal business activities in the","page_number":16,"box":{"x":70,"y":60,"width":823,"height":11}},{"id":"fd4a26e2-f860-476d-9a81-1e250f4689c4","block_type":"box","text":"same industry, provided that (a) the Fund will cause 25% or more of its total assets at the time of purchase to be","page_number":16,"box":{"x":69,"y":75,"width":809,"height":11}},{"id":"53ddc71f-98e1-4002-9d51-db89ee48a684","block_type":"box","text":"invested in equity securities issued by commodity-related companies, derivatives with exposure to commodity-related","page_number":16,"box":{"x":70,"y":90,"width":831,"height":11}},{"id":"3eb25019-b36d-4d8e-baf5-16028c2fcd72","block_type":"box","text":"companies or investments in securities and derivatives linked to the underlying price movement of commodities,","page_number":16,"box":{"x":69,"y":105,"width":800,"height":11}},{"id":"d6897c2d-b5b4-4caf-8722-ee18df478c32","block_type":"box","text":"including but not limited to commodity-linked derivatives such as commodity-linked notes, commodity futures, forward","page_number":16,"box":{"x":70,"y":120,"width":836,"height":12}},{"id":"122ce5e9-fd86-41a4-9d69-f7c44e255bcf","block_type":"box","text":"contracts and swaps and other similar derivative instruments and investment vehicles that invest in commodities, or","page_number":16,"box":{"x":69,"y":136,"width":831,"height":10}},{"id":"fd09b149-da51-4f47-9981-4721ea865883","block_type":"box","text":"commodity-linked derivatives as described in the Prospectus; (b) there is no limitation with respect to (i) instruments","page_number":16,"box":{"x":69,"y":151,"width":830,"height":11}},{"id":"6f5052ac-fe12-4473-a6d2-4e339e6ab4d7","block_type":"box","text":"issued or guaranteed by the United States and tax exempt instruments issued by any state, territory or possession of","page_number":16,"box":{"x":70,"y":166,"width":840,"height":11}},{"id":"831d776c-818a-461c-8c2b-5f646323d09c","block_type":"box","text":"the United States, the District of Columbia or any of their authorities, agencies, instrumentalities or political","page_number":16,"box":{"x":68,"y":181,"width":769,"height":11}},{"id":"1d6095f1-b264-4c0e-91ad-8d56fffa8fc7","block_type":"box","text":"subdivisions, and (ii) repurchase agreements secured by the instruments described in clause (i); (c) wholly-owned","page_number":16,"box":{"x":69,"y":196,"width":807,"height":11}},{"id":"3950e49a-9415-42e7-b6e2-aa0601247e2f","block_type":"box","text":"finance companies will be considered to be in the industries of their parents if their activities are primarily related to","page_number":16,"box":{"x":68,"y":211,"width":829,"height":11}},{"id":"5acbb8f1-8729-4679-a57e-ecb21cfdbf8d","block_type":"box","text":"financing the activities of the parents; and (d) utilities will be divided according to their services; for example, gas,","page_number":16,"box":{"x":68,"y":226,"width":813,"height":11}},{"id":"d8fb952a-c742-40a1-9e6b-595a2867be43","block_type":"box","text":"gas transmission, electric and gas, electric and telephone will each be considered a separate industry.","page_number":16,"box":{"x":68,"y":241,"width":733,"height":11}},{"id":"f93213c8-ca1d-4bd9-bf85-a43a2e5e4bab","block_type":"box","text":"(2) Borrow money, except that (a) the Fund, to the extent permitted by applicable law, may borrow from banks (as","page_number":16,"box":{"x":102,"y":264,"width":806,"height":11}},{"id":"d17f2f9a-643f-4305-8a2b-937493b90eef","block_type":"box","text":"defined in the Investment Company Act), other affiliated investment companies and other persons or through reverse","page_number":16,"box":{"x":69,"y":279,"width":834,"height":11}},{"id":"9bdeb41f-72f6-4a44-b6eb-2fea2b04248d","block_type":"box","text":"repurchase agreements in amounts up to 33","page_number":16,"box":{"x":69,"y":294,"width":319,"height":11}},{"id":"9ef5c73b-4fa4-48a1-bc8f-b9360162c285","block_type":"box","text":"1⁄","page_number":16,"box":{"x":390,"y":294,"width":5,"height":6}},{"id":"0d6d9f69-46b8-40e8-b502-cc0f91eb5de9","block_type":"box","text":"1⁄3","page_number":16,"box":{"x":393,"y":294,"width":8,"height":9}},{"id":"61bbadc1-d85e-4dbb-a037-00bb27bd5c65","block_type":"box","text":"⁄3","page_number":16,"box":{"x":399,"y":298,"width":6,"height":5}},{"id":"c7349abe-2b07-442a-8643-609ea3743475","block_type":"box","text":"% of its total assets (including the amount borrowed), (b) the Fund","page_number":16,"box":{"x":405,"y":294,"width":472,"height":11}},{"id":"de80be6d-8676-419f-991c-93105ff842fd","block_type":"box","text":"may, to the extent permitted by applicable law, borrow up to an additional 5% of its total assets for temporary","page_number":16,"box":{"x":69,"y":309,"width":782,"height":11}},{"id":"d56d806a-fa21-4656-a397-4ea5760f66cc","block_type":"box","text":"purposes, (c) the Fund may obtain such short-term credits as may be necessary for the clearance of purchases and","page_number":16,"box":{"x":70,"y":324,"width":824,"height":11}},{"id":"1f0f2e85-9a38-4f8b-bb29-23fa6d458e88","block_type":"box","text":"sales of portfolio securities, (d) the Fund may purchase securities on margin to the extent permitted by applicable","page_number":16,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"341da690-4cf8-4314-8848-99c7ebbb6942","block_type":"box","text":"law and (e) the Fund may engage in transactions in mortgage dollar rolls which are accounted for as financings.","page_number":16,"box":{"x":70,"y":355,"width":793,"height":11}},{"id":"cd43a1ff-687d-4f7c-874b-1d99dcbc7806","block_type":"box","text":"(3) Issue senior securities to the extent such issuance would violate applicable law.","page_number":16,"box":{"x":102,"y":377,"width":594,"height":11}},{"id":"a9d92533-4b4e-42d9-b4aa-167c9c2c8772","block_type":"box","text":"(4) Purchase, hold or deal in real estate, although the Fund may purchase and sell securities that are secured by","page_number":16,"box":{"x":102,"y":400,"width":805,"height":11}},{"id":"49996406-efcb-4326-a3fa-a2ad358fa0c4","block_type":"box","text":"real estate or interests therein, securities of real estate investment trusts and mortgage-related securities and may","page_number":16,"box":{"x":69,"y":415,"width":826,"height":11}},{"id":"0e2bf8b5-4c8d-4bda-af8a-1f240aea57e7","block_type":"box","text":"hold and sell real estate acquired by the Fund as a result of the ownership of securities.","page_number":16,"box":{"x":69,"y":430,"width":628,"height":11}},{"id":"e5819b62-21e6-4347-b9c1-d8ec677a8e7c","block_type":"box","text":"(5) Underwrite securities issued by others, except to the extent that the sale of portfolio securities by the Fund","page_number":16,"box":{"x":102,"y":453,"width":789,"height":11}},{"id":"c1dfabcf-277d-44cd-9ae2-95129f9acc6f","block_type":"box","text":"may be deemed to be an underwriting.","page_number":16,"box":{"x":69,"y":468,"width":273,"height":11}},{"id":"8ff3b673-5a63-42c0-a221-3a72efe27803","block_type":"box","text":"(6) Purchase or sell commodities or contracts on commodities, except to the extent that the Fund may do so in","page_number":16,"box":{"x":102,"y":491,"width":790,"height":11}},{"id":"7885487d-4ee5-4e45-80ac-61c7338a993f","block_type":"box","text":"accordance with applicable law and the Fund’s Prospectus and SAI, as they may be amended from time to time, and","page_number":16,"box":{"x":69,"y":506,"width":829,"height":11}},{"id":"a13c9d9e-8e0b-4b4b-8321-e45d020e9de7","block_type":"box","text":"without registering as a commodity pool operator under the Commodity Exchange Act.","page_number":16,"box":{"x":68,"y":521,"width":609,"height":11}},{"id":"ada47a68-b8e6-437e-9caa-2d88190d4a47","block_type":"box","text":"(7) Make loans, except through (a) the purchase of debt obligations in accordance with the Fund’s investment","page_number":16,"box":{"x":102,"y":543,"width":782,"height":12}},{"id":"3db5c221-c79e-44ea-9e44-33d69f89bdb9","block_type":"box","text":"objective and policies, (b) repurchase agreements with banks, brokers, dealers and other financial institutions,","page_number":16,"box":{"x":69,"y":559,"width":789,"height":11}},{"id":"bb273d81-5fdc-4ce3-8283-3a9e790a7698","block_type":"box","text":"(c) loans of securities as permitted by applicable law, and (d) loans to affiliates of the Fund to the extent permitted by","page_number":16,"box":{"x":69,"y":574,"width":839,"height":11}},{"id":"6c7cf1d7-c6ef-40e1-a79f-c2edf47589b4","block_type":"box","text":"law.","page_number":16,"box":{"x":70,"y":589,"width":24,"height":9}},{"id":"b1d4577f-6cf6-4e4c-a914-d9801fe379b5","block_type":"box","text":"With respect to fundamental investment restriction 1. above, with respect to the Fund’s industry classifications,","page_number":16,"box":{"x":101,"y":612,"width":798,"height":11}},{"id":"c862c18c-0ff6-4006-999b-cc708206e971","block_type":"box","text":"the Fund currently utilizes any one or more of the industry sub-classifications used by one or more widely recognized","page_number":16,"box":{"x":68,"y":627,"width":829,"height":11}},{"id":"3a1602cc-1d39-4a28-afc7-b9a0b0b414c5","block_type":"box","text":"market indexes or rating group indexes, and/or as defined by Fund management. The policy also will be interpreted to","page_number":16,"box":{"x":69,"y":642,"width":839,"height":11}},{"id":"37ddddbe-7de3-4f64-930c-d3c4d075b82e","block_type":"box","text":"give broad authority to the Fund as to how to classify issuers within or among industries.","page_number":16,"box":{"x":68,"y":657,"width":631,"height":11}},{"id":"de32e817-a8af-488f-bd6d-c8c481e721d2","block_type":"box","text":"With respect to fundamental investment restriction 1. above, the Fund will look to the reference asset underlying","page_number":16,"box":{"x":101,"y":680,"width":804,"height":11}},{"id":"277bd0b9-fd71-4046-9e46-4182cfb3c275","block_type":"box","text":"any derivative, including a participation note, when determining its percentage of assets invested in any particular","page_number":16,"box":{"x":69,"y":695,"width":813,"height":11}},{"id":"fed011e5-7e62-4e30-ab4a-57680f54c68c","block_type":"box","text":"industry.","page_number":16,"box":{"x":70,"y":710,"width":58,"height":11}},{"id":"45b56446-0704-4cc8-9abb-3b27fe9d5619","block_type":"box","text":"Under its non-fundamental investment restrictions, which may be changed by the Board without shareholder","page_number":16,"box":{"x":102,"y":732,"width":768,"height":12}},{"id":"567a7805-1cf3-4dfb-bc36-072ebbb01cd7","block_type":"box","text":"approval, the Fund may not:","page_number":16,"box":{"x":69,"y":748,"width":197,"height":11}},{"id":"bb82ccce-bd87-4f90-9ea7-9e3052b4bbf4","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":770,"width":747,"height":11}},{"id":"0f5a57c8-9cf3-46ad-aca4-78b07bbbcfdf","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":785,"width":759,"height":12}},{"id":"816e93c0-3a3d-4332-8da8-9561289f9f47","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":801,"width":829,"height":11}},{"id":"b2a8c2b8-e769-49e7-8f24-60675589ec5d","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":816,"width":808,"height":11}},{"id":"175809ef-c55e-4e5b-b524-6c0c98551c62","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":831,"width":763,"height":11}},{"id":"d47c1058-e64d-4e65-9e9e-5c93363a3cfe","block_type":"box","text":"(b) Make short sales of securities or maintain a short position, except to the extent permitted by the Fund’s","page_number":16,"box":{"x":102,"y":853,"width":770,"height":12}},{"id":"294e529a-9756-422d-a4ea-b7dc68274b8a","block_type":"box","text":"Prospectus and SAI, as amended from time to time, and applicable law.","page_number":16,"box":{"x":69,"y":869,"width":510,"height":11}},{"id":"7c2ef045-cd07-4851-ac8a-fead68f01c02","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":891,"width":771,"height":11}},{"id":"3dc16f64-ae53-43bc-91d4-5ca58d8dbb69","block_type":"box","text":"Company Act, all limitations apply only at the time that a transaction is undertaken. Any change in the percentage of","page_number":16,"box":{"x":69,"y":906,"width":830,"height":12}},{"id":"1826e4ba-90cc-4a9e-bf65-6f87b33df938","block_type":"box","text":"I-7","page_number":16,"box":{"x":481,"y":943,"width":16,"height":9}},{"id":"6863806f-5ba0-4f2b-908c-e60c8cf44047","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":16,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5c123ab0-155b-442f-afe3-76c2f9d9530e","block_type":"box","text":"the Fund’s assets invested in certain securities or other instruments resulting from market fluctuations or other","page_number":17,"box":{"x":68,"y":45,"width":799,"height":11}},{"id":"9045b9ed-306d-480b-901b-c18048659376","block_type":"box","text":"changes in the Fund’s total assets will not require the Fund to dispose of an investment until BlackRock determines","page_number":17,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"d73d15ac-aaac-4691-b7ad-fa73ca71e646","block_type":"box","text":"that it is practicable to sell or close out the investment without undue market or tax consequences.","page_number":17,"box":{"x":68,"y":75,"width":708,"height":11}},{"id":"6ba5bbdb-22ce-410b-a42c-342dc837eb4d","block_type":"box","text":"III. Information on Trustees and Officers","page_number":17,"box":{"x":69,"y":105,"width":290,"height":9}},{"id":"15d7e9f5-3501-4766-b033-7c7c51683a8f","block_type":"box","text":"The Board consists of fifteen individuals (each, a “Trustee”), thirteen of whom are not “interested persons” of","page_number":17,"box":{"x":101,"y":128,"width":788,"height":11}},{"id":"e25e9b3c-63f5-4441-827e-fd53a51ecc89","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":143,"width":779,"height":11}},{"id":"425f1e7d-a955-4230-a3bd-5dfae04f274a","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":158,"width":837,"height":11}},{"id":"bd011129-5e37-4cc5-b17f-6b2315265ff5","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":173,"width":793,"height":11}},{"id":"8af1b930-f0e6-4674-92ea-09985f8a71e7","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":188,"width":822,"height":11}},{"id":"91dac138-3ce6-4572-b865-e18113a3d2b5","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":203,"width":837,"height":12}},{"id":"2357fc90-6fd6-45f9-a8cc-32b305a569f0","block_type":"box","text":"included in the BlackRock Multi-Asset Complex.","page_number":17,"box":{"x":70,"y":219,"width":335,"height":10}},{"id":"9ccc93ed-2bab-47ce-90a1-f3c167681288","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":241,"width":769,"height":11}},{"id":"1da2aee2-7a45-4611-b181-eb032bf98794","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":256,"width":827,"height":11}},{"id":"868b1d3b-6b5b-48c7-82c3-0559cdf38cce","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":271,"width":821,"height":12}},{"id":"84ac7001-78ba-4c24-a53d-45c373fca796","block_type":"box","text":"Committee, a Performance Oversight Committee and an Ad Hoc Topics Committee. The role of the Chair of the Board","page_number":17,"box":{"x":69,"y":286,"width":835,"height":12}},{"id":"9fa79a98-02d0-4557-be1d-d73377b6d99d","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":302,"width":830,"height":11}},{"id":"8fef9dda-37f6-4019-b9a1-7e6e789cf0af","block_type":"box","text":"Trustees generally between meetings. The Chair of each Committee performs a similar role with respect to the","page_number":17,"box":{"x":68,"y":317,"width":789,"height":11}},{"id":"0b1be1b7-0ae9-424d-8d49-e31ded355ac2","block_type":"box","text":"Committee. The Chair of the Board or the Chair of a Committee may also perform such other functions as may be","page_number":17,"box":{"x":69,"y":332,"width":810,"height":11}},{"id":"f286d645-017a-42e9-ba9e-f3ed26731d24","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":347,"width":809,"height":11}},{"id":"83c1d51f-8fa1-491a-964f-08f9c8eacf97","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":362,"width":794,"height":11}},{"id":"121b6129-0a92-419b-a789-f230208d2eda","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":377,"width":816,"height":12}},{"id":"f77e2b01-453f-45a6-bcec-d56ba0025d08","block_type":"box","text":"Committee meets regularly to conduct the oversight functions delegated to that Committee by the Board and reports","page_number":17,"box":{"x":69,"y":392,"width":831,"height":12}},{"id":"a7fa82e9-5226-4bb4-81bc-5885df5f2765","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":407,"width":811,"height":12}},{"id":"375d2d61-844f-4253-90e4-9b5db83642e3","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":423,"width":809,"height":11}},{"id":"f59b068b-9991-476d-9f58-eb2f54f68192","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":438,"width":825,"height":11}},{"id":"57579007-4111-4bb4-84f5-dab36ca6f30d","block_type":"box","text":"Committees and the full Board to enhance effective oversight.","page_number":17,"box":{"x":69,"y":453,"width":441,"height":11}},{"id":"b3be76c2-9965-4878-a341-1549ab519286","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":475,"width":777,"height":12}},{"id":"c57877d9-a4fd-4edb-a6bd-d6fa7648d5c7","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":491,"width":832,"height":11}},{"id":"1cf5a36c-c81e-4b7f-b767-c181eedd4519","block_type":"box","text":"the provisions of the Investment Company Act, state law, other applicable laws, the Trust’s charter, and the Fund’s","page_number":17,"box":{"x":68,"y":506,"width":820,"height":11}},{"id":"e7ea2f46-b424-472d-990b-747a593fd983","block_type":"box","text":"investment objective and strategies. The Board reviews, on an ongoing basis, the Fund’s performance, operations","page_number":17,"box":{"x":70,"y":521,"width":812,"height":11}},{"id":"f2cdde1b-ee55-4093-ba31-de138eff032e","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":536,"width":819,"height":11}},{"id":"7340188b-00a5-4c3d-9713-5d9fea24d263","block_type":"box","text":"the operations of the Fund.","page_number":17,"box":{"x":68,"y":551,"width":192,"height":11}},{"id":"c9519dc2-dcae-449b-a048-d9f2876f662b","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":574,"width":785,"height":11}},{"id":"516bc811-bcd6-43b6-aebc-bb004ef4c1f2","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":589,"width":828,"height":11}},{"id":"e5eebfac-dd3e-440c-b98d-7c38f4c2909f","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":604,"width":832,"height":11}},{"id":"bbfe8274-bfa2-4006-ad00-0faa355e1507","block_type":"box","text":"there are a number of risk management functions performed by the Manager and the sub-advisers or other service","page_number":17,"box":{"x":68,"y":619,"width":820,"height":11}},{"id":"d433e6c6-06e0-495c-affb-894120a005b2","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":634,"width":811,"height":12}},{"id":"c8c1577d-e633-493b-8b61-5a180f6dc39f","block_type":"box","text":"part of the Board’s general oversight of the Fund and is addressed as part of various Board and Committee","page_number":17,"box":{"x":70,"y":649,"width":767,"height":12}},{"id":"dc16af0d-f42c-4c4b-8fc8-aeddef7358a0","block_type":"box","text":"activities. The Board, directly or through a Committee, also reviews reports from, among others, management, the","page_number":17,"box":{"x":69,"y":664,"width":815,"height":12}},{"id":"0e219b67-feb4-43b8-b141-02a7efacd508","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":680,"width":803,"height":11}},{"id":"7980efbe-e565-42aa-9e4d-d0d1a491e708","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":695,"width":840,"height":11}},{"id":"45b1946e-3de2-4660-8546-12ea2f50aae9","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":710,"width":812,"height":11}},{"id":"da85bc4e-3e34-4bf9-8a10-ab8b84837254","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":725,"width":817,"height":11}},{"id":"59b3fbbf-fddd-4ac4-a704-213f6dfb75ca","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":740,"width":812,"height":11}},{"id":"0f9f428c-a547-429d-bee1-fc59769e6507","block_type":"box","text":"testing of the Fund’s compliance program and reports to the Board regarding compliance matters for the Fund and its","page_number":17,"box":{"x":68,"y":755,"width":840,"height":11}},{"id":"bafe0338-19bc-4eb8-9f8d-474fd869ef27","block_type":"box","text":"service providers. The Independent Trustees have engaged independent legal counsel to assist them in performing","page_number":17,"box":{"x":69,"y":770,"width":822,"height":12}},{"id":"68ed9dd1-c880-42cd-a7e7-df18d60d938d","block_type":"box","text":"their oversight responsibilities.","page_number":17,"box":{"x":68,"y":786,"width":218,"height":11}},{"id":"9d533b53-343c-4516-8adb-21dbb8c58649","block_type":"box","text":"Audit Committee.","page_number":17,"box":{"x":101,"y":808,"width":122,"height":9}},{"id":"95c56bf9-9136-4a8a-a8e4-7563746d95cb","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":808,"width":673,"height":11}},{"id":"8b16e029-e9e7-4f0c-9c6f-1fedec951fc9","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":823,"width":831,"height":11}},{"id":"8cf7a2de-1a74-44a2-9f1d-0aa3ed656224","block_type":"box","text":"The principal responsibilities of the Audit Committee are to approve, and recommend to the full Board for approval,","page_number":17,"box":{"x":68,"y":838,"width":820,"height":11}},{"id":"6085f5b0-e390-4dcf-b478-8f732dcb70d9","block_type":"box","text":"the selection, retention, termination and compensation of the Fund’s independent registered public accounting firm","page_number":17,"box":{"x":68,"y":853,"width":823,"height":12}},{"id":"15f207da-aa9e-40fc-9be4-3f1c92955a09","block_type":"box","text":"(the “Independent Registered Public Accounting Firm”) and to oversee the Independent Registered Public Accounting","page_number":17,"box":{"x":69,"y":869,"width":830,"height":11}},{"id":"61ceb79a-b072-4aa4-8920-900277d98b75","block_type":"box","text":"Firm’s work. The Audit Committee’s responsibilities include, without limitation, to (1) evaluate the qualifications and","page_number":17,"box":{"x":70,"y":884,"width":825,"height":11}},{"id":"b70c7d19-77f5-4cbf-8570-65b3cc1b76b7","block_type":"box","text":"independence of the Independent Registered Public Accounting Firm; (2) approve all audit engagement terms and","page_number":17,"box":{"x":70,"y":899,"width":807,"height":11}},{"id":"46ab269e-f7ec-4b7e-9e03-e381a247dcc2","block_type":"box","text":"I-8","page_number":17,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"314dbfd0-d988-4067-9b4b-73e9fdc135d4","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":17,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"23e2ff47-18f7-471f-83b4-e1877485931b","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":45,"width":781,"height":11}},{"id":"ad7f34de-42f1-4c43-9a18-5fc57c5abf5e","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":60,"width":834,"height":11}},{"id":"ba2ebf04-4490-442d-b322-a2f27490d93e","block_type":"box","text":"regarding the accounting or financial reporting policies and practices of the Fund and the internal controls of the Fund","page_number":18,"box":{"x":69,"y":75,"width":838,"height":11}},{"id":"47264150-38cb-4f1c-8231-9a53bdecb83f","block_type":"box","text":"and certain service providers; (5) oversee the performance of the Fund’s Independent Registered Public Accounting","page_number":18,"box":{"x":69,"y":90,"width":825,"height":11}},{"id":"f378d40e-b91c-4f40-9569-34d2c43e6495","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":105,"width":809,"height":11}},{"id":"343cf977-eaa3-41df-93bb-283043db5d76","block_type":"box","text":"performance and findings of the Fund’s internal auditors; (7) discuss with Fund management its policies regarding","page_number":18,"box":{"x":70,"y":120,"width":815,"height":12}},{"id":"ef6c7fde-ebd0-47f5-86dd-f4b358277cb2","block_type":"box","text":"risk assessment and risk management as such matters relate to the Fund’s financial reporting and controls;","page_number":18,"box":{"x":69,"y":135,"width":774,"height":12}},{"id":"8ecb3746-ba28-4e3a-b21a-955a353ab06d","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":151,"width":815,"height":11}},{"id":"a6c458d2-9762-499c-a429-eb48877a9848","block_type":"box","text":"regarding financial reporting; and (9) undertake such other duties and responsibilities as may from time to time be","page_number":18,"box":{"x":69,"y":166,"width":819,"height":11}},{"id":"01ff228d-86f7-4f4f-b661-f9b1a9d2d367","block_type":"box","text":"delegated by the Board to the Audit Committee. The Board has adopted a written charter for the Audit Committee.","page_number":18,"box":{"x":69,"y":181,"width":812,"height":11}},{"id":"5b14f414-3df4-43da-90fa-cccd3826e0ed","block_type":"box","text":"During the fiscal year ended May 31, 2026, the Audit Committee met four times.","page_number":18,"box":{"x":70,"y":196,"width":574,"height":11}},{"id":"d9950bb3-b7a0-4230-bc90-cc12b5f920a9","block_type":"box","text":"Governance and Nominating Committee.","page_number":18,"box":{"x":102,"y":219,"width":286,"height":11}},{"id":"bf3b6255-1259-49ef-a639-069be521da08","block_type":"box","text":"The members of the Governance and Nominating Committee (the","page_number":18,"box":{"x":394,"y":218,"width":464,"height":12}},{"id":"807198a5-9685-45f1-a342-c95d48d62204","block_type":"box","text":"“Governance Committee”) are Cynthia A. Montgomery (Chair), Christopher J. Ailman, Susan J. Carter, Collette Chilton,","page_number":18,"box":{"x":70,"y":234,"width":838,"height":11}},{"id":"0cb04173-8077-4f6f-b67e-499ee627bd3b","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":249,"width":784,"height":11}},{"id":"36ab09ec-d043-4236-9868-b0128190d28d","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":264,"width":803,"height":11}},{"id":"42258c57-6916-4d62-bce4-a27d5e8d07a2","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":279,"width":829,"height":11}},{"id":"4a476e6b-543f-4612-9089-d0db00b14c67","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":294,"width":828,"height":11}},{"id":"f83a006c-23ed-4e0e-bcc8-d69ca51862d1","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":309,"width":809,"height":11}},{"id":"a4ce8af4-4700-400e-be09-ac6cccf3b441","block_type":"box","text":"and make recommendations regarding Independent Trustee compensation; (5) monitor corporate governance matters","page_number":18,"box":{"x":69,"y":325,"width":838,"height":11}},{"id":"da8f23c3-5927-4c9a-a876-a33af00ca0bf","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":340,"width":800,"height":10}},{"id":"27a74e62-9787-40e5-b9fd-2a51999e3fa8","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":355,"width":813,"height":11}},{"id":"1c3b90f9-8bab-461d-9418-cbacbb9b7662","block_type":"box","text":"ethics as they relate to Independent Trustees; and (7) undertake such other duties and responsibilities as may from","page_number":18,"box":{"x":69,"y":370,"width":829,"height":11}},{"id":"c61ad62d-512b-4d3d-9289-16af0b66bb0a","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":385,"width":804,"height":11}},{"id":"78fc9d89-e92f-4a35-8b4e-df09e93d8bd6","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":400,"width":832,"height":11}},{"id":"bc3cdbb9-5549-4cc4-8416-59ff5d1bb126","block_type":"box","text":"Restated Code of Regulations (“Bylaws”), shareholders must follow certain procedures to nominate a person for","page_number":18,"box":{"x":70,"y":415,"width":801,"height":11}},{"id":"071d8951-8695-4956-9af1-3a4e08c3386c","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":430,"width":799,"height":11}},{"id":"b7781dca-c993-43de-9f38-180a1088a3a2","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":445,"width":776,"height":11}},{"id":"30432076-c5a8-464b-9be0-02ad5c09aba4","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":460,"width":821,"height":12}},{"id":"ef3f14b2-e753-42c4-846c-d0ea5272d083","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":475,"width":812,"height":12}},{"id":"4065ce2c-ca03-4b21-9029-b0d9926ac68a","block_type":"box","text":"made, whichever first occurs. The Trust’s Bylaws provide that notice of a proposed nomination must include certain","page_number":18,"box":{"x":69,"y":491,"width":823,"height":11}},{"id":"adc4b4fc-9657-4035-abd3-510a7afa2dba","block_type":"box","text":"information about the shareholder and the nominee, as well as certain other information, including a written consent","page_number":18,"box":{"x":70,"y":506,"width":832,"height":11}},{"id":"231484fa-8fb2-4108-a6bb-7e3550bc8d4a","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":521,"width":811,"height":11}},{"id":"add30609-7bd2-4b96-bd53-8f62f59f4933","block_type":"box","text":"has adopted a written charter for the Governance Committee. During the fiscal year ended May 31, 2026, the","page_number":18,"box":{"x":69,"y":536,"width":783,"height":11}},{"id":"f8bd9df8-306d-42be-8f84-16689f330e9f","block_type":"box","text":"Governance Committee met ten times.","page_number":18,"box":{"x":69,"y":551,"width":274,"height":9}},{"id":"171b44c5-0bcf-4c5e-9907-afc88ac08c1b","block_type":"box","text":"Compliance Committee.","page_number":18,"box":{"x":102,"y":574,"width":168,"height":11}},{"id":"128376a0-5393-4157-ad84-468c9eb2d739","block_type":"box","text":"The members of the Compliance Committee (the “Compliance Committee”) are Claire A.","page_number":18,"box":{"x":276,"y":574,"width":629,"height":11}},{"id":"93ab802d-6f72-4f8e-a38d-66ad061b0752","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":589,"width":828,"height":11}},{"id":"a923b6be-15d6-4edd-bdae-730bccd0c5e0","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":604,"width":771,"height":11}},{"id":"6537a870-f37b-422d-8ab2-2e43902a43f8","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":619,"width":835,"height":11}},{"id":"0bb6324b-9246-4443-a981-0c97ac3c7976","block_type":"box","text":"BlackRock and any sub-adviser and the Trust’s third-party service providers. The Compliance Committee’s","page_number":18,"box":{"x":70,"y":634,"width":754,"height":11}},{"id":"2b8fd5d7-3642-41f0-bf03-179c8d12774c","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":649,"width":834,"height":11}},{"id":"76a26ef0-6595-450e-9769-ca06b6109c64","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":664,"width":815,"height":12}},{"id":"4ff44526-0c6f-437b-8e87-669845968fab","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":680,"width":785,"height":11}},{"id":"7b6b7cf5-4b01-4808-b681-4421cd5dd8e4","block_type":"box","text":"reports from, oversee the annual performance review of, and make certain recommendations and determinations","page_number":18,"box":{"x":69,"y":695,"width":811,"height":11}},{"id":"c6b5ad8e-eb7b-4863-bc80-c4dfc785d0f9","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":710,"width":812,"height":11}},{"id":"6631aa9d-f8f9-459b-b291-8839ef8abe25","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":725,"width":812,"height":11}},{"id":"a557f445-b4fa-4950-9b97-250887a41d11","block_type":"box","text":"and (4) undertake such other duties and responsibilities as may from time to time be delegated by the Board to the","page_number":18,"box":{"x":69,"y":740,"width":825,"height":11}},{"id":"228250b4-98a2-4afd-91cd-1673b42be4b0","block_type":"box","text":"Compliance Committee. The Board has adopted a written charter for the Compliance Committee. During the fiscal","page_number":18,"box":{"x":69,"y":755,"width":811,"height":11}},{"id":"232c7ee4-1788-40f1-863a-ad7c89fd018a","block_type":"box","text":"year ended May 31, 2026, the Compliance Committee met four times.","page_number":18,"box":{"x":68,"y":770,"width":502,"height":11}},{"id":"56224117-55e1-44ff-bd55-f0ed2875f136","block_type":"box","text":"Per formance Oversight Committee.","page_number":18,"box":{"x":102,"y":793,"width":248,"height":11}},{"id":"e9057ff4-0b32-48d7-8939-a13c87035df8","block_type":"box","text":"The members of the Performance Oversight Committee (the “Performance","page_number":18,"box":{"x":356,"y":793,"width":531,"height":11}},{"id":"1068206b-43aa-453e-99d3-a8b3358e7859","block_type":"box","text":"Oversight Committee”) are Donald C. Opatrny (Chair), Christopher J. Ailman, Susan J. Carter, Collette Chilton, Neil A.","page_number":18,"box":{"x":69,"y":808,"width":829,"height":11}},{"id":"8655f5d4-6548-46c6-94a2-b91d5cb4c87c","block_type":"box","text":"Cotty and Marc D. Stern, all of whom are Independent Trustees. The Performance Oversight Committee’s purpose is","page_number":18,"box":{"x":69,"y":823,"width":830,"height":12}},{"id":"5b3cf308-d61b-441b-bb8b-63b36b9c0207","block_type":"box","text":"to assist the Board in fulfilling its responsibility to oversee the Fund’s investment performance relative to its agreed","page_number":18,"box":{"x":68,"y":838,"width":832,"height":12}},{"id":"4627d5f4-42fb-4c7a-8e17-f0cc633ae3d0","block_type":"box","text":"upon performance objectives and to assist the Independent Trustees in their consideration of investment advisory","page_number":18,"box":{"x":69,"y":853,"width":816,"height":12}},{"id":"047d4f17-0414-431f-ad3d-60e73782ea64","block_type":"box","text":"agreements. The Performance Oversight Committee’s responsibilities include, without limitation, to (1) review","page_number":18,"box":{"x":69,"y":869,"width":782,"height":11}},{"id":"a5010e5e-5cb8-4265-96ba-d7ec66beb55b","block_type":"box","text":"information on, and make recommendations to the full Board in respect of, the Fund’s investment objective, policies","page_number":18,"box":{"x":70,"y":884,"width":829,"height":11}},{"id":"6e2c622f-4b63-4a84-8e69-10e8f8ba66ce","block_type":"box","text":"and practices; (2) review information on the Fund’s investment performance; (3) review information on appropriate","page_number":18,"box":{"x":69,"y":899,"width":816,"height":11}},{"id":"dee8bbe9-eaee-4735-bb84-86e63e45d14a","block_type":"box","text":"I-9","page_number":18,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"ddbe0f66-01ea-4f2e-b0f5-81c22f743aa3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":18,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f57d1bd9-136e-446e-ac27-7a5e991c7167","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":45,"width":803,"height":11}},{"id":"7bb73846-3531-4874-bdc7-e3ceb28f4b4e","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":60,"width":827,"height":11}},{"id":"78f88ba4-f052-403d-ba2f-526247a29de6","block_type":"box","text":"the Performance Oversight Committee; (5) recommend any required action regarding changes in fundamental and","page_number":19,"box":{"x":68,"y":75,"width":811,"height":11}},{"id":"339d3b0c-fd04-4565-b861-f61a16373f5c","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":90,"width":757,"height":11}},{"id":"a01dfad4-d82a-491a-89a1-01abd89377bc","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":105,"width":835,"height":11}},{"id":"76eb7ba1-dfd9-454e-8936-5fa875d5aae5","block_type":"box","text":"the Board concerning the approval or renewal of investment advisory agreements; and (8) undertake such other","page_number":19,"box":{"x":68,"y":120,"width":800,"height":12}},{"id":"49a5c7ad-cdf6-4cb5-b3b0-6ab7318aa6c6","block_type":"box","text":"duties and responsibilities as may from time to time be delegated by the Board to the Performance Oversight","page_number":19,"box":{"x":69,"y":135,"width":780,"height":12}},{"id":"a7b92808-1b00-4ae1-9dbf-c26fe302a0d7","block_type":"box","text":"Committee. The Board has adopted a written charter for the Performance Oversight Committee. During the fiscal year","page_number":19,"box":{"x":69,"y":150,"width":838,"height":12}},{"id":"b48d4d06-8996-46d1-aefc-add6128ae86f","block_type":"box","text":"ended May 31, 2026, the Performance Oversight Committee met five times.","page_number":19,"box":{"x":69,"y":166,"width":544,"height":11}},{"id":"b9de06df-2752-4822-a54d-c94b0dd723b4","block_type":"box","text":"Ad Hoc Topics Committee.","page_number":19,"box":{"x":101,"y":188,"width":186,"height":11}},{"id":"b81ed974-cfdb-409d-a43a-5b0a4b55f36c","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":188,"width":598,"height":11}},{"id":"48be375a-7735-4559-8da7-c0240d6934b2","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":203,"width":817,"height":11}},{"id":"2bd26bd3-c13c-4682-a15e-14b542815bc2","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":218,"width":795,"height":12}},{"id":"21fa3309-99e0-4dab-a97e-6c0a84c3ddd8","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":234,"width":788,"height":11}},{"id":"0f04ae79-5f02-44a6-ab4c-0c9fe0cec077","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":249,"width":813,"height":11}},{"id":"adf860f5-6cde-4216-a35d-e334f432a492","block_type":"box","text":"Topics Committee by the Board. The Board has adopted a written charter for the Ad Hoc Topics Committee. During","page_number":19,"box":{"x":68,"y":264,"width":816,"height":11}},{"id":"a972c660-fe99-4c74-b9a6-3178b2a3bdba","block_type":"box","text":"the fiscal year ended May 31, 2026, the Ad Hoc Topics Committee did not meet.","page_number":19,"box":{"x":68,"y":279,"width":575,"height":11}},{"id":"bc2beb74-e24d-4ed9-b8f9-8896ae0d0e58","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":302,"width":771,"height":11}},{"id":"e5e276d6-8269-47ab-9093-d0161c59ef46","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":317,"width":827,"height":11}},{"id":"805e2b10-6e17-45fe-8c15-40143ac0e18f","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":332,"width":830,"height":11}},{"id":"90e868b9-da3f-4993-b96e-f7ab48913905","block_type":"box","text":"appointed a Trustee, and continues to satisfy, the standards contemplated by the Statement of Policy. Furthermore,","page_number":19,"box":{"x":69,"y":347,"width":825,"height":11}},{"id":"fb95c2ba-99be-4c45-9ac4-b751c16469df","block_type":"box","text":"in determining that a particular Independent Trustee was and continues to be qualified to serve as a Trustee, the","page_number":19,"box":{"x":70,"y":362,"width":807,"height":11}},{"id":"ace7d7a7-2461-4a74-a532-06a63a868815","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":377,"width":787,"height":12}},{"id":"05542d9a-d8a0-4b65-8d8a-9445996aeb2f","block_type":"box","text":"collectively, the Independent Trustees have balanced and diverse experience, skills, attributes and qualifications,","page_number":19,"box":{"x":69,"y":392,"width":805,"height":12}},{"id":"ccb60af8-0970-4f28-b880-0abc2b41c76f","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":407,"width":794,"height":12}},{"id":"64883540-ee4e-429b-80d7-d87c12034380","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":423,"width":829,"height":11}},{"id":"3c66e24e-ad0b-43d2-a749-44730078f923","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":438,"width":823,"height":11}},{"id":"7db44884-4cd5-4438-8094-856db2b3c134","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":453,"width":771,"height":11}},{"id":"c626a2b1-a808-4db4-a6aa-1e50185d7d84","block_type":"box","text":"business judgment in the performance of their duties as Trustees.","page_number":19,"box":{"x":69,"y":468,"width":473,"height":11}},{"id":"26ed2825-bc54-4ff2-8fb3-c6ee164ca118","block_type":"box","text":"Each Trustee’s ability to perform his or her duties effectively is evidenced by his or her educational background","page_number":19,"box":{"x":102,"y":491,"width":792,"height":11}},{"id":"51f2a09b-f9c0-4843-bbfe-1a922e1a866e","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":506,"width":807,"height":11}},{"id":"adab5880-7a9f-40a1-9beb-c380daf32074","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":521,"width":837,"height":11}},{"id":"8720ec2b-024f-462e-972a-453530cd4338","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":536,"width":759,"height":11}},{"id":"ab60800b-4300-45a0-8e9c-c5358661e0ee","block_type":"box","text":"participation in Board and Committee meetings, as well as his or her leadership of standing and","page_number":19,"box":{"x":70,"y":551,"width":685,"height":11}},{"id":"190e0244-1294-4097-9b24-fb9105c9130d","block_type":"box","text":"ad hoc","page_number":19,"box":{"x":762,"y":551,"width":47,"height":9}},{"id":"0a32f1db-f86e-4b3c-9aa6-73f51f87faa5","block_type":"box","text":"committees","page_number":19,"box":{"x":814,"y":551,"width":82,"height":9}},{"id":"725a5351-1322-4661-82b5-b72ff29992de","block_type":"box","text":"throughout the years; or other relevant life experiences.","page_number":19,"box":{"x":68,"y":566,"width":395,"height":11}},{"id":"01b37008-375f-4f10-b9cd-3aaf55f8574d","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":589,"width":751,"height":11}},{"id":"e8b2c484-3d6f-49c9-8f6e-30ebcef3a3d2","block_type":"box","text":"support the conclusion that each Trustee should serve on the Board.","page_number":19,"box":{"x":69,"y":604,"width":492,"height":11}},{"id":"3927bcd0-43d9-4000-bf0c-209e9b36fdc9","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":19,"box":{"x":68,"y":632,"width":409,"height":9}},{"id":"e3ed0d03-a0e7-4500-b25c-82ee9cfa327a","block_type":"box","text":"Independent Trustees","page_number":19,"box":{"x":70,"y":649,"width":154,"height":11}},{"id":"caa36d43-6c12-4258-96b6-ca134beccc34","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":664,"width":781,"height":11}},{"id":"861ec37d-4d4f-4d42-8401-2d9e5478f1d8","block_type":"box","text":"industry, including most recently serving as Chief Investment Officer of the California","page_number":19,"box":{"x":265,"y":679,"width":604,"height":11}},{"id":"519ac165-7ac6-4e3a-bcca-0188173fc74e","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":694,"width":623,"height":11}},{"id":"59d6f2d2-f23a-4fe2-92ba-25fd498df851","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":709,"width":637,"height":11}},{"id":"8dab587c-44be-439a-bb08-ee163c54cb84","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":724,"width":631,"height":12}},{"id":"80c28c3f-ffb3-4d50-ad64-e72594b26c0a","block_type":"box","text":"committee of the Kroner Center for Financial Research, chairman of the North American","page_number":19,"box":{"x":264,"y":739,"width":626,"height":11}},{"id":"49fae82f-e6ec-4e5f-845d-227579bafeb5","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":755,"width":639,"height":11}},{"id":"bc6a7342-2189-430f-8fd5-27ebd1f66cb0","block_type":"box","text":"Advisory Council. These positions have provided Mr. Ailman with considerable investment","page_number":19,"box":{"x":264,"y":770,"width":637,"height":11}},{"id":"535a1a64-7c24-47f5-837c-c96e9e10e21e","block_type":"box","text":"expertise across asset classes and strategies, and insight and perspective on the","page_number":19,"box":{"x":265,"y":785,"width":586,"height":11}},{"id":"df89d5c6-ac10-41aa-9079-f560d2f792f6","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":800,"width":640,"height":11}},{"id":"18bd905e-c048-42bb-8966-edeea75fc9a3","block_type":"box","text":"Committee and the Performance Oversight Committee.","page_number":19,"box":{"x":265,"y":815,"width":389,"height":11}},{"id":"2b394740-9995-46bb-89c6-9b73b018d96a","block_type":"box","text":"I-10","page_number":19,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"bcbd389f-e86c-4644-aa72-6128e2956359","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":19,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"91656874-08db-40e9-98d0-25844e942e71","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":20,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"be438b9c-79b6-46ae-8156-5483ad1893a3","block_type":"box","text":"Susan J. Carter Susan J. Carter has over 35 years of experience in investment management. She has","page_number":20,"box":{"x":69,"y":65,"width":806,"height":12}},{"id":"c74a8ecf-2211-4e00-b239-1cab2659f50a","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":"10071f5e-5074-4956-bcb6-57ed8c9e96c0","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":"0e876c7a-e822-4c18-b908-1834a163a23b","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":"c262c37e-9b5a-4c1f-8536-0bde1c01aa73","block_type":"box","text":"Ms. Carter 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":"c0bdc200-a63c-44ba-9840-a10869f73c06","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":"0129ed01-b02d-47bd-8717-840b3132fe47","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":"c8b09048-b0c5-4571-8a69-3718a21eb382","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":"113dcbd1-fa5e-40ab-ad42-64731ddb18af","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":"1371a3c9-5929-43f2-b5f9-fda4e44d0f65","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":"e67cdd15-d9de-4ca5-ba4e-5bf96cc4c535","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":"8dc5306b-51e6-4f4d-ac16-22b08e2c8fc7","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":"3b38dc40-1b97-4ec7-9ebd-c4ceb340f08e","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":"950f6919-6312-4018-b293-25f142196c2e","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":"1323991d-ba89-4e10-a7fe-4e1007b3e3ce","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":"cb4d2b14-89db-4fff-8b0b-4051fa699396","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":"aad0f680-62f6-4857-8d64-f2deb91f1473","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":"af2263b1-4b1d-4f63-b048-130f49eff567","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":"04d8d647-ff2d-446f-a383-935a0d447458","block_type":"box","text":"perspective on the markets and the economy.","page_number":20,"box":{"x":265,"y":345,"width":323,"height":11}},{"id":"52aa5e1e-661f-47c2-8005-d82aaf12f1b3","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":"192dcb9c-ff24-421a-bcde-7a808a629499","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":"53b31af6-3f78-4db2-aa50-b7546fcacd65","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":"58cc30ac-6928-4427-8bea-3a7b98ec2447","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":"07f419de-16ee-4b08-8f62-fdbb8dd4a5f3","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":"c072d558-c4eb-449c-8fc7-2d1f633cfb4f","block_type":"box","text":"determined by the Audit Committee to be an audit committee financial expert, as such","page_number":20,"box":{"x":265,"y":443,"width":616,"height":12}},{"id":"7a659eed-ce46-4fde-9e3f-2c73ede6d4ed","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":"368fc6fb-aded-47cf-84bc-a3d9bc8bab54","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":"737171a4-9010-4afc-bcee-55fb927264fc","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":"326edf13-ac96-4d32-9de0-c71bebf638f4","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":"854f068d-a053-48e0-b588-4e4b53874bf4","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":"5e14a703-f27d-45eb-819b-0d8fea259977","block_type":"box","text":"partner at Deloitte and Arthur Andersen for approximately 17 years. These positions have","page_number":20,"box":{"x":265,"y":542,"width":638,"height":11}},{"id":"7ae22ec3-7a28-4ca6-8f0f-0291c862fb6f","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":"468f0f4d-21bb-4d99-8429-2dfbe55faae9","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":"f3c2f4d7-9084-4c4a-9e3c-60dff9740c0e","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":"f1c49a80-1358-428d-8cc6-b1621f6e0590","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":"76e81f26-7ee2-4638-8142-738484042121","block_type":"box","text":"audit committee financial expert, as such term is defined in the applicable Commission","page_number":20,"box":{"x":265,"y":617,"width":623,"height":11}},{"id":"5ac8dbeb-24bc-4655-b167-e2c18156058c","block_type":"box","text":"rules.","page_number":20,"box":{"x":265,"y":633,"width":38,"height":8}},{"id":"950b7daf-fea7-4a59-945d-a020ae658ba5","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":"0fea781e-58aa-477d-a31f-a35461bbca62","block_type":"box","text":"global expertise gained through his 35 year career at KPMG, a global professional","page_number":20,"box":{"x":264,"y":670,"width":584,"height":11}},{"id":"ddd8a9f2-5c18-4ef3-ab89-aaf22711e3ef","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":"4828545a-4580-46bb-b8a0-40e043490fc3","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":"99a662e4-89de-4315-b044-2b7c569787dd","block_type":"box","text":"and expertise in financial reporting, accounting, auditing, risk management, and","page_number":20,"box":{"x":265,"y":715,"width":570,"height":12}},{"id":"c4cc2395-6b84-4246-974b-0eb95b85b690","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":"890c1aaf-bee6-42de-b01f-f952d20f49a0","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":"fd07f790-87e0-4eab-800a-61ed3ce9f954","block_type":"box","text":"industries including professional services, property and casualty reinsurance, insurance,","page_number":20,"box":{"x":265,"y":761,"width":630,"height":11}},{"id":"964879a7-6742-4344-b3fa-76dc18202698","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":"87c16e82-a0b9-486a-bc98-1b6c7ada347d","block_type":"box","text":"technology. Mr. Keizer is a certified public accountant and also served on the board of the","page_number":20,"box":{"x":264,"y":791,"width":643,"height":11}},{"id":"3d109900-03fe-428b-a68c-105de1192419","block_type":"box","text":"American Institute of Certified Public Accountants. Mr. Keizer has been determined by the","page_number":20,"box":{"x":264,"y":806,"width":639,"height":11}},{"id":"03178e95-bd53-4bfa-8681-e82e63f6bd5c","block_type":"box","text":"Audit Committee to be an audit committee financial expert, as such term is defined in the","page_number":20,"box":{"x":264,"y":821,"width":641,"height":11}},{"id":"b753f504-d107-43aa-93c1-600a0b2bdc1d","block_type":"box","text":"applicable Commission rules.","page_number":20,"box":{"x":265,"y":837,"width":208,"height":10}},{"id":"93167bb9-ccee-4a8d-9699-2e272e8adf88","block_type":"box","text":"I-11","page_number":20,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"f26db190-d4ca-4588-af68-721d3b8d8677","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":20,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a610a18e-2f5b-4400-839b-bee86011a0f7","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":21,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"07959bff-6c01-4aaf-b1b7-5c63b6110713","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":"51817890-6bb4-429a-af3d-d024e72dbb9f","block_type":"box","text":"investment companies, most recently as a member of the boards of certain BlackRock","page_number":21,"box":{"x":265,"y":81,"width":621,"height":11}},{"id":"18c53d7d-c3fb-43cf-b650-4afdf5327f60","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":"19ae365c-8770-42ec-85f2-94e7de477289","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":"69549aec-0a75-4886-a241-90841b2ea84a","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":"6e099efa-1cea-4b2c-859c-695bbb322459","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":"442956a2-51be-4a54-a2d8-0515c4ed2c2b","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":"48adead0-d4e2-43cf-b6d9-74501975bda1","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":"22ef3ccb-33c3-49e1-ab3c-980f72e65163","block_type":"box","text":"articles and books on these topics.","page_number":21,"box":{"x":265,"y":187,"width":251,"height":10}},{"id":"673c0b57-c108-4362-8fee-f8d70488e463","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":"96b3f50f-cbfd-4b61-936a-5cf67a5a85b1","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":"1d9f19ba-3c77-4ff2-a62e-f860e9025444","block_type":"box","text":"chair for academic and not-for-profit organizations, and his experience as a partner,","page_number":21,"box":{"x":264,"y":239,"width":593,"height":12}},{"id":"1c73d2d7-5fc2-49ee-aa89-9d54950c484a","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":"69d7a7cf-7bb7-425c-a570-4368bacdb59f","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":"00d63b9d-a711-48dc-9ff9-c95a420281f4","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":"4d072243-8daa-496a-b7c7-87b532fc8379","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":"9ea67a7c-c81d-41fb-aefb-f0b5da64b265","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":"1074dd0a-9feb-4774-a3d5-06b56c3e3b35","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":"387f23c8-bd6c-4e06-8ced-cf1cb7ab0d2c","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":"2120b120-87f0-4f49-ba74-51780aae7ec2","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":"40685bbc-7f3a-4611-9645-85cf655150e6","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":"7c41bf30-204c-4c89-b10e-f34ebf2eec31","block_type":"box","text":"Regional Office and executive assistant and senior advisor to then SEC Chairman Arthur","page_number":21,"box":{"x":265,"y":398,"width":629,"height":11}},{"id":"2b466a9a-b061-49b9-8179-3e4dce1e4221","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":"d7ee04c7-fd84-438d-b3fb-0bdb029a9853","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":"3bef55a4-905c-4717-a529-c57ed44e7c1c","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":"2c89cbc8-cd51-4267-959d-dab33d96cb03","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":"1a85267b-ccb2-4ed4-afb3-df2df9110685","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":"e33dbe3a-4993-4793-b67f-05ed619d799b","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":"2519042f-dd07-4a21-be08-eae2d830d80d","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":"4795ccc0-c8d9-4f46-829e-e16c91a94a1b","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":"57137806-7d56-4ac0-a97b-09acb939530e","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":"0de8b8e8-042f-426f-a74b-5fb84cd62a1c","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":"ebb0f7da-4298-4fe5-b799-19be08c2554b","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":"e1a1f18b-4b11-4382-a811-c18afbe9e49d","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":"dc0651ce-7081-4ffe-94b3-c2c02142d60e","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":"6d0aeed0-8f26-4270-bc9c-870b6f3918ea","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":"c71b1a03-2057-43a2-b71f-ce44e70bf991","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":"32fc6a8e-9151-48d4-8c08-448c7d14f51a","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":"c45f7ee6-1671-4ba5-a5df-26326a7c094b","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":"833ac17d-a594-409c-8f92-acac831cbb27","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":"cef818e8-3995-4508-b04b-34f99cf0da62","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":"b72e4ff6-927e-44e4-8537-bf9a463e864d","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":"3d0b46d8-e5d5-4bc4-9b10-f76ec485c597","block_type":"box","text":"various private and non-profit boards.","page_number":21,"box":{"x":264,"y":723,"width":265,"height":11}},{"id":"035da1ce-7ed7-4275-936b-ef7ccc936417","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":"ae702e5b-0bde-4ae5-aefb-74e3f30cb982","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":"51762717-8e50-4ccb-8842-25853245b973","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":"421e6fe2-a393-4229-8a4a-296e37018640","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":"d3fa6e0a-c8c4-4767-a06f-06c5ef586ebe","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":"a75ee874-33e1-44ba-9f5b-bab4035cda91","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":"6e22d5b5-3477-4558-abfb-0a0febb3ef6c","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":"db6499f9-306f-418a-8458-4297c5fab597","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":"49cc312a-2f85-4357-91e0-90812e987ccd","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":"f363f2e6-9c04-4a14-ad45-a0d188396b74","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":"24dc3be1-9428-40a7-a3bb-fdf977d883b1","block_type":"box","text":"Trustees prior to becoming an Independent Trustee.","page_number":21,"box":{"x":264,"y":897,"width":369,"height":11}},{"id":"d1140aca-5481-427f-b2f9-6be7148e3191","block_type":"box","text":"I-12","page_number":21,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"27e65e71-1115-4311-a26a-16dade7ca89d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":21,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"18f28283-6738-4563-8c01-bb57f1b83b84","block_type":"box","text":"Trustees Experience, Qualifications and Skills","page_number":22,"box":{"x":68,"y":49,"width":409,"height":9}},{"id":"7a23d5b0-a9a1-4e18-8002-ef16b5e20f9b","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":"fab33aff-efe9-40de-abc2-85ae733e8697","block_type":"box","text":"companies, most recently as a member of the boards of certain BlackRock-advised Funds","page_number":22,"box":{"x":264,"y":81,"width":641,"height":11}},{"id":"b71b320a-add9-4566-b2fe-e82ccace4748","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":"f2082b95-3e86-415a-ac8c-ff0e397669ef","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":"d7bb13ae-9c3f-4b3f-a761-e0bacbed49f4","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":"617dc4cc-1292-4019-b99d-8d085b4fd549","block_type":"box","text":"be an audit committee financial expert, as such term is defined in the applicable","page_number":22,"box":{"x":265,"y":141,"width":575,"height":11}},{"id":"1c5ebb12-2438-4e1d-b9c7-4da388a7bdc2","block_type":"box","text":"Commission rules.","page_number":22,"box":{"x":265,"y":156,"width":131,"height":9}},{"id":"33898494-31c1-4432-9cc7-de3b1cf4eb14","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":"c2a65a53-efb7-40ec-a10e-c4a09130f3bd","block_type":"box","text":"served as the Chief Operating Officer and Chief Financial Officer of Liberty Square Asset","page_number":22,"box":{"x":265,"y":194,"width":630,"height":11}},{"id":"f814be01-3a0b-4a1c-b293-26157ed77b8c","block_type":"box","text":"Management, LP / Steel Partners Japan Asset Management, LP from 1998 to 2015, an","page_number":22,"box":{"x":265,"y":209,"width":627,"height":11}},{"id":"9f5cecf7-0a85-4220-b1e8-b0ea8ba9d64a","block_type":"box","text":"investment manager that specialized in long/short non-U.S. equity investments, and was","page_number":22,"box":{"x":265,"y":224,"width":632,"height":11}},{"id":"67a0b3c0-63f4-42d1-945b-d2b991e12954","block_type":"box","text":"an owner and General Partner of Neon Liberty Capital Management, LLC from 2003 to","page_number":22,"box":{"x":265,"y":239,"width":615,"height":12}},{"id":"6171bd84-a8b4-4763-a90d-04377495b5a9","block_type":"box","text":"2023, a firm focusing on long/short equities in global emerging and frontier markets.","page_number":22,"box":{"x":265,"y":254,"width":608,"height":12}},{"id":"ba7cc6d7-6bd5-405b-8cfd-becc7eb519d5","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":"9a1d2a6d-c9eb-4028-b3aa-f4d00e3f98a6","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":"611ad978-443b-4d4d-98ef-fdc455c52f3a","block_type":"box","text":"committee financial expert, as such term is defined in the applicable Commission rules.","page_number":22,"box":{"x":264,"y":300,"width":629,"height":11}},{"id":"e55a6a11-702c-4a88-944e-1f6d3a1eb34c","block_type":"box","text":"Interested Trustees","page_number":22,"box":{"x":70,"y":323,"width":138,"height":8}},{"id":"b6d748b1-8ba7-4b07-a777-7103901891c1","block_type":"box","text":"Robert Fairbairn Robert Fairbairn has more than 25 years of experience with BlackRock, Inc. and over 30","page_number":22,"box":{"x":70,"y":338,"width":823,"height":11}},{"id":"82e492e1-b7b1-4f30-8219-4dd4c850ec00","block_type":"box","text":"years of experience in finance and asset management. In particular, Mr. Fairbairn’s","page_number":22,"box":{"x":264,"y":353,"width":593,"height":11}},{"id":"f131560f-0ad1-4ea3-9444-79089cb62276","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":"7bacb3df-c9ea-4250-abec-d0232cabd568","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":"a169c798-92ff-4c29-b798-6e90580e10b8","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":"92a4533c-b79c-434f-b0e7-010c0f8c2412","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":"283a94ba-a93d-4d6f-b9bf-ed59551689b8","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":"0883bfbd-4669-4bd0-8a96-2903d09c1328","block_type":"box","text":"and iShares","page_number":22,"box":{"x":265,"y":443,"width":84,"height":9}},{"id":"06e37913-bc17-4249-aeca-816040542887","block_type":"box","text":"®","page_number":22,"box":{"x":350,"y":444,"width":6,"height":4}},{"id":"bb7a86d9-7735-4529-89ef-65d5cf3d9bd2","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":"e1a5685b-1cce-4291-8a1f-ebaf48319305","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":"df48518a-5c99-4309-bf19-6bc93530b52b","block_type":"box","text":"Strategic Partner Program and Strategic Product Management Group. Mr. Fairbairn also","page_number":22,"box":{"x":265,"y":474,"width":620,"height":11}},{"id":"b4667a01-24ba-486c-ab46-f307ea5865bc","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":"4d6025ac-7ce0-450f-8b2d-cb2d0fe9eb8a","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":"d5f06355-65fc-493d-9776-3cf9ec78041d","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":"9622ab41-2255-45ad-8f4b-747ffa1178ff","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":"27dd1028-89fd-406a-8f0c-de382b4520b3","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":"f4f6b8df-1f2b-4d20-ac85-564494887898","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":"2cf81556-54e2-406b-8fa5-c9f048bf9ec7","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":"d5d165c9-d01b-4c11-8c3a-fcb3ddfbcd3f","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":"b411c395-3947-4eef-86e9-832958032c81","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":"ecfcb3b7-e8df-4a49-b5e2-e982e4406b29","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":"5ddafb8f-49b4-4cb1-bf59-1aeb2a895ae6","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":"1bb63093-3805-4620-8055-a54eccae3813","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":"bd2b0456-354f-4008-86e5-9a74a450a398","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":"8a3a5a39-41fa-4ff1-851e-813c694a64e1","block_type":"box","text":"BlackRock’s Global Executive Committee.","page_number":22,"box":{"x":265,"y":693,"width":294,"height":9}},{"id":"f6315fa1-0062-41f6-a593-8aded8e4f3ef","block_type":"box","text":"I-13","page_number":22,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"4e516048-c89d-4f27-8b8a-125382cfb98e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":22,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"33b9ffa9-e515-489b-8d35-6910c1a64a41","block_type":"box","text":"Biographical Information","page_number":23,"box":{"x":69,"y":45,"width":178,"height":11}},{"id":"e6f697d8-9640-4fa1-b32c-acaed123455e","block_type":"box","text":"Certain biographical and other information relating to the Trustees of the Trust is set forth below, including their","page_number":23,"box":{"x":102,"y":67,"width":798,"height":12}},{"id":"68c1212b-a212-4844-aab0-22624ebf5432","block_type":"box","text":"address and year of birth, principal occupations for at least the last five years, length of time served, total number of","page_number":23,"box":{"x":69,"y":82,"width":836,"height":12}},{"id":"3dd53f72-c868-4e5b-89ac-265b17541b59","block_type":"box","text":"registered investment companies and investment portfolios overseen in the BlackRock-advised Funds and any","page_number":23,"box":{"x":69,"y":98,"width":785,"height":11}},{"id":"bd13ef74-3ac8-4145-b91d-2dc6e6ffde96","block_type":"box","text":"currently held public company and other investment company directorships.","page_number":23,"box":{"x":69,"y":113,"width":536,"height":11}},{"id":"d3998f78-f007-44e5-a3b9-6f5b7935d345","block_type":"box","text":"Name","page_number":23,"box":{"x":131,"y":241,"width":32,"height":7}},{"id":"e399097c-c0eb-4d45-92be-c6b3130025be","block_type":"box","text":"and Year of Birth","page_number":23,"box":{"x":93,"y":251,"width":97,"height":7}},{"id":"49f90e07-caed-482e-801b-636836733e21","block_type":"box","text":"1,2","page_number":23,"box":{"x":191,"y":251,"width":9,"height":4}},{"id":"1af19bc2-a19b-4be5-9248-ca0d1952ba81","block_type":"box","text":"Position(s)","page_number":23,"box":{"x":252,"y":220,"width":62,"height":9}},{"id":"427d9921-4af8-4990-b345-b08bce3ae9c4","block_type":"box","text":"Held","page_number":23,"box":{"x":271,"y":231,"width":25,"height":7}},{"id":"6b31d625-9c04-4c82-a54f-8e47fdee7a94","block_type":"box","text":"(Length of","page_number":23,"box":{"x":254,"y":240,"width":60,"height":9}},{"id":"70bcaf4b-2dde-4a08-83d4-0710054b8b22","block_type":"box","text":"Service)","page_number":23,"box":{"x":257,"y":251,"width":48,"height":8}},{"id":"2c7c04f2-1279-4c41-ab7a-fbe6485f6bc5","block_type":"box","text":"3","page_number":23,"box":{"x":306,"y":251,"width":3,"height":3}},{"id":"492bd646-663a-4806-ad07-93ad4dea83ee","block_type":"box","text":"Principal Occupation(s)","page_number":23,"box":{"x":411,"y":241,"width":136,"height":8}},{"id":"adb56e8c-e6dc-48b6-a12b-199f332bd899","block_type":"box","text":"During Past Five Years","page_number":23,"box":{"x":414,"y":251,"width":130,"height":8}},{"id":"c633d107-2abc-4565-a1a6-473f4a70d2ea","block_type":"box","text":"Number of","page_number":23,"box":{"x":665,"y":140,"width":59,"height":7}},{"id":"e22c5396-8dbe-4539-8f90-17a1051e4f8e","block_type":"box","text":"BlackRock","page_number":23,"box":{"x":662,"y":150,"width":66,"height":7}},{"id":"e1569fda-80f9-481a-a073-3a56b0e465e0","block_type":"box","text":"Advised","page_number":23,"box":{"x":672,"y":160,"width":45,"height":7}},{"id":"b6c7d55a-7219-4648-935a-059aa66395b5","block_type":"box","text":"Registered","page_number":23,"box":{"x":663,"y":170,"width":62,"height":9}},{"id":"415257d7-26b0-4f1e-a8c6-2c7994c1e7e8","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":180,"width":65,"height":7}},{"id":"3bb3845f-7563-4887-aee8-121156f286c2","block_type":"box","text":"Companies","page_number":23,"box":{"x":663,"y":190,"width":63,"height":9}},{"id":"c5ea3ff1-ce12-4b27-a626-83e04536e02f","block_type":"box","text":"(“RICs”)","page_number":23,"box":{"x":670,"y":200,"width":48,"height":9}},{"id":"731ebd8f-0cf1-41cf-bc33-c6b634a7af3e","block_type":"box","text":"Consisting of","page_number":23,"box":{"x":656,"y":210,"width":77,"height":9}},{"id":"7873dd0d-a410-4738-81c8-fa95cc9c0dbc","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":220,"width":65,"height":7}},{"id":"5e5f1cd9-7122-43c1-a240-c2d2c429535c","block_type":"box","text":"Portfolios","page_number":23,"box":{"x":667,"y":230,"width":55,"height":8}},{"id":"ffa82812-e44f-4c36-9d6b-25bf82d3a2f1","block_type":"box","text":"(“Portfolios”)","page_number":23,"box":{"x":655,"y":240,"width":78,"height":9}},{"id":"36828233-315d-4a35-942b-a9dbf6df0b10","block_type":"box","text":"Overseen","page_number":23,"box":{"x":668,"y":251,"width":53,"height":7}},{"id":"07a8ad79-ded9-428c-8b9e-19ec084ebf83","block_type":"box","text":"Public","page_number":23,"box":{"x":824,"y":180,"width":35,"height":7}},{"id":"d02bef96-1a9f-47ec-834e-88230ef23d6e","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":190,"width":53,"height":9}},{"id":"bf57ed19-af57-4c9e-99a6-ac4cace125ac","block_type":"box","text":"and Other","page_number":23,"box":{"x":813,"y":200,"width":57,"height":7}},{"id":"8fbf2712-c592-45b7-9e19-ccdcf9e003a3","block_type":"box","text":"Investment","page_number":23,"box":{"x":809,"y":210,"width":64,"height":7}},{"id":"e66d0378-5906-4d29-811b-d30875648aaa","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":220,"width":53,"height":9}},{"id":"712c7bb3-74f8-415b-a1c5-99a504b02359","block_type":"box","text":"Directorships","page_number":23,"box":{"x":803,"y":230,"width":77,"height":9}},{"id":"4b843c2d-d548-44cf-bf6f-5db9db1f4782","block_type":"box","text":"Held During","page_number":23,"box":{"x":808,"y":241,"width":67,"height":8}},{"id":"2b65340a-a5b5-4c7e-b46c-e3cdd49f32f7","block_type":"box","text":"Past Five Years","page_number":23,"box":{"x":797,"y":251,"width":88,"height":7}},{"id":"3a3f22c7-9970-428b-801c-e492192e1cf1","block_type":"box","text":"Independent Trustees","page_number":23,"box":{"x":70,"y":265,"width":138,"height":10}},{"id":"f8c8fa47-5f73-4739-92df-ad22980d2bb2","block_type":"box","text":"Mark Stalnecker","page_number":23,"box":{"x":69,"y":282,"width":98,"height":8}},{"id":"7c199c45-4d28-4dec-9d5f-53ab31f27a3f","block_type":"box","text":"1951","page_number":23,"box":{"x":69,"y":298,"width":33,"height":8}},{"id":"e3feab07-b5a8-4c6e-93f7-c6c5b827c425","block_type":"box","text":"Chair of the","page_number":23,"box":{"x":235,"y":282,"width":69,"height":8}},{"id":"0b287f56-f1ed-4b17-a2f4-b602be2a896f","block_type":"box","text":"Board","page_number":23,"box":{"x":236,"y":295,"width":34,"height":7}},{"id":"39bd8093-b359-4266-81dd-128bb515bff9","block_type":"box","text":"(Since 2019)","page_number":23,"box":{"x":235,"y":306,"width":78,"height":10}},{"id":"c81a281f-a521-401a-ac21-3f34c05451bf","block_type":"box","text":"and Trustee","page_number":23,"box":{"x":235,"y":318,"width":71,"height":8}},{"id":"67820dd3-d239-4112-bd0e-46f3fce1a810","block_type":"box","text":"(Since 2015)","page_number":23,"box":{"x":235,"y":330,"width":78,"height":10}},{"id":"18a9a23b-9d50-4f20-bf33-e9829b4ba911","block_type":"box","text":"Chief Investment Officer, University of","page_number":23,"box":{"x":343,"y":282,"width":226,"height":10}},{"id":"cdb055e8-bbc8-404c-8f4a-b48b6e453dab","block_type":"box","text":"Delaware from 1999 to 2013; Trustee and","page_number":23,"box":{"x":343,"y":294,"width":257,"height":10}},{"id":"3acd9304-b2bf-4c03-9e33-d76c568a9364","block_type":"box","text":"Chair of the Finance and Investment","page_number":23,"box":{"x":343,"y":306,"width":217,"height":8}},{"id":"80e9c93d-5386-4ad0-8fc7-61677475849b","block_type":"box","text":"Committees, Winterthur Museum and","page_number":23,"box":{"x":343,"y":318,"width":227,"height":10}},{"id":"523fbef3-5cfe-4a97-83d3-ab45d56b2a23","block_type":"box","text":"Country Estate from 2005 to 2016; Member","page_number":23,"box":{"x":343,"y":330,"width":270,"height":10}},{"id":"4881a824-46aa-43e7-bad8-9dc545a6d984","block_type":"box","text":"of the Investment Committee, Delaware","page_number":23,"box":{"x":343,"y":342,"width":239,"height":10}},{"id":"a601517c-015a-442c-813d-617c2f51afe9","block_type":"box","text":"Public Employees’ Retirement System from","page_number":23,"box":{"x":343,"y":354,"width":259,"height":10}},{"id":"be729552-afc3-4eb2-ab77-f7219f69161f","block_type":"box","text":"2002 to 2024; Member of the Investment","page_number":23,"box":{"x":343,"y":366,"width":254,"height":10}},{"id":"0e685fe6-d781-430f-80d2-5e58df2323c5","block_type":"box","text":"Committee, Christiana Care Health System","page_number":23,"box":{"x":343,"y":378,"width":258,"height":10}},{"id":"f401ce4b-9300-4f07-8eba-c2fab08e9005","block_type":"box","text":"from 2009 to 2017; Member of the","page_number":23,"box":{"x":342,"y":390,"width":215,"height":10}},{"id":"0dbed805-9190-4822-8768-fef16725aff6","block_type":"box","text":"Investment Committee, Delaware Community","page_number":23,"box":{"x":343,"y":402,"width":273,"height":10}},{"id":"11426d2b-4a80-4b9f-988c-ab5038e96c9f","block_type":"box","text":"Foundation from 2013 to 2014; Director and","page_number":23,"box":{"x":343,"y":414,"width":269,"height":9}},{"id":"afc8a42e-2a98-431e-9345-724b8693fc1d","block_type":"box","text":"Chair of the Audit Committee, SEI Private","page_number":23,"box":{"x":343,"y":426,"width":246,"height":9}},{"id":"d6d67f43-5157-4f71-b915-2706f1d0b3a1","block_type":"box","text":"Trust Co. from 2001 to 2014.","page_number":23,"box":{"x":342,"y":438,"width":180,"height":8}},{"id":"b3b4dcb8-7939-40c9-8014-5565e5fd78f8","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":282,"width":129,"height":11}},{"id":"3ac3e1f9-31b0-4143-8fc0-0e5f830fbf5f","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":294,"width":85,"height":8}},{"id":"f29f8a04-f155-4e09-9e79-316c2aedfdc8","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":283,"width":30,"height":7}},{"id":"2cfd962c-7e90-4c5f-a66f-3e814c957336","block_type":"box","text":"Christopher J. Ailman","page_number":23,"box":{"x":69,"y":456,"width":126,"height":9}},{"id":"5ff1ccaf-816d-4b96-8dba-2308182d62d3","block_type":"box","text":"1958","page_number":23,"box":{"x":69,"y":471,"width":33,"height":8}},{"id":"15722850-9011-404e-9143-39d79aad8b60","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":456,"width":45,"height":8}},{"id":"76e0157b-d557-4812-b6d2-876e5f6c4714","block_type":"box","text":"(Since 2024)","page_number":23,"box":{"x":235,"y":468,"width":78,"height":10}},{"id":"ce09f7fc-0158-4d27-a42e-84cb4d04f037","block_type":"box","text":"Principal, Ailman Advisers, since 2024; Chief","page_number":23,"box":{"x":343,"y":456,"width":270,"height":9}},{"id":"1a8ddd57-3bc2-4ef5-bad9-1bcf09f5c889","block_type":"box","text":"Investment Officer, California State Teachers","page_number":23,"box":{"x":343,"y":468,"width":268,"height":9}},{"id":"18845a23-6124-4537-93a7-870097574e76","block_type":"box","text":"Retirement System (CalSTRS) from 2000 to","page_number":23,"box":{"x":343,"y":480,"width":264,"height":10}},{"id":"0f457cc2-3baa-4203-ad4c-60689ba8ae6e","block_type":"box","text":"2024.","page_number":23,"box":{"x":343,"y":492,"width":36,"height":8}},{"id":"bf801998-40ee-407e-af4f-4d9cd4da8cd2","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":456,"width":129,"height":10}},{"id":"f0a1145f-d178-471c-86c2-723b131416be","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":468,"width":85,"height":8}},{"id":"d4ef273b-6ecd-4537-add8-b86c2b3140fe","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":456,"width":30,"height":8}},{"id":"6b5db023-e437-4523-91d5-5b41533710f7","block_type":"box","text":"Susan J. Carter","page_number":23,"box":{"x":69,"y":509,"width":93,"height":8}},{"id":"a370c8b5-1902-4be0-ba07-10a74ff08f53","block_type":"box","text":"1956","page_number":23,"box":{"x":69,"y":525,"width":33,"height":8}},{"id":"ad09fe42-9dee-4622-9cd2-063d65f7994c","block_type":"box","text":"Trustee","page_number":23,"box":{"x":235,"y":509,"width":45,"height":8}},{"id":"3fe126d4-159d-4f10-805b-86dcebc8f8f8","block_type":"box","text":"(Since 2016)","page_number":23,"box":{"x":235,"y":521,"width":78,"height":10}},{"id":"a077183a-e108-4224-bb0d-d4f927e1ee36","block_type":"box","text":"Trustee, Financial Accounting Foundation","page_number":23,"box":{"x":342,"y":509,"width":246,"height":10}},{"id":"df5862a7-e8ae-40d2-8969-17f3731ed6f0","block_type":"box","text":"from 2017 to 2021; Advisory Board","page_number":23,"box":{"x":342,"y":521,"width":217,"height":10}},{"id":"b99d78a0-3d25-4094-8142-6176be4c0237","block_type":"box","text":"Member, Center for Private Equity and","page_number":23,"box":{"x":343,"y":533,"width":227,"height":10}},{"id":"da326dc8-77df-4779-bb99-d875166dee9e","block_type":"box","text":"Entrepreneurship at Tuck School of Business","page_number":23,"box":{"x":343,"y":545,"width":270,"height":10}},{"id":"cd92e6ac-6d9b-43fd-a150-2d8fbad5372b","block_type":"box","text":"from 1997 to 2021; Director, Pacific Pension","page_number":23,"box":{"x":342,"y":557,"width":272,"height":9}},{"id":"9d93b580-5697-40c6-8016-3307885ee0da","block_type":"box","text":"Institute from 2014 to 2018; Senior Advisor,","page_number":23,"box":{"x":343,"y":569,"width":267,"height":9}},{"id":"03f7b1be-c69f-48ae-9bae-f91a80a1ee68","block_type":"box","text":"Commonfund Capital, Inc. (“CCI”)","page_number":23,"box":{"x":343,"y":581,"width":201,"height":10}},{"id":"3500901d-88fa-4e29-ae37-8a748dfbdedb","block_type":"box","text":"(investment adviser) in 2015; Chief Executive","page_number":23,"box":{"x":343,"y":593,"width":272,"height":10}},{"id":"0e923297-3a21-48bd-8462-04e5edb1268b","block_type":"box","text":"Officer, CCI from 2013 to 2014; President &","page_number":23,"box":{"x":343,"y":605,"width":268,"height":9}},{"id":"0fa4d265-6190-47e9-b4dd-ec37b72b5af7","block_type":"box","text":"Chief Executive Officer, CCI from 1997 to","page_number":23,"box":{"x":343,"y":617,"width":247,"height":9}},{"id":"269c0ea4-5fe4-4104-b1ce-1a70dc0f6724","block_type":"box","text":"2013; Advisory Board Member, Girls Who","page_number":23,"box":{"x":343,"y":629,"width":250,"height":10}},{"id":"c887e6cf-fe14-4da0-9d3e-bea3bb4a9772","block_type":"box","text":"Invest from 2015 to 2018 and Board","page_number":23,"box":{"x":343,"y":641,"width":223,"height":8}},{"id":"05c3c969-051b-4930-b0df-048ea3c9f031","block_type":"box","text":"Member thereof from 2018 to 2022;","page_number":23,"box":{"x":343,"y":653,"width":222,"height":9}},{"id":"667fecbb-e584-4899-b2e2-6f48f21492b9","block_type":"box","text":"Advisory Board Member, Bridges Fund","page_number":23,"box":{"x":342,"y":665,"width":230,"height":10}},{"id":"b6458a4d-4076-4342-b755-9c3101b3abf1","block_type":"box","text":"Management from 2016 to 2018;","page_number":23,"box":{"x":343,"y":677,"width":204,"height":10}},{"id":"5876bf19-4108-4b99-a1ce-37302d67e884","block_type":"box","text":"Practitioner Advisory Board Member, Private","page_number":23,"box":{"x":343,"y":689,"width":263,"height":10}},{"id":"b2973589-0ddd-4be2-9f9b-0147ee881931","block_type":"box","text":"Capital Research Institute (“PCRI”) from","page_number":23,"box":{"x":343,"y":701,"width":240,"height":10}},{"id":"f259e89e-1f25-479d-8e49-d14e8ac81a1f","block_type":"box","text":"2017 to 2024; Lecturer in the Practice of","page_number":23,"box":{"x":343,"y":713,"width":249,"height":9}},{"id":"e3a678fb-e324-4e9a-b73c-4fbac1c5b0c0","block_type":"box","text":"Management, Yale School of Management","page_number":23,"box":{"x":343,"y":725,"width":255,"height":10}},{"id":"5dca8aa5-74a0-4608-a961-b531438fbef0","block_type":"box","text":"from 2019 to 2025; Advisor to Finance","page_number":23,"box":{"x":342,"y":737,"width":236,"height":9}},{"id":"60c21554-ab4e-45ef-940b-e2b11bd17679","block_type":"box","text":"Committee, Altman Foundation from 2020 to","page_number":23,"box":{"x":343,"y":749,"width":271,"height":9}},{"id":"ea659c32-9606-4803-add1-2e650096e7d1","block_type":"box","text":"2024; Investment Committee Member,","page_number":23,"box":{"x":343,"y":761,"width":234,"height":9}},{"id":"e471d759-f92c-41e1-8f9d-1168ee91b470","block_type":"box","text":"Tostan since 2021; Member of the","page_number":23,"box":{"x":342,"y":772,"width":210,"height":10}},{"id":"06c12d6a-1738-4e9b-828c-b01f5293f395","block_type":"box","text":"President’s Counsel, Commonfund since","page_number":23,"box":{"x":343,"y":784,"width":245,"height":10}},{"id":"92b03418-705b-48d1-9b99-b63f621ebdac","block_type":"box","text":"2023.","page_number":23,"box":{"x":343,"y":797,"width":36,"height":8}},{"id":"4037e58c-aea5-44d0-8448-bde20d1c335e","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":509,"width":129,"height":10}},{"id":"b249f246-5f71-4e9d-a473-3b759b2cfde6","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":521,"width":85,"height":8}},{"id":"bf1a67dc-77a5-4858-bb14-ccd30eeabc10","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":509,"width":30,"height":8}},{"id":"321e4415-8ada-4bd0-9da2-5259aa5e8ed6","block_type":"box","text":"I-14","page_number":23,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"f908d32d-b3d8-4d7f-b3f2-38419c8da816","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":23,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c246addb-8b7e-49a9-8e27-347539ca21b3","block_type":"box","text":"Name","page_number":24,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"5a94f3ca-94f4-408a-9bef-5be1d1c3b712","block_type":"box","text":"and Year of Birth","page_number":24,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"5b10fcd7-590d-4bfe-b982-47196e1fa2b8","block_type":"box","text":"1,2","page_number":24,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"8b2ce07d-7c47-459b-94ed-30b31ad1c14a","block_type":"box","text":"Position(s)","page_number":24,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"a1863033-0922-4430-a017-0c7ff08ea5a5","block_type":"box","text":"Held","page_number":24,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"4ff0199d-2cfc-4f3e-9357-6080b53c7ff8","block_type":"box","text":"(Length of","page_number":24,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"7015bc78-d0fc-429e-824b-cc87e7dc200a","block_type":"box","text":"Service)","page_number":24,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"87ff0f42-3f52-40b9-a0ee-dfc2e45947f2","block_type":"box","text":"3","page_number":24,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"c87aee1c-6b93-4f93-9f95-76ac5d20a548","block_type":"box","text":"Principal Occupation(s)","page_number":24,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"f2f3dcf9-08f3-4381-be84-e810301f6777","block_type":"box","text":"During Past Five Years","page_number":24,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"bd416b1b-a654-4f21-a1ea-856aa2b96443","block_type":"box","text":"Number of","page_number":24,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"88255d72-a187-442a-9ff8-4f72eef35e78","block_type":"box","text":"BlackRock","page_number":24,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"384f831b-baf3-4099-b736-4e66e7fd5bde","block_type":"box","text":"Advised","page_number":24,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"c6aa18e5-b1b7-4f20-8bb4-3913c098b06d","block_type":"box","text":"Registered","page_number":24,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"135fa2eb-0d48-4c1b-be20-3c0f13464451","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"bb353c13-896d-4b06-a848-d0578fdfb036","block_type":"box","text":"Companies","page_number":24,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"89866c81-b136-4fc8-87a2-c236f8e5f292","block_type":"box","text":"(“RICs”)","page_number":24,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"422b41b2-8dfb-43ad-bae6-80369efa689e","block_type":"box","text":"Consisting of","page_number":24,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"afdcf2e8-2c4c-4123-ae60-1e3a8515f44c","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"d86810e7-75da-4776-9b84-c659251e486b","block_type":"box","text":"Portfolios","page_number":24,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"b522c273-804a-4cc7-afb8-558878924d1e","block_type":"box","text":"(“Portfolios”)","page_number":24,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"0dc8cef7-b7eb-4dab-bb9b-753ebec65096","block_type":"box","text":"Overseen","page_number":24,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"e3e1092f-bb8e-46b3-9d6e-4b646215f45f","block_type":"box","text":"Public","page_number":24,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"2379238b-0b2b-41d8-a792-41cf0132ba07","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"6bf3f9f0-4214-4715-a144-2964d22e566a","block_type":"box","text":"and Other","page_number":24,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"9cd80814-ca6d-4576-a4d4-55ca61193497","block_type":"box","text":"Investment","page_number":24,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"06a950c2-0e65-401a-810c-543adadfa81b","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"3ccbc8a9-d02c-4f33-a154-cebe3ef93661","block_type":"box","text":"Directorships","page_number":24,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"eecd40d7-37f1-435e-9c3b-b9614baa0cae","block_type":"box","text":"Held During","page_number":24,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"b0301157-d5b6-43a1-93d8-1822cc3b37f9","block_type":"box","text":"Past Five Years","page_number":24,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"00fb2579-5f75-4680-be64-6c8dff33f3ab","block_type":"box","text":"Collette Chilton","page_number":24,"box":{"x":69,"y":174,"width":90,"height":8}},{"id":"d92055df-4d93-4021-a853-329673491e98","block_type":"box","text":"1958","page_number":24,"box":{"x":69,"y":190,"width":33,"height":8}},{"id":"477eb785-87a0-408a-8846-f66d09a60b91","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":174,"width":45,"height":8}},{"id":"6d396d38-c46e-4e2d-bc3a-aa4d9d9b00f9","block_type":"box","text":"(Since 2015)","page_number":24,"box":{"x":235,"y":186,"width":78,"height":10}},{"id":"05a13763-ed77-42e6-9dc8-dc689a1cb22a","block_type":"box","text":"Trustee, UC Berkeley Foundation Board since","page_number":24,"box":{"x":342,"y":174,"width":273,"height":10}},{"id":"7a40b204-6cf4-4cd7-b597-8363b0f287bd","block_type":"box","text":"2024; Committee member, Oxford University","page_number":24,"box":{"x":343,"y":186,"width":269,"height":10}},{"id":"2787b1cf-39a9-4a4f-b904-1eee4a919f7f","block_type":"box","text":"Endowment Management since 2024;","page_number":24,"box":{"x":343,"y":198,"width":230,"height":10}},{"id":"9856dd48-4022-40e4-bcc3-2e18105893f7","block_type":"box","text":"Senior advisor, Insignia since 2024; Chief","page_number":24,"box":{"x":343,"y":210,"width":252,"height":10}},{"id":"4bf8e50d-b7f0-435a-b833-3ca28990d6bf","block_type":"box","text":"Investment Officer, Williams College from","page_number":24,"box":{"x":343,"y":222,"width":247,"height":10}},{"id":"eb856480-9fcb-4124-9417-a30fbf51370c","block_type":"box","text":"2006 to 2023; Chief Investment Officer,","page_number":24,"box":{"x":343,"y":234,"width":242,"height":9}},{"id":"3f89221a-43f0-42d7-96a4-6381ec93cb24","block_type":"box","text":"Lucent Asset Management Corporation from","page_number":24,"box":{"x":343,"y":246,"width":266,"height":10}},{"id":"9d15655e-6506-4978-87bf-7f6edc3d7eb0","block_type":"box","text":"1998 to 2006; Director, Boys and Girls Club","page_number":24,"box":{"x":343,"y":258,"width":266,"height":10}},{"id":"49534db6-8340-4b5a-aa67-ab3b4283f977","block_type":"box","text":"of Boston since 2017; Director, B1 Capital","page_number":24,"box":{"x":343,"y":270,"width":255,"height":10}},{"id":"323281f0-8a8a-4ba2-abcb-5af0d57edfc0","block_type":"box","text":"since 2018.","page_number":24,"box":{"x":343,"y":282,"width":72,"height":8}},{"id":"8bb48073-0185-46d4-9d27-4d299b7bdfbc","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":174,"width":129,"height":10}},{"id":"faeb0e6d-3fce-40a3-9a95-46e8dce4fe41","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":186,"width":85,"height":8}},{"id":"4ab56cda-bb33-45ee-bf8a-b31f9ece6190","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":174,"width":30,"height":8}},{"id":"7c719a05-e060-4a9d-ab2b-9834d1e6a2ab","block_type":"box","text":"Neil A. Cotty","page_number":24,"box":{"x":69,"y":299,"width":73,"height":10}},{"id":"ae5d58e6-c9cf-43ca-9723-04a525850573","block_type":"box","text":"1954","page_number":24,"box":{"x":69,"y":315,"width":33,"height":8}},{"id":"08ef16b6-f234-4271-912f-c8caa76d81c5","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":300,"width":45,"height":7}},{"id":"4815a6f2-dee3-46ad-b67a-9b8eef558b9a","block_type":"box","text":"(Since 2016)","page_number":24,"box":{"x":235,"y":311,"width":78,"height":10}},{"id":"a5db13c5-3bad-400f-97ee-c284a8c01e88","block_type":"box","text":"Bank of America Corporation from 1996 to","page_number":24,"box":{"x":343,"y":299,"width":256,"height":10}},{"id":"95472800-a998-49bd-8696-0a3c42f44de5","block_type":"box","text":"2015, serving in various senior finance","page_number":24,"box":{"x":343,"y":311,"width":235,"height":11}},{"id":"88317b54-1d94-48fd-b879-01b2a5694839","block_type":"box","text":"leadership roles, including Chief Accounting","page_number":24,"box":{"x":343,"y":323,"width":261,"height":10}},{"id":"ae4c4d00-7403-4bdf-baa0-e266ee56ba6e","block_type":"box","text":"Officer from 2009 to 2015, Chief Financial","page_number":24,"box":{"x":343,"y":335,"width":256,"height":10}},{"id":"3d58a46d-25d7-4c85-94c9-1a1f0342adcd","block_type":"box","text":"Officer of Global Banking, Markets and","page_number":24,"box":{"x":343,"y":347,"width":232,"height":10}},{"id":"09fe8be9-e456-4454-832c-31da66804a57","block_type":"box","text":"Wealth Management from 2008 to 2009,","page_number":24,"box":{"x":342,"y":359,"width":251,"height":10}},{"id":"03fca563-dc54-4e5f-bb7f-b649e61454f4","block_type":"box","text":"Chief Accounting Officer from 2004 to 2008,","page_number":24,"box":{"x":343,"y":371,"width":269,"height":10}},{"id":"78ba4ad4-37e1-4e72-ade4-402a8aa63504","block_type":"box","text":"Chief Financial Officer of Consumer Bank","page_number":24,"box":{"x":343,"y":383,"width":247,"height":8}},{"id":"c419a97f-5902-4d2f-b1fe-6ec37e1aee52","block_type":"box","text":"from 2003 to 2004, Chief Financial Officer of","page_number":24,"box":{"x":342,"y":395,"width":274,"height":10}},{"id":"a0a348ad-7a2a-48c0-8e24-cceecd038878","block_type":"box","text":"Global Corporate Investment Bank from","page_number":24,"box":{"x":343,"y":407,"width":237,"height":10}},{"id":"1f1eacc2-f1b2-49c0-8197-755a4424b940","block_type":"box","text":"1999 to 2002.","page_number":24,"box":{"x":343,"y":419,"width":89,"height":8}},{"id":"dc2b6b5c-946f-49e7-b3ae-5ac64c9393ff","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":299,"width":129,"height":11}},{"id":"aac0d0df-64c2-4f18-902a-2c309d9c099c","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":311,"width":85,"height":8}},{"id":"601f671a-b0e4-4b3a-ab8d-a90fa4940b53","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":300,"width":30,"height":7}},{"id":"da3c1030-3956-43a1-99dc-67cab5ff5e62","block_type":"box","text":"Jeffrey Jarczyk4","page_number":24,"box":{"x":69,"y":437,"width":86,"height":10}},{"id":"c26565af-0d08-4fb7-96ca-178f0955f4f1","block_type":"box","text":"k4","page_number":24,"box":{"x":155,"y":437,"width":4,"height":4}},{"id":"819f46cd-5864-4fac-9e78-09cda03afcb7","block_type":"box","text":"1964","page_number":24,"box":{"x":69,"y":453,"width":33,"height":8}},{"id":"28b7ef09-d48f-4628-86f1-685699cf6a66","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":437,"width":45,"height":8}},{"id":"e5ef7f38-a659-41a6-980a-ccc1f960d537","block_type":"box","text":"(Since 2026)","page_number":24,"box":{"x":235,"y":449,"width":78,"height":10}},{"id":"02572c18-86b8-413b-9bd5-5187ce20cab8","block_type":"box","text":"Director, The Friends of the Public Garden","page_number":24,"box":{"x":343,"y":437,"width":249,"height":9}},{"id":"b1b13af0-6d44-4452-82a3-d2d6e455dcee","block_type":"box","text":"since 2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":449,"width":263,"height":9}},{"id":"51d152bb-620f-4a30-811e-4844859acd5a","block_type":"box","text":"Auditor, Fidelity Investments from 2016 to","page_number":24,"box":{"x":342,"y":461,"width":253,"height":10}},{"id":"566cca97-d4e2-4fa6-8504-c4016bba92f1","block_type":"box","text":"2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":473,"width":227,"height":9}},{"id":"192d30f8-70e5-4112-9223-6874e5909f12","block_type":"box","text":"Accounting Officer, Fidelity Investments from","page_number":24,"box":{"x":342,"y":485,"width":267,"height":10}},{"id":"4a559328-f756-4ade-a180-43cde418988f","block_type":"box","text":"2007 to 2016.","page_number":24,"box":{"x":343,"y":497,"width":89,"height":8}},{"id":"bfb41301-d71f-4b74-ba2c-95ebb6ec534e","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":437,"width":129,"height":10}},{"id":"177f3308-3346-41cb-8fe1-46c2299d98b4","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":449,"width":85,"height":8}},{"id":"43fb8408-d14b-459f-bbd3-c11d2e976c17","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":437,"width":30,"height":8}},{"id":"89cc2295-46e9-408b-a230-c0b119fd8a16","block_type":"box","text":"Henry R. Keizer","page_number":24,"box":{"x":69,"y":514,"width":93,"height":10}},{"id":"c5613158-0c51-48a9-9a19-c8b8777c1f2e","block_type":"box","text":"1956","page_number":24,"box":{"x":69,"y":530,"width":33,"height":8}},{"id":"c0364fbc-d294-4c2a-bfe9-b32ec13a6c38","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":514,"width":45,"height":8}},{"id":"acbc1208-ec16-4cbc-b35f-f953db6d88eb","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":526,"width":78,"height":10}},{"id":"1ba463d3-a1b6-47ea-82a2-a3108cb56de1","block_type":"box","text":"Director, Park Indemnity Ltd. (captive insurer)","page_number":24,"box":{"x":343,"y":514,"width":269,"height":10}},{"id":"2e8c89bf-901f-4e12-97bc-7431ae139133","block_type":"box","text":"from 2010 to 2022.","page_number":24,"box":{"x":342,"y":526,"width":122,"height":8}},{"id":"2da1db2f-daef-4564-a0d3-914f5267d51d","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":514,"width":129,"height":10}},{"id":"46ea7384-8bfb-4b68-b94e-fa8d07adb02f","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":526,"width":85,"height":8}},{"id":"14140646-bf75-4221-893f-afd2b1adacb5","block_type":"box","text":"GrafTech International","page_number":24,"box":{"x":773,"y":514,"width":131,"height":8}},{"id":"9d1eaffa-36c4-41f3-a5a7-624de82a7fb0","block_type":"box","text":"Ltd. (materials","page_number":24,"box":{"x":774,"y":526,"width":85,"height":10}},{"id":"9aa44094-5b35-44cc-92ca-e7d765256ced","block_type":"box","text":"manufacturing);","page_number":24,"box":{"x":774,"y":538,"width":92,"height":10}},{"id":"7fc2bfd4-dd42-4d20-b788-27418aa29ab3","block_type":"box","text":"Sealed Air Corp.","page_number":24,"box":{"x":773,"y":550,"width":96,"height":10}},{"id":"ff67c8ea-3e84-421d-b59a-f47ce09cd81b","block_type":"box","text":"(packaging); Hertz","page_number":24,"box":{"x":773,"y":562,"width":109,"height":10}},{"id":"b2c6e8fb-1df8-43c0-afc7-57a042aab11f","block_type":"box","text":"Global Holdings (car","page_number":24,"box":{"x":773,"y":574,"width":121,"height":10}},{"id":"37a60ea7-3388-42d9-801b-940069aebca5","block_type":"box","text":"rental) from 2015 to","page_number":24,"box":{"x":774,"y":586,"width":122,"height":10}},{"id":"65997dac-ac44-4ff5-82e9-a35d740b3263","block_type":"box","text":"2021.","page_number":24,"box":{"x":773,"y":598,"width":36,"height":8}},{"id":"096dad35-ea8e-4a0f-90cf-2c7ad63d25bf","block_type":"box","text":"Cynthia A. Montgomery","page_number":24,"box":{"x":69,"y":616,"width":140,"height":10}},{"id":"8291a43c-3e88-46a6-8757-21e3611a524a","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":631,"width":32,"height":8}},{"id":"eb62993e-fe8b-4fce-a88c-2bc85e2e62e6","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":616,"width":45,"height":8}},{"id":"0134b124-733a-4978-a783-93e15e0e6368","block_type":"box","text":"(Since 2007)","page_number":24,"box":{"x":235,"y":628,"width":78,"height":9}},{"id":"84ac636d-75a9-4bf5-b4b5-ec55fc5a025d","block_type":"box","text":"Professor, Harvard Business School since","page_number":24,"box":{"x":343,"y":616,"width":253,"height":9}},{"id":"51c6232a-7217-469e-9c72-1e590d8442dd","block_type":"box","text":"1989.","page_number":24,"box":{"x":343,"y":628,"width":36,"height":8}},{"id":"e2103055-8bd4-4fd2-9af3-b4d563df232b","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":616,"width":129,"height":10}},{"id":"4f69e19e-5438-4125-9e24-5ebee8a6766b","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":628,"width":85,"height":8}},{"id":"ea3793cd-2b8e-4344-8c92-094b04a56a38","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":616,"width":30,"height":8}},{"id":"282a0309-21c0-42a2-af36-ed1582a7eebb","block_type":"box","text":"Donald C. Opatrny","page_number":24,"box":{"x":70,"y":649,"width":108,"height":10}},{"id":"96531ae2-7679-4914-84c9-979ac343d01d","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":665,"width":32,"height":8}},{"id":"ef046ac8-f80d-478c-8409-3c4f537b5cdf","block_type":"box","text":"Trustee","page_number":24,"box":{"x":235,"y":649,"width":45,"height":8}},{"id":"d9b90e5a-de8f-44d5-926a-f3299e257e12","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":661,"width":78,"height":10}},{"id":"5db152a9-ae90-4842-878d-afa0d8ebf921","block_type":"box","text":"Chair of the Board of Phoenix Art Museum","page_number":24,"box":{"x":343,"y":649,"width":253,"height":8}},{"id":"a0efc569-f96f-4dbe-92a6-6f1f287e438e","block_type":"box","text":"since 2022 and Trustee thereof since 2018;","page_number":24,"box":{"x":343,"y":661,"width":268,"height":9}},{"id":"8149c239-9977-4707-984d-e446fc09fdd4","block_type":"box","text":"Chair of the Investment Committee of The","page_number":24,"box":{"x":343,"y":673,"width":251,"height":8}},{"id":"d54df159-30ac-4461-9068-e280bdb735d4","block_type":"box","text":"Arizona Community Foundation since 2022","page_number":24,"box":{"x":342,"y":685,"width":259,"height":10}},{"id":"11a76782-5f45-4c67-a0f6-fbf09ad1d97d","block_type":"box","text":"and Trustee thereof since 2020; Director,","page_number":24,"box":{"x":343,"y":697,"width":249,"height":9}},{"id":"776235cb-36d8-4cd2-a40f-67bdf422c5ae","block_type":"box","text":"Athena Capital Advisors LLC (investment","page_number":24,"box":{"x":342,"y":709,"width":244,"height":10}},{"id":"9e0115b5-69a0-40c1-a303-a861b0d791a8","block_type":"box","text":"management firm) from 2013 to 2020;","page_number":24,"box":{"x":343,"y":721,"width":236,"height":10}},{"id":"019cb097-77cd-40cf-b8b7-a81c6943f18d","block_type":"box","text":"Trustee, Vice Chair, Member of the Executive","page_number":24,"box":{"x":342,"y":733,"width":270,"height":9}},{"id":"d3de549a-2c8f-42f4-886f-dad720e6f0fe","block_type":"box","text":"Committee and Chair of the Investment","page_number":24,"box":{"x":343,"y":745,"width":237,"height":8}},{"id":"901fc6b4-5e10-4d49-8460-7737b4fa0575","block_type":"box","text":"Committee, Cornell University from 2004 to","page_number":24,"box":{"x":343,"y":757,"width":262,"height":10}},{"id":"f0743446-71c7-47f8-9320-ddfeeb170896","block_type":"box","text":"2019; Member of Affordable Housing Supply","page_number":24,"box":{"x":343,"y":769,"width":270,"height":10}},{"id":"e0864588-4ade-411a-8ba6-b757cefc531a","block_type":"box","text":"Board of Jackson, Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":781,"width":251,"height":10}},{"id":"04916605-0535-49a6-83d1-dd174a1b2a10","block_type":"box","text":"2022; Member, Investment Funds","page_number":24,"box":{"x":343,"y":793,"width":205,"height":9}},{"id":"cd7ebcc7-f352-482b-a477-11878aa8675a","block_type":"box","text":"Committee, State of Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":805,"width":264,"height":10}},{"id":"ca08f32e-c4df-43cc-afe8-637b7a3fcb31","block_type":"box","text":"2023; Member of the Investment","page_number":24,"box":{"x":343,"y":817,"width":201,"height":9}},{"id":"beee3420-3c69-4728-8f98-c861a4723fca","block_type":"box","text":"Committee, Mellon Foundation from 2009 to","page_number":24,"box":{"x":343,"y":828,"width":269,"height":10}},{"id":"30dc39a2-5e62-4176-9071-9dafe8669191","block_type":"box","text":"2015; President, Trustee and Member of the","page_number":24,"box":{"x":343,"y":840,"width":270,"height":10}},{"id":"54b682d0-fe5d-4124-9732-004461d1628b","block_type":"box","text":"Investment Committee, The Aldrich","page_number":24,"box":{"x":343,"y":853,"width":210,"height":9}},{"id":"b9255c68-0f2d-4546-8d9e-4d0b177b750a","block_type":"box","text":"Contemporary Art Museum from 2007 to","page_number":24,"box":{"x":343,"y":864,"width":248,"height":10}},{"id":"47099e71-363f-498d-98c7-430103e6bcb6","block_type":"box","text":"2014; Trustee and Chair of the Investment","page_number":24,"box":{"x":343,"y":876,"width":258,"height":10}},{"id":"2f5c52a3-8f22-4bb3-88cc-af03d3b3c35e","block_type":"box","text":"Committee, Community Foundation of","page_number":24,"box":{"x":343,"y":888,"width":228,"height":10}},{"id":"26a27297-a114-4484-82c9-0ca6832209bd","block_type":"box","text":"Jackson Hole since 2014.","page_number":24,"box":{"x":342,"y":900,"width":157,"height":8}},{"id":"16eb25f3-5cfb-49b1-bee1-c0d23d3790ed","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":649,"width":129,"height":10}},{"id":"7e38f7f9-5285-4596-b850-f4eb909085f1","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":661,"width":85,"height":8}},{"id":"ca5ff154-2503-4564-a458-0ab7da32e99d","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":649,"width":30,"height":8}},{"id":"29e5c197-53e7-498b-ab01-5a088b9a4601","block_type":"box","text":"I-15","page_number":24,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"941d5936-c0f2-4e7c-9f90-3a03c8da12a5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":24,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9ed12f90-340d-45c7-8fd0-f71b11c76d6f","block_type":"box","text":"Name","page_number":25,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"7caff812-778f-4fe0-929c-3ecdc93483ba","block_type":"box","text":"and Year of Birth","page_number":25,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"30eeedb4-73bc-4979-a5e9-b2cd64a26ebc","block_type":"box","text":"1,2","page_number":25,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"40532459-b2cb-4368-be27-5e47078035f9","block_type":"box","text":"Position(s)","page_number":25,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"e9cc8b9b-56be-4c91-b896-31236ac12b08","block_type":"box","text":"Held","page_number":25,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"90fa6f80-05ff-4768-a3a1-47cd0d9159b3","block_type":"box","text":"(Length of","page_number":25,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"8c763712-06d1-4f3d-8a3d-b8dc0a011407","block_type":"box","text":"Service)","page_number":25,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"0bbe3ef3-1a05-4cf6-9643-164d7379baff","block_type":"box","text":"3","page_number":25,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"215fa02e-dfa2-4f38-a003-e16dc38060a4","block_type":"box","text":"Principal Occupation(s)","page_number":25,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"837a550a-512b-4fa8-a8fd-93f3ea3a3e9c","block_type":"box","text":"During Past Five Years","page_number":25,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"adb20bf1-fc37-497e-b7fe-c4caa8bf573f","block_type":"box","text":"Number of","page_number":25,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"ba790084-cf76-4dc1-beaf-89588fe67919","block_type":"box","text":"BlackRock","page_number":25,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"8f3de791-a462-4602-951b-47db3bf0230b","block_type":"box","text":"Advised","page_number":25,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"190d17db-a6fd-409a-bc69-c2bfd654975f","block_type":"box","text":"Registered","page_number":25,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"90f129a2-1ebf-4825-97c8-78f26feb3015","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"b7fa5701-a0db-4d7d-8c6d-5acf51626bf2","block_type":"box","text":"Companies","page_number":25,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"2e39f48d-2b22-420f-b92d-8001b91d4241","block_type":"box","text":"(“RICs”)","page_number":25,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"926f6466-118e-4818-8bee-569e8f36a9b4","block_type":"box","text":"Consisting of","page_number":25,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"afa88f79-71cd-428c-adbb-18ebc3c70e0c","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"9a79becd-ffbc-491a-bd25-0c02c62cb278","block_type":"box","text":"Portfolios","page_number":25,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"eaaa51a7-0f22-40ab-985e-e76e3e30fc55","block_type":"box","text":"(“Portfolios”)","page_number":25,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"30e9fc72-c2c0-40df-a677-3c0c062f0542","block_type":"box","text":"Overseen","page_number":25,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"25ff67a7-1063-4f60-b19e-6a7e0717e074","block_type":"box","text":"Public","page_number":25,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"571c1c65-6e8e-49b7-871b-6b1717eafc87","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"b0e8590a-9ffd-492a-b4c0-aef4b6c47669","block_type":"box","text":"and Other","page_number":25,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"6b9960a9-1b43-4604-abea-ef547b5937ad","block_type":"box","text":"Investment","page_number":25,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"4bbb6bea-62c4-4c5d-aa73-b3c6503ae97b","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"a0b860da-8053-4bd7-81bc-51a6e858bd1a","block_type":"box","text":"Directorships","page_number":25,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"40b99715-73f4-44a3-9bb2-bd49081425d5","block_type":"box","text":"Held During","page_number":25,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"e6004fe2-69b5-4cba-a400-afd68397f408","block_type":"box","text":"Past Five Years","page_number":25,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"aaa880b8-767f-40eb-8f18-d6a33959161e","block_type":"box","text":"Lori Richards","page_number":25,"box":{"x":69,"y":174,"width":78,"height":8}},{"id":"ab4fc9ba-5d8e-4064-a57c-3c93559a50bf","block_type":"box","text":"1960","page_number":25,"box":{"x":69,"y":190,"width":33,"height":8}},{"id":"dd645571-7784-4b80-8fb9-bbac5da9996c","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":174,"width":45,"height":8}},{"id":"964b474d-dc1a-4459-998c-a58e873db906","block_type":"box","text":"(Since 2024)","page_number":25,"box":{"x":235,"y":186,"width":78,"height":10}},{"id":"ee03c801-de21-4e75-b4e1-3bd37485ee2c","block_type":"box","text":"President and Trustee, SEC Historical Society","page_number":25,"box":{"x":343,"y":174,"width":273,"height":10}},{"id":"bf2e02a7-f99c-44f9-82be-12add7ccae00","block_type":"box","text":"since 2018; Trustee, Garrett College","page_number":25,"box":{"x":343,"y":186,"width":220,"height":10}},{"id":"db9e9af2-4146-4507-8752-eadadeddfa26","block_type":"box","text":"Foundation since 2019; Member, Vice-Chair","page_number":25,"box":{"x":343,"y":198,"width":264,"height":9}},{"id":"8cf94d82-77c8-4843-9de3-2664e98a169e","block_type":"box","text":"or Chair of FINRA National Adjudicatory","page_number":25,"box":{"x":343,"y":210,"width":233,"height":10}},{"id":"bd8f51ff-4fc3-4251-acfa-d8e317a4ad27","block_type":"box","text":"Council from 2019 to 2022; Director,","page_number":25,"box":{"x":343,"y":222,"width":223,"height":9}},{"id":"93748bdf-92fa-4c39-9ced-11c21db02b7c","block_type":"box","text":"PharmaCann, Inc. from 2021 to 2024;","page_number":25,"box":{"x":343,"y":234,"width":232,"height":9}},{"id":"101d6dfe-4a3f-4665-9f5f-7ae619929155","block_type":"box","text":"Director, Wahed Invest from 2022 to 2024.","page_number":25,"box":{"x":343,"y":246,"width":260,"height":9}},{"id":"467ace68-fa99-4cf0-931c-7fad0034720f","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":174,"width":129,"height":10}},{"id":"cd75b4d7-9954-40d8-be24-fd4509b8446d","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":186,"width":85,"height":8}},{"id":"fd30dcc6-6680-44e0-a178-e8e6478cea16","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":174,"width":30,"height":8}},{"id":"70bd27ac-f2bd-48cc-9798-4cb84b1c3418","block_type":"box","text":"Marc D. Stern","page_number":25,"box":{"x":69,"y":264,"width":83,"height":8}},{"id":"40eeb033-4e5f-4707-9f06-d8b167bcf0c8","block_type":"box","text":"4","page_number":25,"box":{"x":153,"y":263,"width":4,"height":4}},{"id":"75ffebba-74a8-40c8-a63a-1da49b732b95","block_type":"box","text":"1962","page_number":25,"box":{"x":69,"y":279,"width":32,"height":8}},{"id":"2c22cd87-4b39-4212-a8d4-e6629ae77282","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":264,"width":45,"height":8}},{"id":"ee1a8412-4e42-430f-808f-6a992fb94f6c","block_type":"box","text":"(Since 2026)","page_number":25,"box":{"x":235,"y":276,"width":78,"height":9}},{"id":"240621db-fc85-4e63-bedf-d99ee3f4a995","block_type":"box","text":"Chief Executive Officer and Director,","page_number":25,"box":{"x":343,"y":263,"width":214,"height":10}},{"id":"4d55ae15-7323-4a95-892e-70d8614e5664","block_type":"box","text":"Bessemer Trust from 2013 to 2026.","page_number":25,"box":{"x":343,"y":275,"width":221,"height":9}},{"id":"ee67c8cb-961e-474b-8df8-f1c79fef1504","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":263,"width":129,"height":11}},{"id":"2a9b4a00-831e-4069-b6be-a58d72e787bf","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":275,"width":85,"height":9}},{"id":"8147ccc4-c463-4fb8-96aa-08134807819b","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":264,"width":30,"height":8}},{"id":"40f57897-0e28-47d7-863b-8656e95ff47c","block_type":"box","text":"Kenneth L. Urish","page_number":25,"box":{"x":70,"y":297,"width":98,"height":8}},{"id":"ed24af0c-50a0-4847-838f-bdd848aa47e8","block_type":"box","text":"1951","page_number":25,"box":{"x":69,"y":313,"width":33,"height":8}},{"id":"bfe2ffcc-6c9d-445c-98dd-a5cbf446f04f","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":297,"width":45,"height":8}},{"id":"a44df701-7550-4443-8b82-48315937a781","block_type":"box","text":"(Since 2007)","page_number":25,"box":{"x":235,"y":309,"width":78,"height":10}},{"id":"76f9c914-fb17-4bf7-907a-df411e76248f","block_type":"box","text":"Managing Partner, Urish Popeck & Co., LLC","page_number":25,"box":{"x":343,"y":297,"width":261,"height":10}},{"id":"b5bcbfcc-d9a1-4450-9d8f-f316ed297c56","block_type":"box","text":"(certified public accountants and","page_number":25,"box":{"x":343,"y":309,"width":196,"height":10}},{"id":"87685737-15f6-460a-b6c5-cc157867bd9d","block_type":"box","text":"consultants) since 1976; Past-Chairman of","page_number":25,"box":{"x":343,"y":321,"width":259,"height":10}},{"id":"7e8f77fb-3543-43d3-8ba9-a3b6c6f843e6","block_type":"box","text":"the Professional Ethics Committee of the","page_number":25,"box":{"x":342,"y":333,"width":247,"height":8}},{"id":"4900e519-27cd-4e5b-8805-6a92d402d391","block_type":"box","text":"Pennsylvania Institute of Certified Public","page_number":25,"box":{"x":343,"y":345,"width":241,"height":10}},{"id":"181e5038-86bf-42fd-a301-0ad6d53ab652","block_type":"box","text":"Accountants and Committee Member thereof","page_number":25,"box":{"x":342,"y":357,"width":273,"height":8}},{"id":"c4307321-69b7-4048-b810-ec73d30c9b92","block_type":"box","text":"since 2007; Member of External Advisory","page_number":25,"box":{"x":343,"y":369,"width":250,"height":10}},{"id":"4b564b71-08af-40ca-9660-4c91febc657e","block_type":"box","text":"Board, The Pennsylvania State University","page_number":25,"box":{"x":343,"y":381,"width":246,"height":10}},{"id":"2b4d6f92-0426-45cc-845e-2af7f2350801","block_type":"box","text":"Accounting Department since 2001,","page_number":25,"box":{"x":342,"y":393,"width":219,"height":10}},{"id":"3419a1fc-835a-4e53-b962-c27b8eed074a","block_type":"box","text":"Emeritus since 2022; Principal, UP Strategic","page_number":25,"box":{"x":343,"y":405,"width":267,"height":10}},{"id":"564b3b42-f2ab-4508-9814-82772f0c3675","block_type":"box","text":"Wealth Investment Advisors, LLC since","page_number":25,"box":{"x":342,"y":417,"width":233,"height":9}},{"id":"05020725-6dcf-4f87-99ec-a77d4d55e016","block_type":"box","text":"2013; Trustee, The Holy Family Institute from","page_number":25,"box":{"x":343,"y":428,"width":272,"height":11}},{"id":"dae32b6c-e197-4068-897b-7861f0fbfbe6","block_type":"box","text":"2001 to 2010; President and Trustee,","page_number":25,"box":{"x":343,"y":441,"width":230,"height":9}},{"id":"f9db03eb-d040-433a-8ea1-de8759fb52a2","block_type":"box","text":"Pittsburgh Catholic Publishing Associates","page_number":25,"box":{"x":343,"y":453,"width":248,"height":10}},{"id":"b5f7a6fd-db58-4822-95b1-5df31cbae4bd","block_type":"box","text":"from 2003 to 2008; Director, Inter-Tel from","page_number":25,"box":{"x":342,"y":464,"width":259,"height":10}},{"id":"3666d9e1-d544-46d9-b64e-173bff1a55b4","block_type":"box","text":"2006 to 2007; Member, Advisory Board,","page_number":25,"box":{"x":343,"y":476,"width":245,"height":10}},{"id":"94469a23-05ae-4071-8fa3-38883ed39f42","block_type":"box","text":"ESG Competent Boards since 2020.","page_number":25,"box":{"x":343,"y":488,"width":219,"height":10}},{"id":"3f0539cb-0c9f-4542-b69d-bdcc59c4ea9f","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":297,"width":129,"height":10}},{"id":"95af2396-de62-46fd-a8b8-f1c7f0ac6dde","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":309,"width":85,"height":8}},{"id":"3ac03e1e-7b24-4fa2-98ae-f2dffeaa3cf7","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":297,"width":30,"height":8}},{"id":"6919a8a0-21aa-4911-8073-5c24f3a6a79f","block_type":"box","text":"Claire A. Walton","page_number":25,"box":{"x":69,"y":506,"width":94,"height":8}},{"id":"0a704c5d-677e-4f9e-a5d9-19724b8f5f75","block_type":"box","text":"1957","page_number":25,"box":{"x":69,"y":522,"width":32,"height":8}},{"id":"6ad61850-842d-474f-8d7d-6d580b7b9724","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":506,"width":45,"height":8}},{"id":"5e8bfbb5-28a6-4b23-8736-99ce73ec151d","block_type":"box","text":"(Since 2016)","page_number":25,"box":{"x":235,"y":518,"width":78,"height":10}},{"id":"272ebd79-697e-4daa-8d25-14702329bbcb","block_type":"box","text":"Director/Treasurer, Reading Community Trust","page_number":25,"box":{"x":343,"y":506,"width":273,"height":10}},{"id":"4cab9e58-06a4-4222-9f72-208cc4fa7f6b","block_type":"box","text":"since 2024; Advisory Board Member,","page_number":25,"box":{"x":343,"y":518,"width":224,"height":10}},{"id":"c39b0c76-5707-4879-b682-65da4edb1540","block_type":"box","text":"Grossman School of Business at the","page_number":25,"box":{"x":343,"y":530,"width":221,"height":8}},{"id":"48d67465-d542-493f-9ae6-7e1bc03efd84","block_type":"box","text":"University of Vermont since 2023; Advisory","page_number":25,"box":{"x":343,"y":542,"width":259,"height":10}},{"id":"6be68d83-4193-461a-9eb6-b33ccaae7102","block_type":"box","text":"Board Member, Scientific Financial Systems","page_number":25,"box":{"x":343,"y":554,"width":264,"height":10}},{"id":"77eae4b8-7ecb-4c21-872b-0247c656f667","block_type":"box","text":"from 2022 to 2025; General Partner of Neon","page_number":25,"box":{"x":342,"y":566,"width":273,"height":9}},{"id":"cbdacc9a-5e25-481b-849e-04a77dfab9e5","block_type":"box","text":"Liberty Capital Management, LLC from 2003","page_number":25,"box":{"x":343,"y":578,"width":269,"height":10}},{"id":"6629072a-425a-40f8-84ca-920bf0174e9c","block_type":"box","text":"to 2023; Chief Operating Officer and Chief","page_number":25,"box":{"x":342,"y":590,"width":256,"height":10}},{"id":"0f58f5b6-b841-4f3e-987b-9b522f126120","block_type":"box","text":"Financial Officer of Liberty Square Asset","page_number":25,"box":{"x":343,"y":602,"width":241,"height":10}},{"id":"397f7a0e-7e9d-4070-b0de-60494c42a931","block_type":"box","text":"Management, LP / Steel Partners Japan","page_number":25,"box":{"x":343,"y":614,"width":242,"height":10}},{"id":"65bfa6c2-c51a-4f54-b7ef-aa74d0d8ea45","block_type":"box","text":"Asset Management, LP from 1998 to 2015;","page_number":25,"box":{"x":342,"y":626,"width":266,"height":10}},{"id":"85ab1731-2f75-4677-b2b9-c6896462304e","block_type":"box","text":"Director, Boston Hedge Fund Group from","page_number":25,"box":{"x":343,"y":638,"width":244,"height":10}},{"id":"b54401e4-3f5b-49ed-b87d-1a6d70de4db8","block_type":"box","text":"2009 to 2018; Director, Massachusetts","page_number":25,"box":{"x":343,"y":650,"width":242,"height":9}},{"id":"135a9ad3-3031-4165-bc9b-ed74eac8c0fc","block_type":"box","text":"Council on Economic Education from 2013","page_number":25,"box":{"x":343,"y":662,"width":257,"height":8}},{"id":"db0e13cd-6acf-4fe4-8a08-0b133ecfacc1","block_type":"box","text":"to 2015.","page_number":25,"box":{"x":342,"y":674,"width":53,"height":8}},{"id":"7c90a164-471a-4c1e-9d55-a33a7ae652b5","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":506,"width":129,"height":10}},{"id":"ba5eae0d-8bd5-4ddd-a300-5d77a31a764e","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":518,"width":85,"height":8}},{"id":"5783fbd7-290d-43c5-9cfe-376b2ab434f2","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":506,"width":30,"height":8}},{"id":"e9e817b9-7db6-4c7e-a6f4-ecac450b39a7","block_type":"box","text":"Interested Trustees","page_number":25,"box":{"x":70,"y":691,"width":124,"height":8}},{"id":"94229e39-a467-495d-9155-f8d31a639d14","block_type":"box","text":"5","page_number":25,"box":{"x":194,"y":691,"width":4,"height":4}},{"id":"897d7009-f190-4f2a-b2d2-f0c9e08e86b5","block_type":"box","text":"Robert Fairbairn","page_number":25,"box":{"x":69,"y":709,"width":96,"height":8}},{"id":"9bf43b31-6f21-46ab-b146-ef5c7329431c","block_type":"box","text":"1965","page_number":25,"box":{"x":69,"y":725,"width":33,"height":8}},{"id":"4fafeb11-bbd5-4b4c-b5a9-169436cab5e9","block_type":"box","text":"Trustee","page_number":25,"box":{"x":235,"y":709,"width":45,"height":8}},{"id":"af826fcf-d48c-4db9-ac13-f44712c00f0e","block_type":"box","text":"(Since 2018)","page_number":25,"box":{"x":235,"y":721,"width":78,"height":10}},{"id":"afaa4110-1fdd-43e0-bc55-3dbd602e0a66","block_type":"box","text":"Vice Chairman of BlackRock, Inc. since","page_number":25,"box":{"x":342,"y":709,"width":235,"height":9}},{"id":"e04d1507-3e0f-4d99-b13b-1e3eb0497ac8","block_type":"box","text":"2019; Member of BlackRock’s Global","page_number":25,"box":{"x":343,"y":721,"width":225,"height":9}},{"id":"38072b6b-e64d-4ea0-adc0-bb6f448c28c5","block_type":"box","text":"Operating Committee; Co-Chair of","page_number":25,"box":{"x":343,"y":733,"width":202,"height":10}},{"id":"03b16023-afd2-4b79-81d5-5f82e9ec7733","block_type":"box","text":"BlackRock’s Human Capital Committee;","page_number":25,"box":{"x":343,"y":745,"width":240,"height":10}},{"id":"1cdc16c1-884a-44f2-a558-b7157ff68e4c","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":25,"box":{"x":343,"y":757,"width":262,"height":10}},{"id":"20ccd18b-1332-4b9b-868f-11ef3286a715","block_type":"box","text":"from 2010 to 2019; oversaw BlackRock’s","page_number":25,"box":{"x":342,"y":769,"width":254,"height":9}},{"id":"2c6b0386-c8ee-4b1f-9994-1ea6d6d18e2a","block_type":"box","text":"Strategic Partner Program and Strategic","page_number":25,"box":{"x":343,"y":781,"width":239,"height":10}},{"id":"6a6f540b-fcac-4664-ba50-8df2c403464a","block_type":"box","text":"Product Management Group from 2012 to","page_number":25,"box":{"x":343,"y":793,"width":254,"height":10}},{"id":"8afeff61-e7eb-440c-9159-e7beefe8f77a","block_type":"box","text":"2019; Member of the Board of Managers of","page_number":25,"box":{"x":343,"y":805,"width":265,"height":10}},{"id":"9673bbfa-dddd-46d5-9a4f-2e0a1ee71649","block_type":"box","text":"BlackRock Investments, LLC from 2011 to","page_number":25,"box":{"x":343,"y":817,"width":255,"height":9}},{"id":"ec00d1e6-5f4c-4d86-adc0-007d759e876a","block_type":"box","text":"2018; Global Head of BlackRock’s Retail","page_number":25,"box":{"x":343,"y":828,"width":245,"height":10}},{"id":"e6ae001a-b9ed-4b79-a15e-b18026502305","block_type":"box","text":"and iShares","page_number":25,"box":{"x":343,"y":841,"width":72,"height":8}},{"id":"04509dc1-706b-4382-9e8e-05659e9cd718","block_type":"box","text":"®","page_number":25,"box":{"x":415,"y":840,"width":5,"height":4}},{"id":"efad5c6b-85a0-4770-a6a7-010b5d7749cc","block_type":"box","text":"businesses from 2012 to","page_number":25,"box":{"x":425,"y":840,"width":153,"height":9}},{"id":"4d67459c-bdba-46b5-ac3d-e475e1567508","block_type":"box","text":"2016.","page_number":25,"box":{"x":343,"y":853,"width":36,"height":8}},{"id":"cd18ab84-4a7c-4c77-bc70-bcb7cacdc24e","block_type":"box","text":"78 RICs consisting of","page_number":25,"box":{"x":627,"y":709,"width":129,"height":10}},{"id":"341f42bb-42ca-4f3c-b765-fed16075bcb5","block_type":"box","text":"255 Portfolios","page_number":25,"box":{"x":627,"y":721,"width":85,"height":8}},{"id":"cd052721-250a-4090-8141-83aab57554a6","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":709,"width":30,"height":8}},{"id":"8d462bdd-3a48-4c36-a0d7-43721726f227","block_type":"box","text":"I-16","page_number":25,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"754b4cbc-4adf-41d3-8381-2fb775805e48","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":25,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"293befc4-b432-4bdd-a536-1aba2d87bb06","block_type":"box","text":"Name","page_number":26,"box":{"x":131,"y":150,"width":32,"height":7}},{"id":"b244f348-7ac9-4055-9362-5de4f281abd1","block_type":"box","text":"and Year of Birth","page_number":26,"box":{"x":93,"y":160,"width":97,"height":7}},{"id":"96875252-8a15-4f0d-bde5-894a42034487","block_type":"box","text":"1,2","page_number":26,"box":{"x":191,"y":160,"width":9,"height":4}},{"id":"5fcf9aad-abdc-4879-a7e4-4d5e8566d1c5","block_type":"box","text":"Position(s)","page_number":26,"box":{"x":252,"y":130,"width":62,"height":8}},{"id":"b651d575-744b-483c-86ec-9ab04b93fb84","block_type":"box","text":"Held","page_number":26,"box":{"x":271,"y":140,"width":25,"height":7}},{"id":"53fe1d5d-1866-43fd-960c-3e41588446a1","block_type":"box","text":"(Length of","page_number":26,"box":{"x":254,"y":150,"width":60,"height":9}},{"id":"a3950195-9afe-4f2d-91b5-c8fbf8111b28","block_type":"box","text":"Service)","page_number":26,"box":{"x":257,"y":160,"width":48,"height":9}},{"id":"fc7a95b5-3266-4468-b4a6-77732ee1475b","block_type":"box","text":"3","page_number":26,"box":{"x":306,"y":160,"width":3,"height":3}},{"id":"5caac665-3fad-4736-92e3-1083383a6d18","block_type":"box","text":"Principal Occupation(s)","page_number":26,"box":{"x":411,"y":150,"width":136,"height":9}},{"id":"e657bed9-cb0c-4c60-952d-f76c812267e8","block_type":"box","text":"During Past Five Years","page_number":26,"box":{"x":414,"y":160,"width":130,"height":9}},{"id":"2dc40e80-65ad-4635-bf60-1591e51b3ef8","block_type":"box","text":"Number of","page_number":26,"box":{"x":665,"y":49,"width":59,"height":7}},{"id":"d2b8587a-6c94-4fbb-b7d1-1c6c5cbed52b","block_type":"box","text":"BlackRock","page_number":26,"box":{"x":662,"y":59,"width":66,"height":7}},{"id":"1fa70c22-9c67-4b05-9543-605fc0dc5ba5","block_type":"box","text":"Advised","page_number":26,"box":{"x":672,"y":69,"width":45,"height":7}},{"id":"154e9cd8-68c0-4861-b988-7f7d5ff1eea4","block_type":"box","text":"Registered","page_number":26,"box":{"x":663,"y":79,"width":62,"height":9}},{"id":"6aaeb332-32ab-4058-922e-5f0fa27331b6","block_type":"box","text":"Investment","page_number":26,"box":{"x":662,"y":89,"width":65,"height":7}},{"id":"61656314-fca5-499a-a8bd-8a9a15f7cb99","block_type":"box","text":"Companies","page_number":26,"box":{"x":663,"y":99,"width":63,"height":9}},{"id":"14e2f5b2-1a3d-43fe-9bef-7f9112aaa9fe","block_type":"box","text":"(“RICs”)","page_number":26,"box":{"x":670,"y":109,"width":48,"height":9}},{"id":"9de4cd11-3271-4a1a-95d9-86fdbf06eb8d","block_type":"box","text":"Consisting of","page_number":26,"box":{"x":656,"y":120,"width":77,"height":8}},{"id":"64a6dc26-974e-42a5-965f-36475feec9ac","block_type":"box","text":"Investment","page_number":26,"box":{"x":662,"y":130,"width":65,"height":7}},{"id":"34d5d082-00db-4452-93b3-1440d37072d6","block_type":"box","text":"Portfolios","page_number":26,"box":{"x":667,"y":140,"width":55,"height":7}},{"id":"3162cf01-246b-4cca-a817-e43d91d45fb9","block_type":"box","text":"(“Portfolios”)","page_number":26,"box":{"x":655,"y":150,"width":78,"height":9}},{"id":"2ee53ead-b172-4c96-ab34-33351a864d85","block_type":"box","text":"Overseen","page_number":26,"box":{"x":668,"y":160,"width":53,"height":7}},{"id":"77673386-2d53-4232-b854-0a05ca6bfa4d","block_type":"box","text":"Public","page_number":26,"box":{"x":824,"y":89,"width":35,"height":7}},{"id":"e323f911-5847-4f80-8458-3d5eb3cdd8e8","block_type":"box","text":"Company","page_number":26,"box":{"x":815,"y":99,"width":53,"height":9}},{"id":"f5489764-3c31-43a3-b4c7-b8ae0d70e256","block_type":"box","text":"and Other","page_number":26,"box":{"x":813,"y":109,"width":57,"height":8}},{"id":"ab6b68bb-8f28-44aa-a74e-ba6042024a24","block_type":"box","text":"Investment","page_number":26,"box":{"x":809,"y":120,"width":64,"height":7}},{"id":"fa6e7441-6300-4d3b-b861-5d7024e070b8","block_type":"box","text":"Company","page_number":26,"box":{"x":815,"y":130,"width":53,"height":8}},{"id":"f54ec9a9-a073-4f5c-ba7d-911b4101e435","block_type":"box","text":"Directorships","page_number":26,"box":{"x":803,"y":140,"width":77,"height":8}},{"id":"450c3012-0504-4ece-a3e0-a481caed7791","block_type":"box","text":"Held During","page_number":26,"box":{"x":808,"y":150,"width":67,"height":9}},{"id":"deb0179f-a1d1-4216-a443-404d67087d27","block_type":"box","text":"Past Five Years","page_number":26,"box":{"x":797,"y":160,"width":88,"height":7}},{"id":"b2e73e23-b0de-41fb-b9b2-a36e70f07923","block_type":"box","text":"John M. Perlowski","page_number":26,"box":{"x":69,"y":174,"width":107,"height":8}},{"id":"f9a2efb2-22fa-44c9-9a93-283d2ac5debc","block_type":"box","text":"6","page_number":26,"box":{"x":177,"y":174,"width":4,"height":4}},{"id":"f681a5f6-4d55-4ed8-85eb-7d2c2b4d4848","block_type":"box","text":"1964","page_number":26,"box":{"x":69,"y":190,"width":33,"height":8}},{"id":"bfaa8d9f-54ec-4d39-b8e7-a11139de1215","block_type":"box","text":"Trustee","page_number":26,"box":{"x":235,"y":174,"width":45,"height":8}},{"id":"2588f9dc-b247-4075-96a0-cb33f8ce5e05","block_type":"box","text":"(Since 2015)","page_number":26,"box":{"x":235,"y":186,"width":78,"height":10}},{"id":"914faa58-5463-4774-a61b-583e82e03fd2","block_type":"box","text":"President and","page_number":26,"box":{"x":236,"y":198,"width":82,"height":8}},{"id":"69b352ca-b805-4f5c-bedd-106832ec330d","block_type":"box","text":"Chief Executive","page_number":26,"box":{"x":235,"y":210,"width":91,"height":8}},{"id":"df3680f8-04ba-491a-bee8-da12b0e8778d","block_type":"box","text":"Officer","page_number":26,"box":{"x":235,"y":222,"width":40,"height":8}},{"id":"71cb33a3-64a7-4d5a-8857-d370b7431706","block_type":"box","text":"(Since 2010)","page_number":26,"box":{"x":235,"y":234,"width":78,"height":10}},{"id":"039ba4e8-963e-438a-b7e4-4cc3a129dd3f","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":26,"box":{"x":343,"y":174,"width":262,"height":10}},{"id":"4242a3f6-94fb-4fe3-9939-9c9e013770ee","block_type":"box","text":"since 2026; Managing Director of BlackRock,","page_number":26,"box":{"x":343,"y":186,"width":272,"height":10}},{"id":"7c49e206-b0c1-4ce2-9010-b0849c339fe1","block_type":"box","text":"Inc. from 2009 to 2025; Member of","page_number":26,"box":{"x":343,"y":198,"width":218,"height":9}},{"id":"e7eaa228-15d9-4ec5-8f19-764d3bc897c7","block_type":"box","text":"BlackRock’s Global Executive Committee","page_number":26,"box":{"x":343,"y":210,"width":246,"height":8}},{"id":"a9b4aa5d-c769-48bb-b58d-bb619107116b","block_type":"box","text":"since 2025; Head of BlackRock Global","page_number":26,"box":{"x":343,"y":222,"width":232,"height":9}},{"id":"64c46b5d-38a5-45e5-a64f-3c75a8a3001a","block_type":"box","text":"Business Operations Services since 2009;","page_number":26,"box":{"x":343,"y":234,"width":258,"height":10}},{"id":"63dd55af-e6f1-4ca0-8802-98072a8b777b","block_type":"box","text":"Advisory Director of Family Resource Network","page_number":26,"box":{"x":342,"y":246,"width":274,"height":10}},{"id":"f621f5d4-7b58-417a-9d79-610dd6a8e3fa","block_type":"box","text":"(charitable foundation) since 2009.","page_number":26,"box":{"x":343,"y":258,"width":211,"height":10}},{"id":"5d0c4980-c4d8-459e-853e-0bd2290a9ad6","block_type":"box","text":"78 RICs consisting of","page_number":26,"box":{"x":627,"y":174,"width":129,"height":10}},{"id":"9c7c551b-997f-461c-a2a6-9f06861d7e83","block_type":"box","text":"255 Portfolios","page_number":26,"box":{"x":627,"y":186,"width":85,"height":8}},{"id":"ba53072d-b46a-4056-b253-62cdaf57dce1","block_type":"box","text":"None","page_number":26,"box":{"x":774,"y":174,"width":30,"height":8}},{"id":"e775eae9-e7ae-482b-a05a-3a526a607422","block_type":"box","text":"1","page_number":26,"box":{"x":69,"y":282,"width":3,"height":3}},{"id":"b01be6fa-cc66-4386-a969-517909ff656f","block_type":"box","text":"The address of each Trustee is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001.","page_number":26,"box":{"x":93,"y":281,"width":563,"height":9}},{"id":"f9e1d169-709b-4a35-adff-456b0bfb0665","block_type":"box","text":"2","page_number":26,"box":{"x":69,"y":294,"width":3,"height":4}},{"id":"1daf8407-5167-4d69-a179-d2ac0a47b01b","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":26,"box":{"x":94,"y":294,"width":801,"height":9}},{"id":"410e940e-4290-484a-b6a5-5b0aa27e3d6c","block_type":"box","text":"Board may determine to extend the terms of Independent Trustees on a case-by-case basis, as appropriate.","page_number":26,"box":{"x":94,"y":304,"width":614,"height":9}},{"id":"8d966bfc-fa0a-46e9-a7b1-a9a575c074c0","block_type":"box","text":"3","page_number":26,"box":{"x":69,"y":317,"width":3,"height":3}},{"id":"ed32b944-e959-49f4-a6ee-87f1a1d2b93e","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":26,"box":{"x":94,"y":317,"width":804,"height":9}},{"id":"896b31eb-fd71-4ac6-a067-ab51f496b0ce","block_type":"box","text":"realigned and consolidated into three new fund boards in 2007. Furthermore, effective January 1, 2019, three BlackRock Fund Complexes","page_number":26,"box":{"x":94,"y":327,"width":792,"height":9}},{"id":"db53e2b7-11f2-4352-b60a-357ec9027d36","block_type":"box","text":"were realigned and consolidated into two BlackRock Fund Complexes. As a result, although the chart shows the year that each Independent","page_number":26,"box":{"x":93,"y":337,"width":799,"height":9}},{"id":"61ca66b0-00d7-448c-8f5c-735d2c8f0a36","block_type":"box","text":"Trustee joined the Board, certain Independent Trustees first became members of the boards of other BlackRock-advised Funds as follows:","page_number":26,"box":{"x":93,"y":347,"width":789,"height":9}},{"id":"1da49cc6-3ca2-4942-83fd-19bab69b429b","block_type":"box","text":"Cynthia A. Montgomery, 1994; Kenneth L. Urish, 1999; Henry R. Keizer, 2016; Donald C. Opatrny, 2015.","page_number":26,"box":{"x":93,"y":357,"width":599,"height":9}},{"id":"e6e6aeda-5ea9-4873-8db7-321cee1b1254","block_type":"box","text":"4","page_number":26,"box":{"x":68,"y":370,"width":4,"height":3}},{"id":"52a20c2a-be2b-4c46-9a34-42e36db1473c","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":370,"width":807,"height":8}},{"id":"886368f7-dcc5-4cad-866c-cb2fb4624378","block_type":"box","text":"Independent Trustees from April 1, 2026 to July 1, 2026.","page_number":26,"box":{"x":94,"y":380,"width":326,"height":9}},{"id":"c6ca8b8f-9325-45b6-b46f-139590699765","block_type":"box","text":"5","page_number":26,"box":{"x":69,"y":392,"width":3,"height":4}},{"id":"558af47d-de29-4848-a9d0-b8608eea3c08","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":392,"width":814,"height":9}},{"id":"95516086-82c1-4643-89a5-2e8d6f6a2fbb","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":402,"width":772,"height":9}},{"id":"70db1a37-9d1d-4aee-87ee-620285ffe4d0","block_type":"box","text":"6","page_number":26,"box":{"x":69,"y":415,"width":3,"height":4}},{"id":"7840a5c4-e8f3-495d-9055-c726a4d22af0","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":415,"width":669,"height":9}},{"id":"91e5de5a-8004-460d-8281-a2c555fa0636","block_type":"box","text":"Certain biographical and other information relating to the officers of the Trust who are not Trustees is set forth","page_number":26,"box":{"x":102,"y":436,"width":787,"height":11}},{"id":"287cb45f-4f05-4ba9-a99b-b2d0132e42a4","block_type":"box","text":"below, including their address and year of birth, principal occupations for at least the last five years and length of","page_number":26,"box":{"x":69,"y":451,"width":808,"height":11}},{"id":"8b83fcc4-9a49-4262-b589-410660321351","block_type":"box","text":"time served.","page_number":26,"box":{"x":68,"y":466,"width":89,"height":9}},{"id":"b631d6e3-4e03-443d-bd78-8a17220c58dc","block_type":"box","text":"Name","page_number":26,"box":{"x":160,"y":494,"width":32,"height":7}},{"id":"6fba40d7-67bd-43db-8b28-2d30964462ab","block_type":"box","text":"and Year of Birth","page_number":26,"box":{"x":122,"y":504,"width":97,"height":8}},{"id":"5d0f543a-f0f0-4e9b-a979-2a09ef3e1daa","block_type":"box","text":"1,2","page_number":26,"box":{"x":220,"y":504,"width":10,"height":5}},{"id":"664ff589-9e87-469a-833d-2a408e7fddb7","block_type":"box","text":"Position(s) Held","page_number":26,"box":{"x":335,"y":494,"width":93,"height":9}},{"id":"5b799b30-cc10-404e-ab10-9b6dc901c4c0","block_type":"box","text":"(Length of Service)","page_number":26,"box":{"x":326,"y":504,"width":110,"height":9}},{"id":"efef0fbf-74f5-4c32-b80f-a9248893fcc0","block_type":"box","text":"Principal Occupation(s)","page_number":26,"box":{"x":626,"y":494,"width":136,"height":9}},{"id":"a03838ec-888f-4054-ad7d-3fd994415d95","block_type":"box","text":"During Past Five Years","page_number":26,"box":{"x":629,"y":504,"width":131,"height":9}},{"id":"1dd93908-6b49-4f4d-8e21-715d666f8380","block_type":"box","text":"Officers Who Are Not Trustees","page_number":26,"box":{"x":69,"y":519,"width":194,"height":8}},{"id":"75067634-ca62-43ed-8566-70d98ef72359","block_type":"box","text":"Roland Villacorta","page_number":26,"box":{"x":69,"y":536,"width":101,"height":8}},{"id":"d30c632c-43d2-440b-833b-5bdb73941a26","block_type":"box","text":"1971","page_number":26,"box":{"x":69,"y":552,"width":33,"height":8}},{"id":"0d31a9b3-e6eb-4a5e-9395-55904090a409","block_type":"box","text":"Vice President","page_number":26,"box":{"x":293,"y":536,"width":87,"height":8}},{"id":"a67eb68e-9ac9-4d84-b8ed-c06988d1e83b","block_type":"box","text":"(Since 2022)","page_number":26,"box":{"x":294,"y":548,"width":78,"height":10}},{"id":"e554cbdf-9026-4f04-bed8-a4aacf3f91ad","block_type":"box","text":"Senior Managing Director of BlackRock, Inc. since 2026; Managing","page_number":26,"box":{"x":480,"y":536,"width":404,"height":10}},{"id":"6f5f90d6-2fbe-4bfa-a0bf-6918339f1aae","block_type":"box","text":"Director of BlackRock, Inc. from 2002 to 2025; Head of Global Cash","page_number":26,"box":{"x":480,"y":548,"width":412,"height":10}},{"id":"5c68694d-8fc4-4ac9-8da9-0a15983abffc","block_type":"box","text":"Management and Head of Securities Lending within BlackRock’s","page_number":26,"box":{"x":480,"y":560,"width":388,"height":10}},{"id":"034ed7ff-eabd-4d95-af98-7288861729aa","block_type":"box","text":"Global Markets Group since 2022; Member of BlackRock’s Global","page_number":26,"box":{"x":480,"y":572,"width":397,"height":10}},{"id":"ff67295b-efdc-476d-a929-2d0814b30f02","block_type":"box","text":"Operating Committee since 2016 and Human Capital Committee since","page_number":26,"box":{"x":480,"y":584,"width":426,"height":10}},{"id":"5f326260-785b-429e-8ad1-71d2ce1e5d85","block_type":"box","text":"2023.","page_number":26,"box":{"x":480,"y":596,"width":36,"height":8}},{"id":"78ef7eed-06d3-4f8c-8b6c-2de565abea51","block_type":"box","text":"Jennifer McGovern","page_number":26,"box":{"x":69,"y":614,"width":110,"height":8}},{"id":"d7c5a885-92f5-4d52-90ac-9e302a01058b","block_type":"box","text":"1977","page_number":26,"box":{"x":69,"y":630,"width":32,"height":8}},{"id":"ee799940-675f-4293-bc24-6122b8beb906","block_type":"box","text":"Vice President","page_number":26,"box":{"x":293,"y":614,"width":87,"height":8}},{"id":"07338e28-ec30-44f4-90e1-2c6192f71cda","block_type":"box","text":"(Since 2014)","page_number":26,"box":{"x":294,"y":626,"width":78,"height":10}},{"id":"09e772c5-3d2a-4f18-ae04-18188e7d2def","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2016.","page_number":26,"box":{"x":480,"y":614,"width":297,"height":10}},{"id":"a2ceb2fa-3b05-4380-9380-de7c2ac0f63d","block_type":"box","text":"Trent Walker","page_number":26,"box":{"x":68,"y":647,"width":75,"height":8}},{"id":"46b8e4da-1326-48e1-b6e1-ee9d5db65b68","block_type":"box","text":"1974","page_number":26,"box":{"x":69,"y":663,"width":33,"height":8}},{"id":"0b91bebe-7d4a-488c-ac6a-d7d1319ae332","block_type":"box","text":"Chief","page_number":26,"box":{"x":294,"y":647,"width":31,"height":8}},{"id":"ef15a685-a831-406b-993e-fe41d0c5b531","block_type":"box","text":"Financial","page_number":26,"box":{"x":294,"y":659,"width":51,"height":8}},{"id":"1ff78273-0c6b-48ed-80a5-1b225cbb9bfa","block_type":"box","text":"Officer","page_number":26,"box":{"x":294,"y":671,"width":40,"height":8}},{"id":"d5e9cb9c-30ff-4215-bbef-fcb29cbbbc8c","block_type":"box","text":"(Since 2021)","page_number":26,"box":{"x":294,"y":683,"width":78,"height":10}},{"id":"7c592eec-00cd-4b24-9a47-064ec4d5aca0","block_type":"box","text":"and Treasurer","page_number":26,"box":{"x":294,"y":695,"width":83,"height":8}},{"id":"8fb6c2d5-3ca3-4d87-9f1e-bea0cc104321","block_type":"box","text":"(Since 2026)","page_number":26,"box":{"x":294,"y":707,"width":78,"height":10}},{"id":"9a5ce327-2482-4e09-8e09-63fbba2147d7","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":647,"width":297,"height":10}},{"id":"1cdfa5dd-199e-4cdd-94ca-41bb61a90dae","block_type":"box","text":"Charles Park","page_number":26,"box":{"x":69,"y":725,"width":76,"height":8}},{"id":"9e6dc02b-5b10-4cf0-8989-4a4426ce24a6","block_type":"box","text":"3","page_number":26,"box":{"x":145,"y":725,"width":4,"height":4}},{"id":"c6c6e14f-0139-46db-8401-838975db6841","block_type":"box","text":"1967","page_number":26,"box":{"x":69,"y":740,"width":32,"height":8}},{"id":"86d61617-c5c7-4d05-a28d-6f05c7d239a2","block_type":"box","text":"Chief Compliance Officer","page_number":26,"box":{"x":294,"y":725,"width":149,"height":9}},{"id":"3c25de48-5c4a-4926-b332-8c4645effb3a","block_type":"box","text":"(Since 2026; and from","page_number":26,"box":{"x":294,"y":737,"width":136,"height":9}},{"id":"9b70f2e3-112b-481a-9bb5-eb00e3ca4a8b","block_type":"box","text":"2014-2023)","page_number":26,"box":{"x":294,"y":749,"width":73,"height":9}},{"id":"96906fd3-e9cf-45c6-80eb-57905530a679","block_type":"box","text":"Managing Director of BlackRock, Inc. (since 2006); Chief Compliance","page_number":26,"box":{"x":480,"y":725,"width":415,"height":10}},{"id":"fd99be88-fab3-434a-acb2-9c3e3866bc1b","block_type":"box","text":"Officer of BlackRock Advisors, LLC (since 2014) and BlackRock Fund","page_number":26,"box":{"x":480,"y":737,"width":414,"height":9}},{"id":"c0f29120-9776-435a-9b1a-2011d7b417fd","block_type":"box","text":"Advisors (since 2006); Chief Compliance Officer of the iShares","page_number":26,"box":{"x":479,"y":748,"width":378,"height":10}},{"id":"aad50cdc-f342-4c57-8728-a15930353e24","block_type":"box","text":"Complex (since 2026 and 2006-2023); Chief Compliance Officer of","page_number":26,"box":{"x":480,"y":760,"width":407,"height":10}},{"id":"1ff0047e-d2cc-45fd-a9bf-487eac7eb41b","block_type":"box","text":"the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income","page_number":26,"box":{"x":479,"y":773,"width":411,"height":9}},{"id":"103ff81d-a102-487f-9075-eeefea623e87","block_type":"box","text":"Complex (since 2026 and 2014-2023).","page_number":26,"box":{"x":480,"y":785,"width":236,"height":9}},{"id":"9455e193-aa97-4c64-8bf4-00898c0eb116","block_type":"box","text":"Lisa Belle","page_number":26,"box":{"x":69,"y":802,"width":58,"height":8}},{"id":"47f7fcb3-ac71-4d7d-ada7-6c09242a0dd5","block_type":"box","text":"1968","page_number":26,"box":{"x":69,"y":818,"width":33,"height":8}},{"id":"b5350b19-3c2d-4e12-be0c-108f5191d6a4","block_type":"box","text":"Anti-Money Laundering","page_number":26,"box":{"x":293,"y":802,"width":136,"height":10}},{"id":"024ef63a-60ee-42ba-ab6c-b83fef03842f","block_type":"box","text":"Compliance Officer","page_number":26,"box":{"x":294,"y":814,"width":114,"height":10}},{"id":"6f9d107a-322d-4ae9-8e86-ee9426948c91","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":826,"width":78,"height":10}},{"id":"b3940507-2a62-4f5f-94e7-7c26cce62aee","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":802,"width":297,"height":10}},{"id":"e6256b61-5d55-4978-9f46-6f03f212655c","block_type":"box","text":"Janey Ahn","page_number":26,"box":{"x":69,"y":844,"width":59,"height":10}},{"id":"ab727070-5360-4fb4-b425-9a94883e5b5a","block_type":"box","text":"1975","page_number":26,"box":{"x":69,"y":859,"width":33,"height":8}},{"id":"4659b77f-f64d-4755-b4d4-f26db8dcdb28","block_type":"box","text":"Secretary","page_number":26,"box":{"x":294,"y":844,"width":58,"height":10}},{"id":"eff20d74-9f66-4f37-ba01-61025837f59a","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":856,"width":78,"height":10}},{"id":"636b52e0-ca49-49ea-a256-ad1ee791157c","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2018.","page_number":26,"box":{"x":480,"y":844,"width":297,"height":10}},{"id":"9e67346e-8ffd-49f4-b2a7-ba4d7a175a9e","block_type":"box","text":"1","page_number":26,"box":{"x":69,"y":883,"width":3,"height":4}},{"id":"6ce455b2-63fa-4ee2-ab7a-da630b718cc0","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":883,"width":559,"height":9}},{"id":"89a598fc-4fb1-435b-9f67-64013495aaa1","block_type":"box","text":"2","page_number":26,"box":{"x":69,"y":896,"width":3,"height":3}},{"id":"b3299893-1d32-454f-a1f8-9f5c85e18319","block_type":"box","text":"Officers of the Trust serve at the pleasure of the Board.","page_number":26,"box":{"x":93,"y":896,"width":318,"height":8}},{"id":"3a1048da-7a31-4919-8396-42bac278f38b","block_type":"box","text":"3","page_number":26,"box":{"x":69,"y":908,"width":3,"height":4}},{"id":"3917717c-76c4-4315-8c3f-a7a2c1fd1090","block_type":"box","text":"Effective August 1, 2026, Charles Park succeeded Aaron Wasserman as Chief Compliance Officer.","page_number":26,"box":{"x":94,"y":908,"width":560,"height":9}},{"id":"d3912eab-a280-49f6-9570-d69a1149f90f","block_type":"box","text":"I-17","page_number":26,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"0cdb70f6-6d67-405f-beea-127f40ea2bdf","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":26,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fd823b65-02d8-4153-8900-88bb70dfc2be","block_type":"box","text":"Share Ownership","page_number":27,"box":{"x":68,"y":45,"width":123,"height":11}},{"id":"5b032b84-bc9a-4659-bccd-70c795061936","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":27,"box":{"x":102,"y":67,"width":790,"height":12}},{"id":"64484c6b-9046-4e33-8051-335a609add6c","block_type":"box","text":"currently overseen by the respective Trustee (“Supervised Funds”) as of December 31, 2025, except as otherwise","page_number":27,"box":{"x":69,"y":82,"width":817,"height":12}},{"id":"2fbda781-dd40-4d80-989a-0f3d41ff6d4c","block_type":"box","text":"noted, is set forth in the chart below. Amounts shown may include shares as to which a Trustee has indirect","page_number":27,"box":{"x":69,"y":98,"width":774,"height":11}},{"id":"816f704d-a093-4ced-be9b-7be9d08a8816","block_type":"box","text":"beneficial ownership, such as through participation in certain family accounts, 529 college savings plan interests, or","page_number":27,"box":{"x":69,"y":113,"width":833,"height":11}},{"id":"b8e0a034-4110-49ef-9149-13997575a1ba","block_type":"box","text":"similar arrangements where the Trustee has beneficial economic interest but not a direct ownership interest.","page_number":27,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"f5ebe943-e685-4c51-a938-818ff6de81ab","block_type":"box","text":"Name of Trustee","page_number":27,"box":{"x":69,"y":176,"width":95,"height":7}},{"id":"2c224e23-4a6c-4f51-9ca7-2ada5f76b17d","block_type":"box","text":"Dollar Range","page_number":27,"box":{"x":640,"y":156,"width":74,"height":9}},{"id":"8a1e5a33-f50f-4cfe-80b4-fa48d3f7064e","block_type":"box","text":"of Equity Securities in","page_number":27,"box":{"x":613,"y":166,"width":127,"height":9}},{"id":"45f6267c-8d34-40de-998c-41723ab04239","block_type":"box","text":"the Fund","page_number":27,"box":{"x":651,"y":176,"width":50,"height":7}},{"id":"a656e37e-1023-403d-9d47-7fd30608d0b8","block_type":"box","text":"Aggregate Dollar Range","page_number":27,"box":{"x":770,"y":156,"width":139,"height":9}},{"id":"069a6577-7c55-48f5-9435-554687c0762b","block_type":"box","text":"of Equity Securities in","page_number":27,"box":{"x":776,"y":166,"width":127,"height":9}},{"id":"759e8534-d980-48dc-84a4-73f9d1d97b62","block_type":"box","text":"Supervised Funds","page_number":27,"box":{"x":788,"y":176,"width":103,"height":9}},{"id":"68f214ac-5cfc-4150-8304-5793ebc7dc08","block_type":"box","text":"Independent Trustees","page_number":27,"box":{"x":70,"y":194,"width":154,"height":11}},{"id":"f0a43799-67f6-4abd-98c7-921d987b274e","block_type":"box","text":"Christopher J. Ailman","page_number":27,"box":{"x":79,"y":209,"width":149,"height":11}},{"id":"f157d70b-c093-4038-ab5d-797bdcc35228","block_type":"box","text":"...........................................","page_number":27,"box":{"x":237,"y":217,"width":345,"height":1}},{"id":"cee67ab3-8533-4331-b723-0037a5a98fa7","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":208,"width":235,"height":12}},{"id":"33dad9f5-5ffa-4c0d-89b6-b935b17bf958","block_type":"box","text":"Susan J. Carter","page_number":27,"box":{"x":79,"y":224,"width":110,"height":9}},{"id":"1ae48b84-fea0-4c58-b629-ef37b8825b0a","block_type":"box","text":"................................................","page_number":27,"box":{"x":197,"y":232,"width":385,"height":1}},{"id":"acb2db8f-7942-4eea-a647-d2d5ed701877","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":224,"width":235,"height":11}},{"id":"da494381-603e-4be3-afad-19e8e4dd0490","block_type":"box","text":"Collette Chilton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":239,"width":503,"height":9}},{"id":"60643fa1-c132-4a6a-9168-233f95bf9a40","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":239,"width":235,"height":11}},{"id":"ace23c7f-6d54-4a70-aa75-f8bea9f2f37f","block_type":"box","text":"Neil A. Cotty . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":255,"width":503,"height":11}},{"id":"809865f7-2d1b-4c16-8697-5f4d1ccb938b","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":254,"width":235,"height":11}},{"id":"a198174f-6352-4879-bcf6-ca0ba1984a32","block_type":"box","text":"Jeffrey Jarczyk* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":78,"y":269,"width":504,"height":12}},{"id":"40da1db7-0375-478f-bc6c-367aedb3c5f7","block_type":"box","text":"None None","page_number":27,"box":{"x":659,"y":270,"width":199,"height":9}},{"id":"9c837d0e-fb38-44fa-bb63-62e4285d85d6","block_type":"box","text":"Henry R. Keizer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":285,"width":503,"height":11}},{"id":"901f7e5a-87e9-4105-853e-f138c1fa914b","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":284,"width":235,"height":11}},{"id":"cd2c124a-59a2-4227-9ea2-722e91074c55","block_type":"box","text":"Cynthia A. Montgomery. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":300,"width":503,"height":11}},{"id":"65944d9a-b840-4474-9fce-51423426b123","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":299,"width":235,"height":11}},{"id":"d86f0b1a-83d7-41d8-9998-4ede129604e0","block_type":"box","text":"Donald C. Opatrny","page_number":27,"box":{"x":79,"y":315,"width":129,"height":11}},{"id":"a1af68ee-70ad-4303-a38a-a499f8d70aeb","block_type":"box","text":"..............................................","page_number":27,"box":{"x":213,"y":322,"width":369,"height":2}},{"id":"02c49d05-7932-4f4c-a75b-0df2a6fb444e","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":314,"width":235,"height":11}},{"id":"9942b0f3-b779-422e-a9c7-cc679a43c329","block_type":"box","text":"Lori Richards . . .","page_number":27,"box":{"x":79,"y":330,"width":120,"height":9}},{"id":"f7f62e9d-a3ff-481e-b2f2-48f28e6fb206","block_type":"box","text":"...............................................","page_number":27,"box":{"x":205,"y":337,"width":377,"height":2}},{"id":"53d11487-94ce-414f-a90d-c300300faa7d","block_type":"box","text":"None None","page_number":27,"box":{"x":659,"y":330,"width":199,"height":9}},{"id":"24e82db2-f861-4f2b-bfd2-25299cb1fa3a","block_type":"box","text":"Mark Stalnecker","page_number":27,"box":{"x":79,"y":345,"width":115,"height":9}},{"id":"972bfc44-855f-4ce5-85b4-e670d21cd619","block_type":"box","text":"................................................","page_number":27,"box":{"x":197,"y":353,"width":385,"height":1}},{"id":"46e9758b-d7f9-4064-b50f-5e05040c4994","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":344,"width":235,"height":12}},{"id":"ae08d857-b830-4640-9d6e-dde8130eada8","block_type":"box","text":"Marc D. Stern* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":360,"width":503,"height":9}},{"id":"fb538f5b-c7de-475c-b2e9-0892ed4810d1","block_type":"box","text":"None None","page_number":27,"box":{"x":659,"y":360,"width":199,"height":9}},{"id":"508b4b98-efc7-4de9-a448-1cf014fd96dc","block_type":"box","text":"Kenneth L. Urish","page_number":27,"box":{"x":79,"y":376,"width":117,"height":8}},{"id":"b9b587cf-a461-4717-bd7f-45602e81d727","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1 -","page_number":27,"box":{"x":205,"y":375,"width":451,"height":10}},{"id":"5b32486f-8a45-4ddc-8233-97e8236b2ba4","block_type":"box","text":"$10,000 Over $100,000","page_number":27,"box":{"x":662,"y":375,"width":232,"height":11}},{"id":"19a2070c-ad56-440e-981c-441fd7e6e87b","block_type":"box","text":"Claire A. Walton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over","page_number":27,"box":{"x":79,"y":391,"width":574,"height":8}},{"id":"d5b86439-6f44-4a7f-8dfa-76f1f3c03570","block_type":"box","text":"$100,000 Over $100,000","page_number":27,"box":{"x":659,"y":390,"width":235,"height":11}},{"id":"9582082f-226d-42a0-aaf4-eadb6cc5da91","block_type":"box","text":"Interested Trustees","page_number":27,"box":{"x":70,"y":406,"width":138,"height":9}},{"id":"9111d3d7-f8d5-4035-8d87-be8dc600eb84","block_type":"box","text":"Robert Fairbairn","page_number":27,"box":{"x":79,"y":421,"width":113,"height":9}},{"id":"14887680-6a89-42e8-9799-ad3d0ae65f56","block_type":"box","text":"................................................","page_number":27,"box":{"x":197,"y":428,"width":385,"height":2}},{"id":"a3f28e17-ac8e-49fb-ba8b-77d79bd85b4b","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":420,"width":235,"height":11}},{"id":"3025b59a-5aa3-4cec-b0b2-c1aa1a001c4e","block_type":"box","text":"John M. Perlowski","page_number":27,"box":{"x":78,"y":436,"width":127,"height":9}},{"id":"63d4b5a3-7f76-47e7-a28d-e1ad13519c81","block_type":"box","text":"..............................................","page_number":27,"box":{"x":213,"y":443,"width":369,"height":2}},{"id":"d9d38d8a-b318-4e84-941b-52ecd97eb603","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":435,"width":235,"height":11}},{"id":"97daf561-2358-41de-8f58-e28668a2e0db","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":70,"y":460,"width":782,"height":9}},{"id":"a81940c4-0a00-4217-8d25-55837067d933","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":481,"width":767,"height":11}},{"id":"5a42102a-0b71-4081-b5ec-1f46aa380a01","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":496,"width":819,"height":12}},{"id":"548b2303-0b0e-471b-ad14-5679f26bd820","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":511,"width":839,"height":12}},{"id":"3d3b77ec-aa12-44c7-bb23-bef2623b693d","block_type":"box","text":"their immediate family members owned beneficially or of record any securities of the Fund’s investment adviser, sub","page_number":27,"box":{"x":68,"y":526,"width":834,"height":12}},{"id":"a52ab842-1b23-47c7-9ec9-ae789dddbf61","block_type":"box","text":"adviser, principal underwriter, or any person directly or indirectly controlling, controlled by, or under common control","page_number":27,"box":{"x":69,"y":542,"width":820,"height":11}},{"id":"fb361ba9-c535-4609-8aa3-d5834502d6aa","block_type":"box","text":"with such entities.","page_number":27,"box":{"x":68,"y":557,"width":129,"height":9}},{"id":"adc9076a-8611-4c75-8574-c4ff4e376b58","block_type":"box","text":"Compensation of Trustees","page_number":27,"box":{"x":69,"y":587,"width":190,"height":11}},{"id":"67af4db4-72b3-44e0-9618-afd6de0fa029","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":609,"width":791,"height":12}},{"id":"c68a05c4-c3b8-4d96-b589-746c4001ddbc","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":625,"width":810,"height":11}},{"id":"fab8481d-672e-491c-824f-841a5d21a857","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":639,"width":838,"height":12}},{"id":"58619f71-b86c-4f55-8821-148b14fdb165","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":655,"width":807,"height":11}},{"id":"77e8c66a-a3bc-45b3-860f-f62de5b90eff","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":670,"width":791,"height":11}},{"id":"6b54fe25-c8df-4731-be15-84e33555091b","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":685,"width":786,"height":12}},{"id":"7e7e26a5-f27c-4441-900f-d9e23699b276","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":700,"width":769,"height":12}},{"id":"da670690-def4-4765-81b9-6ab6ab92f3b0","block_type":"box","text":"Committee and Performance Oversight Committee are paid as compensation an additional annual retainer of","page_number":27,"box":{"x":69,"y":715,"width":778,"height":12}},{"id":"f58031ff-08e6-4b4e-995f-c3b550c18d91","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":730,"width":689,"height":12}},{"id":"9f795df7-efdd-4c8f-81d5-d339e3ecd8ef","block_type":"box","text":"The following table sets forth the compensation the Trust paid to the Trustees, on behalf of the Fund, for the","page_number":27,"box":{"x":101,"y":753,"width":776,"height":12}},{"id":"323dbe55-9ea2-497b-afb7-495c2070ee8d","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":768,"width":841,"height":12}},{"id":"bc115147-d227-4e22-a04e-b6e9606be1de","block_type":"box","text":"calendar year ended December 31, 2025.","page_number":27,"box":{"x":69,"y":784,"width":298,"height":11}},{"id":"11aae8d2-7781-4a47-ae9b-5ca1e69c6d1b","block_type":"box","text":"Name","page_number":27,"box":{"x":69,"y":842,"width":32,"height":7}},{"id":"eda3dd7b-5ebd-479e-af4a-9df30688138c","block_type":"box","text":"Compensation","page_number":27,"box":{"x":516,"y":832,"width":83,"height":9}},{"id":"ee8998ab-3a96-492d-8d29-a971aa4b1309","block_type":"box","text":"from the Fund","page_number":27,"box":{"x":517,"y":842,"width":81,"height":7}},{"id":"450f44a1-8d34-46cd-9a0f-71f29b24def9","block_type":"box","text":"Estimated Annual","page_number":27,"box":{"x":630,"y":822,"width":101,"height":7}},{"id":"e510edb3-7d5e-4b13-bf6f-86c51fdd0833","block_type":"box","text":"Benefits upon","page_number":27,"box":{"x":641,"y":832,"width":79,"height":9}},{"id":"2ec8e114-0a42-43f9-9c19-70de92a2724a","block_type":"box","text":"Retirement","page_number":27,"box":{"x":648,"y":842,"width":65,"height":7}},{"id":"10de4776-fc0f-49a2-8625-b4e8ab0c84f9","block_type":"box","text":"Aggregate Compensation","page_number":27,"box":{"x":761,"y":812,"width":148,"height":9}},{"id":"91922eba-0aed-48ec-930f-0732ae56bb9f","block_type":"box","text":"from the Fund and","page_number":27,"box":{"x":782,"y":822,"width":106,"height":7}},{"id":"004a32df-87b7-4f4f-8352-a00a808161ec","block_type":"box","text":"Other BlackRock","page_number":27,"box":{"x":785,"y":832,"width":102,"height":7}},{"id":"b1d1ce09-5a42-4b8c-baee-1a49ec8354d1","block_type":"box","text":"Advised Funds","page_number":27,"box":{"x":791,"y":842,"width":84,"height":7}},{"id":"e94e051b-e193-40f8-a42e-faeed7d75d0e","block_type":"box","text":"1","page_number":27,"box":{"x":876,"y":842,"width":3,"height":4}},{"id":"72f18e56-1453-42ef-8027-472e9be94949","block_type":"box","text":"Independent Trustees","page_number":27,"box":{"x":70,"y":860,"width":154,"height":11}},{"id":"5d6bc892-9f27-47a3-80a1-20e68ff28cb2","block_type":"box","text":"Christopher J. Ailman . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,069 None $445,000","page_number":27,"box":{"x":79,"y":874,"width":792,"height":12}},{"id":"ebe2d5f4-92a8-494d-b0fc-3b6e84e646e0","block_type":"box","text":"Susan J. Carter","page_number":27,"box":{"x":79,"y":890,"width":110,"height":9}},{"id":"dfd5cbec-57d0-428d-a428-ab74849db9c6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,069","page_number":27,"box":{"x":198,"y":889,"width":386,"height":11}},{"id":"f45bd0dc-c829-4621-b20e-ee4698f23e16","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":663,"y":889,"width":208,"height":11}},{"id":"9b8bc1c0-0187-4ee7-9d0b-0f98970d7f3f","block_type":"box","text":"Collette Chilton. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,069","page_number":27,"box":{"x":79,"y":904,"width":505,"height":12}},{"id":"0498d621-f94b-40c3-a459-34bc86745c89","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":663,"y":904,"width":208,"height":12}},{"id":"5e9d136a-5be2-4df3-b16b-565551316975","block_type":"box","text":"I-18","page_number":27,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"0211bdf7-4eee-41d6-b90f-7c34d5c5a8df","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":27,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a0e134c3-2060-4902-a803-3300288067a7","block_type":"box","text":"Name","page_number":28,"box":{"x":69,"y":79,"width":32,"height":7}},{"id":"4806bc9c-a2f6-4bc2-97ce-f9a667ff2deb","block_type":"box","text":"Compensation","page_number":28,"box":{"x":516,"y":69,"width":83,"height":9}},{"id":"bc693aa7-0e30-4f8a-8726-9e52a0996f23","block_type":"box","text":"from the Fund","page_number":28,"box":{"x":517,"y":79,"width":81,"height":7}},{"id":"ab7dfa74-a04a-44f8-8c7d-b03ecf5cf348","block_type":"box","text":"Estimated Annual","page_number":28,"box":{"x":630,"y":59,"width":101,"height":7}},{"id":"cdb0b4ee-df3c-4825-bdf9-c3c69a41e2f6","block_type":"box","text":"Benefits upon","page_number":28,"box":{"x":641,"y":69,"width":79,"height":9}},{"id":"5b403f70-36c8-4d4f-9c5c-a8bf918af44a","block_type":"box","text":"Retirement","page_number":28,"box":{"x":648,"y":79,"width":65,"height":7}},{"id":"538bc2a8-575b-4fb6-8257-c35163ba9f98","block_type":"box","text":"Aggregate Compensation","page_number":28,"box":{"x":761,"y":49,"width":148,"height":9}},{"id":"e386b697-c799-4214-9c16-6c63003d1ce8","block_type":"box","text":"from the Fund and","page_number":28,"box":{"x":782,"y":59,"width":106,"height":7}},{"id":"b344668e-f89e-4db2-b76e-f7615419d09c","block_type":"box","text":"Other BlackRock","page_number":28,"box":{"x":785,"y":69,"width":102,"height":7}},{"id":"95f21ebb-f55d-43e0-92d9-9d29352ecfe3","block_type":"box","text":"Advised Funds","page_number":28,"box":{"x":791,"y":79,"width":84,"height":7}},{"id":"9e78d100-ff5a-4c87-9bca-5baabb5699ad","block_type":"box","text":"1","page_number":28,"box":{"x":876,"y":79,"width":3,"height":4}},{"id":"8b443839-fcc1-480b-b279-aee7b02553a2","block_type":"box","text":"Neil A. Cotty . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,099","page_number":28,"box":{"x":79,"y":96,"width":505,"height":12}},{"id":"b7bd330f-efc2-47cb-a19b-aff9dc321331","block_type":"box","text":"None $467,500","page_number":28,"box":{"x":663,"y":96,"width":208,"height":11}},{"id":"ab278d91-7e66-4625-b2b1-8b2f27af8356","block_type":"box","text":"Jeffrey Jarczyk","page_number":28,"box":{"x":78,"y":112,"width":103,"height":11}},{"id":"6d7699cc-8a25-47ca-ab92-4e315467a16b","block_type":"box","text":"2","page_number":28,"box":{"x":181,"y":112,"width":4,"height":5}},{"id":"b273c205-6852-448d-934e-cf5f8f687fd9","block_type":"box","text":".....................................","page_number":28,"box":{"x":190,"y":119,"width":295,"height":2}},{"id":"923a36be-14bf-4912-877c-a11934f9ce5e","block_type":"box","text":"$329 None None","page_number":28,"box":{"x":539,"y":111,"width":314,"height":11}},{"id":"8fbf589b-3cd0-4609-8619-6558d36e4b9d","block_type":"box","text":"Henry R. Keizer","page_number":28,"box":{"x":79,"y":127,"width":109,"height":11}},{"id":"a3c19524-ba90-4c74-a091-89e5a5a31c9f","block_type":"box","text":"3","page_number":28,"box":{"x":189,"y":128,"width":4,"height":4}},{"id":"a896e501-2291-44d4-9017-7d3673670b85","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,152","page_number":28,"box":{"x":198,"y":126,"width":386,"height":12}},{"id":"6b205688-283a-4145-9121-873d486baadd","block_type":"box","text":"None $490,000","page_number":28,"box":{"x":663,"y":126,"width":208,"height":12}},{"id":"aa2685e8-faea-4240-8686-7c7b8fd6443f","block_type":"box","text":"Cynthia A. Montgomery","page_number":28,"box":{"x":79,"y":142,"width":164,"height":12}},{"id":"a7b934cc-bcdb-428c-b1a0-d78f0ae10628","block_type":"box","text":"4","page_number":28,"box":{"x":244,"y":143,"width":4,"height":4}},{"id":"46f0ddf1-5ea1-460c-8ad0-f38649392f9d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,124","page_number":28,"box":{"x":255,"y":142,"width":329,"height":11}},{"id":"3e240652-d47e-4105-9d89-bd7dfa214742","block_type":"box","text":"None $490,000","page_number":28,"box":{"x":663,"y":142,"width":208,"height":11}},{"id":"a30381cb-faa4-4875-bbb0-72a7ebebd610","block_type":"box","text":"Donald C. Opatrny","page_number":28,"box":{"x":79,"y":158,"width":129,"height":11}},{"id":"51a5ee2e-a53a-4b42-b3dd-587c880671a3","block_type":"box","text":"5","page_number":28,"box":{"x":208,"y":158,"width":4,"height":4}},{"id":"68dea3f0-5f80-4c0f-b079-5374c7f78d70","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,124","page_number":28,"box":{"x":214,"y":157,"width":370,"height":11}},{"id":"dc62dc7f-0bdb-4c36-befe-98f951a3b35c","block_type":"box","text":"None $490,000","page_number":28,"box":{"x":663,"y":157,"width":208,"height":11}},{"id":"6f8f619d-b482-4187-a582-ea91bf124f77","block_type":"box","text":"Lori Richards","page_number":28,"box":{"x":79,"y":173,"width":91,"height":9}},{"id":"ec4abb84-0ce3-4bf0-842b-50b185587799","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,069","page_number":28,"box":{"x":174,"y":172,"width":410,"height":11}},{"id":"feb698f1-f139-4703-ac29-3261c7308063","block_type":"box","text":"None $445,000","page_number":28,"box":{"x":663,"y":172,"width":208,"height":11}},{"id":"96d7aff2-93b1-4977-8d24-d2a197004148","block_type":"box","text":"Mark Stalnecker","page_number":28,"box":{"x":79,"y":188,"width":115,"height":9}},{"id":"03b26998-a76f-4ade-8e54-93caa4db73bc","block_type":"box","text":"6","page_number":28,"box":{"x":194,"y":188,"width":5,"height":4}},{"id":"1acd3bd1-385c-4361-958d-0354b900bb91","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,252","page_number":28,"box":{"x":206,"y":187,"width":378,"height":11}},{"id":"18aea594-dfe7-4103-b324-0fb2c90a6292","block_type":"box","text":"None $595,000","page_number":28,"box":{"x":663,"y":187,"width":208,"height":11}},{"id":"5d087698-1650-417e-bb48-333dc5dbaefc","block_type":"box","text":"Marc D. Stern","page_number":28,"box":{"x":79,"y":203,"width":97,"height":9}},{"id":"d5992a45-1f7d-44d2-a278-0802a9be95e0","block_type":"box","text":"2","page_number":28,"box":{"x":178,"y":203,"width":4,"height":5}},{"id":"967bf9ae-c4e1-43db-b87a-7a17a70de14e","block_type":"box","text":".....................................","page_number":28,"box":{"x":190,"y":210,"width":295,"height":2}},{"id":"0bfb6911-c291-4d93-a41d-b9094f19f48d","block_type":"box","text":"$329 None None","page_number":28,"box":{"x":539,"y":202,"width":314,"height":11}},{"id":"0f7e80f7-da9e-44e9-aaa3-0a9edcdb79e8","block_type":"box","text":"Kenneth L. Urish","page_number":28,"box":{"x":79,"y":218,"width":117,"height":9}},{"id":"f7c8e71f-f7cc-441a-90a1-588be8971211","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,069","page_number":28,"box":{"x":206,"y":217,"width":378,"height":11}},{"id":"51e9081b-2a77-4a53-941c-eefd735f553e","block_type":"box","text":"None $445,000","page_number":28,"box":{"x":663,"y":217,"width":208,"height":11}},{"id":"05baa6df-617d-4b2d-af73-9b9332c2d899","block_type":"box","text":"Claire A. Walton","page_number":28,"box":{"x":79,"y":233,"width":111,"height":9}},{"id":"0defde10-1195-4cc5-abd5-6e4d7bd084e6","block_type":"box","text":"7","page_number":28,"box":{"x":192,"y":233,"width":3,"height":5}},{"id":"bf32d846-29de-4aa1-87fc-a8e087aa89e4","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,124","page_number":28,"box":{"x":198,"y":232,"width":386,"height":11}},{"id":"89b53f1d-ab17-46ee-9a11-573b03fcadd3","block_type":"box","text":"None $490,000","page_number":28,"box":{"x":663,"y":232,"width":208,"height":11}},{"id":"f69bb64f-5468-4c8a-91f4-a0f62efc125f","block_type":"box","text":"Interested Trustees","page_number":28,"box":{"x":70,"y":248,"width":138,"height":9}},{"id":"020637a8-aff6-43ef-809e-ed0329237ba6","block_type":"box","text":"Robert Fairbairn . . .","page_number":28,"box":{"x":79,"y":263,"width":137,"height":9}},{"id":"3d978177-56b4-4714-9224-8289ce5e30b8","block_type":"box","text":".................................","page_number":28,"box":{"x":223,"y":271,"width":262,"height":1}},{"id":"9d96316e-687c-4ac5-9516-52d12c475686","block_type":"box","text":"None None None","page_number":28,"box":{"x":541,"y":263,"width":312,"height":9}},{"id":"797ff630-6449-4cdf-9f11-8d705246a702","block_type":"box","text":"John M. Perlowski . .","page_number":28,"box":{"x":78,"y":279,"width":146,"height":8}},{"id":"c712a374-c024-4b2b-bc8e-56fc7b2ff84c","block_type":"box","text":"................................","page_number":28,"box":{"x":231,"y":286,"width":254,"height":1}},{"id":"2f7d78a1-63ec-4764-a6f9-60524f817961","block_type":"box","text":"None None None","page_number":28,"box":{"x":541,"y":279,"width":312,"height":8}},{"id":"6688736d-00f3-4bab-869c-c24579624c60","block_type":"box","text":"1","page_number":28,"box":{"x":69,"y":303,"width":3,"height":3}},{"id":"fde86ea4-40e9-4f12-ab63-033e2c52263f","block_type":"box","text":"For the number of BlackRock-advised Funds from which each Trustee receives compensation, see “Biographical Information” beginning on","page_number":28,"box":{"x":94,"y":303,"width":786,"height":9}},{"id":"f65bb567-c1d1-4804-bded-ae6284e172cc","block_type":"box","text":"page I-14.","page_number":28,"box":{"x":94,"y":313,"width":55,"height":9}},{"id":"747650f0-e7bf-42d7-9fb6-b8b80d70e45f","block_type":"box","text":"2","page_number":28,"box":{"x":69,"y":326,"width":3,"height":3}},{"id":"125fe5fc-1c0c-4c82-9cf8-6621dddc13e6","block_type":"box","text":"Compensation includes $329 earned as a consultant to the Independent Trustees for the period April 1, 2026 to July 1, 2026.","page_number":28,"box":{"x":93,"y":325,"width":724,"height":9}},{"id":"6da77071-38e3-4348-93ec-fa0ab6684bb2","block_type":"box","text":"3","page_number":28,"box":{"x":69,"y":338,"width":3,"height":4}},{"id":"028e82ce-5e70-4047-be1e-49c92b87169e","block_type":"box","text":"Chair of the Audit Committee.","page_number":28,"box":{"x":93,"y":338,"width":168,"height":7}},{"id":"e62bf37d-1e66-4e00-8997-f51f6de08610","block_type":"box","text":"4","page_number":28,"box":{"x":68,"y":351,"width":4,"height":3}},{"id":"283eafa5-8334-400a-adba-d4998e55622d","block_type":"box","text":"Chair of the Governance Committee.","page_number":28,"box":{"x":93,"y":351,"width":206,"height":7}},{"id":"588823db-b837-4c1b-8294-8af2e1a80c0b","block_type":"box","text":"5","page_number":28,"box":{"x":69,"y":363,"width":3,"height":4}},{"id":"ee0257bc-f818-407a-8140-b6f465ca9c09","block_type":"box","text":"Chair of the Performance Oversight Committee.","page_number":28,"box":{"x":93,"y":363,"width":269,"height":9}},{"id":"2ec8127a-82fe-4148-9e28-a3f0816adc7d","block_type":"box","text":"6","page_number":28,"box":{"x":69,"y":376,"width":3,"height":4}},{"id":"b12854e8-659b-48ed-920e-9a776dd5e226","block_type":"box","text":"Chair of the Board and Chair of the Ad Hoc Topics Committee.","page_number":28,"box":{"x":93,"y":376,"width":352,"height":9}},{"id":"2255c56a-5d32-449c-9ee9-d6dcb9af6dd1","block_type":"box","text":"7","page_number":28,"box":{"x":69,"y":389,"width":3,"height":3}},{"id":"3a672a4c-2253-4978-8940-0671d9a1ea48","block_type":"box","text":"Chair of the Compliance Committee.","page_number":28,"box":{"x":93,"y":388,"width":205,"height":9}},{"id":"104b5d62-1782-4544-9e6f-5bb218609a00","block_type":"box","text":"IV. Management, Advisory and Other Service Arrangements","page_number":28,"box":{"x":69,"y":417,"width":432,"height":11}},{"id":"d7f8e472-917d-4ea7-9188-91b04381265f","block_type":"box","text":"Management Agreement","page_number":28,"box":{"x":69,"y":447,"width":180,"height":11}},{"id":"ed46f5b3-2e44-411e-b221-cacebabc107b","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":470,"width":805,"height":11}},{"id":"a0cde778-0f62-4e94-8dd3-b82d80f91649","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":485,"width":736,"height":11}},{"id":"e1dfb0a6-633c-4e44-aaec-3fd0540af959","block_type":"box","text":"BlackRock has contractually agreed to waive the management fee with respect to any portion of the Fund’s","page_number":28,"box":{"x":102,"y":508,"width":762,"height":11}},{"id":"ee0bb3d5-ff92-47e1-ba21-4566ff3b5589","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":523,"width":799,"height":11}},{"id":"732327f0-7617-481c-8560-8e4a783d6fe4","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":538,"width":726,"height":11}},{"id":"8942024f-9f10-4d6f-b5f0-2c89edae87e0","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":553,"width":797,"height":11}},{"id":"538a1fb7-8570-4bef-83ff-4b808a40983d","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":568,"width":789,"height":11}},{"id":"9075f222-74e1-46b4-94c1-4f19ed9b34b2","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":583,"width":810,"height":12}},{"id":"036072f9-1125-4135-b496-e92a82a339f0","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":598,"width":827,"height":12}},{"id":"bc2fa991-9d57-4347-acad-eac1c2e0893a","block_type":"box","text":"Fund.","page_number":28,"box":{"x":70,"y":614,"width":36,"height":8}},{"id":"006deb33-1a9f-43be-8082-e8b61ee99faa","block_type":"box","text":"BlackRock has contractually agreed to waive and/or reimburse fees or expenses in order to limit Total Annual","page_number":28,"box":{"x":102,"y":636,"width":778,"height":11}},{"id":"7388137c-b3c7-4572-ab04-68e3f7d09f56","block_type":"box","text":"Fund Operating Expenses After Fee Waivers and/or Expense Reimbursements (excluding Dividend Expense, Interest","page_number":28,"box":{"x":70,"y":651,"width":824,"height":12}},{"id":"94829aa1-8d49-40c5-b1a2-761e42443866","block_type":"box","text":"Expense, Acquired Fund Fees and Expenses and certain other Fund expenses) as a percentage of average daily net","page_number":28,"box":{"x":70,"y":666,"width":821,"height":12}},{"id":"a5979d1c-c364-47fc-a798-57499834f5b0","block_type":"box","text":"assets to 0.97% (for Investor A Shares), 1.72% (for Investor C Shares), 0.72% (for Institutional Shares) and 0.67%","page_number":28,"box":{"x":69,"y":681,"width":817,"height":12}},{"id":"0f3d2dbc-ad40-4342-85d9-a576892c0069","block_type":"box","text":"(for Class K Shares) through June 30, 2028. The contractual agreement may be terminated upon 90 days’ notice by","page_number":28,"box":{"x":69,"y":697,"width":829,"height":11}},{"id":"58139883-a892-4608-82b6-6f87acf4ed5b","block_type":"box","text":"a majority of the non-interested trustees of the Trust or by a vote of a majority of the outstanding voting securities of","page_number":28,"box":{"x":69,"y":712,"width":830,"height":11}},{"id":"041946be-e6be-4d5c-aef7-ca71fea6db5e","block_type":"box","text":"the Fund.","page_number":28,"box":{"x":68,"y":727,"width":66,"height":9}},{"id":"1b077b1e-9cf2-4537-84b5-9daef532600b","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":749,"width":784,"height":12}},{"id":"3e2d6d44-5646-4e0e-a0fa-af595a7691c6","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":765,"width":838,"height":11}},{"id":"8a751b43-6100-4bf4-bbb4-0f68b3f9d37c","block_type":"box","text":"perform investment advisory services with respect to the Fund. In addition, BlackRock may delegate certain of its","page_number":28,"box":{"x":70,"y":780,"width":810,"height":11}},{"id":"51f519ea-5b5b-4f33-9a76-650d77fd0def","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":795,"width":779,"height":11}},{"id":"ecce72a1-d323-43b2-9b63-f62953db08a5","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":810,"width":827,"height":11}},{"id":"f0201f46-86f9-465a-b9e3-2e7657d6a564","block_type":"box","text":"sole discretion at any time to the extent permitted by applicable law.","page_number":28,"box":{"x":69,"y":825,"width":486,"height":11}},{"id":"2a14bb8c-c521-430c-b105-b03bad974128","block_type":"box","text":"BlackRock has entered into a sub-advisory agreement with BlackRock International Limited (the “Sub-Adviser”),","page_number":28,"box":{"x":102,"y":848,"width":791,"height":11}},{"id":"89cbe9a4-47ed-48ad-9c8b-c62c4fe70a0a","block_type":"box","text":"pursuant to which BlackRock pays the Sub-Adviser for providing services to BlackRock with respect to that portion of","page_number":28,"box":{"x":70,"y":863,"width":831,"height":11}},{"id":"b2928029-45e0-49b5-ba5f-2ea5db400f88","block_type":"box","text":"the Fund for which it acts as sub-adviser a monthly fee at an annual rate equal to a percentage of the management","page_number":28,"box":{"x":68,"y":878,"width":822,"height":11}},{"id":"440ebddd-bd2a-4bc1-8ba7-b228ffbc4eaf","block_type":"box","text":"fee paid to BlackRock under the Management Agreement.","page_number":28,"box":{"x":68,"y":893,"width":411,"height":11}},{"id":"2668cc76-1242-41e6-83fd-0c45ece87330","block_type":"box","text":"I-19","page_number":28,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"5cdc90ba-8e49-404c-8b70-2271cc6cc206","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":28,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bccc394d-00d8-484d-8c19-f778e074e0ae","block_type":"box","text":"The table below sets forth information about the management fees paid by the Trust, on behalf of the Fund, to","page_number":29,"box":{"x":101,"y":45,"width":789,"height":11}},{"id":"5a444cca-8706-4643-a714-c400b08fd343","block_type":"box","text":"BlackRock (which includes amounts paid by BlackRock to the Sub-Adviser), and the amounts waived and/or","page_number":29,"box":{"x":70,"y":60,"width":765,"height":11}},{"id":"db0d42e5-8d33-414a-805c-db7225e65e9e","block_type":"box","text":"reimbursed, for the fiscal years shown.","page_number":29,"box":{"x":69,"y":75,"width":276,"height":11}},{"id":"573da6d1-f124-4144-a181-a724df26be7f","block_type":"box","text":"Fees Paid","page_number":29,"box":{"x":598,"y":103,"width":56,"height":7}},{"id":"658b514e-1ab2-4851-bcca-c62c9c847ad5","block_type":"box","text":"to BlackRock","page_number":29,"box":{"x":586,"y":113,"width":79,"height":7}},{"id":"0e4a39eb-35a1-49eb-9698-0ead30ffbd50","block_type":"box","text":"Fees Waived","page_number":29,"box":{"x":704,"y":103,"width":72,"height":7}},{"id":"96636a54-8239-42a1-9bbe-10bc52501713","block_type":"box","text":"by BlackRock","page_number":29,"box":{"x":700,"y":113,"width":80,"height":9}},{"id":"441b42ba-4661-491c-b18e-0caab276392d","block_type":"box","text":"Fees Reimbursed","page_number":29,"box":{"x":810,"y":103,"width":99,"height":7}},{"id":"d20defdd-cab3-47ec-8e40-5fc6aaeca409","block_type":"box","text":"by BlackRock","page_number":29,"box":{"x":820,"y":113,"width":80,"height":9}},{"id":"82c84612-4efb-4c6b-93bc-57892f76f793","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,469,710 $397,674 $564,644","page_number":29,"box":{"x":70,"y":130,"width":825,"height":12}},{"id":"1dffbe86-b19c-4e5e-828f-99664cb7b91c","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,925,160 $410,919 $314,433","page_number":29,"box":{"x":70,"y":145,"width":825,"height":12}},{"id":"e175c54d-fbe7-49a5-a8b3-3746c54552f8","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,284,654 $482,027 $579,531","page_number":29,"box":{"x":70,"y":161,"width":825,"height":11}},{"id":"9693437a-ad2d-40b3-951a-2b82c3b2fb56","block_type":"box","text":"Administration Agreement","page_number":29,"box":{"x":68,"y":193,"width":191,"height":11}},{"id":"53047184-0731-469c-834a-76d0435cc947","block_type":"box","text":"BlackRock serves as the Fund’s administrator (in such capacity, the “Administrator”) pursuant to an","page_number":29,"box":{"x":102,"y":216,"width":711,"height":10}},{"id":"a4da6711-498c-46a7-a5e2-47f05d548114","block_type":"box","text":"administration agreement (the “Administration Agreement”). The Administrator has agreed to maintain office facilities","page_number":29,"box":{"x":69,"y":230,"width":838,"height":12}},{"id":"acdee112-4c7b-4431-bf56-62927517478e","block_type":"box","text":"for the Fund; furnish the Fund with clerical, bookkeeping and administrative services; oversee the determination and","page_number":29,"box":{"x":68,"y":246,"width":830,"height":11}},{"id":"40c92bec-98c3-4edf-90b5-1396531f48b2","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":29,"box":{"x":70,"y":261,"width":813,"height":11}},{"id":"3339a40f-a8de-4a6f-811b-50be680cfdb8","block_type":"box","text":"returns; prepare certain reports required by regulatory authorities; calculate various contractual expenses; determine","page_number":29,"box":{"x":69,"y":276,"width":837,"height":11}},{"id":"99656aa7-ddb8-408f-806d-a59474ae789d","block_type":"box","text":"the amount of dividends and distributions available for payment by the Fund to its shareholders; prepare and arrange","page_number":29,"box":{"x":68,"y":291,"width":836,"height":11}},{"id":"064f573a-9db6-49e8-93ed-72e781adb962","block_type":"box","text":"for the printing of dividend notices to shareholders; provide Fund service providers with such information as is","page_number":29,"box":{"x":68,"y":306,"width":785,"height":11}},{"id":"4ffb2116-f582-4aef-999d-afe632cf4f84","block_type":"box","text":"required to effect the payment of dividends and distributions; and serve as liaison with the Trust’s officers,","page_number":29,"box":{"x":69,"y":321,"width":765,"height":11}},{"id":"e09fb931-1385-4ad8-b187-636f451c4931","block_type":"box","text":"independent accountants, legal counsel, custodian, accounting agent and transfer and dividend disbursing agent in","page_number":29,"box":{"x":70,"y":336,"width":819,"height":12}},{"id":"b25d63ea-e407-413c-83c6-5d3b773a2ba3","block_type":"box","text":"establishing the accounting policies of the Fund and monitoring financial and shareholder accounting services. The","page_number":29,"box":{"x":69,"y":351,"width":818,"height":12}},{"id":"db8f47c2-3e3b-449a-b0e2-774249d37a5b","block_type":"box","text":"Administrator may from time to time voluntarily waive administration fees with respect to the Fund and may voluntarily","page_number":29,"box":{"x":68,"y":366,"width":840,"height":12}},{"id":"0364d41a-ce4c-47ae-9471-2a652388fff1","block_type":"box","text":"reimburse the Fund for expenses.","page_number":29,"box":{"x":69,"y":382,"width":238,"height":11}},{"id":"ef6dd597-b48b-4c87-af85-875bcd7f2c1a","block_type":"box","text":"Under the Administration Agreement, the Trust, on behalf of the Fund, pays to the Administrator a fee, computed","page_number":29,"box":{"x":102,"y":404,"width":802,"height":12}},{"id":"8536654b-73f4-4fbb-a046-f50e4fc9bfe0","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":29,"box":{"x":69,"y":419,"width":830,"height":12}},{"id":"6939ee95-ff3d-41e1-b430-8f6a3f7d93b3","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":29,"box":{"x":69,"y":434,"width":788,"height":12}},{"id":"749465f0-7a18-4b1d-979b-707139e358fb","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":29,"box":{"x":69,"y":449,"width":785,"height":12}},{"id":"37b553ff-0714-44f0-af10-87b367ce7c1a","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":29,"box":{"x":69,"y":464,"width":816,"height":12}},{"id":"ebc2d6f9-d936-4057-acf5-7c6bdac172f6","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":29,"box":{"x":69,"y":479,"width":805,"height":12}},{"id":"f46d54ad-27d4-4b7c-8d6d-b68c188a4d86","block_type":"box","text":"shares of the Fund.","page_number":29,"box":{"x":69,"y":495,"width":137,"height":9}},{"id":"ef48724f-97b0-413e-ab74-997b25b2ba42","block_type":"box","text":"The table below sets forth information about the administration fees paid by the Trust, on behalf of the Fund, to","page_number":29,"box":{"x":101,"y":518,"width":798,"height":11}},{"id":"f80b0551-0f69-4ddc-9309-0b5c0254fed7","block_type":"box","text":"the Administrator, and the amounts waived and/or reimbursed, for the fiscal years shown.","page_number":29,"box":{"x":68,"y":533,"width":642,"height":11}},{"id":"0f329a5c-acc2-4bca-8d73-032cd0fb5364","block_type":"box","text":"Fees Paid to","page_number":29,"box":{"x":544,"y":561,"width":72,"height":7}},{"id":"64f9fa9b-dbc4-468d-b7a2-da930a31c34d","block_type":"box","text":"the Administrator","page_number":29,"box":{"x":529,"y":571,"width":102,"height":7}},{"id":"11ab5979-e50a-4bca-b072-7bbd75fda032","block_type":"box","text":"Fees Waived by","page_number":29,"box":{"x":667,"y":561,"width":90,"height":9}},{"id":"a15f8ecc-e6e2-44d5-a2ee-3372d0b18569","block_type":"box","text":"the Administrator","page_number":29,"box":{"x":660,"y":571,"width":103,"height":7}},{"id":"0884dfc3-a0ba-4dc7-ac98-22e82c576d19","block_type":"box","text":"Fees Reimbursed by","page_number":29,"box":{"x":793,"y":561,"width":116,"height":9}},{"id":"1a30ea29-0568-444a-b4c3-5802c5d83094","block_type":"box","text":"the Administrator","page_number":29,"box":{"x":800,"y":571,"width":102,"height":7}},{"id":"37225fcf-29b6-4e2d-bbdd-eb254d07aefa","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . .","page_number":29,"box":{"x":70,"y":589,"width":314,"height":11}},{"id":"f3c1a352-d04f-4436-8b99-d05d2529fe45","block_type":"box","text":"..............","page_number":29,"box":{"x":390,"y":596,"width":108,"height":2}},{"id":"24bb1785-e358-4416-982b-ca9f82930ad8","block_type":"box","text":"$542,405 $176,973 $0","page_number":29,"box":{"x":544,"y":588,"width":316,"height":11}},{"id":"459407b9-2de2-4a41-a825-36977dcf2531","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . .","page_number":29,"box":{"x":70,"y":604,"width":314,"height":11}},{"id":"9abe0704-0323-4f53-9a89-9e03f2f979ca","block_type":"box","text":"..............","page_number":29,"box":{"x":390,"y":611,"width":108,"height":2}},{"id":"d3e8ef60-d2c2-4f6e-8b04-9b555d0cfb07","block_type":"box","text":"$392,412 $126,676 $0","page_number":29,"box":{"x":544,"y":603,"width":316,"height":11}},{"id":"161c1491-f636-4f51-90f3-6caab7545c33","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . .","page_number":29,"box":{"x":70,"y":619,"width":314,"height":11}},{"id":"a149a34e-ae88-4cce-86e5-298d34a6c656","block_type":"box","text":"..............","page_number":29,"box":{"x":390,"y":627,"width":108,"height":1}},{"id":"ba3f87d1-3f59-4e4c-9ba7-6a87a723972e","block_type":"box","text":"$524,662 $171,200 $0","page_number":29,"box":{"x":544,"y":618,"width":316,"height":12}},{"id":"2fc82c10-4dc3-493a-a15a-bedbf53028c1","block_type":"box","text":"The Trust and its service providers may engage third party plan administrators who provide trustee,","page_number":29,"box":{"x":101,"y":658,"width":708,"height":11}},{"id":"64e6668d-efce-4c8f-983e-46048e30ed2f","block_type":"box","text":"administrative and recordkeeping services for certain employee benefit, profit-sharing and retirement plans as agents","page_number":29,"box":{"x":69,"y":673,"width":838,"height":12}},{"id":"7f5c9caa-c99e-4895-812e-97407dde8bda","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":688,"width":800,"height":12}},{"id":"50a2f4fd-cdb9-4e2e-ae20-cc38c50853a0","block_type":"box","text":"shares of the Trust.","page_number":29,"box":{"x":69,"y":703,"width":138,"height":10}},{"id":"07a62e3f-6744-4df5-b61f-d0fab52906a3","block_type":"box","text":"In addition, pursuant to a Shareholders’ Administrative Services Agreement, BlackRock provides certain","page_number":29,"box":{"x":102,"y":726,"width":740,"height":11}},{"id":"610cb3fb-cf39-4f8e-a9df-422f0297632c","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":741,"width":824,"height":11}},{"id":"d1b0c2b8-67c1-42a5-ba66-65eb0d28ba7f","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":756,"width":787,"height":12}},{"id":"914aa60c-ca5c-414f-8bd8-b44859a1e852","block_type":"box","text":"employee salaries, leasehold expenses, and other out-of-pocket expenses.","page_number":29,"box":{"x":69,"y":772,"width":531,"height":11}},{"id":"30fe1738-b11a-4e3a-aad8-d24b2ae666a4","block_type":"box","text":"For the fiscal years shown, the Trust, on behalf of the Fund, reimbursed to BlackRock fees for shareholder","page_number":29,"box":{"x":102,"y":794,"width":757,"height":11}},{"id":"6be9f24f-3b11-4cc6-b59a-80eecc22db6e","block_type":"box","text":"liaison services pursuant to such agreement as follows:","page_number":29,"box":{"x":70,"y":809,"width":397,"height":12}},{"id":"1e9d7cdf-fb8e-4577-a9a5-1bf7dffbc33a","block_type":"box","text":"Fees Paid","page_number":29,"box":{"x":722,"y":838,"width":56,"height":7}},{"id":"0aa5164b-4b93-4352-88ab-eb3f40f08e37","block_type":"box","text":"to BlackRock","page_number":29,"box":{"x":710,"y":848,"width":79,"height":7}},{"id":"a0fd0729-9757-4734-9619-aa48d6d7f1ab","block_type":"box","text":"Fees Waived by","page_number":29,"box":{"x":820,"y":838,"width":89,"height":8}},{"id":"82948edb-e3f6-44a8-8f6b-6a654c7deb30","block_type":"box","text":"BlackRock","page_number":29,"box":{"x":833,"y":848,"width":63,"height":7}},{"id":"9e5806a1-5211-42fc-99c9-e81d6f6afae4","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . .","page_number":29,"box":{"x":70,"y":866,"width":283,"height":11}},{"id":"6f226a77-9ac4-4b10-bb2d-18dfc0a9ed54","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,891 $ 4,891","page_number":29,"box":{"x":360,"y":865,"width":535,"height":11}},{"id":"eb895698-8519-42ba-92ed-e61b749d1eb7","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . .","page_number":29,"box":{"x":70,"y":881,"width":283,"height":11}},{"id":"4b0a8788-ab42-4747-8059-a8c9befb552b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,705 $ 4,705","page_number":29,"box":{"x":360,"y":880,"width":535,"height":11}},{"id":"507de4d6-517c-4562-a0a1-de464df1aa24","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . .","page_number":29,"box":{"x":70,"y":896,"width":283,"height":11}},{"id":"27867f8c-37c3-4257-b61d-1a95e1a39933","block_type":"box","text":"........................................","page_number":29,"box":{"x":360,"y":903,"width":319,"height":2}},{"id":"611c2a06-1d43-4307-98de-8e3183b190a6","block_type":"box","text":"$15,273 $15,273","page_number":29,"box":{"x":719,"y":895,"width":176,"height":11}},{"id":"55bf9788-05fe-4d56-b8d7-c5fa02cb94ff","block_type":"box","text":"I-20","page_number":29,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"0f7dd2f1-9ecb-4d24-85b5-582e051d7136","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":29,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c8a77e1b-93ad-4db7-865f-51b650804246","block_type":"box","text":"Fees Paid","page_number":30,"box":{"x":722,"y":49,"width":56,"height":7}},{"id":"5b462477-428a-4ac7-b33c-03c078b35b20","block_type":"box","text":"to BlackRock","page_number":30,"box":{"x":710,"y":59,"width":79,"height":7}},{"id":"d5d32151-41d3-415d-b3a8-af4aa514bed7","block_type":"box","text":"Fees Waived by","page_number":30,"box":{"x":820,"y":49,"width":89,"height":9}},{"id":"4ee8a6a3-3a67-4019-a2d5-324db1a659dd","block_type":"box","text":"BlackRock","page_number":30,"box":{"x":833,"y":59,"width":63,"height":7}},{"id":"e16310b2-fd7d-421d-b40f-bcdf33c0f027","block_type":"box","text":"Information Regarding the Portfolio Managers","page_number":30,"box":{"x":69,"y":108,"width":335,"height":11}},{"id":"ca55a60e-ea8a-4ad4-9dec-d0e00391be33","block_type":"box","text":"Alastair Bishop and Hannah Johnson, CFA, are the portfolio managers and are jointly and primarily responsible","page_number":30,"box":{"x":101,"y":131,"width":788,"height":11}},{"id":"7a8e82b7-7a3c-4b94-9e4d-1266fa9de59f","block_type":"box","text":"for the day-to-day management of the Fund.","page_number":30,"box":{"x":68,"y":146,"width":309,"height":11}},{"id":"005004aa-a159-43e1-9ddd-76c539eeddb0","block_type":"box","text":"Other Funds and Accounts Managed","page_number":30,"box":{"x":69,"y":176,"width":264,"height":11}},{"id":"372d4a70-5279-4cd1-95a8-9b3038c93e77","block_type":"box","text":"The following table sets forth information about the funds and accounts other than the Fund for which the Fund’s","page_number":30,"box":{"x":101,"y":199,"width":806,"height":11}},{"id":"8cc32b25-1561-4050-9769-44ad42fbd1d9","block_type":"box","text":"portfolio managers are primarily responsible for the day-to-day portfolio management as of May 31, 2026.","page_number":30,"box":{"x":70,"y":214,"width":755,"height":11}},{"id":"06beb0b4-8ae2-463e-83da-37f3a671dbdc","block_type":"box","text":"Number of Other Accounts Managed","page_number":30,"box":{"x":360,"y":242,"width":212,"height":9}},{"id":"87ab2447-f867-42f5-ae5b-d626dbf081f5","block_type":"box","text":"and Assets by Account Type","page_number":30,"box":{"x":383,"y":253,"width":165,"height":8}},{"id":"d5c4d72a-1c55-40b6-b64a-642ef7d599b0","block_type":"box","text":"Number of Other Accounts and Assets","page_number":30,"box":{"x":656,"y":242,"width":222,"height":8}},{"id":"5f1a0fd8-4253-43dd-b3d1-68b2a8f01c4a","block_type":"box","text":"for Which Advisory Fee is Performance-Based","page_number":30,"box":{"x":634,"y":252,"width":265,"height":9}},{"id":"325157be-ca40-4ed8-b04d-18b94dd74626","block_type":"box","text":"Name of Portfolio Manager","page_number":30,"box":{"x":74,"y":295,"width":157,"height":9}},{"id":"8cc412f1-cc45-408d-902f-e0c10fba3d2c","block_type":"box","text":"Other","page_number":30,"box":{"x":339,"y":265,"width":31,"height":7}},{"id":"a8a957a5-c522-4f62-9ee1-78f6092998ac","block_type":"box","text":"Registered","page_number":30,"box":{"x":323,"y":275,"width":62,"height":9}},{"id":"2d0d74a4-a199-4abd-8e8d-3e4b9a4053bf","block_type":"box","text":"Investment","page_number":30,"box":{"x":322,"y":285,"width":65,"height":7}},{"id":"a7ae21e9-6e87-4f98-aea5-0959b245ab7a","block_type":"box","text":"Companies","page_number":30,"box":{"x":322,"y":295,"width":64,"height":9}},{"id":"5ad3a875-580d-4d58-8b1a-b2f76871a688","block_type":"box","text":"Other Pooled","page_number":30,"box":{"x":419,"y":275,"width":75,"height":7}},{"id":"199eb225-57a4-4c3e-935b-0f36b04411b8","block_type":"box","text":"Investment","page_number":30,"box":{"x":425,"y":285,"width":64,"height":7}},{"id":"67eceac2-08a7-4a4b-8f82-9c960638c0da","block_type":"box","text":"Vehicles","page_number":30,"box":{"x":433,"y":295,"width":48,"height":7}},{"id":"e9799b85-8646-4cc2-8fba-7aafdee77a28","block_type":"box","text":"Other","page_number":30,"box":{"x":553,"y":285,"width":31,"height":7}},{"id":"0760cb21-1752-4c03-bd3d-88d78aa709b8","block_type":"box","text":"Accounts","page_number":30,"box":{"x":541,"y":295,"width":54,"height":7}},{"id":"ede20f94-2a3d-4ecf-a440-a6402de3c429","block_type":"box","text":"Other","page_number":30,"box":{"x":652,"y":265,"width":31,"height":7}},{"id":"6bbd23f1-7f3e-447a-849a-6c590637ba69","block_type":"box","text":"Registered","page_number":30,"box":{"x":636,"y":275,"width":62,"height":9}},{"id":"f5649c0b-f766-4263-bf90-d78641f09e5b","block_type":"box","text":"Investment","page_number":30,"box":{"x":635,"y":285,"width":65,"height":7}},{"id":"c93350f5-dc0a-4703-a037-6a0aea90c083","block_type":"box","text":"Companies","page_number":30,"box":{"x":635,"y":295,"width":64,"height":9}},{"id":"ccfb2800-f6cd-4d1b-be5f-6f34a410af52","block_type":"box","text":"Other Pooled","page_number":30,"box":{"x":735,"y":275,"width":74,"height":7}},{"id":"67e31188-d6dd-4803-bb1e-c301bb5c40dd","block_type":"box","text":"Investment","page_number":30,"box":{"x":740,"y":285,"width":64,"height":7}},{"id":"43541ff7-8fbd-40dd-a247-9547565cc742","block_type":"box","text":"Vehicles","page_number":30,"box":{"x":748,"y":295,"width":48,"height":7}},{"id":"ea691e53-0d83-4cca-b27f-c5b61858eca9","block_type":"box","text":"Other","page_number":30,"box":{"x":856,"y":285,"width":32,"height":7}},{"id":"83f46626-4c31-44b1-8f21-dbf2005c7895","block_type":"box","text":"Accounts","page_number":30,"box":{"x":844,"y":295,"width":55,"height":7}},{"id":"fc88cd5e-fb9b-45aa-a17f-3ceacb2c4b63","block_type":"box","text":"Alastair Bishop 6 13 2 0 1 0","page_number":30,"box":{"x":73,"y":309,"width":802,"height":9}},{"id":"640ccab7-4a30-404e-9f4f-d3b837fcc325","block_type":"box","text":"$3.50 Billion $9.68 Billion $168.69 Million $0 $33.83 Thousand $0","page_number":30,"box":{"x":318,"y":321,"width":561,"height":9}},{"id":"9f4bbc50-a55c-48e1-a085-1fda2964884e","block_type":"box","text":"Hannah Johnson, CFA 0 5 1 0 0 0","page_number":30,"box":{"x":74,"y":334,"width":801,"height":9}},{"id":"42bcab09-124c-4b99-84b2-de7822842ae4","block_type":"box","text":"$0 $790.00 Million $67.43 Million $0 $0 $0","page_number":30,"box":{"x":347,"y":346,"width":532,"height":9}},{"id":"ccc4f38f-9cd9-4e93-8ded-90a4e631cbd9","block_type":"box","text":"Por tfolio Manager Compensation Overview","page_number":30,"box":{"x":69,"y":381,"width":304,"height":11}},{"id":"5f2b427b-2c04-414c-beba-5b2398c83d92","block_type":"box","text":"The discussion below describes the portfolio managers’ compensation as of May 31, 2026.","page_number":30,"box":{"x":101,"y":404,"width":656,"height":11}},{"id":"5fe579ed-a2ee-4247-87f1-c60425ba7c48","block_type":"box","text":"BlackRock’s financial arrangements with its portfolio managers, its competitive compensation and its career","page_number":30,"box":{"x":102,"y":426,"width":774,"height":12}},{"id":"9be4f8ac-fb29-4bae-82e5-7ca7c5a1372d","block_type":"box","text":"path emphasis at all levels reflect the value senior management places on key resources. Compensation may include","page_number":30,"box":{"x":70,"y":441,"width":837,"height":12}},{"id":"76a6c9c9-6699-45ba-b27d-8c2c9669e1b8","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":30,"box":{"x":69,"y":457,"width":823,"height":11}},{"id":"6d950e0a-afd0-4da3-9f85-ce570f99fe7d","block_type":"box","text":"compensation include a base salary, a performance-based discretionary bonus, participation in various benefits","page_number":30,"box":{"x":69,"y":472,"width":799,"height":11}},{"id":"072f8a52-259c-4b15-89f2-7b2f9a100c54","block_type":"box","text":"programs and one or more of the incentive compensation programs established by BlackRock.","page_number":30,"box":{"x":70,"y":487,"width":670,"height":11}},{"id":"e03a5614-d1bb-4829-8d46-4b46f4550729","block_type":"box","text":"Base Compensation.","page_number":30,"box":{"x":102,"y":510,"width":148,"height":11}},{"id":"2b68666f-80cd-4e74-a20a-c6e067dff61f","block_type":"box","text":"Generally, portfolio managers receive base compensation based on their position with the","page_number":30,"box":{"x":257,"y":509,"width":640,"height":12}},{"id":"0ae1cbca-b198-41ff-aef6-e36c7d27119a","block_type":"box","text":"firm.","page_number":30,"box":{"x":68,"y":525,"width":32,"height":9}},{"id":"bd68091f-530d-4a8f-b371-ef2bb886d434","block_type":"box","text":"Discretionary Incentive Compensation","page_number":30,"box":{"x":69,"y":555,"width":277,"height":11}},{"id":"10fac806-8718-4f27-95b3-38effd9011e0","block_type":"box","text":"Generally, discretionary incentive compensation for Fundamental Equities portfolio managers is based on a","page_number":30,"box":{"x":102,"y":578,"width":763,"height":11}},{"id":"139a3bf8-4de7-47dc-96e8-d736e9bc010b","block_type":"box","text":"formulaic compensation program. BlackRock’s formulaic portfolio manager compensation program is based on team","page_number":30,"box":{"x":68,"y":593,"width":832,"height":11}},{"id":"75b548ed-7c0e-41ab-9490-c87a20985a83","block_type":"box","text":"revenue and pre-tax investment performance relative to appropriate competitors or benchmarks over 1- and 5-year","page_number":30,"box":{"x":69,"y":608,"width":815,"height":11}},{"id":"f4e98003-2da0-4790-b92f-64c5bf9bbd93","block_type":"box","text":"performance periods, as applicable. In most cases, these benchmarks are the same as the benchmark or","page_number":30,"box":{"x":70,"y":623,"width":757,"height":11}},{"id":"2110e3f5-2c4a-40ba-9747-e0c4656011bc","block_type":"box","text":"benchmarks against which the performance of the Fund or other accounts managed by the portfolio managers are","page_number":30,"box":{"x":69,"y":638,"width":814,"height":11}},{"id":"cc00771a-a764-47c7-b3e8-d557b7a33154","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":653,"width":780,"height":11}},{"id":"0d7ceab3-8a33-4205-b7da-ebccad94282e","block_type":"box","text":"performance of the Fund and other accounts managed by the portfolio management team is compared and the","page_number":30,"box":{"x":70,"y":668,"width":791,"height":12}},{"id":"f3c96ef7-5c30-4389-baf9-d8e2e741a59c","block_type":"box","text":"period of time over which performance is evaluated. With respect to these portfolio managers such benchmarks for","page_number":30,"box":{"x":70,"y":683,"width":823,"height":12}},{"id":"bed9b799-05f9-4ef7-aea6-b1095a098c97","block_type":"box","text":"the Fund and other accounts are: Bloomberg Commodity Index Total Return; FTSE Gold Mines Index (Gross Total","page_number":30,"box":{"x":68,"y":699,"width":799,"height":11}},{"id":"3c39cdda-b4b0-471a-be7b-863568465fb5","block_type":"box","text":"Return); FTSE Gold Mining Index - expressed in JPY; FTSE Gold Mining Index - GBP Price; SOFR 3 Month Index; MSCI","page_number":30,"box":{"x":70,"y":714,"width":824,"height":11}},{"id":"9a282665-6b7b-44a1-9757-99ccfdbed653","block_type":"box","text":"10/40 DW Energy (Net); MSCI ACWI Metals & Mining 30% Buffer 10/40 (1994) GBP Net TR; MSCI ACWI Metals &","page_number":30,"box":{"x":70,"y":729,"width":814,"height":11}},{"id":"bf7afbf8-3356-4714-9b5d-5f8da9b26cc0","block_type":"box","text":"Mining 30% Buffer 10/40 (1994) USD Net TR; MSCI World Energy Net Daily TR Index; NYSE Arca Gold Miners Index","page_number":30,"box":{"x":70,"y":744,"width":823,"height":11}},{"id":"748b0104-4046-4f22-8dfd-8cb75402a7fb","block_type":"box","text":"EUR Net Total Return; S&P Global Natural Resources Index; S&P Global Natural Resources Index - In GBP; S&P Global","page_number":30,"box":{"x":70,"y":759,"width":838,"height":10}},{"id":"446a70be-8bee-4428-8267-e81688283412","block_type":"box","text":"Natural Resources Net Return.","page_number":30,"box":{"x":70,"y":774,"width":216,"height":9}},{"id":"0262669e-afbe-40f2-8d95-82e83420e252","block_type":"box","text":"A smaller element of portfolio manager discretionary compensation may include consideration of: financial","page_number":30,"box":{"x":101,"y":797,"width":759,"height":11}},{"id":"a0efc032-4c98-40ac-a1c0-bde474045a58","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":812,"width":798,"height":11}},{"id":"04975d79-c1a8-4d70-8aa7-bebb94c2a84d","block_type":"box","text":"share, corporate reputation, capital allocation, compliance and risk control, leadership, technology and innovation.","page_number":30,"box":{"x":69,"y":827,"width":814,"height":11}},{"id":"9a47456d-c344-4847-a797-5ccf71939e09","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":842,"width":798,"height":11}},{"id":"f3bd0752-ba37-4e2d-b47d-84550cf39477","block_type":"box","text":"Distribution of Discretionary Incentive Compensation.","page_number":30,"box":{"x":102,"y":865,"width":389,"height":11}},{"id":"d0535b8f-5e10-4dae-a45e-80890d2dbc61","block_type":"box","text":"Discretionary incentive compensation is distributed to","page_number":30,"box":{"x":499,"y":865,"width":383,"height":11}},{"id":"d6ef0633-dfb1-4a0b-8080-cf7cc5a62803","block_type":"box","text":"portfolio managers in a combination of cash, deferred BlackRock, Inc. stock awards, and/or deferred cash awards","page_number":30,"box":{"x":70,"y":880,"width":815,"height":11}},{"id":"fc1b076e-1ade-41af-9ddf-609469405dd6","block_type":"box","text":"that notionally track the return of certain BlackRock investment products.","page_number":30,"box":{"x":68,"y":895,"width":522,"height":11}},{"id":"69e574d9-e0fa-4012-b74b-51722cd43382","block_type":"box","text":"I-21","page_number":30,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"1223b823-c698-43ec-a915-b307dedea431","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":30,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"781b454e-c2f5-4ca1-96dc-bc1ed3698cbb","block_type":"box","text":"Portfolio managers receive their annual discretionary incentive compensation in the form of cash. Portfolio","page_number":31,"box":{"x":102,"y":45,"width":760,"height":11}},{"id":"d30c56de-7ec8-4456-9ddf-bbec57b817de","block_type":"box","text":"managers whose total compensation is above a specified threshold also receive deferred BlackRock, Inc. stock","page_number":31,"box":{"x":69,"y":60,"width":795,"height":11}},{"id":"a86b7ca7-0d30-40a0-a122-b1e2d1aef9ef","block_type":"box","text":"awards annually as part of their discretionary incentive compensation. Paying a portion of discretionary incentive","page_number":31,"box":{"x":69,"y":75,"width":805,"height":11}},{"id":"3c164d22-f462-4535-b2df-c1ed6e48e6cf","block_type":"box","text":"compensation in the form of deferred BlackRock, Inc. stock puts compensation earned by a portfolio manager for a","page_number":31,"box":{"x":69,"y":90,"width":822,"height":11}},{"id":"61f6f969-b4a8-4959-afc5-a693f90bea32","block_type":"box","text":"given year “at risk” based on BlackRock’s ability to sustain and improve its performance over future periods. In some","page_number":31,"box":{"x":68,"y":105,"width":839,"height":11}},{"id":"04a291be-1e13-4c6c-8a02-d0a0360437fa","block_type":"box","text":"cases, additional deferred BlackRock, Inc. stock may be granted to certain key employees as part of a long-term","page_number":31,"box":{"x":69,"y":120,"width":802,"height":12}},{"id":"3bc3a72f-70ec-49e9-a579-3783c99cc5a0","block_type":"box","text":"incentive award to aid in retention, align interests with long-term shareholders and motivate performance. Deferred","page_number":31,"box":{"x":70,"y":135,"width":820,"height":12}},{"id":"deec3b67-cbc7-43b6-a4c9-9f55d2d0252d","block_type":"box","text":"BlackRock, Inc. stock awards are generally granted in the form of BlackRock, Inc. restricted stock units that vest","page_number":31,"box":{"x":70,"y":150,"width":801,"height":12}},{"id":"346c4fb4-1b86-4362-84c2-9ea4f8f69e33","block_type":"box","text":"pursuant to the terms of the applicable plan and, once vested, settle in BlackRock, Inc. common stock. The portfolio","page_number":31,"box":{"x":70,"y":166,"width":831,"height":11}},{"id":"91468129-4f4b-4324-968f-810862a5bf0d","block_type":"box","text":"managers of this Fund have deferred BlackRock, Inc. stock awards.","page_number":31,"box":{"x":69,"y":181,"width":479,"height":11}},{"id":"909feec1-97cf-4930-bb20-ac849ff64bc5","block_type":"box","text":"For certain portfolio managers, a portion of the discretionary incentive compensation is also distributed in the","page_number":31,"box":{"x":102,"y":203,"width":785,"height":12}},{"id":"e653f628-1fdc-48a7-bdd7-80bd7b5ee699","block_type":"box","text":"form of deferred cash awards that notionally track the returns of select BlackRock investment products they manage,","page_number":31,"box":{"x":68,"y":218,"width":836,"height":12}},{"id":"f195d389-3444-4af8-a790-81f00ded25a4","block_type":"box","text":"which provides direct alignment of portfolio manager discretionary incentive compensation with investment product","page_number":31,"box":{"x":68,"y":234,"width":821,"height":11}},{"id":"25524aa9-844a-4530-920d-fc9c1d4a7dc7","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":31,"box":{"x":69,"y":249,"width":829,"height":11}},{"id":"6841d9f6-6da3-4ad5-8a70-c7abdfe0f8f6","block_type":"box","text":"portfolio managers who manage specified products and whose total compensation is above a specified threshold are","page_number":31,"box":{"x":70,"y":264,"width":835,"height":11}},{"id":"d4bc89dd-606a-4256-967a-2413d75db185","block_type":"box","text":"eligible to participate in the deferred cash award program.","page_number":31,"box":{"x":69,"y":279,"width":414,"height":11}},{"id":"ad3ab388-e81b-4b30-ae08-91255219f578","block_type":"box","text":"Other Compensation Benefits.","page_number":31,"box":{"x":101,"y":302,"width":218,"height":11}},{"id":"dd3c1652-fce2-43bb-9373-de27dca1bc8c","block_type":"box","text":"In addition to base salary and discretionary incentive compensation, portfolio","page_number":31,"box":{"x":327,"y":302,"width":552,"height":11}},{"id":"c85edd28-91e9-4d64-b7e4-f1e9f7dcf9f8","block_type":"box","text":"managers may be eligible to receive or participate in one or more of the following:","page_number":31,"box":{"x":69,"y":317,"width":582,"height":11}},{"id":"60cf1716-ed52-41dc-aa05-97f752c20a2c","block_type":"box","text":"Incentive Savings Plans —","page_number":31,"box":{"x":102,"y":340,"width":189,"height":11}},{"id":"bfebf337-e112-494b-885c-57c235c5de49","block_type":"box","text":"United Kingdom-based portfolio managers are also eligible to participate in broad","page_number":31,"box":{"x":296,"y":339,"width":584,"height":12}},{"id":"6833bd25-b04b-4248-b0a4-72881dbdd149","block_type":"box","text":"based plans offered generally to BlackRock employees, including broad-based retirement, health and other employee","page_number":31,"box":{"x":69,"y":355,"width":834,"height":11}},{"id":"769a4403-ad7b-4711-884e-61bfc63ae77d","block_type":"box","text":"benefit plans. For example, BlackRock has created a variety of incentive savings plans in which BlackRock employees","page_number":31,"box":{"x":69,"y":370,"width":837,"height":11}},{"id":"f994c7f2-781c-453b-a18f-b99267addef4","block_type":"box","text":"are eligible to participate, including the BlackRock Retirement Savings Plan (RSP) and the BlackRock Employee Stock","page_number":31,"box":{"x":69,"y":385,"width":836,"height":11}},{"id":"80f19c32-b0ef-4159-8652-ba3ffaf26382","block_type":"box","text":"Purchase Plan (ESPP). The employer contribution to the RSP is between 10% and 15% of eligible pay capped at","page_number":31,"box":{"x":69,"y":400,"width":792,"height":11}},{"id":"153555f5-b9e5-4ac1-9b88-ed85a3ba1be6","block_type":"box","text":"£160,000 per annum. The RSP offers a range of investment options, including several collective investment funds","page_number":31,"box":{"x":68,"y":415,"width":817,"height":11}},{"id":"4d901d60-59c9-4243-9cd9-89d62dbf2a83","block_type":"box","text":"managed by the firm. BlackRock contributions follow the investment direction set by participants for their own","page_number":31,"box":{"x":69,"y":430,"width":781,"height":11}},{"id":"5f575855-cb97-4672-9610-244ecdd6cb98","block_type":"box","text":"contributions or, in the absence of an investment election being made, are invested into a target date fund that","page_number":31,"box":{"x":69,"y":445,"width":794,"height":12}},{"id":"34b96fd0-3690-4a44-8933-79a0dfbab3fa","block_type":"box","text":"corresponds to, or is closest to, the year in which the participant attains age 65. The ESPP allows for investment in","page_number":31,"box":{"x":69,"y":460,"width":823,"height":12}},{"id":"2aa605fc-d9bb-47a2-8b07-aecf6dce3a87","block_type":"box","text":"BlackRock common stock at a 5% discount on the fair market value of the stock on the purchase date. Annual","page_number":31,"box":{"x":70,"y":475,"width":784,"height":11}},{"id":"94526dc3-aa14-4a52-baaf-3cfdf5e93a7d","block_type":"box","text":"participation in the ESPP is limited to the purchase of 1,000 shares of common stock or a US dollar value of","page_number":31,"box":{"x":70,"y":491,"width":776,"height":11}},{"id":"a6cdd54c-4dfc-4b73-aa13-ed1574c55255","block_type":"box","text":"$25,000 based on its fair market value on the purchase date. All of the eligible portfolio managers are eligible to","page_number":31,"box":{"x":69,"y":505,"width":808,"height":12}},{"id":"6a053851-665e-495f-85bf-e0c77a06e0bb","block_type":"box","text":"participate in these plans.","page_number":31,"box":{"x":70,"y":521,"width":185,"height":11}},{"id":"ce50a56c-9a32-47a1-82db-ed89a2991dc0","block_type":"box","text":"Por tfolio Manager Beneficial Holdings","page_number":31,"box":{"x":69,"y":551,"width":268,"height":11}},{"id":"7a89b7d7-9dea-4c31-9c4c-de1b84596849","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":574,"width":731,"height":11}},{"id":"84b5f55f-900b-4d15-9ef2-73a7eaaf8906","block_type":"box","text":"beneficially owned by the portfolio managers in the Fund is shown below:","page_number":31,"box":{"x":69,"y":589,"width":519,"height":11}},{"id":"17bd8f4f-9ab0-4803-a5e1-8375dba5516f","block_type":"box","text":"Portfolio Manager","page_number":31,"box":{"x":69,"y":627,"width":105,"height":9}},{"id":"0330e3ba-47c7-4e27-a2c0-a99082640981","block_type":"box","text":"Dollar Range of Equity","page_number":31,"box":{"x":759,"y":617,"width":129,"height":9}},{"id":"c22d844e-361f-415b-a239-88f6aca3d3c0","block_type":"box","text":"Securities Beneficially Owned","page_number":31,"box":{"x":736,"y":627,"width":173,"height":9}},{"id":"bcae910b-0a61-4a1d-b2ff-47e125ff7af5","block_type":"box","text":"Alastair Bishop . . .","page_number":31,"box":{"x":68,"y":645,"width":132,"height":11}},{"id":"6b589729-0397-421c-82a4-150abdc6c458","block_type":"box","text":"..............................................................","page_number":31,"box":{"x":206,"y":652,"width":499,"height":2}},{"id":"9b628492-1e5e-4ea3-b921-a99373373d1f","block_type":"box","text":"$100,001-$500,000","page_number":31,"box":{"x":749,"y":644,"width":148,"height":11}},{"id":"169d432a-d26b-4634-a345-a294331884b4","block_type":"box","text":"Hannah Johnson, CFA . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":660,"width":244,"height":11}},{"id":"1571aa79-cb51-452f-a172-ceca5729fd77","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10,","page_number":31,"box":{"x":320,"y":659,"width":480,"height":12}},{"id":"54a2a2d9-0dd3-4a43-b120-85bfa3d0e773","block_type":"box","text":"001-$50,000","page_number":31,"box":{"x":802,"y":659,"width":95,"height":12}},{"id":"67cee8c0-c917-42a0-adff-753cc0ca8fed","block_type":"box","text":"Por tfolio Manager Potential Material Conflicts of Interest","page_number":31,"box":{"x":69,"y":692,"width":403,"height":11}},{"id":"7ed13325-378d-4276-bb35-31d07181bcc7","block_type":"box","text":"BlackRock has built a professional working environment, firm-wide compliance culture and compliance","page_number":31,"box":{"x":102,"y":714,"width":727,"height":12}},{"id":"ea70bd5e-2b94-46e3-8760-cea5a4cc842b","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":729,"width":814,"height":12}},{"id":"31459412-e712-4e56-9ec5-e6b6acfaa179","block_type":"box","text":"BlackRock has adopted policies and procedures that address the allocation of investment opportunities, execution of","page_number":31,"box":{"x":70,"y":744,"width":837,"height":11}},{"id":"14979eb7-d9e7-4c33-86f2-573f7fe0a201","block_type":"box","text":"portfolio transactions, personal trading by employees and other potential conflicts of interest that are designed to","page_number":31,"box":{"x":70,"y":760,"width":810,"height":11}},{"id":"8c6bdced-23e1-41c8-aa69-2a5d97b63530","block_type":"box","text":"ensure that all client accounts are treated equitably over time. Nevertheless, BlackRock furnishes investment","page_number":31,"box":{"x":69,"y":775,"width":782,"height":11}},{"id":"4cef8547-ea7c-418a-b0f6-567f0734d646","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":790,"width":830,"height":11}},{"id":"8e0a6c94-2f27-4975-944a-5158c65f85d7","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":805,"width":828,"height":11}},{"id":"1d3ed525-037a-40af-9043-8108eac8a7ef","block_type":"box","text":"funds or have performance or higher fees paid to BlackRock, or in which portfolio managers have a personal interest","page_number":31,"box":{"x":68,"y":820,"width":834,"height":11}},{"id":"9057ff2e-6d32-4594-960a-75a17c53f9ee","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":835,"width":777,"height":11}},{"id":"ee0bc1d3-d2e5-44dc-b5d4-a40e42dc113a","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":850,"width":821,"height":12}},{"id":"986db03a-ba61-4e28-aa4f-4657840cba6b","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":866,"width":819,"height":10}},{"id":"2f1b3a46-1b42-49cd-ae5e-510d562917cb","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":881,"width":832,"height":11}},{"id":"41f3199c-8fc0-4c3f-84de-dfa13a2e1f45","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":896,"width":804,"height":11}},{"id":"defef2f8-d131-4944-a379-14bbd1051c52","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":911,"width":760,"height":11}},{"id":"b88046b6-5379-4861-9faa-9b0cdad26f07","block_type":"box","text":"I-22","page_number":31,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"8e1cdb02-237a-4874-8a4c-b387a22e25c6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":31,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"014ef810-0187-49df-a6dd-d49311740873","block_type":"box","text":"companies of which any of BlackRock’s (or its affiliates’ or significant shareholders’) officers, directors or employees","page_number":32,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"997c9d1f-2bbe-4740-9e33-2ae65d262261","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":32,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"d24bd8a9-9aef-4a86-a619-408c2bd0dccd","block_type":"box","text":"officers, directors and employees of any of them has any substantial economic interest or possesses material non","page_number":32,"box":{"x":69,"y":75,"width":822,"height":11}},{"id":"cdeccaf7-e648-459d-b0c9-e0345f966d4b","block_type":"box","text":"public information. Certain portfolio managers also may manage accounts whose investment strategies may at times","page_number":32,"box":{"x":70,"y":90,"width":835,"height":11}},{"id":"cff55895-1e5e-4e9e-bcde-166ffb3ebf5f","block_type":"box","text":"be opposed to the strategy utilized for the Fund. It should also be noted that Mr. Bishop and Ms. Johnson may be","page_number":32,"box":{"x":69,"y":105,"width":808,"height":11}},{"id":"df8e084c-64ae-4abd-8618-e0665fd9d285","block_type":"box","text":"managing hedge fund and/or long only accounts, or may be part of a team managing hedge fund and/or long only","page_number":32,"box":{"x":69,"y":120,"width":811,"height":12}},{"id":"e3e09923-2a81-42c6-985c-2c028b0bbcf1","block_type":"box","text":"accounts, subject to incentive fees. Mr. Bishop and Ms. Johnson may therefore be entitled to receive a portion of any","page_number":32,"box":{"x":69,"y":135,"width":838,"height":11}},{"id":"6b2eca73-5093-4ced-a135-5f3d0be8cd45","block_type":"box","text":"incentive fees earned on such accounts.","page_number":32,"box":{"x":70,"y":150,"width":286,"height":9}},{"id":"865cbcfe-72a0-4d92-b688-06ec456dfa98","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":32,"box":{"x":101,"y":173,"width":788,"height":11}},{"id":"39b7e3ae-7d8d-4fb7-8fb8-7b3d23c0bf31","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":32,"box":{"x":70,"y":188,"width":839,"height":11}},{"id":"9b7ac540-4b87-4c56-aefb-dc6d83afac25","block_type":"box","text":"fiduciary duties. BlackRock attempts to allocate investments in a fair and equitable manner among client accounts,","page_number":32,"box":{"x":68,"y":203,"width":823,"height":12}},{"id":"4c7a76f2-5038-4699-8ab2-17375795b582","block_type":"box","text":"with no account receiving preferential treatment. To this end, BlackRock has adopted policies that are intended to","page_number":32,"box":{"x":68,"y":218,"width":812,"height":12}},{"id":"e9513f16-96ed-4628-866e-d9d4fbb190b7","block_type":"box","text":"ensure reasonable efficiency in client transactions and provide BlackRock with sufficient flexibility to allocate","page_number":32,"box":{"x":69,"y":234,"width":777,"height":11}},{"id":"c8f2d745-4d2a-4a98-b449-c5df3c627837","block_type":"box","text":"investments in a manner that is consistent with the particular investment discipline and client base, as appropriate.","page_number":32,"box":{"x":70,"y":249,"width":826,"height":11}},{"id":"6667ce74-9abb-4410-a218-fe70f1aa073a","block_type":"box","text":"Accounting Services","page_number":32,"box":{"x":68,"y":279,"width":150,"height":11}},{"id":"006b04e5-818e-49c3-a2e2-127ac0ea842a","block_type":"box","text":"The Bank of New York Mellon (“BNY Mellon”) provides certain accounting services to the Fund. BNY Mellon","page_number":32,"box":{"x":101,"y":302,"width":763,"height":11}},{"id":"8d37b37b-3fdf-4bf1-84bd-dba00805dd55","block_type":"box","text":"maintains the books of account and other financial records (other than those maintained by the Fund’s custodian);","page_number":32,"box":{"x":69,"y":317,"width":816,"height":11}},{"id":"23d9ed78-18fc-48e9-9de8-e1ff3179e38d","block_type":"box","text":"records general ledger entries; calculates daily net income; reconciles activity to the trial balance; calculates and","page_number":32,"box":{"x":69,"y":332,"width":804,"height":11}},{"id":"1c637b54-eb88-4e7a-8b12-97563327f6f9","block_type":"box","text":"publishes daily net asset value; prepares account balances; and provides such other accounting services as may be","page_number":32,"box":{"x":70,"y":347,"width":829,"height":11}},{"id":"7e248d29-c9ee-4b48-83e0-009685b69434","block_type":"box","text":"required. In connection with its accounting services, BNY Mellon also provides certain administration services.","page_number":32,"box":{"x":69,"y":362,"width":789,"height":11}},{"id":"2d4e842d-c457-49c2-afc4-14d11b9413ff","block_type":"box","text":"The table below shows the amounts paid by the Fund to BNY Mellon for accounting services for the fiscal years","page_number":32,"box":{"x":101,"y":385,"width":793,"height":11}},{"id":"35850091-3282-439c-8b43-ab1cc40fa805","block_type":"box","text":"shown:","page_number":32,"box":{"x":69,"y":400,"width":48,"height":9}},{"id":"18fbf697-c999-445c-98e6-af4c98381506","block_type":"box","text":"Fees Paid","page_number":32,"box":{"x":840,"y":428,"width":55,"height":7}},{"id":"92c17b74-7fb2-4778-8432-67fcd395c6e7","block_type":"box","text":"to BNY Mellon","page_number":32,"box":{"x":825,"y":438,"width":84,"height":7}},{"id":"5d22b66e-9340-4447-a738-c0fbc9c7750b","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . . . .","page_number":32,"box":{"x":70,"y":456,"width":317,"height":11}},{"id":"1f455e88-0296-4bf9-9c86-d03745abe767","block_type":"box","text":"..................................................","page_number":32,"box":{"x":393,"y":463,"width":402,"height":2}},{"id":"39dc2784-8c26-48f5-a8f7-cecf66bf08f8","block_type":"box","text":"$84,211","page_number":32,"box":{"x":837,"y":455,"width":62,"height":11}},{"id":"9436815d-792d-45a2-b466-b1cdddf3d975","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . . . .","page_number":32,"box":{"x":70,"y":471,"width":317,"height":11}},{"id":"46b19145-8aca-4ac1-8864-76c56d43b063","block_type":"box","text":"..................................................","page_number":32,"box":{"x":393,"y":479,"width":402,"height":1}},{"id":"93d8700a-f1d3-496e-9661-86d461178335","block_type":"box","text":"$71,146","page_number":32,"box":{"x":837,"y":470,"width":61,"height":12}},{"id":"25f8546d-a7e0-4137-a451-9be8b4db9066","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . . . .","page_number":32,"box":{"x":70,"y":486,"width":317,"height":11}},{"id":"d8fbb8e7-ff24-4222-b889-ff31a0c078e9","block_type":"box","text":"..................................................","page_number":32,"box":{"x":393,"y":494,"width":402,"height":1}},{"id":"a4df3557-ba32-4853-95d7-b42fdb70a184","block_type":"box","text":"$82,760","page_number":32,"box":{"x":837,"y":486,"width":62,"height":11}},{"id":"0fe48f5b-7939-492d-a5b5-1097065d2575","block_type":"box","text":"Custodian","page_number":32,"box":{"x":69,"y":533,"width":72,"height":9}},{"id":"769c7fd9-4ffe-4243-9172-06f540fbd146","block_type":"box","text":"BNY Mellon (the “Custodian”), which has its principal place of business at 240 Greenwich Street, New York, New","page_number":32,"box":{"x":102,"y":555,"width":805,"height":12}},{"id":"1079310d-042f-42fb-9b3c-1412bafd0f89","block_type":"box","text":"York 10286, serves as the custodian for the Fund . The Custodian, among other responsibilities, maintains a custody","page_number":32,"box":{"x":68,"y":571,"width":840,"height":11}},{"id":"5efc6ddc-cb20-40b1-9e63-cc5274dcecf5","block_type":"box","text":"account or accounts in the name of the Fund, receives and delivers all assets for the Fund upon purchase and upon","page_number":32,"box":{"x":69,"y":586,"width":826,"height":11}},{"id":"0be8fe0b-491c-45bb-988c-cb1f151b7d3e","block_type":"box","text":"sale or maturity, and collects and receives all income and other payments and distributions on account of the assets","page_number":32,"box":{"x":69,"y":601,"width":832,"height":11}},{"id":"d988a085-a23c-400e-9293-8a222577e624","block_type":"box","text":"of the Fund.","page_number":32,"box":{"x":69,"y":616,"width":83,"height":9}},{"id":"87917822-97d8-4fa7-a7b3-044a75f13049","block_type":"box","text":"Transfer Agent","page_number":32,"box":{"x":68,"y":646,"width":107,"height":11}},{"id":"96dd5cca-dc12-42d3-bb75-5b326b82546e","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":669,"width":764,"height":11}},{"id":"4e2a3a10-4ee6-43a9-aaed-68ef75f14733","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":684,"width":792,"height":11}},{"id":"0914976b-eb63-4fd2-8894-7687eeefa2fa","block_type":"box","text":"Credit Agreement","page_number":32,"box":{"x":69,"y":714,"width":129,"height":11}},{"id":"5ee2e3e4-f682-468f-ba82-8fadfc08e544","block_type":"box","text":"The Trust, on behalf of the Fund, along with certain other funds managed by the Manager and its affiliates","page_number":32,"box":{"x":101,"y":737,"width":757,"height":11}},{"id":"8313a1a0-8c9e-4031-8e1d-6359360efb62","block_type":"box","text":"(“Participating Funds”), is a party to a 364-day, $2.4 billion credit agreement with a group of lenders, which facility","page_number":32,"box":{"x":69,"y":751,"width":817,"height":12}},{"id":"5e6ce827-2ffe-4062-911c-072391234cad","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":767,"width":743,"height":11}},{"id":"20f28dd2-36c2-4c7b-b57c-3ca647e993b1","block_type":"box","text":"commitments designated for certain Participating Funds, the Participating Funds, including the Fund, can borrow up","page_number":32,"box":{"x":69,"y":782,"width":825,"height":12}},{"id":"303a1883-30f7-4c82-b9fc-7466b73baa84","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":797,"width":818,"height":12}},{"id":"57424c76-a395-458d-a879-cb96f30307a1","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":812,"width":761,"height":12}},{"id":"8f92e49f-d2ac-44e9-a8ab-31a794528edf","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":828,"width":768,"height":11}},{"id":"75a1aaf0-d5a0-4389-8fea-9a0750f3036e","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":843,"width":825,"height":11}},{"id":"9cabe322-3f56-4fed-af40-e0c36179c354","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":858,"width":805,"height":11}},{"id":"cdada36a-1b47-4ce8-be9e-267dbecbfccc","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":873,"width":838,"height":11}},{"id":"29990571-f186-4611-84e8-779a2f7fb03e","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":888,"width":801,"height":11}},{"id":"76f7c8a4-b1c4-499c-9b55-da2b0acef5b7","block_type":"box","text":"I-23","page_number":32,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"11918925-d26f-49e0-85a2-1cd415b9224d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":32,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"89f9d04b-93b5-4b3d-8a0d-f1b7dba06a42","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":33,"box":{"x":69,"y":45,"width":833,"height":11}},{"id":"e3a7288b-ce26-4c4e-8386-de8e92939341","block_type":"box","text":"charged interest at a variable rate.","page_number":33,"box":{"x":69,"y":60,"width":245,"height":11}},{"id":"e8583387-0f92-4db2-bdc1-d087bc1a9d98","block_type":"box","text":"V. Information on Sales Charges and Distribution Related Expenses","page_number":33,"box":{"x":68,"y":90,"width":491,"height":11}},{"id":"fa6d86d9-b4e4-4a7c-bb5c-ba57563343d9","block_type":"box","text":"Set forth below is information on sales charges (including any contingent deferred sales charges (“CDSCs”))","page_number":33,"box":{"x":102,"y":113,"width":773,"height":11}},{"id":"93fc278a-b406-41ed-bdc1-bad29248a367","block_type":"box","text":"received by the Fund, including the amounts paid to affiliates of the Manager (“affiliates”) for the past three fiscal","page_number":33,"box":{"x":69,"y":128,"width":812,"height":11}},{"id":"15fb8e96-4a7c-41de-b9c0-e07d0292925a","block_type":"box","text":"years. BlackRock Investments, LLC (“BRIL” or the “Distributor”) acts as the Fund’s sole distributor.","page_number":33,"box":{"x":68,"y":143,"width":706,"height":11}},{"id":"1dde68d7-c1ff-417a-97ee-4d1c36c08439","block_type":"box","text":"Investor A Shares","page_number":33,"box":{"x":659,"y":171,"width":102,"height":7}},{"id":"d3030e5f-1cb8-4857-a9b1-cc73f88ca49b","block_type":"box","text":"Gross","page_number":33,"box":{"x":530,"y":197,"width":33,"height":7}},{"id":"872a6b5f-21b9-4388-886f-7c56a00b0554","block_type":"box","text":"Sales","page_number":33,"box":{"x":531,"y":207,"width":31,"height":7}},{"id":"7460a932-d266-49e2-898f-067d1a346b6f","block_type":"box","text":"Charges","page_number":33,"box":{"x":523,"y":217,"width":47,"height":9}},{"id":"2d4e5bc4-308a-4ca2-85d1-062cbf9b9b89","block_type":"box","text":"Collected","page_number":33,"box":{"x":519,"y":227,"width":55,"height":7}},{"id":"df0d4713-25aa-42ff-9818-346ef595a9e0","block_type":"box","text":"Sales","page_number":33,"box":{"x":632,"y":197,"width":31,"height":7}},{"id":"1059f269-516e-444a-8843-7e39487c62a6","block_type":"box","text":"Charges","page_number":33,"box":{"x":624,"y":207,"width":47,"height":9}},{"id":"090bb2ba-338c-4f10-afb1-7ce63b94fbb5","block_type":"box","text":"Retained by","page_number":33,"box":{"x":614,"y":217,"width":68,"height":9}},{"id":"b727f9c2-2cc8-4a5c-b42d-8f712eda201f","block_type":"box","text":"BRIL","page_number":33,"box":{"x":634,"y":227,"width":27,"height":7}},{"id":"1a2cbe16-5cb1-4c1e-a0f4-4dcbe8084bde","block_type":"box","text":"Sales Charges","page_number":33,"box":{"x":711,"y":207,"width":84,"height":9}},{"id":"a9dead67-967b-4d46-9f03-7b4282836c54","block_type":"box","text":"Paid To","page_number":33,"box":{"x":733,"y":217,"width":41,"height":7}},{"id":"54f3e940-8b21-42b3-b957-53341abbe3a1","block_type":"box","text":"Affiliates","page_number":33,"box":{"x":727,"y":227,"width":52,"height":7}},{"id":"80aa573c-34b3-49d4-9e28-3ba359ecb118","block_type":"box","text":"CDSCs","page_number":33,"box":{"x":847,"y":187,"width":40,"height":7}},{"id":"deb372e2-d75a-4ee1-981b-c3ecaf633b32","block_type":"box","text":"Received on","page_number":33,"box":{"x":832,"y":197,"width":70,"height":7}},{"id":"0148a54b-5f23-45da-9eb8-4072e55768e7","block_type":"box","text":"Redemption of","page_number":33,"box":{"x":826,"y":207,"width":84,"height":9}},{"id":"c8ae83b3-9e8f-4ca3-beaf-34e22232c044","block_type":"box","text":"Load-Waived","page_number":33,"box":{"x":832,"y":217,"width":71,"height":7}},{"id":"979bd145-97b4-42f2-890d-e9a30e1082ea","block_type":"box","text":"Shares","page_number":33,"box":{"x":847,"y":227,"width":40,"height":7}},{"id":"ddcce2e6-6429-4812-abdf-8e80fd2fc1c9","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . $111,808 $7,027 $7,027 $251","page_number":33,"box":{"x":70,"y":244,"width":816,"height":12}},{"id":"c0231c4e-7da8-4223-ae22-a70f959e6c26","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . $ 47,383 $3,400 $3,400 $577","page_number":33,"box":{"x":70,"y":259,"width":816,"height":12}},{"id":"e6ec8fb2-2739-4bb1-8ecd-bb8c691ef1b9","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . $ 45,918 $2,722 $2,722 $544","page_number":33,"box":{"x":70,"y":275,"width":816,"height":11}},{"id":"3375cfa3-fb68-46f1-9781-66a33965984a","block_type":"box","text":"Investor C Shares","page_number":33,"box":{"x":760,"y":320,"width":103,"height":7}},{"id":"1a1bb2d2-2fa8-4dbe-811d-14f9e70603a8","block_type":"box","text":"CDSCs Received","page_number":33,"box":{"x":713,"y":336,"width":97,"height":7}},{"id":"18e2ec51-4927-4509-b9f3-dd5a3d5415df","block_type":"box","text":"by BRIL","page_number":33,"box":{"x":740,"y":346,"width":44,"height":9}},{"id":"35b2d248-e45a-4a71-bcc6-152cdc1afae5","block_type":"box","text":"CDSCs Paid","page_number":33,"box":{"x":840,"y":336,"width":69,"height":7}},{"id":"4ccf0f91-f3f4-47d4-bfd8-f942c34872a2","block_type":"box","text":"to Affiliates","page_number":33,"box":{"x":841,"y":346,"width":68,"height":7}},{"id":"91901185-d010-482a-a975-08959be54a8c","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":33,"box":{"x":70,"y":363,"width":474,"height":12}},{"id":"2ef4bacc-3940-4f2d-85fc-29c426faccb9","block_type":"box","text":". . . . . . . . . . . . . . . . . $1,484 $1,484","page_number":33,"box":{"x":550,"y":363,"width":351,"height":11}},{"id":"4a1fec82-4592-479e-b5ae-96bb2266d0f9","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":33,"box":{"x":70,"y":379,"width":474,"height":11}},{"id":"3561184a-a496-4d08-8286-8e7e29106957","block_type":"box","text":". . . . . . . . . . . . . . . . . $1,695 $1,695","page_number":33,"box":{"x":550,"y":378,"width":351,"height":11}},{"id":"8dfb62f1-19aa-47af-adac-15dd170db2b3","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":33,"box":{"x":70,"y":394,"width":474,"height":11}},{"id":"c963355f-bf75-4b2e-a8f6-0c705a67af58","block_type":"box","text":". . . . . . . . . . . . . . . . . $3,980 $3,980","page_number":33,"box":{"x":550,"y":393,"width":351,"height":11}},{"id":"595724d8-5d75-4890-9623-4bc78c452bfc","block_type":"box","text":"The table below provides information for the fiscal year ended May 31, 2026 about the 12b-1 fees the Fund paid","page_number":33,"box":{"x":101,"y":418,"width":805,"height":11}},{"id":"cae6ba51-3561-4520-90ad-66593b049e0c","block_type":"box","text":"to BRIL under the Fund’s 12b-1 plan. A portion of the fees collected by BRIL were paid to affiliates for providing","page_number":33,"box":{"x":68,"y":433,"width":796,"height":11}},{"id":"7cf3d056-474e-4fe1-bfb3-82e6fb3647d3","block_type":"box","text":"shareholder servicing activities for Investor A Shares and for providing shareholder servicing and distribution-related","page_number":33,"box":{"x":69,"y":448,"width":826,"height":11}},{"id":"22db3e17-c7a3-446d-82cd-2afcd4fb4ade","block_type":"box","text":"activities and services for Investor C Shares.","page_number":33,"box":{"x":69,"y":463,"width":318,"height":9}},{"id":"7b1fc8ba-401a-401f-b6a1-4417b1333f9f","block_type":"box","text":"Class Name","page_number":33,"box":{"x":69,"y":511,"width":68,"height":7}},{"id":"dda0aa53-737c-4544-ac1b-830e2ceb3ace","block_type":"box","text":"Fees Paid","page_number":33,"box":{"x":845,"y":491,"width":56,"height":7}},{"id":"c9f76837-1e06-4858-be46-1d90c9bd5d51","block_type":"box","text":"to BRIL","page_number":33,"box":{"x":851,"y":501,"width":44,"height":7}},{"id":"7c4f2821-4aad-4d26-9412-dc7ee5ea9581","block_type":"box","text":"Investor A Shares . . .","page_number":33,"box":{"x":70,"y":529,"width":157,"height":9}},{"id":"ddad0ff4-cd2c-4bc5-8a14-a7c258ff8d0c","block_type":"box","text":".......................................................................","page_number":33,"box":{"x":233,"y":537,"width":572,"height":1}},{"id":"f76b790d-b51d-4131-8334-d123407041de","block_type":"box","text":"$300,189","page_number":33,"box":{"x":837,"y":528,"width":72,"height":12}},{"id":"9c8c19e5-3365-4a8c-adc0-44e2fa7a1511","block_type":"box","text":"Investor C Shares","page_number":33,"box":{"x":70,"y":544,"width":125,"height":9}},{"id":"49ab9e71-e424-47da-a433-6e92666ad392","block_type":"box","text":"...........................................................................","page_number":33,"box":{"x":200,"y":552,"width":605,"height":1}},{"id":"0d3dba00-a779-441d-8dae-db5fe0ee56e9","block_type":"box","text":"$158,469","page_number":33,"box":{"x":837,"y":544,"width":72,"height":11}},{"id":"a10fd26f-c9a2-47e8-b7de-5885a8424eba","block_type":"box","text":"VI. Computation of Offering Price Per Share","page_number":33,"box":{"x":68,"y":576,"width":318,"height":11}},{"id":"c0dd83cc-87c2-427d-9d6e-b0c16a3d5e91","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":598,"width":805,"height":12}},{"id":"52bb30e8-fed3-4f6b-8517-3f258a1e947f","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":613,"width":827,"height":12}},{"id":"de0b6006-fda0-49e9-9fe4-1fe7db2c261e","block_type":"box","text":"forth below.","page_number":33,"box":{"x":68,"y":629,"width":83,"height":9}},{"id":"47d51d00-d42e-4de2-ba68-f824868d1c96","block_type":"box","text":"Investor A Shares","page_number":33,"box":{"x":805,"y":657,"width":102,"height":7}},{"id":"a2f9dfa4-b408-4ad4-bdc5-137cbabdd75d","block_type":"box","text":"Net Assets","page_number":33,"box":{"x":70,"y":675,"width":76,"height":9}},{"id":"e75cdee5-21ef-48e5-be05-d4a8d4b321f7","block_type":"box","text":".............................................................................","page_number":33,"box":{"x":150,"y":682,"width":621,"height":1}},{"id":"b7e273e5-206c-4a79-b6a8-db6ea291bc41","block_type":"box","text":"$181,694,764","page_number":33,"box":{"x":803,"y":674,"width":106,"height":11}},{"id":"b68de984-0dd9-47d1-aaf0-4811747d2153","block_type":"box","text":"Number of Shares Outstanding . . .","page_number":33,"box":{"x":70,"y":690,"width":245,"height":11}},{"id":"6c6305a7-0b27-46e4-9617-e8ba765ba9a0","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,","page_number":33,"box":{"x":321,"y":690,"width":524,"height":10}},{"id":"fd3a0cd2-b119-4018-be41-f251d238b0fa","block_type":"box","text":"958,393","page_number":33,"box":{"x":847,"y":690,"width":62,"height":10}},{"id":"e04c8d38-523e-4e5a-afeb-37e668a43826","block_type":"box","text":"Net Asset Value Per Share (net assets divided by number of shares outstanding)","page_number":33,"box":{"x":70,"y":705,"width":571,"height":11}},{"id":"ac3f6bca-fd90-439d-bee3-a2b55e8358cc","block_type":"box","text":"................","page_number":33,"box":{"x":647,"y":712,"width":124,"height":2}},{"id":"d5eebf76-4b26-4a93-ac9f-a1b0936abab7","block_type":"box","text":"$12.15","page_number":33,"box":{"x":857,"y":704,"width":52,"height":11}},{"id":"ccb9242b-4e2b-42e0-adc8-b7f8029e3422","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":720,"width":534,"height":11}},{"id":"7a7c2a7e-4840-4ef8-ad4b-46e902855bc4","block_type":"box","text":"1","page_number":33,"box":{"x":604,"y":720,"width":4,"height":5}},{"id":"25580646-b579-452e-a9cf-81f102f93751","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . $0.67","page_number":33,"box":{"x":615,"y":719,"width":293,"height":11}},{"id":"eaacddb3-2663-407d-8183-f01f59fc45d2","block_type":"box","text":"Offering Price . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":33,"box":{"x":69,"y":739,"width":702,"height":12}},{"id":"513b715c-bf20-4e93-aa16-3129c596cc94","block_type":"box","text":"$12.82","page_number":33,"box":{"x":857,"y":739,"width":52,"height":10}},{"id":"39d3b0d9-46cb-440c-a1e5-b72128087cc8","block_type":"box","text":"1","page_number":33,"box":{"x":69,"y":772,"width":3,"height":3}},{"id":"6d67a8c3-00bd-4eeb-93e8-8743ebfffc9d","block_type":"box","text":"Rounded to the nearest one hundredth percent; assumes maximum sales charge is applicable.","page_number":33,"box":{"x":94,"y":772,"width":542,"height":8}},{"id":"f99356f5-c874-4c14-9ee3-c56a2c045576","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":792,"width":796,"height":12}},{"id":"85c1164f-51f9-4251-ab20-aa671ee819ed","block_type":"box","text":"set forth above for Investor A Shares. Though not subject to a sales charge, certain share classes may be subject to","page_number":33,"box":{"x":69,"y":807,"width":833,"height":12}},{"id":"8d26c9b8-2adc-44a4-bd19-27309900270e","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":823,"width":813,"height":11}},{"id":"5a93f099-2035-4da6-a917-e18d452790e8","block_type":"box","text":"Shares” and “Pricing of Shares” in Part II of this SAI.","page_number":33,"box":{"x":69,"y":838,"width":377,"height":11}},{"id":"49786cf4-950f-4a29-a494-35f8a137b418","block_type":"box","text":"VII. Portfolio Transactions and Brokerage","page_number":33,"box":{"x":68,"y":868,"width":302,"height":11}},{"id":"6125ddde-28a0-4c4e-9236-b084952add45","block_type":"box","text":"See “Portfolio Transactions and Brokerage” in Part II of this SAI for more information.","page_number":33,"box":{"x":102,"y":891,"width":609,"height":11}},{"id":"52cbe641-6408-4f99-b5a2-5f3a4a060d29","block_type":"box","text":"I-24","page_number":33,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"ca56721c-a2c8-49ca-af5b-6475084a0470","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":33,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b9f0ea9c-2ad6-4cc1-8892-c589645f0776","block_type":"box","text":"Information about the brokerage commissions paid by the Fund, including commissions paid to affiliates, during","page_number":34,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"4bb33393-7e8a-497e-8985-d07c88966157","block_type":"box","text":"the periods shown, is set forth in the following table:","page_number":34,"box":{"x":68,"y":60,"width":376,"height":11}},{"id":"eb652733-7e89-4619-8696-8e2113bb723e","block_type":"box","text":"Aggregate Brokerage","page_number":34,"box":{"x":657,"y":93,"width":125,"height":9}},{"id":"a0ba7095-ae78-4c6c-a9b2-e9d4b19898f2","block_type":"box","text":"Commissions Paid","page_number":34,"box":{"x":667,"y":103,"width":106,"height":7}},{"id":"94f0bcee-aeb2-47c3-836e-9e7448cf35e1","block_type":"box","text":"Brokerage","page_number":34,"box":{"x":831,"y":83,"width":59,"height":9}},{"id":"cd5af442-2d87-4626-b82b-db4f9228f34c","block_type":"box","text":"Commissions","page_number":34,"box":{"x":822,"y":93,"width":77,"height":7}},{"id":"122f8e63-1bdb-49d7-a6a9-f8062fce1869","block_type":"box","text":"Paid to Affiliates","page_number":34,"box":{"x":813,"y":103,"width":96,"height":7}},{"id":"fe2dfacc-5f17-43ad-aee2-27468061ef2f","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":34,"box":{"x":70,"y":121,"width":450,"height":11}},{"id":"d89f6ad5-2821-48ac-8bb9-c6e65848e375","block_type":"box","text":".............","page_number":34,"box":{"x":527,"y":128,"width":99,"height":2}},{"id":"521df28f-087b-4998-b8f9-f01655a5224c","block_type":"box","text":"$228,527 $0","page_number":34,"box":{"x":684,"y":120,"width":186,"height":11}},{"id":"d54d9a50-3175-40a8-bae2-3406dfd99b58","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":34,"box":{"x":70,"y":136,"width":450,"height":11}},{"id":"6803e525-8f91-4987-90bf-73c1347baaf2","block_type":"box","text":".............","page_number":34,"box":{"x":527,"y":143,"width":99,"height":2}},{"id":"22ef82a6-c9af-485a-ac72-1e461fc6f4a9","block_type":"box","text":"$179,548 $0","page_number":34,"box":{"x":684,"y":135,"width":186,"height":11}},{"id":"d1f2dc12-fea0-4507-8bd2-e782c1c6a5d7","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":34,"box":{"x":70,"y":151,"width":450,"height":11}},{"id":"0938711e-b930-446c-8436-16984d42b967","block_type":"box","text":".............","page_number":34,"box":{"x":527,"y":159,"width":99,"height":1}},{"id":"da651516-2286-4392-9860-e251da170411","block_type":"box","text":"$213,541 $0","page_number":34,"box":{"x":684,"y":150,"width":186,"height":12}},{"id":"b0f02681-63cf-4800-a042-e8a45539675d","block_type":"box","text":"The following table shows the dollar amount of brokerage commissions paid to brokers for providing Section","page_number":34,"box":{"x":101,"y":175,"width":770,"height":11}},{"id":"7ec37ed1-dc75-47df-bb52-967ca72aafc9","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":34,"box":{"x":69,"y":190,"width":814,"height":11}},{"id":"dd56d267-2fec-4c72-b0bf-dbad21cd0f82","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":34,"box":{"x":68,"y":205,"width":829,"height":11}},{"id":"6389ada0-5c35-4a7b-a405-73cd952cdb4f","block_type":"box","text":"Section 28(e) research/brokerage services was not necessarily a factor in the placement of all brokerage business","page_number":34,"box":{"x":69,"y":220,"width":822,"height":12}},{"id":"f6f69d86-6db1-48e9-92b7-ca9dbd8642ae","block_type":"box","text":"with such brokers.","page_number":34,"box":{"x":68,"y":236,"width":130,"height":8}},{"id":"d8159cb1-d940-406f-b6a9-6e218a602863","block_type":"box","text":"Amount of Commissions","page_number":34,"box":{"x":325,"y":264,"width":141,"height":7}},{"id":"d2c3d2d6-709a-4f89-b9a6-deb87247e28b","block_type":"box","text":"Paid to Brokers for","page_number":34,"box":{"x":341,"y":274,"width":109,"height":7}},{"id":"b1b2573a-bd79-4561-b787-397cc00ea491","block_type":"box","text":"Providing 28(e) Eligible","page_number":34,"box":{"x":327,"y":284,"width":136,"height":9}},{"id":"e4231d5f-1ef8-41a6-9d67-de1882254a83","block_type":"box","text":"Research Services","page_number":34,"box":{"x":342,"y":294,"width":107,"height":7}},{"id":"5d0d3810-5af6-49a5-a31f-d3bd812fc285","block_type":"box","text":"Amount of Brokerage","page_number":34,"box":{"x":528,"y":284,"width":124,"height":9}},{"id":"18ad2b35-04fd-4bd7-80ad-9adaa95261fd","block_type":"box","text":"Transactions Involved","page_number":34,"box":{"x":527,"y":294,"width":126,"height":7}},{"id":"417f465b-d4bf-45ea-ac6f-9034f60c6e2c","block_type":"box","text":"$0 $0","page_number":34,"box":{"x":386,"y":311,"width":213,"height":11}},{"id":"08b97605-47cd-4b66-9acd-893140338522","block_type":"box","text":"As of May 31, 2026, the Fund held no securities of its regular brokers or dealers (as defined in Rule 10b-1 under","page_number":34,"box":{"x":101,"y":336,"width":808,"height":11}},{"id":"37000b2a-f5c6-4630-8fc3-ebc6b61c0ff5","block_type":"box","text":"the Investment Company Act) or their parents whose shares were purchased during the fiscal year ended","page_number":34,"box":{"x":68,"y":351,"width":748,"height":11}},{"id":"5b702d53-590b-4086-9f91-3616a5f7333c","block_type":"box","text":"May 31, 2026.","page_number":34,"box":{"x":70,"y":366,"width":104,"height":11}},{"id":"1994fceb-8a63-4018-95ab-ce965853283a","block_type":"box","text":"Securities Lending","page_number":34,"box":{"x":68,"y":396,"width":135,"height":11}},{"id":"5129e123-8065-4365-8c62-f6af354c4a98","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":34,"box":{"x":101,"y":419,"width":807,"height":11}},{"id":"c7ff16bf-9673-4df9-b89e-84f3a478292f","block_type":"box","text":"exemptive order from the Commission permitting it to lend portfolio securities to borrowers affiliated with the Fund","page_number":34,"box":{"x":69,"y":434,"width":817,"height":11}},{"id":"28a402f1-5a1b-4540-8316-51d4df325e62","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":34,"box":{"x":69,"y":449,"width":813,"height":11}},{"id":"fcf79d12-73aa-4459-a84c-64ec8d6236a7","block_type":"box","text":"lending, BlackRock Investment Management, LLC (“BIM”) acts as securities lending agent for the Fund, subject to the","page_number":34,"box":{"x":70,"y":464,"width":838,"height":11}},{"id":"5859ed77-cf8a-4756-9c27-800ef11b0df1","block_type":"box","text":"overall supervision of the Manager, pursuant to a written agreement (the “Securities Lending Agency Agreement”).","page_number":34,"box":{"x":69,"y":479,"width":813,"height":12}},{"id":"a9956cb2-dbb9-4755-9b0c-6f4bd5fa50b7","block_type":"box","text":"BIM administers the lending program in accordance with guidelines approved by the Board.","page_number":34,"box":{"x":70,"y":495,"width":646,"height":11}},{"id":"b531a2aa-cc0f-41d4-b11d-c29ff3ca8266","block_type":"box","text":"The Fund retains a portion of the securities lending income and remits the remaining portion to BIM as","page_number":34,"box":{"x":101,"y":517,"width":735,"height":11}},{"id":"27574f64-a470-4fee-9d32-8f764af1176a","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":532,"width":834,"height":11}},{"id":"1de17195-5964-4259-8fef-816837180306","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":547,"width":822,"height":11}},{"id":"288c10ad-ca77-4ea8-87b1-48c87cb80377","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":562,"width":787,"height":12}},{"id":"c5c981dd-51db-41ac-9c63-7c3a66ad32ca","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":578,"width":783,"height":11}},{"id":"fa62c02d-a0a5-4f7b-a4a3-567a6fe50068","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":593,"width":800,"height":11}},{"id":"34b0a632-863c-45cd-90b1-08efaced0460","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":608,"width":813,"height":11}},{"id":"cfbb1a8d-7968-4204-a697-4490fe555a0a","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":623,"width":830,"height":11}},{"id":"777a8338-92f5-404f-9e13-50dccfa16b6b","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":638,"width":773,"height":11}},{"id":"2ea08913-ed3e-4895-b186-a432f323160b","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":661,"width":776,"height":11}},{"id":"2985883d-5899-4896-992c-f217f84b5142","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":676,"width":831,"height":11}},{"id":"d3f329d4-803b-4374-94c3-2f3dfba37316","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":691,"width":812,"height":11}},{"id":"caa7933e-b884-4ada-82b5-4fe14ce5da08","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":706,"width":799,"height":11}},{"id":"cca6fb54-6d55-4806-8812-7a85fd034615","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":721,"width":835,"height":11}},{"id":"8c80bae7-5532-41e1-be05-f556f106298e","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":736,"width":818,"height":12}},{"id":"4793cb41-766a-4811-91e7-dfb6bff2a6bc","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":751,"width":789,"height":12}},{"id":"2d6fcbae-43ff-46af-9fc4-3fb28f8805cc","block_type":"box","text":"making a good faith estimate of certain costs the money market fund would incur if it were to sell a pro rata amount","page_number":34,"box":{"x":69,"y":766,"width":829,"height":12}},{"id":"14a23b57-04da-4644-98a1-06baba696696","block_type":"box","text":"of each security in the portfolio to satisfy the amount of net redemptions on that day. There is no limit to the size of a","page_number":34,"box":{"x":69,"y":782,"width":839,"height":11}},{"id":"8edb2df3-58c9-4ac8-8bbb-478cc8e5e10c","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":797,"width":802,"height":11}},{"id":"8df06059-a0d9-4b43-b786-2c64d768dd2b","block_type":"box","text":"portfolio security in good faith and supported by data, it is required to apply a default liquidity fee of 1% on the value","page_number":34,"box":{"x":70,"y":812,"width":830,"height":11}},{"id":"257f1877-f46d-43ae-bf5e-fcfa14ecf14a","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":827,"width":838,"height":11}},{"id":"4fa8e6c1-c229-46e6-81a8-40c4a254ba98","block_type":"box","text":"Fund’s returns on securities lending.","page_number":34,"box":{"x":70,"y":842,"width":258,"height":11}},{"id":"5ac487c8-a214-4fa5-bd11-93322d66b227","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":865,"width":774,"height":11}},{"id":"37628b48-c10d-4425-bbd5-dddf5dc109c2","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":880,"width":794,"height":11}},{"id":"48008bfa-778e-4c47-9643-ce9bfe83a996","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":895,"width":809,"height":11}},{"id":"6d4b1435-9f70-44a5-838c-06f46dd1f9e4","block_type":"box","text":"Trust and BIM.","page_number":34,"box":{"x":68,"y":910,"width":103,"height":9}},{"id":"1b210be6-87ff-4701-ad78-2b2b0ecd88d8","block_type":"box","text":"I-25","page_number":34,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"6d2dccd2-3896-44af-ae4d-84e69a66592e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":34,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"922e8c6d-603e-4327-864c-bccfb14c7687","block_type":"box","text":"Pursuant to the securities lending agreement effective January 1, 2026: (i) the Fund retains 82% of securities","page_number":35,"box":{"x":102,"y":45,"width":783,"height":11}},{"id":"3cf69159-2414-4823-b180-b7d7f0aaceaf","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":35,"box":{"x":70,"y":60,"width":815,"height":11}},{"id":"0824d64e-d3bf-402b-83d7-a33368dacea1","block_type":"box","text":"sum of securities lending income plus collateral investment fees.","page_number":35,"box":{"x":69,"y":75,"width":463,"height":11}},{"id":"1f2f4483-2017-400d-a08c-fa2f7d8b9eb5","block_type":"box","text":"In addition, commencing the business day following the date that the aggregate securities lending income","page_number":35,"box":{"x":102,"y":98,"width":753,"height":11}},{"id":"25cd1880-82d3-470f-973f-2ed60d809a3a","block_type":"box","text":"earned across the BlackRock Multi-Asset Complex in a calendar year exceeds specified thresholds, the Fund,","page_number":35,"box":{"x":69,"y":113,"width":778,"height":11}},{"id":"04280345-d755-474c-8379-15f21c41b03b","block_type":"box","text":"pursuant to the current securities lending agreement, will receive for the remainder of that calendar year securities","page_number":35,"box":{"x":70,"y":128,"width":817,"height":11}},{"id":"92b081a7-363c-4efb-b562-763442ea76b1","block_type":"box","text":"lending income as follows: (i) 85% of securities lending income (which excludes collateral investment fees); and","page_number":35,"box":{"x":70,"y":143,"width":794,"height":11}},{"id":"da628273-6f92-40a9-9c92-d81301500098","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":35,"box":{"x":69,"y":158,"width":825,"height":11}},{"id":"7ed16201-fbaf-4132-859d-ed5aa7eeab36","block_type":"box","text":"Prior to January 1, 2026, the Fund was subject to the same securities lending fee arrangement.","page_number":35,"box":{"x":102,"y":181,"width":683,"height":11}},{"id":"840f6ffe-50ea-4f2c-81bc-6e290801997e","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":35,"box":{"x":101,"y":203,"width":803,"height":12}},{"id":"584eca68-0215-4d6e-b7f0-85353fa567ee","block_type":"box","text":"the following:","page_number":35,"box":{"x":68,"y":218,"width":93,"height":12}},{"id":"f8eea3b5-b264-4e93-b069-0450018fa961","block_type":"box","text":"(1) selecting borrowers from an approved list of borrowers and executing a securities lending agreement as agent","page_number":35,"box":{"x":69,"y":239,"width":818,"height":11}},{"id":"4ea17958-845e-472e-9f8a-c13b9fde7f07","block_type":"box","text":"on behalf of the Fund with each such borrower;","page_number":35,"box":{"x":102,"y":254,"width":333,"height":10}},{"id":"26fc8602-2293-48ef-813b-43393c32f16d","block_type":"box","text":"(2) negotiating the terms of securities loans, including the amount of fees;","page_number":35,"box":{"x":69,"y":274,"width":538,"height":11}},{"id":"e92118e9-7fe8-4873-af61-bd31d38acb19","block_type":"box","text":"(3) directing the delivery of loaned securities;","page_number":35,"box":{"x":69,"y":294,"width":330,"height":11}},{"id":"b9228862-bbbf-4643-a933-6fff5105d1f3","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":35,"box":{"x":69,"y":314,"width":834,"height":12}},{"id":"62145873-5cde-4a2a-a91e-bcdceda5541b","block_type":"box","text":"of excess collateral, as necessary;","page_number":35,"box":{"x":102,"y":329,"width":246,"height":12}},{"id":"36df54c5-c509-406c-8b78-1fa9d706536e","block_type":"box","text":"(5) investing cash collateral received in connection with any loaned securities;","page_number":35,"box":{"x":69,"y":350,"width":562,"height":11}},{"id":"4b16809d-9bcf-48eb-9294-4449692243d7","block_type":"box","text":"(6) monitoring distributions on loaned securities (for example, interest and dividend activity);","page_number":35,"box":{"x":69,"y":370,"width":665,"height":11}},{"id":"2e7728be-f795-4297-8516-e213614570bc","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":35,"box":{"x":69,"y":390,"width":822,"height":11}},{"id":"a8e1e0cc-d84e-4abd-aa31-495997a7c2ef","block_type":"box","text":"the liquidation of collateral to purchase replacement securities of the same issue, type, class and series as that","page_number":35,"box":{"x":101,"y":405,"width":803,"height":11}},{"id":"2e6c785c-95a0-49ed-8684-d37a0f85e6a3","block_type":"box","text":"of the loaned securities; and","page_number":35,"box":{"x":102,"y":420,"width":203,"height":11}},{"id":"c145f9e0-f3e8-418e-bb9a-638807fa21e9","block_type":"box","text":"(8) terminating securities loans and arranging for the return of loaned securities to the Fund at loan termination.","page_number":35,"box":{"x":69,"y":440,"width":808,"height":12}},{"id":"91f22c60-de6d-4b95-9d46-3b04fb3158b2","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":463,"width":805,"height":11}},{"id":"dc0bec9c-1132-4c48-8b81-ac54677ae6e4","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":478,"width":546,"height":11}},{"id":"28c0df4d-e9b7-4e1c-b417-46e2842b8402","block_type":"box","text":"Gross income from securities lending activities","page_number":35,"box":{"x":69,"y":506,"width":343,"height":11}},{"id":"bbdf179c-2292-40bc-8000-afbebd6d1732","block_type":"box","text":"..................................................","page_number":35,"box":{"x":414,"y":513,"width":401,"height":2}},{"id":"492a3093-4417-4415-8053-7e53a99f690e","block_type":"box","text":"$270,339","page_number":35,"box":{"x":837,"y":505,"width":72,"height":12}},{"id":"43f129e0-807d-424e-a2bf-9d1f2446af7c","block_type":"box","text":"Fees and/or compensation for securities lending activities and related services","page_number":35,"box":{"x":70,"y":525,"width":565,"height":12}},{"id":"63f0f814-0937-4cd7-a8b1-1cc06ff8ece8","block_type":"box","text":"Securities lending income paid to BIM for services as securities lending agent .","page_number":35,"box":{"x":79,"y":540,"width":565,"height":12}},{"id":"ce0b5302-d0d7-48d2-a9c9-4ceec0284eef","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . $ 13,806","page_number":35,"box":{"x":650,"y":540,"width":259,"height":11}},{"id":"b68bea37-c826-41d5-a9bd-8ad6476c0534","block_type":"box","text":"Cash collateral management expenses not included in securities lending income paid to BIM . .","page_number":35,"box":{"x":79,"y":556,"width":679,"height":11}},{"id":"8f83e601-6672-4707-8d26-76e9b0ce9bde","block_type":"box","text":". . . . . . . $ 2,473","page_number":35,"box":{"x":765,"y":555,"width":144,"height":11}},{"id":"19439698-21f7-41d0-aaf6-576206bdde57","block_type":"box","text":"Administrative fees not included in securities lending income paid to BIM","page_number":35,"box":{"x":78,"y":571,"width":519,"height":11}},{"id":"d08d7bd1-6cd0-43ac-aa48-256f560efeec","block_type":"box","text":"........................... $ 0","page_number":35,"box":{"x":602,"y":570,"width":307,"height":10}},{"id":"16bdc780-2645-4efe-969f-c4b478fb9fb6","block_type":"box","text":"Indemnification fees not included in securities lending income paid to BIM","page_number":35,"box":{"x":79,"y":586,"width":526,"height":11}},{"id":"0118a1e0-0a26-4689-8964-b63793e1816e","block_type":"box","text":".......................... $ 0","page_number":35,"box":{"x":610,"y":585,"width":299,"height":11}},{"id":"69558d61-b4c1-4938-b7bc-82408987613d","block_type":"box","text":"Rebates (paid to borrowers)","page_number":35,"box":{"x":79,"y":601,"width":197,"height":11}},{"id":"2d635a41-5f44-45d1-b67f-6b2eed6c2c8b","block_type":"box","text":"..................................................................","page_number":35,"box":{"x":284,"y":608,"width":531,"height":2}},{"id":"3a7aac5b-4fa0-4104-9248-ed677226fe2c","block_type":"box","text":"$189,318","page_number":35,"box":{"x":837,"y":600,"width":72,"height":11}},{"id":"71e2f3e4-8f7e-4d91-b0de-f390163b5b98","block_type":"box","text":"Other fees not included in securities lending income paid to BIM . . . . . . . . .","page_number":35,"box":{"x":79,"y":616,"width":532,"height":11}},{"id":"21ed6b3f-4644-4774-8316-7e3d55b52667","block_type":"box","text":"......................... $ 0","page_number":35,"box":{"x":618,"y":615,"width":291,"height":11}},{"id":"4a002d02-f637-4903-9dab-2a200fbc6743","block_type":"box","text":"Aggregate fees/compensation for securities lending activities","page_number":35,"box":{"x":68,"y":631,"width":455,"height":11}},{"id":"beafbe4b-6fdb-4d13-b876-eb04e97810e3","block_type":"box","text":"....................................","page_number":35,"box":{"x":528,"y":639,"width":287,"height":1}},{"id":"082f7ba4-56f4-480b-9e48-f7416f298ad8","block_type":"box","text":"$205,597","page_number":35,"box":{"x":837,"y":630,"width":72,"height":12}},{"id":"4726523c-c7e1-47e1-87e5-816b62bd1dc1","block_type":"box","text":"Net income from securities lending activities","page_number":35,"box":{"x":69,"y":651,"width":327,"height":11}},{"id":"b021b723-909c-4042-8e82-fa13a7fedd14","block_type":"box","text":"...................................................","page_number":35,"box":{"x":406,"y":658,"width":409,"height":2}},{"id":"2bb73852-43f2-4e12-bf45-85d8acda6d45","block_type":"box","text":"$ 64,742","page_number":35,"box":{"x":837,"y":650,"width":72,"height":12}},{"id":"a9618ffa-3730-4a3f-b342-18e90754c4f4","block_type":"box","text":"VIII. Additional Information","page_number":35,"box":{"x":68,"y":687,"width":195,"height":9}},{"id":"df781f48-3abc-49e5-a4ee-0d21008708a8","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":35,"box":{"x":102,"y":709,"width":352,"height":11}},{"id":"27e5a2d1-e80c-4b7b-9eb3-5a0e0894ac38","block_type":"box","text":"Deloitte & Touche LLP, with offices located at 115 Federal","page_number":35,"box":{"x":461,"y":709,"width":412,"height":11}},{"id":"27c91d5b-cedd-49e3-ab20-e50a7ff469e4","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":724,"width":685,"height":12}},{"id":"97bf87a1-beac-412d-a622-d5d07e22c7e0","block_type":"box","text":"Counsel.","page_number":35,"box":{"x":101,"y":747,"width":62,"height":9}},{"id":"e7563019-89b0-457d-929e-ab404a384f29","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":747,"width":736,"height":11}},{"id":"caee8bcb-fa29-492f-b9dc-d4869b925807","block_type":"box","text":"the Fund’s counsel.","page_number":35,"box":{"x":68,"y":762,"width":139,"height":9}},{"id":"387351cd-ac69-4343-bbd9-93e973588897","block_type":"box","text":"The Trust","page_number":35,"box":{"x":68,"y":793,"width":69,"height":8}},{"id":"386e3897-851a-4be5-9c03-2c92a69e27a0","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":815,"width":807,"height":11}},{"id":"5eb5a22d-72c9-4c3b-8171-74a411377c38","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":830,"width":816,"height":11}},{"id":"cdfabdd6-457d-4366-8c87-99efc0773f5d","block_type":"box","text":"changed its name from Compass Capital Funds","page_number":35,"box":{"x":69,"y":845,"width":337,"height":12}},{"id":"85c92c79-531c-4c9d-9ed1-44d1496832fd","block_type":"box","text":"SM","page_number":35,"box":{"x":407,"y":846,"width":11,"height":4}},{"id":"ec435caf-0aef-4916-b507-fa9e28a3a993","block_type":"box","text":"to BlackRock Funds","page_number":35,"box":{"x":423,"y":846,"width":140,"height":8}},{"id":"5e5ba9f8-cf11-4ca8-93e9-278826d7557f","block_type":"box","text":"SM","page_number":35,"box":{"x":564,"y":846,"width":11,"height":4}},{"id":"6b719396-d264-4d41-bb73-f4e58183c4dc","block_type":"box","text":". The Fund is classified as diversified. The","page_number":35,"box":{"x":577,"y":845,"width":298,"height":9}},{"id":"4e4d3de5-750e-4e92-b681-e5efd35131ca","block_type":"box","text":"Trust is authorized to issue an unlimited number of shares of beneficial interest with a par value of $0.001 per","page_number":35,"box":{"x":68,"y":860,"width":792,"height":11}},{"id":"44100c75-689f-438b-bfa8-3df824dfd5ca","block_type":"box","text":"share, which may be divided into different series and classes.","page_number":35,"box":{"x":69,"y":875,"width":441,"height":12}},{"id":"fa5a4cfa-daf6-4fdf-8881-068e43ebc15d","block_type":"box","text":"I-26","page_number":35,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"c3eed6ee-ab0f-462b-bbcb-dec6144f713f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":35,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"27029683-d97c-41d8-a86f-46cf4d97edf5","block_type":"box","text":"Under Massachusetts law, shareholders of a business trust may, under certain circumstances, be held","page_number":36,"box":{"x":102,"y":45,"width":734,"height":11}},{"id":"eb698876-d3e3-4d1e-800c-4c7ec840dd2d","block_type":"box","text":"personally liable as partners for the obligations of the Trust. However, the Trust’s Declaration of Trust provides that","page_number":36,"box":{"x":70,"y":60,"width":822,"height":11}},{"id":"5fb42503-bcdd-40c2-9221-a98232b75b32","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":36,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"3d8090c8-852c-4357-ae26-c2e1fcc806b5","block_type":"box","text":"obligations of the Trust, and that every note, bond, contract, order or other undertaking made by the Trust shall","page_number":36,"box":{"x":69,"y":90,"width":794,"height":11}},{"id":"117041a8-5912-455a-960d-bf7ed7d88d4b","block_type":"box","text":"contain a provision to the effect that the shareholders are not personally liable thereunder. The Declaration of Trust","page_number":36,"box":{"x":69,"y":105,"width":824,"height":11}},{"id":"7c32dcce-0044-44a1-9bac-b87f1adc5edb","block_type":"box","text":"provides for indemnification out of Trust property of any shareholder held personally liable solely by reason of his","page_number":36,"box":{"x":70,"y":120,"width":804,"height":11}},{"id":"6ef0be33-891c-4714-9044-e923d938ca5a","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":36,"box":{"x":69,"y":135,"width":830,"height":12}},{"id":"4ba7a75e-125e-48b3-b709-d49adb08aac3","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":36,"box":{"x":68,"y":150,"width":807,"height":12}},{"id":"18fc1e6b-4af8-430d-a68e-6677615e4dba","block_type":"box","text":"against any shareholder for any act or obligation of the Trust, and shall satisfy any judgment thereon.","page_number":36,"box":{"x":69,"y":166,"width":719,"height":11}},{"id":"81679584-50b9-4daa-a9ae-069f6020096b","block_type":"box","text":"The Declaration of Trust further provides that all persons having any claim against the Trustees or Trust shall","page_number":36,"box":{"x":101,"y":188,"width":777,"height":12}},{"id":"e766e165-d470-4f74-8bef-8318ca590664","block_type":"box","text":"look solely to the Trust property for payment; that no Trustee of the Trust shall be personally liable for or on account","page_number":36,"box":{"x":70,"y":203,"width":828,"height":12}},{"id":"5b4de158-f2ad-4f4b-aa5f-a7f39e98f1ac","block_type":"box","text":"of any contract, debt, tort, claim, damage, judgment or decree arising out of or connected with the administration or","page_number":36,"box":{"x":69,"y":218,"width":827,"height":12}},{"id":"abcfead7-5323-45cc-bab5-4351675a09ec","block_type":"box","text":"preservation of the Trust property or the conduct of any business of the Trust; and that no Trustee shall be","page_number":36,"box":{"x":70,"y":234,"width":762,"height":11}},{"id":"79f39add-9da8-4653-8e83-efcb0e43a2b1","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":36,"box":{"x":70,"y":249,"width":836,"height":11}},{"id":"8422be72-f6ba-427e-94f7-b99ba136625c","block_type":"box","text":"misfeasance, gross negligence or reckless disregard of his duties as a Trustee.","page_number":36,"box":{"x":69,"y":264,"width":567,"height":11}},{"id":"cd38c4b1-cb59-4812-ad7c-605a99fbadd3","block_type":"box","text":"With the exception stated, the Declaration of Trust provides that a Trustee is entitled to be indemnified against","page_number":36,"box":{"x":101,"y":286,"width":792,"height":12}},{"id":"8a325475-c007-4c69-bcc1-945393d8a8a2","block_type":"box","text":"all liabilities and expenses reasonably incurred by such Trustee in connection with the defense or disposition of any","page_number":36,"box":{"x":69,"y":302,"width":825,"height":11}},{"id":"61b94a22-ad2f-4c48-b494-ba1b4257201e","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":36,"box":{"x":70,"y":317,"width":824,"height":11}},{"id":"b5598bc2-742e-4c4f-bfb0-4ca1e6adde55","block_type":"box","text":"Trustee, and that the Trust will indemnify officers, representatives and employees of the Trust to the same extent","page_number":36,"box":{"x":68,"y":332,"width":811,"height":11}},{"id":"0662d524-711c-481f-bf0e-17469e1742fb","block_type":"box","text":"that trustees are entitled to indemnification.","page_number":36,"box":{"x":68,"y":347,"width":315,"height":9}},{"id":"0977d6b4-cf6f-45a4-955c-4f988f9219f7","block_type":"box","text":"Additional Benchmark Performance Information.","page_number":36,"box":{"x":101,"y":370,"width":351,"height":9}},{"id":"3000507a-117e-4662-b43b-060852c64775","block_type":"box","text":"As noted in the Prospectus, performance of the Fund’s","page_number":36,"box":{"x":458,"y":370,"width":392,"height":11}},{"id":"56122215-ec8a-4e8e-94be-14b1008427f2","block_type":"box","text":"benchmark, the MSCI All Country World Index (Net), shown in the Prospectus generally assumes the reinvestment of","page_number":36,"box":{"x":69,"y":385,"width":830,"height":11}},{"id":"f76045b0-b807-4236-b445-252673b106b4","block_type":"box","text":"dividends after the deduction of the maximum withholding tax in each country applicable to non-residents of the","page_number":36,"box":{"x":69,"y":400,"width":796,"height":11}},{"id":"0e75d45e-5ed2-476f-8b8d-bda5beebcb55","block_type":"box","text":"country as determined by the index provider. Please see below for the performance of the MSCI All Country World","page_number":36,"box":{"x":69,"y":415,"width":809,"height":11}},{"id":"d3322e73-b81b-4bf7-8649-dd213712ea45","block_type":"box","text":"Index that does not reflect the deduction of such maximum withholding taxes for the periods noted below:","page_number":36,"box":{"x":70,"y":430,"width":752,"height":11}},{"id":"542e96c7-6d63-4c34-8a0f-f6afc3b63995","block_type":"box","text":"For the periods ended 12/31/25","page_number":36,"box":{"x":69,"y":458,"width":193,"height":9}},{"id":"02defeae-ce8e-47d5-9eaa-2043e60f449b","block_type":"box","text":"Average Annual Total Returns","page_number":36,"box":{"x":68,"y":469,"width":173,"height":8}},{"id":"c9567276-bc11-4c49-a2ab-bee00ef2ba32","block_type":"box","text":"1 Year 5 Years 10 Years","page_number":36,"box":{"x":716,"y":469,"width":193,"height":7}},{"id":"844085d5-bbfa-4a31-96c5-5564cd9a093f","block_type":"box","text":"MSCI All Country World Index","page_number":36,"box":{"x":70,"y":486,"width":205,"height":11}},{"id":"fb0713da-8b35-4e58-8ec7-d932cc00188e","block_type":"box","text":"(Reflects no deduction for fees, expenses or taxes) . . . . . . . .","page_number":36,"box":{"x":79,"y":501,"width":431,"height":11}},{"id":"0a7f9847-3390-45e7-938b-1ccbb88ef391","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . 22.87% 11.70% 12.28%","page_number":36,"box":{"x":516,"y":501,"width":401,"height":9}},{"id":"2b49eb17-84d6-48e4-bba7-e73a2f4ebe73","block_type":"box","text":"Principal Shareholders","page_number":36,"box":{"x":69,"y":532,"width":162,"height":11}},{"id":"e685392a-11bd-4448-8054-0a9da0d39294","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":555,"width":797,"height":11}},{"id":"584e01b9-ca78-4bbe-a905-c99b06cf62ca","block_type":"box","text":"Fund’s shares as of September 1, 2026:","page_number":36,"box":{"x":70,"y":570,"width":290,"height":11}},{"id":"e8c426da-4079-4e59-a6fe-71f7df34a9a7","block_type":"box","text":"Name Address Percentage Class","page_number":36,"box":{"x":69,"y":598,"width":786,"height":9}},{"id":"95fef8a6-bfa1-4c51-ae87-b14c4d45add3","block_type":"box","text":"Empower Trust 8515 East Orchard Road","page_number":36,"box":{"x":70,"y":616,"width":549,"height":11}},{"id":"f99a5962-c481-4809-80d1-5fbe9f580800","block_type":"box","text":"2T2","page_number":36,"box":{"x":519,"y":631,"width":25,"height":9}},{"id":"c065c4bf-5451-4e1a-90cc-684b85333972","block_type":"box","text":"Greenwood Village, CO 80111","page_number":36,"box":{"x":424,"y":646,"width":215,"height":11}},{"id":"67998fab-bab4-4732-849c-6c0588dffcc9","block_type":"box","text":"31.25% Investor A Shares","page_number":36,"box":{"x":680,"y":616,"width":222,"height":9}},{"id":"e235ae78-30ad-4224-bc3a-23b35d1ce74a","block_type":"box","text":"Charles Schwab & Co. Inc. 101 Montgomery Street","page_number":36,"box":{"x":69,"y":669,"width":548,"height":11}},{"id":"968eeee3-6291-489f-b113-ecd26e25b83d","block_type":"box","text":"San Francisco, CA 94104-4122","page_number":36,"box":{"x":419,"y":684,"width":224,"height":10}},{"id":"375eb70c-1be0-477e-8160-e398e1b931f2","block_type":"box","text":"12.69% Investor A Shares","page_number":36,"box":{"x":681,"y":669,"width":221,"height":9}},{"id":"2eb4331f-ac37-4965-98f1-4945372d6646","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":707,"width":557,"height":11}},{"id":"94c19cf4-fe1e-4894-b03d-a558121ec715","block_type":"box","text":"5","page_number":36,"box":{"x":504,"y":722,"width":8,"height":9}},{"id":"7d962ce9-85ac-4fea-a0b6-d467c5bdee2b","block_type":"box","text":"th","page_number":36,"box":{"x":513,"y":722,"width":7,"height":5}},{"id":"b753f2d6-e614-4557-8b68-e7b45f2cbf5a","block_type":"box","text":"Floor","page_number":36,"box":{"x":526,"y":722,"width":34,"height":9}},{"id":"e643675f-93e2-4683-8f86-5218a0e92c93","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":36,"box":{"x":433,"y":737,"width":197,"height":11}},{"id":"0d86824d-ab79-40e3-933d-f632d11ad280","block_type":"box","text":"12.64% Investor A Shares","page_number":36,"box":{"x":681,"y":707,"width":221,"height":9}},{"id":"e4c8784c-b569-4018-9d52-63c8bea7706d","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":36,"box":{"x":70,"y":760,"width":550,"height":9}},{"id":"669fea76-c5ca-411f-b41c-2e10a3f345d3","block_type":"box","text":"St Louis, MO 63131-3710","page_number":36,"box":{"x":438,"y":775,"width":187,"height":10}},{"id":"177dc084-e0e9-4c98-9363-83a27cbbf646","block_type":"box","text":"7.54% Investor A Shares","page_number":36,"box":{"x":685,"y":760,"width":217,"height":9}},{"id":"c4b1bd4d-9f73-470b-b4c6-e03209c7c636","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":36,"box":{"x":70,"y":798,"width":522,"height":11}},{"id":"38611692-ea28-432f-af39-006d81595466","block_type":"box","text":"12","page_number":36,"box":{"x":501,"y":813,"width":17,"height":8}},{"id":"4c6c28e8-e43a-4ee6-ac25-558894f6c9b9","block_type":"box","text":"th","page_number":36,"box":{"x":519,"y":813,"width":7,"height":4}},{"id":"2762660f-1923-4d2c-974c-261f4013225f","block_type":"box","text":"Floor","page_number":36,"box":{"x":530,"y":813,"width":33,"height":9}},{"id":"6055671d-4b56-4b98-a601-df96e55bf282","block_type":"box","text":"New York, NY 10004-1901","page_number":36,"box":{"x":437,"y":828,"width":189,"height":10}},{"id":"9ca18441-4424-4737-9cf7-7f6cc3877332","block_type":"box","text":"7.50% Investor A Shares","page_number":36,"box":{"x":685,"y":798,"width":217,"height":8}},{"id":"93538bf3-5bed-4973-b996-8fa411ffbbad","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":850,"width":521,"height":12}},{"id":"6dc49dd2-4666-4532-b2c0-0b408db0adc8","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":433,"y":866,"width":197,"height":11}},{"id":"5c171223-1138-45f4-ab71-a5be4d52113c","block_type":"box","text":"6.56% Investor A Shares","page_number":36,"box":{"x":685,"y":850,"width":217,"height":9}},{"id":"0902ea09-0481-40bd-8f49-1a1714b20faf","block_type":"box","text":"Raymond James 880 Carillon Parkway","page_number":36,"box":{"x":70,"y":888,"width":537,"height":11}},{"id":"c225cd91-4784-4d0c-b596-b7e6d8d32078","block_type":"box","text":"St Petersburg, FL 33716-1102","page_number":36,"box":{"x":422,"y":903,"width":218,"height":12}},{"id":"718589ab-4901-4cff-890a-adca8234d95c","block_type":"box","text":"6.21% Investor A Shares","page_number":36,"box":{"x":685,"y":888,"width":217,"height":9}},{"id":"d984c85a-96aa-4df1-9d43-071aee4818d9","block_type":"box","text":"I-27","page_number":36,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"8e0a212d-8e2a-4373-a032-f262854e6bb6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":36,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ce13d798-9b21-4be3-a59a-9c01f885c853","block_type":"box","text":"Name Address Percentage Class","page_number":37,"box":{"x":69,"y":49,"width":786,"height":9}},{"id":"a3664d00-74fb-449f-835e-254ab2521219","block_type":"box","text":"Raymond James 880 Carillon Parkway","page_number":37,"box":{"x":70,"y":67,"width":537,"height":11}},{"id":"481cff63-85cf-4011-910d-43b18a30a508","block_type":"box","text":"St Petersburg, FL 33716-1102","page_number":37,"box":{"x":422,"y":82,"width":218,"height":11}},{"id":"b62c2fc6-f100-42c8-a182-9e04a01f0025","block_type":"box","text":"24.70% Investor C Shares","page_number":37,"box":{"x":680,"y":67,"width":223,"height":9}},{"id":"8620ca6d-255a-42a6-a8a2-842940b26541","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":37,"box":{"x":70,"y":105,"width":522,"height":11}},{"id":"ece1699a-c92f-4af8-aff0-88069f9800f2","block_type":"box","text":"12","page_number":37,"box":{"x":501,"y":120,"width":17,"height":8}},{"id":"dbb4f5b3-0df0-4bf8-a5d4-8a3a53faf33a","block_type":"box","text":"th","page_number":37,"box":{"x":519,"y":120,"width":7,"height":4}},{"id":"d88b3436-25bc-45b7-a72a-c1dc4f53830b","block_type":"box","text":"Floor","page_number":37,"box":{"x":530,"y":120,"width":33,"height":9}},{"id":"3d7aeef4-3db1-431c-9bfd-1ede6e3167ee","block_type":"box","text":"New York, NY 10004-1901","page_number":37,"box":{"x":437,"y":135,"width":189,"height":10}},{"id":"4863ba5f-a972-418e-be3e-29d5ceda9ccc","block_type":"box","text":"15.43% Investor C Shares","page_number":37,"box":{"x":681,"y":105,"width":222,"height":8}},{"id":"8524aeec-04dc-4856-9214-ca4ab7c96128","block_type":"box","text":"American Enterprise Investment SVC 707 2","page_number":37,"box":{"x":68,"y":158,"width":429,"height":10}},{"id":"db20e9c5-2270-4de3-a457-6604eabd2084","block_type":"box","text":"nd","page_number":37,"box":{"x":498,"y":158,"width":8,"height":4}},{"id":"67a02d47-2b54-45ce-bef9-1a72deb5e4aa","block_type":"box","text":"Avenue South","page_number":37,"box":{"x":512,"y":158,"width":96,"height":8}},{"id":"465035a0-9f98-4929-a4e2-8eef7d51bc5f","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":37,"box":{"x":424,"y":173,"width":215,"height":10}},{"id":"1c7b3b16-9ffc-4795-ac9d-e9cee05b5919","block_type":"box","text":"13.04% Investor C Shares","page_number":37,"box":{"x":681,"y":158,"width":222,"height":8}},{"id":"6d48de67-e2c2-46a1-ae5a-a791354d6c09","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":37,"box":{"x":69,"y":195,"width":521,"height":11}},{"id":"97a7240b-554f-4ab9-91af-f296403c8f1c","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":37,"box":{"x":433,"y":210,"width":197,"height":11}},{"id":"c2d2a6d0-d793-4872-9a79-a567b37e3861","block_type":"box","text":"8.85% Investor C Shares","page_number":37,"box":{"x":685,"y":195,"width":218,"height":9}},{"id":"d984538a-1f1c-4158-875c-6f1ac73aead3","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":37,"box":{"x":70,"y":233,"width":537,"height":9}},{"id":"d0c0ada6-fa19-4043-9095-b59c02628517","block_type":"box","text":"San Diego, CA 92121-3091","page_number":37,"box":{"x":433,"y":248,"width":197,"height":11}},{"id":"a56a6f25-9f8e-4eda-85dd-b090db47d2b7","block_type":"box","text":"8.77% Investor C Shares","page_number":37,"box":{"x":685,"y":233,"width":218,"height":9}},{"id":"1b5bfdba-4bb9-47b2-b5c6-7ca0f42928c5","block_type":"box","text":"Charles Schwab & Co. Inc. 211 Main Street","page_number":37,"box":{"x":69,"y":271,"width":521,"height":9}},{"id":"d3dfde00-d14a-4ebf-aa27-3f5d03f788b4","block_type":"box","text":"San Francisco, CA 94105","page_number":37,"box":{"x":441,"y":286,"width":181,"height":10}},{"id":"6ab4d441-521c-4f53-a62e-dbc39a40e30b","block_type":"box","text":"7.99% Investor C Shares","page_number":37,"box":{"x":685,"y":271,"width":218,"height":9}},{"id":"9185878c-bd21-48f8-8a73-a993af8aa9c4","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":37,"box":{"x":70,"y":309,"width":557,"height":11}},{"id":"8b14993b-d542-4d8c-8207-98bb06bc19df","block_type":"box","text":"5","page_number":37,"box":{"x":504,"y":324,"width":8,"height":9}},{"id":"405df169-dd66-48d2-ad1b-b49546854b5f","block_type":"box","text":"th","page_number":37,"box":{"x":513,"y":324,"width":7,"height":5}},{"id":"c725b9d2-77ef-4598-88d1-f75ab17d3f48","block_type":"box","text":"Floor","page_number":37,"box":{"x":526,"y":324,"width":34,"height":9}},{"id":"8e72c97b-4e76-4ea7-bd10-bb036a4f3143","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":37,"box":{"x":433,"y":339,"width":197,"height":11}},{"id":"f572f293-c7d9-4a3a-9feb-6981f6f70128","block_type":"box","text":"7.39% Investor C Shares","page_number":37,"box":{"x":685,"y":309,"width":218,"height":9}},{"id":"009da67c-c215-4832-a8bc-ee601c78ae53","block_type":"box","text":"RBC Capital Markets LLC 250 Nicollet Mall","page_number":37,"box":{"x":70,"y":362,"width":521,"height":10}},{"id":"b18225dd-c15e-4d24-a4e5-65fde756c06e","block_type":"box","text":"Suite 1400","page_number":37,"box":{"x":492,"y":377,"width":79,"height":9}},{"id":"b692461a-15dd-4462-9a43-cedd470dcc88","block_type":"box","text":"Minneapolis, MN 55401-1931","page_number":37,"box":{"x":424,"y":392,"width":215,"height":11}},{"id":"cefab428-4e4a-4070-a20a-7b39265e32d3","block_type":"box","text":"5.85% Investor C Shares","page_number":37,"box":{"x":685,"y":362,"width":218,"height":8}},{"id":"581fdc02-1510-426c-9b86-b88245ab234b","block_type":"box","text":"The Northern Trust PO Box 92994","page_number":37,"box":{"x":68,"y":415,"width":515,"height":8}},{"id":"ec3e9932-4892-4618-82e7-009b9114a895","block_type":"box","text":"Chicago, IL 60604","page_number":37,"box":{"x":466,"y":430,"width":131,"height":11}},{"id":"46608073-2e5d-472f-ab72-354bad0ac52b","block_type":"box","text":"23.33% Class K Shares","page_number":37,"box":{"x":680,"y":415,"width":214,"height":8}},{"id":"126f6c38-626d-4981-b6cc-8d9337345a51","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":37,"box":{"x":70,"y":452,"width":550,"height":9}},{"id":"3ffcd56f-ad71-4a31-9ff9-ddd40e7c971b","block_type":"box","text":"St Louis, MO 63131-3710","page_number":37,"box":{"x":438,"y":467,"width":187,"height":11}},{"id":"f708947e-af3f-4fcc-80c9-b4cb3cbe174a","block_type":"box","text":"22.12% Class K Shares","page_number":37,"box":{"x":680,"y":452,"width":214,"height":9}},{"id":"3dc74586-04bc-42f0-ba94-f867f832ceb8","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":37,"box":{"x":70,"y":490,"width":557,"height":11}},{"id":"d6ccbd44-99e0-4aa7-a373-b4817bde7fb5","block_type":"box","text":"Jersey City, NJ 07310","page_number":37,"box":{"x":454,"y":505,"width":155,"height":11}},{"id":"6025b7e6-167c-4d20-964b-d95e8eaad78d","block_type":"box","text":"20.44% Class K Shares","page_number":37,"box":{"x":680,"y":490,"width":214,"height":9}},{"id":"0123a84e-014a-4890-98db-6e1abea86f03","block_type":"box","text":"DCGT as Trustee and/or Custodian 777 High Street","page_number":37,"box":{"x":70,"y":528,"width":518,"height":11}},{"id":"52daedd4-4dbd-4f8d-ab88-0d2fb6269628","block_type":"box","text":"Des Moines, IA 50392","page_number":37,"box":{"x":452,"y":543,"width":160,"height":10}},{"id":"5967836d-47ac-4395-9ed8-ec2ba0893a52","block_type":"box","text":"12.87% Class K Shares","page_number":37,"box":{"x":681,"y":528,"width":213,"height":9}},{"id":"96508dda-4c58-48d7-9556-274bdbd78696","block_type":"box","text":"American Enterprise Investment SVC 707 2","page_number":37,"box":{"x":68,"y":566,"width":429,"height":11}},{"id":"4203fcb0-8729-4fa6-849a-be0e58061d99","block_type":"box","text":"nd","page_number":37,"box":{"x":498,"y":566,"width":8,"height":4}},{"id":"e40a8ca2-cd2b-4a94-b10d-3078153b9cd8","block_type":"box","text":"Avenue South","page_number":37,"box":{"x":512,"y":566,"width":96,"height":9}},{"id":"568c07c4-7da8-4001-ab8a-d658e7781105","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":37,"box":{"x":424,"y":581,"width":215,"height":11}},{"id":"8c1d39a5-d1b9-43bf-9a1f-f1429bca5aa3","block_type":"box","text":"27.12% Institutional Shares","page_number":37,"box":{"x":680,"y":566,"width":229,"height":9}},{"id":"a6afcd00-db9c-48b6-9ef6-2e20dd14d5cc","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":37,"box":{"x":70,"y":603,"width":557,"height":12}},{"id":"9e840f99-e7d2-41bb-b563-d98ba3fa7e4f","block_type":"box","text":"Jersey City, NJ 07310","page_number":37,"box":{"x":454,"y":619,"width":155,"height":11}},{"id":"4f2d6653-bc6c-4975-8668-fb1f989221f5","block_type":"box","text":"13.62% Institutional Shares","page_number":37,"box":{"x":681,"y":603,"width":228,"height":9}},{"id":"54ec319a-15fe-457e-9bf4-1c5c51dd09a3","block_type":"box","text":"Charles Schwab & Co. Inc. 101 Montgomery Street","page_number":37,"box":{"x":69,"y":664,"width":548,"height":11}},{"id":"00857180-db61-4432-b517-d8f3065ded2e","block_type":"box","text":"San Francisco, CA 94104-4122","page_number":37,"box":{"x":419,"y":679,"width":224,"height":10}},{"id":"f8c76fc2-8a33-4470-9bba-6ace862e3773","block_type":"box","text":"12.74% Institutional Shares","page_number":37,"box":{"x":681,"y":664,"width":228,"height":9}},{"id":"f3c36d4c-e513-48f3-aea7-7f344bab189e","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":37,"box":{"x":69,"y":702,"width":521,"height":11}},{"id":"a2a71265-6b40-4fe5-93be-1606db8dacc6","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":37,"box":{"x":433,"y":717,"width":197,"height":11}},{"id":"d922b537-2dcb-4124-80da-7b59aabe58d7","block_type":"box","text":"11.72% Institutional Shares","page_number":37,"box":{"x":681,"y":702,"width":228,"height":9}},{"id":"0f47b704-021c-468d-8815-28ffd30a119e","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":37,"box":{"x":70,"y":740,"width":537,"height":8}},{"id":"c652f7e0-a3c9-427c-8c70-0d0b5cdb8c9b","block_type":"box","text":"San Diego, CA 92121-3091","page_number":37,"box":{"x":433,"y":755,"width":197,"height":11}},{"id":"41938469-101d-43f6-b993-9ba4cb4d65dd","block_type":"box","text":"10.40% Institutional Shares","page_number":37,"box":{"x":681,"y":740,"width":228,"height":8}},{"id":"104174a3-d15e-4fc9-a03e-425b54dc1d9a","block_type":"box","text":"Morgan Stanley Smith Barney LLC 1 New York Plaza","page_number":37,"box":{"x":70,"y":777,"width":522,"height":12}},{"id":"9752c6aa-4687-4173-aa79-9f6f783b2a34","block_type":"box","text":"12","page_number":37,"box":{"x":501,"y":792,"width":17,"height":9}},{"id":"125dc7fd-4443-4c2a-8ebf-49c1fd4e4707","block_type":"box","text":"th","page_number":37,"box":{"x":519,"y":793,"width":7,"height":4}},{"id":"db45d0a4-8159-4519-b291-db352d62df9d","block_type":"box","text":"Floor","page_number":37,"box":{"x":530,"y":793,"width":33,"height":8}},{"id":"77c90586-fd29-458b-8ca9-1aa375ad0897","block_type":"box","text":"New York, NY 10004-1901","page_number":37,"box":{"x":437,"y":808,"width":189,"height":10}},{"id":"430862c8-6f73-4c2b-a070-cd5ab2d14ddf","block_type":"box","text":"9.25% Institutional Shares","page_number":37,"box":{"x":685,"y":777,"width":224,"height":9}},{"id":"7e298d4b-7bc2-4bee-95f8-09b48330f9d6","block_type":"box","text":"IX. Financial Statements","page_number":37,"box":{"x":69,"y":839,"width":179,"height":9}},{"id":"802905c3-e675-4574-881a-5eb360a24cb0","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":862,"width":726,"height":11}},{"id":"a9600f12-c23d-42f9-b784-8aeb8e8f44ef","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":877,"width":829,"height":11}},{"id":"d23839b4-e4bb-43a4-a184-a5037125a046","block_type":"box","text":"(the “2026 Annual Financial Statements”), are incorporated in this SAI by reference. No other parts of the 2026","page_number":37,"box":{"x":69,"y":892,"width":800,"height":11}},{"id":"eb6201af-add5-43c7-a870-5faf65437856","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":907,"width":833,"height":11}},{"id":"276d6065-6ada-49ed-8fdb-875e87685b27","block_type":"box","text":"I-28","page_number":37,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"00b92f89-18b3-4356-9cf2-4953393c70d6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":37,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4f5c86ec-695d-493f-a5fd-b740c9d39670","block_type":"box","text":"audited by Deloitte & Touche LLP. The report of Deloitte & Touche LLP is incorporated herein by reference. Such 2026","page_number":38,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"e7d365e4-5dac-4746-b7be-38ce8c409fb0","block_type":"box","text":"Annual Financial Statements have been incorporated herein in reliance upon the report of such firm given their","page_number":38,"box":{"x":68,"y":60,"width":790,"height":11}},{"id":"b77ae2ff-6d16-4743-835b-fb88349a6b43","block_type":"box","text":"authority as experts in accounting and auditing. Additional copies of the Fund’s annual and semi-annual reports to","page_number":38,"box":{"x":69,"y":75,"width":815,"height":11}},{"id":"c468881a-5310-48fd-8023-b296ee6b47b6","block_type":"box","text":"shareholders and the Fund’s Annual and Semi-Annual Financial Statements and Additional Information may be","page_number":38,"box":{"x":69,"y":90,"width":785,"height":11}},{"id":"efd8db69-2431-4dcf-b8db-4c625b138cab","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":38,"box":{"x":69,"y":105,"width":836,"height":11}},{"id":"8f955ced-82b1-4599-ad66-295e35be829e","block_type":"box","text":"I-29","page_number":38,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"639c129a-efcf-43c1-a359-451b91a91e1b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":38,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"da018f86-9cd9-45c8-8b1b-04f291d3fb7a","block_type":"box","text":"PART II","page_number":39,"box":{"x":463,"y":45,"width":52,"height":9}},{"id":"d189a46f-b212-4f0d-bef1-f4b7f210f2fb","block_type":"box","text":"Throughout this Statement of Additional Information (“SAI”), each BlackRock-advised fund may be referred to as","page_number":39,"box":{"x":101,"y":67,"width":799,"height":12}},{"id":"ef4fd946-ec75-47d0-8e41-792a40303673","block_type":"box","text":"a “Fund” or collectively with others as the “Funds.” Certain Funds may also be referred to as “Municipal Funds” if","page_number":39,"box":{"x":69,"y":82,"width":813,"height":12}},{"id":"da73231b-3265-4a0a-a0be-4e08a43362ed","block_type":"box","text":"they invest certain of their assets in municipal investments described below.","page_number":39,"box":{"x":68,"y":98,"width":546,"height":11}},{"id":"56d6e8d5-302a-43e5-8d01-10e2f559be65","block_type":"box","text":"Each Fund is organized either as a Maryland corporation, a Massachusetts business trust or a Delaware","page_number":39,"box":{"x":102,"y":120,"width":745,"height":12}},{"id":"aaaef02a-c7d4-46eb-b851-9dad607db163","block_type":"box","text":"statutory trust. In each jurisdiction, nomenclature varies. For ease and clarity of presentation, shares of common","page_number":39,"box":{"x":69,"y":135,"width":805,"height":11}},{"id":"0f10b958-e192-4922-b936-0ed845a41f7b","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":39,"box":{"x":69,"y":150,"width":824,"height":11}},{"id":"d158aa69-3f5f-42c1-ac32-943dd804a4fd","block_type":"box","text":"Common Stock are referred to as “shareholders,” the trustees or directors of each Fund are referred to as","page_number":39,"box":{"x":69,"y":166,"width":761,"height":10}},{"id":"076ea4af-73cf-425b-8e4e-3163706e2a38","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":39,"box":{"x":70,"y":181,"width":835,"height":11}},{"id":"353d30e9-ac1e-4e23-9464-18fadb87e06e","block_type":"box","text":"BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates is the investment adviser or manager","page_number":39,"box":{"x":70,"y":196,"width":832,"height":11}},{"id":"89ce5294-c139-4012-a28c-857c233871a0","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":39,"box":{"x":69,"y":211,"width":826,"height":11}},{"id":"09633e3f-83c7-49bc-af79-c42bbbee6993","block_type":"box","text":"management agreement applicable to each Fund is referred to as the “Management Agreement.” Each Fund’s","page_number":39,"box":{"x":69,"y":226,"width":786,"height":11}},{"id":"c189c0d9-6fda-4b48-b70d-e21808ae1f90","block_type":"box","text":"Articles of Incorporation or Declaration of Trust, together with all amendments thereto, is referred to as its “charter.”","page_number":39,"box":{"x":68,"y":241,"width":834,"height":11}},{"id":"6d1e37e1-0464-47a6-bddc-44c3f9c77b72","block_type":"box","text":"The Investment Company Act of 1940, as amended, is referred to herein as the “Investment Company Act.” The","page_number":39,"box":{"x":68,"y":256,"width":801,"height":11}},{"id":"a42b4dd8-5f61-449c-aa52-a34c55827210","block_type":"box","text":"Securities Act of 1933, as amended, is referred to herein as the “Securities Act.” The Securities and Exchange","page_number":39,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"e3ff83bf-f0cb-433e-976f-4d060f78ec2f","block_type":"box","text":"Commission is referred to herein as the “Commission” or the “SEC.”","page_number":39,"box":{"x":69,"y":286,"width":492,"height":10}},{"id":"535ea2d4-6ea5-4922-8e30-27d6fede4a17","block_type":"box","text":"Certain Funds are “feeder” funds (each, a “Feeder Fund”) that invest all or a portion of their assets in a","page_number":39,"box":{"x":102,"y":309,"width":741,"height":11}},{"id":"c40dd813-cd4f-49de-9588-b1627f76ebd9","block_type":"box","text":"corresponding “master” portfolio (each, a “Master Portfolio”) of a master limited liability company (each, a “Master","page_number":39,"box":{"x":69,"y":324,"width":824,"height":12}},{"id":"329b58e8-07c2-4924-8a53-5dd995e30500","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":39,"box":{"x":70,"y":339,"width":814,"height":12}},{"id":"bd4523d5-fa4d-4d66-9ca5-50fc6724d3c8","block_type":"box","text":"made at the level of the Master Portfolio. This structure is sometimes called a “master/feeder” structure. A Feeder","page_number":39,"box":{"x":69,"y":355,"width":825,"height":11}},{"id":"2ccd69e2-675b-4357-8e7b-242a7d62f6f5","block_type":"box","text":"Fund’s investment results will correspond directly to the investment results of the underlying Master Portfolio in","page_number":39,"box":{"x":70,"y":370,"width":795,"height":11}},{"id":"3071cce1-78bb-43a0-ada1-585aaae4731c","block_type":"box","text":"which it invests. For simplicity, this SAI uses the term “Fund” to include both a Feeder Fund and its Master Portfolio.","page_number":39,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"0027a2e6-ebd2-445e-b15e-fd31762e13f1","block_type":"box","text":"In addition to containing information about the Funds, Part II of this SAI contains general information about all","page_number":39,"box":{"x":102,"y":407,"width":783,"height":12}},{"id":"0084814a-f838-4237-8b4e-8ea63338b5ce","block_type":"box","text":"funds in the BlackRock-advised fund complex. Certain information contained herein may not be relevant to a","page_number":39,"box":{"x":68,"y":423,"width":772,"height":11}},{"id":"8e915e85-52eb-402b-9417-b6b19e32be0b","block_type":"box","text":"particular Fund.","page_number":39,"box":{"x":70,"y":438,"width":109,"height":11}},{"id":"97335dc8-f8fe-4002-81f4-50e9dffd5cc7","block_type":"box","text":"INVESTMENT RISKS AND CONSIDERATIONS","page_number":39,"box":{"x":314,"y":467,"width":351,"height":10}},{"id":"7a91413e-5b19-4240-99fd-36ddd6e73c9c","block_type":"box","text":"Set forth below are descriptions of some of the types of investments and investment strategies that one or more","page_number":39,"box":{"x":102,"y":490,"width":805,"height":11}},{"id":"35420799-0523-405a-a716-eb9b4d6c2351","block_type":"box","text":"of the Funds may use, and the risks and considerations associated with those investments and investment","page_number":39,"box":{"x":69,"y":505,"width":765,"height":11}},{"id":"575e6f19-d91a-4144-bd91-97b678356f94","block_type":"box","text":"strategies. Please see each Fund’s prospectuses (the “Prospectus”) and the “Investment Objective and Policies,”","page_number":39,"box":{"x":69,"y":520,"width":811,"height":12}},{"id":"8c05b371-1e94-44ad-8d70-a3c5a9ca374c","block_type":"box","text":"“Investment Objectives and Policies” or “Investment Strategies and Risks of the Fund” section, as applicable, of Part","page_number":39,"box":{"x":70,"y":535,"width":837,"height":12}},{"id":"582266e3-536d-4bb0-941e-76d9e597e238","block_type":"box","text":"I of this SAI for further information on each Fund’s investment policies and risks. Information contained in this","page_number":39,"box":{"x":70,"y":550,"width":785,"height":11}},{"id":"fea705d8-e59c-4fd2-a81a-3ff4a151f16f","block_type":"box","text":"section about the risks and considerations associated with a Fund’s investments and/or investment strategies","page_number":39,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"5e0870da-24ea-44b4-9898-4e8e419099bc","block_type":"box","text":"applies only to those Funds specifically identified in Part I of this SAI as making each type of investment or using","page_number":39,"box":{"x":69,"y":581,"width":805,"height":11}},{"id":"4ba54528-aa96-428a-9d7c-0b76214c9af8","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":39,"box":{"x":69,"y":596,"width":835,"height":11}},{"id":"2914ad8f-1e9c-4030-b3b9-97e39cfd666a","block_type":"box","text":"a part of that Covered Fund’s SAI and should not be relied on by investors in that Covered Fund. Only information that","page_number":39,"box":{"x":69,"y":611,"width":840,"height":11}},{"id":"8f7d301d-af2a-4c84-b6df-0c2ba8116c45","block_type":"box","text":"is clearly identified as applicable to a Covered Fund is considered to form a part of that Covered Fund’s SAI.","page_number":39,"box":{"x":70,"y":626,"width":770,"height":11}},{"id":"bf283f33-ff0a-4999-8b2b-3bb5031d8b0d","block_type":"box","text":"Asset-Backed Securities.","page_number":39,"box":{"x":101,"y":649,"width":183,"height":9}},{"id":"6e3c349f-eef4-40f8-a55c-a2313b2f7b4f","block_type":"box","text":"Asset-backed securities are securities backed by home equity loans, installment sale","page_number":39,"box":{"x":290,"y":649,"width":607,"height":11}},{"id":"ab59cafc-ffea-4b59-98a4-920260d54fde","block_type":"box","text":"contracts, credit card receivables or other assets. Asset-backed securities are “pass-through” securities, meaning","page_number":39,"box":{"x":69,"y":664,"width":814,"height":11}},{"id":"e4502029-97f4-408d-8b69-1a9f29cdf62e","block_type":"box","text":"that principal and interest payments — net of expenses — made by the borrower on the underlying assets (such as","page_number":39,"box":{"x":68,"y":679,"width":825,"height":11}},{"id":"19bd3f27-64fc-4062-a9fe-5b8f373d74a8","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":39,"box":{"x":69,"y":694,"width":813,"height":11}},{"id":"55088491-ff60-4389-b6cd-d6ab879eb3ca","block_type":"box","text":"fixed-income securities, typically increases when interest rates fall and decreases when interest rates rise. However,","page_number":39,"box":{"x":68,"y":709,"width":830,"height":11}},{"id":"ce60012d-a432-4cb2-adaf-fe844749ed02","block_type":"box","text":"asset-backed securities differ from traditional fixed-income securities because of their potential for prepayment. The","page_number":39,"box":{"x":69,"y":724,"width":827,"height":11}},{"id":"b9d71849-8059-4269-8c5c-01c28e0091e8","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":39,"box":{"x":70,"y":739,"width":813,"height":12}},{"id":"02a52b2c-5eef-43f9-8578-34dee00fa040","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":39,"box":{"x":68,"y":755,"width":818,"height":11}},{"id":"54140c96-ac90-4f39-afa2-cc26479c6931","block_type":"box","text":"the underlying assets. In a period of declining interest rates, borrowers may prepay the underlying assets more","page_number":39,"box":{"x":68,"y":770,"width":792,"height":11}},{"id":"0f7da223-d1d1-44fb-a69e-e54184d3e70d","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the asset-backed securities.","page_number":39,"box":{"x":69,"y":785,"width":811,"height":11}},{"id":"3a1ad1f2-1eb5-4b50-9305-fa6db4cf54fa","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":39,"box":{"x":70,"y":800,"width":832,"height":11}},{"id":"20fd08eb-fdf2-420a-9c88-96091c384ce0","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":39,"box":{"x":70,"y":815,"width":792,"height":11}},{"id":"95f913ea-060c-44f2-8949-0b1669681a38","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":39,"box":{"x":69,"y":830,"width":825,"height":11}},{"id":"1780f67f-e360-4add-a3f5-a24fa98ef0b4","block_type":"box","text":"such securities at a discount, both scheduled payments and unscheduled prepayments will increase current and total","page_number":39,"box":{"x":69,"y":846,"width":838,"height":10}},{"id":"5145f399-3b8b-4e62-b730-1c4c7fed7eed","block_type":"box","text":"returns and unscheduled prepayments will also accelerate the recognition of income which, when distributed to","page_number":39,"box":{"x":69,"y":860,"width":793,"height":12}},{"id":"d308b748-10e0-46a9-83e9-c5d89bfc8fc4","block_type":"box","text":"shareholders, will be taxable as ordinary income. In a period of rising interest rates, prepayments of the underlying","page_number":39,"box":{"x":69,"y":875,"width":819,"height":12}},{"id":"0f635aec-3acf-4659-b490-e6ab64f46821","block_type":"box","text":"assets may occur at a slower than expected rate, creating maturity extension risk. This particular risk may effectively","page_number":39,"box":{"x":69,"y":891,"width":834,"height":11}},{"id":"135bc526-78b0-4230-863a-25df7dde734c","block_type":"box","text":"change a security that was considered short- or intermediate-term at the time of purchase into a longer term security.","page_number":39,"box":{"x":69,"y":906,"width":837,"height":11}},{"id":"bb60455e-ef6e-4e58-9468-115dd94a6833","block_type":"box","text":"II-1","page_number":39,"box":{"x":478,"y":943,"width":23,"height":9}},{"id":"1df2d605-6ab4-43aa-afa0-4c83347277ec","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":39,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"95e7eff9-7f81-470d-9ea5-e8bc027d31db","block_type":"box","text":"Since the value of longer-term securities generally fluctuates more widely in response to changes in interest rates","page_number":40,"box":{"x":69,"y":45,"width":810,"height":11}},{"id":"25b57ae6-7857-4f5a-b4c1-25ec500f97db","block_type":"box","text":"than does the value of shorter-term securities, maturity extension risk could increase the volatility of the Fund. When","page_number":40,"box":{"x":68,"y":60,"width":833,"height":11}},{"id":"ebbf6d5c-0337-453b-a77e-db9339af1cac","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":40,"box":{"x":70,"y":75,"width":827,"height":11}},{"id":"416e84cb-b4db-46f5-87c1-a054fdbb352d","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":40,"box":{"x":68,"y":90,"width":805,"height":11}},{"id":"2a59e078-4959-4199-a88e-5af264fc8d53","block_type":"box","text":"retard prepayments and thus affect maturities.","page_number":40,"box":{"x":69,"y":105,"width":333,"height":11}},{"id":"1d9a7eb8-fdf3-4c3b-bfbd-e565485673de","block_type":"box","text":"Asset-Based Securities.","page_number":40,"box":{"x":101,"y":128,"width":173,"height":9}},{"id":"120e382c-6af8-47ed-9b8e-bce424682cfc","block_type":"box","text":"Certain Funds may invest in debt, preferred or convertible securities, the principal","page_number":40,"box":{"x":281,"y":128,"width":582,"height":11}},{"id":"95c4a090-ac8b-478d-b8c3-44e193040243","block_type":"box","text":"amount, redemption terms or conversion terms of which are related to the market price of some natural resource","page_number":40,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"04ea05e3-1fc0-4e1a-83ec-f233c9b39ffd","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":40,"box":{"x":69,"y":158,"width":815,"height":11}},{"id":"7dfb8007-9f64-44af-856f-95814eee42ac","block_type":"box","text":"asset-based securities that are rated, or are issued by issuers that have outstanding debt obligations rated,","page_number":40,"box":{"x":69,"y":173,"width":769,"height":11}},{"id":"d0ae5b7a-b512-44c9-b1af-299d7e93c1d1","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":40,"box":{"x":70,"y":188,"width":833,"height":12}},{"id":"1422c907-a1da-48e1-80aa-754875e0e4ca","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":40,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"455250ef-6944-4d03-94da-5432997ee218","block_type":"box","text":"issuers that the Manager has determined to be of similar creditworthiness. Obligations ranked in the fourth highest","page_number":40,"box":{"x":70,"y":218,"width":824,"height":12}},{"id":"76ad0a42-9974-4af4-9482-aad4d93c39d5","block_type":"box","text":"rating category, while considered “investment grade,” may have certain speculative characteristics and may be more","page_number":40,"box":{"x":69,"y":234,"width":832,"height":11}},{"id":"8748e52f-e023-4631-8c89-04a8ee22d638","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":40,"box":{"x":70,"y":249,"width":797,"height":11}},{"id":"b2089fb2-3d0c-4749-ba60-e3c26424c36f","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":40,"box":{"x":69,"y":264,"width":768,"height":11}},{"id":"33091f18-ae13-44a1-927b-6063357c16f8","block_type":"box","text":"determining the creditworthiness of the issuer. While the market prices for an asset-based security and the related","page_number":40,"box":{"x":69,"y":279,"width":819,"height":11}},{"id":"71189c08-35a3-4785-89e2-66cb2665bc1d","block_type":"box","text":"natural resource asset generally are expected to move in the same direction, there may not be perfect correlation in","page_number":40,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"aad12bb6-152f-41d2-8069-356863d7e545","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":40,"box":{"x":68,"y":309,"width":780,"height":11}},{"id":"996caad4-a102-4d53-b09f-87234767535b","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":40,"box":{"x":69,"y":325,"width":815,"height":11}},{"id":"c7cf1d32-b022-44e3-84d4-0f65fdcaf948","block_type":"box","text":"preferred dividends at below market (or even relatively nominal) rates. Certain asset-based securities may be payable","page_number":40,"box":{"x":70,"y":339,"width":837,"height":12}},{"id":"351e61d3-a0ea-4b85-aa22-b1adefc59aff","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":40,"box":{"x":69,"y":355,"width":812,"height":11}},{"id":"fa5f02a9-b70a-4d70-93cd-3e2dbe88b075","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":40,"box":{"x":69,"y":370,"width":836,"height":11}},{"id":"254496f9-62da-4b1e-8ba4-4983e9ca12f3","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":40,"box":{"x":69,"y":385,"width":778,"height":11}},{"id":"37abd1b7-6a43-4d40-bc82-48cc2a12d2d4","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":40,"box":{"x":69,"y":400,"width":819,"height":11}},{"id":"d7e384d4-784f-4233-80b1-2bd040e368c3","block_type":"box","text":"appreciation in the underlying asset.","page_number":40,"box":{"x":69,"y":415,"width":258,"height":11}},{"id":"07467f8e-28fd-4464-9431-efb6229b7354","block_type":"box","text":"Precious Metal-Related Securities.","page_number":40,"box":{"x":102,"y":438,"width":243,"height":9}},{"id":"b45ae81f-9f61-4d73-a3c3-4a1ce47265a3","block_type":"box","text":"A Fund may invest in the equity and other securities of companies that","page_number":40,"box":{"x":351,"y":438,"width":503,"height":11}},{"id":"ff57560b-70f1-4c6d-b862-8e17faf02af0","block_type":"box","text":"explore for, extract, process or deal in precious metals (","page_number":40,"box":{"x":69,"y":453,"width":398,"height":11}},{"id":"211aab5e-ee31-4ad7-848a-ac6c9e905830","block_type":"box","text":"e.g.","page_number":40,"box":{"x":469,"y":454,"width":25,"height":10}},{"id":"24152fd4-9337-451a-b99d-0c3e7749d01a","block_type":"box","text":", gold, silver and platinum), and in asset-based securities","page_number":40,"box":{"x":497,"y":453,"width":407,"height":11}},{"id":"f2a61105-f7eb-4a6f-9415-21e60bcb3485","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":40,"box":{"x":70,"y":468,"width":801,"height":11}},{"id":"eddf6140-047d-4745-b626-6a6a461ed8d5","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":40,"box":{"x":70,"y":483,"width":815,"height":11}},{"id":"47623b05-5bf8-499b-a4c2-1f6cbac2ec54","block_type":"box","text":"are expected to benefit from inflationary pressure or other economic, political or financial uncertainty or instability.","page_number":40,"box":{"x":69,"y":498,"width":815,"height":11}},{"id":"f54b3750-4cce-4668-89c3-c3a411d5d5da","block_type":"box","text":"Based on historical experience, during periods of economic or financial instability the securities of companies","page_number":40,"box":{"x":70,"y":513,"width":779,"height":12}},{"id":"24feea61-1a11-4cdd-b916-2a33b0c15eb6","block_type":"box","text":"involved in precious metals may be subject to extreme price fluctuations, reflecting the high volatility of precious","page_number":40,"box":{"x":70,"y":528,"width":799,"height":12}},{"id":"b4b297fd-01f2-4c8d-bf19-edb253b58659","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":40,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"bb5e2e8e-7c87-4a16-9d5b-742b61a4905f","block_type":"box","text":"precious metal-related companies, which may, in turn, adversely affect the financial condition of such companies. The","page_number":40,"box":{"x":70,"y":559,"width":838,"height":11}},{"id":"58553b10-0eaf-4dd8-88a7-57f13e1934c2","block_type":"box","text":"major producers of gold include the Republic of South Africa, Russia, Canada, the United States, Brazil and Australia.","page_number":40,"box":{"x":69,"y":574,"width":835,"height":11}},{"id":"acbd5173-66c7-40dd-b4fb-54a7b45942f0","block_type":"box","text":"Sales of gold by Russia are largely unpredictable and often relate to political and economic considerations rather","page_number":40,"box":{"x":69,"y":589,"width":806,"height":11}},{"id":"e3012314-6075-4d66-9d8f-cb7f60a7bfc8","block_type":"box","text":"than to market forces. Economic, financial, social and political factors within South Africa may significantly affect","page_number":40,"box":{"x":68,"y":604,"width":805,"height":11}},{"id":"aa1c355b-8bec-42b8-a550-ff8071511ee3","block_type":"box","text":"South African gold production.","page_number":40,"box":{"x":69,"y":619,"width":213,"height":11}},{"id":"5933e735-7132-4134-a8b4-b80a33111162","block_type":"box","text":"Borrowing and Leverage.","page_number":40,"box":{"x":102,"y":642,"width":179,"height":11}},{"id":"9dda57b7-f8b2-4c87-a4fe-d0f4d9fc7d60","block_type":"box","text":"Each Fund may borrow as a temporary measure for extraordinary or emergency","page_number":40,"box":{"x":288,"y":642,"width":563,"height":11}},{"id":"298236c1-32cd-440f-a3cc-17ea68dd6aed","block_type":"box","text":"purposes, including to meet redemptions or to settle securities transactions. Certain Funds will not purchase","page_number":40,"box":{"x":70,"y":657,"width":777,"height":11}},{"id":"bc37c754-7011-4c1f-a944-7453ed8a45c2","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":40,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"f8ea2b7f-b40a-4637-b74c-a30e42e5ff27","block_type":"box","text":"(b) to exercise subscription rights when outstanding borrowings have been obtained exclusively for settlements of","page_number":40,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"bafa989a-ab1a-431e-91b8-b0338d3042f9","block_type":"box","text":"other securities transactions.","page_number":40,"box":{"x":69,"y":703,"width":207,"height":8}},{"id":"71b404ea-cf70-4def-9657-646b540b365b","block_type":"box","text":"Certain Funds may also borrow in order to make investments, to the extent disclosed in such Fund’s Prospectus.","page_number":40,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"111f38e3-e055-4332-a535-68787e9c3105","block_type":"box","text":"The purchase of securities while borrowings are outstanding will have the effect of leveraging the Fund. Such","page_number":40,"box":{"x":68,"y":740,"width":776,"height":11}},{"id":"f9edfdc6-0ddd-4f91-9d25-22eedb71e010","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":40,"box":{"x":70,"y":755,"width":813,"height":11}},{"id":"62c1d600-3d69-49ec-894f-c027c5d0698a","block_type":"box","text":"reduce net income. The use of leverage by a Fund creates an opportunity for greater total return, but, at the same","page_number":40,"box":{"x":69,"y":770,"width":813,"height":12}},{"id":"1bba2a06-5695-4f1f-8535-fb0cf7eb29b6","block_type":"box","text":"time, creates special risks. For example, leveraging may exaggerate changes in the net asset value (“NAV”) of Fund","page_number":40,"box":{"x":68,"y":785,"width":823,"height":12}},{"id":"b0a013e3-e47d-4fd4-b71c-b3b837381f72","block_type":"box","text":"shares and in the yield on the Fund’s portfolio. Although the principal of such borrowings will be fixed, the Fund’s","page_number":40,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"3ab9ed4a-142d-4c14-b698-430ecbc6bbd2","block_type":"box","text":"assets may change in value during the time the borrowings are outstanding. Borrowings will create interest expenses","page_number":40,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"7d90a55a-e147-4f23-98ae-044f91c016fb","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":40,"box":{"x":68,"y":831,"width":835,"height":11}},{"id":"2893d605-3c22-49ec-ae6f-8bf29ac8f2c8","block_type":"box","text":"capital appreciation derived from securities purchased with borrowed funds exceeds the interest the Fund will have to","page_number":40,"box":{"x":69,"y":846,"width":838,"height":11}},{"id":"e4b5488a-a9fc-43d7-961c-bcaebeb1785e","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":40,"box":{"x":70,"y":861,"width":835,"height":11}},{"id":"33d419f8-25f6-4f58-a46d-b97406fbe8e2","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":40,"box":{"x":69,"y":876,"width":825,"height":11}},{"id":"9d1a48ee-677e-4ded-ab91-3c1faaea3dc5","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":40,"box":{"x":69,"y":891,"width":837,"height":12}},{"id":"4a0cfc5d-3659-40d6-99ed-c0ba36c72d25","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":40,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"51bc1b0f-fc6c-4645-a8e9-39bf31443ce7","block_type":"box","text":"II-2","page_number":40,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"46461b36-977d-4141-843b-f6cd2fd7fa4a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":40,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"71fce2ca-96e3-4014-8984-9506fb5f2dc5","block_type":"box","text":"nevertheless may determine to maintain the Fund’s leveraged position if it expects that the benefits to the Fund’s","page_number":41,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"5321ebf3-3d43-41d2-87f2-b61358c62010","block_type":"box","text":"shareholders of maintaining the leveraged position will outweigh the current reduced return.","page_number":41,"box":{"x":69,"y":60,"width":653,"height":11}},{"id":"f9095e9c-921c-4f7d-ae8b-39a88c276023","block_type":"box","text":"Certain types of borrowings by a Fund may result in the Fund being subject to covenants in credit agreements","page_number":41,"box":{"x":102,"y":82,"width":780,"height":12}},{"id":"fe0ae7bf-3337-4104-aa21-cb241872a173","block_type":"box","text":"relating to asset coverage, portfolio composition requirements and other matters. It is not anticipated that","page_number":41,"box":{"x":69,"y":98,"width":759,"height":11}},{"id":"2fc5a90e-f16e-436a-b319-3da6119ca527","block_type":"box","text":"observance of such covenants would impede the Manager from managing a Fund’s portfolio in accordance with the","page_number":41,"box":{"x":69,"y":113,"width":822,"height":11}},{"id":"074336a4-e7bc-47c3-b7dc-f1dd064b7e61","block_type":"box","text":"Fund’s investment objectives and policies. However, a breach of any such covenants not cured within the specified","page_number":41,"box":{"x":70,"y":128,"width":816,"height":11}},{"id":"5e952ed0-22dd-49bd-a7dc-fb41232fc592","block_type":"box","text":"cure period may result in acceleration of outstanding indebtedness and require the Fund to dispose of portfolio","page_number":41,"box":{"x":69,"y":143,"width":792,"height":11}},{"id":"28012483-9d6a-4ed4-bc29-97a956d20ce9","block_type":"box","text":"investments at a time when it may be disadvantageous to do so.","page_number":41,"box":{"x":70,"y":158,"width":459,"height":11}},{"id":"29595bc3-be7e-46b6-95d1-b1dfbb1d1c22","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":41,"box":{"x":102,"y":181,"width":786,"height":11}},{"id":"afe0f6bf-59e1-4474-baad-d57fca959cb5","block_type":"box","text":"no less favorable than those available from comparable sources of funds in the marketplace.","page_number":41,"box":{"x":69,"y":196,"width":663,"height":11}},{"id":"36920a73-117b-4862-83b4-00e3ba0954f5","block_type":"box","text":"Cash Management.","page_number":41,"box":{"x":102,"y":219,"width":140,"height":11}},{"id":"972a7062-3a40-4db9-8529-8aa5e9d54758","block_type":"box","text":"Generally, the Manager will employ futures and options on futures to provide liquidity","page_number":41,"box":{"x":249,"y":218,"width":603,"height":12}},{"id":"01272ad4-d8a0-4c62-9ace-df734d326bdd","block_type":"box","text":"necessary to meet anticipated redemptions or for day-to-day operating purposes. However, if considered appropriate","page_number":41,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"f74dddd0-b4d5-480a-8e56-e33efc819063","block_type":"box","text":"in the opinion of the Manager, a portion of a Fund’s assets may be invested in certain types of instruments with","page_number":41,"box":{"x":70,"y":249,"width":799,"height":11}},{"id":"4abb2ca8-e7ad-4c81-a051-25a3b0216466","block_type":"box","text":"remaining maturities of 397 days or less for liquidity purposes. Such instruments would consist of: (i) obligations of","page_number":41,"box":{"x":69,"y":264,"width":826,"height":11}},{"id":"23ec9098-01b5-4887-a931-dbd0c3c3ee85","block_type":"box","text":"the U.S. Government, its agencies, instrumentalities, authorities or political subdivisions (“U.S. Government","page_number":41,"box":{"x":68,"y":279,"width":772,"height":11}},{"id":"e0c55d62-a59d-40d7-b7dc-b073f8970052","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":41,"box":{"x":69,"y":294,"width":823,"height":11}},{"id":"5617e58c-58da-4b8f-a9dc-f05581d5a887","block_type":"box","text":"comparable quality in the opinion of the Manager; (iii) commercial paper; (iv) bank obligations, including negotiable","page_number":41,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"ff1e4bf5-e80f-4d77-8b74-0da329c9f5e6","block_type":"box","text":"certificates of deposit, time deposits and bankers’ acceptances; and (v) repurchase agreements. At the time the","page_number":41,"box":{"x":69,"y":324,"width":804,"height":12}},{"id":"709dde0d-ebc5-4b04-aa79-d09e00c7f232","block_type":"box","text":"Fund invests in commercial paper, bank obligations or repurchase agreements, the issuer or the issuer’s parent must","page_number":41,"box":{"x":70,"y":340,"width":839,"height":11}},{"id":"fbb7992a-240f-40e8-b78c-e5b801e7002e","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":41,"box":{"x":69,"y":355,"width":824,"height":11}},{"id":"aa24d938-1c51-424b-92fb-5ac1e7550dd8","block_type":"box","text":"obligations or other short-term obligations rated Prime-1 by Moody’s or A-1 by S&P; or, if no such ratings are","page_number":41,"box":{"x":69,"y":370,"width":771,"height":11}},{"id":"384c7909-3720-4fb2-b59b-05a4b299a7ea","block_type":"box","text":"available, the instrument must be of comparable quality in the opinion of the Manager. For more information on","page_number":41,"box":{"x":69,"y":385,"width":793,"height":11}},{"id":"ba426d59-1d17-4d37-aa77-eed2150a06dc","block_type":"box","text":"money market instruments, see “Money Market Securities” below.","page_number":41,"box":{"x":69,"y":400,"width":472,"height":11}},{"id":"1eabd1d9-22b8-488e-8757-80c3f312994a","block_type":"box","text":"Collateralized Debt Obligations.","page_number":41,"box":{"x":102,"y":423,"width":229,"height":11}},{"id":"c4d2e73a-346e-4f8f-8ce8-e65d9eb2ad48","block_type":"box","text":"Certain Funds may invest in collateralized debt obligations (“CDOs”), which","page_number":41,"box":{"x":337,"y":423,"width":534,"height":11}},{"id":"7e74e853-b86d-484a-8a36-0bd7a238f3ad","block_type":"box","text":"include collateralized bond obligations (“CBOs”), collateralized loan obligations (“CLOs”) and other similarly","page_number":41,"box":{"x":70,"y":438,"width":764,"height":11}},{"id":"1bf54817-1494-446d-adec-fbba08f261ca","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":41,"box":{"x":69,"y":453,"width":787,"height":11}},{"id":"66293929-0620-4630-9bed-cfaf9e8f5d02","block_type":"box","text":"special purpose entity (“SPE”) and is typically backed by a diversified pool of fixed-income securities (which may","page_number":41,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"4f00b668-4e28-4b12-af5e-60b10015a955","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":41,"box":{"x":70,"y":483,"width":798,"height":11}},{"id":"19ec4e77-bc94-4056-ae07-d3d51b3fba18","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":41,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"216e0a0e-6c5f-41e9-bdc5-142e9ca902d9","block_type":"box","text":"senior secured loans, senior unsecured loans, and subordinate corporate loans, including loans that may be rated","page_number":41,"box":{"x":69,"y":514,"width":814,"height":11}},{"id":"734edaba-14ee-4de0-8c59-1b1132b07a7b","block_type":"box","text":"below investment grade or equivalent unrated loans, held by such issuer. Investments in a CLO organized outside of","page_number":41,"box":{"x":69,"y":528,"width":828,"height":12}},{"id":"af2c36dc-58bc-4646-8b27-a01a87a07d11","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":41,"box":{"x":68,"y":543,"width":782,"height":12}},{"id":"9e4e5ebe-b017-4ce3-9e05-b83e00895e50","block_type":"box","text":"substantial portion of which are U.S. loans. Although certain CDOs may benefit from credit enhancement in the form","page_number":41,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"db0f1064-1ce0-4a59-950d-22fbc72530b2","block_type":"box","text":"of a senior-subordinate structure, over-collateralization or bond insurance, such enhancement may not always be","page_number":41,"box":{"x":69,"y":574,"width":803,"height":11}},{"id":"34509aaa-1ee9-4b7a-a37f-066c50a26724","block_type":"box","text":"present, and may fail to protect a Fund against the risk of loss on default of the collateral. Certain CDO issuers may","page_number":41,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"83bbccf9-0a09-4811-b8fc-59d2be9a64ee","block_type":"box","text":"use derivatives contracts to create “synthetic” exposure to assets rather than holding such assets directly, which","page_number":41,"box":{"x":69,"y":604,"width":807,"height":11}},{"id":"9ed1849a-74f8-4906-b693-acb0569306a8","block_type":"box","text":"entails the risks of derivative instruments described elsewhere in this SAI. CDOs may charge management fees and","page_number":41,"box":{"x":69,"y":619,"width":826,"height":11}},{"id":"d2db61d3-3d06-4ef5-93b1-7bf74dfde242","block_type":"box","text":"administrative expenses, which are in addition to those of a Fund.","page_number":41,"box":{"x":69,"y":634,"width":469,"height":11}},{"id":"389a97f4-b42a-4142-8836-d7179c319c84","block_type":"box","text":"For both CBOs and CLOs, the cash flows from the SPE are split into two or more portions, called tranches,","page_number":41,"box":{"x":102,"y":657,"width":758,"height":11}},{"id":"1e1e39bd-28ba-4ce5-a247-1a34d2e77105","block_type":"box","text":"varying in risk and yield. The riskiest portion is the “equity” tranche, which bears the first loss from defaults from the","page_number":41,"box":{"x":68,"y":672,"width":836,"height":11}},{"id":"b09d5bde-0405-47ed-b167-8ca7abea5a0c","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":41,"box":{"x":69,"y":687,"width":838,"height":11}},{"id":"d0da7cf9-9faa-42f2-95e9-66c1269d20d1","block_type":"box","text":"is not complete). Since it is partially protected from defaults, a senior tranche from a CBO or CLO typically has higher","page_number":41,"box":{"x":70,"y":702,"width":835,"height":12}},{"id":"b1cd5c35-f7bf-424d-8063-87c1a0adc077","block_type":"box","text":"ratings and lower yields than its underlying securities, and may be rated investment grade. Despite the protection","page_number":41,"box":{"x":69,"y":718,"width":808,"height":11}},{"id":"596d9f38-4e75-4f17-b13f-e50ac28d251d","block_type":"box","text":"from the equity tranche, CBO or CLO tranches can experience substantial losses due to actual defaults, downgrades","page_number":41,"box":{"x":68,"y":732,"width":830,"height":12}},{"id":"70add45f-4d9a-47ee-ad75-a0bd30163f08","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":41,"box":{"x":69,"y":748,"width":806,"height":11}},{"id":"b1dc8c87-ccfa-4e82-846a-b303df54a9ea","block_type":"box","text":"tests, increased sensitivity to defaults due to collateral default and disappearance of protecting tranches, market","page_number":41,"box":{"x":68,"y":763,"width":809,"height":11}},{"id":"30e8eeeb-a7f5-4c1a-85ee-7d9ca432e092","block_type":"box","text":"anticipation of defaults as well as investor aversion to CBO or CLO securities as a class. Interest on certain tranches","page_number":41,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"68f5cd00-3df9-4146-be12-8ba7e7a46271","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":41,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"62971c74-c15b-41b3-8194-24638104549b","block_type":"box","text":"cash), which involves continued exposure to default risk with respect to such payments.","page_number":41,"box":{"x":69,"y":808,"width":625,"height":11}},{"id":"50e991d0-19a1-4177-ba52-6b767a2818e2","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":41,"box":{"x":101,"y":831,"width":789,"height":11}},{"id":"65469950-766c-4cd8-88f2-8005ee94e133","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":41,"box":{"x":69,"y":846,"width":830,"height":11}},{"id":"de70efee-0a51-45d2-9da9-545d8b133c74","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":41,"box":{"x":69,"y":861,"width":830,"height":11}},{"id":"c751ba61-514f-43ff-8937-bafc2983bdd4","block_type":"box","text":"for Rule 144A transactions. In addition to the normal risks associated with fixed-income securities and asset-backed","page_number":41,"box":{"x":68,"y":876,"width":831,"height":9}},{"id":"13ab692c-3cd4-4362-bb00-61bdb80fd398","block_type":"box","text":"securities generally discussed elsewhere in this SAI, CDOs carry additional risks including, but not limited to: (i) the","page_number":41,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"cef05078-a468-4831-94d9-e52633d29294","block_type":"box","text":"possibility that distributions from collateral securities will not be adequate to make interest or other payments; (ii) the","page_number":41,"box":{"x":70,"y":906,"width":838,"height":12}},{"id":"8d77bcea-cf1f-404e-9c29-205662f047d6","block_type":"box","text":"II-3","page_number":41,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"e90921ff-4272-4366-8b0a-06ca322870d3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":41,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bef7346d-0afd-45be-854a-a30beaa910e0","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":42,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"65e7ce5b-697b-41db-b93c-23e1803ae5ad","block_type":"box","text":"rating organization (“NRSRO”); (iii) a Fund may invest in tranches of CDOs that are subordinate to other tranches;","page_number":42,"box":{"x":69,"y":60,"width":807,"height":11}},{"id":"13be51c0-8292-4ccf-80ea-01bed8bcbdcd","block_type":"box","text":"(iv) the structure and complexity of the transaction and the legal documents could lead to disputes among investors","page_number":42,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"0da584c9-b1de-4e79-a71c-e39f6bbfe5e4","block_type":"box","text":"regarding the characterization of proceeds; (v) the investment return achieved by the Fund could be significantly","page_number":42,"box":{"x":69,"y":90,"width":795,"height":11}},{"id":"151e8238-2f0b-4ad9-aa2a-c3306f39ab32","block_type":"box","text":"different than those predicted by financial models; (vi) the lack of a readily available secondary market for CDOs;","page_number":42,"box":{"x":69,"y":105,"width":804,"height":11}},{"id":"7306a082-deb0-4696-a128-390c46aae796","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":42,"box":{"x":69,"y":120,"width":805,"height":12}},{"id":"d70398d5-d273-4752-8995-c46a3b566259","block_type":"box","text":"CDO’s manager may perform poorly.","page_number":42,"box":{"x":69,"y":135,"width":257,"height":12}},{"id":"2476e34d-478c-443b-ab37-930e2af4beca","block_type":"box","text":"Commercial Paper.","page_number":42,"box":{"x":102,"y":158,"width":136,"height":11}},{"id":"e9c7cd63-4333-4d24-86c7-a480bcb70fdf","block_type":"box","text":"Certain Funds may purchase commercial paper. Commercial paper purchasable by each","page_number":42,"box":{"x":244,"y":158,"width":626,"height":11}},{"id":"11657316-cd7e-4edc-9edd-2c6df8164735","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":42,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"259b3345-ca6c-4e1b-9610-a8203c76d2ef","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":42,"box":{"x":70,"y":188,"width":806,"height":12}},{"id":"3136d113-dbdf-4e93-a915-e2bfc2d63a89","block_type":"box","text":"restricted as to disposition under the Federal securities laws, and is frequently sold (and resold) to institutional","page_number":42,"box":{"x":69,"y":203,"width":792,"height":12}},{"id":"c3561533-fd42-4757-942f-be2dec7e4e6e","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":42,"box":{"x":70,"y":218,"width":820,"height":12}},{"id":"530be1f0-0aca-4052-ba92-e9223c7293e7","block_type":"box","text":"4(a)(2) paper, thereby providing liquidity. Certain transactions in Section 4(a)(2) paper may qualify for the registration","page_number":42,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"7a2f6725-f8c1-4126-9ab0-7be58df98e47","block_type":"box","text":"exemption provided in Rule 144A under the Securities Act. Most Funds can purchase commercial paper rated (at the","page_number":42,"box":{"x":69,"y":249,"width":831,"height":11}},{"id":"f41172c4-cce8-4456-b059-6193f3f1f83e","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":42,"box":{"x":68,"y":264,"width":805,"height":11}},{"id":"25b8599b-5227-4441-a6b8-c7435fa4ce08","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":42,"box":{"x":69,"y":279,"width":707,"height":11}},{"id":"5cfbd6d3-8000-41f2-a5cc-16d3f2c184a6","block_type":"box","text":"Commercial paper is generally considered to be short-term unsecured debt of corporations. Like all fixed income","page_number":42,"box":{"x":102,"y":302,"width":801,"height":11}},{"id":"b28ba17c-5581-4fc5-8c3e-9995a8603ec5","block_type":"box","text":"securities, commercial paper prices are susceptible to fluctuations in interest rates. If interest rates rise, commercial","page_number":42,"box":{"x":69,"y":317,"width":836,"height":11}},{"id":"52dc2674-4dce-4e0e-a868-43843c5aef3b","block_type":"box","text":"paper prices will decline and vice versa. However, the short-term nature of a commercial paper investment generally","page_number":42,"box":{"x":70,"y":332,"width":826,"height":11}},{"id":"c2568420-0e76-4c25-a42d-5fadd4f496b0","block_type":"box","text":"makes it less susceptible to volatility than many other fixed income securities because interest rate risk typically","page_number":42,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"65c67100-3519-472a-98bf-1f5ba2d91d43","block_type":"box","text":"increases as maturity lengths increase. Commercial paper tends to yield smaller returns than longer-term corporate","page_number":42,"box":{"x":70,"y":362,"width":822,"height":11}},{"id":"b0f205d7-e3be-4dae-b55c-1a920ce2d475","block_type":"box","text":"debt because securities with shorter maturities typically have lower effective yields than those with longer maturities.","page_number":42,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"39aa26de-fe24-4d1c-937e-e6b4eda3e614","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments.","page_number":42,"box":{"x":102,"y":400,"width":483,"height":11}},{"id":"7ab567a7-c30a-404a-a385-7b34905e09c3","block_type":"box","text":"Certain Funds seek to gain exposure to the","page_number":42,"box":{"x":591,"y":400,"width":308,"height":11}},{"id":"fb902666-c438-499b-a0ed-fe276f0f7b50","block_type":"box","text":"commodities markets primarily through investments in hybrid instruments. Hybrid instruments are either equity or","page_number":42,"box":{"x":69,"y":415,"width":809,"height":11}},{"id":"e3b9af04-171f-41f0-bfc0-70fb80e2fddc","block_type":"box","text":"debt derivative securities with one or more commodity-dependent components that have payment features similar to","page_number":42,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"635bcb5d-3099-4216-9d96-fcf74b3b5ea5","block_type":"box","text":"a commodity futures contract, a commodity option contract, or a combination of both. Therefore, these instruments","page_number":42,"box":{"x":69,"y":445,"width":822,"height":11}},{"id":"8b16b61d-7402-498b-8ffa-087ba2e6da7f","block_type":"box","text":"are “commodity-linked.” They are considered “hybrid” instruments because they have both commodity-like and","page_number":42,"box":{"x":69,"y":461,"width":787,"height":11}},{"id":"4e70d75e-62c9-4605-8577-0269633dae0f","block_type":"box","text":"security-like characteristics. Hybrid instruments are derivative instruments because at least part of their value is","page_number":42,"box":{"x":69,"y":475,"width":801,"height":12}},{"id":"54961379-4597-42ee-b2ab-aa67fc6bc1d8","block_type":"box","text":"derived from the value of an underlying commodity, futures contract, index or other readily measurable economic","page_number":42,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"3a2daba6-9653-4e15-8bed-aff05f071711","block_type":"box","text":"variable.","page_number":42,"box":{"x":68,"y":506,"width":59,"height":9}},{"id":"b774a54f-a6ec-4e69-9074-af1861e77317","block_type":"box","text":"The prices of commodity-linked derivative instruments may move in different directions than investments in","page_number":42,"box":{"x":101,"y":528,"width":763,"height":12}},{"id":"866d0fe5-3a1d-4edb-8904-48298e08e70b","block_type":"box","text":"traditional equity and debt securities when the value of those traditional securities is declining due to adverse","page_number":42,"box":{"x":68,"y":543,"width":783,"height":12}},{"id":"a520f1bb-b050-4def-afe4-944075a2ea2a","block_type":"box","text":"economic conditions. As an example, during periods of rising inflation, debt securities have historically tended to","page_number":42,"box":{"x":69,"y":559,"width":802,"height":11}},{"id":"2a5334e3-c42c-400d-928e-6abb2984c2a7","block_type":"box","text":"decline in value due to the general increase in prevailing interest rates. Conversely, during those same periods of","page_number":42,"box":{"x":69,"y":574,"width":808,"height":11}},{"id":"32e10d57-923d-4b76-a66b-3eaff04b4223","block_type":"box","text":"rising inflation, the prices of certain commodities, such as oil and metals, have historically tended to increase. Of","page_number":42,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"6d9e8af5-8060-4db0-bb14-08b4231b25bd","block_type":"box","text":"course, there cannot be any guarantee that these investments will perform in that manner in the future, and at","page_number":42,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"444a8d75-1a73-41a4-9e2c-f83c2df3b53e","block_type":"box","text":"certain times the price movements of commodity-linked instruments have been parallel to those of debt and equity","page_number":42,"box":{"x":69,"y":619,"width":819,"height":11}},{"id":"ffcbec81-b3e5-4ddd-af3e-8f1ebf62ddfa","block_type":"box","text":"securities. Commodities have historically tended to increase and decrease in value during different parts of the","page_number":42,"box":{"x":69,"y":634,"width":795,"height":12}},{"id":"473c6e51-4404-43a2-b734-d68afd411f05","block_type":"box","text":"business cycle than financial assets. Nevertheless, at various times, commodities prices may move in tandem with","page_number":42,"box":{"x":69,"y":649,"width":822,"height":12}},{"id":"1f73f88b-fa0e-4847-bb37-2144af534339","block_type":"box","text":"the prices of financial assets and thus may not provide overall portfolio diversification benefits. Under favorable","page_number":42,"box":{"x":68,"y":664,"width":797,"height":12}},{"id":"5c2d19cf-6e13-4fcb-b2bc-8f5edef81a98","block_type":"box","text":"economic conditions, the Fund’s investments may be expected to under-perform an investment in traditional","page_number":42,"box":{"x":69,"y":680,"width":772,"height":11}},{"id":"e338f466-6f48-4c50-b8b4-fc8047fe19a1","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":42,"box":{"x":69,"y":695,"width":773,"height":11}},{"id":"a61f6078-db60-4c80-a396-56d54e4617ae","block_type":"box","text":"correlation with stocks and bonds.","page_number":42,"box":{"x":69,"y":710,"width":244,"height":9}},{"id":"146425ad-4c75-4636-9111-f511434db6c7","block_type":"box","text":"Qualifying Hybrid Instruments.","page_number":42,"box":{"x":102,"y":732,"width":212,"height":12}},{"id":"fb586cbf-11d8-404e-aa70-cbccc8c7260a","block_type":"box","text":"Certain Funds may invest in hybrid instruments that qualify for exclusion from","page_number":42,"box":{"x":320,"y":732,"width":552,"height":12}},{"id":"bd1f6fbc-466d-43a1-902d-60180c31d613","block_type":"box","text":"regulation under the Commodity Exchange Act and the regulations adopted thereunder. A hybrid instrument that","page_number":42,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"d068fbaf-df0d-4745-b9c7-3c37c8f677d3","block_type":"box","text":"qualifies for this exclusion from regulation must be “predominantly a security.” A hybrid instrument is considered to","page_number":42,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"852ef2b8-c274-4cda-83ba-f4a14f8eb46f","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":42,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"cb6faae8-ad0f-4fec-8c70-f746716d87c3","block_type":"box","text":"the hybrid instrument, substantially contemporaneously with delivery of the hybrid instrument; (b) the purchaser or","page_number":42,"box":{"x":68,"y":793,"width":816,"height":11}},{"id":"1a9e4d65-5e2f-4a21-baef-6b93f75716d5","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":42,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"61a718d9-8421-4166-a4b3-e53afd1ede4c","block_type":"box","text":"paid under subparagraph (a), whether as margin, settlement payment, or otherwise, during the life of the hybrid","page_number":42,"box":{"x":70,"y":823,"width":793,"height":12}},{"id":"aa27ba8d-467f-40b8-91bd-dff1827f47f3","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":42,"box":{"x":70,"y":838,"width":798,"height":11}},{"id":"37d9ef9b-cb56-42b3-b8ff-41ecb909c882","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":42,"box":{"x":69,"y":853,"width":797,"height":12}},{"id":"00d7376d-5872-4400-9e4b-aef0c8932571","block_type":"box","text":"commodity for future delivery (or option on such a contract) subject to applicable provisions of the Commodity","page_number":42,"box":{"x":69,"y":869,"width":783,"height":11}},{"id":"f2e7eac3-144a-4251-b5f3-e252cc83f260","block_type":"box","text":"Exchange Act. Hybrid instruments may be principal protected, partially protected, or offer no principal protection. A","page_number":42,"box":{"x":70,"y":884,"width":816,"height":11}},{"id":"6447fae6-5e15-440f-8ed6-7ec25cd09ccd","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":42,"box":{"x":70,"y":899,"width":791,"height":11}},{"id":"dd53a814-cd29-4885-a2af-4433287c5cb5","block_type":"box","text":"II-4","page_number":42,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"e036c071-cc82-406e-b40d-340a7f9b5b55","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":42,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ce7abadb-2b83-4378-8089-3aa4c51ed754","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":43,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"9dfa30c2-39e4-45ad-94ca-276eac26bf13","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":43,"box":{"x":68,"y":60,"width":837,"height":11}},{"id":"75a4f36a-a860-48eb-91ba-3ff966486ecf","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":43,"box":{"x":70,"y":75,"width":772,"height":11}},{"id":"8ea88360-35bf-44bd-9248-411596a1ca83","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":43,"box":{"x":69,"y":90,"width":839,"height":11}},{"id":"169360a8-5669-46ca-9c69-84a070d823a8","block_type":"box","text":"level of the underlying commodity. The Manager’s decision whether to use principal protection depends in part on the","page_number":43,"box":{"x":70,"y":105,"width":835,"height":11}},{"id":"f23dc599-117a-4d26-bc42-5bc61440b9d1","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":43,"box":{"x":69,"y":120,"width":833,"height":12}},{"id":"10c58435-972c-46d0-b620-211d1c1fa52e","block_type":"box","text":"to buy back the security, and, therefore, depends on the creditworthiness of the issuer. With full principal protection,","page_number":43,"box":{"x":68,"y":135,"width":831,"height":11}},{"id":"6b1c421b-54bc-4a6a-a54f-bfe317441bd9","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":43,"box":{"x":68,"y":150,"width":795,"height":12}},{"id":"b6d98b59-bbbc-4a29-b9df-36ea6a82eb55","block_type":"box","text":"potentially, an amount greater than the stated par value if the underlying commodity, index, futures contract or","page_number":43,"box":{"x":70,"y":166,"width":784,"height":11}},{"id":"e6b5f40e-a5b6-4b29-9ce2-34434c5ba81c","block_type":"box","text":"economic variable to which the hybrid instrument is linked has increased in value. Partially protected hybrid","page_number":43,"box":{"x":69,"y":181,"width":765,"height":11}},{"id":"a57632e4-f717-4052-a7eb-876e55bc077c","block_type":"box","text":"instruments may suffer some loss of principal if the underlying commodity, index, futures contract or economic","page_number":43,"box":{"x":70,"y":196,"width":788,"height":11}},{"id":"d59176bc-d4d3-4d42-9394-014025f5bad7","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":43,"box":{"x":68,"y":211,"width":828,"height":11}},{"id":"d0871935-7f53-4305-9079-eeabcaf3beae","block_type":"box","text":"partially protected hybrid instruments have a specified limit as to the amount of principal that they may lose.","page_number":43,"box":{"x":70,"y":226,"width":773,"height":11}},{"id":"ec0359d2-4c6c-47dc-829b-e491a5fb6d70","block_type":"box","text":"Hybrid Instruments Without Principal Protection.","page_number":43,"box":{"x":102,"y":249,"width":339,"height":11}},{"id":"b699add9-a5fa-4e02-bc40-83d88fb94162","block_type":"box","text":"Certain Funds may invest in hybrid instruments that offer no","page_number":43,"box":{"x":448,"y":249,"width":429,"height":11}},{"id":"bcdee798-51d0-49a6-967d-c8ccd042ef12","block_type":"box","text":"principal protection. At maturity, there is a risk that the underlying commodity price, futures contract, index or other","page_number":43,"box":{"x":70,"y":264,"width":818,"height":11}},{"id":"0b1f0ed1-31c4-487c-9b6f-b46ae1cca520","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":43,"box":{"x":69,"y":279,"width":780,"height":11}},{"id":"fefb8731-82c5-4fc5-8976-124c9f95d689","block_type":"box","text":"instrument might not be returned. The Manager, at its discretion, may invest in a partially protected principal","page_number":43,"box":{"x":70,"y":294,"width":773,"height":11}},{"id":"a4ad79b1-04ac-45bf-a596-f30dfe529994","block_type":"box","text":"structured note or a note without principal protection. In deciding to purchase a note without principal protection, the","page_number":43,"box":{"x":69,"y":309,"width":832,"height":11}},{"id":"f3026775-533e-48e8-9307-3cfaa9653266","block_type":"box","text":"Manager may consider, among other things, the expected performance of the underlying commodity futures contract,","page_number":43,"box":{"x":70,"y":324,"width":831,"height":12}},{"id":"bb6be5f9-fcc3-401c-aaf1-452a9764c807","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":43,"box":{"x":70,"y":339,"width":831,"height":12}},{"id":"8d3a3f41-dc4e-4f57-924c-bff73b35ede5","block_type":"box","text":"the Manager believes are relevant.","page_number":43,"box":{"x":68,"y":355,"width":247,"height":11}},{"id":"df62b7b9-db13-494d-b90c-29355db07aec","block_type":"box","text":"Limitations on Leverage.","page_number":43,"box":{"x":102,"y":377,"width":173,"height":12}},{"id":"deab4abb-a719-491f-992a-a24cbfac8701","block_type":"box","text":"Some of the hybrid instruments in which a Fund may invest may involve leverage. To","page_number":43,"box":{"x":281,"y":377,"width":598,"height":12}},{"id":"5221a728-60b0-4cbb-aab5-64bfc218678f","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":43,"box":{"x":69,"y":392,"width":840,"height":12}},{"id":"65a4df79-54c3-4ec1-bcbd-64f2fa79102f","block_type":"box","text":"one hybrid instrument that it buys and the leverage of the Fund’s overall portfolio. A Fund will not invest in a hybrid","page_number":43,"box":{"x":69,"y":407,"width":816,"height":12}},{"id":"a46ca8fb-c0e1-4855-9a91-b2d9941c9c5b","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":43,"box":{"x":70,"y":423,"width":812,"height":11}},{"id":"2b58f085-1110-4996-850d-3252f6d0999f","block_type":"box","text":"the underlying commodity, futures contract, index or other economic variable or (ii) the Fund’s “portfolio leverage","page_number":43,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"98e4962b-99b1-4a95-94b8-5ddba6aa6bfe","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":43,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"9f0c6d81-c0be-453d-9d3d-56a6fdaddb41","block_type":"box","text":"hybrid instrument, assuming a one percent price increase in the underlying commodity, futures contract, index or","page_number":43,"box":{"x":69,"y":468,"width":803,"height":11}},{"id":"aeda50ae-b806-46ef-8955-384cdd64b620","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":43,"box":{"x":69,"y":483,"width":783,"height":11}},{"id":"ca8030f1-8970-452b-aa6f-ffe6ab06134d","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":43,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"e83a756a-e482-49ca-b805-df496de95f4d","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":43,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"7b9d1a62-7b58-4b55-83c0-f8e0402e6511","block_type":"box","text":"variable lost 1% of its value. “Portfolio leverage ratio” is defined as the average (mean) leverage ratio of all","page_number":43,"box":{"x":68,"y":528,"width":763,"height":12}},{"id":"c22321b2-28f4-44cb-a38e-7cc1ea487c59","block_type":"box","text":"instruments in a Fund’s portfolio, weighted by the market values of such instruments or, in the case of futures","page_number":43,"box":{"x":70,"y":543,"width":787,"height":12}},{"id":"a4a61fbf-8572-45b5-b436-d0e1ceb21b2d","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":43,"box":{"x":69,"y":559,"width":757,"height":11}},{"id":"39fe11ae-8f56-4724-8624-6093c526caeb","block_type":"box","text":"investments or use less leverage than may otherwise be allowable.","page_number":43,"box":{"x":70,"y":574,"width":477,"height":11}},{"id":"41e6b41d-5137-4d01-a1c7-aea5d28c4f3e","block_type":"box","text":"Counterpar ty Risk.","page_number":43,"box":{"x":102,"y":597,"width":130,"height":11}},{"id":"20bd0dbb-a767-4c51-92e7-71b87db7ab58","block_type":"box","text":"A significant risk of hybrid instruments is counterparty risk. Unlike exchange-traded futures","page_number":43,"box":{"x":238,"y":596,"width":646,"height":12}},{"id":"4cee7cc4-9d0d-4b77-8490-f557f1147056","block_type":"box","text":"and options, which are standard contracts, hybrid instruments are customized securities, tailor-made by a specific","page_number":43,"box":{"x":69,"y":612,"width":813,"height":11}},{"id":"228945f6-5772-45e8-8bd8-a2f9c3bbbc72","block_type":"box","text":"issuer. With a listed futures or options contract, an investor’s counterparty is the exchange clearinghouse. Exchange","page_number":43,"box":{"x":70,"y":627,"width":829,"height":11}},{"id":"e74d9f6a-b333-4a5c-aa36-e802869ebefd","block_type":"box","text":"clearinghouses are capitalized by the exchange members and typically have high investment grade ratings (","page_number":43,"box":{"x":69,"y":642,"width":763,"height":11}},{"id":"71e51813-aa51-4aeb-b530-5bc6110f93fa","block_type":"box","text":"e.g.","page_number":43,"box":{"x":834,"y":643,"width":25,"height":10}},{"id":"57ba0514-c6bc-4792-9dbf-e555dc1c0243","block_type":"box","text":",","page_number":43,"box":{"x":861,"y":649,"width":2,"height":3}},{"id":"75c740c8-ae93-4e3f-b4bd-c4e629dfac21","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":43,"box":{"x":69,"y":657,"width":836,"height":11}},{"id":"0763f3b9-224f-476c-b23a-3a74ca333a4e","block_type":"box","text":"obligations at maturity. However, with a hybrid instrument, a Fund will take on the counterparty credit risk of the","page_number":43,"box":{"x":69,"y":672,"width":795,"height":11}},{"id":"7d9b2465-b924-4ee1-a52c-1396fa5a6d8f","block_type":"box","text":"issuer. That is, at maturity of the hybrid instrument, there is a risk that the issuer may be unable to perform its","page_number":43,"box":{"x":70,"y":687,"width":791,"height":11}},{"id":"3ce30374-cc75-4d93-b963-039b643463e8","block_type":"box","text":"obligations under the structured note.","page_number":43,"box":{"x":69,"y":703,"width":268,"height":11}},{"id":"d65d9994-1eeb-4d6f-a87f-57ed4d6fa4fe","block_type":"box","text":"Convertible Securities.","page_number":43,"box":{"x":102,"y":725,"width":165,"height":9}},{"id":"7f499d8e-a6e8-4762-aee6-fdaf3a268459","block_type":"box","text":"A convertible security is a bond, debenture, note, preferred stock or other security that","page_number":43,"box":{"x":273,"y":725,"width":619,"height":11}},{"id":"eb35e947-06f3-4424-87b3-b6db374e1044","block_type":"box","text":"may be converted into or exchanged for a prescribed amount of common stock or other equity security of the same or","page_number":43,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"e658f155-ef5c-49d4-8a16-5786b8c389b2","block_type":"box","text":"a different issuer within a particular period of time at a specified price or formula. A convertible security entitles the","page_number":43,"box":{"x":69,"y":755,"width":826,"height":11}},{"id":"a64c3eef-1957-4750-a25f-e77ea3361286","block_type":"box","text":"holder to receive interest paid or accrued on debt or the dividend paid on preferred stock until the convertible","page_number":43,"box":{"x":69,"y":770,"width":781,"height":11}},{"id":"14556ef6-4282-4c20-82ff-4762296b592b","block_type":"box","text":"security matures or is redeemed, converted or exchanged. Before conversion, convertible securities have","page_number":43,"box":{"x":69,"y":785,"width":750,"height":12}},{"id":"ab19f04e-f503-4a0e-8b21-189b59d372c5","block_type":"box","text":"characteristics similar to nonconvertible income securities in that they ordinarily provide a stable stream of income","page_number":43,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"ebc693d3-4b2f-4442-872a-142027f5cb9d","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":43,"box":{"x":68,"y":816,"width":784,"height":11}},{"id":"678a9e95-746a-4ad5-b43c-d9a8ecd57046","block_type":"box","text":"comparable nonconvertible securities. The value of a convertible security is influenced by changes in interest rates,","page_number":43,"box":{"x":69,"y":831,"width":823,"height":11}},{"id":"d56859c0-79ab-44f0-a25d-219e04bc2026","block_type":"box","text":"with investment value declining as interest rates increase and increasing as interest rates decline. The credit","page_number":43,"box":{"x":68,"y":846,"width":780,"height":11}},{"id":"ed641802-cac0-43b0-a188-56489354820e","block_type":"box","text":"standing of the issuer and other factors also may have an effect on the convertible security’s investment value.","page_number":43,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"0b72d1dc-7b09-43ce-80db-945c85d73020","block_type":"box","text":"Convertible securities rank senior to common stock in a corporation’s capital structure but are usually subordinated","page_number":43,"box":{"x":69,"y":876,"width":826,"height":11}},{"id":"d9a76fff-be4a-44a3-9696-a750cf9769ef","block_type":"box","text":"to comparable nonconvertible securities. Convertible securities may be subject to redemption at the option of the","page_number":43,"box":{"x":68,"y":891,"width":811,"height":11}},{"id":"41cd091a-9d6d-4a66-ab74-8c0e94e4f7f8","block_type":"box","text":"issuer at a price established in the convertible security’s governing instrument.","page_number":43,"box":{"x":70,"y":907,"width":563,"height":11}},{"id":"95e2f984-3067-4d20-a2c4-f68274f195cf","block_type":"box","text":"II-5","page_number":43,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"e41a4500-525a-467c-9dd5-4b1e543e76a6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":43,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d69e10bc-3799-4b75-9a4e-d35764b6e2ef","block_type":"box","text":"The characteristics of convertible securities make them potentially attractive investments for an investment","page_number":44,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"70651275-7e95-40d5-9701-e79b2ec8034b","block_type":"box","text":"company seeking a high total return from capital appreciation and investment income. These characteristics include","page_number":44,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"50ca7dd8-2c1a-4498-b88a-a019757a4290","block_type":"box","text":"the potential for capital appreciation as the value of the underlying common stock increases, the relatively high yield","page_number":44,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"0caf40bd-7871-417a-985f-aad1ef2994b0","block_type":"box","text":"received from dividend or interest payments as compared to common stock dividends and decreased risks of decline","page_number":44,"box":{"x":69,"y":90,"width":834,"height":11}},{"id":"22c5300b-7b67-4a55-aba3-a2df4eb50e04","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":44,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"9068c16a-4ab1-4c85-8555-a511646625bb","block_type":"box","text":"feature, however, the interest rate or dividend preference on a convertible security is generally less than would be the","page_number":44,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"a9821e66-809f-4dbe-b598-9f9d2e5bd197","block_type":"box","text":"case if the securities were issued in nonconvertible form.","page_number":44,"box":{"x":69,"y":135,"width":409,"height":9}},{"id":"7ac79eca-87b7-4c03-8e30-594a772da15b","block_type":"box","text":"In analyzing convertible securities, the Manager will consider both the yield on the convertible security relative to","page_number":44,"box":{"x":102,"y":158,"width":802,"height":11}},{"id":"a6c2d6c6-2f6d-4773-9319-df8645e0195d","block_type":"box","text":"its credit quality and the potential capital appreciation that is offered by the underlying common stock, among other","page_number":44,"box":{"x":70,"y":173,"width":824,"height":11}},{"id":"7d4f47f7-4856-407a-b04e-e57bf4bbcf49","block_type":"box","text":"things.","page_number":44,"box":{"x":68,"y":188,"width":47,"height":12}},{"id":"823aac61-68a3-4b88-92c5-2dabe848b4f6","block_type":"box","text":"Convertible securities are issued and traded in a number of securities markets. Even in cases where a","page_number":44,"box":{"x":102,"y":211,"width":731,"height":9}},{"id":"5cc409aa-da52-413e-98f6-683b2160c943","block_type":"box","text":"substantial portion of the convertible securities held by a Fund are denominated in U.S. dollars, the underlying equity","page_number":44,"box":{"x":69,"y":226,"width":836,"height":11}},{"id":"fcf1f047-4b1d-42e2-9ae9-cc58c7f0e516","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":44,"box":{"x":69,"y":241,"width":832,"height":11}},{"id":"520053ed-b9e4-4189-85e1-87e370b66530","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":44,"box":{"x":69,"y":257,"width":818,"height":11}},{"id":"c9f4282f-76b2-4ac1-a8e7-c07adf5ef2e0","block_type":"box","text":"price is quoted will affect the value of the convertible security. With respect to convertible securities denominated in","page_number":44,"box":{"x":70,"y":271,"width":828,"height":12}},{"id":"823d5c2a-69f5-4f5a-afc0-91dca1320a0a","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":44,"box":{"x":69,"y":286,"width":786,"height":12}},{"id":"8a571958-f3a8-4264-8cc0-a2bde64e8061","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":44,"box":{"x":69,"y":302,"width":800,"height":11}},{"id":"579d6154-f016-482d-b954-40bb5f08259e","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":44,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"5f8173d6-d39f-4b19-b73f-5fa394bb58dc","block_type":"box","text":"reduce the effect of exchange rate fluctuations.","page_number":44,"box":{"x":69,"y":332,"width":337,"height":11}},{"id":"f7e8031f-bd3f-4d9e-8f66-9824edce2965","block_type":"box","text":"Apart from currency considerations, the value of convertible securities is influenced by both the yield on","page_number":44,"box":{"x":101,"y":355,"width":741,"height":11}},{"id":"f6ede2a8-ef02-4b5e-942b-3e8261477454","block_type":"box","text":"nonconvertible securities of comparable issuers and by the value of the underlying common stock. The value of a","page_number":44,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"c87175c5-4e21-406b-9047-4aac57c61098","block_type":"box","text":"convertible security viewed without regard to its conversion feature (","page_number":44,"box":{"x":69,"y":385,"width":485,"height":11}},{"id":"29e598b9-e594-4369-8ada-f233e2a5a9fd","block_type":"box","text":"i.e.","page_number":44,"box":{"x":557,"y":385,"width":20,"height":9}},{"id":"564bd26e-f916-486d-aeb8-5fd3465be5a4","block_type":"box","text":", strictly on the basis of its yield) is","page_number":44,"box":{"x":579,"y":385,"width":248,"height":11}},{"id":"02196523-4372-4700-a047-8d99f9c78b01","block_type":"box","text":"sometimes referred to as its “investment value.” To the extent interest rates change, the investment value of the","page_number":44,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"cdb54062-def8-4634-9e8d-bfde32f94594","block_type":"box","text":"convertible security typically will fluctuate. At the same time, however, the value of the convertible security will be","page_number":44,"box":{"x":69,"y":415,"width":807,"height":11}},{"id":"024bb138-855d-488b-98c3-707ee020754d","block_type":"box","text":"influenced by its “conversion value,” which is the market value of the underlying common stock that would be","page_number":44,"box":{"x":70,"y":430,"width":778,"height":11}},{"id":"dc87f584-2b08-4e9f-abdc-07787a614a00","block_type":"box","text":"obtained if the convertible security were converted. Conversion value fluctuates directly with the price of the","page_number":44,"box":{"x":69,"y":445,"width":769,"height":11}},{"id":"3e67a121-f051-4e41-9ab3-2d9d6d6cce86","block_type":"box","text":"underlying common stock. If the conversion value of a convertible security is substantially below its investment value,","page_number":44,"box":{"x":69,"y":460,"width":837,"height":12}},{"id":"6535f85b-bbc5-40a4-9650-72bed9d22234","block_type":"box","text":"the price of the convertible security is governed principally by its investment value. To the extent the conversion value","page_number":44,"box":{"x":68,"y":475,"width":837,"height":12}},{"id":"77b2bc00-668f-4660-a8db-2aaf959114ff","block_type":"box","text":"of a convertible security increases to a point that approximates or exceeds its investment value, the price of the","page_number":44,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"653823ee-b195-444c-ba69-65ebaad62907","block_type":"box","text":"convertible security will be influenced principally by its conversion value. A convertible security will sell at a premium","page_number":44,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"b80a4ba1-1f15-4838-b29b-9f3521b1118b","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":44,"box":{"x":69,"y":521,"width":808,"height":11}},{"id":"1a179b05-2114-4369-a83f-bb63d53ef583","block_type":"box","text":"while holding a fixed-income security. The yield and conversion premium of convertible securities issued in Japan and","page_number":44,"box":{"x":68,"y":536,"width":835,"height":11}},{"id":"c6258347-5179-4acd-a0d3-fdbfae6573b0","block_type":"box","text":"the Euromarket are frequently determined at levels that cause the conversion value to affect their market value more","page_number":44,"box":{"x":68,"y":551,"width":836,"height":11}},{"id":"2b4457af-9391-4e77-bfd6-5aa1c0e4d9ca","block_type":"box","text":"than the securities’ investment value.","page_number":44,"box":{"x":68,"y":566,"width":268,"height":9}},{"id":"d5713757-d887-4702-a01f-fa5dca881ac2","block_type":"box","text":"Holders of convertible securities generally have a claim on the assets of the issuer prior to the common","page_number":44,"box":{"x":102,"y":589,"width":740,"height":11}},{"id":"b7f70f94-f8b6-4c4b-afda-f0edd57342c0","block_type":"box","text":"stockholders but may be subordinated to other debt securities of the same issuer. A convertible security may be","page_number":44,"box":{"x":69,"y":604,"width":801,"height":11}},{"id":"823dab2c-07f5-4e6d-a787-54e58278265d","block_type":"box","text":"subject to redemption at the option of the issuer at a price established in a charter provision, indenture or other","page_number":44,"box":{"x":69,"y":619,"width":800,"height":11}},{"id":"110f9603-08a3-4339-a859-cc367fc4ab54","block_type":"box","text":"governing instrument pursuant to which the convertible security was issued. If a convertible security held by a Fund is","page_number":44,"box":{"x":68,"y":634,"width":840,"height":12}},{"id":"4fed5096-5855-4817-ae3b-7deff61f5e82","block_type":"box","text":"called for redemption, the Fund will be required to redeem the security, convert it into the underlying common stock","page_number":44,"box":{"x":69,"y":649,"width":823,"height":12}},{"id":"fb8ca141-4edc-4ee8-bd64-7375f0ee2eb9","block_type":"box","text":"or sell it to a third party. Certain convertible debt securities may provide a put option to the holder, which entitles the","page_number":44,"box":{"x":69,"y":665,"width":835,"height":11}},{"id":"1633cf43-9a8d-4636-98da-46ecda783f44","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":44,"box":{"x":69,"y":680,"width":832,"height":11}},{"id":"a21912d9-9008-42bd-a32d-45c05a508705","block_type":"box","text":"security under certain circumstances.","page_number":44,"box":{"x":69,"y":695,"width":267,"height":11}},{"id":"9119013f-e7f7-4a03-9e57-6b02e6079843","block_type":"box","text":"A Fund may also invest in synthetic convertible securities. Synthetic convertible securities may include either","page_number":44,"box":{"x":101,"y":718,"width":777,"height":11}},{"id":"0a1e893f-8296-4e15-aa97-fc41b584c727","block_type":"box","text":"Cash-Settled Convertibles or Manufactured Convertibles. “Cash-Settled Convertibles” are instruments that are","page_number":44,"box":{"x":69,"y":732,"width":789,"height":10}},{"id":"198c2367-07fd-4976-8480-4d7e49a2f3ca","block_type":"box","text":"created by the issuer and have the economic characteristics of traditional convertible securities but may not actually","page_number":44,"box":{"x":69,"y":748,"width":831,"height":11}},{"id":"86be27ed-0736-4925-9f25-3ef39ac61be0","block_type":"box","text":"permit conversion into the underlying equity securities in all circumstances. As an example, a private company may","page_number":44,"box":{"x":70,"y":763,"width":819,"height":11}},{"id":"528061ef-7fa3-4edf-92df-36dd45f7460d","block_type":"box","text":"issue a Cash-Settled Convertible that is convertible into common stock only if the company successfully completes a","page_number":44,"box":{"x":70,"y":778,"width":833,"height":11}},{"id":"fff6975b-5b4f-417e-aefd-ad070551e930","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":44,"box":{"x":70,"y":793,"width":769,"height":11}},{"id":"ca252d6d-bf76-440d-b99a-8d03db8d19c9","block_type":"box","text":"appreciation. “Manufactured Convertibles” are created by the Manager or another party by combining separate","page_number":44,"box":{"x":69,"y":808,"width":791,"height":11}},{"id":"e3777243-416a-4a9c-a7a3-e85ffae4dc5c","block_type":"box","text":"securities that possess one of the two principal characteristics of a convertible security,","page_number":44,"box":{"x":69,"y":823,"width":627,"height":11}},{"id":"1e744c2c-ab7a-4791-9fa9-efb2766d979d","block_type":"box","text":"i.e.","page_number":44,"box":{"x":703,"y":823,"width":20,"height":9}},{"id":"e298b443-6aa2-4314-be39-7b3ef3d6284f","block_type":"box","text":", fixed-income (“fixed","page_number":44,"box":{"x":726,"y":823,"width":151,"height":11}},{"id":"5c095264-7922-4109-aecf-d2864ed05666","block_type":"box","text":"income component”) or a right to acquire equity securities (“convertibility component”). The fixed-income component","page_number":44,"box":{"x":70,"y":838,"width":830,"height":12}},{"id":"64f72ed1-e899-4b64-8042-8a1e1b91322f","block_type":"box","text":"is achieved by investing in nonconvertible fixed-income securities, such as nonconvertible bonds, preferred stocks","page_number":44,"box":{"x":70,"y":853,"width":814,"height":12}},{"id":"015a39c1-a65d-4a8b-af29-79ac706be982","block_type":"box","text":"and money market instruments. The convertibility component is achieved by investing in call options, warrants, or","page_number":44,"box":{"x":69,"y":869,"width":811,"height":11}},{"id":"ea4537dc-9c8a-43c3-9eda-b35bd413dfaf","block_type":"box","text":"other securities with equity conversion features (“equity features”) granting the holder the right to purchase a","page_number":44,"box":{"x":69,"y":884,"width":779,"height":11}},{"id":"fae44d99-b830-4664-a365-c6d0c2068934","block_type":"box","text":"II-6","page_number":44,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"6998db97-1abc-46ce-ad2b-d52d82acd4ea","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":44,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"42991ba3-3e73-4e1e-ab8a-7c09677be745","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":45,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"257eb0f0-1b95-4f33-ae80-b07d181062d4","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":45,"box":{"x":69,"y":60,"width":744,"height":11}},{"id":"e22d27fd-204f-46f7-a05b-75e571588d94","block_type":"box","text":"A Manufactured Convertible differs from traditional convertible securities in several respects. Unlike a traditional","page_number":45,"box":{"x":101,"y":82,"width":804,"height":11}},{"id":"fbeea7e0-6063-45ab-9675-83362ba7ea31","block_type":"box","text":"convertible security, which is a single security that has a unitary market value, a Manufactured Convertible is","page_number":45,"box":{"x":69,"y":98,"width":777,"height":11}},{"id":"f3ef340d-b91a-4cff-a515-f837911e5629","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":45,"box":{"x":69,"y":113,"width":832,"height":11}},{"id":"f0d8f307-6a76-42cd-bb86-cc616eac4611","block_type":"box","text":"such a Manufactured Convertible is the sum of the values of its fixed-income component and its convertibility","page_number":45,"box":{"x":69,"y":128,"width":781,"height":11}},{"id":"c0e20f5f-d3de-48f4-892e-11190e795c59","block_type":"box","text":"component.","page_number":45,"box":{"x":69,"y":144,"width":82,"height":10}},{"id":"9da089d2-39be-4197-8ae6-9cda380dec8d","block_type":"box","text":"More flexibility is possible in the creation of a Manufactured Convertible than in the purchase of a traditional","page_number":45,"box":{"x":102,"y":166,"width":773,"height":11}},{"id":"51f79c35-c6b8-4340-bf8c-a303c0459b42","block_type":"box","text":"convertible security. Because many corporations have not issued convertible securities, the Manager may combine a","page_number":45,"box":{"x":69,"y":181,"width":833,"height":11}},{"id":"900fef2b-06b7-4113-b225-23bd137c8c59","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":45,"box":{"x":68,"y":196,"width":826,"height":11}},{"id":"5c1d34ae-1021-44d9-90d2-5360f4f4bb25","block_type":"box","text":"to create a synthetic convertible security otherwise unavailable in the market. The Manager may also combine a","page_number":45,"box":{"x":68,"y":211,"width":800,"height":11}},{"id":"8cbdf23b-c020-4902-a2a5-9f2c5a3a6aca","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":45,"box":{"x":68,"y":226,"width":817,"height":11}},{"id":"0cfd8354-f7c2-4da4-9ecd-af27e5fb9223","block_type":"box","text":"Manager believes such a Manufactured Convertible would better promote a Fund’s objective than alternative","page_number":45,"box":{"x":70,"y":241,"width":772,"height":11}},{"id":"09d69540-5a60-43a2-9548-b789aa70e1ad","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":45,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"82ec1e39-f5c1-4ff6-bf7a-93f4394c9168","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":45,"box":{"x":70,"y":271,"width":790,"height":12}},{"id":"bf9bdf63-986a-4a30-a8a2-20944aca21ca","block_type":"box","text":"Treasury instrument to create a Manufactured Convertible with a higher credit profile than a traditional convertible","page_number":45,"box":{"x":68,"y":286,"width":815,"height":12}},{"id":"d2c0b5b2-ba10-4dec-b2a1-6f56c01ddf94","block_type":"box","text":"security issued by that issuer. A Manufactured Convertible also is a more flexible investment in that its two","page_number":45,"box":{"x":69,"y":302,"width":764,"height":11}},{"id":"a85c5115-d203-41d9-aa0e-2882f92ebc2f","block_type":"box","text":"components may be purchased separately and, upon purchasing the separate securities, “combined” to create a","page_number":45,"box":{"x":69,"y":317,"width":806,"height":11}},{"id":"21deec10-313c-4080-8ada-8333b7cbd413","block_type":"box","text":"Manufactured Convertible. For example, the Fund may purchase a warrant for eventual inclusion in a Manufactured","page_number":45,"box":{"x":70,"y":332,"width":818,"height":11}},{"id":"343cca7c-60f1-47b0-8a36-5587df442469","block_type":"box","text":"Convertible while postponing the purchase of a suitable bond to pair with the warrant pending development of more","page_number":45,"box":{"x":69,"y":347,"width":824,"height":11}},{"id":"c7160c13-2ead-443b-a678-e97bcf807730","block_type":"box","text":"favorable market conditions.","page_number":45,"box":{"x":68,"y":362,"width":202,"height":9}},{"id":"6015056c-0ac6-4bc3-b80f-7760bb139f07","block_type":"box","text":"The value of a Manufactured Convertible may respond to certain market fluctuations differently from a traditional","page_number":45,"box":{"x":101,"y":385,"width":805,"height":11}},{"id":"85213193-7036-4246-8d1d-f6f89a3f2ed3","block_type":"box","text":"convertible security with similar characteristics. For example, in the event a Fund created a Manufactured Convertible","page_number":45,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"ca1bd141-b28e-4226-bc0e-bb14b4b5a139","block_type":"box","text":"by combining a short-term U.S. Treasury instrument and a call option on a stock, the Manufactured Convertible would","page_number":45,"box":{"x":69,"y":415,"width":839,"height":11}},{"id":"dc6ebf6c-e105-46e3-a9a9-16b01b14ee66","block_type":"box","text":"be expected to outperform a traditional convertible of similar maturity that is convertible into that stock during","page_number":45,"box":{"x":69,"y":430,"width":787,"height":11}},{"id":"ae13aee8-fee9-4b4a-b62a-90ab3ae6af94","block_type":"box","text":"periods when Treasury instruments outperform corporate fixed-income securities and underperform during periods","page_number":45,"box":{"x":70,"y":445,"width":815,"height":12}},{"id":"141e94bc-c0bb-4f3c-a056-204d535d99ed","block_type":"box","text":"when corporate fixed-income securities outperform Treasury instruments.","page_number":45,"box":{"x":68,"y":460,"width":523,"height":12}},{"id":"94098ba5-6ad8-491a-bdbb-d1466fbad468","block_type":"box","text":"Corporate Loans.","page_number":45,"box":{"x":102,"y":483,"width":123,"height":11}},{"id":"59d291cb-6c92-4270-b9d2-1128d8482be5","block_type":"box","text":"Certain Funds may invest in corporate loans. Corporate loans are generally non-investment","page_number":45,"box":{"x":231,"y":483,"width":647,"height":11}},{"id":"d7644548-2dd1-4bdf-87e2-17b3b432c79d","block_type":"box","text":"grade floating rate instruments. Usually, they are freely callable at the issuer’s option. Certain Funds may invest in","page_number":45,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"3a7bf948-8abc-4cfd-821f-84ac2cc8ff93","block_type":"box","text":"fixed and floating rate loans (“Loans”) arranged through private negotiations between a corporate borrower or a","page_number":45,"box":{"x":68,"y":513,"width":794,"height":12}},{"id":"0c8e7ec4-0ca4-4d3c-a694-b4702c380574","block_type":"box","text":"foreign sovereign entity and one or more financial institutions or institutional investors (“Lenders”). A Fund may invest","page_number":45,"box":{"x":68,"y":528,"width":841,"height":12}},{"id":"11dc7a2b-8738-4175-8f07-47f2b8671cab","block_type":"box","text":"in such Loans in the form of participations in Loans (“Participations”) and assignments of all or a portion of Loans","page_number":45,"box":{"x":70,"y":543,"width":818,"height":12}},{"id":"25645a11-4eea-4a7b-b049-c9c48951d2ec","block_type":"box","text":"from third parties (“Assignments”). A Fund considers these investments to be investments in debt securities for","page_number":45,"box":{"x":68,"y":559,"width":801,"height":11}},{"id":"ed5bd003-c94e-49be-b177-1a2c05645e3e","block_type":"box","text":"purposes of its investment policies. Participations typically will result in the Fund having a contractual relationship","page_number":45,"box":{"x":70,"y":574,"width":811,"height":11}},{"id":"f49aec3f-aa04-442d-b426-d00bba0dc783","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":45,"box":{"x":69,"y":589,"width":833,"height":11}},{"id":"a87c29ca-ef67-4e38-953f-cab660277ca1","block_type":"box","text":"any fees to which it is entitled only from the Lender selling the Participation and only upon receipt by the Lender of","page_number":45,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"88f6269b-f571-4314-9515-27c3feea4378","block_type":"box","text":"the payments from the borrower. In connection with purchasing Participations, the Fund generally will have no right to","page_number":45,"box":{"x":68,"y":619,"width":836,"height":11}},{"id":"1fcbd154-69ee-4565-b67a-8105336673c5","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":45,"box":{"x":69,"y":634,"width":833,"height":12}},{"id":"7f9b1a25-5112-49d5-b052-74155a9522d3","block_type":"box","text":"off against the borrower, and the Fund may not benefit directly from any collateral supporting the Loan in which it has","page_number":45,"box":{"x":69,"y":649,"width":837,"height":12}},{"id":"f06fe6e7-3124-404f-8b42-214c0f3861ff","block_type":"box","text":"purchased the Participation. As a result, the Fund will assume the credit risk of both the borrower and the Lender","page_number":45,"box":{"x":70,"y":664,"width":809,"height":11}},{"id":"e3d73179-3156-48cc-9aa9-ab62a9cfc397","block_type":"box","text":"that is selling the Participation. In the event of the insolvency of the Lender selling the Participation, the Fund may be","page_number":45,"box":{"x":68,"y":680,"width":838,"height":11}},{"id":"2df391a8-998a-410e-8cc1-21611a270916","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":45,"box":{"x":68,"y":695,"width":772,"height":11}},{"id":"f8bd393c-d9e3-4b39-8c41-b5ce422b8062","block_type":"box","text":"borrower. The Fund will acquire Participations only if the Lender interpositioned between the Fund and the borrower is","page_number":45,"box":{"x":69,"y":710,"width":837,"height":11}},{"id":"42b419e2-6e6d-45df-9042-981233410ac0","block_type":"box","text":"determined by the Fund’s manager to be creditworthy. When the Fund purchases Assignments from Lenders, the","page_number":45,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"85a5e42f-860c-44c2-8dd0-517ffa4fc181","block_type":"box","text":"Fund will acquire direct rights against the borrower on the Loan, and will not have exposure to a counterparty’s credit","page_number":45,"box":{"x":70,"y":740,"width":834,"height":11}},{"id":"6b544022-d880-4904-b16b-e4a45f59d078","block_type":"box","text":"risk. The Funds may enter into Participations and Assignments on a forward commitment or “when-issued” basis,","page_number":45,"box":{"x":69,"y":755,"width":809,"height":11}},{"id":"1888f637-8314-430e-a3bf-92d4d1e1ae3b","block_type":"box","text":"whereby a Fund would agree to purchase a Participation or Assignment at set terms in the future. For more","page_number":45,"box":{"x":68,"y":770,"width":764,"height":12}},{"id":"b313c131-c5a5-4c35-b706-293a6ecb251f","block_type":"box","text":"information on forward commitments and when-issued securities, see “When-Issued Securities, Delayed Delivery","page_number":45,"box":{"x":70,"y":785,"width":805,"height":12}},{"id":"0c2ba9e8-6858-43ad-ae25-19a3cf4133a1","block_type":"box","text":"Securities and Forward Commitments” below.","page_number":45,"box":{"x":69,"y":801,"width":324,"height":9}},{"id":"9756d703-cb0c-4a8e-bc3d-fad4f4851f12","block_type":"box","text":"A Fund may have difficulty disposing of Assignments and Participations. In certain cases, the market for such","page_number":45,"box":{"x":101,"y":823,"width":782,"height":12}},{"id":"3f6978cb-7cd1-4fbb-9a35-dbf4ef4376d5","block_type":"box","text":"instruments may lack sufficient liquidity, and therefore the Fund anticipates that in such cases such instruments","page_number":45,"box":{"x":70,"y":838,"width":803,"height":11}},{"id":"4f919643-7643-48a1-9f99-b9efca0da359","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":45,"box":{"x":69,"y":853,"width":809,"height":12}},{"id":"8bfab663-e7a0-4256-a089-91eaa438405b","block_type":"box","text":"may have an adverse impact on the value of such instruments and on the Fund’s ability to dispose of particular","page_number":45,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"8087402e-cae1-469c-9cc7-6eb89e1915a8","block_type":"box","text":"Assignments or Participations in response to a specific economic event, such as deterioration in the creditworthiness","page_number":45,"box":{"x":68,"y":884,"width":841,"height":11}},{"id":"4f522ea0-059d-4c7a-916c-cf4f15bf3100","block_type":"box","text":"of the borrower.","page_number":45,"box":{"x":69,"y":899,"width":111,"height":9}},{"id":"02ffefa7-8080-43e8-8f13-879bddfd0fd0","block_type":"box","text":"II-7","page_number":45,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"55e3436c-01ed-4c6a-a9c8-3ec98c712487","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":45,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2390a2ec-efa7-4b73-a67f-312f45a441d5","block_type":"box","text":"Leading financial institutions often act as agent for a broader group of Lenders, generally referred to as a","page_number":46,"box":{"x":102,"y":45,"width":750,"height":11}},{"id":"90d8b12b-71bd-4c72-9b40-ded5e0c1bd4c","block_type":"box","text":"syndicate. The syndicate’s agent arranges the loans, holds collateral and accepts payments of principal and interest.","page_number":46,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"e1672343-55a2-49c0-be7d-0912f7d29795","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":46,"box":{"x":70,"y":75,"width":816,"height":11}},{"id":"139a803d-7cf0-4e0a-8048-70358406f3e2","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":46,"box":{"x":101,"y":98,"width":740,"height":11}},{"id":"af4c7f57-e7e6-45a5-b5da-b09656d17247","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":46,"box":{"x":69,"y":113,"width":827,"height":11}},{"id":"e4ca9054-12c0-4de3-b1fc-359506ed4a0a","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":46,"box":{"x":70,"y":128,"width":802,"height":11}},{"id":"d44f5464-57c8-444e-bd10-cace84322599","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":46,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"c18a731f-5681-489a-ac86-7f832eb7b3a9","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":46,"box":{"x":70,"y":158,"width":827,"height":11}},{"id":"e5df4636-6e18-4a43-8daf-5436db13dab5","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":46,"box":{"x":69,"y":173,"width":777,"height":11}},{"id":"2bd37b47-f040-4195-913f-1d7263365300","block_type":"box","text":"investment and may not receive interest during the delay.","page_number":46,"box":{"x":70,"y":188,"width":406,"height":12}},{"id":"c8f01aec-efb9-428c-8bd0-bbcca2c34014","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":46,"box":{"x":101,"y":211,"width":752,"height":11}},{"id":"026ae27b-3c21-441b-b957-e4fe5c08e169","block_type":"box","text":"corporate loans may not be readily available to make additional investments or to meet a Fund’s redemption","page_number":46,"box":{"x":69,"y":226,"width":773,"height":11}},{"id":"57dfe3b5-bb92-4456-9bcc-b3e6e2990d61","block_type":"box","text":"obligations. To the extent the extended settlement process gives rise to short-term liquidity needs, a Fund may hold","page_number":46,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"afb6095c-dbfa-4d37-b3da-2970fb51ac0e","block_type":"box","text":"additional cash, sell investments or temporarily borrow from banks and other lenders.","page_number":46,"box":{"x":69,"y":256,"width":610,"height":11}},{"id":"c9e9301e-03df-401e-907f-033a4fda5853","block_type":"box","text":"In certain circumstances, Loans may not be deemed to be securities under certain federal securities laws.","page_number":46,"box":{"x":102,"y":279,"width":759,"height":11}},{"id":"75ec573e-fe83-47e8-b458-547fc0006ada","block_type":"box","text":"Therefore, in the event of fraud or misrepresentation by a borrower or an arranger, Lenders and purchasers of","page_number":46,"box":{"x":68,"y":294,"width":784,"height":11}},{"id":"fa022d30-9c4a-4a5a-8192-c0bc713b6461","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":46,"box":{"x":70,"y":309,"width":772,"height":11}},{"id":"8e6182e8-776e-4d43-a9da-7bf1a2ca2ff1","block_type":"box","text":"securities laws as would otherwise be available for bonds or stocks. Instead, in such cases, parties generally would","page_number":46,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"f954496f-7dc6-4d9d-873d-e750b35f207a","block_type":"box","text":"rely on the contractual provisions in the Loan agreement itself and common-law fraud protections under applicable","page_number":46,"box":{"x":69,"y":339,"width":815,"height":12}},{"id":"f68217e8-41e8-4210-bc9a-f941c3d979e5","block_type":"box","text":"state law.","page_number":46,"box":{"x":69,"y":355,"width":67,"height":9}},{"id":"625685d6-a5a0-4425-862f-7f9f51dfcee2","block_type":"box","text":"Direct Lending.","page_number":46,"box":{"x":102,"y":377,"width":105,"height":12}},{"id":"59189df7-b4ba-46d9-a947-4512129f109d","block_type":"box","text":"The Fund may act as the originator for direct loans and engage in direct lending. Direct loans","page_number":46,"box":{"x":213,"y":377,"width":660,"height":12}},{"id":"52a27138-9740-4976-8929-baca1f62c25b","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":46,"box":{"x":69,"y":393,"width":817,"height":11}},{"id":"13c0d5ea-0fc5-4f96-9812-a3d61c0e4eb7","block_type":"box","text":"financing to commercial borrowers directly or through companies acquired (or created) and owned by or otherwise","page_number":46,"box":{"x":68,"y":407,"width":811,"height":12}},{"id":"d64c6adc-7250-4770-b5ab-5db1006d8509","block_type":"box","text":"affiliated with the Fund. The terms of the direct loans are negotiated with borrowers in private transactions.","page_number":46,"box":{"x":69,"y":423,"width":764,"height":11}},{"id":"7f8dc38c-97b5-4b81-a942-41b04b73d0fd","block_type":"box","text":"Furthermore, a direct loan may be secured or unsecured.","page_number":46,"box":{"x":70,"y":438,"width":405,"height":11}},{"id":"0bc8b48f-9425-413d-92f6-5b99d8d1f7a1","block_type":"box","text":"In determining whether to make a direct loan, the Fund will rely primarily upon the creditworthiness of the","page_number":46,"box":{"x":102,"y":460,"width":750,"height":12}},{"id":"71b1cbae-6c79-4c61-ab0f-d8aac29f76fb","block_type":"box","text":"borrower and/or any collateral for payment of interest and repayment of principal. The risks associated with direct","page_number":46,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"55bb472f-f40f-4e65-a7e6-1a9dab1d037a","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":46,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"e10f655a-acf1-46cd-9067-7426122db497","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":46,"box":{"x":70,"y":506,"width":818,"height":11}},{"id":"9fa7a267-cb36-47de-9189-5d02ee2824af","block_type":"box","text":"money on the loan. Furthermore, direct loans may subject the Fund to liquidity and interest rate risk and certain","page_number":46,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"277e36a9-189e-42cf-b149-638593396db2","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":46,"box":{"x":69,"y":536,"width":825,"height":11}},{"id":"0b1be4b1-a019-48c6-96fc-7ad0490ea682","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":46,"box":{"x":70,"y":551,"width":807,"height":11}},{"id":"7a40e9d5-52f4-496b-96f0-15814afc8019","block_type":"box","text":"direct loan and/or to value the direct loan.","page_number":46,"box":{"x":69,"y":566,"width":301,"height":11}},{"id":"523e057c-66d2-41d9-9a42-08e3aa96e8fd","block_type":"box","text":"When engaging in direct lending, the Fund’s performance may depend, in part, on the ability of the Fund to","page_number":46,"box":{"x":101,"y":589,"width":762,"height":11}},{"id":"c91efe9c-97d2-43f7-bb34-0b760375d5fa","block_type":"box","text":"originate loans on advantageous terms. In originating loans, the Fund will compete with a broad spectrum of lenders.","page_number":46,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"5e03759e-03c8-40df-9532-dbc102377c86","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":46,"box":{"x":70,"y":619,"width":836,"height":11}},{"id":"f18496b3-9c77-4f5d-b135-5c554e08666e","block_type":"box","text":"such loans, which could reduce Fund performance.","page_number":46,"box":{"x":69,"y":634,"width":362,"height":11}},{"id":"d9306ae7-6a53-49a6-8160-fe992be6badb","block_type":"box","text":"As part of its lending activities, the Fund may originate loans to companies that are experiencing significant","page_number":46,"box":{"x":101,"y":657,"width":767,"height":11}},{"id":"1a4cd9fa-fa89-4f39-b074-e5a41e93cf9d","block_type":"box","text":"financial or business difficulties, including companies involved in bankruptcy or other reorganization and liquidation","page_number":46,"box":{"x":68,"y":672,"width":821,"height":11}},{"id":"fe1803da-48f7-409d-9a01-596aa0d75efa","block_type":"box","text":"proceedings. Although the terms of such financing may result in significant financial returns to the Fund, they involve","page_number":46,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"a55a3f6d-c317-424b-9bea-c1a45a850a81","block_type":"box","text":"a substantial degree of risk. The level of analytical sophistication, both financial and legal, necessary for successful","page_number":46,"box":{"x":69,"y":702,"width":826,"height":12}},{"id":"ca0a208d-4490-4403-9c14-20178738cff6","block_type":"box","text":"financing to companies experiencing significant business and financial difficulties is unusually high.","page_number":46,"box":{"x":68,"y":717,"width":709,"height":12}},{"id":"f15d412a-5b27-442d-a86b-2c5ae2bed5ff","block_type":"box","text":"Credit Linked Securities.","page_number":46,"box":{"x":102,"y":740,"width":179,"height":9}},{"id":"10eba477-cf03-4f9a-815e-3c2fa0adee8f","block_type":"box","text":"Among the income producing securities in which a Fund may invest are credit linked","page_number":46,"box":{"x":287,"y":740,"width":596,"height":11}},{"id":"9790a568-c023-402e-a695-9d39f6d9ecb6","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":46,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"d66fc722-cd03-47d7-af61-0dea5d9cb17b","block_type":"box","text":"or basket of derivative instruments, such as credit default swaps, interest rate swaps and other securities, in order","page_number":46,"box":{"x":69,"y":770,"width":823,"height":11}},{"id":"968b1356-1a9f-4732-ba7e-cf7cc8a08939","block_type":"box","text":"to provide exposure to certain fixed-income markets. For instance, a Fund may invest in credit linked securities as a","page_number":46,"box":{"x":68,"y":785,"width":827,"height":12}},{"id":"7eb99bc9-bf82-454b-8e59-c07b53c6e5bb","block_type":"box","text":"cash management tool in order to gain exposure to a certain market and/or to remain fully invested when more","page_number":46,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"3d345b56-5a57-48f6-9209-b28665d4b368","block_type":"box","text":"traditional income producing securities are not available.","page_number":46,"box":{"x":68,"y":816,"width":404,"height":11}},{"id":"12f2bedd-2fd7-4e59-be16-7dbb3f9ac462","block_type":"box","text":"Like an investment in a bond, investments in these credit linked securities represent the right to receive periodic","page_number":46,"box":{"x":102,"y":839,"width":804,"height":11}},{"id":"986a6950-4fff-423b-91a9-5b305a686c3c","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":46,"box":{"x":70,"y":853,"width":780,"height":12}},{"id":"79f5b8e0-f82c-4dcc-bbf7-0714346be4c2","block_type":"box","text":"However, these payments are conditioned on the issuer’s receipt of payments from, and the issuer’s potential","page_number":46,"box":{"x":102,"y":876,"width":785,"height":11}},{"id":"2e1c6c03-4449-444d-a9e8-a6164d56c7ef","block_type":"box","text":"obligations to, the counterparties to the derivative instruments and other securities in which the issuer invests. For","page_number":46,"box":{"x":69,"y":891,"width":821,"height":12}},{"id":"bc3e9743-bc3e-44f2-ae9a-921cd921cecd","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":46,"box":{"x":70,"y":906,"width":806,"height":12}},{"id":"7a8cb948-f707-4588-b378-582c0f49db07","block_type":"box","text":"II-8","page_number":46,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"b2618093-1ac0-4975-903c-03ed3a769f42","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":46,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"62aa914a-2f14-4dea-b851-cc943055972f","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":47,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"db1b432e-1cfc-4da9-befd-d0d927c95aeb","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":47,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"3be984df-3ab6-4aa0-83c0-6d2eb693bc04","block_type":"box","text":"the issuer would be obligated to pay the counterparty the par (or other agreed upon value) of the referenced debt","page_number":47,"box":{"x":68,"y":75,"width":807,"height":11}},{"id":"3950517b-3dfb-4993-b047-26e46b827d1a","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":47,"box":{"x":69,"y":90,"width":783,"height":11}},{"id":"0510a706-1203-48bd-9e81-7d469c37ebef","block_type":"box","text":"investments in these instruments are indirectly subject to the risks associated with derivative instruments, including,","page_number":47,"box":{"x":70,"y":105,"width":833,"height":11}},{"id":"9590be45-d275-4de7-b7ed-87f16ee4d0fb","block_type":"box","text":"among others, credit risk, default or similar event risk, counterparty risk, interest rate risk, leverage risk and","page_number":47,"box":{"x":69,"y":120,"width":771,"height":12}},{"id":"8cd49e31-2b13-4605-b3ad-10896575255a","block_type":"box","text":"management risk. It is also expected that the securities will be exempt from registration under the Securities Act.","page_number":47,"box":{"x":69,"y":135,"width":808,"height":12}},{"id":"fcd892b8-933d-4533-ad08-758d9ed12c10","block_type":"box","text":"Accordingly, there may be no established trading market for the securities and they may constitute illiquid","page_number":47,"box":{"x":68,"y":150,"width":752,"height":12}},{"id":"23bf3912-7e6d-4049-90ae-70e6bc367cd9","block_type":"box","text":"investments.","page_number":47,"box":{"x":70,"y":166,"width":89,"height":9}},{"id":"2b729e1b-e400-4827-aa5b-d3bc2acc0863","block_type":"box","text":"Debt Securities.","page_number":47,"box":{"x":102,"y":188,"width":116,"height":9}},{"id":"e86ac8cd-932b-4957-ae9a-79c3400e7d51","block_type":"box","text":"Debt securities, such as bonds, involve credit risk. This is the risk that the issuer will not make","page_number":47,"box":{"x":225,"y":188,"width":677,"height":11}},{"id":"e3bea838-d795-406c-98d7-b838a109a909","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":47,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"2124ed77-9f50-4e2d-bcd9-88d939cae2c5","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":47,"box":{"x":68,"y":218,"width":787,"height":12}},{"id":"04c9c3fe-cb36-481a-9b8c-81c9c151ab05","block_type":"box","text":"creditworthiness may also affect the value of a Fund’s investment in that issuer. Credit risk is reduced to the extent","page_number":47,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"d7ed5329-7bb8-4008-8a45-41cb395edaa0","block_type":"box","text":"a Fund limits its debt investments to U.S. Government Securities.","page_number":47,"box":{"x":69,"y":249,"width":466,"height":9}},{"id":"59de6bbb-4d4f-4c8c-94c8-31ea9aa844aa","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":47,"box":{"x":101,"y":271,"width":784,"height":12}},{"id":"f6900dc5-1ad7-40f2-8c2d-5975f5369045","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":47,"box":{"x":68,"y":286,"width":792,"height":12}},{"id":"d684ee86-3ff2-4c9b-8909-657d9131fcfb","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":47,"box":{"x":70,"y":302,"width":806,"height":11}},{"id":"d894aa94-2354-4f4e-a31e-cc09f7739e06","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":47,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"a21b4f10-f43c-4957-8f05-3124469dffd6","block_type":"box","text":"rates than will the market price of shorter-term debt securities.","page_number":47,"box":{"x":69,"y":332,"width":448,"height":11}},{"id":"32788cf6-d871-41ac-88e9-80417fc8de36","block_type":"box","text":"During periods of rising interest rates, the average life of certain fixed-income securities is extended because of","page_number":47,"box":{"x":102,"y":355,"width":798,"height":11}},{"id":"519a98a1-1013-41ba-885e-042f5109fe10","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":47,"box":{"x":69,"y":370,"width":813,"height":11}},{"id":"e3274402-1a94-4e7e-9f37-20593f4efd35","block_type":"box","text":"these fixed-income securities, especially mortgage-related securities, making them more sensitive to changes in","page_number":47,"box":{"x":68,"y":385,"width":801,"height":11}},{"id":"76d7813b-520c-4085-a1aa-55c0fda4efb0","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":47,"box":{"x":70,"y":400,"width":806,"height":11}},{"id":"caf8b0ed-34f8-4eb1-ab84-66c404296915","block_type":"box","text":"lose value. This is known as extension risk.","page_number":47,"box":{"x":70,"y":415,"width":307,"height":9}},{"id":"59ba9c2f-bdcf-4185-afce-911e4080bebd","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":47,"box":{"x":101,"y":438,"width":778,"height":11}},{"id":"5d272cd6-c8b8-4d6a-8902-4fb56edeb34e","block_type":"box","text":"interest rates. Fixed-income securities with longer maturities, which tend to produce higher yields, are subject to","page_number":47,"box":{"x":70,"y":453,"width":798,"height":11}},{"id":"24cf6642-18fd-4a64-aa0e-f35acf75a18e","block_type":"box","text":"potentially greater capital appreciation and depreciation than securities with shorter maturities. The Funds are not","page_number":47,"box":{"x":70,"y":468,"width":812,"height":11}},{"id":"25b1ee01-4f5d-48b3-b2d3-fa920ddd4ca2","block_type":"box","text":"restricted to any maximum or minimum time to maturity in purchasing individual portfolio securities, and the average","page_number":47,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"8ebb20ce-332c-43ad-88b9-b6236e8b425e","block_type":"box","text":"maturity of a Fund’s assets will vary.","page_number":47,"box":{"x":69,"y":498,"width":259,"height":11}},{"id":"ad52fd7a-890c-4d44-baa4-af6451c828cb","block_type":"box","text":"Floating and Variable Rate Securities","page_number":47,"box":{"x":102,"y":521,"width":260,"height":11}},{"id":"859b5df2-d6f3-4acd-9349-2ae316d9959c","block_type":"box","text":". Certain Funds may invest in debt instruments that pay a variable coupon","page_number":47,"box":{"x":364,"y":521,"width":526,"height":11}},{"id":"7e530257-d598-4704-bfcd-3e452c008ef8","block_type":"box","text":"rate. Securities with floating or variable interest rates can be less sensitive to interest rate changes than securities","page_number":47,"box":{"x":69,"y":536,"width":821,"height":11}},{"id":"d9b4a718-598b-493b-a457-82260e672725","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":47,"box":{"x":68,"y":551,"width":834,"height":11}},{"id":"548d1dbe-07e9-4dac-be70-78a2083ab331","block_type":"box","text":"rates in general. Conversely, floating rate securities will not generally increase in value if interest rates decline. The","page_number":47,"box":{"x":69,"y":566,"width":820,"height":11}},{"id":"043cff91-323c-4116-871e-59aa5fad93ac","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":47,"box":{"x":70,"y":581,"width":838,"height":12}},{"id":"55117e3c-5886-46e7-a9cf-500a2d7c96ea","block_type":"box","text":"the investments. Benchmark interest rates used for floating and variable rate securities may not accurately track","page_number":47,"box":{"x":68,"y":596,"width":804,"height":12}},{"id":"5cfc0cc3-b754-4f6d-88dc-53a1c5732d50","block_type":"box","text":"market interest rates.","page_number":47,"box":{"x":69,"y":612,"width":153,"height":9}},{"id":"9923e03f-8efd-40fd-aa93-2556889077c5","block_type":"box","text":"Inflation-Indexed Bonds.","page_number":47,"box":{"x":102,"y":634,"width":169,"height":9}},{"id":"26b15c2f-c595-41de-8b6a-9c4c2ce77014","block_type":"box","text":"Certain Funds may invest in inflation-indexed bonds, which are fixed-income securities or","page_number":47,"box":{"x":278,"y":634,"width":632,"height":11}},{"id":"e6d26a56-d036-4184-9f10-d8ddb688cf0a","block_type":"box","text":"other instruments whose principal value is periodically adjusted according to the rate of inflation. Two structures are","page_number":47,"box":{"x":69,"y":649,"width":828,"height":12}},{"id":"0d4359d9-705e-4786-a1e5-0d9d760fbb1d","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":47,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"aa8f4abe-9ee5-4a21-863d-cfd0113a48c3","block_type":"box","text":"the bond. Most other issuers pay out the Consumer Price Index (“CPI”) accruals as part of a semi-annual coupon.","page_number":47,"box":{"x":68,"y":680,"width":810,"height":11}},{"id":"1166efdf-22be-4210-83ea-9ec35a0ca9ba","block_type":"box","text":"Inflation-indexed securities issued by the U.S. Treasury have maturities of five, ten or thirty years, although it is","page_number":47,"box":{"x":102,"y":702,"width":792,"height":12}},{"id":"c9d20cef-9c21-4a3e-b499-42ca13d985da","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":47,"box":{"x":70,"y":717,"width":833,"height":12}},{"id":"4e3c8393-40b6-4d63-ba6c-27f42fdf2446","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":47,"box":{"x":69,"y":732,"width":810,"height":12}},{"id":"7228005a-24a5-482f-acff-12726d794eba","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":47,"box":{"x":70,"y":747,"width":814,"height":12}},{"id":"2a94b1da-cd32-4bd2-afe3-2f2d5254fab6","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":47,"box":{"x":69,"y":762,"width":816,"height":12}},{"id":"f65a0894-2905-4834-80a1-5906b009a8a1","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":47,"box":{"x":69,"y":777,"width":828,"height":12}},{"id":"3d344df8-d687-4219-8467-41f6f765702e","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":47,"box":{"x":69,"y":792,"width":828,"height":12}},{"id":"d4123a59-6686-4dc9-8bd1-2c514c986be0","block_type":"box","text":"and the second semi-annual interest payment would be $15.45 ($1,030 times 1.5%).","page_number":47,"box":{"x":69,"y":807,"width":610,"height":12}},{"id":"b0d163f5-c30f-4315-bacf-0ea76212fe18","block_type":"box","text":"If the periodic adjustment rate measuring inflation falls, the principal value of inflation-indexed bonds will be","page_number":47,"box":{"x":102,"y":831,"width":767,"height":11}},{"id":"75e69c4a-9c51-4555-8cc1-c0c117f47438","block_type":"box","text":"adjusted downward, and, consequently, the interest payable on these securities (calculated with respect to a smaller","page_number":47,"box":{"x":69,"y":846,"width":833,"height":11}},{"id":"03a841fe-a8d6-4ef2-8f1f-179c6dd36907","block_type":"box","text":"principal amount) will be reduced. Repayment of the original bond principal upon maturity (as adjusted for inflation) is","page_number":47,"box":{"x":70,"y":861,"width":834,"height":11}},{"id":"280e85e7-a19c-4b3b-805d-b590d373afbf","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":47,"box":{"x":68,"y":876,"width":795,"height":11}},{"id":"aac2edd4-0b9a-402f-8c30-a0eaf8189fcf","block_type":"box","text":"current market value of the bonds is not guaranteed, and will fluctuate. Certain Funds may also invest in other","page_number":47,"box":{"x":69,"y":891,"width":788,"height":12}},{"id":"0deb61e6-5401-4ed3-9a38-f0c629460ffe","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":47,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"cedf5d0b-76b7-495f-99ec-d17b5be171e1","block_type":"box","text":"II-9","page_number":47,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"c5b42898-d76c-4b29-9194-13110307c895","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":47,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"217a3eb2-3f1a-44b7-972a-260b521123f1","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":48,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"d8eb943c-582f-4a2d-952d-bdf679b43d17","block_type":"box","text":"Fund purchases inflation-indexed bonds offered by foreign issuers, the rate of inflation measured by the foreign","page_number":48,"box":{"x":70,"y":60,"width":792,"height":11}},{"id":"797b09a1-c43b-4e25-b42d-abc51423bb3e","block_type":"box","text":"inflation index may not be correlated to the rate of inflation in the United States.","page_number":48,"box":{"x":70,"y":75,"width":570,"height":11}},{"id":"c4286384-83ff-4fae-924b-6dfc06272c7f","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":48,"box":{"x":101,"y":98,"width":780,"height":11}},{"id":"e45990c1-0ad6-4d3f-8fe4-4e9074230975","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":48,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"d56590fc-9035-4edd-a6a3-1a788288cb0e","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":48,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"c4cb57ab-e522-4404-af09-f7fae33375cc","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":48,"box":{"x":70,"y":143,"width":796,"height":10}},{"id":"dad9d7e3-6d58-4118-8f6b-a98ea13349ad","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":48,"box":{"x":70,"y":158,"width":805,"height":11}},{"id":"2b54a6e1-efb6-44e8-bb28-26ea4a94d5ee","block_type":"box","text":"assurance, however, that the value of inflation-indexed bonds will be directly correlated to changes in interest rates.","page_number":48,"box":{"x":69,"y":173,"width":824,"height":11}},{"id":"dd216f98-5f8d-455e-b218-4441592e4470","block_type":"box","text":"While these securities are expected to be protected from long-term inflationary trends, short-term increases in","page_number":48,"box":{"x":101,"y":196,"width":788,"height":11}},{"id":"f0174b75-96ed-4adf-9739-fa59e643d6c3","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":48,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"a9d93e5b-e9f6-4954-bbf7-c4d32c3fc36c","block_type":"box","text":"changes in currency exchange rates), investors in these securities may not be protected to the extent that the","page_number":48,"box":{"x":69,"y":226,"width":784,"height":11}},{"id":"252d2bf8-f367-49a0-b7f8-2bd0f8ed2416","block_type":"box","text":"increase is not reflected in the bond’s inflation measure.","page_number":48,"box":{"x":70,"y":241,"width":403,"height":9}},{"id":"c2cd6a0d-5284-4e2f-a865-31cbbee662d2","block_type":"box","text":"In general, the measure used to determine the periodic adjustment of U.S. inflation-indexed bonds is the","page_number":48,"box":{"x":102,"y":264,"width":746,"height":11}},{"id":"cfeb2ac3-6207-4c2b-b041-cac14bcb1a02","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":48,"box":{"x":69,"y":279,"width":786,"height":11}},{"id":"6cefe099-a3f0-4880-b8b0-d5953ff03f43","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":48,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"7502398d-a392-40d7-ada9-c7bd13356888","block_type":"box","text":"food, transportation and energy. Inflation-indexed bonds issued by a foreign government are generally adjusted to","page_number":48,"box":{"x":68,"y":309,"width":809,"height":11}},{"id":"5d41d5c2-34f2-4018-bd4f-d1b02c59e4de","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":48,"box":{"x":69,"y":324,"width":830,"height":12}},{"id":"919665a3-718a-4fcc-ac28-11cd1f4f34c1","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":48,"box":{"x":68,"y":339,"width":833,"height":12}},{"id":"b590d9b2-d13d-4278-983f-45fc62663a12","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":48,"box":{"x":68,"y":355,"width":840,"height":11}},{"id":"b2ca3513-4bc8-4975-9c33-8e2c97df295d","block_type":"box","text":"United States.","page_number":48,"box":{"x":70,"y":370,"width":99,"height":9}},{"id":"b69ad6dc-e7a3-49a5-a005-fb5a2d938232","block_type":"box","text":"Any increase in the principal amount of an inflation-indexed bond will be considered taxable ordinary income,","page_number":48,"box":{"x":101,"y":392,"width":774,"height":12}},{"id":"7087fd44-4178-4321-861b-39a74783c839","block_type":"box","text":"even though investors do not receive their principal until maturity.","page_number":48,"box":{"x":69,"y":408,"width":464,"height":11}},{"id":"fdc77a07-dab8-4298-bde1-cb9c88fc9acb","block_type":"box","text":"Investment Grade Debt Obligations.","page_number":48,"box":{"x":102,"y":430,"width":252,"height":11}},{"id":"bd8fb313-1fa8-4a39-ac94-91f9de805d25","block_type":"box","text":"Certain Funds may invest in “investment grade securities,” which are","page_number":48,"box":{"x":360,"y":430,"width":493,"height":11}},{"id":"921c1ea0-9986-4d92-bb9a-d1c8c04e04ee","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":48,"box":{"x":69,"y":445,"width":823,"height":12}},{"id":"855709f5-379e-409d-bc4c-5264aa8c8762","block_type":"box","text":"Manager. Certain Funds may invest in debt securities rated Aaa by Moody’s or AAA by S&P. It should be noted that","page_number":48,"box":{"x":70,"y":460,"width":815,"height":12}},{"id":"4ceebe1b-c32e-4ff2-b71a-593c5da63668","block_type":"box","text":"debt obligations rated in the lowest of the top four ratings (","page_number":48,"box":{"x":69,"y":475,"width":420,"height":12}},{"id":"86871721-01da-4bc5-bbfa-961c3c654abf","block_type":"box","text":"i.e.","page_number":48,"box":{"x":492,"y":476,"width":20,"height":8}},{"id":"ca46608f-40f3-46a1-b3df-1c883cd12af0","block_type":"box","text":", “Baa” by Moody’s or “BBB” by S&P) are considered","page_number":48,"box":{"x":514,"y":476,"width":377,"height":11}},{"id":"726acd4a-0164-4cb9-96c6-fa7f3bef53e2","block_type":"box","text":"to have some speculative characteristics and are more sensitive to economic change than higher rated securities. If","page_number":48,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"100b70ca-2251-41f4-baf3-033b211dbd0c","block_type":"box","text":"an investment grade security of a Fund is subsequently downgraded below investment grade, the Fund’s Manager will","page_number":48,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"1d9ea8fa-fd5c-41e1-89a3-6d235075ce53","block_type":"box","text":"consider such an event in determining whether the Fund should continue to hold the security. Subject to its","page_number":48,"box":{"x":69,"y":521,"width":763,"height":11}},{"id":"3b2ea6bd-93cc-404e-80e4-bb6df50b8144","block_type":"box","text":"investment strategies, there is no limit on the amount of such downgraded securities a Fund may hold.","page_number":48,"box":{"x":70,"y":536,"width":731,"height":11}},{"id":"c8decfed-9ec7-47ef-a8b4-28352d9ff707","block_type":"box","text":"See Appendix A to this SAI for a description of applicable securities ratings.","page_number":48,"box":{"x":102,"y":559,"width":536,"height":11}},{"id":"b07676e0-503b-4598-920a-54ab794d0330","block_type":"box","text":"High Yield Investments (“Junk Bonds”).","page_number":48,"box":{"x":102,"y":582,"width":278,"height":11}},{"id":"571d55c8-20bf-4537-8452-49ee8b1894bf","block_type":"box","text":"Non-investment grade or “high yield” fixed-income or convertible securities commonly known to investors as","page_number":48,"box":{"x":102,"y":604,"width":767,"height":11}},{"id":"2a540649-53c4-4170-a133-bcaa2816c2b8","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":48,"box":{"x":70,"y":619,"width":834,"height":11}},{"id":"ce7acb0d-252f-42cf-85d7-42652897ad85","block_type":"box","text":"that Fund management believes are of comparable quality. While generally providing greater income and opportunity","page_number":48,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"6c1b6dd0-ff30-4289-aa4d-ba320011fb42","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":48,"box":{"x":68,"y":649,"width":841,"height":12}},{"id":"cdf5f3a5-f593-43b5-9836-f81bf0c7f327","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":48,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"c19ce990-bebe-476d-a3b1-470edca0993d","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":48,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"79e34df8-0ee1-4fde-b523-747161b74f79","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":48,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"3be3c17e-94f6-4f12-985b-736bd40c3e35","block_type":"box","text":"ratings may from time to time change, positively or negatively, to reflect developments regarding the issuer’s financial","page_number":48,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"4574cc1d-eba3-4842-825f-86d971357524","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":48,"box":{"x":69,"y":725,"width":817,"height":11}},{"id":"96c57c27-a9f5-46eb-b186-8a16797de813","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":48,"box":{"x":69,"y":740,"width":837,"height":11}},{"id":"4e0d30f9-f99b-44ae-a1a8-546b977e47a9","block_type":"box","text":"risk than higher rated securities.","page_number":48,"box":{"x":69,"y":755,"width":230,"height":11}},{"id":"1b7f75ef-d1f7-421c-b259-804f654e4cf5","block_type":"box","text":"The major risks in junk bond investments include the following:","page_number":48,"box":{"x":101,"y":778,"width":447,"height":11}},{"id":"90825a2e-7e3a-4dde-bfce-795f4e783b85","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":801,"width":6,"height":4}},{"id":"007f461a-e586-4620-95d0-c3363c39a355","block_type":"box","text":"Junk bonds may be issued by less creditworthy companies. These securities are vulnerable to adverse changes","page_number":48,"box":{"x":101,"y":798,"width":796,"height":11}},{"id":"e81d79ca-709a-4ac2-818f-c180864e9f5d","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":48,"box":{"x":102,"y":813,"width":792,"height":11}},{"id":"fce4bc18-8dc6-4b69-8e12-05ca29c4ef88","block_type":"box","text":"interest or principal payment obligations because of an economic downturn, specific issuer developments or the","page_number":48,"box":{"x":102,"y":828,"width":799,"height":12}},{"id":"883adf86-30dd-4097-a83a-3950333f3f3a","block_type":"box","text":"unavailability of additional financing.","page_number":48,"box":{"x":102,"y":843,"width":256,"height":12}},{"id":"c286f865-4996-4308-8e1b-4ac77e66b89a","block_type":"box","text":"•","page_number":48,"box":{"x":69,"y":866,"width":6,"height":5}},{"id":"d553fc0a-d8c5-42bd-8532-f0085e4cc399","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":48,"box":{"x":101,"y":863,"width":797,"height":12}},{"id":"57fd3984-60c6-4cd5-8a8e-da45e62271a2","block_type":"box","text":"investment grade bonds. If the issuer experiences financial stress, it may be unable to meet its debt obligations.","page_number":48,"box":{"x":102,"y":879,"width":804,"height":11}},{"id":"ae88786c-065d-4dee-b291-a9367d2d8a80","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":48,"box":{"x":101,"y":894,"width":769,"height":11}},{"id":"651bf13b-e994-43e6-bca4-9184443921bc","block_type":"box","text":"II-10","page_number":48,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"464f8ac7-786b-4763-a36b-ff54a93577de","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":48,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"619f8d62-0f1c-41e5-b901-5b9b19f33889","block_type":"box","text":"unavailability of additional financing. Issuers of high yield securities are often in the growth stage of their","page_number":49,"box":{"x":102,"y":45,"width":746,"height":11}},{"id":"76a97acb-fc3f-4130-8200-a5ab608f445b","block_type":"box","text":"development and/or involved in a reorganization or takeover.","page_number":49,"box":{"x":101,"y":60,"width":432,"height":11}},{"id":"9ea4a5ca-0626-4310-a579-79243af44775","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"57dd803a-c5af-4925-a32c-59a82501bea9","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":49,"box":{"x":101,"y":80,"width":808,"height":11}},{"id":"0ff7d082-61e2-4c14-af79-c546bbcb4e77","block_type":"box","text":"senior obligations are generally paid off before the junior obligations, which will potentially limit a Fund’s ability","page_number":49,"box":{"x":102,"y":95,"width":789,"height":11}},{"id":"973d75cf-5f56-4ac1-9d63-5a109b0359d1","block_type":"box","text":"to fully recover principal or to receive interest payments when senior securities are in default. Thus, investors in","page_number":49,"box":{"x":101,"y":110,"width":796,"height":11}},{"id":"0f8b921c-7835-46f4-b73c-2cbd56106414","block_type":"box","text":"high yield securities have a lower degree of protection with respect to principal and interest payments than do","page_number":49,"box":{"x":102,"y":125,"width":782,"height":12}},{"id":"47420ce0-65cf-4f1d-820d-a18ff3267187","block_type":"box","text":"investors in higher rated securities.","page_number":49,"box":{"x":102,"y":141,"width":249,"height":11}},{"id":"aceeba91-402c-4ade-b1a0-cda1897b13b3","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"e129f0c8-c52b-46f6-a515-d21f5aa5e69f","block_type":"box","text":"Junk bonds frequently have redemption features that permit an issuer to repurchase the security from a Fund","page_number":49,"box":{"x":101,"y":161,"width":780,"height":11}},{"id":"e6011d3c-32f0-45df-b99e-eab03b0fdb32","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":49,"box":{"x":102,"y":176,"width":784,"height":11}},{"id":"7ffdb935-caee-41bc-992a-d750e98339ce","block_type":"box","text":"lower yields and may lose income.","page_number":49,"box":{"x":102,"y":191,"width":242,"height":11}},{"id":"ed133751-6dca-48ab-b79d-d5812ace3d41","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":214,"width":6,"height":4}},{"id":"1c69a379-e6b3-407e-bfe1-f48041eb3a52","block_type":"box","text":"Prices of junk bonds are subject to extreme price fluctuations. Negative economic developments may have a","page_number":49,"box":{"x":102,"y":211,"width":772,"height":11}},{"id":"19a1ad76-a643-49c9-a82b-be3424bcc9f6","block_type":"box","text":"greater impact on the prices of junk bonds than on those of other higher rated fixed-income securities.","page_number":49,"box":{"x":101,"y":226,"width":729,"height":11}},{"id":"88665e11-dec3-4091-88c0-8074da3c3f24","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":249,"width":6,"height":5}},{"id":"5f8f7380-8643-49b2-889c-ee45309c5e2f","block_type":"box","text":"Junk bonds may be less liquid than higher rated fixed-income securities even under normal economic conditions.","page_number":49,"box":{"x":101,"y":246,"width":802,"height":11}},{"id":"17952b15-8f2f-4a10-857f-956e8027c1c6","block_type":"box","text":"Under certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield","page_number":49,"box":{"x":102,"y":261,"width":768,"height":12}},{"id":"af568af7-8492-48b9-afe2-e896e37c888b","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":49,"box":{"x":102,"y":276,"width":805,"height":12}},{"id":"96fed0ae-a4ac-443c-9959-02d7c1b3e7e0","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":49,"box":{"x":102,"y":292,"width":781,"height":11}},{"id":"797650a3-7e85-4a92-a402-066b39a1264b","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":49,"box":{"x":102,"y":307,"width":767,"height":11}},{"id":"f1574e20-48a9-4e3a-8e3b-39a28360eef2","block_type":"box","text":"liquid than higher rated bonds, judgment may play a greater role in valuing certain of a Fund’s portfolio securities","page_number":49,"box":{"x":102,"y":322,"width":806,"height":11}},{"id":"a3269efb-7068-43b6-9756-76e997a7d953","block_type":"box","text":"than in the case of securities trading in a more liquid market.","page_number":49,"box":{"x":101,"y":337,"width":436,"height":11}},{"id":"f554cb84-6542-4388-8db6-faaa8f964a67","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"9a1f5acb-10c8-4345-a0ae-8f769e3d453c","block_type":"box","text":"The secondary markets for high yield securities are not as liquid as the secondary markets for higher rated","page_number":49,"box":{"x":101,"y":357,"width":763,"height":11}},{"id":"1efd0e8b-e98c-4ddc-8ee8-97674842f147","block_type":"box","text":"securities. The secondary markets for high yield securities are concentrated in relatively few market makers and","page_number":49,"box":{"x":102,"y":372,"width":798,"height":11}},{"id":"06399c82-59b2-4de9-ae9d-91ccb6f6ce54","block_type":"box","text":"participants in the markets are mostly institutional investors, including insurance companies, banks, other","page_number":49,"box":{"x":102,"y":388,"width":759,"height":11}},{"id":"f4705dda-daf2-41e7-86c5-9626b7d7bd46","block_type":"box","text":"financial institutions and mutual funds. In addition, the trading volume for high yield securities is generally lower","page_number":49,"box":{"x":101,"y":402,"width":798,"height":12}},{"id":"a4e966fb-e51f-4916-bc75-b1b8dda83723","block_type":"box","text":"than that for higher rated securities and the secondary markets could contract under adverse market or","page_number":49,"box":{"x":101,"y":418,"width":739,"height":11}},{"id":"7aa50328-0d0f-423a-8cc1-3c8838ccae96","block_type":"box","text":"economic conditions independent of any specific adverse changes in the condition of a particular issuer. Under","page_number":49,"box":{"x":101,"y":433,"width":792,"height":11}},{"id":"90698f90-6012-413f-b655-5a933dcee543","block_type":"box","text":"certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield securities","page_number":49,"box":{"x":101,"y":448,"width":797,"height":11}},{"id":"b0165bcf-0292-4f06-9afc-16a1a0289c66","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":49,"box":{"x":101,"y":463,"width":791,"height":11}},{"id":"2c44a965-ce89-49d9-8e76-17bf43f868ad","block_type":"box","text":"affect the market price of the high yield security, which may result in increased difficulty selling the particular","page_number":49,"box":{"x":102,"y":478,"width":777,"height":11}},{"id":"0a192581-006a-4538-89ef-bf790a3d71cc","block_type":"box","text":"issue and obtaining accurate market quotations on the issue when valuing a Fund’s assets. Market quotations","page_number":49,"box":{"x":102,"y":493,"width":788,"height":11}},{"id":"eddb1615-bffe-4e3d-a829-8c84ef44de6b","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":49,"box":{"x":102,"y":508,"width":797,"height":12}},{"id":"57ff5219-211e-42b9-99c1-d9781cb50afe","block_type":"box","text":"actual prices available for a purchase or sale. When the secondary market for high yield securities becomes","page_number":49,"box":{"x":102,"y":523,"width":769,"height":12}},{"id":"55bf9d45-3c20-4b06-8360-4fd261b1c3ec","block_type":"box","text":"more illiquid, or in the absence of readily available market quotations for such securities, the relative lack of","page_number":49,"box":{"x":102,"y":538,"width":772,"height":12}},{"id":"44d97547-429a-4761-b7ad-0fe93dd53239","block_type":"box","text":"reliable objective data makes it more difficult to value a Fund’s securities, and judgment plays a more important","page_number":49,"box":{"x":102,"y":554,"width":801,"height":11}},{"id":"02b2f4a7-ccd4-406b-b59d-39b3e5043bac","block_type":"box","text":"role in determining such valuations.","page_number":49,"box":{"x":102,"y":569,"width":252,"height":11}},{"id":"75582a78-be45-4da4-83b4-fa80e6a41e43","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":592,"width":6,"height":4}},{"id":"e0a7f425-8627-45ac-a469-2703dfab64ad","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":49,"box":{"x":101,"y":589,"width":808,"height":11}},{"id":"80112411-9194-47c6-a28e-07b3c204f2e2","block_type":"box","text":"a defaulting issuer.","page_number":49,"box":{"x":102,"y":604,"width":134,"height":11}},{"id":"b61bcac8-28a3-4734-a71a-d2d1f7faaeaa","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":627,"width":6,"height":5}},{"id":"44fe2d1e-b3dc-4143-a311-18ed3244b969","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":49,"box":{"x":101,"y":624,"width":800,"height":11}},{"id":"02667904-87b8-4fa2-8a98-456294a88530","block_type":"box","text":"or expectation of adverse news, whether or not it is based on fundamental analysis. Additionally, prices for high","page_number":49,"box":{"x":102,"y":639,"width":793,"height":12}},{"id":"2f2fa430-aa4e-4d69-90fd-d338fe1a8033","block_type":"box","text":"yield securities may be affected by legislative and regulatory developments. These developments could adversely","page_number":49,"box":{"x":101,"y":654,"width":808,"height":12}},{"id":"63d804a0-d37d-46c0-a7a0-d105a3fbe4b9","block_type":"box","text":"affect a Fund’s NAV and investment practices, the secondary market for high yield securities, the financial","page_number":49,"box":{"x":102,"y":669,"width":756,"height":12}},{"id":"60bb4b62-f484-4375-af31-1d058885bea9","block_type":"box","text":"condition of issuers of these securities and the value and liquidity of outstanding high yield securities, especially","page_number":49,"box":{"x":101,"y":685,"width":803,"height":11}},{"id":"3991be31-e139-48ce-8cce-02a737dd28d5","block_type":"box","text":"in a thinly traded market. For example, federal legislation requiring the divestiture by federally insured savings","page_number":49,"box":{"x":102,"y":700,"width":781,"height":11}},{"id":"c42d8c7b-12f8-4936-af35-5b6f1bc7fdfb","block_type":"box","text":"and loan associations of their investments in high yield bonds and limiting the deductibility of interest by certain","page_number":49,"box":{"x":102,"y":715,"width":798,"height":11}},{"id":"7bbba3d5-3b08-4a16-96d0-dadec3c85940","block_type":"box","text":"corporate issuers of high yield bonds adversely affected the market in the past.","page_number":49,"box":{"x":101,"y":730,"width":566,"height":11}},{"id":"676b063d-c401-4d8b-bafc-4b650dc5147b","block_type":"box","text":"•","page_number":49,"box":{"x":69,"y":753,"width":6,"height":5}},{"id":"2c05aeb5-5d92-4e61-8bdd-c67fe0abd0af","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":49,"box":{"x":101,"y":750,"width":751,"height":11}},{"id":"f2319632-3c41-4b0f-bdd8-d28047914968","block_type":"box","text":"investment grade security’s principal and interest payments, but does not address market value risk. Because","page_number":49,"box":{"x":102,"y":766,"width":786,"height":11}},{"id":"1e66bda6-894b-40a0-ae75-6d7585fafe95","block_type":"box","text":"such ratings of the ratings agencies may not always reflect current conditions and events, in addition to using","page_number":49,"box":{"x":102,"y":780,"width":782,"height":12}},{"id":"65c38cd5-034c-46f0-873c-ba98b1eb67ac","block_type":"box","text":"recognized rating agencies and other sources, the Manager or sub-adviser performs its own analysis of the","page_number":49,"box":{"x":102,"y":795,"width":762,"height":12}},{"id":"624d7bdf-1d9f-4140-8b48-1110e2711d94","block_type":"box","text":"issuers whose non-investment grade securities a Fund holds. Because of this, the Fund’s performance may","page_number":49,"box":{"x":102,"y":811,"width":767,"height":11}},{"id":"dfbf8805-a3c3-4572-b18f-8c6cbedc9991","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":49,"box":{"x":101,"y":826,"width":806,"height":11}},{"id":"6436f339-ccd1-45bf-9e4f-da4ccaab9451","block_type":"box","text":"higher-rated securities.","page_number":49,"box":{"x":102,"y":841,"width":161,"height":11}},{"id":"f369d3fc-9dec-40ea-af2c-9e30b1a1b3a7","block_type":"box","text":"In selecting non-investment grade securities, the Manager or sub-adviser considers factors such as those","page_number":49,"box":{"x":102,"y":863,"width":751,"height":12}},{"id":"0e69447a-28ec-4daa-bbb1-9b955785c4f6","block_type":"box","text":"relating to the creditworthiness of issuers, the ratings and performance of the securities, the protections afforded","page_number":49,"box":{"x":69,"y":879,"width":814,"height":11}},{"id":"1857111c-d551-455d-95c5-095ba088e092","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":49,"box":{"x":68,"y":894,"width":812,"height":11}},{"id":"5e98c238-6b52-4217-9543-012e77e34a17","block_type":"box","text":"investment grade securities held by the Fund for their ability to make required principal and interest payments, as","page_number":49,"box":{"x":70,"y":909,"width":808,"height":11}},{"id":"3a5319aa-1079-41fb-bb42-ee27fec0f8b7","block_type":"box","text":"II-11","page_number":49,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8b7d9572-b263-42e2-a469-cd8e0ab0a0a3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":49,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7fecd2fa-f97a-48db-ae91-cb203e12a98a","block_type":"box","text":"well as in an effort to control the liquidity of the Fund so that it can meet redemption requests. If a security’s rating","page_number":50,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"f030b7ae-cad2-498c-94c5-214c67c806af","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":50,"box":{"x":70,"y":60,"width":779,"height":11}},{"id":"a0cbd18d-2903-40bd-b93b-0c16ab7c7a6d","block_type":"box","text":"consider whether the Fund should continue to hold the security.","page_number":50,"box":{"x":69,"y":75,"width":451,"height":11}},{"id":"e20f542b-e126-4f50-a75b-cbfc5238e2e8","block_type":"box","text":"In the event that a Fund investing in high yield securities experiences an unexpected level of net redemptions,","page_number":50,"box":{"x":102,"y":98,"width":782,"height":11}},{"id":"574d4532-27d5-4ee5-a5a4-d9bd943630df","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":50,"box":{"x":68,"y":113,"width":825,"height":11}},{"id":"9cba1c08-1cdc-4aea-8f00-b019f1dd8feb","block_type":"box","text":"upon which the Fund’s rate of return is based.","page_number":50,"box":{"x":69,"y":128,"width":328,"height":11}},{"id":"f6a82544-9886-4974-b3dc-7b375fba1647","block_type":"box","text":"The costs attributable to investing in the junk bond markets are usually higher for several reasons, such as","page_number":50,"box":{"x":101,"y":150,"width":764,"height":12}},{"id":"ab3d9172-cd1f-4118-9efb-55d4baf57ae5","block_type":"box","text":"higher investment research costs and higher commission costs.","page_number":50,"box":{"x":69,"y":166,"width":455,"height":11}},{"id":"8868debd-ef38-470e-96ac-771cdb96d63d","block_type":"box","text":"Mezzanine Investments.","page_number":50,"box":{"x":102,"y":188,"width":170,"height":9}},{"id":"3055af7a-2aa1-4e42-8e3a-79e9eec5c457","block_type":"box","text":"Certain Funds, consistent with their restrictions on investing in securities of a specific","page_number":50,"box":{"x":279,"y":188,"width":612,"height":12}},{"id":"63f106c0-26ab-4e0c-8346-2df673a0ec83","block_type":"box","text":"credit quality, may invest in certain high yield securities known as mezzanine investments, which are subordinated","page_number":50,"box":{"x":69,"y":204,"width":813,"height":11}},{"id":"4cfc4da1-2339-4b73-9e52-0d90153ce194","block_type":"box","text":"debt securities which are generally issued in private placements in connection with an equity security (","page_number":50,"box":{"x":69,"y":219,"width":729,"height":11}},{"id":"f30af891-7467-489f-a66c-9eed1a07ebe1","block_type":"box","text":"e.g.","page_number":50,"box":{"x":800,"y":220,"width":24,"height":10}},{"id":"29d4125c-5d3c-4e9f-9c2c-00b33df99658","block_type":"box","text":", with","page_number":50,"box":{"x":827,"y":219,"width":36,"height":10}},{"id":"08e4accb-08b4-4a76-a8cb-3bc920c041db","block_type":"box","text":"attached warrants). Such mezzanine investments may be issued with or without registration rights. Similar to other","page_number":50,"box":{"x":69,"y":234,"width":818,"height":11}},{"id":"b99215b4-be92-4eb7-ae67-80e278d35bf1","block_type":"box","text":"high yield securities, maturities of mezzanine investments are typically seven to ten years, but the expected average","page_number":50,"box":{"x":69,"y":249,"width":827,"height":11}},{"id":"882dde8d-3b0f-41de-a3cd-5adcc3759561","block_type":"box","text":"life is significantly shorter at three to five years. Mezzanine investments are usually unsecured and subordinate to","page_number":50,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"4f381591-d73c-49c9-9d7a-8705b6bb3370","block_type":"box","text":"other obligations of the issuer.","page_number":50,"box":{"x":69,"y":279,"width":216,"height":11}},{"id":"c7145733-e0fe-44fe-9f1c-8460b26b891d","block_type":"box","text":"Pay-in-kind Bonds.","page_number":50,"box":{"x":102,"y":302,"width":127,"height":11}},{"id":"4b904524-ac05-46be-9074-d382db1b6210","block_type":"box","text":"Certain Funds may invest in pay-in-kind, or PIK, bonds. PIK bonds are bonds which pay","page_number":50,"box":{"x":236,"y":302,"width":615,"height":11}},{"id":"9b0b2d16-5b40-4d91-b5fb-44c583871594","block_type":"box","text":"interest through the issuance of additional debt or equity securities. Similar to zero coupon obligations, pay-in-kind","page_number":50,"box":{"x":70,"y":317,"width":813,"height":11}},{"id":"bc62ef6a-38e6-459d-96d6-3a2becea0f8a","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":50,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"671db58c-de23-4a03-ad37-cb4b7811bd44","block_type":"box","text":"unless a portion of such securities is sold and, if the issuer defaults, a Fund may obtain no return at all on its","page_number":50,"box":{"x":69,"y":347,"width":784,"height":11}},{"id":"8b028bb1-3880-4707-ae9b-e6a1a0bb3a6e","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":50,"box":{"x":70,"y":362,"width":783,"height":11}},{"id":"aeb8ebfe-94cd-4bfa-b5a7-dd62c38d19b1","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":50,"box":{"x":68,"y":377,"width":790,"height":11}},{"id":"3444a2be-19e8-4872-b8a2-e7b7c90e030b","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":50,"box":{"x":68,"y":392,"width":831,"height":12}},{"id":"e58c34f6-37a0-424f-852a-286955d93dca","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":50,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"3727467c-4ef4-48d3-8e0f-6d503779464b","block_type":"box","text":"federal income and excise taxes, each Fund may be required to distribute income accrued with respect to these","page_number":50,"box":{"x":68,"y":423,"width":798,"height":11}},{"id":"53dfbb73-94ce-4ac4-8d13-9ef8243a0884","block_type":"box","text":"securities and may have to dispose of portfolio securities under disadvantageous circumstances in order to generate","page_number":50,"box":{"x":69,"y":438,"width":835,"height":11}},{"id":"4419780f-b585-4347-9f28-501a824968ea","block_type":"box","text":"cash to satisfy these distribution requirements.","page_number":50,"box":{"x":69,"y":453,"width":336,"height":11}},{"id":"7f7cee58-7e08-4577-a42d-c531661aaa26","block_type":"box","text":"Supranational Entities.","page_number":50,"box":{"x":102,"y":476,"width":160,"height":10}},{"id":"9c3cc8d4-34f7-402a-876f-3ba848936ce9","block_type":"box","text":"A Fund may invest in debt securities of supranational entities. Examples of such entities","page_number":50,"box":{"x":268,"y":475,"width":629,"height":12}},{"id":"d807e50d-bc52-4292-adfb-f1b18d99cc61","block_type":"box","text":"include the International Bank for Reconstruction and Development (the World Bank), the European Steel and Coal","page_number":50,"box":{"x":70,"y":491,"width":814,"height":11}},{"id":"98e9d905-1616-4e63-a4ca-0200a55497dd","block_type":"box","text":"Community, the Asian Development Bank and the Inter-American Development Bank. The government members, or","page_number":50,"box":{"x":69,"y":506,"width":817,"height":11}},{"id":"9d6c9d8e-3cd3-4845-9209-977e5a394161","block_type":"box","text":"“stockholders,” usually make initial capital contributions to the supranational entity and in many cases are","page_number":50,"box":{"x":70,"y":521,"width":759,"height":11}},{"id":"55bd3cc8-35f2-4331-893f-38a2c5fe35fb","block_type":"box","text":"committed to make additional capital contributions if the supranational entity is unable to repay its borrowings. There","page_number":50,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"3a32ff9c-64c2-4fc9-be98-306f9d2cf295","block_type":"box","text":"is no guarantee that one or more stockholders of a supranational entity will continue to make any necessary","page_number":50,"box":{"x":70,"y":551,"width":772,"height":11}},{"id":"ed6f59bd-93ea-48ed-af6a-66f4bf3aa264","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":50,"box":{"x":69,"y":566,"width":830,"height":11}},{"id":"7a327b9a-0376-48a4-ab69-1a3c1c21843d","block_type":"box","text":"principal on its debt securities, and a Fund may lose money on such investments.","page_number":50,"box":{"x":70,"y":582,"width":580,"height":10}},{"id":"64b5df65-cf97-4331-94fa-a9616054d7fb","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs).","page_number":50,"box":{"x":102,"y":604,"width":334,"height":11}},{"id":"368c212c-0ed6-44bc-a450-08215f5a3044","block_type":"box","text":"Certain Funds may invest in the securities of foreign issuers in","page_number":50,"box":{"x":442,"y":604,"width":446,"height":11}},{"id":"0ee98e31-57a7-4895-8a50-82ce00c1bd54","block_type":"box","text":"the form of Depositary Receipts or other securities convertible into securities of foreign issuers. Depositary Receipts","page_number":50,"box":{"x":68,"y":619,"width":835,"height":11}},{"id":"dfe53c6d-155d-4c9c-a36c-ffb6306833f5","block_type":"box","text":"may not necessarily be denominated in the same currency as the underlying securities into which they may be","page_number":50,"box":{"x":69,"y":634,"width":784,"height":12}},{"id":"b9ec9221-d314-4fa1-acb9-36803ceaab3c","block_type":"box","text":"converted. The Fund may invest in both sponsored and unsponsored American Depositary Receipts (“ADRs”),","page_number":50,"box":{"x":69,"y":650,"width":781,"height":11}},{"id":"2ff4af61-aa92-4de3-b333-dac5d05a5972","block_type":"box","text":"European Depositary Receipts (“EDRs”), Global Depositary Receipts (“GDRs”) and other similar global instruments.","page_number":50,"box":{"x":70,"y":665,"width":823,"height":11}},{"id":"e8284630-7bef-46fb-b34d-6a90991cad79","block_type":"box","text":"ADRs typically are issued by an American bank or trust company and evidence ownership of underlying securities","page_number":50,"box":{"x":68,"y":680,"width":804,"height":11}},{"id":"2879e6a0-883a-4223-bc35-997551c4081c","block_type":"box","text":"issued by a foreign corporation. EDRs, which are sometimes referred to as Continental Depositary Receipts, are","page_number":50,"box":{"x":70,"y":695,"width":799,"height":11}},{"id":"4fcb07e8-91ba-47fa-b797-85083b817e3d","block_type":"box","text":"receipts issued in Europe, typically by foreign banks and trust companies, that evidence ownership of either foreign","page_number":50,"box":{"x":69,"y":710,"width":821,"height":11}},{"id":"af6620bf-1efe-49d0-9a90-ab480cb25e34","block_type":"box","text":"or domestic underlying securities. GDRs are depositary receipts structured like global debt issues to facilitate trading","page_number":50,"box":{"x":69,"y":725,"width":837,"height":11}},{"id":"ca1b1c47-492a-49cf-89d0-4e38adc33d48","block_type":"box","text":"on an international basis. In addition to investment risks associated with the underlying issuer, Depositary Receipts","page_number":50,"box":{"x":69,"y":740,"width":825,"height":11}},{"id":"fdb9559e-3074-4000-a4bb-67471f8f1b99","block_type":"box","text":"expose a Fund to additional risks associated with the non-uniform terms that apply to Depositary Receipt programs,","page_number":50,"box":{"x":69,"y":755,"width":825,"height":11}},{"id":"faa3f3a4-22fe-4189-b045-e55f237ef476","block_type":"box","text":"credit exposure to the depository bank and to the sponsors and other parties with whom the depository bank","page_number":50,"box":{"x":69,"y":771,"width":780,"height":10}},{"id":"41fcec42-14a5-451a-afa6-84f74825609b","block_type":"box","text":"establishes the programs, currency risk and the risk of an illiquid market for Depositary Receipts. Unsponsored ADR,","page_number":50,"box":{"x":69,"y":785,"width":833,"height":12}},{"id":"e277de65-456e-4331-bd64-d4b74f293a77","block_type":"box","text":"EDR and GDR programs are organized independently and without the cooperation of the issuer of the underlying","page_number":50,"box":{"x":70,"y":801,"width":796,"height":11}},{"id":"55d593a5-cefb-4d81-9fb2-8f5e696c954f","block_type":"box","text":"securities. Unsponsored programs generally expose investors to greater risks than sponsored programs and do not","page_number":50,"box":{"x":69,"y":816,"width":822,"height":11}},{"id":"57b7047f-d188-4024-9528-5a5a13d37fe1","block_type":"box","text":"provide holders with many of the shareholder benefits that come from investing in a sponsored Depositary Receipt.","page_number":50,"box":{"x":70,"y":831,"width":820,"height":11}},{"id":"04edc2a4-b55f-4187-b5dc-63bfbcd5c7de","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":50,"box":{"x":68,"y":846,"width":827,"height":11}},{"id":"3fac920a-54b4-4904-90d3-fe0f1cc0cc56","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":50,"box":{"x":70,"y":861,"width":825,"height":11}},{"id":"a175ba62-0ad2-4ff2-8c0a-8f3c1b933e6c","block_type":"box","text":"issuer. Depositary Receipts are generally subject to the same risks as the foreign securities that they evidence or","page_number":50,"box":{"x":70,"y":876,"width":810,"height":11}},{"id":"64563390-733c-4f10-a80e-666deaf2b9b5","block_type":"box","text":"into which they may be converted. Investments in ADRs, EDRs and GDRs present additional investment","page_number":50,"box":{"x":70,"y":891,"width":737,"height":11}},{"id":"083b9363-d440-463c-b507-398230a28632","block_type":"box","text":"considerations as described under “Foreign Investment Risks.”","page_number":50,"box":{"x":69,"y":907,"width":449,"height":11}},{"id":"a888797a-383f-4d1d-b789-627baef13413","block_type":"box","text":"II-12","page_number":50,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d7d71d95-c216-4903-979f-b1aed1fa3661","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":50,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b588c267-d9d2-4451-97b1-ef686a6f61b7","block_type":"box","text":"Derivatives.","page_number":51,"box":{"x":102,"y":45,"width":84,"height":9}},{"id":"f8a9e71c-1706-4e9b-bb57-8258ac1ec0b7","block_type":"box","text":"General.","page_number":51,"box":{"x":102,"y":67,"width":58,"height":9}},{"id":"9701b810-8fe9-4c98-9761-e4472f6bb11c","block_type":"box","text":"Each Fund may use instruments referred to as derivatives, which are financial instruments that derive","page_number":51,"box":{"x":167,"y":67,"width":725,"height":11}},{"id":"f9436c55-4e92-429d-958c-64a7c0c742ff","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":51,"box":{"x":68,"y":82,"width":836,"height":12}},{"id":"e8ea8918-d49c-46e7-ba1b-e043f450afce","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":51,"box":{"x":70,"y":98,"width":829,"height":11}},{"id":"ac2af1f2-e8a8-446b-9e7b-23e05bbb27e2","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":51,"box":{"x":70,"y":113,"width":830,"height":11}},{"id":"e8af2f6e-6064-47eb-b728-bf3abed296e2","block_type":"box","text":"efficiently than with other transactions. Certain Funds may use derivatives to maintain a portion of their long and","page_number":51,"box":{"x":69,"y":128,"width":804,"height":11}},{"id":"eef7605e-43db-4457-a120-9a191fb04e63","block_type":"box","text":"short positions. Unless otherwise permitted, no Fund may use derivatives to gain exposure to an asset or asset","page_number":51,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"92ebef86-a910-45a6-a99a-d1a92e41de28","block_type":"box","text":"class it is prohibited by its investment restrictions from purchasing directly. As described below, derivatives can be","page_number":51,"box":{"x":69,"y":158,"width":816,"height":11}},{"id":"59d2f311-dfb0-47d9-80b6-83181586ccdd","block_type":"box","text":"used for hedging or speculative purposes. Funds will engage in transaction-level payment netting,","page_number":51,"box":{"x":69,"y":173,"width":691,"height":11}},{"id":"5815450a-db67-4126-971c-8e884f0e73ab","block_type":"box","text":"i.e.","page_number":51,"box":{"x":768,"y":173,"width":20,"height":9}},{"id":"5c4bb369-6e67-47cc-9f82-ca338e7d4adf","block_type":"box","text":", the payment","page_number":51,"box":{"x":791,"y":173,"width":96,"height":11}},{"id":"6cc10399-f41f-4a26-b925-aaf598f71275","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":51,"box":{"x":69,"y":188,"width":839,"height":12}},{"id":"ebdb8e5c-5f96-40eb-8258-550b2f92a75a","block_type":"box","text":"be, only the net amount of the two payment streams.","page_number":51,"box":{"x":69,"y":203,"width":378,"height":12}},{"id":"b799a31a-e836-449d-9dc7-4d636450b0f9","block_type":"box","text":"Hedging.","page_number":51,"box":{"x":102,"y":226,"width":60,"height":11}},{"id":"83840e81-158d-450e-b927-c57ecf73e0de","block_type":"box","text":"Each Fund may use derivatives for hedging purposes, in which a derivative is used to offset the risks","page_number":51,"box":{"x":169,"y":226,"width":717,"height":11}},{"id":"8c32998a-9da7-4189-b9e2-5a549d692b2a","block_type":"box","text":"associated with other Fund holdings. Losses on other investments may be substantially reduced by gains on a","page_number":51,"box":{"x":69,"y":241,"width":786,"height":11}},{"id":"a8856aed-031c-4eea-8d7a-0bb7f779d96a","block_type":"box","text":"derivative that reacts in an opposite manner to market movements. Although hedging may reduce losses, it may also","page_number":51,"box":{"x":69,"y":257,"width":834,"height":11}},{"id":"4806b2da-c96b-4990-bf12-733c4ba38d86","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":51,"box":{"x":69,"y":271,"width":834,"height":12}},{"id":"20918163-a5b5-481f-a27d-77b3e3ba5315","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":51,"box":{"x":70,"y":286,"width":797,"height":12}},{"id":"0d4de9d7-56f7-4290-9aaf-b459c896ffc0","block_type":"box","text":"correlation risk,","page_number":51,"box":{"x":69,"y":302,"width":109,"height":10}},{"id":"150ecc13-7f67-48ab-9609-5f1c317edd0a","block_type":"box","text":"i.e.","page_number":51,"box":{"x":186,"y":302,"width":20,"height":9}},{"id":"3adb62da-ce26-4f0d-9481-9023b0b3e478","block_type":"box","text":", the risk that changes in the value of the derivative will not match those of the holdings being","page_number":51,"box":{"x":209,"y":302,"width":669,"height":11}},{"id":"e1e45f14-a070-46d8-a210-c189c319f5de","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":51,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"39324e57-7105-447a-ad2d-1ab8a7cb711f","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":51,"box":{"x":69,"y":332,"width":835,"height":11}},{"id":"36dc2538-40de-42a4-8bbc-a2c882365125","block_type":"box","text":"be effective. No Fund is required to use derivatives to hedge.","page_number":51,"box":{"x":69,"y":347,"width":434,"height":11}},{"id":"b5ef32f3-03df-41ec-9030-a0bc4bc17778","block_type":"box","text":"Speculation.","page_number":51,"box":{"x":102,"y":370,"width":86,"height":11}},{"id":"45a83a4f-30fc-4be2-949f-f17e801667e0","block_type":"box","text":"Certain Funds may also use derivatives for speculative purposes to seek to enhance returns. The","page_number":51,"box":{"x":195,"y":370,"width":694,"height":11}},{"id":"5d6658c1-35c0-49f2-bfc9-27335b2152ab","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":51,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"d7604593-42a5-4bda-a83b-72e0ae996db7","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":51,"box":{"x":70,"y":400,"width":824,"height":11}},{"id":"73e918d8-2a82-4ca0-bd2b-fe5af2a600e5","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":51,"box":{"x":69,"y":415,"width":831,"height":11}},{"id":"83850389-6529-4d53-baef-96be54d693c1","block_type":"box","text":"in certain cases may be unlimited.","page_number":51,"box":{"x":70,"y":430,"width":243,"height":11}},{"id":"e616237d-ad39-4560-8043-e226a8b19c27","block_type":"box","text":"Regulation of Derivatives.","page_number":51,"box":{"x":102,"y":453,"width":180,"height":11}},{"id":"12fc8b6a-c15c-45a3-a714-36a8493da86e","block_type":"box","text":"Rule 18f-4 Under the Investment Company Act.","page_number":51,"box":{"x":102,"y":475,"width":333,"height":12}},{"id":"5e816760-c352-42c6-9e67-05be82de26ab","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to","page_number":51,"box":{"x":442,"y":475,"width":458,"height":12}},{"id":"ca45431d-d166-4cc5-946f-6c9805ae1a64","block_type":"box","text":"enter into Derivatives Transactions (as defined below) and certain other transactions notwithstanding the restrictions","page_number":51,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"aef73276-e530-41c5-83b6-c989b0c39382","block_type":"box","text":"on the issuance of “senior securities” under Section 18 of the Investment Company Act. Section 18 of the","page_number":51,"box":{"x":69,"y":506,"width":759,"height":11}},{"id":"0bd58b50-972b-4232-aa3c-33202d8f46f8","block_type":"box","text":"Investment Company Act, among other things, prohibits open-end funds, including the Funds, from issuing or selling","page_number":51,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"9629f240-a1a7-445e-a4b2-b2694eb85b7b","block_type":"box","text":"any “senior security,” other than borrowing from a bank (subject to a requirement to maintain 300% “asset","page_number":51,"box":{"x":69,"y":536,"width":763,"height":11}},{"id":"abc55366-eb15-41e9-8c12-5bf36a237f3d","block_type":"box","text":"coverage”).","page_number":51,"box":{"x":69,"y":551,"width":79,"height":11}},{"id":"f97b0b94-7b8d-49d2-b30d-dd6ddb3385d2","block_type":"box","text":"Under Rule 18f-4, “Derivatives Transactions” include the following: (1) any swap, security-based swap (including","page_number":51,"box":{"x":102,"y":574,"width":796,"height":11}},{"id":"6e49da2c-b4a7-4df9-ad51-1c4f1d761ef0","block_type":"box","text":"a contract for differences), futures contract, forward contract, option (excluding purchased options), any combination","page_number":51,"box":{"x":69,"y":589,"width":832,"height":11}},{"id":"a57f3d3c-af2a-45e6-aeb5-b35daca341ce","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":51,"box":{"x":69,"y":604,"width":840,"height":11}},{"id":"5d951fd7-c24d-49b7-854a-e9aae4ad21b3","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":51,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"e1d255f0-d069-4509-8882-511915dc0ef8","block_type":"box","text":"settlement payment or otherwise; (2) any short sale borrowing; (3) reverse repurchase agreements and similar","page_number":51,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"728311fb-6a3f-4432-b60d-5b6ba31105a1","block_type":"box","text":"financing transactions (","page_number":51,"box":{"x":68,"y":649,"width":166,"height":12}},{"id":"b9d51127-60b7-41ac-bff2-90b52a75dd2a","block_type":"box","text":"e.g.","page_number":51,"box":{"x":236,"y":651,"width":25,"height":10}},{"id":"08fdab52-ab06-48c2-98e6-39ddd61f3924","block_type":"box","text":", recourse and non-recourse tender option bonds, and borrowed bonds), if a Fund elects to","page_number":51,"box":{"x":263,"y":649,"width":646,"height":11}},{"id":"a74e0fd0-abe8-4b5a-a6b0-d01b2d22b927","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":51,"box":{"x":68,"y":664,"width":825,"height":12}},{"id":"3ba37943-75ad-49ee-abe6-f1970214a922","block_type":"box","text":"securities (","page_number":51,"box":{"x":69,"y":680,"width":78,"height":11}},{"id":"0c771521-c6ea-44af-ae40-b82ecef8c426","block_type":"box","text":"e.g.","page_number":51,"box":{"x":148,"y":681,"width":25,"height":10}},{"id":"72596eeb-d455-49ee-9418-703312964fbd","block_type":"box","text":", firm and standby commitments, including to-be-announced (“TBA”) commitments, and dollar rolls)","page_number":51,"box":{"x":176,"y":680,"width":704,"height":11}},{"id":"fd3c1fd2-afeb-4fc5-80b4-fc0064cb7bb2","block_type":"box","text":"and non-standard settlement cycle securities, unless such transactions meet the Delayed-Settlement Securities","page_number":51,"box":{"x":69,"y":695,"width":796,"height":11}},{"id":"ba0f0a82-1053-4050-9da5-70c9978a78ad","block_type":"box","text":"Provision (as defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward","page_number":51,"box":{"x":69,"y":710,"width":732,"height":11}},{"id":"3347043e-a4c0-4c15-8aa6-894eecc60a4f","block_type":"box","text":"Commitments”).","page_number":51,"box":{"x":69,"y":725,"width":115,"height":11}},{"id":"2b844e56-9e86-477c-a0a8-0aaffcb60039","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":51,"box":{"x":102,"y":748,"width":805,"height":11}},{"id":"83224244-1e18-4165-a1fa-ef9b04ba8d3e","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":51,"box":{"x":70,"y":763,"width":832,"height":11}},{"id":"da8be052-2759-4a76-bb8b-7d7e22648e8d","block_type":"box","text":"implement a comprehensive written derivatives risk management program (“DRMP”) and comply with a relative or","page_number":51,"box":{"x":70,"y":778,"width":808,"height":11}},{"id":"7cac4c00-7171-4cda-9aeb-0ae44f782f6e","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":51,"box":{"x":69,"y":793,"width":780,"height":11}},{"id":"88fc00a8-9939-4416-875d-4d92177ce33a","block_type":"box","text":"“derivatives risk manager,” who is appointed by the Fund’s Board, including a majority of the independent Directors,","page_number":51,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"6ea2f117-10bc-41f4-8f0e-de5c0fe947aa","block_type":"box","text":"and periodically reviews the DRMP and reports to the Fund’s Board.","page_number":51,"box":{"x":69,"y":823,"width":482,"height":11}},{"id":"b0d4f6cc-9cc0-48c5-8e59-8e2d4117eee1","block_type":"box","text":"Rule 18f-4 provides an exception from the DRMP, VaR limit and certain other requirements if a Fund’s","page_number":51,"box":{"x":102,"y":846,"width":724,"height":11}},{"id":"c76e81b1-a95d-4f77-a218-049cebf362b0","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":51,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"51f2ba5c-08b3-4156-a460-afe17aa0ba20","block_type":"box","text":"adopts and implements written policies and procedures reasonably designed to manage its derivatives risks (the","page_number":51,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"320c58cd-ec6c-4210-b272-749f0e55f10c","block_type":"box","text":"“Limited Derivatives User Exception”).","page_number":51,"box":{"x":70,"y":891,"width":268,"height":11}},{"id":"c9d44294-e10d-4a3e-a7a0-a5cd743de9f6","block_type":"box","text":"II-13","page_number":51,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0561c4eb-48da-434a-8dc5-91c5d103789b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":51,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b79e7933-e821-4e24-ae5b-87b2ab8e9529","block_type":"box","text":"Dodd-Frank Regulations.","page_number":52,"box":{"x":102,"y":45,"width":171,"height":11}},{"id":"34407662-f0f2-46fe-9adf-d333a29e673a","block_type":"box","text":"The Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”),","page_number":52,"box":{"x":279,"y":45,"width":575,"height":11}},{"id":"a828adcb-cb20-4540-9913-bb3fa590e1ba","block_type":"box","text":"enacted in July 2010, includes provisions that comprehensively regulate the over-the-counter (“OTC”) derivatives","page_number":52,"box":{"x":69,"y":60,"width":800,"height":11}},{"id":"e6ee4bae-6acd-42d8-91e6-5563e9cc8f8a","block_type":"box","text":"markets for the first time. While the Commodity Futures Trading Commission (“CFTC”) and other U.S. regulators have","page_number":52,"box":{"x":69,"y":75,"width":834,"height":11}},{"id":"961b90bd-3817-4bbe-b2ef-9f5702197572","block_type":"box","text":"adopted many of the required Dodd-Frank regulations, certain regulations have only recently become effective and","page_number":52,"box":{"x":69,"y":90,"width":813,"height":11}},{"id":"e3be5668-23ad-4503-b282-8faa99b578e0","block_type":"box","text":"other regulations remain to be adopted. The full impact of Dodd-Frank on the Funds remains uncertain.","page_number":52,"box":{"x":69,"y":105,"width":733,"height":11}},{"id":"3a131707-313e-44f4-a270-5902fff21fe9","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":52,"box":{"x":102,"y":128,"width":789,"height":11}},{"id":"47408946-f5b6-4d32-8e1a-de797a8572ab","block_type":"box","text":"“security-based swap dealers”. Registered swap dealers and security-based swap dealers are subject to various","page_number":52,"box":{"x":70,"y":143,"width":797,"height":11}},{"id":"fa2d3a5e-89f0-4ee7-9969-e31fffc714aa","block_type":"box","text":"regulatory requirements, including, but not limited to, margin, recordkeeping, reporting, transparency, position limits,","page_number":52,"box":{"x":69,"y":158,"width":833,"height":11}},{"id":"19d28a1a-f3bc-4fe2-b34c-8c6c5c249209","block_type":"box","text":"limitations on conflicts of interest, business conduct standards, minimum capital requirements and other regulatory","page_number":52,"box":{"x":70,"y":173,"width":826,"height":11}},{"id":"05571463-b111-4cd3-8ba3-ed0dbe8bd0e1","block_type":"box","text":"requirements, which indirectly impact the Funds that enter into transactions with them.","page_number":52,"box":{"x":69,"y":188,"width":618,"height":11}},{"id":"51a19fc9-91f7-4a1b-9f80-d43bf7d06750","block_type":"box","text":"The CFTC requires that certain interest rate swaps and certain credit default swaps must be executed in","page_number":52,"box":{"x":101,"y":211,"width":745,"height":11}},{"id":"f16a2524-6afa-47e8-9c8c-bc79c95c602b","block_type":"box","text":"regulated markets and be submitted for clearing to regulated clearinghouses. The SEC is also expected to impose","page_number":52,"box":{"x":69,"y":226,"width":813,"height":11}},{"id":"ea788867-6117-4f25-912c-fc19f3929b54","block_type":"box","text":"similar requirements on certain security-based derivatives in the future. OTC derivatives trades submitted for clearing","page_number":52,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"9c54efa4-3ed6-40f2-8e09-bf28e2f8d4e5","block_type":"box","text":"are subject to minimum initial and variation margin requirements set by the relevant clearinghouse, as well as margin","page_number":52,"box":{"x":69,"y":257,"width":837,"height":11}},{"id":"49eec704-ebe7-45f6-a10c-fd3d718a3b8e","block_type":"box","text":"requirements mandated by the CFTC, SEC and/or federal prudential regulators. In addition, futures commission","page_number":52,"box":{"x":69,"y":271,"width":794,"height":12}},{"id":"1332560d-553f-482e-ab88-edb7458eec8b","block_type":"box","text":"merchants (“FCMs”), who act as clearing members on behalf of customers for cleared OTC derivatives and futures","page_number":52,"box":{"x":69,"y":286,"width":815,"height":12}},{"id":"4075ce18-94e0-42d5-aa55-54477d91dd8a","block_type":"box","text":"contracts, also have discretion to increase a Fund’s margin requirements for these transactions beyond any","page_number":52,"box":{"x":69,"y":302,"width":770,"height":11}},{"id":"1eb74dd5-8be0-4861-8728-16f8e3823f94","block_type":"box","text":"regulatory and clearinghouse minimums subject to any restrictions on such discretion in the documentation between","page_number":52,"box":{"x":69,"y":317,"width":831,"height":11}},{"id":"e4fa7154-aab6-44fc-b3e9-0077d6cde3e9","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":52,"box":{"x":68,"y":332,"width":804,"height":11}},{"id":"2dafc9b2-7256-4b14-b7d8-7930af6f78ac","block_type":"box","text":"enter into highly tailored or customized transactions, potentially rendering certain investment strategies impossible or","page_number":52,"box":{"x":69,"y":347,"width":839,"height":11}},{"id":"2ac53db6-6a86-4953-9db4-0a42912630fc","block_type":"box","text":"not economically feasible. If a Fund decides to execute and clear cleared OTC derivatives and/or futures contracts","page_number":52,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"44e09a6d-1753-418b-8817-17ea438e7e28","block_type":"box","text":"through execution facilities, exchanges or clearinghouses, either indirectly through an executing broker, clearing","page_number":52,"box":{"x":68,"y":377,"width":796,"height":12}},{"id":"c1527a7b-f6f6-477c-b72c-0ee2bf4dcd8f","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":52,"box":{"x":69,"y":392,"width":793,"height":12}},{"id":"9b15e28b-2d7e-42f4-9a40-9453ee9d3ba5","block_type":"box","text":"exchange or clearinghouse and other applicable law.","page_number":52,"box":{"x":69,"y":408,"width":370,"height":11}},{"id":"de3da45d-395d-4c33-9f4f-faba9a30d470","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":52,"box":{"x":101,"y":430,"width":766,"height":11}},{"id":"a745fb75-fbfc-4db5-97bc-6f6504dbb548","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":52,"box":{"x":69,"y":445,"width":826,"height":12}},{"id":"93380b40-c37f-4912-97de-9557b0d8fb47","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":52,"box":{"x":69,"y":460,"width":825,"height":12}},{"id":"1e00302c-6c68-472d-8395-203a9d2b6d36","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":52,"box":{"x":70,"y":475,"width":791,"height":12}},{"id":"33ab1f42-2c87-40bc-a460-8107d0da15c3","block_type":"box","text":"obligations to the clearinghouse simultaneously with a customer’s failure to meet its obligations to the clearing","page_number":52,"box":{"x":69,"y":491,"width":793,"height":11}},{"id":"daa0f104-d19b-4389-bafa-253a74004c7d","block_type":"box","text":"member.","page_number":52,"box":{"x":69,"y":506,"width":60,"height":9}},{"id":"95cea3f4-92e0-42d2-bdb1-14f259dc676d","block_type":"box","text":"Clearing member FCMs are required to post initial margin to the clearinghouses through which they clear their","page_number":52,"box":{"x":102,"y":529,"width":782,"height":11}},{"id":"7023aac6-1ff0-4824-a551-5674be63661b","block_type":"box","text":"customers’ cleared OTC derivatives and futures contracts, instead of using such initial margin in their businesses, as","page_number":52,"box":{"x":69,"y":543,"width":837,"height":12}},{"id":"622a4035-53a7-4ead-ba68-596844fba3ad","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":52,"box":{"x":68,"y":559,"width":811,"height":11}},{"id":"b646437d-fb09-4bab-ab20-2d250ce6265c","block_type":"box","text":"margin in excess of clearinghouse requirements, and certain clearinghouses may share a portion of their earnings on","page_number":52,"box":{"x":69,"y":574,"width":838,"height":11}},{"id":"84aa7db5-de3b-4746-8302-dc57e1a185be","block_type":"box","text":"initial margin with their clearing members, some portion of the initial margin that is passed through to the","page_number":52,"box":{"x":70,"y":589,"width":754,"height":11}},{"id":"1b95b8ee-b950-4246-84c1-5a8d994f62f9","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":52,"box":{"x":69,"y":604,"width":815,"height":11}},{"id":"c0687f40-987a-4676-babf-d2e888f8c62a","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":52,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"03eab318-3c38-48ce-ac2c-707c831e0d99","block_type":"box","text":"FCMs to charge higher fees, or provide less favorable pricing on cleared OTC derivatives than swap dealers will","page_number":52,"box":{"x":70,"y":634,"width":788,"height":12}},{"id":"341f1298-fb0f-40bb-b214-101596fb698f","block_type":"box","text":"provide for non-cleared OTC derivatives. Furthermore, customers, including the Funds, are subject to additional fees","page_number":52,"box":{"x":70,"y":649,"width":825,"height":12}},{"id":"6218c43b-3b8d-4b7d-a7de-69214d6ccb31","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":52,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"c8514e5b-55fe-452f-8721-007473202a4b","block_type":"box","text":"to trading non-cleared OTC derivatives bilaterally.","page_number":52,"box":{"x":68,"y":680,"width":346,"height":11}},{"id":"c6999ad6-a424-406e-8f6e-8e2d5181337d","block_type":"box","text":"With respect to uncleared swaps, registered swap dealers and security-based swap dealers are required to","page_number":52,"box":{"x":101,"y":703,"width":762,"height":11}},{"id":"aca3919e-c259-470a-bbaa-7357579f4d0a","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":52,"box":{"x":69,"y":718,"width":820,"height":11}},{"id":"fe0e7b11-b227-454f-9da2-d21cfd7989fd","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":52,"box":{"x":69,"y":732,"width":816,"height":12}},{"id":"aaf055a7-8196-475f-ae7c-00327eb3b0ad","block_type":"box","text":"subject to applicable regulatory haircuts and other restrictions. Shares of investment companies (other than certain","page_number":52,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"afb00ba1-3491-4f10-89ee-d14c13a4212f","block_type":"box","text":"money market funds) may not be posted as collateral under applicable regulations.","page_number":52,"box":{"x":69,"y":763,"width":590,"height":11}},{"id":"7737e74b-fe9c-4bc7-b1bb-aa025f499125","block_type":"box","text":"The CFTC, certain foreign regulators, and many futures exchanges have established (and continue to evaluate","page_number":52,"box":{"x":101,"y":785,"width":783,"height":12}},{"id":"06588d74-ad19-49b0-8521-c58b3cbe5e7a","block_type":"box","text":"and monitor) speculative position limits (“position limits”) on the maximum speculative position which any person, or","page_number":52,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"78e968fb-290e-4558-86e6-a8ee7a5911a8","block_type":"box","text":"group of persons acting in concert, may hold or control in particular contracts. In addition, U.S. federal position limits","page_number":52,"box":{"x":68,"y":816,"width":837,"height":11}},{"id":"4e6bf63b-71ea-4404-908d-9777bc1767c7","block_type":"box","text":"apply to swaps that are economically equivalent to futures contracts on certain agricultural, metals and energy","page_number":52,"box":{"x":69,"y":831,"width":789,"height":11}},{"id":"8be88115-871f-4429-96ab-d4cdaebb1903","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":52,"box":{"x":69,"y":846,"width":818,"height":11}},{"id":"c7bdda69-c29d-460a-999d-d2a9476e4c69","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":52,"box":{"x":69,"y":861,"width":801,"height":11}},{"id":"54182815-d889-4429-bbab-9c5ad415d965","block_type":"box","text":"applicable position limits, it is possible that different clients managed by the Manager and its affiliates may be","page_number":52,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"68988145-b7e8-42bc-990e-0ce98b7caacf","block_type":"box","text":"aggregated for this purpose. Therefore, the trading decisions of the Manager may have to be modified and positions","page_number":52,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"34e06bf4-9bd8-47f9-9b3a-e083d113a21b","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":52,"box":{"x":69,"y":906,"width":805,"height":12}},{"id":"6003e673-1336-4bc1-999c-d57cc785d834","block_type":"box","text":"II-14","page_number":52,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e7f20261-793b-4f14-bd6d-d5032b984eff","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":52,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"005513fc-ca9d-4d48-8b27-61074a8f979a","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":53,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"0c7ec9f1-976a-47b6-a7b1-a31c92bb9544","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":53,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"c0229d01-5547-4b8a-944d-2b28f6aa2301","block_type":"box","text":"by other regimes, including those of the European Union and United Kingdom, and trading venues that impose","page_number":53,"box":{"x":69,"y":75,"width":785,"height":11}},{"id":"c7bd3d9b-2864-4e83-b6a4-7817af729863","block_type":"box","text":"position limits on commodity derivative contracts.","page_number":53,"box":{"x":70,"y":90,"width":350,"height":11}},{"id":"746e4ad2-59b3-45f4-97be-20380998f710","block_type":"box","text":"Additional Regulation of Derivatives.","page_number":53,"box":{"x":101,"y":113,"width":256,"height":11}},{"id":"add2f789-4b90-40a6-b1e4-ad31d3d0abe5","block_type":"box","text":"Regulatory bodies outside the U.S. have also passed, proposed, or may","page_number":53,"box":{"x":364,"y":113,"width":513,"height":11}},{"id":"4aacdab2-64c6-4330-99b2-681e0c659648","block_type":"box","text":"propose in the future, legislation similar to Dodd-Frank or other legislation that could increase the costs of","page_number":53,"box":{"x":70,"y":128,"width":757,"height":11}},{"id":"95e680d3-be95-4f51-b034-995de5ef4e26","block_type":"box","text":"participating in, or otherwise adversely impact the liquidity of, participating in the commodities markets. For example,","page_number":53,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"18d4e6b9-d412-4978-8b10-d6f96fa05ab5","block_type":"box","text":"the European Market Infrastructure Regulation (Regulation (EU) No 648/2012) (“EMIR”) introduced certain","page_number":53,"box":{"x":68,"y":158,"width":762,"height":11}},{"id":"7697642d-4cb3-4a35-ab5a-69ab7b0957f7","block_type":"box","text":"requirements in respect of OTC derivatives including: (i) the mandatory clearing of OTC derivative contracts declared","page_number":53,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"f4814b96-9b47-44e2-b1d8-bfb451fb0555","block_type":"box","text":"subject to the clearing obligation; (ii) risk mitigation techniques in respect of uncleared OTC derivative contracts,","page_number":53,"box":{"x":69,"y":188,"width":798,"height":12}},{"id":"3176b644-3554-4309-ac91-0eadc043ef4b","block_type":"box","text":"including the mandatory margining of uncleared OTC derivative contracts; and (iii) reporting and recordkeeping","page_number":53,"box":{"x":70,"y":203,"width":785,"height":12}},{"id":"cf10ab48-e93f-42cc-865c-9bb7c3b6a447","block_type":"box","text":"requirements in respect of all derivatives contracts. By way of further example, the European Union Markets in","page_number":53,"box":{"x":69,"y":218,"width":787,"height":12}},{"id":"a612ab8d-d3ba-4d1d-b179-e2d3e7274f22","block_type":"box","text":"Financial Instruments Directive (Directive 2014/65/EU) and Markets in Financial Instruments Regulation (Regulation","page_number":53,"box":{"x":70,"y":234,"width":830,"height":11}},{"id":"220558dc-0706-428d-b5ae-e94f2f0fb3b8","block_type":"box","text":"(EU) No 600/2014) (together “MiFID II”), which have applied since January 3, 2018, govern the provision of","page_number":53,"box":{"x":69,"y":249,"width":771,"height":11}},{"id":"b2b109e3-9ff3-4197-aeb7-dc69e961b6ff","block_type":"box","text":"investment services and activities in relation to, as well as the organized trading of, financial instruments such as","page_number":53,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"fbe115d5-28ea-457a-bdee-88248185dfa9","block_type":"box","text":"shares, bonds, units in collective investment schemes and derivatives. In particular, MiFID II requires European Union","page_number":53,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"d7ba23bc-7032-4239-9a38-897836970455","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":53,"box":{"x":70,"y":294,"width":793,"height":11}},{"id":"8a17de46-4e3f-403a-8429-96482c84e64a","block_type":"box","text":"derivatives traded on European Union trading venues and in “economically equivalent” OTC contracts. If the","page_number":53,"box":{"x":69,"y":309,"width":765,"height":11}},{"id":"b6ef80bc-de12-407a-a426-07acc501b87e","block_type":"box","text":"requirements of EMIR and MiFID II apply, the cost of derivatives transactions is expected to increase.","page_number":53,"box":{"x":69,"y":324,"width":720,"height":11}},{"id":"ff5b2340-8908-41d7-bc0f-22a05fd4882f","block_type":"box","text":"In addition, regulations adopted by global prudential regulators that are now in effect require certain prudentially","page_number":53,"box":{"x":102,"y":347,"width":802,"height":11}},{"id":"e62b24eb-2e55-4514-ac17-10ad45836034","block_type":"box","text":"regulated entities and certain of their affiliates and subsidiaries (including swap dealers) to include in their","page_number":53,"box":{"x":69,"y":362,"width":762,"height":11}},{"id":"a092dafe-9d61-4ab9-8b47-fb9525384589","block_type":"box","text":"derivatives contracts and certain other financial contracts, terms that delay or restrict the rights of counterparties","page_number":53,"box":{"x":69,"y":377,"width":810,"height":12}},{"id":"2483aba8-3196-4891-aa96-f27c4394622b","block_type":"box","text":"(such as the Funds) to terminate such contracts, foreclose upon collateral, exercise other default rights or restrict","page_number":53,"box":{"x":69,"y":392,"width":812,"height":12}},{"id":"212c56cf-7156-4382-aeb4-a522120d299c","block_type":"box","text":"transfers of credit support in the event that the prudentially regulated entity and/or its affiliates are subject to","page_number":53,"box":{"x":68,"y":407,"width":787,"height":12}},{"id":"3445de08-0ffc-430c-82f5-6064c3aba562","block_type":"box","text":"certain types of resolution or insolvency proceedings. Similar regulations and laws have been adopted in non-U.S.","page_number":53,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"fc3f2c72-6d3f-4d8e-be55-9e3f3e7cc79d","block_type":"box","text":"jurisdictions that may apply to a Fund’s counterparties located in those jurisdictions. In particular, in the United","page_number":53,"box":{"x":67,"y":438,"width":795,"height":11}},{"id":"af92c969-5959-45d8-8d1d-b6378a8441a8","block_type":"box","text":"Kingdom and the European Union, governmental authorities could reduce, eliminate or convert to equity the liabilities","page_number":53,"box":{"x":70,"y":453,"width":835,"height":11}},{"id":"265629b6-4e69-4cb3-a161-0d494949cec8","block_type":"box","text":"to a Fund of a counterparty experiencing financial difficulties (sometimes referred to as a “bail in”). It is possible that","page_number":53,"box":{"x":68,"y":468,"width":839,"height":11}},{"id":"c1b3da2a-6151-40f2-9402-416c2399e41b","block_type":"box","text":"these requirements, as well as potential additional related government regulation, could adversely affect a Fund’s","page_number":53,"box":{"x":68,"y":483,"width":814,"height":11}},{"id":"ff8672f2-81a4-4782-a3c9-c766d4d9596b","block_type":"box","text":"ability to terminate existing derivatives contracts, exercise default rights or satisfy obligations owed to it with","page_number":53,"box":{"x":69,"y":498,"width":773,"height":11}},{"id":"882e77ac-4d53-4eeb-8eb7-44c361fe3b1c","block_type":"box","text":"collateral received under such contracts.","page_number":53,"box":{"x":69,"y":514,"width":288,"height":8}},{"id":"7a0e03f1-c902-42ae-a769-56422ec69cf3","block_type":"box","text":"Risk Factors in Derivatives.","page_number":53,"box":{"x":102,"y":536,"width":191,"height":9}},{"id":"c7611016-ae51-4241-b472-8d2d6ef301fe","block_type":"box","text":"There are significant risks that apply generally to derivatives transactions, including:","page_number":53,"box":{"x":101,"y":559,"width":597,"height":11}},{"id":"4c5f358c-234d-468d-9dae-f7b179750ac1","block_type":"box","text":"Correlation Risk","page_number":53,"box":{"x":102,"y":581,"width":114,"height":9}},{"id":"caff729b-4015-4f16-9146-0fc78bcce5cc","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":53,"box":{"x":220,"y":581,"width":668,"height":12}},{"id":"1644637c-e51d-48e9-9981-e7c8f6b55211","block_type":"box","text":"the portfolio holdings that are being hedged or of the particular market or security to which the Fund seeks exposure.","page_number":53,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"31338720-2e1a-4aaf-bd7b-dab22fdc0695","block_type":"box","text":"There are a number of factors which may prevent a derivative instrument from achieving the desired correlation (or","page_number":53,"box":{"x":68,"y":612,"width":818,"height":11}},{"id":"93d6d7e8-70a2-4f09-8257-000b966198d5","block_type":"box","text":"inverse correlation) with an underlying asset, rate or index, such as the impact of fees, expenses and transaction","page_number":53,"box":{"x":70,"y":627,"width":806,"height":11}},{"id":"7245b331-663f-4eba-b560-da8788726318","block_type":"box","text":"costs, the timing of pricing, and disruptions or illiquidity in the markets for such derivative instrument.","page_number":53,"box":{"x":69,"y":642,"width":725,"height":11}},{"id":"02108f0b-acf9-4cdb-a00d-061027093d56","block_type":"box","text":"Counterpar ty Risk","page_number":53,"box":{"x":102,"y":665,"width":128,"height":11}},{"id":"8502c829-b9eb-4126-8f62-0f02a55ecade","block_type":"box","text":"— the risk that a derivatives transaction counterparty will be unable or unwilling to make","page_number":53,"box":{"x":233,"y":665,"width":632,"height":11}},{"id":"86b9a211-9e53-44c8-99e5-cfd0f9c073f4","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":53,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"36aab555-5d0d-4f7c-a8b7-79df58c99065","block_type":"box","text":"a counterparty. In particular, derivatives traded in OTC markets often are not guaranteed by an exchange or clearing","page_number":53,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"d87e1ba9-1edb-4b2a-9861-d72a8f2a0236","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":53,"box":{"x":69,"y":710,"width":834,"height":11}},{"id":"55e94052-bbc9-4ccc-993b-18c25f285edf","block_type":"box","text":"instruments or has deposited collateral with its counterparties the Fund is at risk that its counterparties will become","page_number":53,"box":{"x":70,"y":725,"width":831,"height":11}},{"id":"b0d46341-767e-4365-a67e-cf6f176ca696","block_type":"box","text":"bankrupt or otherwise fail to honor their obligations. A Fund will typically attempt to minimize counterparty risk by","page_number":53,"box":{"x":69,"y":740,"width":806,"height":11}},{"id":"757e0fd5-0f41-4621-a9fb-ac1e0101de06","block_type":"box","text":"engaging in OTC derivatives transactions only with creditworthy entities that have substantial capital or that have","page_number":53,"box":{"x":69,"y":755,"width":803,"height":11}},{"id":"6d92b6b9-b987-45a3-829c-cab289198454","block_type":"box","text":"provided the Fund with a third-party guaranty or other credit support. When a Fund enters into a derivatives","page_number":53,"box":{"x":70,"y":771,"width":760,"height":11}},{"id":"79e7f892-e093-4c35-b7d2-8afb91f3750c","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":53,"box":{"x":68,"y":785,"width":819,"height":12}},{"id":"bf7adbf3-a63e-4585-acee-c6578eb12ec0","block_type":"box","text":"clearing house and the clearing member through which it holds its cleared position. Credit risk of market participants","page_number":53,"box":{"x":69,"y":801,"width":834,"height":11}},{"id":"55d85774-a096-4f34-b9af-b4e9a377b436","block_type":"box","text":"with respect to derivatives that are centrally cleared is concentrated in a few clearing houses and increasingly fewer","page_number":53,"box":{"x":68,"y":816,"width":826,"height":11}},{"id":"b52bf142-5820-4ced-9372-8578af185c40","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":53,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"803fbb43-75fc-49f1-ac04-9f2ede6d86ff","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":53,"box":{"x":70,"y":846,"width":824,"height":11}},{"id":"b6471212-767c-414b-980a-72ba366257ae","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":53,"box":{"x":70,"y":861,"width":816,"height":11}},{"id":"947fa670-367e-402a-a90d-e0ff47ec96bc","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":53,"box":{"x":70,"y":876,"width":771,"height":11}},{"id":"12a2ed86-b2a1-4684-aedf-fab701ec8573","block_type":"box","text":"derivatives. Although a clearing member is required to segregate assets from customers with respect to cleared","page_number":53,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"15aabb2f-021e-4d37-af0b-be765757f3b3","block_type":"box","text":"derivatives positions from the clearing member’s proprietary assets, if a clearing member does not comply with the","page_number":53,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"3e34c900-d12d-4c92-90e8-d174ce8da0b0","block_type":"box","text":"II-15","page_number":53,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7f025fb7-fd4f-421a-b1dd-80774c1332db","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":53,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2bd42f25-20f7-43ef-8812-f96aa97c76f7","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":54,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"a39d42aa-463e-4348-be02-1fce722c2a97","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":54,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"65761909-86d4-4f4e-b474-9f010077f8ca","block_type":"box","text":"by the clearing member.","page_number":54,"box":{"x":69,"y":75,"width":169,"height":11}},{"id":"585f7551-50ae-44db-9c89-b504f9de1d3d","block_type":"box","text":"Credit Risk","page_number":54,"box":{"x":102,"y":98,"width":78,"height":9}},{"id":"274dc499-f99e-40ee-be1c-e7a741d255ed","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":54,"box":{"x":184,"y":98,"width":698,"height":11}},{"id":"5f1a5387-b991-48a2-b123-f8c7adbeb3c5","block_type":"box","text":"honor its financial obligations.","page_number":54,"box":{"x":69,"y":113,"width":213,"height":11}},{"id":"1a85cb1e-f0f7-43d0-9b6b-43965dcf29d8","block_type":"box","text":"Currency Risk","page_number":54,"box":{"x":102,"y":135,"width":98,"height":11}},{"id":"2cfc54d6-5792-46d9-a8ba-1df02b4357db","block_type":"box","text":"— the risk that changes in the exchange rate between two currencies will adversely affect the","page_number":54,"box":{"x":204,"y":135,"width":669,"height":12}},{"id":"641eb64b-76c4-4e6b-8a4a-cc09760438b0","block_type":"box","text":"value (in U.S. dollar terms) of a derivative.","page_number":54,"box":{"x":68,"y":150,"width":300,"height":11}},{"id":"9c6e5afb-7ff5-4d99-943b-c10eaa39b6f5","block_type":"box","text":"Illiquidity Risk","page_number":54,"box":{"x":102,"y":173,"width":98,"height":11}},{"id":"ebf64bd2-4232-41f9-8644-5f84f0863df5","block_type":"box","text":"— the risk that certain securities or instruments may be difficult or impossible to sell at the time","page_number":54,"box":{"x":204,"y":173,"width":693,"height":11}},{"id":"4cdf05cd-dac4-437d-831f-cb09e382b179","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":54,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"2d22661c-6a52-4090-8db5-83e9b1f28237","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":54,"box":{"x":69,"y":203,"width":799,"height":12}},{"id":"8754dfb1-0bfe-4566-8a48-426ae709dd54","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":54,"box":{"x":69,"y":218,"width":799,"height":12}},{"id":"adfef2cc-5516-41f2-a4e8-f06d3bbfe061","block_type":"box","text":"incurring substantial losses (if at all). Certain OTC derivatives, including swaps and OTC options, involve substantial","page_number":54,"box":{"x":70,"y":234,"width":824,"height":11}},{"id":"0e248e59-c851-48d1-8af2-4d0efd6bba83","block_type":"box","text":"illiquidity risk. Illiquidity may also make it more difficult for a Fund to ascertain a market value for such derivatives. A","page_number":54,"box":{"x":70,"y":249,"width":830,"height":11}},{"id":"e4ff698e-75d5-4494-bc76-ec0a8a595cd3","block_type":"box","text":"Fund will, therefore, acquire illiquid OTC derivatives (i) if the agreement pursuant to which the instrument is","page_number":54,"box":{"x":70,"y":264,"width":762,"height":11}},{"id":"a20e0bfa-2285-42b0-80af-cb5ec40ac19a","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":54,"box":{"x":70,"y":279,"width":827,"height":11}},{"id":"debe243b-3a74-4240-99f1-3d61124295d4","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":54,"box":{"x":69,"y":294,"width":816,"height":11}},{"id":"bd181372-d55a-4335-897e-9dbc098db28a","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":54,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"936f3d7b-a79c-49d0-9e0d-c718e8689e45","block_type":"box","text":"markets may be due to various factors, including congestion, disorderly markets, limitations on deliverable supplies,","page_number":54,"box":{"x":69,"y":324,"width":828,"height":12}},{"id":"ce490c09-ba71-4e80-b388-15685f2788f3","block_type":"box","text":"the participation of speculators, government regulation and intervention, and technical and operational or system","page_number":54,"box":{"x":68,"y":339,"width":809,"height":12}},{"id":"1bcc86b0-464c-4df2-99b0-9a10d7ad4e39","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":54,"box":{"x":68,"y":355,"width":826,"height":11}},{"id":"a591eda4-82b4-45bd-9e86-ae9002b9a2f0","block_type":"box","text":"“daily price fluctuation limits” established by the exchanges which limit the amount of fluctuation in an exchange","page_number":54,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"45ec9a81-da92-427c-8f94-4ca7534c0b31","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":54,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"23ba9562-1470-4b22-97ef-4f5939714d9e","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":54,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"0ab10d46-adb5-4e52-85ac-0a1885920f6a","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":54,"box":{"x":69,"y":415,"width":828,"height":11}},{"id":"80e80db2-b5e6-44fa-800e-490ff0f16695","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":54,"box":{"x":69,"y":430,"width":796,"height":11}},{"id":"585371fc-6420-4480-88ac-3fe3c98c5f6f","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":54,"box":{"x":70,"y":445,"width":759,"height":12}},{"id":"fd3d7097-f288-4758-94e5-abbba01391ca","block_type":"box","text":"insufficient cash, it may have to sell portfolio securities to meet daily variation margin requirements at a time when it","page_number":54,"box":{"x":70,"y":460,"width":837,"height":12}},{"id":"f68c5d93-c422-4f59-a694-4013428bcf41","block_type":"box","text":"may be disadvantageous to do so.","page_number":54,"box":{"x":69,"y":476,"width":243,"height":11}},{"id":"a3714e16-8844-446f-a7ac-b040894c95f0","block_type":"box","text":"Index Risk","page_number":54,"box":{"x":102,"y":498,"width":73,"height":9}},{"id":"1a448f60-b0c6-471b-82e6-037d6ae2de6b","block_type":"box","text":"— if the derivative is linked to the performance of an index, it will be subject to the risks associated","page_number":54,"box":{"x":179,"y":498,"width":714,"height":11}},{"id":"636681ae-686d-4e11-9cf3-7543eb2805d5","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":54,"box":{"x":68,"y":513,"width":800,"height":12}},{"id":"e34d0e6c-6c21-45e1-83dd-ad1c83eeeb5d","block_type":"box","text":"reduction in the value of the derivative to below the price that the Fund paid for such derivative.","page_number":54,"box":{"x":69,"y":528,"width":678,"height":11}},{"id":"b013f4a3-33a9-4d12-843a-16f6bcddc98d","block_type":"box","text":"Legal Risk","page_number":54,"box":{"x":102,"y":551,"width":73,"height":11}},{"id":"1e833e91-8851-4303-b453-37d9dd610b4b","block_type":"box","text":"— the risk of insufficient documentation, insufficient capacity or authority of counterparty, or legality","page_number":54,"box":{"x":179,"y":551,"width":717,"height":11}},{"id":"31cd86fe-f0c4-4351-a7ed-0bf0ca7892cc","block_type":"box","text":"or enforceability of a contract.","page_number":54,"box":{"x":69,"y":566,"width":211,"height":11}},{"id":"0b3f0faa-b719-41c1-a622-608eb7ecef5b","block_type":"box","text":"Leverage Risk","page_number":54,"box":{"x":102,"y":589,"width":99,"height":11}},{"id":"4ec7e574-9594-4d0e-a147-83b694937a41","block_type":"box","text":"— the risk that a Fund’s derivatives transactions can magnify the Fund’s gains and losses.","page_number":54,"box":{"x":205,"y":589,"width":648,"height":11}},{"id":"9f63816e-c498-4646-9aeb-f70a3d61a011","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":54,"box":{"x":70,"y":604,"width":823,"height":11}},{"id":"3c1639d0-763c-4590-93dd-5e809a8032d3","block_type":"box","text":"in losses that greatly exceed the amount originally invested.","page_number":54,"box":{"x":70,"y":619,"width":425,"height":11}},{"id":"89159cf0-fe70-48cc-a8be-510d904261d7","block_type":"box","text":"Market Risk","page_number":54,"box":{"x":102,"y":642,"width":85,"height":9}},{"id":"9a632821-67c4-43fb-b6e2-0fa8edec35c5","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":54,"box":{"x":191,"y":642,"width":716,"height":11}},{"id":"0a1f4520-f452-42fd-8a8a-6eb4237a3a97","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":54,"box":{"x":68,"y":657,"width":833,"height":11}},{"id":"4d9150a9-86b4-487f-ad71-a4f095b8e53a","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":54,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"bf7d526e-9bac-4990-86b7-c7b3ecac5b0b","block_type":"box","text":"affected.","page_number":54,"box":{"x":69,"y":687,"width":62,"height":9}},{"id":"80400053-bc21-42ac-a2af-9f3c2ebe3a5b","block_type":"box","text":"Operational Risk","page_number":54,"box":{"x":102,"y":710,"width":117,"height":11}},{"id":"710275f7-c1ff-4752-9e98-c429e4508732","block_type":"box","text":"— the risk related to potential operational issues, including documentation issues, settlement","page_number":54,"box":{"x":223,"y":710,"width":674,"height":11}},{"id":"d4474529-3628-4bd1-91d9-79a3851ee0b5","block_type":"box","text":"issues, systems failures, inadequate controls and human error.","page_number":54,"box":{"x":70,"y":725,"width":451,"height":11}},{"id":"0fb29281-3e18-422f-a2a1-c19126fb2efb","block_type":"box","text":"Valuation Risk","page_number":54,"box":{"x":103,"y":748,"width":99,"height":9}},{"id":"a95be538-2443-472f-a831-990dec61ff33","block_type":"box","text":"— the risk that valuation sources for a derivative will not be readily available in the market. This is","page_number":54,"box":{"x":206,"y":748,"width":701,"height":11}},{"id":"3b5739d7-3fdd-4ddd-a65b-09595c7348f3","block_type":"box","text":"possible especially in times of market distress, since many market participants may be reluctant to purchase","page_number":54,"box":{"x":70,"y":763,"width":779,"height":11}},{"id":"9ed52b9c-a690-4460-93db-cfdf30464de4","block_type":"box","text":"complex instruments or quote prices for them.","page_number":54,"box":{"x":69,"y":778,"width":329,"height":11}},{"id":"dab86df4-bc08-4ff6-ba0a-bbe2a872f7c8","block_type":"box","text":"Volatility Risk","page_number":54,"box":{"x":103,"y":801,"width":93,"height":11}},{"id":"0b126c34-0926-4c0b-b12c-9d7f34413c00","block_type":"box","text":"— the risk that the value of derivatives will fluctuate significantly within a short time period.","page_number":54,"box":{"x":200,"y":801,"width":652,"height":11}},{"id":"b7c41480-c2f8-4fe0-8bac-a25616543b42","block_type":"box","text":"Types of Derivatives Transactions.","page_number":54,"box":{"x":103,"y":823,"width":240,"height":11}},{"id":"2ff021f0-66ae-48bd-a15a-962386bb0083","block_type":"box","text":"A Fund may enter into derivatives transactions in accordance with its investment guidelines and restrictions,","page_number":54,"box":{"x":101,"y":846,"width":771,"height":11}},{"id":"0e6778b4-1a9d-4ad4-9b3b-9cbfa717ea0d","block_type":"box","text":"including the following:","page_number":54,"box":{"x":70,"y":861,"width":159,"height":11}},{"id":"3d49d8f6-8143-4ac8-b979-8ceebf24b868","block_type":"box","text":"Futures.","page_number":54,"box":{"x":102,"y":884,"width":56,"height":9}},{"id":"71404758-cacd-4873-bb90-dccf488db360","block_type":"box","text":"II-16","page_number":54,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4ba6a469-ffc5-4e9d-b025-1dcdcdbf0cff","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":54,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fcef578d-98cc-4377-84d1-a533b556a753","block_type":"box","text":"A Fund may enter into futures contracts (“futures”) and options on futures contracts. Futures are standardized,","page_number":55,"box":{"x":101,"y":45,"width":791,"height":11}},{"id":"c3abf3ab-c307-4af5-9250-462895dda92c","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":55,"box":{"x":69,"y":60,"width":799,"height":11}},{"id":"ae1d4b14-8e1c-4ae0-aa0e-9ffa259dd32f","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":55,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"fa1f9330-e442-4b23-986f-c6f3c433cae5","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":55,"box":{"x":69,"y":90,"width":838,"height":11}},{"id":"9060025f-f71c-4167-80e2-4440437a963c","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":55,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"6bf922ba-9b41-41c2-aea6-85be3f15c5da","block_type":"box","text":"applicable, based on the mark-to-market movement of the contract.","page_number":55,"box":{"x":69,"y":120,"width":478,"height":11}},{"id":"9a739b78-e7a2-4b42-b7c4-c4becaaf6a33","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":55,"box":{"x":101,"y":143,"width":801,"height":11}},{"id":"57d0f954-b77d-4b11-a967-9535bdd80c8a","block_type":"box","text":"market value of portfolio holdings correlated with the futures contract. However, in the event the market value of the","page_number":55,"box":{"x":69,"y":158,"width":829,"height":11}},{"id":"b805a65b-ad43-439c-b3b1-9b054aec92fb","block_type":"box","text":"portfolio holdings correlated with the futures contract increases rather than decreases, a Fund will realize a loss on","page_number":55,"box":{"x":70,"y":173,"width":822,"height":11}},{"id":"d677cd7c-8f40-483b-ba67-cff48eec8c1a","block_type":"box","text":"the futures position and a lower return on the portfolio holdings than would have been realized without the purchase","page_number":55,"box":{"x":68,"y":188,"width":830,"height":12}},{"id":"33139c34-4ca2-4734-a28f-2a3adfb84a1b","block_type":"box","text":"of the futures contract.","page_number":55,"box":{"x":69,"y":203,"width":162,"height":9}},{"id":"2f1b0639-8122-4def-9f9b-f613516dd9b3","block_type":"box","text":"The purchase of a futures contract may provide a Fund a lower cost alternative to purchasing securities or","page_number":55,"box":{"x":101,"y":226,"width":756,"height":11}},{"id":"27b8e7c8-1d6a-4e6d-9d27-0767b8be4bd5","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":55,"box":{"x":69,"y":241,"width":820,"height":11}},{"id":"4bcee1db-d1da-4c7f-91c1-2d9610c62b6a","block_type":"box","text":"complete an anticipatory hedge transaction relating to a futures contract, however, the Fund may realize a loss","page_number":55,"box":{"x":69,"y":256,"width":789,"height":12}},{"id":"49843729-d0aa-4af2-9e46-d3dafb4b92f0","block_type":"box","text":"relating to the futures position.","page_number":55,"box":{"x":69,"y":271,"width":219,"height":12}},{"id":"8482fde7-d061-419c-bd38-b6662e362894","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":55,"box":{"x":102,"y":294,"width":757,"height":11}},{"id":"a71492c4-3c53-48b5-8854-c612d632e5b3","block_type":"box","text":"required to liquidate positions or may not be able to fully implement trading instructions. Any such liquidation or","page_number":55,"box":{"x":69,"y":309,"width":797,"height":11}},{"id":"1eb846ce-92be-47a1-84e2-85f2d34309dc","block_type":"box","text":"limited implementation could result in substantial costs to a Fund. See “—Regulation of Derivatives — Dodd-Frank","page_number":55,"box":{"x":70,"y":324,"width":816,"height":12}},{"id":"12857f56-8113-485b-bb8a-377003ed3c75","block_type":"box","text":"Regulations” above.","page_number":55,"box":{"x":70,"y":340,"width":140,"height":11}},{"id":"753ffc5f-7828-4d6b-9443-84486388d3cc","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":55,"box":{"x":101,"y":362,"width":799,"height":11}},{"id":"6e70da0d-9d22-4aab-ade9-cf3e51e07650","block_type":"box","text":"and stock indices. Generally, these strategies would be used under the same market and market sector conditions","page_number":55,"box":{"x":69,"y":377,"width":818,"height":12}},{"id":"277b15f8-3256-4ca4-bc45-11df4d6e72ef","block_type":"box","text":"(","page_number":55,"box":{"x":69,"y":393,"width":3,"height":10}},{"id":"d346bed9-a3ea-4194-bc88-924138ab71fc","block_type":"box","text":"i.e.","page_number":55,"box":{"x":74,"y":393,"width":21,"height":8}},{"id":"53862f7c-0dda-4d80-a403-9d8b5e2d58e5","block_type":"box","text":", conditions relating to specific types of investments) in which the Fund entered into futures transactions. A Fund","page_number":55,"box":{"x":97,"y":392,"width":803,"height":12}},{"id":"2b09c2d0-d71f-4ca8-9b4e-6618b5b18e71","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":55,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"5b3358d7-d41b-4470-adb9-678f85546df1","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":55,"box":{"x":68,"y":423,"width":835,"height":11}},{"id":"5e19f490-719a-4c42-88ea-e7b927d7b9e3","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":55,"box":{"x":69,"y":438,"width":831,"height":11}},{"id":"1fd639a0-762e-408d-916a-d2eca6c7300c","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":55,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"b35e2215-5087-451c-9b08-8bcf139206bc","block_type":"box","text":"Fund intends to purchase.","page_number":55,"box":{"x":70,"y":468,"width":183,"height":11}},{"id":"a0d6fe86-3018-4600-ae51-786395b1133a","block_type":"box","text":"To maintain greater flexibility, a Fund may invest in instruments which have characteristics similar to futures","page_number":55,"box":{"x":101,"y":491,"width":768,"height":11}},{"id":"c525d6f1-ac9e-488d-a0aa-b7ff6799d1bd","block_type":"box","text":"contracts. These instruments may take a variety of forms, such as debt securities with interest or principal payments","page_number":55,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"8d9e66f8-c437-49c9-83fc-f71a3e911f42","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":55,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"cb20286c-e126-46e6-8c2c-e995d1060e5f","block_type":"box","text":"risks of such investments could reflect the risks of investing in futures and securities, including volatility and","page_number":55,"box":{"x":69,"y":536,"width":773,"height":11}},{"id":"09fc7b56-c53e-437e-b86d-4f46da8fa1f3","block_type":"box","text":"illiquidity.","page_number":55,"box":{"x":70,"y":551,"width":63,"height":11}},{"id":"282fc9f7-8bde-4a4d-96e3-746909b29ed2","block_type":"box","text":"Futures contracts and options on futures contracts are subject to significant correlation risk, leverage risk,","page_number":55,"box":{"x":102,"y":574,"width":757,"height":11}},{"id":"9063cb4e-ede1-446e-9487-06a6148b24c7","block_type":"box","text":"illiquidity risk, market risk and counterparty risk with respect to a Fund’s futures broker or the clearinghouse. See","page_number":55,"box":{"x":70,"y":589,"width":807,"height":11}},{"id":"91225e33-8033-4f18-865f-8bb0a99693cd","block_type":"box","text":"“—Risk Factors in Derivatives” above.","page_number":55,"box":{"x":70,"y":604,"width":269,"height":9}},{"id":"ee443e66-d66c-448a-918d-64ddc6d6c7bc","block_type":"box","text":"Certain Funds may invest in futures based on carbon “allowances.” Under certain regulatory regimes, a limit is","page_number":55,"box":{"x":102,"y":627,"width":791,"height":11}},{"id":"faac0de3-0212-4b26-bdb1-d76dd6cf349b","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":55,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"89cd8d2c-54d8-49c8-96cc-6bbbdef09315","block_type":"box","text":"can be emitted by regulated entities, such as manufacturers or energy producers. The regulator then may issue or","page_number":55,"box":{"x":69,"y":657,"width":814,"height":11}},{"id":"ed47df19-17b0-4ff3-b184-959c22071d70","block_type":"box","text":"sell individual “emission allowances” to regulated entities, which can then be traded on the open market. Commodity","page_number":55,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"4d38f9ba-30f2-4718-84c8-f6ac413d875b","block_type":"box","text":"futures contracts linked to the value of emission allowances are known as “carbon futures.”","page_number":55,"box":{"x":68,"y":687,"width":657,"height":9}},{"id":"b30531c6-4c1e-4262-bb2a-c2688b23a401","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":55,"box":{"x":101,"y":710,"width":792,"height":11}},{"id":"fb27616d-beed-4dab-893e-c9f9dd6d8f2e","block_type":"box","text":"for carbon futures contracts. Changes in law, market conditions and expectations, position limits, collateral","page_number":55,"box":{"x":68,"y":725,"width":764,"height":11}},{"id":"79fa5e8d-d764-4d0f-8253-5941e2903d48","block_type":"box","text":"requirements, and other factors each can impact the supply of and demand for carbon futures contracts. The market","page_number":55,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"0627043a-0dd3-4c25-832c-fbe444b4a8fe","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":55,"box":{"x":68,"y":755,"width":841,"height":11}},{"id":"e08f1d1a-76ef-4ab9-8eee-a6fb1110943b","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":55,"box":{"x":69,"y":770,"width":819,"height":11}},{"id":"ee870649-acb5-4749-ab32-1800ef2d4270","block_type":"box","text":"difficult to find a counterparty willing to transact at a reasonable price and sufficient size.","page_number":55,"box":{"x":69,"y":785,"width":637,"height":12}},{"id":"bfc14841-364c-45ec-ac51-af054745d2f7","block_type":"box","text":"Swap Agreements.","page_number":55,"box":{"x":102,"y":808,"width":131,"height":11}},{"id":"a2ad7cbf-fb43-4b98-ae17-a123a72d3fc4","block_type":"box","text":"A Fund may enter into swap agreements for hedging purposes or speculative purposes. Swap agreements are","page_number":55,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"77949558-289e-4c4c-90c2-b88e4d54fd3a","block_type":"box","text":"OTC contracts entered into primarily by financial institutions and institutional investors which may or may not be","page_number":55,"box":{"x":69,"y":846,"width":796,"height":11}},{"id":"6c584c42-8f7e-47df-9148-4184717acbd4","block_type":"box","text":"cleared by a central clearinghouse. In a standard “swap” transaction, two parties agree to exchange the returns","page_number":55,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"942a059b-6e28-4638-97fb-4272d9c43394","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":55,"box":{"x":69,"y":876,"width":792,"height":11}},{"id":"3542ece3-6a6d-4c20-8602-6a2d320e7951","block_type":"box","text":"factor. The gross returns to be exchanged or “swapped” between the parties are generally calculated with respect to","page_number":55,"box":{"x":68,"y":891,"width":832,"height":12}},{"id":"9ef3265e-6839-4978-9d45-58192721471d","block_type":"box","text":"a “notional amount,”","page_number":55,"box":{"x":69,"y":907,"width":147,"height":10}},{"id":"a3dc0a1b-9e31-4fda-bf19-73e730894e18","block_type":"box","text":"e.g.","page_number":55,"box":{"x":223,"y":908,"width":25,"height":10}},{"id":"696ceb8d-0035-40f2-ac59-b44de39ae428","block_type":"box","text":", the return or increase in value of a particular dollar amount invested at a particular","page_number":55,"box":{"x":251,"y":906,"width":602,"height":11}},{"id":"86ef834a-c40e-4ded-b8d6-ff746f97c439","block_type":"box","text":"II-17","page_number":55,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"0ddbc8a0-b2b7-4dd4-babe-0186c263a2bc","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":55,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c250d99b-8698-484b-9c0f-e0ddde636104","block_type":"box","text":"interest rate, in a particular foreign currency, or in a “basket” of securities representing a particular index. The","page_number":56,"box":{"x":70,"y":45,"width":787,"height":11}},{"id":"347a3d23-62d2-468b-8ceb-5b715988183e","block_type":"box","text":"notional amount of the swap agreement is only used to calculate the obligations that the parties to a swap","page_number":56,"box":{"x":69,"y":60,"width":762,"height":11}},{"id":"fffa8ecd-1f96-456a-9b2e-2e8a063e0468","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":56,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"3dc680e8-23cd-4b67-b2c7-691d470d47a2","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":56,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"988cc4ac-b232-4ad9-805a-3be807dc9a54","block_type":"box","text":"by each party to the agreement. Swaps that are not cleared involve substantial counterparty risk. A Fund will typically","page_number":56,"box":{"x":69,"y":105,"width":835,"height":11}},{"id":"63597198-8db7-45b2-8d08-00503701a1d9","block_type":"box","text":"attempt to mitigate this counterparty risk by entering into swap agreements only with creditworthy entities that have","page_number":56,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"33425beb-488d-464d-889b-4f4b0b7466ca","block_type":"box","text":"substantial capital or that have provided the Fund with a third-party guaranty or other credit support. A Fund’s ability","page_number":56,"box":{"x":69,"y":136,"width":827,"height":11}},{"id":"a053b33c-3850-4d81-9c7a-94dab5d380e8","block_type":"box","text":"to use swap agreements may be restricted by the tax rules applicable to registered investment companies.","page_number":56,"box":{"x":68,"y":151,"width":763,"height":11}},{"id":"5612ad68-3aab-45a8-aea4-5b132528796d","block_type":"box","text":"Credit Default Swaps and Similar Instruments.","page_number":56,"box":{"x":102,"y":173,"width":329,"height":11}},{"id":"129e6ad0-9c29-4da8-8455-77385e0cdedc","block_type":"box","text":"Certain Funds may enter into credit default swaps and similar","page_number":56,"box":{"x":438,"y":173,"width":439,"height":11}},{"id":"239dc2a8-d548-4e13-99f7-8fe6220d6134","block_type":"box","text":"instruments. Credit default swaps are standardized agreements in which the protection “buyer” pays the protection","page_number":56,"box":{"x":70,"y":188,"width":821,"height":12}},{"id":"af9d3fa6-0580-4125-b4f1-25846eed7f46","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":56,"box":{"x":70,"y":203,"width":831,"height":12}},{"id":"eb71fc40-931a-4463-bbfc-c71c24d785b0","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":56,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"e1ac4863-7793-4d1c-ab4f-be2f4b53adce","block_type":"box","text":"buyer the difference between the notional amount of the contract and the value of a portfolio of securities issued by","page_number":56,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"ca01feee-6c70-4bef-b04e-147910284a96","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":56,"box":{"x":68,"y":249,"width":798,"height":11}},{"id":"48273f6d-50a2-46e9-be4c-b2e2e8af9b65","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":56,"box":{"x":69,"y":264,"width":827,"height":11}},{"id":"a1e2ae36-7620-41cf-b17f-44288875ae6c","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":56,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"4a4d0e58-b94f-40e6-9cdd-b0d068e5cee2","block_type":"box","text":"index CDS.","page_number":56,"box":{"x":70,"y":294,"width":75,"height":9}},{"id":"cf8bdce2-1bc4-440e-b1c8-03f04f25e837","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":56,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"5ba472f7-52ed-4b71-83be-1bfdf9e2b387","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":56,"box":{"x":69,"y":332,"width":806,"height":9}},{"id":"f356a942-3d68-46d9-bfa7-1ef68a40e4ae","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":56,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"513194f0-e81b-4ffc-9774-1a39dc360c51","block_type":"box","text":"available only at unfavorable prices, as would be the case in a so-called “short squeeze.” In certain instances of","page_number":56,"box":{"x":69,"y":362,"width":804,"height":11}},{"id":"b4bdbc51-b959-4efb-ad33-94ec9100248f","block_type":"box","text":"issuer defaults or restructurings, it has been unclear under the standard industry documentation for credit default","page_number":56,"box":{"x":70,"y":377,"width":812,"height":12}},{"id":"29d975b2-aa43-4041-b304-37642fe424e7","block_type":"box","text":"swaps whether or not a “credit event” triggering the seller’s payment obligation had occurred. Certain initiatives","page_number":56,"box":{"x":69,"y":392,"width":798,"height":12}},{"id":"ded5f3a3-2268-4b2d-a63a-0c64688f7176","block_type":"box","text":"adopted by derivatives market participants, including the International Swaps and Derivatives Association (“ISDA”),","page_number":56,"box":{"x":69,"y":408,"width":819,"height":11}},{"id":"cfe2c2fc-cf69-4e43-a148-4a1d23a0269b","block_type":"box","text":"are designed to implement uniform settlement terms into standard credit default swap documentation, as well as","page_number":56,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"70429cc3-9592-4d59-ad96-234bc5217304","block_type":"box","text":"refine the practices for the transparent conduct of the credit default swap market generally. Among these initiatives","page_number":56,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"dfb8e068-1cd5-4a95-9c1b-c050fab4c425","block_type":"box","text":"are the ISDA Credit Derivatives Determination Committee and the implementation of market-wide cash settlement","page_number":56,"box":{"x":69,"y":453,"width":811,"height":11}},{"id":"95884892-00f7-4919-be3d-7fa1428a724d","block_type":"box","text":"protocols applicable to all market-standard credit default swaps. These initiatives are intended to reduce both the","page_number":56,"box":{"x":70,"y":468,"width":809,"height":11}},{"id":"df975489-c2b2-4fe3-ba74-e328ea444a72","block_type":"box","text":"uncertainty as to the occurrence of credit events and the risk of a “short squeeze” by providing that the ISDA Credit","page_number":56,"box":{"x":69,"y":483,"width":827,"height":11}},{"id":"ee0c428f-9f58-41f8-b12f-8cbca9157632","block_type":"box","text":"Derivatives Determinations Committee will make determinations as to whether a credit event has occurred, establish","page_number":56,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"1532b24b-f34e-444b-a651-e4e9617f1118","block_type":"box","text":"an auction to determine a settlement price and identify the deliverable securities for purposes of the auction,","page_number":56,"box":{"x":69,"y":513,"width":778,"height":11}},{"id":"5bddbcde-649e-4ce7-8f84-edea69f650fe","block_type":"box","text":"although the ISDA Credit Derivatives Determinations Committee may in certain limited circumstances refrain from","page_number":56,"box":{"x":69,"y":528,"width":809,"height":12}},{"id":"afc93bf7-f7b7-412d-8f8a-95af5063cf22","block_type":"box","text":"doing so. In the event the ISDA Credit Derivatives Determinations Committee cannot reach a timely resolution with","page_number":56,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"e5e59cb9-1813-4a85-9d56-63a4f776dcf0","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":56,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"96cc2ca9-874c-44f1-8c2d-70c97b5e2e0b","block_type":"box","text":"realize the full value of the credit default swap upon a default by the reference entity. Furthermore, a Fund may enter","page_number":56,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"d9bd1c50-9069-4e71-a153-bca5db313b93","block_type":"box","text":"into certain credit default swaps or similar instruments that may not be covered by these initiatives.","page_number":56,"box":{"x":70,"y":589,"width":711,"height":11}},{"id":"b2f6e640-9207-4524-9b9d-b3d4357c1c3f","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":56,"box":{"x":102,"y":612,"width":757,"height":11}},{"id":"ca075f03-ca12-478b-a225-ada9fd024ec2","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":56,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"2bb064b2-4b2a-4292-8b61-3fdaf13d766d","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":56,"box":{"x":69,"y":642,"width":830,"height":11}},{"id":"70395714-a1d5-46f8-8854-bf70ab093d78","block_type":"box","text":"settlement auction, together with the up-front or periodic payments previously received, may be less than the amount","page_number":56,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"183e5a28-03d9-4106-ad76-a535fe29fe66","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":56,"box":{"x":70,"y":672,"width":817,"height":11}},{"id":"3d43d84c-48f3-4909-863f-ca3a45e0d723","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":56,"box":{"x":69,"y":687,"width":820,"height":11}},{"id":"576107f5-5878-4673-93cd-5ae044348e1f","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":56,"box":{"x":68,"y":702,"width":833,"height":12}},{"id":"4f0b2dad-dc52-4ead-bad6-c31c2465ef15","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":56,"box":{"x":69,"y":717,"width":837,"height":12}},{"id":"0f4fa5ae-9400-41ad-b19f-344e701b2d5f","block_type":"box","text":"the event the ISDA Credit Derivatives Determinations Committee does not establish a cash settlement auction and","page_number":56,"box":{"x":68,"y":733,"width":820,"height":9}},{"id":"248620fa-6576-487d-8aa8-8b9faabc9858","block_type":"box","text":"identify the relevant deliverable securities or loans, the credit default swap buyer will have broad discretion to select","page_number":56,"box":{"x":70,"y":748,"width":828,"height":11}},{"id":"16df67f7-0fdf-486f-8e77-e233e7f3239a","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":56,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"c60527bd-64e2-4e25-9e15-9c400029b494","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":56,"box":{"x":68,"y":778,"width":814,"height":11}},{"id":"72401a5b-ffab-4f30-acb7-5b1cb414f051","block_type":"box","text":"credit default swaps generally trade on the basis of theoretical pricing and valuation models, which may not","page_number":56,"box":{"x":69,"y":793,"width":766,"height":11}},{"id":"b1ec5ede-4311-4d46-8e83-db80a81a8439","block_type":"box","text":"accurately value such swap positions when established or when subsequently traded or unwound under actual market","page_number":56,"box":{"x":69,"y":808,"width":840,"height":11}},{"id":"ffae542e-3073-4f91-82f7-4f24d46e189d","block_type":"box","text":"conditions.","page_number":56,"box":{"x":69,"y":823,"width":76,"height":9}},{"id":"fdff8d26-7efd-48fe-9e48-431a32f29fa8","block_type":"box","text":"Dodd-Frank requires that certain index CDS be executed in regulated markets and submitted for clearing to","page_number":56,"box":{"x":102,"y":846,"width":762,"height":11}},{"id":"53afb3f7-bbcc-4e96-9af5-466e005fc31c","block_type":"box","text":"regulated clearinghouses. See “—Derivatives — Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":56,"box":{"x":69,"y":861,"width":824,"height":11}},{"id":"63c9328c-be19-4bd9-85eb-c9f90ece404a","block_type":"box","text":"single-name CDS and index CDS are permitted, although not required, to be cleared through regulated","page_number":56,"box":{"x":69,"y":876,"width":727,"height":11}},{"id":"ab0e8ef8-fe04-4b8a-8e49-8fe72be931e1","block_type":"box","text":"clearinghouses. The Funds clear all credit default swaps that are subject to mandatory clearing and may voluntarily","page_number":56,"box":{"x":69,"y":891,"width":819,"height":12}},{"id":"3ec9eff1-8d23-48b9-8024-0d33ca5475b1","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":56,"box":{"x":69,"y":906,"width":764,"height":12}},{"id":"9199cf89-0eee-4c3d-b32c-8922797db0c3","block_type":"box","text":"II-18","page_number":56,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"77f7d26a-11a6-48b4-a841-aea7dd618e93","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":56,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8cd4063f-426e-47d3-8921-70f873286443","block_type":"box","text":"counterparty risk with respect to the clearinghouse when entering into cleared single-name CDS and cleared index","page_number":57,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"55ab6809-731b-4575-a815-9147fa9b09d2","block_type":"box","text":"CDS. The Funds face significant counterparty risk with respect to their counterparties to non-cleared credit default","page_number":57,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"0d4ede1b-b2b5-4303-9350-8b6a0bb2dc63","block_type":"box","text":"swaps and similar instruments. A Fund typically will enter into non-cleared credit default swaps and similar","page_number":57,"box":{"x":69,"y":75,"width":759,"height":11}},{"id":"521b8aae-6ed6-434d-b2fc-c579fcdb613a","block_type":"box","text":"instruments with swap dealers and creditworthy entities that have substantial capital or that have provided the Fund","page_number":57,"box":{"x":70,"y":90,"width":828,"height":11}},{"id":"0f6fdf58-7fd8-437e-8105-28eb0c32129e","block_type":"box","text":"with a third-party guaranty or other credit support.","page_number":57,"box":{"x":68,"y":105,"width":355,"height":11}},{"id":"58cd8403-87a8-42d1-b3ba-fb2d68bda681","block_type":"box","text":"In certain instances, a Fund may enter into bespoke credit default swaps or similar instruments either as","page_number":57,"box":{"x":102,"y":128,"width":750,"height":11}},{"id":"fa8db28c-5278-42cb-bd5c-a79ff8bef7d2","block_type":"box","text":"protection buyer or protection seller. While these contracts are similar in their operation to the market-standard credit","page_number":57,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"609b89d7-2635-49d4-9743-e4fe3446a02e","block_type":"box","text":"default swaps described above, they are less standardized and instead have bespoke or tailored features. For","page_number":57,"box":{"x":69,"y":158,"width":785,"height":11}},{"id":"7e22f5b5-9185-417f-892d-cf0e0836c0b0","block_type":"box","text":"example, as compared to market-standard credit defaults, the range of “credit events” triggering settlement of such","page_number":57,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"d152cb3b-0e4b-43da-a1de-85a0d0bbcabd","block_type":"box","text":"bespoke contracts may be narrower or broader, any such triggered contracts are settled by physical delivery of the","page_number":57,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"eeada3ce-6652-4d11-b17c-441c2bebfcd7","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":57,"box":{"x":69,"y":203,"width":839,"height":12}},{"id":"0a691956-24a5-4c70-8722-6fb12dbae8fc","block_type":"box","text":"securities as the reference obligations and/or deliverable obligations.","page_number":57,"box":{"x":69,"y":218,"width":495,"height":12}},{"id":"9aef5e74-d8a0-4051-87c9-8e7a588d7a7d","block_type":"box","text":"In addition, credit default swaps and similar instruments generally involve greater risks than if a Fund had","page_number":57,"box":{"x":102,"y":241,"width":752,"height":11}},{"id":"71e210cc-5ca4-47aa-a823-04d875bdf191","block_type":"box","text":"invested in the reference obligation directly and are subject to significant credit risk, correlation risk, leverage risk,","page_number":57,"box":{"x":70,"y":256,"width":814,"height":12}},{"id":"8dd53a1b-0711-4bc2-87fc-78e6b82a2965","block_type":"box","text":"illiquidity risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":57,"box":{"x":70,"y":272,"width":520,"height":11}},{"id":"413a52d9-3b22-4fd3-bb2f-d25fe3d1805c","block_type":"box","text":"Interest Rate Swaps, Floors and Caps.","page_number":57,"box":{"x":102,"y":294,"width":273,"height":11}},{"id":"2757a0eb-325d-4767-bd24-3cd34cc9d3fc","block_type":"box","text":"Certain Funds may enter into OTC derivatives in the form of interest rate","page_number":57,"box":{"x":381,"y":294,"width":515,"height":11}},{"id":"336ffc71-c512-4f7e-b868-baabe95c99cf","block_type":"box","text":"swaps and interest rate caps and floors. As described in further detail below, a Fund may enter into these","page_number":57,"box":{"x":69,"y":309,"width":755,"height":11}},{"id":"2aaec122-bb25-4d01-be8d-030d0635bacd","block_type":"box","text":"transactions primarily to preserve a return or spread on a particular investment or portion of its holdings, as a","page_number":57,"box":{"x":68,"y":324,"width":788,"height":12}},{"id":"c63e9f72-be4d-40d0-8be6-743814300ded","block_type":"box","text":"duration management technique, to protect against an increase in the price of securities a Fund anticipates","page_number":57,"box":{"x":69,"y":339,"width":768,"height":12}},{"id":"e601c98c-523c-4f27-b0e8-5ca96ff6b62a","block_type":"box","text":"purchasing at a later date, or for speculation to increase returns.","page_number":57,"box":{"x":70,"y":355,"width":461,"height":11}},{"id":"203296a4-7372-4ef4-bb57-ecf6c94345af","block_type":"box","text":"Dodd-Frank requires that certain interest rate swaps be executed in regulated markets and submitted for","page_number":57,"box":{"x":102,"y":377,"width":748,"height":12}},{"id":"64e50809-0afd-4201-84aa-ed38c6ace111","block_type":"box","text":"clearing to regulated clearinghouses. See “—Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":57,"box":{"x":69,"y":392,"width":799,"height":12}},{"id":"2bb58706-8540-43fd-ac6f-46f0a8d6298c","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":57,"box":{"x":70,"y":407,"width":829,"height":12}},{"id":"0f2e2ee8-7502-40a7-969f-8693c142ef20","block_type":"box","text":"by the Funds are cleared. The Funds face counterparty risk with respect to the clearinghouse when entering into","page_number":57,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"08a3c712-892e-4673-a385-691277339eb6","block_type":"box","text":"cleared interest rate swaps.","page_number":57,"box":{"x":69,"y":438,"width":198,"height":11}},{"id":"a1038366-3444-466c-ab26-36749bf22ce2","block_type":"box","text":"The Funds face significant counterparty risk with respect to their counterparties to non-cleared interest rate","page_number":57,"box":{"x":101,"y":460,"width":766,"height":12}},{"id":"73f5691d-832d-4c19-8389-ed68db5c2201","block_type":"box","text":"swaps and interest rate caps and floors. The typical counterparties for a Fund’s non-cleared interest rate derivatives","page_number":57,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"cb6f00a9-36c9-486d-80db-a86eb1448688","block_type":"box","text":"transactions are swap dealers and other creditworthy entities that have substantial capital or that have provided the","page_number":57,"box":{"x":68,"y":491,"width":830,"height":11}},{"id":"786e7907-0162-4548-81f7-a8d1e7098e55","block_type":"box","text":"Fund with a third-party guaranty or other credit support. If the Fund’s counterparty defaults on such a transaction, a","page_number":57,"box":{"x":70,"y":506,"width":822,"height":11}},{"id":"89d09656-cd71-49af-81c7-451a21b3e3b1","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":57,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"01ff405b-f90d-4ee0-ac3f-00530b556fdb","block_type":"box","text":"be successful in enforcing such remedies. The market for interest rate swaps is relatively liquid in comparison with","page_number":57,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"3c85c1d2-24fc-44d6-89f0-d34120d95c64","block_type":"box","text":"other similar instruments traded in the interbank market. A Fund may be limited in its ability to enter into certain","page_number":57,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"db25110d-0c95-4876-bab0-d02fcb3f05d7","block_type":"box","text":"interest rate derivatives due to applicable income tax requirements.","page_number":57,"box":{"x":70,"y":566,"width":480,"height":11}},{"id":"aaa3d4e3-4b3c-45a2-a5b2-bdd567b20e86","block_type":"box","text":"Interest rate swaps are transactions in which each party makes periodic interest payments based on a fixed or","page_number":57,"box":{"x":102,"y":589,"width":790,"height":11}},{"id":"92046876-c18a-4eec-80a5-662d3ef72d4f","block_type":"box","text":"variable interest rate, index or asset in return for periodic payments from its counterparty based on a different fixed","page_number":57,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"fc5cdcdc-a80e-4a4d-a0df-fe742d82d152","block_type":"box","text":"or variable interest rate, index or asset.","page_number":57,"box":{"x":69,"y":619,"width":280,"height":11}},{"id":"49c05842-a7ed-4864-aaa0-ba15ac1d371c","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":57,"box":{"x":101,"y":642,"width":780,"height":11}},{"id":"21834692-2406-46a5-9980-220453988e2b","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling","page_number":57,"box":{"x":70,"y":657,"width":805,"height":11}},{"id":"7e60d452-df41-4219-966a-bf1b3cc67efc","block_type":"box","text":"such interest rate floor.","page_number":57,"box":{"x":69,"y":672,"width":165,"height":9}},{"id":"702e3acf-32ba-492d-81fe-2e83110695f4","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":57,"box":{"x":101,"y":695,"width":780,"height":11}},{"id":"f4dcdf78-40d3-4544-8cf8-a21f053086e6","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling","page_number":57,"box":{"x":70,"y":710,"width":805,"height":11}},{"id":"89e256ff-8f46-4355-9f48-8b30c6588605","block_type":"box","text":"such interest rate cap.","page_number":57,"box":{"x":69,"y":725,"width":159,"height":11}},{"id":"1c735986-a469-4f4a-994a-cc0c78b8d099","block_type":"box","text":"A Fund may enter into an interest rate swap to effectively exchange with another party their respective","page_number":57,"box":{"x":101,"y":748,"width":729,"height":11}},{"id":"7514dbbf-a499-4f2f-8ef2-6fb8bb95338e","block_type":"box","text":"commitments to pay or receive interest,","page_number":57,"box":{"x":69,"y":763,"width":282,"height":11}},{"id":"619b8680-89d0-4b05-bc18-b5a200345ff0","block_type":"box","text":"e.g.","page_number":57,"box":{"x":359,"y":764,"width":24,"height":10}},{"id":"8bc8a6b5-7d5e-4cbd-a3cc-4d305a638327","block_type":"box","text":", an exchange of fixed rate payments for floating rate payments. For","page_number":57,"box":{"x":386,"y":763,"width":482,"height":11}},{"id":"e1fe7982-e0e7-4de3-bd13-4b7368883389","block_type":"box","text":"example, if a Fund holds a mortgage-backed security with an interest rate that is reset only once each year, it may","page_number":57,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"da04eb99-d939-4a73-8ba6-529ffdb93e54","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":57,"box":{"x":69,"y":793,"width":823,"height":11}},{"id":"5168010b-c635-470c-a611-ccf901302fbf","block_type":"box","text":"This would enable a Fund to offset a decline in the value of the mortgage-backed security due to rising interest rates","page_number":57,"box":{"x":68,"y":808,"width":832,"height":11}},{"id":"776e01f3-f6f1-4ce1-a12a-7048228c07e9","block_type":"box","text":"but would also limit its ability to benefit from falling interest rates. Conversely, if a Fund holds a mortgage-backed","page_number":57,"box":{"x":69,"y":823,"width":807,"height":12}},{"id":"74e450bb-4fb9-4b26-b00a-b2590f616ddd","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":57,"box":{"x":69,"y":839,"width":836,"height":11}},{"id":"d58b59f3-9126-4442-b3fa-80237e32cc50","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":57,"box":{"x":69,"y":853,"width":826,"height":12}},{"id":"4820fd91-221c-4362-9513-8d3e6b972ac3","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":57,"box":{"x":69,"y":869,"width":840,"height":11}},{"id":"8403107d-2829-497e-80a6-f5d5a6ccbb9a","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":57,"box":{"x":69,"y":884,"width":810,"height":11}},{"id":"1c154b12-3990-4f89-abed-c2100ca509cc","block_type":"box","text":"year interest rates, but would preclude it from taking full advantage of rising interest rates.","page_number":57,"box":{"x":68,"y":899,"width":646,"height":11}},{"id":"8e611e39-7bb5-43fd-8580-ac5db0c1887f","block_type":"box","text":"II-19","page_number":57,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"891a1415-f089-40a1-b303-1b507e18ecfd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":57,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"df0d239e-33e3-45fa-9e50-b4fd6edf13c8","block_type":"box","text":"Gains from transactions in interest rate swaps distributed to shareholders will be taxable as ordinary income or,","page_number":58,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"33ba4305-6742-41d9-aca8-e3d8b862b018","block_type":"box","text":"in certain circumstances, as long term capital gains to shareholders.","page_number":58,"box":{"x":70,"y":60,"width":490,"height":11}},{"id":"6289ab6d-f5c8-4dfd-8006-9cf3a37ac502","block_type":"box","text":"Interest rate swaps and interest rate caps and floors may be subject to correlation risk, leverage risk, illiquidity","page_number":58,"box":{"x":102,"y":82,"width":791,"height":12}},{"id":"373bff92-460a-458c-8a07-32afaf2585ef","block_type":"box","text":"risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":58,"box":{"x":69,"y":98,"width":454,"height":9}},{"id":"aec86973-1cb3-4118-8229-e21b70064ddf","block_type":"box","text":"Total Return Swaps.","page_number":58,"box":{"x":103,"y":120,"width":139,"height":11}},{"id":"8cf0527f-c9e6-48da-ba35-7855e27d5914","block_type":"box","text":"Total return swaps are contracts in which one party agrees to make periodic payments to","page_number":58,"box":{"x":249,"y":120,"width":634,"height":12}},{"id":"2e35ef9d-0ff0-476f-ad13-1a353494c42d","block_type":"box","text":"the other party based on the return of the assets underlying the contract in exchange for periodic payments based on","page_number":58,"box":{"x":68,"y":135,"width":838,"height":12}},{"id":"2af084ea-7abb-4c04-ba1b-0ca6cfb31aca","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":58,"box":{"x":69,"y":150,"width":764,"height":12}},{"id":"f22d34e3-2182-4b58-a04e-1fff368e2a9d","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":58,"box":{"x":69,"y":166,"width":791,"height":11}},{"id":"46dda60f-6644-4f3f-8949-fa077d1eaf39","block_type":"box","text":"asset. The asset underlying the contract may include a specified security, basket of securities or securities indices.","page_number":58,"box":{"x":69,"y":181,"width":821,"height":11}},{"id":"4a3ca832-64e4-4c3c-9daa-0836a1a0766e","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":58,"box":{"x":68,"y":196,"width":838,"height":11}},{"id":"a2d2b7e9-5913-4026-970a-b81a7d3af1a7","block_type":"box","text":"“contracts for difference.”","page_number":58,"box":{"x":70,"y":211,"width":184,"height":9}},{"id":"91d74abb-7c17-4924-907d-1b6b0c1540c5","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":58,"box":{"x":101,"y":234,"width":770,"height":11}},{"id":"9bfa4049-2ccf-4555-97cf-0ea2adc1e3b3","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":58,"box":{"x":69,"y":249,"width":780,"height":11}},{"id":"855fdb23-5b0b-439a-b1cc-9987ca31c02f","block_type":"box","text":"required to deposit initial margin but the parties do not exchange the notional amount. As a result, total return swaps","page_number":58,"box":{"x":69,"y":264,"width":839,"height":11}},{"id":"10674d15-ffa4-48a2-8975-97cc7eaa10a6","block_type":"box","text":"may effectively add leverage to the Fund’s portfolio because the Fund would be subject to investment exposure on","page_number":58,"box":{"x":69,"y":279,"width":816,"height":11}},{"id":"5512439c-fcde-4928-b4d9-733ed8520f85","block_type":"box","text":"the notional amount of the swap.","page_number":58,"box":{"x":68,"y":294,"width":235,"height":11}},{"id":"425ac509-d0c2-4c7c-a533-6832c5885b22","block_type":"box","text":"Total return swaps are subject to significant correlation risk, leverage risk, illiquidity risk, market risk and","page_number":58,"box":{"x":101,"y":317,"width":746,"height":11}},{"id":"d826ac0a-aaf8-46f4-bd0e-bd76ca7c9f27","block_type":"box","text":"counterparty risk. See “—Risk Factors in Derivatives” above.","page_number":58,"box":{"x":69,"y":332,"width":433,"height":11}},{"id":"28fea40a-4dc7-40ad-8a03-68a3b784964e","block_type":"box","text":"Options.","page_number":58,"box":{"x":102,"y":355,"width":57,"height":11}},{"id":"e119e5e1-95a1-4aa8-9d5c-a18cbe7f14d2","block_type":"box","text":"Options on Securities and Securities Indices.","page_number":58,"box":{"x":102,"y":377,"width":319,"height":11}},{"id":"d33010a3-6f0b-4094-be34-1162578a15d9","block_type":"box","text":"A Fund may engage in transactions in options on individual","page_number":58,"box":{"x":427,"y":377,"width":418,"height":12}},{"id":"febbf3f3-cfa0-43f6-b737-471cb505fdff","block_type":"box","text":"securities, baskets of securities or securities indices, or particular measurements of value or rates, such as an index","page_number":58,"box":{"x":69,"y":392,"width":838,"height":11}},{"id":"9c6b0183-fd93-4b9c-a3d3-1e957b42cfe3","block_type":"box","text":"of the price of treasury securities or an index representative of short-term interest rates. Such investments may be","page_number":58,"box":{"x":69,"y":407,"width":820,"height":12}},{"id":"73ff837e-141a-4fd3-ae1b-60ed6ee1fc07","block_type":"box","text":"made on exchanges and in the OTC markets. In general, exchange-traded options have standardized exercise prices","page_number":58,"box":{"x":69,"y":423,"width":826,"height":11}},{"id":"f337b277-b06c-4292-bcb8-dd9f650b7a56","block_type":"box","text":"and expiration dates and require the parties to post margin against their obligations, and the performance of the","page_number":58,"box":{"x":69,"y":438,"width":806,"height":11}},{"id":"f0a7f6ec-9699-4f84-8f56-f910a8677d8f","block_type":"box","text":"parties’ obligations in connection with such options is guaranteed by the exchange or a related clearing corporation.","page_number":58,"box":{"x":70,"y":453,"width":825,"height":11}},{"id":"e1649d52-9552-4ee0-b75b-f0fd4ab6180f","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":58,"box":{"x":69,"y":468,"width":822,"height":11}},{"id":"5fda7f54-3fb6-4875-8c28-dd38ef984bcb","block_type":"box","text":"risk. OTC options also involve greater illiquidity risk.","page_number":58,"box":{"x":69,"y":483,"width":366,"height":11}},{"id":"4d075fed-7c1d-4af6-a121-2afc22c19f00","block_type":"box","text":"A Fund may also engage in transactions in options which have additional features that result in different","page_number":58,"box":{"x":101,"y":506,"width":743,"height":11}},{"id":"c6501f19-9760-4fa9-86d5-18f4a489425f","block_type":"box","text":"payment structures and/or expirations (commonly referred to as exotic options). For example, barrier options are","page_number":58,"box":{"x":70,"y":521,"width":804,"height":11}},{"id":"9b6fc4e9-c9f0-43f9-8b61-b0b85f50c5cd","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":58,"box":{"x":69,"y":536,"width":827,"height":11}},{"id":"690e626b-75f7-48e7-88ef-5e52c69ce236","block_type":"box","text":"more predetermined levels on or before expiration. Binary options are another example of exotic options which have","page_number":58,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"359383ae-727f-49df-9861-e5d9fb916958","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":58,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"85c33634-82e2-4fb5-933d-e07be9d99e3f","block_type":"box","text":"OTC markets.","page_number":58,"box":{"x":69,"y":581,"width":95,"height":9}},{"id":"f155f826-3007-40da-89d4-30582fa17f3c","block_type":"box","text":"There are several risks associated with transactions in options on securities and indexes. For example, there are","page_number":58,"box":{"x":101,"y":604,"width":806,"height":11}},{"id":"7d92ca11-c877-460f-a1d5-569f6e9dba14","block_type":"box","text":"significant differences between the securities and options markets that could result in an imperfect correlation","page_number":58,"box":{"x":69,"y":619,"width":791,"height":11}},{"id":"273c17e8-eb20-4673-a748-83a10b8e11e3","block_type":"box","text":"between these markets, causing a given transaction not to achieve its objectives. In addition, a liquid market for","page_number":58,"box":{"x":69,"y":634,"width":801,"height":12}},{"id":"0ec5fc66-a70f-4135-bacc-aacaae0934e9","block_type":"box","text":"particular options, whether traded OTC or on a national securities exchange (“Exchange”) may be absent for reasons","page_number":58,"box":{"x":70,"y":649,"width":831,"height":12}},{"id":"5767d29d-1c65-448e-92cf-3b52ec8578fe","block_type":"box","text":"which include the following: there may be insufficient trading interest in certain options; restrictions may be imposed","page_number":58,"box":{"x":68,"y":664,"width":833,"height":12}},{"id":"dd5caf0a-9844-410f-8b9e-55aa72dde60f","block_type":"box","text":"by an Exchange on opening transactions or closing transactions or both; trading halts, suspensions or other","page_number":58,"box":{"x":69,"y":680,"width":769,"height":11}},{"id":"c613d1ad-eadb-42a1-bede-f76e1b945b74","block_type":"box","text":"restrictions may be imposed with respect to particular classes or series of options or underlying securities; unusual","page_number":58,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"f55e6de8-cb58-45b2-b6d9-32fd625b0353","block_type":"box","text":"or unforeseen circumstances may interrupt normal operations on an Exchange; the facilities of an Exchange or the","page_number":58,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"eaec3b5c-ac9b-4f89-9959-b1e2c00bb771","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":58,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"ed197954-b23e-4d67-890b-4eb0fe251003","block_type":"box","text":"Exchanges could, for economic or other reasons, decide or be compelled at some future date to discontinue the","page_number":58,"box":{"x":70,"y":740,"width":798,"height":11}},{"id":"6927d14c-da73-4e31-bc0c-9f92ec0bdd7f","block_type":"box","text":"trading of options (or a particular class or series of options), in which event the market on that Exchange (or in that","page_number":58,"box":{"x":68,"y":755,"width":822,"height":11}},{"id":"6eee8e9a-a6ee-4391-a10f-e52206f32b9f","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":58,"box":{"x":69,"y":770,"width":818,"height":12}},{"id":"4064b033-079b-4f33-997b-3edf6ee5f154","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":58,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"e61c66b4-682f-4c2a-a7ca-266cf4478d76","block_type":"box","text":"terms.","page_number":58,"box":{"x":68,"y":801,"width":45,"height":9}},{"id":"51b9c785-4b7e-4338-8763-23abbda9176e","block_type":"box","text":"Each of the options exchanges has established limitations governing the maximum number of call or put options","page_number":58,"box":{"x":102,"y":823,"width":801,"height":12}},{"id":"0bff84b1-3ff0-4737-b201-d077f6608f36","block_type":"box","text":"on the same asset that may be bought or written by a single investor, whether acting alone or in concert with others","page_number":58,"box":{"x":69,"y":839,"width":826,"height":11}},{"id":"f11568bb-d45f-4d02-a141-88c430270d32","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":58,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"a3d9e9af-5424-4c75-91f6-c6984e80fe50","block_type":"box","text":"more accounts or through one or more brokers). Under these limitations, option positions of all investment","page_number":58,"box":{"x":69,"y":869,"width":762,"height":11}},{"id":"f2c1e13f-68e0-40d9-b0b9-5055955b4701","block_type":"box","text":"companies advised by the Manager are combined for purposes of these limits. Pursuant to these limitations, an","page_number":58,"box":{"x":69,"y":884,"width":798,"height":11}},{"id":"71013701-dc7b-4f4c-9189-19604ee932e3","block_type":"box","text":"II-20","page_number":58,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef45a088-6f12-4f42-a90e-f68283c55b08","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":58,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e60bb932-51b9-441e-a8ba-d9664310958b","block_type":"box","text":"exchange may order the liquidation of positions and may impose other sanctions or restrictions. These position limits","page_number":59,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"cc6d2ff1-87b0-4a88-ac58-095d142ef30c","block_type":"box","text":"may restrict the number of listed options that a Fund may buy or sell.","page_number":59,"box":{"x":69,"y":60,"width":491,"height":11}},{"id":"dc54c02f-0793-47b7-9405-ecf5c7b5fedd","block_type":"box","text":"Call Options.","page_number":59,"box":{"x":102,"y":83,"width":89,"height":10}},{"id":"b04659e6-9c66-4f5a-99d5-e5ba9ee3361c","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":59,"box":{"x":197,"y":82,"width":694,"height":12}},{"id":"8717a5e4-b58f-49b4-8dac-a0e19568b8d4","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":59,"box":{"x":70,"y":98,"width":838,"height":11}},{"id":"a75d11ec-dba6-4f97-96d1-c1dcbc32e248","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":59,"box":{"x":68,"y":113,"width":813,"height":11}},{"id":"6a0d5d19-75d1-472e-9102-b92e566f7b0d","block_type":"box","text":"Index options are similar to options on securities except that, rather than taking or making delivery of securities","page_number":59,"box":{"x":70,"y":128,"width":795,"height":11}},{"id":"c88f0ce1-5f77-438c-81d9-d52afa339040","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":59,"box":{"x":69,"y":143,"width":807,"height":11}},{"id":"60803cf7-85d7-4822-a2aa-49911c0bbb83","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":59,"box":{"x":69,"y":158,"width":830,"height":11}},{"id":"f8c58509-cc54-412c-8558-9f68dd8fe637","block_type":"box","text":"of the option.","page_number":59,"box":{"x":69,"y":173,"width":93,"height":11}},{"id":"09a3cdf6-2186-44ef-9d2b-255a60ddf71b","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":59,"box":{"x":101,"y":196,"width":794,"height":11}},{"id":"21476698-10b4-490f-826d-745ced3e04ef","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":59,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"74a065c0-f2f1-4bba-baa0-71c3cae6ea9f","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":59,"box":{"x":69,"y":226,"width":839,"height":11}},{"id":"3a584483-409f-4692-87d3-39b904b247d9","block_type":"box","text":"illiquid investments under the Funds’ Liquidity Program (as defined below) (“liquid assets”) designated on the","page_number":59,"box":{"x":70,"y":241,"width":778,"height":11}},{"id":"fa06837d-b148-4b85-8554-ac415571ba35","block_type":"box","text":"Manager’s or the sub-adviser’s books and records to the extent required by Commission guidelines.","page_number":59,"box":{"x":70,"y":256,"width":711,"height":12}},{"id":"af6ada79-3216-43e8-a2ad-0500ea9964b7","block_type":"box","text":"A Fund may write (","page_number":59,"box":{"x":101,"y":279,"width":130,"height":11}},{"id":"f310b737-69f0-4af8-803f-59f8a5c1f15e","block_type":"box","text":"i.e.","page_number":59,"box":{"x":233,"y":279,"width":20,"height":9}},{"id":"39134292-8f03-4916-adc6-51b19593211e","block_type":"box","text":", sell) covered call options on the securities or instruments in which it may invest and to","page_number":59,"box":{"x":256,"y":279,"width":627,"height":11}},{"id":"c0f058ab-589b-4177-a57b-9932f23bb979","block_type":"box","text":"enter into closing purchase transactions with respect to certain of such options. A covered call option is an option in","page_number":59,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"5bbb0a68-5214-49e3-ab22-84563cb6e36d","block_type":"box","text":"which a Fund, in return for a premium, gives another party a right to buy specified securities owned by the Fund at a","page_number":59,"box":{"x":68,"y":309,"width":827,"height":11}},{"id":"8452f3d3-5dfb-44b5-aa6c-e7bac2bf8e08","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":59,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"a1e4af42-2979-44d5-a52a-6a65f9687923","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":59,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"79733c2b-ee28-4fd4-88ad-8243a63efc07","block_type":"box","text":"By writing covered call options, a Fund gives up the opportunity, while the option is in effect, to profit from any price","page_number":59,"box":{"x":70,"y":355,"width":823,"height":11}},{"id":"97bb1fb7-58d3-42c4-bfa0-f2ced8fe482e","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":59,"box":{"x":70,"y":370,"width":825,"height":11}},{"id":"1ad46230-589a-4552-9733-e6b515e839c7","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":59,"box":{"x":69,"y":385,"width":800,"height":11}},{"id":"ba1ead19-2c5c-4595-89ad-f3cffc076938","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":59,"box":{"x":69,"y":400,"width":792,"height":11}},{"id":"a6f7d561-8abf-4703-ae3e-d3798634b627","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":59,"box":{"x":70,"y":415,"width":826,"height":11}},{"id":"082b91c4-b018-4492-8963-e6cd08d3d32f","block_type":"box","text":"a partial hedge to the extent of the premium received against the price of the underlying security declining.","page_number":59,"box":{"x":69,"y":430,"width":760,"height":11}},{"id":"3c185de1-4747-4800-a7b5-7ba6c2475941","block_type":"box","text":"A Fund may write","page_number":59,"box":{"x":101,"y":453,"width":120,"height":11}},{"id":"ce2a3e4f-489e-4db8-bc39-b0f8a9fc15aa","block_type":"box","text":"(i.e.","page_number":59,"box":{"x":228,"y":453,"width":25,"height":11}},{"id":"1d038207-3f76-43ea-908c-9d2538d9854f","block_type":"box","text":", sell) uncovered call options on securities or instruments in which it may invest but that","page_number":59,"box":{"x":256,"y":453,"width":628,"height":11}},{"id":"2924d47e-1ead-4d3d-ac73-7b42c83c86c6","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":59,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"99054a23-c5f7-482d-b4b1-b308130a47de","block_type":"box","text":"committing capital to the ownership of the underlying securities or instruments. When writing uncovered call options,","page_number":59,"box":{"x":69,"y":483,"width":830,"height":11}},{"id":"4db3f92a-b30c-430e-aeeb-6eed3d24357d","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":59,"box":{"x":69,"y":498,"width":825,"height":11}},{"id":"648b39f3-1b43-4013-b6e6-99d91ecaf7ba","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":59,"box":{"x":69,"y":513,"width":818,"height":11}},{"id":"55e6026c-1077-43fb-8c3c-e66783b361b3","block_type":"box","text":"During periods of declining securities prices or when prices are stable, writing uncovered calls can be a profitable","page_number":59,"box":{"x":70,"y":528,"width":806,"height":12}},{"id":"5b095389-9f69-43dd-8b17-6d1fb187203b","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":59,"box":{"x":69,"y":544,"width":839,"height":11}},{"id":"6936df22-5a37-49df-843b-e95ddf34bab6","block_type":"box","text":"there is no underlying security held by a Fund that can act as a partial hedge. Uncovered calls have speculative","page_number":59,"box":{"x":68,"y":559,"width":793,"height":11}},{"id":"31c366ff-cee7-4cbc-9a7b-a722fa9daa05","block_type":"box","text":"characteristics and the potential for loss is unlimited. When an uncovered call is exercised, a Fund must purchase","page_number":59,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"5e2000c7-d8fc-4a33-b7d2-8855d42980e8","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":59,"box":{"x":68,"y":589,"width":818,"height":11}},{"id":"54ecc655-210d-40fa-98a1-6a34f9c43e53","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":59,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"c1340957-0516-4e84-a9ed-ea9db336fbdd","block_type":"box","text":"exercise price, a Fund will lose the difference.","page_number":59,"box":{"x":69,"y":619,"width":326,"height":11}},{"id":"74b8e60f-4af0-4b59-b21c-5a8a24d90fc2","block_type":"box","text":"Put Options.","page_number":59,"box":{"x":102,"y":642,"width":85,"height":11}},{"id":"75f32233-fe64-444c-9364-2130752ae728","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":59,"box":{"x":194,"y":642,"width":712,"height":11}},{"id":"34818eea-d0dc-4362-badd-56b61c10697b","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":59,"box":{"x":68,"y":657,"width":828,"height":11}},{"id":"b1f5a4bf-7e73-4418-9390-b530bde6ec8a","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":59,"box":{"x":69,"y":672,"width":816,"height":11}},{"id":"ab36b148-3a39-4544-a90f-279b0d9582e3","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":59,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"e77defdb-1d20-4c2f-a0a6-fd2b06feade8","block_type":"box","text":"instruments will be partially offset by the amount of the premium paid for the put option and any related transaction","page_number":59,"box":{"x":70,"y":702,"width":826,"height":11}},{"id":"ec3ed9df-c79f-417f-9d3a-92140e0a6512","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":59,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"75148c50-c7f7-4bb7-967c-563e2f4049ea","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":59,"box":{"x":68,"y":732,"width":839,"height":11}},{"id":"bb02310d-8746-4a62-af71-9f68c52a0372","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":59,"box":{"x":68,"y":748,"width":841,"height":11}},{"id":"c5b6a855-dcb9-4ce5-b5e7-647ae9487485","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":59,"box":{"x":69,"y":763,"width":785,"height":11}},{"id":"f19a1d44-ba32-4b7d-85c3-9fefbad4cbf1","block_type":"box","text":"purchase uncovered put options.","page_number":59,"box":{"x":70,"y":778,"width":231,"height":11}},{"id":"9372349b-9ff6-4a66-b31e-ac5346178ac0","block_type":"box","text":"A Fund also may write (","page_number":59,"box":{"x":101,"y":801,"width":165,"height":11}},{"id":"8bcc2dde-c473-4928-b4ae-3bb959dd8d6d","block_type":"box","text":"i.e.","page_number":59,"box":{"x":268,"y":801,"width":20,"height":9}},{"id":"578b0061-91f8-4b3a-9d9d-c18e1bc0aff7","block_type":"box","text":", sell) put options on the types of securities or instruments that may be held by the","page_number":59,"box":{"x":291,"y":801,"width":591,"height":11}},{"id":"c8fe5d1c-30c5-4f76-8b09-9c65b8067bf2","block_type":"box","text":"Fund. A Fund will receive a premium for writing a put option, which increases the Fund’s return.","page_number":59,"box":{"x":70,"y":816,"width":675,"height":11}},{"id":"a81322f9-0a23-46c0-bc99-60adda73d0c3","block_type":"box","text":"A Fund also may write (","page_number":59,"box":{"x":101,"y":839,"width":165,"height":10}},{"id":"f01ec457-af8a-4185-b416-58a349df899f","block_type":"box","text":"i.e.","page_number":59,"box":{"x":268,"y":839,"width":20,"height":8}},{"id":"890cb8ab-02c8-4cff-a68f-f54862918f88","block_type":"box","text":", sell) uncovered put options on securities or instruments in which it may invest but","page_number":59,"box":{"x":291,"y":839,"width":593,"height":10}},{"id":"34789fdd-6ce8-448e-abcb-b354459ad814","block_type":"box","text":"with respect to which the Fund does not currently have a corresponding short position or has not deposited as","page_number":59,"box":{"x":68,"y":854,"width":789,"height":11}},{"id":"a0917167-d252-40c1-af98-060673d0d464","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":59,"box":{"x":69,"y":869,"width":773,"height":11}},{"id":"e352a666-ec2e-4282-8f0d-fc2856cc1c42","block_type":"box","text":"uncovered put option. The principal reason for writing uncovered put options is to receive premium income and to","page_number":59,"box":{"x":69,"y":884,"width":807,"height":11}},{"id":"f9dfe91f-e9f6-4e87-8c7f-00832bee293a","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":59,"box":{"x":69,"y":899,"width":835,"height":11}},{"id":"b907d0b4-ba91-41bf-9626-c7d53ced620f","block_type":"box","text":"II-21","page_number":59,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6cec628e-79c3-4068-b1d5-bdb20bb55e47","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":59,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"02e6b258-0af9-4b54-99fb-01ffa120b4cd","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":60,"box":{"x":68,"y":45,"width":818,"height":11}},{"id":"83573165-acbf-4a12-b37c-914f6e5fe5fc","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":60,"box":{"x":68,"y":60,"width":800,"height":11}},{"id":"73092fd6-3d0d-4417-ba13-b0992e3fe270","block_type":"box","text":"expire worthless and a Fund will retain the premium and will not have to purchase the securities or instruments at","page_number":60,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"2aa49c6e-13a6-4194-951a-e322b03c339f","block_type":"box","text":"the exercise price.","page_number":60,"box":{"x":68,"y":90,"width":130,"height":11}},{"id":"6e7a6a40-4418-4b34-a5d4-71529b4f11a9","block_type":"box","text":"Options on Government National Mor tgage Association (“GNMA”) Cer tificates.","page_number":60,"box":{"x":102,"y":113,"width":556,"height":11}},{"id":"d734cfec-856b-48a5-b172-d98c6d3dc806","block_type":"box","text":"The following information relates","page_number":60,"box":{"x":664,"y":113,"width":232,"height":11}},{"id":"e4523409-9375-46f7-aca1-755bb1b8b737","block_type":"box","text":"to the unique characteristics of options on GNMA Certificates. Since the remaining principal balance of GNMA","page_number":60,"box":{"x":68,"y":128,"width":784,"height":11}},{"id":"e4facf4d-2441-48b7-a001-fed7bead23df","block_type":"box","text":"Certificates declines each month as a result of mortgage payments, a Fund, as a writer of a GNMA call holding GNMA","page_number":60,"box":{"x":69,"y":143,"width":840,"height":11}},{"id":"46a34d6a-3e02-427d-836b-891399143b06","block_type":"box","text":"Certificates as “cover” to satisfy its delivery obligation in the event of exercise, may find that the GNMA Certificates","page_number":60,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"d6ab3f42-45b4-4e28-983d-b3c988a32e9f","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":60,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"ed5c7c5a-b9ec-4ef6-803e-fd57f483ca13","block_type":"box","text":"purchase additional GNMA Certificates from the same pool (if obtainable) or other GNMA Certificates in the cash","page_number":60,"box":{"x":70,"y":188,"width":803,"height":11}},{"id":"7ebc4f6f-b150-43a7-8f97-9e4ea581fca8","block_type":"box","text":"market in order to maintain its “cover.”","page_number":60,"box":{"x":69,"y":204,"width":277,"height":8}},{"id":"cdd8bbae-c52f-4586-9e56-17d1652c6015","block_type":"box","text":"A GNMA Certificate held by a Fund to cover an option position in any but the nearest expiration month may cease","page_number":60,"box":{"x":101,"y":226,"width":807,"height":11}},{"id":"2d0f27d3-554c-4fe4-a469-16cfeda4957b","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":60,"box":{"x":68,"y":241,"width":835,"height":11}},{"id":"26a8494b-8f0d-43b4-b6cb-7eecb718e4b2","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":60,"box":{"x":69,"y":256,"width":821,"height":12}},{"id":"1e841292-8e98-4392-9ad4-14966596c6c5","block_type":"box","text":"the Fund will either enter into a closing purchase transaction or replace such Certificate with a certificate that","page_number":60,"box":{"x":68,"y":271,"width":784,"height":12}},{"id":"16ce0ed2-179e-4ada-93ad-f1da497fdc5c","block_type":"box","text":"represents cover. When a Fund closes its position or replaces such Certificate, it may realize an unanticipated loss","page_number":60,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"8c36d14d-ae3d-481c-98ee-2c50da10df47","block_type":"box","text":"and incur transaction costs.","page_number":60,"box":{"x":69,"y":302,"width":197,"height":9}},{"id":"2cd1d4b3-4432-40a8-b28d-ffaf3cda7b8d","block_type":"box","text":"Options on Swaps (“Swaptions”).","page_number":60,"box":{"x":102,"y":324,"width":235,"height":11}},{"id":"35dbe3db-314a-4542-a68b-0d487a59b772","block_type":"box","text":"A swaption gives a counterparty the option (but not the obligation) to enter into","page_number":60,"box":{"x":343,"y":325,"width":563,"height":11}},{"id":"4bfdd3dd-0265-496e-821e-6c9e01986f64","block_type":"box","text":"a new swap agreement or to shorten, extend, cancel or otherwise modify an existing swap agreement, at a","page_number":60,"box":{"x":69,"y":339,"width":763,"height":12}},{"id":"608fc29a-f808-412b-9f50-ee70e7868b22","block_type":"box","text":"designated future time on specified terms. A Fund may write (","page_number":60,"box":{"x":69,"y":355,"width":439,"height":11}},{"id":"a30cb124-1b71-456d-a0b0-d09ec7fdd738","block_type":"box","text":"i.e.","page_number":60,"box":{"x":510,"y":355,"width":20,"height":9}},{"id":"539570a0-3a50-4d9a-aa07-e3b0a9eb7db7","block_type":"box","text":", sell) and purchase put and call swaptions.","page_number":60,"box":{"x":533,"y":355,"width":309,"height":11}},{"id":"3baeaedc-6cf3-4c3a-ad93-6bd39d6d1079","block_type":"box","text":"Depending on the terms of the particular option agreement, a Fund will generally incur a greater degree of risk when","page_number":60,"box":{"x":70,"y":370,"width":826,"height":11}},{"id":"c9b473e6-d807-45e2-9794-ce9d1affc731","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":60,"box":{"x":70,"y":385,"width":793,"height":11}},{"id":"67b13904-25a3-483b-a402-9f079759a56f","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":60,"box":{"x":70,"y":400,"width":802,"height":11}},{"id":"af4d3eba-fe68-44b1-a4b6-33d335569a75","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":60,"box":{"x":68,"y":415,"width":836,"height":11}},{"id":"2bd516da-542a-4dc2-a6f8-e3684c079556","block_type":"box","text":"the underlying agreement and the potential for loss may be unlimited. Certain swaptions are permitted, although not","page_number":60,"box":{"x":68,"y":430,"width":832,"height":11}},{"id":"5d39b13c-9989-4923-8991-bc0c71544955","block_type":"box","text":"required, to be cleared.","page_number":60,"box":{"x":69,"y":446,"width":165,"height":10}},{"id":"0201da0b-fe63-44a3-8351-6dbe11a0f260","block_type":"box","text":"A Fund will likely enter into these transactions to preserve a return or spread on a particular investment or","page_number":60,"box":{"x":101,"y":468,"width":760,"height":11}},{"id":"f78af157-13bf-49c1-974d-31edb4e25992","block_type":"box","text":"portion of its portfolio or to protect against any increase in the price of securities the Fund anticipates purchasing at","page_number":60,"box":{"x":70,"y":483,"width":830,"height":11}},{"id":"ff8a3136-ca9e-43f8-b5a0-cdcd5969641e","block_type":"box","text":"a later date. A Fund generally will use these transactions for hedging purposes, not for speculation.","page_number":60,"box":{"x":69,"y":498,"width":706,"height":11}},{"id":"4bc03a0e-8cc2-4805-a182-405e8602f50a","block_type":"box","text":"Swaptions may be subject to correlation risk, leverage risk, illiquidity risk and market risk. See “—Risk Factors in","page_number":60,"box":{"x":102,"y":521,"width":805,"height":11}},{"id":"a0a7510b-33f7-4529-a157-a8d8de2d9c6b","block_type":"box","text":"Derivatives” above.","page_number":60,"box":{"x":70,"y":536,"width":135,"height":9}},{"id":"d741de49-751d-4649-878f-3b6516f9321d","block_type":"box","text":"FLEX Options.","page_number":60,"box":{"x":102,"y":559,"width":96,"height":11}},{"id":"1d24a59c-58c2-4f2c-931a-cfe30b24070b","block_type":"box","text":"FLEX Options are customized option contracts available through national securities exchanges that","page_number":60,"box":{"x":206,"y":559,"width":702,"height":11}},{"id":"8b251aec-001a-43be-b823-5442c7435eef","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":60,"box":{"x":69,"y":574,"width":839,"height":11}},{"id":"6b4ac0ec-a21e-45fc-bc8a-c16502d9ed9c","block_type":"box","text":"securities exchange. FLEX Options provide investors with the ability to customize assets referenced by the options,","page_number":60,"box":{"x":69,"y":589,"width":818,"height":11}},{"id":"ffab3f09-3892-46a4-a200-a222558ba34d","block_type":"box","text":"exercise prices, exercise styles (","page_number":60,"box":{"x":69,"y":604,"width":231,"height":11}},{"id":"1a105ab0-8989-413e-9290-72a387d2ea8d","block_type":"box","text":"i.e.","page_number":60,"box":{"x":302,"y":604,"width":20,"height":9}},{"id":"8f56f1d3-6076-4d1f-b1b4-fcba51adc0cf","block_type":"box","text":", American-style, exercisable any time prior to the expiration date, or European","page_number":60,"box":{"x":325,"y":604,"width":561,"height":11}},{"id":"06160007-3962-43de-b765-5aa8a1deefef","block_type":"box","text":"style, exercisable only on the option expiration date) and expiration dates, while achieving price discovery in","page_number":60,"box":{"x":69,"y":619,"width":768,"height":11}},{"id":"b86ca7c0-72e1-4631-92c0-9dc32af6f59e","block_type":"box","text":"competitive, transparent auctions markets and avoiding the counterparty exposure of OTC options positions. Each","page_number":60,"box":{"x":69,"y":634,"width":812,"height":12}},{"id":"c5ca4fca-5eaa-48c8-b906-f3f05089a168","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":60,"box":{"x":69,"y":649,"width":830,"height":11}},{"id":"7dbc9cda-0cc3-4995-8a0e-ac2974bda441","block_type":"box","text":"reference asset at the strike price. A Fund’s portfolio may include several types of FLEX Options, including both","page_number":60,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"c7325432-183c-4409-a77c-c3bc039481a6","block_type":"box","text":"purchased and written put and call options (as further described below). The FLEX Options are all European style","page_number":60,"box":{"x":70,"y":680,"width":802,"height":11}},{"id":"14ae0e3e-7239-4083-9e29-e5772b87e2f6","block_type":"box","text":"options, which means that they are exercisable at a predetermined specified price (the “strike price”) only on the","page_number":60,"box":{"x":69,"y":695,"width":806,"height":11}},{"id":"151abe60-1d93-48b4-b940-2bd8e600aa45","block_type":"box","text":"FLEX Option’s expiration date.","page_number":60,"box":{"x":70,"y":710,"width":211,"height":11}},{"id":"01d87c6e-d908-4d4e-af01-4061ca9782b0","block_type":"box","text":"The OCC guarantees performance by each of the counterparties to the FLEX Options, becoming the “buyer for","page_number":60,"box":{"x":101,"y":732,"width":783,"height":12}},{"id":"87da3234-a4cb-4ef3-9222-10d52e69c965","block_type":"box","text":"every seller and the seller for every buyer”, reducing counterparty risk for clearing members and options traders.","page_number":60,"box":{"x":69,"y":748,"width":802,"height":11}},{"id":"0c4cf331-d7c5-42cf-8017-736386f6d079","block_type":"box","text":"Although guaranteed for settlement by the OCC, FLEX Options are still subject to counterparty risk with the OCC and","page_number":60,"box":{"x":68,"y":763,"width":826,"height":11}},{"id":"1f2b7626-fbfa-4c1b-b67b-55206f3e498c","block_type":"box","text":"subject to the risk that the OCC may fail to perform the settlement of the FLEX Options due to bankruptcy or other","page_number":60,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"6d446240-c21d-47ce-b5ea-1f9866555123","block_type":"box","text":"adverse reasons. A Fund bears the risk that the OCC will be unable or unwilling to perform its obligations under the","page_number":60,"box":{"x":69,"y":793,"width":822,"height":11}},{"id":"33db69d3-bc19-4ed0-a1ba-52d5fb9736a5","block_type":"box","text":"FLEX Options contracts.","page_number":60,"box":{"x":70,"y":808,"width":166,"height":11}},{"id":"f6dec676-96bb-4469-90e2-35e3b06c18d0","block_type":"box","text":"Subject to determination by the Securities Committee of the OCC, adjustments may be made to the FLEX","page_number":60,"box":{"x":102,"y":831,"width":748,"height":11}},{"id":"be8e5abb-f3f1-47dd-9919-73a5d42ff95c","block_type":"box","text":"Options for certain events (collectively, “Corporate Actions”) specified in the OCC’s by-laws and rules: certain stock","page_number":60,"box":{"x":69,"y":846,"width":822,"height":11}},{"id":"49135b10-930f-42b8-900b-5124e2b64bcf","block_type":"box","text":"dividends or distributions, stock splits, reverse stock splits, rights offerings, distributions, reorganizations,","page_number":60,"box":{"x":69,"y":861,"width":759,"height":11}},{"id":"a1a50caf-ee04-4582-b77e-ccd58626b8df","block_type":"box","text":"recapitalizations, or reclassifications with respect to an underlying security, or a merger, consolidation, dissolution or","page_number":60,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"de64c2b4-135c-473c-9ee4-f34767f479b3","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":60,"box":{"x":70,"y":891,"width":829,"height":12}},{"id":"c53b05d7-89db-4604-a63e-19eaf1f14f34","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":60,"box":{"x":69,"y":906,"width":821,"height":12}},{"id":"6bc545c0-81e7-49b4-abd5-d6f793c72b09","block_type":"box","text":"II-22","page_number":60,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b30158ea-f20c-49a9-a1d8-a9a6b49ae979","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":60,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"45ed2a22-f22b-4e90-af56-0f97cbad447a","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":61,"box":{"x":68,"y":45,"width":835,"height":11}},{"id":"930afd56-0e00-4817-a337-4e1ed6777b06","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":61,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"4883e5af-c0ca-4070-8bb7-97a90ee01641","block_type":"box","text":"the affected options, the maintenance of a fair and orderly market in the affected options, consistency of","page_number":61,"box":{"x":68,"y":75,"width":753,"height":11}},{"id":"89cf79a5-3176-4938-951b-4dfd0db0754e","block_type":"box","text":"interpretation and practice, efficiency of exercise settlement procedures, and the coordination with other clearing","page_number":61,"box":{"x":70,"y":90,"width":806,"height":11}},{"id":"97e0bc09-bd0a-451a-a189-f8f9e77864cf","block_type":"box","text":"agencies of the clearance and settlement of transactions in the underlying interest.","page_number":61,"box":{"x":69,"y":105,"width":593,"height":11}},{"id":"d386e4f9-904d-4dd1-896b-f338b7a938bb","block_type":"box","text":"Cer tain Considerations Regarding Options","page_number":61,"box":{"x":135,"y":128,"width":298,"height":11}},{"id":"1953df92-f3f1-4a53-b403-4393f6666650","block_type":"box","text":". The FLEX Options in which each Fund may invest will be options","page_number":61,"box":{"x":435,"y":128,"width":461,"height":11}},{"id":"c32b2676-34e7-46d3-9a01-7bf7910710fa","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":61,"box":{"x":102,"y":143,"width":768,"height":11}},{"id":"6ae6c0ca-27fa-46a9-b9cd-ec6dcd327a88","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":61,"box":{"x":102,"y":158,"width":775,"height":11}},{"id":"12c8b0a4-0e13-436a-ac2a-8678a556c4b5","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":61,"box":{"x":102,"y":173,"width":777,"height":11}},{"id":"18ff8d2c-ad62-4790-96c9-418345e65910","block_type":"box","text":"reflect, among other things, the time remaining until expiration (the end of the Outcome Period), the relationship","page_number":61,"box":{"x":102,"y":188,"width":799,"height":12}},{"id":"3f99ee5a-aee8-492d-90e7-ec61b5c32714","block_type":"box","text":"of the exercise price to the market price of the Reference Asset, and general market conditions. Options that","page_number":61,"box":{"x":102,"y":203,"width":777,"height":12}},{"id":"ab76aa3a-a98c-41be-923f-26d35df556b6","block_type":"box","text":"expire unexercised have no value.","page_number":61,"box":{"x":101,"y":219,"width":240,"height":10}},{"id":"cc5d1f36-9d48-4b2b-a7ab-77deb16cd295","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":61,"box":{"x":134,"y":241,"width":747,"height":11}},{"id":"8fed2b45-fd25-4149-8c3b-31a3e7df42e1","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":61,"box":{"x":101,"y":256,"width":792,"height":11}},{"id":"e387c7f6-8a8d-419b-b28f-b62b8b9db320","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":61,"box":{"x":101,"y":271,"width":786,"height":12}},{"id":"746001e0-e5d7-4758-b008-56469d483a6b","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":61,"box":{"x":101,"y":286,"width":798,"height":12}},{"id":"756b1445-0f91-492b-bbc1-f1d69d56e969","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":61,"box":{"x":102,"y":302,"width":802,"height":11}},{"id":"fa7637bd-a0a8-4fcb-8d50-6bcae743834d","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":61,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"44d088a6-4d4a-432e-ada8-d09f992b3902","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":61,"box":{"x":102,"y":332,"width":774,"height":11}},{"id":"ecefd6ef-66a9-4334-a59a-ff4651841f52","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":61,"box":{"x":102,"y":347,"width":793,"height":11}},{"id":"8639a1a5-7a96-4bec-b45a-7b27f5d926cd","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":61,"box":{"x":102,"y":362,"width":764,"height":11}},{"id":"55a2f756-6880-4f2f-b524-d1c97f4b3f8d","block_type":"box","text":"number of shares of the ETF in exchange for the strike price.","page_number":61,"box":{"x":102,"y":377,"width":430,"height":12}},{"id":"b723a31e-4dbe-46f8-b82d-ac6898365112","block_type":"box","text":"Although each Fund will generally utilize FLEX Options that are physically settled, a Fund may also utilize","page_number":61,"box":{"x":134,"y":400,"width":740,"height":11}},{"id":"246c33be-a98e-433e-8e36-7057b35c6bb5","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":61,"box":{"x":102,"y":415,"width":787,"height":11}},{"id":"7ba6e8c4-6c51-4ea6-92b0-82068d976e2f","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":61,"box":{"x":102,"y":430,"width":790,"height":11}},{"id":"30f03595-2037-4370-868c-291c8f953579","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":61,"box":{"x":102,"y":445,"width":793,"height":12}},{"id":"1687a7dc-9300-4aff-a649-415783130efc","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":61,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"2f8910ae-8937-4b5e-93ce-67c56daa8bbb","block_type":"box","text":"multiple (“multiplier”), which determines the total value for each point of such difference.","page_number":61,"box":{"x":102,"y":475,"width":635,"height":12}},{"id":"db097eb2-fc41-4848-bead-ce5122b9112c","block_type":"box","text":"Risks of Options on the Reference Assets","page_number":61,"box":{"x":135,"y":498,"width":297,"height":11}},{"id":"ce653a32-94f7-482e-b78c-eb762e7f8dc2","block_type":"box","text":". If a Fund has purchased an option and exercises it before the","page_number":61,"box":{"x":433,"y":498,"width":448,"height":11}},{"id":"df34ba6a-e1f4-4180-9de5-70914c6020a9","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":61,"box":{"x":101,"y":513,"width":777,"height":12}},{"id":"68c477fc-7b9a-4173-94e1-1b15381513e0","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":61,"box":{"x":101,"y":528,"width":753,"height":12}},{"id":"61e854c1-f898-48db-af8a-9521d39d7909","block_type":"box","text":"required to pay the difference between the closing Reference Asset value and the exercise price of the option","page_number":61,"box":{"x":102,"y":543,"width":780,"height":12}},{"id":"066364fb-f40a-486e-9c32-f8cf4617c499","block_type":"box","text":"(times the applicable multiplier) to the assigned writer.","page_number":61,"box":{"x":102,"y":559,"width":387,"height":11}},{"id":"f944adbe-321a-4ade-aa1f-aaf489651f96","block_type":"box","text":"Foreign Exchange Transactions.","page_number":61,"box":{"x":102,"y":582,"width":222,"height":11}},{"id":"84edb04a-bdbc-40ee-a38a-d8d319f4a0d4","block_type":"box","text":"A Fund may enter into spot foreign exchange transactions, forward foreign exchange transactions (“FX forwards”)","page_number":61,"box":{"x":101,"y":604,"width":807,"height":11}},{"id":"1a70c08f-b5d4-4bbb-8084-11bfdb352b43","block_type":"box","text":"and currency swaps, purchase and sell currency options, currency futures and related options thereon (collectively,","page_number":61,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"b7e41f3a-1ff5-4a29-ab8b-addbc1aa55ac","block_type":"box","text":"“Currency Instruments”) for purposes of hedging against the decline in the value of currencies in which its portfolio","page_number":61,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"844adf0d-29b7-4497-9ee0-2c3ad5d4d8ca","block_type":"box","text":"holdings are denominated against the U.S. dollar or, with respect to certain Funds, to seek to enhance returns.","page_number":61,"box":{"x":69,"y":649,"width":792,"height":12}},{"id":"a3156ff4-0a23-4d0a-aa0e-662f1751d988","block_type":"box","text":"Such transactions could be effected to hedge with respect to foreign dollar denominated securities owned by a","page_number":61,"box":{"x":102,"y":672,"width":790,"height":11}},{"id":"401aaa74-a89f-417c-8061-3ad9d678ee53","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":61,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"539fcd02-255e-4375-8d93-0c2592d914aa","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":61,"box":{"x":69,"y":702,"width":808,"height":12}},{"id":"3a3e6cca-d8f9-4c6a-a011-4aec2afe0fd7","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":61,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"f73e4545-3c1f-4c8f-a48c-7d30c2a11ced","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":61,"box":{"x":68,"y":732,"width":823,"height":12}},{"id":"627ab558-7a3d-49b1-a09c-46fb9ee9983c","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":61,"box":{"x":68,"y":748,"width":821,"height":11}},{"id":"a07ab357-310e-4c6e-aa03-64ac18ffe95a","block_type":"box","text":"part, the cost of acquiring such a put option, the Fund may also sell a call option which, if exercised, requires it to","page_number":61,"box":{"x":70,"y":763,"width":813,"height":11}},{"id":"7f83f80b-a839-49bd-9953-84cb76fcb007","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":61,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"47874851-3763-4b01-a7f6-8262b6c80d02","block_type":"box","text":"selling such a call option in this illustration, the Fund gives up the opportunity to profit without limit from increases in","page_number":61,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"e1d7e1fc-5d0a-4dc6-8953-4f795cb94e82","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":61,"box":{"x":68,"y":808,"width":836,"height":11}},{"id":"d5dd7609-6fa2-48d4-b961-d93f6ce68a08","block_type":"box","text":"transactions. Certain Funds have a fundamental investment restriction that restricts currency option strategies.","page_number":61,"box":{"x":68,"y":823,"width":794,"height":12}},{"id":"005386fa-330e-4192-9cd8-f82633b23593","block_type":"box","text":"Hedging transactions involving Currency Instruments involve substantial risks, including correlation risk. A Fund’s","page_number":61,"box":{"x":102,"y":846,"width":805,"height":11}},{"id":"01c29dce-1d26-448e-aa38-96157ddb804d","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":61,"box":{"x":69,"y":861,"width":828,"height":11}},{"id":"3290111b-6b7e-46fe-962b-7e39e88341e0","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":61,"box":{"x":69,"y":876,"width":819,"height":11}},{"id":"6c80995f-25ca-46c7-a579-15e42d350ea4","block_type":"box","text":"Moreover, although Currency Instruments will be used with the intention of hedging against adverse currency","page_number":61,"box":{"x":70,"y":891,"width":773,"height":12}},{"id":"275645eb-51b7-4b55-9bcb-734eefb02a3e","block_type":"box","text":"movements, transactions in Currency Instruments involve the risk that anticipated currency movements will not be","page_number":61,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"68c273a7-2cd0-4eaa-a644-0ff4d2bca15f","block_type":"box","text":"II-23","page_number":61,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cc35c5ca-1c3d-48fb-85a0-f87aa97bf575","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":61,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"dbd8266e-aceb-4fe9-9344-a991bfed7c71","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":62,"box":{"x":69,"y":45,"width":796,"height":11}},{"id":"e38c2402-0062-45e8-87a1-427ef3134fa5","block_type":"box","text":"against anticipated currency movements that do not occur, the Fund may realize losses and decrease its total return.","page_number":62,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"81f64f14-614b-44da-acb2-7f5ddbeb3782","block_type":"box","text":"Furthermore, a Fund will only engage in hedging activities from time to time and may not be engaging in hedging","page_number":62,"box":{"x":70,"y":75,"width":798,"height":11}},{"id":"b992c339-67a9-400e-b268-aaa1fe61e299","block_type":"box","text":"activities when movements in currency exchange rates actually occur.","page_number":62,"box":{"x":69,"y":90,"width":493,"height":11}},{"id":"bd02f699-c0c9-40aa-a56e-8648e001d7ec","block_type":"box","text":"In connection with its trading in forward foreign currency contracts, a Fund will contract with a foreign or","page_number":62,"box":{"x":102,"y":113,"width":738,"height":11}},{"id":"6ad60c50-28cb-40c9-bef4-a4d38c0ec2ec","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":62,"box":{"x":69,"y":128,"width":814,"height":11}},{"id":"a856c66a-c23e-45bd-abb3-6bffebaa08cc","block_type":"box","text":"particular currency. There are no limitations on daily price moves in such forward contracts, and banks and dealers","page_number":62,"box":{"x":70,"y":143,"width":819,"height":11}},{"id":"e2cd66f8-e05d-4c50-a43b-7fadc908dd38","block_type":"box","text":"are not required to continue to make markets in such contracts. There have been periods during which certain banks","page_number":62,"box":{"x":69,"y":158,"width":834,"height":11}},{"id":"eb965051-c43e-41ca-8527-bbf7071536ea","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":62,"box":{"x":69,"y":173,"width":797,"height":11}},{"id":"a9d73d49-bcbd-4e01-9849-c642b84e75e5","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":62,"box":{"x":69,"y":188,"width":794,"height":11}},{"id":"e1cd93cf-7068-4d2a-bede-1c763f7706d1","block_type":"box","text":"Governmental imposition of currency controls might limit any such forward contract trading. With respect to its trading","page_number":62,"box":{"x":69,"y":203,"width":841,"height":12}},{"id":"0ff85165-a56d-4870-bcc2-5a77489e5c55","block_type":"box","text":"of forward contracts, if any, a Fund will be subject to counterparty risk. Any such failure to perform by a counterparty","page_number":62,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"013a7f8a-d40d-42e5-a0aa-b31957331b5f","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":62,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"f4e7c842-f1f2-40ca-8c00-7ea5c835df1b","block_type":"box","text":"then market price and could result in a loss to the Fund.","page_number":62,"box":{"x":68,"y":249,"width":401,"height":11}},{"id":"ecfee890-2e19-4a52-820d-266eb64d5bf6","block_type":"box","text":"It may not be possible for a Fund to hedge against currency exchange rate movements, even if correctly","page_number":62,"box":{"x":102,"y":271,"width":738,"height":12}},{"id":"28a0195b-7e12-4d97-9a28-72ead977271f","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":62,"box":{"x":69,"y":287,"width":837,"height":11}},{"id":"255af140-9a02-440f-b18e-43d736f2f641","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":62,"box":{"x":69,"y":302,"width":837,"height":11}},{"id":"5033beb3-52c7-47fa-996d-de334ac43a3c","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":62,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"49915575-1d6e-4ff6-b71b-8511b56493af","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":62,"box":{"x":68,"y":332,"width":829,"height":11}},{"id":"1c8705d1-0adb-4e0a-aeb1-15e0d7256bda","block_type":"box","text":"the currencies involved, the length of the contract period and the market conditions then prevailing. Since","page_number":62,"box":{"x":68,"y":347,"width":753,"height":11}},{"id":"9d87f542-f3d5-4e39-a466-d85260c6deb9","block_type":"box","text":"transactions in foreign currency exchange usually are conducted on a principal basis, no fees or commissions are","page_number":62,"box":{"x":68,"y":362,"width":811,"height":11}},{"id":"dabe91ca-89a7-49db-9ba7-bc3bf74f315c","block_type":"box","text":"involved.","page_number":62,"box":{"x":70,"y":377,"width":59,"height":9}},{"id":"6fd273c7-be09-40f2-9023-ad77e320152c","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":62,"box":{"x":101,"y":400,"width":803,"height":11}},{"id":"e8136f73-28a9-41e9-bbfa-90562218055f","block_type":"box","text":"receivables for unsettled securities sales), or has committed to purchase or anticipates purchasing, which are","page_number":62,"box":{"x":69,"y":415,"width":785,"height":11}},{"id":"e4688f2b-ce5d-48ab-97db-13f8bff7fd0f","block_type":"box","text":"denominated in such currency.","page_number":62,"box":{"x":69,"y":430,"width":216,"height":11}},{"id":"501e4400-1480-405f-8555-091a9ca36de3","block_type":"box","text":"Spot Transactions and FX Forwards.","page_number":62,"box":{"x":102,"y":453,"width":254,"height":11}},{"id":"21864748-4a52-49ca-b630-fef87ba74190","block_type":"box","text":"FX forwards are OTC contracts to purchase or sell a specified amount of a","page_number":62,"box":{"x":364,"y":453,"width":527,"height":11}},{"id":"623c1df3-ee87-4cbf-9749-098d685a335f","block_type":"box","text":"specified currency or multinational currency unit at a specified price and specified future date. Spot foreign exchange","page_number":62,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"609b9dc8-195d-4aac-b96e-797dea1e339d","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":62,"box":{"x":68,"y":483,"width":798,"height":11}},{"id":"3bc07188-720b-4c55-8d3e-d96918db56ec","block_type":"box","text":"transactions for purposes of hedging either a specific transaction or a portfolio position, or, with respect to certain","page_number":62,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"ca317ead-5818-45fb-be5e-4e31d7d32f25","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":62,"box":{"x":70,"y":513,"width":830,"height":11}},{"id":"c8d0b7fa-a333-4342-b4fb-352a14f87a16","block_type":"box","text":"may enter into a foreign exchange transaction for purposes of hedging a specific transaction by, for example,","page_number":62,"box":{"x":69,"y":528,"width":774,"height":12}},{"id":"96e36157-1b70-4101-a151-073257635fdd","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":62,"box":{"x":70,"y":544,"width":828,"height":11}},{"id":"0c71bb53-43bb-42bd-9970-b795a9f4ad31","block_type":"box","text":"anticipates receiving a dividend or distribution. A Fund may enter into a foreign exchange transaction for purposes of","page_number":62,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"7dda8f7c-3492-4629-bf87-e11d89122b6e","block_type":"box","text":"hedging a portfolio position by selling forward a currency in which a portfolio position of the Fund is denominated or","page_number":62,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"826ba590-7acc-47d1-90f3-8c540cad2eac","block_type":"box","text":"by purchasing a currency in which the Fund anticipates acquiring a portfolio position in the near future. A Fund may","page_number":62,"box":{"x":69,"y":589,"width":819,"height":11}},{"id":"b43dd4cb-ec3a-48c7-8aaa-e2af69e6a08e","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":62,"box":{"x":69,"y":604,"width":822,"height":11}},{"id":"95e6ca0a-001d-4445-9035-f1568c458580","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":62,"box":{"x":68,"y":619,"width":819,"height":11}},{"id":"8e6cc50c-dff2-442b-b95c-8add2d9f0e75","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":62,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"b16756e3-f6cc-4ddb-94f1-b8f087004ab9","block_type":"box","text":"currency being hedged, and (ii) executing a cross-hedge through the currency in which the cross-hedge is","page_number":62,"box":{"x":69,"y":650,"width":745,"height":11}},{"id":"84d6f45c-6fd7-48db-a12a-1b1165c3437e","block_type":"box","text":"denominated will be significantly more cost-effective or provide substantially greater liquidity than executing a similar","page_number":62,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"f5281f26-ad96-46dc-a8ad-f8b0a2f2bf4a","block_type":"box","text":"hedging transaction by means of the currency being hedged.","page_number":62,"box":{"x":69,"y":680,"width":428,"height":11}},{"id":"714277cd-b649-4de4-a87d-ab1cf62fbba9","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":62,"box":{"x":101,"y":702,"width":797,"height":12}},{"id":"21a75891-7709-4baa-bf31-aa49bc72c22c","block_type":"box","text":"of existing or anticipated holdings of portfolio securities. Proxy hedging is often used when the currency to which the","page_number":62,"box":{"x":69,"y":717,"width":829,"height":12}},{"id":"bd61ac5d-04a5-4056-9dd9-b494452893fa","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":62,"box":{"x":70,"y":732,"width":838,"height":12}},{"id":"fc38476d-0581-4a1d-9750-e9cb500afbfd","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":62,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"ff4b1438-efe7-4f98-b916-110fd2c802b5","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":62,"box":{"x":70,"y":763,"width":827,"height":11}},{"id":"de526428-e2b9-44af-8d8c-712b580c6edb","block_type":"box","text":"hedging involves some of the same risks and considerations as other transactions with similar instruments. Currency","page_number":62,"box":{"x":69,"y":778,"width":838,"height":11}},{"id":"fb591e98-3dee-44af-a9ed-262bc699375c","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":62,"box":{"x":68,"y":793,"width":798,"height":11}},{"id":"0ee23bc2-00ab-480f-8c5f-b13cb55a4983","block_type":"box","text":"direction that is not anticipated. In addition, there is the risk that the perceived linkage between various currencies","page_number":62,"box":{"x":69,"y":808,"width":819,"height":11}},{"id":"0882a2cb-82d3-4716-8bf4-c5731e7761d6","block_type":"box","text":"may not be present, including during the particular time that a Fund is engaging in proxy hedging.","page_number":62,"box":{"x":69,"y":823,"width":691,"height":12}},{"id":"e705ee04-2ec3-44c5-9baf-ed7cc3c1a30e","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":62,"box":{"x":101,"y":846,"width":785,"height":11}},{"id":"c2f01cd2-c9bf-4115-9f19-db00c4e2f9af","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":62,"box":{"x":69,"y":861,"width":811,"height":11}},{"id":"a4e564c1-f626-49e7-8b37-57a6a6346736","block_type":"box","text":"have portfolio exposure. For example, a Fund may hold both Canadian government bonds and Japanese government","page_number":62,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"5a9c77da-078d-458e-933a-6fa2cdd899b9","block_type":"box","text":"bonds, and the Manager or sub-adviser may believe that Canadian dollars will deteriorate against Japanese yen. The","page_number":62,"box":{"x":69,"y":891,"width":829,"height":12}},{"id":"04446a88-dfd5-458c-9699-35ddd42acedb","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":62,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"5bed2a69-f1ef-419e-8b17-34e7c32c274e","block_type":"box","text":"II-24","page_number":62,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"84ed14c1-2c4c-4d43-8498-736c165c2d8c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":62,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"08637524-e29f-478d-b1c2-3204c3d1b9e2","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":63,"box":{"x":69,"y":45,"width":818,"height":11}},{"id":"9fa58e72-bb73-4cd5-b698-03c08d4f25e2","block_type":"box","text":"value of the Japanese yen relative to the U.S. dollar.","page_number":63,"box":{"x":68,"y":60,"width":372,"height":11}},{"id":"796d60e4-8e55-49bd-b3d3-f951cc046dca","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":63,"box":{"x":102,"y":82,"width":768,"height":12}},{"id":"f1147e4e-78ca-4697-b950-101af708a7e3","block_type":"box","text":"forwards (“NDFs”). NDFs are cash-settled, short-term forward contracts that may be thinly traded or are denominated","page_number":63,"box":{"x":68,"y":98,"width":838,"height":11}},{"id":"a7e4cf76-2ac6-42f2-8aeb-f2b2d4383a2d","block_type":"box","text":"in non-convertible foreign currency, where the profit or loss at the time at the settlement date is calculated by taking","page_number":63,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"bca56988-8086-4fac-b57a-39b42fa91068","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":63,"box":{"x":68,"y":128,"width":806,"height":11}},{"id":"877010bb-7406-416a-acbc-753d3cf7c896","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":63,"box":{"x":69,"y":143,"width":839,"height":11}},{"id":"e8d28331-f2d2-470f-89dd-6f9824fd01c0","block_type":"box","text":"the difference between the prevailing market exchange rate and the agreed upon exchange rate is calculated. The","page_number":63,"box":{"x":68,"y":158,"width":812,"height":11}},{"id":"fb487077-ef44-4134-93f8-ae2988ec162d","block_type":"box","text":"settlement date is the date by which the payment of the difference is due to the party receiving payment. NDFs are","page_number":63,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"ea2e5149-0530-4d20-ac65-7eb0f0c90a53","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":63,"box":{"x":69,"y":188,"width":835,"height":11}},{"id":"6eb5d9de-7e2a-4450-9189-8f6af9f1046c","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":63,"box":{"x":68,"y":203,"width":802,"height":12}},{"id":"045e29a8-2e48-408c-9100-64468ead60f4","block_type":"box","text":"traded.","page_number":63,"box":{"x":68,"y":219,"width":49,"height":8}},{"id":"13ce667d-3bd0-4d88-99ae-85675392d4fb","block_type":"box","text":"Currency Futures.","page_number":63,"box":{"x":102,"y":241,"width":123,"height":11}},{"id":"57c18d49-4621-4dba-80a7-38dfc81d02ec","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":63,"box":{"x":232,"y":241,"width":654,"height":11}},{"id":"2a5972ff-4e41-4edb-b012-a043e8ae603f","block_type":"box","text":"through use of currency futures or options on currency futures. Currency futures are similar to forward foreign","page_number":63,"box":{"x":68,"y":256,"width":782,"height":12}},{"id":"968453fc-96a5-4e89-a067-50ffaa2708fc","block_type":"box","text":"exchange transactions except that futures are standardized, exchange-traded contracts while forward foreign","page_number":63,"box":{"x":69,"y":271,"width":774,"height":12}},{"id":"6271107f-f22d-445c-9f66-78a570f090c5","block_type":"box","text":"exchange transactions are traded in the OTC market. Currency futures involve substantial currency risk as well as the","page_number":63,"box":{"x":69,"y":286,"width":836,"height":12}},{"id":"03bf1437-6571-4315-b1c4-1ecafb3198c3","block_type":"box","text":"risks discussed above in “—Futures.”","page_number":63,"box":{"x":69,"y":302,"width":269,"height":9}},{"id":"05c3c149-ee3d-4b6a-8c91-67ac7d6066d9","block_type":"box","text":"Currency Options.","page_number":63,"box":{"x":102,"y":324,"width":125,"height":11}},{"id":"1f329a1c-6cc5-4007-a33c-14b36d3fd0de","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":63,"box":{"x":233,"y":324,"width":654,"height":12}},{"id":"1772d49f-b2e0-4050-ab9c-85417f5c6901","block_type":"box","text":"through the use of currency options. Certain Funds have fundamental investment restrictions that permit the","page_number":63,"box":{"x":68,"y":339,"width":776,"height":12}},{"id":"38de48b8-ae41-4e61-a030-3e01183573dc","block_type":"box","text":"purchase of currency options, but prohibit the writing of currency options. Currency options are similar to options on","page_number":63,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"99433c56-4234-4947-93ac-f0b3e4f669c8","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":63,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"2c369129-4dc2-491a-9207-61b2c0a91d28","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":63,"box":{"x":68,"y":385,"width":820,"height":11}},{"id":"dae26f6d-1f6a-46a6-aaca-3ee7bdb65b4f","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":63,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"374c2468-5b5f-4693-b8b8-b3ff8d34052b","block_type":"box","text":"on currencies either on exchanges or OTC markets. Such transactions in options may include exotic options on","page_number":63,"box":{"x":69,"y":415,"width":790,"height":11}},{"id":"b9d9f5f3-01f0-4f6d-a4a2-eebdc85af99b","block_type":"box","text":"currencies, which are typically traded in OTC markets and have additional features that result in different payment","page_number":63,"box":{"x":69,"y":430,"width":813,"height":11}},{"id":"b875d364-ce14-40b5-aabb-22095c0efaab","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":63,"box":{"x":69,"y":446,"width":826,"height":10}},{"id":"982fd7e5-e410-490b-b266-d9b349af8015","block_type":"box","text":"on up to 100% of the currencies in its portfolio. See “—Options” above. Currency options involve substantial","page_number":63,"box":{"x":69,"y":460,"width":776,"height":12}},{"id":"67186b05-3726-466b-bda4-ceb56628d028","block_type":"box","text":"currency risk, and may also involve credit, leverage or illiquidity risk.","page_number":63,"box":{"x":69,"y":476,"width":483,"height":11}},{"id":"b701c051-258f-4f44-b326-6ed02df5edd3","block_type":"box","text":"Currency Swaps.","page_number":63,"box":{"x":102,"y":498,"width":117,"height":11}},{"id":"7fc5734c-c3b3-4048-8cf7-cc9cd63bcc02","block_type":"box","text":"A Fund may enter into currency swaps in order to protect against currency fluctuations or to","page_number":63,"box":{"x":225,"y":498,"width":652,"height":11}},{"id":"1e4cc7eb-6b99-41f8-97f0-46a77df8d438","block_type":"box","text":"hedge portfolio positions. Currency swaps are transactions in which one currency is simultaneously bought for a","page_number":63,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"c092477a-0226-4fe6-aa02-b2510c5b6ad4","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":63,"box":{"x":69,"y":528,"width":812,"height":12}},{"id":"a65e6d7b-5940-4211-99af-bed45aff2269","block_type":"box","text":"exchange of the rights of a Fund and another party to make or receive payments in specified currencies, and typically","page_number":63,"box":{"x":69,"y":543,"width":836,"height":12}},{"id":"1bacefd0-7cdc-443c-ade8-b07633cee175","block_type":"box","text":"require the delivery of the entire principal value of one designated currency in exchange for the other designated","page_number":63,"box":{"x":69,"y":559,"width":800,"height":11}},{"id":"86eb5f65-13d8-4518-876c-7f0bf3bcc929","block_type":"box","text":"currency. As a result, the entire principal value of a currency swap is subject to the risk that the other party to the","page_number":63,"box":{"x":69,"y":574,"width":810,"height":11}},{"id":"486a4bca-1b48-4ad1-acf3-05ead3d1a644","block_type":"box","text":"swap will default on its contractual delivery obligations.","page_number":63,"box":{"x":69,"y":589,"width":393,"height":11}},{"id":"36bc60db-0d59-44d2-a116-7442ceb8c057","block_type":"box","text":"Distressed Securities.","page_number":63,"box":{"x":102,"y":612,"width":159,"height":9}},{"id":"8ef88eb6-6ac1-4655-bbb5-646240ad0d89","block_type":"box","text":"A Fund may invest in securities, including loans purchased in the secondary market, that","page_number":63,"box":{"x":267,"y":612,"width":633,"height":11}},{"id":"cd2a2d86-16c1-4035-a4d3-9039077e3cdd","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":63,"box":{"x":69,"y":627,"width":834,"height":11}},{"id":"6ec32b58-ef0d-4c12-933e-9a33edbe351a","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":63,"box":{"x":70,"y":642,"width":827,"height":11}},{"id":"864ce7a6-549f-4d17-9d6c-81dc2bbd2d3d","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":63,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"841e01c9-a8c3-4e6b-b0c1-b0bab21fdb37","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":63,"box":{"x":69,"y":672,"width":784,"height":11}},{"id":"41b2fc68-7328-4678-a249-3ecc17654308","block_type":"box","text":"Investment in Distressed Securities is speculative and involves significant risks.","page_number":63,"box":{"x":70,"y":687,"width":569,"height":11}},{"id":"df21d913-fa25-4fbb-9721-329a3800d829","block_type":"box","text":"A Fund will generally make such investments only when the Manager believes it is reasonably likely that the","page_number":63,"box":{"x":101,"y":710,"width":766,"height":11}},{"id":"b448c667-2c1e-48b6-a629-a6774b3e4960","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":63,"box":{"x":70,"y":725,"width":795,"height":11}},{"id":"ed5f8cfa-1521-46de-96ba-c1f6e572c3d4","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":63,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"f4a8a2e0-50fc-4f13-ab98-0c69e0688f55","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":63,"box":{"x":69,"y":755,"width":794,"height":11}},{"id":"d030d688-3055-4d1b-9189-4ef0c9d9503d","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":63,"box":{"x":69,"y":770,"width":832,"height":12}},{"id":"ddbb0d55-806d-4992-807e-e745f476553c","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":63,"box":{"x":69,"y":785,"width":824,"height":12}},{"id":"b5cdeae5-9c19-4258-a052-29f96e044ff1","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":63,"box":{"x":69,"y":801,"width":789,"height":11}},{"id":"76f31c45-d702-4801-8263-f3c49504dd53","block_type":"box","text":"significant uncertainty as to whether or not the exchange offer or plan of reorganization will be completed and the","page_number":63,"box":{"x":69,"y":816,"width":810,"height":11}},{"id":"2f80ccc8-ff96-41e2-944f-d227ae5c2513","block_type":"box","text":"Fund may be required to bear certain extraordinary expenses to protect and recover its investment. Therefore, to the","page_number":63,"box":{"x":70,"y":831,"width":831,"height":11}},{"id":"588c5469-8aaf-4805-a9af-6e6ac007ae15","block_type":"box","text":"extent the Fund seeks capital appreciation through investment in distressed securities, the Fund’s ability to achieve","page_number":63,"box":{"x":69,"y":846,"width":826,"height":11}},{"id":"88a12d4b-1acc-48b8-8870-5b99ce99557a","block_type":"box","text":"current income for its shareholders may be diminished. The Fund also will be subject to significant uncertainty as to","page_number":63,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"656b4217-bd8b-41f4-91ae-d44f10c42496","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":63,"box":{"x":68,"y":876,"width":834,"height":11}},{"id":"3b93432f-db6e-4d92-a09b-ecc09a1ba959","block_type":"box","text":"satisfied (","page_number":63,"box":{"x":69,"y":891,"width":70,"height":11}},{"id":"03f49228-b693-49aa-82cb-005396b34e06","block_type":"box","text":"e.g.","page_number":63,"box":{"x":140,"y":893,"width":25,"height":10}},{"id":"820e6e84-7bde-485a-85b4-c41cf03607ac","block_type":"box","text":", through a liquidation of the obligor’s assets, an exchange offer or plan of reorganization involving the","page_number":63,"box":{"x":168,"y":891,"width":729,"height":12}},{"id":"b3105e29-07c8-4f77-8d41-9df9d3db1cbc","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":63,"box":{"x":69,"y":906,"width":807,"height":12}},{"id":"947a9679-ff7a-41ed-9998-35d24f601665","block_type":"box","text":"II-25","page_number":63,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"37b15f9c-be6a-4e71-bb7a-1f1dfe11f049","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":63,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"42ee0ed2-111e-4cce-a438-8eaa42b6c0d5","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":64,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"8304d864-5d1c-4b37-9b4d-6c0c3f1d9f0a","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":64,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"ab684a77-7f2c-4436-8248-d4239cac1e54","block_type":"box","text":"reorganization will not have a lower value or income potential than may have been anticipated when the investment","page_number":64,"box":{"x":69,"y":75,"width":821,"height":11}},{"id":"eecf0126-96f2-4449-a6e1-ecd2e44cc26a","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":64,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"9875c08d-ace3-4d28-b631-680bd15317cf","block_type":"box","text":"reorganization may be restricted as to resale. Similarly, if a Fund participates in negotiations with respect to any","page_number":64,"box":{"x":69,"y":105,"width":800,"height":11}},{"id":"7ff0db14-004b-4634-ac5e-1904e76c8b90","block_type":"box","text":"exchange offer or plan of reorganization with respect to an issuer of Distressed Securities, the Fund may be","page_number":64,"box":{"x":69,"y":120,"width":770,"height":12}},{"id":"36291520-3aa3-4533-bb04-5963b40eaf4d","block_type":"box","text":"restricted from disposing of such securities. To the extent that a Fund becomes involved in such proceedings, the","page_number":64,"box":{"x":69,"y":135,"width":809,"height":12}},{"id":"10501f58-08d3-4332-b4aa-220cd53b2340","block_type":"box","text":"Fund may have a more active participation in the affairs of the issuer than that assumed generally by an investor. The","page_number":64,"box":{"x":70,"y":150,"width":839,"height":12}},{"id":"4bb4ed75-815c-4f7f-833b-3aa3911a5aef","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":64,"box":{"x":70,"y":166,"width":787,"height":11}},{"id":"da6087ee-af8d-4106-9e26-4580d24e355d","block_type":"box","text":"affairs.","page_number":64,"box":{"x":69,"y":181,"width":49,"height":9}},{"id":"1970cbe5-7525-48e0-9792-fd7308541ea1","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":64,"box":{"x":102,"y":203,"width":428,"height":11}},{"id":"b9cea1cd-ab3a-426a-9fc7-fd1fd34e8516","block_type":"box","text":". Although a Fund does not seek to implement a","page_number":64,"box":{"x":531,"y":204,"width":341,"height":11}},{"id":"6663b95c-9da7-4f7c-a3fe-c2a96065160c","block_type":"box","text":"specific sustainability objective, strategy or process unless disclosed in its Prospectus, Fund management will","page_number":64,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"2c99f2ba-ef48-46e6-8e29-04966f77dbf7","block_type":"box","text":"consider ESG factors as part of the investment process for the Fund. Fund management views ESG integration as the","page_number":64,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"18acb992-f493-49a1-a8ba-60e9272bc1f1","block_type":"box","text":"practice of incorporating financially material ESG data or information into investment processes with the objective of","page_number":64,"box":{"x":70,"y":249,"width":827,"height":11}},{"id":"428bce9a-0d8f-4056-ba96-f39ee60939cd","block_type":"box","text":"enhancing risk-adjusted returns. These ESG considerations will vary depending on a Fund’s particular investment","page_number":64,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"89e6172e-22b2-4a63-9319-660e28aa176d","block_type":"box","text":"strategies and may include consideration of third-party research as well as consideration of proprietary BlackRock","page_number":64,"box":{"x":69,"y":279,"width":812,"height":11}},{"id":"c9310aa7-34b3-445c-b504-7dce59df3187","block_type":"box","text":"research across the ESG risks and opportunities regarding an issuer. The ESG characteristics utilized in a Fund’s","page_number":64,"box":{"x":69,"y":294,"width":807,"height":11}},{"id":"7d4a2452-56a1-4307-b4c1-87b08710e4e7","block_type":"box","text":"investment process are anticipated to evolve over time and one or more characteristics may not be relevant with","page_number":64,"box":{"x":70,"y":309,"width":800,"height":11}},{"id":"0d62cf33-91bf-41cc-9974-4bcf5fb9045c","block_type":"box","text":"respect to all issuers that are eligible for investment.","page_number":64,"box":{"x":69,"y":324,"width":377,"height":12}},{"id":"761db382-c6ac-4566-8667-e580aabc9095","block_type":"box","text":"Certain of these considerations may affect a Fund’s exposure to certain companies or industries. While Fund","page_number":64,"box":{"x":102,"y":347,"width":778,"height":11}},{"id":"1d5a15b0-b3d4-4598-bc09-682e9cdb68b5","block_type":"box","text":"management views ESG considerations as having the potential to contribute to a Fund’s long-term performance,","page_number":64,"box":{"x":69,"y":362,"width":800,"height":11}},{"id":"c0092284-fbde-4c48-b598-a4841488a477","block_type":"box","text":"there is no guarantee that such results will be achieved.","page_number":64,"box":{"x":68,"y":377,"width":400,"height":12}},{"id":"b3592cfa-f435-4592-82c7-0d037e2ca041","block_type":"box","text":"Equity Securities.","page_number":64,"box":{"x":102,"y":400,"width":127,"height":11}},{"id":"ec333ff9-ed87-4c78-b857-ab96d0657096","block_type":"box","text":"Certain Funds may invest in equity securities, which include common stock and, for certain","page_number":64,"box":{"x":235,"y":400,"width":648,"height":11}},{"id":"6e2d4585-f70f-40a1-9236-4061bb2ad7d0","block_type":"box","text":"Funds, preferred stock (including convertible preferred stock); bonds, stock purchase warrants and rights; equity","page_number":64,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"d57d3e8c-f657-4d2b-9cbe-2dd6884f5b65","block_type":"box","text":"interests in trusts; general and limited partnerships and limited liability companies; and depositary receipts. Stock","page_number":64,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"aa4fdb4c-4e2a-410c-9657-73fa0aa5d069","block_type":"box","text":"markets are volatile. The price of equity securities will fluctuate and can decline and reduce the value of a portfolio","page_number":64,"box":{"x":69,"y":445,"width":819,"height":11}},{"id":"52dd21d2-8ce4-48d4-823d-2d5528387da8","block_type":"box","text":"investing in equities. The price of equity securities fluctuates based on changes in a company’s financial condition","page_number":64,"box":{"x":70,"y":460,"width":813,"height":12}},{"id":"a6932876-ebef-4b21-96ce-31a304c787f6","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":64,"box":{"x":69,"y":475,"width":839,"height":12}},{"id":"98771a27-08f8-4816-91d3-37703c975922","block_type":"box","text":"financial condition of the companies the Fund invests in decline or if overall market and economic conditions","page_number":64,"box":{"x":68,"y":491,"width":775,"height":11}},{"id":"f34400b7-03b7-4fe6-ac93-6ff96c8969b2","block_type":"box","text":"deteriorate. They may also decline due to factors that affect a particular industry or industries, such as labor","page_number":64,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"b528fdc8-488e-4baa-b4be-8f466291970a","block_type":"box","text":"shortages or increase in production costs and competitive conditions within an industry. In addition, they may decline","page_number":64,"box":{"x":69,"y":521,"width":837,"height":11}},{"id":"84c308bb-ce57-4613-9723-4a9ec71083db","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":64,"box":{"x":69,"y":536,"width":831,"height":11}},{"id":"06ecae83-8682-4190-aced-50ceb185f47b","block_type":"box","text":"adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency","page_number":64,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"c8ba8fba-1539-451e-819a-7962b2e79c9f","block_type":"box","text":"rates or generally adverse investor sentiment.","page_number":64,"box":{"x":69,"y":566,"width":325,"height":11}},{"id":"ae18ee1f-e5dc-493d-8478-8e863a139592","block_type":"box","text":"From time to time certain of the Funds may invest in shares of companies through initial public offerings","page_number":64,"box":{"x":102,"y":589,"width":745,"height":11}},{"id":"3fc68534-b42e-4cdc-9bcb-fc093093e68e","block_type":"box","text":"(“IPOs”). IPOs have the potential to produce, and have in fact produced, substantial gains for certain Funds. There is","page_number":64,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"4058525b-dc2c-41fe-9958-edc5436b4e5b","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":64,"box":{"x":69,"y":619,"width":824,"height":11}},{"id":"5b880096-d78f-4781-a2b8-064894ddc3ac","block_type":"box","text":"these past gains as an indication of future performance. The investment performance of a Fund during periods when","page_number":64,"box":{"x":68,"y":634,"width":834,"height":12}},{"id":"aaecf302-8e86-4e7a-a942-4112ff8d7ba5","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":64,"box":{"x":70,"y":649,"width":782,"height":12}},{"id":"4e06d505-8ea0-47d1-bf0d-915a04308f93","block_type":"box","text":"addition, as a Fund increases in size, the impact of IPOs on its performance will generally decrease. Securities","page_number":64,"box":{"x":69,"y":664,"width":790,"height":12}},{"id":"5f195c44-8052-45f1-8c23-7b4a8cb0de15","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":64,"box":{"x":70,"y":680,"width":823,"height":11}},{"id":"7c542819-a4dc-4fc2-86bd-7f7b20f45ec2","block_type":"box","text":"Securities issued in IPOs have no trading history, and information about the companies may be available for very","page_number":64,"box":{"x":69,"y":695,"width":805,"height":11}},{"id":"f8550e86-6662-4b4a-b4a7-6f30f4446a11","block_type":"box","text":"limited periods. In addition, the prices of securities sold in IPOs may be highly volatile or may decline shortly after the","page_number":64,"box":{"x":70,"y":710,"width":836,"height":11}},{"id":"efcf0b85-d98d-41d4-9c4d-49931dfc1da7","block_type":"box","text":"initial public offering.","page_number":64,"box":{"x":70,"y":725,"width":147,"height":11}},{"id":"1bb6a46b-80c5-4da6-982a-0311d6192c68","block_type":"box","text":"The Funds may invest in companies that have relatively small market capitalizations. These organizations will","page_number":64,"box":{"x":101,"y":748,"width":777,"height":11}},{"id":"8772201f-c2c8-4ac4-a741-87229959bdfd","block_type":"box","text":"normally have more limited product lines, markets and financial resources and will be dependent upon a more limited","page_number":64,"box":{"x":69,"y":763,"width":838,"height":11}},{"id":"a5aef75e-b721-4d40-8245-ab477f8f3277","block_type":"box","text":"management group than larger capitalized companies. In addition, it is more difficult to get information on smaller","page_number":64,"box":{"x":69,"y":778,"width":815,"height":11}},{"id":"42f9f5f3-9a4b-4289-9fc4-8036c7b3c30e","block_type":"box","text":"companies, which tend to be less well known, have shorter operating histories, do not have significant ownership by","page_number":64,"box":{"x":69,"y":793,"width":829,"height":11}},{"id":"0cb0dccd-33fc-4c22-9858-90dc02ecb649","block_type":"box","text":"large investors and are followed by relatively few securities analysts. The securities of smaller capitalized companies","page_number":64,"box":{"x":70,"y":808,"width":831,"height":11}},{"id":"8b9cf929-cf03-4a93-8cc3-61b60bb4afdb","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":64,"box":{"x":69,"y":823,"width":826,"height":11}},{"id":"73464952-30ac-41e2-9a62-2ef4f528a305","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":64,"box":{"x":68,"y":838,"width":810,"height":12}},{"id":"8a5f654c-2cef-4675-90ac-b784ab21bc36","block_type":"box","text":"more established companies.","page_number":64,"box":{"x":69,"y":854,"width":209,"height":10}},{"id":"ccdf44e4-bf79-4960-98bc-ce1f4d85ddbb","block_type":"box","text":"II-26","page_number":64,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ac727e1d-977f-448d-b405-e7df2c5f084b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":64,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c66a4bf9-a49a-48b9-a2c0-d8cda75badd8","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":65,"box":{"x":102,"y":45,"width":776,"height":11}},{"id":"cdec726b-d8fd-403a-ab1b-90289a12087c","block_type":"box","text":"investing in such equity securities, see your Fund’s Prospectus. Certain of the Funds may also invest in shares of","page_number":65,"box":{"x":70,"y":60,"width":810,"height":11}},{"id":"a4009ca9-a277-4fc4-bff2-c3a3bd03032e","block_type":"box","text":"private companies, which are subject to the risks of “Illiquid Investments” and “Restricted Securities” described","page_number":65,"box":{"x":70,"y":75,"width":799,"height":11}},{"id":"407a4cc4-5aac-45ac-9758-d0225b5f3958","block_type":"box","text":"below.","page_number":65,"box":{"x":69,"y":90,"width":43,"height":9}},{"id":"ed7d4a57-e929-4602-891f-3b36bf0861a4","block_type":"box","text":"Real Estate-Related Securities.","page_number":65,"box":{"x":102,"y":113,"width":219,"height":9}},{"id":"b59a30f5-2d44-486b-9ad6-dafc89b90939","block_type":"box","text":"Although no Fund may invest directly in real estate, certain Funds may invest in","page_number":65,"box":{"x":327,"y":113,"width":565,"height":11}},{"id":"325c7a47-8088-4a54-8af0-fffcbf90f32f","block_type":"box","text":"equity securities of issuers that are principally engaged in the real estate industry. Such investments are subject to","page_number":65,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"2033badd-5851-4d27-9a62-026c749a89a3","block_type":"box","text":"certain risks associated with the ownership of real estate and with the real estate industry in general. These risks","page_number":65,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"aeca54f8-42f3-4a9b-b7c0-5cbceb058eec","block_type":"box","text":"include, among others: possible declines in the value of real estate; risks related to general and local economic","page_number":65,"box":{"x":70,"y":158,"width":796,"height":11}},{"id":"5cd3dede-ea45-4569-8b5d-6b04fa744030","block_type":"box","text":"conditions; possible lack of availability of mortgage funds or other limitations on access to capital; overbuilding; risks","page_number":65,"box":{"x":69,"y":173,"width":836,"height":11}},{"id":"8517ef39-201d-48ba-889f-8548d258f736","block_type":"box","text":"associated with leverage; market illiquidity; extended vacancies of properties; increase in competition, property","page_number":65,"box":{"x":69,"y":188,"width":795,"height":12}},{"id":"11295d2e-f700-4247-91cd-6de7d271ad8f","block_type":"box","text":"taxes, capital expenditures and operating expenses; changes in zoning laws or other governmental regulation; costs","page_number":65,"box":{"x":68,"y":204,"width":828,"height":11}},{"id":"9089ed2b-764d-45fc-bb65-7bab109f7ebb","block_type":"box","text":"resulting from the clean-up of, and liability to third parties for damages resulting from, environmental problems;","page_number":65,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"260215ab-fa7e-49a4-944a-7d1b6510e8f0","block_type":"box","text":"tenant bankruptcies or other credit problems; casualty or condemnation losses; uninsured damages from floods,","page_number":65,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"6ac2aea0-739e-440d-ae6b-4af90520fcb4","block_type":"box","text":"earthquakes or other natural disasters; limitations on and variations in rents, including decreases in market rates for","page_number":65,"box":{"x":69,"y":249,"width":836,"height":11}},{"id":"84700ce0-f55a-4fdd-9afa-bc3e93f3c6ce","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":65,"box":{"x":69,"y":264,"width":838,"height":11}},{"id":"1808ac36-b85e-4abe-a6c1-75a19cc3f8e4","block_type":"box","text":"interest rates. To the extent that assets underlying a Fund’s investments are concentrated geographically, by property","page_number":65,"box":{"x":70,"y":279,"width":838,"height":11}},{"id":"24de33a2-3def-45d8-b411-ed4f32bffd11","block_type":"box","text":"type or in certain other respects, the Fund may be subject to certain of the foregoing risks to a greater extent.","page_number":65,"box":{"x":68,"y":294,"width":785,"height":11}},{"id":"9f4d259d-8e8b-459a-af56-bb2659005546","block_type":"box","text":"Investments by a Fund in securities of companies providing mortgage servicing will be subject to the risks associated","page_number":65,"box":{"x":70,"y":309,"width":836,"height":11}},{"id":"c4eed9c9-722e-495a-b8ab-db20fb25c060","block_type":"box","text":"with refinancings and their impact on servicing rights.","page_number":65,"box":{"x":68,"y":324,"width":381,"height":12}},{"id":"6e51d483-e55f-4c03-a6a8-7aeb328a44e8","block_type":"box","text":"In addition, if a Fund receives rental income or income from the disposition of real property acquired as a result","page_number":65,"box":{"x":102,"y":347,"width":797,"height":11}},{"id":"94fa69b8-240a-4f40-a460-c425d128ab9a","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":65,"box":{"x":69,"y":362,"width":829,"height":11}},{"id":"bf2edb20-9d9e-4c40-9410-e81a1d0ba215","block_type":"box","text":"its tax status as a regulated investment company because of certain income source requirements applicable to","page_number":65,"box":{"x":70,"y":377,"width":794,"height":12}},{"id":"026598f9-dff2-425f-83c4-8e27bbd3b1e6","block_type":"box","text":"regulated investment companies under the Internal Revenue Code of 1986, as amended (the “Code”).","page_number":65,"box":{"x":69,"y":392,"width":730,"height":12}},{"id":"46867717-a389-4610-bfa7-9c96c34614c1","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies.","page_number":65,"box":{"x":102,"y":415,"width":381,"height":11}},{"id":"62201198-ced1-4f3b-a7d0-31e45c5222e9","block_type":"box","text":"Investment in smaller or emerging growth companies","page_number":65,"box":{"x":490,"y":415,"width":376,"height":11}},{"id":"07ea9fbb-c3ca-4ab0-9873-69502effa5ba","block_type":"box","text":"involves greater risk than is customarily associated with investments in more established companies. The securities","page_number":65,"box":{"x":70,"y":430,"width":828,"height":11}},{"id":"3cd5eae5-d7af-40c5-9321-545c7a43b26c","block_type":"box","text":"of smaller or emerging growth companies may be subject to more abrupt or erratic market movements than larger,","page_number":65,"box":{"x":69,"y":445,"width":815,"height":12}},{"id":"187463b8-dc9f-44d7-8ca2-37a0c08c66bf","block_type":"box","text":"more established companies or the market average in general. These companies may have limited product lines,","page_number":65,"box":{"x":69,"y":461,"width":804,"height":11}},{"id":"be06c285-7a1c-4aad-9555-cdb6d923ef6e","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":65,"box":{"x":69,"y":475,"width":647,"height":12}},{"id":"294e6be6-9ff0-467f-be47-ae994dde15f5","block_type":"box","text":"Investments in smaller or emerging growth companies may involve greater risks and thus may be considered","page_number":65,"box":{"x":102,"y":498,"width":773,"height":11}},{"id":"079ad670-03b4-4505-b663-f24ddfec34f4","block_type":"box","text":"speculative. Full development of these companies and trends frequently takes time.","page_number":65,"box":{"x":69,"y":513,"width":597,"height":11}},{"id":"4cce181a-6724-4995-98ce-fc4eb676a097","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":65,"box":{"x":102,"y":536,"width":797,"height":11}},{"id":"f5d14db9-5415-4bed-bd91-00b8fe5f5edc","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":65,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"871ff92c-898b-4494-b139-b7bb600f5e25","block_type":"box","text":"result, the disposition by a Fund of portfolio securities to meet redemptions or otherwise may require the Fund to","page_number":65,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"37679d58-5da7-4c6b-9fe0-64af92de1d94","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":65,"box":{"x":69,"y":581,"width":825,"height":12}},{"id":"4719f7c2-caaa-4d64-b36b-03549d84142c","block_type":"box","text":"during periods when, in Fund management’s judgment, such disposition is not desirable.","page_number":65,"box":{"x":69,"y":597,"width":631,"height":11}},{"id":"44855b21-7859-4315-82cd-965c16a7e2c6","block_type":"box","text":"The process of selection and continuous supervision by Fund management does not guarantee successful","page_number":65,"box":{"x":101,"y":619,"width":758,"height":11}},{"id":"9590a123-7999-48f8-8b5d-38c1071a7b0b","block_type":"box","text":"investment results. Careful initial selection is particularly important in this area as many new enterprises have","page_number":65,"box":{"x":70,"y":634,"width":787,"height":11}},{"id":"fe23e6cd-61da-4d58-a442-62ba8d7e4e5d","block_type":"box","text":"promise but lack certain of the fundamental factors necessary to prosper. Investing in small cap and emerging","page_number":65,"box":{"x":70,"y":649,"width":789,"height":12}},{"id":"992ab5aa-61ce-4f6a-b15d-bf9765f9f910","block_type":"box","text":"growth companies requires specialized research and analysis.","page_number":65,"box":{"x":68,"y":665,"width":442,"height":11}},{"id":"3a7cb636-70a2-4ab9-af74-85a9e065db77","block_type":"box","text":"Fund management believes that relatively small companies may have the opportunity to develop into significant","page_number":65,"box":{"x":102,"y":687,"width":795,"height":11}},{"id":"7d92485b-005f-4734-8ade-8ef3018c2616","block_type":"box","text":"business enterprises. A Fund may invest in securities of small issuers in the relatively early stages of business","page_number":65,"box":{"x":69,"y":702,"width":791,"height":12}},{"id":"28dbf369-3d78-402c-be73-0cec08e1bd31","block_type":"box","text":"development that have a new technology, a unique or proprietary product or service, or a favorable market position.","page_number":65,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"260f0dfe-19dd-4e40-a5fd-6ba79e4ebd81","block_type":"box","text":"Equity securities of specific small cap issuers may present different opportunities for long-term capital","page_number":65,"box":{"x":102,"y":740,"width":729,"height":11}},{"id":"fd61aee9-1ee8-4f80-adf2-c8b98c2f561f","block_type":"box","text":"appreciation during varying portions of economic or securities market cycles, as well as during varying stages of their","page_number":65,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"d7d7dede-dc25-4584-94d1-f63e1f5ea76f","block_type":"box","text":"business development. The market valuation of small cap issuers tends to fluctuate during economic or market","page_number":65,"box":{"x":69,"y":770,"width":794,"height":12}},{"id":"77ac7930-a8fb-49dd-9668-45fece18520d","block_type":"box","text":"cycles.","page_number":65,"box":{"x":69,"y":786,"width":46,"height":11}},{"id":"ab06ad01-5344-4edb-99ae-8fe568308a44","block_type":"box","text":"Tracking Stocks","page_number":65,"box":{"x":103,"y":808,"width":110,"height":11}},{"id":"56799960-877e-4b03-94e3-e339ad3e3a46","block_type":"box","text":". A tracking stock is a separate class of common stock whose value is linked to a specific","page_number":65,"box":{"x":214,"y":808,"width":640,"height":11}},{"id":"78d08ebd-49b2-44aa-8d9c-ee53d029c32d","block_type":"box","text":"business unit or operating division within a larger company and is designed to “track” the performance of such","page_number":65,"box":{"x":69,"y":823,"width":791,"height":12}},{"id":"65e81ef7-8526-4989-9c86-f4988793a8ce","block_type":"box","text":"business unit or division. The tracking stock may pay dividends to shareholders independent of the parent company.","page_number":65,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"16eda40c-f96c-4b83-ba28-ef6866421b61","block_type":"box","text":"The parent company, rather than the business unit or division, generally is the issuer of tracking stock. However,","page_number":65,"box":{"x":68,"y":853,"width":801,"height":12}},{"id":"e66f20f1-895d-4f1d-baea-022402472139","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":65,"box":{"x":69,"y":869,"width":740,"height":11}},{"id":"cb6146df-0fcd-4cca-9f02-bd1642375081","block_type":"box","text":"Exchange-Traded Notes (“ETNs”).","page_number":65,"box":{"x":102,"y":891,"width":245,"height":11}},{"id":"065f21ca-ab84-4b01-9dbd-c1a9167b9789","block_type":"box","text":"Certain Funds may invest in ETNs. ETNs are generally notes representing","page_number":65,"box":{"x":354,"y":891,"width":521,"height":12}},{"id":"bd0d8d46-0a15-482b-9a85-e47033f9d968","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":65,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"2fd5f610-3702-4c86-9cf2-b8691aa349bf","block_type":"box","text":"II-27","page_number":65,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"53a01a1b-2714-4dd1-907b-409463ed8fc2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":65,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"19ec08fe-a3ac-4039-ad88-8968f69f4025","block_type":"box","text":"are based on the performance of one or more underlying assets, reference rates or indexes, minus fees and","page_number":66,"box":{"x":69,"y":45,"width":774,"height":11}},{"id":"4a6168dc-7710-4b4f-9913-d7ff5909ba67","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":66,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"d7eac8fd-28e5-46a4-9e6f-d5f6971a1170","block_type":"box","text":"ETF, an ETN can be held until the ETN’s maturity, at which time the issuer will pay a return linked to the performance","page_number":66,"box":{"x":70,"y":75,"width":831,"height":11}},{"id":"67fc7ef8-2206-4869-b625-766d3dd95c9f","block_type":"box","text":"of the specific asset, index or rate (“reference instrument”) to which the ETN is linked minus certain fees. Unlike","page_number":66,"box":{"x":69,"y":90,"width":805,"height":11}},{"id":"2055e97a-1dc0-48c9-8490-37fa20f0b0a0","block_type":"box","text":"regular bonds, ETNs do not make periodic interest payments, and principal is not protected.","page_number":66,"box":{"x":69,"y":105,"width":654,"height":11}},{"id":"72b7e578-3bee-48dd-b5a3-3e61c05b306d","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":66,"box":{"x":101,"y":128,"width":794,"height":11}},{"id":"87780ab4-c43a-448f-ad77-cbb155467abe","block_type":"box","text":"the ETN, volatility and lack of liquidity in underlying markets, changes in the applicable interest rates, the","page_number":66,"box":{"x":68,"y":143,"width":748,"height":11}},{"id":"48ace460-4c15-4eca-b39a-17111896abcc","block_type":"box","text":"performance of the reference instrument, changes in the issuer’s credit rating and economic, legal, political or","page_number":66,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"499d77d2-6051-4d2a-98a3-2bc3f1baf98b","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":66,"box":{"x":68,"y":173,"width":831,"height":11}},{"id":"5b6209a7-1734-4993-bd00-ab37ec3feb5b","block_type":"box","text":"drop due to a downgrade in an issuer’s credit rating, despite the underlying reference instrument remaining","page_number":66,"box":{"x":69,"y":188,"width":766,"height":12}},{"id":"4a396532-6524-4ab4-8676-950b0ff79f82","block_type":"box","text":"unchanged. When a Fund invests in ETNs, it will bear its proportionate share of any fees and expenses borne by the","page_number":66,"box":{"x":69,"y":203,"width":828,"height":12}},{"id":"fe1f269e-6898-44c2-92a2-e2a2a7360e5b","block_type":"box","text":"ETN.","page_number":66,"box":{"x":70,"y":219,"width":30,"height":8}},{"id":"66f4c5c7-3760-448a-9f6c-f4392952413f","block_type":"box","text":"An ETN that is tied to a reference instrument may not replicate the performance of the reference instrument.","page_number":66,"box":{"x":101,"y":241,"width":776,"height":11}},{"id":"f05e4579-31b0-4a58-af26-0bd3a73bfd2a","block_type":"box","text":"ETNs also incur certain expenses not incurred by their applicable reference instrument. Some ETNs that use leverage","page_number":66,"box":{"x":70,"y":256,"width":837,"height":12}},{"id":"155ecc7f-b543-491b-b81d-20f0318c0e76","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":66,"box":{"x":69,"y":271,"width":840,"height":12}},{"id":"be584a76-b6c7-4382-9908-979bd1220075","block_type":"box","text":"risk as other instruments that use leverage in any form. While leverage allows for greater potential return, the","page_number":66,"box":{"x":69,"y":286,"width":781,"height":12}},{"id":"28225030-80b6-4c68-a02e-140b6c825253","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":66,"box":{"x":70,"y":302,"width":827,"height":11}},{"id":"bbbdf49a-2fdb-43dc-89a2-bfd757e8243f","block_type":"box","text":"addition to the money lost on the investment, the loan still needs to be repaid.","page_number":66,"box":{"x":69,"y":317,"width":560,"height":11}},{"id":"4bd061bb-8ffb-413c-b832-c66c353ae6f7","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":66,"box":{"x":102,"y":340,"width":774,"height":11}},{"id":"5825853a-b62c-4894-9f63-a218767c0e38","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":66,"box":{"x":68,"y":355,"width":788,"height":11}},{"id":"581b5167-064a-4927-9cd0-d91ee6e9305b","block_type":"box","text":"reference instrument. The market value of ETN shares may differ from the value of the reference instrument. This","page_number":66,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"7fec1ce8-46c7-4ae0-abbd-93c089b55ce2","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":66,"box":{"x":69,"y":385,"width":815,"height":11}},{"id":"c06fb661-0044-4e10-9d41-0c7ec50eb028","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":66,"box":{"x":68,"y":400,"width":766,"height":11}},{"id":"84b49334-f1aa-4d56-ab48-4fc6da51873c","block_type":"box","text":"instrument that the ETN seeks to track.","page_number":66,"box":{"x":70,"y":415,"width":279,"height":9}},{"id":"decf6c19-781a-4d0d-abab-0be58091dcce","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":66,"box":{"x":101,"y":438,"width":791,"height":11}},{"id":"680d2011-ef36-4cbb-a683-71f3b458a820","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":66,"box":{"x":69,"y":453,"width":818,"height":11}},{"id":"3c39e995-2e89-4d94-a126-87f2a38ac7c7","block_type":"box","text":"market. An investor in an ETN could lose some or all of the amount invested.","page_number":66,"box":{"x":69,"y":468,"width":547,"height":9}},{"id":"6d41d2ba-d67a-4a16-a753-cffa0ed57900","block_type":"box","text":"ETNs are also subject to tax risks. The Internal Revenue Service (the “IRS”) may not accept, and a court may not","page_number":66,"box":{"x":102,"y":491,"width":807,"height":11}},{"id":"43cd71c3-6100-4a7e-a760-40ee39ac46f0","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":66,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"2d12cfc9-167f-4fb0-9943-cae772695cf6","block_type":"box","text":"derived by a Fund from investments in ETNs may be affected by future legislation.","page_number":66,"box":{"x":69,"y":521,"width":581,"height":11}},{"id":"dd8b02ed-eb93-4875-9b4b-857a4037a01b","block_type":"box","text":"Foreign Investments.","page_number":66,"box":{"x":102,"y":544,"width":152,"height":11}},{"id":"ec0987f3-c0a3-42db-95c3-8c7ebb246974","block_type":"box","text":"Foreign Investment Risks.","page_number":66,"box":{"x":102,"y":566,"width":182,"height":11}},{"id":"de9267aa-47cc-42eb-bea5-cca065d78c67","block_type":"box","text":"Certain Funds may invest in foreign securities, including securities from issuers","page_number":66,"box":{"x":291,"y":566,"width":567,"height":11}},{"id":"2b5c4990-6ccc-45f9-91ee-7694bdb95977","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":66,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"dcf2d4c8-f448-4c56-b06d-4f75eb28d1f0","block_type":"box","text":"Investing in foreign securities involves risks not typically associated with investing in securities of companies","page_number":66,"box":{"x":70,"y":596,"width":774,"height":12}},{"id":"2ac2474f-47dd-474b-99d6-c75720e0bf0a","block_type":"box","text":"organized and operated in the United States that can increase the chances that a Fund will lose money.","page_number":66,"box":{"x":69,"y":612,"width":738,"height":11}},{"id":"1a6f9e9f-c60c-4361-ad08-facd2bb62d07","block_type":"box","text":"Securities issued by certain companies organized outside the United States may not be deemed to be foreign","page_number":66,"box":{"x":102,"y":634,"width":782,"height":12}},{"id":"c1118f0f-f387-465e-98b0-c6ecccb68486","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":66,"box":{"x":69,"y":649,"width":824,"height":12}},{"id":"f3ffde7b-1cb5-486e-a0f2-8cd05671443e","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":66,"box":{"x":70,"y":665,"width":771,"height":11}},{"id":"71e5270e-29d9-46c9-b1f9-d9a8188f3821","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":66,"box":{"x":69,"y":680,"width":792,"height":11}},{"id":"29bf3d3c-8ab3-4cd0-a2c7-11dd125a5908","block_type":"box","text":"benchmark index.","page_number":66,"box":{"x":69,"y":695,"width":124,"height":9}},{"id":"02b29438-5917-426f-b2f4-140fa4adac85","block_type":"box","text":"In addition to equity securities, foreign investments of the Funds may include: (a) debt obligations issued or","page_number":66,"box":{"x":102,"y":717,"width":767,"height":12}},{"id":"c226b312-df1b-4495-b9a4-93c2b400261c","block_type":"box","text":"guaranteed by foreign sovereign governments or their agencies, authorities, instrumentalities or political","page_number":66,"box":{"x":68,"y":732,"width":742,"height":12}},{"id":"efc126c6-1306-4572-aaa7-b400b9b72fcd","block_type":"box","text":"subdivisions, including a foreign state, province or municipality; (b) debt obligations of supranational organizations;","page_number":66,"box":{"x":69,"y":748,"width":818,"height":11}},{"id":"e0652e97-c3e3-401b-8934-5543ab8c5764","block_type":"box","text":"(c) debt obligations of foreign banks and bank holding companies; (d) debt obligations of domestic banks and","page_number":66,"box":{"x":69,"y":763,"width":780,"height":11}},{"id":"6c20f0c2-d779-4f80-aff6-db34a43485e7","block_type":"box","text":"corporations issued in foreign currencies; (e) debt obligations denominated in the Euro; and (f) foreign corporate debt","page_number":66,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"8b9e6988-ae95-4a60-a69e-75d6c3109b51","block_type":"box","text":"securities and commercial paper. Such securities may include loan participations and assignments, convertible","page_number":66,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"3fe6c5d9-af70-4dbc-b101-d261530d7234","block_type":"box","text":"securities and zero-coupon securities.","page_number":66,"box":{"x":69,"y":808,"width":268,"height":11}},{"id":"58da171a-374c-4a42-b491-a997f0419c31","block_type":"box","text":"Dividends or interest on, or proceeds from the sale of, foreign securities may be subject to foreign withholding","page_number":66,"box":{"x":102,"y":831,"width":785,"height":11}},{"id":"ce4bfc10-ea12-4bbc-b71f-6afd61186f5e","block_type":"box","text":"taxes.","page_number":66,"box":{"x":68,"y":847,"width":42,"height":8}},{"id":"4af33098-c571-4f32-847a-4a5d411ae3df","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":66,"box":{"x":101,"y":869,"width":798,"height":11}},{"id":"5d3626af-4e90-4a87-898c-64ce234312f1","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":66,"box":{"x":68,"y":884,"width":815,"height":11}},{"id":"98fd8833-7461-4dec-aadd-9b1478bb9651","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":66,"box":{"x":70,"y":899,"width":792,"height":11}},{"id":"bab96a6f-8e25-4377-8b5c-45d7471ba0b2","block_type":"box","text":"II-28","page_number":66,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ff70e61e-cb4f-4e1e-b567-970528b3ae96","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":66,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d860a3fc-fcdc-4f47-a913-c9d19aa5282a","block_type":"box","text":"underlying security (","page_number":67,"box":{"x":69,"y":45,"width":140,"height":11}},{"id":"5c036884-9042-4d88-a9b2-7073daa25e1f","block_type":"box","text":"i.e.","page_number":67,"box":{"x":211,"y":45,"width":20,"height":9}},{"id":"067219bb-d973-4890-ad8e-a22c5f5c20e9","block_type":"box","text":", the Fund’s quote from the closed foreign market). The impact of a closed foreign market on a","page_number":67,"box":{"x":234,"y":45,"width":675,"height":11}},{"id":"2e99f7cc-9be9-45e1-8a78-5cff69c46bdf","block_type":"box","text":"Fund is likely to be greater where a large portion of the Fund’s underlying securities or other instruments trade on","page_number":67,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"43326ab1-2197-4ab0-a508-15106dab569f","block_type":"box","text":"that closed foreign market or when the foreign market is closed for unscheduled reasons. These deviations may","page_number":67,"box":{"x":68,"y":75,"width":800,"height":11}},{"id":"79945a9d-bc16-4a43-b3f1-ae025129ae2e","block_type":"box","text":"result in premiums or discounts to certain Funds’ NAVs that may be greater than those experienced by other ETFs.","page_number":67,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"2b410d8f-5a5b-47a4-95de-87e1fd23c3b8","block_type":"box","text":"Foreign Market Risk.","page_number":67,"box":{"x":102,"y":113,"width":144,"height":11}},{"id":"1a190948-2649-47b4-a738-607abc29468c","block_type":"box","text":"Funds that may invest in foreign securities offer the potential for more diversification than a","page_number":67,"box":{"x":254,"y":113,"width":652,"height":11}},{"id":"7004206b-344c-44c7-928c-af91820dc474","block_type":"box","text":"Fund that invests only in the United States because securities traded on foreign markets have often (though not","page_number":67,"box":{"x":70,"y":128,"width":797,"height":11}},{"id":"9629527e-59e1-43a7-87f6-af9aaba04e14","block_type":"box","text":"always) performed differently from securities traded in the United States. However, such investments often involve","page_number":67,"box":{"x":69,"y":143,"width":817,"height":11}},{"id":"d431282e-a422-45a2-b8af-da50b139cf7a","block_type":"box","text":"risks not present in U.S. investments that can increase the chances that a Fund will lose money. In particular, a Fund","page_number":67,"box":{"x":69,"y":158,"width":836,"height":11}},{"id":"2f8a0985-ccde-4536-bb56-1a9ec825bf49","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":67,"box":{"x":70,"y":173,"width":835,"height":11}},{"id":"69ffb3a6-801f-4642-8707-6e9071470257","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":67,"box":{"x":69,"y":188,"width":810,"height":12}},{"id":"8a61c602-b172-441b-b7b5-7d191991b701","block_type":"box","text":"prices of foreign securities may fluctuate more than prices of securities traded in the United States. Investments in","page_number":67,"box":{"x":70,"y":203,"width":820,"height":12}},{"id":"6ae44fb7-069c-468c-9cfe-9e120ea2b586","block_type":"box","text":"foreign markets may also be adversely affected by governmental actions such as the imposition of punitive taxes or","page_number":67,"box":{"x":68,"y":218,"width":826,"height":12}},{"id":"b49565c3-5ee7-4dd9-acfb-1288d0278360","block_type":"box","text":"tariffs. In addition, economic conditions, such as volatile currency exchange rates and interest rates, political events,","page_number":67,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"afe33a61-af37-4b51-981b-f57fb68a8d8d","block_type":"box","text":"military action and other conditions may, without prior warning, lead to the governments of certain countries, or the","page_number":67,"box":{"x":69,"y":249,"width":821,"height":11}},{"id":"11963860-029d-4cc9-83eb-f07dfd57189e","block_type":"box","text":"U.S. Government with respect to certain countries, prohibiting or imposing substantial restrictions through capital","page_number":67,"box":{"x":70,"y":264,"width":807,"height":11}},{"id":"afb379cd-bc41-49b3-8f3e-6986777ddadd","block_type":"box","text":"controls and/or sanctions on foreign investing in the capital markets or certain industries in those countries. Capital","page_number":67,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"73405627-5165-4765-920d-48e54d16c278","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":67,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"82507806-9fbf-4a33-ad9a-4e15ac6db259","block_type":"box","text":"securities, derivatives or other assets and may also include retaliatory actions of one government against another","page_number":67,"box":{"x":69,"y":309,"width":813,"height":11}},{"id":"066ea397-12fe-49c3-a316-fad7c24f0927","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":67,"box":{"x":68,"y":324,"width":828,"height":12}},{"id":"dfc7cece-c496-40a6-a134-ebce5df4b679","block_type":"box","text":"transfer, receive, deliver or otherwise obtain exposure to foreign securities and assets, including the ability to","page_number":67,"box":{"x":68,"y":339,"width":782,"height":12}},{"id":"9fcd3ded-669d-4777-bc61-90994db8f7a6","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":67,"box":{"x":68,"y":355,"width":796,"height":11}},{"id":"f42fd0a5-a544-4ede-9a2d-d576d84b5494","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":67,"box":{"x":70,"y":370,"width":837,"height":11}},{"id":"0ff47226-81e0-499a-b9c0-448953b725e0","block_type":"box","text":"potential foreign market risks include exchange controls, difficulties in pricing securities, defaults on foreign","page_number":67,"box":{"x":70,"y":385,"width":768,"height":11}},{"id":"bce8da1d-654b-4343-b004-f0cf9418e567","block_type":"box","text":"government securities, difficulties in enforcing favorable legal judgments in foreign courts, and political and social","page_number":67,"box":{"x":68,"y":400,"width":813,"height":11}},{"id":"8fe931ee-3fa0-4efc-88c3-eaa914635fd3","block_type":"box","text":"conditions, such as diplomatic relations, confiscatory taxation, expropriation, limitation on the removal of funds or","page_number":67,"box":{"x":69,"y":415,"width":814,"height":11}},{"id":"e7bb9821-2ca0-4aa9-9de8-fc129d3c5205","block_type":"box","text":"assets, or imposition of (or change in) exchange control regulations. Legal remedies available to investors in certain","page_number":67,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"f396c308-dcce-4082-925e-5299be99c700","block_type":"box","text":"foreign countries may be less extensive than those available to investors in the United States or other foreign","page_number":67,"box":{"x":68,"y":445,"width":782,"height":12}},{"id":"f93a13cb-e71c-4bba-8be8-eb1794c80240","block_type":"box","text":"countries. In addition, changes in government administrations or economic or monetary policies in the United States","page_number":67,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"b93c5530-0ea4-4eae-ad0a-0f6b70601dfe","block_type":"box","text":"or abroad could result in appreciation or depreciation of portfolio securities and could favorably or adversely affect a","page_number":67,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"fa687288-3e32-46c2-b74b-08c1bb6de853","block_type":"box","text":"Fund’s operations.","page_number":67,"box":{"x":70,"y":491,"width":130,"height":11}},{"id":"30b5b1d1-1f08-4fe6-be8c-1f1b1ee4502e","block_type":"box","text":"Foreign Economy Risk.","page_number":67,"box":{"x":102,"y":514,"width":158,"height":11}},{"id":"ca496363-ca42-4da5-bcdb-83d4ac9f700d","block_type":"box","text":"The economies of certain foreign markets often do not compare favorably with that of the","page_number":67,"box":{"x":267,"y":513,"width":636,"height":12}},{"id":"8da549ea-34d5-481c-84c6-b7a3246a3506","block_type":"box","text":"United States with respect to such issues as growth of gross national product, reinvestment of capital, resources,","page_number":67,"box":{"x":70,"y":528,"width":812,"height":12}},{"id":"e0fd9b2c-4e3a-40d0-abab-6328e9105f93","block_type":"box","text":"and balance of payments position. Certain such economies may rely heavily on particular industries or foreign capital","page_number":67,"box":{"x":69,"y":543,"width":835,"height":12}},{"id":"70a7d001-25c7-4c40-86a4-4943e2b08332","block_type":"box","text":"and are more vulnerable to diplomatic developments, the imposition of economic sanctions against a particular","page_number":67,"box":{"x":69,"y":559,"width":795,"height":11}},{"id":"536f9db5-578b-45d0-96dc-3be99afd00d7","block_type":"box","text":"country or countries, changes in international trading patterns, trade barriers, and other protectionist or retaliatory","page_number":67,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"cdf97cb9-a8b4-4df9-958e-4c2e4d8c26d2","block_type":"box","text":"measures.","page_number":67,"box":{"x":69,"y":591,"width":74,"height":7}},{"id":"10d4089a-6c5d-4b78-a68a-bdc776b588bf","block_type":"box","text":"Currency Risk and Exchange Risk.","page_number":67,"box":{"x":102,"y":612,"width":240,"height":11}},{"id":"4cf9cae7-befa-4afa-8cc6-33fc278a5cdb","block_type":"box","text":"Because foreign securities generally are denominated and pay dividends or","page_number":67,"box":{"x":349,"y":612,"width":534,"height":11}},{"id":"291d0baa-860d-440d-b9c8-c910f87a2725","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":67,"box":{"x":70,"y":627,"width":838,"height":11}},{"id":"41382d8b-49c6-4e55-81fe-bf7b32e2736c","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":67,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"a12de0b8-9158-4f25-a624-1d07f7b76ac5","block_type":"box","text":"a foreign currency, a security denominated in that currency loses value because the currency is worth fewer U.S.","page_number":67,"box":{"x":69,"y":657,"width":801,"height":11}},{"id":"11313177-9201-4608-a4d4-3e184ebab620","block_type":"box","text":"dollars. Conversely, when the U.S. dollar decreases in value against a foreign currency, a security denominated in","page_number":67,"box":{"x":69,"y":672,"width":808,"height":11}},{"id":"7639b101-497a-4511-a798-a27174d8084e","block_type":"box","text":"that currency gains value because the currency is worth more U.S. dollars. This risk, generally known as “currency","page_number":67,"box":{"x":68,"y":687,"width":816,"height":11}},{"id":"99a7b482-96ed-4cc2-b088-fd0c63f83e1d","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":67,"box":{"x":69,"y":702,"width":814,"height":12}},{"id":"53c31f58-1e94-41e8-b278-9dd0826f82bc","block_type":"box","text":"those returns. Currency exchange rates can also be affected unpredictably by intervention by U.S. or foreign","page_number":67,"box":{"x":68,"y":717,"width":771,"height":12}},{"id":"f670efce-7bb0-4d0d-bd32-0acca2e83689","block_type":"box","text":"governments or central banks, or the failure to intervene, or buy currency controls or political developments in the","page_number":67,"box":{"x":68,"y":732,"width":813,"height":12}},{"id":"d75ff1b8-ea42-4453-8b72-012ed7b1c622","block_type":"box","text":"United States or abroad.","page_number":67,"box":{"x":70,"y":748,"width":172,"height":9}},{"id":"4820ee69-daca-4133-abab-c5672d4ef4e7","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards.","page_number":67,"box":{"x":102,"y":770,"width":466,"height":12}},{"id":"d9c4557d-dbc6-4ec9-b520-2fe86e8ef895","block_type":"box","text":"Many foreign governments supervise and","page_number":67,"box":{"x":575,"y":770,"width":293,"height":12}},{"id":"8a578e77-067e-48be-b957-777130878e4c","block_type":"box","text":"regulate stock exchanges, brokers and the sale of securities less than does the United States. Some countries may","page_number":67,"box":{"x":69,"y":785,"width":828,"height":12}},{"id":"ab533dff-69f2-46be-8435-0b2aee98b9ab","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":67,"box":{"x":69,"y":801,"width":826,"height":11}},{"id":"aff75050-6ecc-4113-b22a-0f13d5dc9e70","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":67,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"fa6c01f1-97aa-4bfc-b6c3-665a05b2bd63","block_type":"box","text":"securities based on nonpublic information about that company. Accounting standards in other countries are not","page_number":67,"box":{"x":69,"y":831,"width":794,"height":11}},{"id":"1223a420-8eb1-4b12-b6ba-d96b2cae0087","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":67,"box":{"x":69,"y":846,"width":831,"height":11}},{"id":"42341f13-36d1-4715-b4db-d8376bd4c7ea","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":67,"box":{"x":69,"y":861,"width":840,"height":11}},{"id":"c2d7071c-9eab-4f82-ba8e-c129f2e9cd5f","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":67,"box":{"x":69,"y":876,"width":760,"height":11}},{"id":"b8824545-d277-4700-8bbe-256f6564d036","block_type":"box","text":"restrictions, through penalties and otherwise, on foreign investments by U.S. investors such as the Fund. If such","page_number":67,"box":{"x":69,"y":891,"width":803,"height":12}},{"id":"e5e5572e-44c0-4239-a7b8-17e00cd5a66c","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":67,"box":{"x":69,"y":906,"width":798,"height":12}},{"id":"368276f0-0bd8-4b66-9e61-5ca9b3635042","block_type":"box","text":"II-29","page_number":67,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6e039f74-5fb3-4590-a4f6-809142bd6b2e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":67,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7de462ca-591f-4de4-86e7-b69e67463b17","block_type":"box","text":"assets in U.S. securities. Also, brokerage commissions and other costs of buying or selling securities often are","page_number":68,"box":{"x":69,"y":45,"width":793,"height":11}},{"id":"077895da-01ac-4331-815e-84a63379d9c5","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":68,"box":{"x":69,"y":60,"width":797,"height":11}},{"id":"89e54c97-d3e6-430f-a9cb-22eb39b5ee98","block_type":"box","text":"investments.","page_number":68,"box":{"x":70,"y":75,"width":89,"height":9}},{"id":"2d61bcee-b9e3-4f51-8ab4-dcc4bffeea22","block_type":"box","text":"Cer tain Risks of Holding Fund Assets Outside the United States.","page_number":68,"box":{"x":102,"y":98,"width":458,"height":11}},{"id":"e34521c1-dde8-4db7-bb55-9da55263e746","block_type":"box","text":"A Fund generally holds its foreign securities and","page_number":68,"box":{"x":566,"y":98,"width":341,"height":11}},{"id":"f262e4f2-9b8e-4aa9-bc3f-1b4904d52316","block_type":"box","text":"cash in foreign banks and securities depositories. Some foreign banks and securities depositories may be recently","page_number":68,"box":{"x":69,"y":113,"width":819,"height":11}},{"id":"ff8a8c79-b602-4f84-8336-7e57eec51e32","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":68,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"39e96642-de0b-4038-81ec-2dc93a6c1993","block_type":"box","text":"their operations. Also, the laws of certain countries may put limits on a Fund’s ability to recover its assets if a foreign","page_number":68,"box":{"x":68,"y":143,"width":838,"height":11}},{"id":"744fd22d-147a-4e7a-ab7f-b1482b18374e","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":68,"box":{"x":69,"y":158,"width":835,"height":11}},{"id":"a35ef789-7a75-4c91-a42a-295f2894ec97","block_type":"box","text":"for a Fund to buy, sell and hold securities in certain foreign markets than in the United States. The increased","page_number":68,"box":{"x":68,"y":173,"width":777,"height":11}},{"id":"99b4e350-c86b-4109-ba8d-1e9a14a679a6","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":68,"box":{"x":69,"y":188,"width":831,"height":12}},{"id":"b9a2fbe3-682c-4495-b351-22c0a8bf73ce","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":68,"box":{"x":70,"y":203,"width":828,"height":12}},{"id":"df7ea0a9-bff8-489a-a0d3-e2bb0699be92","block_type":"box","text":"States.","page_number":68,"box":{"x":69,"y":219,"width":49,"height":8}},{"id":"397e2e6d-a45d-464c-9521-91cf0593f46d","block_type":"box","text":"Publicly Available Information.","page_number":68,"box":{"x":102,"y":241,"width":210,"height":11}},{"id":"a025d1cf-ccce-4b1f-8153-2ad368eb1416","block_type":"box","text":"In general, less information is publicly available with respect to foreign issuers","page_number":68,"box":{"x":319,"y":241,"width":558,"height":11}},{"id":"1f151a30-7047-4f59-adc5-5ed8dd0a7184","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":68,"box":{"x":68,"y":256,"width":779,"height":12}},{"id":"7e0e9f65-61e1-4880-bd21-dbb1a55cf6c1","block_type":"box","text":"accounting and financial reporting requirements applicable to issuers in the United States. While the volume of","page_number":68,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"71eeac85-9547-48e4-924d-1f5f356c548d","block_type":"box","text":"transactions effected on foreign stock exchanges has increased in recent years, it remains appreciably below that of","page_number":68,"box":{"x":68,"y":286,"width":834,"height":12}},{"id":"7e84ab16-4760-4882-8eae-4c0ebf6cd8ff","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":68,"box":{"x":68,"y":302,"width":841,"height":11}},{"id":"81cf22f7-184b-450d-9055-2a24631f7148","block_type":"box","text":"be more volatile than, comparable investments in securities in U.S. companies. In addition, there is generally less","page_number":68,"box":{"x":69,"y":317,"width":813,"height":11}},{"id":"928b849e-71ee-4268-af3c-71389bfd9c09","block_type":"box","text":"government supervision and regulation of securities exchanges, brokers and issuers in foreign countries than in the","page_number":68,"box":{"x":68,"y":332,"width":827,"height":11}},{"id":"2a4a82f8-7380-46c7-ad1e-fd3890e99032","block_type":"box","text":"United States.","page_number":68,"box":{"x":70,"y":347,"width":99,"height":9}},{"id":"dc8bd51d-e3d9-4841-9384-1a96589f238d","block_type":"box","text":"Settlement Risk.","page_number":68,"box":{"x":102,"y":370,"width":116,"height":9}},{"id":"df96f92b-40de-4391-a8a1-1dd9df04d382","block_type":"box","text":"Settlement and clearance procedures in certain foreign markets differ significantly from those","page_number":68,"box":{"x":225,"y":370,"width":669,"height":11}},{"id":"b8a36f1d-7b78-40d4-85d2-cf2a53511219","block_type":"box","text":"in the United States. Supervisory authorities may also be unable to apply standards which are comparable with those","page_number":68,"box":{"x":70,"y":385,"width":837,"height":11}},{"id":"e97a1058-11e3-4b66-af1d-4bae00ba9b41","block_type":"box","text":"in the United States. Foreign settlement procedures and trade regulations also may involve certain risks (such as","page_number":68,"box":{"x":70,"y":400,"width":808,"height":11}},{"id":"f76a85d7-8e92-4a0e-99db-15bde6a8b760","block_type":"box","text":"delays in payment for or delivery of securities) not typically generated by the settlement of U.S. investments.","page_number":68,"box":{"x":69,"y":415,"width":772,"height":11}},{"id":"067ba4d8-aff3-48d9-adeb-5210d1627c9b","block_type":"box","text":"Communications between the United States and emerging market countries may be unreliable, increasing the","page_number":68,"box":{"x":102,"y":438,"width":781,"height":11}},{"id":"dd6f6971-7833-4916-b1e7-16fa6f5b1cd2","block_type":"box","text":"risk of delayed settlements or losses of security certificates in markets that still rely on physical settlement.","page_number":68,"box":{"x":69,"y":453,"width":771,"height":11}},{"id":"2052166b-7302-4188-88de-0086e1200d6f","block_type":"box","text":"Settlements in certain foreign countries at times have not kept pace with the number of securities transactions;","page_number":68,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"46f8f319-fdcb-45e8-8c7e-8f248ced1bf7","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":68,"box":{"x":68,"y":483,"width":802,"height":11}},{"id":"ff33347c-d642-498b-8813-016de8c9a707","block_type":"box","text":"settling a purchase of securities, it may miss attractive investment opportunities and certain of its assets may be","page_number":68,"box":{"x":69,"y":498,"width":812,"height":11}},{"id":"f0c9aeea-243d-4215-9bdd-eda52b3ac22b","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":68,"box":{"x":69,"y":513,"width":821,"height":12}},{"id":"f66d345b-6500-4b02-8a38-fd25c0c376b7","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":68,"box":{"x":69,"y":528,"width":816,"height":12}},{"id":"49df4918-73b2-4156-92ca-f9888e6b390b","block_type":"box","text":"another party, the Fund could be liable to that party for any losses incurred.","page_number":68,"box":{"x":69,"y":543,"width":539,"height":12}},{"id":"7a2a8ec8-d30e-43b3-8001-7fb6f0eadb29","block_type":"box","text":"Because of uncertainties in the operation of settlement systems in individual markets, competing claims may","page_number":68,"box":{"x":102,"y":566,"width":781,"height":11}},{"id":"444262d4-4a6d-414a-8d30-e644a3dcf1f9","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":68,"box":{"x":69,"y":581,"width":810,"height":11}},{"id":"a8bc377c-2e3a-42d1-ba4f-49f23193f1dd","block_type":"box","text":"otherwise be limited or inadequate to meet the Fund’s claims in case of such event.","page_number":68,"box":{"x":69,"y":596,"width":601,"height":11}},{"id":"e25fbac5-36f1-4558-a962-f261e823b896","block_type":"box","text":"Sovereign Debt.","page_number":68,"box":{"x":102,"y":619,"width":111,"height":11}},{"id":"94963f5e-3c42-4040-9639-2e8b9331d2e8","block_type":"box","text":"Investment in sovereign debt can involve a high degree of risk. The governmental entity that","page_number":68,"box":{"x":221,"y":619,"width":653,"height":11}},{"id":"8085fb10-eb99-4c96-afbd-95c38b7ea41c","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":68,"box":{"x":69,"y":634,"width":837,"height":12}},{"id":"5c5e634c-804c-4277-9aa2-b7482432f194","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":68,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"c7b8a079-bf6f-4d38-a4ab-8b694c709232","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":68,"box":{"x":69,"y":664,"width":798,"height":12}},{"id":"7adc5b75-df16-437b-abee-a2cab5aad2e2","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":68,"box":{"x":69,"y":680,"width":809,"height":11}},{"id":"dacd3151-cd57-494f-aaed-d400310d1a5e","block_type":"box","text":"service burden to the economy as a whole, the governmental entity’s policy towards the International Monetary Fund","page_number":68,"box":{"x":69,"y":695,"width":832,"height":11}},{"id":"7fb8c5c1-78e2-420c-8106-5fb14140c75d","block_type":"box","text":"and the political constraints to which a governmental entity may be subject. Governmental entities may also be","page_number":68,"box":{"x":69,"y":710,"width":790,"height":11}},{"id":"1d03b2bd-1f12-4a63-8b4d-7384fab265cd","block_type":"box","text":"dependent on expected disbursements from foreign governments, multilateral agencies and others abroad to reduce","page_number":68,"box":{"x":69,"y":725,"width":831,"height":11}},{"id":"4dc4b9ea-c8bb-4ee8-ba2d-20bfb7b47db3","block_type":"box","text":"principal and interest arrearages on their debt. The commitment on the part of these governments, agencies and","page_number":68,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"b1e2b1ba-b3c3-447c-8787-255e66f28182","block_type":"box","text":"others to make such disbursements may be conditioned on the implementation of economic reforms and/or","page_number":68,"box":{"x":69,"y":755,"width":772,"height":11}},{"id":"8798eafe-4e16-40a6-badf-2527e8e1ce08","block_type":"box","text":"economic performance and the timely service of such debtor’s obligations. Failure to implement such reforms,","page_number":68,"box":{"x":69,"y":770,"width":789,"height":12}},{"id":"e4ccbc40-690d-412c-a312-01daa90c5b7c","block_type":"box","text":"achieve such levels of economic performance or repay principal or interest when due may result in the cancellation of","page_number":68,"box":{"x":69,"y":785,"width":839,"height":12}},{"id":"6e54d636-18b6-454a-bd75-3c4ccef07531","block_type":"box","text":"such third parties’ commitments to lend funds to the governmental entity, which may further impair such debtor’s","page_number":68,"box":{"x":69,"y":801,"width":810,"height":11}},{"id":"823fc095-9a4f-4fb1-bb77-1917b79d67bc","block_type":"box","text":"ability or willingness to timely service its debts. Consequently, governmental entities may default on their sovereign","page_number":68,"box":{"x":69,"y":816,"width":821,"height":11}},{"id":"5cd12678-10bc-4363-90c5-317934a9ac61","block_type":"box","text":"debt.","page_number":68,"box":{"x":69,"y":831,"width":34,"height":9}},{"id":"96292dfd-178b-48ef-a328-f88ca5f0f798","block_type":"box","text":"Holders of sovereign debt may be requested to participate in the rescheduling of such debt and to extend further","page_number":68,"box":{"x":102,"y":853,"width":807,"height":12}},{"id":"75152471-5bd2-43cc-8e53-3c343d921ddc","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":68,"box":{"x":70,"y":869,"width":814,"height":11}},{"id":"339a1862-9d23-4932-9531-086f68a2ff36","block_type":"box","text":"legal remedies for collecting on such debt.","page_number":68,"box":{"x":70,"y":884,"width":300,"height":11}},{"id":"53fe74dc-d4ee-447d-9195-579d5011e5cc","block_type":"box","text":"II-30","page_number":68,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"afa07571-2a49-4e2b-9e7f-88502b386b37","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":68,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4b0374eb-a59d-4c89-a35a-5fc24b167ba7","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":69,"box":{"x":103,"y":45,"width":215,"height":11}},{"id":"edd38529-c3f3-49cb-9d59-eb2f7b55122e","block_type":"box","text":". A Fund may file claims to recover foreign withholding taxes on dividend and","page_number":69,"box":{"x":318,"y":45,"width":542,"height":11}},{"id":"8a5d05a8-e2d7-4a5b-8ab7-0ae789ec1f80","block_type":"box","text":"interest income (if any) received from issuers in certain countries and capital gains on the disposition of stocks or","page_number":69,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"93ab7866-96b2-4d56-b387-2477db7a5cd1","block_type":"box","text":"securities where such withholding tax reclaim is possible. Whether or when a Fund will receive a withholding tax","page_number":69,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"d1f9337c-9527-4655-8b86-cf0b37de1926","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":69,"box":{"x":69,"y":90,"width":799,"height":11}},{"id":"f5430dc2-aa41-48bb-b448-a3d0b45a4762","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":69,"box":{"x":68,"y":105,"width":838,"height":11}},{"id":"b19e61d6-faa5-4288-9f5d-66e667aad3b0","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":69,"box":{"x":68,"y":120,"width":807,"height":12}},{"id":"655263da-6f5f-4b60-8c70-698f30884ff0","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":69,"box":{"x":69,"y":135,"width":814,"height":12}},{"id":"69efdfe0-6a42-4cea-aab1-47092f60633e","block_type":"box","text":"down partially or in full, which will adversely affect the Fund’s net asset value. Shareholders in a Fund at the time an","page_number":69,"box":{"x":69,"y":150,"width":831,"height":12}},{"id":"e0103358-1574-4991-b640-523da699e775","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":69,"box":{"x":69,"y":166,"width":819,"height":11}},{"id":"6edb0392-a85a-4f28-b1eb-ba6fc9e225db","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":69,"box":{"x":68,"y":181,"width":833,"height":11}},{"id":"c9e2f455-785e-4db2-903d-cae5d309a44d","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":69,"box":{"x":69,"y":196,"width":814,"height":11}},{"id":"f745cb65-391b-47e1-94ca-57d0080df48a","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":69,"box":{"x":68,"y":211,"width":835,"height":11}},{"id":"ce43b0d9-c34d-4ab6-8ad4-c57a62664bf3","block_type":"box","text":"in the Fund’s net asset value.","page_number":69,"box":{"x":70,"y":226,"width":209,"height":9}},{"id":"69857849-2186-4329-8e41-2109cb501d47","block_type":"box","text":"U.S. Economic Trading Par tners Risk.","page_number":69,"box":{"x":103,"y":249,"width":263,"height":11}},{"id":"7fead56c-64b0-48bc-8c6f-9e9f3e782c32","block_type":"box","text":"The United States is a significant, and in some cases the most significant,","page_number":69,"box":{"x":372,"y":249,"width":532,"height":11}},{"id":"7550e406-b52b-43d3-a361-3e8a9aaf7105","block_type":"box","text":"trading partner of, or foreign investor in, certain countries in which a Fund may invest. As a result, economic","page_number":69,"box":{"x":68,"y":264,"width":773,"height":11}},{"id":"4ba65f51-d4a6-49a7-80fe-89a957228c8c","block_type":"box","text":"conditions of such countries may be particularly affected by changes in the U.S. economy. A decrease in U.S. imports","page_number":69,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"243f518e-c157-41ec-a448-2bcd628884c5","block_type":"box","text":"or exports, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or an economic","page_number":69,"box":{"x":69,"y":294,"width":812,"height":11}},{"id":"63b32fd5-5258-413a-84c9-b7043b8138f0","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":69,"box":{"x":69,"y":309,"width":803,"height":11}},{"id":"315b1614-4976-40a9-b761-570600c22371","block_type":"box","text":"result, securities to which the Fund has exposure. Circumstances could arise that could prevent the timely payment","page_number":69,"box":{"x":69,"y":324,"width":824,"height":11}},{"id":"7663892e-59d8-4123-b165-bf501053c712","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":69,"box":{"x":69,"y":339,"width":819,"height":12}},{"id":"3d779f46-5c43-4932-8097-84a0121f1fb6","block_type":"box","text":"would result in substantial negative consequences for the U.S. economy and the global financial system.","page_number":69,"box":{"x":68,"y":355,"width":746,"height":11}},{"id":"6228c3ac-a757-4c85-b689-fced3b325f71","block_type":"box","text":"There are strained relations between the United States and a number of foreign countries, including traditional","page_number":69,"box":{"x":101,"y":377,"width":787,"height":12}},{"id":"cee441fd-b6ed-44ca-bf66-34fddaba8504","block_type":"box","text":"allies, such as certain European countries, and historical adversaries, such as North Korea, Iran, China and Russia.","page_number":69,"box":{"x":69,"y":392,"width":827,"height":11}},{"id":"c93b0a5a-7b50-4332-8fa5-88eb0feb6bb9","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":69,"box":{"x":70,"y":407,"width":817,"height":12}},{"id":"fb5c7bfc-7d8e-4a76-9ec0-4dfe7447488a","block_type":"box","text":"United States for trade. The United States has also experienced increased internal unrest and discord. If these","page_number":69,"box":{"x":70,"y":423,"width":791,"height":11}},{"id":"b9f00c1b-bfe8-4152-95d0-41517cdcd441","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":69,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"3f98baa1-bdb5-45e6-a6af-d70b2e223bc8","block_type":"box","text":"Fund may invest.","page_number":69,"box":{"x":70,"y":453,"width":117,"height":11}},{"id":"e9ee7f19-0da7-46a8-9b87-12485e5f09b0","block_type":"box","text":"Funding Agreements.","page_number":69,"box":{"x":102,"y":476,"width":154,"height":11}},{"id":"57e69231-b394-4e2d-ba78-55c57e460593","block_type":"box","text":"Certain Funds may invest in Guaranteed Investment Contracts and similar funding","page_number":69,"box":{"x":262,"y":475,"width":584,"height":12}},{"id":"0165f128-0830-4682-a759-7d5e04d003d5","block_type":"box","text":"agreements. In connection with these investments, a Fund makes cash contributions to a deposit fund of an","page_number":69,"box":{"x":69,"y":491,"width":773,"height":11}},{"id":"f55b7069-423c-41f3-8408-f89fc41e5196","block_type":"box","text":"insurance company’s general account. The insurance company then credits to the Fund on a monthly basis","page_number":69,"box":{"x":70,"y":506,"width":761,"height":11}},{"id":"785bad03-0beb-42a8-841b-86196b8fc7a8","block_type":"box","text":"guaranteed interest, which is based on an index. The funding agreements provide that this guaranteed interest will","page_number":69,"box":{"x":68,"y":521,"width":817,"height":11}},{"id":"13088027-9db0-4a10-ba77-f483d40c3b6b","block_type":"box","text":"not be less than a certain minimum rate. The purchase price paid for a funding agreement becomes part of the","page_number":69,"box":{"x":69,"y":536,"width":794,"height":11}},{"id":"0b1c8c1b-fb64-48b7-9f16-c8360d4397f0","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":69,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"bf5ed538-493b-484f-b11d-2e0fa71795e7","block_type":"box","text":"Generally, funding agreements are not assignable or transferable without the permission of the issuing insurance","page_number":69,"box":{"x":69,"y":566,"width":806,"height":11}},{"id":"a0e3c469-92bc-43d8-8380-dc779ef40517","block_type":"box","text":"companies, and an active secondary market in some funding agreements does not currently exist.","page_number":69,"box":{"x":69,"y":581,"width":700,"height":12}},{"id":"f55aac4f-4296-468a-b515-22ac85be9ce6","block_type":"box","text":"Guarantees.","page_number":69,"box":{"x":102,"y":604,"width":87,"height":9}},{"id":"8b857b2b-9f5d-4995-9d51-0677c2416a08","block_type":"box","text":"A Fund may purchase securities which contain guarantees issued by an entity separate from the","page_number":69,"box":{"x":194,"y":604,"width":685,"height":11}},{"id":"cf8fb5e5-dbe3-4534-af5e-9d3ff11deb40","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":69,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"68e14433-15ec-44bd-92c6-95bd129839e3","block_type":"box","text":"payment obligations under a security if the issuer is unable to do so.","page_number":69,"box":{"x":70,"y":634,"width":488,"height":12}},{"id":"2b7b4bd8-6952-4a07-a894-264ed12a8c92","block_type":"box","text":"Illiquid Investments.","page_number":69,"box":{"x":102,"y":657,"width":146,"height":11}},{"id":"9aed73e0-b11c-42d9-8990-87d299a70142","block_type":"box","text":"Each Fund may not acquire any illiquid investment if, immediately after the acquisition, a","page_number":69,"box":{"x":255,"y":657,"width":630,"height":11}},{"id":"4be54a84-16d5-4a26-9b80-438173e4afdd","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":69,"box":{"x":70,"y":672,"width":787,"height":11}},{"id":"93fa4895-7aca-4a3a-b8c5-6c4f15815605","block_type":"box","text":"investment that a Fund reasonably expects cannot be sold or disposed of in current market conditions in seven","page_number":69,"box":{"x":70,"y":687,"width":792,"height":11}},{"id":"4c6cb688-43a9-4f4b-bddb-bf2d39b10c6c","block_type":"box","text":"calendar days or less without the sale or disposition significantly changing the market value of the investment. Liquid","page_number":69,"box":{"x":69,"y":702,"width":834,"height":12}},{"id":"36cafa4d-f4cc-44d3-92b2-f2f1f4085b58","block_type":"box","text":"investments may become illiquid after purchase by a Fund, particularly during periods of market turmoil. There can be","page_number":69,"box":{"x":70,"y":717,"width":838,"height":12}},{"id":"91e8c2d2-9168-4d13-a9dc-0d998a77becc","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":69,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"d78090de-f61a-4e54-bff8-1571cf38d608","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":69,"box":{"x":69,"y":748,"width":838,"height":11}},{"id":"272baac9-0244-4278-b799-8137317b7941","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":69,"box":{"x":70,"y":763,"width":816,"height":11}},{"id":"771c040b-bf5b-4d02-a66c-a0832bdc24bc","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":69,"box":{"x":68,"y":778,"width":832,"height":11}},{"id":"c5838cdd-0261-4957-88c4-3fb2828f8093","block_type":"box","text":"Fund is limited in its ability to dispose of illiquid investments during periods when shareholders are redeeming or","page_number":69,"box":{"x":70,"y":793,"width":803,"height":11}},{"id":"42c372b0-a332-4dbd-ac8e-8bcde8776f84","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":69,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"dfde273a-10bd-4634-b584-dbf5077d2d28","block_type":"box","text":"meet redemption requests and illiquid securities will become a larger portion of the Fund’s holdings. If illiquid","page_number":69,"box":{"x":69,"y":823,"width":781,"height":12}},{"id":"b99f989d-71ae-4155-920b-64274e109e20","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":69,"box":{"x":70,"y":838,"width":822,"height":12}},{"id":"6b6547dd-bef7-4e3c-b5ac-ad49e731035d","block_type":"box","text":"defined below) will require that certain remedial actions be taken. Illiquid investments may trade at a discount from","page_number":69,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"f990a489-4e37-47ac-9677-e35e55da2f0e","block_type":"box","text":"comparable liquid investments. Investment of a Fund’s assets in illiquid investments may restrict the ability of the","page_number":69,"box":{"x":69,"y":869,"width":813,"height":11}},{"id":"ac06bc98-5578-4bd7-b8f8-cadf96c372e5","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":69,"box":{"x":70,"y":884,"width":814,"height":11}},{"id":"ed5623f3-d7de-4167-9760-53c15d9db077","block_type":"box","text":"market opportunities. The risks associated with illiquidity will be particularly acute where a Fund’s operations require","page_number":69,"box":{"x":69,"y":899,"width":833,"height":11}},{"id":"8f267796-b3bb-4d46-8d3d-6f1fa171114d","block_type":"box","text":"II-31","page_number":69,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3d36a6da-833c-473d-824b-8fff54897651","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":69,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ae18395b-45ab-4487-b9d2-e0cf995124f4","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":70,"box":{"x":69,"y":45,"width":801,"height":11}},{"id":"a9cb00ab-ee90-42a5-918e-185e88310750","block_type":"box","text":"short-term cash requirements or incurring capital losses on the sale of illiquid investments.","page_number":70,"box":{"x":69,"y":60,"width":651,"height":11}},{"id":"fd1f44aa-b507-4ce0-a309-e2ec32c24ba5","block_type":"box","text":"Index Funds.","page_number":70,"box":{"x":102,"y":83,"width":91,"height":8}},{"id":"c2a1a752-20dc-4d48-82cc-0d8f51a132db","block_type":"box","text":"Cash Flows; Expenses.","page_number":70,"box":{"x":102,"y":105,"width":162,"height":11}},{"id":"c1726f31-02ce-436e-a02b-fc90f36939db","block_type":"box","text":"The ability of each Fund to satisfy its investment objective depends to some extent on","page_number":70,"box":{"x":270,"y":105,"width":613,"height":11}},{"id":"ae58d3ad-5dd2-44e2-b897-12a3ae9df71f","block_type":"box","text":"the Manager’s ability to manage cash flow (primarily from purchases and redemptions and distributions from the","page_number":70,"box":{"x":68,"y":120,"width":803,"height":12}},{"id":"958397b7-f6aa-41d4-83a9-f5c6506350e7","block_type":"box","text":"Fund’s investments). The Manager will make investment changes to a Fund’s portfolio to accommodate cash flow","page_number":70,"box":{"x":70,"y":135,"width":810,"height":12}},{"id":"dbc10214-bb8f-4dde-860e-697c75ddc597","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":70,"box":{"x":68,"y":150,"width":823,"height":12}},{"id":"7799979d-d16a-4199-93ee-4165d303e6f8","block_type":"box","text":"the investment performance of each index is a hypothetical number which does not take into account brokerage","page_number":70,"box":{"x":68,"y":166,"width":799,"height":11}},{"id":"6ea1703b-9488-4d9b-98d9-b5e9e7171423","block_type":"box","text":"commissions and other transaction costs, custody and other costs of investing, and any incremental operating costs","page_number":70,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"689b1f70-ffce-466f-a10f-98d9a77fb66a","block_type":"box","text":"(","page_number":70,"box":{"x":69,"y":196,"width":3,"height":11}},{"id":"4c0dc23b-5e56-40db-b5c5-ec8f08554187","block_type":"box","text":"e.g.","page_number":70,"box":{"x":74,"y":197,"width":25,"height":10}},{"id":"a4f8c6e2-44fc-4b0d-a3a7-fe20b8ae4837","block_type":"box","text":", transfer agency and accounting costs) that will be borne by the Funds. Finally, since each Fund seeks to","page_number":70,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"41d61408-11ff-4ae5-9819-d27d0b7c8da2","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":70,"box":{"x":69,"y":211,"width":774,"height":11}},{"id":"21a4ec70-ba61-4e0b-965d-bda708961ff1","block_type":"box","text":"particular security as an investment.","page_number":70,"box":{"x":70,"y":226,"width":258,"height":11}},{"id":"a9d82dfa-f00e-4634-aad1-5fd34323bb43","block_type":"box","text":"Tracking Error Risk","page_number":70,"box":{"x":103,"y":249,"width":132,"height":11}},{"id":"b0c67779-57f5-459e-aa8a-75a274c78599","block_type":"box","text":". A Fund may be subject to tracking error, which is the divergence of the Fund’s performance","page_number":70,"box":{"x":236,"y":249,"width":658,"height":11}},{"id":"2e35bc4c-4b63-4672-8f01-3635f978f864","block_type":"box","text":"from that of the Underlying Index. Tracking error may occur because of differences between the securities and other","page_number":70,"box":{"x":68,"y":264,"width":827,"height":11}},{"id":"5520a80f-0fd6-413f-b976-3f52fe7d382a","block_type":"box","text":"instruments held in the Fund’s portfolio and those included in the Underlying Index, pricing differences (including, as","page_number":70,"box":{"x":70,"y":279,"width":830,"height":11}},{"id":"00d8b9dc-35d3-4de5-b042-0c3e5bda3469","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":70,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"e127a3a6-ce2e-493b-8d42-921472c22af1","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":70,"box":{"x":68,"y":309,"width":797,"height":11}},{"id":"c5801de8-a9f0-4efc-82b4-15aa482e8699","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":70,"box":{"x":70,"y":324,"width":787,"height":12}},{"id":"aaf07f80-90d9-48a7-a574-e61188a3d4da","block_type":"box","text":"distributions, interest, the requirements to maintain pass-through tax treatment, portfolio transactions carried out to","page_number":70,"box":{"x":69,"y":339,"width":830,"height":12}},{"id":"4ce0a623-1476-49c2-957d-41bef9f5292b","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":70,"box":{"x":69,"y":355,"width":838,"height":11}},{"id":"7222f611-5f7e-4b1f-9ea2-a257dabc9696","block_type":"box","text":"complying with various new or existing regulatory requirements. These risks may be heightened during times of","page_number":70,"box":{"x":69,"y":370,"width":791,"height":11}},{"id":"6d8f2977-6369-464d-9e7c-677904e6fdd9","block_type":"box","text":"increased market volatility or other unusual market conditions. In addition, tracking error may result because the","page_number":70,"box":{"x":70,"y":385,"width":801,"height":11}},{"id":"b57f572c-59fd-4aca-9847-462f3767c7d6","block_type":"box","text":"Fund incurs fees and expenses, while the Underlying Index does not.","page_number":70,"box":{"x":70,"y":400,"width":487,"height":11}},{"id":"5d944a53-1e83-4040-87b2-044c88df6e0b","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":70,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"1edfb282-86a8-4ed7-b8a8-245fdc754fe8","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":70,"box":{"x":69,"y":438,"width":803,"height":11}},{"id":"224621c4-e910-4e05-8b3c-9b8f4ba55a47","block_type":"box","text":"price growth that does not appear to be supported by publicly available information on the business and assets of","page_number":70,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"ccf21e1c-b305-4c37-9573-d2ff73bf7a6a","block_type":"box","text":"the issuer, unusual or significant short interest or lending activity, negative sentiment, suspended trading or incorrect","page_number":70,"box":{"x":68,"y":468,"width":838,"height":11}},{"id":"9c7c864f-119a-435d-9031-a6414ae1a0fd","block_type":"box","text":"free-float calculations, which could be indicators of possible irregularities, miscalculations or even fraud). If it","page_number":70,"box":{"x":68,"y":483,"width":778,"height":11}},{"id":"9cad2c03-3df0-4d2e-b527-6178f01a60ea","block_type":"box","text":"identifies such behavior, the Manager may, where appropriate, alert the index provider as to the alleged issue. The","page_number":70,"box":{"x":70,"y":498,"width":816,"height":11}},{"id":"87672135-8d56-4030-8833-109a2ac7cba1","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":70,"box":{"x":70,"y":513,"width":836,"height":11}},{"id":"7b4119d6-90f0-43b4-9152-e4cca3f3952a","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":70,"box":{"x":68,"y":528,"width":819,"height":12}},{"id":"8d3ccb79-0006-4234-8936-e5e202013743","block_type":"box","text":"exclude such securities from a Fund’s portfolio and, if it does so, such Fund will be subject to increased tracking","page_number":70,"box":{"x":69,"y":543,"width":804,"height":12}},{"id":"70c863ec-da0e-47f1-8576-23f50a390097","block_type":"box","text":"error due to the divergence in the securities included in its portfolio from its underlying index. The application of the","page_number":70,"box":{"x":69,"y":559,"width":825,"height":11}},{"id":"3c3f9c8a-a329-4653-bd49-8cf131c09831","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":70,"box":{"x":69,"y":574,"width":818,"height":11}},{"id":"9b763710-d1c1-4620-91af-3ece53385ef9","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":70,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"6756f467-f780-442d-8dd8-7f2168477120","block_type":"box","text":"from an Underlying Index or a Fund’s portfolio, and the inclusion of such securities will result in an adverse impact to","page_number":70,"box":{"x":68,"y":604,"width":835,"height":11}},{"id":"25098c12-1a25-48dc-ae4c-e525b96e844b","block_type":"box","text":"the Fund’s net asset value if one or more such securities declines in value.","page_number":70,"box":{"x":68,"y":619,"width":536,"height":9}},{"id":"113c4e2f-6e1b-4ffd-8a17-a48910d6a203","block_type":"box","text":"S&P 500®","page_number":70,"box":{"x":102,"y":642,"width":64,"height":9}},{"id":"1b915104-10c1-4137-b8c5-ae2ae12964b3","block_type":"box","text":"0®","page_number":70,"box":{"x":166,"y":642,"width":6,"height":5}},{"id":"228c57be-e7f2-4047-a4c2-fa1db1ebec6a","block_type":"box","text":"Index (“S&P 500”).","page_number":70,"box":{"x":178,"y":642,"width":134,"height":11}},{"id":"53c17d2a-d0ca-445a-a2d0-f9989dca966b","block_type":"box","text":"“Standard & Poor’s","page_number":70,"box":{"x":320,"y":642,"width":136,"height":9}},{"id":"f8f25b44-5c92-4151-8f67-ea77d0c032bc","block_type":"box","text":"®","page_number":70,"box":{"x":457,"y":642,"width":6,"height":5}},{"id":"0dfb1f34-ae8f-4f21-a2c6-80ac2213e0c0","block_type":"box","text":",” “S&P","page_number":70,"box":{"x":465,"y":642,"width":53,"height":10}},{"id":"461b47c8-9c71-44d4-91aa-bfa2a6090590","block_type":"box","text":"®","page_number":70,"box":{"x":518,"y":642,"width":6,"height":5}},{"id":"c229c088-530f-4c04-9567-9384b708bb29","block_type":"box","text":",” “S&P 500","page_number":70,"box":{"x":526,"y":642,"width":87,"height":10}},{"id":"8d088411-8ed6-468f-b411-6e1f8348c93c","block_type":"box","text":"®","page_number":70,"box":{"x":614,"y":642,"width":6,"height":5}},{"id":"d48e3e79-cf93-4be7-b082-5bca905d50db","block_type":"box","text":",” “Standard & Poor’s 500,” and “500”","page_number":70,"box":{"x":621,"y":642,"width":280,"height":10}},{"id":"528262ed-9b95-4443-be9a-519205728fa4","block_type":"box","text":"are trademarks of S&P Global Inc. and have been licensed for use by certain mutual funds sponsored and advised by","page_number":70,"box":{"x":69,"y":657,"width":837,"height":11}},{"id":"98f6ea37-b41a-4a58-b378-a41f9deae836","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":70,"box":{"x":70,"y":672,"width":836,"height":11}},{"id":"ecb079e8-2357-4b85-9f78-3b9ba4723f2f","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":70,"box":{"x":69,"y":687,"width":818,"height":11}},{"id":"d6401d4e-ef1b-4007-bee0-85b6651fe32b","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":70,"box":{"x":69,"y":702,"width":783,"height":11}},{"id":"754e195e-5f6c-49dc-986d-815529798568","block_type":"box","text":"regarding the advisability of investing in securities generally or in a Fund particularly or the ability of the S&P 500 to","page_number":70,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"e1e9d737-2381-48f6-adb5-7584d481cd20","block_type":"box","text":"track general stock market performance. S&P’s only relationship to certain Funds is the licensing of certain","page_number":70,"box":{"x":68,"y":732,"width":769,"height":12}},{"id":"110fe9e8-8870-4f45-8530-514b6b553134","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":70,"box":{"x":68,"y":748,"width":804,"height":11}},{"id":"575c8331-cbb1-46c3-a096-7cb62b83a7f1","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":70,"box":{"x":68,"y":763,"width":811,"height":11}},{"id":"7545d662-e25e-42fd-8c48-5f9155a71142","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":70,"box":{"x":70,"y":778,"width":803,"height":11}},{"id":"d6f80694-f6cd-4060-ba97-b376dc1620b1","block_type":"box","text":"participated in the determination of the prices and amount of any Fund or the timing of the issuance or sale of","page_number":70,"box":{"x":70,"y":793,"width":787,"height":11}},{"id":"49c04b56-6568-4526-a3ce-00ac7c8799fc","block_type":"box","text":"shares of a Fund or in the determination or calculation of the equation by which a Fund is to be converted into cash.","page_number":70,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"a466485b-ea4d-4f96-925a-524544bae88f","block_type":"box","text":"S&P has no obligation or liability in connection with the administration, marketing or trading of any Fund.","page_number":70,"box":{"x":69,"y":823,"width":742,"height":12}},{"id":"5db17cbf-6511-48b8-a624-efd23d0ff2fa","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":70,"box":{"x":102,"y":846,"width":761,"height":11}},{"id":"e9d9becd-2b7e-498c-ba4e-478039462480","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":70,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"9b2f89df-db28-434c-a5d2-60eedb46b5d0","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":70,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"758e5a2d-0db4-4204-bbe4-868de1d7bcc8","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":70,"box":{"x":68,"y":891,"width":815,"height":11}},{"id":"da1d54e3-b770-4ec6-82f3-7ab76c161333","block_type":"box","text":"expressly disclaims all warranties of merchantability or fitness for a particular purpose or use with respect to the S&P","page_number":70,"box":{"x":69,"y":906,"width":840,"height":12}},{"id":"afa6af92-44b4-4de3-a67b-4512cc627ef6","block_type":"box","text":"II-32","page_number":70,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bd85124f-3b3d-4820-b5a9-8e8d1711617a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":70,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"777896f0-b729-4f5a-b75a-ae2e749705a5","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":71,"box":{"x":69,"y":45,"width":826,"height":11}},{"id":"64a75407-23ee-4dcf-8f12-0af458a5c13d","block_type":"box","text":"for any special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility","page_number":71,"box":{"x":68,"y":60,"width":827,"height":11}},{"id":"3e6afc69-aec8-431f-9c66-332e4a5c46f1","block_type":"box","text":"of such damages.","page_number":71,"box":{"x":69,"y":75,"width":125,"height":11}},{"id":"993f384e-5e5c-462c-9849-cfe13d79105e","block_type":"box","text":"Russell®","page_number":71,"box":{"x":102,"y":98,"width":52,"height":9}},{"id":"4d59157b-cb91-4fd6-867b-1549d7da7c5a","block_type":"box","text":"l®","page_number":71,"box":{"x":154,"y":98,"width":6,"height":4}},{"id":"96b22d00-4773-4126-a400-3c7987dca01f","block_type":"box","text":"Indexes.","page_number":71,"box":{"x":166,"y":98,"width":57,"height":9}},{"id":"264c0e17-9038-420b-8660-6906e63489be","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Russell","page_number":71,"box":{"x":231,"y":98,"width":611,"height":11}},{"id":"f5e68894-fa01-4e59-b3ad-1bd0e5769817","block_type":"box","text":"Investments. Russell Investments is not responsible for and has not reviewed any Fund nor any associated literature","page_number":71,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"5d39e5b7-8283-43bb-a0f0-7ce0b2dbfb03","block_type":"box","text":"or publications and Russell Investments makes no representation or warranty, express or implied, as to their","page_number":71,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"2861a26a-2023-43df-a98f-caeb3cc4d842","block_type":"box","text":"accuracy, or completeness, or otherwise.","page_number":71,"box":{"x":69,"y":143,"width":291,"height":11}},{"id":"19f58342-b07c-42ab-9591-defab221e73b","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":71,"box":{"x":102,"y":166,"width":794,"height":11}},{"id":"45973de7-7a53-4f17-b587-2c4df26a559c","block_type":"box","text":"change a Russell Index. Russell Investments has no obligation to take the needs of any particular Fund or its","page_number":71,"box":{"x":69,"y":181,"width":778,"height":11}},{"id":"f31e8106-50d7-4a8a-8eba-3de35520acbe","block_type":"box","text":"participants or any other product or person into consideration in determining, composing or calculating the Russell","page_number":71,"box":{"x":70,"y":196,"width":815,"height":11}},{"id":"a1ca9292-c0b9-4b03-a479-b5ec86c9e529","block_type":"box","text":"Index.","page_number":71,"box":{"x":70,"y":211,"width":40,"height":9}},{"id":"5217d76a-4e4a-4073-8e33-cf19510a2d06","block_type":"box","text":"Russell Investments’ publication of the Russell Indexes in no way suggests or implies an opinion by Russell","page_number":71,"box":{"x":102,"y":234,"width":766,"height":11}},{"id":"971bf42b-0701-4854-a875-829e6ebd061a","block_type":"box","text":"Investments as to the attractiveness or appropriateness of investment in any or all securities upon which the Russell","page_number":71,"box":{"x":70,"y":249,"width":833,"height":11}},{"id":"d01ea7e8-82d8-4038-8bb6-b8bda157a6b4","block_type":"box","text":"Indexes is based. Russell Investments makes no representation, warranty, or guarantee as to the accuracy,","page_number":71,"box":{"x":70,"y":264,"width":765,"height":11}},{"id":"f0e4a3c6-775c-423d-8c14-03279ef6c49d","block_type":"box","text":"completeness, reliability, or otherwise of the Russell Indexes or any data included in the Russell Indexes. Russell","page_number":71,"box":{"x":69,"y":279,"width":807,"height":11}},{"id":"2add81bf-a5fe-48f1-8af0-1e1c8c5c4f4a","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":71,"box":{"x":70,"y":294,"width":826,"height":11}},{"id":"afe997a4-3169-4b46-984f-bc3dcb3982ce","block_type":"box","text":"any data included therein, or any security (or combination thereof) comprising the Russell Indexes. Russell","page_number":71,"box":{"x":69,"y":309,"width":757,"height":11}},{"id":"253b5a57-a6c0-40f1-83f4-b9778d4cee2f","block_type":"box","text":"Investments makes no other express or implied warranty, and expressly disclaims any warranty, of any kind,","page_number":71,"box":{"x":70,"y":324,"width":767,"height":11}},{"id":"944290a3-45f8-4d1a-8320-658daf5cb108","block_type":"box","text":"including, without means of limitation, any warranty of merchantability or fitness for a particular purpose with respect","page_number":71,"box":{"x":70,"y":339,"width":833,"height":12}},{"id":"4589de05-da7b-4978-9279-9417efc78456","block_type":"box","text":"to the Russell Indexes or any data or any security (or combination thereof) included therein.","page_number":71,"box":{"x":68,"y":355,"width":651,"height":11}},{"id":"d8ef6a19-0b7d-4a06-a90d-b452fb9b8c84","block_type":"box","text":"MSCI Indexes.","page_number":71,"box":{"x":102,"y":377,"width":100,"height":9}},{"id":"2473cf65-dacc-4d56-bcf7-54530573ba55","block_type":"box","text":"The MSCI Europe, Australasia and Far East (Capitalization Weighted) Index (“EAFE Index”) and the","page_number":71,"box":{"x":209,"y":377,"width":696,"height":12}},{"id":"0f7e3a84-16ff-4386-bd07-f340a740f028","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":71,"box":{"x":70,"y":392,"width":818,"height":12}},{"id":"7a1e21cb-dff7-4371-90b1-944d4de66410","block_type":"box","text":"individually an “MSCI Index”) are the exclusive property of MSCI, Inc. (“MSCI”). The EAFE Index and ACWI ex-US Index","page_number":71,"box":{"x":70,"y":407,"width":837,"height":12}},{"id":"5f5d941b-70de-4467-9e90-ad48506ec74c","block_type":"box","text":"are service marks of MSCI and have been licensed for use by the Manager and its affiliates.","page_number":71,"box":{"x":69,"y":423,"width":658,"height":11}},{"id":"913102be-999b-44d1-8fc0-78f67a1b2181","block_type":"box","text":"No Fund is sponsored, endorsed, sold or promoted by MSCI. MSCI makes no representation or warranty, express","page_number":71,"box":{"x":102,"y":445,"width":806,"height":11}},{"id":"e1f90df9-bc5b-4485-bcc4-a57ab9d6057b","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":71,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"b90ac1c9-de2f-47c4-a6a0-a5ecca0debad","block_type":"box","text":"securities generally or in a Fund particularly or the ability of an MSCI Index to track general stock market","page_number":71,"box":{"x":69,"y":475,"width":743,"height":12}},{"id":"1bc27cba-4a13-4a95-a69e-4681015a15f9","block_type":"box","text":"performance. MSCI is the licensor of certain trademarks, service marks and trade names of MSCI and of the MSCI","page_number":71,"box":{"x":70,"y":491,"width":819,"height":11}},{"id":"6dc57761-2fef-4296-b9c1-6f98154ca284","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":71,"box":{"x":70,"y":506,"width":824,"height":11}},{"id":"44c57c73-786e-4f19-866d-f84546d5303e","block_type":"box","text":"in determining, composing or calculating an MSCI Index. MSCI is not responsible for and has not participated in the","page_number":71,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"ca673bdc-08d9-46fb-92e2-aa32b81f526f","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":71,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"19fda508-2193-4c4d-a187-26fa9fd6bbcb","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":71,"box":{"x":69,"y":551,"width":835,"height":11}},{"id":"e38e8da4-9f4c-4fe2-a3a9-83123dca68dc","block_type":"box","text":"to owners of shares of a Fund in connection with the administration, marketing or trading of the Fund.","page_number":71,"box":{"x":68,"y":566,"width":724,"height":11}},{"id":"d15d9efc-d0ef-4f79-8871-73c84ff7b524","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":71,"box":{"x":101,"y":589,"width":751,"height":11}},{"id":"492e5184-744b-4edf-b025-1ca96b2b67b0","block_type":"box","text":"sources which MSCI considers reliable, MSCI does not guarantee the accuracy and/or the completeness of the MSCI","page_number":71,"box":{"x":69,"y":604,"width":835,"height":11}},{"id":"7fd3db8e-2043-46ea-876b-c662abdc41f4","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":71,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"a5d09b62-e701-4c14-8df8-daed71f05092","block_type":"box","text":"licensee, licensee’s customers and counterparties, owners of shares of a Fund, or any other person or entity from","page_number":71,"box":{"x":70,"y":634,"width":812,"height":11}},{"id":"0cdb37a9-ae4c-4084-82c9-1417c15b11b5","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":71,"box":{"x":68,"y":649,"width":804,"height":12}},{"id":"93db4674-fd33-45c8-9a03-b35847222607","block_type":"box","text":"other use. MSCI makes no express or implied warranties, and hereby expressly disclaims all warranties of","page_number":71,"box":{"x":69,"y":664,"width":758,"height":12}},{"id":"782ed504-bbf8-4256-b184-a1149f4b4b1a","block_type":"box","text":"merchantability or fitness for a particular purpose with respect to an MSCI Index or any data included therein. Without","page_number":71,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"07c2589c-bdb8-4b29-bd84-acd1adb788c6","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":71,"box":{"x":70,"y":695,"width":777,"height":11}},{"id":"61c4c4c1-82f4-4fae-bd85-92f4fdea6c77","block_type":"box","text":"consequential or any other damages (including lost profits) even if notified of the possibility of such damages.","page_number":71,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"bc7df61c-80f7-404d-848a-24b2dadf2a95","block_type":"box","text":"Financial Times Stock Exchange (“FTSE”) Indexes.","page_number":71,"box":{"x":102,"y":733,"width":355,"height":11}},{"id":"215c09d9-7604-4d38-8287-796485fdd49f","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any","page_number":71,"box":{"x":465,"y":733,"width":422,"height":11}},{"id":"3412052d-5af9-492a-b00b-414bd06d25cd","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":71,"box":{"x":68,"y":748,"width":824,"height":11}},{"id":"f3ccdc37-b19d-48d3-8854-4f8ad31b2064","block_type":"box","text":"publications and FTSE makes no representation or warranty, express or implied, as to their accuracy, or","page_number":71,"box":{"x":70,"y":763,"width":736,"height":11}},{"id":"de2384e8-2fea-4397-9caf-fdace609203a","block_type":"box","text":"completeness, or otherwise.","page_number":71,"box":{"x":69,"y":778,"width":202,"height":11}},{"id":"dbfd59a0-4c95-4d7d-9e61-4f30bf98a1ea","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":71,"box":{"x":102,"y":801,"width":794,"height":11}},{"id":"5dfbd9ff-6892-4d80-b250-672378e55820","block_type":"box","text":"Index. FTSE has no obligation to take the needs of any particular Fund or its participants or any other product or","page_number":71,"box":{"x":70,"y":816,"width":799,"height":11}},{"id":"c2d817cd-eeba-49f9-8c72-08dbdd52993a","block_type":"box","text":"person into consideration in determining, composing or calculating the FTSE Index.","page_number":71,"box":{"x":70,"y":831,"width":587,"height":11}},{"id":"b23650cc-0b17-4b5a-a62b-7376fdee6f46","block_type":"box","text":"Bloomberg Indexes.","page_number":71,"box":{"x":102,"y":854,"width":139,"height":11}},{"id":"d84e37fa-7912-4fbc-b247-44c4ad50e1e0","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Bloomberg","page_number":71,"box":{"x":249,"y":853,"width":636,"height":12}},{"id":"b137226e-7b64-4537-9afe-9b58d79270a4","block_type":"box","text":"Finance L.P. and its affiliates (collectively, “Bloomberg”). Bloomberg is not responsible for nor has it reviewed any","page_number":71,"box":{"x":70,"y":869,"width":809,"height":11}},{"id":"5c92306e-dd76-4229-b2d7-5498d6be23d3","block_type":"box","text":"Fund nor any associated literature or publications, and Bloomberg makes no representation or warranty, express or","page_number":71,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"ed1709cd-4516-47b1-8bf2-d2cc98d3d615","block_type":"box","text":"implied, as to their accuracy, or completeness, or otherwise.","page_number":71,"box":{"x":70,"y":899,"width":430,"height":11}},{"id":"f0d671f9-1d20-4498-ad1b-9f2237fb5a24","block_type":"box","text":"II-33","page_number":71,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"21345410-7217-4a8b-a904-700070ffae27","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":71,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b9ae8d2d-a0ab-4803-a513-48489cab1896","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":72,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"b45e4ca3-98f6-43e7-97df-25c05c6f3052","block_type":"box","text":"Bloomberg Index. Bloomberg has no obligation to take the needs of any particular Fund or its participants or any","page_number":72,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"67a1b2ca-e442-413c-a84b-dd61c3f8a820","block_type":"box","text":"other product or person into consideration in determining, composing or calculating a Bloomberg Index.","page_number":72,"box":{"x":69,"y":75,"width":735,"height":11}},{"id":"f07dce44-efd6-44c8-8d19-94d549cd1e3e","block_type":"box","text":"ICE BofA Indexes.","page_number":72,"box":{"x":102,"y":98,"width":124,"height":9}},{"id":"c749b00a-55a2-4628-a6b2-e1e998aa8b64","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Intercontinental","page_number":72,"box":{"x":233,"y":98,"width":670,"height":11}},{"id":"e7df62ed-6bba-468f-99e8-732f4ac627f2","block_type":"box","text":"Exchange, Inc. and its affiliates (collectively, “ICE”) or Bank of America or its affiliates (collectively, “BofA”). BofA is","page_number":72,"box":{"x":70,"y":113,"width":819,"height":11}},{"id":"cca016f4-3d69-471c-b402-542993bb9321","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":72,"box":{"x":69,"y":128,"width":820,"height":11}},{"id":"b61d286a-6d25-4832-8779-fc0012977179","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":72,"box":{"x":69,"y":143,"width":793,"height":11}},{"id":"93183288-7bda-41fb-b440-dae5718ea576","block_type":"box","text":"publications and ICE and BofA make no representation or warranty, express or implied, as to their accuracy, or","page_number":72,"box":{"x":70,"y":158,"width":785,"height":11}},{"id":"a5649e3f-f60d-4875-bbd2-0d9f04f02d9f","block_type":"box","text":"completeness, or otherwise.","page_number":72,"box":{"x":69,"y":173,"width":202,"height":11}},{"id":"b4160cc4-aad8-4249-91be-f3108f9467a0","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":72,"box":{"x":102,"y":196,"width":779,"height":11}},{"id":"928df853-b10f-41e8-b873-a2678ea024ff","block_type":"box","text":"BofA Index. ICE has no obligation to take the needs of any particular Fund or its participants or any other product or","page_number":72,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"c08ad3dd-4f43-4f5b-ae62-7f7f62555b81","block_type":"box","text":"person into consideration in determining, composing or calculating an ICE BofA Index.","page_number":72,"box":{"x":70,"y":226,"width":608,"height":11}},{"id":"5d782f39-959f-4f81-94d4-572437277472","block_type":"box","text":"Indexed and Inverse Securities.","page_number":72,"box":{"x":102,"y":249,"width":228,"height":9}},{"id":"d8166cab-a30a-4def-b6c0-7317ffb9017a","block_type":"box","text":"A Fund may invest in securities that provide a potential return based on a","page_number":72,"box":{"x":336,"y":249,"width":523,"height":11}},{"id":"e416ef9b-934a-46e5-bef2-e255e810372b","block_type":"box","text":"particular index of value or interest rates. For example, a Fund may invest in securities that pay interest based on an","page_number":72,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"38ad0d80-2dc0-4f71-b5d7-0924deacecdc","block_type":"box","text":"index of interest rates. The principal amount payable upon maturity of certain securities also may be based on the","page_number":72,"box":{"x":70,"y":279,"width":814,"height":11}},{"id":"aa09824f-ff6c-4d1d-a266-b3676a112af9","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":72,"box":{"x":68,"y":294,"width":830,"height":11}},{"id":"06b573b6-5eeb-4346-b700-4df2163d872a","block_type":"box","text":"be subject to risk with respect to the value of the particular index: that is, if the value of the index falls, the value of","page_number":72,"box":{"x":69,"y":309,"width":827,"height":11}},{"id":"5e00eb5f-248d-4c5a-aa2a-a3129988cc4f","block_type":"box","text":"the indexed securities owned by the Fund will fall. Interest and principal payable on certain securities may also be","page_number":72,"box":{"x":68,"y":324,"width":812,"height":11}},{"id":"05e3a5f5-e6f1-414d-8020-7f038685e798","block_type":"box","text":"based on relative changes among particular indices. A Fund may also invest in so-called “inverse floating obligations”","page_number":72,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"96734e98-da4b-416b-a197-92242c2509be","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":72,"box":{"x":69,"y":355,"width":781,"height":11}},{"id":"b557c04a-2399-43c1-b552-1930dddc8bf7","block_type":"box","text":"periodically by a Dutch auction, a remarketing agent, or by reference to a short-term tax-exempt interest rate index). A","page_number":72,"box":{"x":70,"y":370,"width":838,"height":11}},{"id":"1bd4b3ab-58b4-4a52-a41e-ac4c3f1fcdc4","block_type":"box","text":"Fund may purchase synthetically-created inverse floating rate bonds evidenced by custodial or trust receipts.","page_number":72,"box":{"x":70,"y":385,"width":771,"height":11}},{"id":"4a2a8352-b48b-43c4-bf58-c6bbd8503d3d","block_type":"box","text":"Generally, income on inverse floating rate bonds will decrease when interest rates increase, and will increase when","page_number":72,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"ca55cee7-3958-4d4d-a262-c8f9dc434b82","block_type":"box","text":"interest rates decrease. Such securities have the effect of providing a degree of investment leverage, since they may","page_number":72,"box":{"x":70,"y":415,"width":835,"height":11}},{"id":"ecd2855b-9e45-438e-8a1d-fea493611329","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":72,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"154b05e7-29f5-4ea4-86e8-6ad73d7b9467","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":72,"box":{"x":69,"y":445,"width":829,"height":12}},{"id":"b393d29c-2baa-4b5b-b6fd-29fabe1b633d","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":72,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"c5b35d3a-0401-4ae4-aa72-0ef168785fe0","block_type":"box","text":"seek to limit the volatility of these securities, a Fund may purchase inverse floating obligations that have shorter-term","page_number":72,"box":{"x":69,"y":475,"width":838,"height":12}},{"id":"da7912c1-4fd9-4200-aae0-1a5b1be402c9","block_type":"box","text":"maturities or that contain limitations on the extent to which the interest rate may vary. Certain investments in such","page_number":72,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"7f1bf28f-cf1f-474c-b542-8873171f9ebd","block_type":"box","text":"obligations may be illiquid. The Manager believes that indexed and inverse floating obligations represent flexible","page_number":72,"box":{"x":69,"y":506,"width":798,"height":11}},{"id":"03d337bf-9b0a-4d13-b393-8cc320b941bb","block_type":"box","text":"portfolio management instruments for a Fund that allow the Fund to seek potential investment rewards, hedge other","page_number":72,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"af74b481-f14f-446d-8339-dc8f95aeb973","block_type":"box","text":"portfolio positions or vary the degree of investment leverage relatively efficiently under different market conditions. A","page_number":72,"box":{"x":70,"y":536,"width":834,"height":11}},{"id":"24346620-aba1-40fa-940d-bc01732d8861","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":72,"box":{"x":70,"y":551,"width":839,"height":11}},{"id":"fa7e3385-b015-419b-be02-6e2a22490c7d","block_type":"box","text":"hedging purposes, indexed and inverse securities involve correlation risk. Furthermore, where such a security","page_number":72,"box":{"x":69,"y":566,"width":781,"height":11}},{"id":"48cf8e3c-a023-49fe-a6cc-ddbae5151c19","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":72,"box":{"x":70,"y":581,"width":812,"height":12}},{"id":"49b357dc-453b-4b66-ba32-9a042a3a4750","block_type":"box","text":"may be required to pay substantial additional margin to maintain the position.","page_number":72,"box":{"x":69,"y":597,"width":553,"height":11}},{"id":"f02b1d05-c24c-41c6-b7f8-a4bfcac59ee0","block_type":"box","text":"The Funds may invest up to 10% of their total assets in leveraged inverse floating rate debt instruments","page_number":72,"box":{"x":101,"y":619,"width":741,"height":11}},{"id":"44cd47bd-8588-4d97-8534-3d6979d8deb3","block_type":"box","text":"(“inverse floaters”). Inverse floaters are securities the potential of which is inversely related to changes in interest","page_number":72,"box":{"x":69,"y":634,"width":815,"height":12}},{"id":"b2d99b87-e73b-4289-9d8c-c77f66718e61","block_type":"box","text":"rates. In general, the return on inverse floaters will decrease when short-term interest rates increase and increase","page_number":72,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"9a511115-308e-480c-b650-1ed6cf08788a","block_type":"box","text":"when short-term rates decrease. Municipal tender option bonds, both taxable and tax-exempt, which may include","page_number":72,"box":{"x":68,"y":665,"width":805,"height":11}},{"id":"91278c49-aacd-496f-a7ed-81954457ac57","block_type":"box","text":"inverse floating rate debt instruments, (including residual interests thereon) are excluded from this 10% limitation.","page_number":72,"box":{"x":70,"y":680,"width":813,"height":11}},{"id":"2f59e8b2-1d97-4af1-b8a2-33c4be25b406","block_type":"box","text":"Inflation Risk.","page_number":72,"box":{"x":102,"y":702,"width":100,"height":9}},{"id":"adcbb896-14ff-4da5-aad7-5fa77712cdeb","block_type":"box","text":"Like all funds, the Funds are subject to inflation risk. Inflation risk is the risk that the present","page_number":72,"box":{"x":209,"y":702,"width":663,"height":11}},{"id":"91037386-d566-4584-a440-d2734f0d7fcf","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":72,"box":{"x":68,"y":717,"width":820,"height":12}},{"id":"b54ecaaf-dc17-4ab6-a54a-5f172d45ad74","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":72,"box":{"x":70,"y":732,"width":792,"height":11}},{"id":"fea553ef-7c76-4555-9652-365b8964e95c","block_type":"box","text":"Inflation rates may change frequently and significantly due to a number of potential factors, including, among others,","page_number":72,"box":{"x":70,"y":748,"width":829,"height":11}},{"id":"b4cecdaa-fcf0-4b1a-a71d-8f8eecd459c3","block_type":"box","text":"unexpected economic shifts or changes in fiscal or monetary policies.","page_number":72,"box":{"x":69,"y":763,"width":497,"height":11}},{"id":"8d80ffd5-0d17-4386-a2e5-e12b9c41ea3f","block_type":"box","text":"Initial Public Offering (“IPO”) Risk.","page_number":72,"box":{"x":102,"y":785,"width":253,"height":12}},{"id":"754468ac-bc1b-4222-ba23-ac3f226e4708","block_type":"box","text":"The volume of IPOs and the levels at which the newly issued stocks trade in","page_number":72,"box":{"x":361,"y":785,"width":540,"height":12}},{"id":"a20bf8d6-8e4b-428f-8fbe-0dbfcaa7dd48","block_type":"box","text":"the secondary market are affected by the performance of the stock market overall. If IPOs are brought to the market,","page_number":72,"box":{"x":68,"y":801,"width":836,"height":11}},{"id":"84620a70-bb62-4ea1-a958-427c9f54a4fc","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":72,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"c619d90e-184b-4e62-95be-fc8b65e2e381","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":72,"box":{"x":69,"y":831,"width":795,"height":11}},{"id":"047a9aa5-065d-453b-9d54-e390ff06ff5d","block_type":"box","text":"securities involved in IPOs are often subject to greater and more unpredictable price changes than more established","page_number":72,"box":{"x":69,"y":846,"width":829,"height":11}},{"id":"fe5d8e8a-a1b8-45d2-aae4-27ef4d6ffb5f","block_type":"box","text":"stocks. IPOs have the potential to produce substantial gains. A Fund may hold shares from an IPO for only a short","page_number":72,"box":{"x":69,"y":861,"width":814,"height":11}},{"id":"62c133f4-d4e4-4fb8-a19b-de956585c09a","block_type":"box","text":"period of time given possible price volatility. This may result in increased portfolio turnover and expenses, such as","page_number":72,"box":{"x":70,"y":876,"width":813,"height":11}},{"id":"ed7f03a6-9a3c-4bf4-9940-944735e490bf","block_type":"box","text":"commissions and transaction costs, and potentially result in taxable gains that the Fund will subsequently distribute","page_number":72,"box":{"x":69,"y":891,"width":828,"height":12}},{"id":"822855bd-b519-4348-9f7b-ef5d46744f29","block_type":"box","text":"to shareholders. There is no assurance that any Fund will have access to profitable IPOs and therefore investors","page_number":72,"box":{"x":68,"y":906,"width":802,"height":12}},{"id":"97ceb5c1-7934-4be4-9d62-78e9ecdd0d7f","block_type":"box","text":"II-34","page_number":72,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"04070052-6727-4fe5-9dc6-9abe559ba2dc","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":72,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"50f7856f-aa6a-4114-9fbd-da0c35e2c13a","block_type":"box","text":"should not rely on any past gains from IPOs as an indication of future performance. The investment performance of a","page_number":73,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"36d162ce-822e-4fee-a1af-62820b484348","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":73,"box":{"x":70,"y":60,"width":832,"height":11}},{"id":"70c841da-8dc2-43ae-85cf-fd785a92c9d3","block_type":"box","text":"is able to do so. In addition, as a Fund increases in size, the impact of IPOs on its performance will generally","page_number":73,"box":{"x":70,"y":75,"width":777,"height":11}},{"id":"9c5dedb7-2b7a-491d-9326-93d963b1425b","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":73,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"98b0bc6c-999c-42ad-80ea-f3be21b1e36d","block_type":"box","text":"market capitalizations. Securities issued in IPOs have no trading history, and information about the companies may","page_number":73,"box":{"x":69,"y":105,"width":823,"height":11}},{"id":"57070f4e-c161-49ea-b37f-908a80a70804","block_type":"box","text":"be available for very limited periods.","page_number":73,"box":{"x":69,"y":120,"width":257,"height":11}},{"id":"15791752-9be2-4019-8294-ddd7f2ac9c4f","block_type":"box","text":"Investment in Emerging Markets.","page_number":73,"box":{"x":102,"y":143,"width":242,"height":11}},{"id":"d91242e3-6792-44e8-9cbb-10a4eabf24f4","block_type":"box","text":"General.","page_number":73,"box":{"x":102,"y":166,"width":58,"height":9}},{"id":"d7bc2327-8a8d-4d20-be1d-72c6338b8d01","block_type":"box","text":"Certain Funds may invest in the securities of issuers domiciled in various countries with emerging capital","page_number":73,"box":{"x":102,"y":188,"width":748,"height":12}},{"id":"e4740db1-2d27-4d89-9433-4870ce5af2a0","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":73,"box":{"x":69,"y":204,"width":840,"height":11}},{"id":"52793ff7-08a5-405e-b862-6db86767dab1","block_type":"box","text":"that is (i) generally recognized to be an emerging market country by the international financial community, such as","page_number":73,"box":{"x":68,"y":218,"width":813,"height":12}},{"id":"ece2f8ad-d850-4f81-b228-96b27600b4b3","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":73,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"18c08b21-f69e-490a-8b37-b59053ae72e8","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":73,"box":{"x":69,"y":249,"width":839,"height":11}},{"id":"f3b8539a-0887-4c3a-ba14-349df4f867ad","block_type":"box","text":"index that is generally representative of emerging markets. Countries with emerging markets can be found in regions","page_number":73,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"41b5015d-7924-4dec-9890-ca8027c76d8e","block_type":"box","text":"such as Asia, Latin America, Eastern Europe and Africa.","page_number":73,"box":{"x":69,"y":279,"width":396,"height":11}},{"id":"77514d0d-4199-4436-b5de-a869a29d3f47","block_type":"box","text":"Investments in the securities of issuers domiciled in countries with emerging capital markets involve certain","page_number":73,"box":{"x":102,"y":302,"width":770,"height":11}},{"id":"1b8fe51b-c3b3-446d-886b-744260e79b4f","block_type":"box","text":"additional risks that do not generally apply to investments in securities of issuers in more developed capital markets,","page_number":73,"box":{"x":69,"y":317,"width":835,"height":11}},{"id":"51a0b226-c008-4a4b-8f1f-66757a05de43","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":73,"box":{"x":69,"y":332,"width":828,"height":11}},{"id":"ae84e129-e619-4777-b24c-e7c8d31c88c1","block_type":"box","text":"securities, as compared to securities of comparable issuers in more developed capital markets; (ii) uncertain","page_number":73,"box":{"x":69,"y":347,"width":779,"height":11}},{"id":"ca153dfc-b56a-4336-89b6-a22fd34a786b","block_type":"box","text":"national policies and social, political and economic instability, increasing the potential for expropriation of assets,","page_number":73,"box":{"x":69,"y":362,"width":809,"height":11}},{"id":"516516a5-2a2f-4c61-b550-4689566c6436","block_type":"box","text":"confiscatory taxation, high rates of inflation or unfavorable diplomatic developments; (iii) possible fluctuations in","page_number":73,"box":{"x":69,"y":377,"width":800,"height":12}},{"id":"4b19bac6-6d0d-4cf8-a606-aad7e2926401","block_type":"box","text":"exchange rates, differing legal systems and the existence or possible imposition of exchange controls, custodial","page_number":73,"box":{"x":69,"y":392,"width":800,"height":12}},{"id":"a42ebf0b-31ba-4cfc-a9ba-d49e4afb0b62","block_type":"box","text":"restrictions or other foreign or U.S. Governmental laws or restrictions applicable to such investments; (iv) national","page_number":73,"box":{"x":69,"y":407,"width":811,"height":12}},{"id":"1df41204-0402-4591-adb8-648af6eff8b5","block_type":"box","text":"policies that may limit a Fund’s investment opportunities such as restrictions on investment in issuers or industries","page_number":73,"box":{"x":70,"y":423,"width":824,"height":11}},{"id":"a9d9c381-6ed0-4d38-b341-7453a8ef29b1","block_type":"box","text":"deemed sensitive to national interests; and (v) the lack or relatively early development of legal structures governing","page_number":73,"box":{"x":69,"y":438,"width":823,"height":11}},{"id":"0a79b6b7-516f-4ca7-88f9-3fb10116a245","block_type":"box","text":"private and foreign investments and private property. In addition to withholding taxes on investment income, some","page_number":73,"box":{"x":70,"y":453,"width":813,"height":11}},{"id":"8072e78c-a609-486e-8556-e4e61673f372","block_type":"box","text":"countries with emerging markets may impose differential capital gains taxes on foreign investors.","page_number":73,"box":{"x":69,"y":468,"width":694,"height":11}},{"id":"fe9464a8-e9b9-4e45-ba45-03e57a079d38","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":73,"box":{"x":102,"y":491,"width":767,"height":11}},{"id":"336a73e4-75c7-4bde-a519-fb5398b84f16","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":73,"box":{"x":69,"y":506,"width":814,"height":11}},{"id":"40694c43-1f63-4abb-8150-f8606dd48936","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":73,"box":{"x":69,"y":521,"width":792,"height":11}},{"id":"18b7f55b-9e2a-4c1c-ad7b-38fbc1d857fa","block_type":"box","text":"markets will continue to present viable investment opportunities for a Fund. In the past, governments of such nations","page_number":73,"box":{"x":69,"y":536,"width":838,"height":11}},{"id":"e05a7f46-32be-4de3-9980-292edf0f37fa","block_type":"box","text":"have expropriated substantial amounts of private property, and most claims of the property owners have never been","page_number":73,"box":{"x":69,"y":551,"width":828,"height":11}},{"id":"e3969aaf-d6ad-4fb5-9ca1-8f5c53195587","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":73,"box":{"x":68,"y":566,"width":816,"height":11}},{"id":"3ca7b3c2-5abc-495f-96f8-eb51304d97dc","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":73,"box":{"x":70,"y":581,"width":802,"height":11}},{"id":"c1dbee1b-e903-404a-81a1-4b8936299509","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":73,"box":{"x":70,"y":596,"width":838,"height":12}},{"id":"48fafcc7-b0f8-48d1-8995-505661d2ba69","block_type":"box","text":"or social developments may affect the value of investments in these countries and the availability to a Fund of","page_number":73,"box":{"x":69,"y":612,"width":788,"height":11}},{"id":"d0f3b7fe-bd16-431a-9d95-90af2aeac95b","block_type":"box","text":"additional investments. The small size and inexperience of the securities markets in certain of these countries and","page_number":73,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"d18eb542-f985-40d8-9768-080a5be8b6ea","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":73,"box":{"x":68,"y":642,"width":838,"height":11}},{"id":"597cd377-b140-467f-8e8b-50f171990962","block_type":"box","text":"volatile than investments in more established markets.","page_number":73,"box":{"x":68,"y":657,"width":392,"height":9}},{"id":"66807dc2-020f-4a61-9ba2-3b384be5f1b6","block_type":"box","text":"Also, there may be less publicly available information about issuers in emerging markets than would be available","page_number":73,"box":{"x":101,"y":680,"width":805,"height":11}},{"id":"a875cae6-9a71-4cd0-86e7-47a8de40bdc4","block_type":"box","text":"about issuers in more developed capital markets, and such issuers may not be subject to accounting, auditing and","page_number":73,"box":{"x":69,"y":695,"width":818,"height":11}},{"id":"8adbe8bc-85e3-4cad-8c6f-05f927030230","block_type":"box","text":"financial reporting standards and requirements comparable to those to which U.S. companies are subject. In certain","page_number":73,"box":{"x":68,"y":710,"width":831,"height":11}},{"id":"d345bea2-41c4-4cee-a3f4-a7cbd392e882","block_type":"box","text":"countries with emerging capital markets, reporting standards vary widely. As a result, traditional investment","page_number":73,"box":{"x":69,"y":725,"width":768,"height":11}},{"id":"109bcf3b-22d1-43c4-80b9-43c5170cc9d5","block_type":"box","text":"measurements used in the United States, such as price/earnings ratios, may not be applicable. Emerging market","page_number":73,"box":{"x":69,"y":740,"width":811,"height":11}},{"id":"2d7783d1-33b7-4f32-b1d2-045aab8d2b48","block_type":"box","text":"securities may be substantially less liquid than, and more volatile than, those of mature markets, and company","page_number":73,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"97499cd4-8d04-48e4-ad58-96d599cecda4","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":73,"box":{"x":69,"y":770,"width":814,"height":12}},{"id":"e3f5193f-0f49-4b47-8fb8-4cb8257f8904","block_type":"box","text":"acquisition or disposal of securities.","page_number":73,"box":{"x":69,"y":785,"width":257,"height":11}},{"id":"496effea-8bf5-41f0-9f29-8e61da7c187f","block_type":"box","text":"Practices in relation to settlement of securities transactions in emerging markets involve higher risks than those","page_number":73,"box":{"x":102,"y":808,"width":800,"height":11}},{"id":"f9360c8d-c89f-425e-b296-c384d659445c","block_type":"box","text":"in developed markets, in part because a Fund will need to use brokers and counterparties that are less well","page_number":73,"box":{"x":70,"y":823,"width":769,"height":11}},{"id":"97efbdba-fc0d-4552-ba67-dc3edfc346f5","block_type":"box","text":"capitalized, and custody and registration of assets in some countries may be unreliable. The possibility of fraud,","page_number":73,"box":{"x":69,"y":838,"width":798,"height":12}},{"id":"5c598eac-a4b1-4c31-a4b8-4ac17506c1d5","block_type":"box","text":"negligence, undue influence being exerted by the issuer or refusal to recognize ownership exists in some emerging","page_number":73,"box":{"x":69,"y":853,"width":819,"height":12}},{"id":"393db1da-a82f-4930-a925-1e6b9660646b","block_type":"box","text":"markets, and, along with other factors, could result in ownership registration being completely lost. A Fund would","page_number":73,"box":{"x":69,"y":869,"width":804,"height":11}},{"id":"62c945ae-24df-4b4d-910a-1af7c03f1afb","block_type":"box","text":"absorb any loss resulting from such registration problems and may have no successful claim for compensation.","page_number":73,"box":{"x":69,"y":884,"width":794,"height":11}},{"id":"8c1747e4-ddfb-42ca-8a32-a079961d3220","block_type":"box","text":"II-35","page_number":73,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"19a10915-e14b-4bbc-bcf1-1b02d76605bd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":73,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"54239f3b-a3a5-4bae-9c82-eb7bdff09411","block_type":"box","text":"Investment in non-dollar denominated securities including securities from issuers located in emerging market","page_number":74,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"94f94381-0983-4064-a394-aad85ba60d65","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":74,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"4ea48999-adfc-4d51-a3ac-9e4a6e01ee7d","block_type":"box","text":"foreign currencies pending investment or conversion into U.S. dollars. Some of these instruments may have the","page_number":74,"box":{"x":68,"y":75,"width":797,"height":11}},{"id":"8a2ea1c0-f232-4cb8-b65d-0a30625e1cd0","block_type":"box","text":"characteristics of futures contracts. In addition, certain Funds may engage in foreign currency exchange transactions","page_number":74,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"19c82ed7-a943-4141-a571-7f3112c128db","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":74,"box":{"x":68,"y":105,"width":799,"height":11}},{"id":"f0d3f3a1-c25c-444f-a87c-55ef5812598b","block_type":"box","text":"performance. These investments and transactions involving foreign securities, currencies, options (including options","page_number":74,"box":{"x":70,"y":120,"width":829,"height":12}},{"id":"7afb6c6c-3f6c-48b4-be2b-10b6d1f2f8ff","block_type":"box","text":"that relate to foreign currencies), futures, hedging and cross-hedging are described under “Derivatives.”","page_number":74,"box":{"x":68,"y":135,"width":740,"height":12}},{"id":"1abe3562-0fcd-4db7-ae76-6d6224a878c0","block_type":"box","text":"Risks of Investing in Asia-Pacific Countries.","page_number":74,"box":{"x":102,"y":158,"width":305,"height":11}},{"id":"7eb5ef46-314b-4021-9675-fc122f12af88","block_type":"box","text":"In addition to the risks of foreign investing and the risks of investing","page_number":74,"box":{"x":414,"y":158,"width":485,"height":11}},{"id":"469a7f24-ab82-43ce-99f7-7ec5cabc64fb","block_type":"box","text":"in developing markets, the developing market Asia-Pacific countries in which a Fund may invest are subject to certain","page_number":74,"box":{"x":70,"y":173,"width":832,"height":11}},{"id":"439cf9b9-c1b5-482c-bca4-030bc62142c8","block_type":"box","text":"additional or specific risks. Certain Funds may make substantial investments in Asia-Pacific countries. In many of","page_number":74,"box":{"x":69,"y":188,"width":808,"height":11}},{"id":"8398871c-a5dd-48c3-8d38-3c837d77a032","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":74,"box":{"x":68,"y":203,"width":838,"height":12}},{"id":"14c25b3e-fd4c-44ed-b4c2-feca9aa5f325","block_type":"box","text":"representing a limited number of industries, as well as a high concentration of investors and financial intermediaries.","page_number":74,"box":{"x":69,"y":218,"width":834,"height":12}},{"id":"deb0a68e-cc06-412e-a4fd-53fc981aacb2","block_type":"box","text":"Many of these markets also may be affected by developments with respect to more established markets in the","page_number":74,"box":{"x":70,"y":234,"width":791,"height":11}},{"id":"2fdd4dd3-0727-4c06-82f9-87d810610069","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":74,"box":{"x":69,"y":249,"width":804,"height":11}},{"id":"d1685a30-fb0e-4854-805f-9360cc0562cc","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":74,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"0dc83096-efaf-4a6c-8279-8aa2cec7c539","block_type":"box","text":"requirements for open-end investment companies and the restrictions on foreign investment discussed below, result","page_number":74,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"236792ce-73f9-4f19-8b4f-b7f9d1214bf4","block_type":"box","text":"in potentially fewer investment opportunities for a Fund and may have an adverse impact on the investment","page_number":74,"box":{"x":70,"y":294,"width":766,"height":11}},{"id":"6a856247-5564-4efd-873b-32325c3d5f9a","block_type":"box","text":"performance of the Fund.","page_number":74,"box":{"x":70,"y":309,"width":179,"height":11}},{"id":"1c652e19-af62-4b5b-96ca-a3284fdd531c","block_type":"box","text":"Many of the developing market Asia-Pacific countries may be subject to a greater degree of economic, political","page_number":74,"box":{"x":102,"y":332,"width":784,"height":11}},{"id":"43d7c56c-811f-4015-b5d0-5c47ad1c6c08","block_type":"box","text":"and social instability than is the case in the United States and Western European countries. Such instability may","page_number":74,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"26213732-fb68-4423-866c-7b1819e45430","block_type":"box","text":"result from, among other things: (i) authoritarian governments or military involvement in political and economic","page_number":74,"box":{"x":69,"y":362,"width":788,"height":11}},{"id":"9c66c348-7b30-4ace-90bc-dcc36e899084","block_type":"box","text":"decision-making, including changes in government through extra-constitutional means; (ii) popular unrest associated","page_number":74,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"1ae722b3-c296-4b46-a381-37763f66d01b","block_type":"box","text":"with demands for improved political, economic and social conditions; (iii) internal insurgencies; (iv) hostile relations","page_number":74,"box":{"x":68,"y":392,"width":823,"height":12}},{"id":"3f26aef7-1a4f-414c-8adb-31d476418e40","block_type":"box","text":"with neighboring countries; and (v) ethnic, religious and racial disaffection. In addition, the governments of many of","page_number":74,"box":{"x":68,"y":407,"width":822,"height":12}},{"id":"3643b117-bce3-4a9a-a03e-0ecd106f7652","block_type":"box","text":"such countries, such as Indonesia, have a substantial role in regulating and supervising the economy. Another risk","page_number":74,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"644bb606-35d9-4db3-a3ed-6fdcea104416","block_type":"box","text":"common to most such countries is that the economy is heavily export oriented and, accordingly, is dependent upon","page_number":74,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"e562c5ea-dcfa-448e-871f-7a7c1ef8ace1","block_type":"box","text":"international trade. The existence of overburdened infrastructure and obsolete financial systems also presents risks","page_number":74,"box":{"x":70,"y":453,"width":827,"height":11}},{"id":"09a63174-9534-41c0-88a4-8198ffa2f675","block_type":"box","text":"in certain countries, as do environmental problems. Certain economies also depend to a significant degree upon","page_number":74,"box":{"x":70,"y":468,"width":803,"height":11}},{"id":"4a3919e5-0d42-42bb-8c8e-32bd97188430","block_type":"box","text":"exports of primary commodities and, therefore, are vulnerable to changes in commodity prices that, in turn, may be","page_number":74,"box":{"x":69,"y":483,"width":824,"height":11}},{"id":"db64ff0b-4aa7-4845-a139-69d1fa7d27ce","block_type":"box","text":"affected by a variety of factors.","page_number":74,"box":{"x":69,"y":498,"width":220,"height":11}},{"id":"4cfe068c-3354-4dd1-b425-8ff24754f363","block_type":"box","text":"The legal systems in certain developing market Asia-Pacific countries also may have an adverse impact on the","page_number":74,"box":{"x":101,"y":521,"width":785,"height":11}},{"id":"befb5e46-1a8d-446e-852c-4c8ddf604760","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":74,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"f91aefc3-05f3-4319-8e24-201c41bf992c","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":74,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"0c5976fa-d01f-41bf-be10-444da20c9898","block_type":"box","text":"clear in certain emerging market Asia-Pacific countries. Similarly, the rights of investors in developing market Asia","page_number":74,"box":{"x":69,"y":566,"width":813,"height":11}},{"id":"40d253ab-acf4-4bd9-bebb-cdc13e43aabb","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":74,"box":{"x":69,"y":581,"width":777,"height":11}},{"id":"d7a581bb-4092-4a9a-9049-d1d5b182c038","block_type":"box","text":"impossible to obtain and/or enforce a judgment in a developing market Asia-Pacific country.","page_number":74,"box":{"x":70,"y":596,"width":652,"height":12}},{"id":"4a80fa3a-4c48-4fb2-83d4-1c3dc7e90d3b","block_type":"box","text":"Governments of many developing market Asia-Pacific countries have exercised and continue to exercise","page_number":74,"box":{"x":102,"y":619,"width":737,"height":11}},{"id":"9deef1c9-9d97-4ecb-a443-4ba7becb4728","block_type":"box","text":"substantial influence over many aspects of the private sector. In certain cases, the government owns or controls","page_number":74,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"27249572-1f43-4630-ad7e-dfcbd3261a69","block_type":"box","text":"many companies, including the largest in the country. Accordingly, government actions in the future could have a","page_number":74,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"62d6afdd-32ac-4bc2-a881-f042d779e937","block_type":"box","text":"significant effect on economic conditions in developing market Asia-Pacific countries, which could affect private","page_number":74,"box":{"x":69,"y":664,"width":793,"height":12}},{"id":"fd6471dd-ffe6-4df1-a0b4-dbf9ad3a1967","block_type":"box","text":"sector companies and a Fund itself, as well as the value of securities in the Fund’s portfolio. In addition, economic","page_number":74,"box":{"x":69,"y":680,"width":820,"height":11}},{"id":"e8af130b-0dba-4690-9a80-e8830f29b723","block_type":"box","text":"statistics of developing market Asia-Pacific countries may be less reliable than economic statistics of more developed","page_number":74,"box":{"x":69,"y":695,"width":839,"height":11}},{"id":"956e4cd0-53f2-47b5-bf3a-00667ce6e651","block_type":"box","text":"nations.","page_number":74,"box":{"x":69,"y":710,"width":56,"height":9}},{"id":"2ab74395-6272-4894-98d9-f7ab22292876","block_type":"box","text":"In addition to the relative lack of publicly available information about developing market Asia-Pacific issuers and","page_number":74,"box":{"x":102,"y":732,"width":794,"height":12}},{"id":"fa465975-a751-4790-9777-f227fc78bff8","block_type":"box","text":"the possibility that such issuers may not be subject to the same accounting, auditing and financial reporting","page_number":74,"box":{"x":68,"y":748,"width":773,"height":11}},{"id":"59d09f58-10a8-4c27-b834-faf91157e6d4","block_type":"box","text":"standards as U.S. companies, inflation accounting rules in some developing market Asia-Pacific countries require","page_number":74,"box":{"x":69,"y":763,"width":808,"height":11}},{"id":"21c303d7-c90d-4ea2-928a-ed829e8b638b","block_type":"box","text":"companies that keep accounting records in the local currency, for both tax and accounting purposes, to restate","page_number":74,"box":{"x":69,"y":778,"width":791,"height":11}},{"id":"be0dc731-32db-4c33-a502-2746c496f658","block_type":"box","text":"certain assets and liabilities on the company’s balance sheet in order to express items in terms of currency of","page_number":74,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"4dfb9a1c-7b1e-465e-998a-78065535d9b1","block_type":"box","text":"constant purchasing power. Inflation accounting may indirectly generate losses or profits for certain developing","page_number":74,"box":{"x":69,"y":808,"width":790,"height":11}},{"id":"0d6fe5fa-de9f-49a6-a87a-cf62171f5b47","block_type":"box","text":"market Asia-Pacific companies.","page_number":74,"box":{"x":69,"y":823,"width":220,"height":11}},{"id":"f1cecffa-e5ef-4287-8c95-89cc2954858e","block_type":"box","text":"Satisfactory custodial services for investment securities may not be available in some developing Asia-Pacific","page_number":74,"box":{"x":102,"y":846,"width":780,"height":11}},{"id":"306e2570-1cb5-4e34-bfa9-609da7e624f8","block_type":"box","text":"countries, which may result in the Fund incurring additional costs and delays in providing transportation and custody","page_number":74,"box":{"x":69,"y":861,"width":829,"height":11}},{"id":"11801c96-364b-4129-99d7-3f8b9a28ef62","block_type":"box","text":"services for such securities outside such countries.","page_number":74,"box":{"x":69,"y":876,"width":367,"height":9}},{"id":"34cb49c6-8bcb-4994-8f32-f69bbac8046e","block_type":"box","text":"II-36","page_number":74,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c2f49cbd-b63c-491f-9579-88bc99382438","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":74,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"be9e8c7d-5ee6-4df6-b8b1-f893390cf426","block_type":"box","text":"Certain developing Asia-Pacific countries, such as the Philippines, India and Turkey, are especially large debtors","page_number":75,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"d88f9102-367a-4489-8cc7-0970030a2b88","block_type":"box","text":"to commercial banks and foreign governments.","page_number":75,"box":{"x":68,"y":60,"width":335,"height":11}},{"id":"cee30864-3c01-4fb6-8f62-daba35643a62","block_type":"box","text":"Natural disasters in Asia-Pacific countries, and the resulting damage, could have a severe and negative impact","page_number":75,"box":{"x":102,"y":82,"width":788,"height":12}},{"id":"c70c8caa-a7d7-4d43-b39b-2c358028d744","block_type":"box","text":"on a Fund’s investment portfolio and, in the longer term, could impair the ability of issuers in which the Fund invests","page_number":75,"box":{"x":69,"y":98,"width":830,"height":11}},{"id":"faf15321-fd61-4f98-bd18-194677efa7ef","block_type":"box","text":"to conduct their businesses in the manner normally conducted.","page_number":75,"box":{"x":68,"y":113,"width":450,"height":11}},{"id":"40003ea5-609e-4aa1-812f-afab7492c936","block_type":"box","text":"Fund management may determine that, notwithstanding otherwise favorable investment criteria, it may not be","page_number":75,"box":{"x":102,"y":135,"width":782,"height":12}},{"id":"b326b377-d4b7-4fc6-b7c7-c292e91b24b4","block_type":"box","text":"practicable or appropriate to invest in a particular developing Asia-Pacific country. A Fund may invest in countries in","page_number":75,"box":{"x":70,"y":150,"width":819,"height":12}},{"id":"990a1219-5dce-4844-81fb-3b13397fb07f","block_type":"box","text":"which foreign investors, including management of the Fund, have had no or limited prior experience.","page_number":75,"box":{"x":68,"y":166,"width":711,"height":11}},{"id":"f563428d-81e0-42ab-9a6f-16660cc97159","block_type":"box","text":"Restrictions on Foreign Investments in Asia-Pacific Countries.","page_number":75,"box":{"x":102,"y":188,"width":435,"height":12}},{"id":"1fe217b7-d1be-4b09-959a-ab7faafa10ce","block_type":"box","text":"Some developing Asia-Pacific countries prohibit or","page_number":75,"box":{"x":543,"y":188,"width":355,"height":12}},{"id":"15f1db11-acb5-4e43-8d36-fbe5075c5132","block_type":"box","text":"impose substantial restrictions on investments in their capital markets, particularly their equity markets, by foreign","page_number":75,"box":{"x":70,"y":203,"width":817,"height":12}},{"id":"da50103d-8f45-4ab4-91d8-7147b82a0c15","block_type":"box","text":"entities such as a Fund. As illustrations, certain countries may require governmental approval prior to investments by","page_number":75,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"ab10953f-120b-4615-9c7b-350a54715bc3","block_type":"box","text":"foreign persons or limit the amount of investment by foreign persons in a particular company or limit the investment","page_number":75,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"e46730ce-dead-4354-b5c5-f27fe75b18b6","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":75,"box":{"x":69,"y":249,"width":794,"height":11}},{"id":"0f89f2d4-4e81-4775-94c6-a8940a7248ca","block_type":"box","text":"(including price and shareholder rights) than securities of the company available for purchase by nationals. There can","page_number":75,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"069a8b4e-23c0-4e43-8923-3554ee61a441","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":75,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"24b73418-2dba-4340-8102-3be1ca12dd9d","block_type":"box","text":"changes to restrictions on foreign ownership of securities subsequent to a Fund’s purchase of such securities may","page_number":75,"box":{"x":69,"y":294,"width":820,"height":11}},{"id":"0b46cfaa-910c-4af1-9a68-2bb4d1e94c04","block_type":"box","text":"have an adverse effect on the value of such shares. Certain countries may restrict investment opportunities in","page_number":75,"box":{"x":69,"y":309,"width":788,"height":11}},{"id":"4bfae034-5072-4c0c-9ef4-2c9323162a2e","block_type":"box","text":"issuers or industries deemed important to national interests.","page_number":75,"box":{"x":70,"y":325,"width":434,"height":10}},{"id":"7ca6ebbc-8d05-4822-ac70-79c796297787","block_type":"box","text":"The manner in which foreign investors may invest in companies in certain developing Asia-Pacific countries, as","page_number":75,"box":{"x":101,"y":347,"width":787,"height":11}},{"id":"b61f6058-c5df-4e86-9821-53bd373cc44d","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":75,"box":{"x":68,"y":362,"width":833,"height":11}},{"id":"c2014a33-3417-47d6-b102-953aec68ed91","block_type":"box","text":"a Fund may be required in certain of such countries to invest initially through a local broker or other entity and then","page_number":75,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"9d463e9c-aca2-462b-9378-7b4d1b5e3123","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":75,"box":{"x":69,"y":392,"width":831,"height":12}},{"id":"913069dd-3387-4b67-964e-a124b9257457","block_type":"box","text":"to occur on a timely basis, resulting in a delay during which a Fund may be denied certain of its rights as an investor,","page_number":75,"box":{"x":68,"y":407,"width":834,"height":12}},{"id":"38e9218f-3867-4b36-b135-bd9823f52db4","block_type":"box","text":"including rights as to dividends or to be made aware of certain corporate actions. There also may be instances where","page_number":75,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"87c14bf6-49ee-4e8e-9abe-11b0a90debb1","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":75,"box":{"x":69,"y":438,"width":800,"height":11}},{"id":"b9584bb8-deb4-4385-bba8-4cf7021b6ff7","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":75,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"7b394a87-628c-4543-97ca-17f42afd1a93","block_type":"box","text":"investment at that time.","page_number":75,"box":{"x":70,"y":468,"width":168,"height":9}},{"id":"092ad8c0-a97a-4a40-a6fb-a500a1638bfc","block_type":"box","text":"Substantial limitations may exist in certain countries with respect to a Fund’s ability to repatriate investment","page_number":75,"box":{"x":102,"y":491,"width":774,"height":11}},{"id":"a250b9a3-6f17-43b4-af53-46d6f4334b53","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":75,"box":{"x":70,"y":506,"width":803,"height":11}},{"id":"9f6054c1-42cd-40e9-929d-95681dd413b9","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":75,"box":{"x":69,"y":521,"width":789,"height":11}},{"id":"dfbd6879-96b7-415f-ab7a-48fbc455b4d2","block_type":"box","text":"application to the Fund of any restrictions on investments. It is possible that certain countries may impose currency","page_number":75,"box":{"x":69,"y":536,"width":826,"height":11}},{"id":"fe55b528-70d7-41ca-9681-ceee9af5b4aa","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":75,"box":{"x":69,"y":551,"width":818,"height":11}},{"id":"1bc91c70-c578-43d7-857e-e56a395da796","block_type":"box","text":"that such restrictions have the effect of making certain investments illiquid, securities may not be available for sale","page_number":75,"box":{"x":68,"y":566,"width":826,"height":11}},{"id":"98fc3f39-be1a-41dc-b623-070b4a612442","block_type":"box","text":"to meet redemptions. Depending on a variety of financial factors, the percentage of a Fund’s portfolio subject to","page_number":75,"box":{"x":68,"y":581,"width":800,"height":12}},{"id":"bffa3410-eb8f-4698-bf48-1e4d5fc5bf5b","block_type":"box","text":"currency controls may increase. In the event other countries impose similar controls, the portion of the Fund’s assets","page_number":75,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"3ab88aed-45f0-40a6-a5a0-079c5d1c00c1","block_type":"box","text":"that may be used to meet redemptions may be further decreased. Even where there is no outright restriction on","page_number":75,"box":{"x":68,"y":612,"width":798,"height":11}},{"id":"1b199e09-df2a-4860-9744-f22e5dddd5ac","block_type":"box","text":"repatriation of capital, the mechanics of repatriation may affect certain aspects of the operations of a Fund (for","page_number":75,"box":{"x":69,"y":627,"width":795,"height":11}},{"id":"7842fccf-b4d3-4dc9-90fc-febc600d1468","block_type":"box","text":"example, if funds may be withdrawn only in certain currencies and/or only at an exchange rate established by the","page_number":75,"box":{"x":69,"y":642,"width":808,"height":11}},{"id":"2ac65b28-1960-427b-a66e-9450ff2a5e7d","block_type":"box","text":"government).","page_number":75,"box":{"x":68,"y":657,"width":92,"height":11}},{"id":"c1035517-7f3f-481a-8106-914e08fd4f5c","block_type":"box","text":"In certain countries, banks or other financial institutions may be among the leading companies or have actively","page_number":75,"box":{"x":102,"y":680,"width":790,"height":11}},{"id":"105ca90d-2fce-4350-ba9c-ff7303e38e5c","block_type":"box","text":"traded securities available for investment. The Investment Company Act restricts a Fund’s investments in any equity","page_number":75,"box":{"x":68,"y":695,"width":828,"height":11}},{"id":"05aa3992-67b0-4833-9050-fbc77598583c","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":75,"box":{"x":69,"y":710,"width":808,"height":11}},{"id":"0190b985-3cc3-4386-87bc-8cea0388f2ce","block_type":"box","text":"related activities,” as defined by the rules thereunder. These provisions may restrict a Fund’s investments in certain","page_number":75,"box":{"x":69,"y":725,"width":829,"height":11}},{"id":"5f1fd29a-2fb3-4ea9-af14-ee65409ed75d","block_type":"box","text":"foreign banks and other financial institutions.","page_number":75,"box":{"x":68,"y":740,"width":322,"height":11}},{"id":"e9fd4372-6e11-4af2-83b7-9ce519fa2e1d","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":75,"box":{"x":102,"y":763,"width":767,"height":11}},{"id":"faa1b3e7-72c4-45f3-a8a6-3bd3b338b483","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":75,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"82c57511-95c8-4bdf-b22b-0947614d4cb3","block_type":"box","text":"developed countries. Some of these countries may have in the past failed to recognize private property rights and","page_number":75,"box":{"x":69,"y":793,"width":809,"height":11}},{"id":"b4d0e60b-aea2-48ea-8e55-1b7bf06bb875","block_type":"box","text":"have at times nationalized or expropriated the assets of private companies. As a result the risks described above,","page_number":75,"box":{"x":69,"y":808,"width":812,"height":11}},{"id":"efc1498f-b655-413c-a02a-e2728cc89578","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":75,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"175b19e6-52c3-46c8-9be3-03d39eece034","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":75,"box":{"x":69,"y":838,"width":788,"height":11}},{"id":"373e6667-39ad-445a-a353-c60392d37f77","block_type":"box","text":"additional investments in emerging market countries. The small size and inexperience of the securities markets in","page_number":75,"box":{"x":69,"y":853,"width":812,"height":12}},{"id":"dec48154-acf4-4aa6-8947-e012101f4a2b","block_type":"box","text":"certain of these countries and the limited volume of trading in securities in these countries may make investments in","page_number":75,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"35255db2-72fb-43e7-9b2a-c794af273c00","block_type":"box","text":"the countries illiquid and more volatile than investments in Japan or most Western European countries. There may be","page_number":75,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"e8d5df3b-48ba-4a61-a5ee-cfc728741025","block_type":"box","text":"II-37","page_number":75,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"86543e11-680f-4c7b-86e9-3a3d372cb7dd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":75,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3b27bd93-fd32-4c28-b355-86bfd3aa695c","block_type":"box","text":"little financial or accounting information available with respect to issuers located in certain emerging market","page_number":76,"box":{"x":70,"y":45,"width":771,"height":11}},{"id":"d76cf75c-5ee2-4608-aa55-4d8a0f712e86","block_type":"box","text":"countries, and it may be difficult to assess the value or prospects of an investment in such issuers.","page_number":76,"box":{"x":69,"y":60,"width":711,"height":11}},{"id":"83ab885b-5e69-4947-900c-f2a479371f1e","block_type":"box","text":"The expense ratios of the Funds investing significantly in foreign securities can be expected to be higher than","page_number":76,"box":{"x":101,"y":82,"width":779,"height":12}},{"id":"1df4222a-1551-4858-83ba-fdf365482bbe","block_type":"box","text":"those of Funds investing primarily in domestic securities. The costs attributable to investing abroad are usually higher","page_number":76,"box":{"x":68,"y":98,"width":840,"height":11}},{"id":"abe92769-32cb-4b0f-af49-48eb7d574da6","block_type":"box","text":"for several reasons, such as the higher cost of custody of foreign securities, higher commissions paid on comparable","page_number":76,"box":{"x":68,"y":113,"width":838,"height":11}},{"id":"d0f9de6c-c8aa-4f28-9f0e-fa1191831fa3","block_type":"box","text":"transactions on foreign markets and additional costs arising from delays in settlements of transactions involving","page_number":76,"box":{"x":68,"y":128,"width":802,"height":11}},{"id":"65781b74-f553-4e36-ac38-edbd5f0e2b24","block_type":"box","text":"foreign securities.","page_number":76,"box":{"x":68,"y":143,"width":127,"height":11}},{"id":"64366b20-3104-4fc1-92ca-0afdc8a4435d","block_type":"box","text":"Risks of Investments in Russia.","page_number":76,"box":{"x":102,"y":166,"width":224,"height":9}},{"id":"e7af8d43-d9a0-4d59-862f-ac6987dc755f","block_type":"box","text":"A Fund may invest a portion of its assets in securities issued by companies","page_number":76,"box":{"x":332,"y":166,"width":539,"height":11}},{"id":"ad7872cf-3678-4bcb-8087-2a6daf931c8a","block_type":"box","text":"located in Russia. The Russian securities market suffers from a variety of problems described above in “Investment","page_number":76,"box":{"x":70,"y":181,"width":826,"height":11}},{"id":"8d5b5f8e-c2ad-4677-928d-5d79be798fe3","block_type":"box","text":"in Emerging Markets” not encountered in more developed markets. The Russian securities market is relatively new,","page_number":76,"box":{"x":70,"y":196,"width":821,"height":11}},{"id":"6d38b5aa-ee12-489c-a907-d3a83f9dd30c","block_type":"box","text":"and a substantial portion of securities transactions in Russia are privately negotiated outside of stock exchanges.","page_number":76,"box":{"x":69,"y":211,"width":812,"height":11}},{"id":"ab48b780-b246-4682-80b7-97cb246912a1","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":76,"box":{"x":68,"y":226,"width":824,"height":11}},{"id":"9d0552da-61fe-44da-aab2-f3c8a0c62c62","block_type":"box","text":"make obtaining accurate prices on portfolio securities from independent sources more difficult than in more","page_number":76,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"b19a6cd1-3f3d-4771-bc7a-0d247367557d","block_type":"box","text":"developed markets.","page_number":76,"box":{"x":69,"y":257,"width":138,"height":10}},{"id":"a181be48-4fea-435d-8650-b29f65e66dd8","block_type":"box","text":"Because of the underdeveloped state of Russia’s securities markets and banking and telecommunication","page_number":76,"box":{"x":102,"y":279,"width":751,"height":11}},{"id":"10b2e602-4c25-433c-afb9-e74788a030d7","block_type":"box","text":"systems, settlement, clearing and registration of securities transactions are subject to additional risks. Prior to 2013,","page_number":76,"box":{"x":69,"y":294,"width":839,"height":11}},{"id":"69db304b-59f8-4589-8768-af1b2f7a332f","block_type":"box","text":"there was no central registration system for equity share registration in Russia and registration was carried out either","page_number":76,"box":{"x":68,"y":309,"width":838,"height":11}},{"id":"9e0fb9b7-8213-4b00-8a3d-f04b3b78d068","block_type":"box","text":"by the issuers themselves or by registrars located throughout Russia. These registrars may not have been subject to","page_number":76,"box":{"x":69,"y":325,"width":831,"height":11}},{"id":"2423f4a3-fcec-4197-b8b8-fc2ab9b3d712","block_type":"box","text":"effective state supervision or licensed with any governmental entity. In 2013, Russia established the National","page_number":76,"box":{"x":69,"y":339,"width":783,"height":12}},{"id":"be9cd095-d91c-4ba6-92d1-fc96aaf4472d","block_type":"box","text":"Settlement Depository (“NSD”) as a recognized central securities depository, and title to Russian equities held","page_number":76,"box":{"x":69,"y":355,"width":790,"height":11}},{"id":"c0fba22a-ac7d-4a87-a3c2-312d7edcab2c","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":76,"box":{"x":68,"y":370,"width":833,"height":11}},{"id":"46d1ff60-f0af-44e5-b57a-a4e465569d5e","block_type":"box","text":"implementation of the NSD has enhanced the efficiency and transparency of the Russian securities market, loss still","page_number":76,"box":{"x":70,"y":385,"width":831,"height":11}},{"id":"e292cc10-93d0-4d8d-a17c-6cf5fbb783ff","block_type":"box","text":"can occur. Additionally, issuers and registrars remain prominent in the validation and approval of documentation","page_number":76,"box":{"x":69,"y":400,"width":797,"height":11}},{"id":"26889f39-df43-4093-bf09-36ea60d97a43","block_type":"box","text":"requirements for corporate action processing in Russia, and, because the documentation requirements and approval","page_number":76,"box":{"x":69,"y":415,"width":832,"height":11}},{"id":"93ab4fa2-23f0-4986-b82e-c4a0b833c9cf","block_type":"box","text":"criteria vary between registrars and issuers, there remain inconsistent market standards in the Russian market with","page_number":76,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"784f9fba-643b-416b-a383-acafc7465e87","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":76,"box":{"x":69,"y":445,"width":800,"height":11}},{"id":"d83e2458-79f6-45ee-a5a3-9e899343d074","block_type":"box","text":"relating to title or corporate actions relating to its portfolio securities, it may be difficult for the Fund to enforce its","page_number":76,"box":{"x":69,"y":460,"width":813,"height":12}},{"id":"a1f48999-c242-488c-98ef-4889c58cb0c4","block_type":"box","text":"rights or otherwise remedy the loss. Russian securities laws may not recognize foreign nominee accounts held with a","page_number":76,"box":{"x":69,"y":475,"width":836,"height":12}},{"id":"0431c383-96c4-42e9-9464-916c4d934041","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":76,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"e1ee56d6-e9d7-4e97-958e-33aaae2304d1","block_type":"box","text":"their clients. A Fund also may experience difficulty in obtaining and/or enforcing judgments in Russia.","page_number":76,"box":{"x":68,"y":506,"width":723,"height":11}},{"id":"7974b9a7-2d46-4d69-a13b-c083dce9a0ae","block_type":"box","text":"In addition, Russia continues to assert its influence in the region through economic and military measures, as it","page_number":76,"box":{"x":102,"y":528,"width":801,"height":12}},{"id":"340be9ac-4f7d-4440-8aab-bdec3062cf12","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":76,"box":{"x":69,"y":543,"width":826,"height":12}},{"id":"14debaad-56ab-4a52-8370-50e99c2ac450","block_type":"box","text":"of Ukraine on February 24, 2022. The extent and duration of the military action, resulting sanctions and resulting","page_number":76,"box":{"x":69,"y":559,"width":809,"height":11}},{"id":"05148489-5b0d-4046-9d71-e4ba731fb3b6","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":76,"box":{"x":68,"y":574,"width":821,"height":11}},{"id":"7c0c6bbe-aa11-4f40-ae16-880d57aedd61","block_type":"box","text":"are impossible to predict. Any such disruptions caused by Russian military action or other actions (including","page_number":76,"box":{"x":69,"y":589,"width":770,"height":11}},{"id":"157afb91-605a-4509-b36b-0ab5a149aff5","block_type":"box","text":"cyberattacks and espionage) or resulting actual and threatened responses to such activity, including purchasing and","page_number":76,"box":{"x":69,"y":604,"width":827,"height":11}},{"id":"9e3320db-6278-4479-a529-c28d6874d6d3","block_type":"box","text":"financing restrictions, boycotts or changes in consumer or purchaser preferences, sanctions, tariffs or cyberattacks","page_number":76,"box":{"x":68,"y":619,"width":824,"height":11}},{"id":"402ac812-4903-47ff-9cce-ca5e8529c5d5","block_type":"box","text":"on the Russian government, Russian companies or Russian individuals, including politicians, may impact Russia’s","page_number":76,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"873f1d64-38fc-4895-8242-0ee47fc0ccf4","block_type":"box","text":"economy and Russian issuers of securities in which the Fund invests. Actual and threatened responses to such","page_number":76,"box":{"x":69,"y":649,"width":795,"height":12}},{"id":"6d470537-112a-45bf-9754-011fc8cbe621","block_type":"box","text":"activity, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Russian government or Russian","page_number":76,"box":{"x":69,"y":664,"width":814,"height":12}},{"id":"e4e8533a-b80b-428f-a0e6-6fc007f3c14d","block_type":"box","text":"companies, may impact Russia’s economy and Russian issuers of securities in which the Fund invests. Actual and","page_number":76,"box":{"x":69,"y":680,"width":816,"height":11}},{"id":"ed980f8e-72cc-4033-8560-143849d9af90","block_type":"box","text":"threatened responses to such military action may also impact the markets for certain Russian commodities, such as","page_number":76,"box":{"x":68,"y":695,"width":836,"height":11}},{"id":"0d9a580a-41a1-4c3e-85ff-2ace1d5a5a15","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":76,"box":{"x":69,"y":710,"width":829,"height":11}},{"id":"a66239b4-10e4-4be7-b5bb-8ed2cb95ed2d","block_type":"box","text":"sectors globally.","page_number":76,"box":{"x":69,"y":725,"width":112,"height":11}},{"id":"2135f606-07f5-4e88-ab0d-73ee7c108960","block_type":"box","text":"Governments in the United States and many other countries (collectively, the “Sanctioning Bodies”) have","page_number":76,"box":{"x":102,"y":748,"width":745,"height":11}},{"id":"f683747e-f8f6-4b52-aa2e-3ed3a7ff0872","block_type":"box","text":"imposed economic sanctions, which can consist of prohibiting certain securities trades, certain private transactions","page_number":76,"box":{"x":70,"y":763,"width":826,"height":11}},{"id":"8c1741be-d87b-4992-8bbd-ada4d911cdcc","block_type":"box","text":"in the energy sector, asset freezes and prohibition of all business, against certain Russian individuals, including","page_number":76,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"6bfae982-1df1-41ee-b2e8-72ea31490f91","block_type":"box","text":"politicians, and Russian corporate and banking entities. The Sanctioning Bodies, or others, could also institute","page_number":76,"box":{"x":70,"y":793,"width":788,"height":11}},{"id":"6d17934c-c83a-4d28-9903-e40ef44dc099","block_type":"box","text":"broader sanctions on Russia, including banning Russia from global payments systems that facilitate cross-border","page_number":76,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"59648de8-b533-4ebb-83b4-3866a06d2662","block_type":"box","text":"payments. These sanctions, or even the threat of further sanctions, may result in the decline of the value and","page_number":76,"box":{"x":70,"y":823,"width":782,"height":11}},{"id":"beaba848-751c-4599-bf22-294571b4c544","block_type":"box","text":"liquidity of Russian securities, a weakening of the ruble or other adverse consequences to the Russian economy.","page_number":76,"box":{"x":70,"y":838,"width":802,"height":12}},{"id":"530b29c2-0498-4692-baeb-17555141d25c","block_type":"box","text":"These sanctions have resulted and may continue to result in the immediate freeze of Russian securities and/or","page_number":76,"box":{"x":68,"y":853,"width":797,"height":12}},{"id":"857e3b28-e71b-4f08-ab64-bb895aab15a2","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":76,"box":{"x":68,"y":869,"width":804,"height":11}},{"id":"0aa36cb1-b993-4c75-822c-aa2e546c5721","block_type":"box","text":"and/or assets. Sanctions could also result in Russia taking counter measures or retaliatory actions which may","page_number":76,"box":{"x":69,"y":884,"width":791,"height":11}},{"id":"94b4a2f0-776c-4a5d-b278-347500581db4","block_type":"box","text":"further impair the value and liquidity of Russian securities.","page_number":76,"box":{"x":68,"y":899,"width":417,"height":11}},{"id":"0bd39ba8-5f3b-4e3d-a677-40cb3fc05d16","block_type":"box","text":"II-38","page_number":76,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5fc66baf-628a-42b8-9d19-687aba00ae63","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":76,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ba5c6896-cfad-41aa-b99c-fba4fea73fc0","block_type":"box","text":"Risks of Investing in Saudi Arabia.","page_number":77,"box":{"x":102,"y":45,"width":241,"height":11}},{"id":"975940c4-6142-4121-8d73-c8506c523908","block_type":"box","text":"The ability of foreign investors (such as a Fund) to invest in Saudi Arabian","page_number":77,"box":{"x":350,"y":45,"width":523,"height":11}},{"id":"16b75475-6184-4d1f-92cf-22f713c85dff","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":77,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"8683bd43-171b-44ba-98d9-7c5b20c7b446","block_type":"box","text":"and unforeseen risks could materialize due to foreign ownership in such securities. In addition, the Capital Market","page_number":77,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"c78d771c-1734-46bc-8ffa-18e710441607","block_type":"box","text":"Authority (“CMA”) places investment limitations on the ownership of Saudi Arabian issuers by foreign investors,","page_number":77,"box":{"x":68,"y":90,"width":793,"height":11}},{"id":"a24297e6-e277-4aff-8412-9622af235e96","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":77,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"2960a89e-581e-452c-ab42-4c05d5d6e780","block_type":"box","text":"may prevent a Fund from investing in accordance with its strategy and contribute to tracking error against the","page_number":77,"box":{"x":69,"y":120,"width":777,"height":12}},{"id":"4e2ac4e1-de42-4009-9d8f-7c60abc63500","block_type":"box","text":"Underlying Index. These restrictions may be changed or new restrictions, such as licensing requirements, special","page_number":77,"box":{"x":70,"y":136,"width":803,"height":11}},{"id":"99695244-17a8-4205-b672-a8c21daa3ede","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":77,"box":{"x":69,"y":150,"width":837,"height":12}},{"id":"1ce06dc0-7fd1-40a8-b819-7bd9576447e9","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":77,"box":{"x":69,"y":166,"width":765,"height":11}},{"id":"74e5ece1-8601-4027-b8d6-8aec8c65d5fe","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":77,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"8e255f7e-0e6b-4023-b2c0-353d6b7dc551","block_type":"box","text":"may be exacerbated, compared to more developed markets, given the limited history of foreign investment in the","page_number":77,"box":{"x":69,"y":196,"width":805,"height":11}},{"id":"7ecedef6-3224-414c-9793-23bf9b1e6280","block_type":"box","text":"Saudi Arabian market. Investments in Saudi Arabia may also be subject to loss due to expropriation or nationalization","page_number":77,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"f5028737-b041-45b2-a60a-91ce6c064f43","block_type":"box","text":"of assets and property or the imposition of restrictions on additional foreign investments and repatriation of capital.","page_number":77,"box":{"x":69,"y":226,"width":826,"height":11}},{"id":"feac8db7-10f0-4eb5-99c2-cf027868a760","block_type":"box","text":"Such heightened risks may include, among others, restrictions on and government intervention in international trade,","page_number":77,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"889ab1ae-983b-48b5-ba3e-0b4e9fad8df6","block_type":"box","text":"confiscatory taxation, political instability, including authoritarian and/or military involvement in governmental decision","page_number":77,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"ea6711a0-6cf9-4344-9e7e-47ac96b1a635","block_type":"box","text":"making, armed conflict, crime and instability as a result of religious, ethnic and/or socioeconomic unrest. Saudi","page_number":77,"box":{"x":69,"y":271,"width":797,"height":12}},{"id":"3d9c2fc5-c410-4ffa-8880-4bf5cd0eb8d9","block_type":"box","text":"Arabia has privatized, or has begun the process of privatizing, certain entities and industries. Newly privatized","page_number":77,"box":{"x":68,"y":286,"width":781,"height":12}},{"id":"14ee3cd2-e4b3-45ef-bc77-dd9f30cdde03","block_type":"box","text":"companies may face strong competition from government-sponsored competitors that have not been privatized. In","page_number":77,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"6e7416ea-391c-4d06-a514-076ffad0b0ef","block_type":"box","text":"some instances, investors in newly privatized entities have suffered losses due to the inability of the newly privatized","page_number":77,"box":{"x":69,"y":317,"width":833,"height":11}},{"id":"b6a6e44d-db00-4e18-bcaf-df1024cb2a4d","block_type":"box","text":"entities to adjust quickly to a competitive environment or changing regulatory and legal standards or, in some cases,","page_number":77,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"8b2d30c0-7f3e-413f-b363-009221ca1b1a","block_type":"box","text":"due to re-nationalization of such privatized entities. There is no assurance that similar losses will not recur. Further,","page_number":77,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"7ef0a201-3d7b-4b2a-84aa-088ed9479fc3","block_type":"box","text":"under income tax laws imposed by the Department of Zakat and Income Tax, dividends paid by a Saudi Arabian","page_number":77,"box":{"x":69,"y":362,"width":791,"height":11}},{"id":"ed073683-c960-46ec-a482-ae78ef6f84df","block_type":"box","text":"company to foreign stockholders are generally subject to a 5% withholding tax (different tax rates may apply pursuant","page_number":77,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"7327817d-23ce-4cdb-a930-c4096553d3d3","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":77,"box":{"x":68,"y":392,"width":799,"height":12}},{"id":"ac9db171-e159-42e2-9d95-f443955aecd4","block_type":"box","text":"countries involved in the sale of petroleum, and its economy is therefore vulnerable to changes in foreign currency","page_number":77,"box":{"x":69,"y":407,"width":815,"height":12}},{"id":"7049263c-5588-462c-8dc3-144efc2a8730","block_type":"box","text":"values and the market for petroleum. As global demand for petroleum fluctuates, Saudi Arabia may be significantly","page_number":77,"box":{"x":68,"y":423,"width":818,"height":11}},{"id":"9c3439ca-e547-4833-a8ae-bcafaa23ec76","block_type":"box","text":"impacted.","page_number":77,"box":{"x":70,"y":438,"width":67,"height":11}},{"id":"6d4fb305-df83-43f8-884f-97270a769316","block_type":"box","text":"Like most Middle Eastern governments, the government of Saudi Arabia exercises substantial influence over","page_number":77,"box":{"x":102,"y":460,"width":773,"height":12}},{"id":"fa850f21-be5e-49c7-937d-a72e288ad15f","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":77,"box":{"x":69,"y":475,"width":812,"height":12}},{"id":"b0689ffa-7e32-4031-93c7-9d4f3d04c3d0","block_type":"box","text":"lagged significantly: restrictions on foreign ownership persist, and the government has an ownership stake in many","page_number":77,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"b33a2aee-7d83-4f06-b756-cd0f68897174","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":77,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"217b1789-f412-427d-9d17-fa68a9f1bb82","block_type":"box","text":"Arabia has historically experienced strained relations with economic partners worldwide, including other countries in","page_number":77,"box":{"x":68,"y":521,"width":826,"height":11}},{"id":"fc3ec1a9-ddff-4d93-90e3-1b7c14ba96ae","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":77,"box":{"x":68,"y":536,"width":809,"height":11}},{"id":"bd87a911-5260-42db-86be-ef1a91d01826","block_type":"box","text":"including terrorism, may cause uncertainty in their markets and may adversely affect its economy and a Fund’s","page_number":77,"box":{"x":70,"y":551,"width":790,"height":11}},{"id":"10effa7e-caac-4afe-b415-b52783f8df4a","block_type":"box","text":"investments. Governmental actions in the future could have a significant effect on economic conditions in Saudi","page_number":77,"box":{"x":70,"y":566,"width":798,"height":11}},{"id":"a98e88dc-b879-4a8c-a716-e80332961756","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":77,"box":{"x":68,"y":581,"width":781,"height":11}},{"id":"5fb65d30-04b2-4f43-9940-f9204ebec71d","block_type":"box","text":"portfolio. Any economic sanctions on Saudi Arabian individuals or Saudi Arabian corporate entities, or even the threat","page_number":77,"box":{"x":70,"y":596,"width":836,"height":12}},{"id":"3a389cc1-c5dd-49a5-89a6-a04ef5fb7254","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":77,"box":{"x":69,"y":612,"width":837,"height":11}},{"id":"46555efc-3a7d-40b6-bb2a-e1ca6448f0a9","block_type":"box","text":"riyal or other adverse consequences to the Saudi Arabian economy. In addition, Saudi Arabia’s economy relies heavily","page_number":77,"box":{"x":69,"y":627,"width":838,"height":11}},{"id":"2b2d840a-aee2-45ce-bade-5ea1d61e496b","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":77,"box":{"x":69,"y":642,"width":790,"height":11}},{"id":"291ec7d3-c78a-426e-b605-683cc2014ec8","block_type":"box","text":"economy.","page_number":77,"box":{"x":69,"y":659,"width":65,"height":9}},{"id":"d0cb3ed1-39bc-47cf-b37e-099f25af36ab","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":77,"box":{"x":101,"y":680,"width":747,"height":11}},{"id":"2064f81f-0e09-4a64-9da2-2353974ccc6b","block_type":"box","text":"securities markets in Saudi Arabia are subject to greater risks associated with market volatility, lower market","page_number":77,"box":{"x":69,"y":695,"width":776,"height":11}},{"id":"f9f243e4-08e2-4fe5-af39-e6f3cb8b82bd","block_type":"box","text":"capitalization, lower trading volume, illiquidity, inflation, greater price fluctuations, uncertainty regarding the existence","page_number":77,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"8dc183a5-ba75-4c2d-9e29-c42e9d45ad55","block_type":"box","text":"of trading markets, governmental control and heavy regulation of labor and industry. Shares of certain Saudi Arabian","page_number":77,"box":{"x":69,"y":725,"width":830,"height":11}},{"id":"dee2b901-7027-4a73-9c2f-e9fac78dc390","block_type":"box","text":"companies tend to trade less frequently than those of companies on exchanges in more developed markets. Such","page_number":77,"box":{"x":69,"y":740,"width":813,"height":11}},{"id":"bb9e0142-dc2f-4138-967c-933f6f44ce70","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":77,"box":{"x":70,"y":755,"width":822,"height":11}},{"id":"c9eeb16e-e357-49f0-b506-8c86d0181ddc","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":77,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"37dec0ec-e728-4327-846a-9598c630badf","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":77,"box":{"x":69,"y":785,"width":826,"height":12}},{"id":"ad728b94-a0e8-4dd3-8863-96b600bf733d","block_type":"box","text":"typically the case for investment managers.","page_number":77,"box":{"x":68,"y":801,"width":309,"height":11}},{"id":"672c4a67-2b18-4e7e-9c14-f368c24c7413","block_type":"box","text":"Although the political situation in Saudi Arabia is largely stable, Saudi Arabia has historically experienced political","page_number":77,"box":{"x":101,"y":823,"width":806,"height":12}},{"id":"e9d3ea63-5ff7-46c8-923e-8fd856d47f09","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":77,"box":{"x":70,"y":838,"width":828,"height":12}},{"id":"792e303e-ad4f-465b-9eae-19b8eb22d510","block_type":"box","text":"Middle East region could adversely impact the economy of Saudi Arabia. Instability may be caused by military","page_number":77,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"b8b66421-0370-4760-bea6-eef34ec5fb6e","block_type":"box","text":"developments, government interventions in the marketplace, terrorism, extremist attitudes, attempted social or","page_number":77,"box":{"x":69,"y":869,"width":796,"height":11}},{"id":"beab83f4-4df1-42d5-9430-890ab7ea51e3","block_type":"box","text":"political reforms, religious differences, or other factors. Additionally, anti-Western views held by certain groups in the","page_number":77,"box":{"x":70,"y":884,"width":830,"height":11}},{"id":"7aff9570-e4ce-46a9-8b86-bb74666b80b4","block_type":"box","text":"Middle East may influence government policies regarding foreign investment. Further developments in U.S. relations","page_number":77,"box":{"x":70,"y":899,"width":827,"height":11}},{"id":"82ed4c39-f4cc-417d-956a-2c0a1415f8bc","block_type":"box","text":"II-39","page_number":77,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"520d5908-5fb6-44a6-aa27-c29fb0cfe45a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":77,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"48cff965-6a05-4543-875b-d021743ef2aa","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":78,"box":{"x":68,"y":45,"width":764,"height":11}},{"id":"e08bd98a-762b-4532-a47b-67bc251e6869","block_type":"box","text":"significant, and in some cases the most significant, trading partner of, or foreign investor in, Saudi Arabia. As a","page_number":78,"box":{"x":69,"y":60,"width":795,"height":11}},{"id":"30c065ed-da6c-43e4-baa1-6e3e707f1d1e","block_type":"box","text":"result, economic conditions of Saudi Arabia may be particularly affected by changes in the U.S. economy. A decrease","page_number":78,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"f33224f2-1cd3-4dd2-926e-20a0ff42762b","block_type":"box","text":"in U.S. imports or exports, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or","page_number":78,"box":{"x":70,"y":90,"width":829,"height":11}},{"id":"ee0c44a9-cb23-4812-8422-7c48ab180e8b","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":78,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"fafe99e1-ef5d-48e2-9c51-9dbb4744ef26","block_type":"box","text":"and, as a result, securities to which the Fund has exposure. Political instability in North Africa and the larger Middle","page_number":78,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"fd559276-4791-40a1-89c8-f8493b43c31c","block_type":"box","text":"East region has caused significant disruptions to many industries. Continued political and social unrest in these","page_number":78,"box":{"x":70,"y":135,"width":797,"height":12}},{"id":"4736ca5f-e67b-4622-b63f-56e683cc9138","block_type":"box","text":"areas may negatively affect the value of securities in a Fund’s portfolio.","page_number":78,"box":{"x":69,"y":150,"width":510,"height":12}},{"id":"1d061a85-539d-4d8b-bbff-03c7f5040d59","block_type":"box","text":"Certain issuers located in Saudi Arabia may operate in, or have dealings with, countries subject to sanctions","page_number":78,"box":{"x":102,"y":173,"width":773,"height":11}},{"id":"7d396c8f-5bef-4198-9d56-4e74e0e572b7","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":78,"box":{"x":69,"y":188,"width":820,"height":12}},{"id":"4cee1df8-0fdb-4bf0-a0b4-658953c47ce0","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":78,"box":{"x":69,"y":203,"width":787,"height":12}},{"id":"37925370-231a-4ef9-988a-03e4baa1580e","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":78,"box":{"x":70,"y":218,"width":837,"height":12}},{"id":"adef501f-aed7-4242-9dde-4ccbd9f1fd2e","block_type":"box","text":"will be indirectly subject to those risks.","page_number":78,"box":{"x":68,"y":234,"width":277,"height":11}},{"id":"2a40cefa-0a75-42fd-b935-ef0633950e2a","block_type":"box","text":"Risks of Investing in Venezuela.","page_number":78,"box":{"x":102,"y":256,"width":223,"height":12}},{"id":"eda7a3f1-8b4b-4315-a4d3-1b37c74d5472","block_type":"box","text":"Investment in Venezuela may subject a Fund to legal, regulatory, political,","page_number":78,"box":{"x":332,"y":257,"width":521,"height":11}},{"id":"ee8535ac-6b17-4556-80eb-d159acd3cd6e","block_type":"box","text":"currency, security, expropriation and/or nationalization of assets and economic risk specific to Venezuela. Venezuela","page_number":78,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"031992ad-f602-4faf-90e0-07513902e8ec","block_type":"box","text":"is extremely well endowed with natural resources, including oil and natural gas, and its economy is heavily dependent","page_number":78,"box":{"x":70,"y":287,"width":837,"height":11}},{"id":"c6108abf-17b1-4914-ab80-3e4ccbeb9047","block_type":"box","text":"on export of natural resources to key trading partners. Any act of terrorism, an armed conflict or a breakdown of a","page_number":78,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"7aaa455a-8338-4df8-bbb3-ee01a5d1368e","block_type":"box","text":"key trading relationship that disrupts the production or export of natural resources will likely negatively affect the","page_number":78,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"c74d526f-48f9-4897-86e9-8b89c08def27","block_type":"box","text":"Venezuelan economy. The government continues to control key sectors of the economy, including upstream oil and","page_number":78,"box":{"x":68,"y":332,"width":816,"height":11}},{"id":"b40fdf8b-c7c4-4c11-80c5-fece3e9eb35e","block_type":"box","text":"gas production, and has sought to increase its role in key sectors, such as telecommunications and steel.","page_number":78,"box":{"x":68,"y":347,"width":758,"height":11}},{"id":"140d0349-1bc5-47d1-9299-7e9885130e42","block_type":"box","text":"Meanwhile, ambiguities in the investment environment remain, such as continued high levels of bureaucracy and","page_number":78,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"dbf0595d-8c70-4422-ba2c-22d155b6686f","block_type":"box","text":"corruption, large macroeconomic imbalances, and political and policy uncertainty. Friction continues between the","page_number":78,"box":{"x":69,"y":377,"width":804,"height":12}},{"id":"acb4b4d6-c5c8-4c99-8b71-cd0f623a12fd","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":78,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"8095fe5f-0a6e-44ac-bb88-08d3962d3d03","block_type":"box","text":"and sectoral sanctions, on certain Venezuelan individuals and Venezuelan corporate entities, and on the Venezuelan","page_number":78,"box":{"x":69,"y":408,"width":827,"height":10}},{"id":"ad7eb805-97ca-49fa-a96e-91a9595dd6d3","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":78,"box":{"x":68,"y":423,"width":814,"height":11}},{"id":"2e806371-f2c1-4bfe-af1e-5205b1b25820","block_type":"box","text":"against Venezuela in an effort to effect regime change. Military action, sanctions, or even the threat of further","page_number":78,"box":{"x":69,"y":438,"width":787,"height":11}},{"id":"aaba188e-5a19-4a62-a16c-6e4d9ad0e8e6","block_type":"box","text":"military action and sanctions, may result in the decline of the value and liquidity of Venezuelan securities, a","page_number":78,"box":{"x":69,"y":453,"width":766,"height":11}},{"id":"63f3230c-e2d4-4077-b8c1-ad1e9282f78a","block_type":"box","text":"weakening of the bolivar or other adverse consequences to the Venezuelan economy. These sanctions impair the","page_number":78,"box":{"x":68,"y":468,"width":804,"height":11}},{"id":"e203f8a4-e075-4592-b7ed-e6e1c4341de5","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":78,"box":{"x":69,"y":483,"width":838,"height":11}},{"id":"02c1dfe4-fbbb-4102-9e25-a01be4812350","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":78,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"4736c029-dfe5-440a-8248-df05a320bb12","block_type":"box","text":"impact on a Fund’s investments.","page_number":78,"box":{"x":70,"y":514,"width":230,"height":10}},{"id":"04ffc091-5255-4633-8e11-89bdad1897fb","block_type":"box","text":"Brady Bonds.","page_number":78,"box":{"x":102,"y":536,"width":92,"height":11}},{"id":"cdc89cab-934c-4e42-a24d-ad920460c6f4","block_type":"box","text":"Certain Funds may invest in Brady Bonds. A Fund’s emerging market debt securities may include","page_number":78,"box":{"x":201,"y":536,"width":689,"height":11}},{"id":"848ade12-957f-47e2-bcc2-dc3d591431a4","block_type":"box","text":"emerging market governmental debt obligations commonly referred to as Brady Bonds. Brady Bonds are securities","page_number":78,"box":{"x":69,"y":551,"width":815,"height":11}},{"id":"e961c6eb-f063-4a8b-86ea-238c39fb1f37","block_type":"box","text":"created through the exchange of existing commercial bank loans to sovereign entities for new obligations in","page_number":78,"box":{"x":69,"y":566,"width":766,"height":11}},{"id":"d4805b08-d7c8-4218-82c8-aec1b38844d1","block_type":"box","text":"connection with debt restructurings under a debt restructuring plan introduced by former U.S. Secretary of the","page_number":78,"box":{"x":69,"y":581,"width":784,"height":12}},{"id":"386636da-7195-47b4-99e5-a79eddf84193","block_type":"box","text":"Treasury, Nicholas F. Brady (the “Brady Plan”). Brady Plan debt restructurings have been implemented in a number of","page_number":78,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"9c704c46-4804-4b64-b189-e831c2477a6d","block_type":"box","text":"countries, including: Argentina, Bolivia, Brazil, Bulgaria, Costa Rica, the Dominican Republic, Ecuador, Jordan, Mexico,","page_number":78,"box":{"x":69,"y":612,"width":839,"height":11}},{"id":"e4537020-33e5-4c60-bacc-c7608a89d08c","block_type":"box","text":"Niger, Nigeria, Panama, Peru, the Philippines, Poland, Uruguay, Venezuela, and Vietnam. Beginning in the early","page_number":78,"box":{"x":70,"y":627,"width":786,"height":11}},{"id":"94e130e2-5be1-4ec9-b87f-8c67aab08cf5","block_type":"box","text":"2000s, certain countries began retiring their Brady Bonds, including Brazil, Colombia, Mexico, the Philippines, and","page_number":78,"box":{"x":69,"y":642,"width":814,"height":11}},{"id":"f8d9bd39-d6fc-4ae2-afbc-ad77abdf67b1","block_type":"box","text":"Venezuela.","page_number":78,"box":{"x":68,"y":657,"width":75,"height":9}},{"id":"455778f1-680b-4ca2-8631-c3c35ad57844","block_type":"box","text":"Brady Bonds may be collateralized or uncollateralized, are issued in various currencies (primarily the U.S. dollar)","page_number":78,"box":{"x":102,"y":680,"width":798,"height":11}},{"id":"fff3c637-833d-4a76-ab00-363cc0a27c2b","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":78,"box":{"x":69,"y":695,"width":780,"height":11}},{"id":"1e24c191-537a-4659-8900-61d6856b89cd","block_type":"box","text":"Securities. U.S. dollar-denominated, collateralized Brady Bonds, which may be fixed rate par bonds or floating rate","page_number":78,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"64543f2d-578b-4abe-b8bc-220ab717d532","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":78,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"7b60f10c-dd7f-4515-b25b-d5eb06ae04d4","block_type":"box","text":"same maturity as the Brady Bonds. Interest payments on these Brady Bonds generally are collateralized on a one","page_number":78,"box":{"x":69,"y":740,"width":812,"height":11}},{"id":"38a58b41-2fe7-4c6b-85dc-f4945fa2c018","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":78,"box":{"x":68,"y":755,"width":823,"height":11}},{"id":"724374e0-91a4-4d83-b3d0-bc3f7ee4034b","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":78,"box":{"x":68,"y":770,"width":833,"height":12}},{"id":"233e3fbd-185e-4a34-a6c9-d7c51d8147a6","block_type":"box","text":"interest payments based on the applicable interest rate at that time and is adjusted at regular intervals thereafter.","page_number":78,"box":{"x":70,"y":785,"width":816,"height":12}},{"id":"8cec184f-a20c-4a1c-8294-fa9de36966f2","block_type":"box","text":"Certain Brady Bonds are entitled to “value recovery payments” in certain circumstances, which in effect constitute","page_number":78,"box":{"x":69,"y":801,"width":818,"height":11}},{"id":"90bdeef0-d5f3-4f7f-a764-9b58955c6310","block_type":"box","text":"supplemental interest payments but generally are not collateralized. Brady Bonds are often viewed as having three or","page_number":78,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"216e7408-3313-4215-8c02-46a48f0d8e94","block_type":"box","text":"four valuation components: (i) the collateralized repayment of principal at final maturity; (ii) the collateralized interest","page_number":78,"box":{"x":68,"y":831,"width":832,"height":11}},{"id":"249d9bfb-af87-4929-9715-43ef46d808c9","block_type":"box","text":"payments; (iii) the uncollateralized interest payments; and (iv) any uncollateralized repayment of principal at maturity","page_number":78,"box":{"x":70,"y":846,"width":828,"height":11}},{"id":"fcab91de-f501-4340-9bb5-6dcd06e77418","block_type":"box","text":"(the uncollateralized amounts constitute the “residual risk”).","page_number":78,"box":{"x":69,"y":861,"width":430,"height":11}},{"id":"b8b133fe-8ac4-4e49-abd5-4993c1d4e414","block_type":"box","text":"Brady Bonds involve various risk factors described above associated with investing in foreign securities, including","page_number":78,"box":{"x":102,"y":884,"width":807,"height":11}},{"id":"60e3a1b2-c58b-4cb8-9d54-e0c0c81cc173","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":78,"box":{"x":68,"y":899,"width":838,"height":11}},{"id":"7e894e8a-ab3b-46d0-9f3b-1da6de29b52e","block_type":"box","text":"II-40","page_number":78,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"77aca657-ea0f-46b8-aee0-ce6a86f3f45e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":78,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ccd30466-e4d0-4dbb-bcb2-ee835c9cfa89","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":79,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"9afc50b1-5c9c-4e45-8637-001cf44a71d9","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":79,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"06de58e1-389a-47c5-b720-1b2abb3adcc2","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":79,"box":{"x":68,"y":75,"width":841,"height":11}},{"id":"76b9b148-46c6-42d3-b9ea-44bc3e5625ca","block_type":"box","text":"loss of interest or principal on any of its holdings.","page_number":79,"box":{"x":70,"y":90,"width":351,"height":11}},{"id":"333014f0-36f2-4817-be51-fd436607d8c7","block_type":"box","text":"China Investments Risk.","page_number":79,"box":{"x":102,"y":113,"width":171,"height":9}},{"id":"76e3f375-6f7c-4377-97da-a20a84e9164f","block_type":"box","text":"Investments in securities of companies domiciled in the People’s Republic of China (“China” or the “PRC”),","page_number":79,"box":{"x":102,"y":135,"width":763,"height":11}},{"id":"13ceb0b9-1941-4c05-aabf-02864ea8e041","block_type":"box","text":"including certain Hong Kong-listed and U.S.-listed securities, involve a high degree of risk and special considerations","page_number":79,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"1e7dad22-acff-4f0d-8437-725e7bbb8ca9","block_type":"box","text":"not typically associated with investing in the U.S. securities markets. Such heightened risks include, among others,","page_number":79,"box":{"x":69,"y":166,"width":821,"height":11}},{"id":"2310bde9-c3a2-4350-ac42-15593c0810d0","block_type":"box","text":"an authoritarian government, popular unrest associated with demands for improved political, economic and social","page_number":79,"box":{"x":69,"y":181,"width":809,"height":11}},{"id":"2cf93b6c-ca76-4934-b022-8a416cdc03cc","block_type":"box","text":"conditions, the impact of regional conflict on the economy and hostile relations with other countries.","page_number":79,"box":{"x":69,"y":196,"width":713,"height":11}},{"id":"7a509e93-b02b-444b-aa61-a1f4b1a6037c","block_type":"box","text":"Military conflicts, either in response to internal social unrest or conflicts with other countries, could disrupt","page_number":79,"box":{"x":102,"y":218,"width":762,"height":12}},{"id":"da1b8c09-5788-40c7-ab27-de1696972846","block_type":"box","text":"economic development. The Chinese economy is vulnerable to the long-running disagreements and religious and","page_number":79,"box":{"x":69,"y":234,"width":800,"height":11}},{"id":"5c34e187-f9e3-4d83-a477-0c95991b0536","block_type":"box","text":"nationalist disputes with Tibet and the Xinjiang region. Since 1997, there have been tensions between the Chinese","page_number":79,"box":{"x":69,"y":249,"width":820,"height":11}},{"id":"aecc7b12-612c-48db-956c-2272042f8e57","block_type":"box","text":"government and many people in Hong Kong who perceive China as tightening control over Hong Kong’s semi","page_number":79,"box":{"x":68,"y":264,"width":777,"height":11}},{"id":"1dcdfdc3-21d1-40f5-95b7-9617b2021364","block_type":"box","text":"autonomous liberal political, economic, legal, and social framework. Protests and unrest have increased tensions","page_number":79,"box":{"x":69,"y":279,"width":809,"height":11}},{"id":"a92697e5-abe9-4190-9450-3c8e115c7fab","block_type":"box","text":"even further. Due to the interconnected nature of the Hong Kong and Chinese economies, this instability in Hong","page_number":79,"box":{"x":69,"y":294,"width":805,"height":11}},{"id":"5d9ab440-c31a-412d-8a34-ce027759efb0","block_type":"box","text":"Kong may cause uncertainty in the Hong Kong and Chinese markets. China has a complex territorial dispute","page_number":79,"box":{"x":70,"y":309,"width":770,"height":11}},{"id":"94cbf06e-87f7-4635-93c8-3b8e4515d7eb","block_type":"box","text":"regarding the sovereignty of Taiwan and has made threats of invasion. Taiwan-based companies and individuals are","page_number":79,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"49af7c0b-eae2-4ab8-8f25-d16289e715ad","block_type":"box","text":"significant investors in China. The continuing hostility between China and Taiwan may have an adverse impact on the","page_number":79,"box":{"x":69,"y":339,"width":831,"height":12}},{"id":"41b3e1ee-9459-4946-b884-8fb28df5b126","block_type":"box","text":"value of the Fund’s investments in China or Taiwan, may cause a suspension in a Fund’s ability to trade in certain","page_number":79,"box":{"x":68,"y":355,"width":812,"height":11}},{"id":"41a03a9c-67ac-4489-bbf4-6b3f50170267","block_type":"box","text":"securities or other assets or may otherwise make such investments impracticable or impossible. Any escalation of","page_number":79,"box":{"x":69,"y":370,"width":818,"height":11}},{"id":"f3f53b07-4d07-4b91-882c-ab67cc0e1dc6","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":79,"box":{"x":69,"y":385,"width":769,"height":11}},{"id":"9f2b71ff-8291-4353-945b-2f705f1a1d00","block_type":"box","text":"investments in both countries and the region. In addition, China has strained international relations with Japan, India,","page_number":79,"box":{"x":70,"y":400,"width":836,"height":11}},{"id":"0ee43a8d-fff5-4597-8d3a-064f42ef5e74","block_type":"box","text":"the Philippines and other neighbors due to territorial disputes, historical animosities and other defense concerns.","page_number":79,"box":{"x":68,"y":415,"width":810,"height":11}},{"id":"c6312ca4-9e7f-4930-8930-22d506d3981c","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":79,"box":{"x":70,"y":430,"width":813,"height":11}},{"id":"43c762e3-1e83-41c8-abc5-d99b5bddc86d","block_type":"box","text":"military conflict. Additionally, China is alleged to have participated in state-sponsored cyberattacks against foreign","page_number":79,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"3f8d3ee2-3829-4518-bf8a-67de6f4739bf","block_type":"box","text":"companies and foreign governments. Actual and threatened responses to such activity and strained international","page_number":79,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"c510d11d-d15f-4edc-9aa2-a614fe469b67","block_type":"box","text":"relations, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Chinese government or Chinese","page_number":79,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"5b67aaa8-ce88-43d5-a381-62ba788ae5c2","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":79,"box":{"x":69,"y":491,"width":825,"height":11}},{"id":"70c8b584-2d2a-4f54-8aa9-73dc0003b2ee","block_type":"box","text":"affected by military events on the Korean peninsula or internal instability within North Korea. These situations may","page_number":79,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"1542ecaa-a0ef-4761-8a85-ef8402b471d8","block_type":"box","text":"cause uncertainty in the Chinese market and may adversely affect the performance of the Chinese economy.","page_number":79,"box":{"x":69,"y":521,"width":776,"height":11}},{"id":"5977ae4c-8a04-4c07-8a9e-52ddafc7aea8","block_type":"box","text":"The Chinese government has implemented economic reforms in order to liberalize trade policy, promote foreign","page_number":79,"box":{"x":101,"y":543,"width":792,"height":12}},{"id":"24f91b71-01a4-446d-b869-13982d396fb0","block_type":"box","text":"investment in the economy, reduce government control of the economy and develop market mechanisms. However,","page_number":79,"box":{"x":70,"y":559,"width":818,"height":11}},{"id":"da697115-f539-41ef-b4ce-642466d8a7f2","block_type":"box","text":"the Chinese government still exercises substantial influence over many aspects of the private sector and may own or","page_number":79,"box":{"x":68,"y":574,"width":835,"height":11}},{"id":"16cac239-7f8c-43d9-8773-a9e8f53ae8b3","block_type":"box","text":"control many companies. Chinese companies, such as those in the financial services or technology sectors, and","page_number":79,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"80436a6c-e5e8-4e0c-90ab-68113f937bd5","block_type":"box","text":"potentially other sectors in the future, are subject to the risk that Chinese authorities can intervene in their","page_number":79,"box":{"x":70,"y":604,"width":763,"height":11}},{"id":"9054dce3-3f21-47d0-b59d-52595a4bb062","block_type":"box","text":"operations and structure. The Chinese government continues to maintain a major role in economic policymaking and","page_number":79,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"22c4b628-f13c-4770-a882-6a7f316cddc3","block_type":"box","text":"investing in China involves risk of loss due to expropriation, nationalization, confiscation of assets and property or","page_number":79,"box":{"x":70,"y":634,"width":813,"height":12}},{"id":"7e6d604f-86e0-4ea6-9f28-d9b62afc9e1d","block_type":"box","text":"the imposition of restrictions on foreign investments and on repatriation of capital invested.","page_number":79,"box":{"x":68,"y":649,"width":653,"height":12}},{"id":"48737d3c-3fba-428c-aaef-23fa1fee541a","block_type":"box","text":"The Chinese government may intervene in the Chinese financial markets, such as by the imposition of trading","page_number":79,"box":{"x":101,"y":672,"width":783,"height":11}},{"id":"515e7333-009c-494c-980a-6257a750645c","block_type":"box","text":"restrictions, a ban on “naked” short selling or the suspension of short selling for certain stocks. This may affect","page_number":79,"box":{"x":69,"y":687,"width":805,"height":11}},{"id":"0831288a-f718-49ee-b996-9ca08c9f2c6a","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":79,"box":{"x":69,"y":702,"width":827,"height":11}},{"id":"b72638a9-cc16-4990-89a1-e79b38f52f0d","block_type":"box","text":"Funds. Furthermore, such market interventions may have a negative impact on market sentiment which may in turn","page_number":79,"box":{"x":70,"y":718,"width":821,"height":11}},{"id":"f93adfaf-023b-4308-948a-62172c2cde8b","block_type":"box","text":"affect the performance of the securities markets and as a result the performance of the Funds.","page_number":79,"box":{"x":69,"y":732,"width":683,"height":11}},{"id":"60a1a722-d5c2-4adf-b653-e28744debcb1","block_type":"box","text":"In addition, there is less regulation and monitoring of Chinese securities markets and the activities of investors,","page_number":79,"box":{"x":102,"y":755,"width":797,"height":11}},{"id":"3df91665-3192-4d0a-b252-aca0d20dd389","block_type":"box","text":"brokers and other participants than in the United States. Accordingly, issuers of securities in China, including","page_number":79,"box":{"x":69,"y":770,"width":779,"height":12}},{"id":"9064abc3-298e-4361-87c1-2c14c62ddf08","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":79,"box":{"x":69,"y":785,"width":822,"height":12}},{"id":"66571600-27ed-43c7-bd17-2ae5e7476d76","block_type":"box","text":"issuers with respect to such matters as insider trading rules, tender offer regulation, accounting standards or auditor","page_number":79,"box":{"x":70,"y":801,"width":836,"height":11}},{"id":"b136e6fe-49df-4d61-a170-df2c98ccffcc","block_type":"box","text":"oversight, stockholder proxy requirements and the requirements mandating timely and accurate disclosure of","page_number":79,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"45c32779-33fe-4913-ab54-cbcff646d547","block_type":"box","text":"information. Securities markets in China are in the process of change and further development. This may lead to","page_number":79,"box":{"x":70,"y":831,"width":803,"height":11}},{"id":"d553046f-79c5-48d4-9e13-6c805d60f61e","block_type":"box","text":"trading volatility, difficulty in the settlement and recording of transactions and difficulty in interpreting and applying","page_number":79,"box":{"x":68,"y":846,"width":816,"height":11}},{"id":"91292dcd-34a4-4114-a91f-053527c11864","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":79,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"21ed6d61-11ac-438f-b2c5-32dad06bcdf7","block_type":"box","text":"settlement and administration of securities in China that is customary in more developed markets. In particular,","page_number":79,"box":{"x":69,"y":876,"width":798,"height":11}},{"id":"907c7d6e-3277-4c67-baf6-31ff8a4c56e4","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":79,"box":{"x":68,"y":891,"width":826,"height":12}},{"id":"d16934dc-83d6-4e59-bbd6-331b1c7557a8","block_type":"box","text":"sub-custodian.","page_number":79,"box":{"x":69,"y":907,"width":102,"height":8}},{"id":"eaca95bb-7e14-4d72-bdcd-1101b7569b92","block_type":"box","text":"II-41","page_number":79,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef6f4dcb-f69f-47f8-965e-20fb1b2d30cb","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":79,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1c0b570c-b32f-48a7-a70f-1beab918d057","block_type":"box","text":"There may be significant obstacles to obtaining information necessary for investigations into or litigation against","page_number":80,"box":{"x":101,"y":45,"width":801,"height":11}},{"id":"3d7b0a1f-10f4-47bc-b0af-2caf6faf45c0","block_type":"box","text":"Chinese companies, and shareholders may have limited legal remedies. The Funds do not select investments based","page_number":80,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"f60b4dc3-fa8c-4eec-b95a-3d78f78cb371","block_type":"box","text":"on investor protection considerations.","page_number":80,"box":{"x":69,"y":75,"width":268,"height":11}},{"id":"4cee27c8-9dd7-47cb-80df-6ff2fc2c2efb","block_type":"box","text":"The Chinese government historically took positions that prevented the U.S. Public Company Accounting Oversight","page_number":80,"box":{"x":101,"y":98,"width":806,"height":11}},{"id":"b4587832-20d0-47d2-bed3-f25c5cb29824","block_type":"box","text":"Board (“PCAOB”) from inspecting the audit work and practices of accounting firms in mainland China and Hong Kong","page_number":80,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"4f158702-5329-405f-87a7-478f21395f26","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":80,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"c88aaddf-f817-48d6-b219-d5c0e55e563e","block_type":"box","text":"Protocol with the China Securities Regulatory Commission and the Ministry of Finance of the PRC, which marked the","page_number":80,"box":{"x":69,"y":143,"width":829,"height":11}},{"id":"65f611ca-4970-47c8-a90d-f8e347b3ae14","block_type":"box","text":"first step toward opening access for the PCAOB to inspect and investigate registered public accounting firms","page_number":80,"box":{"x":68,"y":158,"width":774,"height":11}},{"id":"25dc17a8-6a73-4c26-baaa-4eff80d19e19","block_type":"box","text":"headquartered in mainland China and Hong Kong completely in accordance with U.S. law. However, as this","page_number":80,"box":{"x":69,"y":173,"width":760,"height":11}},{"id":"279ac845-0da3-4300-bece-5573ad2e8fd6","block_type":"box","text":"development is relatively recent, the implementation of the Statement of Protocol remains to be tested. Audits","page_number":80,"box":{"x":69,"y":188,"width":788,"height":11}},{"id":"f4608ed5-d651-45db-a4c2-5a42882b079a","block_type":"box","text":"performed by PCAOB-registered accounting firms in mainland China and Hong Kong may be less reliable than those","page_number":80,"box":{"x":70,"y":203,"width":822,"height":12}},{"id":"7e598c00-14ee-4b28-a59e-2f6c3eb8307d","block_type":"box","text":"performed by firms subject to PCAOB inspection. Accordingly, information about the Chinese securities in which the","page_number":80,"box":{"x":70,"y":218,"width":821,"height":12}},{"id":"3a5d7dc9-0797-49a8-a0a3-2dd882ab5bff","block_type":"box","text":"Funds invest may be less reliable or complete. Under amendments to the Sarbanes-Oxley Act enacted in December","page_number":80,"box":{"x":70,"y":234,"width":820,"height":11}},{"id":"b88d5e56-b8a8-4b77-8d17-99465add5130","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":80,"box":{"x":69,"y":249,"width":805,"height":11}},{"id":"c3f26f92-0edf-4c01-b21f-562dc79fb665","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":80,"box":{"x":69,"y":264,"width":816,"height":11}},{"id":"c01aee7e-55f8-49c4-8dc4-3407fe36308c","block_type":"box","text":"accounting firm.","page_number":80,"box":{"x":69,"y":279,"width":112,"height":11}},{"id":"0889e3d9-e409-4b56-9277-fb21a509daa8","block_type":"box","text":"The Renminbi (“RMB”) is currently not a freely convertible currency and is subject to foreign exchange control","page_number":80,"box":{"x":101,"y":302,"width":780,"height":11}},{"id":"e090ad4f-8beb-4247-b3a3-6a6237dacea9","block_type":"box","text":"policies and repatriation restrictions imposed by the Chinese government. The imposition of currency controls may","page_number":80,"box":{"x":70,"y":317,"width":815,"height":11}},{"id":"9836b1be-b21d-4958-9aeb-f466ba4b41a4","block_type":"box","text":"negatively impact performance and liquidity of the Funds as capital may become trapped in the PRC. The Funds could","page_number":80,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"f5eff8c7-6cce-4eb8-953a-46d1f41880d3","block_type":"box","text":"be adversely affected by delays in, or a refusal to grant, any required governmental approval for repatriation of","page_number":80,"box":{"x":69,"y":347,"width":787,"height":11}},{"id":"6e7c3865-fda0-4bc3-8c32-1b8c692c7271","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":80,"box":{"x":69,"y":362,"width":837,"height":11}},{"id":"701753a0-9f02-4b84-90c7-6ae53a2584d1","block_type":"box","text":"which have a substantial portion of their operations in, the PRC may require the Funds to adopt special procedures,","page_number":80,"box":{"x":68,"y":377,"width":825,"height":11}},{"id":"d7cc3f2c-428d-42f0-be8a-2fc891daee49","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":80,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"39f8b653-b9ec-402c-98d2-2b689d4e2f3c","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":80,"box":{"x":70,"y":408,"width":812,"height":11}},{"id":"2160fbc4-b277-4802-9bc4-269db09f2e7d","block_type":"box","text":"connection with conversions between the two separate types of RMB, the onshore RMB (“CNY”) and the offshore","page_number":80,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"446b7642-ca9a-4556-bca5-d57aa1f2ab20","block_type":"box","text":"RMB (“CNH”).","page_number":80,"box":{"x":70,"y":438,"width":97,"height":11}},{"id":"73817349-c495-4a12-a8a2-3c62e3a25b82","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":80,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"ead68255-7510-4d18-945b-e6acf12f360e","block_type":"box","text":"result of foreign ownership restrictions. In a VIE structure, a Chinese operating company establishes a shell company","page_number":80,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"098f3f35-5823-4cfe-afd7-3005c5116a37","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":80,"box":{"x":70,"y":491,"width":822,"height":11}},{"id":"f085cf49-990e-4bba-a5bc-8d83bcd87362","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":80,"box":{"x":70,"y":506,"width":775,"height":11}},{"id":"0fc92c9e-aaab-4bea-a86c-8e16bdb5d904","block_type":"box","text":"company directly or indirectly enters into contracts with the Chinese operating company under Chinese law. These","page_number":80,"box":{"x":69,"y":521,"width":809,"height":11}},{"id":"1cfc5921-f555-45e2-b8fa-0de7df4e8643","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":80,"box":{"x":69,"y":536,"width":803,"height":11}},{"id":"ee871dc6-fcef-4da6-883e-1c9ae028eb9f","block_type":"box","text":"represent equity ownership in the operating company.","page_number":80,"box":{"x":69,"y":551,"width":380,"height":11}},{"id":"c153e86b-689e-454e-b592-255fa6b262f6","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":80,"box":{"x":101,"y":574,"width":801,"height":11}},{"id":"7b2360de-c5e2-4a41-b3f3-22865a130fda","block_type":"box","text":"formally recognized under Chinese law. The Chinese government has provided guidance to and placed restrictions on","page_number":80,"box":{"x":68,"y":589,"width":833,"height":11}},{"id":"482e21aa-51be-4817-9750-1206310896d0","block_type":"box","text":"Chinese-based companies raising capital offshore, including through VIEs. In 2023, the China Securities Regulatory","page_number":80,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"13c515c7-f95d-431b-be01-af81c457d6f0","block_type":"box","text":"Commission (“CSRC”) released new rules that permit the use of VIE structures, provided they abide by Chinese laws","page_number":80,"box":{"x":69,"y":619,"width":832,"height":11}},{"id":"a9e4ab83-f57a-4244-a668-564396b4cb77","block_type":"box","text":"and register with the CSRC. The rules, however, may cause Chinese companies to undergo greater scrutiny and add","page_number":80,"box":{"x":69,"y":634,"width":826,"height":12}},{"id":"a10d0e9e-d9c8-4ff5-9f20-83a2d001bc32","block_type":"box","text":"costs to VIE structures. Intervention, rulemaking or guidance by the Chinese government with respect to VIE","page_number":80,"box":{"x":69,"y":649,"width":770,"height":12}},{"id":"b1a29ebb-87ec-4573-b338-71a0620d9fd1","block_type":"box","text":"structures or the non-enforcement of VIE-related contractual rights could significantly affect the operating company’s","page_number":80,"box":{"x":69,"y":664,"width":829,"height":12}},{"id":"ac3bcfeb-791b-4db3-be2d-b5ce3809ea00","block_type":"box","text":"business in China, the enforceability of the U.S.-listed shell company’s contractual arrangements with the Chinese","page_number":80,"box":{"x":69,"y":680,"width":815,"height":11}},{"id":"4211835b-5640-4fd3-9d0d-722dbc300ab2","block_type":"box","text":"company and the value of the U.S.-listed stock. Further, the VIE contractual arrangement would likely be subject to","page_number":80,"box":{"x":69,"y":695,"width":815,"height":11}},{"id":"e711a176-c3e8-4685-a653-707fb3f990b9","block_type":"box","text":"Chinese law and jurisdiction, and remedies available to the U.S.-listed shell company are uncertain and could be","page_number":80,"box":{"x":69,"y":710,"width":802,"height":11}},{"id":"e735974c-e994-48e6-a341-f2feadf3537d","block_type":"box","text":"ineffective. In addition to the risk of government intervention, investments through a VIE structure are subject to the","page_number":80,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"e3819573-135d-4b9a-9d7e-c9f265b4aee1","block_type":"box","text":"risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach those contractual","page_number":80,"box":{"x":69,"y":740,"width":833,"height":11}},{"id":"0c6573dd-076c-4ed2-8f58-bb00c2f7f6e4","block_type":"box","text":"arrangements, or Chinese law changes in a way that adversely affects the enforceability of these arrangements, or","page_number":80,"box":{"x":69,"y":755,"width":819,"height":11}},{"id":"01f76933-9049-44a9-ad8a-b19dd4410574","block_type":"box","text":"those contracts are otherwise not enforceable under Chinese law, in which case the Fund may suffer significant","page_number":80,"box":{"x":68,"y":770,"width":798,"height":12}},{"id":"3b729fc4-19d6-4a82-92f9-143b0185ec6b","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":80,"box":{"x":70,"y":785,"width":833,"height":12}},{"id":"2704f51b-5e34-4c95-9af9-3ce6d7372272","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":80,"box":{"x":69,"y":801,"width":837,"height":11}},{"id":"36e4dc56-224d-4b41-a163-ce7d448a2ebe","block_type":"box","text":"generally or with respect to specific industries, could result in significant, and possibly permanent and/or total,","page_number":80,"box":{"x":68,"y":816,"width":792,"height":11}},{"id":"4f6bf315-90ea-4323-a17f-725b5c175541","block_type":"box","text":"losses to a Fund.","page_number":80,"box":{"x":70,"y":831,"width":120,"height":9}},{"id":"c87172e9-f54c-4b6f-82e6-dcb9a481889b","block_type":"box","text":"While the Chinese economy has experienced past periods of rapid growth, there is no assurance that such","page_number":80,"box":{"x":101,"y":853,"width":760,"height":12}},{"id":"130e9dfc-9606-45be-834e-d91ade709793","block_type":"box","text":"growth rates will recur. Other economic challenges for China include indebtedness, weak consumer demand, trade","page_number":80,"box":{"x":68,"y":869,"width":815,"height":11}},{"id":"2e03b541-3c79-4d3b-8704-76ed51802b79","block_type":"box","text":"tensions, and an aging population. China continues to face pressure from its trading partners over its exporting of its","page_number":80,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"2033b1db-4fac-4c49-8b66-a8e2f07e17e3","block_type":"box","text":"excess industrial capacity and overall approach to economic management. China’s economy is heavily dependent on","page_number":80,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"1c627fa0-90e1-4ade-8af1-623329240ac0","block_type":"box","text":"II-42","page_number":80,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"40be35dc-1fe6-4374-b3b0-a4e76741fbd2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":80,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1158fad8-7b32-4c8d-b0a9-6d307d2ed0bb","block_type":"box","text":"export growth. Reduction in spending on Chinese products and services, supply chain diversification, institution of","page_number":81,"box":{"x":69,"y":45,"width":815,"height":11}},{"id":"051aa69c-bbce-4ec4-802b-2753967ed3ff","block_type":"box","text":"additional tariffs, sanctions or other trade barriers (including as a result of heightened trade tensions between China","page_number":81,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"6fc9dd3d-e257-4574-bb3d-d2ebdad62422","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":81,"box":{"x":69,"y":75,"width":765,"height":11}},{"id":"04e0316e-f0e5-44c7-81c1-1a2e849c0c8c","block_type":"box","text":"economies of China’s key trading partners may have an adverse impact on the Chinese economy and the companies","page_number":81,"box":{"x":69,"y":90,"width":833,"height":11}},{"id":"0c34321c-1376-4a1f-b206-db2b0068c635","block_type":"box","text":"in which a Fund invests. Certain Chinese companies (which may change from time to time) are directly or indirectly","page_number":81,"box":{"x":70,"y":105,"width":816,"height":11}},{"id":"29181260-f5ec-4e9f-bf6f-3ec0eb784b05","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":81,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"7d86a23d-d7ed-4e6d-9cf5-5b8a9953bf12","block_type":"box","text":"rights or other concerns of such government. For example, certain foreign technology companies are subject to U.S.","page_number":81,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"79208e18-c26c-4f04-b446-e95b42b0981a","block_type":"box","text":"export controls as those companies are believed to pose a risk to U.S. interests. The U.S. also bans imports of","page_number":81,"box":{"x":69,"y":150,"width":798,"height":11}},{"id":"e1f5de14-4b48-42d8-9560-0381abda8e00","block_type":"box","text":"goods produced in certain regions of China or by certain Chinese companies due to concerns about forced labor.","page_number":81,"box":{"x":68,"y":166,"width":805,"height":11}},{"id":"faf73eec-19ca-44ba-9360-2ccd07cf58f5","block_type":"box","text":"Such restrictions may have unanticipated and adverse effects on the Chinese economy and companies. Any action","page_number":81,"box":{"x":69,"y":181,"width":817,"height":11}},{"id":"c149883d-34a0-470d-bfa3-d867719ddf9d","block_type":"box","text":"that targets Chinese financial markets or securities exchanges could interfere with orderly trading, delay settlement","page_number":81,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"6d48a093-93b0-4dac-a9e1-e79b1ba3f2b9","block_type":"box","text":"or cause market disruptions. Certain companies may be subject to economic or trade restrictions (but not investment","page_number":81,"box":{"x":69,"y":211,"width":839,"height":11}},{"id":"94bc7727-d292-4241-b397-adf9e72f60d9","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":81,"box":{"x":69,"y":226,"width":815,"height":11}},{"id":"65348505-2e91-42a4-9984-d00545bb9e74","block_type":"box","text":"such government. So long as these restrictions do not include restrictions on investments, the Fund may invest in","page_number":81,"box":{"x":69,"y":241,"width":812,"height":11}},{"id":"5be55654-c6c5-4178-be84-e4001e279fe2","block_type":"box","text":"such companies.","page_number":81,"box":{"x":69,"y":257,"width":119,"height":10}},{"id":"e066cc62-ad21-489f-be2e-587b96f3b874","block_type":"box","text":"The tax laws and regulations in the PRC are subject to change, including the issuance of authoritative guidance","page_number":81,"box":{"x":101,"y":279,"width":792,"height":11}},{"id":"27f2de80-2602-4851-9e96-a13d1d1047b1","block_type":"box","text":"or enforcement, possibly with retroactive effect. The interpretation, applicability and enforcement of such laws by PRC","page_number":81,"box":{"x":69,"y":294,"width":840,"height":11}},{"id":"4b7cc8e7-bd28-423e-b8f3-cde149113ae3","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":81,"box":{"x":68,"y":309,"width":815,"height":11}},{"id":"27991d9c-fa09-4621-b3cf-d81efa559b8c","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":81,"box":{"x":69,"y":324,"width":823,"height":12}},{"id":"322da784-2af3-414b-8d54-594837f42775","block_type":"box","text":"on a Fund and its investors, particularly in relation to capital gains withholding tax imposed upon non-residents. In","page_number":81,"box":{"x":69,"y":340,"width":812,"height":11}},{"id":"79995365-66fd-4a23-94b2-60e7698449e3","block_type":"box","text":"addition, the accounting, auditing and financial reporting standards and practices applicable to Chinese companies","page_number":81,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"1030ad8c-bba6-4574-92b0-538369e63cb6","block_type":"box","text":"may be less rigorous, and may result in significant differences between financial statements prepared in accordance","page_number":81,"box":{"x":69,"y":370,"width":832,"height":11}},{"id":"1e5e45ae-3e64-4f07-ae03-403437325cb0","block_type":"box","text":"with PRC accounting standards and practice and those prepared in accordance with international accounting","page_number":81,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"6d7280ce-82f9-4fbe-8835-966932402793","block_type":"box","text":"standards.","page_number":81,"box":{"x":69,"y":400,"width":74,"height":9}},{"id":"0bf5f2aa-2731-41e7-bba3-03f436eb199d","block_type":"box","text":"From time to time and in recent years, China has experienced outbreaks of infectious illnesses and the country","page_number":81,"box":{"x":102,"y":423,"width":794,"height":11}},{"id":"8fe23602-f9d1-48a0-a9b8-ccd94c4b8863","block_type":"box","text":"may be subject to other public health threats, infectious illnesses, diseases or similar issues in the future. Any","page_number":81,"box":{"x":69,"y":438,"width":792,"height":11}},{"id":"dcff1a0f-a67b-4443-ae53-d340b4a6dfbd","block_type":"box","text":"spread of an infectious illness, public health threat or similar issue could reduce consumer demand or economic","page_number":81,"box":{"x":69,"y":453,"width":803,"height":11}},{"id":"a646f314-1a2b-4f2c-acf1-73b2d37f1af5","block_type":"box","text":"output, result in market closures, travel restrictions or quarantines, and generally have a significant impact on the","page_number":81,"box":{"x":69,"y":468,"width":811,"height":11}},{"id":"a0732b44-2fce-4807-8dcd-4d6bbc7d58c3","block_type":"box","text":"Chinese economy, which in turn could adversely affect a Fund’s investments.","page_number":81,"box":{"x":69,"y":483,"width":548,"height":11}},{"id":"aa2b6045-0dd7-480c-8b30-a806840fe7e3","block_type":"box","text":"Risk of Investing through Stock Connect.","page_number":81,"box":{"x":102,"y":506,"width":288,"height":11}},{"id":"6bd24c55-d266-4b1d-a135-e99587cf3dff","block_type":"box","text":"General","page_number":81,"box":{"x":102,"y":529,"width":55,"height":8}},{"id":"75d468ae-6d31-4a94-871c-1df3f673ea0f","block_type":"box","text":". China A-shares are equity securities of companies domiciled in China that trade on Chinese stock","page_number":81,"box":{"x":158,"y":528,"width":704,"height":12}},{"id":"55309532-90fe-4e96-b381-4cb1d4414007","block_type":"box","text":"exchanges such as the Shanghai Stock Exchange (“SSE”), the Shenzhen Stock Exchange (“SZSE”) and the Beijing","page_number":81,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"ee885e4d-3e31-487d-a308-e405d3ec9ff7","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":81,"box":{"x":69,"y":559,"width":815,"height":11}},{"id":"9c37a2b6-b876-4649-8bb8-0a8ec46181f4","block_type":"box","text":"than pursuant to available exceptions, such as through a qualified foreign investor approved pursuant to the relevant","page_number":81,"box":{"x":68,"y":574,"width":833,"height":11}},{"id":"8da794f4-b217-49eb-abb5-79ec92cf70b7","block_type":"box","text":"mainland China laws and regulations as may be promulgated and/or amended from time to time (“QFI”).","page_number":81,"box":{"x":69,"y":589,"width":744,"height":11}},{"id":"6c83ef43-f8c9-4410-a41c-94914529a9af","block_type":"box","text":"Investment in eligible exchange traded funds and A-shares listed and traded on the SSE or SZSE (“Stock","page_number":81,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"1999f41f-9417-49aa-979f-9b60e69200af","block_type":"box","text":"Connect Securities”) is also permitted through the Shanghai-Hong Kong Stock Connect program or the Shenzhen","page_number":81,"box":{"x":69,"y":627,"width":807,"height":11}},{"id":"47710745-d067-43e5-8fc9-1394dcf19da1","block_type":"box","text":"Hong Kong Stock Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). Each","page_number":81,"box":{"x":70,"y":642,"width":834,"height":11}},{"id":"730af6b4-104e-469c-80a6-3044a12dabea","block_type":"box","text":"Stock Connect is a securities trading and clearing links program established by The Stock Exchange of Hong Kong","page_number":81,"box":{"x":69,"y":657,"width":812,"height":11}},{"id":"967c9c67-f381-455e-8325-6ed3d95f29c1","block_type":"box","text":"Limited (“SEHK”), the Hong Kong Securities Clearing Company Limited (“HKSCC”), the SSE or SZSE, as applicable,","page_number":81,"box":{"x":70,"y":672,"width":819,"height":11}},{"id":"3481cfa2-b7e2-48ae-8fef-84a6b9b5a098","block_type":"box","text":"and China Securities Depository and Clearing Corporation Limited (“CSDCC”) that aims to provide mutual stock","page_number":81,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"e2ec2d9c-9cd5-484a-9a7f-42b946a035aa","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":81,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"9d135b97-5a5e-4cd7-87c4-f846996326ee","block_type":"box","text":"through their local securities brokers. Under Stock Connects, a Fund’s trading of Stock Connect Securities listed on","page_number":81,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"8a5e7b39-d500-45e9-8a28-7e1a87a63d8a","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":81,"box":{"x":68,"y":732,"width":827,"height":12}},{"id":"6e9e2d75-32c8-4c21-9485-d6bdbfc327c2","block_type":"box","text":"company established by SEHK.","page_number":81,"box":{"x":69,"y":748,"width":219,"height":11}},{"id":"76d69fbb-ea01-4823-abc5-2f39707ad310","block_type":"box","text":"Although no individual investment quotas or licensing requirements apply to investors in Stock Connect, trading","page_number":81,"box":{"x":101,"y":770,"width":794,"height":12}},{"id":"9c5a52e0-5259-4e6a-a59e-dee6c8e4a1d6","block_type":"box","text":"through a Stock Connect’s Northbound Trading Link is subject to daily investment quota limitations which require that","page_number":81,"box":{"x":68,"y":786,"width":839,"height":11}},{"id":"28e74bae-3978-435f-bd2a-2ac1cdc1ad41","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":81,"box":{"x":69,"y":801,"width":779,"height":11}},{"id":"33942728-bb60-43b7-97e5-2a87e5009d3c","block_type":"box","text":"permitted to sell their Stock Connect Securities regardless of the quota). These limitations may restrict a Fund from","page_number":81,"box":{"x":70,"y":816,"width":824,"height":11}},{"id":"97287dd5-e77c-48a6-92ea-a1e29a63a455","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":81,"box":{"x":70,"y":831,"width":827,"height":11}},{"id":"2cbfbf46-0fc0-454d-8589-b944dacd8432","block_type":"box","text":"investment strategy. Investment quotas are also subject to change. Investment in Stock Connect Securities through a","page_number":81,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"005e7ad4-80b1-4308-9495-f29331a2b424","block_type":"box","text":"Stock Connect is subject to trading, clearance and settlement procedures that could pose risks to a Fund. Stock","page_number":81,"box":{"x":69,"y":861,"width":802,"height":11}},{"id":"0c5005bc-c2d0-4296-b0ea-703ff6479bc3","block_type":"box","text":"Connect Securities purchased through Stock Connects generally may not be sold or otherwise transferred other than","page_number":81,"box":{"x":69,"y":876,"width":831,"height":11}},{"id":"82da39d8-b7e2-46bb-9cc4-37ab831be2ae","block_type":"box","text":"through Stock Connects in accordance with applicable rules. For example, the PRC regulations require that in order","page_number":81,"box":{"x":68,"y":891,"width":821,"height":12}},{"id":"17add6f4-05cb-4ef7-b78d-8ee7112eec85","block_type":"box","text":"for an investor to sell any Stock Connect Securities on a certain trading day, there must be sufficient Stock Connect","page_number":81,"box":{"x":68,"y":906,"width":829,"height":12}},{"id":"da8a3cd6-af57-4c34-80c2-5e6604852083","block_type":"box","text":"II-43","page_number":81,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef5a87df-d797-4f98-9409-85475eec4a0d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":81,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"eb0f57dd-d329-4433-b231-c33940bab2fb","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":82,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"9519ef52-aa91-4bca-a7aa-7791a2906dc9","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":82,"box":{"x":69,"y":60,"width":820,"height":11}},{"id":"bf1c910e-1e4b-4470-a705-0be6f2ccee21","block_type":"box","text":"out pre-trade checking on sell orders of certain stocks listed on the SSE market (“SSE Securities”) or SZSE market","page_number":82,"box":{"x":69,"y":75,"width":820,"height":11}},{"id":"7f66740f-61e9-4f00-b1b1-b63d9b0b7771","block_type":"box","text":"(“SZSE Securities”) of its participants (","page_number":82,"box":{"x":69,"y":90,"width":278,"height":11}},{"id":"8c299b9f-f9be-4372-ab39-a682e97a9ced","block_type":"box","text":"i.e.","page_number":82,"box":{"x":349,"y":90,"width":21,"height":9}},{"id":"2697b0ee-c593-4849-a38e-df4505bb9482","block_type":"box","text":", stock brokers) to ensure that this requirement is satisfied. While shares","page_number":82,"box":{"x":372,"y":90,"width":524,"height":11}},{"id":"e7b8fa94-014b-4669-9908-688959420b0c","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":82,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"af72ea81-bf3e-4772-914a-6e1159ef2eb5","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":82,"box":{"x":69,"y":120,"width":810,"height":12}},{"id":"50e7fba3-fa9b-4d34-a77d-7f0f1eb3bc54","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":82,"box":{"x":69,"y":135,"width":834,"height":12}},{"id":"2f3b2ccb-4791-483e-b939-457e91b43718","block_type":"box","text":"services are available in both markets on the corresponding settlement days. Therefore, an investment in Stock","page_number":82,"box":{"x":69,"y":150,"width":799,"height":12}},{"id":"c517e585-163f-4e98-b3ab-849a053fbe00","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":82,"box":{"x":69,"y":166,"width":797,"height":11}},{"id":"71e646e8-ad1a-461e-bdcf-7804c03fe329","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":82,"box":{"x":69,"y":181,"width":818,"height":11}},{"id":"753c606f-d941-4ff1-be7c-f617cce4bdfb","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":82,"box":{"x":68,"y":196,"width":820,"height":11}},{"id":"9e3ef298-0094-4e3d-9549-1972d83df8f2","block_type":"box","text":"be able to sell the Stock Connect Securities on or after day T+1. Further, since all trades of Stock Connect Securities","page_number":82,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"aa81a5c2-6b96-41d3-9950-c30536751c2b","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":82,"box":{"x":69,"y":226,"width":811,"height":11}},{"id":"52351d84-49f8-4fa1-b3d3-3211afc1d8c5","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":82,"box":{"x":68,"y":241,"width":815,"height":11}},{"id":"a2afec8e-5203-4744-a7fb-47d38d907ccf","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":82,"box":{"x":69,"y":256,"width":824,"height":11}},{"id":"82b49623-c4e4-46d4-915a-6cd773fe8302","block_type":"box","text":"RMB, the Fund will be exposed to currency exchange risk if the Fund converts the local currency into RMB for","page_number":82,"box":{"x":70,"y":271,"width":777,"height":12}},{"id":"65815c5e-84b4-4023-9887-9a2221c5af54","block_type":"box","text":"investments in Stock Connect Securities. A Fund may also incur conversion costs.","page_number":82,"box":{"x":70,"y":287,"width":582,"height":11}},{"id":"9c145d1b-2c76-4b49-9b29-0cb81b47b177","block_type":"box","text":"Stock Connect Securities held through the nominee structure under a Stock Connect will be held through HKSCC","page_number":82,"box":{"x":102,"y":309,"width":802,"height":11}},{"id":"a4b78cd4-ff96-4cef-88df-d478e07b3926","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":82,"box":{"x":69,"y":324,"width":784,"height":12}},{"id":"5f62546e-13b4-4529-8dee-7b47b0649670","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":82,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"77e6fc60-ef80-44ca-a7c7-b8da412a5873","block_type":"box","text":"clear definition of, and distinction between, legal ownership and beneficial ownership under the PRC laws and there","page_number":82,"box":{"x":69,"y":355,"width":822,"height":11}},{"id":"a6f8e149-807b-492f-b7ca-5e983e34b330","block_type":"box","text":"have been few cases involving a nominee account structure in the PRC courts. The exact nature and methods of","page_number":82,"box":{"x":69,"y":370,"width":802,"height":11}},{"id":"71509596-ae83-4f8b-a3ac-cb3df354830e","block_type":"box","text":"enforcement of the rights and interests of a Fund under the PRC laws is also uncertain. In the unlikely event that","page_number":82,"box":{"x":69,"y":385,"width":805,"height":11}},{"id":"e2bb18c9-633f-41d4-a816-990d0e815762","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":82,"box":{"x":70,"y":400,"width":807,"height":11}},{"id":"653f9f28-bbd3-4aa0-989d-4309bac5e076","block_type":"box","text":"Securities may not be regarded as held for the beneficial ownership of a Fund or as part of the general assets of","page_number":82,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"f0bc6499-7f02-44aa-ab32-deeb7ea63715","block_type":"box","text":"HKSCC available for general distribution to its creditors. Notwithstanding the fact that HKSCC does not claim","page_number":82,"box":{"x":70,"y":430,"width":774,"height":11}},{"id":"5b66676c-ef94-4b53-9524-f72c39f31087","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":82,"box":{"x":70,"y":445,"width":816,"height":11}},{"id":"3dc89cb5-f657-4224-aa08-66ef7dc3f8c3","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":82,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"b078b706-8b4e-4c2c-ba9d-68205245f8ba","block_type":"box","text":"when it handles corporate actions in respect of such SSE Securities or SZSE Securities. HKSCC monitors the","page_number":82,"box":{"x":68,"y":475,"width":779,"height":11}},{"id":"ad65d5f7-0727-4acd-93e9-bc6098999c7d","block_type":"box","text":"corporate actions affecting SSE Securities and SZSE Securities and keeps participants of Central Clearing and","page_number":82,"box":{"x":69,"y":491,"width":788,"height":11}},{"id":"66719aae-e257-41cb-ac13-ca5eacbd87ca","block_type":"box","text":"Settlement System (“CCASS”) informed of all such corporate actions that require CCASS participants to take steps in","page_number":82,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"b259ea32-c80e-4d62-af96-094fd190b6c6","block_type":"box","text":"order to participate in them. Investors may only exercise their voting rights by providing their voting instructions to","page_number":82,"box":{"x":69,"y":521,"width":811,"height":11}},{"id":"41e7f251-7810-4770-a2d5-cf28ce0d4ac3","block_type":"box","text":"HKSCC through participants of CCASS. All voting instructions from CCASS participants will be consolidated by","page_number":82,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"cd9da1f0-b27b-413d-8d61-6272f9394f8b","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":82,"box":{"x":70,"y":551,"width":826,"height":11}},{"id":"5e6f0b19-9ce2-40ad-9091-05549b511920","block_type":"box","text":"result, a Fund may suffer difficulties or delays in enforcing its rights in SSE Securities or SZSE Securities.","page_number":82,"box":{"x":69,"y":566,"width":752,"height":11}},{"id":"c83589c3-fb53-43a9-8bb7-229fb87f4ade","block_type":"box","text":"Hong Kong’s Investor Compensation Fund is established to pay compensation to investors of any nationality who","page_number":82,"box":{"x":102,"y":589,"width":804,"height":11}},{"id":"4578f5c9-2df4-40eb-8e07-5f4f2eb666e4","block_type":"box","text":"suffer pecuniary losses as a result of default of a licensed intermediary or authorized financial institution in relation","page_number":82,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"f50fe526-a450-45d8-82c3-5248dfe5657a","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":82,"box":{"x":68,"y":619,"width":769,"height":11}},{"id":"6414fb32-6b49-41e8-bf81-f0f8ebd2a7d1","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":82,"box":{"x":70,"y":634,"width":809,"height":11}},{"id":"13f5c38b-c803-418c-9989-a91b1ac24113","block_type":"box","text":"SZSE and (ii) in respect of which an order for sale or purchase is permitted to be routed through the Northbound","page_number":82,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"f97879e8-bc65-45f0-8593-718159bc02b3","block_type":"box","text":"Trading Link of a Stock Connect. On the other hand, since a Fund carries out Northbound trading through securities","page_number":82,"box":{"x":68,"y":664,"width":822,"height":12}},{"id":"18b48268-94e5-4aca-b44d-c6aae8a08487","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":82,"box":{"x":69,"y":680,"width":829,"height":11}},{"id":"9ac2abcf-aa1b-4281-bd72-1cc8cd84f3c7","block_type":"box","text":"PRC.","page_number":82,"box":{"x":69,"y":695,"width":32,"height":9}},{"id":"d260fb00-5bdf-42bc-9d49-4316ca8d7d94","block_type":"box","text":"Market participants are able to participate in Stock Connects subject to meeting certain information technology","page_number":82,"box":{"x":102,"y":717,"width":796,"height":12}},{"id":"58f09e42-f371-473a-9642-27fdfa198de9","block_type":"box","text":"capability, risk management and other requirements as may be specified by the relevant exchange and/or clearing","page_number":82,"box":{"x":69,"y":732,"width":815,"height":12}},{"id":"2989fdd2-5b70-4145-b21b-6ec304de3cf5","block_type":"box","text":"house. Further, the “connectivity” in Stock Connects requires routing of orders across the border of Hong Kong and","page_number":82,"box":{"x":69,"y":748,"width":822,"height":11}},{"id":"4c0609cd-4610-4e97-b6ec-fa5e486a663b","block_type":"box","text":"the PRC. This requires the development of new information technology systems on the part of SEHK and exchange","page_number":82,"box":{"x":68,"y":763,"width":818,"height":11}},{"id":"cfb0120a-1bf4-453f-b63a-37c755ff8a24","block_type":"box","text":"participants. There is no assurance that the systems of SEHK and market participants will function properly or will","page_number":82,"box":{"x":70,"y":778,"width":813,"height":11}},{"id":"eb053d16-c5d8-4fb4-a2e7-8a8d646379ea","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":82,"box":{"x":69,"y":793,"width":827,"height":11}},{"id":"5b13baf7-0c30-4202-b5cc-757483f05fda","block_type":"box","text":"function properly, trading in Stock Connect Securities through Stock Connects could be disrupted.","page_number":82,"box":{"x":68,"y":808,"width":695,"height":11}},{"id":"befc3f95-4df9-44d3-8b17-3e4612021ae0","block_type":"box","text":"The Shanghai-Hong Kong Stock Connect program launched in November 2014 and the Shenzhen-Hong Kong","page_number":82,"box":{"x":101,"y":831,"width":772,"height":11}},{"id":"ee933233-f1ea-430a-8d19-440349efa950","block_type":"box","text":"Stock Connect program launched in December 2016. Each program does not have an extensive operating history.","page_number":82,"box":{"x":69,"y":846,"width":810,"height":11}},{"id":"ced11652-d406-4a53-a39b-4c64af68b023","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":82,"box":{"x":70,"y":861,"width":798,"height":11}},{"id":"a26f00b1-ca19-4fa2-9b68-63ab8a66497e","block_type":"box","text":"Hong Kong in connection with operations, legal enforcement and cross-border trades under Stock Connects. In","page_number":82,"box":{"x":70,"y":876,"width":786,"height":11}},{"id":"56932a1b-d357-4d8b-874a-6b7d7d47d97a","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":82,"box":{"x":69,"y":891,"width":821,"height":11}},{"id":"fd4dbc2a-2348-4d91-aba8-3b65fe6700ab","block_type":"box","text":"as a result of such changes. Furthermore, the securities regimes and legal systems of China and Hong Kong differ","page_number":82,"box":{"x":69,"y":906,"width":819,"height":12}},{"id":"38e5badc-1b99-452d-ac5f-f1f5502d6e4f","block_type":"box","text":"II-44","page_number":82,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"00b86f83-0b4a-41a7-9541-4bda69e62a7c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":82,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"57eb7982-7845-401f-99b8-619916dc61b8","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":83,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"c409dc13-ea4c-42e0-943b-4ef410d71494","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":83,"box":{"x":68,"y":60,"width":814,"height":11}},{"id":"f5c8ff3e-6975-4119-a31d-e4e72124a5b3","block_type":"box","text":"achieve its investment objective may be adversely affected. In addition, a Fund’s investments in Stock Connect","page_number":83,"box":{"x":69,"y":75,"width":793,"height":11}},{"id":"3b1572dd-6828-4571-8f8e-725352033f59","block_type":"box","text":"Securities through Stock Connects are generally subject to Chinese securities regulations and listing rules, among","page_number":83,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"1a248a32-cd20-493c-9f0e-99494a62fd5a","block_type":"box","text":"other restrictions. Further, different fees, costs and taxes are imposed on foreign investors acquiring Stock Connect","page_number":83,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"31f2f129-40db-4afa-8206-e86fd797f9c5","block_type":"box","text":"Securities through Stock Connects, and these fees, costs and taxes may be higher than comparable fees, costs and","page_number":83,"box":{"x":69,"y":120,"width":831,"height":12}},{"id":"50d19706-add5-4d61-8f56-6c6aca13256a","block_type":"box","text":"taxes imposed on owners of other securities providing similar investment exposure.","page_number":83,"box":{"x":68,"y":135,"width":596,"height":12}},{"id":"5dfc2a4b-0d25-49bd-9f36-17be159d2d4b","block_type":"box","text":"Suspension Risk.","page_number":83,"box":{"x":102,"y":158,"width":122,"height":11}},{"id":"e6393328-45ec-45da-a32d-efc46eaabaa2","block_type":"box","text":"SSE Securities and SZSE Securities may only be bought from, or sold to, a Fund at times when","page_number":83,"box":{"x":231,"y":158,"width":675,"height":11}},{"id":"e90fc5b7-4986-48ac-bb7e-ad0b9573de8c","block_type":"box","text":"the relevant SSE Securities and SZSE Securities may be sold or purchased on the relevant Chinese stock exchange.","page_number":83,"box":{"x":68,"y":173,"width":829,"height":11}},{"id":"e85673e8-0beb-4fc2-88c2-d49a9c4fd6d5","block_type":"box","text":"The SSE Securities and SZSE Securities markets have a higher propensity for trading suspensions than many other","page_number":83,"box":{"x":68,"y":188,"width":823,"height":12}},{"id":"176b4872-d8a0-4c08-bb6a-6417e0686b18","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":83,"box":{"x":68,"y":203,"width":831,"height":12}},{"id":"62128b61-78c3-4069-8381-19e743f1ee69","block_type":"box","text":"SZSE Securities purchased on the Stock Connects if necessary for ensuring an orderly and fair market and ensuring","page_number":83,"box":{"x":69,"y":218,"width":828,"height":12}},{"id":"388e30a8-318b-4177-b0d8-55105eb233da","block_type":"box","text":"that risks are managed prudently. Consent from the relevant regulator would be sought before a suspension of","page_number":83,"box":{"x":68,"y":234,"width":791,"height":11}},{"id":"d8ea00f8-6ba3-450a-8b63-cf30d1708d57","block_type":"box","text":"Northbound trading is triggered. The relevant PRC government authority may also impose “circuit breakers” and other","page_number":83,"box":{"x":70,"y":249,"width":837,"height":11}},{"id":"2429c7eb-70a2-4943-95aa-bec52aaa2512","block_type":"box","text":"measures to halt or suspend Northbound trading. Where a suspension in the Northbound trading through Stock","page_number":83,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"a7286306-fc20-49b7-a863-9b9b539ceb62","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":83,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"d699b9da-a78b-45c7-84af-f4c6bbc0f0c5","block_type":"box","text":"certain stocks could lead to greater market execution risk and costs for a Fund. The SSE and SZSE currently apply a","page_number":83,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"b55c5465-ef07-4793-aea9-737df12ad436","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":83,"box":{"x":69,"y":309,"width":778,"height":11}},{"id":"64fa00a4-c521-4de9-86f0-80fece789d19","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":83,"box":{"x":69,"y":324,"width":815,"height":12}},{"id":"67c73d7a-79cd-4d42-b571-3209b93c71b4","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":83,"box":{"x":69,"y":340,"width":833,"height":11}},{"id":"6c7e9635-f93e-498d-86f9-0c33713eba11","block_type":"box","text":"exist for any particular SSE Security or SZSE Security or for any particular time.","page_number":83,"box":{"x":69,"y":355,"width":563,"height":11}},{"id":"339bb9ae-a79d-4744-b3c1-ca761afa2046","block_type":"box","text":"Risk of Investing in the China Interbank Bond Market through Bond Connect.","page_number":83,"box":{"x":102,"y":377,"width":542,"height":12}},{"id":"97cb8d8a-8640-4a1a-830c-e84c50586d29","block_type":"box","text":"A Fund may invest directly in the","page_number":83,"box":{"x":650,"y":377,"width":230,"height":11}},{"id":"1a0a7fd6-0b63-4000-9a2b-01035a15fe20","block_type":"box","text":"domestic bond market in the PRC (the “China Interbank Bond Market”) through the northbound trading of Bond","page_number":83,"box":{"x":69,"y":392,"width":791,"height":12}},{"id":"1034ff59-cfc4-4089-adcd-10436a626846","block_type":"box","text":"Connect (“Bond Connect”). Bond Connect is an initiative launched in July 2017 for mutual bond market access","page_number":83,"box":{"x":69,"y":407,"width":790,"height":12}},{"id":"23e43e31-85f0-4b64-b0d1-18e229cde2b9","block_type":"box","text":"between the PRC and Hong Kong, established by the China Foreign Exchange Trade System & National Interbank","page_number":83,"box":{"x":69,"y":423,"width":803,"height":11}},{"id":"eb862797-e418-483e-b9f2-9818aec20ea6","block_type":"box","text":"Funding Centre (“CFETS”), China Central Depository & Clearing Co., Ltd (“CDCC”), Shanghai Clearing House (“SCH”),","page_number":83,"box":{"x":70,"y":438,"width":832,"height":11}},{"id":"193d6db2-f6f4-4a4d-844b-f94ccf6bd5ce","block_type":"box","text":"Hong Kong Exchanges and Clearing Limited (“HKEX”) and Central Moneymarkets Unit (“CMU”). Under the prevailing","page_number":83,"box":{"x":70,"y":453,"width":821,"height":11}},{"id":"06e19231-dc50-46a8-89a7-15515f435f15","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":83,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"6f32fa37-9345-41ea-a00f-d6d62d8b4e00","block_type":"box","text":"Bond Market through Bond Connect. Eligible foreign investors may submit trade requests for bonds circulated in the","page_number":83,"box":{"x":70,"y":483,"width":825,"height":11}},{"id":"7aae0450-c364-449e-845a-87607b915abc","block_type":"box","text":"China Interbank Bond Market through offshore electronic bond trading platforms (such as Tradeweb), which will in","page_number":83,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"c53bccad-af3d-4b01-afcd-66897c907ad1","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":83,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"f8ece13e-fa2e-4edb-bc62-bf77777c4553","block_type":"box","text":"approved onshore dealers (including market makers and others engaged in the market making business) in the PRC.","page_number":83,"box":{"x":69,"y":529,"width":830,"height":11}},{"id":"cd91b659-a278-4a2c-9814-1387c47049b0","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":83,"box":{"x":68,"y":543,"width":788,"height":12}},{"id":"15d1bb5c-9ba2-4e44-b167-a4e20d1f716e","block_type":"box","text":"responses to those eligible foreign investors through the same offshore electronic bond trading platforms. Once the","page_number":83,"box":{"x":69,"y":559,"width":827,"height":11}},{"id":"76095aeb-4cf3-45fc-b887-2cc99f6b0c86","block_type":"box","text":"eligible foreign investor accepts the quotation, the trade is concluded on CFETS.","page_number":83,"box":{"x":69,"y":574,"width":570,"height":11}},{"id":"4b9c7d23-2107-4a99-8e82-ed9ede816112","block_type":"box","text":"The settlement and custody of bonds traded in the China Interbank Bond Market under Bond Connect will be","page_number":83,"box":{"x":101,"y":596,"width":773,"height":12}},{"id":"d563a19e-3adc-4fd1-99f3-c0808c2131a8","block_type":"box","text":"effected through the settlement and custody link between CMU, as an offshore custody agent, and CDCC and SCH,","page_number":83,"box":{"x":69,"y":612,"width":823,"height":11}},{"id":"01c6379d-29fc-4523-b06d-a574f549c767","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":83,"box":{"x":69,"y":627,"width":832,"height":11}},{"id":"48452c84-5253-483d-ab00-e1f1f4692199","block_type":"box","text":"settlement of confirmed trades onshore and CMU will process bond settlement instructions from CMU members on","page_number":83,"box":{"x":69,"y":642,"width":822,"height":11}},{"id":"8b80b6bb-a2ce-47ab-9a3e-c5b758a95ae5","block_type":"box","text":"behalf of eligible foreign investors in accordance with its relevant rules. Since the introduction in August 2018 of","page_number":83,"box":{"x":69,"y":657,"width":804,"height":11}},{"id":"1c6c1657-3bf2-44e1-9a50-dfe570708154","block_type":"box","text":"delivery versus payment (DVP) settlement in respect of Bond Connect, the movement of cash and securities is","page_number":83,"box":{"x":69,"y":672,"width":787,"height":11}},{"id":"c74c3fe9-aa79-4c20-8541-4bafbe90c59d","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":83,"box":{"x":69,"y":687,"width":788,"height":11}},{"id":"de1ec6ae-8232-4478-a8e3-ffe7cdf09d7b","block_type":"box","text":"offshore custody agent recognized by the Hong Kong Monetary Authority, will open omnibus nominee accounts with","page_number":83,"box":{"x":69,"y":702,"width":820,"height":12}},{"id":"708c1361-a86d-45e7-adb5-612c601795ff","block_type":"box","text":"the onshore custody agent recognized by the People’s Bank of China (","page_number":83,"box":{"x":68,"y":717,"width":500,"height":12}},{"id":"fc1f3172-580d-4b70-a462-78c67b96236c","block_type":"box","text":"i.e.","page_number":83,"box":{"x":570,"y":718,"width":20,"height":8}},{"id":"87424214-359e-4b46-a770-c4a390c44bab","block_type":"box","text":", CDCC and SCH). All bonds traded by","page_number":83,"box":{"x":593,"y":718,"width":267,"height":11}},{"id":"6ebe5b80-d18d-4c76-a886-94d384f9157f","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":83,"box":{"x":69,"y":732,"width":832,"height":12}},{"id":"9679c7ce-6836-4b69-a528-41891eb8f5ce","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":83,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"f6f4c9ca-de93-4d10-b8a2-cc5441db1201","block_type":"box","text":"CDCC or SCH default, CMU’s liabilities in Bond Connect bonds under its market contracts with clearing participants","page_number":83,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"13d45c1d-049d-4559-b24c-6c97e6586a89","block_type":"box","text":"will be limited to assisting clearing participants in pursuing their claims against CDCC or SCH. The Fund may suffer","page_number":83,"box":{"x":68,"y":778,"width":822,"height":11}},{"id":"e762f514-5840-4921-b8ab-f058e1f92d26","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":83,"box":{"x":69,"y":793,"width":793,"height":11}},{"id":"14881e8b-d722-4722-9d6c-2b896c0b3fd2","block_type":"box","text":"filings, registration with the People’s Bank of China, and account opening have to be carried out by third parties,","page_number":83,"box":{"x":68,"y":808,"width":802,"height":11}},{"id":"051b63bc-a2fa-4ab8-b729-f01aba5ad29d","block_type":"box","text":"including CMU, CDCC, SCH, and CFETS, a Fund is subject to the risks of default or errors on the part of such third","page_number":83,"box":{"x":70,"y":823,"width":812,"height":12}},{"id":"a12a266e-ac76-46be-ab76-f4fea80bde40","block_type":"box","text":"parties.","page_number":83,"box":{"x":70,"y":839,"width":52,"height":10}},{"id":"26859da1-0b3c-40ea-b94c-8c980cdd60bc","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":83,"box":{"x":101,"y":861,"width":799,"height":11}},{"id":"208f4f68-cd5d-4d42-a682-9c6961ac392d","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":83,"box":{"x":70,"y":876,"width":785,"height":11}},{"id":"1fcfddc3-d4c9-4a40-937f-8cdfabe8053c","block_type":"box","text":"distinction between, legal ownership and beneficial ownership under PRC law and there have been few cases","page_number":83,"box":{"x":69,"y":891,"width":776,"height":12}},{"id":"f16bcba9-4319-4d3c-b496-e86e4783a37a","block_type":"box","text":"II-45","page_number":83,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4af0eae8-5ddb-40db-b2a9-93bcaf7efbc7","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":83,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a3df84f6-d7b1-4df8-a4dd-e155172a30ba","block_type":"box","text":"involving a nominee account structure in the PRC courts. The exact nature and methods of enforcement of the rights","page_number":84,"box":{"x":70,"y":45,"width":830,"height":11}},{"id":"515e1142-4506-4229-b08e-28908452e875","block_type":"box","text":"and interests of a Fund under PRC law are also uncertain.","page_number":84,"box":{"x":69,"y":60,"width":412,"height":9}},{"id":"d9701b12-abae-4395-95af-e36056ccaa40","block_type":"box","text":"Market volatility and potential lack of liquidity due to low trading volume of certain bonds in the China Interbank","page_number":84,"box":{"x":102,"y":82,"width":793,"height":12}},{"id":"71c187ab-82f6-4dc9-b2e6-e751b21788ac","block_type":"box","text":"Bond Market may result in prices of certain bonds traded on such market fluctuating significantly. A Fund investing in","page_number":84,"box":{"x":70,"y":98,"width":832,"height":11}},{"id":"0dfcd4da-e980-4513-bdc4-b244cebcf1cc","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":84,"box":{"x":69,"y":113,"width":821,"height":11}},{"id":"38d28fef-7cf3-4bcf-adf2-033373008515","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":84,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"bc415b7f-4f75-4074-a451-183aa3ca19ea","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":84,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"a1374463-0627-44b9-ad6b-49f342e70a7e","block_type":"box","text":"Fund’s ability to acquire or dispose of such securities at their expected prices.","page_number":84,"box":{"x":70,"y":158,"width":556,"height":11}},{"id":"1e5121f5-183f-45b1-9da9-39934a524f7a","block_type":"box","text":"Investing in the China Interbank Bond Market through Bond Connect is also subject to regulatory risks. The","page_number":84,"box":{"x":102,"y":181,"width":762,"height":11}},{"id":"db591fa6-fb35-41ad-ac8f-7dbbc33937ac","block_type":"box","text":"relevant rules and regulations are subject to change, which may have potential retrospective effect, and there can be","page_number":84,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"0e2f064d-1586-40fc-95a2-eddccbfa7505","block_type":"box","text":"no assurance that Bond Connect will not be discontinued or abolished. Furthermore, the securities regimes and legal","page_number":84,"box":{"x":69,"y":211,"width":835,"height":11}},{"id":"9737b1fd-36d0-46db-83d1-683628910f7c","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":84,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"7a5e1393-c11a-4aed-9248-c8ec50c72c9e","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":84,"box":{"x":68,"y":241,"width":840,"height":11}},{"id":"02706a84-17ab-42d6-be06-53a8f4a7ee61","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":84,"box":{"x":68,"y":256,"width":826,"height":11}},{"id":"04b71995-2ed7-4614-986d-aadaead09304","block_type":"box","text":"to achieve its investment objective will be negatively affected and, after exhausting other trading alternatives, the","page_number":84,"box":{"x":68,"y":271,"width":808,"height":12}},{"id":"a4c2e30d-84c9-4328-ade8-ba49b5b3c185","block_type":"box","text":"Fund may suffer substantial losses as a result. Further, if Bond Connect is not operating, a Fund may not be able to","page_number":84,"box":{"x":70,"y":286,"width":826,"height":12}},{"id":"5a1d5371-238f-4afa-b8b8-3a3c5de28883","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":84,"box":{"x":69,"y":302,"width":789,"height":11}},{"id":"7f33e18b-a97c-40d7-a53e-2a76405e132d","block_type":"box","text":"performance.","page_number":84,"box":{"x":70,"y":317,"width":93,"height":11}},{"id":"5999dff2-a77f-49bf-b822-5cf8b8529f02","block_type":"box","text":"Trading through Bond Connect is performed through newly developed trading platforms and operational systems.","page_number":84,"box":{"x":101,"y":339,"width":803,"height":12}},{"id":"fbb2121d-d76a-4754-aae5-657a7c9b713e","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":84,"box":{"x":68,"y":355,"width":776,"height":11}},{"id":"1c7e27da-a130-4f1f-bd5b-42478c6a5e0b","block_type":"box","text":"developments in the market. In the event that the relevant systems fail to function properly, trading through Bond","page_number":84,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"6d0527b9-7194-48f2-9d76-ed4d0881eadd","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":84,"box":{"x":69,"y":385,"width":791,"height":11}},{"id":"25aadd13-ec10-4edb-a357-8f567b549c48","block_type":"box","text":"strategy) may therefore be adversely affected. In addition, where a Fund invests in the China Interbank Bond Market","page_number":84,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"87281f89-fca5-43f4-88f2-a5ebb696fdf5","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":84,"box":{"x":68,"y":415,"width":827,"height":11}},{"id":"bffa915f-1cd6-4a06-9b74-e060394be726","block_type":"box","text":"Bond Connect trades are settled in Chinese currency, the RMB, which is currently restricted and not freely","page_number":84,"box":{"x":102,"y":438,"width":755,"height":11}},{"id":"86da75de-b761-4cd4-a12d-83ccba30aab5","block_type":"box","text":"convertible. As a result, a Fund will be exposed to currency risk, and it cannot be guaranteed that investors will have","page_number":84,"box":{"x":69,"y":453,"width":830,"height":11}},{"id":"fc68d674-2896-4caa-a2b4-77d2345f6b81","block_type":"box","text":"timely access to a reliable supply of RMB.","page_number":84,"box":{"x":68,"y":468,"width":298,"height":11}},{"id":"4d91a7b5-75e7-4a59-8f57-58feee483f29","block_type":"box","text":"Tax Risk – Withholding Income Tax Risk","page_number":84,"box":{"x":103,"y":491,"width":277,"height":11}},{"id":"2b06b3bd-38cc-4da4-8760-fbcfe8d5bc0e","block_type":"box","text":".","page_number":84,"box":{"x":381,"y":498,"width":2,"height":2}},{"id":"09194fea-3b31-4de7-a8ad-918ae8dc7e13","block_type":"box","text":"According to PRC tax regulations, a 10% withholding income tax is imposed on PRC sourced dividends and","page_number":84,"box":{"x":101,"y":513,"width":758,"height":12}},{"id":"3ae6fb53-375e-4d44-aade-7e425497017a","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":84,"box":{"x":70,"y":528,"width":828,"height":12}},{"id":"e145496f-dd8f-445b-8c83-064eb0146aac","block_type":"box","text":"applicable tax treaty. From a technical perspective, withholding income tax is also applicable to capital gains realized","page_number":84,"box":{"x":69,"y":544,"width":831,"height":11}},{"id":"6eecc8ef-b421-4cd0-8848-01bf7805c36b","block_type":"box","text":"by foreign investors on the disposal of PRC equity interests.","page_number":84,"box":{"x":69,"y":559,"width":425,"height":11}},{"id":"6cceaf15-9ac6-4d18-af51-41005a2386d7","block_type":"box","text":"There are however certain tax exemptions available, some temporary in nature, highlighted below.","page_number":84,"box":{"x":101,"y":582,"width":697,"height":11}},{"id":"b80da7ad-ab38-4581-b072-aa8bdcd8b656","block_type":"box","text":"On November 14, 2014, the Ministry of Finance (“MoF”), China Securities Regulatory Commission and the State","page_number":84,"box":{"x":102,"y":604,"width":803,"height":11}},{"id":"d3d08540-18d3-4bdd-ae39-4933943bccad","block_type":"box","text":"Taxation Administration (“STA”), acting with State Council’s approval, jointly released Circular 79, which temporarily","page_number":84,"box":{"x":68,"y":619,"width":822,"height":11}},{"id":"5fb25ecb-4595-4699-98f7-7c8efd0ba4ef","block_type":"box","text":"exempts Qualified Foreign Institutional Investors (“QFIIs”) and Renminbi Qualified Foreign Institutional Investors","page_number":84,"box":{"x":69,"y":634,"width":794,"height":12}},{"id":"f62800f8-929c-415e-9e66-4e57e67483ca","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":84,"box":{"x":69,"y":649,"width":812,"height":12}},{"id":"63284c8f-e76c-4103-9a32-c86f1b913e4f","block_type":"box","text":"after November 17, 2014. Subsequently, Circulars 81 and 127 were issued to temporarily exempt tax on capital","page_number":84,"box":{"x":69,"y":664,"width":800,"height":12}},{"id":"a591367d-b129-4a06-a82e-a333a409aad3","block_type":"box","text":"gains derived from trading of equity securities of companies domiciled in the PRC that trade on Chinese stock","page_number":84,"box":{"x":68,"y":680,"width":783,"height":11}},{"id":"6c3fc480-0241-4f95-90ce-dbd458ce3e73","block_type":"box","text":"exchanges (“A-Shares”) through the Shanghai-Hong Kong Stock Connect program or the Shenzhen-Hong Kong Stock","page_number":84,"box":{"x":69,"y":695,"width":825,"height":11}},{"id":"44ceda8c-00d5-4c3f-b5af-e205edf17537","block_type":"box","text":"Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). The duration of the","page_number":84,"box":{"x":69,"y":710,"width":809,"height":11}},{"id":"daeab26d-6303-4737-a02f-67b406b2ff5a","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":84,"box":{"x":68,"y":725,"width":818,"height":11}},{"id":"5309651c-9fce-4c3b-bcb9-a441e7b27399","block_type":"box","text":"without notice.","page_number":84,"box":{"x":68,"y":740,"width":103,"height":9}},{"id":"61b2eb3a-c3e1-4124-b394-23f8b539ef1c","block_type":"box","text":"On November 22, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":84,"box":{"x":102,"y":763,"width":759,"height":11}},{"id":"6630a264-30fb-4164-ac39-922ea3914061","block_type":"box","text":"investors are temporarily exempt from withholding income tax with respect to interest income on bonds derived from","page_number":84,"box":{"x":70,"y":778,"width":827,"height":11}},{"id":"ada80737-36cc-405b-bea8-5c0f94eff673","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":84,"box":{"x":68,"y":793,"width":798,"height":10}},{"id":"0a240226-eaac-4037-a99b-cddd1758d029","block_type":"box","text":"issued Public Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. On","page_number":84,"box":{"x":70,"y":808,"width":798,"height":11}},{"id":"c3642d69-2f70-4db0-adbe-5b63a1a65dcd","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":84,"box":{"x":69,"y":823,"width":792,"height":12}},{"id":"1cc7b311-3214-43e5-b06f-26fb6f30a5da","block_type":"box","text":"December 31, 2027.","page_number":84,"box":{"x":70,"y":838,"width":147,"height":11}},{"id":"069172f7-76af-448c-986b-e64992020493","block_type":"box","text":"Value Added Tax (“VAT”) Risk —","page_number":84,"box":{"x":103,"y":861,"width":225,"height":11}},{"id":"6df9a77b-76f6-482a-b189-f9f85049e5d0","block_type":"box","text":"From May 1, 2016, VAT applies to certain income derived by the Fund, including","page_number":84,"box":{"x":333,"y":861,"width":569,"height":11}},{"id":"ddce8b2a-e6d4-4f17-9b30-b94a1f3e835c","block_type":"box","text":"PRC sourced interest income on non-government bonds and trading gains.","page_number":84,"box":{"x":69,"y":876,"width":528,"height":11}},{"id":"87105098-fead-47e8-a50e-785cfa545488","block_type":"box","text":"There are however certain tax exemptions available, some temporary in nature, highlighted below.","page_number":84,"box":{"x":101,"y":899,"width":697,"height":11}},{"id":"b136bc9a-43f0-4232-85e5-7fb9319da201","block_type":"box","text":"II-46","page_number":84,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f2a84bd9-80c5-41cd-9cba-be30e254536a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":84,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6fb66ea8-70b3-4c53-a95a-1e4d3b087a9f","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":85,"box":{"x":101,"y":45,"width":789,"height":11}},{"id":"fb28967c-a406-4d6c-ad93-7cf927fcffee","block_type":"box","text":"Stock Connects and debt securities traded in the China Interbank Bond Market.","page_number":85,"box":{"x":69,"y":60,"width":565,"height":9}},{"id":"b0746c83-27e7-40a6-8670-008602c14c3e","block_type":"box","text":"On November 7, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":85,"box":{"x":102,"y":82,"width":749,"height":12}},{"id":"27761081-5d3d-416a-8f95-d83aac3c5a39","block_type":"box","text":"investors are temporarily exempt from VAT with respect to interest income on bonds derived from the PRC bond","page_number":85,"box":{"x":70,"y":98,"width":791,"height":11}},{"id":"29e6b7da-a18d-46c0-a825-1d98a7320de7","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":85,"box":{"x":69,"y":113,"width":840,"height":11}},{"id":"87782a45-2de1-4152-a3aa-63ec13a7e2ee","block_type":"box","text":"Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. However, on","page_number":85,"box":{"x":70,"y":128,"width":766,"height":11}},{"id":"e62128c0-04a7-48a9-b845-7e9c7d42876b","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":85,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"3f6a3070-08a0-4ec7-b26d-9074a831460d","block_type":"box","text":"interest income derived from treasury bonds, local government bonds and financial bonds issued on or after","page_number":85,"box":{"x":70,"y":158,"width":772,"height":11}},{"id":"ddd4afec-1382-4705-b5e1-1f0dc3609b1a","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":85,"box":{"x":68,"y":173,"width":840,"height":11}},{"id":"5522f83c-66d0-4498-9d30-46e0c745b284","block_type":"box","text":"for foreign institutional investors. This exemption was extended through December 31, 2027.","page_number":85,"box":{"x":68,"y":188,"width":665,"height":12}},{"id":"496160c2-d81b-446f-b8a3-0d233b16b424","block_type":"box","text":"Any changes in PRC tax law, future clarifications thereof, and/or subsequent retroactive enforcement by the PRC","page_number":85,"box":{"x":101,"y":211,"width":801,"height":11}},{"id":"3eb2bcba-00a1-4242-aab7-f40a44659b55","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":85,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"bfda2460-33e4-441e-9413-16d4ca0cb018","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":85,"box":{"x":68,"y":241,"width":808,"height":11}},{"id":"c3dc8b73-05e4-4359-995d-4e4f06a9ee70","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":85,"box":{"x":69,"y":256,"width":810,"height":12}},{"id":"20b28509-c35d-4599-9769-93ac4b8ef2ca","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":85,"box":{"x":68,"y":272,"width":829,"height":11}},{"id":"2f2ba0fb-d7ac-45d2-b065-0f43a78f7490","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":85,"box":{"x":69,"y":287,"width":819,"height":11}},{"id":"578c5cb8-83f4-4965-be66-ec3810a8ea8e","block_type":"box","text":"advantaged or disadvantaged depending on when the investors purchased and/or sold the shares of the Fund. There","page_number":85,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"5ebf744a-de93-43da-a0c2-247f7955c3b9","block_type":"box","text":"will be no retrospective restatement of the Fund’s net asset value.","page_number":85,"box":{"x":68,"y":317,"width":474,"height":11}},{"id":"6ba22e94-27fa-4cfb-b508-33ca48ccb5b7","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":85,"box":{"x":102,"y":339,"width":777,"height":12}},{"id":"6dee433a-6f42-4484-8f49-5c8eefebbeab","block_type":"box","text":"time, make a provision for potential tax liabilities if in its opinion such provision is warranted or as further clarified by","page_number":85,"box":{"x":68,"y":355,"width":836,"height":11}},{"id":"74e9708c-a8cc-4046-a1fa-2bf190246303","block_type":"box","text":"the PRC in notifications.","page_number":85,"box":{"x":68,"y":370,"width":171,"height":9}},{"id":"13a091f5-011b-4607-bc88-59cbe5a064fd","block_type":"box","text":"Investment in Other Investment Companies.","page_number":85,"box":{"x":102,"y":392,"width":320,"height":11}},{"id":"36b70927-e04a-4005-baae-2f5c1ccc9eab","block_type":"box","text":"Each Fund may, subject to applicable law, invest in other","page_number":85,"box":{"x":429,"y":393,"width":402,"height":11}},{"id":"409d4abb-e458-4cd6-bd58-16bdc5107423","block_type":"box","text":"investment companies (including investment companies managed by BlackRock and its affiliates), including money","page_number":85,"box":{"x":70,"y":407,"width":818,"height":12}},{"id":"3aa4a6c1-87ae-4832-a99b-2b3e0ec07719","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":85,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"50aae719-bbb1-4487-af75-96a21b64cd6b","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":85,"box":{"x":70,"y":438,"width":822,"height":11}},{"id":"aa56084c-b5e9-4970-b5b9-ba773b5e2800","block_type":"box","text":"in securities of other investment companies (measured at the time of such investment). In addition, under Section","page_number":85,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"4f261525-cdf7-4b81-ae9c-fa297342e569","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":85,"box":{"x":70,"y":468,"width":793,"height":11}},{"id":"74cfa263-6760-4c08-8e4d-c8ee66f83b4f","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":85,"box":{"x":69,"y":483,"width":796,"height":11}},{"id":"7dd402bd-530a-4dd0-a840-ce85a7f6be1e","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":85,"box":{"x":69,"y":498,"width":837,"height":11}},{"id":"5709296a-4b2d-439a-bf84-5ae1a31acf94","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":85,"box":{"x":68,"y":513,"width":812,"height":11}},{"id":"90e177c8-1b16-4fe4-a402-f690ed3af3b2","block_type":"box","text":"restrict a Feeder Fund from investing all of its assets in shares of its Master Portfolio.) In addition to the restrictions","page_number":85,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"bce18864-62a9-4fc0-a834-4a2c499b57ab","block_type":"box","text":"on investing in other investment companies discussed above, under Section 12(d)(1)(C) of the Investment Company","page_number":85,"box":{"x":69,"y":543,"width":827,"height":12}},{"id":"ecc3f32d-efa7-42d2-87e8-1c42f9f8f107","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":85,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"0ddc43c8-eb69-463f-a3a0-ffec41f0c1d9","block_type":"box","text":"and other BlackRock-advised investment companies to own more than 10% of the total outstanding voting stock of","page_number":85,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"90d07555-bbf8-49ff-8e9f-7ef66d149b57","block_type":"box","text":"such closed-end investment company. Pursuant to Section 12(d)(1)(G) of the Investment Company Act, these","page_number":85,"box":{"x":69,"y":589,"width":776,"height":11}},{"id":"d8c3367f-6fa7-4f22-ab76-d1de1d870811","block_type":"box","text":"percentage limitations do not apply to investments in affiliated investment companies, including ETFs, subject to","page_number":85,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"04a0e775-c3a5-454b-b371-a6bed61a4330","block_type":"box","text":"certain conditions. In addition, a Fund may be able to rely on certain rules under the Investment Company Act to","page_number":85,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"7054e0a9-c535-4755-b7b0-5d5ca43ee1a5","block_type":"box","text":"invest in shares of money market funds or other investment companies beyond the statutory limits noted above, but","page_number":85,"box":{"x":70,"y":634,"width":829,"height":11}},{"id":"15e40669-2da6-418f-9f20-4ca4691f42e8","block_type":"box","text":"subject to certain conditions.","page_number":85,"box":{"x":69,"y":650,"width":206,"height":10}},{"id":"061099bb-48bf-42c8-8b10-4e8bb5bfcae4","block_type":"box","text":"As with other investments, investments in other investment companies are subject to market and selection risk.","page_number":85,"box":{"x":101,"y":672,"width":799,"height":11}},{"id":"36b3b38a-ae1e-47c8-8995-894ae599a28b","block_type":"box","text":"Shares of investment companies, such as closed-end fund investment companies, that trade on an exchange","page_number":85,"box":{"x":102,"y":695,"width":779,"height":11}},{"id":"caefbd93-7eab-43ff-85fe-6a51fff8410e","block_type":"box","text":"may at times be acquired at market prices representing premiums to their NAVs. In addition, investment companies","page_number":85,"box":{"x":69,"y":710,"width":824,"height":11}},{"id":"8007222b-c128-448e-acab-4373de7a54dd","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":85,"box":{"x":69,"y":725,"width":836,"height":11}},{"id":"abc2e6bf-c265-4198-9e17-ccc33b1bee4e","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":85,"box":{"x":68,"y":740,"width":839,"height":11}},{"id":"7a30fbbf-4a6c-4f5e-b549-3f5bb7950b56","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":85,"box":{"x":68,"y":755,"width":806,"height":11}},{"id":"7b564f43-75e1-4622-8075-c431f68b566f","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":85,"box":{"x":68,"y":771,"width":810,"height":10}},{"id":"979da5ff-5a33-4fb2-97bf-311dad35c11e","block_type":"box","text":"loss.","page_number":85,"box":{"x":70,"y":786,"width":31,"height":8}},{"id":"ea8e3e3a-5d28-44bf-a941-bc60ef7bb74a","block_type":"box","text":"In addition, if a Fund acquires shares in investment companies, including affiliated investment companies,","page_number":85,"box":{"x":102,"y":808,"width":758,"height":11}},{"id":"5a09479d-9d85-4a3a-89c5-b7f618ab749c","block_type":"box","text":"shareholders would bear both their proportionate share of expenses in the Fund and, indirectly, the expenses of such","page_number":85,"box":{"x":69,"y":823,"width":837,"height":11}},{"id":"627063d4-554e-4704-a020-cf00f8bfda83","block_type":"box","text":"investment companies. Such expenses, both at the Fund level and acquired investment company level, would include","page_number":85,"box":{"x":70,"y":838,"width":835,"height":11}},{"id":"0fb06799-dd25-467f-bb4d-a69931a8be21","block_type":"box","text":"management and advisory fees, unless such fees have been waived by BlackRock. Please see the relevant Fund’s","page_number":85,"box":{"x":69,"y":853,"width":816,"height":12}},{"id":"73178c1e-f2d6-4f6b-a86f-333b48d1253d","block_type":"box","text":"Prospectus to determine whether any such management and advisory fees have been waived by BlackRock.","page_number":85,"box":{"x":69,"y":869,"width":768,"height":11}},{"id":"40e7aa6c-6726-494d-befb-df0dc6fb85f5","block_type":"box","text":"Investments by a Fund in wholly owned investment entities created under the laws of certain countries will not be","page_number":85,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"02d084a4-2616-4751-b883-7e6c6672bfa9","block_type":"box","text":"deemed an investment in other investment companies. Pursuant to guidance issued by the staff of the Commission,","page_number":85,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"2e02b3b7-a357-4a3b-b86d-7bf4afa99523","block_type":"box","text":"II-47","page_number":85,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"17136e74-541f-4194-b4ab-076c8117907a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":85,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7950f36a-e5d7-4dfb-92a5-7a8458fbb516","block_type":"box","text":"fees and expenses of money market funds used for the investment of cash collateral received in connection with","page_number":86,"box":{"x":68,"y":45,"width":804,"height":11}},{"id":"dc5b8fbd-d7d1-4a2f-baba-16957c7b4594","block_type":"box","text":"loans of Fund securities are not treated as “acquired fund fees and expenses,” which are fees and expenses","page_number":86,"box":{"x":70,"y":60,"width":778,"height":11}},{"id":"79aac40e-6e56-4dd3-990b-4ef4338f5cdc","block_type":"box","text":"charged by other investment companies and pooled investment vehicles in which a Fund invests a portion of its","page_number":86,"box":{"x":69,"y":75,"width":796,"height":11}},{"id":"d12dfbf9-442c-4aa7-bd56-ccfbadf3ee36","block_type":"box","text":"assets.","page_number":86,"box":{"x":69,"y":91,"width":51,"height":8}},{"id":"08077e9a-fa74-4332-aab3-59fa9908d9e5","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":86,"box":{"x":101,"y":113,"width":776,"height":11}},{"id":"584fe9fd-895f-4794-a5b7-a91b9dab6054","block_type":"box","text":"may be limited. In addition, a fund-of-funds (","page_number":86,"box":{"x":69,"y":128,"width":313,"height":11}},{"id":"7fd1058a-736c-46b5-8de3-92c2633fce39","block_type":"box","text":"e.g.","page_number":86,"box":{"x":384,"y":129,"width":24,"height":10}},{"id":"c4a5960b-19d7-46fa-8ae7-fb94bdfb5359","block_type":"box","text":", an investment company that seeks to meet its investment objective","page_number":86,"box":{"x":411,"y":128,"width":491,"height":11}},{"id":"2420c53f-b279-4a6a-8b30-226264a47584","block_type":"box","text":"by investing significantly in other investment companies) may be limited in its ability to purchase underlying funds if","page_number":86,"box":{"x":69,"y":143,"width":823,"height":11}},{"id":"bb29e6a8-76f1-45dc-b35f-2e5777cc4f71","block_type":"box","text":"such underlying funds themselves own shares of underlying funds.","page_number":86,"box":{"x":69,"y":158,"width":472,"height":11}},{"id":"1b53e11b-6c45-4b55-93a8-92218e11ab73","block_type":"box","text":"A number of publicly traded closed-end investment companies have been organized to facilitate indirect foreign","page_number":86,"box":{"x":101,"y":181,"width":790,"height":11}},{"id":"ea4fff53-3dea-49ea-a3e7-7362b74bbd55","block_type":"box","text":"investment in developing countries, and certain of such countries, such as Thailand, South Korea, Chile and Brazil,","page_number":86,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"92a68521-83df-421c-9ca4-6a72c7c035bd","block_type":"box","text":"have specifically authorized such funds. There also are investment opportunities in certain of such countries in","page_number":86,"box":{"x":69,"y":211,"width":791,"height":11}},{"id":"3c2d3aa7-1127-4400-b200-784357933e2c","block_type":"box","text":"pooled vehicles that resemble open-end investment companies. The restrictions on investments in securities of","page_number":86,"box":{"x":70,"y":226,"width":795,"height":11}},{"id":"37e32c26-0a15-4855-b69f-5965170c2f98","block_type":"box","text":"investment companies set forth above may limit opportunities for a Fund to invest indirectly in certain developing","page_number":86,"box":{"x":70,"y":241,"width":807,"height":11}},{"id":"bd39152c-10be-4149-8438-a079de049c60","block_type":"box","text":"countries.","page_number":86,"box":{"x":69,"y":257,"width":69,"height":8}},{"id":"3c6d45bb-68a6-4d00-83f6-a5148c3790a4","block_type":"box","text":"Issuer Insolvency Risk.","page_number":86,"box":{"x":102,"y":279,"width":166,"height":11}},{"id":"3806af82-b43a-4b0a-a09e-c07c7556c82e","block_type":"box","text":"Certain Funds’ potential exposure to financially or operationally troubled issuers involves","page_number":86,"box":{"x":275,"y":279,"width":631,"height":11}},{"id":"1d51325a-96d8-42fa-8e81-71c42a83113d","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":86,"box":{"x":69,"y":294,"width":832,"height":11}},{"id":"8d88514c-22d1-49bf-9d31-3f3f239d19de","block_type":"box","text":"an issuer of securities held by a Fund become involved in a bankruptcy proceeding, reorganization or financial","page_number":86,"box":{"x":69,"y":309,"width":781,"height":11}},{"id":"2a4b90c3-b539-409d-8d89-1fbe9d08fcf6","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":86,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"9c73d620-67e4-46e1-94a0-e118e1a513f3","block_type":"box","text":"issuer uncertain.","page_number":86,"box":{"x":70,"y":340,"width":118,"height":8}},{"id":"a74687e3-21d4-4147-ae53-bad3610f711c","block_type":"box","text":"During the period of a bankruptcy proceeding, reorganization or financial restructuring, it is unlikely that a Fund","page_number":86,"box":{"x":102,"y":362,"width":788,"height":11}},{"id":"3447bf79-aeec-4883-bc44-afe44fcfd349","block_type":"box","text":"will receive any interest payments on the securities of the issuer. A Fund will be subject to significant uncertainty as","page_number":86,"box":{"x":68,"y":377,"width":827,"height":12}},{"id":"22045490-fa23-4951-88d3-5a1699eaa663","block_type":"box","text":"to whether the reorganization or restructuring will be completed, and the Fund may bear certain extraordinary","page_number":86,"box":{"x":68,"y":393,"width":779,"height":11}},{"id":"7407a978-b957-4155-b599-c749e384dfb4","block_type":"box","text":"expenses to protect and recover its investment. A Fund will also be subject to significant uncertainty as to when and","page_number":86,"box":{"x":69,"y":407,"width":829,"height":12}},{"id":"cfdb3854-aaae-45f6-95a3-0f28c95dd758","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":86,"box":{"x":70,"y":423,"width":797,"height":11}},{"id":"fe4856c7-d263-4784-b8f7-18cf1a30750f","block_type":"box","text":"eventually be satisfied.","page_number":86,"box":{"x":69,"y":438,"width":162,"height":11}},{"id":"214efb4d-d0f5-473a-9ddc-63a5043aff7f","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":86,"box":{"x":102,"y":460,"width":805,"height":12}},{"id":"5f1357d0-d156-48d4-bab9-678047dadc50","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":86,"box":{"x":70,"y":476,"width":827,"height":11}},{"id":"370356a6-b2be-4813-ae05-b2dc512e5bea","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":86,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"b758a23c-c88d-44f3-9ea2-eae2e6f64511","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":86,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"f649cc35-438d-437f-a570-9cacbfa0a830","block_type":"box","text":"interest in any collateral challenged, disallowed or subordinated to the claims or security interests of other creditors.","page_number":86,"box":{"x":70,"y":521,"width":830,"height":11}},{"id":"1d7f19d4-8ccf-4a2d-95f7-bf0fcbf13965","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":86,"box":{"x":70,"y":536,"width":805,"height":11}},{"id":"47af3b8c-791e-416a-92c3-94c1131dee78","block_type":"box","text":"introduce greater uncertainty regarding the outcome of the Fund’s securities holdings in the issuer. In a bankruptcy","page_number":86,"box":{"x":70,"y":551,"width":820,"height":11}},{"id":"22804d9a-e005-4fea-b295-670dabb1c1cb","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":86,"box":{"x":70,"y":566,"width":828,"height":11}},{"id":"88cfc37a-5a71-40c3-b0f5-ec2864f78b14","block_type":"box","text":"a Fund may receive different securities or other assets, including equity securities. These types of equity securities","page_number":86,"box":{"x":69,"y":581,"width":820,"height":12}},{"id":"45663367-1f44-4605-a43f-92152fe2034d","block_type":"box","text":"include, but are not limited to: common stock; preferred stock (including convertible preferred stock); bonds, notes","page_number":86,"box":{"x":70,"y":596,"width":820,"height":12}},{"id":"b770b9f9-0281-4f8a-9f1e-b3706f65bd8a","block_type":"box","text":"and debentures convertible into common or preferred stock; stock purchase warrants and rights; equity interests in","page_number":86,"box":{"x":69,"y":612,"width":824,"height":11}},{"id":"ebe3a671-8f8d-4919-bc58-6bbc3b1b8bd9","block_type":"box","text":"trusts; and depositary receipts. Equity securities are subject to changes in value, and their value may be more","page_number":86,"box":{"x":68,"y":627,"width":788,"height":11}},{"id":"fd8942f8-387a-4a27-83a1-09dd77ecfc0b","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":86,"box":{"x":68,"y":642,"width":826,"height":11}},{"id":"e367f538-58d1-4ff3-b110-8eeefa608ab9","block_type":"box","text":"securities because the status of equity holders is subordinate to debtholders in an issuer’s capital structure. The","page_number":86,"box":{"x":69,"y":657,"width":809,"height":11}},{"id":"ec9d968d-bc83-45ef-9dbc-e8f470de4013","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":86,"box":{"x":68,"y":672,"width":809,"height":11}},{"id":"9a800920-108f-407d-99b9-671a70b89db2","block_type":"box","text":"overall market and economic conditions, or conditions within the issuer’s region or industry, deteriorate.","page_number":86,"box":{"x":69,"y":687,"width":741,"height":11}},{"id":"9f732455-e507-4046-a4e8-24e95fb518c8","block_type":"box","text":"To the extent that a Fund receives other assets in connection with a bankruptcy proceeding, reorganization or","page_number":86,"box":{"x":101,"y":710,"width":780,"height":11}},{"id":"ab6a993c-c125-4c1e-ade1-38e4725f92d5","block_type":"box","text":"financial restructuring, the Fund may also be subject to additional risks associated with the assets received. One","page_number":86,"box":{"x":68,"y":725,"width":807,"height":11}},{"id":"f470da5d-44f3-461c-ab9c-652488b5f0ba","block_type":"box","text":"example of assets that a Fund could receive is an interest in one or more loans made to the issuer as part of a","page_number":86,"box":{"x":69,"y":740,"width":795,"height":11}},{"id":"334de3ba-c256-4299-b00f-09f101167949","block_type":"box","text":"workout agreed to by a consortium of lienholders and creditors of the issuer. A Fund may receive such interests in","page_number":86,"box":{"x":68,"y":755,"width":814,"height":11}},{"id":"df7e1136-1278-49d4-b905-09ac8c287b69","block_type":"box","text":"loans to the extent permitted by the Investment Company Act.","page_number":86,"box":{"x":70,"y":770,"width":439,"height":11}},{"id":"b7188f1a-2992-43ef-9032-72d0e8054d68","block_type":"box","text":"Securities or other assets received in a reorganization or restructuring typically entail a higher degree of risk than","page_number":86,"box":{"x":102,"y":793,"width":806,"height":11}},{"id":"f0f467d8-8db8-4532-83fa-d2ef62e6b765","block_type":"box","text":"investments in securities of issuers that have not undergone a reorganization or restructuring and may be subject to","page_number":86,"box":{"x":70,"y":808,"width":829,"height":11}},{"id":"897908f5-49ce-45e6-82b8-4fc1abe4faf2","block_type":"box","text":"heavy selling or downward pricing pressure after completion of the reorganization or restructuring. The post","page_number":86,"box":{"x":69,"y":823,"width":767,"height":12}},{"id":"1e8c6f36-be7a-4547-93e6-34ec2a83d523","block_type":"box","text":"reorganization/restructuring assets and securities may also be illiquid and difficult to sell or value. If a Fund","page_number":86,"box":{"x":69,"y":838,"width":771,"height":12}},{"id":"9a81b2a1-7c9f-4687-aea1-b5a6b1a2bffc","block_type":"box","text":"participates in negotiations with respect to a plan of reorganization or restructuring with respect to securities of the","page_number":86,"box":{"x":70,"y":853,"width":823,"height":12}},{"id":"a1a5967d-99a4-412a-872a-99500135760d","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":86,"box":{"x":70,"y":869,"width":822,"height":11}},{"id":"4d8a8e18-3cae-465c-8c43-584cd85a6128","block_type":"box","text":"becomes involved in such proceedings, the Fund may have more active participation in the affairs of the issuer than","page_number":86,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"a2d781f6-2e3c-4544-b658-572befad853e","block_type":"box","text":"that assumed generally by an investor.","page_number":86,"box":{"x":68,"y":899,"width":274,"height":11}},{"id":"675dbce9-c0a3-4176-93d0-a3e713f967ef","block_type":"box","text":"II-48","page_number":86,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3d27aca5-11e9-4293-bbce-4fca38e14225","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":86,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d38f6e5d-a993-40fc-bf22-98230cbbfe2c","block_type":"box","text":"Lease Obligations.","page_number":87,"box":{"x":102,"y":45,"width":133,"height":11}},{"id":"45ecc2aa-53e6-473b-a3da-249145ee08ee","block_type":"box","text":"A Fund may hold participation certificates in a lease, an installment purchase contract, or a","page_number":87,"box":{"x":241,"y":45,"width":653,"height":11}},{"id":"8c6d18d2-5f5b-4711-9bee-896cccb9ce9e","block_type":"box","text":"conditional sales contract (“lease obligations”). The Manager will monitor the credit standing of each borrower and","page_number":87,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"382195aa-0c35-4a3f-97b3-fd7724cf9508","block_type":"box","text":"each entity providing credit support and/or a put option relating to lease obligations.","page_number":87,"box":{"x":69,"y":75,"width":602,"height":11}},{"id":"7e433cdb-0fea-4fb2-8c60-828a59e62986","block_type":"box","text":"Life Settlement Investments.","page_number":87,"box":{"x":102,"y":98,"width":210,"height":9}},{"id":"4e40573c-8529-4766-a677-96201f8e8a63","block_type":"box","text":"A Fund may invest in life settlements, which are sales to third parties, such as the","page_number":87,"box":{"x":318,"y":98,"width":589,"height":11}},{"id":"03aedcaa-d391-4fa7-8c72-5bca852165b6","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":87,"box":{"x":70,"y":113,"width":838,"height":11}},{"id":"7a345a31-e09b-4676-a434-4b2749df20de","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":87,"box":{"x":70,"y":128,"width":834,"height":11}},{"id":"536a8aa8-8960-4343-be29-bcbc4c94c6c7","block_type":"box","text":"receipt of the net benefit as the beneficiary under the policy. Investments in these contracts involve certain risks,","page_number":87,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"569d9b71-ec9e-4eff-9723-fd5571c63278","block_type":"box","text":"including liquidity risk, credit risk of the insurance company, and inaccurate estimations of life expectancy of the","page_number":87,"box":{"x":70,"y":158,"width":797,"height":11}},{"id":"481d4041-15b8-485f-8cdb-da7b2f3f08dc","block_type":"box","text":"insured individuals (viators). These policies may be considered illiquid because they are bought and sold in a","page_number":87,"box":{"x":70,"y":173,"width":775,"height":11}},{"id":"d98bad01-cfb1-4da9-acff-1aa5d37431b5","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":87,"box":{"x":69,"y":188,"width":805,"height":12}},{"id":"f2fd3fed-bb98-4706-91ef-1757e20f448f","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":87,"box":{"x":70,"y":203,"width":789,"height":12}},{"id":"56eca706-d61c-4ede-885f-da1b4eac472f","block_type":"box","text":"investing in policies issued by a diverse range of highly-rated insurance carriers. Furthermore, a Fund may encounter","page_number":87,"box":{"x":70,"y":218,"width":829,"height":12}},{"id":"91937735-e8ac-4539-becc-01814481d929","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":87,"box":{"x":70,"y":234,"width":813,"height":11}},{"id":"0f0dc66a-ac30-4363-baee-0379578dd081","block_type":"box","text":"reduce this life expectancy risk by investing only in contracts where the life expectancy was reviewed by an","page_number":87,"box":{"x":69,"y":249,"width":758,"height":11}},{"id":"36753f4e-5529-4555-a475-217d975aa2c1","block_type":"box","text":"experienced actuary, as well as by diversifying its investments across viators of varying ages and medical profiles. In","page_number":87,"box":{"x":69,"y":264,"width":832,"height":11}},{"id":"53abf0ec-d0ff-487c-b11a-381598736285","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":87,"box":{"x":69,"y":279,"width":800,"height":11}},{"id":"1c113c07-fb38-464b-ab32-0c777c9fc79a","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":87,"box":{"x":68,"y":294,"width":809,"height":11}},{"id":"70faa08f-f8d4-4785-bae3-a80529ab0bb8","block_type":"box","text":"monitor its investments to ensure that the Fund remains qualified as a regulated investment company.","page_number":87,"box":{"x":69,"y":309,"width":730,"height":11}},{"id":"ef0f225b-1826-4e3d-9833-4d9823403384","block_type":"box","text":"Liquidity Risk Management.","page_number":87,"box":{"x":102,"y":332,"width":202,"height":11}},{"id":"a36457b7-e832-4d7e-869d-3b2ccea421ce","block_type":"box","text":"Rule 22e-4 under the Investment Company Act (the “Liquidity Rule”) requires open","page_number":87,"box":{"x":311,"y":332,"width":591,"height":11}},{"id":"238af4ba-4def-4069-a5b2-5e709c587e3f","block_type":"box","text":"end funds, such as the Funds, to adopt a liquidity risk management program and enhance disclosures regarding fund","page_number":87,"box":{"x":69,"y":347,"width":835,"height":11}},{"id":"6f80de01-57ae-497a-8ed3-ac513bba3366","block_type":"box","text":"liquidity. As required by the Liquidity Rule, the Funds have implemented a liquidity risk management program (the","page_number":87,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"b0ea1aa2-4c75-458c-b3ce-632a54222bb3","block_type":"box","text":"“Liquidity Program”), and the Boards of Directors of the Funds, including a majority of the independent Directors,","page_number":87,"box":{"x":70,"y":377,"width":801,"height":12}},{"id":"d6fd3710-686e-4f17-91c2-7e8543f2454f","block_type":"box","text":"have appointed the Manager as the liquidity risk program administrator of the Liquidity Program. Under the Liquidity","page_number":87,"box":{"x":69,"y":392,"width":822,"height":12}},{"id":"799d9e8e-a153-4af3-b744-c90006e60fee","block_type":"box","text":"Program, the Manager assesses, manages, and periodically reviews each Fund’s liquidity risk and classifies each","page_number":87,"box":{"x":69,"y":407,"width":808,"height":12}},{"id":"a4deb980-424b-4c82-88eb-f831c09b0a32","block_type":"box","text":"investment held by a Fund as a “highly liquid investment,” “moderately liquid investment,” “less liquid investment” or","page_number":87,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"abc7410b-0ed1-438c-8308-a8fe3b3da3ec","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":87,"box":{"x":70,"y":438,"width":804,"height":11}},{"id":"39c63b6d-4d17-4c29-96e0-8b5dcfc03500","block_type":"box","text":"redeem shares issued by the Fund without significant dilution of the remaining investors’ interests in the Fund. The","page_number":87,"box":{"x":69,"y":453,"width":821,"height":11}},{"id":"8ac2c542-aa26-40f8-b01d-856062483c5e","block_type":"box","text":"liquidity of a Fund’s portfolio investments is determined based on relevant market, trading and investment-specific","page_number":87,"box":{"x":70,"y":468,"width":815,"height":11}},{"id":"7a828a86-ec91-4edf-a843-e2c55eb0df6b","block_type":"box","text":"considerations under the Liquidity Program. To the extent that an investment is deemed to be an illiquid investment","page_number":87,"box":{"x":69,"y":483,"width":823,"height":11}},{"id":"7eecac26-3529-4183-b014-f0923e125bda","block_type":"box","text":"or a less liquid investment, a Fund can expect to be exposed to greater liquidity risk.","page_number":87,"box":{"x":69,"y":498,"width":601,"height":11}},{"id":"d0bb98d6-4264-48a6-8c3d-d559ea9ced2d","block_type":"box","text":"Master Limited Partnerships.","page_number":87,"box":{"x":102,"y":521,"width":211,"height":11}},{"id":"a7c536dd-0ff6-4387-9761-7de1a7e6c681","block_type":"box","text":"Certain Funds may invest in publicly traded master limited partnerships (“MLPs”)","page_number":87,"box":{"x":320,"y":521,"width":577,"height":11}},{"id":"7483c696-a337-4ed2-bd16-f3f768fa9850","block_type":"box","text":"which are limited partnerships or limited liability companies taxable as partnerships. MLPs may derive income and","page_number":87,"box":{"x":68,"y":536,"width":816,"height":11}},{"id":"0501d493-b6dd-41eb-a326-51018c4d5b13","block_type":"box","text":"gains from the exploration, development, mining or production, processing, refining, transportation (including","page_number":87,"box":{"x":68,"y":551,"width":777,"height":11}},{"id":"1651d60f-16aa-4348-8d71-56f1c57caa02","block_type":"box","text":"pipelines transporting gas, oil, or products thereof), or the marketing of any mineral or natural resources. MLPs","page_number":87,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"4230b537-314f-41cd-94b5-173f988a2525","block_type":"box","text":"generally have two classes of owners, the general partner and limited partners. When investing in an MLP, a Fund","page_number":87,"box":{"x":68,"y":581,"width":811,"height":12}},{"id":"319d5bc3-a5c6-4e75-a095-f24822ab5a99","block_type":"box","text":"intends to purchase publicly traded common units issued to limited partners of the MLP. The general partner is","page_number":87,"box":{"x":70,"y":596,"width":791,"height":12}},{"id":"1e221d05-8a5e-48b4-ba1d-8f2255ef777a","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":87,"box":{"x":68,"y":612,"width":812,"height":11}},{"id":"bcbda41f-f20b-4eb9-9763-a1722cfb9c8d","block_type":"box","text":"owned by one or more of such parties. The general partner may be structured as a private or publicly traded","page_number":87,"box":{"x":69,"y":627,"width":770,"height":11}},{"id":"d4bc6f2a-a262-423c-879c-a6314d8bc5e2","block_type":"box","text":"corporation or other entity. The general partner typically controls the operations and management of the MLP through","page_number":87,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"ae57f4f2-b8c2-4266-b321-97e96fcc819a","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":87,"box":{"x":69,"y":657,"width":799,"height":11}},{"id":"599d4ecc-34a9-4385-887e-e91d963c1fd3","block_type":"box","text":"Limited partners own the remainder of the partnership, through ownership of common units, and have a limited role","page_number":87,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"60621e2b-c9a1-47f4-b4cf-4af296524bce","block_type":"box","text":"in the partnership’s operations and management.","page_number":87,"box":{"x":70,"y":687,"width":352,"height":11}},{"id":"79fdc9c3-4b60-4e3e-8754-821d4f3f821b","block_type":"box","text":"MLPs are typically structured such that common units and general partner interests have first priority to receive","page_number":87,"box":{"x":102,"y":710,"width":794,"height":11}},{"id":"1ffbcea4-9676-40b2-b4c7-2f4792532ac6","block_type":"box","text":"quarterly cash distributions up to an established minimum amount (“minimum quarterly distributions” or “MQD”).","page_number":87,"box":{"x":69,"y":725,"width":809,"height":11}},{"id":"0f3fb25a-4dd1-4663-9c8b-836e9d5c3d07","block_type":"box","text":"Common and general partner interests also accrue arrearages in distributions to the extent the MQD is not paid.","page_number":87,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"9a84490a-2a9e-4275-80dd-c8f3a03dae7d","block_type":"box","text":"Once common and general partner interests have been paid, subordinated units receive distributions of up to the","page_number":87,"box":{"x":69,"y":755,"width":808,"height":11}},{"id":"5e00e87f-7b43-449c-8167-d7a3776f18ee","block_type":"box","text":"MQD; however, subordinated units do not accrue arrearages. Distributable cash in excess of the MQD paid to both","page_number":87,"box":{"x":70,"y":770,"width":816,"height":12}},{"id":"ea0372ba-4e8e-42f3-83ef-ca7fc4696d90","block_type":"box","text":"common and subordinated units is distributed to both common and subordinated units generally on a pro rata basis.","page_number":87,"box":{"x":69,"y":786,"width":831,"height":11}},{"id":"f839b851-99d5-4bd8-97d0-c7e024a1bca3","block_type":"box","text":"The general partner is also eligible to receive incentive distributions if the general partner operates the business in a","page_number":87,"box":{"x":68,"y":801,"width":835,"height":11}},{"id":"8000c6a2-e4d4-4d62-aa3b-b85356eab8f4","block_type":"box","text":"manner which results in distributions paid per common unit surpassing specified target levels. As the general partner","page_number":87,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"b9708cb6-7157-4178-b1bc-c9a672c75206","block_type":"box","text":"increases cash distributions to the limited partners, the general partner receives an increasingly higher percentage of","page_number":87,"box":{"x":70,"y":831,"width":839,"height":11}},{"id":"08ca7939-23e2-46c0-9275-f49ffcb53d3c","block_type":"box","text":"the incremental cash distributions. A common arrangement provides that the general partner can reach a tier where","page_number":87,"box":{"x":68,"y":846,"width":828,"height":11}},{"id":"a195d81d-be47-4775-a6db-e42cc5fe6a16","block_type":"box","text":"it receives 50% of every incremental dollar paid to common and subordinated unit holders. These incentive","page_number":87,"box":{"x":70,"y":861,"width":761,"height":11}},{"id":"0621543b-1458-457c-8b98-a0f83d131cf8","block_type":"box","text":"distributions encourage the general partner to streamline costs, increase capital expenditures and acquire assets in","page_number":87,"box":{"x":69,"y":876,"width":830,"height":11}},{"id":"152d87e9-de8b-4131-a995-498d47a05b50","block_type":"box","text":"order to increase the partnership’s cash flow and raise the quarterly cash distribution in order to reach higher tiers.","page_number":87,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"f345ba6c-db9e-460a-a44d-7a9f6c85b990","block_type":"box","text":"Such results benefit all security holders of the MLP.","page_number":87,"box":{"x":69,"y":906,"width":366,"height":12}},{"id":"4c0b6351-6eb6-44aa-bc92-62c4c95bd2a9","block_type":"box","text":"II-49","page_number":87,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3407fd06-d897-4c12-b526-cbccdd15ad0f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":87,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"be625cef-73e1-4b75-bc88-144a44cb0302","block_type":"box","text":"MLP common units represent a limited partnership interest in the MLP. Common units are listed and traded on","page_number":88,"box":{"x":102,"y":45,"width":790,"height":11}},{"id":"9feb4b3b-d29b-4961-8d83-13ac1e9ddf0f","block_type":"box","text":"U.S. securities exchanges, with their value fluctuating predominantly based on prevailing market conditions and the","page_number":88,"box":{"x":70,"y":60,"width":820,"height":11}},{"id":"0e3e36aa-5f2c-44e1-aa9f-d6c1913dfaa7","block_type":"box","text":"success of the MLP. Certain Funds intend to purchase common units in market transactions. Unlike owners of","page_number":88,"box":{"x":69,"y":75,"width":787,"height":11}},{"id":"0f5020d0-7a74-4a30-8bf0-232246382786","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":88,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"89bebe4e-bc72-4aeb-87a0-0f6ff9903cd4","block_type":"box","text":"elect directors. In the event of liquidation, common units have preference over subordinated units, but not over debt","page_number":88,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"7da263ce-ed4e-4ab1-ab4f-6fbd5d0ad1dc","block_type":"box","text":"or preferred units, to the remaining assets of the MLP.","page_number":88,"box":{"x":69,"y":120,"width":387,"height":12}},{"id":"fbd7f5b7-7d81-48dd-898c-a4608c305b6e","block_type":"box","text":"Merger Transaction Risk.","page_number":88,"box":{"x":102,"y":143,"width":183,"height":11}},{"id":"8e47fa1c-634e-4150-ad45-b5d56388775c","block_type":"box","text":"A Fund may buy stock of the target company in an announced merger transaction prior","page_number":88,"box":{"x":291,"y":143,"width":616,"height":11}},{"id":"586387ea-f8aa-4c5d-8d90-3d73b61a3187","block_type":"box","text":"to the consummation of such transaction. In that circumstance, a Fund would expect to receive an amount (whether","page_number":88,"box":{"x":68,"y":158,"width":827,"height":11}},{"id":"32a34901-1567-4599-b96e-40973da2af1c","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":88,"box":{"x":70,"y":173,"width":816,"height":11}},{"id":"fea0291e-aef7-4cac-b877-03266bce280f","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":88,"box":{"x":68,"y":188,"width":825,"height":12}},{"id":"8df59542-25cd-4743-854e-ac26102ad29c","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":88,"box":{"x":69,"y":203,"width":832,"height":12}},{"id":"7ec3ee37-0ada-448f-8282-26a8eae974d1","block_type":"box","text":"the Fund and may lose significant value.","page_number":88,"box":{"x":68,"y":218,"width":286,"height":12}},{"id":"f543ee13-0b46-44b1-9f0d-b52761e27f44","block_type":"box","text":"Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S. Banks.","page_number":88,"box":{"x":102,"y":241,"width":723,"height":11}},{"id":"e96596c3-2b3a-455a-ab75-4d2ea784cd7c","block_type":"box","text":"Certain","page_number":88,"box":{"x":831,"y":241,"width":50,"height":9}},{"id":"2c5b9820-55ea-4c72-b7bd-e71f6741b005","block_type":"box","text":"Funds may purchase bank obligations, such as certificates of deposit, notes, bankers’ acceptances and time","page_number":88,"box":{"x":70,"y":256,"width":778,"height":12}},{"id":"e73434e0-7e10-4205-bf8d-64e991250a48","block_type":"box","text":"deposits, including instruments issued or supported by the credit of U.S. or foreign banks or savings institutions","page_number":88,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"4b151268-c314-49b8-9e65-074602d8f1da","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":88,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"4bd6cf8e-bab8-4a9b-b8e8-f9e63a880028","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":88,"box":{"x":68,"y":302,"width":794,"height":11}},{"id":"95dfdac9-e01a-43c6-b89f-392effe4bfa8","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":88,"box":{"x":68,"y":317,"width":781,"height":11}},{"id":"665a4dcb-3f00-4784-9444-32d305a76329","block_type":"box","text":"domestic and foreign branches for purposes of a Fund’s investment policies. Investments in short-term bank","page_number":88,"box":{"x":69,"y":332,"width":776,"height":11}},{"id":"47285a5e-f444-400e-8eca-e29c2f81381e","block_type":"box","text":"obligations may include obligations of foreign banks and domestic branches of foreign banks, and also foreign","page_number":88,"box":{"x":69,"y":347,"width":785,"height":11}},{"id":"db85ed6d-eb2d-476d-812b-935b6d579e64","block_type":"box","text":"branches of domestic banks.","page_number":88,"box":{"x":69,"y":362,"width":205,"height":9}},{"id":"b689389f-c6d9-4a8d-949e-9f4ffb009fcb","block_type":"box","text":"To the extent consistent with their investment objectives, a Fund may invest in debt obligations of domestic or","page_number":88,"box":{"x":101,"y":385,"width":785,"height":11}},{"id":"6519d720-768d-4bda-a064-e1a59570f233","block_type":"box","text":"foreign corporations and banks, and may acquire commercial obligations issued by Canadian corporations and","page_number":88,"box":{"x":68,"y":400,"width":787,"height":11}},{"id":"3268a3f9-2049-44ec-af8c-3118d801c4fa","block_type":"box","text":"Canadian counterparts of U.S. corporations, as well as Europaper, which is U.S. dollar-denominated commercial","page_number":88,"box":{"x":69,"y":415,"width":797,"height":11}},{"id":"0080866d-561a-4dbf-b847-8c9ac16d89ce","block_type":"box","text":"paper of a foreign issuer.","page_number":88,"box":{"x":70,"y":430,"width":176,"height":11}},{"id":"2ae6c524-3ef9-4333-858a-6dee99c9617f","block_type":"box","text":"Money Market Securities.","page_number":88,"box":{"x":102,"y":453,"width":188,"height":11}},{"id":"7dbd32af-6724-4d8e-9b88-1a7b3dc3c98e","block_type":"box","text":"Certain Funds may invest in a broad range of short-term, high quality, U.S. dollar","page_number":88,"box":{"x":296,"y":453,"width":578,"height":11}},{"id":"e4aa5a00-b33d-49b7-abcd-49f85d817f0b","block_type":"box","text":"denominated instruments, such as government, bank, commercial and other obligations that are available in the","page_number":88,"box":{"x":69,"y":468,"width":802,"height":11}},{"id":"102729ef-c40b-4ff2-8b25-ee14f47b8b22","block_type":"box","text":"money markets. In particular, the Funds may invest in:","page_number":88,"box":{"x":69,"y":483,"width":386,"height":11}},{"id":"86dc8ce6-a7b0-4eb7-bbe8-f26801c9d2e2","block_type":"box","text":"(a) U.S. dollar-denominated obligations issued or supported by the credit of U.S. or foreign banks or savings","page_number":88,"box":{"x":69,"y":503,"width":779,"height":12}},{"id":"64079e8a-8459-4cba-b3b9-79cb0b35fae1","block_type":"box","text":"institutions with total assets in excess of $1 billion (including obligations of foreign branches of such banks);","page_number":88,"box":{"x":102,"y":518,"width":776,"height":12}},{"id":"0433a374-88f6-4f8d-8782-535fa246aefd","block_type":"box","text":"(b) high quality commercial paper and other obligations issued or guaranteed by U.S. and foreign corporations and","page_number":88,"box":{"x":69,"y":538,"width":821,"height":12}},{"id":"4378bafd-6873-497f-86da-5fd76b14191a","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":88,"box":{"x":102,"y":554,"width":795,"height":11}},{"id":"20aadb4c-d7d2-4093-8dca-cc1eaacfeb59","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":88,"box":{"x":102,"y":569,"width":757,"height":11}},{"id":"cd34de68-5b92-43d3-8ca9-a8c758eb575c","block_type":"box","text":"agencies;","page_number":88,"box":{"x":102,"y":584,"width":66,"height":11}},{"id":"a180890a-c2ec-4894-a4a2-469021a61936","block_type":"box","text":"(c) unrated notes, paper and other instruments that are of comparable quality to the instruments described in","page_number":88,"box":{"x":69,"y":604,"width":792,"height":11}},{"id":"0191b9e3-312e-48c4-a182-fdcef10c9e99","block_type":"box","text":"(b) above as determined by the Fund’s Manager;","page_number":88,"box":{"x":102,"y":619,"width":344,"height":11}},{"id":"9d550cf7-c615-46a6-9f34-c372e4c7b96d","block_type":"box","text":"(d) asset-backed securities (including interests in pools of assets such as mortgages, installment purchase","page_number":88,"box":{"x":69,"y":639,"width":776,"height":12}},{"id":"04876d85-9f5f-4d35-8b7a-63aacbc39bd8","block_type":"box","text":"obligations and credit card receivables);","page_number":88,"box":{"x":102,"y":655,"width":283,"height":11}},{"id":"155bf270-1c81-46ba-8689-e1614a7c01c7","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":88,"box":{"x":69,"y":675,"width":778,"height":11}},{"id":"4dd42f00-9499-406d-9ab7-f9badf90892a","block_type":"box","text":"authorities and related custodial receipts;","page_number":88,"box":{"x":102,"y":690,"width":296,"height":11}},{"id":"34a5b507-d57d-4e9b-9676-be3173c52a36","block_type":"box","text":"(f) dollar-denominated securities issued or guaranteed by foreign governments or their political subdivisions,","page_number":88,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"93c87836-e2d4-4fba-8aae-fc5e0ae1f301","block_type":"box","text":"agencies or authorities;","page_number":88,"box":{"x":102,"y":725,"width":166,"height":11}},{"id":"cc52ecf1-e8fb-4f5d-912a-fc60c10be05d","block_type":"box","text":"(g) funding agreements issued by highly-rated U.S. insurance companies;","page_number":88,"box":{"x":69,"y":745,"width":528,"height":11}},{"id":"b04a04af-cfd5-48b2-a799-5385d7a5c1d1","block_type":"box","text":"(h) securities issued or guaranteed by state or local governmental bodies;","page_number":88,"box":{"x":69,"y":766,"width":534,"height":11}},{"id":"9396c94e-e659-4789-888a-4446465de32b","block_type":"box","text":"(i) repurchase agreements relating to the above instruments;","page_number":88,"box":{"x":69,"y":786,"width":447,"height":11}},{"id":"b0ad0acf-b61c-40bb-961b-f38e087edb8d","block_type":"box","text":"(j) municipal bonds and notes whose principal and interest payments are guaranteed by the U.S. Government or","page_number":88,"box":{"x":69,"y":806,"width":812,"height":11}},{"id":"cc688735-f2ff-4257-8e69-cdc377c5415b","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":88,"box":{"x":102,"y":821,"width":766,"height":11}},{"id":"e3fda560-abf8-415b-9aa6-4dfbe36dc706","block_type":"box","text":"States;","page_number":88,"box":{"x":102,"y":836,"width":49,"height":10}},{"id":"5ac0ddc8-659b-4324-b0de-2ff0f390d8b1","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":88,"box":{"x":69,"y":856,"width":829,"height":11}},{"id":"a74745dc-839e-4a7f-bb0d-e636adbb036a","block_type":"box","text":"SP-2 or A-2 or higher by S&P, or F-2 or higher by Fitch;","page_number":88,"box":{"x":102,"y":871,"width":379,"height":11}},{"id":"7fa627a7-625a-4132-b39f-a4ffe07743a7","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":88,"box":{"x":69,"y":891,"width":826,"height":12}},{"id":"51bb8ba0-0f40-465d-96d3-f22e3a3473a1","block_type":"box","text":"S&P, or F-2 or higher by Fitch;","page_number":88,"box":{"x":102,"y":906,"width":207,"height":12}},{"id":"1ac125c8-87d6-4282-94e7-8695e150fb7f","block_type":"box","text":"II-50","page_number":88,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"21a6b2d5-b677-4d75-bf0f-d772bc2689b7","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":88,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a4437e96-dcc4-492c-9119-9c1459e12b65","block_type":"box","text":"(m) municipal bonds rated A or higher by Moody’s, S&P or Fitch;","page_number":89,"box":{"x":69,"y":45,"width":458,"height":11}},{"id":"5a83aec5-5f94-4f2f-a958-e3165bcc6e20","block_type":"box","text":"(n) unrated notes, paper or other instruments that are of comparable quality to the instruments described above, as","page_number":89,"box":{"x":69,"y":65,"width":837,"height":11}},{"id":"289cffc4-ad11-4e48-a47a-a1f707bcabda","block_type":"box","text":"determined by the Fund’s Manager under guidelines established by the Board; and","page_number":89,"box":{"x":101,"y":80,"width":589,"height":11}},{"id":"37fcd401-0517-4bed-ab46-18d888b0f7f8","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":89,"box":{"x":69,"y":100,"width":795,"height":11}},{"id":"80547dc6-c050-46b3-91a5-32b09b01c4f1","block_type":"box","text":"agency or instrumentality thereof or which otherwise depend directly or indirectly on the credit of the United","page_number":89,"box":{"x":102,"y":115,"width":764,"height":11}},{"id":"de1658d3-217b-4a5c-986b-51483e7e87d0","block_type":"box","text":"States.","page_number":89,"box":{"x":102,"y":130,"width":49,"height":9}},{"id":"e603639e-68ef-45b2-9d51-a2449f422bf4","block_type":"box","text":"Mortgage-Related Securities.","page_number":89,"box":{"x":102,"y":153,"width":213,"height":11}},{"id":"0fc0ed79-a982-4b9e-a6a5-7979018fa18d","block_type":"box","text":"Mor tgage-Backed Securities.","page_number":89,"box":{"x":102,"y":176,"width":203,"height":11}},{"id":"b644b7ee-dda6-41a0-a348-54471d50cd2f","block_type":"box","text":"Mortgage-backed securities represent interests in pools of mortgages in which","page_number":89,"box":{"x":312,"y":176,"width":560,"height":11}},{"id":"e1772793-49d8-4162-8acb-4ecd7c8c1fd1","block_type":"box","text":"payments of both principal and interest on the securities are generally made monthly, in effect “passing through”","page_number":89,"box":{"x":70,"y":191,"width":805,"height":11}},{"id":"d9be0902-ee53-426a-b2ff-348997da6594","block_type":"box","text":"monthly payments made by borrowers on the residential or commercial mortgage loans that underlie the securities","page_number":89,"box":{"x":69,"y":206,"width":819,"height":11}},{"id":"34e2b2e9-908e-4e32-b934-1504d11d4989","block_type":"box","text":"(net of any fees paid to the issuer or guarantor of the securities). Mortgage-backed securities differ from other forms","page_number":89,"box":{"x":69,"y":221,"width":832,"height":11}},{"id":"99c96125-29d4-491e-9397-0c69c139df61","block_type":"box","text":"of debt securities, which normally provide for periodic payment of interest in fixed amounts with principal payments at","page_number":89,"box":{"x":69,"y":236,"width":838,"height":11}},{"id":"4a7415a9-6453-4b30-8c24-3e071e17997d","block_type":"box","text":"maturity or specified call dates.","page_number":89,"box":{"x":69,"y":251,"width":222,"height":11}},{"id":"77e38970-8687-4731-903d-6379f72e0c4c","block_type":"box","text":"Mortgage-backed securities are subject to the general risks associated with investing in real estate securities;","page_number":89,"box":{"x":102,"y":274,"width":785,"height":11}},{"id":"1f4819c1-49c1-401f-b005-7ac43594d3af","block_type":"box","text":"that is, they may lose value if the value of the underlying real estate to which a pool of mortgages relates declines. In","page_number":89,"box":{"x":68,"y":289,"width":838,"height":11}},{"id":"613f5472-e4af-4bd5-a2d5-2d18238aedbc","block_type":"box","text":"addition, investments in mortgage-backed securities involve certain specific risks. These risks include the failure of a","page_number":89,"box":{"x":69,"y":304,"width":836,"height":11}},{"id":"06d247cf-9268-4c13-8873-1c538f0bb548","block_type":"box","text":"party to meet its commitments under the related operative documents, adverse interest rate changes and the effects","page_number":89,"box":{"x":70,"y":319,"width":837,"height":12}},{"id":"45b50197-1c51-4900-a052-7fd9f5600cd9","block_type":"box","text":"of prepayments on mortgage cash flows. Mortgage-backed securities are “pass-through” securities, meaning that","page_number":89,"box":{"x":69,"y":334,"width":810,"height":12}},{"id":"d7f8485c-f506-4519-91c5-3838357c5c8c","block_type":"box","text":"principal and interest payments made by the borrower on the underlying mortgages are passed through to a Fund.","page_number":89,"box":{"x":70,"y":350,"width":811,"height":11}},{"id":"09d23f76-50de-4774-a9a3-5950dd758e50","block_type":"box","text":"Accordingly, the value of mortgage-backed securities in which a Fund invests may be particularly sensitive to changes","page_number":89,"box":{"x":68,"y":365,"width":837,"height":11}},{"id":"a404a728-a2f3-4b56-8ece-24c8b687a338","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":89,"box":{"x":70,"y":380,"width":834,"height":11}},{"id":"5ad0248e-3540-4cad-8492-3c6f60838d84","block_type":"box","text":"successfully may depend in part upon the ability of the Manager to forecast interest rates and other economic factors","page_number":89,"box":{"x":69,"y":395,"width":840,"height":11}},{"id":"befd258c-573f-4fb0-878e-df86008991e0","block_type":"box","text":"correctly. The value of mortgage-backed securities, like that of traditional fixed-income securities, typically increases","page_number":89,"box":{"x":69,"y":410,"width":827,"height":11}},{"id":"532c7308-c40c-425b-9c1c-07b65d3b8235","block_type":"box","text":"when interest rates fall and decreases when interest rates rise. However, mortgage-backed securities differ from","page_number":89,"box":{"x":68,"y":425,"width":805,"height":11}},{"id":"b3872f72-54f7-4987-b97a-45961b2755ea","block_type":"box","text":"traditional fixed-income securities because of their potential for prepayment without penalty. The price paid by a Fund","page_number":89,"box":{"x":68,"y":440,"width":834,"height":11}},{"id":"a08f7540-045b-41c4-ae88-ff0a69e60450","block_type":"box","text":"for its mortgage-backed securities, the yield the Fund expects to receive from such securities and the weighted","page_number":89,"box":{"x":68,"y":455,"width":791,"height":12}},{"id":"9527dc0b-44de-413b-a858-c9ea83ab8966","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":89,"box":{"x":69,"y":470,"width":816,"height":12}},{"id":"6cf34f9f-f87e-4cdc-b8c6-9b0c04cd8cb7","block_type":"box","text":"underlying mortgages. In a period of declining interest rates, borrowers may prepay the underlying mortgages more","page_number":89,"box":{"x":69,"y":486,"width":819,"height":11}},{"id":"95260fac-92ed-49e5-8866-02dce41de987","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the mortgage-backed","page_number":89,"box":{"x":69,"y":501,"width":761,"height":11}},{"id":"198ea465-179a-4120-a227-9d8443e512f3","block_type":"box","text":"securities. Moreover, when a Fund reinvests the proceeds of a prepayment in these circumstances, it will likely","page_number":89,"box":{"x":69,"y":516,"width":791,"height":11}},{"id":"3330a33a-9d17-4362-96e8-f13c9faa4580","block_type":"box","text":"receive a rate of interest that is lower than the rate on the security that was prepaid.","page_number":89,"box":{"x":69,"y":531,"width":602,"height":11}},{"id":"af3f1b5a-21bb-4b20-8564-91e8c23dc1e7","block_type":"box","text":"To the extent that a Fund purchases mortgage-backed securities at a premium, mortgage foreclosures and","page_number":89,"box":{"x":101,"y":554,"width":761,"height":11}},{"id":"5f891501-f1df-40dc-9ca4-d686fd800789","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":89,"box":{"x":70,"y":569,"width":800,"height":11}},{"id":"190c0e4a-f11c-4f6c-a475-3024e7b2d8b6","block_type":"box","text":"discount, both scheduled payments of principal and unscheduled prepayments will increase current and total returns","page_number":89,"box":{"x":69,"y":584,"width":833,"height":11}},{"id":"3f359079-383e-44f4-9b62-6fb88acb3fb2","block_type":"box","text":"and will accelerate the recognition of income, which, when distributed to shareholders, will be taxable as ordinary","page_number":89,"box":{"x":69,"y":599,"width":809,"height":11}},{"id":"7adb68bc-01b9-457c-a553-fe456bb34bee","block_type":"box","text":"income. In a period of rising interest rates, prepayments of the underlying mortgages may occur at a slower than","page_number":89,"box":{"x":70,"y":614,"width":801,"height":11}},{"id":"b6cd147e-5c41-47ab-8845-56d17bea7cfe","block_type":"box","text":"expected rate, creating maturity extension risk. This particular risk may effectively change a security that was","page_number":89,"box":{"x":69,"y":629,"width":778,"height":11}},{"id":"e232ffcc-5476-43d2-9863-f5e91d9a5e48","block_type":"box","text":"considered short- or intermediate-term at the time of purchase into a long-term security. Since the value of long-term","page_number":89,"box":{"x":69,"y":644,"width":831,"height":12}},{"id":"faffe06f-70be-4c77-8835-4844e0ea16dd","block_type":"box","text":"securities generally fluctuates more widely in response to changes in interest rates than that of shorter-term","page_number":89,"box":{"x":69,"y":659,"width":773,"height":12}},{"id":"da7770d8-39f1-4de2-b7dc-029f94aa2b68","block_type":"box","text":"securities, maturity extension risk could increase the inherent volatility of the Fund. Under certain interest rate and","page_number":89,"box":{"x":69,"y":675,"width":818,"height":11}},{"id":"65554192-d179-4393-aea3-8d2fea0cfbc8","block_type":"box","text":"prepayment scenarios, a Fund may fail to recoup fully its investment in mortgage-backed securities notwithstanding","page_number":89,"box":{"x":70,"y":690,"width":822,"height":11}},{"id":"b73f21d1-5fcd-4d79-9c38-21d8410ca14f","block_type":"box","text":"any direct or indirect governmental or agency guarantee.","page_number":89,"box":{"x":69,"y":705,"width":399,"height":11}},{"id":"ba6eddae-c44b-4380-a7e8-f6b3dde40ea1","block_type":"box","text":"There are currently three types of mortgage pass-through securities: (1) those issued by the U.S. Government or","page_number":89,"box":{"x":101,"y":727,"width":802,"height":12}},{"id":"e2b7a4ae-321f-4bfc-9331-06953e63baf6","block_type":"box","text":"one of its agencies or instrumentalities, such as the Government National Mortgage Association (“Ginnie Mae”), the","page_number":89,"box":{"x":69,"y":743,"width":830,"height":11}},{"id":"bcd8243d-04de-47f0-b8d2-c99e3774bd4b","block_type":"box","text":"Federal National Mortgage Association (“Fannie Mae”) and the Federal Home Loan Mortgage Corporation (“Freddie","page_number":89,"box":{"x":70,"y":758,"width":818,"height":11}},{"id":"e2dcb140-701b-487f-a2a8-49aff03af2c5","block_type":"box","text":"Mac”); (2) those issued by private issuers that represent an interest in or are collateralized by pass-through","page_number":89,"box":{"x":70,"y":773,"width":766,"height":11}},{"id":"95175ff1-6a8e-4b0f-b25b-44e509cf0964","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":89,"box":{"x":69,"y":788,"width":808,"height":11}},{"id":"8f815959-1cd2-48a7-998e-1e5f56a20ad1","block_type":"box","text":"issued by private issuers that represent an interest in or are collateralized by whole mortgage loans or pass-through","page_number":89,"box":{"x":70,"y":803,"width":825,"height":11}},{"id":"0d0d2e0c-0b81-45f7-967b-7bf3c378375e","block_type":"box","text":"securities without a government guarantee but that usually have some form of private credit enhancement.","page_number":89,"box":{"x":69,"y":818,"width":761,"height":11}},{"id":"d6f555b1-5f08-4885-b474-bcab639ca12f","block_type":"box","text":"Ginnie Mae is a wholly owned U.S. Government corporation within the Department of Housing and Urban","page_number":89,"box":{"x":102,"y":841,"width":743,"height":11}},{"id":"12488d38-5b83-4798-8062-3a8537bf108f","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":89,"box":{"x":70,"y":856,"width":831,"height":11}},{"id":"3232455a-65f7-4054-ab19-8a6a5ee048fb","block_type":"box","text":"payment of principal and interest on securities issued by the institutions approved by Ginnie Mae (such as savings","page_number":89,"box":{"x":70,"y":871,"width":815,"height":11}},{"id":"36bc0e73-8422-4eaa-a664-15356afdf30b","block_type":"box","text":"and loan institutions, commercial banks and mortgage banks), and backed by pools of Federal Housing","page_number":89,"box":{"x":69,"y":886,"width":737,"height":12}},{"id":"63435ccf-b7fe-479c-a5ad-44a04cfe595d","block_type":"box","text":"Administration (“FHA”)-insured or Veterans’ Administration (“VA”)-guaranteed mortgages. Pass-through certificates","page_number":89,"box":{"x":68,"y":901,"width":814,"height":12}},{"id":"a95dc438-4f7f-48b0-8712-9acc1dd7ef8d","block_type":"box","text":"II-51","page_number":89,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6313bbfe-7955-41b6-b117-cdaf1a849118","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":89,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2119e13a-c48f-4f28-85f6-96c871b468af","block_type":"box","text":"guaranteed by Ginnie Mae (such certificates are also known as “Ginnie Maes”) are guaranteed as to the timely","page_number":90,"box":{"x":68,"y":45,"width":794,"height":11}},{"id":"d565a368-7ac0-4407-b60e-2fdeb1ee8893","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":90,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"0d6af9e4-7feb-46b5-b500-3dac887f57f2","block_type":"box","text":"States. Ginnie Mae certificates also are supported by the authority of Ginnie Mae to borrow funds from the U.S.","page_number":90,"box":{"x":69,"y":75,"width":798,"height":11}},{"id":"3e1cdd4b-d7ca-4262-836d-d016007758da","block_type":"box","text":"Treasury Department to make payments under its guarantee. Mortgage-related securities issued by Fannie Mae","page_number":90,"box":{"x":68,"y":90,"width":798,"height":11}},{"id":"15016a41-2e5f-4120-9d15-7757a503c0e2","block_type":"box","text":"include Fannie Mae guaranteed Mortgage Pass-Through Certificates (also known as “Fannie Maes”), which are","page_number":90,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"45bb3434-7c27-4a35-8797-c84972c78fde","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":90,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"7754677a-305d-47a9-ba55-86fb9f05e8a2","block_type":"box","text":"faith and credit of the United States, but are supported by the right of Fannie Mae to borrow from the U.S. Treasury","page_number":90,"box":{"x":68,"y":135,"width":825,"height":12}},{"id":"06201600-1f72-4d9f-9865-e10a225e5089","block_type":"box","text":"Department. Fannie Mae was established as a federal agency in 1938 and in 1968 was chartered by Congress as a","page_number":90,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"8ef2fba8-d907-4974-888e-9f85487d8a1a","block_type":"box","text":"private shareholder-owned company. Mortgage-related securities issued by Freddie Mac include Freddie Mac","page_number":90,"box":{"x":70,"y":166,"width":770,"height":11}},{"id":"ca9eded4-7e26-47c2-92a7-c2c934b9d234","block_type":"box","text":"Mortgage Participation Certificates (also known as “Freddie Macs” or “PCs”). Freddie Mac is a stockholder-owned","page_number":90,"box":{"x":70,"y":181,"width":812,"height":11}},{"id":"1f9ae7e5-91e6-4f54-9e11-15b85f671b09","block_type":"box","text":"corporation chartered by Congress in 1970. Freddie Macs are not guaranteed by the United States or by any Federal","page_number":90,"box":{"x":69,"y":196,"width":829,"height":11}},{"id":"8e6a81ce-5b7e-4867-be0c-c3fc904e9b45","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":90,"box":{"x":70,"y":211,"width":832,"height":11}},{"id":"fe7824de-88e1-494b-bab9-133758b0f7c1","block_type":"box","text":"Freddie Macs entitle the holder to timely payment of interest, which is guaranteed by Freddie Mac. Freddie Mac","page_number":90,"box":{"x":70,"y":226,"width":792,"height":11}},{"id":"234d9656-b38b-4f6e-99cf-edf910218b75","block_type":"box","text":"guarantees either ultimate collection or timely payment of all principal payments on the underlying mortgage loans.","page_number":90,"box":{"x":68,"y":241,"width":819,"height":11}},{"id":"45d79ee6-0dad-4a95-867c-a2f159bfb453","block_type":"box","text":"While Freddie Mac generally does not guarantee timely payment of principal, Freddie Mac may remit the amount due","page_number":90,"box":{"x":68,"y":256,"width":829,"height":12}},{"id":"c71ecc8d-c81f-4118-8f1e-ff505551d523","block_type":"box","text":"on account of its guarantee of ultimate payment of principal at any time after default on an underlying mortgage, but","page_number":90,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"0b61d972-7037-4993-b6b4-0bac4f85ca21","block_type":"box","text":"in no event later than one year after it becomes payable.","page_number":90,"box":{"x":70,"y":286,"width":401,"height":12}},{"id":"bc17d353-3ede-472e-898b-f8e5b2ff3c98","block_type":"box","text":"Private mortgage pass-through securities are structured similarly to Ginnie Mae, Fannie Mae, and Freddie Mac","page_number":90,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"192dd473-916b-4d77-9a88-45e954842623","block_type":"box","text":"mortgage pass-through securities and are issued by originators of and investors in mortgage loans, including","page_number":90,"box":{"x":69,"y":324,"width":777,"height":12}},{"id":"791c65ee-7fb3-4d6a-a654-4642a32e4242","block_type":"box","text":"depository institutions, mortgage banks, investment banks and special purpose subsidiaries of the foregoing.","page_number":90,"box":{"x":69,"y":339,"width":782,"height":12}},{"id":"d52aa732-aa2d-4b51-96ef-703238741400","block_type":"box","text":"Pools created by private mortgage pass-through issuers generally offer a higher rate of interest than government","page_number":90,"box":{"x":102,"y":362,"width":802,"height":11}},{"id":"9d6c9fdb-e564-4b57-a22d-21adbfb79d3f","block_type":"box","text":"and government-related pools because there are no direct or indirect government or agency guarantees of payments","page_number":90,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"d32e5a64-5e06-4e27-806d-b932b4f1ecad","block_type":"box","text":"in the private pools. However, timely payment of interest and principal of these pools may be supported by various","page_number":90,"box":{"x":70,"y":392,"width":814,"height":12}},{"id":"f7a0d0bd-ed5d-4282-9499-710aaf02d028","block_type":"box","text":"forms of insurance or guarantees, including individual loan, title, pool and hazard insurance and letters of credit. The","page_number":90,"box":{"x":68,"y":407,"width":833,"height":12}},{"id":"a09843e5-4d4e-464e-9b7f-5639cb459c1e","block_type":"box","text":"insurance and guarantees are issued by governmental entities, private insurers and the mortgage poolers. The","page_number":90,"box":{"x":70,"y":423,"width":789,"height":11}},{"id":"aae4cf9f-7dbf-49fd-b905-b029fec3f35d","block_type":"box","text":"insurance and guarantees and the creditworthiness of the issuers thereof will be considered in determining whether","page_number":90,"box":{"x":70,"y":438,"width":827,"height":11}},{"id":"4a4699d8-4766-4432-93f5-f2d06db0ac4c","block_type":"box","text":"a mortgage-related security meets a Fund’s investment quality standards. There can be no assurance that the private","page_number":90,"box":{"x":69,"y":453,"width":838,"height":11}},{"id":"07b6ea10-b12f-4408-bed9-f9da8f65be16","block_type":"box","text":"insurers or guarantors can meet their obligations under the insurance policies or guarantee arrangements. Private","page_number":90,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"c7369412-6ff4-4847-a329-e99e7ad7a97f","block_type":"box","text":"mortgage pass-through securities may be bought without insurance or guarantees if, through an examination of the","page_number":90,"box":{"x":69,"y":483,"width":820,"height":11}},{"id":"d16f9fc4-922f-4208-a024-a4c1e048ff60","block_type":"box","text":"loan experience and practices of the originator/servicers and poolers, the Manager determines that the securities","page_number":90,"box":{"x":70,"y":498,"width":812,"height":11}},{"id":"cdfa6e0e-6b2f-40e3-ae23-6dd5f08fb756","block_type":"box","text":"meet a Fund’s quality standards. Any mortgage-related securities that are issued by private issuers have some","page_number":90,"box":{"x":69,"y":514,"width":790,"height":11}},{"id":"19482cbc-b056-4a28-8077-3892a6b082be","block_type":"box","text":"exposure to subprime loans as well as to the mortgage and credit markets generally.","page_number":90,"box":{"x":69,"y":529,"width":604,"height":11}},{"id":"3c651985-9757-41df-89ed-0a1e9a1b0135","block_type":"box","text":"In addition, mortgage-related securities that are issued by private issuers are not subject to the underwriting","page_number":90,"box":{"x":102,"y":551,"width":774,"height":11}},{"id":"b7fed0fe-f926-446d-9d17-c865277620e8","block_type":"box","text":"requirements for the underlying mortgages that are applicable to those mortgage-related securities that have a","page_number":90,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"7b7c4235-68a0-4d82-af73-893640d90930","block_type":"box","text":"government or government-sponsored entity guarantee. As a result, the mortgage loans underlying private mortgage","page_number":90,"box":{"x":68,"y":582,"width":832,"height":11}},{"id":"405bf7be-12a0-44ab-8e7e-81cdbe1e8f3d","block_type":"box","text":"related securities may, and frequently do, have less favorable collateral, credit risk or other underwriting","page_number":90,"box":{"x":69,"y":596,"width":742,"height":12}},{"id":"a3a91fc0-93a3-4837-8fd6-15ed7aa15a7a","block_type":"box","text":"characteristics than government or government-sponsored mortgage-related securities and have wider variances in a","page_number":90,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"5eddc62c-3041-42ca-bcdf-0ded1823dd87","block_type":"box","text":"number of terms including interest rate, term, size, purpose and borrower characteristics. Privately issued pools more","page_number":90,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"6e8c4e84-4b2f-4739-8287-923b41b054d5","block_type":"box","text":"frequently include second mortgages, high loan-to-value mortgages and manufactured housing loans. The coupon","page_number":90,"box":{"x":68,"y":642,"width":809,"height":11}},{"id":"4692c5f5-81cb-44fa-82f8-78fc6d0c5c80","block_type":"box","text":"rates and maturities of the underlying mortgage loans in a private-label mortgage-related securities pool may vary to","page_number":90,"box":{"x":69,"y":657,"width":828,"height":11}},{"id":"38d43d37-fa31-4d56-83bb-bcfa48d63636","block_type":"box","text":"a greater extent than those included in a government guaranteed pool, and the pool may include subprime mortgage","page_number":90,"box":{"x":69,"y":672,"width":830,"height":11}},{"id":"b28e6acf-a8cd-4bde-802c-9b7eb2399b43","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":90,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"162a68dc-59f2-42c3-a9db-04f0537af44b","block_type":"box","text":"make timely payments on their loans. For these reasons, the loans underlying these securities have had in many","page_number":90,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"0146ea24-97da-4b73-b4cf-1c9280522a1c","block_type":"box","text":"cases higher default rates than those loans that meet government underwriting requirements.","page_number":90,"box":{"x":69,"y":717,"width":669,"height":12}},{"id":"3215fbe8-901b-4d21-a138-c55a182bb6c6","block_type":"box","text":"The risk of non-payment is greater for mortgage-related securities that are backed by mortgage pools that","page_number":90,"box":{"x":101,"y":740,"width":754,"height":11}},{"id":"d0822a5b-b204-451e-8c4b-002c97ccdff2","block_type":"box","text":"contain subprime loans, but a level of risk exists for all loans. Market factors adversely affecting mortgage loan","page_number":90,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"eb767542-c90b-44bb-a196-33c01d565496","block_type":"box","text":"repayments may include a general economic turndown, high unemployment, a general slowdown in the real estate","page_number":90,"box":{"x":69,"y":771,"width":812,"height":11}},{"id":"303106f4-3df4-4ab9-8279-07c5ece4d740","block_type":"box","text":"market, a drop in the market prices of real estate, or an increase in interest rates resulting in higher mortgage","page_number":90,"box":{"x":69,"y":785,"width":788,"height":12}},{"id":"1392eaee-b295-4833-9ff1-ec473cd3e2b3","block_type":"box","text":"payments by holders of adjustable rate mortgages.","page_number":90,"box":{"x":70,"y":801,"width":361,"height":11}},{"id":"44a976bb-9bac-40bc-a443-22a62412e955","block_type":"box","text":"Privately issued mortgage-related securities are not traded on an exchange and there may be a limited market","page_number":90,"box":{"x":102,"y":823,"width":784,"height":12}},{"id":"f4494ca1-2daf-4a08-b209-5afbfcc2920b","block_type":"box","text":"for the securities, especially when there is a perceived weakness in the mortgage and real estate market sectors.","page_number":90,"box":{"x":68,"y":838,"width":813,"height":12}},{"id":"54e514a8-ca48-4b29-9e5c-4efc38857990","block_type":"box","text":"Without an active trading market, mortgage-related securities held in a Fund’s portfolio may be particularly difficult to","page_number":90,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"01d6bc9c-c431-4196-a0da-ca65d2d86d3c","block_type":"box","text":"value because of the complexities involved in assessing the value of the underlying mortgage loans.","page_number":90,"box":{"x":68,"y":869,"width":714,"height":11}},{"id":"fe694898-7c89-479a-a401-c1ec1a959fc7","block_type":"box","text":"Collateralized Mor tgage Obligations (“CMOs”).","page_number":90,"box":{"x":102,"y":891,"width":328,"height":12}},{"id":"4423c0b7-b30c-4bb8-b08f-91daa503625a","block_type":"box","text":"CMOs are debt obligations collateralized by residential or","page_number":90,"box":{"x":437,"y":891,"width":407,"height":12}},{"id":"5a27d403-81e3-4aab-9b4c-5a134484edbc","block_type":"box","text":"commercial mortgage loans or residential or commercial mortgage pass-through securities. Interest and prepaid","page_number":90,"box":{"x":69,"y":907,"width":800,"height":11}},{"id":"8bc40696-d1ff-4e0a-8870-f1abf8d5a6be","block_type":"box","text":"II-52","page_number":90,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d04e9bd5-beeb-4acf-a591-ffe99f0a2469","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":90,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d4b87abf-31b0-4166-8959-adca35f36c53","block_type":"box","text":"principal are generally paid monthly. CMOs may be collateralized by whole mortgage loans or private mortgage pass","page_number":91,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"2bdebdc2-b383-4d90-862b-ba1c7c8836bb","block_type":"box","text":"through securities but are more typically collateralized by portfolios of mortgage pass-through securities guaranteed","page_number":91,"box":{"x":68,"y":60,"width":826,"height":11}},{"id":"a7a3c6c9-7eca-471f-be16-5fb1448a505c","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":91,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"bf59e5ac-c19e-40c9-b9df-ab84ceac1f4a","block_type":"box","text":"Mortgage Investment Conduit (“REMIC”). All future references to CMOs also include REMICs.","page_number":91,"box":{"x":70,"y":90,"width":661,"height":11}},{"id":"00943c31-4e8e-43c3-84cc-73c9887e21d1","block_type":"box","text":"CMOs are structured into multiple classes, often referred to as a “tranche,” each issued at a specific adjustable","page_number":91,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"e0a6a1f6-b144-401e-b2f1-4c8618431f6f","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":91,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"b8a5bef2-04b0-4287-a4b2-e6ce4ea77ea6","block_type":"box","text":"distribution date. Actual maturity and average life will depend upon the prepayment experience of the collateral, which","page_number":91,"box":{"x":69,"y":143,"width":838,"height":11}},{"id":"4d6c2958-a0fa-4299-9c91-91462de1b7c1","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":91,"box":{"x":70,"y":158,"width":836,"height":11}},{"id":"babbe78b-6542-4a0b-b9fa-c6c8f4207807","block_type":"box","text":"de facto breakdown of the underlying pool of mortgages according to how quickly the loans are repaid. Monthly","page_number":91,"box":{"x":69,"y":173,"width":791,"height":11}},{"id":"1dccb1a0-9aa2-48e6-8c67-5af499de6d7c","block_type":"box","text":"payment of principal received from the pool of underlying mortgages, including prepayments, is first returned to","page_number":91,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"a9aa3551-d4c0-4223-ab79-0747bf09d129","block_type":"box","text":"investors holding the shortest maturity class. Investors holding the longer maturity classes usually receive principal","page_number":91,"box":{"x":70,"y":204,"width":820,"height":11}},{"id":"463d9607-7c5c-4424-9011-8c7f9ddf9fc0","block_type":"box","text":"only after the first class has been retired. An investor may be partially protected against a sooner than desired return","page_number":91,"box":{"x":69,"y":218,"width":836,"height":12}},{"id":"8eb4e13f-2316-41a5-8ad5-5df603d72da3","block_type":"box","text":"of principal because of the sequential payments.","page_number":91,"box":{"x":69,"y":234,"width":346,"height":11}},{"id":"44e7a6b5-9c6c-43f3-879e-b841f57b6b58","block_type":"box","text":"Certain issuers of CMOs are not considered investment companies pursuant to a rule adopted by the","page_number":91,"box":{"x":102,"y":256,"width":723,"height":11}},{"id":"388e338b-b5d4-4aea-9227-21e65b27a22e","block_type":"box","text":"Commission, and a Fund may invest in the securities of such issuers without the limitations imposed by the","page_number":91,"box":{"x":69,"y":271,"width":768,"height":12}},{"id":"bce3ad94-01e7-4c3a-ad48-c86fb6c33b81","block_type":"box","text":"Investment Company Act on investments by a Fund in other investment companies. In addition, in reliance on an","page_number":91,"box":{"x":70,"y":287,"width":800,"height":11}},{"id":"2ec6b27e-07bd-4540-9cc6-38b5faf34a06","block_type":"box","text":"earlier Commission interpretation, a Fund’s investments in certain other qualifying CMOs, which cannot or do not rely","page_number":91,"box":{"x":69,"y":302,"width":836,"height":11}},{"id":"4bb29bb5-44cc-49d5-877e-6ae95c03e9f3","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":91,"box":{"x":69,"y":317,"width":793,"height":11}},{"id":"5dd8873f-f0be-4ced-ae7d-8735d8b13616","block_type":"box","text":"investment companies. In order to be able to rely on the Commission’s interpretation, these CMOs must be","page_number":91,"box":{"x":70,"y":332,"width":767,"height":11}},{"id":"22da64f1-a876-4359-856e-17a10a032c07","block_type":"box","text":"unmanaged, fixed asset issuers, that: (1) invest primarily in mortgage-backed securities; (2) do not issue redeemable","page_number":91,"box":{"x":69,"y":347,"width":838,"height":11}},{"id":"dea72da7-b5fd-4261-bff5-185bf155d808","block_type":"box","text":"securities; (3) operate under general exemptive orders exempting them from all provisions of the Investment","page_number":91,"box":{"x":69,"y":362,"width":773,"height":11}},{"id":"6a881aa2-6b0e-4406-8664-d3d09c4e7a35","block_type":"box","text":"Company Act; and (4) are not registered or regulated under the Investment Company Act as investment companies.","page_number":91,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"ca86449d-c21e-4b05-8c64-7be3c0136c27","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":91,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"19594fe6-15b8-4b8e-a15c-f5256fce7087","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":91,"box":{"x":69,"y":407,"width":795,"height":12}},{"id":"53f0e337-afa8-4718-9d7b-044ae7c61247","block_type":"box","text":"securities of any single such entity.","page_number":91,"box":{"x":69,"y":423,"width":248,"height":11}},{"id":"65dbcd34-60c9-4c34-8fc8-02346d187d8d","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":91,"box":{"x":101,"y":445,"width":807,"height":12}},{"id":"010b88e0-18b6-46a0-9e07-1061155e653d","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":91,"box":{"x":69,"y":460,"width":805,"height":12}},{"id":"20f226fc-bb6f-400a-8bbe-070dd9312e94","block_type":"box","text":"concurrently on a proportionate or disproportionate basis. These simultaneous payments are taken into account in","page_number":91,"box":{"x":69,"y":476,"width":819,"height":11}},{"id":"a3d610aa-328d-4b53-be09-439658f0e8eb","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":91,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"0a9ad3c9-1c28-4091-8faa-a2ac5670f476","block_type":"box","text":"a time while paying interest to several classes. A wide variety of REMIC Certificates may be issued in the parallel pay","page_number":91,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"2db28c64-5db6-448a-b11c-5aa7e12bf0cf","block_type":"box","text":"or sequential pay structures. These securities include accrual certificates (also known as “Z-Bonds”), which only","page_number":91,"box":{"x":69,"y":521,"width":802,"height":11}},{"id":"cc2438ea-5ffc-428d-8973-5b2fef474a40","block_type":"box","text":"accrue interest at a specified rate until all other certificates having an earlier final distribution date have been retired","page_number":91,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"3f83ce58-5bd4-498c-8e70-8dc0e54404e2","block_type":"box","text":"and are converted thereafter to an interest-paying security. Floating rate CMOs are securities whose coupon rate","page_number":91,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"733dc184-c79f-4790-830e-0262b787cbe0","block_type":"box","text":"fluctuates according to some formula related to an existing market index or rate. Typical indices would include the","page_number":91,"box":{"x":68,"y":566,"width":813,"height":11}},{"id":"ef691a73-82c6-4d1a-951e-78103200a7a1","block_type":"box","text":"eleventh district cost-of-funds index (“COFI”), one-year Treasury yields, and ten-year Treasury yields.","page_number":91,"box":{"x":69,"y":581,"width":708,"height":11}},{"id":"4a387fe9-f797-4c89-b3de-7047b88fe6cb","block_type":"box","text":"Classes of CMOs also include planned amortization classes (“PACs”) and targeted amortization classes","page_number":91,"box":{"x":102,"y":604,"width":742,"height":11}},{"id":"24ec8287-5326-4b33-86d1-e2d875115d8c","block_type":"box","text":"(“TACs”). PAC bonds generally require payments of a specified amount of principal on each payment date. The","page_number":91,"box":{"x":69,"y":619,"width":784,"height":11}},{"id":"f610db4d-a109-422c-b388-b3f9d25b6ce3","block_type":"box","text":"scheduled principal payments for PAC Certificates generally have the highest priority on each payment date after","page_number":91,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"68312a6e-95c5-47b4-9f7c-a409c4baeab9","block_type":"box","text":"interest due has been paid to all classes entitled to receive interest currently. Shortfalls, if any, are added to the","page_number":91,"box":{"x":70,"y":649,"width":802,"height":12}},{"id":"224e0111-e960-402a-a81b-e96f1921e30b","block_type":"box","text":"amount payable on the next payment date. The PAC Certificate payment schedule is taken into account in calculating","page_number":91,"box":{"x":69,"y":664,"width":834,"height":12}},{"id":"9eb42816-17c2-4f18-85dc-0679f07178e1","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":91,"box":{"x":68,"y":680,"width":835,"height":11}},{"id":"5780157d-8e09-450b-a161-3a66c057052d","block_type":"box","text":"be created that absorb most of the volatility in the underlying mortgage assets. These tranches (often called","page_number":91,"box":{"x":69,"y":695,"width":772,"height":11}},{"id":"36e28c41-647c-4895-8199-fd4b985bf4c9","block_type":"box","text":"“supports” or “companion” tranches) tend to have market prices and yields that are more volatile than the PAC","page_number":91,"box":{"x":70,"y":710,"width":792,"height":11}},{"id":"aa823690-e79f-41e3-b69e-1c739e6f0614","block_type":"box","text":"classes.","page_number":91,"box":{"x":69,"y":725,"width":57,"height":9}},{"id":"79b767dc-0e3a-4094-b43b-b45340b7ac2b","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":91,"box":{"x":101,"y":748,"width":774,"height":11}},{"id":"07b6057d-6dbc-49cf-b71e-30f8a36729e9","block_type":"box","text":"date to one or more classes of REMIC Certificates. A PAC’s payment schedule, however, remains in effect as long as","page_number":91,"box":{"x":69,"y":763,"width":835,"height":11}},{"id":"24ac3fbf-6e5d-4091-99e8-d1a3b0a82761","block_type":"box","text":"prepayment rates on the underlying mortgages do not exceed certain ranges. In contrast, a TAC provides investors","page_number":91,"box":{"x":70,"y":778,"width":815,"height":11}},{"id":"d46c93a3-df9f-4d9c-aa20-c4b6df7aeef6","block_type":"box","text":"with protection, to a certain level, against either faster than expected or slower than expected prepayment rates, but","page_number":91,"box":{"x":68,"y":793,"width":833,"height":11}},{"id":"8e00258a-6f40-455f-99b7-15a513ba2e68","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":91,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"ea0e72f1-2446-4fc1-b8d8-9d20deca164a","block_type":"box","text":"also tend to have market prices and yields that are more volatile than PACs.","page_number":91,"box":{"x":69,"y":823,"width":541,"height":11}},{"id":"1534774f-2b39-4b94-8e0b-b1731faf168b","block_type":"box","text":"Adjustable Rate Mor tgage Securities.","page_number":91,"box":{"x":101,"y":846,"width":265,"height":11}},{"id":"d7d5e89f-bd14-4f73-aeba-c1313925dfaf","block_type":"box","text":"Adjustable rate mortgage securities (“ARMs”) are pass-through securities","page_number":91,"box":{"x":372,"y":846,"width":523,"height":11}},{"id":"50245c0a-4e5c-4e11-99f5-7df75d0323ab","block_type":"box","text":"collateralized by mortgages with adjustable rather than fixed rates. ARMs eligible for inclusion in a mortgage pool","page_number":91,"box":{"x":69,"y":861,"width":807,"height":11}},{"id":"93d41766-9202-4df0-a5c9-efc9b7ca291c","block_type":"box","text":"generally provide for a fixed initial mortgage interest rate for a set number of scheduled monthly payments. After that","page_number":91,"box":{"x":68,"y":876,"width":835,"height":11}},{"id":"321d442a-73dd-40cf-b9d2-ffb8cfa7285d","block_type":"box","text":"schedule of payments has been completed, the interest rates are subject to periodic adjustment based on changes","page_number":91,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"574c5b08-b987-48e6-a0e1-6708a5ca2494","block_type":"box","text":"to a designated benchmark index.","page_number":91,"box":{"x":68,"y":907,"width":241,"height":11}},{"id":"fd267c2f-7d0d-468d-945c-ab30ae257bd9","block_type":"box","text":"II-53","page_number":91,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ab3c9ed4-7ebc-4aba-9b02-080c01ab8f9c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":91,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7a2efa4a-f8e0-4adb-8eac-74ff83e82bbf","block_type":"box","text":"ARMs contain maximum and minimum rates beyond which the mortgage interest rate may not vary over the","page_number":92,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"f435bd1d-d2dc-4729-be4a-a8f292c1daeb","block_type":"box","text":"lifetime of the security. In addition, certain ARMs provide for additional limitations on the maximum amount by which","page_number":92,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"32b978ad-2452-48cb-8f4c-86efbb2a041c","block_type":"box","text":"the mortgage interest rate may adjust for any single adjustment period. In the event that market rates of interest rise","page_number":92,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"8f3d0696-6149-4b9b-909d-f090f6a007ae","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":92,"box":{"x":69,"y":90,"width":830,"height":11}},{"id":"3fe8a700-35de-4784-98e1-b8e44edf5f3e","block_type":"box","text":"of interest. In these circumstances, the market value of the ARM security will likely have fallen.","page_number":92,"box":{"x":69,"y":105,"width":676,"height":11}},{"id":"2f7ee01d-c9fe-414d-92d6-9450f845c332","block_type":"box","text":"Certain ARMs contain limitations on changes in the required monthly payment. In the event that a monthly","page_number":92,"box":{"x":102,"y":128,"width":757,"height":11}},{"id":"a655692c-adb5-43db-ae18-89a25ca1cb8b","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":92,"box":{"x":70,"y":143,"width":822,"height":11}},{"id":"14f8778a-3190-4d3f-8355-f718616b6512","block_type":"box","text":"balance of the mortgage loan, which is repaid through future monthly payments. If the monthly payment for such an","page_number":92,"box":{"x":69,"y":158,"width":823,"height":11}},{"id":"627198a4-ff40-42e7-ae74-e54e8abeac07","block_type":"box","text":"instrument exceeds the sum of the interest accrued at the applicable mortgage interest rate and the principal","page_number":92,"box":{"x":70,"y":173,"width":782,"height":11}},{"id":"f266861c-d059-4a47-959c-01c8b9226680","block_type":"box","text":"payment required at such point to amortize the outstanding principal balance over the remaining term of the loan, the","page_number":92,"box":{"x":70,"y":188,"width":838,"height":12}},{"id":"6d9afb35-947a-47c0-b810-c58a08712418","block_type":"box","text":"excess is then used to reduce the outstanding principal balance of the ARM.","page_number":92,"box":{"x":69,"y":203,"width":544,"height":12}},{"id":"7b0c46e6-6dc7-4ffc-b09d-fa72cc0afd3c","block_type":"box","text":"CMO Residuals.","page_number":92,"box":{"x":102,"y":226,"width":112,"height":9}},{"id":"30719bee-ec61-4bf2-b67f-4a89ed298f79","block_type":"box","text":"CMO residuals are derivative mortgage securities issued by agencies or instrumentalities of the","page_number":92,"box":{"x":221,"y":226,"width":682,"height":11}},{"id":"576c0f2d-4a78-4c29-aa0c-87e457ae089e","block_type":"box","text":"U.S. Government or by private originators of, or investors in, mortgage loans, including savings and loan","page_number":92,"box":{"x":70,"y":241,"width":740,"height":11}},{"id":"3027190e-b90b-43fb-bf58-559d7eb373aa","block_type":"box","text":"associations, homebuilders, mortgage banks, commercial banks, investment banks, and special purpose entities of","page_number":92,"box":{"x":69,"y":256,"width":829,"height":12}},{"id":"bbb76013-a59b-413a-be79-a0686acbd519","block_type":"box","text":"the foregoing. The cash flow generated by the mortgage assets underlying a series of CMOs is applied first to make","page_number":92,"box":{"x":68,"y":271,"width":826,"height":12}},{"id":"d433ad41-7a69-42dc-8a56-48f4f596028e","block_type":"box","text":"required payments of principal and interest on the CMOs and second to pay the related administrative expenses and","page_number":92,"box":{"x":69,"y":286,"width":831,"height":12}},{"id":"347b135e-d422-4b33-84d9-a37399db52b0","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":92,"box":{"x":69,"y":302,"width":827,"height":11}},{"id":"70005cc0-e96a-4bc5-891a-0d4647633e5a","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":92,"box":{"x":69,"y":317,"width":829,"height":11}},{"id":"8d95c602-d02a-42d7-9702-baaf2a51b324","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":92,"box":{"x":69,"y":332,"width":838,"height":11}},{"id":"11471083-69f7-4e2f-8d43-9048cd1e79d8","block_type":"box","text":"CMO will depend on, among other things, the characteristics of the mortgage assets, the coupon rate of each class","page_number":92,"box":{"x":69,"y":347,"width":825,"height":11}},{"id":"d676ff65-4044-4266-b4d6-d2d4f21a1016","block_type":"box","text":"of CMO, prevailing interest rates, the amount of administrative expenses and the prepayment experience on the","page_number":92,"box":{"x":69,"y":362,"width":798,"height":11}},{"id":"b929bfb7-d9a4-4e25-be86-da1219208341","block_type":"box","text":"mortgage assets. In part, the yield to maturity on the CMO residuals is extremely sensitive to prepayments on the","page_number":92,"box":{"x":69,"y":377,"width":813,"height":12}},{"id":"1c1ce98b-ea2b-4cd7-a715-0568143a2a73","block_type":"box","text":"related underlying mortgage assets, in the same manner as an interest-only class of stripped mortgage-related","page_number":92,"box":{"x":69,"y":392,"width":790,"height":12}},{"id":"2f6b77bc-da57-43f4-9548-b1fd9e20e90d","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":92,"box":{"x":69,"y":407,"width":805,"height":12}},{"id":"36349d81-2900-400c-904b-9d74a298f063","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":92,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"5163eb6b-6c8b-43a3-9c19-86f185633bbb","block_type":"box","text":"interest rate adjustments are based. In certain circumstances, a Fund may fail to recoup fully its initial investment in","page_number":92,"box":{"x":70,"y":438,"width":831,"height":11}},{"id":"98b43644-5676-494e-8c3c-c64df520ccff","block_type":"box","text":"a CMO residual.","page_number":92,"box":{"x":69,"y":453,"width":112,"height":9}},{"id":"745e9dfe-3898-4d05-b9ec-ce5c785c1c53","block_type":"box","text":"CMO residuals are generally purchased and sold by institutional investors through one or more investment","page_number":92,"box":{"x":102,"y":476,"width":758,"height":11}},{"id":"6f847a03-bace-43a2-852f-4faec4e86310","block_type":"box","text":"banking firms acting as brokers or dealers. Transactions in CMO residuals are generally completed only after careful","page_number":92,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"c7c96126-270f-46cc-938a-91394c0e7c6e","block_type":"box","text":"review of the characteristics of the securities in question. In addition, CMO residuals may or, pursuant to an","page_number":92,"box":{"x":69,"y":506,"width":769,"height":11}},{"id":"b00d1a09-0fb4-47e3-b273-758dedf973a9","block_type":"box","text":"exemption therefrom, may not have been registered under the Securities Act. Residual interests generally are junior","page_number":92,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"1b1deb21-daa3-47e8-9e1b-8a1cfc757f2a","block_type":"box","text":"to, and may be significantly more volatile than, “regular” CMO and REMIC interests. CMO residuals, whether or not","page_number":92,"box":{"x":68,"y":536,"width":820,"height":11}},{"id":"9d3f5a19-b794-4362-823f-7fb41643b5c0","block_type":"box","text":"registered under the Securities Act, may be subject to certain restrictions on transferability.","page_number":92,"box":{"x":69,"y":551,"width":650,"height":11}},{"id":"95da2b06-0a1a-442e-a0bd-072abd2ce34d","block_type":"box","text":"Stripped Mor tgage-Backed Securities.","page_number":92,"box":{"x":102,"y":574,"width":267,"height":11}},{"id":"649f49fd-2304-43da-99ef-cde1ac3bd4b9","block_type":"box","text":"A Fund may invest in stripped mortgage-backed securities (“SMBSs”)","page_number":92,"box":{"x":375,"y":574,"width":493,"height":11}},{"id":"fabc2219-5dad-4c75-80a8-a20bfd6cd38c","block_type":"box","text":"issued by agencies or instrumentalities of the United States. SMBSs are derivative multi-class mortgage-backed","page_number":92,"box":{"x":70,"y":589,"width":798,"height":11}},{"id":"a83279c1-6f2b-4f90-9153-625ac56f0371","block_type":"box","text":"securities. SMBS arrangements commonly involve two classes of securities that receive different proportions of the","page_number":92,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"07147efb-8d39-4cb1-92c6-4596f18ae8e4","block_type":"box","text":"interest and principal distributions on a pool of mortgage assets. A common variety of SMBS is where one class (the","page_number":92,"box":{"x":70,"y":619,"width":832,"height":11}},{"id":"cba3a759-c0b4-4e4a-af60-1b7150b348ee","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":92,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"6ce1bab9-6916-4f44-9815-dcb8ad2a35bf","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":92,"box":{"x":68,"y":649,"width":826,"height":12}},{"id":"9f0af418-b8a1-4894-9318-4c73748bafe2","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":92,"box":{"x":69,"y":664,"width":822,"height":11}},{"id":"ac1c9f0f-0ed8-42dd-82bc-968cb0f0e7ab","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":92,"box":{"x":70,"y":680,"width":834,"height":11}},{"id":"9ad3611a-4302-4b9d-86e8-5e7f633dad78","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":92,"box":{"x":68,"y":695,"width":800,"height":11}},{"id":"1ecc0887-d0b5-4a85-a569-b62ca992125a","block_type":"box","text":"related underlying assets, and a rapid rate of principal prepayments in excess of that considered in pricing the","page_number":92,"box":{"x":69,"y":710,"width":786,"height":11}},{"id":"54cb87b9-883e-4754-83cb-85689a4d3dec","block_type":"box","text":"securities will have a material adverse effect on an IO security’s yield to maturity. If the underlying mortgage assets","page_number":92,"box":{"x":69,"y":725,"width":823,"height":11}},{"id":"81c58b4e-3467-4ab6-8543-76fab6dc7b05","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":92,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"37ffb8ee-d281-4224-b193-ad5ea2d937b5","block_type":"box","text":"In addition, there are certain types of IOs that represent the interest portion of a particular class as opposed to the","page_number":92,"box":{"x":70,"y":755,"width":824,"height":11}},{"id":"b50f3fa1-9812-4838-8df7-8db72bb63b21","block_type":"box","text":"interest portion of the entire pool. The sensitivity of this type of IO to interest rate fluctuations may be increased","page_number":92,"box":{"x":70,"y":770,"width":800,"height":11}},{"id":"25dbcc94-8d91-41bc-8881-bb68acda7d83","block_type":"box","text":"because of the characteristics of the principal portion to which they relate. As a result of the above factors, a Fund","page_number":92,"box":{"x":69,"y":785,"width":818,"height":12}},{"id":"7c4e8f30-fa17-473c-bead-3f4f72e9ba5c","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":92,"box":{"x":68,"y":801,"width":840,"height":11}},{"id":"4647b3b2-2a88-4f11-9b4e-94db861c3202","block_type":"box","text":"will be matched with certain purchases of other securities, such as POs, inverse floating rate CMOs or fixed rate","page_number":92,"box":{"x":68,"y":816,"width":802,"height":11}},{"id":"007d5828-745c-4fe3-bc25-65de4abb8410","block_type":"box","text":"securities; as interest rates fall, presenting a greater risk of unanticipated prepayments of principal, the negative","page_number":92,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"5b8acf54-f7e4-4eb8-ac72-b799e30b378d","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":92,"box":{"x":69,"y":846,"width":814,"height":11}},{"id":"773217ad-ee36-4acb-98b9-f3c562802362","block_type":"box","text":"the inverse floating rate CMOs or the increased appreciation on the POs or fixed rate securities.","page_number":92,"box":{"x":68,"y":861,"width":683,"height":11}},{"id":"bcf372dc-129c-48c6-a0b6-53b00723af37","block_type":"box","text":"Tiered Index Bonds.","page_number":92,"box":{"x":103,"y":884,"width":138,"height":9}},{"id":"a93a7f46-098f-4643-ba16-36b5f9aa5306","block_type":"box","text":"Tiered index bonds are forms of mortgage-related securities. The interest rate on a tiered","page_number":92,"box":{"x":247,"y":884,"width":638,"height":11}},{"id":"f28361a5-f6ce-4328-aaec-4060994f391d","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":92,"box":{"x":70,"y":899,"width":825,"height":11}},{"id":"c882459b-c13c-4ea9-88dc-0fd72615da9f","block_type":"box","text":"II-54","page_number":92,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e8f31d16-4892-48a0-ba66-be388c9498c9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":92,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3587712f-6431-4694-9bc7-5e55356e67ac","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":93,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"7d207fa2-a79e-4335-8f02-3d82ded618ab","block_type":"box","text":"rises above the “strike” rate, the interest rate of the tiered index bond will decrease. Thus, under these","page_number":93,"box":{"x":69,"y":60,"width":738,"height":10}},{"id":"6b9942d9-8cd2-4880-9bc7-0bbdd2b160da","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":93,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"783586db-c112-4dd5-b51d-971e56d664e2","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":93,"box":{"x":70,"y":90,"width":836,"height":11}},{"id":"9282c7d0-f8af-4943-a9da-26e924c3082e","block_type":"box","text":"that of a fixed-rate bond.","page_number":93,"box":{"x":68,"y":105,"width":174,"height":9}},{"id":"d6a1747f-e113-4d9e-a6f3-9da2ef380bfd","block_type":"box","text":"TBA Commitments.","page_number":93,"box":{"x":103,"y":128,"width":133,"height":9}},{"id":"cf291e7e-271e-47b0-826d-f5c439ee2ba3","block_type":"box","text":"Certain Funds may enter into “to be announced” or “TBA” commitments. TBA commitments","page_number":93,"box":{"x":243,"y":128,"width":653,"height":11}},{"id":"0154b838-b363-404e-83a5-45e299972143","block_type":"box","text":"are forward agreements for the purchase or sale of securities, including mortgage-backed securities for a fixed price,","page_number":93,"box":{"x":69,"y":143,"width":834,"height":11}},{"id":"620e14c5-0fec-474f-9cfb-061814bbc67f","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":93,"box":{"x":68,"y":158,"width":825,"height":11}},{"id":"c1ce377e-28b9-4292-a715-879062e3f1e5","block_type":"box","text":"identified at the trade date. However, delivered securities must meet specified terms, including issuer, rate and","page_number":93,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"3b61830e-4e29-40bc-9c0e-9bd75e5bbc1a","block_type":"box","text":"mortgage terms. When the Fund enters into a TBA commitment for the sale of mortgage-backed securities for a fixed","page_number":93,"box":{"x":69,"y":188,"width":833,"height":12}},{"id":"12c77de3-7fdd-4d06-a73a-37c1285c6e82","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":93,"box":{"x":70,"y":203,"width":804,"height":12}},{"id":"251208c1-d9cb-4b6f-840c-ffc688cc6021","block_type":"box","text":"short position in such TBA securities), the Fund may or may not hold the types of mortgage-backed securities","page_number":93,"box":{"x":69,"y":218,"width":779,"height":12}},{"id":"029fd898-726a-471c-9dcf-bf08c2500ebb","block_type":"box","text":"required to be delivered. See “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”","page_number":93,"box":{"x":69,"y":234,"width":810,"height":11}},{"id":"ce0503f9-f848-431d-b074-82130f89807d","block_type":"box","text":"below.","page_number":93,"box":{"x":69,"y":249,"width":43,"height":9}},{"id":"16327327-be45-403c-821a-db3208ded850","block_type":"box","text":"Mor tgage Dollar Rolls.","page_number":93,"box":{"x":102,"y":272,"width":157,"height":11}},{"id":"78967a93-c4bd-4d19-be9e-d546873caa10","block_type":"box","text":"Certain Funds may invest in mortgage dollar rolls. In a mortgage dollar roll transaction, a","page_number":93,"box":{"x":266,"y":272,"width":634,"height":11}},{"id":"474dfc83-4a09-46d9-b493-da1435c530ba","block_type":"box","text":"Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts to repurchase","page_number":93,"box":{"x":70,"y":286,"width":825,"height":12}},{"id":"16dcc098-87f3-4f4d-8b01-9a07ec14066c","block_type":"box","text":"substantially similar securities on a specified future date. The securities that are repurchased will bear the same","page_number":93,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"c67ad593-5804-4654-8fdd-6d882c565369","block_type":"box","text":"interest rate and a similar maturity as those sold, but pools of mortgages collateralizing those securities may have","page_number":93,"box":{"x":70,"y":317,"width":817,"height":11}},{"id":"2c043947-f24f-4484-ad5f-163e21eced05","block_type":"box","text":"different prepayment histories than those sold. During the period between the sale and repurchase, a Fund will not","page_number":93,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"1aceea09-c8ca-401a-a519-d64c8dfbe5e2","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":93,"box":{"x":69,"y":347,"width":827,"height":11}},{"id":"9d6619a8-e102-446d-8af8-b7f1b51dc235","block_type":"box","text":"additional instruments for the Fund, and the income from these investments will generate income for the Fund. If","page_number":93,"box":{"x":69,"y":362,"width":806,"height":11}},{"id":"52511352-b2a5-41bf-82d5-6726b4f85427","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":93,"box":{"x":69,"y":377,"width":833,"height":12}},{"id":"38e71695-3808-4ec6-888d-ee06e3d51655","block_type":"box","text":"securities sold as part of the dollar roll, the use of this technique will diminish the investment performance of a Fund","page_number":93,"box":{"x":69,"y":392,"width":836,"height":11}},{"id":"28d335b0-bdd7-4817-8093-7261df8f5faa","block_type":"box","text":"compared with what the performance would have been without the use of dollar rolls.","page_number":93,"box":{"x":69,"y":407,"width":607,"height":11}},{"id":"48b22a37-1e4f-4e51-9e13-1177659995f2","block_type":"box","text":"Each mortgage dollar roll transaction is accounted for as a sale or purchase of a portfolio security and a","page_number":93,"box":{"x":102,"y":430,"width":744,"height":11}},{"id":"6d671976-31cd-47d1-9222-6245d271881d","block_type":"box","text":"subsequent purchase or sale of a substantially similar security in the forward market. Transactions in mortgage","page_number":93,"box":{"x":69,"y":445,"width":796,"height":12}},{"id":"a9a1c9c3-e966-4bbf-9353-924c9421f0a8","block_type":"box","text":"dollar rolls may increase trading costs and portfolio turnover.","page_number":93,"box":{"x":69,"y":460,"width":433,"height":12}},{"id":"24f02ae4-5b7b-4d29-9b66-ec7d02e5e132","block_type":"box","text":"In the event the buyer of the securities under a mortgage dollar roll files for bankruptcy or becomes insolvent, a","page_number":93,"box":{"x":102,"y":483,"width":795,"height":11}},{"id":"e6d869c4-23e3-45ab-be9c-e39a6b8b9dc7","block_type":"box","text":"Fund’s use of the proceeds of the current sale portion of the transaction may be restricted pending a determination","page_number":93,"box":{"x":70,"y":498,"width":824,"height":11}},{"id":"f483da14-0263-49de-abcf-2cea81066bb2","block_type":"box","text":"by the other party, or its trustee or receiver, whether to enforce the Fund’s obligation to purchase the similar","page_number":93,"box":{"x":69,"y":513,"width":774,"height":12}},{"id":"0ce57f78-d3cb-4091-a4ca-20fffe04701c","block_type":"box","text":"securities in the forward transaction.","page_number":93,"box":{"x":69,"y":528,"width":261,"height":9}},{"id":"793dfeea-5e64-4d92-a108-9e5349c82105","block_type":"box","text":"A Fund may engage in dollar roll transactions to enhance returns. Successful use of mortgage dollar rolls may","page_number":93,"box":{"x":101,"y":551,"width":785,"height":11}},{"id":"5184eb3c-241b-4c0b-bba8-2093845b1a59","block_type":"box","text":"depend upon the Manager’s ability to correctly predict interest rates and prepayments. Dollar rolls involve the risk","page_number":93,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"0a6ca0b4-a2c7-44b3-8256-d38dae0aa1ce","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":93,"box":{"x":68,"y":581,"width":824,"height":11}},{"id":"675071df-4613-4850-a5ae-89e98894b88a","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":93,"box":{"x":69,"y":596,"width":824,"height":12}},{"id":"c7251680-8c5c-419e-b8db-cbd705d31444","block_type":"box","text":"of the forward commitment. Dollar rolls are speculative techniques that can be deemed to involve leverage. There is","page_number":93,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"8dffe4c9-ce1b-4692-89e3-b1ed15a8cf91","block_type":"box","text":"no assurance that dollar rolls can be successfully employed.","page_number":93,"box":{"x":69,"y":627,"width":430,"height":11}},{"id":"6593990d-011d-414d-8cef-a9092632e492","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":93,"box":{"x":102,"y":649,"width":759,"height":12}},{"id":"52ad005d-0897-4c66-8b0b-c0495343cd6e","block_type":"box","text":"securities (","page_number":93,"box":{"x":69,"y":665,"width":78,"height":11}},{"id":"d0c2e946-1fd3-4d72-a45c-a5b3667b035a","block_type":"box","text":"e.g.","page_number":93,"box":{"x":148,"y":666,"width":25,"height":10}},{"id":"00bf7577-ac8c-4581-9fec-53f140b0f258","block_type":"box","text":", dollar rolls and firm and standby commitments, including TBA commitments) and non-standard","page_number":93,"box":{"x":176,"y":664,"width":681,"height":12}},{"id":"b5a764ea-e928-41ad-b095-e59a4b579025","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":93,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"b06ab62a-e200-462b-aa4b-4f9470319b3f","block_type":"box","text":"Investment Company Act, provided that the transaction meets the Delayed-Settlement Securities Provision (as","page_number":93,"box":{"x":70,"y":695,"width":783,"height":11}},{"id":"2aeab306-7e49-4743-8b7a-a82e83bbc048","block_type":"box","text":"defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”). If a when","page_number":93,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"d41ac01c-14e8-4e26-915f-3556cbe50d3b","block_type":"box","text":"issued, forward-settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities","page_number":93,"box":{"x":70,"y":725,"width":830,"height":11}},{"id":"61df64df-c95b-45df-8a9c-1a77c8fba84b","block_type":"box","text":"Provision, then it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of","page_number":93,"box":{"x":69,"y":740,"width":788,"height":11}},{"id":"a237e24f-15b4-44e8-91d7-e8b0ac6a9859","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":93,"box":{"x":70,"y":755,"width":489,"height":11}},{"id":"d8e5e938-8f11-4284-9e0d-7e945ecee5a6","block_type":"box","text":"Net Interest Margin (NIM) Securities.","page_number":93,"box":{"x":102,"y":778,"width":260,"height":11}},{"id":"fc5557f9-8c20-4467-a433-326c373bb6d0","block_type":"box","text":"A Fund may invest in net interest margin (“NIM”) securities. These","page_number":93,"box":{"x":368,"y":778,"width":473,"height":11}},{"id":"56439489-996e-4a5e-8972-f126c751ea3a","block_type":"box","text":"securities are derivative interest-only mortgage securities structured off home equity loan transactions. NIM","page_number":93,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"19ce56d0-9db1-40f0-ae58-0619554ddc3b","block_type":"box","text":"securities receive any “excess” interest computed after paying coupon costs, servicing costs and fees and any credit","page_number":93,"box":{"x":69,"y":808,"width":836,"height":11}},{"id":"f9500247-22e5-4947-a3dd-022fe8683b25","block_type":"box","text":"losses associated with the underlying pool of home equity loans. Like traditional stripped mortgage-backed","page_number":93,"box":{"x":70,"y":823,"width":760,"height":12}},{"id":"39a9f10b-4fa2-4fbb-9df4-b2de27ffe1d3","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":93,"box":{"x":69,"y":839,"width":832,"height":11}},{"id":"75f521e1-3fbc-4200-846b-38486cff67b6","block_type":"box","text":"to the rate of principal payments (including prepayments) on the underlying home equity loans. NIM securities are","page_number":93,"box":{"x":68,"y":853,"width":810,"height":12}},{"id":"a24b3019-c669-48bb-8ce1-68e7c7f51818","block_type":"box","text":"highly sensitive to credit losses on the underlying collateral and the timing in which those losses are taken.","page_number":93,"box":{"x":69,"y":869,"width":764,"height":11}},{"id":"ca5b6fa8-3d06-43e1-b7c2-28ae809618ce","block_type":"box","text":"Municipal Investments.","page_number":93,"box":{"x":102,"y":891,"width":169,"height":11}},{"id":"de0c03cb-5952-4515-a14b-6c6866692524","block_type":"box","text":"II-55","page_number":93,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7f57c11d-efeb-4729-a6e1-4418a5f0c9a6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":93,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"89ca6988-48b9-4f26-9d32-526753fac0a1","block_type":"box","text":"Certain Funds may invest in obligations issued by or on behalf of states, territories and possessions of the","page_number":94,"box":{"x":102,"y":45,"width":763,"height":11}},{"id":"f59985ef-d5f7-4c6f-b969-58dda8c66260","block_type":"box","text":"United States and the District of Columbia and their political subdivisions, agencies and instrumentalities, the","page_number":94,"box":{"x":70,"y":60,"width":783,"height":11}},{"id":"a89e3508-e598-4048-9bef-3be0aa63d287","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":94,"box":{"x":70,"y":75,"width":833,"height":11}},{"id":"ca1d5d62-077f-44e3-bfdf-1c327b3266a0","block_type":"box","text":"income tax purposes (“Municipal Bonds”). Certain of the Municipal Funds may also invest in Municipal Bonds that","page_number":94,"box":{"x":70,"y":90,"width":813,"height":11}},{"id":"701c8a69-c44d-49a8-b588-dbcae7dc2399","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":94,"box":{"x":70,"y":105,"width":836,"height":11}},{"id":"f45e8c3a-8123-4082-9db5-7f23db308f53","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":94,"box":{"x":69,"y":120,"width":779,"height":12}},{"id":"cb3e6e72-24e0-40fd-8675-73384462164c","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":94,"box":{"x":70,"y":135,"width":838,"height":11}},{"id":"543fed64-f81f-4c27-b8ef-de2722edd4ce","block_type":"box","text":"or by an agency or instrumentality thereof, if the Manager believes such securities to pay interest excludable from","page_number":94,"box":{"x":69,"y":150,"width":810,"height":12}},{"id":"8a96961b-077c-4054-a1ca-41a2783067dd","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":94,"box":{"x":68,"y":166,"width":834,"height":11}},{"id":"35042d15-6820-4e64-abcf-6b9fc8412094","block_type":"box","text":"or state and local personal property taxes of the designated state (“Non-Municipal Tax-Exempt Securities”). Non","page_number":94,"box":{"x":69,"y":181,"width":801,"height":11}},{"id":"f01b8c1c-fb4c-460a-b775-a06780d726e7","block_type":"box","text":"Municipal Tax-Exempt Securities could include trust certificates or other instruments evidencing interest in one or","page_number":94,"box":{"x":70,"y":196,"width":807,"height":11}},{"id":"6cc2a5b6-1e30-4d23-b125-cac6b5cc7a06","block_type":"box","text":"more long-term municipal securities. Non-Municipal Tax-Exempt Securities also may include securities issued by other","page_number":94,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"12f380c5-191e-4e96-ac02-f38e0d10caa1","block_type":"box","text":"investment companies that invest in municipal bonds, to the extent such investments are permitted by applicable","page_number":94,"box":{"x":70,"y":226,"width":809,"height":11}},{"id":"f9815213-c555-4ac4-b216-4418f31cfb23","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":94,"box":{"x":70,"y":241,"width":826,"height":11}},{"id":"ab0a128a-671e-4300-a813-5f39dc9680e1","block_type":"box","text":"purposes will be considered “Municipal Bonds” for purposes of a Municipal Fund’s investment objective and policies.","page_number":94,"box":{"x":70,"y":256,"width":834,"height":11}},{"id":"b2b19322-f912-4db6-b4cd-deeb44cc5978","block_type":"box","text":"Non-Municipal Tax-Exempt Securities that pay interest excludable from gross income for purposes of U.S. federal","page_number":94,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"812a4ab4-87c0-4d42-aaeb-d50321011fe8","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":94,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"624a865e-49cb-452c-9fe7-6586d0e51f22","block_type":"box","text":"exempt from state and local personal property taxes of that state will be considered “State Municipal Bonds” for","page_number":94,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"c17c07b3-9ae5-4786-b148-c39d0616c9a9","block_type":"box","text":"purposes of the investment objective and policies of each of California Municipal Opportunities Fund, New Jersey","page_number":94,"box":{"x":70,"y":317,"width":805,"height":11}},{"id":"9ca31c84-42a0-4c40-b3cb-86b799dec627","block_type":"box","text":"Municipal Bond Fund, New York Municipal Opportunities Fund and Pennsylvania Municipal Bond Fund.","page_number":94,"box":{"x":70,"y":332,"width":721,"height":11}},{"id":"5c445e26-2bef-4e7d-90bc-7ae2a5754a19","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds.","page_number":94,"box":{"x":102,"y":355,"width":495,"height":11}},{"id":"2edd371e-0e85-4d6a-b08f-9794e000cb42","block_type":"box","text":"The risks and special considerations","page_number":94,"box":{"x":603,"y":355,"width":260,"height":11}},{"id":"80334936-d622-45bd-93d9-85513f56bdf5","block_type":"box","text":"involved in investment in Municipal Bonds vary with the types of instruments being acquired. Investments in Non","page_number":94,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"cdbdafc5-8e47-4bab-9d9b-5ab1c6d3509b","block_type":"box","text":"Municipal Tax-Exempt Securities may present similar risks, depending on the particular product. Certain municipal","page_number":94,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"98243cf1-af77-4ea4-a3d3-356cb6bf4d36","block_type":"box","text":"instruments in which a Fund may invest may be characterized as derivatives.","page_number":94,"box":{"x":70,"y":400,"width":544,"height":11}},{"id":"58939ecb-ad02-4c85-aeca-f1a95c25e2e8","block_type":"box","text":"The value of Municipal Bonds generally may be affected by uncertainties in the municipal markets as a result of","page_number":94,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"18151e1f-dfbe-48a8-aafe-82c560a3989e","block_type":"box","text":"legislation or litigation, including legislation or litigation that changes the taxation of Municipal Bonds or the rights of","page_number":94,"box":{"x":70,"y":438,"width":829,"height":11}},{"id":"e28c9c2b-a56d-4f32-8c9d-385fa6b674b5","block_type":"box","text":"Municipal Bond holders in the event of a bankruptcy. Municipal bankruptcies are rare and certain provisions of the","page_number":94,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"9f9cedbf-0d8c-4f7c-a3bc-2401f6de014e","block_type":"box","text":"U.S. Bankruptcy Code governing such bankruptcies are unclear. Further, the application of state law to Municipal","page_number":94,"box":{"x":70,"y":468,"width":802,"height":11}},{"id":"4e139f7a-43d3-4462-9f08-302cb48f50c0","block_type":"box","text":"Bond issuers could produce varying results among the states or among Municipal Bond issuers within a state. These","page_number":94,"box":{"x":70,"y":483,"width":834,"height":11}},{"id":"2b4f69d6-793e-4728-8e0c-b1b9fff036de","block_type":"box","text":"uncertainties could have a significant impact on the prices of the Municipal Bonds in which a Fund invests.","page_number":94,"box":{"x":69,"y":498,"width":761,"height":11}},{"id":"76e7e2ef-688d-466b-9b66-16c05ae692e9","block_type":"box","text":"II-56","page_number":94,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bbce9b71-a47f-4b51-a0e2-6605c088c8e9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":94,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"34e27ee7-28aa-4cc3-ac1e-92aa22c3208f","block_type":"box","text":"Description of Municipal Bonds.","page_number":95,"box":{"x":70,"y":45,"width":224,"height":11}},{"id":"a1ec284c-d1f4-4b30-8866-4e97cb5bbed6","block_type":"box","text":"Municipal Bonds include debt obligations issued to obtain funds for various public purposes, including the","page_number":95,"box":{"x":102,"y":67,"width":754,"height":12}},{"id":"d9544eba-f7d5-44d1-9921-77d8ffa250fd","block_type":"box","text":"construction of a wide range of public facilities, refunding of outstanding obligations and obtaining funds for general","page_number":95,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"9c3c8c07-f4ca-4c20-82ef-a863a6cc5b5f","block_type":"box","text":"operating expenses and loans to other public institutions and facilities. In addition, certain types of bonds are issued","page_number":95,"box":{"x":69,"y":98,"width":836,"height":11}},{"id":"15f22321-d659-4d7a-ade0-df4d0f114f8b","block_type":"box","text":"by or on behalf of public authorities to finance various privately owned or operated facilities, including certain","page_number":95,"box":{"x":69,"y":113,"width":776,"height":11}},{"id":"34269288-184f-4fb7-97b2-d01a17740352","block_type":"box","text":"facilities for the local furnishing of electric energy or gas, sewage facilities, solid waste disposal facilities and other","page_number":95,"box":{"x":68,"y":128,"width":822,"height":11}},{"id":"b8bb454e-ad01-465e-bc2e-15707cf1ff77","block_type":"box","text":"specialized facilities. Such obligations are included within the term Municipal Bonds if the interest paid thereon is","page_number":95,"box":{"x":69,"y":143,"width":810,"height":11}},{"id":"aa3da08a-2ba5-4bb4-aa6e-42a2c68eca67","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":95,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"5b5bc85d-6566-49e3-ab07-50f80aec374b","block_type":"box","text":"types of private activity bonds, the proceeds of which are used for the construction, equipment or improvement of","page_number":95,"box":{"x":68,"y":173,"width":812,"height":11}},{"id":"fadcc177-d714-4417-a55f-75f59e0c6229","block_type":"box","text":"privately operated industrial or commercial facilities, may constitute Municipal Bonds, although the current U.S.","page_number":95,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"be90a569-40c7-4362-9152-a0182cbe28b0","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":95,"box":{"x":68,"y":203,"width":835,"height":12}},{"id":"c488e203-1b60-4cc6-a1ee-5448b7aa6eca","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":95,"box":{"x":68,"y":218,"width":840,"height":12}},{"id":"8ce41ff4-fa8a-45c6-a741-1edea7edfa4a","block_type":"box","text":"obligation” and “revenue” or “special obligation” bonds, which latter category includes private activity bonds (“PABs”)","page_number":95,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"eed0dc14-ed44-4000-9734-0beaf7fa3380","block_type":"box","text":"(or “industrial development bonds” under pre-1986 law).","page_number":95,"box":{"x":69,"y":249,"width":401,"height":11}},{"id":"9dc44b9d-9735-4b92-9db0-91e212533683","block_type":"box","text":"General Obligation Bonds.","page_number":95,"box":{"x":102,"y":272,"width":184,"height":11}},{"id":"1f28c32e-9b7e-4d87-9ee3-f8913a824cbc","block_type":"box","text":"General obligation bonds are secured by the issuer’s pledge of its full faith, credit and","page_number":95,"box":{"x":292,"y":271,"width":613,"height":12}},{"id":"80707104-3bb3-4d4a-a37e-d3059a57799c","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":95,"box":{"x":68,"y":286,"width":816,"height":12}},{"id":"b5275089-1c5b-4e79-97bc-3226506e7a27","block_type":"box","text":"however, by provisions of its state constitution or laws, and an entity’s creditworthiness will depend on many factors,","page_number":95,"box":{"x":69,"y":302,"width":834,"height":11}},{"id":"7852eb5a-d0b0-43ff-8e51-a75a94cdb87b","block_type":"box","text":"including potential erosion of its tax base due to population declines, natural disasters, declines in the state’s","page_number":95,"box":{"x":70,"y":317,"width":786,"height":11}},{"id":"32956f0a-3941-4ccb-992c-4167fe2aba2c","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":95,"box":{"x":70,"y":332,"width":835,"height":11}},{"id":"4513b037-f07f-4629-9130-3d811b613bf9","block_type":"box","text":"state legislative proposals or voter initiatives to limit ad valorem real property taxes and the extent to which the entity","page_number":95,"box":{"x":69,"y":347,"width":840,"height":11}},{"id":"17c47a1c-91d7-4004-9e97-2abaf49c3201","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":95,"box":{"x":69,"y":362,"width":782,"height":11}},{"id":"c70c2b1e-78bb-4aef-ac9b-8f5d41e1673b","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":95,"box":{"x":68,"y":377,"width":791,"height":12}},{"id":"75831bb3-e0e7-43b2-ad54-ac7de5cfd557","block_type":"box","text":"repayment of principal when due is affected by the issuer’s maintenance of its tax base.","page_number":95,"box":{"x":69,"y":392,"width":630,"height":12}},{"id":"9a3fa859-8925-4e06-96a4-95a1a876f8fe","block_type":"box","text":"Revenue Bonds.","page_number":95,"box":{"x":102,"y":415,"width":114,"height":9}},{"id":"bbfe1e1a-c1a0-4f66-9c4e-0f36442256c1","block_type":"box","text":"Revenue bonds are payable only from the revenues derived from a particular facility or class of","page_number":95,"box":{"x":223,"y":415,"width":676,"height":11}},{"id":"3f3a0543-52cd-4f6a-8518-722759294a97","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":95,"box":{"x":68,"y":430,"width":791,"height":11}},{"id":"5f1eb1a6-e712-40b3-9e2c-8749119cb901","block_type":"box","text":"payments from the user of the facility being financed; accordingly, the timely payment of interest and the repayment","page_number":95,"box":{"x":70,"y":445,"width":824,"height":12}},{"id":"b01424b2-b615-4d6c-ad87-28ba2f5cd4a9","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":95,"box":{"x":69,"y":460,"width":798,"height":12}},{"id":"4f2d2c2a-e66b-49df-bd62-d92e84877935","block_type":"box","text":"viability of such facility or such revenue source.","page_number":95,"box":{"x":68,"y":475,"width":336,"height":12}},{"id":"23fa7c33-b84d-4400-bd2a-2377109c51ad","block_type":"box","text":"Revenue bonds issued by state or local agencies to finance the development of low-income, multi-family housing","page_number":95,"box":{"x":102,"y":498,"width":801,"height":11}},{"id":"bc3ae164-07ad-45a7-b9d1-8857e33f49e0","block_type":"box","text":"involve special risks in addition to those associated with municipal bonds generally, including that the underlying","page_number":95,"box":{"x":70,"y":514,"width":800,"height":11}},{"id":"95477f96-3a30-46b8-808c-44e3ed8de500","block_type":"box","text":"properties may not generate sufficient income to pay expenses and interest costs. Such bonds are generally non","page_number":95,"box":{"x":70,"y":528,"width":810,"height":12}},{"id":"8b766c41-4f9e-4199-baa6-1b1709661161","block_type":"box","text":"recourse against the property owner, may be junior to the rights of others with an interest in the properties, may pay","page_number":95,"box":{"x":69,"y":543,"width":830,"height":12}},{"id":"7c6ef6c5-1f1c-4d95-ac93-f460b07fa3a6","block_type":"box","text":"interest that changes based in part on the financial performance of the property, may be prepayable without penalty","page_number":95,"box":{"x":70,"y":559,"width":828,"height":11}},{"id":"f59d4bdc-60a2-4a73-923a-ee5ce6d99fde","block_type":"box","text":"and may be used to finance the construction of housing developments which, until completed and rented, do not","page_number":95,"box":{"x":69,"y":574,"width":804,"height":11}},{"id":"9f935bf7-e63d-4c62-8f5e-dbcaa8059c83","block_type":"box","text":"generate income to pay interest. Increases in interest rates payable on senior obligations may make it more difficult","page_number":95,"box":{"x":68,"y":589,"width":830,"height":11}},{"id":"4025f1d2-b533-4087-b348-55df8594d6f4","block_type":"box","text":"for issuers to meet payment obligations on subordinated bonds.","page_number":95,"box":{"x":68,"y":604,"width":457,"height":11}},{"id":"f2092072-985c-46c3-886f-c6907bb281a9","block_type":"box","text":"PABs.","page_number":95,"box":{"x":102,"y":627,"width":38,"height":9}},{"id":"32883201-9647-4c16-b133-001d55964dda","block_type":"box","text":"PABs are, in most cases, tax-exempt securities issued by states, municipalities or public authorities to","page_number":95,"box":{"x":147,"y":627,"width":730,"height":11}},{"id":"50e8c12f-a2bc-4378-99ea-58f5c780221b","block_type":"box","text":"provide funds, usually through a loan or lease arrangement, to a private entity for the purpose of financing","page_number":95,"box":{"x":70,"y":642,"width":755,"height":11}},{"id":"0a95c899-b064-40c8-857f-59ade69346d4","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":95,"box":{"x":69,"y":657,"width":797,"height":11}},{"id":"d1b22827-a210-4095-8dac-f903032b4bdd","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":95,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"33453e7e-e642-4ac3-abb5-eee1b6500398","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":95,"box":{"x":70,"y":687,"width":840,"height":11}},{"id":"c15195de-dcf6-4efe-8d7d-4802d89e943c","block_type":"box","text":"such bonds. Therefore, an investor should understand that repayment of such bonds generally depends on the","page_number":95,"box":{"x":69,"y":702,"width":789,"height":12}},{"id":"f2a94920-f666-4d45-8e8c-62839a1a91c3","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":95,"box":{"x":69,"y":717,"width":832,"height":12}},{"id":"ddbdc633-11c2-4383-950c-303dcf62a720","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":95,"box":{"x":69,"y":732,"width":802,"height":12}},{"id":"c8c8af98-574c-451c-9b46-ac09d3923689","block_type":"box","text":"many factors including the size of the entity, its capital structure, demand for its products or services, competition,","page_number":95,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"d2be3088-732b-465c-8a25-4bea787bc8d5","block_type":"box","text":"general economic conditions, government regulation and the entity’s dependence on revenues for the operation of","page_number":95,"box":{"x":68,"y":763,"width":816,"height":11}},{"id":"6be5ada4-4f0d-48d5-b795-ffe0c8feefe0","block_type":"box","text":"the particular facility being financed.","page_number":95,"box":{"x":68,"y":778,"width":258,"height":11}},{"id":"9896749f-c1e5-4308-b8b8-dffc67d09699","block_type":"box","text":"Moral Obligation Bonds.","page_number":95,"box":{"x":102,"y":801,"width":169,"height":11}},{"id":"13618e52-5653-4b0c-a192-decd6d87a0e7","block_type":"box","text":"“Moral obligation” bonds are normally issued by special purpose public authorities. If an","page_number":95,"box":{"x":278,"y":801,"width":628,"height":11}},{"id":"5242aae6-4b1c-4523-a824-e695d954e7ff","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":95,"box":{"x":70,"y":816,"width":809,"height":11}},{"id":"71500b9a-0acc-4a1f-89b5-268206e8c3c1","block_type":"box","text":"commitment but not a legal obligation of the state or municipality that created the special purpose public authority","page_number":95,"box":{"x":69,"y":831,"width":816,"height":11}},{"id":"2803c79d-e6f1-431d-82ef-ce315734050e","block_type":"box","text":"that issued the bonds.","page_number":95,"box":{"x":68,"y":846,"width":160,"height":9}},{"id":"40cb9cec-320d-4dfa-ac64-c38362e0e3c8","block_type":"box","text":"Municipal Notes.","page_number":95,"box":{"x":102,"y":869,"width":118,"height":11}},{"id":"949c9e76-ba46-48aa-bb59-9639f17cd87c","block_type":"box","text":"Municipal notes are shorter term municipal debt obligations. They may provide interim financing","page_number":95,"box":{"x":227,"y":869,"width":683,"height":11}},{"id":"852b2b93-20fc-42cf-9ab2-d530c4caf9f0","block_type":"box","text":"in anticipation of tax collection, bond sales or revenue receipts. If there is a shortfall in the anticipated proceeds,","page_number":95,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"37d26db6-7ff0-4de3-8221-0126354ca75b","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":95,"box":{"x":69,"y":899,"width":739,"height":11}},{"id":"c32d065d-ffb6-4aa1-a1e4-4a143bb2d2c9","block_type":"box","text":"II-57","page_number":95,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9373da22-b05f-43e9-a9a2-873772ad65a5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":95,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"71156f93-7168-4432-bc06-0c1bd92919e3","block_type":"box","text":"Municipal Commercial Paper.","page_number":96,"box":{"x":102,"y":45,"width":205,"height":11}},{"id":"0767c6f8-2367-46bc-a07f-24ba86831c7e","block_type":"box","text":"Municipal commercial paper is generally unsecured and issued to meet short-term","page_number":96,"box":{"x":314,"y":45,"width":586,"height":11}},{"id":"7091a05b-53f0-49e7-9bd8-493c548f4a96","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":96,"box":{"x":68,"y":60,"width":767,"height":11}},{"id":"88d70e13-7937-4791-adc9-4d4f34b5595f","block_type":"box","text":"bankruptcy, unsecured creditors are repaid only after the secured creditors out of the assets, if any, that remain.","page_number":96,"box":{"x":69,"y":75,"width":803,"height":11}},{"id":"135b5ce5-74a2-47a7-85f0-de02faa4c08f","block_type":"box","text":"Municipal Lease Obligations.","page_number":96,"box":{"x":102,"y":98,"width":203,"height":11}},{"id":"9e81bd94-c007-4928-ae01-bc0a3df41e25","block_type":"box","text":"Also included within the general category of Municipal Bonds are certificates of","page_number":96,"box":{"x":311,"y":98,"width":566,"height":11}},{"id":"370710c2-91f7-46ff-94af-57638df648db","block_type":"box","text":"participation (“COPs”) issued by government authorities or entities to finance the acquisition or construction of","page_number":96,"box":{"x":70,"y":113,"width":791,"height":11}},{"id":"6c55f201-1383-4f64-84ee-70c5be3e44a5","block_type":"box","text":"equipment, land and/or facilities. The COPs represent participations in a lease, an installment purchase contract or a","page_number":96,"box":{"x":69,"y":128,"width":840,"height":11}},{"id":"5e7bf527-5ab8-4d73-8e6b-fd7823cde3e9","block_type":"box","text":"conditional sales contract (hereinafter collectively called “lease obligations”) relating to such equipment, land or","page_number":96,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"622ab961-0a36-4dd8-a1a7-032d11ca99b3","block_type":"box","text":"facilities. Municipal leases, like other municipal debt obligations, are subject to the risk of non-payment. Although","page_number":96,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"1da3e984-6069-4015-829a-475e8a9855ff","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":96,"box":{"x":70,"y":173,"width":820,"height":11}},{"id":"a9dcef06-24f9-43e8-8351-95b9bc9e9cce","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":96,"box":{"x":70,"y":188,"width":808,"height":12}},{"id":"5ed8e2f6-c6f7-420c-bfa4-cff1de12b274","block_type":"box","text":"payments due under the lease obligation. However, certain lease obligations contain “non-appropriation” clauses,","page_number":96,"box":{"x":70,"y":204,"width":809,"height":11}},{"id":"676d5abd-0756-4a59-a396-2ef0cb52eb00","block_type":"box","text":"which provide that the issuer has no obligation to make lease or installment purchase payments in future years","page_number":96,"box":{"x":68,"y":218,"width":795,"height":12}},{"id":"f779049a-eb13-4326-ace1-8a29a6304471","block_type":"box","text":"unless money is appropriated for such purpose on a yearly basis. Although “non-appropriation” lease obligations are","page_number":96,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"d2158972-cd8d-43e4-88c6-7f002a033da8","block_type":"box","text":"secured by the leased property, disposition of the property in the event of foreclosure might prove difficult. These","page_number":96,"box":{"x":69,"y":249,"width":810,"height":11}},{"id":"0555fabe-0c1d-40a0-8737-6ccd702aac79","block_type":"box","text":"securities represent a type of financing that has not yet developed the depth of marketability associated with more","page_number":96,"box":{"x":69,"y":264,"width":817,"height":11}},{"id":"53b68631-11da-481d-967d-1f92bc8b3d10","block_type":"box","text":"conventional securities. Certain investments in lease obligations may be illiquid.","page_number":96,"box":{"x":69,"y":279,"width":572,"height":11}},{"id":"91344f39-ee26-49a4-9766-765030e60db2","block_type":"box","text":"The ability of issuers of municipal leases to make timely lease payments may be adversely impacted in general","page_number":96,"box":{"x":101,"y":302,"width":791,"height":11}},{"id":"d2fa9a4e-ad6a-4fe2-9cae-0ce398473846","block_type":"box","text":"economic downturns and as relative governmental cost burdens are allocated and reallocated among federal, state","page_number":96,"box":{"x":69,"y":317,"width":822,"height":11}},{"id":"0af4eb77-fc42-474b-9775-fc4b61d33ed2","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":96,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"1c6a440d-848b-4aaf-a7ec-d16d0df8fa6f","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":96,"box":{"x":69,"y":347,"width":798,"height":11}},{"id":"762982f4-c036-401b-a7d5-95139fab8f83","block_type":"box","text":"Fund. Issuers of municipal securities might seek protection under the bankruptcy laws. In the event of bankruptcy of","page_number":96,"box":{"x":70,"y":362,"width":828,"height":11}},{"id":"1ff3d050-fc11-4fe6-af57-e561704ea598","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":96,"box":{"x":69,"y":377,"width":833,"height":11}},{"id":"ffa67feb-74fd-4c49-8123-35cecb025d48","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":96,"box":{"x":69,"y":393,"width":807,"height":11}},{"id":"d4bdf2a1-8a51-4520-8e8f-5fdc11804d81","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":96,"box":{"x":68,"y":407,"width":835,"height":12}},{"id":"069102c7-f939-44b0-8a49-5d5f2fa1a129","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":96,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"4c001515-dafb-45a9-9ecb-166f0e7be145","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":96,"box":{"x":69,"y":438,"width":829,"height":11}},{"id":"7d6c70f0-7dd6-4925-925e-f65164d79e5e","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":96,"box":{"x":68,"y":453,"width":793,"height":11}},{"id":"5fc3be8a-8caa-47e9-8196-0563b3df4711","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":96,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"dca679c3-4f33-4745-bd34-e51dbc7559e3","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":96,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"43b51481-4528-4c33-9423-0c59f52c756e","block_type":"box","text":"exercise its rights by taking possession of such assets, because as a regulated investment company a Fund is","page_number":96,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"93623dc0-17d4-4340-97ba-c2e2396b6a96","block_type":"box","text":"subject to certain limitations on its investments and on the nature of its income.","page_number":96,"box":{"x":69,"y":513,"width":574,"height":11}},{"id":"2d0f5d72-9f87-447a-8580-715441e66790","block_type":"box","text":"Tender Option Bonds.","page_number":96,"box":{"x":103,"y":536,"width":150,"height":11}},{"id":"71630232-233d-4398-8274-ea3d0f94f6fd","block_type":"box","text":"Certain Funds may invest in residual inverse floating rate interest tender option bonds","page_number":96,"box":{"x":260,"y":536,"width":613,"height":11}},{"id":"df10265a-bb85-4e11-bcc7-c37961e83f71","block_type":"box","text":"(“TOB Residuals”), which are derivative interests in Municipal Bonds. The TOB Residuals in which the Funds will","page_number":96,"box":{"x":69,"y":551,"width":796,"height":11}},{"id":"c9815fcf-27dc-4fef-bbdb-83ddbbcc2837","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":96,"box":{"x":70,"y":566,"width":834,"height":11}},{"id":"cd18ec2a-2a1a-4054-890b-f51946f0f6ad","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":96,"box":{"x":68,"y":581,"width":807,"height":11}},{"id":"78b59dbc-f9dc-4e6c-8d72-520f8ce4d414","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":96,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"e31470bf-f99d-4e7b-82d1-3a6f0760c2a8","block_type":"box","text":"the potential for yields exceeding the yields available on fixed rate Municipal Bonds with comparable credit quality.","page_number":96,"box":{"x":68,"y":612,"width":814,"height":11}},{"id":"fee8036e-97e6-4008-9949-2ca647ae9cac","block_type":"box","text":"The Funds may invest in TOB Residuals for the purpose of using economic leverage.","page_number":96,"box":{"x":68,"y":627,"width":598,"height":11}},{"id":"7cf1ee4d-c7a0-4451-8264-5189c968a8a1","block_type":"box","text":"TOB Residuals represent beneficial interests in a special purpose trust formed for the purpose of holding","page_number":96,"box":{"x":101,"y":649,"width":751,"height":12}},{"id":"83c957ab-9a4e-4c17-9158-b878b6007dba","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":96,"box":{"x":70,"y":664,"width":786,"height":12}},{"id":"5644b370-bb1e-429d-b950-fd3452b6bab5","block_type":"box","text":"beneficial interests: short-term floating rate interests (“TOB Floaters”), which are sold to third-party investors, and","page_number":96,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"6a8ae071-dff0-4f39-8bc9-703208629efa","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":96,"box":{"x":68,"y":695,"width":799,"height":11}},{"id":"b2111529-b4ef-436e-862a-26b76d848a18","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":96,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"7c2a6555-d0d4-4032-9e7b-57bb454fb01c","block_type":"box","text":"the Municipal Bonds held by the TOB Trust and are enhanced with a liquidity support arrangement from a third-party","page_number":96,"box":{"x":68,"y":725,"width":828,"height":11}},{"id":"e4a3f951-f114-4322-a0cd-1af5932d6764","block_type":"box","text":"Liquidity Provider (defined below) which allows holders to tender their position at par (plus accrued interest). A Fund,","page_number":96,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"a726eb3a-a1cc-48ce-8465-ce7a17613a5c","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":96,"box":{"x":69,"y":755,"width":768,"height":11}},{"id":"24890371-4149-4a3e-8714-2c8e9311caed","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":96,"box":{"x":70,"y":770,"width":825,"height":11}},{"id":"a0b00051-2366-4bc1-8120-623e1bf3cd80","block_type":"box","text":"certain transaction costs, and typically will invest the cash to purchase additional Municipal Bonds or other","page_number":96,"box":{"x":69,"y":786,"width":764,"height":11}},{"id":"d22f703c-c33b-40f5-8a3b-f10ae887c4ba","block_type":"box","text":"investments permitted by its investment policies. If a Fund ever purchases all or a portion of the TOB Floaters sold by","page_number":96,"box":{"x":70,"y":801,"width":838,"height":11}},{"id":"9d77b373-c0d3-47c2-8df5-bedfb1d9cee8","block_type":"box","text":"the TOB Trust, it may surrender those TOB Floaters together with a proportionate amount of TOB Residuals to the","page_number":96,"box":{"x":68,"y":816,"width":810,"height":11}},{"id":"88384bee-7fc2-439c-96bc-4da9333b2ef5","block_type":"box","text":"TOB Trust in exchange for a proportionate amount of the Municipal Bonds owned by the TOB Trust.","page_number":96,"box":{"x":68,"y":831,"width":704,"height":11}},{"id":"bf15fc70-162d-499c-925d-fb9b1a6ecaae","block_type":"box","text":"Other BlackRock-advised funds may contribute Municipal Bonds to a TOB Trust into which a Fund has contributed","page_number":96,"box":{"x":102,"y":853,"width":804,"height":12}},{"id":"580b49e6-b317-4150-91a9-4d7eee7d33ea","block_type":"box","text":"Municipal Bonds. If multiple BlackRock-advised funds participate in the same TOB Trust, the economic rights and","page_number":96,"box":{"x":70,"y":869,"width":805,"height":11}},{"id":"a9215e65-6418-4aca-a8d6-a23f3ff1cdb0","block_type":"box","text":"obligations under the TOB Residual will generally be shared among the funds ratably in proportion to their","page_number":96,"box":{"x":69,"y":884,"width":752,"height":11}},{"id":"0a864374-3b31-4e4c-ac15-44b7dcc1fd11","block_type":"box","text":"participation in the TOB Trust.","page_number":96,"box":{"x":70,"y":899,"width":211,"height":11}},{"id":"99572e0b-25d7-4397-9f16-8922beec182e","block_type":"box","text":"II-58","page_number":96,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ab71d5b2-1bff-4944-957b-ebb64e52baa5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":96,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f6cd1ce4-620f-4441-999f-658e619f19cb","block_type":"box","text":"The Municipal Bonds transferred to a TOB Trust typically are high grade Municipal Bonds. In certain cases, when","page_number":97,"box":{"x":101,"y":45,"width":802,"height":11}},{"id":"6f30e3d5-1df6-4205-b8e2-5bd80afc2f38","block_type":"box","text":"Municipal Bonds transferred are lower grade Municipal Bonds, the TOB Trust transaction includes a credit","page_number":97,"box":{"x":70,"y":60,"width":753,"height":11}},{"id":"2a90b866-60e4-4df3-8be1-ece8c710c8f6","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":97,"box":{"x":69,"y":75,"width":829,"height":11}},{"id":"3bbbbab3-3f5f-43b7-b27e-f49d0ae7a811","block_type":"box","text":"a credit enhancement provider. The TOB Trust would be responsible for the payment of the credit enhancement fee","page_number":97,"box":{"x":69,"y":90,"width":819,"height":11}},{"id":"40161e65-ccc6-4f70-aa12-6d7ca937a664","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":97,"box":{"x":69,"y":105,"width":802,"height":11}},{"id":"aed98734-0b6e-43d5-b778-2991d5c45148","block_type":"box","text":"interest made by the credit enhancement provider.","page_number":97,"box":{"x":70,"y":120,"width":357,"height":11}},{"id":"601b3870-6061-44e1-a9d1-f88bae3128db","block_type":"box","text":"The TOB Residuals held by a Fund generally provide the Fund with the right to cause the holders of a proportional","page_number":97,"box":{"x":101,"y":143,"width":807,"height":11}},{"id":"8ccf4068-7f3c-4586-975f-362da0d1c849","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":97,"box":{"x":69,"y":158,"width":810,"height":11}},{"id":"614749df-b407-40a0-a440-66aad4cc0d37","block_type":"box","text":"may withdraw a corresponding share of the Municipal Bonds from the TOB Trust. This transaction, in effect, creates","page_number":97,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"64463457-16d9-420e-8142-74b03dcdd893","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":97,"box":{"x":69,"y":188,"width":834,"height":11}},{"id":"94b36764-2d33-40e8-a9a3-208693d90e63","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":97,"box":{"x":70,"y":203,"width":797,"height":12}},{"id":"8d4ec5ad-adf5-406f-bce3-94900acd944e","block_type":"box","text":"impact of the Municipal Bonds’ return within the Fund (thereby creating leverage). The leverage within a TOB Trust","page_number":97,"box":{"x":70,"y":218,"width":809,"height":12}},{"id":"2e5c31bd-b0bf-42d8-9aab-e00f6c4d9ccf","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":97,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"d3b660cf-ee80-4d76-b16f-616a90dcfeed","block_type":"box","text":"issues.","page_number":97,"box":{"x":70,"y":249,"width":49,"height":9}},{"id":"ef6f953e-ccce-445c-9a5d-a9a21cf30d1e","block_type":"box","text":"A Fund may invest in highly leveraged TOB Residuals. A TOB Residual generally is considered highly leveraged if","page_number":97,"box":{"x":101,"y":271,"width":795,"height":12}},{"id":"4bc185bc-3509-4d11-9f00-e52e915793f8","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":97,"box":{"x":68,"y":286,"width":833,"height":12}},{"id":"c82204ff-ed20-445e-b631-1f3b5d1c172b","block_type":"box","text":"Municipal Bonds owned by the TOB Trust.","page_number":97,"box":{"x":70,"y":302,"width":293,"height":11}},{"id":"23b9ca54-e93b-4f68-ac2f-39abee6bfc06","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":97,"box":{"x":101,"y":324,"width":802,"height":11}},{"id":"effee6f0-c322-40f9-9689-8870a3e4f5c9","block_type":"box","text":"events (“TOTEs”) and mandatory termination events (“MTEs”), as defined in the TOB Trust agreements. TOTEs","page_number":97,"box":{"x":69,"y":339,"width":788,"height":12}},{"id":"424e2efb-a7ce-42fc-85dc-ed0a657ee516","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":97,"box":{"x":70,"y":355,"width":836,"height":11}},{"id":"91402b9d-93b7-437d-8534-4b04833a556a","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":97,"box":{"x":70,"y":370,"width":819,"height":11}},{"id":"e9e7467b-3ff0-4d3d-bc72-0d7837191269","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":97,"box":{"x":70,"y":385,"width":833,"height":11}},{"id":"b98794fb-c3b0-4b04-82d8-87d68d6def5f","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":97,"box":{"x":68,"y":400,"width":834,"height":11}},{"id":"572dba01-8a5b-40fb-8e23-3eed1793c89c","block_type":"box","text":"inability of the TOB Trust to obtain renewal of the liquidity support agreement, and a substantial decline in the market","page_number":97,"box":{"x":70,"y":415,"width":838,"height":11}},{"id":"b0b3ddcd-d7f7-4b1a-b330-4278f5461451","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":97,"box":{"x":68,"y":430,"width":831,"height":11}},{"id":"42e4d1b1-8f6b-41dc-a8aa-24d1ff30f07c","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":97,"box":{"x":70,"y":445,"width":823,"height":12}},{"id":"53fc0911-d231-4006-97c1-c94eddad200b","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":97,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"ece0f12a-04db-46d4-ab8b-8c0c4b0f5d12","block_type":"box","text":"the holders of the TOB Floaters would be paid senior to the TOB Residual holders (","page_number":97,"box":{"x":68,"y":475,"width":589,"height":12}},{"id":"562391ac-45ae-46df-b761-d7f4b24c6717","block_type":"box","text":"i.e.","page_number":97,"box":{"x":659,"y":476,"width":21,"height":8}},{"id":"297c772e-0378-4e61-9bdb-2290352ad31b","block_type":"box","text":", the Fund). In contrast, in the","page_number":97,"box":{"x":682,"y":476,"width":211,"height":11}},{"id":"d3134d3b-d82f-45ac-9d5a-a5d34b33a0b0","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":97,"box":{"x":69,"y":491,"width":822,"height":11}},{"id":"2be2e3ab-cd32-4657-8c23-1aca47c9fd13","block_type":"box","text":"rata in proportion to the respective face values of their certificates.","page_number":97,"box":{"x":69,"y":506,"width":479,"height":11}},{"id":"a8273d92-6749-46e1-aa78-7c3450561d61","block_type":"box","text":"A Fund may invest in a TOB Trust on either a non-recourse or recourse basis. TOB Trusts are typically supported","page_number":97,"box":{"x":101,"y":529,"width":797,"height":11}},{"id":"f561948d-08ae-4a9c-8504-f0d61c6598d6","block_type":"box","text":"by a liquidity facility provided by a third-party bank or other financial institution (the “Liquidity Provider”) that allows","page_number":97,"box":{"x":69,"y":543,"width":815,"height":12}},{"id":"e2c03910-8cbe-4c8b-9687-dd85dc5a8435","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":97,"box":{"x":68,"y":559,"width":828,"height":11}},{"id":"75a6a768-18d6-4eba-b8f7-b3c7ecfc10fd","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":97,"box":{"x":69,"y":574,"width":828,"height":11}},{"id":"77440ad7-bf1e-4c17-8de3-d0d23e3e88ae","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":97,"box":{"x":68,"y":589,"width":815,"height":11}},{"id":"ec47d046-93b8-4650-a00b-bee55faa9091","block_type":"box","text":"the Liquidity Provider to purchase the tendered TOB Floaters.","page_number":97,"box":{"x":68,"y":604,"width":434,"height":11}},{"id":"afe49067-2dfb-4d66-9dda-042b15f888ca","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":97,"box":{"x":101,"y":627,"width":772,"height":11}},{"id":"308f3212-4543-4c55-a0a0-f0a557a8eb55","block_type":"box","text":"payment under the liquidity facility, the Liquidity Provider will typically liquidate all or a portion of the Municipal Bonds","page_number":97,"box":{"x":70,"y":642,"width":831,"height":11}},{"id":"5ee9fb5f-e1eb-4ebf-bcd0-0463cbd6a149","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":97,"box":{"x":69,"y":657,"width":785,"height":11}},{"id":"6785586e-e6b8-428a-9dec-a52f8203470e","block_type":"box","text":"liquidation proceeds (the “Liquidation Shortfall”). If a Fund invests in a TOB Trust on a recourse basis, it will typically","page_number":97,"box":{"x":70,"y":672,"width":831,"height":11}},{"id":"85eb5e0e-fbb2-4734-9c90-37033c693529","block_type":"box","text":"enter into a reimbursement agreement with the Liquidity Provider pursuant to which the Fund is required to reimburse","page_number":97,"box":{"x":69,"y":687,"width":836,"height":11}},{"id":"67bcc5af-8a6f-4ec5-be0d-3b458c46c705","block_type":"box","text":"the Liquidity Provider the amount of any Liquidation Shortfall. As a result, if the Fund invests in a recourse TOB Trust,","page_number":97,"box":{"x":68,"y":702,"width":836,"height":11}},{"id":"9ea479f8-7aad-432f-a8c1-dadf41269dc9","block_type":"box","text":"the Fund will bear the risk of loss with respect to any Liquidation Shortfall. If multiple BlackRock-advised funds","page_number":97,"box":{"x":68,"y":717,"width":788,"height":12}},{"id":"83bfd15a-cbd7-4b94-9f4d-cc62ac705013","block_type":"box","text":"participate in any such TOB Trust, these losses will be shared ratably, in proportion to their participation in the TOB","page_number":97,"box":{"x":70,"y":733,"width":823,"height":11}},{"id":"30097aef-2eb8-4862-b0e8-13fc7fbaf6bf","block_type":"box","text":"Trust.","page_number":97,"box":{"x":68,"y":748,"width":39,"height":9}},{"id":"56324547-7dc5-4593-8268-f16c126370ee","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":97,"box":{"x":102,"y":770,"width":784,"height":12}},{"id":"1a61bfe9-79fe-4cd0-a9f4-fad9fe7cf329","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":97,"box":{"x":70,"y":785,"width":830,"height":12}},{"id":"b527e6b9-9ba8-4ade-8f25-8dbc2d36853b","block_type":"box","text":"are presented as liabilities in the Fund’s Statement of Assets and Liabilities. Interest income from the underlying","page_number":97,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"6b1baf6a-9116-4a80-a4c7-c1e088e80da3","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":97,"box":{"x":70,"y":816,"width":831,"height":11}},{"id":"229c3160-1a47-4458-885b-b109969d1d16","block_type":"box","text":"expenses related to remarketing, administration, trustee and other services to a TOB Trust are reported as expenses","page_number":97,"box":{"x":69,"y":831,"width":837,"height":11}},{"id":"67133c05-30bc-4a7b-8e92-5214ec45d544","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":97,"box":{"x":69,"y":846,"width":832,"height":11}},{"id":"d8f9feff-5ffb-4cf8-8d40-a6fdf084cd60","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":97,"box":{"x":70,"y":861,"width":728,"height":9}},{"id":"d43448b0-3d14-4819-acae-acd96a387cce","block_type":"box","text":"For TOB Floaters, generally, the interest rate earned will be based upon the market rates for Municipal Bonds","page_number":97,"box":{"x":102,"y":884,"width":776,"height":11}},{"id":"e3b204f1-a19d-41e4-b4e2-c7d060e10626","block_type":"box","text":"with maturities or remarketing provisions that are comparable in duration to the periodic interval of the tender option.","page_number":97,"box":{"x":68,"y":899,"width":837,"height":11}},{"id":"5ff090db-c2cd-4ee5-aaf8-f8245e04302f","block_type":"box","text":"II-59","page_number":97,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"aeedd4f7-97f6-4aad-b01d-fe96a91919ef","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":97,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5df8d266-0d32-4857-ba78-f99d0956f111","block_type":"box","text":"Since the tender option feature has a shorter term than the final maturity or first call date of the underlying Municipal","page_number":98,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"183ddfa4-d426-4b10-9ca5-39b9fbb2770e","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":98,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"6fbafdee-3867-43a9-ac89-d0dc3fd8a4e8","block_type":"box","text":"financial institution furnishing the liquidity facility as well as the credit strength of that institution. The risk associated","page_number":98,"box":{"x":68,"y":75,"width":836,"height":11}},{"id":"9422c469-c56b-41ff-b376-e3b272983ed9","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":98,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"9685caea-0e28-4804-b3af-8c283fc02aec","block_type":"box","text":"the credit ratings, and thus the perceived reliability and creditworthiness, of many major financial institutions, some","page_number":98,"box":{"x":68,"y":105,"width":827,"height":11}},{"id":"eb7fa0c0-f2df-49bf-8a85-0d6ffd875960","block_type":"box","text":"of which sponsor and/or provide liquidity support to TOB Trusts. This in turn may reduce the desirability of TOB","page_number":98,"box":{"x":69,"y":120,"width":790,"height":11}},{"id":"17ee5bf1-152f-4225-bc59-2955e3d5bf32","block_type":"box","text":"Floaters as investments, which could impair the viability or availability of TOB Trusts.","page_number":98,"box":{"x":70,"y":135,"width":599,"height":11}},{"id":"13699117-4b07-4759-8d91-be9ed693bac4","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into TOB Trust transactions, reverse","page_number":98,"box":{"x":102,"y":158,"width":762,"height":11}},{"id":"d872d72d-38c6-4e4a-adb0-068e3e83ea4f","block_type":"box","text":"repurchase agreements and similar financing transactions (e.g., borrowed bonds) notwithstanding the limitation on","page_number":98,"box":{"x":69,"y":173,"width":818,"height":11}},{"id":"69f714b5-7a5c-4641-9004-3bb2d53a0a8f","block_type":"box","text":"the issuance of senior securities in Section 18 of the Investment Company Act, provided that the Fund either","page_number":98,"box":{"x":68,"y":188,"width":778,"height":11}},{"id":"fda924b5-90b0-43d0-b983-6d186f27cfa7","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":98,"box":{"x":69,"y":203,"width":811,"height":12}},{"id":"3ad73850-4283-46e4-afc7-3d14eeb8101f","block_type":"box","text":"aggregate, or (ii) treats such transactions as Derivatives Transactions under Rule 18f-4. See “—Derivatives —","page_number":98,"box":{"x":69,"y":218,"width":786,"height":12}},{"id":"b70dff18-3007-4cb7-a1c6-77c457b82139","block_type":"box","text":"Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":98,"box":{"x":70,"y":234,"width":588,"height":11}},{"id":"2ffbaa6b-99bf-4d50-bc6f-d5fe85fabbfb","block_type":"box","text":"Developments in the TOB Trust Market.","page_number":98,"box":{"x":102,"y":256,"width":279,"height":11}},{"id":"3b39bd8b-799d-41d4-8cbd-2c349327fdef","block_type":"box","text":"In response to the restrictions imposed by section 619 of the Dodd-Frank Wall Street Reform and Consumer","page_number":98,"box":{"x":102,"y":279,"width":771,"height":11}},{"id":"57a9855a-04c1-489f-b0cf-ebf4f0435805","block_type":"box","text":"Protection Act (the “Volcker Rule”), market participants have developed a structure for TOB Trusts designed to","page_number":98,"box":{"x":69,"y":294,"width":786,"height":11}},{"id":"f011f4f3-52d7-42cb-8081-4da7b88dd657","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":98,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"fe698d20-28c5-4ce8-9c13-dcc00509d5a3","block_type":"box","text":"establish, structure and “sponsor” the TOB Trusts in which it holds TOB Residuals. In such a structure, certain","page_number":98,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"a37310f2-5709-46c9-aab8-55f511493206","block_type":"box","text":"responsibilities that previously belonged to the sponsor bank will be performed by, or on behalf of, a Fund. A Fund","page_number":98,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"ce7ba5b5-6088-4b76-ab11-dcbcd1eda9cc","block_type":"box","text":"may utilize service providers in meeting these responsibilities. It is possible that regulators could take positions that","page_number":98,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"0b9e45b3-9ded-4d24-b13f-578c467efee8","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":98,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"37d57d33-f6e0-48e2-be08-0195ed96d410","block_type":"box","text":"this TOB Trust structure, a Fund has certain additional duties and responsibilities, which may give rise to certain","page_number":98,"box":{"x":68,"y":385,"width":803,"height":11}},{"id":"0bde213d-8341-49cc-929c-2a06a1e28712","block_type":"box","text":"additional risks including, but not limited to, compliance, securities law and operational risks.","page_number":98,"box":{"x":69,"y":400,"width":665,"height":11}},{"id":"18cce264-a510-4555-8b2c-0ccc16972867","block_type":"box","text":"Under this structure, service providers to a TOB Trust, such as administrators, liquidity providers, trustees, and","page_number":98,"box":{"x":102,"y":423,"width":793,"height":11}},{"id":"e72ec330-c1ac-4afc-b0af-c4ff7cfa391a","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":98,"box":{"x":69,"y":438,"width":783,"height":11}},{"id":"a962805b-996e-416f-920c-4850eacb6655","block_type":"box","text":"traditional tender option bond structure, a Fund deposits Municipal Bonds into the TOB Trust in exchange for TOB","page_number":98,"box":{"x":68,"y":453,"width":808,"height":11}},{"id":"f5a69133-cf43-4e21-b555-004a0c536b25","block_type":"box","text":"Residuals, the TOB Trust then issues and sells TOB Floaters to third-party investors, and the proceeds of the sale of","page_number":98,"box":{"x":70,"y":468,"width":830,"height":11}},{"id":"d2bb3217-4aa9-452d-a299-691ae5a7f1fa","block_type":"box","text":"the TOB Floaters is distributed to such TOB Residual holders (","page_number":98,"box":{"x":68,"y":483,"width":442,"height":11}},{"id":"ec74de45-71a1-469f-b563-7820883c9132","block_type":"box","text":"i.e.","page_number":98,"box":{"x":512,"y":483,"width":20,"height":9}},{"id":"9d4127db-c730-4b3f-b45e-60ca7da6b1d0","block_type":"box","text":", the Fund). Tendered TOB Floaters continue to be","page_number":98,"box":{"x":535,"y":483,"width":352,"height":11}},{"id":"e5cb384f-b408-4ec1-8864-ea77f7e4df86","block_type":"box","text":"supported by a remarketing agent and a liquidity facility. However, the remarketing agent does not purchase tendered","page_number":98,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"3380e6f4-4a18-492c-9c5f-bf2815abd46e","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":98,"box":{"x":68,"y":513,"width":816,"height":12}},{"id":"e481d0ad-10eb-4399-baf3-4f7289a30140","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":98,"box":{"x":68,"y":528,"width":835,"height":11}},{"id":"2ac4d62b-4c5d-4d3a-aa68-00e20c61f48d","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":98,"box":{"x":69,"y":543,"width":822,"height":12}},{"id":"cde35c21-8256-4bc3-9c0c-519deb1a0b95","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":98,"box":{"x":69,"y":559,"width":777,"height":11}},{"id":"c9dcc8a7-d180-4e25-a53e-315ebe60bf3f","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":98,"box":{"x":69,"y":574,"width":800,"height":11}},{"id":"43089ce8-b331-4688-9c9c-86dbd88d2cf5","block_type":"box","text":"made by a Liquidity Provider will be secured by the purchased TOB Floaters held by the TOB Trust.","page_number":98,"box":{"x":69,"y":589,"width":696,"height":11}},{"id":"49f78806-712c-4553-9866-3fbaaf1b3abd","block_type":"box","text":"Similar to the traditional structure for TOB Trusts, a Fund may hold either non-recourse TOB Residuals or","page_number":98,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"a55b6c5b-b7d7-4990-8dae-6097405e8cda","block_type":"box","text":"recourse TOB Residuals under this structure. In the event of a Liquidation Shortfall, there would generally be no","page_number":98,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"a1fdf381-c811-40f8-8ee3-10083c0a2af4","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":98,"box":{"x":69,"y":642,"width":803,"height":10}},{"id":"f814e192-0db1-4489-8a3c-910319181fc6","block_type":"box","text":"above, a Fund would bear the risk of loss with respect to any Liquidation Shortfall if it holds a recourse TOB Residual.","page_number":98,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"c2e5494a-38a8-481d-8bc8-56a4dba1bc33","block_type":"box","text":"The SEC and various federal banking and housing agencies adopted credit risk retention rules for securitizations","page_number":98,"box":{"x":101,"y":680,"width":801,"height":11}},{"id":"4e693c2f-f13d-4aa9-a44d-46cff608d91f","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":98,"box":{"x":69,"y":695,"width":838,"height":11}},{"id":"1bcc596f-cfd3-40d1-bc34-ca3112190ead","block_type":"box","text":"TOB Trust to retain at least 5% of the credit risk of the underlying assets supporting the TOB Trust’s Municipal","page_number":98,"box":{"x":68,"y":710,"width":787,"height":11}},{"id":"02c4d37e-ac4f-44cc-ac10-3828a0971e2d","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":98,"box":{"x":70,"y":725,"width":791,"height":11}},{"id":"3e710f19-cbab-49cc-8bc0-d63b86614f4b","block_type":"box","text":"increase the costs of such transactions in certain circumstances.","page_number":98,"box":{"x":70,"y":740,"width":466,"height":9}},{"id":"3a8b679f-f7fb-4a08-9c6d-be6db11c0457","block_type":"box","text":"TOB Trust transactions constitute an important component of the municipal bond market. Accordingly,","page_number":98,"box":{"x":101,"y":763,"width":726,"height":11}},{"id":"2efab115-e52e-469f-9bf2-7114def6fb15","block_type":"box","text":"implementation of the Volcker Rule may adversely impact the municipal market, including through reduced demand","page_number":98,"box":{"x":70,"y":778,"width":816,"height":11}},{"id":"7fea3959-bf54-40bd-ab0d-fc9e1957eb07","block_type":"box","text":"for and liquidity of municipal bonds and increased financing costs for municipal issuers. Any such developments","page_number":98,"box":{"x":68,"y":793,"width":799,"height":11}},{"id":"71fff43b-714d-4153-81f4-baf6117670fd","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":98,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"99343786-d4ef-48d0-971e-73d5914137fb","block_type":"box","text":"market is not yet certain.","page_number":98,"box":{"x":69,"y":823,"width":178,"height":11}},{"id":"049159cf-e1db-4f68-bf57-0623b1704610","block_type":"box","text":"Yields.","page_number":98,"box":{"x":103,"y":846,"width":45,"height":9}},{"id":"3a8e7484-0f7d-4736-b492-945a4a441f83","block_type":"box","text":"Yields on Municipal Bonds are dependent on a variety of factors, including the general condition of the","page_number":98,"box":{"x":154,"y":846,"width":730,"height":11}},{"id":"410557b5-5ded-43e7-b937-571cfb98b761","block_type":"box","text":"money market and of the municipal bond market, the size of a particular offering, the financial condition of the","page_number":98,"box":{"x":69,"y":861,"width":788,"height":11}},{"id":"aa947ed7-cdc2-4442-adc5-4e59ebbad949","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":98,"box":{"x":70,"y":876,"width":787,"height":11}},{"id":"42071b70-cf19-4ae9-9f35-9f7ab213f502","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":98,"box":{"x":69,"y":891,"width":838,"height":12}},{"id":"229253ed-e28e-4f79-8c96-eef621f70549","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":98,"box":{"x":68,"y":906,"width":794,"height":12}},{"id":"b9d14593-3c9e-414a-adf8-55faae5e3380","block_type":"box","text":"II-60","page_number":98,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"95dbf09b-dd0d-4db4-be6d-788aa2ba6a17","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":98,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"57690437-6ea1-464d-ae23-4427b39db158","block_type":"box","text":"holding Municipal Bonds, both within a particular classification and between classifications, depending on numerous","page_number":99,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"01d6ce94-fd0f-49cc-8d4c-6ee105ab6b1b","block_type":"box","text":"factors. Furthermore, the rights of owners of Municipal Bonds and the obligations of the issuer of such Municipal","page_number":99,"box":{"x":68,"y":60,"width":806,"height":11}},{"id":"65a7ef61-b1e8-4a44-9cd9-0112927d0b8e","block_type":"box","text":"Bonds may be subject to applicable bankruptcy, insolvency and similar laws and court decisions affecting the rights","page_number":99,"box":{"x":70,"y":75,"width":823,"height":11}},{"id":"88750989-ba67-4f75-bfd0-1fe7f0727525","block_type":"box","text":"of creditors generally and to general equitable principles, which may limit the enforcement of certain remedies.","page_number":99,"box":{"x":69,"y":90,"width":790,"height":11}},{"id":"654e8036-276e-40b4-a5d7-30a4f365ebc7","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”).","page_number":99,"box":{"x":103,"y":113,"width":323,"height":11}},{"id":"d0763c14-13f5-4c72-bc23-49d052ff0ccb","block_type":"box","text":"VRDOs are tax-exempt obligations that contain a floating or","page_number":99,"box":{"x":432,"y":113,"width":422,"height":11}},{"id":"3bc47606-16a4-42a2-beda-496cc271455a","block_type":"box","text":"variable interest rate adjustment formula and a right of demand on the part of the holder thereof to receive payment","page_number":99,"box":{"x":68,"y":128,"width":830,"height":11}},{"id":"50378041-818b-4c5a-b7a4-36f039e92f5f","block_type":"box","text":"of the unpaid principal balance plus accrued interest upon a short notice period not to exceed seven days.","page_number":99,"box":{"x":69,"y":143,"width":759,"height":11}},{"id":"31e57000-4b1a-4226-b0ef-a566c89b7921","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":99,"box":{"x":101,"y":166,"width":798,"height":11}},{"id":"851e19d3-f26a-4865-84c8-9239baaa00e4","block_type":"box","text":"The interest rates are adjustable at periodic intervals to some prevailing market rate for similar investments, such","page_number":99,"box":{"x":68,"y":181,"width":815,"height":11}},{"id":"d42b76b2-6b54-4c98-bbd5-8097ba038f60","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":99,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"89ceb3ab-b224-4d24-a63a-879aadb33356","block_type":"box","text":"VRDOs on the adjustment date. The adjustments typically are based upon the Securities Industry and Financial","page_number":99,"box":{"x":68,"y":211,"width":791,"height":11}},{"id":"211ab0bc-899c-41d5-8ceb-0560140ec8f4","block_type":"box","text":"Markets Association (“SIFMA”) Index.","page_number":99,"box":{"x":70,"y":226,"width":264,"height":11}},{"id":"99aa9036-307d-4373-9985-043f9b05e2e5","block_type":"box","text":"Because of the interest rate adjustment formula on VRDOs, VRDOs are not comparable to fixed rate securities.","page_number":99,"box":{"x":102,"y":249,"width":791,"height":11}},{"id":"ae8238ab-fb80-42e4-b04a-ccf0bdff28d1","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":99,"box":{"x":70,"y":264,"width":833,"height":11}},{"id":"4da576e3-2b4e-4c54-8797-58811da5ad3e","block_type":"box","text":"opportunity for capital appreciation. During periods of rising interest rates, however, a Fund’s yield on a VRDO will","page_number":99,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"7f5945ad-f838-48a0-9c40-efc5e2dc12c6","block_type":"box","text":"increase and the Fund’s shareholders will have a reduced risk of capital depreciation.","page_number":99,"box":{"x":70,"y":294,"width":608,"height":11}},{"id":"40becdb4-b174-4119-aa64-67b85283a714","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes.","page_number":99,"box":{"x":103,"y":317,"width":465,"height":11}},{"id":"a70176a0-0604-44ab-af52-2f433b38c1b1","block_type":"box","text":"The Municipal Funds and certain other funds","page_number":99,"box":{"x":574,"y":317,"width":318,"height":11}},{"id":"51d578c3-13a4-4d0e-b2b4-68fbaa4fc4a9","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":99,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"948d11af-5d2c-4700-99a5-aeb120866130","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":99,"box":{"x":68,"y":347,"width":825,"height":11}},{"id":"da8395fc-5ce4-4b99-81e1-543159d52a1c","block_type":"box","text":"term, actively traded tax-exempt municipal revenue and general obligation bonds. Each bond included in the Municipal","page_number":99,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"0e70f114-4cc0-48b4-8bc9-0fdfedc63c56","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":99,"box":{"x":70,"y":377,"width":815,"height":12}},{"id":"e3f9b211-a55b-4e35-9f8f-0748cd7745f8","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":99,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"fa9b9faf-ba4e-4278-821d-1b9872176c41","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":99,"box":{"x":69,"y":407,"width":796,"height":12}},{"id":"c3714089-96bc-46b7-bef2-b7484ff67b1b","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":99,"box":{"x":68,"y":423,"width":816,"height":11}},{"id":"12c5f067-0ca6-4539-8c4a-e9f0e6a260ed","block_type":"box","text":"The Municipal Bond Index futures contract is traded only on the CBT. Like other contract markets, the CBT","page_number":99,"box":{"x":101,"y":445,"width":756,"height":11}},{"id":"be1275b5-46de-4e70-951e-b1fb0709e60c","block_type":"box","text":"assures performance under futures contracts through a clearing corporation, a nonprofit organization managed by the","page_number":99,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"489f3472-6f33-4513-9ebb-a853a01527bc","block_type":"box","text":"exchange membership that is also responsible for handling daily accounting of deposits or withdrawals of margin.","page_number":99,"box":{"x":69,"y":475,"width":808,"height":12}},{"id":"84cb6c83-cfa8-487c-bfd2-f6f4cd454d9d","block_type":"box","text":"The particular municipal bonds comprising the index underlying the Municipal Bond Index financial futures","page_number":99,"box":{"x":101,"y":498,"width":753,"height":11}},{"id":"b1f1b227-a492-4330-a5ea-a1cb6c829740","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":99,"box":{"x":69,"y":513,"width":764,"height":12}},{"id":"6dab2e57-e5a4-41fc-8509-fac53579551a","block_type":"box","text":"effectively all or a portion of the value of its Municipal Bonds through the use of such financial futures contracts will","page_number":99,"box":{"x":69,"y":528,"width":826,"height":12}},{"id":"ac881df7-75ff-40e1-84c9-1ccf486d76f7","block_type":"box","text":"depend in part on the degree to which price movements in the index underlying the financial futures contract","page_number":99,"box":{"x":69,"y":543,"width":774,"height":12}},{"id":"397131e9-9c7f-4e31-ad53-d47b7e3fd887","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":99,"box":{"x":69,"y":559,"width":801,"height":11}},{"id":"eb3193cf-9de5-4a2e-8b49-dbd74e425d3a","block_type":"box","text":"disparities in the average maturity, ratings, geographical mix or structure of a Municipal Fund’s investments as","page_number":99,"box":{"x":69,"y":574,"width":788,"height":11}},{"id":"61fda16c-5b48-478a-9a25-f75f72d04bd1","block_type":"box","text":"compared to those comprising the Municipal Bond Index and general economic or political factors. In addition, the","page_number":99,"box":{"x":69,"y":589,"width":812,"height":11}},{"id":"0eaaa303-4a8f-4ffe-bac2-c550b6fd85d3","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":99,"box":{"x":69,"y":604,"width":799,"height":11}},{"id":"781c704f-17dd-4a2b-ac4a-7058ad6fbdbc","block_type":"box","text":"additions to and deletions from the Municipal Bond Index alter its structure. The correlation between futures","page_number":99,"box":{"x":69,"y":619,"width":772,"height":11}},{"id":"95036a51-44e3-431c-b3b0-e7c846a564f4","block_type":"box","text":"contracts on U.S. Government Securities and the Municipal Bonds held by a Municipal Fund may be adversely","page_number":99,"box":{"x":69,"y":634,"width":782,"height":11}},{"id":"2a5e24f1-5c61-4d29-b4ea-228d6643288a","block_type":"box","text":"affected by similar factors and the risk of imperfect correlation between movements in the prices of such futures","page_number":99,"box":{"x":69,"y":649,"width":806,"height":12}},{"id":"fba389cf-9b05-4d9b-8a04-34f8046a3110","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":99,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"ffbdb29b-e040-4d55-b956-3f8097b6bba1","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":99,"box":{"x":69,"y":680,"width":837,"height":11}},{"id":"8d0d50dd-3a70-45f5-8f67-ddf81496f8ff","block_type":"box","text":"in other futures contracts. The trading of futures contracts also is subject to certain market risks, such as inadequate","page_number":99,"box":{"x":70,"y":695,"width":839,"height":11}},{"id":"eca7f37b-b0ce-490a-9580-9ee3f6f1e677","block_type":"box","text":"trading activity, which could at times make it difficult or impossible to liquidate existing positions.","page_number":99,"box":{"x":68,"y":710,"width":693,"height":11}},{"id":"9d02ce6d-1e1d-4750-91ad-7d0388df6d0e","block_type":"box","text":"Call Rights.","page_number":99,"box":{"x":102,"y":733,"width":79,"height":11}},{"id":"1a0fa275-5943-4c67-aaa5-a116c7dde346","block_type":"box","text":"A Fund may purchase a Municipal Bond issuer’s right to call all or a portion of such Municipal Bond","page_number":99,"box":{"x":187,"y":732,"width":708,"height":12}},{"id":"8bca18fb-227b-4fd9-af82-c760d7fa78b5","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":99,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"79156a1e-b3c5-4048-af2b-0fe8c6c9f2fe","block_type":"box","text":"mandatory tender for the purchase of related Municipal Bonds, subject to certain conditions. A Call Right that is not","page_number":99,"box":{"x":69,"y":763,"width":827,"height":11}},{"id":"db4580c3-4084-4d70-8c9e-867a949ff0ba","block_type":"box","text":"exercised prior to maturity of the related Municipal Bond will expire without value. The economic effect of holding","page_number":99,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"63fd3aad-445b-4a1e-b65b-38b3b9a1c42e","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":99,"box":{"x":69,"y":793,"width":833,"height":11}},{"id":"d10614e0-8d51-409e-acba-a9e669ae9aeb","block_type":"box","text":"Certain investments in such obligations may be illiquid.","page_number":99,"box":{"x":69,"y":808,"width":393,"height":11}},{"id":"84cff95c-fb01-451e-8dbf-5f64cbc784b4","block_type":"box","text":"Municipal Interest Rate Swap Transactions.","page_number":99,"box":{"x":102,"y":831,"width":307,"height":11}},{"id":"2c081dc0-71ec-4257-a719-bcdbf89d2727","block_type":"box","text":"In order to hedge the value of a Fund against interest rate","page_number":99,"box":{"x":417,"y":831,"width":411,"height":11}},{"id":"27122be2-0e3b-4a43-94f7-a2d6850210b7","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":99,"box":{"x":68,"y":846,"width":835,"height":11}},{"id":"db8030eb-ba40-443b-af38-4b382dc3a60e","block_type":"box","text":"Market Data AAA Cash Curve swaps (“MMD Swaps”) or Securities Industry and Financial Markets Association","page_number":99,"box":{"x":70,"y":861,"width":781,"height":11}},{"id":"b53887db-41fc-494e-ad64-26a3accff1c2","block_type":"box","text":"Municipal Swap Index swaps (“SIFMA Swaps”). To the extent that a Fund enters into these transactions, the Fund","page_number":99,"box":{"x":70,"y":876,"width":808,"height":11}},{"id":"3941f787-02e9-4992-8114-e19c35a03141","block_type":"box","text":"expects to do so primarily to preserve a return or spread on a particular investment or portion of its portfolio or to","page_number":99,"box":{"x":69,"y":891,"width":814,"height":11}},{"id":"29e88b4b-d3eb-4235-b067-d8d6fe4ff886","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":99,"box":{"x":70,"y":906,"width":832,"height":12}},{"id":"f404fe2f-4b23-4d3d-a190-f1518e197109","block_type":"box","text":"II-61","page_number":99,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"43e0d15f-290b-477d-8f00-8e00635c85f9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":99,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e02d11f0-b03e-4b1d-98cf-44efbe6b9b06","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":100,"box":{"x":68,"y":45,"width":817,"height":11}},{"id":"d72f9505-fa29-4b13-9b59-3f71e87cb82e","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":100,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"8672d571-4f4d-4460-9012-b7f8c8991971","block_type":"box","text":"during periods of steep interest rate yield curves (","page_number":100,"box":{"x":69,"y":75,"width":356,"height":11}},{"id":"50a8931e-bd5e-4166-96cb-3b323fe82a95","block_type":"box","text":"i.e.","page_number":100,"box":{"x":427,"y":75,"width":20,"height":9}},{"id":"7e540924-5795-4c14-b89d-1788443a3a29","block_type":"box","text":", wide differences between short-term and long-term interest","page_number":100,"box":{"x":449,"y":75,"width":433,"height":11}},{"id":"34e9b489-1913-4ada-9d3d-24df5240a11f","block_type":"box","text":"rates).","page_number":100,"box":{"x":69,"y":90,"width":44,"height":11}},{"id":"33b0078b-439c-4b9f-ab5a-c91fee02ccf7","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":100,"box":{"x":101,"y":113,"width":807,"height":11}},{"id":"fb44e490-3c5b-44fb-8c2c-dc3523ee3b6f","block_type":"box","text":"another party their respective commitments to pay or receive interest (","page_number":100,"box":{"x":69,"y":128,"width":503,"height":11}},{"id":"d660af5e-b9d1-4d42-9e87-d11d95f3160c","block_type":"box","text":"e.g.","page_number":100,"box":{"x":574,"y":129,"width":25,"height":10}},{"id":"1aea73f4-7810-4ac3-a286-099328c14540","block_type":"box","text":", an exchange of fixed rate payments for","page_number":100,"box":{"x":601,"y":128,"width":286,"height":11}},{"id":"08dfafd9-13a3-4bcb-aab4-ac3abd0fdc58","block_type":"box","text":"floating rate payments linked to the SIFMA Municipal Swap Index). Because the underlying index is a tax-exempt","page_number":100,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"4dd34fc1-33b2-40aa-8c69-67323e201670","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":100,"box":{"x":70,"y":158,"width":778,"height":11}},{"id":"1e3d8422-24ae-4520-bb3e-bd3460aa47dc","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":100,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"d5908235-fbdc-40e6-adbb-615f254bb820","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":100,"box":{"x":69,"y":188,"width":823,"height":11}},{"id":"c8d12cc8-0042-441d-a1d3-79a05ca83275","block_type":"box","text":"with the same attributes as the swap (","page_number":100,"box":{"x":68,"y":204,"width":275,"height":10}},{"id":"823a7fa3-a0c8-4e60-b9e7-9689e08f9000","block_type":"box","text":"e.g.","page_number":100,"box":{"x":345,"y":205,"width":24,"height":10}},{"id":"4e51c0d7-6a6a-4fac-80e6-b4c6bc6ab8bf","block_type":"box","text":", coupon, maturity, call feature).","page_number":100,"box":{"x":372,"y":203,"width":224,"height":12}},{"id":"fd2ef805-efac-462f-9896-82789afe7c4c","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":100,"box":{"x":101,"y":226,"width":797,"height":11}},{"id":"babc5b90-47e2-49bc-b2d6-7d581957bd33","block_type":"box","text":"to lock in a specified municipal interest rate for a portion of its portfolio to preserve a return on a particular","page_number":100,"box":{"x":68,"y":241,"width":770,"height":11}},{"id":"465e8e7f-cd1f-47a2-88c0-736ce6fd48a5","block_type":"box","text":"investment or a portion of its portfolio as a duration management technique or to protect against any increase in the","page_number":100,"box":{"x":70,"y":256,"width":832,"height":12}},{"id":"ff93ba49-240a-4c4c-b2ce-5d0d211c3a59","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":100,"box":{"x":70,"y":271,"width":805,"height":12}},{"id":"373af7a9-37b4-492a-916d-f31c3edff09d","block_type":"box","text":"short position, allowing the Fund to select the most attractive part of the yield curve. An MMD Swap is a contract","page_number":100,"box":{"x":69,"y":286,"width":808,"height":12}},{"id":"7bf82b6b-53d6-4bf4-a87c-f46ab0b23ec9","block_type":"box","text":"between a Fund and an MMD Swap provider pursuant to which the parties agree to make payments to each other on","page_number":100,"box":{"x":69,"y":302,"width":832,"height":11}},{"id":"55ace284-f023-4561-a590-fe9c2ef4885a","block_type":"box","text":"a notional amount, contingent upon whether the Municipal Market Data AAA General Obligation Scale is above or","page_number":100,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"30119dac-702f-40f4-bb27-4d7ef0e9c465","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":100,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"1ea256e7-6f56-4013-a562-33836531e76c","block_type":"box","text":"Municipal Market Data AAA General Obligation Scale is below the specified level on the expiration date, the","page_number":100,"box":{"x":70,"y":347,"width":763,"height":11}},{"id":"12fc166a-5f5d-49fb-aaef-0dded2c550c1","block_type":"box","text":"counterparty to the contract will make a payment to the Fund equal to the specified level minus the actual level,","page_number":100,"box":{"x":69,"y":362,"width":797,"height":11}},{"id":"2bef07dd-24f0-4af7-b74f-6f388b65b3ca","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":100,"box":{"x":69,"y":377,"width":836,"height":12}},{"id":"ac2f846b-800d-4c4b-ba78-416902268c5a","block_type":"box","text":"the specified level on the expiration date, a Fund will make a payment to the counterparty equal to the actual level","page_number":100,"box":{"x":68,"y":392,"width":816,"height":12}},{"id":"4c893dbb-9a6e-450f-8ab6-e98b065cded9","block_type":"box","text":"minus the specified level, multiplied by the notional amount of the contract.","page_number":100,"box":{"x":69,"y":407,"width":537,"height":12}},{"id":"dbd7e454-1b5a-4189-ae55-741e998dff54","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":100,"box":{"x":102,"y":430,"width":788,"height":11}},{"id":"a4b9b99b-4b11-4dca-bb64-ebdc0ec1cbe8","block_type":"box","text":"opposite direction than anticipated by a Fund, which would cause the Fund to make payments to its counterparty in","page_number":100,"box":{"x":69,"y":446,"width":821,"height":10}},{"id":"e5d1413f-d319-4fa4-8889-3b3b07d32540","block_type":"box","text":"the transaction that could adversely affect the Fund’s performance.","page_number":100,"box":{"x":68,"y":460,"width":482,"height":12}},{"id":"473b618b-fc6c-4007-9a31-10c7b8f0c9be","block_type":"box","text":"Insured Municipal Bonds.","page_number":100,"box":{"x":102,"y":483,"width":179,"height":11}},{"id":"0540a68e-b6d3-46b6-9564-f5bad3c4261f","block_type":"box","text":"Bonds purchased by a Fund may be covered by insurance that guarantees that interest","page_number":100,"box":{"x":288,"y":483,"width":619,"height":11}},{"id":"3beb0552-0307-46ca-b02e-70626128fe69","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":100,"box":{"x":70,"y":498,"width":835,"height":11}},{"id":"b6c0479e-36bf-43da-b232-52265ea81098","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":100,"box":{"x":69,"y":513,"width":840,"height":12}},{"id":"bb9dc836-0e0a-49d7-a986-60d75b5d7083","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":100,"box":{"x":69,"y":528,"width":818,"height":12}},{"id":"7e5f4b3b-34cd-42a2-8766-f35dd6ff5749","block_type":"box","text":"shareholders against losses caused by declines in a bond’s market value. Also, the Fund cannot be certain that any","page_number":100,"box":{"x":69,"y":544,"width":829,"height":11}},{"id":"a1ee696a-ea97-4a2a-8058-05f139e7bf57","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":100,"box":{"x":70,"y":559,"width":827,"height":11}},{"id":"72138066-54e9-447b-8cfb-1b9c81460b33","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":100,"box":{"x":70,"y":574,"width":815,"height":11}},{"id":"9c744d34-9c5d-4d1a-84fa-8ae5fe71f7f4","block_type":"box","text":"ability, financial strength, or equivalent ratings of at least investment grade. However, if insurance from insurers with","page_number":100,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"51d687b8-fda0-4475-92ba-84cd5ce1ce22","block_type":"box","text":"these ratings is not available, the Fund may use insurance companies with lower ratings or stop purchasing","page_number":100,"box":{"x":68,"y":604,"width":767,"height":11}},{"id":"1625128a-87d2-4ba7-bdf4-f2a54a675ac2","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":100,"box":{"x":70,"y":619,"width":827,"height":11}},{"id":"02aeb47c-e0f3-4b54-b623-ca7dc434f607","block_type":"box","text":"bond could drop.","page_number":100,"box":{"x":69,"y":634,"width":118,"height":11}},{"id":"6c926b04-38c7-44ec-93ac-ceb1bff6fbbf","block_type":"box","text":"Build America Bonds.","page_number":100,"box":{"x":102,"y":657,"width":150,"height":9}},{"id":"fefe82a6-cd26-4fe4-9b4b-7b26ddc81db8","block_type":"box","text":"If a Fund holds Build America Bonds, the Fund may be eligible to receive a U.S. federal","page_number":100,"box":{"x":259,"y":657,"width":616,"height":11}},{"id":"e24ad7de-3faa-4058-a417-d7a927cafd75","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":100,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"3c53a68c-45e5-4aaf-afb1-77207e0ed48d","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":100,"box":{"x":68,"y":687,"width":824,"height":11}},{"id":"1937398b-6915-4d72-a5c1-a592b98cbb20","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":100,"box":{"x":70,"y":702,"width":833,"height":11}},{"id":"e835db81-0f89-45f2-a658-73a255967c64","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":100,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"f473cffa-cfcb-4b12-adc1-99ef8724715f","block_type":"box","text":"minimum distribution requirement, the Fund may elect for U.S. federal income tax purposes to pass through to","page_number":100,"box":{"x":69,"y":732,"width":788,"height":12}},{"id":"f221e862-288b-4a90-a660-12951408a45d","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":100,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"ca5cbd41-0250-4390-a9f5-caba621785a1","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":100,"box":{"x":70,"y":763,"width":825,"height":11}},{"id":"bbab10ae-8d2f-41c3-9798-80513c1300c2","block_type":"box","text":"clean renewable energy bond, a qualified energy conservation bond, or a qualified zone academy bond, each of which","page_number":100,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"15063a4d-9ba8-466f-a116-f6fa5e5440f2","block_type":"box","text":"must meet certain requirements specified in the Code), a “Build America Bond” (which includes certain qualified","page_number":100,"box":{"x":69,"y":793,"width":802,"height":11}},{"id":"d2ea9ea7-f56a-4773-89bc-24e4db8739a4","block_type":"box","text":"bonds issued before January 1, 2011) or certain other specified bonds. If the Fund were to so elect, a shareholder","page_number":100,"box":{"x":69,"y":808,"width":821,"height":11}},{"id":"03e081b4-f28a-4319-a2cf-7c4ea179758b","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":100,"box":{"x":68,"y":823,"width":760,"height":11}},{"id":"808e2a73-b106-4f5e-b2af-0c432ebedd93","block_type":"box","text":"proportionate share of such credits, and such amount would be subject to withholding provisions of the Code.","page_number":100,"box":{"x":70,"y":838,"width":782,"height":12}},{"id":"b879eccb-315f-4fda-af1f-f04d002a4161","block_type":"box","text":"Certain limitations may apply on the extent to which the credit may be claimed.","page_number":100,"box":{"x":69,"y":854,"width":563,"height":11}},{"id":"f2e6515b-31a2-4266-98d2-6006761f6458","block_type":"box","text":"Tax-Exempt Municipal Investments.","page_number":100,"box":{"x":103,"y":876,"width":246,"height":11}},{"id":"140f7220-14c5-4253-a912-0c2fe4872f41","block_type":"box","text":"Certain Funds may hold tax-exempt municipal investments which may be in","page_number":100,"box":{"x":355,"y":876,"width":534,"height":11}},{"id":"5d24f56f-96e5-462c-ab0a-d3be40409e0e","block_type":"box","text":"the form of tender option bonds, variable rate demand obligations, participations, beneficial interests in a trust,","page_number":100,"box":{"x":68,"y":891,"width":798,"height":12}},{"id":"b5acbd3a-05b8-4295-912a-e710be033191","block_type":"box","text":"partnership interests or other forms. These investments are described in greater detail above in this section. Some","page_number":100,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"6b7d7fb3-2b76-4ecc-80b5-fdab16ec079a","block_type":"box","text":"II-62","page_number":100,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bbb4109f-dcfb-4b14-9f95-4a2f8a6797e6","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":100,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"47409dee-44bf-4690-8311-565143969254","block_type":"box","text":"of the structures used by certain Funds include interests in long-term fixed-rate municipal debt obligations, held by a","page_number":101,"box":{"x":69,"y":45,"width":830,"height":11}},{"id":"19bce811-7a3e-4eb9-ba1f-4f5e7532fbec","block_type":"box","text":"trustee or custodian, that are coupled with tender option, demand and other features when the tax-exempt municipal","page_number":101,"box":{"x":68,"y":60,"width":832,"height":11}},{"id":"5bc168bc-2059-49ed-bdd7-45dc3862cea4","block_type":"box","text":"investments are created. Together, these features entitle the holder of the interest to tender (or put) the underlying","page_number":101,"box":{"x":70,"y":75,"width":819,"height":11}},{"id":"2575140c-29dd-4610-8285-f4cb0361835e","block_type":"box","text":"municipal debt obligation to a third party at periodic intervals and to receive the principal amount thereof.","page_number":101,"box":{"x":69,"y":90,"width":752,"height":11}},{"id":"36023a93-8216-44ca-9fe7-5b85178640b2","block_type":"box","text":"In some cases, municipal debt obligations are represented by custodial receipts evidencing rights to receive","page_number":101,"box":{"x":102,"y":113,"width":770,"height":11}},{"id":"62a1ae16-f0de-4b2f-a981-8b7cb66ae90b","block_type":"box","text":"specific future interest payments, principal payments, or both, on the underlying securities held by the custodian.","page_number":101,"box":{"x":69,"y":128,"width":806,"height":11}},{"id":"b04ff67b-0c10-4a57-bb5e-eb0adb63de8c","block_type":"box","text":"Under such arrangements, the holder of the custodial receipt has the option to tender the underlying securities at","page_number":101,"box":{"x":70,"y":143,"width":809,"height":11}},{"id":"0b428290-df29-4930-bba7-c0cbdf637c1a","block_type":"box","text":"their face value to the sponsor (","page_number":101,"box":{"x":68,"y":158,"width":228,"height":11}},{"id":"dbdf22a7-03b3-4d17-bdbc-2cffcf715abe","block_type":"box","text":"e.g.","page_number":101,"box":{"x":297,"y":160,"width":25,"height":9}},{"id":"5cc428be-44d0-4202-bba4-18990954b558","block_type":"box","text":", a Fund, or a bank or broker-dealer or other financial institution), which is paid","page_number":101,"box":{"x":325,"y":158,"width":557,"height":11}},{"id":"3dc05114-08d3-4029-877b-1a8b0eaa9afa","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":101,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"55f3a943-3013-4012-aed3-0e586e5cb382","block_type":"box","text":"securities, coupled with the tender option, to trade at par on the date of a rate adjustment.","page_number":101,"box":{"x":69,"y":188,"width":648,"height":11}},{"id":"6f52388b-d4a9-4322-ac9c-0bae3b0fdbe0","block_type":"box","text":"A participation interest gives the Fund an undivided interest in a Municipal Bond in the proportion the Fund’s","page_number":101,"box":{"x":101,"y":211,"width":775,"height":11}},{"id":"80ee7867-4aaf-4bd1-847f-d8d965036584","block_type":"box","text":"participation bears to the total principal amount of the Municipal Bond, and typically provides for a repurchase","page_number":101,"box":{"x":70,"y":226,"width":785,"height":11}},{"id":"c42676c7-6a85-4cb4-90dd-a0aaec35480e","block_type":"box","text":"feature for all or any part of the full principal amount of the participation interest, plus accrued interest. Trusts and","page_number":101,"box":{"x":68,"y":241,"width":821,"height":11}},{"id":"702057fb-f2c7-4612-ae83-2bc90fc8dc43","block_type":"box","text":"partnerships are typically used to convert long-term fixed rate high quality bonds of a single state or municipal issuer","page_number":101,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"04c2b97f-324d-433d-9296-b1a65693fecb","block_type":"box","text":"into variable or floating rate demand instruments.","page_number":101,"box":{"x":70,"y":271,"width":351,"height":12}},{"id":"f78d35fd-97ef-4766-ab50-6ba9fb594103","block_type":"box","text":"The Municipal Bond Funds may hold participation interests and custodial receipts for municipal debt obligations","page_number":101,"box":{"x":101,"y":294,"width":797,"height":11}},{"id":"8e942840-92d4-49fc-aacf-fc3fab6e19bc","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":101,"box":{"x":68,"y":309,"width":836,"height":11}},{"id":"8a785dd0-4f26-4cdc-89d3-0d42e713b745","block_type":"box","text":"not ruled on whether the interest received on tax-exempt municipal investments in the form of participation interests","page_number":101,"box":{"x":69,"y":324,"width":831,"height":11}},{"id":"857cdd77-9987-4d16-af4d-6fa675918a79","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":101,"box":{"x":69,"y":339,"width":809,"height":12}},{"id":"ce4fb4a9-a908-4fab-9886-b53c931414c8","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":101,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"09968745-09bd-4297-a246-26a716a31824","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":101,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"9e43ed4c-8637-4c3d-b5d7-b52fdbdcafef","block_type":"box","text":"such opinions.","page_number":101,"box":{"x":69,"y":385,"width":102,"height":11}},{"id":"017b0793-007b-4b88-b975-c864b257c31a","block_type":"box","text":"Operational and Technology Risks.","page_number":101,"box":{"x":102,"y":408,"width":250,"height":11}},{"id":"70fca898-f329-4cb4-95ba-556d5136ddc5","block_type":"box","text":"The Fund and the entities with which it interacts directly or indirectly are","page_number":101,"box":{"x":358,"y":408,"width":512,"height":11}},{"id":"48010655-1c9f-4d94-9e03-b5ff31b67b24","block_type":"box","text":"susceptible to operational and technology risks, including those related to human errors, processing errors,","page_number":101,"box":{"x":69,"y":423,"width":766,"height":11}},{"id":"9cbc5c09-3291-43f7-8bf1-9be96e0f6639","block_type":"box","text":"communication errors, systems failures, cybersecurity incidents, and the use of artificial intelligence and machine","page_number":101,"box":{"x":69,"y":438,"width":812,"height":11}},{"id":"ec2c4e61-ea26-4e2f-ad61-839df0690d58","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":101,"box":{"x":70,"y":453,"width":820,"height":11}},{"id":"1fc188a5-5104-4986-8c84-13fabef9ac61","block_type":"box","text":"entities include, but are not limited to, the Fund’s adviser, administrator, distributor, other service providers (e.g.,","page_number":101,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"0d832aae-1a46-462a-93ff-c9cf96a9f394","block_type":"box","text":"index and benchmark providers, accountants, custodians, and transfer agents), financial intermediaries,","page_number":101,"box":{"x":70,"y":483,"width":741,"height":11}},{"id":"67eb79c8-8769-4a5d-91d8-c938c87703b0","block_type":"box","text":"counterparties, market makers, Authorized Participants, listing exchanges, other financial market operators, and","page_number":101,"box":{"x":69,"y":498,"width":802,"height":11}},{"id":"92229712-0128-465d-bf19-c9e94587db2c","block_type":"box","text":"governmental authorities, as applicable. Operational and technology risks for the issuers in which the Fund invests","page_number":101,"box":{"x":68,"y":513,"width":818,"height":12}},{"id":"0a147bd5-eef5-4137-9f16-2dda499e3eb8","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":101,"box":{"x":69,"y":528,"width":827,"height":12}},{"id":"b28f500c-91db-4066-b93e-9d7c221cc5d2","block_type":"box","text":"issuers to lose value. The Fund may incur substantial costs in order to mitigate operational and technology risks.","page_number":101,"box":{"x":70,"y":544,"width":803,"height":11}},{"id":"2adeb82d-e55e-4e3e-a653-5d68b9265377","block_type":"box","text":"Cybersecurity incidents can result from deliberate attacks or unintentional events against an issuer in which the","page_number":101,"box":{"x":102,"y":566,"width":796,"height":11}},{"id":"425a287a-b319-4f26-9082-1b2612b9c9fe","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":101,"box":{"x":70,"y":581,"width":790,"height":12}},{"id":"795a9d01-bb39-456b-8ee9-2614bc89cb03","block_type":"box","text":"access to systems, misappropriating assets or sensitive information, corrupting or destroying data, and causing","page_number":101,"box":{"x":69,"y":596,"width":800,"height":12}},{"id":"449c337e-5a73-44f2-9825-a3d00d426328","block_type":"box","text":"operational disruption. Geopolitical tension may increase the scale and sophistication of deliberate attacks,","page_number":101,"box":{"x":69,"y":612,"width":768,"height":11}},{"id":"38a4d589-d1b1-4bcc-9d59-5c237c5467d1","block_type":"box","text":"particularly those from nation states or from entities with nation state backing. Cybersecurity incidents may result in","page_number":101,"box":{"x":70,"y":627,"width":827,"height":11}},{"id":"feebda5d-7e72-47d0-82b3-8f7c58e7c459","block_type":"box","text":"any of the following: financial losses; interference with the Fund’s ability to calculate its NAV; disclosure of","page_number":101,"box":{"x":69,"y":642,"width":760,"height":11}},{"id":"1b343286-c72b-4b90-ba61-90b3adafdd4c","block_type":"box","text":"confidential information; impediments to trading; submission of erroneous trades by the Fund or erroneous","page_number":101,"box":{"x":69,"y":657,"width":763,"height":11}},{"id":"b6d7575d-8308-4c0f-96f3-81fdba8e5118","block_type":"box","text":"subscription or redemption orders; the inability of the Fund or its service providers to transact business; violations of","page_number":101,"box":{"x":69,"y":672,"width":835,"height":11}},{"id":"9bb98ed8-997f-4017-9f62-ab3fda047682","block_type":"box","text":"applicable privacy and other laws; regulatory fines; penalties; reputational damage; reimbursement or other","page_number":101,"box":{"x":69,"y":687,"width":766,"height":11}},{"id":"3a69300e-bae3-496d-9fb9-48dc07483f41","block_type":"box","text":"compensation costs; and other legal and compliance expenses. Furthermore, cybersecurity incidents may render","page_number":101,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"26d6b9b1-678b-4611-aa7b-36d825026e73","block_type":"box","text":"records of the Fund, including records relating to its assets and transactions, shareholder ownership of Fund shares,","page_number":101,"box":{"x":69,"y":717,"width":833,"height":12}},{"id":"b1fddbf9-f971-4a8a-9f00-4f580b103fac","block_type":"box","text":"and other data integral to the Fund’s functioning, inaccessible, inaccurate or incomplete. Power outages, natural","page_number":101,"box":{"x":69,"y":732,"width":800,"height":12}},{"id":"f035df7b-9db9-4247-b871-19e7694bf1b6","block_type":"box","text":"disasters, equipment malfunctions and processing errors that threaten information and technology systems relied","page_number":101,"box":{"x":69,"y":748,"width":812,"height":11}},{"id":"bbfaeaee-57ea-444f-b952-7174aae64750","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":101,"box":{"x":69,"y":763,"width":777,"height":11}},{"id":"53734fd8-cab4-4610-89d3-0e2dad9cb0b1","block_type":"box","text":"systems, may also disrupt business operations or impact critical data. Recent advances in AI technology pose risks","page_number":101,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"015ff4c6-5ddd-40cd-bdaf-5f967908f9c7","block_type":"box","text":"to the Fund and its portfolio investments. These advancements could harm the Fund and its portfolio investments by","page_number":101,"box":{"x":68,"y":793,"width":836,"height":11}},{"id":"64e6cc63-e9b0-4906-894d-ade2b88cf9cf","block_type":"box","text":"reducing the demand for both the technology and software offerings of the Fund’s portfolio investments. Additionally,","page_number":101,"box":{"x":69,"y":808,"width":833,"height":11}},{"id":"7f636c7e-f41f-4317-b196-44ce31ccbf90","block_type":"box","text":"these advancements could significantly disrupt the Fund’s portfolio investments and subject them to increased","page_number":101,"box":{"x":68,"y":823,"width":793,"height":12}},{"id":"3fb90917-4888-442b-b9fa-5f5864ab8a37","block_type":"box","text":"competition, which could have a material adverse effect on business, financial condition, and results of operations.","page_number":101,"box":{"x":69,"y":838,"width":822,"height":11}},{"id":"dca15af8-80f0-4fdf-88ce-ae02ec93cd3b","block_type":"box","text":"AI technology advancements, including efficiency improvements, without related increases in the adoption and","page_number":101,"box":{"x":68,"y":853,"width":787,"height":12}},{"id":"f5bddc35-1a54-4ade-8ac2-8c6bce1c2d87","block_type":"box","text":"development of such technologies, could also negatively impact demand for, and the valuation of, digital","page_number":101,"box":{"x":69,"y":869,"width":742,"height":11}},{"id":"7a0d75d6-c4d7-4bd8-924f-054305e5a323","block_type":"box","text":"infrastructure assets.","page_number":101,"box":{"x":70,"y":884,"width":151,"height":9}},{"id":"41f27fa6-6bc9-4ea5-97b5-f1097ecc88fd","block_type":"box","text":"II-63","page_number":101,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3bde9555-447e-4070-9a05-ba35fcc65deb","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":101,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ae5c9588-d945-4e32-980d-5a87cf8b21aa","block_type":"box","text":"The Fund and its portfolio investments could be exposed to the risks of AI technology if third-party service","page_number":102,"box":{"x":101,"y":45,"width":755,"height":11}},{"id":"198e84e0-1481-493b-be48-e33441f97a12","block_type":"box","text":"providers or any counterparties, whether or not known to the Fund, also use AI technology in their business activities.","page_number":102,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"8fa49805-0e47-4846-890b-8ddf3d697b92","block_type":"box","text":"The Fund and its service providers may not be in a position to control the use of AI technology in third-party products","page_number":102,"box":{"x":68,"y":75,"width":833,"height":11}},{"id":"b1c17b12-cc14-4e7e-b1b0-3193886450c2","block_type":"box","text":"or services.","page_number":102,"box":{"x":69,"y":90,"width":82,"height":9}},{"id":"fd906861-a5e1-4932-ad1e-ef62367da23a","block_type":"box","text":"Use of AI technology could include the input of confidential information in contravention of applicable policies,","page_number":102,"box":{"x":102,"y":113,"width":781,"height":11}},{"id":"9766925f-707a-436b-9cc4-f5e229a16a1d","block_type":"box","text":"contractual or other obligations or restrictions, resulting in such confidential information becoming accessible by","page_number":102,"box":{"x":69,"y":128,"width":801,"height":11}},{"id":"bb024d87-ac47-4699-8f22-c48f2db2a327","block_type":"box","text":"other third-party AI technology applications and users.","page_number":102,"box":{"x":69,"y":143,"width":383,"height":11}},{"id":"c47c7838-8c1f-4023-925c-521f8326e2a2","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":102,"box":{"x":102,"y":166,"width":795,"height":11}},{"id":"540d1175-1091-4439-be87-e01cfbf27f6f","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":102,"box":{"x":69,"y":181,"width":813,"height":11}},{"id":"a903ce37-5534-45a6-bcc2-9476e3de5025","block_type":"box","text":"relevant data into the models that AI technology utilizes to operate. Certain data in such models will inevitably","page_number":102,"box":{"x":69,"y":196,"width":785,"height":11}},{"id":"e9a785e7-6632-4a48-bbbc-193f2ba2b805","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":102,"box":{"x":69,"y":211,"width":782,"height":11}},{"id":"3cffd4a9-0ff8-4454-aa3c-bf1ecbe59453","block_type":"box","text":"degrade the effectiveness of AI technology. The output or results of any such AI technologies may therefore be","page_number":102,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"b92eea12-cc1d-438a-b67f-99cd1fcd5e0e","block_type":"box","text":"incomplete, erroneous, distorted, or misleading. Further, AI tools may lack transparency as to how data is utilized","page_number":102,"box":{"x":70,"y":241,"width":809,"height":11}},{"id":"73214229-9154-4d1b-b236-dda5f33403fb","block_type":"box","text":"and how outputs are generated. AI technologies may also allow the unintended introduction of vulnerabilities into","page_number":102,"box":{"x":69,"y":256,"width":805,"height":12}},{"id":"eef99ea2-f23e-4294-96bd-b9628b599375","block_type":"box","text":"infrastructures and applications. To the extent that the Fund or its portfolio investments are exposed to the risks of","page_number":102,"box":{"x":70,"y":271,"width":822,"height":11}},{"id":"72a24953-572e-4737-a741-c733633b32d2","block_type":"box","text":"AI technology use, any such inaccuracies or errors could have adverse impacts on the Fund or its investments.","page_number":102,"box":{"x":68,"y":287,"width":789,"height":11}},{"id":"56878a87-7528-4989-a662-1c5d03561b7b","block_type":"box","text":"Regulations related to AI technology could also impose certain obligations and costs related to monitoring and","page_number":102,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"e00aafe2-63d7-4373-aaf0-e2c07175372c","block_type":"box","text":"compliance. For example, in April 2023, the Federal Trade Commission, U.S. Department of Justice, Consumer","page_number":102,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"bad1e60e-dedf-42e3-a5b5-35094a6a97ca","block_type":"box","text":"Financial Protection Bureau, and U.S. Equal Employment Opportunity Commission released a joint statement on","page_number":102,"box":{"x":70,"y":340,"width":796,"height":11}},{"id":"0e056423-0dd8-47e2-b660-d927c55abf8b","block_type":"box","text":"artificial intelligence demonstrating interest in monitoring the development and use of automated systems and","page_number":102,"box":{"x":69,"y":355,"width":788,"height":11}},{"id":"00e0538e-fa74-4b7b-a13e-47b09415d76a","block_type":"box","text":"enforcement of their respective laws and regulations. In October 2023, an executive order established new standards","page_number":102,"box":{"x":69,"y":370,"width":839,"height":11}},{"id":"24ce0e02-0806-4ab9-8589-e9676570c7e5","block_type":"box","text":"for AI safety and security. In addition to the U.S. regulatory framework, in 2024, the EU adopted the Artificial","page_number":102,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"7f7dc75b-439b-4859-9a53-afb048cd5737","block_type":"box","text":"Intelligence Act, which applies to certain AI technology and the data used to train, test, and deploy them, which may","page_number":102,"box":{"x":70,"y":400,"width":826,"height":11}},{"id":"a6e1c0f4-91c2-4bcb-af97-1b3146662006","block_type":"box","text":"create additional compliance burdens, higher administrative costs, and significant penalties should the Fund, the","page_number":102,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"7f664743-e8f1-4bc3-8389-9a679fe0a8ad","block_type":"box","text":"adviser, or the Fund’s portfolio investments fail to comply.","page_number":102,"box":{"x":69,"y":430,"width":412,"height":11}},{"id":"76c31156-b2d6-4e0a-af21-19b82d3a3429","block_type":"box","text":"AI technology and its applications, including in the investment and financial sectors, continue to develop rapidly,","page_number":102,"box":{"x":101,"y":453,"width":797,"height":11}},{"id":"fb54bcdb-f081-4b8b-965b-32919cc90b34","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":102,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"ad4efbdb-b63a-45e2-9c68-043d5ba48823","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":102,"box":{"x":68,"y":483,"width":824,"height":11}},{"id":"c933e960-e7ed-44bb-9bac-53b1fddb1b55","block_type":"box","text":"or remediate all of the potential risks, challenges, or impacts of such changes.","page_number":102,"box":{"x":69,"y":498,"width":561,"height":11}},{"id":"2065583e-fc45-4242-bc30-32d168c848b3","block_type":"box","text":"While the Fund’s service providers are required to have appropriate operational, information security and","page_number":102,"box":{"x":101,"y":521,"width":747,"height":11}},{"id":"46acd4a5-9694-41de-a665-de8e8c8cfcfb","block_type":"box","text":"cybersecurity risk management policies and procedures, their methods of risk management may differ from those of","page_number":102,"box":{"x":69,"y":536,"width":830,"height":11}},{"id":"e0c37c4b-cdf8-4972-9c77-d7a8a8d34e7d","block_type":"box","text":"the Fund in the setting of priorities, the personnel and resources available or the effectiveness of relevant controls.","page_number":102,"box":{"x":68,"y":551,"width":823,"height":11}},{"id":"dd49f3a5-a05f-4b6a-8405-fef3913a41ac","block_type":"box","text":"The Fund and its adviser seek to reduce these risks through controls, procedures and oversight, including","page_number":102,"box":{"x":68,"y":566,"width":755,"height":11}},{"id":"048d1e2a-a869-4a29-b22b-6086edc45db4","block_type":"box","text":"establishing business continuity plans and risk management systems. However, there are inherent limitations in such","page_number":102,"box":{"x":69,"y":582,"width":838,"height":11}},{"id":"2671c695-b0d1-4313-8f05-52d065ac332c","block_type":"box","text":"plans and systems, including the possibility that certain risks that may affect the Fund have not been identified or","page_number":102,"box":{"x":70,"y":596,"width":812,"height":12}},{"id":"6d8002de-d835-4527-bb7d-ef69417d553f","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":102,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"3c6e03ec-1d67-4e20-a804-9ed3729d223f","block_type":"box","text":"effects of operational or information security disruptions or failures or of cybersecurity incidents; or that prevention","page_number":102,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"e678af78-35cb-4128-8cff-0f5a939743d4","block_type":"box","text":"and remediation efforts will not be successful or that incidents will go undetected. The Fund cannot control the","page_number":102,"box":{"x":69,"y":642,"width":792,"height":11}},{"id":"63d44061-a138-424c-b436-fdf268ababe4","block_type":"box","text":"systems, information security or other cybersecurity of the issuers in which it invests or its service providers,","page_number":102,"box":{"x":69,"y":657,"width":775,"height":11}},{"id":"ddc07228-de04-4647-8df5-9de650cd0a34","block_type":"box","text":"counterparties, and other third parties whose activities affect the Fund.","page_number":102,"box":{"x":69,"y":672,"width":510,"height":11}},{"id":"df4f70fd-3e31-4edd-bd4b-8a9ae6fa2413","block_type":"box","text":"Lastly, the regulatory climate governing cybersecurity and data protection is developing quickly and may vary","page_number":102,"box":{"x":102,"y":695,"width":771,"height":11}},{"id":"82884f6f-df58-4f45-b2c4-d47be29a842d","block_type":"box","text":"considerably across jurisdictions. Regulators continue to develop new rules and standards related to cybersecurity","page_number":102,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"8afa6066-5fca-45e5-a749-fe109ef6d883","block_type":"box","text":"and data protection. Compliance with evolving regulations can be demanding and costly, requiring substantial","page_number":102,"box":{"x":69,"y":725,"width":778,"height":11}},{"id":"834a4dc4-fb27-47df-a92b-c98c23077d07","block_type":"box","text":"resources to monitor and implement required changes.","page_number":102,"box":{"x":69,"y":740,"width":391,"height":11}},{"id":"afa595cf-2ac9-4185-8466-2a48d3e72c9a","block_type":"box","text":"Participation Notes.","page_number":102,"box":{"x":102,"y":763,"width":145,"height":11}},{"id":"4c23c021-2cdc-49e4-b7d9-b38bff081b1b","block_type":"box","text":"A Fund may buy participation notes from a bank or broker-dealer (“issuer”) that entitle the","page_number":102,"box":{"x":253,"y":763,"width":641,"height":11}},{"id":"c3ec00cf-d69b-4480-8ba1-d6a9501a6dcb","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":102,"box":{"x":70,"y":778,"width":766,"height":11}},{"id":"820cfc03-fc66-44bb-93dc-76be090d7ba1","block_type":"box","text":"(collectively, the “underlying security”). Participation notes are typically used when a direct investment in the","page_number":102,"box":{"x":69,"y":793,"width":772,"height":11}},{"id":"da0743fa-030c-4e3c-b2e9-027605b448c0","block_type":"box","text":"underlying security is restricted due to country-specific regulations.","page_number":102,"box":{"x":69,"y":808,"width":475,"height":11}},{"id":"663c8bfc-6f70-46ec-811a-8237e3cd5d8c","block_type":"box","text":"The Fund is subject to counterparty risk associated with each issuer. Investment in a participation note is not","page_number":102,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"4542f51f-36b3-4514-82a6-1effb3845580","block_type":"box","text":"the same as investment in the constituent shares of the company. A participation note represents only an obligation","page_number":102,"box":{"x":68,"y":846,"width":831,"height":11}},{"id":"83317cb6-7ffd-49fc-9067-dd705017fcca","block_type":"box","text":"of the issuer to provide the Fund the economic performance equivalent to holding shares of an underlying security. A","page_number":102,"box":{"x":69,"y":861,"width":831,"height":11}},{"id":"cbe30567-8c09-4473-ae7a-56d42b6af191","block_type":"box","text":"participation note does not provide any beneficial or equitable entitlement or interest in the relevant underlying","page_number":102,"box":{"x":70,"y":876,"width":789,"height":11}},{"id":"cfc48c35-7655-4fc7-b3ae-f61b73053905","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":102,"box":{"x":69,"y":891,"width":791,"height":12}},{"id":"4f78fa19-f7bd-4cbc-b038-a07ceb0fa876","block_type":"box","text":"participation note synthetically replicates the economic benefit of holding shares in the underlying security. Because","page_number":102,"box":{"x":70,"y":906,"width":827,"height":12}},{"id":"f6f9fa99-ba2d-4ff7-b567-5ecf71838fbb","block_type":"box","text":"II-64","page_number":102,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6bf7e4e3-5cba-44c0-a765-0e217e01ee3c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":102,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2bdf90e0-ee65-471b-9535-aed0d9bf0624","block_type":"box","text":"a participation note is an obligation of the issuer, rather than a direct investment in shares of the underlying security,","page_number":103,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"3d55a593-e431-46dd-b224-7254012f03bc","block_type":"box","text":"a Fund may suffer losses potentially equal to the full value of the participation note if the issuer fails to perform its","page_number":103,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"8e670397-3853-4421-9604-f5639d157bb5","block_type":"box","text":"obligations. A Fund attempts to mitigate that risk by purchasing only from issuers determined to be creditworthy.","page_number":103,"box":{"x":69,"y":75,"width":801,"height":11}},{"id":"14a4a077-5e65-42b8-b4ed-6248fa6910ca","block_type":"box","text":"The counterparty may, but is not required to, purchase the shares of the underlying security to hedge its","page_number":103,"box":{"x":101,"y":98,"width":743,"height":11}},{"id":"960432e0-4b19-4e35-9ad6-fa8e684d0b48","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":103,"box":{"x":69,"y":113,"width":826,"height":11}},{"id":"4abaac2f-d52d-4e05-bbcc-3113a18ad826","block_type":"box","text":"participation note expires or a Fund exercises the participation note and closes its position, the Fund receives a","page_number":103,"box":{"x":70,"y":128,"width":799,"height":11}},{"id":"da8518d6-1912-450e-9047-92aed44362ce","block_type":"box","text":"payment that is based upon the then-current value of the underlying security converted into U.S. dollars (less","page_number":103,"box":{"x":70,"y":143,"width":776,"height":11}},{"id":"538da6bc-66db-4a78-add4-f922a34a748e","block_type":"box","text":"transaction costs). The price, performance and liquidity of a participation note are all linked directly to the underlying","page_number":103,"box":{"x":68,"y":158,"width":834,"height":11}},{"id":"936acac6-7562-4e33-8cbb-e55a7a91a82c","block_type":"box","text":"security. A Fund’s ability to redeem or exercise a participation note generally is dependent on the liquidity in the local","page_number":103,"box":{"x":69,"y":173,"width":834,"height":11}},{"id":"79120940-0c6a-47b0-abd2-e71c6560c87a","block_type":"box","text":"trading market for the security underlying the participation note.","page_number":103,"box":{"x":68,"y":188,"width":454,"height":12}},{"id":"e5c7162c-4dee-433f-889e-a197e2bd9618","block_type":"box","text":"Portfolio Turnover Rates.","page_number":103,"box":{"x":102,"y":211,"width":181,"height":9}},{"id":"534357f1-b77c-424f-8003-fa300c38f586","block_type":"box","text":"A Fund’s annual portfolio turnover rate will not be a factor preventing a sale or","page_number":103,"box":{"x":289,"y":211,"width":558,"height":11}},{"id":"17b103f5-8c57-44bb-a43a-9a222728f4ef","block_type":"box","text":"purchase when the Manager believes investment considerations warrant such sale or purchase. Although certain","page_number":103,"box":{"x":70,"y":226,"width":804,"height":11}},{"id":"0c01aa7b-6f18-4ba8-9ad6-cba3f9da7b9f","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":103,"box":{"x":70,"y":241,"width":806,"height":11}},{"id":"fce8c5ee-9b58-46e2-852e-1af89f6ad2b6","block_type":"box","text":"substantial number of portfolio transactions. With respect to these Funds, the rate of portfolio turnover will be a","page_number":103,"box":{"x":69,"y":256,"width":800,"height":11}},{"id":"2d11b8e5-4973-4dcf-a7fb-df409caaf19e","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":103,"box":{"x":70,"y":271,"width":818,"height":12}},{"id":"26d953ab-d24c-4727-a57f-b4d7ca6c0259","block_type":"box","text":"the Manager will consider the impact of transaction costs on a Fund’s tracking error. Portfolio turnover may vary","page_number":103,"box":{"x":68,"y":286,"width":800,"height":12}},{"id":"316f9aff-7a28-41fb-9a02-a71a6f39b31d","block_type":"box","text":"greatly from year to year as well as within a particular year. High portfolio turnover (","page_number":103,"box":{"x":68,"y":302,"width":595,"height":11}},{"id":"96945f97-47a7-4d08-a53e-e5caf6dcafce","block_type":"box","text":"i.e.","page_number":103,"box":{"x":665,"y":302,"width":20,"height":9}},{"id":"054d4fd3-c7ad-4ade-844b-08cebd032906","block_type":"box","text":", 100% or more) may result in","page_number":103,"box":{"x":687,"y":302,"width":210,"height":11}},{"id":"4bafd80e-083a-4a15-a4b4-4e7240b2c03b","block_type":"box","text":"increased transaction costs to a Fund, including brokerage commissions, dealer mark-ups and other transaction","page_number":103,"box":{"x":70,"y":317,"width":797,"height":11}},{"id":"f2d721e6-9c47-4588-8b87-4aa94128b091","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":103,"box":{"x":69,"y":332,"width":832,"height":11}},{"id":"a6261189-0941-4c8a-b1c5-561ecfdfd932","block_type":"box","text":"the recognition of capital gain or loss. Given the frequency of sales, such gain or loss will likely be short-term capital","page_number":103,"box":{"x":68,"y":347,"width":831,"height":11}},{"id":"f612a7a2-6342-4207-8563-ca1435cf63f8","block_type":"box","text":"gain or loss. These effects of higher than normal portfolio turnover may adversely affect a Fund’s performance.","page_number":103,"box":{"x":68,"y":362,"width":795,"height":11}},{"id":"1ee2211c-b355-4587-a941-516dbf980ac6","block_type":"box","text":"Preferred Stock.","page_number":103,"box":{"x":102,"y":385,"width":118,"height":9}},{"id":"b7781793-0a7b-47cc-a0a6-53b5c2588b8c","block_type":"box","text":"Certain Funds may invest in preferred stocks. Preferred stock has a preference over common","page_number":103,"box":{"x":226,"y":385,"width":665,"height":11}},{"id":"7e8ca3c7-3e63-4a24-b987-a6c852205579","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":103,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"0026efda-e424-46c5-9d11-c2d5f180b60b","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":103,"box":{"x":69,"y":415,"width":834,"height":11}},{"id":"b8b5fd48-08fd-4c2d-83fa-93e392c7acc5","block_type":"box","text":"varies inversely with interest rates and perceived credit risk, while the market price of convertible preferred stock","page_number":103,"box":{"x":68,"y":430,"width":808,"height":11}},{"id":"2e7f4043-d9b6-47e0-b95e-5294c1651cc9","block_type":"box","text":"generally also reflects some element of conversion value. Because preferred stock is junior to debt securities and","page_number":103,"box":{"x":68,"y":445,"width":813,"height":12}},{"id":"a66f711a-c758-470f-adbf-b1247a82bb01","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":103,"box":{"x":69,"y":460,"width":831,"height":12}},{"id":"ca554dee-092b-4003-97fe-c7ef12c47eae","block_type":"box","text":"of a preferred stock than in a more senior debt security with similar stated yield characteristics. Unlike interest","page_number":103,"box":{"x":69,"y":475,"width":791,"height":12}},{"id":"898c22a0-304c-4540-be46-812b9a14bef9","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":103,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"612c7371-5a05-49e6-bc89-ab72c0a2e3ec","block_type":"box","text":"Preferred stock also may be subject to optional or mandatory redemption provisions.","page_number":103,"box":{"x":69,"y":506,"width":604,"height":11}},{"id":"8c502936-4f9b-4494-909a-6e724a3f10c5","block_type":"box","text":"Tax-Exempt Preferred Shares.","page_number":103,"box":{"x":103,"y":528,"width":207,"height":11}},{"id":"440aeb42-ee9f-4151-950f-d9f95ca162c1","block_type":"box","text":"Certain Funds may invest in preferred interests of other investment funds that pay","page_number":103,"box":{"x":316,"y":528,"width":588,"height":12}},{"id":"d623cbee-6d03-4c63-8f73-a57e7e3c5e58","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":103,"box":{"x":69,"y":543,"width":806,"height":12}},{"id":"ca0eeb57-d456-44fa-a915-d052ba44c814","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":103,"box":{"x":69,"y":559,"width":814,"height":11}},{"id":"daf7dc50-6354-4445-8876-3908f12dccc1","block_type":"box","text":"revenue bonds issued by state or local agencies to fund the development of low-income, multi-family housing.","page_number":103,"box":{"x":69,"y":574,"width":780,"height":11}},{"id":"1117b113-3ae2-4ca4-b971-72695665f8d7","block_type":"box","text":"Investment in such tax-exempt preferred shares involves many of the same issues as investing in other investment","page_number":103,"box":{"x":70,"y":589,"width":820,"height":11}},{"id":"1a1edcb6-f16a-436f-9ef1-905804ffabd3","block_type":"box","text":"companies. These investments also have additional risks, including illiquid investments risk, the absence of","page_number":103,"box":{"x":69,"y":604,"width":772,"height":11}},{"id":"2186b52f-1958-4e13-8802-c8b9f5c3d517","block_type":"box","text":"regulation governing investment practices, capital structure and leverage, affiliated transactions and other matters,","page_number":103,"box":{"x":69,"y":619,"width":821,"height":11}},{"id":"6b354af0-69fc-4b88-962b-82e723c8a44c","block_type":"box","text":"and concentration of investments in particular issuers or industries. The Municipal Bond Funds will treat investments","page_number":103,"box":{"x":69,"y":634,"width":834,"height":11}},{"id":"2fc1cd3a-cd2c-4abc-a803-b395e2115c82","block_type":"box","text":"in tax-exempt preferred shares as investments in municipal bonds.","page_number":103,"box":{"x":70,"y":649,"width":474,"height":11}},{"id":"ea6d7b6a-db78-4d89-8524-927345f8c0c0","block_type":"box","text":"Trust Preferred Securities.","page_number":103,"box":{"x":103,"y":672,"width":184,"height":9}},{"id":"52589062-24ee-4a1e-aedc-0e25f73fb8ad","block_type":"box","text":"Certain Funds may invest in trust preferred securities. Trust preferred securities are","page_number":103,"box":{"x":294,"y":672,"width":599,"height":11}},{"id":"828596a1-d6a5-417f-a309-55472cb85783","block_type":"box","text":"typically issued by corporations, generally in the form of interest bearing notes with preferred securities","page_number":103,"box":{"x":68,"y":687,"width":737,"height":11}},{"id":"3691f758-e157-4d67-ba9a-b7da8bc45e0b","block_type":"box","text":"characteristics, or by an affiliated business trust of a corporation, generally in the form of beneficial interests in","page_number":103,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"3e87e471-fdd7-4c51-b326-3624b1e65ab7","block_type":"box","text":"subordinated debentures or similarly structured securities. The trust preferred securities market consists of both","page_number":103,"box":{"x":69,"y":717,"width":805,"height":12}},{"id":"b1bc0a87-e9e1-4b90-a691-bb180f13fce3","block_type":"box","text":"fixed and adjustable coupon rate securities that are either perpetual in nature or have stated maturity dates.","page_number":103,"box":{"x":68,"y":732,"width":773,"height":12}},{"id":"fa702bc0-ce61-41d1-85f9-75d8d0d5e428","block_type":"box","text":"Trust preferred securities are typically junior and fully subordinated liabilities of an issuer and benefit from a","page_number":103,"box":{"x":101,"y":755,"width":770,"height":11}},{"id":"39514bb1-f84e-456b-a0c0-d02bfca09f1b","block_type":"box","text":"guarantee that is junior and fully subordinated to the other liabilities of the guarantor. In addition, trust preferred","page_number":103,"box":{"x":68,"y":770,"width":801,"height":12}},{"id":"35e4fcb6-f1bf-4401-ae74-a887eae9f2c3","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":103,"box":{"x":69,"y":785,"width":830,"height":12}},{"id":"0abd3ada-faf5-4c29-af89-2948ab572d0e","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":103,"box":{"x":69,"y":801,"width":822,"height":11}},{"id":"5df78c45-5e7e-48e7-ae80-754c8eed3a6f","block_type":"box","text":"for extended periods of time without default consequences to the issuer, and certain other features (such as","page_number":103,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"08078e27-4870-4c3e-aea8-ca9caf6e8290","block_type":"box","text":"restrictions on common dividend payments by the issuer or ultimate guarantor when full cumulative payments on the","page_number":103,"box":{"x":69,"y":831,"width":831,"height":11}},{"id":"8cd4ef2c-b004-499c-877f-e34961934710","block_type":"box","text":"trust preferred securities have not been made), these trust preferred securities are often treated as close","page_number":103,"box":{"x":68,"y":846,"width":757,"height":11}},{"id":"a869b985-6a84-49b4-ae05-a8eb5dd9d1c3","block_type":"box","text":"substitutes for traditional preferred securities, both by issuers and investors.","page_number":103,"box":{"x":69,"y":861,"width":548,"height":11}},{"id":"f0e85f46-d0e9-4560-976e-9fd899d0dfb1","block_type":"box","text":"Trust preferred securities include but are not limited to trust originated preferred securities (“TOPRS","page_number":103,"box":{"x":101,"y":884,"width":715,"height":11}},{"id":"87d71147-657c-421a-bfd5-edc82546dc9c","block_type":"box","text":"®","page_number":103,"box":{"x":817,"y":884,"width":5,"height":5}},{"id":"038c7851-5fc4-46aa-802f-769c2ea1b332","block_type":"box","text":"”); monthly","page_number":103,"box":{"x":824,"y":884,"width":77,"height":11}},{"id":"6760d221-6bdc-4d3c-99ed-2976a81502b5","block_type":"box","text":"income preferred securities (“MIPS","page_number":103,"box":{"x":70,"y":899,"width":248,"height":11}},{"id":"9769f572-a0bd-4783-a918-d11c9aa7c69a","block_type":"box","text":"®","page_number":103,"box":{"x":319,"y":899,"width":6,"height":5}},{"id":"fb07a713-a72a-4a08-baf9-0ccdf2aef249","block_type":"box","text":"”); quarterly income bond securities (“QUIBS","page_number":103,"box":{"x":326,"y":899,"width":317,"height":11}},{"id":"da7324f6-2a0a-4629-86a9-ea8d1f76ba07","block_type":"box","text":"®","page_number":103,"box":{"x":644,"y":899,"width":6,"height":5}},{"id":"a3adcdc8-c8d9-418f-a4f9-8e529273c928","block_type":"box","text":"” ); quarterly income debt securities","page_number":103,"box":{"x":652,"y":899,"width":255,"height":11}},{"id":"a98ba79e-f2e5-4f08-9199-7397d096aa89","block_type":"box","text":"II-65","page_number":103,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7d65ecdc-d33f-4177-bb59-179d5518a72e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":103,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cdadcbb7-8cf7-4d87-b630-da7acf0f7cfb","block_type":"box","text":"(“QUIDS","page_number":104,"box":{"x":69,"y":45,"width":57,"height":11}},{"id":"4d5a2284-1efc-4446-b12a-ac20fea33343","block_type":"box","text":"®","page_number":104,"box":{"x":127,"y":45,"width":6,"height":4}},{"id":"1a24d6b0-a500-4af5-beed-682fcb8f9662","block_type":"box","text":"”); quarterly income preferred securities (“QUIPS","page_number":104,"box":{"x":135,"y":45,"width":346,"height":11}},{"id":"546aa382-59f4-4b55-ab7d-37937653939f","block_type":"box","text":"SM","page_number":104,"box":{"x":482,"y":45,"width":11,"height":4}},{"id":"e21fc991-a349-434f-8186-4b728b1f1538","block_type":"box","text":"”); corporate trust securities (“CORTS","page_number":104,"box":{"x":495,"y":45,"width":267,"height":11}},{"id":"4c872d6a-e755-4909-866e-7f41d97b18d3","block_type":"box","text":"®","page_number":104,"box":{"x":762,"y":45,"width":6,"height":4}},{"id":"b86ad2d2-da54-4b01-9a10-391d2687efee","block_type":"box","text":"”); public income","page_number":104,"box":{"x":770,"y":45,"width":118,"height":11}},{"id":"9d278db2-9465-4079-a5a2-1a0a7f1f60a0","block_type":"box","text":"notes (“PINES","page_number":104,"box":{"x":69,"y":60,"width":99,"height":11}},{"id":"0b47abf4-03ca-4214-9669-c3e775ae52d0","block_type":"box","text":"®","page_number":104,"box":{"x":169,"y":60,"width":6,"height":5}},{"id":"02ef4ff5-00c3-4f85-97f4-3917598ecde0","block_type":"box","text":"”); and other trust preferred securities.","page_number":104,"box":{"x":177,"y":60,"width":275,"height":11}},{"id":"9de696c4-fceb-438e-ab57-8d4f1c0a3eeb","block_type":"box","text":"Trust preferred securities are typically issued with a final maturity date, although some are perpetual in nature.","page_number":104,"box":{"x":101,"y":82,"width":790,"height":12}},{"id":"6f256590-c3f3-4c32-9936-826d86b82555","block_type":"box","text":"In certain instances, a final maturity date may be extended and/or the final payment of principal may be deferred at","page_number":104,"box":{"x":70,"y":98,"width":825,"height":11}},{"id":"fda84cbb-21a6-48da-94da-dbee843426dd","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":104,"box":{"x":68,"y":113,"width":827,"height":11}},{"id":"238dd25f-ebf8-4ec4-8879-9b47b19def9c","block_type":"box","text":"payment obligations have been met, although issuers may be able to engage in open-market repurchases without","page_number":104,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"fb32c339-ff17-4cc5-8bb4-4c39e421974a","block_type":"box","text":"regard to whether all payments have been paid.","page_number":104,"box":{"x":69,"y":143,"width":338,"height":11}},{"id":"d3b68228-bd44-4f93-bed0-4d48c1777db9","block_type":"box","text":"Many trust preferred securities are issued by trusts or other special purpose entities established by operating","page_number":104,"box":{"x":102,"y":166,"width":784,"height":11}},{"id":"5d15efce-0502-4ec7-bd84-d648fd758d5c","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":104,"box":{"x":69,"y":181,"width":811,"height":11}},{"id":"bb9a78b9-3e34-4361-b29f-b3100648040e","block_type":"box","text":"sells such preferred securities to investors, it purchases debt of the operating company (with terms comparable to","page_number":104,"box":{"x":69,"y":196,"width":817,"height":11}},{"id":"14d7406b-e23c-4a02-85dc-f66b5496b23c","block_type":"box","text":"those of the trust or special purpose entity securities), which enables the operating company to deduct for tax","page_number":104,"box":{"x":68,"y":211,"width":785,"height":11}},{"id":"9bb05369-ebbf-40f3-9029-5789e5b9db02","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":104,"box":{"x":70,"y":226,"width":830,"height":11}},{"id":"f479ba8d-1809-41d4-bb07-dd6675c9332d","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":104,"box":{"x":70,"y":241,"width":819,"height":11}},{"id":"ed69ed86-d905-48a4-a46b-144f4a23ff94","block_type":"box","text":"trust preferred securities are treated as owning beneficial interests in the underlying debt of the operating company.","page_number":104,"box":{"x":68,"y":256,"width":827,"height":12}},{"id":"5fc50e1a-53df-4acf-9ae9-d91363a69b2a","block_type":"box","text":"Accordingly, payments on the trust preferred securities are treated as interest rather than dividends for U.S. federal","page_number":104,"box":{"x":68,"y":271,"width":824,"height":12}},{"id":"511aebaa-4ce0-4847-9342-e4e25f6c2b70","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":104,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"1a99851e-fcc8-4e95-b9fe-67b145f2a106","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":104,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"b4e8ccf9-eec2-4a7f-995d-9cde3a2ef3fc","block_type":"box","text":"common shareholders, but would typically be subordinated to other classes of the operating company’s debt.","page_number":104,"box":{"x":69,"y":317,"width":778,"height":11}},{"id":"cc4a0253-0478-4463-9d80-0b74b1844cc5","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":104,"box":{"x":68,"y":332,"width":811,"height":11}},{"id":"42c20a50-dc55-4541-9dcd-3976f9d47514","block_type":"box","text":"debt securities.","page_number":104,"box":{"x":69,"y":347,"width":109,"height":9}},{"id":"a8bffaee-0604-4b8c-a9ae-4db83daf364f","block_type":"box","text":"Real Estate Investment Trusts (“REITs”).","page_number":104,"box":{"x":102,"y":370,"width":300,"height":11}},{"id":"d795c90a-c138-4f80-9a2c-268daec76aec","block_type":"box","text":"In pursuing its investment strategy, a Fund may invest in shares of","page_number":104,"box":{"x":409,"y":370,"width":473,"height":11}},{"id":"51eccaec-6233-41ab-9282-757145f4350f","block_type":"box","text":"REITs. REITs possess certain risks which differ from an investment in common stocks. REITs are financial vehicles","page_number":104,"box":{"x":70,"y":385,"width":814,"height":11}},{"id":"df2ed013-f0d7-49d4-a02b-bc9bd4d6477e","block_type":"box","text":"that pool investor’s capital to purchase or finance real estate. REITs may concentrate their investments in specific","page_number":104,"box":{"x":68,"y":400,"width":814,"height":11}},{"id":"4bb1255d-f07d-47df-b6f9-ece3fb715aa2","block_type":"box","text":"geographic areas or in specific property types,","page_number":104,"box":{"x":68,"y":415,"width":329,"height":11}},{"id":"074caf46-88d1-4192-a9ff-9edfee192c59","block_type":"box","text":"i.e.","page_number":104,"box":{"x":405,"y":415,"width":20,"height":9}},{"id":"28d57668-4b52-4e3e-96fc-ae3bb3f3a323","block_type":"box","text":", hotels, shopping malls, residential complexes and office","page_number":104,"box":{"x":428,"y":415,"width":411,"height":11}},{"id":"dc05316b-9f28-4d76-8818-6e4a017c65f0","block_type":"box","text":"buildings.","page_number":104,"box":{"x":69,"y":430,"width":66,"height":11}},{"id":"5f07b87c-6d38-40da-8322-0d85c5f93fbf","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":104,"box":{"x":102,"y":453,"width":768,"height":11}},{"id":"1d1aa2b2-65f0-4598-aa9f-2a9d5f2d420b","block_type":"box","text":"proportionate share of the costs of the REITs’ operations. There are three general categories of REITs: Equity REITs,","page_number":104,"box":{"x":70,"y":468,"width":824,"height":11}},{"id":"6b238e2b-3c07-4b78-a92c-5cf1051be1f3","block_type":"box","text":"Mortgage REITs and Hybrid REITs. Equity REITs invest primarily in direct fee ownership or leasehold ownership of real","page_number":104,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"2d7a556a-d54e-4f57-a350-ace95bc38dec","block_type":"box","text":"property, which derive most of their income from rents. Mortgage REITs invest mostly in mortgages on real estate,","page_number":104,"box":{"x":70,"y":498,"width":813,"height":11}},{"id":"76eb32b2-d2dd-4935-8ddd-0ca9153c4d82","block_type":"box","text":"which may secure construction, development or long-term loans; the main source of their income is mortgage","page_number":104,"box":{"x":68,"y":513,"width":782,"height":12}},{"id":"6f045eb0-e674-4dfd-970a-3734f5a3bc3a","block_type":"box","text":"interest payments. Hybrid REITs hold both ownership and mortgage interests in real estate.","page_number":104,"box":{"x":70,"y":529,"width":649,"height":11}},{"id":"74069302-a6aa-41b6-8d6b-730a5567e7a0","block_type":"box","text":"Investing in REITs involves certain unique risks in addition to those risks associated with investing in the real","page_number":104,"box":{"x":102,"y":551,"width":776,"height":11}},{"id":"8bf43e51-dbb6-4ebd-91be-193c1ec0c4e4","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":104,"box":{"x":69,"y":566,"width":822,"height":11}},{"id":"fdbcf9bd-d83d-4bd6-8ff6-aa65eda2d623","block_type":"box","text":"adversely affected by several factors, including rising interest rates, changes in the national, state and local","page_number":104,"box":{"x":69,"y":581,"width":769,"height":12}},{"id":"05b4a723-31fb-4824-8854-5a95e73954c9","block_type":"box","text":"economic climate and real estate conditions, occupancy and rental rates, perceptions of prospective tenants of the","page_number":104,"box":{"x":69,"y":596,"width":822,"height":12}},{"id":"1f267961-2c2c-4671-b99b-673fa3489e4e","block_type":"box","text":"safety, convenience and attractiveness of the properties, the ability of the owners to provide adequate management,","page_number":104,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"60748452-37ed-4df7-b843-34300d050707","block_type":"box","text":"maintenance and insurance, the cost of complying with the Americans with Disabilities Act, increased competition","page_number":104,"box":{"x":69,"y":627,"width":810,"height":11}},{"id":"434e21fa-36a4-4c4d-8b1a-98e56bdec580","block_type":"box","text":"from new properties, the impact of present or future environmental legislation and compliance with environmental","page_number":104,"box":{"x":68,"y":642,"width":812,"height":11}},{"id":"0bd45844-9a1a-4457-9eaa-9f61ff83c287","block_type":"box","text":"laws, failing to maintain their exemptions from registration under the Investment Company Act, changes in real estate","page_number":104,"box":{"x":70,"y":657,"width":838,"height":11}},{"id":"3b3f974d-07f6-4ceb-837a-7b4d3f70b973","block_type":"box","text":"taxes and other operating expenses, adverse changes in governmental rules and fiscal policies, adverse changes in","page_number":104,"box":{"x":68,"y":672,"width":826,"height":11}},{"id":"ded797ef-099e-49aa-9981-9130d0db5945","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":104,"box":{"x":69,"y":687,"width":817,"height":11}},{"id":"28a7b7b0-5e32-4ee7-b6d0-3d501799059b","block_type":"box","text":"REIT are concentrated geographically, by property type, or in certain other respects, these risks may be heightened.","page_number":104,"box":{"x":70,"y":703,"width":822,"height":11}},{"id":"635ee4ce-3bb6-431a-ba09-a53c404ece8e","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":104,"box":{"x":70,"y":717,"width":792,"height":12}},{"id":"c25aa27b-0908-4ac2-9fff-3c36490c5764","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":104,"box":{"x":69,"y":732,"width":834,"height":12}},{"id":"8f3c0fce-3bff-416b-b7eb-b565010fa7db","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":104,"box":{"x":69,"y":748,"width":798,"height":11}},{"id":"ef3d07e8-eb0d-4576-875b-e3f2d36c77e0","block_type":"box","text":"Fund’s dividend income received from REIT shares will likely exceed the percentage of the Fund’s portfolio which is","page_number":104,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"0503dfc6-162e-43ab-ba0c-ee3aee8fd7ea","block_type":"box","text":"comprised of REIT shares. Ordinary REIT dividends received by the Fund and distributed to the Fund’s shareholders","page_number":104,"box":{"x":69,"y":778,"width":821,"height":11}},{"id":"902a7dda-94b4-4813-9fa4-afe7ef2b3e12","block_type":"box","text":"will generally be taxable as ordinary income and will not constitute “qualified dividend income.” However, a non","page_number":104,"box":{"x":68,"y":793,"width":797,"height":11}},{"id":"be44f6b0-1143-4f84-85ef-4290e8c271a9","block_type":"box","text":"corporate taxpayer who is a direct REIT shareholder may claim a 20% “qualified business income” deduction for","page_number":104,"box":{"x":69,"y":808,"width":798,"height":11}},{"id":"5b68b9ab-7ffa-4698-8281-76badeaab9dd","block_type":"box","text":"ordinary REIT dividends, and a regulated investment company may report dividends as eligible for this deduction to","page_number":104,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"6e32cd17-bce9-4b13-80d7-054e54107bb5","block_type":"box","text":"the extent the regulated investment company’s income is derived from ordinary REIT dividends (reduced by allocable","page_number":104,"box":{"x":68,"y":838,"width":831,"height":12}},{"id":"b264fed7-da1c-4d69-8f7f-a71d07cc24b2","block_type":"box","text":"regulated investment company expenses). A shareholder may treat the dividends as such provided the regulated","page_number":104,"box":{"x":69,"y":854,"width":801,"height":11}},{"id":"67e1fe4b-b447-4bb3-85da-2f96cc05673a","block_type":"box","text":"investment company and the shareholder satisfy applicable holding period requirements.","page_number":104,"box":{"x":70,"y":869,"width":631,"height":11}},{"id":"e6917f39-dec2-4ef6-9c7b-a4c01ba8e4a6","block_type":"box","text":"REITs (especially mortgage REITs) are also subject to interest rate risk. Rising interest rates may cause REIT","page_number":104,"box":{"x":102,"y":891,"width":772,"height":12}},{"id":"44aa0189-87bf-4d21-baab-c01e926d287e","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":104,"box":{"x":70,"y":906,"width":790,"height":12}},{"id":"4503a9ca-9e19-4498-99dd-74e51f7dc12b","block_type":"box","text":"II-66","page_number":104,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"be2dda76-fb01-4432-b1a2-9bc6282aab13","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":104,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8b05aa65-352d-4708-9fa0-46c8c96d200e","block_type":"box","text":"securities issued by a REIT. Rising interest rates also generally increase the costs of obtaining financing, which could","page_number":105,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"537dc903-b3db-4453-a0b3-67524e40756d","block_type":"box","text":"cause the value of a Fund’s REIT investments to decline. During periods when interest rates are declining, mortgages","page_number":105,"box":{"x":69,"y":60,"width":837,"height":11}},{"id":"6ff11552-c2b9-4ad1-8155-67d61b1f770a","block_type":"box","text":"are often refinanced. Refinancing may reduce the yield on investments in mortgage REITs. In addition, since REITs","page_number":105,"box":{"x":69,"y":75,"width":812,"height":11}},{"id":"c3dac7ca-2c4c-43d0-8db7-766e77d4bf2f","block_type":"box","text":"depend on payment under their mortgage loans and leases to generate cash to make distributions to their","page_number":105,"box":{"x":69,"y":90,"width":759,"height":11}},{"id":"37af1226-2a64-4818-9378-f23ca2ca3180","block_type":"box","text":"shareholders, investments in REITs may be adversely affected by defaults on such mortgage loans or leases.","page_number":105,"box":{"x":69,"y":105,"width":778,"height":11}},{"id":"ac0afe4e-98c1-4903-bd80-df5b6d5acb4c","block_type":"box","text":"Investing in certain REITs, which often have small market capitalizations, may also involve the same risks as","page_number":105,"box":{"x":102,"y":128,"width":773,"height":11}},{"id":"611a2aa3-23a5-4a20-af7d-d41f9b309790","block_type":"box","text":"investing in other small capitalization companies. REITs may have limited financial resources and their securities may","page_number":105,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"5a90b59c-66a4-4576-a7f2-b465ae1ce503","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":105,"box":{"x":68,"y":158,"width":839,"height":11}},{"id":"59a26d13-3f6a-49a5-9c2e-c1b74bcf00fa","block_type":"box","text":"company securities. Historically, small capitalization stocks, such as REITs, have been more volatile in price than the","page_number":105,"box":{"x":69,"y":173,"width":832,"height":11}},{"id":"ecab670c-6b50-46d7-b435-654e42695111","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":105,"box":{"x":70,"y":188,"width":832,"height":12}},{"id":"41b0440f-90aa-40fc-8da3-29bd031059cd","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":105,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"5a353d4b-086c-4636-b380-7c6c89074470","block_type":"box","text":"activities competitive with the REIT. REITs may own properties through joint ventures or in other circumstances in","page_number":105,"box":{"x":69,"y":219,"width":804,"height":11}},{"id":"5f35db89-beaa-4dd2-8fd5-659cdbfa3488","block_type":"box","text":"which the REIT may not have control over its investments. REITs may incur significant amounts of leverage.","page_number":105,"box":{"x":68,"y":234,"width":761,"height":11}},{"id":"72146129-4dc2-4a60-9c41-19a6f5528d4a","block_type":"box","text":"Market Risks/Recent Market Events.","page_number":105,"box":{"x":102,"y":256,"width":275,"height":11}},{"id":"d28f4d73-f906-43a0-940c-937b1972b6a8","block_type":"box","text":"Securities may decline in value due to factors affecting securities","page_number":105,"box":{"x":383,"y":256,"width":466,"height":12}},{"id":"50155c02-7366-4ca6-89ca-92c5f1b65384","block_type":"box","text":"markets generally or particular industries represented in the markets. The value of a security may decline due to","page_number":105,"box":{"x":69,"y":271,"width":801,"height":12}},{"id":"4c8b4216-2e02-4d65-92a0-c0e077be02bb","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":105,"box":{"x":68,"y":286,"width":837,"height":12}},{"id":"077dfb32-8cb8-46ce-a84f-7211f05b3e12","block_type":"box","text":"affect a particular industry or industries, or factors that affect a particular issuer or issuers, exchange, country,","page_number":105,"box":{"x":69,"y":302,"width":795,"height":11}},{"id":"6f7739aa-910a-4a41-945e-13902fb41522","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":105,"box":{"x":68,"y":317,"width":796,"height":11}},{"id":"0e578d26-0f9e-4b2e-bb50-de0c2351cd56","block_type":"box","text":"activities could be affected by interest rates, availability of credit, inflation rates, economic uncertainty, changes in","page_number":105,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"78e94117-2933-4bc5-848b-09d638dd782a","block_type":"box","text":"laws, trade barriers, economic sanctions, currency exchange controls, and local, regional or global events such as","page_number":105,"box":{"x":70,"y":347,"width":812,"height":11}},{"id":"b055f77a-0212-4901-b828-055ac030b61a","block_type":"box","text":"war, acts of terrorism, natural and environmental disasters, the spread of infectious illness or other public health","page_number":105,"box":{"x":68,"y":362,"width":807,"height":11}},{"id":"d979f42f-270e-4632-99c1-d62c6247230a","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":105,"box":{"x":70,"y":377,"width":822,"height":12}},{"id":"97bb4d2c-b019-4c7a-a4fd-acbd3c8c2a92","block_type":"box","text":"economic downturn in the securities markets, multiple asset classes may be negatively affected. These factors may","page_number":105,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"1535d1b6-ce32-4b64-8a4d-41026ecf5773","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":105,"box":{"x":69,"y":407,"width":804,"height":12}},{"id":"eeb86336-9b1e-40b4-b8dd-3732272ea28c","block_type":"box","text":"Fund’s profitability or result in losses. A Fund may maintain substantial trading positions that can be adversely","page_number":105,"box":{"x":70,"y":423,"width":787,"height":11}},{"id":"14856a6d-58bf-4a4d-8f9e-3d945aca6d96","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":105,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"bb116ef6-622c-41fd-8b07-6069e86d74c5","block_type":"box","text":"Unpredictable or unstable market conditions may result in reduced opportunities to find suitable investments to","page_number":105,"box":{"x":70,"y":453,"width":796,"height":11}},{"id":"af558ce0-6c80-4b9a-8bee-0f464f8341f5","block_type":"box","text":"deploy capital or make it more difficult to exit and realize value from a Fund’s existing investments. It is important to","page_number":105,"box":{"x":69,"y":468,"width":832,"height":11}},{"id":"c905bc61-83dc-403d-81b1-f0797d3f35bc","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":105,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"337a72ea-d5e3-4846-99b5-201a2c288f1d","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":105,"box":{"x":69,"y":498,"width":776,"height":11}},{"id":"7a798aca-9e97-4285-aafc-3eb517a05b5a","block_type":"box","text":"conditions.","page_number":105,"box":{"x":69,"y":514,"width":76,"height":8}},{"id":"23d66bc8-2680-4225-ad42-9ccf68abb45a","block_type":"box","text":"Periods of unusually high volatility in the financial markets and restrictive credit conditions, sometimes limited to","page_number":105,"box":{"x":102,"y":536,"width":802,"height":11}},{"id":"36cf60e7-3190-444c-b731-ce3cd28fd511","block_type":"box","text":"a particular sector or a geography, can occur. Some countries, including the United States, have adopted and/or are","page_number":105,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"3c771b9a-70d4-450b-bbe6-edbc41420b21","block_type":"box","text":"considering the adoption of more protectionist trade policies, a move away from the tighter financial industry","page_number":105,"box":{"x":69,"y":566,"width":775,"height":11}},{"id":"d54f433f-bc9d-4eb3-a1ad-f60a0e5f5333","block_type":"box","text":"regulations that followed the financial crisis of 2008, and/or substantially reducing corporate taxes. The exact shape","page_number":105,"box":{"x":69,"y":581,"width":833,"height":12}},{"id":"0267c026-86c3-4e9a-ac64-a1d3b7420f5c","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":105,"box":{"x":69,"y":596,"width":799,"height":12}},{"id":"e102c782-fd5b-4184-8b8c-2b01cdb1e824","block_type":"box","text":"change, which could increase volatility, especially if the market’s expectations are not borne out. A rise in","page_number":105,"box":{"x":69,"y":612,"width":751,"height":11}},{"id":"7ef447ae-c61c-42cf-973d-71b79c4b6ec7","block_type":"box","text":"protectionist trade policies, and the possibility of changes to some international trade agreements, could affect the","page_number":105,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"19ee4297-58d1-42ba-8901-0ea6456a03e3","block_type":"box","text":"economies of many nations in ways that cannot necessarily be foreseen at the present time. In addition, geopolitical","page_number":105,"box":{"x":69,"y":642,"width":831,"height":11}},{"id":"2d001c05-e7e3-488f-a892-3b22aec54a84","block_type":"box","text":"and other risks, including environmental and public health, may add to instability in world economies and markets","page_number":105,"box":{"x":69,"y":657,"width":810,"height":11}},{"id":"ad7cf967-1ee4-4a65-b8d2-f4631aefac04","block_type":"box","text":"generally. Economies and financial markets throughout the world are increasingly interconnected. As a result, whether","page_number":105,"box":{"x":68,"y":672,"width":841,"height":11}},{"id":"98b11314-6c1e-4ccd-9dc6-2c6276dad134","block_type":"box","text":"or not a Fund invests in securities of issuers located in or with significant exposure to countries experiencing","page_number":105,"box":{"x":69,"y":687,"width":775,"height":11}},{"id":"28347eab-efef-4832-9c11-fbcd54c90847","block_type":"box","text":"economic, political and/or financial difficulties, the value and liquidity of the Fund’s investments may be negatively","page_number":105,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"20902dad-185f-49e5-95fe-c61dcf150c6d","block_type":"box","text":"affected by such events.","page_number":105,"box":{"x":69,"y":717,"width":173,"height":12}},{"id":"de810931-01b9-4e95-b15d-98ccd0163f9f","block_type":"box","text":"Governments and regulators may take actions that affect the regulation of the Fund or the instruments in which","page_number":105,"box":{"x":102,"y":740,"width":795,"height":11}},{"id":"53207399-ba16-4ce5-becf-d2e189834c24","block_type":"box","text":"the Fund invests, or the issuers of such instruments, in ways that are unforeseeable. Future legislation or regulation","page_number":105,"box":{"x":68,"y":755,"width":830,"height":11}},{"id":"b2c22237-640e-4d16-913d-154c26d69352","block_type":"box","text":"or other governmental actions could limit or preclude the Fund’s abilities to achieve its investment objectives or","page_number":105,"box":{"x":69,"y":771,"width":796,"height":11}},{"id":"c0c1ccf5-2a7d-4385-9350-2b2a89d51108","block_type":"box","text":"otherwise adversely impact an investment in the Fund. Recent policy initiatives undertaken by the U.S. government","page_number":105,"box":{"x":69,"y":786,"width":820,"height":11}},{"id":"c23bc1fd-e81d-4d19-8439-fdcddc783dde","block_type":"box","text":"have the potential to impact international relations, trade agreements and the overall regulatory environment in ways","page_number":105,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"3c878e59-821f-4488-a71c-adba09fc628d","block_type":"box","text":"that could create uncertainty and instability in domestic and global markets and could adversely affect the","page_number":105,"box":{"x":68,"y":816,"width":759,"height":11}},{"id":"215f0750-883e-4040-9428-d835b0ccabe4","block_type":"box","text":"investment performance of the Fund. In particular, actions taken by the U.S. government in respect of international","page_number":105,"box":{"x":70,"y":831,"width":819,"height":11}},{"id":"e7cb4119-8e86-40ed-b590-643a667418ca","block_type":"box","text":"trade relations could lead to trade wars, increased costs for imported goods, disruptions in supply chains, reduced","page_number":105,"box":{"x":68,"y":846,"width":821,"height":11}},{"id":"aaf46118-b2f1-478a-8d3f-6a3d75fa92bb","block_type":"box","text":"foreign investment, and instability in regions where the Fund invests. Political and diplomatic events within the United","page_number":105,"box":{"x":68,"y":861,"width":837,"height":11}},{"id":"e3825fcd-ef01-4971-b548-b4e8c60f2ef9","block_type":"box","text":"States, including a contentious domestic political environment, changes in political party control of one or more","page_number":105,"box":{"x":69,"y":876,"width":795,"height":11}},{"id":"eee92b58-b9a0-4fab-9d74-aeee2247d214","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":105,"box":{"x":69,"y":891,"width":836,"height":12}},{"id":"ac6b1772-d2d3-497b-9b75-c17df5edd1c0","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":105,"box":{"x":69,"y":906,"width":817,"height":12}},{"id":"3001dfc6-2c8b-4d8c-ae99-90485ef7aad1","block_type":"box","text":"II-67","page_number":105,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f217a5ba-1072-4e5d-afaf-4e289a9843ce","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":105,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"71ddfaae-ef1b-4d72-9356-51470cfe763e","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":106,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"9c0258e4-1b37-4fd2-afe2-4e8d99651e28","block_type":"box","text":"investor and consumer confidence and may adversely impact financial markets and the broader economy, perhaps","page_number":106,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"9f1ac49d-e962-490a-840a-7dbc64d03a72","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":106,"box":{"x":69,"y":75,"width":815,"height":11}},{"id":"8a1ab514-1211-471f-a741-fcc699b656b3","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":106,"box":{"x":69,"y":90,"width":836,"height":11}},{"id":"c14c948c-3869-42fe-be4f-938d663f061f","block_type":"box","text":"economies. For example, concerns about the U.S. Government’s credit quality may cause increased volatility in the","page_number":106,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"78b88a29-dc23-4abf-b7ff-41544af79fbc","block_type":"box","text":"stock and bond markets, higher interest rates, reduced prices and liquidity of U.S. Treasury securities, and/or","page_number":106,"box":{"x":69,"y":120,"width":785,"height":12}},{"id":"1ab24d94-35ce-42dd-b19d-d5dcd57938dc","block_type":"box","text":"increased costs of various kinds of debt. Moreover, although the U.S. Government has honored its credit obligations,","page_number":106,"box":{"x":70,"y":135,"width":832,"height":12}},{"id":"ea6eaabd-e250-4de9-b5a3-bc2c7fdb6de3","block_type":"box","text":"there remains a possibility that the United States could default on its obligations. The consequences of such an","page_number":106,"box":{"x":68,"y":150,"width":799,"height":12}},{"id":"ec97c1bc-acd6-412e-b100-c04a8b055630","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":106,"box":{"x":69,"y":166,"width":802,"height":11}},{"id":"4bcbfa84-5867-4bdf-8d4d-05eb8d20271d","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":106,"box":{"x":69,"y":181,"width":746,"height":11}},{"id":"8c0e773b-630d-4fbb-800d-0a43737b290c","block_type":"box","text":"investments.","page_number":106,"box":{"x":70,"y":196,"width":89,"height":9}},{"id":"726670e4-4873-437d-a5c4-c9d55f7055d4","block_type":"box","text":"The COVID-19 pandemic resulted in significant market volatility, exchange suspensions and closures, declines in","page_number":106,"box":{"x":101,"y":218,"width":802,"height":12}},{"id":"50840824-70ef-4f9a-bb11-470a6ee42008","block_type":"box","text":"global financial markets, higher default rates, supply chain disruptions, and a substantial economic downturn in","page_number":106,"box":{"x":68,"y":234,"width":796,"height":11}},{"id":"2a5081de-ffce-4047-9979-d99192e3b4f3","block_type":"box","text":"economies throughout the world. The impact of this coronavirus, and other epidemics and pandemics that may arise","page_number":106,"box":{"x":69,"y":249,"width":830,"height":11}},{"id":"e47e8597-5ffe-4248-a1ad-deb6096c8dff","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":106,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"6e16dd9d-1072-4e10-915c-be937aab1651","block_type":"box","text":"that cannot necessarily be foreseen at the present time. These health crises may be short term or long term, and","page_number":106,"box":{"x":68,"y":279,"width":812,"height":11}},{"id":"c1db204d-cc12-4bf4-912b-6c95fc7054dd","block_type":"box","text":"may exacerbate other pre-existing political, social and economic risks, disrupt normal market conditions and","page_number":106,"box":{"x":69,"y":294,"width":771,"height":11}},{"id":"121cd184-f1a7-4f73-9a0e-61d2e9dcf275","block_type":"box","text":"operations, and negatively impact performance. In addition, the impact of infectious diseases in emerging developing","page_number":106,"box":{"x":69,"y":309,"width":837,"height":11}},{"id":"a6f22778-0f64-4757-a4c4-73fd6aa8cb59","block_type":"box","text":"or emerging market countries may be greater due to less established health care systems.","page_number":106,"box":{"x":69,"y":325,"width":646,"height":11}},{"id":"81e7fc0b-03c6-404a-b19f-30639813f9b8","block_type":"box","text":"Legal and Regulatory Risks.","page_number":106,"box":{"x":102,"y":347,"width":197,"height":11}},{"id":"59a03e76-7fea-49c7-a76b-85dad7afff4c","block_type":"box","text":"The Manager is part of a larger firm with multiple business lines active in multiple","page_number":106,"box":{"x":305,"y":347,"width":583,"height":11}},{"id":"8b414c28-d2d6-4f7b-a0ab-6982fe4d9b84","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":106,"box":{"x":67,"y":362,"width":819,"height":11}},{"id":"6f2482ab-8837-432a-bbf8-0a2b9048eb67","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":106,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"ff6af1e6-cb96-4981-b6ad-4d63fac090e9","block_type":"box","text":"tax and regulatory risks, including changing laws and regulations, developing interpretations of such laws and","page_number":106,"box":{"x":68,"y":392,"width":781,"height":12}},{"id":"c3893cc8-793f-4b88-98e4-4e0e3df858c1","block_type":"box","text":"regulations, as well as existing laws, and increased scrutiny by regulators and law enforcement authorities.","page_number":106,"box":{"x":69,"y":407,"width":763,"height":12}},{"id":"ba2f039a-6867-457a-8250-e3f7a95774aa","block_type":"box","text":"Unexpected economic, political, regulatory and diplomatic events within the United States and abroad can trigger new","page_number":106,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"128445b0-78b6-4b17-92bd-129f01c1cbd4","block_type":"box","text":"and complex regulations that the Manager and/or the Funds may need to comply with. The implementation of","page_number":106,"box":{"x":69,"y":438,"width":781,"height":11}},{"id":"ea1d11ff-3565-44df-a851-606f56d35822","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":106,"box":{"x":69,"y":453,"width":807,"height":11}},{"id":"c6b45c61-d469-44ab-8604-a3e6dfd2b985","block_type":"box","text":"material adverse effect on the Funds (including by imposing material costs on the Funds, reducing profit margins,","page_number":106,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"b2f19dcc-7343-4e0d-8931-794235b8c8ea","block_type":"box","text":"reducing investment opportunities or by otherwise restricting the Funds and/or the Manager).","page_number":106,"box":{"x":69,"y":483,"width":666,"height":11}},{"id":"71117840-c931-4fbd-9420-fad520249c1c","block_type":"box","text":"Tariff and Trade Policy Risks.","page_number":106,"box":{"x":103,"y":506,"width":202,"height":11}},{"id":"1b763776-7201-41de-b590-2d614d1e0a33","block_type":"box","text":"Some countries, including the U.S., have adopted more protectionist trade policies.","page_number":106,"box":{"x":312,"y":506,"width":593,"height":11}},{"id":"2716d0e0-5bc5-4516-9cc3-84b4ce598650","block_type":"box","text":"The U.S. government recently altered its approach to international trade policy, resulting in significant impacts on","page_number":106,"box":{"x":68,"y":521,"width":806,"height":11}},{"id":"2ae931b7-1e1a-435e-9f77-e67b4d284f02","block_type":"box","text":"international trade relations, certain tax and immigration policies, and other aspects of the national and international","page_number":106,"box":{"x":70,"y":536,"width":833,"height":11}},{"id":"46c15f5e-a324-492f-9c5a-4fc7effc9358","block_type":"box","text":"political and financial landscape. The rise in protectionist trade policies, slowing economic growth, changes to some","page_number":106,"box":{"x":70,"y":551,"width":827,"height":11}},{"id":"9a22cbd1-d985-45a9-b797-07e13778dde9","block_type":"box","text":"major international trade agreements, risks associated with trade agreements between the U.S. and the European","page_number":106,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"99256001-95d0-4329-9244-e3807dd59188","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":106,"box":{"x":70,"y":581,"width":821,"height":12}},{"id":"a7d93992-cd22-4d64-8886-4fd015300922","block_type":"box","text":"many nations in ways that cannot necessarily be foreseen at the present time.","page_number":106,"box":{"x":69,"y":596,"width":559,"height":12}},{"id":"dbf93b82-e128-48f3-8ba0-3d11ac043001","block_type":"box","text":"Global trade disruption, significant introductions of trade barriers, and bilateral trade frictions, together with any","page_number":106,"box":{"x":102,"y":619,"width":796,"height":11}},{"id":"a40d8a75-248f-4977-b354-269e5315ae31","block_type":"box","text":"future downturns in the global economy resulting therefrom, could adversely affect the financial performance of a","page_number":106,"box":{"x":68,"y":634,"width":809,"height":12}},{"id":"cc9f74eb-822b-45c2-b576-4b323fd9a75e","block_type":"box","text":"Fund and its investments. Trade policy may be an ongoing source of instability, potentially resulting in significant","page_number":106,"box":{"x":70,"y":649,"width":799,"height":12}},{"id":"2a899c4b-a94e-4aef-b2f5-67e4f8418855","block_type":"box","text":"currency fluctuations and/or having other adverse effects on international markets, international trade agreements,","page_number":106,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"1cb777e0-06cb-4677-844e-02da794b64c5","block_type":"box","text":"and/or other existing cross-border cooperation arrangements (whether economic, tax, fiscal, legal, regulatory, or","page_number":106,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"2bb0b13b-6a33-4485-80b6-dfac35441851","block_type":"box","text":"otherwise). To the extent trade disputes escalate globally, there could be additional significant impacts on the","page_number":106,"box":{"x":69,"y":695,"width":783,"height":11}},{"id":"73bfa1b0-8216-4f54-84ae-c141665a66ce","block_type":"box","text":"sectors or industries in which a Fund invests and other adverse impacts on a Fund’s overall performance.","page_number":106,"box":{"x":69,"y":710,"width":753,"height":11}},{"id":"1edcf43c-3422-4265-98ab-48edfc31abf7","block_type":"box","text":"Geographic Risks","page_number":106,"box":{"x":102,"y":733,"width":123,"height":11}},{"id":"9c98883b-d175-4cd0-ad0e-04d238c26055","block_type":"box","text":". Some of the companies in which the Fund invests may be located in, or otherwise connected","page_number":106,"box":{"x":226,"y":732,"width":671,"height":12}},{"id":"88f8e38a-27d1-4790-878a-22ce626ec359","block_type":"box","text":"to, parts of the world affected by natural disasters such as severe heat, earthquakes, tornadoes, volcanic eruptions,","page_number":106,"box":{"x":68,"y":748,"width":835,"height":11}},{"id":"fee7935c-2d20-4aab-8a46-4261e1f75093","block_type":"box","text":"wildfires, droughts, floods, hurricanes or tsunamis, and are economically sensitive to environmental events. In","page_number":106,"box":{"x":68,"y":763,"width":787,"height":11}},{"id":"c726a10f-52fe-4b64-b038-ca8615d36123","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":106,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"5ab74cc9-6a1f-4e63-b210-8ba36f9b79a9","block_type":"box","text":"types of conflict, terrorism, strained international relations and territorial disputes. Any of these events may adversely","page_number":106,"box":{"x":68,"y":793,"width":840,"height":11}},{"id":"20f0c2bb-4132-42b6-8490-7bdbb548a39b","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":106,"box":{"x":69,"y":808,"width":824,"height":11}},{"id":"a4c3aaf7-863e-477d-b9ab-0f026976809c","block_type":"box","text":"Fund.","page_number":106,"box":{"x":70,"y":823,"width":36,"height":9}},{"id":"5597ed77-8d53-4b02-b6da-e908f7375f5b","block_type":"box","text":"Reference Rate Replacement Risk.","page_number":106,"box":{"x":102,"y":846,"width":255,"height":11}},{"id":"820706bd-19ec-430a-bc1f-15ff54b9c705","block_type":"box","text":"A Fund’s investments, payment obligations and financing terms may be","page_number":106,"box":{"x":363,"y":846,"width":508,"height":11}},{"id":"0e23cf4f-9314-4baf-83bd-172c468ceffa","block_type":"box","text":"based on floating rates, such as the Secured Overnight Financing Rate (“SOFR”), Sterling Overnight Interbank Average","page_number":106,"box":{"x":69,"y":861,"width":839,"height":11}},{"id":"328be3a4-bd81-4b31-9a1d-400e23e9c5c6","block_type":"box","text":"Rate (“SONIA”), and other similar types of reference rates (“Reference Rates”). The elimination of a Reference Rate","page_number":106,"box":{"x":70,"y":876,"width":825,"height":11}},{"id":"68dcfd5b-d541-48ff-b0cd-4baaf949a3ce","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":106,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"6f16c580-fb6d-4358-98b5-338e584e5fa1","block_type":"box","text":"impact on the market for, or value of, any instruments (including debt instruments and certain derivative instruments)","page_number":106,"box":{"x":70,"y":906,"width":837,"height":12}},{"id":"413e7588-788a-45a2-a308-5834a71f0b97","block_type":"box","text":"II-68","page_number":106,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"faa295e7-34df-431f-9eba-090472785ddd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":106,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"24ee1759-2a48-458a-8423-da309f7d3f8f","block_type":"box","text":"or payments linked to those Reference Rates. In addition, any substitute Reference Rate and any pricing adjustments","page_number":107,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"f4a26775-971b-4337-b56f-a1ddd03c7fee","block_type":"box","text":"imposed by a regulator or by counterparties or otherwise may adversely affect a Fund’s performance and/or net","page_number":107,"box":{"x":70,"y":60,"width":800,"height":11}},{"id":"8babcdcd-a0a9-43ca-afbd-e14a49a2cb2c","block_type":"box","text":"asset value. The London Interbank Offered Rate (“LIBOR”) had historically been used extensively in the U.S. and","page_number":107,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"623e8125-8a4c-473b-bcc4-28493263ff22","block_type":"box","text":"globally as a “benchmark” or “reference rate” for various commercial and financial contracts, including corporate and","page_number":107,"box":{"x":68,"y":90,"width":836,"height":11}},{"id":"999b60c4-9c6b-4a14-96f6-7a85f99a95b3","block_type":"box","text":"municipal bonds, bank loans, asset-backed and mortgage-related securities, interest rate swaps and other","page_number":107,"box":{"x":69,"y":105,"width":761,"height":11}},{"id":"33d20250-8a27-4a81-88be-ebcad79fe47b","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":107,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"1fa1260d-2376-4ec4-bd0f-e7eeaed3b2f6","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":107,"box":{"x":69,"y":135,"width":825,"height":11}},{"id":"d3d80fb9-d7a7-4dc9-afeb-50191800e6a1","block_type":"box","text":"invests may have also historically obtained financing at floating rates based on LIBOR. In connection with the global","page_number":107,"box":{"x":70,"y":150,"width":822,"height":12}},{"id":"f5f299d9-bb53-4729-b8d2-996528e5cbf6","block_type":"box","text":"transition away from LIBOR led by regulators and market participants as a result of benchmark reforms, LIBOR was","page_number":107,"box":{"x":68,"y":166,"width":822,"height":11}},{"id":"b9a7c2ca-468e-4b78-a973-793a5b839fee","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":107,"box":{"x":70,"y":181,"width":817,"height":11}},{"id":"784425d3-0a18-4734-88ea-eb3bf69f289b","block_type":"box","text":"established in most major currencies and markets in these alternative rates are continuing to develop (","page_number":107,"box":{"x":69,"y":196,"width":736,"height":11}},{"id":"55389fb4-2435-4052-9379-a21b7f766635","block_type":"box","text":"e.g.","page_number":107,"box":{"x":807,"y":197,"width":25,"height":10}},{"id":"e265bc13-06db-4fda-8636-98fc77e1f71a","block_type":"box","text":", SOFR for","page_number":107,"box":{"x":835,"y":196,"width":70,"height":10}},{"id":"d82ebf95-6ce5-40b0-8b67-a7320076ad32","block_type":"box","text":"USD-LIBOR and SONIA for GBP-LIBOR). While the transition from LIBOR has gone relatively smoothly, residual risks","page_number":107,"box":{"x":70,"y":211,"width":814,"height":11}},{"id":"0542c099-ccd1-473b-9d1f-fc9bebadef38","block_type":"box","text":"associated with the transition may remain that may impact markets or particular investments and, as such, the full","page_number":107,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"b6d3ad62-b8f5-42b7-adbd-09114e213bd1","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":107,"box":{"x":70,"y":241,"width":784,"height":11}},{"id":"bdb73439-3adb-42d2-9546-86431add8aa1","block_type":"box","text":"determined.","page_number":107,"box":{"x":69,"y":257,"width":84,"height":8}},{"id":"1d7be84f-5bdc-466e-934b-d63c6dda9a58","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":107,"box":{"x":102,"y":279,"width":750,"height":11}},{"id":"97555339-c273-4f36-abbd-ff403db34fc4","block_type":"box","text":"collateralized by U.S. Treasury securities. SOFR is calculated based on transaction-level repo data collected from","page_number":107,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"76fbd499-6514-477d-bc84-11efb1311aef","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":107,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"2f64bca2-58c0-435c-aa75-0ed60c54f96f","block_type":"box","text":"Because SOFR is a financing rate based on overnight secured funding transactions, it differs fundamentally from","page_number":107,"box":{"x":70,"y":324,"width":801,"height":12}},{"id":"4a9cccc3-6837-4f22-bae5-2b05b5f20997","block_type":"box","text":"LIBOR. LIBOR is intended to be an unsecured rate that represents interbank funding costs for different short-term","page_number":107,"box":{"x":70,"y":339,"width":810,"height":12}},{"id":"25c749bf-c959-450f-9ae8-2f6858d618e6","block_type":"box","text":"maturities or tenors. It is a forward-looking rate reflecting expectations regarding interest rates for the applicable","page_number":107,"box":{"x":69,"y":355,"width":803,"height":11}},{"id":"d2105bc9-6a02-442e-8811-bbd71057d9ee","block_type":"box","text":"tenor. Thus, LIBOR is intended to be sensitive, in certain respects, to bank credit risk and to term interest rate risk.","page_number":107,"box":{"x":68,"y":370,"width":825,"height":11}},{"id":"5ccf4309-0675-4fef-9b7f-b5aaf2ecfd25","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":107,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"88f0f942-60d8-4472-bc20-ab0f99b3bb27","block_type":"box","text":"largely insensitive to credit-risk considerations and to short-term interest rate risks. SOFR is a transaction-based rate,","page_number":107,"box":{"x":70,"y":400,"width":838,"height":11}},{"id":"513bc6f8-3b96-4596-ae6f-c8acc6ffbf4a","block_type":"box","text":"and it has been more volatile than other benchmark or market rates, such as three-month LIBOR, during certain","page_number":107,"box":{"x":69,"y":415,"width":796,"height":11}},{"id":"dce2c82b-6279-4e8a-b4bd-4b60721ed90e","block_type":"box","text":"periods. For these reasons, among others, there is no assurance that SOFR, or rates derived from SOFR, will perform","page_number":107,"box":{"x":70,"y":430,"width":836,"height":11}},{"id":"e4207cc5-74bb-4a13-9933-ca3e4a027c14","block_type":"box","text":"in the same or similar way as LIBOR would have performed at any time, and there is no assurance that SOFR-based","page_number":107,"box":{"x":70,"y":445,"width":824,"height":11}},{"id":"a1b16303-83a9-4433-9765-ae7fb487fa00","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":107,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"51cbd591-01f4-4dd3-82f7-120dbd9527a7","block_type":"box","text":"2018. The future performance of SOFR, and SOFR-based Reference Rates, cannot be predicted based on SOFR’s","page_number":107,"box":{"x":69,"y":475,"width":809,"height":11}},{"id":"97a36cad-9e9a-4c87-bba8-9b28f58c7c22","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":107,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"3f42383e-6de8-4c19-b3fe-10e283131b0d","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":107,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"7c75058e-47eb-4393-8fbc-862335f9b30c","block_type":"box","text":"that is materially adverse to the interests of the Fund.","page_number":107,"box":{"x":68,"y":521,"width":384,"height":11}},{"id":"241e6598-db9f-470c-90fb-e064dbe332d9","block_type":"box","text":"In addition, interest rates or other types of rates and indices which are classified as “benchmarks” have been","page_number":107,"box":{"x":102,"y":543,"width":782,"height":12}},{"id":"d2bbbd64-56ad-4c0b-99c8-b86449ab3912","block_type":"box","text":"the subject of ongoing national and international regulatory reform, including under the European Union (“EU”)","page_number":107,"box":{"x":68,"y":559,"width":786,"height":11}},{"id":"9ac97ea2-b8c8-4139-8af8-02e4ec9d2267","block_type":"box","text":"regulation on indices used as benchmarks in financial instruments and financial contracts (known as the","page_number":107,"box":{"x":69,"y":574,"width":746,"height":11}},{"id":"c4023bfb-4ff3-4fe5-b367-5688c80cb37d","block_type":"box","text":"“Benchmarks Regulation”). The Benchmarks Regulation has been enacted into United Kingdom (“UK”) law by virtue","page_number":107,"box":{"x":70,"y":589,"width":822,"height":11}},{"id":"38c339bb-07a4-4109-91f5-d1f5ddb4750b","block_type":"box","text":"of the EU (Withdrawal) Act 2018 (as amended), subject to amendments made by the Benchmarks (Amendment and","page_number":107,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"0487dca4-d225-4546-8102-edf8266edd0f","block_type":"box","text":"Transitional Provision) (EU Exit) Regulations 2019 (SI 2019/657) and other statutory instruments. Following the","page_number":107,"box":{"x":68,"y":619,"width":799,"height":11}},{"id":"3b83d4be-0b95-4248-968d-372b32561121","block_type":"box","text":"implementation of these reforms, the manner of administration of benchmarks has changed and may further change","page_number":107,"box":{"x":70,"y":634,"width":830,"height":12}},{"id":"c88d2eed-8f4f-45a0-87e8-ee8e1bf5a2d5","block_type":"box","text":"in the future, with the result that relevant benchmarks may perform differently than in the past, the use of","page_number":107,"box":{"x":70,"y":649,"width":757,"height":12}},{"id":"dd388f79-c63b-459a-b262-86f62cd7932b","block_type":"box","text":"benchmarks that are not compliant with the new standards by certain supervised entities may be restricted, and","page_number":107,"box":{"x":69,"y":665,"width":802,"height":11}},{"id":"de348f43-0b31-4d8d-8c16-75e8e20fd41f","block_type":"box","text":"certain benchmarks may be eliminated entirely. Such changes could cause increased market volatility and disruptions","page_number":107,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"f2b6a712-9fa4-428c-b796-d7be36aea3e9","block_type":"box","text":"in liquidity for instruments that rely on or are impacted by such benchmarks. Additionally, there could be other","page_number":107,"box":{"x":70,"y":695,"width":782,"height":11}},{"id":"3746c092-6f7e-4062-b53d-77c8c9da0ab2","block_type":"box","text":"consequences which cannot be predicted.","page_number":107,"box":{"x":69,"y":710,"width":298,"height":11}},{"id":"b91fde45-88e1-486c-8ce4-831e25830dcb","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts.","page_number":107,"box":{"x":102,"y":733,"width":432,"height":11}},{"id":"56aa061e-f401-4c08-ae2b-0e75816ce3e9","block_type":"box","text":"Under repurchase agreements and purchase and","page_number":107,"box":{"x":541,"y":733,"width":347,"height":11}},{"id":"2021e3dd-9a2e-425b-9d0b-0cf1499f9e28","block_type":"box","text":"sale contracts, the other party agrees, upon entering into the contract with a Fund, to repurchase a security sold to","page_number":107,"box":{"x":69,"y":748,"width":821,"height":11}},{"id":"0de294f7-2df6-4294-a315-13183acc7edf","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":107,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"2b754cef-083b-4e7c-9066-25efb54292e6","block_type":"box","text":"term of the agreement.","page_number":107,"box":{"x":68,"y":778,"width":164,"height":11}},{"id":"af2663f7-f565-4987-b3d1-55719c89e4bd","block_type":"box","text":"A purchase and sale contract differs from a repurchase agreement in that the contract arrangements stipulate","page_number":107,"box":{"x":101,"y":801,"width":788,"height":11}},{"id":"6e225987-0b88-4092-8dc1-c3407c9c4199","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":107,"box":{"x":68,"y":816,"width":831,"height":11}},{"id":"8027877a-edd2-4fb7-9b36-a5597d435fde","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":107,"box":{"x":70,"y":831,"width":821,"height":11}},{"id":"a06acbd4-aaf7-4112-aee9-9516afe558d1","block_type":"box","text":"on the underlying obligation; whereas, in the case of purchase and sale contracts, the prices take into account","page_number":107,"box":{"x":69,"y":846,"width":790,"height":11}},{"id":"19fb5790-b98c-497d-90a8-02ffa197d9be","block_type":"box","text":"accrued interest. A Fund may enter into “tri-party” repurchase agreements. In “tri-party” repurchase agreements, an","page_number":107,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"fbcc89c1-74d3-4d43-9c95-eb355cef4f57","block_type":"box","text":"unaffiliated third-party custodian maintains accounts to hold collateral for the Fund and its counterparties and,","page_number":107,"box":{"x":69,"y":876,"width":788,"height":11}},{"id":"e92b67e0-4b1d-487c-8c1a-a0d544148ab1","block_type":"box","text":"therefore, the Fund may be subject to the credit risk of those custodians.","page_number":107,"box":{"x":68,"y":891,"width":522,"height":11}},{"id":"5e661d44-70b9-4609-8d58-92408ae2f257","block_type":"box","text":"II-69","page_number":107,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"64f97a5e-69c6-4a0d-b5d2-70edd53cfb7a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":107,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3f9854b1-c373-4f65-b1fe-a1d903e6cec6","block_type":"box","text":"Some repurchase agreements and purchase and sale contracts are structured to result in a fixed rate of return","page_number":108,"box":{"x":102,"y":45,"width":792,"height":11}},{"id":"ea7efd82-8f36-45df-ac33-af9291b4689c","block_type":"box","text":"insulated from market fluctuations during the term of the agreement, although such return may be affected by","page_number":108,"box":{"x":70,"y":60,"width":784,"height":11}},{"id":"3d64452c-b881-462a-8039-7963a11e941d","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":108,"box":{"x":69,"y":75,"width":837,"height":11}},{"id":"bbcc8f26-5eae-4704-8e66-7ce9dc360183","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":108,"box":{"x":69,"y":90,"width":812,"height":11}},{"id":"a7ca56dd-5539-4e5b-a9c8-55db95f61b0c","block_type":"box","text":"fluctuations of the market values of the securities underlying the contract and the accrued interest on those","page_number":108,"box":{"x":68,"y":105,"width":770,"height":11}},{"id":"cdce2590-17ab-4ba8-aa64-1185f1ac3517","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":108,"box":{"x":69,"y":120,"width":802,"height":12}},{"id":"ac3a8c86-dcac-4ce9-807d-ffbf2e6e35b6","block_type":"box","text":"losses arising from market fluctuations following the default.","page_number":108,"box":{"x":70,"y":135,"width":430,"height":12}},{"id":"677c6cff-a1bb-4fc3-8482-505b982d1730","block_type":"box","text":"Both types of agreement usually cover short periods, such as less than one week, although they may have","page_number":108,"box":{"x":102,"y":158,"width":759,"height":11}},{"id":"6def263d-1646-41d3-be95-5e4ae70346c9","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":108,"box":{"x":70,"y":173,"width":765,"height":11}},{"id":"bbdfa19d-b2aa-4c3f-bf1c-70a5027cc7a6","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":108,"box":{"x":69,"y":188,"width":835,"height":12}},{"id":"bc6c146c-cdf9-41b4-9ba4-6b2198f23afb","block_type":"box","text":"sub-adviser will monitor the creditworthiness of the seller, and a Fund will require the seller to provide additional","page_number":108,"box":{"x":69,"y":203,"width":799,"height":11}},{"id":"e6d7c0dd-caa3-44ba-a477-9938f6c9d923","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":108,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"431e327b-dc74-4c5d-8c5f-644839ede296","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":108,"box":{"x":69,"y":234,"width":826,"height":11}},{"id":"efdc3073-5bc7-4915-93e0-175d2dd2d356","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":108,"box":{"x":70,"y":249,"width":831,"height":11}},{"id":"6e37ce5a-2003-4814-b847-a9f8af5cea0e","block_type":"box","text":"Securities subject to repurchase agreements (other than tri-party repurchase agreements) and purchase and sale","page_number":108,"box":{"x":69,"y":264,"width":810,"height":11}},{"id":"654b6a7b-0835-4817-b99a-958e198ade5b","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":108,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"f5c99b36-3230-486d-9cac-2d15fe3ea540","block_type":"box","text":"or by another authorized securities depository.","page_number":108,"box":{"x":69,"y":294,"width":329,"height":11}},{"id":"d9cfff5f-f615-436d-bcf5-44b8e87ebe2e","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":108,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"739e1d1a-64e2-4c14-908b-512fd7f4e612","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":108,"box":{"x":69,"y":332,"width":805,"height":11}},{"id":"a3d44d15-3bf4-4943-b587-f3ec07f17dc1","block_type":"box","text":"repurchase price. Therefore, the Fund may suffer time delays and incur costs or possible losses in connection with","page_number":108,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"9c177c2e-40d4-4256-9bd1-7cfcb047767a","block_type":"box","text":"disposition of the collateral. If the seller becomes insolvent and subject to liquidation or reorganization under","page_number":108,"box":{"x":69,"y":362,"width":778,"height":11}},{"id":"00e1175b-f3d8-4988-b1a8-074d3b435e79","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":108,"box":{"x":69,"y":377,"width":832,"height":12}},{"id":"40bdd478-dbf9-4fdc-93a4-502b8c9f4053","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":108,"box":{"x":70,"y":393,"width":810,"height":11}},{"id":"0067d579-6f23-4ad0-9eb9-9a8cff7dd3b2","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":108,"box":{"x":69,"y":408,"width":812,"height":11}},{"id":"b4c9de69-a84b-4411-a3c3-863751583ff7","block_type":"box","text":"amount at least equal to the repurchase price, including accrued interest. If the seller fails to repurchase the","page_number":108,"box":{"x":69,"y":423,"width":778,"height":11}},{"id":"b408d095-3853-4ad8-9506-026b177f8ac8","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":108,"box":{"x":69,"y":438,"width":817,"height":11}},{"id":"1942777f-6cd9-42cc-a86e-07ecbf85a67b","block_type":"box","text":"the repurchase price.","page_number":108,"box":{"x":68,"y":453,"width":151,"height":11}},{"id":"2c93cc75-fc96-4738-97df-d2a0d090e141","block_type":"box","text":"In any repurchase transaction to which a Fund is a party, collateral for a repurchase agreement may include cash","page_number":108,"box":{"x":102,"y":475,"width":805,"height":12}},{"id":"f5cbeaef-b405-467e-b0e8-d2fc23f86932","block_type":"box","text":"items and obligations issued by the U.S. Government or its agencies or instrumentalities. For certain Funds, however,","page_number":108,"box":{"x":70,"y":491,"width":837,"height":11}},{"id":"3d6af901-f0d4-40f6-8976-6bad1fca69b0","block_type":"box","text":"collateral may include instruments other than cash items and obligations issued by the U.S. Government or its","page_number":108,"box":{"x":69,"y":506,"width":788,"height":11}},{"id":"7027bc18-7857-47d4-bab7-61c3d5692bf8","block_type":"box","text":"agencies or instrumentalities, including securities that the Fund could not hold directly under its investment","page_number":108,"box":{"x":69,"y":521,"width":767,"height":11}},{"id":"dcf39155-9cb5-47f6-9ec1-777c3e805428","block_type":"box","text":"strategies without the repurchase obligation.","page_number":108,"box":{"x":69,"y":536,"width":317,"height":11}},{"id":"22d96eb2-0366-40a5-981e-cb5a18028784","block_type":"box","text":"The type of collateral underlying repurchase agreements may also pose certain risks for a Fund. Lower quality","page_number":108,"box":{"x":101,"y":559,"width":782,"height":11}},{"id":"5b171e9e-8d5a-40d4-a5b0-7a531506671e","block_type":"box","text":"collateral and collateral with longer maturities may be subject to greater price fluctuations than higher quality","page_number":108,"box":{"x":69,"y":574,"width":776,"height":11}},{"id":"fbce2c18-e6f4-40e2-a114-0ac31d3eeb97","block_type":"box","text":"collateral and collateral with shorter maturities. If the repurchase agreement counterparty were to default, lower","page_number":108,"box":{"x":69,"y":589,"width":799,"height":11}},{"id":"c24a2c3e-7ab8-4c53-b97e-2850557345b7","block_type":"box","text":"quality collateral may be more difficult to liquidate than higher quality collateral. Should the counterparty default and","page_number":108,"box":{"x":69,"y":604,"width":829,"height":11}},{"id":"fc972c8c-eca3-4877-a68c-6f8583ec95d2","block_type":"box","text":"the amount of collateral not be sufficient to cover the counterparty’s repurchase obligation, a Fund would retain the","page_number":108,"box":{"x":68,"y":619,"width":825,"height":11}},{"id":"5dd7f24e-9c48-4f28-9213-b266e33e6f2a","block_type":"box","text":"status of an unsecured creditor of the counterparty (","page_number":108,"box":{"x":69,"y":634,"width":374,"height":11}},{"id":"37817513-a979-43d5-bbd3-16f8475cc569","block_type":"box","text":"i.e.","page_number":108,"box":{"x":445,"y":634,"width":20,"height":9}},{"id":"fdaeb5ea-575c-451b-8265-58286e38a25a","block_type":"box","text":", the position the Fund would normally be in if it were to hold,","page_number":108,"box":{"x":468,"y":634,"width":434,"height":11}},{"id":"219117b9-2d28-4993-a838-1e90c128f510","block_type":"box","text":"pursuant to its investment policies, other unsecured debt securities of the defaulting counterparty) with respect to","page_number":108,"box":{"x":70,"y":649,"width":813,"height":12}},{"id":"9151b673-bdd8-460c-b3de-04932f7d50f0","block_type":"box","text":"the amount of the shortfall. As an unsecured creditor, a Fund would be at risk of losing some or all of the principal","page_number":108,"box":{"x":68,"y":664,"width":816,"height":12}},{"id":"2cf228a9-985b-4231-9675-f6c4c73d4aa0","block_type":"box","text":"and income involved in the transaction.","page_number":108,"box":{"x":69,"y":680,"width":278,"height":9}},{"id":"699b1008-3b84-4a41-9f81-754b5815d088","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":108,"box":{"x":102,"y":702,"width":800,"height":12}},{"id":"d8c0e42a-ec9d-4bb9-be22-a27c39380a76","block_type":"box","text":"their affiliates to include in certain financial contracts, including many repurchase agreements and purchase and sale","page_number":108,"box":{"x":68,"y":717,"width":840,"height":12}},{"id":"b29b3b18-e548-432a-abc3-9ee82ae7e80e","block_type":"box","text":"contracts, terms that delay or restrict the rights of counterparties, such as a Fund, to terminate such agreements,","page_number":108,"box":{"x":69,"y":732,"width":814,"height":12}},{"id":"e751f11f-3422-4237-8f8b-7bb4a05e7168","block_type":"box","text":"take foreclosure action, exercise other default rights or restrict transfers of credit support in the event that the","page_number":108,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"b7b0bf47-7a35-4b59-bce7-71f256014605","block_type":"box","text":"counterparty and/or its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible","page_number":108,"box":{"x":69,"y":763,"width":818,"height":11}},{"id":"12431779-2255-40e4-af30-8e134ce31931","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":108,"box":{"x":68,"y":778,"width":783,"height":11}},{"id":"b0bcb118-006e-4432-b6d2-a0498a524320","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing repurchase agreements and purchase and sale","page_number":108,"box":{"x":69,"y":793,"width":821,"height":11}},{"id":"81ecf1c6-d675-483c-93df-2e14a15c9a34","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":108,"box":{"x":69,"y":808,"width":800,"height":11}},{"id":"fe616048-b619-4bec-9d02-581e78b23f2f","block_type":"box","text":"require certain transactions involving U.S. Treasuries, including repurchase agreements, to be centrally cleared.","page_number":108,"box":{"x":69,"y":823,"width":796,"height":12}},{"id":"420ca5cd-ae50-4448-a1b9-906b1dee72df","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":108,"box":{"x":69,"y":838,"width":834,"height":12}},{"id":"0389c1c2-bf00-4f3e-9382-3bd881ef102c","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":108,"box":{"x":68,"y":853,"width":824,"height":12}},{"id":"ffbceda1-4600-4969-b2c2-ca05ed84df57","block_type":"box","text":"adversely affect a Fund’s performance.","page_number":108,"box":{"x":69,"y":869,"width":279,"height":11}},{"id":"3dccb380-ee6c-4144-8770-dc64d4a04799","block_type":"box","text":"Restricted Securities.","page_number":108,"box":{"x":102,"y":891,"width":157,"height":9}},{"id":"5f30e63f-c34d-495f-9b1f-52c8fa68e20a","block_type":"box","text":"A Fund may invest in or hold securities that are not registered under the Securities Act","page_number":108,"box":{"x":265,"y":891,"width":617,"height":12}},{"id":"c03e428b-bd44-43c4-9ac2-bbe7d82eac2a","block_type":"box","text":"(“restricted securities”), which may include securities in private companies and Rule 144A Securities. Restricted","page_number":108,"box":{"x":69,"y":906,"width":801,"height":12}},{"id":"7368ae3a-c3a1-4988-87cf-19c95dffc9c3","block_type":"box","text":"II-70","page_number":108,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6150f7f8-5953-4772-b479-89730ad2885c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":108,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"53ee9aa3-d633-4e3e-89ea-cdf421270ae1","block_type":"box","text":"securities may be sold in private placement transactions between issuers and their purchasers, including through","page_number":109,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"29234b44-f20d-49b3-9768-5193baf88a27","block_type":"box","text":"private negotiated transactions between the issuer and their purchasers, such as the Funds, and may be neither","page_number":109,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"0fd81ac3-ad3b-4790-9024-71a6ae142825","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":109,"box":{"x":70,"y":75,"width":834,"height":11}},{"id":"7e78f1ea-f20d-446a-b80f-ab68b3eb8685","block_type":"box","text":"freely transferable under the laws of the applicable jurisdiction or due to contractual restrictions on resale. Some of","page_number":109,"box":{"x":68,"y":90,"width":825,"height":11}},{"id":"bbd730b9-a826-40a7-b7cc-040ba9f4ad8f","block_type":"box","text":"these securities are new and complex, and trade only among institutions; the markets for these securities are still","page_number":109,"box":{"x":68,"y":105,"width":815,"height":11}},{"id":"9b51396e-3054-4d93-8c36-1a7e11b2ec27","block_type":"box","text":"developing, and may not function as efficiently as established markets. Typically, investments in private companies","page_number":109,"box":{"x":69,"y":120,"width":821,"height":12}},{"id":"b97d8721-58eb-447f-a961-86c1fd9c9eb8","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":109,"box":{"x":69,"y":136,"width":831,"height":11}},{"id":"a8e113fb-7254-42cf-b547-a2cd654ff65c","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":109,"box":{"x":70,"y":150,"width":824,"height":12}},{"id":"c5878dd5-b459-4e39-96b2-f233227ceedd","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":109,"box":{"x":69,"y":166,"width":834,"height":11}},{"id":"f1b8c59b-bd6e-41d4-b957-2ae1d3935537","block_type":"box","text":"a result of the absence of a public trading market and the potential bespoke nature on certain transactions,","page_number":109,"box":{"x":69,"y":181,"width":769,"height":11}},{"id":"13127708-3a1b-45e5-ba72-af1bc0e1e6a4","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":109,"box":{"x":69,"y":196,"width":838,"height":11}},{"id":"4831ec4d-d00f-4c38-a05c-fb890fb7818e","block_type":"box","text":"value than publicly traded securities. To the extent that restricted securities may be resold in privately negotiated","page_number":109,"box":{"x":68,"y":211,"width":805,"height":11}},{"id":"a38623db-9011-4aa9-b3d7-65009f7b40f8","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":109,"box":{"x":68,"y":226,"width":840,"height":11}},{"id":"739d0017-d859-44dc-aa91-6cf7cbe6a62b","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":109,"box":{"x":70,"y":241,"width":815,"height":11}},{"id":"f6eac40c-851e-48ea-bfa5-1ea766906d84","block_type":"box","text":"character of the issuer, which party (if any) will bear the expenses of registering the restricted security, and prevailing","page_number":109,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"3609f977-5da6-4f0b-a8f0-ae4e2013d39c","block_type":"box","text":"market conditions. In addition, issuers whose securities are not publicly traded or who are not otherwise publicly","page_number":109,"box":{"x":69,"y":272,"width":803,"height":11}},{"id":"d5713141-1b03-48e3-988c-7d05e73fc16c","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":109,"box":{"x":70,"y":286,"width":830,"height":12}},{"id":"cc057a5f-7d40-4f89-ba00-479ae53c489c","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":109,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"802abb03-2a43-4fcd-8181-5a99f5e08275","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":109,"box":{"x":68,"y":317,"width":825,"height":11}},{"id":"399bf042-4088-4eeb-af0b-90eca950e1dd","block_type":"box","text":"of registration. Where registration is required for restricted securities, a considerable time period may elapse","page_number":109,"box":{"x":69,"y":332,"width":777,"height":11}},{"id":"44eb6dcb-374d-40a3-ab17-48e0c24f0604","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":109,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"94d65014-90e9-43f0-960b-564824fb7ae8","block_type":"box","text":"an effective registration statement. If during such period, adverse market conditions were to develop, the Fund might","page_number":109,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"3a7635a9-b75b-4d1e-a56b-35c7f7bd23f6","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":109,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"8ff5fa54-0e8e-40e1-bfc7-0331f29559e3","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":109,"box":{"x":69,"y":392,"width":836,"height":12}},{"id":"acd90f42-758d-4152-aa88-f4aa24aadc01","block_type":"box","text":"to purchasers of the restricted securities if the registration statement prepared by the issuer, or the corresponding","page_number":109,"box":{"x":68,"y":407,"width":819,"height":12}},{"id":"8d68de88-b9d9-492a-ab4a-1f3bfebd6d87","block_type":"box","text":"prospectus, is materially inaccurate or misleading. Transactions in restricted securities may entail other transaction","page_number":109,"box":{"x":70,"y":423,"width":822,"height":11}},{"id":"61df047f-42d7-4c87-897d-b17a37dd1458","block_type":"box","text":"costs that are higher than those for transactions in unrestricted securities. Certain of the Fund’s investments in","page_number":109,"box":{"x":69,"y":438,"width":798,"height":11}},{"id":"ad4cf4c1-a43a-423a-a017-bce9c18917db","block_type":"box","text":"private placements may consist of direct investments and may include investments in smaller, less seasoned","page_number":109,"box":{"x":70,"y":453,"width":780,"height":11}},{"id":"4b2d2fa1-ad3e-492f-a8a3-939af62d230a","block_type":"box","text":"issuers, which may involve greater risks. Issuers of restricted securities may not be subject to SEC reporting","page_number":109,"box":{"x":70,"y":468,"width":773,"height":11}},{"id":"fdcc7dff-acdf-40a7-9c32-d49b56a3f8f3","block_type":"box","text":"requirements, may not be required to maintain their accounting records in accordance with generally accepted","page_number":109,"box":{"x":69,"y":483,"width":784,"height":11}},{"id":"4cc10381-f34b-4a31-be68-aec058bb2e86","block_type":"box","text":"accounting principles, and may not be required to maintain effective internal controls over financial reporting. As a","page_number":109,"box":{"x":69,"y":498,"width":816,"height":11}},{"id":"9facde79-014f-44a8-ba44-9d564b19f0f6","block_type":"box","text":"result, BlackRock may not have timely or accurate information about the business, financial condition and results of","page_number":109,"box":{"x":69,"y":513,"width":828,"height":11}},{"id":"88349589-3b50-47a1-a013-1ff4acce0f42","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":109,"box":{"x":69,"y":528,"width":831,"height":12}},{"id":"b167e9c9-b019-4212-8753-9c2c98b3b7a7","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":109,"box":{"x":68,"y":543,"width":804,"height":12}},{"id":"6e375582-0c45-42ac-88f3-84bf69970989","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":109,"box":{"x":69,"y":559,"width":647,"height":11}},{"id":"3ec9e34b-90ff-4cae-ad44-6b2ad3366e07","block_type":"box","text":"Certain restricted securities may represent limited investment opportunities and each shareholder’s","page_number":109,"box":{"x":102,"y":581,"width":714,"height":11}},{"id":"9d9f7a1f-6a10-4f03-83c5-2c28b31c5280","block_type":"box","text":"proportionate investment exposure to such limited investment opportunities may be reduced proportionately as the","page_number":109,"box":{"x":70,"y":597,"width":823,"height":11}},{"id":"5047357b-0d56-4853-b6e3-79c336845fc6","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":109,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"e60acbbb-12fd-4fd8-a366-fc1218aae6ce","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":109,"box":{"x":70,"y":627,"width":830,"height":11}},{"id":"158303b8-74ae-4759-b3cb-5126be9da5b0","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":109,"box":{"x":69,"y":642,"width":812,"height":11}},{"id":"d3ccfb4c-ef17-454a-b872-69d2ac67f454","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":109,"box":{"x":69,"y":657,"width":787,"height":11}},{"id":"d24ad0f6-0473-407c-96be-c22e0513b611","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":109,"box":{"x":69,"y":672,"width":833,"height":11}},{"id":"4d223e3b-bb36-4f4c-810a-51923a8155a6","block_type":"box","text":"offer other liquidity opportunities to the Fund and other investors will extend the holding period of a Fund’s","page_number":109,"box":{"x":69,"y":687,"width":759,"height":11}},{"id":"505a84f6-9b7b-441b-a5d9-a6ebde4ce73d","block_type":"box","text":"investments, potentially indefinitely, and may adversely affect the value of the investments. In making investments in","page_number":109,"box":{"x":70,"y":702,"width":833,"height":12}},{"id":"221281fd-b111-40d4-9e4f-83ab18355cfd","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":109,"box":{"x":69,"y":717,"width":828,"height":12}},{"id":"786de3c7-83f3-4330-8fdc-7bad5784fed4","block_type":"box","text":"conduct portfolio transactions in such securities. The activity of identifying, completing, and realizing upon attractive","page_number":109,"box":{"x":69,"y":732,"width":827,"height":12}},{"id":"6d3cf7b2-7650-414a-9aa8-66f0b6146f3e","block_type":"box","text":"investments in restricted securities is highly competitive and involves a high degree of uncertainty. A Fund will be","page_number":109,"box":{"x":70,"y":748,"width":804,"height":11}},{"id":"4cdec7d7-079a-41c8-819f-24cd5ad59b52","block_type":"box","text":"competing for investments against other similarly situated investors. It is possible that competition for appropriate","page_number":109,"box":{"x":69,"y":763,"width":816,"height":11}},{"id":"382cbaa3-5352-40fa-93c3-72ec623cd689","block_type":"box","text":"investment opportunities may increase, thus potentially reducing the number of investment opportunities available to","page_number":109,"box":{"x":70,"y":778,"width":835,"height":11}},{"id":"b5db0b3f-bf41-4348-bf80-252ba29292d5","block_type":"box","text":"a Fund and adversely affecting the terms upon which investments can be made. There is no assurance that","page_number":109,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"2b18e996-4062-4ca2-82f8-14562cb6bf58","block_type":"box","text":"investment opportunities for restricted securities will be available at any given time or at a level desired by a Fund,","page_number":109,"box":{"x":70,"y":808,"width":815,"height":11}},{"id":"e9ba2a60-1c7d-47a1-ab9e-9520daba1fc5","block_type":"box","text":"especially as that Fund grows in size.","page_number":109,"box":{"x":69,"y":823,"width":264,"height":12}},{"id":"e229fdee-8773-4de7-9a5f-8f62d445323e","block_type":"box","text":"There may not be a readily available market value for a Fund’s restricted securities (in particular, restricted","page_number":109,"box":{"x":101,"y":846,"width":762,"height":11}},{"id":"42e02e26-1c96-4173-a9ab-58d6070dbc66","block_type":"box","text":"securities issued by private companies) and thus they may be considered “illiquid”. Each Fund values restricted","page_number":109,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"02ff244c-e0e5-4395-b797-abc3410a45c8","block_type":"box","text":"securities in accordance with BlackRock’s valuation policies and procedures, which are designed to value","page_number":109,"box":{"x":69,"y":876,"width":751,"height":11}},{"id":"7c501050-daac-4ae8-b8d2-46487ad2520d","block_type":"box","text":"investments such that they accurately reflect fair value. Due to the inherent uncertainty and subjectivity of","page_number":109,"box":{"x":70,"y":891,"width":755,"height":11}},{"id":"060ed413-22a0-4168-ba6e-64abed791e50","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":109,"box":{"x":69,"y":906,"width":830,"height":12}},{"id":"d5797762-7c60-49b6-a1e2-e4e41d7fc916","block_type":"box","text":"II-71","page_number":109,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fb316fe3-b9cc-44c3-b792-2a39fce4d628","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":109,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1da04702-e3dc-4f05-a187-613d570e6159","block_type":"box","text":"private investments may differ significantly from the values that would have been used had a readily available market","page_number":110,"box":{"x":70,"y":45,"width":835,"height":11}},{"id":"7e491912-fe9b-492c-8d5a-3ac5bc5b188a","block_type":"box","text":"value existed for such investments and may differ materially from the amounts the Fund may realize on any","page_number":110,"box":{"x":68,"y":60,"width":766,"height":11}},{"id":"50ecffdf-174a-48d2-8daa-dbb49d3ba0b0","block_type":"box","text":"dispositions of such investments. Differences in the value of the Fund’s private investments could result in the","page_number":110,"box":{"x":69,"y":75,"width":792,"height":11}},{"id":"fd99e400-752a-4754-a221-8aaf8574951e","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":110,"box":{"x":70,"y":90,"width":821,"height":11}},{"id":"186848e6-e5d4-42fd-a2ad-c60cc94315c9","block_type":"box","text":"Fund’s portfolio, potentially resulting in the dilution of shareholder interests and increasing opportunities for","page_number":110,"box":{"x":70,"y":105,"width":771,"height":11}},{"id":"8a81f16c-9576-4c5e-adb1-f4865a589ba0","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":110,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"76a0ae13-6c0a-4137-aa32-d33d2288ee48","block_type":"box","text":"by other investment companies and investors to price the same restricted securities. In addition, the impact of","page_number":110,"box":{"x":69,"y":135,"width":790,"height":11}},{"id":"d0c68541-6134-46b8-a6d6-eb8fc88a2ff0","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":110,"box":{"x":69,"y":150,"width":828,"height":12}},{"id":"f35df885-6132-4419-82e6-44ea1b720ebc","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":110,"box":{"x":69,"y":166,"width":810,"height":11}},{"id":"7d387237-e270-41fc-a181-9f5344df7446","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":110,"box":{"x":70,"y":181,"width":818,"height":11}},{"id":"796ab35a-7735-497e-84da-6fb11c35b1c3","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":110,"box":{"x":68,"y":196,"width":839,"height":11}},{"id":"2074ef77-18e8-41b6-8724-e4c8bcdce301","block_type":"box","text":"that the Fund ultimately realizes upon the disposal of such investments.","page_number":110,"box":{"x":68,"y":211,"width":514,"height":11}},{"id":"7813c1d9-6574-48ce-a64d-d585502be45a","block_type":"box","text":"See also risks discussed under “Illiquid Investments.”","page_number":110,"box":{"x":102,"y":234,"width":385,"height":11}},{"id":"b857e788-ca10-4f26-a3b8-85a6b9323792","block_type":"box","text":"Reverse Repurchase Agreements.","page_number":110,"box":{"x":102,"y":257,"width":246,"height":10}},{"id":"a591457f-180d-408c-8ff1-49a4f9a21dc1","block_type":"box","text":"A Fund may enter into reverse repurchase agreements with the same parties","page_number":110,"box":{"x":354,"y":257,"width":548,"height":11}},{"id":"165d9990-c7d5-408e-989d-1bba63567e6d","block_type":"box","text":"with whom it may enter into repurchase agreements. Under a reverse repurchase agreement, a Fund sells securities","page_number":110,"box":{"x":68,"y":272,"width":830,"height":11}},{"id":"0abb01be-60f4-49f4-9c85-c3582f5047ca","block_type":"box","text":"to another party and agrees to repurchase them at a particular date and price. A Fund may enter into a reverse","page_number":110,"box":{"x":68,"y":287,"width":793,"height":11}},{"id":"e950523a-c173-4567-bbe4-be49b20fa538","block_type":"box","text":"repurchase agreement when it is anticipated that the interest income to be earned from the investment of the","page_number":110,"box":{"x":69,"y":302,"width":784,"height":11}},{"id":"f0c03d7b-8caa-42be-821a-61e89a460a11","block_type":"box","text":"proceeds of the transaction is greater than the interest expense of the transaction.","page_number":110,"box":{"x":70,"y":317,"width":591,"height":11}},{"id":"332ac94b-9600-4136-b637-3909402b8464","block_type":"box","text":"The use of reverse repurchase agreements may be regarded as leveraging and, therefore, speculative.","page_number":110,"box":{"x":101,"y":339,"width":730,"height":12}},{"id":"337aa34d-83c8-4036-8a8a-0dbdee42404d","block_type":"box","text":"Furthermore, reverse repurchase agreements involve the risks that (i) the interest income earned in the investment","page_number":110,"box":{"x":70,"y":355,"width":822,"height":11}},{"id":"3ccf4043-f38b-4d7d-abd4-690610cc6b2f","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":110,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"78757f12-c4cf-440b-8051-79f7ea710650","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":110,"box":{"x":69,"y":385,"width":801,"height":11}},{"id":"5e757920-2f97-4a88-9a6c-ce2101a418eb","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":110,"box":{"x":69,"y":400,"width":830,"height":11}},{"id":"02430194-0985-44c6-995a-d06be6d09839","block_type":"box","text":"(iv) the securities will not be returned to the Fund.","page_number":110,"box":{"x":69,"y":415,"width":354,"height":11}},{"id":"5bb544ec-5597-4c21-b6a5-ed505bfb5491","block_type":"box","text":"In addition, if the buyer of securities under a reverse repurchase agreement files for bankruptcy or becomes","page_number":110,"box":{"x":102,"y":438,"width":769,"height":11}},{"id":"b16a7fa8-7162-4a06-8584-87e70b39cd39","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":110,"box":{"x":70,"y":453,"width":815,"height":11}},{"id":"30aec1f7-b728-4e4b-a757-0a8b7dcf5257","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":110,"box":{"x":70,"y":468,"width":782,"height":11}},{"id":"8070c434-2057-44ba-8b17-752fa410c4bf","block_type":"box","text":"agreement may effectively be restricted pending such decision.","page_number":110,"box":{"x":69,"y":483,"width":449,"height":11}},{"id":"e323a7cb-48cb-4c1c-8cb7-5d0a2696a27c","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into reverse repurchase agreements and","page_number":110,"box":{"x":102,"y":506,"width":794,"height":11}},{"id":"42794a08-4fca-41c9-a533-df6d9ff32e9e","block_type":"box","text":"similar financing transactions (","page_number":110,"box":{"x":69,"y":521,"width":218,"height":11}},{"id":"11f8b1f2-6f28-4148-961d-b7cac56caefc","block_type":"box","text":"e.g.","page_number":110,"box":{"x":289,"y":522,"width":24,"height":10}},{"id":"28af2a55-fccd-4524-b822-cef586ca5728","block_type":"box","text":", recourse and non-recourse tender option bonds, borrowed bonds) notwithstanding","page_number":110,"box":{"x":316,"y":521,"width":594,"height":11}},{"id":"52679c8d-6e5d-4333-9a9a-03daa747dc7d","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":110,"box":{"x":68,"y":536,"width":813,"height":11}},{"id":"4ec49567-0cdc-4e62-87e8-73fc09e6777a","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":110,"box":{"x":70,"y":551,"width":789,"height":11}},{"id":"c361f0c9-01da-427b-841e-9b3b11b40241","block_type":"box","text":"borrowings in the aggregate, or (ii) treats all such transactions as Derivatives Transactions under Rule 18f-4. See “—","page_number":110,"box":{"x":69,"y":566,"width":836,"height":11}},{"id":"40427a48-89be-4789-93a5-7d0e9f9e25b0","block_type":"box","text":"Derivatives — Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above. The SEC has also","page_number":110,"box":{"x":70,"y":581,"width":824,"height":12}},{"id":"8457f1ef-c9f6-408e-82b7-32f5f55e0349","block_type":"box","text":"finalized rules that will require certain transactions involving U.S. Treasuries, including reverse repurchase","page_number":110,"box":{"x":68,"y":596,"width":758,"height":12}},{"id":"4af789cf-860d-45a9-9b6f-906303121b63","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":110,"box":{"x":69,"y":612,"width":822,"height":11}},{"id":"89c35c45-a093-4abd-8ead-edf96ab79458","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":110,"box":{"x":68,"y":627,"width":838,"height":11}},{"id":"c39b5bca-c379-4806-ad52-5cdcdae2a428","block_type":"box","text":"costs of such transactions and may adversely affect a Fund’s performance.","page_number":110,"box":{"x":69,"y":642,"width":538,"height":11}},{"id":"7b4c1dba-b550-4606-84b7-aa70b4b17300","block_type":"box","text":"Additionally, regulations adopted by global prudential regulators require certain bank-regulated counterparties","page_number":110,"box":{"x":101,"y":665,"width":780,"height":11}},{"id":"7aa82996-376f-469a-80e9-cbc227f55e27","block_type":"box","text":"and certain of their affiliates to include in certain financial contracts, including many reverse repurchase agreements,","page_number":110,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"eb7d11a0-7474-4a9d-ad62-4ec678562d74","block_type":"box","text":"terms that delay or restrict the rights of counterparties, such as a Fund, to terminate such agreements, take","page_number":110,"box":{"x":68,"y":695,"width":775,"height":11}},{"id":"fa296e56-e79a-431c-8996-d783ab575c5c","block_type":"box","text":"foreclosure action, exercise other default rights or restrict transfers of credit support in the event that the","page_number":110,"box":{"x":68,"y":710,"width":754,"height":11}},{"id":"2c592453-0832-4580-8515-755762a3ad23","block_type":"box","text":"counterparty and/or its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible","page_number":110,"box":{"x":69,"y":725,"width":818,"height":11}},{"id":"0d457050-c0b7-4f10-bc41-51176610b7d7","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":110,"box":{"x":68,"y":740,"width":783,"height":11}},{"id":"5e9dc65e-3639-46a6-a161-6c6d9d85e2f1","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing reverse repurchase agreements or to realize","page_number":110,"box":{"x":69,"y":755,"width":800,"height":11}},{"id":"b6a87415-1764-43a9-8a79-0be34e1a9887","block_type":"box","text":"amounts to be received under such agreements.","page_number":110,"box":{"x":69,"y":771,"width":345,"height":11}},{"id":"ac84bbae-55d2-426e-abac-2ddc0dd660a4","block_type":"box","text":"Rights Offerings and Warrants to Purchase.","page_number":110,"box":{"x":102,"y":793,"width":316,"height":11}},{"id":"668c0ced-78ad-41f8-9bc4-93a8c6a1fe65","block_type":"box","text":"Certain Funds may participate in rights offerings and may purchase","page_number":110,"box":{"x":424,"y":793,"width":481,"height":11}},{"id":"cbdae63e-17f7-45b3-8f86-898503aab11f","block_type":"box","text":"warrants, which are privileges issued by corporations enabling the owners to subscribe to and purchase a specified","page_number":110,"box":{"x":68,"y":808,"width":822,"height":11}},{"id":"ea380429-7bfd-4354-b610-8aecf0c41a9d","block_type":"box","text":"number of shares of the corporation at a specified price during a specified period of time. Subscription rights","page_number":110,"box":{"x":69,"y":823,"width":776,"height":12}},{"id":"5252c7ae-a5e7-4c41-a3ae-ed3769c82179","block_type":"box","text":"normally have a short life span to expiration. The purchase of rights or warrants involves the risk that a Fund could","page_number":110,"box":{"x":69,"y":838,"width":817,"height":12}},{"id":"99ed378f-87fc-4188-8cc3-0cf2d021b182","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":110,"box":{"x":70,"y":853,"width":833,"height":12}},{"id":"b08c7ea8-080c-497e-a595-758066628d69","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":110,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"53b13bfb-f494-449f-8360-65d6311d8a08","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":110,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"b9e737d2-10bf-4bfb-870c-4179bd089776","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":110,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"b292e049-a706-4cbc-81c5-8d206d92f7e0","block_type":"box","text":"II-72","page_number":110,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e24559b3-69bc-486b-82d3-5a51fb5f3c50","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":110,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"385de109-46c5-4db7-9660-dc519bf4b54c","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":111,"box":{"x":69,"y":45,"width":777,"height":11}},{"id":"cfc47297-ff7b-459d-9cc7-d82dd8f9c3da","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":111,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"483021fa-f887-458e-864b-d69b3f3dc65e","block_type":"box","text":"this reason investments in warrants may be more speculative than other equity-based investments.","page_number":111,"box":{"x":68,"y":75,"width":708,"height":11}},{"id":"4c6663f5-ca22-482f-b7c2-d13bce2db154","block_type":"box","text":"Rule 144A Securities.","page_number":111,"box":{"x":102,"y":98,"width":159,"height":9}},{"id":"7ac6d5e9-837d-4aa1-8c6f-319a4e5edb4f","block_type":"box","text":"A Fund may purchase securities that can be offered and sold only to “qualified","page_number":111,"box":{"x":266,"y":98,"width":560,"height":11}},{"id":"7a623590-0c49-40e8-b5d5-2f186b7893a0","block_type":"box","text":"institutional buyers” pursuant to Rule 144A under the Securities Act. See “Restricted Securities” above.","page_number":111,"box":{"x":70,"y":113,"width":741,"height":11}},{"id":"d31381ad-d071-4752-8f68-37641232dd2f","block_type":"box","text":"Securities Lending.","page_number":111,"box":{"x":101,"y":135,"width":139,"height":11}},{"id":"54e07c70-84c4-404d-9020-991ad6fbbb1b","block_type":"box","text":"Each Fund may lend portfolio securities to certain borrowers that BlackRock determines to","page_number":111,"box":{"x":247,"y":135,"width":645,"height":11}},{"id":"e31434c9-737a-477a-af60-143c15352234","block_type":"box","text":"be creditworthy, including borrowers affiliated with BlackRock. The borrowers provide collateral that is maintained in","page_number":111,"box":{"x":69,"y":150,"width":825,"height":12}},{"id":"5e5203a4-0106-458f-a49f-154cc44ddc36","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":111,"box":{"x":69,"y":166,"width":817,"height":11}},{"id":"56bf3c6a-68fa-461f-97ac-1706c461f3fb","block_type":"box","text":"behalf of a Fund if, as a result, the aggregate value of all securities loans of the particular Fund exceeds one-third of","page_number":111,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"66e2a568-898e-4c8a-8ae1-1f6a1b93a585","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":111,"box":{"x":68,"y":196,"width":827,"height":11}},{"id":"a702a0ba-60a9-49cd-8700-b4ac7a5a1621","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":111,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"bcc80e42-f34e-4aa4-a106-72c5447661f0","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":111,"box":{"x":69,"y":226,"width":838,"height":11}},{"id":"97adb89c-1a05-426b-9e59-156826802520","block_type":"box","text":"the securities were not on loan.","page_number":111,"box":{"x":68,"y":241,"width":225,"height":9}},{"id":"b7923f45-7bad-417b-a160-2cca141a8610","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":111,"box":{"x":101,"y":264,"width":799,"height":11}},{"id":"a13ec2fa-1ac4-4322-b9da-1bbc4b7dfb1b","block_type":"box","text":"amount of cash collateral. The Funds are compensated by any positive difference between the amount earned on the","page_number":111,"box":{"x":69,"y":279,"width":835,"height":11}},{"id":"e56075cd-7b80-43c1-9b8c-08d64e651e0a","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":111,"box":{"x":69,"y":294,"width":824,"height":11}},{"id":"ff6be69d-377a-4a4b-baae-d4a297ee19ff","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":111,"box":{"x":69,"y":309,"width":821,"height":11}},{"id":"b45b890b-4fb8-480f-9081-bdb8fd65db46","block_type":"box","text":"cash collateral received by the Fund for such loans, and uninvested cash, may be reinvested in certain short-term","page_number":111,"box":{"x":69,"y":324,"width":810,"height":11}},{"id":"df2f283f-a73b-497b-9e0e-3a5ba741d6f7","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":111,"box":{"x":70,"y":339,"width":789,"height":12}},{"id":"731cc672-8455-454a-b223-c17628b178dc","block_type":"box","text":"including those affiliated with BlackRock; such investments are subject to investment risk.","page_number":111,"box":{"x":70,"y":355,"width":643,"height":11}},{"id":"e23b1bc6-137a-4b77-aa96-fd84567afc34","block_type":"box","text":"Securities lending involves exposure to certain risks, including operational risk (","page_number":111,"box":{"x":102,"y":377,"width":568,"height":12}},{"id":"1eaa97da-c1d2-4bef-8029-227ecba7c05d","block_type":"box","text":"i.e.","page_number":111,"box":{"x":672,"y":377,"width":20,"height":9}},{"id":"0a910159-fbc2-43c9-8c0a-0aa382e4d4c3","block_type":"box","text":", the risk of losses resulting","page_number":111,"box":{"x":695,"y":377,"width":198,"height":12}},{"id":"32194d5a-9a2d-48c3-af6f-7c1c0699eb8f","block_type":"box","text":"from problems in the settlement and accounting process), “gap” risk (","page_number":111,"box":{"x":68,"y":392,"width":501,"height":12}},{"id":"15e95004-a4c8-4238-9f33-d68e268b86c2","block_type":"box","text":"i.e.","page_number":111,"box":{"x":571,"y":393,"width":20,"height":8}},{"id":"583aab44-7837-4770-881b-b623a755cc83","block_type":"box","text":", the risk of a mismatch between the return","page_number":111,"box":{"x":594,"y":392,"width":307,"height":11}},{"id":"90d2bf9f-a2c2-485c-84af-7907491f779c","block_type":"box","text":"on cash collateral reinvestments and the fees each Fund has agreed to pay a borrower), foreign exchange risk (","page_number":111,"box":{"x":69,"y":407,"width":794,"height":12}},{"id":"923766d8-1986-4a2b-acd7-2738a177ca5b","block_type":"box","text":"i.e.","page_number":111,"box":{"x":865,"y":408,"width":20,"height":8}},{"id":"9272b339-195d-42ce-8464-6092881b3e7e","block_type":"box","text":",","page_number":111,"box":{"x":888,"y":415,"width":2,"height":3}},{"id":"fe1993ce-1dab-41a5-901b-7add2cb940bb","block_type":"box","text":"the risk of a shortfall at default when a cash collateral investment is denominated in a currency other than the","page_number":111,"box":{"x":68,"y":423,"width":788,"height":11}},{"id":"47299796-57b1-4d98-8330-44858f3049d8","block_type":"box","text":"currency of the assets being loaned due to movements in foreign exchange rates), and credit, legal, counterparty and","page_number":111,"box":{"x":69,"y":438,"width":837,"height":11}},{"id":"fd46f6ce-c13c-4162-bdb2-c6fa772bfa32","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":111,"box":{"x":69,"y":453,"width":822,"height":11}},{"id":"1adbc4bf-9de6-40a1-b18b-05ac8776540b","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":111,"box":{"x":68,"y":468,"width":811,"height":11}},{"id":"82c05c8f-e77e-4b22-8189-04f6827fca60","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":111,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"e0f742fd-697a-45cd-965d-e85a3932d796","block_type":"box","text":"are subject to a corporate action and commit to the borrower a particular election as determined by the Fund’s","page_number":111,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"d7cec78e-cbf7-44f6-b0de-65866adfd7a7","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":111,"box":{"x":70,"y":513,"width":820,"height":12}},{"id":"1f51592c-fdeb-4676-9fc5-ce47e014ae44","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":111,"box":{"x":70,"y":528,"width":805,"height":12}},{"id":"88f8b650-bd3b-4a13-88c6-4827c7ae4b29","block_type":"box","text":"securities lending counterparty were to default, a Fund would be subject to the risk of a possible delay in receiving","page_number":111,"box":{"x":69,"y":543,"width":816,"height":12}},{"id":"30d277b1-263e-4f9a-8567-927e0afaf545","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":111,"box":{"x":69,"y":559,"width":775,"height":11}},{"id":"fe1c5d92-7aea-41d2-b52d-8ff0b0b2bf65","block_type":"box","text":"borrower does not return a Fund’s securities as agreed, the Fund’s ability to participate in a corporate action event","page_number":111,"box":{"x":69,"y":574,"width":821,"height":11}},{"id":"27c6a14d-9c09-4360-8ed6-a6fed1fd04d7","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":111,"box":{"x":69,"y":589,"width":838,"height":11}},{"id":"985da87b-d0f4-444a-97e9-905470f511f9","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":111,"box":{"x":70,"y":604,"width":837,"height":11}},{"id":"e28f4377-af5c-4343-9369-714ccb5ce2c5","block_type":"box","text":"in purchasing replacement securities. This latter event could trigger adverse tax consequences for a Fund. A Fund","page_number":111,"box":{"x":70,"y":619,"width":808,"height":11}},{"id":"e64cb69c-8187-449c-8c04-e6c5075939da","block_type":"box","text":"could lose money if its short-term investment of the collateral declines in value over the period of the loan. Substitute","page_number":111,"box":{"x":69,"y":634,"width":839,"height":11}},{"id":"366d92c3-b2f5-4732-941c-e61e8acac102","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":111,"box":{"x":70,"y":650,"width":832,"height":11}},{"id":"9ac05070-8540-4f66-966a-f548087faa07","block_type":"box","text":"qualified dividend income, and distributions by the Fund of such substitute payments will not constitute qualified","page_number":111,"box":{"x":69,"y":664,"width":801,"height":12}},{"id":"d31f34a7-e7b8-4897-91df-f216126195ef","block_type":"box","text":"dividend income. Additionally, substitute payments received by a Fund representing qualified REIT dividends paid on","page_number":111,"box":{"x":69,"y":680,"width":823,"height":11}},{"id":"28df680e-9136-408d-9578-a75a85658b64","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":111,"box":{"x":70,"y":695,"width":823,"height":11}},{"id":"3699534d-fda5-403a-b2a9-592b1edb5e81","block_type":"box","text":"of such substitute payments will not be eligible for a 20% deduction currently available for ordinary REIT dividends","page_number":111,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"b858caf1-140a-4954-86ff-29775dcb2617","block_type":"box","text":"paid to non-corporate shareholders provided certain other requirements are satisfied. The securities lending agent","page_number":111,"box":{"x":70,"y":725,"width":814,"height":11}},{"id":"a0aea0d0-8601-4bf0-9eea-7037e5f1ad9b","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":111,"box":{"x":68,"y":740,"width":787,"height":11}},{"id":"34d225f9-f214-471b-b53d-8d2ec9edd17d","block_type":"box","text":"securities lending program. Substitute payments received on tax-exempt securities loaned out will not be tax-exempt","page_number":111,"box":{"x":69,"y":755,"width":828,"height":11}},{"id":"08247d77-c4d2-4627-ab51-be23871c95b9","block_type":"box","text":"income. There could also be changes in the status of issuers under applicable laws and regulations, including tax","page_number":111,"box":{"x":70,"y":770,"width":809,"height":12}},{"id":"f30b1e40-dd40-4b62-809d-da22cc4ce100","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":111,"box":{"x":69,"y":785,"width":821,"height":12}},{"id":"418f81e0-3506-46ed-a812-e1d07ebc2e0a","block_type":"box","text":"delay in the payment of dividend equivalent payments owed to a Fund (as permitted by applicable law).","page_number":111,"box":{"x":69,"y":801,"width":731,"height":11}},{"id":"6d36f727-269a-4379-b99c-cf2b3c2a78a6","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":111,"box":{"x":102,"y":823,"width":800,"height":12}},{"id":"51473690-4a55-40e8-a448-ffcd85ca9ffa","block_type":"box","text":"their affiliates to include in certain financial contracts, including many securities lending agreements, terms that","page_number":111,"box":{"x":68,"y":838,"width":802,"height":12}},{"id":"2d1548c4-5fec-42d6-9982-4def13df981e","block_type":"box","text":"delay or restrict the rights of counterparties, such as the Fund, to terminate such agreements, foreclose upon","page_number":111,"box":{"x":69,"y":853,"width":783,"height":12}},{"id":"cc622b61-ef39-4fc4-8b83-e8a6037ef672","block_type":"box","text":"collateral, exercise other default rights or restrict transfers of credit support in the event that the counterparty and/or","page_number":111,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"bb6259e5-28f7-4f40-b037-602a66a7f72e","block_type":"box","text":"its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible that these","page_number":111,"box":{"x":70,"y":884,"width":747,"height":11}},{"id":"56d2857c-0496-4549-8588-e214ca470634","block_type":"box","text":"requirements, as well as potential additional government regulation and other developments in the market, could","page_number":111,"box":{"x":69,"y":899,"width":806,"height":11}},{"id":"9a11cd87-9c29-4c7b-a622-a32f26bdaa8e","block_type":"box","text":"II-73","page_number":111,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"05ebfa83-11f7-443b-aa83-9cb1a88caf44","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":111,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9348763f-3694-4078-9237-5d8d9ac923d4","block_type":"box","text":"adversely affect the Fund’s ability to terminate existing securities lending agreements or to realize amounts to be","page_number":112,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"1d14362f-c76d-4379-920a-dc3f2106ab91","block_type":"box","text":"received under such agreements. Prudential regulation may also favor lenders that can provide additional protections,","page_number":112,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"a08d3d02-d671-4702-bc70-e5c4270d1d56","block_type":"box","text":"such as liens that are exercisable in connection with a lender default, to borrowers. Certain Funds expect to provide","page_number":112,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"5ac8da68-df72-4bcd-be23-8a572d33774c","block_type":"box","text":"additional protections to borrowers, where permitted pursuant to a Fund’s investment policies and if BlackRock","page_number":112,"box":{"x":69,"y":90,"width":794,"height":11}},{"id":"4b710956-b6d0-4ccf-96d9-be9b8317a5ac","block_type":"box","text":"believes doing so is in the best interest of the Fund.","page_number":112,"box":{"x":69,"y":105,"width":371,"height":11}},{"id":"8e747d85-bba0-4a8b-9205-6722eb5ae6b9","block_type":"box","text":"The SEC has adopted a rule that will require reporting and public disclosure of securities loan transaction","page_number":112,"box":{"x":101,"y":128,"width":753,"height":11}},{"id":"11b38282-6a1e-4f77-b882-026cd0f64753","block_type":"box","text":"information (not including party names); this may include, but is not limited to, information about securities loans","page_number":112,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"1c405908-b706-4311-aae3-e4657f3a4e3a","block_type":"box","text":"entered into in connection with short sales. Compliance with this rule is expected to be required in late 2028,","page_number":112,"box":{"x":69,"y":158,"width":784,"height":11}},{"id":"739888a6-199d-4068-b37e-5f2b395430eb","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":112,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"d5f71b0c-1c3d-4ffb-980c-da1551583bc9","block_type":"box","text":"the current expected compliance date.","page_number":112,"box":{"x":68,"y":188,"width":273,"height":11}},{"id":"a4d237e1-b8ef-4d86-a7a8-fcf9a1b02438","block_type":"box","text":"Short Sales.","page_number":112,"box":{"x":101,"y":211,"width":89,"height":9}},{"id":"c79612db-94c2-4c30-aeee-e22d07d2c85b","block_type":"box","text":"Certain Funds may make short sales of securities, either as a hedge against potential declines in","page_number":112,"box":{"x":196,"y":211,"width":696,"height":11}},{"id":"533e5f14-5ec7-4fc1-a7c3-4f1709027b27","block_type":"box","text":"value of a portfolio security or to realize appreciation when a security that the Fund does not own declines in value.","page_number":112,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"9afb3e2b-5c33-42b7-a283-eae53f8b5525","block_type":"box","text":"Certain Funds have a fundamental investment restriction prohibiting short sales of securities unless they are","page_number":112,"box":{"x":69,"y":241,"width":778,"height":11}},{"id":"9ecbbc46-5501-4b12-82db-ba887ef67c3b","block_type":"box","text":"“against-the-box.” In a short sale “against-the-box,” at the time of the sale, the Fund owns or has the immediate and","page_number":112,"box":{"x":70,"y":256,"width":831,"height":12}},{"id":"a63c0b2d-f41d-417c-8311-317492f0d29c","block_type":"box","text":"unconditional right to acquire the identical security at no additional cost. When a Fund makes a short sale, it borrows","page_number":112,"box":{"x":69,"y":272,"width":837,"height":11}},{"id":"19f911df-68e5-46de-82fe-4863fb3716bb","block_type":"box","text":"the security sold short and delivers it to the broker-dealer through which it made the short sale. A Fund may have to","page_number":112,"box":{"x":68,"y":287,"width":828,"height":11}},{"id":"81ae70db-dce4-43f4-b480-a3c941275536","block_type":"box","text":"pay a fee to borrow particular securities and is often obligated to turn over any payments received on such borrowed","page_number":112,"box":{"x":70,"y":302,"width":829,"height":11}},{"id":"e63d0d5f-8efa-444c-9f79-832db17b06b2","block_type":"box","text":"securities to the lender of the securities.","page_number":112,"box":{"x":69,"y":317,"width":289,"height":9}},{"id":"1902bf4a-8357-4a0f-b222-8d88bdb5a88a","block_type":"box","text":"A Fund secures its obligation to replace the borrowed security by depositing collateral with the broker-dealer,","page_number":112,"box":{"x":101,"y":340,"width":772,"height":11}},{"id":"e9504258-3692-4339-96e2-6683d93b7d15","block_type":"box","text":"usually in cash, U.S. Government Securities or other liquid securities similar to those borrowed. With respect to","page_number":112,"box":{"x":69,"y":355,"width":795,"height":11}},{"id":"7785509f-b59b-4add-bec2-315fd61c9734","block_type":"box","text":"uncovered short positions, a Fund is required to deposit similar collateral with its custodian, if necessary, to the","page_number":112,"box":{"x":69,"y":370,"width":801,"height":11}},{"id":"8c4be6ce-db04-46ad-b383-7ecac9ff7041","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":112,"box":{"x":69,"y":385,"width":830,"height":11}},{"id":"c432c853-99a8-4a80-a50c-7327c4642d69","block_type":"box","text":"market value of the security sold short. Depending on arrangements made with the broker-dealer from which the Fund","page_number":112,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"6b18f866-d9d5-46b3-b535-1bbe8aff28a7","block_type":"box","text":"borrowed the security, regarding payment received by the Fund on such security, a Fund may not receive any","page_number":112,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"6175db4a-10f5-45fb-a5a8-8cd0c888cbe0","block_type":"box","text":"payments (including interest) on its collateral deposited with such broker-dealer.","page_number":112,"box":{"x":70,"y":430,"width":568,"height":11}},{"id":"ff32ecc6-9c4a-498f-b9f5-5e9235ea5147","block_type":"box","text":"Because making short sales in securities that it does not own exposes a Fund to the risks associated with those","page_number":112,"box":{"x":102,"y":453,"width":806,"height":11}},{"id":"56a3989c-9852-4b09-8b04-ca32e5ca7b1f","block_type":"box","text":"securities, such short sales involve speculative exposure risk. A Fund will incur a loss as a result of a short sale if","page_number":112,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"99e9250b-d1c8-413b-bd04-436f872dc652","block_type":"box","text":"the price of the security increases between the date of the short sale and the date on which the Fund replaces the","page_number":112,"box":{"x":68,"y":483,"width":819,"height":11}},{"id":"33a4d1b4-df5b-40b7-a5ae-09ed9361b09c","block_type":"box","text":"borrowed security. As a result, if a Fund makes short sales in securities that increase in value, it will likely","page_number":112,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"1e97d255-f212-4fee-b3a1-6773fb8e7465","block_type":"box","text":"underperform similar mutual funds that do not make short sales in securities. A Fund will realize a gain on a short","page_number":112,"box":{"x":69,"y":513,"width":817,"height":12}},{"id":"d43270f0-a263-4457-9caf-546528e429ea","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":112,"box":{"x":69,"y":528,"width":800,"height":12}},{"id":"e3ac4727-fb2c-417e-8e79-7513ec5a9469","block_type":"box","text":"close out a short sale position at any particular time or at an acceptable price. Although a Fund’s gain is limited to","page_number":112,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"8ba66e37-00ba-4bd5-9070-e94bcd8d9dff","block_type":"box","text":"the price at which it sold the security short, its potential loss is limited only by the maximum attainable price of the","page_number":112,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"0a091460-e811-42f0-899c-d243f13cb93c","block_type":"box","text":"security, less the price at which the security was sold and may, theoretically, be unlimited.","page_number":112,"box":{"x":69,"y":574,"width":640,"height":11}},{"id":"8be8fa92-5fa4-437b-8da3-8a66769758b0","block_type":"box","text":"A Fund may also make short sales “against the box” without being subject to such limitations.","page_number":112,"box":{"x":101,"y":597,"width":673,"height":11}},{"id":"48edd155-54e6-490b-a48d-acdcca13067d","block_type":"box","text":"A Fund must comply with Rule 18f-4 under the Investment Company Act with respect to its short sale","page_number":112,"box":{"x":101,"y":619,"width":721,"height":11}},{"id":"3159ac58-500e-4ed3-8625-9ddc557d7cec","block_type":"box","text":"borrowings, which are considered Derivatives Transactions under the Rule. See “—Derivatives — Regulation of","page_number":112,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"3451b85e-3ec7-4e9a-b8d5-40ef0b6dfc5c","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":112,"box":{"x":70,"y":649,"width":489,"height":12}},{"id":"d3e627a1-ca3f-40a7-bbe8-81990e2183d3","block_type":"box","text":"Short sales are also subject to certain SEC regulations and certain European Union and United Kingdom","page_number":112,"box":{"x":102,"y":672,"width":745,"height":11}},{"id":"f4bf683b-7b41-4ced-9028-9cfced373671","block_type":"box","text":"regulations (under which there are restrictions on net short sales in certain securities). If the SEC or regulatory","page_number":112,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"924b2c3c-6d82-4069-8b9e-53d80b293f77","block_type":"box","text":"authorities in other jurisdictions were to adopt additional restrictions regarding short sales, they could restrict a","page_number":112,"box":{"x":69,"y":703,"width":796,"height":11}},{"id":"26773fcb-71f2-4e65-949e-78fe101f46dd","block_type":"box","text":"Fund’s ability to engage in short sales in certain circumstances, and the Fund may be unable to execute its","page_number":112,"box":{"x":70,"y":718,"width":766,"height":11}},{"id":"2dae2910-d234-4c86-bf4a-f2a92cf08e8e","block_type":"box","text":"investment strategy as a result. In response to market events, the SEC and regulatory authorities in other","page_number":112,"box":{"x":70,"y":733,"width":754,"height":11}},{"id":"86e4af10-af78-4d71-991b-45fca8b8077a","block_type":"box","text":"jurisdictions may adopt (and in certain cases, have adopted) bans or other restrictions on short sales of certain","page_number":112,"box":{"x":67,"y":748,"width":800,"height":11}},{"id":"b45ee710-62d4-4ba1-95db-8768b5d7d17b","block_type":"box","text":"securities or on derivatives and other hedging instruments used to achieve a similar economic effect. Such bans or","page_number":112,"box":{"x":69,"y":763,"width":823,"height":11}},{"id":"0a22eff4-462c-47a5-9dee-7004399d6e9b","block_type":"box","text":"other restrictions may make it impossible for a Fund to execute certain investment strategies and may have a","page_number":112,"box":{"x":69,"y":778,"width":782,"height":11}},{"id":"d9a9f8bf-21ed-4a25-857b-84bf165af722","block_type":"box","text":"material adverse effect on the Fund’s ability to generate returns.","page_number":112,"box":{"x":69,"y":793,"width":460,"height":11}},{"id":"922045b3-0b0b-4fa0-83ec-1c3e817c3f20","block_type":"box","text":"Special Purpose Acquisition Companies.","page_number":112,"box":{"x":101,"y":816,"width":293,"height":11}},{"id":"b492b816-4c0c-43c3-bec4-bb8773886745","block_type":"box","text":"A Fund may invest in stock, warrants, rights and other interests issued","page_number":112,"box":{"x":400,"y":816,"width":504,"height":11}},{"id":"53016345-6c5d-4651-804c-60d45b6a6867","block_type":"box","text":"by special purpose acquisition companies (“SPACs”) or similar special purpose entities that pool funds to seek","page_number":112,"box":{"x":69,"y":831,"width":791,"height":11}},{"id":"6bd9b351-00bf-4909-8f01-04ea52c53101","block_type":"box","text":"potential acquisition opportunities, including the “founder’s” shares and warrants described below. A SPAC is a","page_number":112,"box":{"x":70,"y":846,"width":793,"height":11}},{"id":"f7ddf2c0-ec34-4f22-9517-233c1f24da52","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":112,"box":{"x":70,"y":861,"width":824,"height":11}},{"id":"1603881c-51d0-4004-b497-bfd4c0a2de81","block_type":"box","text":"more operating businesses or assets. In connection with forming a SPAC, the SPAC’s sponsors acquire “founder’s”","page_number":112,"box":{"x":69,"y":876,"width":821,"height":11}},{"id":"665f9a89-ef62-410e-a9e7-a8386d8e7e4b","block_type":"box","text":"shares, generally for nominal consideration, and warrants that will result in the sponsors owning a specified","page_number":112,"box":{"x":69,"y":891,"width":768,"height":12}},{"id":"77e9d17a-86c0-43e1-8869-25aa8f7fb0be","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":112,"box":{"x":70,"y":906,"width":826,"height":12}},{"id":"090515d1-2d55-45b7-86e6-3569909deeb0","block_type":"box","text":"II-74","page_number":112,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9c395cd1-222b-453d-892a-b666f11e1023","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":112,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3df5f30b-acb0-4ad8-b98f-eedaf7e524ef","block_type":"box","text":"conducts an IPO, it has selected a management team but has not yet identified a specific acquisition opportunity.","page_number":113,"box":{"x":69,"y":45,"width":809,"height":11}},{"id":"538ec08e-923c-451e-8791-07697d4c0a47","block_type":"box","text":"Unless and until an acquisition is completed, a SPAC generally invests its assets in U.S. Government securities,","page_number":113,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"bcbfceb3-9824-4e4d-8323-4af8353687e0","block_type":"box","text":"money market securities and cash. If an acquisition that meets the requirements for the SPAC is not completed","page_number":113,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"e1c94041-f01b-4a13-8e51-1362ec329848","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":113,"box":{"x":68,"y":90,"width":788,"height":11}},{"id":"56571830-181c-4972-9d27-04d3bbeefb54","block_type":"box","text":"warrants expire, and the “founder’s” shares and such warrants become worthless. Because SPACs and similar","page_number":113,"box":{"x":68,"y":105,"width":794,"height":11}},{"id":"db80c494-822a-4765-a3c2-ee0879db6a75","block_type":"box","text":"entities are in essence “blank check” companies without operating histories or ongoing business operations (other","page_number":113,"box":{"x":69,"y":120,"width":820,"height":12}},{"id":"1367818c-c9f2-4daf-bbec-e902dee8c1da","block_type":"box","text":"than identifying and pursuing acquisitions), the potential for the long-term capital appreciation of their securities is","page_number":113,"box":{"x":68,"y":135,"width":815,"height":12}},{"id":"923737b7-3d38-4909-a9d7-108fd076576e","block_type":"box","text":"particularly dependent on the ability of the SPAC’s management to identify and complete a profitable acquisition.","page_number":113,"box":{"x":70,"y":150,"width":802,"height":12}},{"id":"3d54681d-b06d-4103-b2c7-b72d7aab2397","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":113,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"b9a2e58d-2058-49b5-808e-71b4edd11946","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":113,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"88eb58ef-ac0d-47ac-a519-2d4e6e54d18f","block_type":"box","text":"certain industries or regions, which may ultimately lead to an increase in the volatility of their prices following the","page_number":113,"box":{"x":69,"y":196,"width":806,"height":11}},{"id":"1faf54e0-55de-4a00-9b59-d8fed679aa08","block_type":"box","text":"acquisition. In addition, some of these securities may be considered illiquid and/or subject to restrictions on resale.","page_number":113,"box":{"x":69,"y":211,"width":828,"height":11}},{"id":"4f04c794-76fd-4851-9d2d-7d5a4233fbb0","block_type":"box","text":"Standby Commitment Agreements.","page_number":113,"box":{"x":101,"y":234,"width":255,"height":11}},{"id":"d757aecd-0ae2-4596-846d-50836f0739ca","block_type":"box","text":"Standby commitment agreements commit a Fund, for a stated period of","page_number":113,"box":{"x":362,"y":234,"width":511,"height":11}},{"id":"cc6a4918-5a4b-41e0-80ef-2f9e7a236e10","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":113,"box":{"x":68,"y":249,"width":834,"height":11}},{"id":"5c8b2c8b-6a66-40cb-8acb-1dd79d60922b","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":113,"box":{"x":68,"y":264,"width":834,"height":11}},{"id":"758e82ab-4565-4ef6-9582-fe414ceaf936","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":113,"box":{"x":70,"y":279,"width":802,"height":11}},{"id":"e8343fe2-f9ae-46b9-a931-b9f21afe07f4","block_type":"box","text":"agreements for the purpose of investing in the security underlying the commitment at a price that is considered","page_number":113,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"d9b42d2a-2d11-4e27-b20e-15f6e4fc2731","block_type":"box","text":"advantageous to the Fund.","page_number":113,"box":{"x":69,"y":309,"width":188,"height":11}},{"id":"0fe76842-65ed-4c91-b01d-264c0a8dc960","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":113,"box":{"x":101,"y":332,"width":800,"height":11}},{"id":"3d9bd77a-e888-438a-93b6-9130aa21394d","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":113,"box":{"x":68,"y":347,"width":816,"height":11}},{"id":"c0e24ad0-8955-48e0-ac5c-c9b70acd14a9","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":113,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"83cc80a3-8c7f-4d39-9c33-7eece975f304","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":113,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"cd44dbe2-5902-40fb-bef3-45b50eb91a31","block_type":"box","text":"The purchase of a security pursuant to a standby commitment agreement and the related commitment fee will","page_number":113,"box":{"x":101,"y":400,"width":785,"height":11}},{"id":"db09776a-1e6c-4f10-b20a-0621335da8b4","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":113,"box":{"x":69,"y":415,"width":837,"height":11}},{"id":"83438712-2965-4e2a-8757-1f9227a0a529","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":113,"box":{"x":68,"y":430,"width":815,"height":11}},{"id":"f42745a6-2229-45cd-9a58-f7d081b7c517","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":113,"box":{"x":69,"y":445,"width":792,"height":11}},{"id":"19a31d1d-7815-4619-9e96-5d3c9500100c","block_type":"box","text":"income on the expiration date of the standby commitment.","page_number":113,"box":{"x":70,"y":460,"width":415,"height":12}},{"id":"c7ed03ef-8d31-483c-b254-a4fa8ba48309","block_type":"box","text":"Standby commitments will only be entered into with dealers, banks and broker-dealers which, in the Manager’s","page_number":113,"box":{"x":102,"y":483,"width":789,"height":11}},{"id":"a433df4b-b7a2-4ac9-8b16-7177dfdb4bed","block_type":"box","text":"or sub-adviser’s opinion, present minimal credit risks. A Fund will acquire standby commitments solely to facilitate","page_number":113,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"8dc9a4ba-d5ff-4653-9425-eb065ef0a8e6","block_type":"box","text":"portfolio liquidity and not to exercise its rights thereunder for trading purposes. Standby commitments will be valued","page_number":113,"box":{"x":70,"y":513,"width":827,"height":12}},{"id":"348cba62-5486-42a3-a869-e4da4a2a1222","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":113,"box":{"x":69,"y":528,"width":815,"height":12}},{"id":"ef8d8d07-3ea4-4d26-90d7-eb3d458a6365","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":113,"box":{"x":68,"y":543,"width":817,"height":12}},{"id":"b4d1ae47-8c3c-4bf7-84d1-234b98a3f314","block_type":"box","text":"reflected as a realized gain or loss when the commitment is exercised or expires.","page_number":113,"box":{"x":69,"y":559,"width":578,"height":11}},{"id":"2a70117b-4237-45ec-95eb-a6ce8c7b9a76","block_type":"box","text":"Stripped Securities.","page_number":113,"box":{"x":101,"y":581,"width":143,"height":11}},{"id":"33ff67d7-d8be-4d0b-bff4-61627288ab89","block_type":"box","text":"Stripped securities are created when the issuer separates the interest and principal","page_number":113,"box":{"x":251,"y":581,"width":596,"height":11}},{"id":"51c72996-263f-4db4-b3b3-ee0411b90eea","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":113,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"56ccc1e5-543a-4305-b828-d612054a5b93","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":113,"box":{"x":70,"y":612,"width":818,"height":11}},{"id":"f114fe92-8a8c-454e-86ae-58a8906e0bce","block_type":"box","text":"payments (the principal only or “PO” security). Some stripped securities may receive a combination of interest and","page_number":113,"box":{"x":70,"y":627,"width":813,"height":11}},{"id":"7b558b68-7f53-406d-ad0f-76134a4b4fed","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":113,"box":{"x":70,"y":642,"width":777,"height":11}},{"id":"3c089c94-108f-4e7e-8dac-999f5c526481","block_type":"box","text":"principal payments (including prepayments) on the related underlying assets, and principal payments may have a","page_number":113,"box":{"x":70,"y":657,"width":802,"height":11}},{"id":"480c1424-4932-4d1a-9c60-68d9898890b5","block_type":"box","text":"material effect on yield to maturity. If the underlying assets experience greater than anticipated prepayments of","page_number":113,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"a542039f-3526-4851-84ef-50e74cedbd6f","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":113,"box":{"x":70,"y":687,"width":837,"height":11}},{"id":"f0e4efec-2730-46e9-95d2-8b9f216c27b2","block_type":"box","text":"than anticipated prepayments of principal, the yield on POs could be adversely affected. Stripped securities may be","page_number":113,"box":{"x":68,"y":702,"width":823,"height":11}},{"id":"cabfb5b5-a1cd-46a2-a072-eb8ca1bf8420","block_type":"box","text":"highly sensitive to changes in interest rates and rates of prepayment.","page_number":113,"box":{"x":69,"y":717,"width":494,"height":12}},{"id":"e0a9953d-9e29-4b65-95f6-a6d24365e5f8","block_type":"box","text":"Structured Notes.","page_number":113,"box":{"x":101,"y":740,"width":130,"height":9}},{"id":"00f3799c-b6cb-4637-8c05-0a5d6882a71a","block_type":"box","text":"Structured notes and other related instruments purchased by a Fund are generally privately","page_number":113,"box":{"x":237,"y":740,"width":650,"height":11}},{"id":"b6347b49-bc38-446e-8315-1e7bcc7656a3","block_type":"box","text":"negotiated debt obligations where the principal and/or interest is determined by reference to the performance of a","page_number":113,"box":{"x":69,"y":755,"width":818,"height":11}},{"id":"31b06154-3762-45ec-ab3f-1d1a4295d599","block_type":"box","text":"specific asset, benchmark asset, market or interest rate (“reference measure”). Issuers of structured notes generally","page_number":113,"box":{"x":69,"y":770,"width":839,"height":12}},{"id":"1578c75f-f70d-447b-a81a-5c9fadfc30d6","block_type":"box","text":"include corporations and banks. The interest rate or the principal amount payable upon maturity or redemption may","page_number":113,"box":{"x":70,"y":786,"width":821,"height":11}},{"id":"133ac93e-004d-4dcb-9f8f-e4309ec1e00b","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":113,"box":{"x":70,"y":801,"width":839,"height":11}},{"id":"b1898821-8ee8-4f68-982c-4caa41b7fd00","block_type":"box","text":"may provide that, in certain circumstances, no principal is due at maturity and, therefore, may result in a loss of","page_number":113,"box":{"x":69,"y":816,"width":801,"height":11}},{"id":"66b55bdc-59a0-4756-8cc8-5eb32163fc9c","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":113,"box":{"x":70,"y":831,"width":813,"height":11}},{"id":"acd2e7eb-5109-4f83-afce-de561342e1e6","block_type":"box","text":"vary widely, depending on a variety of factors, including the volatility of the reference measure.","page_number":113,"box":{"x":68,"y":846,"width":673,"height":11}},{"id":"03311224-6188-462b-8641-bb6af6c988fa","block_type":"box","text":"Structured notes may be positively or negatively indexed, so the appreciation of the reference measure may","page_number":113,"box":{"x":102,"y":869,"width":768,"height":11}},{"id":"1f0fab45-48d8-4bf4-af17-aa954ea65063","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":113,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"9aa82b43-ea11-48f5-b38c-c20463222a29","block_type":"box","text":"II-75","page_number":113,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cc3578e9-b56f-4e4f-bf84-f7a12bc98360","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":113,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f66659a4-de68-486c-8424-efe68c70ba89","block_type":"box","text":"structured notes may be determined by applying a multiplier to the performance or differential performance of","page_number":114,"box":{"x":69,"y":45,"width":787,"height":11}},{"id":"b1e9dca4-3fb5-4327-a2b9-49011bcedf29","block_type":"box","text":"reference measures. Application of a multiplier involves leverage that will serve to magnify the potential for gain and","page_number":114,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"1ba1dc4b-b16e-415b-a213-e48194cd137b","block_type":"box","text":"the risk of loss.","page_number":114,"box":{"x":68,"y":75,"width":110,"height":9}},{"id":"7f66547a-ab31-4fd7-ba81-b6561661c1e3","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":114,"box":{"x":101,"y":98,"width":759,"height":11}},{"id":"6026adc2-9ca1-42ea-9832-668d0e46b5b2","block_type":"box","text":"Structured notes may also be more volatile, less liquid, and more difficult to price accurately than less complex","page_number":114,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"5a1a80a0-0453-455f-889e-0b9c01298711","block_type":"box","text":"securities and instruments or more traditional debt securities. The secondary market for structured notes could be","page_number":114,"box":{"x":69,"y":128,"width":819,"height":11}},{"id":"d5808b2c-9a60-48a6-a532-07dc6eb2c112","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":114,"box":{"x":70,"y":143,"width":821,"height":11}},{"id":"cd3a9745-01d6-48d7-9568-939d50bad0b7","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":114,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"48288dfd-cb0f-4162-8845-e7b71d8959ff","block_type":"box","text":"losses and could make structured notes more difficult for the Fund to value accurately.","page_number":114,"box":{"x":70,"y":173,"width":618,"height":11}},{"id":"81c45a63-1d76-427d-b3f2-622e788b0ba3","block_type":"box","text":"Taxability Risk.","page_number":114,"box":{"x":103,"y":196,"width":109,"height":11}},{"id":"a71014be-7d47-4cf4-87e8-f76d21120a03","block_type":"box","text":"Certain of the Funds intend to minimize the payment of taxable income to shareholders by","page_number":114,"box":{"x":218,"y":196,"width":644,"height":11}},{"id":"e787a42e-8452-4a34-82a8-2b17aa40d799","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":114,"box":{"x":70,"y":211,"width":817,"height":11}},{"id":"5da72562-330c-4201-8b18-b4ded547c4b8","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":114,"box":{"x":68,"y":226,"width":827,"height":11}},{"id":"ee343b62-1db5-4667-b214-9e3d76abafcb","block_type":"box","text":"be excludable from gross income for U.S. federal income tax purposes. Such securities, however, may be determined","page_number":114,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"a7790323-d9f8-4aac-8629-0b7ac7e17c96","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":114,"box":{"x":68,"y":256,"width":809,"height":11}},{"id":"69239d12-4398-41be-a683-9370ab33db16","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":114,"box":{"x":69,"y":271,"width":832,"height":12}},{"id":"c9be1f36-62ff-419c-b3bd-ffb1c7f2c698","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":114,"box":{"x":69,"y":286,"width":816,"height":12}},{"id":"f2ee8548-7a5d-44f3-ab9e-06bac1f1f86a","block_type":"box","text":"paid by the Fund as “exempt interest dividends” could be adversely affected, subjecting the Fund’s shareholders to","page_number":114,"box":{"x":70,"y":302,"width":822,"height":11}},{"id":"d8dc8a2e-f917-40b6-a686-8f4eff339e49","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":114,"box":{"x":70,"y":317,"width":818,"height":11}},{"id":"b6bb9a93-eae1-4287-a7b4-20a84fe3c1af","block_type":"box","text":"Fund is subsequently determined to be taxable, the Fund will dispose of that security as soon as reasonably","page_number":114,"box":{"x":70,"y":332,"width":771,"height":11}},{"id":"df3edbfc-7fdb-4719-9738-f4b9c1c64ac3","block_type":"box","text":"practicable. In addition, future laws, regulations, rulings or court decisions may cause interest on municipal","page_number":114,"box":{"x":70,"y":347,"width":765,"height":11}},{"id":"481be67e-0acc-4768-8f34-7c0e7af27f2c","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":114,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"fa60dff4-ebe5-4d9a-b2df-ea45a5c76690","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":114,"box":{"x":68,"y":377,"width":807,"height":11}},{"id":"1b7f10fe-cfc4-4ddb-ac70-80b5a84b78d0","block_type":"box","text":"local intangible personal property tax, or may otherwise prevent the Fund from realizing the full current benefit of the","page_number":114,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"fbb9c26c-beb2-4d2d-a184-49d151d7e471","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":114,"box":{"x":68,"y":407,"width":838,"height":12}},{"id":"677e697d-490a-4b03-8b34-d9e7dcb2e9bd","block_type":"box","text":"the value of an investment in the Fund.","page_number":114,"box":{"x":68,"y":423,"width":278,"height":9}},{"id":"4e7a497e-8804-4c94-9b18-3daf265b5f10","block_type":"box","text":"Temporary Defensive Measures.","page_number":114,"box":{"x":103,"y":445,"width":230,"height":11}},{"id":"11f40ec4-e31b-4f6c-a083-3282e02f17b1","block_type":"box","text":"As a temporary defensive measure, including to respond to adverse market,","page_number":114,"box":{"x":339,"y":445,"width":542,"height":12}},{"id":"24fd5cd9-ca14-4227-88e4-782227aa4eb7","block_type":"box","text":"economic, political or other conditions, a Fund may depart from its principal investment strategies and may invest","page_number":114,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"b26f074a-bd2c-4842-8f6e-d6c4ab8f2b1c","block_type":"box","text":"without limitation in cash, high quality money market instruments, or other short term investments. Certain Funds","page_number":114,"box":{"x":68,"y":476,"width":813,"height":11}},{"id":"bfae39dc-25f7-4917-9bb7-104917a26606","block_type":"box","text":"may also invest in cash and other such instruments pending investment or to meet anticipated redemption requests.","page_number":114,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"dcfc1095-d1dc-45f8-80b8-a86d4709c888","block_type":"box","text":"High quality money market instruments include U.S. Government obligations, U.S. Government agency obligations,","page_number":114,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"597fda6e-b544-4613-a339-6f76622874ec","block_type":"box","text":"dollar denominated obligations of foreign issuers, bank obligations, including U.S. subsidiaries and branches of","page_number":114,"box":{"x":69,"y":521,"width":795,"height":11}},{"id":"3a779356-0e23-480b-91b0-13d8d2bb2fea","block_type":"box","text":"foreign banks, corporate obligations, commercial paper, repurchase agreements and obligations of supranational","page_number":114,"box":{"x":68,"y":536,"width":806,"height":11}},{"id":"360e6847-b839-40b6-a75e-7f0b0aaefc95","block_type":"box","text":"organizations. Generally, such obligations will mature within one year from the date of settlement but may mature","page_number":114,"box":{"x":69,"y":551,"width":808,"height":11}},{"id":"8c934a95-baa4-495b-b1ba-63b6d3c7ed03","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":114,"box":{"x":68,"y":566,"width":820,"height":11}},{"id":"a9a12c4a-0318-4b77-8921-8ba87fcd0e33","block_type":"box","text":"its investment objective.","page_number":114,"box":{"x":70,"y":582,"width":171,"height":10}},{"id":"845f865b-8de2-4e34-a094-4388ce88367c","block_type":"box","text":"U.S. Government Obligations.","page_number":114,"box":{"x":102,"y":604,"width":213,"height":11}},{"id":"103d4469-5056-4753-9574-49abe87074b9","block_type":"box","text":"A Fund may purchase obligations issued or guaranteed by the U.S. Government","page_number":114,"box":{"x":321,"y":604,"width":566,"height":11}},{"id":"ed58f79c-056d-41e8-a5d0-1675ceb1209a","block_type":"box","text":"and U.S. Government agencies and instrumentalities. Obligations of certain agencies and instrumentalities of the","page_number":114,"box":{"x":69,"y":619,"width":810,"height":11}},{"id":"1767cf34-8021-4aa5-9d0c-9f6105b51341","block_type":"box","text":"U.S. Government are supported by the full faith and credit of the U.S. Treasury. Others are supported by the right of","page_number":114,"box":{"x":70,"y":634,"width":826,"height":12}},{"id":"e30a5534-b46b-48d1-9417-3c12a89074fb","block_type":"box","text":"the issuer to borrow from the U.S. Treasury; and still others are supported only by the credit of the agency or","page_number":114,"box":{"x":68,"y":649,"width":779,"height":12}},{"id":"045e5aa9-1e6a-4393-8faf-6939ca97afd0","block_type":"box","text":"instrumentality issuing the obligation. No assurance can be given that the U.S. Government will provide financial","page_number":114,"box":{"x":70,"y":664,"width":798,"height":12}},{"id":"87181443-1b9e-4216-921c-23e0193cb3c3","block_type":"box","text":"support to U.S. Government-sponsored instrumentalities if it is not obligated to do so by law. Certain U.S. Treasury","page_number":114,"box":{"x":69,"y":680,"width":822,"height":11}},{"id":"c6402d8f-5078-440a-b1ab-bc67fbbdc645","block_type":"box","text":"and agency securities may be held by trusts that issue participation certificates (such as Treasury income growth","page_number":114,"box":{"x":69,"y":695,"width":809,"height":11}},{"id":"49315ca7-507d-4963-85c9-05f408a768ab","block_type":"box","text":"receipts and certificates of accrual on Treasury certificates). These certificates, as well as Treasury receipts and","page_number":114,"box":{"x":69,"y":710,"width":805,"height":11}},{"id":"8406edfa-fe66-48c8-9d23-7e63db8997c6","block_type":"box","text":"other stripped securities, represent beneficial ownership interests in either future interest payments or the future","page_number":114,"box":{"x":69,"y":725,"width":807,"height":11}},{"id":"c8726eb1-4d38-46c5-af4a-a9e04a2bc1ef","block_type":"box","text":"principal payments on U.S. Government obligations. These instruments are issued at a discount to their “face value”","page_number":114,"box":{"x":70,"y":740,"width":832,"height":11}},{"id":"258d6cfd-1002-4965-8222-5e0b5e33d3ff","block_type":"box","text":"and may (particularly in the case of stripped mortgage-backed securities) exhibit greater price volatility than ordinary","page_number":114,"box":{"x":69,"y":755,"width":829,"height":11}},{"id":"27727311-f7b2-482c-bd2a-6cac7c396798","block_type":"box","text":"debt securities because of the manner in which their principal and interest are returned to investors.","page_number":114,"box":{"x":69,"y":770,"width":716,"height":11}},{"id":"a77cca99-cb5b-4a6b-8d89-e8c63fe78c53","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":114,"box":{"x":102,"y":793,"width":800,"height":11}},{"id":"30bb4aa8-0c38-4dd4-aa9c-7e620b9626f1","block_type":"box","text":"Treasury Notes and Treasury Bonds and the obligations of the Federal Housing Administration, Farmers Home","page_number":114,"box":{"x":68,"y":808,"width":785,"height":11}},{"id":"32af23c4-63d7-4461-b4da-8c467a5abea5","block_type":"box","text":"Administration, Export-Import Bank of the United States, Small Business Administration, Ginnie Mae, Fannie Mae,","page_number":114,"box":{"x":68,"y":823,"width":813,"height":11}},{"id":"35e0041d-f281-4df4-af06-16b9aa013f39","block_type":"box","text":"Federal Financing Bank, General Services Administration, Student Loan Marketing Association, Central Bank for","page_number":114,"box":{"x":70,"y":838,"width":794,"height":12}},{"id":"764230be-61c0-48a6-a362-5e1b3d6556ee","block_type":"box","text":"Cooperatives, Federal Home Loan Banks, Freddie Mac, Federal Intermediate Credit Banks, Federal Land Banks, Farm","page_number":114,"box":{"x":69,"y":854,"width":835,"height":10}},{"id":"9f09dc68-f940-457a-bbd9-b3842e4bddbf","block_type":"box","text":"Credit Banks System, Maritime Administration, Tennessee Valley Authority and Washington D.C. Armory Board. The","page_number":114,"box":{"x":69,"y":869,"width":818,"height":11}},{"id":"f0048678-98cb-426c-b847-be910a910a10","block_type":"box","text":"Funds may also invest in mortgage-related securities issued or guaranteed by U.S. Government agencies and","page_number":114,"box":{"x":70,"y":884,"width":777,"height":11}},{"id":"46d2d8e0-ce9c-4f71-a612-cae1ca783028","block_type":"box","text":"instrumentalities, including such instruments as obligations of Ginnie Mae, Fannie Mae and Freddie Mac.","page_number":114,"box":{"x":70,"y":899,"width":749,"height":11}},{"id":"973dc964-00c5-455b-bad3-98db9cf62fd6","block_type":"box","text":"II-76","page_number":114,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3fe42d5f-ab54-4cda-a07b-484577a8b7f3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":114,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"da7898d4-47c8-4e77-89ce-af1887f36e1b","block_type":"box","text":"U.S. Treasury Obligations.","page_number":115,"box":{"x":103,"y":45,"width":183,"height":11}},{"id":"b6bd9bc5-ae98-4091-b78d-760797c689d5","block_type":"box","text":"Treasury obligations may differ in their interest rates, maturities, times of issuance","page_number":115,"box":{"x":292,"y":45,"width":593,"height":11}},{"id":"ffab6a3c-78e4-483d-9a75-3f5a07004bde","block_type":"box","text":"and other characteristics. Obligations of U.S. Government agencies and authorities are supported by varying degrees","page_number":115,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"3fdd17fc-af92-4bb6-9c60-67609306c2d0","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":115,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"208f11bb-740c-407c-851e-0fa85d3c6729","block_type":"box","text":"that the U.S. Government will provide financial support to its agencies and authorities if it is not obligated by law to","page_number":115,"box":{"x":68,"y":90,"width":823,"height":11}},{"id":"7f8cc506-316f-4e8b-8c3f-7189ed6696e8","block_type":"box","text":"do so.","page_number":115,"box":{"x":69,"y":105,"width":42,"height":9}},{"id":"9d650230-c078-4dae-a059-af120af18356","block_type":"box","text":"U.S. Treasury Rolls","page_number":115,"box":{"x":102,"y":128,"width":139,"height":11}},{"id":"0c4d595d-f654-45c4-a520-eca7f8a8888b","block_type":"box","text":".","page_number":115,"box":{"x":241,"y":135,"width":3,"height":2}},{"id":"0df0732e-dcf1-40f9-a072-c4e3a9532278","block_type":"box","text":"Certain Funds may invest in U.S. Treasury rolls. In a U.S. Treasury roll transaction, the Fund","page_number":115,"box":{"x":250,"y":128,"width":656,"height":11}},{"id":"e7abec79-062a-432f-ab7a-63c0ffdb6b06","block_type":"box","text":"sells a treasury security to a counterparty with a simultaneous agreement to repurchase the same security at an","page_number":115,"box":{"x":69,"y":143,"width":804,"height":11}},{"id":"cd405e7e-cb2a-42d1-bd05-b2a4ae4c9400","block_type":"box","text":"agreed upon price and future settlement date. U.S. Treasury roll transactions may incrementally adjust the average","page_number":115,"box":{"x":69,"y":158,"width":820,"height":11}},{"id":"e4b7eb62-0f44-4b4d-af5b-4839a605da5c","block_type":"box","text":"maturity of a Fund’s portfolio and increase the interest yield on the Fund’s portfolio by extending the average maturity","page_number":115,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"f1ceeb43-842e-4c89-a496-9e3a13b0e130","block_type":"box","text":"of the portfolio in a normal yield curve environment. During the period before the settlement date of a U.S. Treasury","page_number":115,"box":{"x":69,"y":188,"width":828,"height":12}},{"id":"1d1134d3-e5eb-4cee-9306-71e42e7a8763","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":115,"box":{"x":69,"y":204,"width":775,"height":11}},{"id":"f7d903e4-1b0a-4cae-bf58-e52d2e59abf3","block_type":"box","text":"securities it is purchasing until after the settlement date. A Fund could suffer an opportunity loss if the counterparty","page_number":115,"box":{"x":69,"y":218,"width":829,"height":12}},{"id":"e96d9e99-c9cb-4da6-a052-598458a33878","block_type":"box","text":"to the U.S. Treasury roll transaction failed to perform its obligations on the settlement date.","page_number":115,"box":{"x":68,"y":234,"width":657,"height":11}},{"id":"90c8ba6c-62f5-4c2d-ac75-75d77dbb99b6","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":115,"box":{"x":101,"y":256,"width":756,"height":12}},{"id":"a53273d6-0b6d-4042-9289-da7477ae4f93","block_type":"box","text":"purchase price of those securities. U.S. Treasury rolls are speculative techniques that can be deemed to involve","page_number":115,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"626ad3a4-2388-45c1-a619-1468c73f7e91","block_type":"box","text":"leverage. There is no assurance that U.S. Treasury rolls can be successfully employed.","page_number":115,"box":{"x":70,"y":286,"width":617,"height":12}},{"id":"b2d52366-6753-42a3-a1b3-0ad78d3b9723","block_type":"box","text":"Utility Industries.","page_number":115,"box":{"x":102,"y":309,"width":124,"height":11}},{"id":"7130f226-0af8-4e2e-a24a-57942448de88","block_type":"box","text":"Risks that are intrinsic to the utility industries include difficulty in obtaining an adequate return","page_number":115,"box":{"x":233,"y":309,"width":674,"height":11}},{"id":"4ee2258d-d25e-4445-a5f5-729c2cfb8bc9","block_type":"box","text":"on invested capital, difficulty in financing large construction programs during an inflationary period, restrictions on","page_number":115,"box":{"x":69,"y":324,"width":812,"height":12}},{"id":"050e71bb-57f3-43e0-b06e-fb440484bb2d","block_type":"box","text":"operations and increased cost and delays attributable to environmental considerations and regulation, difficulty in","page_number":115,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"2082bcc2-a3f9-4477-99b3-2f1be81482d8","block_type":"box","text":"raising capital in adequate amounts on reasonable terms in periods of high inflation and unsettled capital markets,","page_number":115,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"894c9da9-6392-43bb-98d0-cde799d422c7","block_type":"box","text":"technological innovations that may render existing plants, equipment or products obsolete, the potential impact of","page_number":115,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"c2ff5cec-05c8-479e-80e0-1e9a67f6616b","block_type":"box","text":"natural or man-made disasters, increased costs and reduced availability of certain types of fuel, occasional reduced","page_number":115,"box":{"x":69,"y":385,"width":827,"height":11}},{"id":"d4e57bd5-f5b6-43cb-8ead-464109f2af73","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":115,"box":{"x":69,"y":400,"width":795,"height":11}},{"id":"7aca1bef-7980-46be-a186-cca91260034d","block_type":"box","text":"energy policy and lengthy delays and greatly increased costs and other problems associated with the design,","page_number":115,"box":{"x":69,"y":415,"width":774,"height":11}},{"id":"bd4103a0-76f1-4e57-8548-bbf35bf5e358","block_type":"box","text":"construction, licensing, regulation and operation of nuclear facilities for electric generation, including, among other","page_number":115,"box":{"x":69,"y":430,"width":817,"height":11}},{"id":"fce9d10d-3add-4e1c-932b-630c5dbaacf6","block_type":"box","text":"considerations, the problems associated with the use of radioactive materials and the disposal of radioactive wastes.","page_number":115,"box":{"x":69,"y":445,"width":839,"height":11}},{"id":"5589902b-3933-4c18-b16c-c0887a1f1b1a","block_type":"box","text":"There are substantial differences among the regulatory practices and policies of various jurisdictions, and any given","page_number":115,"box":{"x":68,"y":460,"width":827,"height":12}},{"id":"6b4919b3-5d51-4576-beb5-7118035cc292","block_type":"box","text":"regulatory agency may make major shifts in policy from time to time. There is no assurance that regulatory","page_number":115,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"8b3d4c37-ecd2-41ea-8b94-b6350382ac0b","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":115,"box":{"x":69,"y":491,"width":821,"height":11}},{"id":"355febc5-9ee4-4bd1-9ffd-c2121090c9ef","block_type":"box","text":"dividends on common stocks issued by a utility company. Additionally, existing and possible future regulatory","page_number":115,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"2fb7a884-e4ea-4f03-9363-34a5948ee864","block_type":"box","text":"legislation may make it even more difficult for utilities to obtain adequate relief. Certain of the issuers of securities","page_number":115,"box":{"x":70,"y":521,"width":820,"height":11}},{"id":"52d142b6-a5d7-4e1a-bb31-b0dd38b4baab","block_type":"box","text":"held in the Fund’s portfolio may own or operate nuclear generating facilities. Governmental authorities may from time","page_number":115,"box":{"x":69,"y":536,"width":835,"height":11}},{"id":"8eabe8ad-1c7b-47d2-8530-f508a2abaea0","block_type":"box","text":"to time review existing policies and impose additional requirements governing the licensing, construction and","page_number":115,"box":{"x":68,"y":551,"width":778,"height":11}},{"id":"8f211dff-a376-4b60-a4a0-d388362ce99b","block_type":"box","text":"operation of nuclear power plants. Prolonged changes in climatic conditions can also have a significant impact on","page_number":115,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"b6db7d13-0175-4a91-8b47-09e48e80a03c","block_type":"box","text":"both the revenues of an electric and gas utility as well as the expenses of a utility, particularly a hydro-based electric","page_number":115,"box":{"x":69,"y":581,"width":831,"height":12}},{"id":"d85c693a-de34-46d8-a983-9c8ec7de5c43","block_type":"box","text":"utility.","page_number":115,"box":{"x":69,"y":597,"width":39,"height":11}},{"id":"8117a5b3-c2c0-42f5-af9c-47ecf000fac4","block_type":"box","text":"Companies in the utilities sector may be adversely affected by changes in exchange rates, domestic and","page_number":115,"box":{"x":102,"y":619,"width":744,"height":11}},{"id":"63f9ff32-f480-474e-9a48-0871a45da335","block_type":"box","text":"international competition, and governmental limitations on rates charged to customers. The value of regulated utility","page_number":115,"box":{"x":70,"y":634,"width":828,"height":12}},{"id":"108e3f16-8c1a-4608-85a7-8d9c40f3b899","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":115,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"040a9a9e-c149-4074-bac6-1f228682ae5e","block_type":"box","text":"interest rates and therefore may lead to volatility in performance.","page_number":115,"box":{"x":70,"y":664,"width":464,"height":12}},{"id":"2027be79-f5ab-4b22-9911-e5bfd785d144","block_type":"box","text":"Utility companies in the United States and in foreign countries are generally subject to regulation. In the United","page_number":115,"box":{"x":102,"y":687,"width":789,"height":11}},{"id":"85bbf12b-4959-4291-9d59-235d6eb39e4f","block_type":"box","text":"States, most utility companies are regulated by state and/or federal authorities. Such regulation is intended to","page_number":115,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"024b8400-7256-4e8b-b7b9-44ce68660a35","block_type":"box","text":"ensure appropriate standards of service and adequate capacity to meet public demand. Generally, prices are also","page_number":115,"box":{"x":69,"y":717,"width":811,"height":12}},{"id":"add7edd3-6d2a-4aff-a0ee-65b64fd75c2d","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":115,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"8b00f2ef-ff2b-498e-b352-dda1c131f77d","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":115,"box":{"x":68,"y":748,"width":781,"height":11}},{"id":"cf5b16c5-cddc-4d29-a361-d377f733ddf4","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":115,"box":{"x":69,"y":763,"width":826,"height":11}},{"id":"a691fa1e-6e42-497e-afa5-54f3de522b88","block_type":"box","text":"continue in the future.","page_number":115,"box":{"x":69,"y":778,"width":156,"height":9}},{"id":"2adadfe7-452d-4406-893e-7b67138b01d6","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":115,"box":{"x":101,"y":801,"width":763,"height":11}},{"id":"04404bcf-8d00-4c58-9e9c-e2d226233173","block_type":"box","text":"countries. In recent years, changes in regulation in the United States increasingly have allowed utility companies to","page_number":115,"box":{"x":69,"y":816,"width":820,"height":11}},{"id":"302bb0e8-a7d8-4263-8726-5c7dacd0a030","block_type":"box","text":"provide services and products outside their traditional geographic areas and lines of business, creating new areas of","page_number":115,"box":{"x":70,"y":831,"width":834,"height":11}},{"id":"7ce9a07d-95ce-475f-885e-062df1b11029","block_type":"box","text":"competition within the industries. In some instances, utility companies are operating on an unregulated basis.","page_number":115,"box":{"x":69,"y":846,"width":784,"height":11}},{"id":"676edf67-bbd6-4c99-b5a2-6c827a56575d","block_type":"box","text":"Because of trends toward deregulation and the evolution of independent power producers as well as new entrants to","page_number":115,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"4f3ed483-752a-425b-b8cb-29857e08274f","block_type":"box","text":"the field of telecommunications, non-regulated providers of utility services have become a significant part of their","page_number":115,"box":{"x":68,"y":876,"width":809,"height":11}},{"id":"db33d7f8-f9f6-4a11-ab48-7d239b3897cf","block_type":"box","text":"respective industries. The Manager believes that the emergence of competition and deregulation will result in certain","page_number":115,"box":{"x":69,"y":891,"width":834,"height":12}},{"id":"af999a66-d241-48ca-8403-1d1661d840c0","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":115,"box":{"x":69,"y":906,"width":825,"height":12}},{"id":"66885b16-9d86-4a9b-8e8b-2b541c34e0d3","block_type":"box","text":"II-77","page_number":115,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"490b7b4a-d57a-4684-a5a4-c63ea1dfc7aa","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":115,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"395e87ce-f0a0-41e4-994d-721a94f0a10e","block_type":"box","text":"to defend their core business from increased competition and may be less profitable. Reduced profitability, as well as","page_number":116,"box":{"x":68,"y":45,"width":840,"height":11}},{"id":"c8d9b1a0-28d8-451f-b7f5-1fee4f7e3e9c","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":116,"box":{"x":69,"y":60,"width":796,"height":11}},{"id":"2b8ed8f9-8496-45c5-bfef-4eeec2649933","block_type":"box","text":"rates. As deregulation allows utility companies to diversify outside of their original geographic regions and their","page_number":116,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"ca0205ff-397b-49fa-a5d2-80c3bb0b9574","block_type":"box","text":"traditional lines of business, utility companies may engage in riskier ventures. Therefore, deregulation may eliminate","page_number":116,"box":{"x":68,"y":90,"width":831,"height":11}},{"id":"5551dd97-3416-4fde-952c-54cfca7432b8","block_type":"box","text":"restrictions on the maximum level of profits of certain utility companies, but may also subject these companies to","page_number":116,"box":{"x":69,"y":105,"width":812,"height":11}},{"id":"cb750036-a1b2-4114-8ee5-bd7ed0c9bd17","block_type":"box","text":"greater risk of loss. The Manager seeks to take advantage of favorable investment opportunities that may arise from","page_number":116,"box":{"x":68,"y":120,"width":833,"height":12}},{"id":"86e9dfe9-39c0-48d3-86f4-13ae5c5c2fdb","block_type":"box","text":"these structural changes. Of course, there can be no assurance that favorable developments will occur in the future.","page_number":116,"box":{"x":68,"y":135,"width":831,"height":12}},{"id":"fa571335-39bb-4e79-9a14-b8127a156f7e","block_type":"box","text":"Foreign utility companies are also subject to regulation, although such regulations may or may not be","page_number":116,"box":{"x":102,"y":158,"width":720,"height":11}},{"id":"bc44b482-568f-488f-86aa-89dbc242e951","block_type":"box","text":"comparable to those in the United States. Foreign utility companies may be more heavily regulated by their respective","page_number":116,"box":{"x":69,"y":173,"width":838,"height":11}},{"id":"4d94548a-1968-4828-87e4-d04d836d77cd","block_type":"box","text":"governments than utilities in the United States and, as in the United States, generally are required to seek","page_number":116,"box":{"x":68,"y":188,"width":762,"height":12}},{"id":"6a86175f-944a-4726-b2ab-3c6a3f1bc14d","block_type":"box","text":"government approval for rate increases. In addition, many foreign utilities use fuels that may cause more pollution","page_number":116,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"8782034e-dd0c-45c6-8472-3c707232beaf","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":116,"box":{"x":68,"y":219,"width":801,"height":11}},{"id":"d1cf04c4-1481-4390-8e2b-3d7f0814fceb","block_type":"box","text":"meet any proposed pollution restrictions. Foreign regulatory systems vary from country to country and may evolve in","page_number":116,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"05ec3e9e-ff85-4462-95a9-2054e27fa333","block_type":"box","text":"ways different from regulation in the United States.","page_number":116,"box":{"x":68,"y":249,"width":365,"height":11}},{"id":"ea4142c6-852c-43ab-8b73-3f66a607fac1","block_type":"box","text":"A Fund’s investment policies are designed to enable it to capitalize on evolving investment opportunities","page_number":116,"box":{"x":101,"y":272,"width":745,"height":11}},{"id":"fa823a54-8518-4cc4-8d46-992b83db7cad","block_type":"box","text":"throughout the world. For example, the rapid growth of certain foreign economies will necessitate expansion of","page_number":116,"box":{"x":68,"y":286,"width":790,"height":12}},{"id":"848c33e9-4be6-449e-bbe0-d48841e8bff0","block_type":"box","text":"capacity in the utility industries in those countries. Although many foreign utility companies currently are government","page_number":116,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"e3a3199f-0461-421e-99b4-7a86e9c50562","block_type":"box","text":"owned, thereby limiting current investment opportunities for a Fund, the Manager believes that, in order to attract","page_number":116,"box":{"x":69,"y":317,"width":810,"height":11}},{"id":"1f2da7bb-26d1-4966-bacf-ad7b007e8f24","block_type":"box","text":"significant capital for growth, foreign governments are likely to seek global investors through the privatization of their","page_number":116,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"a9a4bd5d-03cc-4f91-9bbe-ef5ff781fa60","block_type":"box","text":"utility industries. Privatization, which refers to the trend toward investor ownership of assets rather than government","page_number":116,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"fd3c1b9e-a71a-456a-a74c-26af6cfba0f6","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":116,"box":{"x":69,"y":362,"width":832,"height":11}},{"id":"ceaa18f7-84ff-493d-85b8-9ff7857665f7","block_type":"box","text":"assurance that such favorable developments will occur or that investment opportunities in foreign markets will","page_number":116,"box":{"x":69,"y":377,"width":786,"height":12}},{"id":"bef69a6e-8b31-43ff-8045-f450f397f3c1","block_type":"box","text":"increase.","page_number":116,"box":{"x":70,"y":393,"width":63,"height":8}},{"id":"369a80b5-7215-4b63-a3b4-4bd07d5e4573","block_type":"box","text":"The revenues of domestic and foreign utility companies generally reflect the economic growth and development","page_number":116,"box":{"x":101,"y":415,"width":793,"height":11}},{"id":"10dc17e5-109c-4178-8917-d24d5f9f7680","block_type":"box","text":"in the geographic areas in which they do business. The Manager will take into account anticipated economic growth","page_number":116,"box":{"x":70,"y":430,"width":821,"height":11}},{"id":"2514fae6-27ae-4847-8120-6319c88f015d","block_type":"box","text":"rates and other economic developments when selecting securities of utility companies.","page_number":116,"box":{"x":69,"y":445,"width":619,"height":12}},{"id":"07369cdb-3b3e-42f6-9e36-db9d02d800af","block_type":"box","text":"Electric.","page_number":116,"box":{"x":102,"y":468,"width":54,"height":9}},{"id":"e0bfe939-7270-4f9f-8277-d7f367a39ab7","block_type":"box","text":"The electric utility industry consists of companies that are engaged principally in the generation,","page_number":116,"box":{"x":163,"y":468,"width":684,"height":11}},{"id":"7cab1466-acb9-413f-8be0-cdc8b67d8076","block_type":"box","text":"transmission and sale of electric energy, although many also provide other energy-related services. In the past,","page_number":116,"box":{"x":68,"y":483,"width":793,"height":11}},{"id":"35780cb0-617d-4623-bb31-4fd0b643a57d","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":116,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"f2d508b7-e97d-426b-b265-9a662dca5fa5","block_type":"box","text":"near completion of major construction programs. In addition, many of these companies have generated cash flows in","page_number":116,"box":{"x":69,"y":513,"width":833,"height":12}},{"id":"da77f6f1-c9d7-4359-89fd-5755fa8f03e9","block_type":"box","text":"excess of current operating expenses and construction expenditures, permitting some degree of diversification into","page_number":116,"box":{"x":69,"y":528,"width":821,"height":12}},{"id":"7806a398-266d-4a47-b5eb-1caf7c96ebbc","block_type":"box","text":"unregulated businesses. Some electric utilities have also taken advantage of the right to sell power outside of their","page_number":116,"box":{"x":69,"y":543,"width":823,"height":12}},{"id":"ce3f0961-ada2-4ca5-9b42-3ece6de2dc89","block_type":"box","text":"traditional geographic areas. Electric utility companies have historically been subject to the risks associated with","page_number":116,"box":{"x":68,"y":559,"width":803,"height":11}},{"id":"9f49389e-ed3c-4b46-94e1-394099ba6930","block_type":"box","text":"increases in fuel and other operating costs, high interest costs on borrowings needed for capital construction","page_number":116,"box":{"x":70,"y":574,"width":778,"height":11}},{"id":"8a5a3c1e-ee3c-4cfa-abfc-e856c3bf84fc","block_type":"box","text":"programs, costs associated with compliance with environmental and safety regulations and changes in the regulatory","page_number":116,"box":{"x":70,"y":589,"width":836,"height":11}},{"id":"9fc1b249-eb78-469b-8280-c29ca5c5942c","block_type":"box","text":"climate. As interest rates declined, many utilities refinanced high cost debt and in doing so improved their fixed","page_number":116,"box":{"x":69,"y":604,"width":793,"height":11}},{"id":"34261a89-d0d1-483c-80ee-c31942acb7ca","block_type":"box","text":"charges coverage. Regulators, however, lowered allowed rates of return as interest rates declined and thereby","page_number":116,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"9c0b9f55-3116-4cfd-a9bb-d3a635cb402a","block_type":"box","text":"caused the benefits of the rate declines to be shared wholly or in part with customers. In a period of rising interest","page_number":116,"box":{"x":69,"y":634,"width":819,"height":12}},{"id":"f3cd5990-60e3-49a1-aa5e-a61517a1f292","block_type":"box","text":"rates, the allowed rates of return may not keep pace with the utilities’ increased costs. The construction and","page_number":116,"box":{"x":69,"y":649,"width":775,"height":12}},{"id":"0826eaf6-c9b4-453c-ba7f-1b897a63550a","block_type":"box","text":"operation of nuclear power facilities are subject to strict scrutiny by, and evolving regulations of, the Nuclear","page_number":116,"box":{"x":69,"y":664,"width":770,"height":12}},{"id":"33c7b57b-dbe8-41ff-9ae4-5647be13ce54","block_type":"box","text":"Regulatory Commission and state agencies which have comparable jurisdiction. Strict scrutiny might result in higher","page_number":116,"box":{"x":70,"y":680,"width":826,"height":11}},{"id":"f0cd840f-fe24-42d7-bcb4-78e71756f7f9","block_type":"box","text":"operating costs and higher capital expenditures, with the risk that the regulators may disallow inclusion of these","page_number":116,"box":{"x":69,"y":695,"width":800,"height":11}},{"id":"7a6eb6c9-cf25-4ae0-bf3c-b21c01dd3d7f","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":116,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"6432a477-1eb7-4b69-86c4-5697a805a7c9","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":116,"box":{"x":68,"y":725,"width":826,"height":11}},{"id":"eee045da-4c1a-49be-b802-7470c4dc43b1","block_type":"box","text":"and for decommissioning such plants.","page_number":116,"box":{"x":69,"y":740,"width":270,"height":11}},{"id":"72992f58-6b9e-4fc7-93c3-5e32d6622cd2","block_type":"box","text":"The rating agencies look closely at the business profile of utilities. Ratings for companies are expected to be","page_number":116,"box":{"x":101,"y":763,"width":776,"height":11}},{"id":"73593899-d88f-4af5-aef4-3c594e7e1271","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":116,"box":{"x":70,"y":778,"width":802,"height":11}},{"id":"1bfb1c95-4f2c-4638-bb47-446a990388e3","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":116,"box":{"x":69,"y":793,"width":791,"height":11}},{"id":"3b9d8970-33ec-4b97-90ab-08ab1d84ac0a","block_type":"box","text":"competitive and the least regulated. On the other hand, companies that focus on transmission and distribution, which","page_number":116,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"f09685f9-49c7-4b2b-9e86-4a94a932bfe9","block_type":"box","text":"is expected to be the least competitive and the more regulated part of the business, may see higher ratings given the","page_number":116,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"bf2fb6a5-329e-4bbf-a912-1a4eaee49d35","block_type":"box","text":"greater predictability of cash flow.","page_number":116,"box":{"x":68,"y":838,"width":239,"height":12}},{"id":"ee74ea94-7151-4759-97f4-ef5191fd8847","block_type":"box","text":"A number of states are considering or have enacted deregulation proposals. The introduction of competition into","page_number":116,"box":{"x":101,"y":861,"width":801,"height":11}},{"id":"cdb34576-025b-40b2-941c-a9339c34ef45","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":116,"box":{"x":68,"y":876,"width":821,"height":11}},{"id":"d8127641-5716-4e89-8be7-584a8e5fc79d","block_type":"box","text":"default risk, and lower electric utility security prices. Such increased competition may also cause long-term contracts,","page_number":116,"box":{"x":69,"y":891,"width":835,"height":12}},{"id":"0736f34a-93b5-41f4-ac7a-5e6f5895f8ed","block_type":"box","text":"which electric utilities previously entered into to buy power, to become “stranded assets” which have no economic","page_number":116,"box":{"x":68,"y":907,"width":815,"height":11}},{"id":"c951b5aa-6a40-4c16-9d3b-79fba285289d","block_type":"box","text":"II-78","page_number":116,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a6f4c9e2-a7f3-4197-929d-3e0fb0dd2ee2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":116,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3732deb6-ddd1-493f-822b-579f477b2f6b","block_type":"box","text":"value. Any loss associated with such contracts must be absorbed by ratepayers and investors. In addition, some","page_number":117,"box":{"x":68,"y":45,"width":803,"height":11}},{"id":"2bc43c4d-7b55-4032-9a7f-472ba703bf8e","block_type":"box","text":"electric utilities have acquired electric utilities overseas to diversify, enhance earnings and gain experience in","page_number":117,"box":{"x":69,"y":60,"width":777,"height":11}},{"id":"6669f621-8d40-4867-8828-1a9553bf98ec","block_type":"box","text":"operating in a deregulated environment. In some instances, such acquisitions have involved significant borrowings,","page_number":117,"box":{"x":69,"y":75,"width":819,"height":11}},{"id":"31d5c99f-ab07-45b1-848b-303651b94056","block_type":"box","text":"which have burdened the acquirer’s balance sheet. There is no assurance that current deregulation proposals will be","page_number":117,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"3df2bb3b-730f-4d57-9224-ccaa3ab74c72","block_type":"box","text":"adopted. However, deregulation in any form could significantly impact the electric utilities industry.","page_number":117,"box":{"x":69,"y":105,"width":700,"height":11}},{"id":"934a9cb2-12dc-4731-a509-8667c3c8e5e4","block_type":"box","text":"Telecommunications.","page_number":117,"box":{"x":103,"y":128,"width":147,"height":9}},{"id":"c2b844e9-4be6-4116-b2d4-7c13dd0b4952","block_type":"box","text":"The telecommunications industry today includes both traditional telephone companies, with","page_number":117,"box":{"x":256,"y":128,"width":652,"height":11}},{"id":"11118384-82e4-4529-ba0f-64efeb71362c","block_type":"box","text":"a history of broad market coverage and highly regulated businesses, and cable companies, which began as small,","page_number":117,"box":{"x":69,"y":143,"width":813,"height":11}},{"id":"854d0a19-60fc-4960-8193-6aa43788611c","block_type":"box","text":"lightly regulated businesses focused on limited markets. Today these two historically different businesses are","page_number":117,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"743fa4f2-8780-4ef2-b58c-c2da051b5a08","block_type":"box","text":"converging in an industry that is trending toward larger, competitive national and international markets with an","page_number":117,"box":{"x":69,"y":173,"width":786,"height":11}},{"id":"1cc79859-3366-45a8-b07c-b63312348942","block_type":"box","text":"emphasis on deregulation. Companies that distribute telephone services and provide access to the telephone","page_number":117,"box":{"x":69,"y":188,"width":784,"height":12}},{"id":"0d5b729f-ac35-45ff-8775-0de39793026b","block_type":"box","text":"networks still comprise the greatest portion of this segment, but non-regulated activities such as wireless telephone","page_number":117,"box":{"x":69,"y":203,"width":830,"height":12}},{"id":"feee6394-c858-4a06-9b12-032bbbae9ca5","block_type":"box","text":"services, paging, data transmission and processing, equipment retailing, computer software and hardware and","page_number":117,"box":{"x":69,"y":218,"width":790,"height":12}},{"id":"9b865544-8446-4a40-9cd6-d7db5289b302","block_type":"box","text":"internet services are becoming increasingly significant components as well. In particular, wireless and internet","page_number":117,"box":{"x":70,"y":234,"width":788,"height":11}},{"id":"f6a27785-f012-40ff-99d4-aa2661cfacbc","block_type":"box","text":"telephone services continue to gain market share at the expense of traditional telephone companies. The presence","page_number":117,"box":{"x":68,"y":249,"width":825,"height":11}},{"id":"0b8a37c8-376b-4dbc-b844-706093f4f2f0","block_type":"box","text":"of unregulated companies in this industry and the entry of traditional telephone companies into unregulated or less","page_number":117,"box":{"x":69,"y":264,"width":823,"height":11}},{"id":"169e7175-a458-41fc-a92b-159df33d67b3","block_type":"box","text":"regulated businesses provide significant investment opportunities with companies that may increase their earnings","page_number":117,"box":{"x":69,"y":279,"width":821,"height":11}},{"id":"8d87c448-2f66-4010-aad3-71fc8457eee8","block_type":"box","text":"at faster rates than had been allowed in traditional regulated businesses. Still, increasing competition, technological","page_number":117,"box":{"x":69,"y":294,"width":830,"height":11}},{"id":"ddafb25f-460c-4ed4-95de-65cdcea0cca5","block_type":"box","text":"innovations and other structural changes could adversely affect the profitability of such utilities and the growth rate","page_number":117,"box":{"x":70,"y":309,"width":821,"height":11}},{"id":"120ce809-d417-4bc5-a3e3-9b740855c3c7","block_type":"box","text":"of their dividends. Given mergers and proposed legislation and enforcement changes, it is likely that both traditional","page_number":117,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"e99d65e6-3543-4e65-bfb5-7f755e05cb8e","block_type":"box","text":"telephone companies and cable companies will continue to provide an expanding range of utility services to both","page_number":117,"box":{"x":68,"y":339,"width":804,"height":12}},{"id":"3929dd47-30fd-4dee-bf78-8a4eb23ee2e8","block_type":"box","text":"residential, corporate and governmental customers.","page_number":117,"box":{"x":69,"y":355,"width":367,"height":11}},{"id":"cf371a5e-9f59-43a7-b910-76bb4eaaf9db","block_type":"box","text":"Gas.","page_number":117,"box":{"x":102,"y":377,"width":31,"height":9}},{"id":"62d0d54e-12a5-4434-bcea-d886189a3ffc","block_type":"box","text":"Gas transmission companies and gas distribution companies are undergoing significant changes. In the","page_number":117,"box":{"x":139,"y":377,"width":740,"height":12}},{"id":"02d86e04-e222-4681-9451-37152d4347e7","block_type":"box","text":"United States, interstate transmission companies are regulated by the Federal Energy Regulatory Commission, which","page_number":117,"box":{"x":70,"y":392,"width":834,"height":12}},{"id":"220372f1-c292-4989-961c-560cc5c034bf","block_type":"box","text":"is reducing its regulation of the industry. Many companies have diversified into oil and gas exploration and","page_number":117,"box":{"x":70,"y":407,"width":756,"height":12}},{"id":"64c35efc-cdcf-4a72-aa1c-29db230f3c46","block_type":"box","text":"development, making returns more sensitive to energy prices. In the recent decade, gas utility companies have been","page_number":117,"box":{"x":69,"y":423,"width":831,"height":11}},{"id":"17ca5471-145d-4659-a51c-cc55090680aa","block_type":"box","text":"adversely affected by disruptions in the oil industry and have also been affected by increased concentration and","page_number":117,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"694d0b7c-1c43-4700-91d1-9f090bbd8f39","block_type":"box","text":"competition. In the opinion of the Manager, however, environmental considerations could improve the gas industry","page_number":117,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"bbe1a56d-a0d8-41ec-930c-ff66ca205cb0","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":117,"box":{"x":69,"y":468,"width":782,"height":11}},{"id":"c5282733-a7d1-46f4-916c-e04a72ca77fb","block_type":"box","text":"incremental shifts in fuel consumption toward natural gas and away from oil and coal, even for electricity generation.","page_number":117,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"0fd4cc8d-878d-4ae4-aa66-88bb51ff4ca8","block_type":"box","text":"However, technological or regulatory changes within the industry may delay or prevent this result.","page_number":117,"box":{"x":70,"y":498,"width":691,"height":11}},{"id":"5c8878d4-ea08-48b4-a92c-fbaba99657f0","block_type":"box","text":"Water.","page_number":117,"box":{"x":103,"y":521,"width":42,"height":9}},{"id":"94e497e9-407f-469e-a959-cdb7fd3e83be","block_type":"box","text":"Water supply utilities are companies that collect, purify, distribute and sell water. In the United States and","page_number":117,"box":{"x":151,"y":521,"width":754,"height":11}},{"id":"777ac1df-7a8a-4622-8409-6dca3900d723","block_type":"box","text":"around the world the industry is highly fragmented because most of the supplies are owned by local authorities.","page_number":117,"box":{"x":69,"y":536,"width":796,"height":11}},{"id":"c2b37363-59a9-4b6c-bb27-3e56aeb8c21a","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":117,"box":{"x":69,"y":551,"width":806,"height":11}},{"id":"dd2e27e5-ff60-4462-ba7a-2bbe872c2c7b","block_type":"box","text":"opinion of the Manager, there may be opportunities for certain companies to acquire other water utility companies","page_number":117,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"0dc4bcb3-122e-41c3-b676-340d23271d54","block_type":"box","text":"and for foreign acquisition of domestic companies. The Manager believes that favorable investment opportunities","page_number":117,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"31d4d348-6673-4733-a9eb-5a9fa8bdcad8","block_type":"box","text":"may result from consolidation of this segment. As with other utilities, however, increased regulation, increased costs","page_number":117,"box":{"x":69,"y":596,"width":832,"height":12}},{"id":"cf6e6109-2d69-4688-b8ab-a44e2ffc598a","block_type":"box","text":"and potential disruptions in supply may adversely affect investments in water supply utilities.","page_number":117,"box":{"x":69,"y":612,"width":662,"height":11}},{"id":"a4576659-e879-4cdb-82cf-fa9744df6662","block_type":"box","text":"Utility Industries Generally.","page_number":117,"box":{"x":103,"y":634,"width":186,"height":11}},{"id":"e2011c1a-23af-4c32-9b89-88d9a66a697d","block_type":"box","text":"There can be no assurance that the positive developments noted above, including","page_number":117,"box":{"x":296,"y":634,"width":584,"height":12}},{"id":"2255365b-6c90-4fde-9913-a0ac9e397aac","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":117,"box":{"x":68,"y":649,"width":837,"height":12}},{"id":"2ed02bef-4b71-4fd0-aa68-f66f8f28fa65","block_type":"box","text":"not develop in the future.","page_number":117,"box":{"x":69,"y":664,"width":178,"height":11}},{"id":"ae26f989-026f-4394-b979-3d20bd5127fb","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments.","page_number":117,"box":{"x":103,"y":687,"width":585,"height":11}},{"id":"1147b517-3f68-4d29-baa9-6a4c27f9756b","block_type":"box","text":"A Fund may purchase or sell","page_number":117,"box":{"x":694,"y":687,"width":200,"height":11}},{"id":"67f0a128-b9f9-45e6-9375-d936bcbc5a78","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":117,"box":{"x":69,"y":703,"width":795,"height":10}},{"id":"41ddd024-b257-4a7c-a53e-222815934759","block_type":"box","text":"delayed delivery basis or through a forward commitment (including on a TBA (to be announced) basis). These","page_number":117,"box":{"x":69,"y":717,"width":777,"height":12}},{"id":"d5e85c2b-4a09-44e5-8ddc-663ff55fe48e","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":117,"box":{"x":68,"y":732,"width":820,"height":12}},{"id":"9eaf7ee0-20a0-4928-99f8-46d392599f0d","block_type":"box","text":"taking place in the future. The Fund enters into these transactions to obtain what is considered an advantageous","page_number":117,"box":{"x":68,"y":748,"width":807,"height":11}},{"id":"82cc11bf-0028-4777-a6bc-fc6f8a9a421b","block_type":"box","text":"price to the Fund at the time of entering into the transaction.","page_number":117,"box":{"x":70,"y":763,"width":430,"height":11}},{"id":"9d6fe5f5-20d3-4fbd-a256-3a20a1f27d37","block_type":"box","text":"Pursuant to recommendations of the Treasury Market Practices Group, which is sponsored by the Federal","page_number":117,"box":{"x":102,"y":785,"width":750,"height":12}},{"id":"81fe910d-34cc-4347-bd49-06c4edab93ed","block_type":"box","text":"Reserve Bank of New York, a Fund or its counterparty generally will be required to post collateral when entering into","page_number":117,"box":{"x":70,"y":801,"width":823,"height":11}},{"id":"c0f3ce37-e1dd-46d5-b9fb-a2e80860ea4a","block_type":"box","text":"certain forward-settling transactions, including without limitation TBA transactions. FINRA rules have also been","page_number":117,"box":{"x":69,"y":816,"width":788,"height":11}},{"id":"eb92c88e-8f2d-4033-b536-7d4ba28c32f1","block_type":"box","text":"implemented that include mandatory margin requirements for the TBA market with limited exceptions. The","page_number":117,"box":{"x":70,"y":831,"width":755,"height":11}},{"id":"a0176e9a-542e-4ff5-9111-bc7c7029a7ad","block_type":"box","text":"collateralization of TBA trades is intended to mitigate counterparty credit risk between trade and settlement, but","page_number":117,"box":{"x":69,"y":846,"width":799,"height":11}},{"id":"561af7e8-1282-41c4-b4e6-4705fb92496b","block_type":"box","text":"could increase the cost of TBA transactions and impose added operational complexity.","page_number":117,"box":{"x":69,"y":861,"width":614,"height":11}},{"id":"01006517-0bea-4f05-ae39-b14a3c9e97aa","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":117,"box":{"x":101,"y":884,"width":780,"height":11}},{"id":"1dee0ddf-48c7-4570-925e-fe620059e3c5","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":117,"box":{"x":70,"y":899,"width":823,"height":11}},{"id":"cf462f35-de84-4cb0-95cb-50461d167290","block_type":"box","text":"II-79","page_number":117,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3e49eacc-80e3-4d85-88e2-14cd6d351b48","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":117,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d6020f4e-26d5-44ee-9be0-a6fa50bd9880","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":118,"box":{"x":69,"y":45,"width":838,"height":11}},{"id":"70b491ad-c4d0-47a9-aebf-364106ff39da","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":118,"box":{"x":68,"y":60,"width":839,"height":11}},{"id":"d19571f3-b8af-4cf3-8415-f60215ef69c7","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":118,"box":{"x":70,"y":75,"width":824,"height":11}},{"id":"94a73c5a-63bd-4b9b-8439-0a70edf4e85c","block_type":"box","text":"If deemed advisable as a matter of investment strategy, a Fund may dispose of or renegotiate a commitment","page_number":118,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"6505fe90-aa06-45ea-b580-ce8ee6a5d707","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":118,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"2e3a8a45-866f-4a89-bc87-0d46d74eafc7","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":118,"box":{"x":69,"y":128,"width":799,"height":11}},{"id":"2945d0e9-af9c-4032-833e-00122a64f177","block_type":"box","text":"When a Fund engages in when-issued, TBA or forward commitment transactions, it relies on the other party to","page_number":118,"box":{"x":101,"y":150,"width":784,"height":12}},{"id":"b5a0174e-414c-4007-9a2f-29e0d1aa66c2","block_type":"box","text":"consummate the trade. Failure of such party to do so may result in the Fund’s incurring a loss or missing an","page_number":118,"box":{"x":69,"y":166,"width":772,"height":11}},{"id":"076866d0-3667-4857-83ec-bcc0883219e2","block_type":"box","text":"opportunity to obtain a price considered to be advantageous.","page_number":118,"box":{"x":69,"y":181,"width":434,"height":11}},{"id":"a3c2297d-05c9-4716-b908-c66e0cd220ec","block_type":"box","text":"The market value of the securities underlying a commitment to purchase securities, and any subsequent","page_number":118,"box":{"x":101,"y":203,"width":745,"height":12}},{"id":"01c165aa-bae6-4dc0-807b-44c42b895cfb","block_type":"box","text":"fluctuations in their market value, is taken into account when determining the market value of a Fund starting on the","page_number":118,"box":{"x":68,"y":218,"width":831,"height":12}},{"id":"84b20a8a-8997-41ae-9eca-b1d9507b44d3","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":118,"box":{"x":69,"y":234,"width":823,"height":11}},{"id":"6f3d95e5-ea4f-4be3-8f5a-85e83d2dd931","block_type":"box","text":"to purchase until they are paid for and delivered on the settlement date.","page_number":118,"box":{"x":68,"y":249,"width":514,"height":11}},{"id":"3c7cad07-35e6-478a-926b-4834a77c4b44","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":118,"box":{"x":102,"y":271,"width":759,"height":12}},{"id":"6b3525fc-1731-436f-b514-0e8da15a0cab","block_type":"box","text":"securities (","page_number":118,"box":{"x":69,"y":287,"width":78,"height":11}},{"id":"44ead04d-3ef1-4c35-aaba-e798e88b000f","block_type":"box","text":"e.g.","page_number":118,"box":{"x":148,"y":288,"width":25,"height":10}},{"id":"6d00f818-5ad2-4974-a3a6-f6a3cb74fde3","block_type":"box","text":", firm and standby commitments, including TBA commitments, and dollar rolls) and non-standard","page_number":118,"box":{"x":176,"y":286,"width":686,"height":12}},{"id":"07268a68-49d0-4309-84dc-6753eb75dbff","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":118,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"f3afde04-204d-4624-97f3-289ba3046efa","block_type":"box","text":"Investment Company Act, provided that the Fund intends to physically settle the transaction and the transaction will","page_number":118,"box":{"x":70,"y":317,"width":822,"height":11}},{"id":"e22a5fd3-00f3-435d-98ac-a62e6ca09264","block_type":"box","text":"settle within 35 days of its trade date (the “Delayed-Settlement Securities Provision”). If a when-issued, forward","page_number":118,"box":{"x":69,"y":332,"width":802,"height":11}},{"id":"65db9d29-f3f8-4010-b8af-0bf9b0b21ef8","block_type":"box","text":"settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities Provision, then","page_number":118,"box":{"x":69,"y":347,"width":826,"height":11}},{"id":"1c0321ff-883c-485f-bda5-c09cb71818ca","block_type":"box","text":"it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of Derivatives — Rule","page_number":118,"box":{"x":70,"y":362,"width":816,"height":11}},{"id":"661ffdec-ef9e-4a7f-8078-287635ea128c","block_type":"box","text":"18f-4 under the Investment Company Act” above.","page_number":118,"box":{"x":70,"y":377,"width":349,"height":11}},{"id":"ffa09b4b-d656-4e8c-9235-6369ab96abab","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":118,"box":{"x":102,"y":400,"width":800,"height":11}},{"id":"11559d09-439a-4d4a-b1f3-03929cafeef7","block_type":"box","text":"their affiliates to include in certain financial contracts, including many agreements with respect to when-issued, TBA","page_number":118,"box":{"x":68,"y":415,"width":829,"height":11}},{"id":"ac47ba56-2e04-4f09-a4d5-7c45cb740076","block_type":"box","text":"and forward commitment transactions, terms that delay or restrict the rights of counterparties, such as a Fund, to","page_number":118,"box":{"x":69,"y":430,"width":814,"height":11}},{"id":"235db690-6e2d-46bb-aad3-cfdc362b4cc2","block_type":"box","text":"terminate such agreements, foreclose upon collateral, exercise other default rights or restrict transfers of credit","page_number":118,"box":{"x":68,"y":445,"width":799,"height":12}},{"id":"5f94a751-ace7-4a54-8a3f-cab5902575a2","block_type":"box","text":"support in the event that the counterparty and/or its affiliates are subject to certain types of resolution or insolvency","page_number":118,"box":{"x":69,"y":460,"width":836,"height":12}},{"id":"a8338c48-e22d-42a0-81f3-9c6ed114f2b6","block_type":"box","text":"proceedings. It is possible that these requirements, as well as potential additional government regulation and other","page_number":118,"box":{"x":70,"y":476,"width":824,"height":11}},{"id":"49d3c990-7451-4b3d-ac70-d98098090b1c","block_type":"box","text":"developments in the market, could adversely affect a Fund’s ability to terminate existing agreements with respect to","page_number":118,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"001608c6-e69f-46d5-8f6a-af2c845dea4a","block_type":"box","text":"these transactions or to realize amounts to be received under such agreements.","page_number":118,"box":{"x":68,"y":506,"width":573,"height":11}},{"id":"9a047067-94fc-4dd4-95c8-05a358c83d8d","block_type":"box","text":"Yields and Ratings.","page_number":118,"box":{"x":103,"y":529,"width":139,"height":11}},{"id":"e3fd73ef-545f-4640-9d0c-3731088ca667","block_type":"box","text":"The yields on certain obligations are dependent on a variety of factors, including general","page_number":118,"box":{"x":247,"y":528,"width":628,"height":12}},{"id":"2c35e750-c158-4725-993d-3196f7c5d478","block_type":"box","text":"market conditions, conditions in the particular market for the obligation, the financial condition of the issuer, the size","page_number":118,"box":{"x":69,"y":543,"width":834,"height":12}},{"id":"fe4874e8-5f45-44f2-bab1-70d414d87a32","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":118,"box":{"x":69,"y":559,"width":799,"height":11}},{"id":"2de35dd0-9155-4769-ae2c-aacf261b09e0","block_type":"box","text":"represent their respective opinions as to the quality of the obligations they undertake to rate. Ratings, however, are","page_number":118,"box":{"x":69,"y":574,"width":824,"height":11}},{"id":"3db59cb1-2210-46b2-97da-c6295645b953","block_type":"box","text":"general and are not absolute standards of quality. Consequently, obligations with the same rating, maturity and","page_number":118,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"8c1aef7e-a36d-47a2-828b-1f1345ccc1b5","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":118,"box":{"x":70,"y":604,"width":827,"height":11}},{"id":"86ce5e4d-4784-4b97-94ef-930243688e9e","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":118,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"2f2176ea-6e0e-42b1-9f82-5968ac002030","block_type":"box","text":"continue to hold the security.","page_number":118,"box":{"x":69,"y":634,"width":204,"height":11}},{"id":"7c35631e-6d78-4cfc-9c73-4df31f4996e5","block_type":"box","text":"Zero Coupon Securities.","page_number":118,"box":{"x":102,"y":657,"width":175,"height":11}},{"id":"e71bbda6-96a5-485a-96f8-6e287e4b729d","block_type":"box","text":"Zero coupon securities are securities that are sold at a discount to par value and do","page_number":118,"box":{"x":283,"y":657,"width":601,"height":11}},{"id":"d7c79760-1cc2-43d6-b19e-9291c1d4c7e2","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":118,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"37abb23c-91eb-49b2-b602-886ee4f45447","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":118,"box":{"x":69,"y":687,"width":822,"height":11}},{"id":"d64830aa-ef55-49e9-bbf2-5b47d009c1ea","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":118,"box":{"x":68,"y":702,"width":814,"height":11}},{"id":"0a6c31d5-9b46-4ef7-8781-b419cdbfb0e3","block_type":"box","text":"security.","page_number":118,"box":{"x":69,"y":718,"width":57,"height":11}},{"id":"b051a177-c195-4455-b007-31da0d337fc8","block_type":"box","text":"While interest payments are not made on such securities, holders of such securities are deemed to have","page_number":118,"box":{"x":101,"y":740,"width":749,"height":11}},{"id":"5a847ebd-3168-4423-82e9-62814e36ccdb","block_type":"box","text":"received income (“phantom income”) annually, notwithstanding that cash may not be received currently. The effect of","page_number":118,"box":{"x":69,"y":755,"width":835,"height":11}},{"id":"d878d07b-e6eb-430a-a1af-a509840ae99d","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":118,"box":{"x":69,"y":770,"width":833,"height":12}},{"id":"fce624ab-e43e-4461-9e79-39695a74c8d0","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":118,"box":{"x":70,"y":785,"width":836,"height":12}},{"id":"11788ffc-bb63-409b-85bc-c56292610ef1","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":118,"box":{"x":69,"y":801,"width":804,"height":11}},{"id":"87bba7ca-5381-4e7b-8b96-596950c7da62","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":118,"box":{"x":68,"y":816,"width":824,"height":11}},{"id":"b77f65d2-2f35-46c6-b533-0ac8f3162e2b","block_type":"box","text":"future. For this reason, some of these securities may be subject to substantially greater price fluctuations during","page_number":118,"box":{"x":68,"y":831,"width":805,"height":11}},{"id":"993316ba-e74e-4df1-b423-7b3ddd81ae04","block_type":"box","text":"periods of changing market interest rates than are comparable securities that pay interest currently. Longer term zero","page_number":118,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"0749cdf5-a170-4f7b-bf1e-5fffe8e209eb","block_type":"box","text":"coupon bonds are more exposed to interest rate risk than shorter term zero coupon bonds. These investments","page_number":118,"box":{"x":69,"y":861,"width":791,"height":11}},{"id":"5d965f11-1291-4640-8623-dc00dae4bf46","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":118,"box":{"x":69,"y":876,"width":800,"height":11}},{"id":"16b5bcb3-c8e5-479f-99d3-a4f993a5aca6","block_type":"box","text":"attract investors who are willing to defer receipt of cash.","page_number":118,"box":{"x":69,"y":891,"width":400,"height":12}},{"id":"95bfe6e8-7823-4ab8-b172-34d9b2b28d26","block_type":"box","text":"II-80","page_number":118,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"34763f62-e83a-4704-8efa-c5366aa977a3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":118,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8d19d47d-0e6b-4695-bef3-f6e95dcae250","block_type":"box","text":"A Fund accrues income with respect to these securities for U.S. federal income tax and accounting purposes","page_number":119,"box":{"x":101,"y":45,"width":775,"height":11}},{"id":"bd1b6180-14c1-4335-a7d7-36083ba86321","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":119,"box":{"x":70,"y":60,"width":827,"height":11}},{"id":"d266e196-42c1-4402-bff9-f4584d8cd47a","block_type":"box","text":"liquidity in the event of adverse market conditions than comparably rated securities that pay cash interest at regular","page_number":119,"box":{"x":70,"y":75,"width":826,"height":11}},{"id":"64faca1c-9a5a-4526-b941-eb47cd2d417d","block_type":"box","text":"intervals.","page_number":119,"box":{"x":70,"y":90,"width":64,"height":9}},{"id":"3663566c-b2bb-4c77-b975-c8d6e867e413","block_type":"box","text":"Further, to maintain its qualification for pass-through treatment under the U.S. federal tax laws, a Fund is","page_number":119,"box":{"x":102,"y":113,"width":749,"height":11}},{"id":"aa2aba9c-47f6-447a-9814-e507fd4f0aec","block_type":"box","text":"required to distribute income to its shareholders and, consequently, may have to dispose of other, more liquid","page_number":119,"box":{"x":69,"y":128,"width":784,"height":11}},{"id":"b3c44282-5ad1-4700-81b2-c6b790e24e56","block_type":"box","text":"portfolio securities under disadvantageous circumstances or may have to leverage itself by borrowing in order to","page_number":119,"box":{"x":70,"y":143,"width":799,"height":11}},{"id":"68ef8561-a426-48dc-8acd-24c04a31177a","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":119,"box":{"x":68,"y":158,"width":799,"height":11}},{"id":"ec2772aa-d8f7-4e9e-a5a2-541fc14ba06a","block_type":"box","text":"exposure to zero coupon securities.","page_number":119,"box":{"x":69,"y":173,"width":253,"height":11}},{"id":"59a35681-ab5d-4ff5-87e9-476cdf0d3a3d","block_type":"box","text":"In addition to the above-described risks, there are certain other risks related to investing in zero coupon","page_number":119,"box":{"x":102,"y":196,"width":740,"height":11}},{"id":"06d8c922-7e07-4f69-b93f-2b31c0257d70","block_type":"box","text":"securities. During a period of severe market conditions, the market for such securities may become even less liquid.","page_number":119,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"e1b973d8-94ca-47e2-83c2-d79a3a23a12a","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":119,"box":{"x":70,"y":226,"width":829,"height":11}},{"id":"e4d176d1-16f2-49bf-9fa3-f3349aa3e61c","block_type":"box","text":"risks, including credit risk, will increase during the time these securities are held in the Fund’s portfolio.","page_number":119,"box":{"x":69,"y":241,"width":741,"height":11}},{"id":"1c18fe30-8997-42f7-b832-479c3366089e","block_type":"box","text":"Suitability. (All Funds)","page_number":119,"box":{"x":101,"y":264,"width":161,"height":11}},{"id":"b68be17d-5488-4fd3-a706-8a618aa08ae7","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":119,"box":{"x":101,"y":286,"width":793,"height":12}},{"id":"d760d09e-0356-4570-a154-fa7fb48ca8c6","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":119,"box":{"x":68,"y":302,"width":811,"height":11}},{"id":"1f981a29-587f-46da-ba39-a91a5d1b6d15","block_type":"box","text":"investment program. The suitability for any particular investor of a purchase of shares in a Fund will depend upon,","page_number":119,"box":{"x":70,"y":317,"width":810,"height":11}},{"id":"45627bbe-445c-4a1d-a196-131b16eabb23","block_type":"box","text":"among other things, such investor’s investment objectives and such investor’s ability to accept the risks associated","page_number":119,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"c6a8da4a-981c-4bce-9e55-d3a6b6e5edbb","block_type":"box","text":"with investing in securities, including the risk of loss of principal.","page_number":119,"box":{"x":68,"y":347,"width":460,"height":11}},{"id":"4ba09942-0524-434e-8ffd-c05576703099","block_type":"box","text":"Investment Restrictions. (All Funds)","page_number":119,"box":{"x":102,"y":370,"width":264,"height":11}},{"id":"fa4913f4-8b75-430d-9f52-4243973b406f","block_type":"box","text":"See “Investment Restrictions” or “Investment Policies,” as applicable in each Fund’s SAI for the specific","page_number":119,"box":{"x":102,"y":392,"width":745,"height":11}},{"id":"b6e499dc-094a-4a29-8235-2b0a4fbabaa9","block_type":"box","text":"fundamental and non-fundamental investment restrictions adopted by each Fund. In addition to those investment","page_number":119,"box":{"x":68,"y":407,"width":807,"height":12}},{"id":"00e1f7b7-53e7-4a4f-8799-192b8a1cd897","block_type":"box","text":"restrictions, each Fund is also subject to the restrictions discussed below.","page_number":119,"box":{"x":69,"y":423,"width":528,"height":11}},{"id":"7a4e07fb-986d-44d9-b775-2960574f1bd6","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":119,"box":{"x":102,"y":445,"width":735,"height":12}},{"id":"5691d37b-f1f1-422e-8016-d3e4edf1947e","block_type":"box","text":"company” for purposes of the Code. See “Dividends and Taxes — Taxes” or “Taxes.” To qualify, among other","page_number":119,"box":{"x":69,"y":460,"width":775,"height":12}},{"id":"8754eb26-d932-43cc-ab8d-52d984cc372d","block_type":"box","text":"requirements, each Fund will limit its investments so that, at the close of each quarter of the taxable year, (i) at least","page_number":119,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"0a357ddc-c1f7-40bf-aee4-2468f4b9da70","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":119,"box":{"x":69,"y":491,"width":799,"height":11}},{"id":"231f72d1-737a-44b6-843c-bd8cdd30a4c8","block_type":"box","text":"companies, U.S. Government Securities and other securities, with such other securities limited, in respect of any one","page_number":119,"box":{"x":69,"y":506,"width":837,"height":11}},{"id":"cb36551f-c17d-4f85-94e2-0daef09b6ac1","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":119,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"3c7b61a6-29c2-4f69-b50b-5b8919999d6d","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":119,"box":{"x":68,"y":536,"width":802,"height":11}},{"id":"786378ca-9e63-4631-bd8d-c93f6fed8789","block_type":"box","text":"(other than U.S. Government Securities or securities of other regulated investment companies) of any one issuer, any","page_number":119,"box":{"x":69,"y":551,"width":837,"height":11}},{"id":"80ab2ba7-d1c2-4dfe-a3b7-c8f5605fcb5a","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":119,"box":{"x":68,"y":566,"width":819,"height":11}},{"id":"f08dbd43-775e-4e0a-b514-3e14081f4f9e","block_type":"box","text":"businesses or related trades or businesses or in the securities of one or more qualified publicly traded partnerships","page_number":119,"box":{"x":69,"y":581,"width":828,"height":11}},{"id":"d70137bf-0e28-4e8e-bf99-75d26249691d","block_type":"box","text":"(","page_number":119,"box":{"x":69,"y":597,"width":3,"height":10}},{"id":"327187f8-4234-4fe1-a8d6-24ffc8b23cd3","block_type":"box","text":"i.e.","page_number":119,"box":{"x":74,"y":597,"width":21,"height":8}},{"id":"bbd2d7cb-86e0-4ed3-98e0-d727573ccad1","block_type":"box","text":", partnerships that are traded on an established securities market or tradable on a secondary market, other than","page_number":119,"box":{"x":97,"y":597,"width":806,"height":11}},{"id":"bc5bf016-2556-4d18-a1ff-9f4d0ccf45bd","block_type":"box","text":"partnerships that derive 90% of their income from interest, dividends, capital gains and other traditionally permitted","page_number":119,"box":{"x":70,"y":612,"width":824,"height":11}},{"id":"92d5e836-ff27-4693-8085-dba75d0941bf","block_type":"box","text":"mutual fund income). For purposes of this restriction, the Municipal Funds generally will regard each state and each","page_number":119,"box":{"x":69,"y":627,"width":824,"height":11}},{"id":"e6298110-daee-4e88-b638-c273949cfb2c","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":119,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"13d678df-3fe0-46af-ade8-5ae39d79e564","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":119,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"779f7ff7-77bb-483e-9073-4319b1fc8110","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":119,"box":{"x":69,"y":672,"width":781,"height":11}},{"id":"411b532a-e0a6-4a09-91a0-297770b3566e","block_type":"box","text":"government entity, then the entity with the ultimate responsibility for the payment of interest and principal may be","page_number":119,"box":{"x":68,"y":687,"width":810,"height":11}},{"id":"beb56970-12cd-4a9c-92fb-eeaeecada585","block_type":"box","text":"regarded as the sole issuer.","page_number":119,"box":{"x":69,"y":703,"width":198,"height":11}},{"id":"69ff4381-f415-46d3-beac-4469e0527b57","block_type":"box","text":"Foreign government securities (unlike U.S. Government Securities) are not exempt from the 5%, 10% and 25%","page_number":119,"box":{"x":102,"y":725,"width":784,"height":11}},{"id":"6365265d-0036-468e-b746-4691d5c4691c","block_type":"box","text":"diversification requirements of the Code discussed above and the securities of each foreign government issuer are","page_number":119,"box":{"x":69,"y":740,"width":819,"height":11}},{"id":"8b3f0c55-5774-4653-8a99-92e5a54f2116","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":119,"box":{"x":69,"y":755,"width":811,"height":11}},{"id":"b961bf58-8bf9-4097-9600-20e97943007c","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":119,"box":{"x":70,"y":770,"width":747,"height":12}},{"id":"28fa7aa9-7d6c-4f00-93e5-4a1532e9cdca","block_type":"box","text":"“diversified” under the Investment Company Act must satisfy the foregoing 5% and 10% requirements with respect to","page_number":119,"box":{"x":70,"y":785,"width":834,"height":12}},{"id":"b015a653-684c-4dba-a31c-fe9b0e84392b","block_type":"box","text":"75% of its total assets.","page_number":119,"box":{"x":69,"y":801,"width":165,"height":9}},{"id":"6927d1ec-f661-4a32-8db9-4cd1809ed5e5","block_type":"box","text":"II-81","page_number":119,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"778d1dbb-996b-4a54-8b56-05c7ed8922c1","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":119,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c27c9fc7-04a7-474c-9c2c-bc262a372a17","block_type":"box","text":"MANAGEMENT AND OTHER SERVICE ARRANGEMENTS","page_number":120,"box":{"x":268,"y":45,"width":442,"height":10}},{"id":"dd12fc2f-253e-459a-b941-8904add79b74","block_type":"box","text":"Directors and Officers","page_number":120,"box":{"x":69,"y":76,"width":159,"height":8}},{"id":"1490356b-4613-40e1-bd75-943cba5fd107","block_type":"box","text":"See “Information on Directors and Officers, ‘—Biographical Information,’ ‘— Share Ownership’ and ‘—","page_number":120,"box":{"x":102,"y":98,"width":733,"height":11}},{"id":"4923725f-e3e4-49d9-b3f9-b9a14c336412","block_type":"box","text":"Compensation of Directors’” or “Information on Trustees and Officers, ‘—Biographical Information,’ ‘— Share","page_number":120,"box":{"x":69,"y":113,"width":783,"height":12}},{"id":"7d087764-9056-470c-a8cd-0a9d5b642c5d","block_type":"box","text":"Ownership’ and ‘— Compensation of Trustees’,” as applicable, in Part I of each Fund’s SAI for biographical and","page_number":120,"box":{"x":69,"y":128,"width":795,"height":12}},{"id":"dd2731b8-9d23-428b-8ac3-dda53807e93d","block_type":"box","text":"certain other information relating to the Directors and officers of your Fund, including Directors’ compensation.","page_number":120,"box":{"x":69,"y":143,"width":789,"height":12}},{"id":"bb5faef9-9b20-4fd0-9303-954f43b7cde6","block_type":"box","text":"Management Arrangements","page_number":120,"box":{"x":69,"y":174,"width":202,"height":11}},{"id":"571926ea-134e-42f4-bb0f-9ae577bddd13","block_type":"box","text":"Management Services.","page_number":120,"box":{"x":102,"y":197,"width":162,"height":11}},{"id":"f4588062-aeb5-4d6c-b9f8-629f91c06ddc","block_type":"box","text":"The Manager provides each Fund with investment advisory and management services.","page_number":120,"box":{"x":270,"y":197,"width":615,"height":11}},{"id":"ce53fbab-a861-4827-a782-acc7ea99a90e","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":120,"box":{"x":69,"y":212,"width":836,"height":11}},{"id":"72fbe6c8-2775-4082-b9cc-6297b44bdfa4","block_type":"box","text":"portfolio and reviews the Fund’s holdings in light of its own research analysis and that from other relevant sources.","page_number":120,"box":{"x":70,"y":227,"width":820,"height":11}},{"id":"991e59e8-c393-4d9f-892b-57066c5238e6","block_type":"box","text":"The responsibility for making decisions to buy, sell or hold a particular security rests with the Manager. The Manager","page_number":120,"box":{"x":68,"y":242,"width":832,"height":11}},{"id":"a7bfbea7-4ebe-464e-867f-b0a76523900d","block_type":"box","text":"performs certain of the other administrative services and provides all the office space, facilities, equipment and","page_number":120,"box":{"x":70,"y":257,"width":801,"height":11}},{"id":"828d9cd4-348e-4121-be45-94d8b216b5d9","block_type":"box","text":"necessary personnel for management of each Fund.","page_number":120,"box":{"x":69,"y":272,"width":370,"height":11}},{"id":"e56614df-5021-4a72-b388-497730b86c5c","block_type":"box","text":"Each Feeder Fund invests all or a portion of its assets in shares of a Master Portfolio. To the extent a Feeder","page_number":120,"box":{"x":102,"y":295,"width":778,"height":11}},{"id":"d7ef5b38-088c-4a40-80ac-fee0905d055d","block_type":"box","text":"Fund invests all of its assets in a Master Portfolio, it does not invest directly in portfolio securities and does not","page_number":120,"box":{"x":70,"y":310,"width":800,"height":11}},{"id":"6b7842ca-9bff-4939-be1e-eff469d16273","block_type":"box","text":"require management services. For such Feeder Funds, portfolio management occurs at the Master Portfolio level.","page_number":120,"box":{"x":69,"y":325,"width":810,"height":11}},{"id":"b0c3b35d-3b79-43a5-8471-fd5ee4b858e9","block_type":"box","text":"Management Fee.","page_number":120,"box":{"x":102,"y":348,"width":126,"height":11}},{"id":"4646d819-9be0-431f-838b-b66840040e2f","block_type":"box","text":"Each Fund has entered into a Management Agreement with the Manager pursuant to which","page_number":120,"box":{"x":235,"y":348,"width":646,"height":11}},{"id":"b54a12af-a2d5-4403-8ee8-91247ca5e2b7","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":120,"box":{"x":68,"y":363,"width":841,"height":11}},{"id":"bd13402e-e86e-4720-bab5-f47083718523","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":120,"box":{"x":69,"y":378,"width":833,"height":11}},{"id":"5e78af21-d213-414c-8474-7aa1d8481bb4","block_type":"box","text":"fiscal years or other applicable periods, see “Management, Advisory and Other Service Arrangements —","page_number":120,"box":{"x":68,"y":393,"width":746,"height":11}},{"id":"afd77cd4-7a55-4de5-b070-2a2534d51086","block_type":"box","text":"Management Agreement” or “Management and Advisory Arrangements,” as applicable, in Part I of each Fund’s SAI.","page_number":120,"box":{"x":70,"y":408,"width":825,"height":11}},{"id":"c8717ee2-7f09-48aa-9e90-a284b28320dd","block_type":"box","text":"For Funds that do not have an administrator, each Management Agreement obligates the Manager to provide","page_number":120,"box":{"x":102,"y":431,"width":774,"height":11}},{"id":"79a47764-7506-4f3e-b0dc-a855e469187e","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":120,"box":{"x":69,"y":446,"width":826,"height":11}},{"id":"34c22244-f15b-4380-a40c-bf5dffa2fd32","block_type":"box","text":"in connection with investment and economic research, trading and investment management of the Fund, as well as","page_number":120,"box":{"x":70,"y":461,"width":820,"height":11}},{"id":"7cff590d-529d-4869-a7f6-54f43e0598ad","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":120,"box":{"x":68,"y":476,"width":797,"height":11}},{"id":"ee0bfacc-e2c6-483a-b144-c32f90552d16","block_type":"box","text":"incurred in the operation of that Fund, including among other things: taxes; expenses for legal and auditing services;","page_number":120,"box":{"x":70,"y":491,"width":830,"height":12}},{"id":"b1208564-70bd-4ba7-9562-4df47572f63f","block_type":"box","text":"costs of preparing, printing and mailing proxies, shareholder reports, prospectuses and statements of additional","page_number":120,"box":{"x":69,"y":506,"width":802,"height":12}},{"id":"373bce0b-5192-4eff-8113-643c3a45c848","block_type":"box","text":"information, except to the extent paid by BlackRock Investments, LLC (“BRIL” or the “Distributor”); charges of the","page_number":120,"box":{"x":70,"y":521,"width":809,"height":12}},{"id":"b54ac7ab-7812-4a72-9f80-42b10837dee7","block_type":"box","text":"custodian and sub-custodian, and the transfer agent; expenses of redemption of shares; Commission fees; expenses","page_number":120,"box":{"x":69,"y":537,"width":838,"height":11}},{"id":"bbd8ae02-c153-4390-824b-8bf61d7e38fe","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":120,"box":{"x":69,"y":552,"width":830,"height":11}},{"id":"e3219688-f198-441a-9c0b-2c710f08f336","block_type":"box","text":"persons of a Fund as defined in the Investment Company Act; accounting and pricing costs (including the daily","page_number":120,"box":{"x":70,"y":567,"width":784,"height":11}},{"id":"fa61b06b-4843-442c-b229-c325e508a01b","block_type":"box","text":"calculations of NAV); insurance; interest; brokerage costs; litigation and other extraordinary or non-recurring","page_number":120,"box":{"x":69,"y":582,"width":767,"height":11}},{"id":"a05da49d-d0e4-40f7-b9ac-b0843bfcf5d2","block_type":"box","text":"expenses; and other expenses properly payable by the Fund. Certain accounting services are provided to each Fund","page_number":120,"box":{"x":69,"y":597,"width":825,"height":11}},{"id":"ff50e180-5941-4e38-89f3-f5808f4c894c","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":120,"box":{"x":69,"y":612,"width":827,"height":11}},{"id":"c178d5be-09de-4a60-b549-b5ae61bbf8f4","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":120,"box":{"x":69,"y":627,"width":814,"height":12}},{"id":"f75d9807-6bf8-4615-b0cd-ba4b0bafe194","block_type":"box","text":"each Fund. Each Fund pays a fee for these services. The Distributor pays certain promotional expenses of the Funds","page_number":120,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"874e8d82-a2de-4809-90c6-afa0475c90dc","block_type":"box","text":"incurred in connection with the offering of shares of the Funds. Certain expenses are financed by each Fund pursuant","page_number":120,"box":{"x":70,"y":658,"width":839,"height":11}},{"id":"77cf84ce-b192-4123-99d6-16917ca8e145","block_type":"box","text":"to distribution plans in compliance with Rule 12b-1 under the Investment Company Act. See “Purchase of Shares —","page_number":120,"box":{"x":68,"y":673,"width":828,"height":11}},{"id":"ae35df12-c772-4334-99bd-1819cfd0e695","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans.”","page_number":120,"box":{"x":70,"y":688,"width":350,"height":11}},{"id":"0c8ca166-d639-49d3-ac61-b14c8072a330","block_type":"box","text":"Sub-Advisory Fee.","page_number":120,"box":{"x":102,"y":711,"width":124,"height":11}},{"id":"c4d3d167-b3df-4f45-8e46-d781974ed979","block_type":"box","text":"The Manager of certain Funds has entered into one or more sub-advisory agreements (the","page_number":120,"box":{"x":232,"y":710,"width":643,"height":12}},{"id":"7be38c9d-1760-4546-a04a-2b92a39f3aca","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":120,"box":{"x":70,"y":726,"width":839,"height":11}},{"id":"e08c6011-17b8-404e-ae1f-fdcc9b7a1c79","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":120,"box":{"x":68,"y":741,"width":830,"height":11}},{"id":"74083e53-a33e-4554-b0d8-b4cee17b9212","block_type":"box","text":"Organization of the Manager.","page_number":120,"box":{"x":102,"y":763,"width":204,"height":12}},{"id":"719c6edf-907b-4d95-95ec-652a00076aca","block_type":"box","text":"BlackRock Advisors, LLC is a Delaware limited liability company and BlackRock","page_number":120,"box":{"x":313,"y":763,"width":560,"height":12}},{"id":"b6c5d016-9ae8-4403-a83b-82c2bb59be8c","block_type":"box","text":"Fund Advisors is a California corporation. Each Manager is an indirect, majority-owned subsidiary of BlackRock, Inc.","page_number":120,"box":{"x":70,"y":778,"width":819,"height":12}},{"id":"8f5aa5c6-34f1-4e85-8fa0-951d3dce5f80","block_type":"box","text":"BlackRock, Inc., through its subsidiaries and divisions, provides (i) investment management services to individuals","page_number":120,"box":{"x":70,"y":794,"width":817,"height":11}},{"id":"c61459b3-5c3a-4ac8-9ef7-9a641ee99999","block_type":"box","text":"and institutional investors through separate account management, non-discretionary advisory programs and","page_number":120,"box":{"x":69,"y":809,"width":768,"height":11}},{"id":"1d1fe7ad-bcb2-45ad-b9ef-1881ba279213","block_type":"box","text":"commingled investment vehicles; (ii) risk management services, investment accounting and trade processing tools;","page_number":120,"box":{"x":69,"y":824,"width":821,"height":11}},{"id":"fd2eed0c-17a9-4cf3-a76f-34aa15c3a047","block_type":"box","text":"(iii) transition management services, and (iv) securities lending services.","page_number":120,"box":{"x":69,"y":839,"width":517,"height":11}},{"id":"94d32ee2-c616-45b7-8110-bbb95db11ec9","block_type":"box","text":"Duration and Termination.","page_number":120,"box":{"x":102,"y":862,"width":182,"height":9}},{"id":"9f4fc30e-95fe-4b02-85e4-e9c980cd4aeb","block_type":"box","text":"Unless earlier terminated as described below, each Management Agreement and each","page_number":120,"box":{"x":292,"y":862,"width":613,"height":11}},{"id":"e1e07944-68f5-48b5-b03d-50e39d17f2bb","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":120,"box":{"x":69,"y":877,"width":835,"height":11}},{"id":"b85d92c9-193d-42f3-8df9-1386eba4e482","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":120,"box":{"x":69,"y":892,"width":803,"height":11}},{"id":"aabf427d-6050-4e23-91e1-0a3b4408a3ad","block_type":"box","text":"(b) by a majority of the Directors of the Fund who are not parties to such agreement or interested persons (as defined","page_number":120,"box":{"x":69,"y":907,"width":839,"height":11}},{"id":"c4e30175-58a2-4bfb-999c-03902559ef77","block_type":"box","text":"II-82","page_number":120,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1f516bc1-c606-41c6-ac35-24695017b59d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":120,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"99420a9b-b1a0-4b54-ac89-4d60831d1306","block_type":"box","text":"in the Investment Company Act) of any such party. Each Management Agreement automatically terminates on","page_number":121,"box":{"x":70,"y":45,"width":778,"height":11}},{"id":"5b0eae50-0ac5-4660-be49-65f337103d85","block_type":"box","text":"assignment and may be terminated without penalty on 60 days’ written notice at the option of either party thereto or","page_number":121,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"3f80855e-e74c-4985-bb93-40b360540966","block_type":"box","text":"by the vote of the shareholders of the applicable Fund.","page_number":121,"box":{"x":69,"y":75,"width":388,"height":11}},{"id":"b5ed7497-6781-4ee1-817b-f34f7d986eaf","block_type":"box","text":"Other Service Arrangements","page_number":121,"box":{"x":69,"y":105,"width":205,"height":11}},{"id":"c9238d84-3ff3-4cf9-ae93-b756025adc71","block_type":"box","text":"Administrative Services and Administrative Fee.","page_number":121,"box":{"x":101,"y":128,"width":338,"height":9}},{"id":"715fc3bb-2140-475c-b376-cefeeec81497","block_type":"box","text":"Certain Funds have entered into an administration agreement","page_number":121,"box":{"x":446,"y":128,"width":439,"height":11}},{"id":"59947fc7-185b-40ab-8c93-b16c229f0c2c","block_type":"box","text":"(the “Administration Agreement”) with an administrator identified in the Fund’s Prospectus and Part I of the Fund’s","page_number":121,"box":{"x":69,"y":143,"width":818,"height":11}},{"id":"7c9c0a87-4996-4737-84e5-25a3ad662e1d","block_type":"box","text":"SAI (each an “Administrator”). For its services to a Fund, the Administrator receives monthly compensation at the","page_number":121,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"83177bec-b775-4c81-9359-c5314d6de05c","block_type":"box","text":"annual rate set forth in each applicable Fund’s Prospectus. For information regarding any administrative fees paid by","page_number":121,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"6259742d-104d-43aa-b521-2af08a18d594","block_type":"box","text":"your Fund to the Administrator for the periods indicated, see “Management, Advisory and Other Service","page_number":121,"box":{"x":68,"y":188,"width":738,"height":12}},{"id":"97ba77a3-aa17-4e7b-8ae3-c914197169d4","block_type":"box","text":"Arrangements — Administration Agreement” or “Management and Advisory Arrangements,” as applicable, in Part I of","page_number":121,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"d0ba804f-dfa9-4e44-bc15-e465164b3e54","block_type":"box","text":"that Fund’s SAI.","page_number":121,"box":{"x":68,"y":219,"width":113,"height":8}},{"id":"bb273ad4-a659-4d46-95d4-3243627c28fe","block_type":"box","text":"For Funds that have an Administrator, the Administration Agreement obligates the Administrator to provide","page_number":121,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"09f06ce9-7588-4d7e-9a0c-e4d568b39915","block_type":"box","text":"certain administrative services to the Fund and to pay, or cause its affiliates to pay, for maintaining its staff and","page_number":121,"box":{"x":69,"y":256,"width":800,"height":12}},{"id":"b472bd31-677a-4186-9ce8-49005190b9ee","block_type":"box","text":"personnel and to provide office space, facilities and necessary personnel for the Fund. Each Administrator is also","page_number":121,"box":{"x":70,"y":271,"width":809,"height":12}},{"id":"f3958b2d-5ebc-4710-ab86-98c1f7b53429","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":121,"box":{"x":69,"y":286,"width":826,"height":12}},{"id":"fdef9348-7b52-4084-abdc-1dd4175a8a46","block_type":"box","text":"persons of the Administrator or any of its affiliates.","page_number":121,"box":{"x":70,"y":302,"width":362,"height":11}},{"id":"6614df79-2eb5-4baf-a238-d1c7a5c645fe","block_type":"box","text":"Duration and Termination of Administration Agreement.","page_number":121,"box":{"x":102,"y":324,"width":390,"height":12}},{"id":"14e87da2-d61e-4c71-afe9-8fe3bcf638b6","block_type":"box","text":"Unless earlier terminated as described below, each","page_number":121,"box":{"x":499,"y":325,"width":364,"height":10}},{"id":"899c6b03-3ae0-43c9-ab39-a7c4d20a83ec","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":121,"box":{"x":68,"y":339,"width":832,"height":12}},{"id":"6c2ff662-8ea2-429b-a705-5029a14571ee","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":121,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"a936010f-1e9d-453b-8c1c-dc29124d29d7","block_type":"box","text":"securities of such Fund and (b) by a majority of the Directors of the Fund who are not parties to such contract or","page_number":121,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"bc90b1fb-3b7d-465a-b641-14f049a456f7","block_type":"box","text":"interested persons (as defined in the Investment Company Act) of any such party. Such contract is not assignable","page_number":121,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"e01f8b70-06e7-4d00-94cf-a5440545d2d5","block_type":"box","text":"and may be terminated without penalty on written notice at the option of either party thereto or by the vote of the","page_number":121,"box":{"x":69,"y":400,"width":805,"height":11}},{"id":"bbdc97be-a9f4-4454-b1af-40233e06ddf0","block_type":"box","text":"shareholders of the Fund.","page_number":121,"box":{"x":69,"y":415,"width":181,"height":9}},{"id":"18783086-25b4-4b6f-8bec-828d3550214f","block_type":"box","text":"Transfer Agency Services.","page_number":121,"box":{"x":103,"y":438,"width":180,"height":11}},{"id":"a3269e15-517c-4d68-8a46-41c43d961a2f","block_type":"box","text":"BNY Mellon Investment Servicing (US) Inc. (in this capacity, the “Transfer Agent”), a","page_number":121,"box":{"x":291,"y":438,"width":595,"height":11}},{"id":"b7306afd-ec20-4ed7-bc8f-381c0117c946","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":121,"box":{"x":69,"y":453,"width":816,"height":11}},{"id":"22019f58-3332-4fc0-881c-fc8e8b745c4d","block_type":"box","text":"Agency, Dividend Disbursing Agency and Shareholder Servicing Agency Agreement (the “Transfer Agency Agreement”)","page_number":121,"box":{"x":68,"y":468,"width":833,"height":11}},{"id":"c1dc3423-ecc4-4319-b396-6f5ff7d4c0f1","block_type":"box","text":"with the Funds. Pursuant to the Transfer Agency Agreement, the Transfer Agent is responsible for the issuance,","page_number":121,"box":{"x":68,"y":483,"width":792,"height":11}},{"id":"59beb234-1a87-4656-9760-071313386131","block_type":"box","text":"transfer and redemption of shares and the opening and maintenance of shareholder accounts. Each Fund pays the","page_number":121,"box":{"x":68,"y":498,"width":819,"height":11}},{"id":"cdaf37cc-754b-4e93-8a7b-eaeb075f66f4","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":121,"box":{"x":68,"y":513,"width":839,"height":12}},{"id":"f8672abd-9dc4-46e6-a607-25a21959bf49","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":121,"box":{"x":70,"y":528,"width":831,"height":12}},{"id":"dd4f3ca3-d18c-4e0a-b90e-ccf240efff83","block_type":"box","text":"for certain accounts that participate in certain fee-based programs sponsored by the Manager or its affiliates. For","page_number":121,"box":{"x":68,"y":543,"width":813,"height":12}},{"id":"6f5445da-4960-4bf7-9735-a6a1f6ddb45b","block_type":"box","text":"purposes of each Transfer Agency Agreement, the term “account” includes a shareholder account maintained directly","page_number":121,"box":{"x":70,"y":559,"width":836,"height":11}},{"id":"6837db23-3eef-4d45-8e59-81d53092b979","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":121,"box":{"x":69,"y":574,"width":806,"height":11}},{"id":"c506454d-a63f-4ac4-b932-b947e678447b","block_type":"box","text":"class on a recordkeeping system.","page_number":121,"box":{"x":69,"y":589,"width":238,"height":11}},{"id":"25876c44-c079-4ca2-abd6-dc61e76c2d64","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":121,"box":{"x":102,"y":612,"width":338,"height":11}},{"id":"61d8bdc0-eff0-444f-809c-947c69f9b97e","block_type":"box","text":"The Audit Committee of each Fund, the members of which are","page_number":121,"box":{"x":446,"y":612,"width":441,"height":10}},{"id":"c46c95d6-fedd-4bad-8c54-6115bdf88a80","block_type":"box","text":"non-interested Directors of the Fund, has selected an independent registered public accounting firm for that Fund that","page_number":121,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"ef849f06-2907-419b-ad12-b9030210dd06","block_type":"box","text":"audits the Fund’s financial statements. Please see the inside back cover page of your Fund’s Prospectus and Part I","page_number":121,"box":{"x":69,"y":642,"width":823,"height":11}},{"id":"15eb6286-701a-40bf-a330-134aff10d565","block_type":"box","text":"of this SAI for information on your Fund’s independent registered public accounting firm.","page_number":121,"box":{"x":69,"y":657,"width":627,"height":11}},{"id":"46bff75b-f2f6-41d3-baba-fde40df0978d","block_type":"box","text":"Custodian Services.","page_number":121,"box":{"x":102,"y":680,"width":141,"height":9}},{"id":"11cde7b2-72ce-435b-a67a-f89a2392a782","block_type":"box","text":"The name and address of the custodian (the “Custodian”) of each Fund are provided on the","page_number":121,"box":{"x":249,"y":680,"width":654,"height":11}},{"id":"58b218a8-d797-4db9-8707-13db7ad3390d","block_type":"box","text":"inside back cover page of the Fund’s Prospectus. The Custodian is responsible for safeguarding and controlling the","page_number":121,"box":{"x":70,"y":695,"width":820,"height":11}},{"id":"43e2491a-92c0-47e3-b56e-a85ca033db0a","block_type":"box","text":"Fund’s cash and securities, handling the receipt and delivery of securities and collecting interest and dividends on","page_number":121,"box":{"x":70,"y":710,"width":814,"height":11}},{"id":"fdfaab2a-8bd3-42cd-b1ad-367b91b4b93f","block_type":"box","text":"the Fund’s investments. The Custodian is authorized to establish separate accounts in foreign currencies and to","page_number":121,"box":{"x":68,"y":725,"width":802,"height":11}},{"id":"0baa05f1-c323-4218-97d9-e7301a434982","block_type":"box","text":"cause foreign securities owned by the Fund to be held in its offices outside the United States and with certain foreign","page_number":121,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"938e69ae-70db-4123-9e90-302d180cdaa9","block_type":"box","text":"banks and securities depositories. A Fund also may use special purpose custodian banks from time to time for","page_number":121,"box":{"x":69,"y":755,"width":792,"height":11}},{"id":"98572a46-7591-4ae3-8384-861cbd2ed8cd","block_type":"box","text":"certain assets.","page_number":121,"box":{"x":69,"y":771,"width":106,"height":8}},{"id":"809fdf9e-dc22-491c-beb4-70d7b6b4af2a","block_type":"box","text":"For certain Feeder Funds, the Custodian also acts as the custodian of the Master Portfolio’s assets.","page_number":121,"box":{"x":102,"y":793,"width":716,"height":10}},{"id":"23cfab73-6864-4a8a-9060-625d6ec04a6e","block_type":"box","text":"Generally, overdraft charges, if any, are treated as interest expense. With respect to certain Funds, on a monthly","page_number":121,"box":{"x":102,"y":816,"width":803,"height":11}},{"id":"53d1d5cf-3275-4829-91a3-1175d5324679","block_type":"box","text":"basis the Custodian nets the Fund’s daily positive and negative cash balances and calculates a credit (“custody","page_number":121,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"35994a62-0b30-48f0-8724-739c7cfad5f0","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":121,"box":{"x":69,"y":846,"width":834,"height":11}},{"id":"e8190138-08ec-42e2-ba6f-fdda9a8e0ab4","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":121,"box":{"x":69,"y":861,"width":826,"height":11}},{"id":"42255baa-6972-43d8-a663-92b991dcacbd","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":121,"box":{"x":69,"y":876,"width":807,"height":11}},{"id":"274cf297-ddca-4dc4-842a-f5a7855c353a","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":121,"box":{"x":68,"y":891,"width":836,"height":12}},{"id":"dfcb7591-d3eb-41d9-8660-d95cd3145153","block_type":"box","text":"Fund.","page_number":121,"box":{"x":70,"y":907,"width":36,"height":8}},{"id":"2f90a971-4ff2-4520-9a75-4204b371092a","block_type":"box","text":"II-83","page_number":121,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"749a4cbf-8a4a-4cca-81dc-d963c4adb588","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":121,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"813dedbf-b46e-4ffa-89c3-a2643ff5d165","block_type":"box","text":"Accounting Services.","page_number":122,"box":{"x":101,"y":45,"width":148,"height":11}},{"id":"13ac33af-8510-45d9-8dcd-488fc23ed0e3","block_type":"box","text":"Each Fund has entered into an agreement with State Street, BNY Mellon or JPM, pursuant","page_number":122,"box":{"x":256,"y":45,"width":641,"height":11}},{"id":"5ae743c3-004f-4fd6-8904-80327e7274c3","block_type":"box","text":"to which State Street, BNY Mellon or JPM provides certain accounting and administrative services to the Fund. Each","page_number":122,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"7187e32a-8ed6-48f8-840f-cce34972a711","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":122,"box":{"x":70,"y":75,"width":797,"height":11}},{"id":"86dc1294-df0e-4df1-bbaf-c80586cfa178","block_type":"box","text":"Master LLCs.","page_number":122,"box":{"x":70,"y":90,"width":91,"height":9}},{"id":"c2a5a5e5-9122-4c8a-8793-87233313f951","block_type":"box","text":"See “Management, Advisory and Other Service Arrangements — Accounting Services” or “Management and","page_number":122,"box":{"x":102,"y":113,"width":771,"height":11}},{"id":"272e5813-b520-4f57-89a6-3b28c19ac0f9","block_type":"box","text":"Advisory Arrangements — Accounting Services,” as applicable, in Part I of each Fund’s SAI for information on the","page_number":122,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"07084d43-b133-4a0e-ad46-288eaaef098a","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":122,"box":{"x":69,"y":143,"width":828,"height":11}},{"id":"30c523cb-71ad-4e38-acfb-e8737d864993","block_type":"box","text":"applicable, the Administrator for the periods indicated.","page_number":122,"box":{"x":69,"y":158,"width":386,"height":11}},{"id":"483dd172-42d4-4682-9514-65b358cae792","block_type":"box","text":"Distribution Expenses.","page_number":122,"box":{"x":102,"y":181,"width":158,"height":11}},{"id":"d9907d26-42c3-4d5c-96f6-d3dbc7aeb8ed","block_type":"box","text":"Each Fund has entered into a distribution agreement with the Distributor in connection","page_number":122,"box":{"x":267,"y":181,"width":614,"height":11}},{"id":"ba639ba6-9941-4e88-bb55-4c08d59c9587","block_type":"box","text":"with the continuous offering of each class of shares of the Fund (the “Distribution Agreements”). The Distribution","page_number":122,"box":{"x":68,"y":196,"width":807,"height":11}},{"id":"e01491a4-9d44-46d8-897e-d4d6d47b3c6c","block_type":"box","text":"Agreements obligate the Distributor to pay certain expenses in connection with the offering of each class of shares of","page_number":122,"box":{"x":68,"y":211,"width":842,"height":11}},{"id":"905c816c-b167-4c64-a0ff-5b8787a8cd61","block_type":"box","text":"the Funds. After the prospectuses, statements of additional information and periodic reports have been prepared,","page_number":122,"box":{"x":68,"y":226,"width":813,"height":11}},{"id":"25933f88-02ac-4a69-9560-65dfee9fdc2e","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":122,"box":{"x":69,"y":241,"width":836,"height":11}},{"id":"f7f1c667-4771-4e44-92bf-833e066e1f7f","block_type":"box","text":"in connection with the offering to dealers and investors. The Distributor also pays for other supplementary sales","page_number":122,"box":{"x":70,"y":256,"width":799,"height":12}},{"id":"a59e0e50-476a-4023-bdb1-6e3c8c9bc383","block_type":"box","text":"literature and advertising costs. Each Distribution Agreement is subject to the same renewal requirements and","page_number":122,"box":{"x":70,"y":272,"width":788,"height":11}},{"id":"c743faf5-e20e-46d5-b902-939154998e04","block_type":"box","text":"termination provisions as the Management Agreement described above.","page_number":122,"box":{"x":68,"y":287,"width":513,"height":11}},{"id":"4d345be5-392e-456f-be0a-7e05bd95a152","block_type":"box","text":"Code of Ethics","page_number":122,"box":{"x":69,"y":317,"width":105,"height":9}},{"id":"4c227689-1ef3-4e84-b570-10888462de04","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":122,"box":{"x":102,"y":339,"width":780,"height":12}},{"id":"5fd9ad24-704d-459f-af27-3f0278b1f2bc","block_type":"box","text":"17j-1 under the Investment Company Act. The Code of Ethics establishes procedures for personal investing and","page_number":122,"box":{"x":70,"y":355,"width":794,"height":11}},{"id":"63f73251-4af6-42fe-b282-189d62700d66","block_type":"box","text":"restricts certain transactions. Employees subject to the Code of Ethics may invest in securities for their personal","page_number":122,"box":{"x":69,"y":370,"width":803,"height":11}},{"id":"f5154505-c217-426c-a96b-30d9e366d259","block_type":"box","text":"investment accounts, including securities that may be purchased or held by a Fund.","page_number":122,"box":{"x":70,"y":385,"width":593,"height":11}},{"id":"bf191d09-ce71-4aa5-8134-099c0540d181","block_type":"box","text":"SELECTIVE DISCLOSURE OF PORTFOLIO HOLDINGS","page_number":122,"box":{"x":282,"y":414,"width":413,"height":10}},{"id":"ca2f6b9e-7d47-44a1-8d2b-6dc9ae3aacd1","block_type":"box","text":"The Board of Directors of each Fund and the Board of Directors of the Manager have each approved Portfolio","page_number":122,"box":{"x":101,"y":437,"width":777,"height":11}},{"id":"02d2300d-3507-41cb-b226-f5f8e1de13c2","block_type":"box","text":"Holdings and Related Information Distribution Guidelines (the “Policy”) regarding the disclosure of each Fund’s","page_number":122,"box":{"x":70,"y":452,"width":788,"height":11}},{"id":"5bbecff5-58c0-41b5-84a8-4a5e27fa67ff","block_type":"box","text":"portfolio securities, as applicable, and other portfolio information. The purpose of the Policy is to ensure that","page_number":122,"box":{"x":70,"y":467,"width":778,"height":11}},{"id":"4f4f1e99-1738-4cb2-99dc-4b10a4e9bf6c","block_type":"box","text":"(i) shareholders and prospective shareholders of the Funds have equal access to portfolio holdings and","page_number":122,"box":{"x":69,"y":482,"width":737,"height":12}},{"id":"4129c94c-200e-4193-a27d-845f1b1ab2b1","block_type":"box","text":"characteristics and (ii) third parties (such as consultants, intermediaries and third-party data providers) have access","page_number":122,"box":{"x":69,"y":498,"width":829,"height":11}},{"id":"f5a13ba6-f04a-4f68-8d71-9acd094d6b11","block_type":"box","text":"to such information no earlier or more frequently than shareholders and prospective shareholders.","page_number":122,"box":{"x":68,"y":513,"width":701,"height":11}},{"id":"89167ddc-d807-455d-a340-323a811ee451","block_type":"box","text":"Pursuant to the Policy, each Fund and the Manager may, under certain circumstances as set forth below, make","page_number":122,"box":{"x":102,"y":535,"width":791,"height":12}},{"id":"b8656496-eff8-429a-9af1-d965df9edbcd","block_type":"box","text":"selective disclosure with respect to a Fund’s Portfolio Characteristics (as defined below) and Portfolio Holdings (as","page_number":122,"box":{"x":69,"y":550,"width":819,"height":12}},{"id":"6c13b599-e3ec-4e33-823b-e598538db6aa","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":122,"box":{"x":69,"y":566,"width":824,"height":11}},{"id":"dc573018-d934-4325-9d86-a1bdf6afdb42","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":122,"box":{"x":68,"y":581,"width":813,"height":11}},{"id":"c555eaf4-ed51-49a0-8054-c692569ecb86","block_type":"box","text":"The Board of Directors provides ongoing oversight of the Fund’s and Manager’s compliance with the Policy.","page_number":122,"box":{"x":68,"y":596,"width":761,"height":11}},{"id":"a15ac2d3-cc0a-4b0e-8f9e-7b19d7e2e0f6","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":122,"box":{"x":70,"y":611,"width":825,"height":11}},{"id":"5c761284-3861-4aed-9629-08e7343cea6a","block_type":"box","text":"holdings information by an individual or firms in possession of that information.","page_number":122,"box":{"x":69,"y":626,"width":565,"height":11}},{"id":"abf6fa80-f1b2-41cc-b4d9-095d4b003e50","block_type":"box","text":"Disclosure of material non-public information (“Confidential Information”) about a Fund’s Portfolio Holdings and/","page_number":122,"box":{"x":102,"y":649,"width":802,"height":11}},{"id":"490a76df-5741-4994-88f4-7faa7ef11d21","block_type":"box","text":"or Portfolio Characteristics is prohibited, except as provided in the Policy.","page_number":122,"box":{"x":69,"y":664,"width":520,"height":11}},{"id":"2c2d2b08-73dd-4847-aef0-5ffe141271ed","block_type":"box","text":"Confidential Information relating to a Fund may not be distributed to persons not employed by BlackRock unless","page_number":122,"box":{"x":102,"y":686,"width":797,"height":12}},{"id":"d8acdd1b-babd-4314-a720-63c5db523f02","block_type":"box","text":"the Fund has a legitimate business purpose for doing so and confidentiality obligations are in effect, as appropriate.","page_number":122,"box":{"x":68,"y":702,"width":829,"height":11}},{"id":"82f8ca89-b51e-42e1-b2ed-2bdd040c67a5","block_type":"box","text":"•","page_number":122,"box":{"x":69,"y":725,"width":6,"height":4}},{"id":"6ebe2282-1ed0-4295-a67f-8743d1fa23f6","block_type":"box","text":"Por tfolio Holdings","page_number":122,"box":{"x":102,"y":722,"width":126,"height":11}},{"id":"8c30f9ce-5d5e-43b8-8ee5-8f9df04d955d","block_type":"box","text":": “Portfolio Holdings” are a Fund’s portfolio securities and other instruments, and include, but","page_number":122,"box":{"x":229,"y":722,"width":671,"height":11}},{"id":"2fc1afb7-64be-44a6-b941-b90c90dee173","block_type":"box","text":"are not limited to:","page_number":122,"box":{"x":102,"y":737,"width":125,"height":9}},{"id":"78ec566b-ed16-4c87-a961-355083aa87a8","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":760,"width":6,"height":5}},{"id":"8459a5d8-b16d-479f-8c6a-2a237081556d","block_type":"box","text":"for equity securities, information such as issuer name, CUSIP, ticker symbol, total shares and market value;","page_number":122,"box":{"x":134,"y":757,"width":768,"height":11}},{"id":"d2ea1ac6-6036-4068-912b-f7e03dc132c1","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":780,"width":6,"height":5}},{"id":"e2f0fd48-a9a1-4d61-aa5b-f31de421294b","block_type":"box","text":"for fixed income securities, information such as issuer name, CUSIP, ticker symbol, coupon, maturity,","page_number":122,"box":{"x":134,"y":777,"width":720,"height":11}},{"id":"1584f2a9-8289-42cc-9374-03e5c0d2ed4e","block_type":"box","text":"current face value, market value, yield, WAL, WAM, duration and convexity;","page_number":122,"box":{"x":134,"y":792,"width":529,"height":12}},{"id":"21b5c69b-64d9-4397-845b-7607eb739c4c","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":815,"width":6,"height":5}},{"id":"f5a91a89-d1a9-452d-9b01-a0056ecb704b","block_type":"box","text":"for all securities, information such as quantity, SEDOL and market price as of a specific date;","page_number":122,"box":{"x":134,"y":812,"width":664,"height":12}},{"id":"c0a0e516-2d87-4ee4-a29f-1716fb0102c9","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":836,"width":6,"height":4}},{"id":"ce08c5af-bb60-4a3d-95cf-acde981e66b3","block_type":"box","text":"for derivatives, indicative data including, but not limited to, pay leg, receive leg, notional amount, reset","page_number":122,"box":{"x":134,"y":833,"width":731,"height":11}},{"id":"67442139-2eb2-4284-9333-51ad8e4ec021","block_type":"box","text":"frequency and trade counterparty; and","page_number":122,"box":{"x":134,"y":848,"width":271,"height":11}},{"id":"628511dc-dac0-4714-9d99-57a422d57de1","block_type":"box","text":"•","page_number":122,"box":{"x":102,"y":871,"width":6,"height":4}},{"id":"8f847e6e-33e4-4df9-a29b-787a3e4ed38a","block_type":"box","text":"for trading strategies, specific portfolio holdings, including the number of shares held, weightings of","page_number":122,"box":{"x":134,"y":868,"width":712,"height":11}},{"id":"85160e88-41ac-4f05-9aef-36a6d4d4736e","block_type":"box","text":"particular holdings, trading details, pending or recent transactions and portfolio management plans to","page_number":122,"box":{"x":135,"y":883,"width":726,"height":11}},{"id":"96c0a1c9-ced5-4ff3-bc0e-3ac0de894ad3","block_type":"box","text":"purchase or sell particular securities or allocation within particular sectors.","page_number":122,"box":{"x":135,"y":898,"width":533,"height":11}},{"id":"5969879d-ad1c-43af-8bcc-af195f7f3091","block_type":"box","text":"II-84","page_number":122,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3d26e58d-3c2d-4454-9308-a44018b9ee04","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":122,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4206edc8-acab-4b85-9c6e-c70ab60912eb","block_type":"box","text":"•","page_number":123,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"0ceb2899-7dad-451b-a23c-946abb818ce1","block_type":"box","text":"Por tfolio Characteristics (excluding Liquidity Metrics):","page_number":123,"box":{"x":102,"y":45,"width":377,"height":11}},{"id":"5553098b-df17-4e48-ad2c-7bb5a800407a","block_type":"box","text":"“Portfolio Characteristics” include, but are not limited to,","page_number":123,"box":{"x":486,"y":45,"width":404,"height":10}},{"id":"cb2c0f7a-0290-451a-9019-c9fe9d48a40b","block_type":"box","text":"sector allocation, credit quality breakdown, maturity distribution, duration and convexity measures, average credit","page_number":123,"box":{"x":102,"y":60,"width":807,"height":11}},{"id":"70efb57e-937a-4e90-a01c-b0494985dc4a","block_type":"box","text":"quality, average maturity, average coupon, top 10 holdings with percent of the fund held, average market","page_number":123,"box":{"x":102,"y":75,"width":745,"height":11}},{"id":"4849eddd-1aee-4d27-a93b-f60568462d27","block_type":"box","text":"capitalization, capitalization range, risk related information (","page_number":123,"box":{"x":101,"y":90,"width":427,"height":11}},{"id":"d6cb3c84-c7b1-4e4f-8325-e9fdefaa7450","block_type":"box","text":"e.g.","page_number":123,"box":{"x":529,"y":91,"width":25,"height":10}},{"id":"32d57070-1aea-42fa-a524-d59afde1f921","block_type":"box","text":", value at risk, standard deviation), ROE, P/E,","page_number":123,"box":{"x":557,"y":90,"width":322,"height":11}},{"id":"d0bd9b7e-28bc-44cb-95bd-633dd001b735","block_type":"box","text":"P/B, P/CF, P/S and EPS.","page_number":123,"box":{"x":102,"y":105,"width":177,"height":11}},{"id":"03244064-6e4c-4d17-ba7d-63e6a503fe5c","block_type":"box","text":"•","page_number":123,"box":{"x":102,"y":128,"width":6,"height":5}},{"id":"b149489b-27a0-465b-82e7-2f7c812dc7e8","block_type":"box","text":"Additional characteristics specific to money market funds include, but are not limited to, historical daily and","page_number":123,"box":{"x":134,"y":125,"width":766,"height":11}},{"id":"b326bd66-e32d-4676-bae4-06df5cf6894d","block_type":"box","text":"weekly liquid assets (as defined under Rule 2a-7) and historical fund net inflows and outflows.","page_number":123,"box":{"x":134,"y":140,"width":670,"height":12}},{"id":"625cc254-4900-4928-b857-dae6f9ef1787","block_type":"box","text":"•","page_number":123,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"8369c0cf-0ec3-4c77-a4d7-5bf1a7429bcf","block_type":"box","text":"Por tfolio Characteristics — Liquidity Metrics:","page_number":123,"box":{"x":102,"y":161,"width":318,"height":11}},{"id":"6dc20f5c-1b95-4473-99a1-e32761a4499f","block_type":"box","text":"•","page_number":123,"box":{"x":102,"y":184,"width":6,"height":4}},{"id":"4577e3ff-d23f-4d30-bb58-6d602cf6a478","block_type":"box","text":"“Liquidity Metrics” which seek to ascertain a Fund’s liquidity profile under BlackRock’s global liquidity risk","page_number":123,"box":{"x":135,"y":181,"width":754,"height":11}},{"id":"5c052b24-d808-440d-b5ee-40fec26c7e5a","block_type":"box","text":"methodology which include, but are not limited to: (a) disclosure regarding the number of days needed to","page_number":123,"box":{"x":135,"y":196,"width":746,"height":11}},{"id":"3229ac1f-8cc3-4316-9ea1-b986867ffd05","block_type":"box","text":"liquidate a portfolio or the portfolio’s underlying investments; and (b) the percentage of a Fund’s NAV","page_number":123,"box":{"x":135,"y":211,"width":721,"height":11}},{"id":"af84f6be-f0ac-4c95-ba1b-140fb82db49d","block_type":"box","text":"invested in a particular liquidity tier under BlackRock’s global liquidity risk methodology.","page_number":123,"box":{"x":135,"y":226,"width":621,"height":11}},{"id":"cb5127f1-2679-41e0-a5ef-cf585d3e07ec","block_type":"box","text":"•","page_number":123,"box":{"x":102,"y":249,"width":6,"height":5}},{"id":"9b09caed-aae5-409e-a427-e5d8caa115e1","block_type":"box","text":"The dissemination of position-level liquidity metrics data and any non-public regulatory data pursuant to SEC","page_number":123,"box":{"x":134,"y":246,"width":771,"height":11}},{"id":"296b0aed-aefe-408a-bbfe-ffb9553ff559","block_type":"box","text":"Rule 22e-4 (including SEC liquidity tiering) is not permitted unless pre-approved.","page_number":123,"box":{"x":135,"y":261,"width":568,"height":12}},{"id":"cc99edde-c306-46e4-8dfa-637bb569a75d","block_type":"box","text":"•","page_number":123,"box":{"x":102,"y":284,"width":6,"height":5}},{"id":"0e8ea9d3-7e5f-4450-ac54-9e12013ce9d2","block_type":"box","text":"Disclosure of Liquidity Metrics pursuant to Section 3 of the Policy should be reviewed by BlackRock’s Risk","page_number":123,"box":{"x":135,"y":281,"width":755,"height":12}},{"id":"da2bcb65-8a6e-4792-bb4a-965bf0e09adc","block_type":"box","text":"and Quantitative Analysis Group and the relevant portfolio management team prior to dissemination.","page_number":123,"box":{"x":134,"y":297,"width":716,"height":11}},{"id":"bb8a8354-cfe5-472e-af00-d0dda212db72","block_type":"box","text":"Information that is non-material or that may be obtained from public sources (","page_number":123,"box":{"x":102,"y":319,"width":553,"height":11}},{"id":"ea857271-8eef-4d54-b997-af496eefe4ba","block_type":"box","text":"i.e.","page_number":123,"box":{"x":658,"y":320,"width":20,"height":8}},{"id":"47ce31cd-0ac7-4382-8b6e-f9b5847eef8d","block_type":"box","text":", information that has been","page_number":123,"box":{"x":680,"y":319,"width":193,"height":11}},{"id":"306165b7-f74d-460a-bb92-6d9a87434a4e","block_type":"box","text":"publicly disclosed via a filing with the SEC (","page_number":123,"box":{"x":70,"y":334,"width":305,"height":12}},{"id":"d9464a43-7bb3-449c-8401-ac40520b4e68","block_type":"box","text":"e.g.","page_number":123,"box":{"x":377,"y":336,"width":25,"height":10}},{"id":"c367986b-b48a-48b7-9194-2ef71648a1b1","block_type":"box","text":", a fund’s annual report and annual financial statements), through a","page_number":123,"box":{"x":404,"y":334,"width":485,"height":12}},{"id":"56a89ea6-605d-49f9-ad14-a35e063dac2b","block_type":"box","text":"press release or placement on a publicly-available internet website), or information derived or calculated from such","page_number":123,"box":{"x":70,"y":349,"width":817,"height":12}},{"id":"226e8d26-a339-4e14-80b1-d082da91572e","block_type":"box","text":"public sources shall not be deemed Confidential Information.","page_number":123,"box":{"x":70,"y":365,"width":433,"height":11}},{"id":"b1379a83-22ab-4e03-9223-c3f963ad4da0","block_type":"box","text":"Portfolio Holdings and Portfolio Characteristics may be disclosed in accordance with the below schedule.","page_number":123,"box":{"x":102,"y":387,"width":747,"height":12}},{"id":"8a4ec6ec-c981-49f1-855e-938a299a89e7","block_type":"box","text":"Prior to the time periods designated below, non-public portfolio holdings and portfolio characteristics may only","page_number":123,"box":{"x":102,"y":410,"width":806,"height":11}},{"id":"df0e28b4-8083-4272-b780-0c861f3f065c","block_type":"box","text":"be disclosed with both a non-disclosure or confidentiality agreement and Fund CCO approval.","page_number":123,"box":{"x":69,"y":425,"width":678,"height":11}},{"id":"1b5d5629-4d37-45c6-8042-a9a17fb3d6f9","block_type":"box","text":"Thereafter, BlackRock","page_number":123,"box":{"x":753,"y":425,"width":156,"height":11}},{"id":"ab208966-caef-487c-8b5a-f5f26a2db923","block_type":"box","text":"may disclose such information to shareholders, prospective shareholders, intermediaries, consultants and third-party","page_number":123,"box":{"x":69,"y":440,"width":838,"height":11}},{"id":"49f9cb23-0049-48f0-9cfa-d95be7f9d8dd","block_type":"box","text":"data providers. BlackRock generally discloses portfolio holdings and other portfolio characteristics information on the","page_number":123,"box":{"x":69,"y":455,"width":837,"height":12}},{"id":"28b39d1f-7ecd-4486-8e44-318095ede531","block_type":"box","text":"lag times established herein on its public website.","page_number":123,"box":{"x":70,"y":471,"width":356,"height":11}},{"id":"74c52494-3fb2-4d65-8919-7c11843e6e9a","block_type":"box","text":"II-85","page_number":123,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"08e493df-2d14-4307-8d42-65c95201b59f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":123,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0156ab57-79d7-4195-a99f-160707115b3a","block_type":"box","text":"Time Periods for Portfolio Holdings","page_number":124,"box":{"x":440,"y":69,"width":254,"height":11}},{"id":"323187c1-a050-48f6-9e74-3147bf8f04b2","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":124,"box":{"x":339,"y":91,"width":536,"height":11}},{"id":"12e65666-8141-4252-bd2e-2b63030e8b3b","block_type":"box","text":"Portfolio Holdings May be Disclosed","page_number":124,"box":{"x":609,"y":106,"width":263,"height":11}},{"id":"58ae3f12-2e39-41a1-a2d6-b7da6fb020d8","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":124,"box":{"x":231,"y":129,"width":277,"height":11}},{"id":"a3345e97-116a-4f70-9624-5274d0028078","block_type":"box","text":"market) except those noted below.","page_number":124,"box":{"x":232,"y":144,"width":243,"height":11}},{"id":"a2a6ada4-a33a-49f8-944e-d332c7f9372d","block_type":"box","text":"20 Calendar Days After Month-End","page_number":124,"box":{"x":578,"y":129,"width":244,"height":11}},{"id":"2ac07436-2f1b-4197-b602-057f67690c7a","block_type":"box","text":"Global Allocation funds,","page_number":124,"box":{"x":231,"y":167,"width":167,"height":10}},{"id":"fc77bdde-d6aa-4ed7-83f0-13d15e0758fc","block_type":"box","text":"1","page_number":124,"box":{"x":400,"y":167,"width":4,"height":5}},{"id":"1a3f181e-8abc-433c-a526-3dfb9ac1be75","block_type":"box","text":"BlackRock Core","page_number":124,"box":{"x":410,"y":167,"width":110,"height":9}},{"id":"0aeb40c6-4271-49d6-9982-81f2b18a5418","block_type":"box","text":"Bond Portfolio of BlackRock Funds V,","page_number":124,"box":{"x":232,"y":182,"width":261,"height":10}},{"id":"65c15bff-8f6f-4cd6-a31d-aa21c9736ac6","block_type":"box","text":"BlackRock Strategic Income Opportunities","page_number":124,"box":{"x":232,"y":197,"width":298,"height":11}},{"id":"7ae69c3f-a5eb-4a45-84c9-8a6b4354dbf3","block_type":"box","text":"Portfolio of BlackRock Funds V, BlackRock","page_number":124,"box":{"x":232,"y":212,"width":300,"height":11}},{"id":"1158098c-f6ba-4032-9b8f-abfa9d7c0c33","block_type":"box","text":"Strategic Global Bond Fund, Inc., BlackRock","page_number":124,"box":{"x":231,"y":227,"width":312,"height":12}},{"id":"6b9cba88-b80f-4e04-b1c6-300f103de5b5","block_type":"box","text":"Total Return Fund of BlackRock Bond Fund,","page_number":124,"box":{"x":231,"y":242,"width":306,"height":11}},{"id":"ad97bfe8-ec09-4f56-86be-3d95b49dc026","block_type":"box","text":"Inc., BlackRock Total Return V.I. Fund of","page_number":124,"box":{"x":232,"y":258,"width":283,"height":10}},{"id":"1b130928-2cab-4006-b4b2-d16a1f2bfb0f","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.,","page_number":124,"box":{"x":232,"y":273,"width":283,"height":10}},{"id":"c21a7c35-311b-4ca2-9872-b4000bfb8476","block_type":"box","text":"BlackRock Unconstrained Equity Fund,","page_number":124,"box":{"x":232,"y":288,"width":270,"height":11}},{"id":"98919008-4285-4e42-8a6c-3c4eef0a3ad8","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund of","page_number":124,"box":{"x":232,"y":303,"width":316,"height":11}},{"id":"6c71e966-f2c3-4ed9-a3eb-e830cfd41f1d","block_type":"box","text":"BlackRock Funds IV and BlackRock Global","page_number":124,"box":{"x":232,"y":318,"width":296,"height":9}},{"id":"524c6b44-98fe-4a62-8497-21fab272d0dd","block_type":"box","text":"Equity Market Neutral Fund of BlackRock","page_number":124,"box":{"x":232,"y":333,"width":288,"height":11}},{"id":"236b26f5-ce89-44b7-841d-626bd3f0dd65","block_type":"box","text":"Funds","page_number":124,"box":{"x":232,"y":348,"width":40,"height":9}},{"id":"720f0222-8eeb-49bd-a8f8-8aec279ac059","block_type":"box","text":"SM","page_number":124,"box":{"x":274,"y":349,"width":10,"height":4}},{"id":"20eb3e68-8b34-42ca-8713-dac71320bfc2","block_type":"box","text":".","page_number":124,"box":{"x":287,"y":356,"width":1,"height":1}},{"id":"5bee6c70-c62c-4232-bc17-fdc137759328","block_type":"box","text":"60 Calendar Days After Month-End","page_number":124,"box":{"x":578,"y":167,"width":244,"height":11}},{"id":"20dbc161-c4e1-401b-b912-9bd8de650e5e","block_type":"box","text":"1","page_number":124,"box":{"x":823,"y":167,"width":4,"height":5}},{"id":"b9e69a5e-c104-4bb1-b119-5ba84901eb27","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.,","page_number":124,"box":{"x":232,"y":371,"width":298,"height":11}},{"id":"bf3e6a5f-eda6-4a60-a988-f989ae9998e7","block_type":"box","text":"BlackRock Equity Dividend Fund, BlackRock","page_number":124,"box":{"x":232,"y":386,"width":308,"height":11}},{"id":"6155839a-909a-4800-bf46-87f3baaffdc3","block_type":"box","text":"High Equity Income Fund of BlackRock","page_number":124,"box":{"x":232,"y":401,"width":271,"height":11}},{"id":"28fea7d9-0071-46fd-9680-49cd2fd62aeb","block_type":"box","text":"Funds","page_number":124,"box":{"x":232,"y":417,"width":40,"height":8}},{"id":"e747a4c9-aeca-4017-8bf1-63bf38a5361d","block_type":"box","text":"SM","page_number":124,"box":{"x":274,"y":417,"width":10,"height":4}},{"id":"e3b6223e-89d8-4025-8fc4-e484a503da0b","block_type":"box","text":", BlackRock Large Cap Focus Growth","page_number":124,"box":{"x":286,"y":416,"width":260,"height":12}},{"id":"8dd3c449-612d-444b-b3b6-a60321aea208","block_type":"box","text":"Fund, Inc., BlackRock Large Cap Focus Value","page_number":124,"box":{"x":232,"y":432,"width":318,"height":11}},{"id":"02318201-2556-4ddb-822f-862893af4d3a","block_type":"box","text":"Fund, Inc., BlackRock Mid-Cap Growth Equity","page_number":124,"box":{"x":232,"y":447,"width":316,"height":11}},{"id":"ab168541-3745-4a3a-b41c-2ee61489b852","block_type":"box","text":"Portfolio of BlackRock Funds","page_number":124,"box":{"x":232,"y":462,"width":203,"height":9}},{"id":"fb4f0927-ce72-4d4f-93ee-63cc27bc9693","block_type":"box","text":"SM","page_number":124,"box":{"x":436,"y":462,"width":11,"height":4}},{"id":"1651d6d7-dfcf-421c-a9de-afa0e7a9e2b2","block_type":"box","text":", BlackRock","page_number":124,"box":{"x":449,"y":462,"width":81,"height":10}},{"id":"08c49dda-0fc6-4809-9537-6a263b4013f9","block_type":"box","text":"Mid-Cap Value Fund of BlackRock Mid-Cap","page_number":124,"box":{"x":232,"y":477,"width":297,"height":11}},{"id":"32980d84-39c0-43f3-93fa-4b862308ca54","block_type":"box","text":"Value Series, Inc.","page_number":124,"box":{"x":231,"y":492,"width":122,"height":10}},{"id":"f28af218-ebb8-4510-be5c-3ceaa6c879b5","block_type":"box","text":"15 Calendar Days After Month-End","page_number":124,"box":{"x":578,"y":371,"width":244,"height":11}},{"id":"e95c1c44-991c-4a77-a498-f4581f092b60","block_type":"box","text":"Time Periods for Portfolio Characteristics (Excluding Liquidity Metrics (Addressed Below))","page_number":124,"box":{"x":158,"y":515,"width":661,"height":11}},{"id":"4cb92ba1-c13c-4521-84b2-8ba773d5ca16","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":124,"box":{"x":339,"y":537,"width":536,"height":11}},{"id":"b704c79e-b42a-4b2f-b3d3-2b63698d6d4f","block_type":"box","text":"Portfolio Characteristics May be Disclosed","page_number":124,"box":{"x":585,"y":552,"width":311,"height":11}},{"id":"a12806dd-a99f-4a60-bd29-599942fb91e0","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":124,"box":{"x":231,"y":575,"width":277,"height":11}},{"id":"b5a8466b-bc6a-4045-8e91-42bb910ed2ea","block_type":"box","text":"market)","page_number":124,"box":{"x":232,"y":590,"width":52,"height":11}},{"id":"b835daf9-0dd1-430f-befc-ab8b3ce475e5","block_type":"box","text":"5 Calendar Days After Month-End","page_number":124,"box":{"x":578,"y":575,"width":234,"height":11}},{"id":"b5854198-b452-4a8b-929e-1e1889c3ebc3","block_type":"box","text":"1","page_number":124,"box":{"x":69,"y":615,"width":3,"height":4}},{"id":"e911168f-07c4-425e-b513-052fd4f56d63","block_type":"box","text":"Global Allocation Exception:","page_number":124,"box":{"x":94,"y":615,"width":164,"height":9}},{"id":"627124f3-b895-4024-91d1-6e162d51b893","block_type":"box","text":"The “Global Allocation funds” include BlackRock Global Allocation Fund, Inc., BlackRock Global Allocation","page_number":124,"box":{"x":262,"y":615,"width":598,"height":9}},{"id":"31ce8f99-df6f-41c3-9447-d09e71858277","block_type":"box","text":"Portfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I. Fund of BlackRock Variable Series Funds, Inc. Information on","page_number":124,"box":{"x":94,"y":625,"width":784,"height":9}},{"id":"3ea58d43-9d83-4b95-9fa2-959df5803bec","block_type":"box","text":"certain Portfolio Characteristics of BlackRock Global Allocation Portfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I.","page_number":124,"box":{"x":93,"y":635,"width":795,"height":9}},{"id":"60cfd02f-f49a-4548-b6d2-ae0498711b39","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":124,"box":{"x":94,"y":645,"width":757,"height":9}},{"id":"894c6841-1bd8-45d8-92ab-1e1a62171fe1","block_type":"box","text":"investments (and to advisers and sub-advisers of funds invested in BlackRock Global Allocation Portfolio of BlackRock Series Fund, Inc. and","page_number":124,"box":{"x":94,"y":656,"width":797,"height":8}},{"id":"6d909f97-aae4-4706-bf12-2106987bfeca","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":124,"box":{"x":94,"y":666,"width":793,"height":9}},{"id":"de397421-7dcd-4448-8d7d-2eee75894b6a","block_type":"box","text":"policies on a weekly basis (or such other period as may be determined to be appropriate).","page_number":124,"box":{"x":94,"y":676,"width":511,"height":9}},{"id":"ca3e1e12-6006-42e8-8202-944eb76aa081","block_type":"box","text":"Open-End Mutual Funds and ETFs (Excluding Money Market Mutual Funds and MM ETFs)","page_number":124,"box":{"x":163,"y":694,"width":651,"height":11}},{"id":"c820f99a-406b-46d4-8fb6-3a4aac3c2f43","block_type":"box","text":"Time Periods for Portfolio Characteristics: Liquidity Metrics","page_number":124,"box":{"x":350,"y":709,"width":434,"height":11}},{"id":"724a94fe-7498-4b03-8cc3-9bf1651ac3f6","block_type":"box","text":"Funds in Scope Days After Quarter-End — After Which","page_number":124,"box":{"x":339,"y":732,"width":540,"height":11}},{"id":"8115209c-955a-4a24-80aa-6755297f1899","block_type":"box","text":"Liquidity Metrics May be Disclosed","page_number":124,"box":{"x":613,"y":747,"width":255,"height":11}},{"id":"c81651be-3704-412c-be1b-d45f3127c0ee","block_type":"box","text":"All Open-End Mutual Funds and ETFs (non","page_number":124,"box":{"x":231,"y":770,"width":300,"height":11}},{"id":"910c7c84-f48c-480e-a931-08c6017b4a48","block_type":"box","text":"money market).","page_number":124,"box":{"x":232,"y":785,"width":108,"height":11}},{"id":"87805090-fc01-476f-b940-7ac343c45566","block_type":"box","text":"60 Calendar Days After Quarter-End","page_number":124,"box":{"x":578,"y":770,"width":253,"height":11}},{"id":"4e3493be-f264-40a9-a313-3a913396f44a","block_type":"box","text":"If Liquidity Metrics are disclosed to one party, they must also be disclosed to all other","page_number":124,"box":{"x":232,"y":808,"width":631,"height":11}},{"id":"eaefc970-bbd2-47f2-90c4-9be55ac70560","block_type":"box","text":"parties requesting the same information.","page_number":124,"box":{"x":231,"y":823,"width":298,"height":11}},{"id":"7dcfe632-7433-41c7-b70e-e6aa8fc87e6f","block_type":"box","text":"Money Market Mutual Funds and ETFs","page_number":124,"box":{"x":340,"y":864,"width":281,"height":11}},{"id":"762e5313-08ed-4939-821d-51e07a84822b","block_type":"box","text":"2,3","page_number":124,"box":{"x":627,"y":864,"width":11,"height":5}},{"id":"efd97b1c-b452-4552-9130-0ec7174357d0","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":124,"box":{"x":75,"y":879,"width":834,"height":11}},{"id":"61542891-c911-463b-b46d-2726d8813d47","block_type":"box","text":"the ETF Rule (Rule 6c-11) Policy.","page_number":124,"box":{"x":74,"y":894,"width":229,"height":11}},{"id":"3d1e2418-1f3a-47d5-9225-a6ea43461627","block_type":"box","text":"II-86","page_number":124,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"26a70c17-9d89-46ad-80c8-78f083345e81","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":124,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"02aa165d-4ff3-415c-96d1-02201f488139","block_type":"box","text":"Time Periods","page_number":125,"box":{"x":520,"y":49,"width":94,"height":9}},{"id":"9eb0924c-e25f-4a1f-9341-a118fab415ed","block_type":"box","text":"Prior to 5 Business Days After Month-End 5 Business Days After Month-End to Date of","page_number":125,"box":{"x":243,"y":72,"width":659,"height":11}},{"id":"0d6f7f08-3085-4c75-8e02-d50efbaf1083","block_type":"box","text":"Public Filing","page_number":125,"box":{"x":697,"y":87,"width":88,"height":11}},{"id":"23a9560f-d16f-46df-80d8-55e3e851bac9","block_type":"box","text":"Portfolio","page_number":125,"box":{"x":75,"y":110,"width":61,"height":9}},{"id":"1567cc3e-5ad6-4235-844a-a7bd1ebd08b9","block_type":"box","text":"Holdings","page_number":125,"box":{"x":75,"y":125,"width":61,"height":11}},{"id":"6f553637-78ef-4da2-b470-5b9619ebb265","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":125,"box":{"x":231,"y":110,"width":297,"height":9}},{"id":"8bba957a-0fa7-4772-b5dc-c6ea4dc6d439","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":125,"box":{"x":231,"y":125,"width":310,"height":11}},{"id":"34ef08cd-84f4-4130-ad9b-e1b8a4519713","block_type":"box","text":"except the following Portfolio Holdings","page_number":125,"box":{"x":231,"y":140,"width":271,"height":11}},{"id":"36e5adeb-38c1-4589-8808-084fa7bc5246","block_type":"box","text":"information is required to be released on the","page_number":125,"box":{"x":232,"y":155,"width":318,"height":11}},{"id":"1ac93f51-25d8-43c5-aa43-6e9cb27c9e0e","block_type":"box","text":"website pursuant to Rule 2a-7 on a monthly","page_number":125,"box":{"x":231,"y":170,"width":311,"height":11}},{"id":"bc1c702f-93d5-4903-a24a-3e40b8368aa1","block_type":"box","text":"basis: name of issuer, category of","page_number":125,"box":{"x":231,"y":185,"width":244,"height":11}},{"id":"c7124e10-f082-405a-a58e-a04e91cb4ff0","block_type":"box","text":"investment, CUSIP, principal amount, maturity","page_number":125,"box":{"x":232,"y":200,"width":325,"height":11}},{"id":"dfefde52-76e4-40a8-8b68-9454dbab3d7d","block_type":"box","text":"dates, yields and value. BlackRock will","page_number":125,"box":{"x":231,"y":216,"width":273,"height":10}},{"id":"c0132a2b-1d69-4004-9518-8a460d720c28","block_type":"box","text":"release this information on the following","page_number":125,"box":{"x":232,"y":230,"width":286,"height":12}},{"id":"c8644a4f-2931-4517-99cd-6591f0505400","block_type":"box","text":"timelines or on a more frequent timeline than","page_number":125,"box":{"x":231,"y":246,"width":323,"height":11}},{"id":"bbe4efba-f2f7-4a5a-9160-4bbee89514f3","block_type":"box","text":"required under Rule 2a-7:","page_number":125,"box":{"x":232,"y":261,"width":179,"height":11}},{"id":"de2311d6-52be-42e0-8c26-39b2ae8fac73","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":279,"width":4,"height":3}},{"id":"220834ae-7385-4c83-a783-aea476c03b26","block_type":"box","text":"Government MMFs: Daily portfolio holdings","page_number":125,"box":{"x":241,"y":276,"width":306,"height":11}},{"id":"c23e74e6-ffee-4fd4-9981-de4989f3aba7","block_type":"box","text":"are released on the website on a one","page_number":125,"box":{"x":241,"y":291,"width":266,"height":9}},{"id":"6803653b-12d5-4175-8b53-6ac5b3c48938","block_type":"box","text":"business day lag.","page_number":125,"box":{"x":241,"y":306,"width":122,"height":11}},{"id":"dae9b541-b0dd-4771-878f-0f8ea557a711","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":324,"width":4,"height":3}},{"id":"b957355a-2f0e-4041-a906-f9772ce68509","block_type":"box","text":"Money Market ETFs (prime and","page_number":125,"box":{"x":242,"y":321,"width":218,"height":11}},{"id":"6da74ce0-7c03-4b7c-8974-659c20ea34d1","block_type":"box","text":"government): Daily portfolio holdings","page_number":125,"box":{"x":240,"y":336,"width":261,"height":12}},{"id":"dde97e0c-6f9e-4197-b579-aba875930f1c","block_type":"box","text":"information released pursuant to ETF rule","page_number":125,"box":{"x":242,"y":351,"width":294,"height":11}},{"id":"ecf55981-a339-4bde-abb3-d16a289e5cc9","block_type":"box","text":"requirements.","page_number":125,"box":{"x":241,"y":367,"width":97,"height":10}},{"id":"4e5e1d70-9c94-4017-b730-167c78c01655","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":385,"width":4,"height":3}},{"id":"35abe574-8173-47c1-be2f-a9111a929a11","block_type":"box","text":"Certain Money Market Mutual Funds and","page_number":125,"box":{"x":241,"y":382,"width":289,"height":11}},{"id":"e229c215-ded7-4ac8-9e55-df211df36cfe","block_type":"box","text":"Money Market ETFs: Weekly schedule of","page_number":125,"box":{"x":242,"y":397,"width":285,"height":11}},{"id":"bc54f3f2-3f11-402c-a98a-91ec9441783b","block_type":"box","text":"investments (PDF) is posted to the website","page_number":125,"box":{"x":242,"y":412,"width":304,"height":11}},{"id":"661da088-bfd9-4b69-b01b-9d78eab1feb1","block_type":"box","text":"at least one business day after week-end.","page_number":125,"box":{"x":241,"y":427,"width":296,"height":11}},{"id":"e9b89f8c-6fb8-4e86-884d-105b9b023579","block_type":"box","text":"(The Cash business identifies those Funds.)","page_number":125,"box":{"x":241,"y":442,"width":312,"height":11}},{"id":"8bf8ad07-1172-4652-ad7e-dd4aa849277e","block_type":"box","text":"May disclose to shareholders, prospective","page_number":125,"box":{"x":578,"y":110,"width":300,"height":11}},{"id":"86af0693-68e5-4447-a89c-5a2d684101cf","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":125,"box":{"x":578,"y":125,"width":297,"height":10}},{"id":"25c75a5d-6ab0-4027-8bc5-867adeb362d6","block_type":"box","text":"and third party data providers. If Portfolio","page_number":125,"box":{"x":578,"y":140,"width":294,"height":11}},{"id":"7971ef03-5559-47ac-bce6-7ae0c5c219cf","block_type":"box","text":"Holdings are disclosed to one party, they","page_number":125,"box":{"x":578,"y":155,"width":291,"height":11}},{"id":"0ca8c11c-aa1d-4446-abae-0662776ef0fb","block_type":"box","text":"must also be disclosed to all other parties","page_number":125,"box":{"x":578,"y":170,"width":302,"height":11}},{"id":"99f40107-b49f-402d-92e6-90d57276fa14","block_type":"box","text":"requesting the same information.","page_number":125,"box":{"x":578,"y":185,"width":236,"height":11}},{"id":"71e5df89-3393-4c32-9be7-a5f59b9fa7e6","block_type":"box","text":"Portfolio","page_number":125,"box":{"x":75,"y":465,"width":61,"height":9}},{"id":"21209969-b04c-4431-9ad6-2701349405d1","block_type":"box","text":"Characteristics","page_number":125,"box":{"x":74,"y":480,"width":111,"height":9}},{"id":"c9c342ac-297b-4777-8e38-8d490c29a11c","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":125,"box":{"x":231,"y":465,"width":297,"height":9}},{"id":"030f2117-9f3a-4aed-9f80-25faf182094d","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":125,"box":{"x":231,"y":480,"width":310,"height":11}},{"id":"b4f1ec22-a9dd-45e1-b076-ed1b13d63759","block_type":"box","text":"except the following information is:","page_number":125,"box":{"x":231,"y":495,"width":247,"height":11}},{"id":"73b98119-f46c-4941-86b3-ad58b5011163","block_type":"box","text":"(i) required to be released on the Fund’s","page_number":125,"box":{"x":231,"y":510,"width":287,"height":11}},{"id":"7e24b738-c39c-4d7d-bad4-4388ab9ba946","block_type":"box","text":"website daily (","page_number":125,"box":{"x":231,"y":526,"width":100,"height":10}},{"id":"13c3389d-fd24-4f00-af3a-14f91e6cf3d2","block_type":"box","text":"i.e.","page_number":125,"box":{"x":334,"y":526,"width":20,"height":8}},{"id":"3f2e1664-c4f9-4cb1-aa3c-9c307ac39c28","block_type":"box","text":", each Business Day as of","page_number":125,"box":{"x":356,"y":525,"width":186,"height":11}},{"id":"f6db002c-6f07-4984-85c3-19242fe49d5c","block_type":"box","text":"the end of the preceding Business Day):","page_number":125,"box":{"x":231,"y":540,"width":285,"height":12}},{"id":"2de8b28e-8bff-45f3-bc05-13c401593b09","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":559,"width":4,"height":3}},{"id":"a3b50d07-01e7-4c87-9a5c-bcb2432c8d48","block_type":"box","text":"Historical NAVs calculated based on market","page_number":125,"box":{"x":242,"y":556,"width":309,"height":8}},{"id":"b84d2521-2f1e-4f8a-9376-a3bc16af1963","block_type":"box","text":"factors (","page_number":125,"box":{"x":240,"y":571,"width":58,"height":11}},{"id":"347b0a8b-9e45-4697-b132-bd78cb84f9dc","block_type":"box","text":"e.g.","page_number":125,"box":{"x":300,"y":572,"width":25,"height":10}},{"id":"26a44f26-582e-4b2c-9f6a-3c5a9bfe57af","block_type":"box","text":", marked to market).","page_number":125,"box":{"x":328,"y":571,"width":143,"height":11}},{"id":"29129e49-3bc4-4256-b942-6736ede2452e","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":589,"width":4,"height":3}},{"id":"2081e433-7b52-4a28-ba86-bbefe3e75469","block_type":"box","text":"Percentage of fund assets invested in daily","page_number":125,"box":{"x":241,"y":586,"width":307,"height":11}},{"id":"acf2e916-8e52-4d76-a980-2061ae55a17a","block_type":"box","text":"and weekly liquid assets (as defined under","page_number":125,"box":{"x":241,"y":601,"width":304,"height":11}},{"id":"5234c5ce-a4a1-4c22-a736-f4553ccceda4","block_type":"box","text":"Rule 2a-7).","page_number":125,"box":{"x":242,"y":616,"width":75,"height":11}},{"id":"188f5fb7-3ebb-4b31-9017-3ab3c82fdc6d","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":634,"width":4,"height":3}},{"id":"b6d342d8-6934-4ef0-856d-19d3b715ecaf","block_type":"box","text":"Daily net flow information (inflows less","page_number":125,"box":{"x":242,"y":631,"width":273,"height":11}},{"id":"dae37898-50ba-490e-8652-5b55b793b022","block_type":"box","text":"outflows).","page_number":125,"box":{"x":241,"y":646,"width":67,"height":11}},{"id":"ac0e8596-7b9c-4150-b906-bf192b64a6f6","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":664,"width":4,"height":4}},{"id":"a876f039-34de-4217-8eab-f05f36051d40","block_type":"box","text":"Other information as may be required by","page_number":125,"box":{"x":241,"y":661,"width":287,"height":11}},{"id":"9085285b-4be3-4f58-85d4-41afb547dbd9","block_type":"box","text":"Rule 2a-7.","page_number":125,"box":{"x":242,"y":677,"width":70,"height":8}},{"id":"2f15879c-36d3-47e6-ab06-6c36ce9b3f9b","block_type":"box","text":"(ii) voluntarily released on the Fund’s","page_number":125,"box":{"x":241,"y":692,"width":262,"height":11}},{"id":"ecbe08a9-65a1-4785-bf0e-eea7f2b635c8","block_type":"box","text":"website daily (","page_number":125,"box":{"x":240,"y":707,"width":101,"height":11}},{"id":"cb08751a-1a57-4d3d-a53b-38e5281a0d4b","block_type":"box","text":"i.e.","page_number":125,"box":{"x":343,"y":707,"width":20,"height":9}},{"id":"dc3f564c-8766-4fdc-926e-6cd625dff598","block_type":"box","text":", each Business Day as of","page_number":125,"box":{"x":366,"y":707,"width":186,"height":11}},{"id":"fa277e98-b4f8-4fe7-b281-28a51e57a49c","block_type":"box","text":"the end of the preceding Business Day):","page_number":125,"box":{"x":240,"y":722,"width":285,"height":11}},{"id":"12d511b0-7544-43a5-becb-a2df4d4c739c","block_type":"box","text":"•","page_number":125,"box":{"x":234,"y":740,"width":4,"height":3}},{"id":"b1be717c-754a-4d55-a3bc-7d151798749a","block_type":"box","text":"Fund SEC yields, WAM (required monthly),","page_number":125,"box":{"x":242,"y":737,"width":295,"height":11}},{"id":"7f1e65c7-025c-4315-8143-97aacd607409","block_type":"box","text":"WAL (required monthly), fund size and share","page_number":125,"box":{"x":240,"y":752,"width":314,"height":11}},{"id":"f0a4c6f0-b859-4fc1-adfd-83c56eb14b73","block_type":"box","text":"class size.","page_number":125,"box":{"x":241,"y":767,"width":73,"height":9}},{"id":"ad808b3c-1694-446f-a6a6-c4174ebc851d","block_type":"box","text":"May disclose to shareholders, prospective","page_number":125,"box":{"x":578,"y":465,"width":300,"height":11}},{"id":"5086fcaa-a779-4e9d-9c7c-639a4ebd192f","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":125,"box":{"x":578,"y":480,"width":297,"height":10}},{"id":"d3995b16-f195-497b-bd8e-9aa699da299d","block_type":"box","text":"and third party data providers. If Portfolio","page_number":125,"box":{"x":578,"y":495,"width":294,"height":11}},{"id":"34477faf-cedb-4e9e-a714-22112dd3ebe9","block_type":"box","text":"Characteristics are disclosed to one party,","page_number":125,"box":{"x":578,"y":510,"width":300,"height":11}},{"id":"1765b32a-ffad-4743-af00-fa0639d5c50a","block_type":"box","text":"they must also be disclosed to all other","page_number":125,"box":{"x":577,"y":526,"width":283,"height":10}},{"id":"cf250d97-f955-4c7b-b975-4a4a83f450c7","block_type":"box","text":"parties requesting the same information.","page_number":125,"box":{"x":578,"y":540,"width":291,"height":12}},{"id":"d4f5823a-2bd2-4698-9c74-2b7299d2e37e","block_type":"box","text":"2","page_number":125,"box":{"x":69,"y":785,"width":3,"height":3}},{"id":"8a00c153-4e44-4cce-bb8b-2af641145bab","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":125,"box":{"x":77,"y":785,"width":200,"height":9}},{"id":"f2cedb9e-f338-4ca7-98bd-9291e86dabef","block_type":"box","text":". Fund’s holdings may be disclosed in accordance with the frequency for money market funds.","page_number":125,"box":{"x":278,"y":785,"width":534,"height":9}},{"id":"6cc0d60d-fb2a-4a4b-b2cf-2a0c8d73157e","block_type":"box","text":"3","page_number":125,"box":{"x":69,"y":800,"width":3,"height":3}},{"id":"2dce0b6e-84e9-49d1-bbfa-c4a225329784","block_type":"box","text":"Circle Reserve Fund Exception","page_number":125,"box":{"x":76,"y":800,"width":179,"height":9}},{"id":"232d9cc1-8816-42c6-b40e-6f37e575f4aa","block_type":"box","text":": Information on portfolio holdings and certain portfolio characteristics of the Circle Reserve Fund of BlackRock","page_number":125,"box":{"x":257,"y":800,"width":634,"height":9}},{"id":"ad5d4d8f-2d84-46e3-a5c3-5668089ce921","block_type":"box","text":"Funds","page_number":125,"box":{"x":69,"y":813,"width":33,"height":7}},{"id":"e5456a9a-122f-49e8-84ec-ae343bb53609","block_type":"box","text":"SM","page_number":125,"box":{"x":103,"y":813,"width":8,"height":3}},{"id":"05c9dfba-3d65-43e5-b579-c360182eff2f","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":125,"box":{"x":117,"y":812,"width":748,"height":9}},{"id":"f32d18d1-ee5b-4f54-8f9b-4fc2d7c3a8d4","block_type":"box","text":"BlackRock from time-to-time.","page_number":125,"box":{"x":69,"y":825,"width":162,"height":7}},{"id":"12a14ef2-a13f-4414-8a6c-ac713ab7d193","block_type":"box","text":"Guidelines for Confidential and Non-Material Information.","page_number":125,"box":{"x":102,"y":848,"width":404,"height":9}},{"id":"c2b83f02-a9c6-4064-8486-5b2c9c6ed99d","block_type":"box","text":"Confidential Information may be disclosed to the","page_number":125,"box":{"x":512,"y":848,"width":346,"height":12}},{"id":"216cece7-fa1e-49ef-9578-43b6c9be012f","block_type":"box","text":"Fund’s Board of Directors and its counsel, outside counsel for the Fund, the Fund’s auditors and to certain third-party","page_number":125,"box":{"x":70,"y":863,"width":839,"height":12}},{"id":"032ac007-93c9-4675-887c-8499cfe0e036","block_type":"box","text":"service providers (","page_number":125,"box":{"x":69,"y":879,"width":130,"height":11}},{"id":"2f7a7341-c8d2-4a36-a32d-04d67f27ac7c","block_type":"box","text":"e.g.","page_number":125,"box":{"x":201,"y":880,"width":25,"height":10}},{"id":"05b497ae-57c0-4a61-b9af-0c731b91dc0e","block_type":"box","text":", Fund administrator, Fund custodian, proxy voting service), securities lending borrowers,","page_number":125,"box":{"x":228,"y":879,"width":630,"height":11}},{"id":"41c0adb3-2e9a-4eca-920f-3d4ff7b6a9e6","block_type":"box","text":"broker-dealers that are fund counterparties and shareholders and their representatives that participate in applicable","page_number":125,"box":{"x":69,"y":894,"width":829,"height":11}},{"id":"b8bc0f06-2885-4257-833e-3154ab223eec","block_type":"box","text":"redemptions in kind. Non-disclosure or confidentiality agreements will be in place with such service providers,","page_number":125,"box":{"x":69,"y":909,"width":781,"height":11}},{"id":"ad806a34-551e-42c8-8da7-caf9c4470dcd","block_type":"box","text":"II-87","page_number":125,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"41073a4e-ed6d-4761-bf5b-41e6078b3e1a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":125,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0de7f54c-10cf-480c-b58a-1fa24c6e7c5b","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":126,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"f03d6dd3-d168-438e-b1ae-e393c155f534","block_type":"box","text":"authorize the following, subject in the case of (ii) and (iii) to a confidentiality or non-disclosure arrangement:","page_number":126,"box":{"x":69,"y":60,"width":765,"height":11}},{"id":"b9f4d4b7-2d63-4217-b83f-4c89bb9862dd","block_type":"box","text":"(i) the preparation and posting of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to its website","page_number":126,"box":{"x":102,"y":80,"width":787,"height":11}},{"id":"de3bb1a7-d5c6-4810-928f-460d4c0e75ae","block_type":"box","text":"on a more frequent basis than authorized above;","page_number":126,"box":{"x":131,"y":95,"width":346,"height":11}},{"id":"2d6c438c-ac06-42b2-8a47-7e31951af206","block_type":"box","text":"(ii) the disclosure of the Fund’s Portfolio Holdings to third-party service providers not noted above; and","page_number":126,"box":{"x":102,"y":115,"width":738,"height":11}},{"id":"77d3a06a-884c-4ba8-bc7a-9ba7c1aed5e4","block_type":"box","text":"(iii) the disclosure of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to other parties for legitimate","page_number":126,"box":{"x":102,"y":135,"width":804,"height":12}},{"id":"df8a6bcf-c58b-48fe-bc27-bdc3336a5113","block_type":"box","text":"business purposes.","page_number":126,"box":{"x":131,"y":151,"width":138,"height":10}},{"id":"58819333-6f00-444f-a6f5-afebeac3fcf5","block_type":"box","text":"Fact Sheets and Repor ts","page_number":126,"box":{"x":102,"y":173,"width":177,"height":11}},{"id":"688a6544-004c-451d-bac7-b786d3a20828","block_type":"box","text":"•","page_number":126,"box":{"x":102,"y":196,"width":6,"height":5}},{"id":"f159a052-fd83-4849-a820-d4070b21f78f","block_type":"box","text":"Fund Fact Sheets are available to shareholders, prospective shareholders, intermediaries and consultants","page_number":126,"box":{"x":135,"y":193,"width":756,"height":11}},{"id":"6a3136c9-5bad-4cff-97a1-9c7a4932de95","block_type":"box","text":"on a monthly or quarterly basis no earlier than the fifth calendar day after the end of a month or quarter.","page_number":126,"box":{"x":134,"y":208,"width":744,"height":12}},{"id":"0576d66a-533e-4571-9bbd-a78ac3b05d08","block_type":"box","text":"Other Information.","page_number":126,"box":{"x":102,"y":231,"width":128,"height":9}},{"id":"846765f7-9210-4bac-8ef8-4d7349a0843b","block_type":"box","text":"The Policy shall also apply to other Confidential Information of a Fund such as performance","page_number":126,"box":{"x":236,"y":231,"width":651,"height":11}},{"id":"f02f6c5d-9127-4767-9da2-896ca2296684","block_type":"box","text":"attribution analyses or security-specific information (","page_number":126,"box":{"x":69,"y":246,"width":372,"height":11}},{"id":"2351989f-4d98-428a-a009-bd08402336ab","block_type":"box","text":"e.g.","page_number":126,"box":{"x":442,"y":248,"width":25,"height":9}},{"id":"5fae9439-2927-4d3e-b4f4-8211e548bc76","block_type":"box","text":", information about Fund holdings where an issuer has been","page_number":126,"box":{"x":470,"y":246,"width":427,"height":11}},{"id":"b7e5a977-be54-4f08-a83d-fc9a41ff7b06","block_type":"box","text":"downgraded, been acquired or declared bankruptcy).","page_number":126,"box":{"x":69,"y":262,"width":372,"height":11}},{"id":"b38e3611-205c-4bcd-900f-2734c78acbdf","block_type":"box","text":"Data on NAVs, asset levels (by total Fund and share class), accruals, yields, capital gains, dividends and fund","page_number":126,"box":{"x":102,"y":284,"width":781,"height":11}},{"id":"27127350-777f-47b4-907c-d26ada495d10","block_type":"box","text":"returns (net of fees by share class) are generally available to shareholders, prospective shareholders, consultants,","page_number":126,"box":{"x":69,"y":299,"width":818,"height":11}},{"id":"277405f0-58d5-427f-b282-cdb95ef82a4f","block_type":"box","text":"and third-party data providers upon request, as soon as such data is available.","page_number":126,"box":{"x":69,"y":314,"width":562,"height":11}},{"id":"9f1245f9-8eab-4e2c-9b5c-94e83d8f28d7","block_type":"box","text":"Contact Information.","page_number":126,"box":{"x":102,"y":337,"width":144,"height":9}},{"id":"8d175877-6f33-4c8d-9bca-2e11da78d9a4","block_type":"box","text":"For information about portfolio holdings and characteristics, BlackRock fund shareholders","page_number":126,"box":{"x":253,"y":337,"width":639,"height":11}},{"id":"8bafd19e-f8f6-4393-9326-be3ebd55416f","block_type":"box","text":"and prospective investors should call the number set out on the back cover of the Prospectus.","page_number":126,"box":{"x":69,"y":352,"width":672,"height":11}},{"id":"8910f7b4-1360-415a-acc2-574aec5ae50e","block_type":"box","text":"Compensation.","page_number":126,"box":{"x":102,"y":375,"width":105,"height":11}},{"id":"b7b26da1-f094-40a3-a209-996c865b0639","block_type":"box","text":"Neither a Fund, a service provider nor any of their affiliated persons (as that term is defined in","page_number":126,"box":{"x":215,"y":375,"width":672,"height":11}},{"id":"8988b48a-c78c-4042-908f-789cfa6a9507","block_type":"box","text":"the Investment Company Act) shall receive compensation in any form in connection with the disclosure of information","page_number":126,"box":{"x":68,"y":390,"width":837,"height":11}},{"id":"f6333b73-de7b-477f-8e11-09e1984ff195","block_type":"box","text":"about such Fund’s Portfolio Holdings or Portfolio Characteristics.","page_number":126,"box":{"x":69,"y":405,"width":461,"height":11}},{"id":"371208d4-1706-4948-914f-14e5c9f4a242","block_type":"box","text":"Ongoing Arrangements.","page_number":126,"box":{"x":102,"y":428,"width":164,"height":11}},{"id":"2ed1bea0-5a05-4072-ac81-50762b103387","block_type":"box","text":"The Manager has entered into ongoing agreements to provide selective disclosure of","page_number":126,"box":{"x":272,"y":428,"width":605,"height":11}},{"id":"e4ddcc6a-ae30-4cd4-80fd-ea56af05e3b8","block_type":"box","text":"Fund Portfolio Holdings to the following persons or entities:","page_number":126,"box":{"x":70,"y":443,"width":420,"height":11}},{"id":"3b73b880-c765-4276-8037-054d7172a599","block_type":"box","text":"1. Fund’s Board of Directors and, if necessary, independent Directors’ counsel and Fund counsel.","page_number":126,"box":{"x":70,"y":463,"width":707,"height":11}},{"id":"7c0e47fd-f16f-4859-b149-6106f095cbbc","block_type":"box","text":"2. Fund’s Transfer Agent.","page_number":126,"box":{"x":69,"y":483,"width":190,"height":11}},{"id":"58ad50f7-4261-4b1b-86e6-2f4cbcbb120d","block_type":"box","text":"3. Fund’s Custodian.","page_number":126,"box":{"x":69,"y":503,"width":160,"height":9}},{"id":"b69adc89-9d65-4f8d-b739-05695f4c27bd","block_type":"box","text":"4. Fund’s Administrator, if applicable.","page_number":126,"box":{"x":69,"y":523,"width":278,"height":11}},{"id":"ce581d1d-d3ea-4f99-800f-3fbcc57ab893","block_type":"box","text":"5. Fund’s independent registered public accounting firm.","page_number":126,"box":{"x":69,"y":543,"width":414,"height":12}},{"id":"0a3ba4b0-8408-4d04-8989-bdfb31041c1f","block_type":"box","text":"6. Fund’s accounting services provider.","page_number":126,"box":{"x":69,"y":564,"width":291,"height":11}},{"id":"5f4fca43-d3ac-48d4-8fd6-95ce24822283","block_type":"box","text":"7. Independent rating agencies — Lipper Inc., Moody’s, Fitch.","page_number":126,"box":{"x":69,"y":584,"width":451,"height":11}},{"id":"d65f18a4-2b9c-43f2-9c96-60efee0e5127","block_type":"box","text":"8. Information aggregators — S&P Global, Bloomberg, eVestments Alliance and Informa/PSN Investment Solutions.","page_number":126,"box":{"x":69,"y":604,"width":837,"height":11}},{"id":"3ad04af7-575e-40c2-8faf-dd427abd8535","block_type":"box","text":"9. Pricing Vendors — Refinitiv Limited, Refinitiv US LLC, ICE Data Services, Bloomberg, IHS Markit, JP Morgan","page_number":126,"box":{"x":69,"y":624,"width":796,"height":11}},{"id":"25591c6a-69e9-4c9c-9d2e-ca39106149e9","block_type":"box","text":"Pricing-Direct, Valuation Research Corporation, Murray, Devine & Co., Inc. and WM Company PLC.","page_number":126,"box":{"x":102,"y":639,"width":690,"height":12}},{"id":"29544f57-d041-436a-87d4-8e525e18d9cf","block_type":"box","text":"10. Valuation Providers — Houlihan Lokey, Lincoln Financial, Chatham and Kroll.","page_number":126,"box":{"x":70,"y":660,"width":573,"height":11}},{"id":"ac672da2-a448-483d-a58f-b7be59ce0da2","block_type":"box","text":"11. Third-party feeder funds — Stock Index Fund, a series of Homestead Funds, Inc. and Transamerica Stock Index,","page_number":126,"box":{"x":70,"y":680,"width":827,"height":11}},{"id":"ce39ecbd-de84-4619-8fa5-5717690c208a","block_type":"box","text":"a series of Transamerica Funds and their respective boards, sponsors, administrators and other service","page_number":126,"box":{"x":102,"y":695,"width":741,"height":11}},{"id":"cbe90dc3-bcb5-49d0-96c9-1ecddace51a4","block_type":"box","text":"providers.","page_number":126,"box":{"x":102,"y":710,"width":68,"height":11}},{"id":"56cf2480-d128-4fb0-b731-72db34dffe60","block_type":"box","text":"12. Affiliated feeder funds — iShares S&P 500 Index Fund, iShares U.S. Aggregate Bond Index Fund, Treasury","page_number":126,"box":{"x":70,"y":730,"width":790,"height":11}},{"id":"e8deb5a7-b05b-4933-91f2-255fdeba7da3","block_type":"box","text":"Money Market Fund (Cayman) and their respective boards, sponsors, administrators and other service providers.","page_number":126,"box":{"x":102,"y":745,"width":803,"height":11}},{"id":"4ba49b72-e84d-42ee-884c-1e7e412134a2","block_type":"box","text":"13. Other — Investment Company Institute, Goldman Sachs Asset Management, L.P., JPMorgan Chase Bank, N.A.,","page_number":126,"box":{"x":70,"y":765,"width":821,"height":12}},{"id":"df32f0e5-63c2-427b-82ab-16dfa8966862","block_type":"box","text":"Mizuho Asset Management Co., Ltd., Nationwide Fund Advisors, State Street Bank and Trust Company,","page_number":126,"box":{"x":102,"y":780,"width":732,"height":12}},{"id":"bc1e0cde-db09-4984-9ff7-37c417a308b2","block_type":"box","text":"Donnelley Financial Solutions, Inc. and Silicon Valley Bank.","page_number":126,"box":{"x":102,"y":796,"width":416,"height":11}},{"id":"3ad9d8c1-0a5f-4f28-9793-769281bf8d75","block_type":"box","text":"In connection with effecting redemptions in kind, the Fund or the Manager may provide information about a","page_number":126,"box":{"x":102,"y":818,"width":762,"height":11}},{"id":"9374cb62-5147-4014-abad-89348d6c7e10","block_type":"box","text":"Fund’s portfolio holdings, such as the securities to be delivered in connection with the redemption in kind, to a","page_number":126,"box":{"x":70,"y":833,"width":790,"height":12}},{"id":"0c62f228-e3b1-4bcc-acb7-61658f17b5f5","block_type":"box","text":"redeeming shareholder. Typically, such shareholder will be subject to a non-disclosure agreement or other duty to","page_number":126,"box":{"x":69,"y":849,"width":806,"height":11}},{"id":"a6107285-e9a1-4ff0-ace2-8877905e272c","block_type":"box","text":"keep the information confidential.","page_number":126,"box":{"x":69,"y":863,"width":238,"height":11}},{"id":"1ca8c3a1-596a-43b8-9467-3cd6bbd795b6","block_type":"box","text":"With respect to each such arrangement, a Fund has a legitimate business purpose for the release of","page_number":126,"box":{"x":101,"y":886,"width":720,"height":12}},{"id":"360f58bb-e80c-4963-94e1-9351aedfa5b8","block_type":"box","text":"information. The release of the information is subject to confidential treatment to prohibit the entity from sharing with","page_number":126,"box":{"x":70,"y":901,"width":836,"height":12}},{"id":"8d6a0c84-0661-47fc-892b-33aff053c53b","block_type":"box","text":"II-88","page_number":126,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f857d4f4-5681-426e-a13d-4d501fb2c700","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":126,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f6290fd6-0059-40cd-86ce-94636fdde324","block_type":"box","text":"an unauthorized source. The Funds, BlackRock and their affiliates do not receive any compensation or other","page_number":127,"box":{"x":69,"y":45,"width":770,"height":11}},{"id":"c494b356-45ee-495c-b4e4-46c38cb54642","block_type":"box","text":"consideration in connection with such arrangements.","page_number":127,"box":{"x":69,"y":60,"width":375,"height":11}},{"id":"22d7565a-45ec-444a-adbd-0286c837520d","block_type":"box","text":"The Funds and the Manager may monitor, to the extent possible, the use of Confidential Information by the","page_number":127,"box":{"x":101,"y":82,"width":762,"height":12}},{"id":"ba0c2510-eeeb-4bd3-9ff5-6e70187fe364","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":127,"box":{"x":70,"y":98,"width":781,"height":11}},{"id":"4dc93c69-5d6e-485f-b336-f41f170d5058","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":127,"box":{"x":69,"y":113,"width":775,"height":11}},{"id":"13b02a2d-e5fb-4641-84f1-c8fedb628376","block_type":"box","text":"Manager’s compliance personnel under the supervision of the Fund’s CCO, monitor the Manager’s securities trading","page_number":127,"box":{"x":70,"y":128,"width":830,"height":11}},{"id":"77f7efab-f3e8-453b-a4ff-636d333cd0bc","block_type":"box","text":"desks to determine whether individuals or firms who have received Confidential Information have made any trades on","page_number":127,"box":{"x":69,"y":143,"width":836,"height":11}},{"id":"e92f4706-932f-4304-9dac-839edd9ebb79","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":127,"box":{"x":68,"y":158,"width":822,"height":11}},{"id":"e2c09a8e-bd7b-4012-9b28-625a5d8daf31","block_type":"box","text":"personnel of the Manager or its affiliates in securities — including securities held by a Fund — about which the","page_number":127,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"ea16166c-9d1b-4c96-8064-c09b7f8abb25","block_type":"box","text":"Manager has Confidential Information. There can be no assurance, however, that the Fund’s policies and procedures","page_number":127,"box":{"x":70,"y":188,"width":831,"height":12}},{"id":"481acf19-1f08-4c77-aef5-b640b89a12ad","block_type":"box","text":"with respect to the selective disclosure of Portfolio Holdings will prevent the misuse of such information by","page_number":127,"box":{"x":68,"y":203,"width":764,"height":12}},{"id":"f50da616-4e18-4696-a6df-0a829d67c55b","block_type":"box","text":"individuals or firms that receive such information.","page_number":127,"box":{"x":70,"y":218,"width":351,"height":9}},{"id":"12da88c8-a82a-4418-ac8e-afe5c6964398","block_type":"box","text":"Potential Conflicts of Interest","page_number":127,"box":{"x":69,"y":249,"width":216,"height":9}},{"id":"9ad88e6d-7453-4350-a882-196f2d256011","block_type":"box","text":"Cer tain activities of BlackRock, Inc., BlackRock Advisors, LLC, BlackRock Fund Advisors and the other","page_number":127,"box":{"x":102,"y":271,"width":727,"height":11}},{"id":"6b9d5499-3676-4b63-9a48-4c53be96b35f","block_type":"box","text":"subsidiaries of BlackRock, Inc. (collectively referred to in this section as “BlackRock”) and their respective directors,","page_number":127,"box":{"x":69,"y":286,"width":829,"height":12}},{"id":"5dc01b80-1287-4b2e-8f0f-4ba243a349bf","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":127,"box":{"x":69,"y":302,"width":802,"height":11}},{"id":"62f0079f-44dc-4e59-848e-c25dad037588","block_type":"box","text":"actual or perceived conflicts of interest such as those described below.","page_number":127,"box":{"x":69,"y":317,"width":507,"height":11}},{"id":"7c397bde-efb4-4b48-b88f-f862a227ee99","block_type":"box","text":"BlackRock is one of the world’s largest asset management firms. BlackRock, its subsidiaries and their","page_number":127,"box":{"x":102,"y":339,"width":731,"height":12}},{"id":"2c4c2920-44e9-4607-98e9-d7b65b862361","block_type":"box","text":"respective directors, officers and employees, including the business units or entities and personnel who may be","page_number":127,"box":{"x":69,"y":355,"width":799,"height":11}},{"id":"7bac459a-974f-4491-9a57-4f83cc407689","block_type":"box","text":"involved in the investment activities and business operations of a Fund, are engaged worldwide in businesses,","page_number":127,"box":{"x":70,"y":370,"width":786,"height":11}},{"id":"eac002c9-ca0f-4a67-aa46-458bf1669eeb","block_type":"box","text":"including managing equities, fixed income securities, cash and alternative investments, and other financial services,","page_number":127,"box":{"x":70,"y":385,"width":829,"height":11}},{"id":"fbe5ec5c-771d-49de-a074-6fda0dd4568a","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":127,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"4700bcca-b4d3-43d3-8741-27363e841dd7","block_type":"box","text":"should be aware, and which may cause conflicts of interest that could disadvantage a Fund and its shareholders.","page_number":127,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"7b5485b1-17b2-4eba-abd3-1446de1087ff","block_type":"box","text":"These businesses and interests include potential multiple advisory, transactional, financial and other","page_number":127,"box":{"x":101,"y":438,"width":722,"height":11}},{"id":"8cf58677-dfb7-4474-811d-6ef5881de6b4","block_type":"box","text":"relationships with, or interests in companies and interests in securities or other instruments that may be purchased","page_number":127,"box":{"x":69,"y":453,"width":827,"height":11}},{"id":"ec78198a-a254-45bf-8d02-14fd4b24e931","block_type":"box","text":"or sold by a Fund.","page_number":127,"box":{"x":69,"y":468,"width":125,"height":11}},{"id":"77454331-4e68-4501-aa71-2ea95a5effba","block_type":"box","text":"BlackRock may have proprietary interests in, and may manage or advise with respect to, accounts or funds","page_number":127,"box":{"x":102,"y":491,"width":762,"height":11}},{"id":"ce161b4c-02e0-42a9-87e0-60d2cd2a69e9","block_type":"box","text":"(including separate accounts and other funds and collective investment vehicles) that have investment objectives","page_number":127,"box":{"x":69,"y":506,"width":806,"height":11}},{"id":"7b4ddcf8-3940-4904-8204-72df4f2980d6","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":127,"box":{"x":70,"y":521,"width":828,"height":11}},{"id":"40e73fd9-9096-46a9-a737-efbe45e5af2d","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":127,"box":{"x":69,"y":536,"width":808,"height":11}},{"id":"64f43364-5ef4-4f13-a357-068409947176","block_type":"box","text":"substantially similar to those of a Fund but with different fees and expenses, governance and structures, and/or","page_number":127,"box":{"x":69,"y":551,"width":803,"height":11}},{"id":"b0f3331c-b59e-4129-a8ee-1a3d59dfc321","block_type":"box","text":"services provided by BlackRock","page_number":127,"box":{"x":69,"y":566,"width":224,"height":11}},{"id":"a2e8e671-e630-4909-822d-72f6b865cb15","block_type":"box","text":".","page_number":127,"box":{"x":295,"y":574,"width":2,"height":1}},{"id":"14df24f4-2da8-46dc-b342-b8fedf4daad3","block_type":"box","text":"BlackRock is also a major participant in the global currency, equities, swap and fixed","page_number":127,"box":{"x":304,"y":566,"width":603,"height":11}},{"id":"085e9075-e34c-401b-b688-bcf55b06cc12","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":127,"box":{"x":70,"y":581,"width":791,"height":11}},{"id":"56fab711-bc57-4048-bce7-4120518c2bc1","block_type":"box","text":"BlackRock is or may be actively engaged in transactions in the same securities, currencies, and instruments in which","page_number":127,"box":{"x":70,"y":597,"width":835,"height":11}},{"id":"e1fd2348-5e6e-4fe2-beab-4186bbfb5667","block_type":"box","text":"a Fund invests.","page_number":127,"box":{"x":69,"y":612,"width":106,"height":9}},{"id":"5d06ec83-cf5c-4e24-918c-952475373836","block_type":"box","text":"Such activities could affect the prices and availability of the securities, currencies, and instruments in which a","page_number":127,"box":{"x":102,"y":634,"width":785,"height":11}},{"id":"cdeba28c-0558-4de8-adca-482ec3882dfc","block_type":"box","text":"Fund invests, which could have an adverse impact on a Fund’s performance. Such transactions, particularly in","page_number":127,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"ca5a140d-fc60-4a4b-ac26-0eb9578cc8a5","block_type":"box","text":"respect of most proprietary accounts or client accounts, will be executed independently of a Fund’s transactions and","page_number":127,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"f15b97d3-7646-4520-b966-4c5e2e31b1c8","block_type":"box","text":"thus at prices or rates that may be more or less favorable than those obtained by the Fund.","page_number":127,"box":{"x":68,"y":680,"width":652,"height":11}},{"id":"6d4ba07f-ff9e-47f1-9b8d-5beded516b9e","block_type":"box","text":"In addition, the portfolio holdings of certain BlackRock-advised investment vehicles managed in an identical or","page_number":127,"box":{"x":102,"y":702,"width":787,"height":12}},{"id":"1c43c977-b5a2-4eac-9cdf-2df735dbca59","block_type":"box","text":"substantially similar manner as certain Funds are made publicly available on a more timely basis than the applicable","page_number":127,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"9a81c349-205f-4deb-a920-e9e71b080045","block_type":"box","text":"Fund. In some cases, such portfolio holdings are made publicly available on a daily basis. While not expected, it is","page_number":127,"box":{"x":70,"y":732,"width":816,"height":12}},{"id":"25179674-023c-4325-affd-2dac07076c3c","block_type":"box","text":"possible that a recipient of portfolio holdings information for such an investment vehicle could cause harm to a Fund","page_number":127,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"9145276d-a234-4df9-a9e5-c1f2c4762b4e","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":127,"box":{"x":68,"y":763,"width":813,"height":11}},{"id":"f318679e-d6eb-4ab8-8f6e-fe55d0269961","block_type":"box","text":"based on the information received.","page_number":127,"box":{"x":69,"y":778,"width":247,"height":9}},{"id":"c31e2e15-caf6-4b5f-950f-e10e7a6d82bb","block_type":"box","text":"When BlackRock seeks to purchase or sell the same assets for client accounts, including a Fund, the assets","page_number":127,"box":{"x":101,"y":801,"width":777,"height":11}},{"id":"030b9ddd-963b-47e5-b899-7c86f58debd0","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":127,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"77633646-827b-4195-98dd-274a0cee16c8","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":127,"box":{"x":69,"y":831,"width":835,"height":11}},{"id":"bc90b63e-1f31-4f2e-bd3f-c39e1842a84c","block_type":"box","text":"Fund. In addition, transactions in investments by one or more other accounts managed by BlackRock may have the","page_number":127,"box":{"x":70,"y":846,"width":817,"height":11}},{"id":"68b249f6-4ee4-482a-87a4-529061edaa80","block_type":"box","text":"effect of diluting or otherwise disadvantaging the values, prices or investment strategies of a Fund, particularly, but","page_number":127,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"58203990-a7ae-48be-abac-9005843fefc1","block_type":"box","text":"not limited to, with respect to small capitalization, emerging market or less liquid strategies. This may occur with","page_number":127,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"7aeb8b35-1849-4b69-8b8f-a9127d6c79ce","block_type":"box","text":"respect to BlackRock-advised accounts when investment decisions regarding a Fund are based on research or other","page_number":127,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"eb1a77b7-bd91-4577-88c9-b7fe8480fc36","block_type":"box","text":"information that is also used to support decisions for other accounts. When BlackRock implements a portfolio","page_number":127,"box":{"x":70,"y":906,"width":785,"height":11}},{"id":"b63a83eb-93a5-4af9-9f0a-1b52fdc548a3","block_type":"box","text":"II-89","page_number":127,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"71dc31c8-5b77-4948-b529-d8cc70dc941a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":127,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"056547e0-e8ed-4bb3-ad2a-61d4ed78cf65","block_type":"box","text":"decision or strategy on behalf of another account ahead of, or contemporaneously with, similar decisions or","page_number":128,"box":{"x":69,"y":45,"width":767,"height":11}},{"id":"29eeeb52-8fd6-4974-bb15-a5f0c6675bc6","block_type":"box","text":"strategies for a Fund, market impact, liquidity constraints, or other factors could result in the Fund receiving less","page_number":128,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"fab8f1cf-acd1-4e8f-b551-8b0736c3480f","block_type":"box","text":"favorable trading results and the costs of implementing such decisions or strategies could be increased or the Fund","page_number":128,"box":{"x":68,"y":75,"width":827,"height":11}},{"id":"d532bf5f-31ca-4c32-9481-49b4e1cfb307","block_type":"box","text":"could otherwise be disadvantaged. BlackRock may, in certain cases, elect to implement internal policies and","page_number":128,"box":{"x":69,"y":90,"width":776,"height":11}},{"id":"473d1cd1-3b2a-4688-ba38-2ee2649622f5","block_type":"box","text":"procedures designed to limit such consequences, which may cause a Fund to be unable to engage in certain","page_number":128,"box":{"x":70,"y":105,"width":774,"height":11}},{"id":"0cdf60b6-3e66-4be5-a07b-396ab828b250","block_type":"box","text":"activities, including purchasing or disposing of securities, when it might otherwise be desirable for it to do so.","page_number":128,"box":{"x":69,"y":120,"width":781,"height":12}},{"id":"98723305-1057-4a71-9a29-5c936c31c02a","block_type":"box","text":"Conflicts may also arise because portfolio decisions regarding a Fund may benefit other accounts managed by","page_number":128,"box":{"x":69,"y":135,"width":787,"height":12}},{"id":"a92b95a4-7edd-45ea-bef2-b32ac5cb38d9","block_type":"box","text":"BlackRock. For example, the sale of a long position or establishment of a short position by a Fund may impair the","page_number":128,"box":{"x":70,"y":150,"width":809,"height":12}},{"id":"159902e3-d521-4928-be09-59088fe77e25","block_type":"box","text":"price of the same security sold short by (and therefore benefit) BlackRock or its other accounts or funds, and the","page_number":128,"box":{"x":70,"y":166,"width":805,"height":11}},{"id":"71a0bff3-382b-4ece-9dd5-dcb5c2c1342e","block_type":"box","text":"purchase of a security or covering of a short position in a security by a Fund may increase the price of the same","page_number":128,"box":{"x":70,"y":181,"width":797,"height":11}},{"id":"88ee306a-19ac-45dd-894a-8a82afbcdc5a","block_type":"box","text":"security held by (and therefore benefit) BlackRock or its other accounts or funds.","page_number":128,"box":{"x":69,"y":196,"width":573,"height":11}},{"id":"7240c2c9-c185-4949-a2a2-8225ab3799b5","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":128,"box":{"x":102,"y":218,"width":797,"height":12}},{"id":"8341f9db-9fc1-40a8-aee2-0e26d4f3f899","block_type":"box","text":"extend credit to different parts of the capital structure of a single issuer. BlackRock may pursue rights, provide","page_number":128,"box":{"x":69,"y":234,"width":791,"height":11}},{"id":"c7710d23-fbf2-4d31-841f-f78db3e4f6c9","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":128,"box":{"x":69,"y":249,"width":835,"height":11}},{"id":"21fa7494-f227-4803-8131-03033af8f9d8","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":128,"box":{"x":69,"y":264,"width":812,"height":11}},{"id":"244e1f70-a07d-4907-a84e-840410b27fbc","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":128,"box":{"x":69,"y":279,"width":803,"height":11}},{"id":"2df236c1-10ae-408b-ba8d-0e8b2c425bac","block_type":"box","text":"Funds) hold positions in multiple parts of the capital structure of an issuer, BlackRock may not pursue certain","page_number":128,"box":{"x":70,"y":294,"width":783,"height":11}},{"id":"6e8ddd53-e8d9-4a26-b92d-2ff5586911cd","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":128,"box":{"x":69,"y":309,"width":818,"height":11}},{"id":"33a9195d-d1c0-4195-8f81-04e79359c132","block_type":"box","text":"BlackRock addresses these and other potential conflicts of interest based on the facts and circumstances of","page_number":128,"box":{"x":70,"y":324,"width":777,"height":11}},{"id":"58dc0392-a173-4bcd-aaad-32f6cdb8fc7a","block_type":"box","text":"particular situations. For example, BlackRock may determine to rely on information barriers between different","page_number":128,"box":{"x":70,"y":339,"width":780,"height":12}},{"id":"de6f5677-9cbb-4e36-a3f9-9189a8cc44b3","block_type":"box","text":"business units or portfolio management teams. BlackRock may also determine to rely on the actions of similarly","page_number":128,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"86d15382-33e9-4762-ad7f-d828f0c7388b","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":128,"box":{"x":69,"y":370,"width":817,"height":11}},{"id":"a014de0d-90de-428c-abc7-13ba0d6f43b6","block_type":"box","text":"Funds.","page_number":128,"box":{"x":70,"y":385,"width":44,"height":9}},{"id":"148229d4-ab94-4136-852a-f3eddd67586d","block_type":"box","text":"In addition, to the extent permitted by applicable law, certain Funds may invest their assets in other funds","page_number":128,"box":{"x":102,"y":407,"width":755,"height":12}},{"id":"aeb6ecb9-fe65-430d-a2f8-371a7736a79c","block_type":"box","text":"advised by BlackRock, including funds that are managed by one or more of the same portfolio managers, which could","page_number":128,"box":{"x":69,"y":423,"width":836,"height":11}},{"id":"70b3911b-3e08-467c-8c76-c980cb032152","block_type":"box","text":"result in conflicts of interest relating to asset allocation, timing of Fund purchases and redemptions, and increased","page_number":128,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"559c1458-5e8a-4ac2-8573-d7423f5dd214","block_type":"box","text":"remuneration and profitability for BlackRock and/or its personnel, including portfolio managers.","page_number":128,"box":{"x":69,"y":453,"width":679,"height":11}},{"id":"b555c923-f645-44d3-8aed-38143bf9bda3","block_type":"box","text":"Third parties, including service providers to BlackRock or the Fund, may sponsor events (including, but not","page_number":128,"box":{"x":101,"y":476,"width":760,"height":11}},{"id":"8e97e358-3036-4ccd-9e50-e68cf8995ddc","block_type":"box","text":"limited to, marketing and promotional activities and presentations, educational training programs and conferences)","page_number":128,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"0d1189f1-587e-4d44-b892-abf2107f169f","block_type":"box","text":"for registered representatives, other professionals and individual investors. There is a potential conflict of interest as","page_number":128,"box":{"x":68,"y":506,"width":836,"height":11}},{"id":"753f3795-36de-4b8b-98ec-89b805eae823","block_type":"box","text":"such sponsorships may defray the costs of such activities to BlackRock, and may provide an incentive to BlackRock","page_number":128,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"8e8b6833-4d0d-4eb4-bdea-899887ef6e2b","block_type":"box","text":"to retain such third parties to provide services to the Fund.","page_number":128,"box":{"x":68,"y":536,"width":421,"height":11}},{"id":"f6f1f9db-fa2a-4586-b813-886a9b619167","block_type":"box","text":"In certain circumstances, BlackRock, on behalf of the Funds, may seek to buy from or sell securities to another","page_number":128,"box":{"x":102,"y":559,"width":794,"height":11}},{"id":"2cf90539-1b08-4def-8e6c-303fa5171132","block_type":"box","text":"fund or account advised by BlackRock. BlackRock may (but is not required to) effect purchases and sales between","page_number":128,"box":{"x":68,"y":574,"width":817,"height":11}},{"id":"4221e5ae-e704-4231-a3a8-0d3d89d9a217","block_type":"box","text":"BlackRock clients (“cross trades”), including the Funds, if BlackRock believes such transactions are appropriate","page_number":128,"box":{"x":70,"y":589,"width":797,"height":11}},{"id":"b5a73099-9ded-459f-97cf-7cafa570bc51","block_type":"box","text":"based on each party’s investment objectives and guidelines, subject to applicable law and regulation. There may be","page_number":128,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"83435d23-10b7-4fec-805d-a4bdc4436d7a","block_type":"box","text":"potential conflicts of interest or regulatory issues relating to these transactions which could limit BlackRock’s","page_number":128,"box":{"x":70,"y":619,"width":780,"height":11}},{"id":"ec994867-1178-4bd8-bbb6-84c625ad32e5","block_type":"box","text":"decision to engage in these transactions for the Funds. BlackRock may have a potentially conflicting division of","page_number":128,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"43b4c113-81e0-4f0f-850b-094bac1cf30b","block_type":"box","text":"loyalties and responsibilities to the parties in such transactions.","page_number":128,"box":{"x":70,"y":650,"width":457,"height":11}},{"id":"bed26a3a-eda2-4192-9c12-15ecb5052f4b","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":128,"box":{"x":102,"y":672,"width":784,"height":11}},{"id":"3e793806-cb38-494b-bb0c-c618ad5591b9","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":128,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"7d138c81-4818-4392-8e80-a5161a4a2345","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":128,"box":{"x":70,"y":702,"width":827,"height":12}},{"id":"ae4aea32-7c01-4ee3-8aea-2807d1fd8be2","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":128,"box":{"x":70,"y":717,"width":828,"height":12}},{"id":"8caec2e6-710e-4462-8ff3-ae5cc8868f67","block_type":"box","text":"case.","page_number":128,"box":{"x":69,"y":735,"width":37,"height":7}},{"id":"4b5648d0-8ef1-41a1-94b3-63ad04b14932","block_type":"box","text":"The results of a Fund’s investment activities may differ significantly from the results achieved by BlackRock for","page_number":128,"box":{"x":101,"y":755,"width":791,"height":11}},{"id":"0e45938e-7049-496c-b775-38ae417e6663","block_type":"box","text":"its proprietary accounts or other accounts (including investment companies or collective investment vehicles) that it","page_number":128,"box":{"x":70,"y":771,"width":824,"height":11}},{"id":"c60c0a2a-6128-4410-b84b-006bab6a2638","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":128,"box":{"x":69,"y":786,"width":798,"height":11}},{"id":"d931ae3c-754f-4c4d-aaaf-9f9c39366032","block_type":"box","text":"accounts will achieve investment results that are substantially more or less favorable than the results achieved by a","page_number":128,"box":{"x":69,"y":801,"width":828,"height":11}},{"id":"0d713a84-53ee-4770-8394-ad4d1580c548","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":128,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"048c6ad9-4c64-4ac2-9212-89b970d05c5b","block_type":"box","text":"accounts managed or advised by BlackRock achieve significant profits. The opposite result is also possible.","page_number":128,"box":{"x":69,"y":831,"width":767,"height":11}},{"id":"25f546fc-3c35-420d-aaf5-85f8e02090cf","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":128,"box":{"x":102,"y":853,"width":766,"height":12}},{"id":"98d6c375-737c-4016-9f42-87397eed68f6","block_type":"box","text":"investment activities because of regulatory, legal or contractual requirements applicable to BlackRock or other","page_number":128,"box":{"x":70,"y":869,"width":786,"height":11}},{"id":"09089642-1223-4be3-897d-af95952e964e","block_type":"box","text":"accounts managed or advised by BlackRock, and/or the internal policies of BlackRock designed to comply with such","page_number":128,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"2a5bc948-a1d8-49ab-9b1c-069952265b14","block_type":"box","text":"requirements. As a result, there may be periods, for example, when BlackRock will not initiate or recommend certain","page_number":128,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"5390744d-b985-4209-9942-9e8e6deacc36","block_type":"box","text":"II-90","page_number":128,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d79e2cc4-c7fc-414e-a63b-2d0046d32af0","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":128,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"706b08ba-ad00-4fb3-a38c-9716df658abe","block_type":"box","text":"types of transactions in certain securities or instruments with respect to which BlackRock is performing services or","page_number":129,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"b0bbb791-a575-402f-a349-6d53845ed958","block_type":"box","text":"when position limits have been reached. For example, the investment activities of BlackRock for its proprietary","page_number":129,"box":{"x":68,"y":60,"width":790,"height":11}},{"id":"c112ef72-5308-4a70-9975-be51b38a66dc","block_type":"box","text":"accounts and accounts under its management may limit the investment opportunities for a Fund in certain emerging","page_number":129,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"44034a4e-29ee-448b-af1a-e5e39989473d","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":129,"box":{"x":69,"y":90,"width":827,"height":11}},{"id":"170ee0f1-afa9-48cd-91fe-5af2cc45a8c7","block_type":"box","text":"issuers, by affiliated foreign investors.","page_number":129,"box":{"x":70,"y":105,"width":271,"height":11}},{"id":"18401e96-c581-403b-bb80-a5b12582e155","block_type":"box","text":"In connection with its management of a Fund, BlackRock may have access to certain fundamental analysis and","page_number":129,"box":{"x":102,"y":128,"width":792,"height":11}},{"id":"dd2bbf31-0617-4a52-85a0-fcd966be973a","block_type":"box","text":"proprietary technical models developed by BlackRock. BlackRock will not be under any obligation, however, to effect","page_number":129,"box":{"x":70,"y":143,"width":826,"height":11}},{"id":"02525a44-96f3-4369-8fe9-7a00f58a6f92","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":129,"box":{"x":68,"y":158,"width":821,"height":11}},{"id":"4cbd72c4-3913-4f69-bd2a-de71f22faa90","block_type":"box","text":"any obligation to make available any information regarding its proprietary activities or strategies, or the activities or","page_number":129,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"28170fa5-b9ff-4acb-98e3-452c335789fd","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":129,"box":{"x":69,"y":188,"width":793,"height":12}},{"id":"fcc445fa-81a6-45e8-8a91-7ff2940440c2","block_type":"box","text":"anticipated that BlackRock will have access to such information for the purpose of managing the Fund. The","page_number":129,"box":{"x":69,"y":203,"width":762,"height":12}},{"id":"af212de9-4b1d-49f6-86fa-08f53d1e79ac","block_type":"box","text":"proprietary activities or portfolio strategies of BlackRock, or the activities or strategies used for accounts managed by","page_number":129,"box":{"x":70,"y":218,"width":839,"height":12}},{"id":"f00be7fe-9b62-44b7-9fcf-4a711874b5ad","block_type":"box","text":"BlackRock or other client accounts could conflict with the transactions and strategies employed by BlackRock in","page_number":129,"box":{"x":70,"y":234,"width":795,"height":11}},{"id":"a2072614-552d-4ec0-b013-fbf1064cdd80","block_type":"box","text":"managing a Fund.","page_number":129,"box":{"x":69,"y":249,"width":124,"height":11}},{"id":"49ef1dfb-c31f-41c6-9e66-7118fdaa4a22","block_type":"box","text":"The Funds may be included in investment models developed by BlackRock for use by clients and financial","page_number":129,"box":{"x":101,"y":271,"width":751,"height":12}},{"id":"7655b3ee-dd97-4512-8b91-c593933a1e42","block_type":"box","text":"advisors. To the extent clients invest in these investment models and increase the assets under management of the","page_number":129,"box":{"x":69,"y":286,"width":830,"height":12}},{"id":"bad2ada4-ea7a-4a1e-9bf7-07b383b32a79","block_type":"box","text":"Funds, the investment management fee amounts paid by the Funds to BlackRock may also increase. The net asset","page_number":129,"box":{"x":70,"y":302,"width":820,"height":11}},{"id":"debcf337-498f-46c5-af5f-585dc65fe1c4","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":129,"box":{"x":68,"y":317,"width":785,"height":11}},{"id":"3edf113b-f63b-43cb-9533-efdd65c5d226","block_type":"box","text":"portfolios, as well as by BlackRock itself and by its advisory clients.","page_number":129,"box":{"x":70,"y":332,"width":481,"height":11}},{"id":"e53655a2-9998-4b46-9949-a5f0fc834250","block_type":"box","text":"In addition, certain principals and certain employees of a Fund’s investment adviser are also principals or","page_number":129,"box":{"x":102,"y":355,"width":754,"height":11}},{"id":"20cdcde2-a5a3-415f-9c1f-49ff1dbab7da","block_type":"box","text":"employees of other business units or entities within BlackRock. As a result, these principals and employees may","page_number":129,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"705778c0-d295-4ea9-bd30-68034ca93fef","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":129,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"ae61ca4c-4ff8-4996-b9c7-b3de0706814e","block_type":"box","text":"or entities or their clients may be a consideration of which investors in a Fund should be aware.","page_number":129,"box":{"x":69,"y":400,"width":680,"height":11}},{"id":"57656bbb-b9f9-4270-a404-11127de0ea91","block_type":"box","text":"BlackRock may enter into transactions and invest in securities, instruments and currencies on behalf of a Fund","page_number":129,"box":{"x":102,"y":423,"width":791,"height":11}},{"id":"de0088e3-6fd2-4c28-8ca0-531f03512732","block_type":"box","text":"in which clients of BlackRock, or, to the extent permitted by the Commission and applicable law, BlackRock, serves","page_number":129,"box":{"x":70,"y":438,"width":820,"height":11}},{"id":"436467ac-ff13-4cec-925e-22854baba2db","block_type":"box","text":"as the counterparty, principal or issuer. In such cases, such party’s interests in the transaction will be adverse to the","page_number":129,"box":{"x":69,"y":453,"width":837,"height":11}},{"id":"ca38bb20-4098-4cb2-8053-bb44daf7b3ff","block_type":"box","text":"interests of the Fund, and such party may have no incentive to assure that the Fund obtains the best possible prices","page_number":129,"box":{"x":70,"y":468,"width":832,"height":11}},{"id":"23b2418d-2326-4466-adab-dbf70b61a016","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":129,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"814b594e-b430-4335-95e6-39a7c3f9a64e","block_type":"box","text":"Fund may enhance the profitability of BlackRock.","page_number":129,"box":{"x":70,"y":498,"width":344,"height":11}},{"id":"d283a29c-d03a-4ac0-95b3-29f47c9336fd","block_type":"box","text":"BlackRock may also create, write or issue derivatives for clients, the underlying securities, currencies or","page_number":129,"box":{"x":102,"y":521,"width":741,"height":11}},{"id":"bdc62f04-931c-4d41-aef4-4ccb10abafbe","block_type":"box","text":"instruments of which may be those in which a Fund invests or which may be based on the performance of the Fund.","page_number":129,"box":{"x":70,"y":536,"width":824,"height":11}},{"id":"f1e456c9-9c18-4324-a52b-37cf48cf2bab","block_type":"box","text":"Additionally, an affiliate of BlackRock will create, write or issue options, which may be based on the performance of","page_number":129,"box":{"x":68,"y":551,"width":825,"height":11}},{"id":"a663b0b0-426d-425b-8e8f-3e28bc139c73","block_type":"box","text":"certain Funds. BlackRock has entered into an arrangement with Markit Indices Limited, the index provider for","page_number":129,"box":{"x":69,"y":566,"width":777,"height":11}},{"id":"eaf73ef9-e3e9-4cbd-91ff-8a401bfb6e4b","block_type":"box","text":"underlying fixed-income indexes used by certain iShares ETFs, related to derivative fixed-income products that are","page_number":129,"box":{"x":69,"y":581,"width":810,"height":12}},{"id":"6e398d6c-da2e-4110-adc1-5f648fffa875","block_type":"box","text":"based on such iShares ETFs. Trading activity in these derivative products could also potentially lead to greater","page_number":129,"box":{"x":69,"y":597,"width":784,"height":11}},{"id":"8875c894-81e1-4f4b-a5ca-bce16a15ea5f","block_type":"box","text":"liquidity for such products, increased purchase activity with respect to these iShares ETFs and increased assets","page_number":129,"box":{"x":70,"y":612,"width":798,"height":11}},{"id":"d3c8a612-af73-4b6c-8975-b76ba3d11406","block_type":"box","text":"under management for BlackRock.","page_number":129,"box":{"x":69,"y":627,"width":243,"height":11}},{"id":"77a8b831-daab-4c9a-92cb-6f4e9e706eaf","block_type":"box","text":"A Fund may, subject to applicable law, purchase investments that are the subject of an underwriting or other","page_number":129,"box":{"x":101,"y":649,"width":773,"height":12}},{"id":"eb03d3fc-c5fe-4146-9fb6-0f3f38cb524d","block_type":"box","text":"distribution by BlackRock and may also enter into transactions with other clients of BlackRock where such other","page_number":129,"box":{"x":69,"y":664,"width":797,"height":12}},{"id":"a49a28d1-8dd2-4ca6-97b0-87087943e3ae","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":129,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"20f6cb48-c7c5-4363-8792-f063455035e6","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":129,"box":{"x":68,"y":695,"width":837,"height":11}},{"id":"dbc0781e-af7d-4fd6-bc95-5f882b01fe46","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":129,"box":{"x":70,"y":710,"width":781,"height":11}},{"id":"ab33983f-cc2f-4ca8-94ad-642f1ad3a571","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":129,"box":{"x":101,"y":733,"width":779,"height":11}},{"id":"e786c9b8-fa13-4871-81b4-2ca194e3cef9","block_type":"box","text":"other commercial capacities for a Fund. It is anticipated that the commissions, mark-ups, mark-downs, financial","page_number":129,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"ebbed98c-8cf0-4570-b1cf-9c904a3a0016","block_type":"box","text":"advisory fees, underwriting and placement fees, sales fees, financing and commitment fees, brokerage fees, other","page_number":129,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"58ce29cb-1564-4c50-9cb7-de3fd9dd8fdb","block_type":"box","text":"fees, compensation or profits, rates, terms and conditions charged by BlackRock will be in its view commercially","page_number":129,"box":{"x":68,"y":778,"width":802,"height":11}},{"id":"c8b90b05-058c-478f-a714-c51a91094728","block_type":"box","text":"reasonable, although BlackRock, including its sales personnel, will have an interest in obtaining fees and other","page_number":129,"box":{"x":69,"y":793,"width":792,"height":11}},{"id":"bd3e6b96-ff2b-4b08-b6e9-f25284d097e3","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":129,"box":{"x":69,"y":808,"width":832,"height":11}},{"id":"8e35fcc5-84c3-4cc2-9679-01c572edd2ad","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":129,"box":{"x":70,"y":823,"width":833,"height":11}},{"id":"9231533f-ff8b-420c-8ff5-ab591c1a91c4","block_type":"box","text":"that acts as a broker, dealer, agent, lender or in other commercial capacities for a Fund or BlackRock.","page_number":129,"box":{"x":68,"y":838,"width":726,"height":12}},{"id":"14fff861-5504-4e9a-88fc-7d3f18684b76","block_type":"box","text":"Subject to applicable law, BlackRock (and its personnel and other distributors) will be entitled to retain fees and","page_number":129,"box":{"x":102,"y":861,"width":796,"height":11}},{"id":"5c917c1f-a693-40d6-8b8b-480b6a48a0ad","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":129,"box":{"x":69,"y":876,"width":837,"height":11}},{"id":"49f2558b-9b08-451a-be51-8ee7b0785607","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":129,"box":{"x":69,"y":891,"width":823,"height":12}},{"id":"43af6fcb-0b99-48a5-bd27-68f74d9c8966","block_type":"box","text":"II-91","page_number":129,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3b9e4fa3-bf99-4acf-ab35-e7a78f981be8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":129,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2c6925dc-8090-47f4-a5a5-557c71a5fd74","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":130,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"848cb916-b5a9-4fe0-9288-788976c92adc","block_type":"box","text":"any such fees or other amounts.","page_number":130,"box":{"x":69,"y":60,"width":230,"height":11}},{"id":"46951b3e-fff0-430c-baa0-92699e34654a","block_type":"box","text":"When BlackRock acts as broker, dealer, agent, adviser or in other commercial capacities in relation to the Funds,","page_number":130,"box":{"x":101,"y":83,"width":805,"height":11}},{"id":"8252e13e-670b-4f43-93bd-0dc7d601043f","block_type":"box","text":"BlackRock may take commercial steps in its own interests, which may have an adverse effect on the Funds.","page_number":130,"box":{"x":70,"y":98,"width":768,"height":11}},{"id":"4fdc166c-5f17-49b9-b9ae-7eef50ef9202","block_type":"box","text":"A Fund will be required to establish business relationships with its counterparties based on the Fund’s own","page_number":130,"box":{"x":101,"y":120,"width":766,"height":11}},{"id":"5852b984-fcee-433f-936f-a55980556f26","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":130,"box":{"x":69,"y":136,"width":793,"height":11}},{"id":"fc756f9e-7073-44be-a4ed-0cb9aa9941f2","block_type":"box","text":"establishment of its business relationships, nor is it expected that the Fund’s counterparties will rely on the credit of","page_number":130,"box":{"x":69,"y":150,"width":835,"height":12}},{"id":"5e375186-d9e5-4615-a18d-5d5f129bf7f2","block_type":"box","text":"BlackRock in evaluating the Fund’s creditworthiness.","page_number":130,"box":{"x":70,"y":166,"width":374,"height":11}},{"id":"e047df44-caa8-4f15-8c4b-a1e8ea665820","block_type":"box","text":"BlackRock Investment Management, LLC (“BIM”) or BlackRock Institutional Trust Company, N.A. (“BTC”), as","page_number":130,"box":{"x":102,"y":188,"width":768,"height":12}},{"id":"56563c79-a578-4361-9989-27eb23c4856a","block_type":"box","text":"applicable, each an affiliate of BlackRock, pursuant to SEC exemptive relief, acts as securities lending agent to, and","page_number":130,"box":{"x":69,"y":203,"width":829,"height":12}},{"id":"178b8bd2-7e6c-47a5-a131-a213336c66db","block_type":"box","text":"receives a share of securities lending revenues from, the Funds. BlackRock will also receive compensation for","page_number":130,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"3cd1932a-8a28-4eb0-beb6-dfd2a585d371","block_type":"box","text":"managing the reinvestment of the cash collateral from securities lending. There are potential conflicts of interests in","page_number":130,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"481970dc-8dc2-4fc9-84b4-baa13477ce6a","block_type":"box","text":"managing a securities lending program, including but not limited to: (i) BlackRock as securities lending agent may","page_number":130,"box":{"x":69,"y":249,"width":809,"height":11}},{"id":"e5f7dc7e-aa69-43e7-b5b5-7cf46d33e562","block_type":"box","text":"have an incentive to, among other things, increase or decrease the amount of securities on loan or to lend particular","page_number":130,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"a9519cc8-1e2f-41f6-adec-f919fc91314e","block_type":"box","text":"securities in order to generate additional risk-adjusted revenue for BlackRock and its affiliates; and (ii) BlackRock as","page_number":130,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"7d48e07c-a6d0-4fe8-bc9e-bb80c5b59bfa","block_type":"box","text":"securities lending agent may have an incentive to allocate loans to clients that would provide more revenue to","page_number":130,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"b8b9fa0f-0f63-4146-8e2b-e94b58e1ee6b","block_type":"box","text":"BlackRock. As described further below, BlackRock seeks to mitigate this conflict by providing its securities lending","page_number":130,"box":{"x":70,"y":309,"width":814,"height":11}},{"id":"aa7528e9-45f5-44ea-8c58-be1de72d1ff2","block_type":"box","text":"clients with equal lending opportunities over time in order to approximate pro rata allocation.","page_number":130,"box":{"x":69,"y":325,"width":660,"height":11}},{"id":"14aea91f-3a6a-4739-a192-c2f516188540","block_type":"box","text":"As part of its securities lending program, BlackRock indemnifies the Funds and certain other clients and/or","page_number":130,"box":{"x":101,"y":347,"width":767,"height":11}},{"id":"2fd3a8c1-103e-4d99-be00-cbd53b73063f","block_type":"box","text":"funds against a shortfall in collateral in the event of borrower default. On a regular basis, BlackRock calculates the","page_number":130,"box":{"x":68,"y":362,"width":820,"height":11}},{"id":"870dda88-8c08-4212-a5e1-d42244dd0256","block_type":"box","text":"potential dollar exposure of collateral shortfall resulting from a borrower default (“shortfall risk”) in the securities","page_number":130,"box":{"x":70,"y":377,"width":806,"height":12}},{"id":"abf3e71e-ead2-4dcc-8c24-3cca1f12d6ea","block_type":"box","text":"lending program. BlackRock establishes program-wide borrower limits (“credit limits”) to actively manage borrower","page_number":130,"box":{"x":70,"y":393,"width":816,"height":11}},{"id":"a7313ec2-65a9-4baf-8b49-9be41e0f6711","block_type":"box","text":"specific credit exposure. BlackRock oversees the risk model that calculates projected collateral shortfall values using","page_number":130,"box":{"x":69,"y":407,"width":838,"height":12}},{"id":"64fb8168-b686-4d7a-8d7c-e3e754bb7620","block_type":"box","text":"loan-level factors such as loan and collateral type and market value as well as specific borrower credit","page_number":130,"box":{"x":70,"y":423,"width":727,"height":11}},{"id":"f0f9edd1-f547-4a41-86f1-a5ea4399307c","block_type":"box","text":"characteristics. When necessary, BlackRock may adjust securities lending program attributes by restricting eligible","page_number":130,"box":{"x":69,"y":438,"width":815,"height":11}},{"id":"b4e6f2d6-d2a0-4263-8079-d6f969ca7857","block_type":"box","text":"collateral or reducing borrower credit limits. As a result, the management of program-wide exposure as well as","page_number":130,"box":{"x":69,"y":453,"width":786,"height":11}},{"id":"9fcf0bb6-f406-4a43-b550-2bce530b02d5","block_type":"box","text":"BlackRock-specific indemnification exposure may affect the amount of securities lending activity BlackRock may","page_number":130,"box":{"x":70,"y":468,"width":796,"height":11}},{"id":"a0c6dc2a-58e0-48f4-8af7-cb7399274c26","block_type":"box","text":"conduct at any given point in time by reducing the volume of lending opportunities for certain loans (including by","page_number":130,"box":{"x":69,"y":483,"width":799,"height":11}},{"id":"9974ba93-f7a1-4b13-805f-785743351902","block_type":"box","text":"asset type, collateral type and/or revenue profile).","page_number":130,"box":{"x":69,"y":498,"width":356,"height":11}},{"id":"a6b9e977-2fe9-4cf6-baca-581081af7261","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":130,"box":{"x":102,"y":521,"width":801,"height":11}},{"id":"dc74f198-a5a2-4548-99d4-790487a2e78c","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":130,"box":{"x":68,"y":536,"width":817,"height":11}},{"id":"e99d8d45-470f-4a47-bf08-1c38760d785e","block_type":"box","text":"and/or market rules, liquidity considerations, or credit considerations, which may impact Funds by reducing or","page_number":130,"box":{"x":69,"y":551,"width":784,"height":11}},{"id":"ec66ecd6-383d-4b30-9e00-842367b35c32","block_type":"box","text":"eliminating the volume of lending opportunities for certain types of loans, loans in particular markets, loans of","page_number":130,"box":{"x":69,"y":566,"width":789,"height":11}},{"id":"7aac9a30-ce58-4a70-8ba4-b3b9dc2d6391","block_type":"box","text":"particular securities or types of securities, or for loans overall. In addition, some borrowers may prefer certain","page_number":130,"box":{"x":70,"y":581,"width":783,"height":11}},{"id":"83052883-247d-4577-91fc-00e9977673c7","block_type":"box","text":"BlackRock lenders that provide additional protections against lender default that are favored by their prudential","page_number":130,"box":{"x":70,"y":596,"width":790,"height":12}},{"id":"4684a498-668f-4972-a2bd-999a8e45145e","block_type":"box","text":"regulation.","page_number":130,"box":{"x":69,"y":612,"width":73,"height":11}},{"id":"b0fd9b5d-2e73-4b3c-8fb4-33b0a40c8722","block_type":"box","text":"BlackRock uses a predetermined systematic process in order to approximate pro rata allocation over time. In","page_number":130,"box":{"x":102,"y":634,"width":777,"height":11}},{"id":"acdaf3b5-3040-477a-940b-a09f0fc20cc6","block_type":"box","text":"order to allocate a loan to a portfolio: (i) BlackRock as a whole must have sufficient lending capacity pursuant to the","page_number":130,"box":{"x":69,"y":649,"width":830,"height":12}},{"id":"34df1719-2ee4-47e1-97aa-80735c8956b9","block_type":"box","text":"various program limits (","page_number":130,"box":{"x":68,"y":665,"width":168,"height":11}},{"id":"ca085525-99c8-4e11-b144-a15470e8f578","block_type":"box","text":"i.e.","page_number":130,"box":{"x":238,"y":665,"width":20,"height":8}},{"id":"56139de9-25ba-4b39-86b4-12f6866a08ea","block_type":"box","text":"indemnification exposure limit and borrower credit limits); (ii) the lending portfolio must","page_number":130,"box":{"x":265,"y":664,"width":621,"height":12}},{"id":"0a16ef01-0bd4-4659-882c-2dea211d3412","block_type":"box","text":"hold the asset at the time a loan opportunity arrives; and (iii) the lending portfolio must also have enough inventory,","page_number":130,"box":{"x":69,"y":680,"width":827,"height":11}},{"id":"e4c8f002-8cf3-43cd-bb40-e997a95bdf5b","block_type":"box","text":"either on its own or when aggregated with other portfolios into one single market delivery, to satisfy the loan request.","page_number":130,"box":{"x":69,"y":695,"width":836,"height":11}},{"id":"c4a02b04-6bdb-4026-aab8-02a05b6073e1","block_type":"box","text":"In doing so, BlackRock seeks to provide equal lending opportunities for all portfolios, independent of whether","page_number":130,"box":{"x":70,"y":710,"width":780,"height":11}},{"id":"0963b05a-0d4f-4684-b648-1d5a107cd1d4","block_type":"box","text":"BlackRock indemnifies the portfolio. Equal opportunities for lending portfolios does not guarantee equal outcomes.","page_number":130,"box":{"x":70,"y":725,"width":820,"height":11}},{"id":"beba83d6-2c1c-49d1-90bc-a36c15272285","block_type":"box","text":"Specifically, short and long-term outcomes for individual clients may vary due to asset mix, asset/liability spreads on","page_number":130,"box":{"x":69,"y":740,"width":834,"height":11}},{"id":"ba0cdf1a-18ab-40e9-b33e-65220070d8d5","block_type":"box","text":"different securities, and the overall limits imposed by the firm.","page_number":130,"box":{"x":69,"y":755,"width":444,"height":11}},{"id":"06a39b92-7d36-4a87-8c2a-1f8779fd559d","block_type":"box","text":"Purchases and sales of securities and other assets for a Fund may be aggregated with orders for other","page_number":130,"box":{"x":102,"y":778,"width":734,"height":11}},{"id":"e661174b-cfe0-4290-8d1b-16d2053a4822","block_type":"box","text":"BlackRock client accounts, including with accounts that pay different transaction costs solely due to the fact that they","page_number":130,"box":{"x":70,"y":793,"width":840,"height":11}},{"id":"b47c386d-d0a9-4850-8afb-f7574f16954f","block_type":"box","text":"have different research payment arrangements. BlackRock, however, is not required to aggregate orders if portfolio","page_number":130,"box":{"x":69,"y":808,"width":822,"height":11}},{"id":"2da1910f-82ce-4a8b-8165-e26b81c15e38","block_type":"box","text":"management decisions for different accounts are made separately, or if they determine that aggregating is not","page_number":130,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"a1173ed7-dfe7-4227-982e-4c9c9c868a39","block_type":"box","text":"practicable or required, or in cases involving client direction.","page_number":130,"box":{"x":70,"y":839,"width":426,"height":11}},{"id":"38bf6baa-0136-4f42-a8ea-ce6b8952f1d4","block_type":"box","text":"Prevailing trading activity frequently may make impossible the receipt of the same price or execution on the","page_number":130,"box":{"x":102,"y":861,"width":763,"height":11}},{"id":"d71b0dcd-f75b-42e3-8283-e4127beeca4b","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":130,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"aecc689b-d339-40be-ac18-5d257b2c2f85","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":130,"box":{"x":68,"y":891,"width":767,"height":12}},{"id":"3bbf5c6e-9452-4b87-b4eb-aacc4c16b51a","block_type":"box","text":"II-92","page_number":130,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"451e87ae-6963-4d36-ade4-56a4563cbe97","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":130,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e4add6a9-9411-4db5-af18-8d7c85a21165","block_type":"box","text":"occasions to the disadvantage of the Funds. In addition, under certain circumstances, the Funds will not be charged","page_number":131,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"4daf19c2-e545-4ef2-96ec-cf2de9d9c3d5","block_type":"box","text":"the same commission or commission equivalent rates in connection with an aggregated order.","page_number":131,"box":{"x":68,"y":60,"width":672,"height":11}},{"id":"d4b093e9-4fcd-4c02-a2d0-2caff0b70dff","block_type":"box","text":"As discussed in the section below entitled “Portfolio Transactions and Brokerage—Transactions in Portfolio","page_number":131,"box":{"x":101,"y":82,"width":767,"height":12}},{"id":"be7a6d28-062d-469c-98ab-09d92ee9c3d1","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":131,"box":{"x":69,"y":98,"width":832,"height":11}},{"id":"2882b995-2ce6-41ea-bbc4-d161135c77b0","block_type":"box","text":"commission for effecting a transaction that exceeds the amount another broker or dealer would have charged for","page_number":131,"box":{"x":69,"y":113,"width":805,"height":11}},{"id":"81449b1a-3e0d-4843-939e-aa9bffc783f1","block_type":"box","text":"effecting the same transaction in recognition of the value of brokerage and research services provided by that broker","page_number":131,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"3f86f508-6e98-4371-8d23-1a3e2b1f355a","block_type":"box","text":"or dealer. Under MiFID II, EU investment managers, including BlackRock International Limited (“BIL”) which acts as a","page_number":131,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"85fe9e55-3efe-4919-a120-968412ce8a72","block_type":"box","text":"sub-adviser to certain Funds, pay for research from brokers and dealers directly out of their own resources, rather","page_number":131,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"4fa5f460-25f6-49e0-8dec-5f3ca9f3c103","block_type":"box","text":"than through client commissions.","page_number":131,"box":{"x":68,"y":173,"width":237,"height":11}},{"id":"a836dfe5-3509-4e14-bda0-34f46b034d03","block_type":"box","text":"Subject to applicable law, BlackRock may select brokers that furnish BlackRock, the Funds, other BlackRock","page_number":131,"box":{"x":102,"y":196,"width":770,"height":11}},{"id":"8608fb5f-395e-498f-8545-e960ed0cadb3","block_type":"box","text":"client accounts or personnel, directly or through correspondent relationships, with research or other appropriate","page_number":131,"box":{"x":69,"y":211,"width":797,"height":11}},{"id":"22e23cd1-b958-47f0-9a6f-5b7e49166941","block_type":"box","text":"services which provide, in BlackRock’s view, appropriate assistance to BlackRock in the investment decision making","page_number":131,"box":{"x":69,"y":226,"width":830,"height":11}},{"id":"bfa8443a-ea43-4aed-861f-8e30dfb18ae1","block_type":"box","text":"process (including with respect to futures, fixed-price offerings and OTC transactions). Such research or other","page_number":131,"box":{"x":70,"y":241,"width":780,"height":11}},{"id":"5b3e490b-b9e6-401a-8eb6-19a0401e58b6","block_type":"box","text":"services may include, to the extent permitted by law, research reports on companies, industries and securities;","page_number":131,"box":{"x":69,"y":257,"width":795,"height":10}},{"id":"1d1c37cf-7b19-48a4-99de-ab2698a902fa","block_type":"box","text":"economic and financial data; financial publications; proxy analysis; trade industry seminars; computer data bases;","page_number":131,"box":{"x":69,"y":271,"width":815,"height":12}},{"id":"83c6e851-bcbd-428d-a40c-87fde33b2780","block_type":"box","text":"research-oriented software and other services and products.","page_number":131,"box":{"x":69,"y":286,"width":430,"height":11}},{"id":"089a40a4-9dc3-480d-b1e1-22c96dcdf93d","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":131,"box":{"x":102,"y":309,"width":785,"height":11}},{"id":"591e7d63-1bd4-4dd2-b311-0366e964bba5","block_type":"box","text":"BlackRock client accounts, including in connection with BlackRock client accounts other than those that pay","page_number":131,"box":{"x":70,"y":325,"width":768,"height":11}},{"id":"9f889cab-a6a4-462d-9168-6b0f2474fece","block_type":"box","text":"commissions to the broker relating to the research or other service arrangements. Such products and services may","page_number":131,"box":{"x":69,"y":340,"width":826,"height":11}},{"id":"59d52148-a124-48be-bc4a-8bb00215d239","block_type":"box","text":"disproportionately benefit other BlackRock client accounts relative to the Funds based on the amount of brokerage","page_number":131,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"a6af5b2e-1136-4f3d-b8a2-5dd32fe2a4c5","block_type":"box","text":"commissions paid by the Funds and such other BlackRock client accounts. For example, research or other services","page_number":131,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"f039fe92-bd4f-42db-af22-32f8bfb049ea","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":131,"box":{"x":68,"y":385,"width":815,"height":11}},{"id":"c41762b7-d9f8-49ba-a3c8-56cbe3f0eb9b","block_type":"box","text":"other BlackRock client accounts may receive the benefit, including disproportionate benefits, of economies of scale","page_number":131,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"3e05d03a-76c9-4f61-a79a-d5ec22fd220f","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":131,"box":{"x":69,"y":415,"width":804,"height":11}},{"id":"79933c18-b630-4f81-aa04-f57162101230","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":131,"box":{"x":70,"y":430,"width":819,"height":11}},{"id":"364a9fa4-74cd-4f17-867f-1ebe48da0eae","block_type":"box","text":"and services itself.","page_number":131,"box":{"x":69,"y":445,"width":134,"height":9}},{"id":"66c29cda-778d-4c0d-a257-d2b1b512d6b9","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may endeavor to execute trades through brokers who, pursuant","page_number":131,"box":{"x":102,"y":468,"width":793,"height":11}},{"id":"8baf0ab4-bae6-4380-b6aa-567d6338a0db","block_type":"box","text":"to such arrangements, provide research or other services in order to ensure the continued receipt of research or","page_number":131,"box":{"x":68,"y":483,"width":805,"height":11}},{"id":"7f41f762-f321-429f-b4e1-773fd66d9aa0","block_type":"box","text":"other services BlackRock believes are useful in its investment decision-making process. BlackRock may from time to","page_number":131,"box":{"x":69,"y":498,"width":833,"height":11}},{"id":"2df31c15-7ab0-4f4c-86e7-70379982f3cc","block_type":"box","text":"time choose not to engage in the above described arrangements to varying degrees. BlackRock, unless prohibited by","page_number":131,"box":{"x":68,"y":514,"width":836,"height":11}},{"id":"bfb537c6-492c-48fc-b3f1-f64db68d6d7c","block_type":"box","text":"applicable law, may also enter into commission sharing arrangements under which BlackRock may execute","page_number":131,"box":{"x":69,"y":529,"width":760,"height":11}},{"id":"a9074b78-5c67-4ebf-9f9b-397999561966","block_type":"box","text":"transactions through a broker-dealer and request that the broker-dealer allocate a portion of the commissions or","page_number":131,"box":{"x":68,"y":543,"width":803,"height":12}},{"id":"a30c7a77-3335-4ce8-b44d-a6cf7cbf556d","block_type":"box","text":"commission credits to another firm that provides research to BlackRock. To the extent that BlackRock engages in","page_number":131,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"388d657c-a129-4363-8b9d-e30d911fe636","block_type":"box","text":"commission sharing arrangements, many of the same conflicts related to traditional soft dollars may exist.","page_number":131,"box":{"x":69,"y":574,"width":760,"height":11}},{"id":"93d1c216-ef88-41c9-8e88-91c32313b531","block_type":"box","text":"BlackRock may utilize certain electronic crossing networks (“ECNs”) (including, without limitation, ECNs in which","page_number":131,"box":{"x":102,"y":597,"width":799,"height":11}},{"id":"4ec1130e-dd87-4248-b0fd-b0a3cb8c90f9","block_type":"box","text":"BlackRock has an investment or other interest, to the extent permitted by applicable law) in executing client","page_number":131,"box":{"x":70,"y":612,"width":767,"height":11}},{"id":"f145cbee-0c9c-4124-ba29-9248dd09021f","block_type":"box","text":"securities transactions for certain types of securities. These ECNs may charge fees for their services, including","page_number":131,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"e10b0db9-ddb9-4bca-9884-c8843d953166","block_type":"box","text":"access fees and transaction fees. The transaction fees, which are similar to commissions or markups/ markdowns,","page_number":131,"box":{"x":69,"y":642,"width":825,"height":11}},{"id":"62d3abb6-9fa6-46c3-a68f-fad701506914","block_type":"box","text":"will generally be charged to clients and, like commissions and markups/markdowns, would generally be included in","page_number":131,"box":{"x":68,"y":657,"width":821,"height":11}},{"id":"854af605-70ad-4b1d-902a-e492af260f46","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":131,"box":{"x":68,"y":672,"width":833,"height":11}},{"id":"faa554d7-ccd7-4805-8873-2c5b8ad02d37","block_type":"box","text":"executing transactions on behalf of clients, including the Funds. In certain circumstances, ECNs may offer volume","page_number":131,"box":{"x":69,"y":687,"width":812,"height":11}},{"id":"81870c13-2980-44ea-9252-f74c70d38504","block_type":"box","text":"discounts that will reduce the access fees typically paid by BlackRock. BlackRock will only utilize ECNs consistent","page_number":131,"box":{"x":69,"y":702,"width":809,"height":11}},{"id":"448c06e1-d0bc-42f0-9f87-5f5e1b3a0e18","block_type":"box","text":"with its obligation to seek to obtain best execution in client transactions.","page_number":131,"box":{"x":68,"y":718,"width":519,"height":11}},{"id":"c0f32cd2-50eb-495f-82e6-8a54efc03687","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":131,"box":{"x":102,"y":740,"width":793,"height":11}},{"id":"6aa4e1b8-0dfa-4658-a500-db610aea10dc","block_type":"box","text":"stock exchange. Transactions for a Fund may be executed on MEMX if third party brokers select MEMX as the","page_number":131,"box":{"x":69,"y":755,"width":782,"height":11}},{"id":"120e9b54-82c9-4c9c-9702-7761b36589d4","block_type":"box","text":"appropriate venue for execution of orders placed by BlackRock traders on behalf of client portfolios.","page_number":131,"box":{"x":69,"y":770,"width":710,"height":11}},{"id":"8b2d3df4-07a6-4bd5-9266-a0db6e055b42","block_type":"box","text":"BlackRock has adopted policies and procedures designed to prevent conflicts of interest from influencing proxy","page_number":131,"box":{"x":102,"y":793,"width":792,"height":11}},{"id":"5d965169-b801-4a8e-872e-c7ac8ad29710","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":131,"box":{"x":68,"y":808,"width":784,"height":11}},{"id":"24c5b2f2-cb1c-4b08-821b-8c69b61d94f0","block_type":"box","text":"decisions are made in accordance with BlackRock’s fiduciary obligations to its clients. Nevertheless, notwithstanding","page_number":131,"box":{"x":69,"y":823,"width":837,"height":12}},{"id":"4bc7edf9-d7e2-483e-8f5a-c88dd6aec6ce","block_type":"box","text":"such proxy voting policies and procedures, actual proxy voting decisions of BlackRock may have the effect of favoring","page_number":131,"box":{"x":69,"y":838,"width":835,"height":12}},{"id":"aadb542a-da9c-4359-95aa-d75238007299","block_type":"box","text":"the interests of other clients or businesses of other divisions or units of BlackRock, provided that BlackRock believes","page_number":131,"box":{"x":68,"y":853,"width":837,"height":11}},{"id":"da419633-34a3-4e03-8b38-96efadf3e980","block_type":"box","text":"such voting decisions to be in accordance with its fiduciary obligations. For a more detailed discussion of these","page_number":131,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"134cfd68-ae95-4dca-a46b-248290e893a2","block_type":"box","text":"policies and procedures, see “Proxy Voting Policies and Procedures.”","page_number":131,"box":{"x":70,"y":884,"width":490,"height":11}},{"id":"bd83a6ad-eb9d-4dd1-a0ed-904e370bd349","block_type":"box","text":"II-93","page_number":131,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2b289e22-5f5b-4889-91a0-4b6bbff2de37","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":131,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a5d799d6-da5a-49ea-b830-7a576479c083","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":132,"box":{"x":102,"y":45,"width":757,"height":11}},{"id":"dc9094c0-bbfa-4c6f-881a-e9a076fe0cdc","block_type":"box","text":"separately managed accounts) may, subject to compliance with applicable law, purchase and hold shares of a Fund.","page_number":132,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"8a0fd089-56c1-433d-a5bb-7d17f76fb648","block_type":"box","text":"Increasing a Fund’s assets may enhance investment flexibility and diversification and may contribute to economies of","page_number":132,"box":{"x":70,"y":75,"width":837,"height":11}},{"id":"7af1fed0-576e-4eb4-b610-bb456bbd04e9","block_type":"box","text":"scale that tend to reduce the Fund’s expense ratio. BlackRock reserves the right, subject to compliance with","page_number":132,"box":{"x":69,"y":90,"width":774,"height":11}},{"id":"bd3b71d3-0681-4590-b3ba-415d3f20bae2","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":132,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"94fce929-8966-4306-b68a-29d9eb2b8577","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":132,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"7e90b60e-7c5b-4058-afb4-76f714498609","block_type":"box","text":"an adverse effect on the Fund’s investment flexibility, portfolio diversification and expense ratio. BlackRock seeks to","page_number":132,"box":{"x":69,"y":135,"width":831,"height":11}},{"id":"73b58669-9bf0-44fb-9b5c-dada1fcb1fe2","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":132,"box":{"x":69,"y":150,"width":834,"height":12}},{"id":"c9c41e04-3ca5-4036-a2c3-d8e8e9acbf4e","block_type":"box","text":"not obligated to do so and may elect not to do so.","page_number":132,"box":{"x":69,"y":166,"width":355,"height":11}},{"id":"5f4d4f97-665d-4e80-9879-a0b8dd096497","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":132,"box":{"x":102,"y":188,"width":742,"height":12}},{"id":"ffbdcd87-fb8c-4333-bcdd-0a446bcffdf2","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":132,"box":{"x":70,"y":203,"width":838,"height":12}},{"id":"5ea315b5-0ba8-4192-a905-ab3576a2b653","block_type":"box","text":"structured notes) by entities for which BlackRock provides and is compensated for cash management services","page_number":132,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"bf8a7591-3d7a-4a0a-94fa-ad37a575be38","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":132,"box":{"x":69,"y":234,"width":816,"height":11}},{"id":"32c07b57-dc81-4bed-8390-0b08a7736ecf","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":132,"box":{"x":69,"y":249,"width":806,"height":11}},{"id":"8c9cb713-bdb9-4e97-8c27-dab52e3e0594","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":132,"box":{"x":68,"y":264,"width":822,"height":11}},{"id":"970e193c-871a-4d66-a650-32f456c08f15","block_type":"box","text":"and sales of securities. As indicated below, BlackRock may engage in transactions with companies in which","page_number":132,"box":{"x":69,"y":279,"width":766,"height":11}},{"id":"4a503afd-df9b-4541-8a11-0ced635dd001","block_type":"box","text":"BlackRock-advised funds or other clients of BlackRock have an investment.","page_number":132,"box":{"x":70,"y":294,"width":533,"height":9}},{"id":"cb3d8083-432a-4dc8-a9b2-61b3d7dc58f3","block_type":"box","text":"BlackRock and its personnel and other financial service providers may have interests in promoting sales of the","page_number":132,"box":{"x":102,"y":317,"width":789,"height":11}},{"id":"34303519-34d2-464c-9a61-bc5ae2a0e10e","block_type":"box","text":"Funds. With respect to BlackRock and its personnel, the remuneration and profitability relating to services to and","page_number":132,"box":{"x":70,"y":332,"width":805,"height":11}},{"id":"34a7b45f-c5d6-4ba4-9bd7-0e1673b968df","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":132,"box":{"x":69,"y":347,"width":813,"height":11}},{"id":"6bfd3506-424d-4394-8ad8-d41cbab95929","block_type":"box","text":"sales of certain funds or other products that might be provided or offered. BlackRock and its sales personnel may","page_number":132,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"8047ffdd-e78f-4906-a402-2c41e4a93904","block_type":"box","text":"directly or indirectly receive a portion of the fees and commissions charged to the Funds or their shareholders.","page_number":132,"box":{"x":69,"y":377,"width":788,"height":12}},{"id":"934dab2f-376a-4ccf-a84b-a9f580d9a74d","block_type":"box","text":"BlackRock and its advisory or other personnel may also benefit from increased amounts of assets under","page_number":132,"box":{"x":70,"y":392,"width":745,"height":12}},{"id":"bc77a19e-d7a8-4f43-8e27-f704cc2ecb63","block_type":"box","text":"management. Fees and commissions may also be higher than for other products or services, and the remuneration","page_number":132,"box":{"x":69,"y":407,"width":822,"height":12}},{"id":"219b16bc-02d1-4618-b83c-709832b7fb18","block_type":"box","text":"and profitability to BlackRock and such personnel resulting from transactions on behalf of or management of the","page_number":132,"box":{"x":69,"y":423,"width":801,"height":11}},{"id":"4a47c07b-c41e-484a-9afa-ac1dc79dc29d","block_type":"box","text":"Funds may be greater than the remuneration and profitability resulting from other funds or products.","page_number":132,"box":{"x":70,"y":438,"width":711,"height":11}},{"id":"859115fc-d3d9-4f89-8e71-13f0e62db267","block_type":"box","text":"BlackRock may provide valuation assistance to certain clients with respect to certain securities or other","page_number":132,"box":{"x":102,"y":461,"width":741,"height":11}},{"id":"635f2835-938c-4858-b1e9-3e102955f22f","block_type":"box","text":"investments and the valuation recommendations made for such clients’ accounts may differ from the valuations for","page_number":132,"box":{"x":70,"y":475,"width":823,"height":12}},{"id":"a00f2f5c-ccc6-427f-acf9-da0d92fd3a5e","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":132,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"6f907eac-ff05-4395-8c0e-8dc09deab371","block_type":"box","text":"broker-dealer quotes or other data sources unavailable to the Fund’s pricing vendors. While BlackRock will generally","page_number":132,"box":{"x":69,"y":506,"width":825,"height":11}},{"id":"26bdf252-31f5-4776-b4b7-82199f8137b2","block_type":"box","text":"communicate its valuation information or determinations to a Fund’s pricing vendors and/or fund accountants, there","page_number":132,"box":{"x":69,"y":521,"width":830,"height":11}},{"id":"3d2f9510-4273-490d-aa12-a2d1d7025362","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":132,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"49153185-7c49-4694-afad-86e101621b68","block_type":"box","text":"other investment than the valuation for such security or investment determined or recommended by BlackRock.","page_number":132,"box":{"x":69,"y":551,"width":792,"height":11}},{"id":"46040080-42ff-4919-842c-221057aa5b93","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":132,"box":{"x":101,"y":574,"width":784,"height":11}},{"id":"cd3feecb-09e7-4654-86ed-a223e4a17e48","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":132,"box":{"x":69,"y":589,"width":837,"height":11}},{"id":"5952cebb-d661-4f8f-894b-9c4ac5e39fab","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":132,"box":{"x":68,"y":604,"width":803,"height":11}},{"id":"df8b7ab9-bdf5-4995-a9e3-769a5b01e9d2","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":132,"box":{"x":69,"y":619,"width":831,"height":11}},{"id":"7af2c6fd-bf91-4641-8664-4cc145a57ef8","block_type":"box","text":"assistance from other BlackRock pricing committees and in accordance with BlackRock’s policies and procedures","page_number":132,"box":{"x":69,"y":634,"width":811,"height":12}},{"id":"4c5a107e-d8f6-4e4c-b55c-a262614ece62","block_type":"box","text":"(the “Valuation Procedures”). When determining a “fair value price,” the 2a-5 Committee seeks to determine the","page_number":132,"box":{"x":69,"y":649,"width":802,"height":12}},{"id":"a010037d-c0f5-4dca-a799-5ea99a577214","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":132,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"6ce80fd0-f13a-440c-aa4c-55e89f7b7f54","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":132,"box":{"x":68,"y":680,"width":832,"height":11}},{"id":"8bd97756-4b59-4f83-8880-b8f5202b3ef9","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":132,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"de57e55a-e62b-4bde-80ac-6bb208f8ac95","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":132,"box":{"x":68,"y":710,"width":829,"height":11}},{"id":"c40fae42-1416-4ad6-ae2b-d1450581039d","block_type":"box","text":"based on analytical values determined by BlackRock using proprietary or third party valuation models, fair value","page_number":132,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"e2e31db5-d8b2-4005-b8dc-103111140096","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":132,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"5495dfe7-d5b3-4e01-b89a-d0fd412d223f","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":132,"box":{"x":70,"y":755,"width":800,"height":11}},{"id":"69f38ea6-3aa0-4d6e-a8f1-03bcb96bf7fd","block_type":"box","text":"period in which the particular fair values were used in determining a Fund’s NAV. As a result, a Fund’s sale or","page_number":132,"box":{"x":70,"y":770,"width":779,"height":12}},{"id":"264f148a-3866-4bf6-ba93-80132e588ad7","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":132,"box":{"x":69,"y":785,"width":834,"height":12}},{"id":"36881a9c-52ec-4961-a2bf-e4e8b0cdc044","block_type":"box","text":"may have the effect of diluting or increasing the economic interest of existing shareholders and may affect the","page_number":132,"box":{"x":69,"y":801,"width":788,"height":11}},{"id":"17967acb-90b5-41d1-a4ba-dba6405d1515","block_type":"box","text":"amount of revenue received by BlackRock with respect to services for which it receives an asset-based fee.","page_number":132,"box":{"x":69,"y":816,"width":765,"height":11}},{"id":"fb73bd72-90cd-42f9-8985-a836d4385deb","block_type":"box","text":"To the extent permitted by applicable law, a Fund may invest all or some of its short term cash investments in","page_number":132,"box":{"x":101,"y":838,"width":784,"height":11}},{"id":"edeae2fa-8eac-4a3b-b873-937648de70ad","block_type":"box","text":"any money market fund or similarly-managed private fund advised or managed by BlackRock. In connection with any","page_number":132,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"f215f58a-5473-4ae4-adea-9ffb830200ac","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":132,"box":{"x":69,"y":869,"width":833,"height":11}},{"id":"4b56787d-d989-4e01-8e55-ff99a9bd93d6","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":132,"box":{"x":69,"y":884,"width":822,"height":11}},{"id":"ad9cf556-17eb-48ba-821b-7a79788049b5","block_type":"box","text":"some additional expenses.","page_number":132,"box":{"x":69,"y":899,"width":190,"height":11}},{"id":"560403e2-d458-4a7d-a8e4-c5d5cd365f26","block_type":"box","text":"II-94","page_number":132,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5db19a93-e073-4fea-b401-5eabde784d37","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":132,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7c97ad20-ea84-4ee4-a403-e4f46951336d","block_type":"box","text":"BlackRock and its directors, officers and employees, may buy and sell securities or other investments for their","page_number":133,"box":{"x":102,"y":45,"width":787,"height":11}},{"id":"cc34c058-39eb-48c4-a4e5-d1b24a02bc75","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":133,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"68fb49c5-b18f-4ed0-b1a6-3cff215536ff","block_type":"box","text":"differing trading and investment strategies or constraints, positions may be taken by directors, officers and","page_number":133,"box":{"x":69,"y":75,"width":764,"height":11}},{"id":"115117c5-b4ad-49d2-8039-22c91ccd559d","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":133,"box":{"x":69,"y":90,"width":809,"height":11}},{"id":"46943aa5-bed3-4722-94fb-61af13977bb6","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":133,"box":{"x":70,"y":105,"width":802,"height":11}},{"id":"e5352b0f-ed16-4603-9606-7ba3eb280840","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":133,"box":{"x":70,"y":120,"width":828,"height":11}},{"id":"66fa11e3-50ee-4b18-bc0c-3d443f330f5f","block_type":"box","text":"restricts securities trading in the personal accounts of investment professionals and others who normally come into","page_number":133,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"bbe4c5ec-fa36-4f6a-8f1e-7d89a805b314","block_type":"box","text":"possession of information regarding the Fund’s portfolio transactions. Each Code of Ethics is also available on the","page_number":133,"box":{"x":70,"y":150,"width":816,"height":12}},{"id":"4b032ff8-bbb0-41c9-b14d-fed90e49d27b","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":133,"box":{"x":70,"y":166,"width":836,"height":11}},{"id":"648ef447-f2cd-4130-ab9d-6445c781447b","block_type":"box","text":"a duplicating fee, by e-mail at publicinfo@sec.gov.","page_number":133,"box":{"x":69,"y":181,"width":352,"height":11}},{"id":"fa620f30-9d0b-4aa9-8b38-542679a509eb","block_type":"box","text":"BlackRock will not purchase securities or other property from, or sell securities or other property to, a Fund,","page_number":133,"box":{"x":102,"y":203,"width":768,"height":12}},{"id":"05f690ac-6502-4db4-80cc-561d34990f4c","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":133,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"71c5a76d-c1a3-42ae-8032-545f5aa9a2f5","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":133,"box":{"x":68,"y":234,"width":839,"height":10}},{"id":"73efa3dd-06ae-4e8a-ad95-cd4126a9367f","block_type":"box","text":"or investment advisers or pursuant to exemptive orders granted to the Funds and/or BlackRock by the Commission.","page_number":133,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"127d89e8-9734-4ebb-be40-52979386ab51","block_type":"box","text":"These transactions would be effected in circumstances in which BlackRock determined that it would be appropriate","page_number":133,"box":{"x":68,"y":264,"width":824,"height":11}},{"id":"bc41c7b4-58f5-4475-94a3-019ba0c2c5e8","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":133,"box":{"x":68,"y":279,"width":826,"height":11}},{"id":"6910a1d8-c1fb-46ae-98b2-da76cdca675e","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":133,"box":{"x":68,"y":294,"width":810,"height":11}},{"id":"e74ae05c-599f-4050-b541-147247a4a34e","block_type":"box","text":"restricted because of regulatory requirements applicable to BlackRock and/or BlackRock’s internal policies designed","page_number":133,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"0c6112dc-8a4f-46b0-b470-2a9fbadefac1","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":133,"box":{"x":68,"y":324,"width":782,"height":11}},{"id":"bfa903c4-86bb-4d74-a000-0d7cf2785d02","block_type":"box","text":"BlackRock would not be subject to some of those considerations. There may be periods when BlackRock may not","page_number":133,"box":{"x":70,"y":339,"width":807,"height":12}},{"id":"430e2f18-8d68-4c3d-8734-85141cdda88a","block_type":"box","text":"initiate or recommend certain types of transactions, or may otherwise restrict or limit its advice regarding certain","page_number":133,"box":{"x":70,"y":355,"width":804,"height":11}},{"id":"d5d032cd-bced-4080-abcc-bfe7b1f218dc","block_type":"box","text":"securities or instruments issued by or related to companies for which BlackRock is performing advisory or other","page_number":133,"box":{"x":69,"y":370,"width":799,"height":11}},{"id":"27675e45-186a-4309-a003-081d226ca384","block_type":"box","text":"services or has proprietary positions. For example, when BlackRock is engaged to provide advisory or risk","page_number":133,"box":{"x":69,"y":385,"width":755,"height":11}},{"id":"0e665921-459d-4b0d-994c-117a66fd60aa","block_type":"box","text":"management services for a company, BlackRock may be prohibited from or limited in purchasing or selling securities","page_number":133,"box":{"x":69,"y":400,"width":831,"height":11}},{"id":"64ff9210-85ab-4c8a-a937-72eea4da30bb","block_type":"box","text":"of that company on behalf of a Fund, particularly where such services result in BlackRock obtaining material non","page_number":133,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"2db80253-6f25-4ba2-af49-4a6ad315d6a3","block_type":"box","text":"public information about the company (","page_number":133,"box":{"x":70,"y":430,"width":276,"height":11}},{"id":"ec0562ac-8b3c-4f89-9bf7-2a6a62f0b01a","block_type":"box","text":"e.g.","page_number":133,"box":{"x":348,"y":432,"width":25,"height":9}},{"id":"e8bb7ea3-e5b5-4b67-a4b0-48b1e81cb94f","block_type":"box","text":", in connection with participation in a creditors’ committee). Moreover,","page_number":133,"box":{"x":376,"y":430,"width":499,"height":11}},{"id":"94ee20bb-214c-44fd-9a77-32f0a1d30f70","block_type":"box","text":"applicable provisions of the Investment Company Act or other regulatory considerations may restrict a Fund or","page_number":133,"box":{"x":69,"y":445,"width":784,"height":12}},{"id":"5295fc7a-30e1-4941-a643-65e1cbb773d8","block_type":"box","text":"BlackRock from effecting certain portfolio transactions or taking other actions in respect of an investment on behalf","page_number":133,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"980baa3b-2332-446e-bd72-9ebedc166531","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":133,"box":{"x":69,"y":475,"width":830,"height":12}},{"id":"10bf8b40-1fbb-4d67-9275-c3a15ed546e6","block_type":"box","text":"the investment. Similar situations could arise if personnel of BlackRock serve as directors of companies the","page_number":133,"box":{"x":68,"y":491,"width":773,"height":11}},{"id":"21a669df-c109-410c-bd14-d9263a1bfbb3","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":133,"box":{"x":69,"y":506,"width":832,"height":11}},{"id":"4192ed17-4243-457f-b885-e3fdae512a3f","block_type":"box","text":"with BlackRock’s policies and procedures (including the necessary implementation of appropriate information","page_number":133,"box":{"x":68,"y":521,"width":781,"height":11}},{"id":"29a7abfc-2156-4227-a1b8-14dd8137ee22","block_type":"box","text":"barriers), the Funds may purchase securities or instruments that are issued by such companies, are the subject of","page_number":133,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"41f171ca-8296-4e00-85e8-4fd9e0e3b66d","block_type":"box","text":"an advisory or risk management assignment by BlackRock, or where personnel of BlackRock are directors or officers","page_number":133,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"e7ed7bc7-b862-41d9-8c21-6101f21b7c9b","block_type":"box","text":"of the issuer.","page_number":133,"box":{"x":69,"y":566,"width":92,"height":9}},{"id":"c8185c4d-cdcc-49f9-92ec-f41ff4c45649","block_type":"box","text":"BlackRock has adopted and implemented policies and procedures that are designed to address potential","page_number":133,"box":{"x":102,"y":589,"width":748,"height":11}},{"id":"8fd23273-0e8c-464a-95c9-13f33226a020","block_type":"box","text":"conflicts that arise in connection with the advisory services BlackRock provides to Funds and other clients. Certain","page_number":133,"box":{"x":69,"y":604,"width":819,"height":11}},{"id":"7977666a-a922-44cf-8425-72563293ea20","block_type":"box","text":"BlackRock advisory personnel may take views, and make decisions or recommendations, that are different than or","page_number":133,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"1ca4c984-60a7-4c5e-b28c-9ee913d1041e","block_type":"box","text":"opposite those of other BlackRock advisory personnel. Certain portfolio management teams within BlackRock may","page_number":133,"box":{"x":69,"y":634,"width":818,"height":12}},{"id":"6d8511d6-e414-43ad-a86e-8a4a3739d4a6","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":133,"box":{"x":69,"y":649,"width":827,"height":12}},{"id":"0066b11c-7b7a-4546-81e6-8720d498b6f7","block_type":"box","text":"or adverse to the decisions made or the actions taken (or not taken) by the Funds’ portfolio management teams. The","page_number":133,"box":{"x":69,"y":664,"width":835,"height":12}},{"id":"d6389db8-3b23-40bf-a469-3dea8c2243a3","block_type":"box","text":"various portfolio management teams may not share information with each other, including as a result of certain","page_number":133,"box":{"x":68,"y":680,"width":797,"height":11}},{"id":"b9f97c80-bc35-46cf-af19-a58d560f5da5","block_type":"box","text":"information barriers and other policies, and will not have any obligation or other duty to do so.","page_number":133,"box":{"x":70,"y":695,"width":667,"height":11}},{"id":"8a19224f-469a-401c-891f-3f46714950c3","block_type":"box","text":"BlackRock has established certain information barriers and other policies to address the sharing of information","page_number":133,"box":{"x":102,"y":717,"width":794,"height":12}},{"id":"13e8dc57-46c6-4adc-b9ea-dfeee65e505e","block_type":"box","text":"between different businesses within BlackRock, including with respect to personnel responsible with managing","page_number":133,"box":{"x":69,"y":732,"width":791,"height":12}},{"id":"d58f1796-85fd-45e3-aeb1-0c982d73a4e1","block_type":"box","text":"portfolios and voting proxies with respect to certain index equity portfolios versus those responsible for managing","page_number":133,"box":{"x":70,"y":748,"width":812,"height":11}},{"id":"1291bc8e-6a92-46b4-a593-4b1ceb75d27b","block_type":"box","text":"portfolios and voting proxies with respect to all other portfolios. As a result of information barriers, certain units of","page_number":133,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"f79079e3-c8b3-4e57-bac2-22be162fb1a7","block_type":"box","text":"BlackRock generally will not have access, or will have limited access, to certain information and personnel, including","page_number":133,"box":{"x":70,"y":778,"width":830,"height":11}},{"id":"8c1598c6-0713-4fb4-8766-74cd4bdbbf52","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":133,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"d47f5e1f-81c6-4174-a159-589311f32b79","block_type":"box","text":"possessed by such other units. Therefore, BlackRock may not be able to review potential investments for the Funds","page_number":133,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"6e20d131-20d3-4a6e-8658-3f61aa5fe7fb","block_type":"box","text":"with the benefit of information held by certain areas of BlackRock.","page_number":133,"box":{"x":68,"y":823,"width":472,"height":11}},{"id":"75342418-609d-417a-afb6-b8594a1c995a","block_type":"box","text":"BlackRock may determine to move certain personnel, businesses, or business units from one side of an","page_number":133,"box":{"x":102,"y":846,"width":744,"height":11}},{"id":"9e8bf188-46b6-40c6-a87a-f86899c542f1","block_type":"box","text":"information barrier to the other side of the information barrier. In connection therewith, BlackRock personnel,","page_number":133,"box":{"x":70,"y":861,"width":775,"height":11}},{"id":"63cb35fa-3e0c-4e12-acac-d3bb2c1aa8bc","block_type":"box","text":"businesses, and business units that were moved will no longer have access to the information and personnel from","page_number":133,"box":{"x":69,"y":876,"width":818,"height":11}},{"id":"0e0c3ccc-e98b-4462-b893-0e1e50c5f75d","block_type":"box","text":"the side of the information barrier from which they were moved. Information obtained in connection with such","page_number":133,"box":{"x":68,"y":891,"width":779,"height":11}},{"id":"26fd2c61-64f6-428c-849b-ee83f9779726","block_type":"box","text":"changes to information barriers may limit or restrict the ability of BlackRock to engage in or otherwise effect","page_number":133,"box":{"x":69,"y":906,"width":771,"height":12}},{"id":"eec1b12e-e137-46af-b8ac-e834eeda7b98","block_type":"box","text":"II-95","page_number":133,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4214663f-5890-4ca7-84e2-24377e3a26b9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":133,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"97d33d94-f6b6-4ba0-a4bc-4240c66a56f1","block_type":"box","text":"transactions on behalf of the Funds (including purchasing or selling securities that BlackRock may otherwise have","page_number":134,"box":{"x":68,"y":45,"width":812,"height":11}},{"id":"7833c91f-910a-4528-accf-9132a2a0a84e","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":134,"box":{"x":70,"y":60,"width":803,"height":11}},{"id":"f84bc5ec-678e-4eef-a717-78d121bb122d","block_type":"box","text":"have their intended impact due to, for example, changes in applicable law or inadvertent crossings of the barriers,","page_number":134,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"d124ae26-c0aa-4261-84e1-67ffc5933bc8","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":134,"box":{"x":69,"y":90,"width":829,"height":11}},{"id":"9d832134-f849-40c2-b651-d44ec133faab","block_type":"box","text":"a barrier.","page_number":134,"box":{"x":69,"y":105,"width":62,"height":9}},{"id":"e0d0d982-d62f-4f27-876c-1b3c138346d1","block_type":"box","text":"Although the information barriers are intended to allow for independent portfolio management decision-making","page_number":134,"box":{"x":101,"y":128,"width":788,"height":11}},{"id":"81e73f8f-0f67-4a7a-8534-7c8fbcf7e25b","block_type":"box","text":"and proxy voting among certain BlackRock businesses, the investment activities of BlackRock for BlackRock clients,","page_number":134,"box":{"x":69,"y":143,"width":827,"height":11}},{"id":"34938c9f-52e0-4846-a55c-da5307e90ff8","block_type":"box","text":"as well as BlackRock’s proprietary accounts, may nonetheless limit the investment strategies and rights of other","page_number":134,"box":{"x":69,"y":158,"width":805,"height":11}},{"id":"b3405fb9-e269-489b-ac51-1ece2e0d94a6","block_type":"box","text":"clients (including the Fund). As BlackRock’s assets under management increases, BlackRock clients may face greater","page_number":134,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"8d086f29-170f-4fa6-a8f5-8735a24b475a","block_type":"box","text":"negative impacts due to ownership restrictions and limitations imposed by laws, regulations, rules, regulators, or","page_number":134,"box":{"x":69,"y":188,"width":806,"height":12}},{"id":"14f25090-6c95-4467-bc23-a871c6b7673c","block_type":"box","text":"issuers. For example, in certain circumstances where a BlackRock client invests in securities issued by companies","page_number":134,"box":{"x":70,"y":204,"width":818,"height":11}},{"id":"d1930e28-83b0-4cbc-92dc-0fa46303b084","block_type":"box","text":"that operate in certain industries (","page_number":134,"box":{"x":68,"y":219,"width":244,"height":11}},{"id":"3e52ef69-5f63-4a27-b535-b4ddf2e83199","block_type":"box","text":"e.g.","page_number":134,"box":{"x":314,"y":220,"width":25,"height":10}},{"id":"e3c49add-245a-425c-a894-af4b798ad6e4","block_type":"box","text":", banking, insurance, and utilities) or in certain emerging or international","page_number":134,"box":{"x":342,"y":219,"width":515,"height":11}},{"id":"256593df-8785-45cf-a4de-1f3d272601e7","block_type":"box","text":"markets, or are subject to regulatory or corporate ownership restrictions (","page_number":134,"box":{"x":69,"y":234,"width":523,"height":11}},{"id":"066f4254-70a8-4e9f-b2dc-48c2946803a0","block_type":"box","text":"e.g.","page_number":134,"box":{"x":594,"y":235,"width":25,"height":10}},{"id":"2d89eeca-7fd8-49eb-b0ab-89c98c78897c","block_type":"box","text":", with mechanisms such as poison pills","page_number":134,"box":{"x":621,"y":234,"width":280,"height":11}},{"id":"381a69f6-6756-4540-9b5c-f588fab54cdd","block_type":"box","text":"in place to prevent takeovers), or where a BlackRock client invests in certain futures and derivatives, there may be","page_number":134,"box":{"x":70,"y":249,"width":816,"height":11}},{"id":"f93cff3f-c984-49e7-9565-57a5229a22d1","block_type":"box","text":"limits on the aggregate amount invested by BlackRock for its clients and BlackRock’s proprietary accounts that may","page_number":134,"box":{"x":70,"y":264,"width":825,"height":11}},{"id":"40c7559f-7b51-4ac1-bba0-f4f4bf186608","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":134,"box":{"x":69,"y":279,"width":837,"height":11}},{"id":"e610fbe5-0ad0-49c2-abaf-32264734d109","block_type":"box","text":"or non-disapproval or, if exceeded, may cause BlackRock or its clients to be subject to enforcement actions,","page_number":134,"box":{"x":69,"y":294,"width":769,"height":11}},{"id":"8cbbbf30-d837-42ce-b944-0735bd62ba34","block_type":"box","text":"disgorgement of share ownership or profits, regulatory restrictions, complex compliance reporting, increased","page_number":134,"box":{"x":69,"y":309,"width":775,"height":11}},{"id":"b9275596-91be-455d-94bf-f2189b77c3a0","block_type":"box","text":"compliance costs or suffer disadvantages or business restrictions. In light of certain restrictions, BlackRock may also","page_number":134,"box":{"x":69,"y":324,"width":839,"height":12}},{"id":"cc35c489-952b-4e91-b00e-e227bd61e0dd","block_type":"box","text":"seek to make indirect investments (","page_number":134,"box":{"x":69,"y":340,"width":255,"height":10}},{"id":"a950ee95-27a9-4b96-9373-2e9468327688","block_type":"box","text":"e.g.","page_number":134,"box":{"x":326,"y":341,"width":24,"height":10}},{"id":"3f89daff-29ec-4ca6-a933-0ad9336f2cc1","block_type":"box","text":", using derivatives) on behalf of its clients to receive exposure to certain","page_number":134,"box":{"x":353,"y":339,"width":514,"height":12}},{"id":"305db36d-cd1f-454b-9981-5b23b35fbbea","block_type":"box","text":"securities in excess of the applicable ownership restrictions and limitations when legally permitted that will expose","page_number":134,"box":{"x":69,"y":355,"width":817,"height":11}},{"id":"68f5ee68-a9e8-40a4-9ef1-617a6563a304","block_type":"box","text":"such clients to additional costs and additional risks, including any risks associated with investing in derivatives.","page_number":134,"box":{"x":69,"y":370,"width":795,"height":11}},{"id":"d6e5695b-6be7-45dc-8397-4b26ed81e884","block_type":"box","text":"There may be limited availability of derivatives that provide indirect exposure to an impacted security. BlackRock","page_number":134,"box":{"x":68,"y":385,"width":799,"height":11}},{"id":"a706f024-3475-45f5-8e64-ff2b1649fbbb","block_type":"box","text":"clients can be subject to more than one ownership limitation depending on each client’s holdings, and each","page_number":134,"box":{"x":69,"y":400,"width":767,"height":11}},{"id":"9220c545-3cbe-4794-a77a-1a6ab744ac15","block_type":"box","text":"ownership limitation can impact multiple securities held by the client. Certain clients or shareholders may have their","page_number":134,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"329827db-cd12-42e1-8bd9-7983106abd08","block_type":"box","text":"own overlapping obligations to monitor their compliance with ownership limitations across their investments.","page_number":134,"box":{"x":69,"y":430,"width":772,"height":11}},{"id":"51b6e2ab-78d3-4d9c-8e83-3a4b0639d647","block_type":"box","text":"If certain aggregate ownership thresholds are reached either through the actions of BlackRock or a BlackRock","page_number":134,"box":{"x":102,"y":453,"width":783,"height":11}},{"id":"436e63ce-465f-4193-9781-ad978b20190f","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":134,"box":{"x":69,"y":468,"width":808,"height":11}},{"id":"cdc1466e-ea58-42eb-94d5-8c7319cfa6ab","block_type":"box","text":"dispose of investments, or exercise rights (including voting) or undertake business transactions, may be restricted by","page_number":134,"box":{"x":69,"y":483,"width":837,"height":11}},{"id":"db34b452-26f0-4825-a50d-94bb323a677f","block_type":"box","text":"law, regulation, rule, or organizational documents or otherwise impaired. For example, to meet the requirements of","page_number":134,"box":{"x":70,"y":498,"width":818,"height":11}},{"id":"e74b837b-2ced-4724-a3fb-b4599ad9e013","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":134,"box":{"x":69,"y":514,"width":821,"height":10}},{"id":"088463fb-693c-434f-bf3d-a680b104c369","block_type":"box","text":"otherwise purchase or hold. The limitation or restriction may be based on the holdings of other BlackRock clients","page_number":134,"box":{"x":69,"y":528,"width":806,"height":12}},{"id":"95b35468-e296-4d90-901e-11743ecad407","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":134,"box":{"x":70,"y":543,"width":839,"height":12}},{"id":"3ab44a4a-853d-4b77-8aff-962a8b506f3c","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":134,"box":{"x":69,"y":559,"width":826,"height":11}},{"id":"289fb8f8-629b-4d8a-85d0-9cd1998fc669","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":134,"box":{"x":69,"y":574,"width":807,"height":11}},{"id":"969234b5-62bf-436e-b850-47821256f8a4","block_type":"box","text":"existing investments, utilize indirect investments, utilize information barriers, or otherwise restrict, forgo, or limit the","page_number":134,"box":{"x":69,"y":589,"width":830,"height":11}},{"id":"cae9d7b3-8c4e-411b-967a-eb44b19575ea","block_type":"box","text":"exercise of rights (including transferring, outsourcing, or limiting voting rights or forgoing the right to receive","page_number":134,"box":{"x":69,"y":604,"width":765,"height":11}},{"id":"eda1d839-eb86-47fb-b580-89172b7f9758","block_type":"box","text":"dividends) when BlackRock, in its sole discretion, deems it appropriate in light of potential regulatory or other","page_number":134,"box":{"x":69,"y":619,"width":781,"height":11}},{"id":"2c412724-bb08-4a7e-ae42-b6245c38073a","block_type":"box","text":"restrictions on ownership or other consequences resulting from reaching investment thresholds. These types of","page_number":134,"box":{"x":69,"y":634,"width":796,"height":12}},{"id":"d3f22022-c0c1-416b-a992-5e38df07cc21","block_type":"box","text":"restrictions could negatively impact a client’s performance or ability to meet its investment objective.","page_number":134,"box":{"x":69,"y":649,"width":720,"height":12}},{"id":"e63a6316-0bce-4a42-bed0-c313aca6c6e6","block_type":"box","text":"When BlackRock or a BlackRock client is subject to an ownership limitation, BlackRock may in its discretion seek","page_number":134,"box":{"x":101,"y":672,"width":807,"height":11}},{"id":"4e1531ea-406d-4113-bceb-4b94bc6aebf0","block_type":"box","text":"permission from the applicable issuers or regulators to exceed the limitation. However, there is no guarantee that","page_number":134,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"1b3e40aa-b40f-45bd-ada1-1d5fba10195d","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":134,"box":{"x":70,"y":702,"width":829,"height":12}},{"id":"418c95b8-c3e9-42cf-841d-7c6062936cf8","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":134,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"ba4d18de-6afd-4a53-ad31-eddd38eb052a","block_type":"box","text":"from taking certain actions in connection with the approval, order, consent, relief or non-disapproval, which BlackRock","page_number":134,"box":{"x":68,"y":732,"width":841,"height":12}},{"id":"67db92f9-3e31-4bd7-a583-d176bcc0bac9","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":134,"box":{"x":69,"y":748,"width":770,"height":11}},{"id":"307a7ad5-91de-4a52-bf92-d171d4d29d41","block_type":"box","text":"otherwise would take. In those circumstances where ownership thresholds or limitations must be observed,","page_number":134,"box":{"x":69,"y":763,"width":769,"height":11}},{"id":"5e35d067-05bc-4c24-9b4e-a003b5b120f0","block_type":"box","text":"BlackRock seeks to allocate limited investment opportunities equitably among clients, taking into consideration","page_number":134,"box":{"x":70,"y":778,"width":794,"height":11}},{"id":"b541f4dc-d5bf-48b1-9308-9fb98f8e1926","block_type":"box","text":"benchmark weight and investment strategy. BlackRock may adopt certain controls designed to prevent the","page_number":134,"box":{"x":69,"y":793,"width":757,"height":11}},{"id":"419c4813-db9d-416f-9db7-abc261ef5a78","block_type":"box","text":"occurrence of a breach of any applicable ownership threshold or limits, including, for example, when ownership in","page_number":134,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"d56d9a42-dbcf-4256-87d7-1464f02d0890","block_type":"box","text":"certain securities nears an applicable threshold, BlackRock may limit additional purchases in such securities or, with","page_number":134,"box":{"x":69,"y":823,"width":833,"height":11}},{"id":"bcbb1b83-0135-462c-b72b-5ba421504166","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":134,"box":{"x":69,"y":838,"width":827,"height":11}},{"id":"6f325446-a05c-4be3-b762-14f28e4790c0","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":134,"box":{"x":68,"y":853,"width":803,"height":12}},{"id":"e2261170-cd1d-45b8-8780-a70b505d69bf","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":134,"box":{"x":70,"y":869,"width":802,"height":11}},{"id":"a7581031-37a1-405d-9d63-101bd3dc9e63","block_type":"box","text":"reduce these positions to meet the applicable limitations and BlackRock or such client may be subject to regulatory","page_number":134,"box":{"x":69,"y":884,"width":826,"height":11}},{"id":"42944cce-63d2-4819-a356-d5f092cc285a","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":134,"box":{"x":69,"y":899,"width":834,"height":11}},{"id":"93f77dc5-7504-407c-9911-abb04c5f93e9","block_type":"box","text":"II-96","page_number":134,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"406d92c7-8628-4f88-bb5c-769f95cc35ec","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":134,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b3bb4ce8-8663-4879-917a-e7e0bad65f9f","block_type":"box","text":"Ownership limitations are highly complex. It is possible that, despite BlackRock’s intent to either comply with or","page_number":135,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"9e6a3926-879f-4d0e-80c2-8b439d02ec79","block_type":"box","text":"be granted permission to exceed ownership limitations, it may inadvertently breach a limit or violate the corporate or","page_number":135,"box":{"x":69,"y":60,"width":831,"height":11}},{"id":"9e27d956-1219-439e-b277-e3d137676fd1","block_type":"box","text":"regulatory approval, order, consent, relief or non-disapproval that was obtained.","page_number":135,"box":{"x":69,"y":75,"width":566,"height":11}},{"id":"2431733f-7e2a-401e-aa08-bfd5496f242a","block_type":"box","text":"In addition to the foregoing, other ownership thresholds may trigger reporting requirements to governmental and","page_number":135,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"d9bc8d86-b272-4e5c-bf21-8a664fffcb19","block_type":"box","text":"regulatory authorities, and such reports may entail the disclosure of the identity of a client or BlackRock’s intended","page_number":135,"box":{"x":69,"y":113,"width":823,"height":11}},{"id":"6b3c6cc2-f5e0-4e4d-b0b2-427658a57ed4","block_type":"box","text":"strategy with respect to such security or asset.","page_number":135,"box":{"x":69,"y":128,"width":333,"height":11}},{"id":"441ac5a5-2532-4ca0-b7a9-57da3fec5ed9","block_type":"box","text":"BlackRock may maintain securities indices. To the extent permitted by applicable laws, the Funds may seek to","page_number":135,"box":{"x":102,"y":151,"width":785,"height":11}},{"id":"54725fd9-f92c-412d-9691-71316de3e18a","block_type":"box","text":"license and use such indices as part of their investment strategy. Index based funds that seek to track the","page_number":135,"box":{"x":70,"y":166,"width":760,"height":11}},{"id":"84c163e7-74fc-4154-96e0-2a8f9b265c47","block_type":"box","text":"performance of securities indices also may use the name of the index or index provider in the fund name. Index","page_number":135,"box":{"x":70,"y":181,"width":796,"height":11}},{"id":"33d5fcd5-058b-4021-bf71-76ba29ece00c","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":135,"box":{"x":70,"y":196,"width":830,"height":11}},{"id":"5aa7e2dc-9662-46b6-9cf2-b08ca601f0f5","block_type":"box","text":"index or index name. In instances where BlackRock charges a unitary management fee, BlackRock may have a","page_number":135,"box":{"x":70,"y":211,"width":788,"height":11}},{"id":"9be2f7d9-3ed4-450d-b92f-759ecb310cac","block_type":"box","text":"financial incentive to use a BlackRock index that is less costly to BlackRock than a third party index. BlackRock may","page_number":135,"box":{"x":68,"y":226,"width":829,"height":11}},{"id":"012dbf14-a69a-401d-843f-9147cf8be239","block_type":"box","text":"benefit from the Funds using BlackRock indices by creating increasing acceptance in the marketplace for such","page_number":135,"box":{"x":69,"y":241,"width":784,"height":11}},{"id":"2aa2431c-2c3c-490c-996c-2f04f26160bb","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":135,"box":{"x":70,"y":257,"width":797,"height":11}},{"id":"1f370688-8254-447b-8917-97c795fcbb25","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":135,"box":{"x":70,"y":271,"width":837,"height":12}},{"id":"73f677d1-61dc-4a03-9b8f-cf07c07835a2","block_type":"box","text":"index licensing agreement with BlackRock will be as favorable as those terms offered to other licensees.","page_number":135,"box":{"x":70,"y":286,"width":746,"height":12}},{"id":"7fc989a5-638a-400b-a564-ddb7c8e00f7e","block_type":"box","text":"BlackRock may enter into contractual arrangements with third-party service providers to a Fund (","page_number":135,"box":{"x":102,"y":309,"width":686,"height":11}},{"id":"0bca29c2-d150-46bd-a11a-96ea81b30ba6","block_type":"box","text":"e.g.","page_number":135,"box":{"x":790,"y":311,"width":25,"height":9}},{"id":"24518c05-c947-4e4e-a156-54c8004aafb1","block_type":"box","text":", custodians,","page_number":135,"box":{"x":817,"y":309,"width":90,"height":11}},{"id":"74ec07f8-2b82-4131-843b-c2b63cf75ec2","block_type":"box","text":"administrators and index providers) pursuant to which BlackRock receives fee discounts or concessions in","page_number":135,"box":{"x":69,"y":324,"width":756,"height":11}},{"id":"232a772a-4dc1-422f-8e5b-56dcbfeacefd","block_type":"box","text":"recognition of BlackRock’s overall relationship with such service providers. BlackRock may also enter into contractual","page_number":135,"box":{"x":69,"y":339,"width":836,"height":12}},{"id":"56fb0438-54a7-403e-854e-2b51879f1116","block_type":"box","text":"arrangements with such service providers pursuant to which BlackRock incurs additional costs if the service","page_number":135,"box":{"x":69,"y":355,"width":772,"height":11}},{"id":"e2e989d3-9dcf-4e1b-9277-a62d759fc0a2","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":135,"box":{"x":70,"y":370,"width":800,"height":11}},{"id":"fcfec517-f2c8-4243-957f-71c7044185e0","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":135,"box":{"x":69,"y":385,"width":771,"height":11}},{"id":"8eb4dfdf-202a-435c-addd-295b4f1834c9","block_type":"box","text":"discounts or concessions, or any additional savings, may accrue, in whole or in part, to BlackRock, which could result","page_number":135,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"71320bfd-333a-4734-a2ed-e36597a4d8f3","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":135,"box":{"x":70,"y":415,"width":785,"height":11}},{"id":"3f7846ba-3a10-40a5-a07f-b21cb05ac965","block_type":"box","text":"interest may arise with respect to contractual arrangements with third-party service providers to a Fund, or the","page_number":135,"box":{"x":70,"y":430,"width":786,"height":11}},{"id":"ea23316a-f086-48e1-9760-781e09ce2c4f","block_type":"box","text":"selection of such providers, particularly in circumstances where BlackRock is negotiating on behalf of both funds that","page_number":135,"box":{"x":69,"y":445,"width":837,"height":12}},{"id":"23a5bccc-5c00-4bfb-90ee-4e199bbdfd01","block_type":"box","text":"have a unitary management fee and those that do not or different service providers have different fee structures.","page_number":135,"box":{"x":69,"y":460,"width":809,"height":12}},{"id":"b8b4c1ee-8c9d-4203-aaee-afad5f821fae","block_type":"box","text":"Conflicts of interest may arise as a result of simultaneous investment management of multiple client accounts","page_number":135,"box":{"x":102,"y":483,"width":788,"height":11}},{"id":"88a30097-16a9-4187-a5ab-dc35dbf819c6","block_type":"box","text":"by BlackRock’s investment professionals. For example, differences in the advisory fee structure may create the","page_number":135,"box":{"x":69,"y":498,"width":795,"height":11}},{"id":"c7ab16ca-cdb7-472c-8815-54fea9472493","block_type":"box","text":"appearance of actual or potential conflicts of interest because such differences could create pecuniary incentives for","page_number":135,"box":{"x":69,"y":513,"width":835,"height":11}},{"id":"c31daa59-5982-4c96-817c-988fe0248e71","block_type":"box","text":"BlackRock to favor one client account over another.","page_number":135,"box":{"x":70,"y":528,"width":363,"height":9}},{"id":"1af7e5e6-8368-4779-b0d2-b63579f2ff2d","block_type":"box","text":"BlackRock owns or has an ownership interest in certain trading, portfolio management, operations and/or","page_number":135,"box":{"x":102,"y":551,"width":757,"height":11}},{"id":"4cb2f18e-7478-49b5-9ef3-f6e17c709be3","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":135,"box":{"x":70,"y":566,"width":826,"height":11}},{"id":"15c6393c-4ea5-4af5-bc7c-b6154279b169","block_type":"box","text":"in connection with the provision of services to accounts managed by BlackRock and funds managed and sponsored","page_number":135,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"b624aa36-a6a9-4a4e-925e-bdebaf123b2a","block_type":"box","text":"by BlackRock, including the Funds, that engage the service provider (typically the custodian). A Fund’s service","page_number":135,"box":{"x":69,"y":597,"width":782,"height":11}},{"id":"d0ed223b-a7ca-474a-aab9-417ab08c2904","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":135,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"8ec7e4b2-b80c-46cc-9393-f5a2fa887afb","block_type":"box","text":"use of these systems may enhance the profitability of BlackRock.","page_number":135,"box":{"x":69,"y":627,"width":465,"height":11}},{"id":"ae483818-cfd0-4925-b6a9-3d82fee1766b","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":135,"box":{"x":102,"y":649,"width":804,"height":12}},{"id":"fc864c60-8932-4818-a109-b8db4901d419","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":135,"box":{"x":69,"y":664,"width":840,"height":12}},{"id":"191d4448-57c0-4050-bcff-9fbc52fdadf2","block_type":"box","text":"provider.","page_number":135,"box":{"x":70,"y":680,"width":58,"height":11}},{"id":"0fee5ed0-5d2a-433b-9695-88dc4a03071b","block_type":"box","text":"In recognition of a BlackRock client’s overall relationship with BlackRock, BlackRock may offer special pricing","page_number":135,"box":{"x":102,"y":702,"width":778,"height":12}},{"id":"b6018c34-8ba7-4e37-8f6d-09fc96cb6bef","block_type":"box","text":"arrangements for certain services provided by BlackRock. Any such special pricing arrangements will not affect Fund","page_number":135,"box":{"x":69,"y":717,"width":831,"height":12}},{"id":"b2372f0e-edb6-466e-b7cd-ed5987bd937b","block_type":"box","text":"fees and expenses applicable to such client’s investment in a Fund.","page_number":135,"box":{"x":68,"y":732,"width":485,"height":11}},{"id":"adf5d803-f61e-4286-88ef-2a3d62542878","block_type":"box","text":"Present and future activities of BlackRock and its directors, officers and employees, in addition to those","page_number":135,"box":{"x":102,"y":755,"width":742,"height":11}},{"id":"b60f5ccf-ec90-4a8f-90c4-b203e245d8fa","block_type":"box","text":"described in this section, may give rise to additional conflicts of interest.","page_number":135,"box":{"x":69,"y":770,"width":517,"height":12}},{"id":"f43ef31c-1592-4fcc-9fa4-9b9a71001969","block_type":"box","text":"PURCHASE OF SHARES","page_number":135,"box":{"x":395,"y":800,"width":188,"height":10}},{"id":"547fedca-863a-439e-b928-6357c5b892dd","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":135,"box":{"x":102,"y":823,"width":800,"height":11}},{"id":"ff8337fa-4230-4e73-99fe-77e7d02bf99c","block_type":"box","text":"under the Investment Company Act. Investor A Shares are sold to investors choosing the initial sales charge","page_number":135,"box":{"x":69,"y":838,"width":771,"height":11}},{"id":"03cc248c-5057-4490-a2ac-0c16ede7aa1c","block_type":"box","text":"alternative, except that Investor A Shares of Index Funds (defined below) and BlackRock Short Obligations Fund are","page_number":135,"box":{"x":69,"y":853,"width":822,"height":11}},{"id":"572d573a-422a-4ba8-b311-6cc521cd336e","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":135,"box":{"x":68,"y":868,"width":809,"height":11}},{"id":"c858a160-412f-410b-855d-470b894e1dc2","block_type":"box","text":"sales charge alternative. Investor P Shares are available only to certain investors purchasing shares of Funds","page_number":135,"box":{"x":69,"y":883,"width":781,"height":11}},{"id":"8ed316ba-ab60-49f8-bb68-bfb5b9e7770d","block_type":"box","text":"through registered representatives of an insurance company’s broker-dealer that has entered into an agreement with","page_number":135,"box":{"x":68,"y":898,"width":833,"height":11}},{"id":"c4c21e7e-4e28-4688-bf46-b76663eba68f","block_type":"box","text":"II-97","page_number":135,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b8ec800e-cf23-4297-89e9-d6a5954d457f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":135,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3573052b-e914-48e8-89a6-e98928434bdc","block_type":"box","text":"the Distributor to offer such shares. Institutional Shares are sold to certain eligible investors without a sales charge.","page_number":136,"box":{"x":68,"y":45,"width":833,"height":11}},{"id":"4f9fe5f6-5dd2-4889-8bdc-fd3aa5c46dee","block_type":"box","text":"Certain Funds offer Class R Shares, which are available only to certain employer-sponsored retirement plans and are","page_number":136,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"1f34253d-eee5-4ded-a5ad-fbfb19372ce3","block_type":"box","text":"sold without a sales charge. Certain Funds offer Class G Shares, which are available only to investors on eligible","page_number":136,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"5e095c2a-5d22-485c-abb1-9e0ba62a69ef","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":136,"box":{"x":70,"y":90,"width":816,"height":11}},{"id":"efbeadd3-fe72-488f-947e-dfbd811af28d","block_type":"box","text":"financial intermediary that meets an initial investment minimum of $2 billion. In addition, certain Funds offer Service","page_number":136,"box":{"x":68,"y":104,"width":835,"height":12}},{"id":"934993a3-6642-4e01-ad71-4e41a95d40b8","block_type":"box","text":"Shares, BlackRock Shares and/or Class K Shares that are available only to certain eligible investors. Please see the","page_number":136,"box":{"x":69,"y":120,"width":834,"height":12}},{"id":"657c2cf2-332d-4636-b06d-9b7aa23f45f4","block_type":"box","text":"appropriate Prospectus for your Fund to determine which classes are offered by your Fund and under what","page_number":136,"box":{"x":69,"y":135,"width":757,"height":11}},{"id":"43347ead-1fa8-4ed8-a5b0-c9fae76e1d9e","block_type":"box","text":"circumstances. Each class has different exchange privileges. See “Shareholder Services — Exchange Privilege.”","page_number":136,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"ab86e617-0e19-4165-ac51-cfe449640d0f","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":136,"box":{"x":101,"y":173,"width":799,"height":11}},{"id":"f645b06a-7698-4a85-9a86-b7712cb320ee","block_type":"box","text":"the purchase order by a dealer or other financial intermediary (“Selling Dealer”) that has been authorized by the","page_number":136,"box":{"x":68,"y":188,"width":798,"height":12}},{"id":"a10231f0-1761-4ae4-bf12-6ff458072289","block_type":"box","text":"Distributor by contract to accept such orders. In addition, with respect to the affiliated underlying funds in which","page_number":136,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"0c6f74b6-c639-403f-90f3-01af5bcf905f","block_type":"box","text":"target date funds advised by BlackRock or its affiliates (“BlackRock Target Date Funds”) invest, the applicable","page_number":136,"box":{"x":68,"y":218,"width":786,"height":12}},{"id":"4816fb6d-0ee6-4e24-9554-ed3cf8e5040a","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":136,"box":{"x":69,"y":234,"width":839,"height":11}},{"id":"1569c1e9-2230-48f9-a6c0-12fc9f39221b","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":136,"box":{"x":69,"y":249,"width":795,"height":11}},{"id":"7e7bd197-b405-4839-b315-f08d4b04036c","block_type":"box","text":"Target Date Funds that allocate a portion of such purchase order to such affiliated underlying fund. As to purchase","page_number":136,"box":{"x":68,"y":264,"width":819,"height":11}},{"id":"60228814-c248-4ba1-aaa3-4c97ac461833","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":136,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"9deea527-38e0-4591-9e38-23e969f47f0a","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":136,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"ec297634-27be-4c1a-b2a9-819462a49856","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":136,"box":{"x":70,"y":309,"width":812,"height":11}},{"id":"bf34ff43-8c64-422f-961e-40ee9ca0a2a5","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":136,"box":{"x":68,"y":324,"width":828,"height":11}},{"id":"0f2bd381-7926-4982-b866-9ee3345c6dbb","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":136,"box":{"x":68,"y":339,"width":788,"height":12}},{"id":"6fd2bd2a-45a2-4b5d-bd85-aa2bfdb25773","block_type":"box","text":"deemed received on the next business day. It is the responsibility of brokers to transmit purchase orders and","page_number":136,"box":{"x":69,"y":355,"width":779,"height":11}},{"id":"50b04d37-4f90-4dd0-b29e-0c0ae767cc5e","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":136,"box":{"x":70,"y":370,"width":830,"height":11}},{"id":"08dea6ad-8c5f-4421-8764-9e242ad67a5c","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":136,"box":{"x":69,"y":385,"width":828,"height":11}},{"id":"132585bb-a681-404f-9380-13b5c9d0c143","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":136,"box":{"x":68,"y":399,"width":762,"height":12}},{"id":"43801fe2-bdc0-4a95-bcc5-bef52c744f8a","block_type":"box","text":"The minimum investment for the initial purchase of shares is set forth in the Prospectus for each Fund. The","page_number":136,"box":{"x":101,"y":423,"width":768,"height":11}},{"id":"fc94ab45-dd6f-47a2-8cf9-33732383a67a","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":136,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"8337ed5d-c139-442c-bc55-4d387ed53417","block_type":"box","text":"affiliates is $100, unless payment is made through a payroll deduction program in which case the minimum","page_number":136,"box":{"x":69,"y":452,"width":769,"height":12}},{"id":"6b81bd17-63ce-4bbf-89fe-e19585b88905","block_type":"box","text":"investment is $25.","page_number":136,"box":{"x":70,"y":467,"width":132,"height":11}},{"id":"9a2caabb-9492-41b6-a38e-a3253c87152b","block_type":"box","text":"Each Fund has lower investment minimums for other categories of shareholders eligible to purchase Institutional","page_number":136,"box":{"x":102,"y":491,"width":802,"height":11}},{"id":"c157bb78-e9b6-4827-bfaa-0c3073f34537","block_type":"box","text":"Shares, including selected fee-based programs. Each Fund may permit a lower initial investment for certain investors","page_number":136,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"d4616a8a-a4e0-45f1-a8f9-38a80c7c82c5","block_type":"box","text":"if their purchase, combined with purchases by other investors received together by the Fund, meets the minimum","page_number":136,"box":{"x":70,"y":521,"width":806,"height":11}},{"id":"13303089-8de2-40fe-98ac-9da065332253","block_type":"box","text":"investment requirement. Each Fund may reject any purchase order, modify or waive the minimum initial or","page_number":136,"box":{"x":70,"y":536,"width":751,"height":11}},{"id":"ef91ec25-8b15-450c-9e5b-fee13e77bff9","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":136,"box":{"x":69,"y":551,"width":826,"height":11}},{"id":"70439d73-cd62-4e19-8094-93c67fa0f5ab","block_type":"box","text":"Financial intermediaries may, in connection with a change in account type or otherwise in accordance with a","page_number":136,"box":{"x":102,"y":574,"width":768,"height":11}},{"id":"09060a8a-dbb4-442c-8568-3b875ec72d32","block_type":"box","text":"financial intermediary’s policies and procedures, exchange shares of a Fund from one class of shares to another","page_number":136,"box":{"x":68,"y":589,"width":807,"height":11}},{"id":"1ddd03ba-865a-4ff6-8688-0a61a03197a9","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":136,"box":{"x":69,"y":604,"width":836,"height":11}},{"id":"d6a30f15-29ee-4245-978d-b0ec50cb6813","block_type":"box","text":"charge (“CDSC”) and that shareholders meet eligibility requirements of the new share class. Please speak to your","page_number":136,"box":{"x":69,"y":619,"width":814,"height":11}},{"id":"adc88e9e-ac64-4347-8f48-d3c9aecf659d","block_type":"box","text":"financial intermediary for information about specific policies and procedures applicable to your account.","page_number":136,"box":{"x":68,"y":634,"width":740,"height":11}},{"id":"eb1c443d-cd89-4320-a20e-7b8d29459f49","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":136,"box":{"x":102,"y":657,"width":795,"height":11}},{"id":"c39856dc-0a5a-481d-b355-a64c2fd6e2a1","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":136,"box":{"x":70,"y":672,"width":813,"height":11}},{"id":"150bc603-ee11-4f19-aabb-34edf7ebfefd","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":136,"box":{"x":68,"y":687,"width":827,"height":11}},{"id":"1942d52f-7931-48c1-9493-9e8134245084","block_type":"box","text":"financial intermediaries are permitted to withhold placing orders to benefit themselves by a price change.","page_number":136,"box":{"x":68,"y":702,"width":750,"height":12}},{"id":"186e4a45-bda6-4bed-ae42-76b0e1728d2a","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":136,"box":{"x":101,"y":725,"width":776,"height":11}},{"id":"fa3c68b1-85fe-4094-aa56-ab23d42aaa84","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":136,"box":{"x":69,"y":740,"width":831,"height":11}},{"id":"fd194903-7904-4297-9b21-df1ec788bd9c","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":136,"box":{"x":69,"y":755,"width":822,"height":11}},{"id":"d4f834e3-c876-4fa7-a78f-32f9bab46156","block_type":"box","text":"single fiduciary account although more than one beneficiary may be involved. The term “purchase” also includes","page_number":136,"box":{"x":69,"y":770,"width":802,"height":12}},{"id":"e0d0dcec-b3d6-4140-992d-5269dfc3fbac","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":136,"box":{"x":70,"y":785,"width":839,"height":12}},{"id":"f42e9c9a-8fd0-49bb-bbc8-3f3e5ea893cf","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":136,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"50f6cefa-4ed6-420d-98b5-11b677ff1ba8","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":136,"box":{"x":68,"y":816,"width":827,"height":11}},{"id":"a6eaab9f-d0d9-42c5-adf6-35909f318d72","block_type":"box","text":"group of individuals whose sole organizational nexus is that its participants are credit cardholders of a company,","page_number":136,"box":{"x":68,"y":831,"width":803,"height":11}},{"id":"6fdfb6eb-5c0b-4de5-8140-554df8b82405","block_type":"box","text":"policyholders of an insurance company, customers of either a bank or broker-dealer or clients of an investment","page_number":136,"box":{"x":70,"y":846,"width":788,"height":11}},{"id":"46dcf175-9094-4474-8554-1675e1bac697","block_type":"box","text":"adviser.","page_number":136,"box":{"x":69,"y":861,"width":53,"height":9}},{"id":"ae2f55ec-ede6-4c68-aa5c-d848ca552c4d","block_type":"box","text":"With certain limited exceptions, the Funds are generally available only to investors residing in the United States","page_number":136,"box":{"x":101,"y":884,"width":795,"height":11}},{"id":"823e9563-1b4e-419f-bd98-5d64e6b1a4d6","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":136,"box":{"x":69,"y":899,"width":821,"height":11}},{"id":"31cfabc2-138a-4e3d-995e-431fc4a47585","block_type":"box","text":"II-98","page_number":136,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"838b9f34-7b44-426c-9bb5-9a4dd7b694e2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":136,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6b884fe0-af9d-4ebb-bcfd-66fbb8355721","block_type":"box","text":"additional investments (including by way of exchange from another Fund) into existing accounts, a Fund generally","page_number":137,"box":{"x":69,"y":45,"width":803,"height":11}},{"id":"b02d104c-f564-4334-9b8e-bec1a275f795","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":137,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"bf851f81-bf5f-46f7-b76d-f0174cf54ff0","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":137,"box":{"x":68,"y":75,"width":747,"height":11}},{"id":"fc263ce4-4ceb-45be-9f8d-199c04b9a6d0","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":137,"box":{"x":70,"y":90,"width":809,"height":11}},{"id":"d93717d3-92ac-4674-8b63-ee5180e0fa79","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":137,"box":{"x":69,"y":105,"width":819,"height":11}},{"id":"b0553943-5ed7-4241-9425-fe3c4b60bb0c","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":137,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"ccdea4c4-644f-47f7-9ba8-ae8a4f741387","block_type":"box","text":"also be restricted from making additional investments.","page_number":137,"box":{"x":69,"y":135,"width":388,"height":12}},{"id":"db30df5f-4efd-4d3b-b821-e498544ac583","block_type":"box","text":"In-Kind Purchases","page_number":137,"box":{"x":102,"y":158,"width":127,"height":9}},{"id":"460b5589-47ad-47cf-913a-4dec3fc18e0c","block_type":"box","text":". Payment for shares of a Fund may, at the discretion of BlackRock, be made in the form of","page_number":137,"box":{"x":230,"y":158,"width":649,"height":11}},{"id":"39f852f9-c25b-4ee6-8597-05ee7dd525ca","block_type":"box","text":"securities that are permissible investments for the Fund and that meet the investment objective, policies and","page_number":137,"box":{"x":69,"y":173,"width":779,"height":11}},{"id":"2d41aaec-592b-4796-bd5b-2c54fae53519","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":137,"box":{"x":70,"y":188,"width":820,"height":11}},{"id":"4e969b3b-6c76-4949-9389-c8aaa9c500a2","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":137,"box":{"x":69,"y":203,"width":827,"height":12}},{"id":"e2401eb2-51a8-4a5f-98dd-80f7d73a2dc9","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":137,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"cb7b0831-7a1a-4ac4-b696-3db18ebd073f","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":137,"box":{"x":69,"y":234,"width":817,"height":11}},{"id":"e7d0ec55-6712-4147-b063-fe9c11b22566","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":137,"box":{"x":68,"y":249,"width":837,"height":11}},{"id":"0cd7e1fb-1a4b-4e86-9241-ca1fb6fdb0a6","block_type":"box","text":"securities. All dividends, interest, subscription or other rights pertaining to such securities shall become the property","page_number":137,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"3e4f5d9b-267a-4abd-8f04-d4d8dc7b8fc2","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":137,"box":{"x":69,"y":279,"width":795,"height":11}},{"id":"771e3651-1287-453b-93d0-1322a72e48f2","block_type":"box","text":"receipt from the issuer. Shares purchased in exchange for securities generally cannot be redeemed until the transfer","page_number":137,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"4f6ec900-ef7d-4a56-943b-be208803b8fc","block_type":"box","text":"has settled.","page_number":137,"box":{"x":69,"y":309,"width":83,"height":9}},{"id":"80b445e4-c688-433f-9cb3-a843a7631921","block_type":"box","text":"Institutional Shares","page_number":137,"box":{"x":69,"y":340,"width":142,"height":8}},{"id":"4de45731-2000-4fad-a8f7-453414c787a2","block_type":"box","text":"Institutional Shares may be purchased at NAV without a sales charge. Only certain investors are eligible to","page_number":137,"box":{"x":102,"y":362,"width":759,"height":11}},{"id":"e57b2a84-c4a6-4dbb-987a-637855216b9c","block_type":"box","text":"purchase Institutional Shares. Investors who are eligible to purchase Institutional Shares should purchase","page_number":137,"box":{"x":70,"y":377,"width":756,"height":12}},{"id":"ef960949-10df-48d4-a019-42722525b634","block_type":"box","text":"Institutional Shares because they are not subject to any sales charge and have lower ongoing expenses than","page_number":137,"box":{"x":70,"y":392,"width":775,"height":12}},{"id":"31614697-b145-49ce-a415-d2cef2c30f7e","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":137,"box":{"x":70,"y":407,"width":839,"height":12}},{"id":"64745f39-4163-4eff-9238-d74449a5603b","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":137,"box":{"x":69,"y":423,"width":807,"height":11}},{"id":"9c750c85-3e21-47ff-8f92-16256f29fd9b","block_type":"box","text":"sale of shares of any Fund at any time.","page_number":137,"box":{"x":69,"y":438,"width":276,"height":11}},{"id":"c7041607-007e-46eb-a6bf-4d40e15d2757","block_type":"box","text":"Eligible Institutional Share Investors.","page_number":137,"box":{"x":102,"y":460,"width":259,"height":12}},{"id":"3876960a-0930-4378-8b21-48552d531fd7","block_type":"box","text":"Institutional Shares of the Funds may be purchased by customers of broker","page_number":137,"box":{"x":369,"y":460,"width":540,"height":12}},{"id":"c7303d2d-6e27-4bca-bfdc-fed452fa7dce","block_type":"box","text":"dealers and agents that have established a servicing relationship with the Fund on behalf of their customers. These","page_number":137,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"d81fe248-0dc2-48af-b369-c122e891e186","block_type":"box","text":"broker-dealers and agents may impose additional or different conditions on the purchase or redemption of Fund","page_number":137,"box":{"x":69,"y":491,"width":796,"height":11}},{"id":"a864e60a-302c-4dd4-a6e3-a86301138d99","block_type":"box","text":"shares by their customers and may charge their customers transaction, account or other fees on the purchase and","page_number":137,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"feaf047a-8f33-4a3c-90a9-0741371cec83","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":137,"box":{"x":69,"y":521,"width":840,"height":11}},{"id":"c7d193e5-c873-49bd-a2c9-ee7a4c4c21b4","block_type":"box","text":"any such fees and information regarding any additional or different conditions regarding purchases and redemptions.","page_number":137,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"5ba8e962-4669-4948-a435-344274c5b21f","block_type":"box","text":"Shareholders who are customers of such broker-dealers or agents should consult them for information regarding","page_number":137,"box":{"x":69,"y":551,"width":802,"height":11}},{"id":"661df0da-26a8-47d6-b88b-1bc6870007dc","block_type":"box","text":"these fees and conditions.","page_number":137,"box":{"x":68,"y":566,"width":189,"height":9}},{"id":"3ad8ae92-ea2d-4fa0-a771-4ebba63d350e","block_type":"box","text":"Payment for Institutional Shares must normally be made in Federal funds or other funds immediately available by","page_number":137,"box":{"x":102,"y":589,"width":805,"height":11}},{"id":"0a9a416b-4ff6-409e-9cd5-5dbc87e3e329","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":137,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"98a2d090-6faa-4781-95f7-07824b78a921","block_type":"box","text":"certain Funds, be made in the form of securities that are permissible investments for such Funds. If payment for a","page_number":137,"box":{"x":69,"y":619,"width":817,"height":11}},{"id":"9fbf9e68-dd4c-4102-8c77-2db52cfb4507","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":137,"box":{"x":70,"y":634,"width":831,"height":12}},{"id":"bf242067-64cc-4e30-b583-98ce5cef79d0","block_type":"box","text":"incurred by the Fund.","page_number":137,"box":{"x":70,"y":650,"width":147,"height":11}},{"id":"a86f8d75-5a30-4966-871c-b8901670b583","block_type":"box","text":"Certain of the Funds offer Institutional Shares as described in each such Fund’s Prospectus. In addition, the","page_number":137,"box":{"x":102,"y":672,"width":774,"height":11}},{"id":"f01c1c0a-f76c-41d8-9e4d-5a200005927b","block_type":"box","text":"following investors may purchase Institutional Shares: employees, officers and directors/trustees of BlackRock, Inc.,","page_number":137,"box":{"x":68,"y":687,"width":834,"height":11}},{"id":"d7667009-d979-4a3d-af01-6fd96cfe8793","block_type":"box","text":"BlackRock Funds, Bank of America Corporation (“BofA Corp.”), Barclays PLC or their respective affiliates and","page_number":137,"box":{"x":70,"y":702,"width":773,"height":11}},{"id":"f1cd46c8-3124-4401-9c8a-8aa318b1591d","block_type":"box","text":"immediate family members of such persons, individuals and “Institutional Investors” with a minimum initial","page_number":137,"box":{"x":70,"y":717,"width":762,"height":12}},{"id":"e1b2b0fd-1492-4268-aeac-8127553498f6","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":137,"box":{"x":70,"y":732,"width":821,"height":12}},{"id":"7016fbb2-9c84-4faf-beeb-315aba42abd2","block_type":"box","text":"an agreement with the Distributor to purchase such shares (“Institutional Investors” include, but are not limited to,","page_number":137,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"3672507b-2055-4f86-bd7d-c42452e2583f","block_type":"box","text":"endowments, foundations, family offices, local, city, and state governmental institutions, corporations, and insurance","page_number":137,"box":{"x":69,"y":763,"width":836,"height":11}},{"id":"6a8c6100-7be9-4ca7-902e-dfb0b1ebc403","block_type":"box","text":"company separate accounts); employer-sponsored retirement plans (which, for this purpose, do not include SEP IRAs,","page_number":137,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"99f7acfb-bb3f-4773-900e-0c00758e652a","block_type":"box","text":"SIMPLE IRAs or SARSEPs), state sponsored 529 college savings plans, collective trust funds, investment companies","page_number":137,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"d690f516-1ceb-4fe3-84de-4f00d01478ff","block_type":"box","text":"or other pooled investment vehicles, unaffiliated thrifts and unaffiliated banks and trust companies, each of which","page_number":137,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"16d2fa0d-caec-4185-8b43-46256de2028b","block_type":"box","text":"may purchase shares of the Fund through a financial intermediary that has entered into an agreement with the","page_number":137,"box":{"x":69,"y":823,"width":789,"height":12}},{"id":"cfa93bd0-86a8-456d-9bcc-232d193db606","block_type":"box","text":"Distributor to purchase such shares; clients investing through a self-directed IRA brokerage account program","page_number":137,"box":{"x":70,"y":838,"width":772,"height":12}},{"id":"4bb2ebbb-4676-45b3-af89-94c0112a71bb","block_type":"box","text":"sponsored by a retirement plan record-keeper, provided that such program offers only mutual fund options and that","page_number":137,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"a4aee087-c537-4e72-8f4b-7fdfcf5cfe2d","block_type":"box","text":"the program maintains an account with the Fund on an omnibus basis; clients of financial intermediaries that:","page_number":137,"box":{"x":68,"y":869,"width":783,"height":11}},{"id":"db939c11-b2f7-463d-8c6a-dec6ed600c63","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":137,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"33bddf31-aa0d-4ef3-a419-96cd29f47d9d","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares through a no-load program or investment platform, in each","page_number":137,"box":{"x":69,"y":899,"width":838,"height":11}},{"id":"45914c9f-1d10-4fdb-bf6b-eeeead2468f9","block_type":"box","text":"II-99","page_number":137,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cb6747a3-c13f-43a1-a3d6-b69d0bd304f4","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":137,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d07e2935-5971-44e6-870c-7601b4215039","block_type":"box","text":"case, with no minimum initial investment; clients investing through financial intermediaries that have entered into an","page_number":138,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"9937c8f0-5d53-4c27-8749-546a0b371b14","block_type":"box","text":"agreement with the Distributor to offer such shares on a platform that charges a transaction based sales","page_number":138,"box":{"x":69,"y":60,"width":751,"height":11}},{"id":"67e2cd92-0d11-4936-b935-71aef95dd397","block_type":"box","text":"commission outside of the Fund, with a minimum initial investment of $1,000; tax-qualified accounts for insurance","page_number":138,"box":{"x":69,"y":74,"width":817,"height":12}},{"id":"ab7ec600-a249-4d82-af88-a1f803dfd22b","block_type":"box","text":"agents that are registered representatives of an insurance company’s broker-dealer that has entered into an","page_number":138,"box":{"x":69,"y":90,"width":773,"height":11}},{"id":"8c992815-6045-42ab-9408-26f4bf35c9cc","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares, and the family members of such persons, with a","page_number":138,"box":{"x":69,"y":105,"width":771,"height":11}},{"id":"a0cb523f-6af5-4c9c-b00b-319ed2529476","block_type":"box","text":"minimum initial investment of $1,000; trust department clients of Bank of America, N.A. and its affiliates for whom","page_number":138,"box":{"x":69,"y":120,"width":822,"height":11}},{"id":"fcfcf890-5a4e-431b-9a99-f756cef23c1d","block_type":"box","text":"they (i) act in a fiduciary capacity (excluding participant directed employee benefit plans), (ii) otherwise have","page_number":138,"box":{"x":68,"y":135,"width":771,"height":12}},{"id":"c5cd57d0-3177-4f8b-a04b-61d38ab820cb","block_type":"box","text":"investment discretion, or (iii) act as custodian for at least $2 million in assets; and holders of certain BofA Corp.","page_number":138,"box":{"x":70,"y":150,"width":801,"height":11}},{"id":"6cbb2022-ed26-4c3c-9c8a-eecf6f851dfb","block_type":"box","text":"sponsored unit investment trusts (UITs) who reinvest dividends received from such UITs in shares of a Fund.","page_number":138,"box":{"x":69,"y":166,"width":770,"height":11}},{"id":"f7ed368b-c8e2-47b7-a6e9-ee6e0e733654","block_type":"box","text":"Purchase Privileges of Cer tain Persons.","page_number":138,"box":{"x":102,"y":188,"width":280,"height":12}},{"id":"cdaea18e-67e2-41fd-ba72-33033edc8a6d","block_type":"box","text":"Employees, officers, directors/trustees of BlackRock, Inc., BlackRock","page_number":138,"box":{"x":389,"y":188,"width":496,"height":11}},{"id":"857a54c2-00c9-4f20-8f9c-e3282f153321","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":138,"box":{"x":70,"y":203,"width":812,"height":12}},{"id":"a985cd12-6021-4867-835f-ee750048d04a","block_type":"box","text":"persons may purchase Institutional Shares at lower investment minimums than stated in each Fund’s Prospectus. A","page_number":138,"box":{"x":70,"y":219,"width":828,"height":11}},{"id":"5b09791b-4763-4606-ba1b-bd53c48c392e","block_type":"box","text":"Fund realizes economies of scale and reduction of sales-related expenses by virtue of the familiarity of these persons","page_number":138,"box":{"x":70,"y":234,"width":838,"height":11}},{"id":"5cb7b4f3-a1d7-4769-b371-49735fc4de34","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":138,"box":{"x":68,"y":249,"width":826,"height":11}},{"id":"f4afed5e-ffc5-4671-b823-bdf9ebcc7634","block_type":"box","text":"satisfy the Fund’s suitability standards.","page_number":138,"box":{"x":69,"y":264,"width":279,"height":11}},{"id":"1d642269-f42c-401d-9c78-034c9f533549","block_type":"box","text":"Initial Sales Charge Alternative — Investor A Shares","page_number":138,"box":{"x":69,"y":294,"width":382,"height":11}},{"id":"dd3016ae-f37d-4c96-9589-3659940c4dd0","block_type":"box","text":"Investors who prefer an initial sales charge alternative may elect to purchase Investor A Shares. Investor A1","page_number":138,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"e4195b84-ffb6-48c6-910c-6fb3dc4bcb90","block_type":"box","text":"Shares are offered only (i) for purchase by certain employer-sponsored retirement plans and fee-based programs that","page_number":138,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"8d1f5b03-8a5d-4d1d-aff2-51dee497df1b","block_type":"box","text":"have been previously approved by certain Funds, and (ii) to certain investors who currently hold Investor A1 Shares","page_number":138,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"43f747ce-0bc0-4fec-b4f8-c8733c223179","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":138,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"e469f527-c0fd-40b1-8339-1d35934a6df0","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":138,"box":{"x":69,"y":377,"width":815,"height":11}},{"id":"b120c4b1-a567-4a29-89ee-5e276a5fc6a4","block_type":"box","text":"sometimes referred to herein as “front-end load shares.” Investor A Shares of Index Funds (defined below) and","page_number":138,"box":{"x":69,"y":392,"width":791,"height":11}},{"id":"ac8ee54e-6384-4c73-838e-519db9b1e327","block_type":"box","text":"BlackRock Short Obligations Fund generally are not subject to an initial sales charge or front-end load.","page_number":138,"box":{"x":70,"y":407,"width":727,"height":12}},{"id":"d2c3d65a-4322-42d0-9a37-798a31cb2f97","block_type":"box","text":"Investors qualifying for significantly reduced initial sales charges may find the initial sales charge alternative","page_number":138,"box":{"x":102,"y":430,"width":770,"height":11}},{"id":"0072c165-174a-4139-ad15-d843f7fac0cb","block_type":"box","text":"particularly attractive because similar sales charge reductions are not available with respect to the deferred sales","page_number":138,"box":{"x":70,"y":445,"width":812,"height":12}},{"id":"5a85bb57-86a3-4fd2-b860-85b15010291f","block_type":"box","text":"charges imposed in connection with investments in Investor C Shares (sometimes referred to herein as “CDSC","page_number":138,"box":{"x":69,"y":460,"width":791,"height":12}},{"id":"a90f7504-e2ec-4208-b8fa-bf25b99d4f37","block_type":"box","text":"shares”). Investors who do not qualify for reduced initial sales charges and who expect to maintain their investment","page_number":138,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"68d98ece-aa99-4c3b-a325-a94fceeebbb9","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":138,"box":{"x":68,"y":491,"width":808,"height":11}},{"id":"444dae27-4ddb-4d91-850e-ee83946879e8","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":138,"box":{"x":69,"y":506,"width":834,"height":11}},{"id":"19d34e3c-c9b3-444c-8fbc-1becc73b4fae","block_type":"box","text":"service fee. Although some investors who previously purchased Institutional Shares may no longer be eligible to","page_number":138,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"8ef2854a-4465-4234-8fbb-70f9ee332971","block_type":"box","text":"purchase Institutional Shares of other Funds, those previously purchased Institutional Shares, together with all","page_number":138,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"711d9aa4-d7be-4c89-bd37-76af646411f2","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":138,"box":{"x":70,"y":551,"width":805,"height":11}},{"id":"7ec9738d-75d3-42a6-8dd9-34e5820fd9e0","block_type":"box","text":"investor for a reduced initial sales charge on new initial sales charge purchases. In addition, the ongoing CDSC","page_number":138,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"98ed368a-c4b3-4f1a-8010-9cbc3e348e43","block_type":"box","text":"shares service and distribution fees will cause CDSC shares to have higher expense ratios, pay lower dividends and","page_number":138,"box":{"x":69,"y":581,"width":826,"height":12}},{"id":"1dad900f-a869-444d-ad59-ed80d111fd06","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":138,"box":{"x":69,"y":596,"width":802,"height":12}},{"id":"c08fea2a-12c1-4c58-8bb0-158bd624039d","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":138,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"1ac37e90-684f-463e-9e5c-49f0d52450ae","block_type":"box","text":"have a lower total return than Institutional Shares.","page_number":138,"box":{"x":69,"y":627,"width":358,"height":9}},{"id":"ed27f174-5e02-4127-866b-04cbaf549c3d","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":138,"box":{"x":102,"y":649,"width":734,"height":12}},{"id":"463df6cc-bdb7-466a-854c-f6b79db40190","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor A and Investor A1 Shares for the","page_number":138,"box":{"x":70,"y":664,"width":785,"height":11}},{"id":"5b222380-7a1b-48ca-94e1-7931ad04c032","block_type":"box","text":"periods indicated.","page_number":138,"box":{"x":70,"y":680,"width":124,"height":11}},{"id":"7dcf7df9-5724-4eef-b263-e58ef3d7f8e1","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":702,"width":806,"height":11}},{"id":"a7d02807-df41-4121-9c41-a06c42f1eafd","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":718,"width":830,"height":11}},{"id":"45442b59-3d71-4690-b0d8-c1a554acd7cb","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":732,"width":832,"height":12}},{"id":"8c27148a-4172-4894-bb97-ab1852bd6621","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":748,"width":714,"height":11}},{"id":"2f9ab474-3ffb-4028-8034-afe4e78313e2","block_type":"box","text":"Initial Sales Charge — Investor P Shares","page_number":138,"box":{"x":69,"y":778,"width":297,"height":11}},{"id":"8f0eecf9-2c7c-4022-bc86-0e78144b3337","block_type":"box","text":"Certain Funds offer Investor P Shares as described in each such Fund’s Prospectus, Investor P Shares are","page_number":138,"box":{"x":102,"y":801,"width":761,"height":11}},{"id":"00124053-3865-4516-819a-b486b1a6246a","block_type":"box","text":"available for purchase only through registered representatives of an insurance company’s broker-dealer that has","page_number":138,"box":{"x":69,"y":816,"width":800,"height":11}},{"id":"b9e78b44-721b-43f8-82e9-9074ddc49996","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":138,"box":{"x":69,"y":831,"width":812,"height":11}},{"id":"e388234a-3891-4810-aa6e-e1a5aa531eb8","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":138,"box":{"x":69,"y":846,"width":813,"height":11}},{"id":"0a3cc21b-08b8-4ace-acf0-4bd7b4461b1b","block_type":"box","text":"dividends and have a lower total return than Investor A Shares of the same Fund.","page_number":138,"box":{"x":69,"y":861,"width":578,"height":9}},{"id":"48786f0c-2ce0-4e2f-8b5d-4309fd1b27b5","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":138,"box":{"x":102,"y":884,"width":734,"height":11}},{"id":"26338fff-f8db-47e3-9762-3f581c10a9fd","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor P Shares for the periods indicated.","page_number":138,"box":{"x":70,"y":899,"width":800,"height":11}},{"id":"4a45c071-2f79-4924-91c1-cc92877ad9e8","block_type":"box","text":"II-100","page_number":138,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e3c280be-652c-416f-8257-38d0a8dd3b50","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":138,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d99c171b-00f3-4f66-a1af-ed05cd02a797","block_type":"box","text":"The Distributor may reallow discounts to selected securities dealers and other financial intermediaries and retain","page_number":139,"box":{"x":101,"y":45,"width":806,"height":11}},{"id":"7af4c300-9a3c-4e57-b599-89624bcecd62","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":139,"box":{"x":68,"y":60,"width":830,"height":11}},{"id":"9d574a8f-99aa-4989-ab93-db2165cd133f","block_type":"box","text":"securities dealers and other financial intermediaries selling front-end load shares of a Fund will receive a concession","page_number":139,"box":{"x":69,"y":75,"width":832,"height":11}},{"id":"abdef5d3-c17c-406f-9555-4f57f360b36a","block_type":"box","text":"equal to most of the sales charge, they may be deemed to be underwriters under the Securities Act.","page_number":139,"box":{"x":69,"y":90,"width":714,"height":11}},{"id":"7d2a81e0-5453-4b7a-af0c-321337ac1b9f","block_type":"box","text":"Reduced Initial Sales Charges","page_number":139,"box":{"x":69,"y":120,"width":219,"height":11}},{"id":"141ad255-790f-4869-8291-4939d116f145","block_type":"box","text":"Certain investors may be eligible for a reduction in or waiver of a sales load due to the nature of the investors","page_number":139,"box":{"x":102,"y":143,"width":782,"height":11}},{"id":"ae20db99-0b35-487c-b76e-22adeda45cdf","block_type":"box","text":"and/or the reduced sales efforts necessary to obtain their investments. Financial intermediaries may, in connection","page_number":139,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"aa43f370-5b88-4634-8944-4e6d2a6889fa","block_type":"box","text":"with a change in account type or otherwise in accordance with a financial intermediary’s policies and procedures,","page_number":139,"box":{"x":68,"y":173,"width":809,"height":11}},{"id":"4245947f-9f4e-4039-a94b-7419862b30dd","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":139,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"38443dcd-80fd-467a-bfe5-0528f33fb07f","block_type":"box","text":"exchanged shares are not subject to a contingent deferred sales charge and that shareholders meet the eligibility","page_number":139,"box":{"x":69,"y":203,"width":812,"height":12}},{"id":"966301f1-f310-4dd7-b94c-05778895aa6d","block_type":"box","text":"requirements of the new share class. Certain sales load reductions and waivers may be available to customers of","page_number":139,"box":{"x":69,"y":218,"width":813,"height":12}},{"id":"509c1d9c-b7c5-4958-bea8-fce8ee157a4f","block_type":"box","text":"certain financial intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the","page_number":139,"box":{"x":69,"y":234,"width":793,"height":11}},{"id":"bc794005-bbba-47ae-9ffd-ea96a370abac","block_type":"box","text":"Fund’s Prospectus. Please speak to your financial intermediary for more information.","page_number":139,"box":{"x":70,"y":249,"width":603,"height":11}},{"id":"8282311b-ef23-4ec8-b5af-47eee032e4e1","block_type":"box","text":"Reinvested Dividends.","page_number":139,"box":{"x":102,"y":272,"width":156,"height":8}},{"id":"53ef4f6e-7040-4233-afdc-4545708d9bbd","block_type":"box","text":"No sales charges are imposed upon shares issued as a result of the automatic","page_number":139,"box":{"x":265,"y":271,"width":566,"height":12}},{"id":"9b707dc3-a689-4136-a2c4-499417efb681","block_type":"box","text":"reinvestment of dividends.","page_number":139,"box":{"x":69,"y":286,"width":186,"height":10}},{"id":"667b84b0-c725-4724-93f4-fa015be184e5","block_type":"box","text":"Right of Accumulation.","page_number":139,"box":{"x":102,"y":309,"width":158,"height":11}},{"id":"677ee220-1ddc-43c0-8749-43d3665909a3","block_type":"box","text":"Investors have a “right of accumulation” under which any of the following may be","page_number":139,"box":{"x":267,"y":309,"width":574,"height":11}},{"id":"d6b81b09-b544-46fd-b8f2-d60a149b8a45","block_type":"box","text":"combined with the amount of the current purchase in determining whether an investor qualifies for a breakpoint and","page_number":139,"box":{"x":69,"y":324,"width":826,"height":12}},{"id":"141eaa51-3fb3-453f-9969-b88affafe055","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":139,"box":{"x":69,"y":339,"width":810,"height":12}},{"id":"2eac8308-0e62-4062-9b5f-8a8ad7abfea0","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":139,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"eaaa9214-7fb7-417f-9759-4ab339448c1a","block_type":"box","text":"existing shares of certain unlisted closed-end management investment companies sponsored and advised by","page_number":139,"box":{"x":69,"y":370,"width":780,"height":11}},{"id":"fca99985-92f2-4e68-982e-7e7a704a7d37","block_type":"box","text":"BlackRock or its affiliates (“Eligible Unlisted BlackRock Closed-End Funds”) and (iii) the investment in the BlackRock","page_number":139,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"ef25e224-95ea-4338-8f2a-0ef98b3bd617","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":139,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"de9ead9a-1c4f-4f3d-8765-21f80e71adbc","block_type":"box","text":"intermediaries may value current holdings of their customers differently for purposes of determining whether an","page_number":139,"box":{"x":70,"y":415,"width":794,"height":11}},{"id":"bfe244b0-87af-418a-b2b6-eadde567d68d","block_type":"box","text":"investor qualifies for a breakpoint and a reduced front-end sales charge, although customers of the same financial","page_number":139,"box":{"x":70,"y":430,"width":814,"height":11}},{"id":"3a9f96e7-83ea-4266-80b9-28d33b146fab","block_type":"box","text":"intermediary will be treated similarly. In order to use this right, the investor must alert BlackRock to the existence of","page_number":139,"box":{"x":70,"y":445,"width":828,"height":12}},{"id":"7c48ea50-a57d-49c4-8c8a-cd20eef8eccc","block_type":"box","text":"any previously purchased shares. Certain funds employ a “passive” management approach and attempt to match the","page_number":139,"box":{"x":69,"y":460,"width":838,"height":12}},{"id":"e56b0c65-841a-47b1-889b-cc8e9ee07330","block_type":"box","text":"performance of a target index as closely as possible before the deduction of Fund expenses (“Index Funds”).","page_number":139,"box":{"x":70,"y":475,"width":776,"height":12}},{"id":"88666587-98da-4852-b53b-d09b578d364a","block_type":"box","text":"Although Investor A Shares of Index Funds and BlackRock Short Obligations Fund generally are not subject to a sales","page_number":139,"box":{"x":68,"y":491,"width":835,"height":11}},{"id":"091a9b0d-cb12-4232-b014-2d7277c48e58","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":139,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"48a9836a-91a9-433d-bfde-76440640e2a6","block_type":"box","text":"in the Index Funds and BlackRock Short Obligations Fund may be combined with the amount of an investor’s current","page_number":139,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"84c56709-9812-4532-be00-ee6020a6f7ec","block_type":"box","text":"purchase in determining whether an investor qualifies for a breakpoint and a reduced front-end sales charge.","page_number":139,"box":{"x":70,"y":536,"width":774,"height":11}},{"id":"7ee8977a-5b80-463c-90e0-646c05d44c73","block_type":"box","text":"Letter of Intent.","page_number":139,"box":{"x":102,"y":559,"width":109,"height":9}},{"id":"8807b114-5868-49c2-95d2-6a90c536dca0","block_type":"box","text":"An investor may qualify for a reduced front-end sales charge immediately by signing a “Letter of","page_number":139,"box":{"x":217,"y":559,"width":681,"height":11}},{"id":"67229d25-df2f-4d24-8d53-e51a3c14362b","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":139,"box":{"x":70,"y":574,"width":820,"height":11}},{"id":"64f22eb5-4469-4d57-b5a3-d9624bdcf873","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":139,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"ae79c8fb-9eba-4c06-9f64-55204464401b","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":139,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"eed5d4e2-a707-4be7-9e33-8177878cdcf9","block_type":"box","text":"more Eligible Unlisted BlackRock Closed-End Funds and/or (iii) make an investment through the BlackRock","page_number":139,"box":{"x":69,"y":619,"width":760,"height":11}},{"id":"cb179170-72f6-4059-803f-ab1b0d859cdc","block_type":"box","text":"CollegeAdvantage 529 Program in one or more BlackRock Funds. The initial investment must meet the minimum","page_number":139,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"211ae7a2-6d1d-4554-9744-c3d1e8d51c3d","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":139,"box":{"x":70,"y":649,"width":826,"height":12}},{"id":"f71faff5-ea90-4ef1-841e-4e784f0ea8c5","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":139,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"01399f9d-3467-45be-9b34-d014af47ab95","block_type":"box","text":"Investor P, Institutional, Class K and Premier Shares, Eligible Unlisted BlackRock Closed-End Funds and the","page_number":139,"box":{"x":70,"y":680,"width":764,"height":11}},{"id":"b8a4a608-f7cb-412c-8cdc-4be4cb3f46b6","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program Class A and Class C Units) as of the date of commencement that are","page_number":139,"box":{"x":70,"y":695,"width":800,"height":11}},{"id":"cb9cfdbe-4cbf-4b09-9193-b9fcd6d8c906","block_type":"box","text":"eligible under the Right of Accumulation may be counted towards the sales charge reduction. The investor must notify","page_number":139,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"4c8faa5c-80f4-42a7-9216-5d0c2dda661b","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":139,"box":{"x":68,"y":725,"width":835,"height":11}},{"id":"09246805-eeba-4df9-b331-b773238d06e6","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program that should be counted towards the sales charge reduction and (ii) any","page_number":139,"box":{"x":70,"y":740,"width":811,"height":11}},{"id":"9cf1f518-45d0-4b73-9004-70ce20a82121","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":139,"box":{"x":69,"y":755,"width":814,"height":11}},{"id":"8c599fef-1e4e-40a9-bf1c-cbfd67fcf540","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":139,"box":{"x":68,"y":770,"width":827,"height":12}},{"id":"0b35996a-24f0-406d-874e-953fe8be7faf","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":139,"box":{"x":69,"y":785,"width":827,"height":12}},{"id":"ff15d33b-0c31-4481-b1e5-09a3d1e456d6","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":139,"box":{"x":69,"y":801,"width":817,"height":11}},{"id":"77b8ecb6-3f5a-4393-b705-23511b289cec","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":139,"box":{"x":70,"y":816,"width":807,"height":11}},{"id":"7979788f-c54a-4e3a-a61e-7159a3e527ca","block_type":"box","text":"Shares, as applicable, held in escrow to pay the difference.","page_number":139,"box":{"x":69,"y":831,"width":423,"height":11}},{"id":"f97ffe33-05dd-48e5-8650-fc0a3842566f","block_type":"box","text":"Placement Fees.","page_number":139,"box":{"x":102,"y":854,"width":116,"height":8}},{"id":"e37afee5-3fad-4b35-94eb-a02b9b6f2459","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":139,"box":{"x":102,"y":876,"width":777,"height":11}},{"id":"5bf8d77a-090f-47e4-babd-6dfa1ac4cb7e","block_type":"box","text":"which may depend on the policies, procedures and trading platforms of your financial intermediary.","page_number":139,"box":{"x":68,"y":891,"width":704,"height":12}},{"id":"34a98efa-7c68-468e-ab55-ce4f1a409b3a","block_type":"box","text":"II-101","page_number":139,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"23c6333d-9db3-47f5-a3b2-1919e6b45aa1","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":139,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f10ad221-e29a-4ae0-9afb-d1d131bcbebf","block_type":"box","text":"Except as noted below, these placement fees may be up to the following amounts for Investor A Shares:","page_number":140,"box":{"x":102,"y":45,"width":741,"height":11}},{"id":"1a9bc70e-2d97-4d9a-b1cd-e9c248dce9de","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":72,"width":361,"height":10}},{"id":"49310a14-c92a-4714-9497-5303df8b2390","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":140,"box":{"x":535,"y":72,"width":288,"height":9}},{"id":"1057a458-4a21-4a73-9d23-090c4aff8610","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":87,"width":361,"height":10}},{"id":"5d2e8afa-f5dc-4826-b3b4-2fa39163a34b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":88,"width":288,"height":8}},{"id":"f917b24f-4054-404d-a5ee-0341c30b9c43","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":102,"width":345,"height":10}},{"id":"a0c149c3-b3bf-447a-818d-f3f8ca0392f8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":103,"width":305,"height":9}},{"id":"90499eb7-ff5f-4c0d-b74a-46df709304dc","block_type":"box","text":"With respect to Investor A Shares of BlackRock Global Allocation Fund, Inc., BlackRock Dynamic High Income","page_number":140,"box":{"x":101,"y":126,"width":776,"height":12}},{"id":"57acdad8-f8fe-4384-aaab-20f9fe32c5db","block_type":"box","text":"Portfolio (for shares purchased prior to July 1, 2020) and BlackRock Multi-Asset Income Portfolio (for shares","page_number":140,"box":{"x":69,"y":142,"width":774,"height":11}},{"id":"67f9707d-6757-49eb-a673-0c3e0c7300f1","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":140,"box":{"x":70,"y":157,"width":824,"height":11}},{"id":"8f75937c-5cbe-43b4-9a90-5352f0f50b3d","block_type":"box","text":"and BlackRock Event Driven Equity Fund, the placement fees may be up to the following amounts:","page_number":140,"box":{"x":69,"y":172,"width":695,"height":11}},{"id":"dbed6a42-c5c4-4900-9eb5-5cd8c10bb57f","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":199,"width":410,"height":11}},{"id":"63a37cbe-b412-4fea-a5cb-85f08d32f4e1","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":140,"box":{"x":583,"y":200,"width":240,"height":9}},{"id":"660e1936-608f-4004-8011-812f90ac0a58","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":214,"width":361,"height":11}},{"id":"4127cfb0-928b-49c2-ad71-7e0643aedca2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":215,"width":288,"height":9}},{"id":"e523ef00-6d0a-44fc-9a7a-5e0508a92c17","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":229,"width":345,"height":11}},{"id":"127e1444-98f7-4587-9a61-a121dd01fe10","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":230,"width":305,"height":9}},{"id":"17c6d232-87af-4406-b281-e7b8172848c3","block_type":"box","text":"With respect to Investor A Shares of BlackRock Systematic Multi-Strategy Fund of BlackRock Funds IV, BlackRock","page_number":140,"box":{"x":101,"y":254,"width":806,"height":11}},{"id":"60d091c5-36d1-4653-82cf-ae21a6d4465a","block_type":"box","text":"Advantage CoreAlpha Bond Fund of BlackRock Funds VI, BlackRock Tactical Opportunities Fund of BlackRock Funds","page_number":140,"box":{"x":68,"y":269,"width":821,"height":11}},{"id":"4afbb33d-6d9e-4fe4-be07-3aee64104451","block_type":"box","text":"SM","page_number":140,"box":{"x":890,"y":269,"width":11,"height":5}},{"id":"23b77cf1-90d5-407d-a5ac-fff54e98c991","block_type":"box","text":",","page_number":140,"box":{"x":903,"y":276,"width":2,"height":3}},{"id":"df87d37d-d526-4b16-bf63-2cee64a8bcce","block_type":"box","text":"BlackRock High Yield Portfolio, BlackRock Core Bond Portfolio and BlackRock Sustainable High Yield Bond Fund of","page_number":140,"box":{"x":70,"y":284,"width":816,"height":11}},{"id":"b0dcf958-75b6-4338-bb33-63ac6a872520","block_type":"box","text":"BlackRock Funds V, BlackRock Securitized Income Fund of Managed Account Series II and BlackRock Strategic Global","page_number":140,"box":{"x":70,"y":299,"width":835,"height":11}},{"id":"56aeac34-5e2a-4e9f-9ab8-ac72134de945","block_type":"box","text":"Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":140,"box":{"x":70,"y":314,"width":520,"height":12}},{"id":"aab04a15-eb9d-444f-b028-e1321fc8ff77","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":341,"width":361,"height":11}},{"id":"3e5906c8-3b69-448b-83b3-2225bc6cb004","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":140,"box":{"x":535,"y":342,"width":288,"height":9}},{"id":"af9dea98-68a8-4bcb-ab2a-19106f619bc4","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":356,"width":361,"height":11}},{"id":"d3eab338-7c65-437f-b63d-27a33127ef6b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":357,"width":288,"height":9}},{"id":"f76f6603-8a19-458a-82bf-08f8df7cf5d1","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":372,"width":345,"height":10}},{"id":"4ea5212c-988a-4b82-87fb-4abea1c80327","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":372,"width":305,"height":9}},{"id":"051bc239-2947-48d7-8e5b-c460f56f9a90","block_type":"box","text":"With respect to Investor A Shares of BlackRock Mortgage-Backed Securities Fund and BlackRock Impact","page_number":140,"box":{"x":101,"y":396,"width":743,"height":11}},{"id":"0433231e-005e-4610-9504-a9361e45219a","block_type":"box","text":"Mortgage Fund of BlackRock Funds V, the placement fees may be up to the following amounts:","page_number":140,"box":{"x":70,"y":411,"width":674,"height":12}},{"id":"3e66d887-4e34-49ee-8167-8d263f1cb201","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":438,"width":361,"height":11}},{"id":"e2b2efe9-ecd6-467f-8614-12394bf33ca6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":439,"width":288,"height":9}},{"id":"2f344f4d-91ee-47c1-b5d3-41c779fdc174","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":453,"width":361,"height":11}},{"id":"76b126c0-4e1a-41ad-ae8d-d68d3e9926f9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":535,"y":454,"width":288,"height":9}},{"id":"73e909c4-55b0-4baa-8d9e-1705c67bfe1a","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":469,"width":345,"height":10}},{"id":"fa9ee061-7d51-44cd-b305-77a38cb61c56","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":140,"box":{"x":518,"y":469,"width":305,"height":9}},{"id":"daea9828-8129-4be9-b9c0-5cbb81ee334b","block_type":"box","text":"With respect to Investor A Shares of BlackRock Managed Income Fund of BlackRock Funds II, the placement fees","page_number":140,"box":{"x":101,"y":493,"width":808,"height":11}},{"id":"79c95410-6342-413f-93fd-114437a8fdcb","block_type":"box","text":"may be up to the following amounts:","page_number":140,"box":{"x":69,"y":508,"width":257,"height":12}},{"id":"349f42cb-944d-4561-a1b9-e460840047b1","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":535,"width":410,"height":11}},{"id":"e1530525-24c4-4153-9f2d-ddf69e748071","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":583,"y":536,"width":240,"height":9}},{"id":"874b593c-021e-4bee-9b4f-b1922a029e85","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":550,"width":361,"height":11}},{"id":"cb7dfd9a-c15a-41b6-aed7-c19e583c48cd","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":535,"y":551,"width":288,"height":9}},{"id":"fdeaef8f-ae78-4c98-9ace-a9dc5a841db4","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":566,"width":345,"height":10}},{"id":"76ae7ee3-f5c7-4772-a16e-53fd42cef419","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":140,"box":{"x":518,"y":566,"width":305,"height":9}},{"id":"e7fe4cf1-580a-4bd9-9c73-f25955b3cbbd","block_type":"box","text":"With respect to Investor A Shares of BlackRock Inflation Protected Bond Portfolio of BlackRock Funds V, the","page_number":140,"box":{"x":101,"y":590,"width":768,"height":11}},{"id":"3543518d-7248-4ec1-a36c-49b7d047fd38","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":140,"box":{"x":70,"y":605,"width":371,"height":12}},{"id":"f43238a6-eed6-40fa-b3f7-4fd3944bcd91","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":632,"width":361,"height":11}},{"id":"454e5597-ddc3-411d-a6a9-bde9101bda16","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":140,"box":{"x":535,"y":633,"width":288,"height":9}},{"id":"792f06bc-a86e-42a5-a468-3f7e518a709a","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":647,"width":361,"height":11}},{"id":"a81d3e24-39c5-4326-b158-22a5fa69d8ff","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":140,"box":{"x":535,"y":648,"width":288,"height":9}},{"id":"7f9a7468-2a14-48a3-a028-8d6c32486cc2","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":663,"width":345,"height":10}},{"id":"ecdad848-3ec4-47cc-9ea8-ce2b77062f82","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.05%","page_number":140,"box":{"x":518,"y":663,"width":305,"height":9}},{"id":"5f719b8c-9daa-418a-9f3d-13a4aa9c008f","block_type":"box","text":"With respect to Investor A Shares of BlackRock Low Duration Bond Portfolio, BlackRock Floating Rate Income","page_number":140,"box":{"x":101,"y":687,"width":778,"height":11}},{"id":"d730089f-956a-4a18-a162-19bfbed0d339","block_type":"box","text":"Portfolio, BlackRock Income Fund and BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V, the","page_number":140,"box":{"x":69,"y":702,"width":830,"height":12}},{"id":"aff87f50-0752-4e22-ba2f-6c2fff10a9fa","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":140,"box":{"x":70,"y":717,"width":371,"height":12}},{"id":"f7467e6b-a85c-4cd3-ae8f-8171eaea5bfe","block_type":"box","text":"$500,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":744,"width":410,"height":12}},{"id":"a1435cad-bea5-49bd-b884-5f7aa9ce4954","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":140,"box":{"x":583,"y":745,"width":240,"height":9}},{"id":"83d7feee-0944-4403-84e4-fb02de095c1e","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":760,"width":361,"height":10}},{"id":"1cec37fb-2a0d-4158-8c01-dabc65ea7611","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":535,"y":760,"width":288,"height":9}},{"id":"4046d092-7ef3-4b2e-a2d7-b7498c54f689","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":140,"box":{"x":167,"y":775,"width":345,"height":10}},{"id":"d116d9b1-c711-4936-b1e3-51c2c3a39931","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":140,"box":{"x":518,"y":775,"width":305,"height":9}},{"id":"b98080c4-4cd2-40bb-8960-1a6a8f4c25f8","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":140,"box":{"x":101,"y":799,"width":779,"height":11}},{"id":"81131f52-400c-4e5b-8ae6-5abc88ff8ff7","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":140,"box":{"x":70,"y":814,"width":780,"height":12}},{"id":"352e5c90-7106-4ded-a1c2-43ce9f6157a7","block_type":"box","text":"$250,000 and above . . . .","page_number":140,"box":{"x":167,"y":841,"width":182,"height":12}},{"id":"607e1fba-64f2-4559-bfca-1c00b712c9fc","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":140,"box":{"x":355,"y":842,"width":468,"height":9}},{"id":"f55f3e0a-2fa5-4d25-9665-c16f06ff88a0","block_type":"box","text":"II-102","page_number":140,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"ab8e0a5d-e0f7-4170-8227-504d941f541f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":140,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1f53700a-2a69-4e08-a218-c58776606472","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":141,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"aeac6b52-586e-44d2-8d2b-23585eb6fcf2","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":141,"box":{"x":70,"y":60,"width":819,"height":11}},{"id":"0b2a5b2d-2b53-4f8e-9bd6-77eb581cf74e","block_type":"box","text":"the following amounts:","page_number":141,"box":{"x":68,"y":75,"width":161,"height":11}},{"id":"e004d312-1e73-479c-8ac1-23d29728c4ad","block_type":"box","text":"$100,000 and above . . . .","page_number":141,"box":{"x":167,"y":102,"width":182,"height":11}},{"id":"bc2a7dfe-e53a-4942-895f-840a895214f1","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":141,"box":{"x":355,"y":103,"width":468,"height":9}},{"id":"631b2b93-6ca5-4665-9e7e-5fd88afc9ee8","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":141,"box":{"x":101,"y":126,"width":779,"height":11}},{"id":"762527d8-c83b-4c1b-b921-93a67d18dd68","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":141,"box":{"x":70,"y":142,"width":775,"height":11}},{"id":"708f5ed3-cf9c-4fc1-84fb-048320d3d264","block_type":"box","text":"$250,000 and above . . . .","page_number":141,"box":{"x":167,"y":169,"width":182,"height":11}},{"id":"a87f28ae-ce07-48de-97cf-00770566cc62","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":141,"box":{"x":355,"y":169,"width":468,"height":9}},{"id":"db5f1223-d330-4f16-b4a4-2b27d8006f94","block_type":"box","text":"With respect to Investor A Shares of BlackRock Strategic Municipal Opportunities Fund of BlackRock Municipal","page_number":141,"box":{"x":101,"y":193,"width":788,"height":12}},{"id":"d2b4275b-0193-4259-803c-d900665ae7fb","block_type":"box","text":"Series Trust, BlackRock California Municipal Opportunities Fund of BlackRock California Municipal Series Trust,","page_number":141,"box":{"x":69,"y":208,"width":792,"height":11}},{"id":"8b7defc8-af3c-4587-88c1-c5bd77f4eabb","block_type":"box","text":"BlackRock New York Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":141,"box":{"x":70,"y":224,"width":787,"height":11}},{"id":"ea17955f-d833-4a44-926a-ab664e6b0027","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust and BlackRock National Municipal","page_number":141,"box":{"x":69,"y":239,"width":834,"height":11}},{"id":"fc913171-2172-4684-b829-c9cab582a49a","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":141,"box":{"x":70,"y":254,"width":729,"height":11}},{"id":"01b3186e-9e59-4a81-b5ea-3383af81b182","block_type":"box","text":"$250,000 but less than $4 million . . . . . . . . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":281,"width":410,"height":11}},{"id":"9c3a90a0-6fca-4f71-aad2-e0cd3777aefb","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":141,"box":{"x":583,"y":282,"width":240,"height":8}},{"id":"ce3c1841-850d-43da-9b80-772095baf186","block_type":"box","text":"$4 million but less than $10 million . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":296,"width":361,"height":10}},{"id":"e2e00b0f-a59d-43ac-8ec7-1ff6a7599f09","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":141,"box":{"x":535,"y":297,"width":288,"height":9}},{"id":"ecd90c97-81ab-4dd7-8e15-e825b845ba9c","block_type":"box","text":"$10 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":311,"width":345,"height":11}},{"id":"321ada83-d9ab-4353-8210-ddecdb61d424","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":141,"box":{"x":518,"y":312,"width":305,"height":9}},{"id":"59fd4ac1-7fd5-483d-911e-7ad28fff3a87","block_type":"box","text":"With respect to Investor A Shares of BlackRock Dynamic High Income Portfolio (for shares purchased on or after","page_number":141,"box":{"x":101,"y":336,"width":801,"height":11}},{"id":"066a3061-716f-4560-8f0e-59e11ae419f5","block_type":"box","text":"July 1, 2020) and BlackRock Multi-Asset Income Portfolio (for shares purchased on or after July 1, 2020) of","page_number":141,"box":{"x":69,"y":351,"width":769,"height":11}},{"id":"4d34ec17-7fd9-42c8-aded-01126db58289","block_type":"box","text":"BlackRock Funds II, BlackRock Total Return Fund of BlackRock Bond Fund, Inc. and BlackRock Balanced Fund, Inc.,","page_number":141,"box":{"x":70,"y":366,"width":818,"height":10}},{"id":"51eb5a8e-3151-42e8-81c6-ae560d513071","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":141,"box":{"x":68,"y":381,"width":401,"height":11}},{"id":"8ac406f6-919e-4158-891d-7bd31de3cecf","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":408,"width":410,"height":11}},{"id":"e5e4a1be-0d0d-472b-81c6-3b4cb412cbae","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":141,"box":{"x":583,"y":409,"width":240,"height":9}},{"id":"b000d5ca-24e3-4adf-9097-9bc5e4f89361","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":423,"width":361,"height":11}},{"id":"bf5b7bcc-8a5c-4f3d-91f1-86d567d95152","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":141,"box":{"x":535,"y":424,"width":288,"height":9}},{"id":"c686957e-4e3b-49fc-b5e4-0c7c213f24bb","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":141,"box":{"x":167,"y":438,"width":345,"height":11}},{"id":"3a65ce28-9c69-4c25-be9d-0c4655166e61","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":141,"box":{"x":518,"y":439,"width":305,"height":9}},{"id":"64364afe-99b4-460d-97eb-828b8b138684","block_type":"box","text":"With respect to Investor P Shares of BlackRock LifePath","page_number":141,"box":{"x":101,"y":463,"width":398,"height":11}},{"id":"9ca9ec2f-4a93-4e86-ac93-355df2223165","block_type":"box","text":"®","page_number":141,"box":{"x":500,"y":463,"width":6,"height":5}},{"id":"036d11d5-a911-4888-88af-de4ab39169aa","block_type":"box","text":"Index 2030 Fund, BlackRock LifePath","page_number":141,"box":{"x":513,"y":463,"width":264,"height":10}},{"id":"250abe9b-4d3d-48e1-bf09-9fac71826e23","block_type":"box","text":"®","page_number":141,"box":{"x":778,"y":463,"width":6,"height":5}},{"id":"d11facbf-17db-4bd7-a7b8-f33248ac41df","block_type":"box","text":"Index 2035","page_number":141,"box":{"x":791,"y":463,"width":79,"height":9}},{"id":"86bdde8a-5ada-4268-94e0-3760e6cdd667","block_type":"box","text":"Fund, BlackRock LifePath","page_number":141,"box":{"x":70,"y":478,"width":177,"height":11}},{"id":"e2905cab-7751-4996-b32b-e53d7d9209dd","block_type":"box","text":"®","page_number":141,"box":{"x":249,"y":478,"width":6,"height":5}},{"id":"05db1b5c-8351-4491-bdcb-909579edab83","block_type":"box","text":"Index 2040 Fund, BlackRock LifePath","page_number":141,"box":{"x":261,"y":478,"width":265,"height":11}},{"id":"57901f9c-8187-4991-ba44-eaa52a179075","block_type":"box","text":"®","page_number":141,"box":{"x":527,"y":478,"width":6,"height":5}},{"id":"601edfb6-d322-431b-aff8-c4f8aadba9c4","block_type":"box","text":"Index 2045 Fund, BlackRock LifePath","page_number":141,"box":{"x":539,"y":478,"width":265,"height":11}},{"id":"e1834a19-6dc3-49f5-a994-dd8ebf1c320a","block_type":"box","text":"®","page_number":141,"box":{"x":805,"y":478,"width":6,"height":5}},{"id":"07d32214-0f81-4def-88be-f6e4c71a5386","block_type":"box","text":"Index 2050","page_number":141,"box":{"x":817,"y":478,"width":80,"height":9}},{"id":"ba8a15af-eaf1-4eaf-b851-9c7ac1e8d557","block_type":"box","text":"Fund, BlackRock LifePath","page_number":141,"box":{"x":70,"y":493,"width":177,"height":11}},{"id":"8abfb80f-e870-474a-8cf0-50681803ad2d","block_type":"box","text":"®","page_number":141,"box":{"x":248,"y":494,"width":6,"height":4}},{"id":"4bf8d570-91b9-4590-8b34-5ce9ec144de1","block_type":"box","text":"Index 2055 Fund, BlackRock LifePath","page_number":141,"box":{"x":261,"y":493,"width":263,"height":11}},{"id":"accfb2af-58ea-457a-9921-cdbf03c80c8c","block_type":"box","text":"®","page_number":141,"box":{"x":526,"y":494,"width":6,"height":4}},{"id":"04b9950a-0000-40d5-8fe1-38d4b4a48276","block_type":"box","text":"Index 2060 Fund, BlackRock LifePath","page_number":141,"box":{"x":538,"y":493,"width":264,"height":11}},{"id":"c117afaa-e056-42f8-b51f-3513bf1677bf","block_type":"box","text":"®","page_number":141,"box":{"x":803,"y":494,"width":6,"height":4}},{"id":"903f896c-99ec-46ca-9643-b37f0e20073f","block_type":"box","text":"Index 2065","page_number":141,"box":{"x":815,"y":493,"width":80,"height":9}},{"id":"1871c535-3d66-4c37-a141-f67ba54933ec","block_type":"box","text":"Fund, BlackRock LifePath","page_number":141,"box":{"x":70,"y":508,"width":177,"height":11}},{"id":"f9ceaf05-9acf-4154-8fbb-a1634aa413bb","block_type":"box","text":"®","page_number":141,"box":{"x":248,"y":509,"width":6,"height":4}},{"id":"b678feaf-b81c-4a79-aeb2-bf13d94becde","block_type":"box","text":"Index 2070 Fund and BlackRock LifePath","page_number":141,"box":{"x":261,"y":508,"width":290,"height":9}},{"id":"13954460-0dde-4b87-9b03-ea329e7efef1","block_type":"box","text":"®","page_number":141,"box":{"x":552,"y":509,"width":6,"height":4}},{"id":"8ec42659-2eb5-4cb5-8eb2-f272a637acac","block_type":"box","text":"Index Retirement Fund of BlackRock Funds III,","page_number":141,"box":{"x":564,"y":508,"width":324,"height":11}},{"id":"6ac0af21-a2d1-4267-a6ff-7ad7fd441440","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":141,"box":{"x":68,"y":523,"width":401,"height":12}},{"id":"f15fa559-5819-436d-b658-0c9474b81146","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":141,"box":{"x":167,"y":550,"width":206,"height":12}},{"id":"49c1c67d-9fdf-4b2f-9b42-b0774cfdb8ae","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":141,"box":{"x":380,"y":551,"width":443,"height":9}},{"id":"fd5d766b-2692-47b4-8503-4fe8dceaa963","block_type":"box","text":"With respect to Investor P Shares of iShares Municipal Bond Index Fund of BlackRock Funds","page_number":141,"box":{"x":101,"y":575,"width":657,"height":11}},{"id":"acb7c695-b9ed-4862-98da-b732230cfdc6","block_type":"box","text":"SM","page_number":141,"box":{"x":760,"y":575,"width":10,"height":5}},{"id":"b5587e5a-18ac-4213-8d21-ab4bd6e28eb7","block_type":"box","text":", the placement","page_number":141,"box":{"x":773,"y":575,"width":110,"height":11}},{"id":"d034369f-c4ef-480f-80a3-0fbf63929570","block_type":"box","text":"fees may be up to the following amounts:","page_number":141,"box":{"x":68,"y":590,"width":294,"height":11}},{"id":"1c2f6944-bee7-411d-9c37-4d1a1de3189a","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":141,"box":{"x":167,"y":617,"width":206,"height":11}},{"id":"d0a16259-b628-45fe-be45-530686dfe9e0","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":141,"box":{"x":380,"y":618,"width":443,"height":9}},{"id":"4a8130a5-a975-4715-b6af-40f25b2123ed","block_type":"box","text":"There are no placement fees for Investor P Shares of iShares MSCI EAFE International Index Fund and iShares","page_number":141,"box":{"x":101,"y":642,"width":787,"height":11}},{"id":"658c9256-02c0-4c63-85bc-666474cfa5c8","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":141,"box":{"x":70,"y":657,"width":808,"height":11}},{"id":"cc9db3e4-da7b-4742-bb16-18d5aeef59f8","block_type":"box","text":"U.S. Aggregate Bond Index Fund of BlackRock Funds III.","page_number":141,"box":{"x":70,"y":672,"width":393,"height":11}},{"id":"6d5aacb1-258c-42e3-a14d-e3ac6365fcce","block_type":"box","text":"For the tables above, the placement fees indicated will apply up to the indicated breakpoint (so that, for","page_number":141,"box":{"x":102,"y":695,"width":740,"height":11}},{"id":"2a222c34-f309-4f52-ae94-4f6a7eed6879","block_type":"box","text":"example, a sale of $4 million worth of Investor A Shares of BlackRock Impact Mortgage Fund of BlackRock Funds V","page_number":141,"box":{"x":69,"y":709,"width":823,"height":12}},{"id":"97422c77-56c5-47ca-8132-4a7758a082d2","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":141,"box":{"x":68,"y":724,"width":780,"height":12}},{"id":"fde91c9a-8bad-45eb-857f-3b6c223cbd63","block_type":"box","text":"$1 million).","page_number":141,"box":{"x":69,"y":739,"width":79,"height":12}},{"id":"90e04c98-1c88-444e-bc0c-f16ea81bc9dc","block_type":"box","text":"Other.","page_number":141,"box":{"x":102,"y":763,"width":41,"height":9}},{"id":"1b184795-bd22-4f76-8a22-354983b307f7","block_type":"box","text":"The following persons may also buy Investor A or Investor P Shares without paying a sales charge:","page_number":141,"box":{"x":149,"y":763,"width":698,"height":11}},{"id":"1628256e-efbe-4721-9268-6c82ae4058cc","block_type":"box","text":"(a) certain employer-sponsored retirement plans (for purposes of this waiver, employer-sponsored retirement plans do","page_number":141,"box":{"x":69,"y":778,"width":839,"height":11}},{"id":"0648326a-c596-4df0-805c-96fb0197beed","block_type":"box","text":"not include SEP IRAs, SIMPLE IRAs or SARSEPs); (b) rollovers of current investments through certain employer","page_number":141,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"d18485a7-a72c-4fec-8c05-b1538f5ee984","block_type":"box","text":"sponsored retirement plans provided the shares are transferred to Investor A or Investor P, as applicable, shares of","page_number":141,"box":{"x":69,"y":808,"width":825,"height":11}},{"id":"a3938428-e565-47ca-9253-3de3a5280f82","block_type":"box","text":"the same or another BlackRock Fund as either a direct rollover, or subsequent to distribution, the rolled-over","page_number":141,"box":{"x":68,"y":823,"width":773,"height":11}},{"id":"1ccf3c4b-e160-4918-ad90-ef066d6a4b11","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":141,"box":{"x":70,"y":839,"width":838,"height":11}},{"id":"51498011-4507-4322-912b-80f62debca2e","block_type":"box","text":"that are sponsored by financial intermediary firms provided the financial intermediary firm has entered into a Class A","page_number":141,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"669dbf40-6d71-4657-89c8-8c4944c56bf2","block_type":"box","text":"or Investor P NAV agreement, as applicable, with respect to such program with the Distributor; (c) insurance company","page_number":141,"box":{"x":69,"y":869,"width":836,"height":11}},{"id":"5b5843b2-85dd-4242-8424-370a56846965","block_type":"box","text":"separate accounts; (d) registered investment advisers, trust companies and bank trust departments exercising","page_number":141,"box":{"x":69,"y":884,"width":793,"height":11}},{"id":"2b3c9ef5-3196-4cb9-90ca-52f26bb0af89","block_type":"box","text":"discretionary investment authority with respect to amounts to be invested in a Fund; (e) persons participating in a","page_number":141,"box":{"x":69,"y":899,"width":811,"height":11}},{"id":"4325a2ca-a041-40bb-a8cf-a522d5cb6dfc","block_type":"box","text":"II-103","page_number":141,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"a8eb9754-6a73-498d-918d-99a194e51343","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":141,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"42d7877d-79cf-4387-a238-f9d337bd507a","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":142,"box":{"x":68,"y":45,"width":827,"height":11}},{"id":"766154d6-f4d2-48bb-b650-fe30c90b479d","block_type":"box","text":"institution; (f) financial intermediaries who have entered into an agreement with the Distributor and have been","page_number":142,"box":{"x":70,"y":60,"width":782,"height":11}},{"id":"4d84f400-2b52-4f12-8940-bb827520e114","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":142,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"292a68d8-691b-4230-812a-85905878e479","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":142,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"5125768b-3ed0-4a92-b6ef-ae585a3abb63","block_type":"box","text":"IRAs as permitted under the Internal Revenue Code; (h) with respect to Investor A Shares only, accounts opened","page_number":142,"box":{"x":70,"y":105,"width":799,"height":11}},{"id":"500d59c8-c8ca-4e35-9e5c-864a902efd7b","block_type":"box","text":"directly with a Fund that do not have a financial intermediary associated with the account; and (i) persons","page_number":142,"box":{"x":69,"y":120,"width":752,"height":11}},{"id":"d9047519-849b-42d5-877c-4e9939f95e3a","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":142,"box":{"x":70,"y":135,"width":836,"height":11}},{"id":"d7a2503b-0000-4a28-b98c-0e61e8528f96","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":142,"box":{"x":69,"y":150,"width":812,"height":12}},{"id":"110fc6f9-b03e-4b2a-a561-db7b7bcfc01a","block_type":"box","text":"Sub-Advisers, Transfer Agent, Distributor, fund accounting agents, Barclays PLC and their affiliates may buy Investor A","page_number":142,"box":{"x":69,"y":166,"width":840,"height":11}},{"id":"c721bcc3-d807-4e65-83fa-6ab6b1e75468","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":142,"box":{"x":69,"y":181,"width":788,"height":11}},{"id":"9884e1f2-f041-4e8c-96a7-6d6799b29d8e","block_type":"box","text":"including: (a) officers, directors and partners; (b) employees and retirees; (c) employees or registered representatives","page_number":142,"box":{"x":70,"y":196,"width":838,"height":11}},{"id":"328d69db-b443-4ae1-8721-ccb6e3a46640","block_type":"box","text":"of firms who have entered into selling agreements to distribute shares of BlackRock-advised funds; (d) immediate","page_number":142,"box":{"x":69,"y":211,"width":810,"height":11}},{"id":"225f8e25-124a-462f-8304-2a4f649eb7de","block_type":"box","text":"family members of such persons (“immediate family members” shall be defined as the investor, the investor’s","page_number":142,"box":{"x":68,"y":226,"width":787,"height":11}},{"id":"7197f502-aa09-4e57-823e-0943b93e8930","block_type":"box","text":"spouse or domestic partner, children, parents and siblings); and (e) any trust, pension, profit-sharing or other benefit","page_number":142,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"42d90ed4-249f-4527-a75d-5e9158b228be","block_type":"box","text":"plan for any of the persons set forth in (a) through (d). Investors who qualify for any of these exemptions from the","page_number":142,"box":{"x":70,"y":256,"width":808,"height":12}},{"id":"fbe2c160-ddd0-4dfa-a72a-bbfe02d52363","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":142,"box":{"x":69,"y":271,"width":837,"height":12}},{"id":"ea1a35ea-74d3-4dea-99c9-cf76b5a55b32","block_type":"box","text":"investors exchanging Investor A Shares of one BlackRock Fund for Investor P Shares of another BlackRock Fund, or","page_number":142,"box":{"x":70,"y":286,"width":820,"height":12}},{"id":"955c855a-3b03-4cd8-97b9-040c708f6bcb","block_type":"box","text":"exchanging Investor P Shares of one BlackRock Fund for Investor A Shares of another BlackRock Fund, through an","page_number":142,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"d36560f9-400a-484b-9f48-e7835b011b86","block_type":"box","text":"intermediary-processed exchange, provided that the investor had previously paid a sales charge with respect to such","page_number":142,"box":{"x":70,"y":317,"width":831,"height":11}},{"id":"6c9d2b63-a452-40d9-b901-94e73ff596c9","block_type":"box","text":"shares. The availability of Investor A or Investor P Shares sales charge waivers may depend upon the policies,","page_number":142,"box":{"x":69,"y":332,"width":783,"height":11}},{"id":"4bf2ae37-4bda-48c5-9732-d20e02076d0b","block_type":"box","text":"procedures and trading platforms of your financial intermediary; consult your financial adviser.","page_number":142,"box":{"x":70,"y":347,"width":668,"height":11}},{"id":"e8e3361a-17dc-4252-b7a7-5d195f986852","block_type":"box","text":"If you invest $1,000,000 ($250,000 for BlackRock Dynamic High Income Portfolio, BlackRock Multi-Asset","page_number":142,"box":{"x":102,"y":369,"width":754,"height":12}},{"id":"dccb5497-11f0-4d52-9af0-cf718f5f4c23","block_type":"box","text":"Income Portfolio and BlackRock Managed Income Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund","page_number":142,"box":{"x":70,"y":385,"width":823,"height":11}},{"id":"3873f2f5-a4ab-4798-8ee5-1211d26fa984","block_type":"box","text":"of BlackRock Funds IV, BlackRock Total Return Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund,","page_number":142,"box":{"x":69,"y":400,"width":833,"height":10}},{"id":"2a8eec7e-2dd1-4d8b-88d0-479f00877828","block_type":"box","text":"Inc., BlackRock National Municipal Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Short Duration Muni","page_number":142,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"6788c208-a40c-469c-91ba-78b753a18e67","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Strategic Municipal Opportunities Fund of BlackRock","page_number":142,"box":{"x":70,"y":430,"width":781,"height":11}},{"id":"17855c42-b3e7-434d-b168-f21161ef5ddd","block_type":"box","text":"Municipal Series Trust, BlackRock California Municipal Opportunities Fund of BlackRock California Municipal Series","page_number":142,"box":{"x":70,"y":445,"width":819,"height":11}},{"id":"0b2b99c2-178c-48bc-a2bc-c77f90ecaa75","block_type":"box","text":"Trust, BlackRock New York Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":142,"box":{"x":68,"y":460,"width":835,"height":12}},{"id":"425f8ae1-5caf-4c92-9c46-276837ac750c","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity","page_number":142,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"065a2d82-65c1-4935-95fc-00e905b3c5fb","block_type":"box","text":"Fund and BlackRock Balanced Fund, Inc., and $500,000 for BlackRock Low Duration Bond Portfolio, BlackRock","page_number":142,"box":{"x":70,"y":490,"width":792,"height":11}},{"id":"f803e6c1-f291-4fd7-a7c1-0ac1d407f81a","block_type":"box","text":"Floating Rate Income Portfolio, BlackRock Income Fund and BlackRock Strategic Income Opportunities Portfolio of","page_number":142,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"264c0514-c7cd-4919-9c62-1f454d5a54a1","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":142,"box":{"x":70,"y":521,"width":837,"height":11}},{"id":"e8066730-7209-4d3d-9635-8ad56b4c04b0","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":142,"box":{"x":70,"y":536,"width":790,"height":11}},{"id":"693a46bd-a982-4ae6-8f2c-4dc276598852","block_type":"box","text":"shorter holding period may apply depending on the Fund), you may be charged a deferred sales charge.","page_number":142,"box":{"x":69,"y":551,"width":736,"height":11}},{"id":"d371e5ab-d54e-406b-afe9-8c53f90f9f29","block_type":"box","text":"A deferred sales charge of up to 1.00% may apply to certain redemptions of Investor A Shares of the Index","page_number":142,"box":{"x":101,"y":574,"width":763,"height":11}},{"id":"13142800-b4f0-40c9-a4e3-9f3b15aab667","block_type":"box","text":"Funds and BlackRock Short Obligations Fund purchased in an exchange transaction for Investor A Shares of a","page_number":142,"box":{"x":70,"y":589,"width":782,"height":11}},{"id":"28319eb2-409c-4fb8-afbf-5477033505a0","block_type":"box","text":"portfolio advised by BlackRock or its affiliates where no initial sales charge was paid at the time of purchase of such","page_number":142,"box":{"x":70,"y":604,"width":832,"height":11}},{"id":"029ab5e5-2d3b-497f-8ab5-b25e8ae4f22b","block_type":"box","text":"fund (an “Investor A Load-Waived BlackRock Portfolio”) as part of an investment of $1,000,000 (lesser amounts may","page_number":142,"box":{"x":68,"y":618,"width":839,"height":12}},{"id":"d8fe3529-b9c1-4800-aa13-0fa41aafb792","block_type":"box","text":"apply depending on the Investor A Load-Waived BlackRock Portfolio) or more. The Investor A Shares deferred sales","page_number":142,"box":{"x":69,"y":634,"width":817,"height":12}},{"id":"6dc88fe1-3b3c-4c66-8314-0ab8a7b973f2","block_type":"box","text":"charge is only charged upon redemptions of Investor A Shares within 18 months after you originally acquired such","page_number":142,"box":{"x":69,"y":649,"width":811,"height":12}},{"id":"60f9d82f-658e-4197-ae2a-f1a67085aff3","block_type":"box","text":"Investor A Shares of the Investor A Load-Waived BlackRock Portfolio (a shorter holding period may apply depending","page_number":142,"box":{"x":70,"y":664,"width":818,"height":12}},{"id":"2ff8c315-a901-4361-ba5b-c1cd3a94e201","block_type":"box","text":"on the Investor A Load-Waived BlackRock Portfolio), unless you qualify for a waiver. There is no deferred sales charge","page_number":142,"box":{"x":69,"y":680,"width":836,"height":11}},{"id":"50045b28-0d34-4058-bba0-5ccf125567fe","block_type":"box","text":"charged on redemptions if you have owned your Investor A Shares for more than 18 months (or for a shorter holding","page_number":142,"box":{"x":69,"y":695,"width":830,"height":11}},{"id":"5c896fc7-59ea-49c5-a8ea-1026d9fd461e","block_type":"box","text":"period, as applicable) (as measured from your original purchase of Investor A Shares that you exchanged into","page_number":142,"box":{"x":70,"y":710,"width":778,"height":11}},{"id":"c53d1bbc-3bd2-44b7-b010-ca76b68181d5","block_type":"box","text":"Investor A Shares of the Index Fund or BlackRock Short Obligations Fund).","page_number":142,"box":{"x":70,"y":725,"width":526,"height":11}},{"id":"26a61c74-2535-4eb8-932c-617601c92077","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":142,"box":{"x":101,"y":748,"width":788,"height":11}},{"id":"8912cc94-a496-40e8-9b67-88794547d90f","block_type":"box","text":"(a) redemptions of Investor A or Investor P Shares purchased through certain employer-sponsored retirement plans","page_number":142,"box":{"x":69,"y":763,"width":819,"height":11}},{"id":"f771e544-1d65-4e59-926b-bd466a57e27e","block_type":"box","text":"and rollovers of current investments in a Fund through such plans; (b) exchanges described in “Exchange Privilege”","page_number":142,"box":{"x":69,"y":778,"width":820,"height":11}},{"id":"da7de2e6-0c2b-4085-8c76-ae2a2fad10ab","block_type":"box","text":"below; (c) redemptions made in connection with minimum required distributions from IRA and 403(b)(7) accounts due","page_number":142,"box":{"x":69,"y":793,"width":837,"height":11}},{"id":"bbcf850d-563d-4dc9-98fe-bd9d71cd48bc","block_type":"box","text":"to the shareholder reaching the applicable age triggering such distributions; (d) redemptions made with respect to","page_number":142,"box":{"x":68,"y":808,"width":812,"height":11}},{"id":"9a031187-c48d-4ff1-8be9-6092258d71fe","block_type":"box","text":"certain retirement plans sponsored by a Fund, BlackRock or its affiliates; (e) redemptions (i) within one year of a","page_number":142,"box":{"x":69,"y":823,"width":803,"height":11}},{"id":"92b7c8cc-3c9f-45b8-8a1d-36cf35e75b91","block_type":"box","text":"shareholder’s death or, if later, the receipt of a certified probate settlement (including in connection with the","page_number":142,"box":{"x":69,"y":838,"width":772,"height":12}},{"id":"e79ca2fa-7084-40b2-a554-73fbd18ff666","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":142,"box":{"x":69,"y":853,"width":835,"height":12}},{"id":"adbd0ef1-a06a-40a5-86a4-0c052d7d91ca","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":142,"box":{"x":69,"y":869,"width":814,"height":11}},{"id":"5df40a79-40b6-490f-8ed1-5cfddc2f861d","block_type":"box","text":"Investor A or Investor P Shares in accounts with low balances; (g) certain redemptions made pursuant to the","page_number":142,"box":{"x":70,"y":884,"width":772,"height":11}},{"id":"2dd05712-34b2-48e4-b409-ec6cecca294b","block_type":"box","text":"Systematic Withdrawal Plan (described below); (h) redemptions related to the payment of BNY Mellon Investment","page_number":142,"box":{"x":69,"y":899,"width":805,"height":11}},{"id":"dc26d1b4-e7a8-43e5-8c0b-ec8cc1f7c605","block_type":"box","text":"II-104","page_number":142,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"a35eae01-654e-47d1-83dd-a94dc9479d62","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":142,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0e1ee800-38d1-4c5b-8f7e-c41514c8634d","block_type":"box","text":"Servicing Trust Company custodial IRA fees; and (i) redemptions when a shareholder can demonstrate hardship, in","page_number":143,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"005cbc59-ee25-4311-ad3f-be68c59bf4a5","block_type":"box","text":"the absolute discretion of a Fund.","page_number":143,"box":{"x":68,"y":60,"width":239,"height":9}},{"id":"8615df99-ed3c-4193-9ca9-46c894f33ca0","block_type":"box","text":"With respect to certain employer-sponsored retirement plans, if a dealer waives its right to receive a placement","page_number":143,"box":{"x":101,"y":82,"width":794,"height":12}},{"id":"9273f2d0-8337-45eb-8afd-7b1248c2b25f","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":143,"box":{"x":68,"y":97,"width":776,"height":12}},{"id":"7f82ae70-a907-4e77-8c8f-10401b6d50d3","block_type":"box","text":"BlackRock Dynamic High Income Portfolio, BlackRock Multi-Asset Income Portfolio and BlackRock Managed Income","page_number":143,"box":{"x":70,"y":113,"width":821,"height":11}},{"id":"ba422908-2a0c-4e79-abd6-869b700b8652","block_type":"box","text":"Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund of BlackRock Funds IV, BlackRock Total Return","page_number":143,"box":{"x":70,"y":128,"width":800,"height":10}},{"id":"f4d5b29f-cccd-458e-8cd1-8d9a564694a4","block_type":"box","text":"Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund, Inc., BlackRock National Municipal Fund of","page_number":143,"box":{"x":70,"y":143,"width":806,"height":11}},{"id":"c2f56277-75b9-493e-b9c4-9cb4f8769061","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc., BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund, Inc.,","page_number":143,"box":{"x":70,"y":158,"width":823,"height":11}},{"id":"dfbbb099-9107-4a94-979c-305ef75f3191","block_type":"box","text":"BlackRock Strategic Municipal Opportunities Fund of BlackRock Municipal Series Trust, BlackRock California","page_number":143,"box":{"x":70,"y":173,"width":770,"height":11}},{"id":"7e7054ec-f964-4c4e-950c-f66e63020b88","block_type":"box","text":"Municipal Opportunities Fund of BlackRock California Municipal Series Trust, BlackRock New York Municipal","page_number":143,"box":{"x":70,"y":188,"width":766,"height":11}},{"id":"cb470d5c-b62a-47aa-981f-e27a3b53f1a1","block_type":"box","text":"Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock Pennsylvania Municipal Bond Fund of","page_number":143,"box":{"x":69,"y":203,"width":837,"height":12}},{"id":"3895bddb-499f-4987-b5a0-b2a12417d988","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity Fund and BlackRock Balanced Fund,","page_number":143,"box":{"x":70,"y":219,"width":805,"height":11}},{"id":"72890e60-18d4-4f47-9d82-a49447f66df3","block_type":"box","text":"Inc., and $500,000 for BlackRock Low Duration Bond Portfolio, BlackRock Floating Rate Income Portfolio, BlackRock","page_number":143,"box":{"x":70,"y":233,"width":832,"height":12}},{"id":"aac6c76f-4d7a-44c2-a98e-cca517f315f0","block_type":"box","text":"Income Fund and BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V) or more of Investor A or","page_number":143,"box":{"x":70,"y":249,"width":828,"height":11}},{"id":"2438cfe5-e7dd-43c8-8d88-8a185001e2fe","block_type":"box","text":"Investor P Shares. This may depend upon the policies, procedures and trading platforms of your financial","page_number":143,"box":{"x":70,"y":264,"width":746,"height":11}},{"id":"5b380af0-9ac0-447a-aebd-35e5c96380f7","block_type":"box","text":"intermediary; consult your financial adviser.","page_number":143,"box":{"x":70,"y":279,"width":307,"height":11}},{"id":"826c3ab7-5d74-45c3-a74e-609326a2a913","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":143,"box":{"x":102,"y":302,"width":799,"height":11}},{"id":"1e2ad820-3b1e-4cee-af4c-6e426862cdcf","block_type":"box","text":"to transfer investment positions from a foreign registered investment company advised by BlackRock or its affiliates","page_number":143,"box":{"x":68,"y":317,"width":829,"height":11}},{"id":"ff2752f6-fb0e-48b7-89dd-45a438c0930b","block_type":"box","text":"to a U.S. registered BlackRock-advised fund.","page_number":143,"box":{"x":68,"y":332,"width":317,"height":11}},{"id":"3ebbdf0b-57e1-4eba-bc23-0835d44c1d87","block_type":"box","text":"Acquisition of Cer tain Investment Companies.","page_number":143,"box":{"x":101,"y":355,"width":326,"height":11}},{"id":"753f1675-c148-4269-9e81-8f85ff8f4c07","block_type":"box","text":"Investor A and Investor P Shares may be offered at NAV in","page_number":143,"box":{"x":434,"y":355,"width":413,"height":11}},{"id":"e00e5edb-b51c-467e-b6be-e3d808757f33","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":143,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"0144704d-2b1c-4009-81b6-382047ec2e1f","block_type":"box","text":"public or private investment company.","page_number":143,"box":{"x":70,"y":385,"width":266,"height":11}},{"id":"b992f79d-d872-43f5-a228-c4bd89c18713","block_type":"box","text":"Purchases Through Cer tain Financial Intermediaries.","page_number":143,"box":{"x":102,"y":408,"width":372,"height":11}},{"id":"afd7019f-228a-4779-9e96-fb2a07b7c34d","block_type":"box","text":"Reduced sales charges may be applicable for purchases of","page_number":143,"box":{"x":481,"y":407,"width":421,"height":12}},{"id":"44176583-79c3-41dd-9c70-abc011859d72","block_type":"box","text":"Investor A, Investor A1 or Investor P Shares of a Fund through certain financial advisers, selected securities dealers","page_number":143,"box":{"x":70,"y":423,"width":825,"height":11}},{"id":"27f6a6be-81df-4ec7-8c5b-c0e7923632d5","block_type":"box","text":"and other financial intermediaries that meet and adhere to standards established by the Manager from time to time.","page_number":143,"box":{"x":69,"y":438,"width":830,"height":11}},{"id":"2fe9ea4c-036d-42df-9d7a-3899d3003f07","block_type":"box","text":"Deferred Sales Charge Alternative — Investor C Shares","page_number":143,"box":{"x":69,"y":468,"width":405,"height":11}},{"id":"6458d076-2838-4b3c-958d-a04c252ff3b4","block_type":"box","text":"Investors choosing the deferred sales charge alternative should consider Investor C Shares if they are uncertain","page_number":143,"box":{"x":102,"y":491,"width":799,"height":11}},{"id":"c7d4ac71-b398-4e6d-af6f-44d73e12a6ab","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":143,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"944a4d0f-aa8e-4f81-9bf2-1dfec319484f","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":143,"box":{"x":70,"y":520,"width":778,"height":12}},{"id":"cebae0f4-abe8-4f22-a678-b73dee12a838","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":143,"box":{"x":70,"y":536,"width":826,"height":11}},{"id":"197cca1c-5e02-432b-8786-5d3a75a7437d","block_type":"box","text":"set a lower maximum for Investor C Shares.","page_number":143,"box":{"x":69,"y":551,"width":311,"height":9}},{"id":"feb99167-e82e-4734-9c3b-e5fdf35e6bfb","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":143,"box":{"x":102,"y":574,"width":789,"height":11}},{"id":"5affc7dd-3153-4898-afe4-7d1d577c71cc","block_type":"box","text":"intermediary associated with the account.","page_number":143,"box":{"x":70,"y":589,"width":297,"height":11}},{"id":"f26e370e-3650-45fc-b92f-1ca7dcec0e7f","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":143,"box":{"x":102,"y":612,"width":669,"height":11}},{"id":"ae9d6216-961f-459d-b18d-e769a53c602b","block_type":"box","text":"The deferred sales charge alternatives may be particularly appealing to investors who do not qualify for the","page_number":143,"box":{"x":101,"y":634,"width":763,"height":12}},{"id":"98339bdb-4e9e-4ee6-b937-5b0380a5640a","block_type":"box","text":"reduction in initial sales charges. CDSC shares are subject to ongoing service fees and distribution fees; however,","page_number":143,"box":{"x":69,"y":649,"width":815,"height":12}},{"id":"d02cfc87-eb69-4755-8313-9a58f09bb162","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":143,"box":{"x":68,"y":664,"width":813,"height":12}},{"id":"7111375f-cd01-4d4f-98ff-457f6b35d5b8","block_type":"box","text":"CDSC shares.","page_number":143,"box":{"x":69,"y":680,"width":97,"height":9}},{"id":"354cb577-e074-4761-bee1-7f17efd60145","block_type":"box","text":"BlackRock compensates financial advisers and other financial intermediaries for selling CDSC shares at the time","page_number":143,"box":{"x":102,"y":702,"width":804,"height":12}},{"id":"c970a0b5-d942-48ae-aa72-0316ee638d72","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":143,"box":{"x":69,"y":717,"width":827,"height":11}},{"id":"3bab8e81-6cf2-4f48-9c86-3b09d8015c17","block_type":"box","text":"used by the Distributor to defray the expenses of securities dealers or other financial intermediaries related to","page_number":143,"box":{"x":69,"y":732,"width":786,"height":12}},{"id":"58c1266d-0d14-4bd1-b55a-390d4c0d28f7","block_type":"box","text":"providing distribution-related services to each Fund in connection with the sale of the CDSC shares. The combination","page_number":143,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"7c55e2b7-3ae8-4e7a-87d3-11bc21edb030","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":143,"box":{"x":69,"y":763,"width":809,"height":11}},{"id":"0bc9a952-4432-4343-9c15-160c9bad9917","block_type":"box","text":"sales charge being deducted at the time of purchase. See “Distribution and/or Shareholder Servicing Plans” below.","page_number":143,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"0d503417-351a-4651-88fe-53e4e03deeec","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":143,"box":{"x":70,"y":793,"width":822,"height":11}},{"id":"b816a970-2e52-45bf-8aff-ee45b7fac732","block_type":"box","text":"sales charge rule. See “Limitations on the Payment of Deferred Sales Charges” below.","page_number":143,"box":{"x":69,"y":808,"width":618,"height":11}},{"id":"75dce27a-9867-4ad0-8d02-ce23552ba59b","block_type":"box","text":"Dealers will generally immediately receive commissions equal to 1.00% of the Investor C Shares sold by them","page_number":143,"box":{"x":102,"y":831,"width":782,"height":11}},{"id":"a2bb9e79-04c9-4eb6-9aad-25cd66f07a84","block_type":"box","text":"plus ongoing fees under the Fund’s Distribution and Service Plan. Dealers may not receive a commission in","page_number":143,"box":{"x":70,"y":846,"width":764,"height":11}},{"id":"e834dd2f-af9b-45c6-a3f9-579642b28a70","block_type":"box","text":"connection with sales of Investor C Shares to certain employer-sponsored retirement plans sponsored by the Fund,","page_number":143,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"89246077-12fb-41bc-9fcc-ed9a3f53b49f","block_type":"box","text":"BlackRock or its affiliates, but may receive fees under the Distribution and Service Plan. These commissions and","page_number":143,"box":{"x":70,"y":876,"width":806,"height":11}},{"id":"bcfacf0c-0d54-4b13-a318-86c958fffbba","block_type":"box","text":"payments may be different than the reallowances, placement fees and commissions paid to dealers in connection","page_number":143,"box":{"x":70,"y":891,"width":813,"height":11}},{"id":"f2345fd0-1691-400b-97f2-0da81d553ad6","block_type":"box","text":"II-105","page_number":143,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9b3d9b02-e47f-44b0-bedb-3e99a8e9801c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":143,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"109b7c3c-b791-4c02-b2da-e6e4ed1b40d0","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":144,"box":{"x":68,"y":45,"width":811,"height":11}},{"id":"8458b809-3058-4ab4-9d61-0c73dba5add3","block_type":"box","text":"trading platforms of your financial intermediary; consult your financial adviser.","page_number":144,"box":{"x":68,"y":60,"width":554,"height":11}},{"id":"72c77f2c-957d-4158-8e78-48159cca2a06","block_type":"box","text":"Each Fund has adopted an automatic conversion feature for Investor C Shares. Effective November 23, 2020,","page_number":144,"box":{"x":102,"y":82,"width":783,"height":11}},{"id":"a722b2c4-0e5f-46e3-b836-87d70c362408","block_type":"box","text":"Investor C Shares held for approximately eight years will be converted into Investor A Shares, as set forth in each","page_number":144,"box":{"x":70,"y":98,"width":808,"height":11}},{"id":"a59dd1c2-d5c4-4afe-bf9f-8ee686ef8bf4","block_type":"box","text":"Fund’s Prospectus. In addition, accounts that do not have a financial intermediary associated with them are not","page_number":144,"box":{"x":70,"y":113,"width":797,"height":11}},{"id":"50fabae8-1068-4b0f-8243-7e689cebc196","block_type":"box","text":"eligible to hold Investor C Shares, and any Investor C Shares held in such accounts will be automatically converted to","page_number":144,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"771e86ae-6217-4783-953d-0946b41b3952","block_type":"box","text":"Investor A Shares.","page_number":144,"box":{"x":70,"y":143,"width":128,"height":9}},{"id":"5892e37c-ed03-44e9-8baa-ce69b29d985c","block_type":"box","text":"Conversion of Investor C Shares to Investor A Shares","page_number":144,"box":{"x":102,"y":166,"width":378,"height":9}},{"id":"1ed9c182-990e-4f51-971d-648d0b16e9cb","block_type":"box","text":"Effective November 23, 2020 (the “Effective Date”), approximately eight years after purchase, Investor C Shares","page_number":144,"box":{"x":102,"y":188,"width":804,"height":12}},{"id":"6fc1d95a-aab8-4241-a9c0-acf97a0d6cc8","block_type":"box","text":"of each Fund will convert automatically into Investor A Shares of that Fund (the “Investor C 8-Year Conversion”).","page_number":144,"box":{"x":69,"y":203,"width":794,"height":12}},{"id":"ee31961a-cc6f-45cb-afe9-fe357324a84e","block_type":"box","text":"Certain funds (the “Predecessor Funds”) were reorganized into new Funds (the “Successor Funds”) pursuant to","page_number":144,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"8daf3e42-3557-4a89-bb6f-7ae2a45b7c2e","block_type":"box","text":"reorganizations which occurred in September 2018. The holding period for Investor C Shares of Successor Funds","page_number":144,"box":{"x":69,"y":234,"width":806,"height":11}},{"id":"ffb1f894-c313-4446-b960-e9001f90d25e","block_type":"box","text":"includes the period such shares were held in the respective Predecessor Fund. It is the financial intermediary’s","page_number":144,"box":{"x":70,"y":249,"width":793,"height":11}},{"id":"713f6285-7840-45ac-901b-28c8df3dfe80","block_type":"box","text":"responsibility to ensure that the shareholder is credited with the proper holding period. As of the Effective Date,","page_number":144,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"e7fe3340-91d1-4fde-8374-ce74005991b0","block_type":"box","text":"certain financial intermediaries, including group retirement recordkeeping platforms, may not have been tracking","page_number":144,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"b2c61b0b-081a-4d7e-ae49-b4f5d2ed23c7","block_type":"box","text":"such holding periods and therefore may not be able to process such conversions. In such instances, Investor C","page_number":144,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"9c924367-9cc8-42a9-9612-d5eae42dfbe5","block_type":"box","text":"Shares held as of the Effective Date will automatically convert to Investor A Shares approximately eight years after","page_number":144,"box":{"x":69,"y":309,"width":817,"height":11}},{"id":"f9159761-1d04-4389-b2c3-2eabd5bccfb6","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":144,"box":{"x":68,"y":324,"width":814,"height":12}},{"id":"9deab0bb-7240-4221-be12-8363758b1963","block_type":"box","text":"not implemented systems or procedures to track holding periods commencing from the Effective Date, shareholders","page_number":144,"box":{"x":69,"y":339,"width":828,"height":12}},{"id":"ec2087a8-f1a9-4b04-83bb-d058306b0108","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":144,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"2596a644-d7a4-462d-af68-20a352b05b60","block_type":"box","text":"any such shares will convert to Investor A Shares as soon as reasonably practicable after such date.","page_number":144,"box":{"x":69,"y":370,"width":718,"height":11}},{"id":"2bfccd05-d4b3-4f7c-b224-5259490ec743","block_type":"box","text":"In addition, accounts that do not have a financial intermediary associated with them are not eligible to hold","page_number":144,"box":{"x":102,"y":392,"width":764,"height":12}},{"id":"20009b8e-3ced-4c0f-9b60-b3336232fab0","block_type":"box","text":"Investor C Shares, and any Investor C Shares held in such accounts will be automatically converted into Investor A","page_number":144,"box":{"x":70,"y":408,"width":816,"height":11}},{"id":"df1f7bb7-979d-47df-b3c3-8ed3c9af9682","block_type":"box","text":"Shares (the “Investor C Direct Accounts Conversion” and together with the Investor C 8-Year Conversion, the","page_number":144,"box":{"x":69,"y":423,"width":772,"height":11}},{"id":"f2c668c0-f72a-46bc-ad12-0c70f8647f55","block_type":"box","text":"“Investor C Conversions”).","page_number":144,"box":{"x":70,"y":438,"width":186,"height":11}},{"id":"46c305db-d3ec-4960-b156-f73da5599450","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":144,"box":{"x":101,"y":460,"width":776,"height":11}},{"id":"484f9989-c6db-47c6-a5b4-d543f998eda5","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":144,"box":{"x":69,"y":475,"width":824,"height":11}},{"id":"924d555e-065e-4127-a634-61b1548936d7","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":144,"box":{"x":70,"y":491,"width":827,"height":11}},{"id":"ee2b90d2-9227-46ad-b600-91c79b2a8597","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":144,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"2fb263eb-866b-4d50-994d-d2f5acec97d4","block_type":"box","text":"Shares will also convert automatically to Investor A Shares, as set forth in each Fund’s Prospectus. The Investor C","page_number":144,"box":{"x":69,"y":521,"width":818,"height":11}},{"id":"f0145163-6da8-4aee-9663-c5bdfa59c218","block_type":"box","text":"Conversion Date for dividend reinvestment shares will be calculated taking into account the length of time the shares","page_number":144,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"b68098a6-dded-41aa-b37d-83ece95147a6","block_type":"box","text":"underlying the dividend reinvestment shares were outstanding.","page_number":144,"box":{"x":69,"y":551,"width":445,"height":11}},{"id":"5b0eb4b9-a63e-443d-9a9b-ffe9c3405fd7","block_type":"box","text":"Contingent Deferred Sales Charge — Investor C Shares","page_number":144,"box":{"x":102,"y":574,"width":396,"height":11}},{"id":"fc572b58-17f6-4f53-b7b8-92423ee8d894","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":144,"box":{"x":102,"y":596,"width":804,"height":12}},{"id":"c585a92a-6403-4eb1-87ea-67aced924f94","block_type":"box","text":"percentage of the dollar amount subject thereto. In determining whether an Investor C Shares CDSC is applicable to","page_number":144,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"24585d6b-bc3f-4bb9-bf9e-5fb7d1d3d480","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":144,"box":{"x":69,"y":627,"width":837,"height":11}},{"id":"38afe8b0-eb55-4b7c-93a2-94c82bc2845a","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":144,"box":{"x":68,"y":642,"width":795,"height":11}},{"id":"7740980f-3dd0-41e1-a5fd-95aa3226ca18","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":144,"box":{"x":69,"y":657,"width":840,"height":11}},{"id":"9e72c768-b319-480c-8010-a5307ef547be","block_type":"box","text":"Investor C Shares. In addition, no CDSC will be assessed on Investor C Shares acquired through reinvestment of","page_number":144,"box":{"x":70,"y":672,"width":804,"height":11}},{"id":"360915a8-7645-46cc-ade4-89f67d23c5b6","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":144,"box":{"x":69,"y":687,"width":772,"height":11}},{"id":"78d16e51-3f86-462f-96ff-71b373735615","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":144,"box":{"x":70,"y":702,"width":790,"height":12}},{"id":"7df7a1e2-d1c3-4912-bc46-9034c3d8acb9","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":144,"box":{"x":69,"y":717,"width":776,"height":9}},{"id":"7cee20a3-5571-45de-836e-82a1a5357c05","block_type":"box","text":"redemption.","page_number":144,"box":{"x":69,"y":733,"width":83,"height":10}},{"id":"a65fd35c-8441-40c0-b462-5b19cc9a50f3","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":144,"box":{"x":102,"y":755,"width":734,"height":11}},{"id":"8cd9057f-c0e0-463a-bc16-dee03dc5a802","block_type":"box","text":"information about amounts paid to the Distributor in connection with CDSC shares for the periods indicated.","page_number":144,"box":{"x":70,"y":770,"width":769,"height":11}},{"id":"8152ed11-90ad-4e67-9031-b7a592aba5c9","block_type":"box","text":"Investor C Shares — Contingent Deferred Sales Charge Waivers and Reductions","page_number":144,"box":{"x":102,"y":793,"width":572,"height":11}},{"id":"edcd2884-226e-49a3-bb5d-2ae3d9209ca2","block_type":"box","text":"The CDSC on Investor C Shares is not charged in connection with: (1) redemptions of Investor C Shares","page_number":144,"box":{"x":101,"y":816,"width":740,"height":11}},{"id":"38811ff6-3dc7-46b1-9b2b-7747e441f9a4","block_type":"box","text":"purchased through certain employer-sponsored retirement plans and fee-based programs previously approved by","page_number":144,"box":{"x":70,"y":831,"width":802,"height":11}},{"id":"395930f0-fe28-4263-90a7-e3f33ef3efd1","block_type":"box","text":"certain Funds and rollovers of current investments in the Fund through such plans; (2) exchanges described in","page_number":144,"box":{"x":69,"y":846,"width":786,"height":11}},{"id":"cbabf144-2200-44d0-b9e3-80903df2676a","block_type":"box","text":"“Exchange Privilege” below; (3) redemptions made in connection with minimum required distributions due to the","page_number":144,"box":{"x":70,"y":861,"width":797,"height":11}},{"id":"130b0e6c-5ab0-49cb-9253-f985bd60931f","block_type":"box","text":"shareholder reaching age 72 from IRA and 403(b)(7) accounts; (4) redemptions made with respect to certain","page_number":144,"box":{"x":69,"y":876,"width":776,"height":11}},{"id":"754fbf53-69b3-478c-9375-689479454f4d","block_type":"box","text":"retirement plans sponsored by the Fund, BlackRock or its affiliates; (5) redemptions in connection with a","page_number":144,"box":{"x":69,"y":891,"width":747,"height":11}},{"id":"0b579dcf-f53b-484e-99af-9a334f99084d","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":144,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"36a29abe-255a-49cf-86b2-e2c3a697f414","block_type":"box","text":"II-106","page_number":144,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e0d68ba0-ae0e-448f-a3ec-709970bc9fe1","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":144,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e01acb7e-c2b0-4e33-8b5e-8c2e9c0c90c3","block_type":"box","text":"following completion of probate (including in connection with the distribution of account assets to a beneficiary of the","page_number":145,"box":{"x":68,"y":45,"width":836,"height":11}},{"id":"7a18d6c9-1f28-4895-9103-abe4a58eef3c","block_type":"box","text":"decedent) or disability (as defined in the Code) subsequent to the purchase of Investor C Shares; (6) withdrawals","page_number":145,"box":{"x":69,"y":60,"width":806,"height":11}},{"id":"7c596a6b-aceb-40a0-96ab-170f92192c5a","block_type":"box","text":"resulting from shareholder disability (as defined in the Code) as long as the disability arose subsequent to the","page_number":145,"box":{"x":69,"y":75,"width":786,"height":11}},{"id":"a846caca-7033-4489-ac47-a83a4dfba39a","block_type":"box","text":"purchase of the shares; (7) involuntary redemptions of Investor C Shares in accounts with low balances as described","page_number":145,"box":{"x":70,"y":90,"width":834,"height":11}},{"id":"4a6f1846-393f-4957-9473-cddbcd0ec780","block_type":"box","text":"in “Redemption of Shares” below; (8) redemptions made pursuant to a systematic withdrawal plan, subject to the","page_number":145,"box":{"x":70,"y":105,"width":809,"height":11}},{"id":"59b34978-a2be-4399-9ca2-02e16ed2bc4c","block_type":"box","text":"limitations set forth under “Systematic Withdrawal Plan” below; (9) redemptions related to the payment of BNY","page_number":145,"box":{"x":70,"y":120,"width":791,"height":11}},{"id":"22fba847-8fc1-4354-9acc-b414b89c6666","block_type":"box","text":"Mellon Investment Servicing Trust Company custodial IRA fees; and (10) redemptions when a shareholder can","page_number":145,"box":{"x":70,"y":135,"width":784,"height":12}},{"id":"683cd0d7-6776-481f-8c3b-ea0954b8e782","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":145,"box":{"x":69,"y":150,"width":824,"height":12}},{"id":"04fc688f-72b7-4e9c-9629-a54fea303d13","block_type":"box","text":"acquired through the reinvestment of dividends or distributions.","page_number":145,"box":{"x":69,"y":166,"width":451,"height":11}},{"id":"ce022048-4040-4469-aa38-affb08369848","block_type":"box","text":"Certain CDSC waivers and reductions on Investor C Shares may be available to customers of certain financial","page_number":145,"box":{"x":102,"y":188,"width":781,"height":11}},{"id":"cd7aeb47-6577-4e32-be1d-22fc1868d3a2","block_type":"box","text":"intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the Fund’s Prospectus.","page_number":145,"box":{"x":70,"y":203,"width":813,"height":12}},{"id":"33a19646-a0ae-44fd-8c4f-5f9aff94bb40","block_type":"box","text":"Please speak to your financial intermediary for more information.","page_number":145,"box":{"x":69,"y":218,"width":462,"height":12}},{"id":"d0a372c4-85a0-4775-9a2f-9125f40d92d0","block_type":"box","text":"Class R Shares","page_number":145,"box":{"x":69,"y":249,"width":110,"height":9}},{"id":"f3961f9b-fb0c-45bb-aa2d-bb73c35d3b1f","block_type":"box","text":"Certain of the Funds offer Class R Shares as described in each such Fund’s Prospectus. Class R Shares are","page_number":145,"box":{"x":102,"y":271,"width":775,"height":11}},{"id":"b31ca8e0-a50b-464c-ab79-fdc366dff95b","block_type":"box","text":"available only to certain employer-sponsored retirement plans. Class R Shares are not subject to an initial sales","page_number":145,"box":{"x":69,"y":287,"width":799,"height":11}},{"id":"86dddb74-d822-4690-9dae-b6d15159ec78","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":145,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"31791cde-7344-4eb3-83a2-3262b7bc1d96","block_type":"box","text":"0.25% per year. Distribution fees are used to support the Fund’s marketing and distribution efforts, such as","page_number":145,"box":{"x":69,"y":317,"width":772,"height":11}},{"id":"9c8496f7-0f31-4167-bc1c-7a6dea96245b","block_type":"box","text":"compensating financial advisers and other financial intermediaries, advertising and promotion. Service fees are used","page_number":145,"box":{"x":69,"y":332,"width":836,"height":11}},{"id":"f82f188e-f343-4acf-8b2b-d52e6227580f","block_type":"box","text":"to compensate securities dealers and other financial intermediaries for service activities.","page_number":145,"box":{"x":68,"y":347,"width":636,"height":11}},{"id":"0e3fb814-ed97-479c-b865-58aafa4569b8","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":145,"box":{"x":102,"y":370,"width":791,"height":11}},{"id":"31dfa2dd-618f-406b-a2c3-53334ec69730","block_type":"box","text":"have paid as a shareholder of one of the other share classes.","page_number":145,"box":{"x":69,"y":385,"width":440,"height":11}},{"id":"cd54c30c-f8ec-4d1b-8872-8691d134f714","block_type":"box","text":"Class K Shares","page_number":145,"box":{"x":69,"y":415,"width":109,"height":9}},{"id":"678187fe-6715-450e-8153-4d3e5dc8cf27","block_type":"box","text":"Certain Funds offer Class K Shares as described in each such Fund’s Prospectus. Class K Shares are available","page_number":145,"box":{"x":102,"y":438,"width":797,"height":11}},{"id":"5ea033aa-2ec7-4e6f-b774-b3901b4da949","block_type":"box","text":"only to (i) certain employee benefit plans, such as health savings accounts, and certain employer-sponsored","page_number":145,"box":{"x":69,"y":453,"width":772,"height":11}},{"id":"afe1104c-5112-4e59-b7a1-e8df9918f614","block_type":"box","text":"retirement plans (not including SEP IRAs, SIMPLE IRAs and SARSEPs) (collectively, “Employer-Sponsored Retirement","page_number":145,"box":{"x":69,"y":468,"width":827,"height":11}},{"id":"7f73ddc0-6f12-4c03-bc6a-8ea259e4bd61","block_type":"box","text":"Plans”), (ii) collective trust funds, investment companies and other pooled investment vehicles, each of which may","page_number":145,"box":{"x":69,"y":483,"width":817,"height":11}},{"id":"ed0c1b99-bda2-488f-af6a-27c5c0057c3e","block_type":"box","text":"purchase shares of the Fund through a financial intermediary that has entered into an agreement with the Distributor","page_number":145,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"48c9d05d-f60c-40fc-9ad6-9dab809b8b4d","block_type":"box","text":"to purchase such shares, (iii) “Institutional Investors,” which include but are not limited to, endowments,","page_number":145,"box":{"x":68,"y":514,"width":748,"height":10}},{"id":"1ad1d0f3-0397-49ad-a717-6a881cef4608","block_type":"box","text":"foundations, family offices, banks and bank trusts, local, city, and state governmental institutions, corporations and","page_number":145,"box":{"x":68,"y":528,"width":828,"height":12}},{"id":"06bc188a-b0f5-4159-af56-d54670b1754b","block_type":"box","text":"insurance company separate accounts, each of which may purchase shares of the Fund through a financial","page_number":145,"box":{"x":70,"y":543,"width":760,"height":12}},{"id":"55d5ee76-8e98-4f15-8295-47346cb6abeb","block_type":"box","text":"intermediary that has entered into an agreement with the Distributor to purchase such shares, (iv) clients of private","page_number":145,"box":{"x":70,"y":559,"width":823,"height":11}},{"id":"67ace29e-d650-4a60-b76d-a87f4e719608","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":145,"box":{"x":69,"y":574,"width":836,"height":11}},{"id":"d90a8842-3669-4563-9652-3018588c54ed","block_type":"box","text":"Distributor to sell such shares; (v) fee-based advisory platforms of a financial intermediary that (a) has specifically","page_number":145,"box":{"x":70,"y":589,"width":814,"height":11}},{"id":"b896cd07-a15a-47f4-898f-3539d0fa9d07","block_type":"box","text":"acknowledged in a written agreement with the Distributor and/or its affiliate(s) that the financial intermediary shall","page_number":145,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"e5be67f6-88e4-40c1-9dd0-318158b9e86b","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":145,"box":{"x":69,"y":619,"width":823,"height":11}},{"id":"d40c697a-9101-4963-b29f-5325fcd2565c","block_type":"box","text":"Fund’s shares through another intermediary that has executed such an agreement and (vi) any other investors who","page_number":145,"box":{"x":70,"y":634,"width":818,"height":12}},{"id":"4a0d0756-cd45-46bf-bfce-b2e75bf2ecdb","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":145,"box":{"x":69,"y":649,"width":833,"height":12}},{"id":"cf107c4d-4cf0-41c1-b9c7-b68c630e800d","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":145,"box":{"x":69,"y":664,"width":807,"height":12}},{"id":"84ca1cb0-b55d-40af-bfe8-22d647e35366","block_type":"box","text":"agreement referenced in (iv) above shall appear in a supplemental agreement to any selling, sub-transfer agent, or","page_number":145,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"ded80759-4f4f-41df-b64c-9a9411be777f","block_type":"box","text":"distribution and marketing agreement.","page_number":145,"box":{"x":69,"y":695,"width":270,"height":11}},{"id":"29069d13-1e20-4c92-96f3-433c78708bf4","block_type":"box","text":"Class K Shares are also available to employees, officers and directors/trustees of BlackRock, Inc. and","page_number":145,"box":{"x":102,"y":717,"width":734,"height":12}},{"id":"387f2613-424f-403d-887c-434891c9c6bc","block_type":"box","text":"BlackRock Funds and immediate family members of such persons, if they open an account directly with BlackRock.","page_number":145,"box":{"x":70,"y":732,"width":817,"height":12}},{"id":"2ee00821-e49c-4099-85a7-bbe88cb9c7e1","block_type":"box","text":"Eligible individuals who would like to convert existing holdings to Class K Shares must contact BlackRock.","page_number":145,"box":{"x":70,"y":748,"width":753,"height":11}},{"id":"1dfb28df-fe46-4087-b339-eb84dc375b06","block_type":"box","text":"Class G Shares","page_number":145,"box":{"x":69,"y":778,"width":110,"height":9}},{"id":"ac8661c1-6e1b-4d5a-94d6-0e78160ec656","block_type":"box","text":"Certain Funds offer Class G Shares, which are available only to investors on eligible platforms. Eligible platforms","page_number":145,"box":{"x":102,"y":801,"width":804,"height":11}},{"id":"878c6fd4-f65e-4b74-9cdc-f51f97f82f99","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":145,"box":{"x":69,"y":816,"width":826,"height":11}},{"id":"258796e0-fb20-4ffe-ae89-e68c9071e382","block_type":"box","text":"that meets an initial investment minimum of $2 billion. For clients investing through such eligible platforms, the Fund","page_number":145,"box":{"x":68,"y":830,"width":836,"height":12}},{"id":"6461cc40-2bc2-4ce4-8fa3-fa7bff40e5e1","block_type":"box","text":"does not impose investment minimums on any individual investor. Financial intermediaries may impose separate","page_number":145,"box":{"x":69,"y":846,"width":803,"height":11}},{"id":"7340d3cc-07c0-43ee-ba89-e54790570b47","block_type":"box","text":"eligibility requirements.","page_number":145,"box":{"x":69,"y":861,"width":164,"height":11}},{"id":"66144057-9d39-4a1a-8fe0-f8dff9258688","block_type":"box","text":"II-107","page_number":145,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"8d797cb2-d2ee-4932-8bdc-698c0b568462","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":145,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f7e7cefe-6aad-41d8-b946-4366df00b35d","block_type":"box","text":"Service Shares","page_number":146,"box":{"x":68,"y":45,"width":109,"height":9}},{"id":"53057862-1622-4a99-adc9-e0970dfe2dc5","block_type":"box","text":"Certain Funds offer Service Shares, which are available only to certain investors, including: (i) certain financial","page_number":146,"box":{"x":102,"y":67,"width":788,"height":12}},{"id":"10fd388f-8489-4ea0-9a7e-eef375d6e1bf","block_type":"box","text":"institutions, such as banks and brokerage firms, acting on behalf of their customers; (ii) certain persons who were","page_number":146,"box":{"x":70,"y":82,"width":815,"height":12}},{"id":"b5a02143-f220-4b05-b9f6-83cb089ebe61","block_type":"box","text":"shareholders of the Compass Capital Group of Funds at the time of its combination with The PNC","page_number":146,"box":{"x":69,"y":98,"width":693,"height":11}},{"id":"91fb2257-1937-4438-8b68-3f5bd5e02332","block_type":"box","text":"®","page_number":146,"box":{"x":763,"y":98,"width":6,"height":4}},{"id":"e57bb356-f78c-43a2-841a-0cf6f0f0179e","block_type":"box","text":"Fund in 1996; and","page_number":146,"box":{"x":775,"y":98,"width":130,"height":10}},{"id":"368abde3-464c-475b-8882-c1afd3929a88","block_type":"box","text":"(iii) participants in the Capital Directions","page_number":146,"box":{"x":69,"y":113,"width":287,"height":11}},{"id":"85a674c1-709a-41d3-b7f5-e61e66892b3f","block_type":"box","text":"SM","page_number":146,"box":{"x":357,"y":113,"width":11,"height":5}},{"id":"499e0daf-0902-42dd-ade8-554fc9664557","block_type":"box","text":"asset allocation program. Service Shares are not subject to an initial sales","page_number":146,"box":{"x":374,"y":113,"width":534,"height":11}},{"id":"f58b6d1c-2460-4218-967d-43455342d991","block_type":"box","text":"charge or a CDSC but are subject to an ongoing service fee as set forth in the applicable Fund’s Prospectus.","page_number":146,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"0b5f633a-9daf-4831-9da7-eed823c6aac2","block_type":"box","text":"BlackRock Shares","page_number":146,"box":{"x":69,"y":158,"width":133,"height":9}},{"id":"66e9031b-6ab5-4ce2-a4d0-ef1ed48485eb","block_type":"box","text":"Certain Funds offer BlackRock Shares, which are available only to certain investors. BlackRock Shares are","page_number":146,"box":{"x":102,"y":181,"width":760,"height":11}},{"id":"ff2e1c55-b0df-40ce-a80a-49106cf9146a","block_type":"box","text":"offered without a sales charge to institutional and individual investors, registered investment advisers and certain","page_number":146,"box":{"x":69,"y":196,"width":813,"height":11}},{"id":"59b632e0-c970-4abe-85f1-3bfc20aa9980","block_type":"box","text":"fee-based programs.","page_number":146,"box":{"x":68,"y":211,"width":145,"height":11}},{"id":"ed4f585b-ff0a-48c7-ae32-cb2ca14e4de2","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans","page_number":146,"box":{"x":69,"y":241,"width":348,"height":11}},{"id":"2247b5b0-9afc-415f-83b9-65f9b96966f2","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":146,"box":{"x":102,"y":264,"width":790,"height":11}},{"id":"62282dcd-297e-4935-b469-406e359958c8","block_type":"box","text":"respect to certain share classes that allows the Fund to pay distribution fees for the sale of its shares and","page_number":146,"box":{"x":69,"y":279,"width":761,"height":11}},{"id":"4c1dddff-82e1-4d55-9a53-bcc10f6a3566","block_type":"box","text":"shareholder servicing fees for certain services provided to its shareholders.","page_number":146,"box":{"x":69,"y":294,"width":541,"height":11}},{"id":"e1d602f0-9520-4250-a67e-3351e1ef9ee4","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":146,"box":{"x":102,"y":317,"width":803,"height":11}},{"id":"97151953-2142-419d-9ca6-3f0b795b1f6c","block_type":"box","text":"BlackRock, fees for distribution and sales support services with respect to Investor A, Investor A1, Investor C,","page_number":146,"box":{"x":70,"y":332,"width":783,"height":11}},{"id":"bc3e6b27-91b1-42e7-bf32-6e6b954aa31f","block_type":"box","text":"Investor P, Service and Class R Shares. Currently, as described further below, only Investor C and Class R Shares","page_number":146,"box":{"x":70,"y":347,"width":809,"height":11}},{"id":"1beee84e-22a3-4af1-b478-09ad59fce81d","block_type":"box","text":"bear the expense of distribution fees under a Plan.","page_number":146,"box":{"x":69,"y":362,"width":360,"height":11}},{"id":"712e47f7-e867-4b0d-9483-07b2a3cece7b","block_type":"box","text":"Each Fund has entered into a distribution agreement with BRIL under which BRIL, as agent, offers shares of","page_number":146,"box":{"x":102,"y":385,"width":770,"height":11}},{"id":"01bbf2cd-207f-4837-8547-e479e64ca3ab","block_type":"box","text":"each Fund on a continuous basis. BRIL has agreed to use appropriate efforts to effect sales of the shares, but it is","page_number":146,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"00e72333-b80c-4c73-bb62-acc0992ebac1","block_type":"box","text":"not obligated to sell any particular amount of shares. BRIL’s principal business address is 50 Hudson Yards, New","page_number":146,"box":{"x":69,"y":415,"width":812,"height":11}},{"id":"497f2940-2386-48c2-9356-612648283bec","block_type":"box","text":"York, NY 10001. BRIL is an affiliate of BlackRock.","page_number":146,"box":{"x":68,"y":430,"width":355,"height":11}},{"id":"49b693d8-6aed-44b7-b3e6-bf3690da3014","block_type":"box","text":"Pursuant to the Plans, each Fund may also pay shareholder servicing fees (also referred to as general","page_number":146,"box":{"x":102,"y":453,"width":727,"height":11}},{"id":"8b98cbc1-4b36-44b0-92ac-065db89d610b","block_type":"box","text":"shareholder liaison services fees) to affiliated and unaffiliated brokers, dealers, financial institutions, insurance","page_number":146,"box":{"x":69,"y":468,"width":799,"height":11}},{"id":"cec27ba4-5421-44d4-89fb-0204b56822f5","block_type":"box","text":"companies, retirement plan record-keepers and other financial intermediaries (including BlackRock, BRIL and their","page_number":146,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"99332ff1-47ea-486a-9b68-89078f127086","block_type":"box","text":"affiliates) (collectively, “Service Organizations”) for certain support services rendered by Service Organizations to","page_number":146,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"e2a4f8c8-172c-4ba5-887e-3b7daa2c6aab","block_type":"box","text":"their customers (“Customers”) who are the beneficial owners of Investor A, Investor A1, Investor C, Investor P,","page_number":146,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"a518b5b2-00c9-4c8f-9e89-7eddc1878543","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":146,"box":{"x":69,"y":528,"width":789,"height":12}},{"id":"08af4201-ece5-45da-aabc-fad816ccde24","block_type":"box","text":"Fund’s Administrators and Transfer Agent to the Fund’s shareholders of record.","page_number":146,"box":{"x":70,"y":543,"width":562,"height":12}},{"id":"c563cf47-89c9-442d-aa3d-d4a09df79ba0","block_type":"box","text":"The support services provided by Service Organizations are general shareholder liaison services, which include,","page_number":146,"box":{"x":101,"y":566,"width":798,"height":11}},{"id":"d747f2b5-3bdc-4fdc-bcf2-6558258ce58e","block_type":"box","text":"but are not limited to: (i) answering Customer inquiries regarding account status and history, the manner in which","page_number":146,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"1045e4d1-b06e-4c66-9116-0d9f23253e26","block_type":"box","text":"purchases, exchanges and redemptions or repurchases of shares may be effected and certain other matters","page_number":146,"box":{"x":70,"y":596,"width":776,"height":12}},{"id":"29894773-c95f-483d-bddb-ca90df071c10","block_type":"box","text":"pertaining to the Customers’ investments; and (ii) assisting Customers in designating and changing dividend options,","page_number":146,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"7915f03e-4941-4d47-b02d-9e5b4a135e32","block_type":"box","text":"account designations and addresses. The shareholder servicing fees payable pursuant to the Plans are paid to","page_number":146,"box":{"x":69,"y":627,"width":791,"height":11}},{"id":"7012130d-6815-42ba-8d2a-9bd583d44b12","block_type":"box","text":"compensate Service Organizations for the administration and servicing of shareholder accounts and are not costs","page_number":146,"box":{"x":69,"y":642,"width":813,"height":11}},{"id":"f0d2a1f0-49be-4039-9e71-db50acdf8109","block_type":"box","text":"which are primarily intended to result in the sale of the Fund’s shares.","page_number":146,"box":{"x":68,"y":657,"width":501,"height":11}},{"id":"4bea4a0a-e7d6-43ac-b0d8-f016c47072bf","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":146,"box":{"x":102,"y":680,"width":783,"height":11}},{"id":"5dbfd734-1689-403e-a021-d3f6eab5b4ab","block_type":"box","text":"the applicable share class regardless of the amount of expenses incurred. As a result, payments under the Plans","page_number":146,"box":{"x":68,"y":695,"width":810,"height":11}},{"id":"82273eec-f148-420e-9a48-d9740fcbd3f8","block_type":"box","text":"may be more or less than expenses incurred in connection with providing distribution and/or shareholder services","page_number":146,"box":{"x":69,"y":710,"width":813,"height":11}},{"id":"2d66ac42-c094-48a0-a79b-b0b3b8bc4dd4","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":146,"box":{"x":68,"y":725,"width":836,"height":11}},{"id":"e87354c5-eb71-4a03-97b6-7b1dc4d1cf01","block_type":"box","text":"providing services with respect to the related class is presented to the Directors for their consideration quarterly.","page_number":146,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"ee84eb55-410e-4b32-a9d9-3f99e327b9a6","block_type":"box","text":"Payments under the Plans consist of the shareholder servicing fees and the distribution fees. Expenses with respect","page_number":146,"box":{"x":69,"y":755,"width":832,"height":11}},{"id":"aac343c3-5bcb-49cd-a4df-2046345c35f0","block_type":"box","text":"to providing distribution and/or shareholder services with respect to a class may consist of Service Organization","page_number":146,"box":{"x":68,"y":770,"width":803,"height":12}},{"id":"35033ca2-4d92-4b84-9d8b-8f5cd16aa924","block_type":"box","text":"financial adviser compensation, branch office and regional operation center selling and transaction processing","page_number":146,"box":{"x":68,"y":785,"width":788,"height":12}},{"id":"9a209de5-7ff9-44e8-b56f-1da6b906e0d7","block_type":"box","text":"expenses, advertising, sales promotion and marketing expenses. Payments under the Plans with respect to one","page_number":146,"box":{"x":69,"y":801,"width":798,"height":11}},{"id":"5e61edc5-aacc-400a-801d-e01b4ff3fc37","block_type":"box","text":"class will not be used to finance the expenditures of another class. Sales personnel may receive different","page_number":146,"box":{"x":69,"y":816,"width":755,"height":11}},{"id":"2937223c-b2c4-4613-ac11-4e4b15202f38","block_type":"box","text":"compensation for selling different classes of shares.","page_number":146,"box":{"x":69,"y":831,"width":375,"height":11}},{"id":"e8a77072-6cbd-47be-8aca-1fa6ead0170c","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":146,"box":{"x":102,"y":853,"width":803,"height":12}},{"id":"e8f481c3-b2aa-488e-be88-f679b2ff2e44","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":146,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"d19ce070-28ca-4e66-b215-2a1ceaf60127","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":146,"box":{"x":68,"y":884,"width":788,"height":11}},{"id":"6fa6e22c-7e5a-4aec-b700-264df84f9481","block_type":"box","text":"interested Directors concluded that there is reasonable likelihood that the Plan will benefit the Fund and its related","page_number":146,"box":{"x":70,"y":899,"width":818,"height":9}},{"id":"d9f09582-0eaf-469b-8dc8-d8b16e84302c","block_type":"box","text":"II-108","page_number":146,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"1221f6be-c65a-4d74-b0e0-3ba2053f5a7b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":146,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"75cc00c4-6d0c-4c64-8397-dd9ec89fbd1d","block_type":"box","text":"class of shareholders. The Plan provides, among other things, that: (i) the Board of Directors shall receive quarterly","page_number":147,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"8bfa6e0b-4966-4c1e-bc4f-e2a4a3c32e99","block_type":"box","text":"reports regarding the amounts expended under the Plan and the purposes for which such expenditures were made;","page_number":147,"box":{"x":69,"y":60,"width":821,"height":11}},{"id":"33743354-1d93-49ba-88ef-2e58b887ed17","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":147,"box":{"x":69,"y":75,"width":778,"height":11}},{"id":"32ae3275-a14b-4ada-ada6-d5ffe7f180b3","block_type":"box","text":"Directors, including the directors who are not “interested persons” of the Fund (as defined in the Investment","page_number":147,"box":{"x":70,"y":90,"width":773,"height":11}},{"id":"357a3572-f713-442e-9582-618ff01c3589","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":147,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"1f6a87cd-dc8a-433d-aa39-eb52d8c29975","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":147,"box":{"x":69,"y":120,"width":837,"height":12}},{"id":"e1821d5e-f9db-475a-b745-291f4834e970","block_type":"box","text":"in accordance with Rule 12b-1 under the Investment Company Act; (iii) any material amendment thereto must be","page_number":147,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"b2155ba0-f486-4a31-94e6-d8d9962b663b","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":147,"box":{"x":69,"y":150,"width":787,"height":12}},{"id":"17cc5ec7-c3ca-4cad-8416-5ad152d57462","block_type":"box","text":"purpose; (iv) any amendment to increase materially the costs which any class of shares may bear for distribution","page_number":147,"box":{"x":70,"y":166,"width":802,"height":11}},{"id":"ddbd366b-e07e-4923-bcb6-589bcf7f6d67","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":147,"box":{"x":69,"y":181,"width":826,"height":11}},{"id":"d0a74693-8641-4b6b-a215-5070d93b0296","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":147,"box":{"x":69,"y":196,"width":836,"height":11}},{"id":"80a4f2ff-0833-4dec-bce5-f923751bffc0","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":147,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"77fe95d5-dc27-4d8e-a754-048dbb526b4e","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":147,"box":{"x":68,"y":226,"width":792,"height":11}},{"id":"23d73872-e44f-4835-9e96-8aad87e7740c","block_type":"box","text":"Directors. Rule 12b-1 further requires that each Fund preserve copies of each Plan and any report made pursuant to","page_number":147,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"d6f50167-eec9-4416-8e8f-9620b9e396d5","block_type":"box","text":"such Plan for a period of not less than six years from the date of the Plan or such report, the first two years in an","page_number":147,"box":{"x":69,"y":256,"width":807,"height":11}},{"id":"899241ce-893d-4b52-a017-5767d0f73c83","block_type":"box","text":"easily accessible place.","page_number":147,"box":{"x":69,"y":272,"width":167,"height":11}},{"id":"cea2376d-799e-4985-b94b-76478eee28c4","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":147,"box":{"x":102,"y":294,"width":804,"height":11}},{"id":"f290be08-f2fc-4389-902b-b4a60a5b1e68","block_type":"box","text":"Directors, or by vote of the holders of a majority of the shares of such class.","page_number":147,"box":{"x":70,"y":309,"width":542,"height":11}},{"id":"34dc7a03-8f9d-485e-a86b-fec992152a9a","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":147,"box":{"x":102,"y":332,"width":734,"height":11}},{"id":"7683d0bb-463d-416a-bc01-b17d8f4384de","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":147,"box":{"x":70,"y":347,"width":814,"height":11}},{"id":"db4df30f-5ef2-4ff0-a402-7421ee751642","block_type":"box","text":"fiscal year.","page_number":147,"box":{"x":68,"y":362,"width":75,"height":11}},{"id":"18fbe969-930e-418c-ac39-12d5dc58b2bb","block_type":"box","text":"Limitations on the Payment of Deferred Sales Charges","page_number":147,"box":{"x":69,"y":392,"width":396,"height":11}},{"id":"4be99176-18a4-455a-99db-f690bc7c536e","block_type":"box","text":"The maximum sales charge rule in the Conduct Rules of the Financial Industry Regulatory Authority (“FINRA”)","page_number":147,"box":{"x":101,"y":415,"width":777,"height":11}},{"id":"92b2b98d-559f-47af-a683-bad32f2be9dd","block_type":"box","text":"imposes a limitation on certain asset-based sales charges such as the distribution fee borne by Class R Shares, and","page_number":147,"box":{"x":70,"y":430,"width":835,"height":11}},{"id":"c144391c-2094-495e-9547-494cd4a11866","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":147,"box":{"x":68,"y":445,"width":822,"height":11}},{"id":"facc5bbb-6123-4ab0-a4ee-ce239df1a707","block_type":"box","text":"servicing fee. The maximum sales charge rule is applied separately to each class and limits the aggregate of","page_number":147,"box":{"x":69,"y":460,"width":778,"height":12}},{"id":"f6af7264-1ddb-4ea3-a0a4-a533eb7046eb","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":147,"box":{"x":69,"y":475,"width":840,"height":12}},{"id":"9fe3e4e5-05a3-4a0f-aa5b-b1791073763b","block_type":"box","text":"Shares, computed separately (excluding shares issued pursuant to dividend reinvestments and exchanges), plus","page_number":147,"box":{"x":69,"y":491,"width":803,"height":11}},{"id":"6ec43d69-2155-48c0-b3df-34118a75992f","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":147,"box":{"x":69,"y":506,"width":794,"height":11}},{"id":"7d87e4db-f535-4d18-8b29-4b3d97d676ea","block_type":"box","text":"unpaid balance being the maximum amount payable minus amounts received from the payment of the distribution fee","page_number":147,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"beff91e5-8080-42c5-aca0-5ac4a8250ae8","block_type":"box","text":"and the CDSC). See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI","page_number":147,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"45918a2d-6972-4d6b-85ce-8a994546c905","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":147,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"a3b9c9af-fbf0-4b83-9be2-583dba54bcf6","block_type":"box","text":"and Class R Shares of your Fund.","page_number":147,"box":{"x":69,"y":566,"width":236,"height":11}},{"id":"0b847300-b257-45d9-b793-cc47c167145e","block_type":"box","text":"Other Payments by the Fund","page_number":147,"box":{"x":69,"y":597,"width":206,"height":11}},{"id":"69970f0b-11cd-4cb1-b61e-ab05ea8e0d09","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":147,"box":{"x":102,"y":619,"width":800,"height":11}},{"id":"92054b73-aefb-403f-9698-fb929ebef95b","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":147,"box":{"x":68,"y":634,"width":816,"height":12}},{"id":"3225afcb-eeff-4df7-8beb-a7cec90358ee","block_type":"box","text":"Service Organizations pursuant to which the Fund will pay a Service Organization for administrative, networking,","page_number":147,"box":{"x":69,"y":649,"width":794,"height":12}},{"id":"a3763932-b01b-4a0d-acbb-0517db699608","block_type":"box","text":"recordkeeping, sub-transfer agency, sub-accounting and/or shareholder services. These non-Plan payments are","page_number":147,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"f71f0a4b-99e3-4bb8-a45a-244bbde5dc03","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":147,"box":{"x":68,"y":680,"width":841,"height":11}},{"id":"ec907863-a852-4b92-943f-0914d719c798","block_type":"box","text":"Organization or (2) a fixed dollar amount for each account serviced by a Service Organization. The aggregate amount","page_number":147,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"1f3cc252-ab40-4e54-ba71-87d3e8d16ecd","block_type":"box","text":"of these payments may be substantial.","page_number":147,"box":{"x":69,"y":710,"width":276,"height":11}},{"id":"585f7959-14b7-4b68-bfca-6df61621e87f","block_type":"box","text":"Additional Payments by BlackRock","page_number":147,"box":{"x":68,"y":740,"width":256,"height":11}},{"id":"5b5e57d5-e20f-4e46-abf0-31c27dd29183","block_type":"box","text":"From time to time, BlackRock, BRIL and/or their affiliates (referred to in this section collectively as “BlackRock”)","page_number":147,"box":{"x":102,"y":763,"width":803,"height":11}},{"id":"deaa029c-7afd-4f52-ab61-3b175f1969a3","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":147,"box":{"x":69,"y":778,"width":823,"height":11}},{"id":"5678953d-08cf-4eec-ba76-230972aa718e","block_type":"box","text":"its shareholders and/or for data provision or technology support. A Service Organization may perform these","page_number":147,"box":{"x":70,"y":793,"width":768,"height":11}},{"id":"2f90e27b-a95f-4cc1-9494-dd1e892e1a74","block_type":"box","text":"obligations itself or may arrange for a third party to perform them. These payments, which are not made pursuant to","page_number":147,"box":{"x":69,"y":808,"width":830,"height":11}},{"id":"86598f90-e7d6-4ba0-9bdb-17292fe724b3","block_type":"box","text":"a Plan or otherwise paid by a Fund, are referred to as “Additional Payments” herein.","page_number":147,"box":{"x":69,"y":823,"width":599,"height":11}},{"id":"749efbd7-6045-446f-a6cf-2970285e358d","block_type":"box","text":"Additional Payments are made from BlackRock’s own assets (which may come directly or indirectly from fees","page_number":147,"box":{"x":101,"y":846,"width":776,"height":11}},{"id":"6838c99a-603e-46f2-84b6-69236f1a4adf","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":147,"box":{"x":70,"y":861,"width":832,"height":11}},{"id":"61d180ac-e8d9-4bad-8d90-a9bac1bac5e7","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":147,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"c4ac2d0f-0844-487e-beb7-3531795d6163","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":147,"box":{"x":69,"y":891,"width":802,"height":11}},{"id":"41a8aa30-47d4-4bb4-93ed-accab194ba47","block_type":"box","text":"Service Organizations are in addition to any distribution or shareholder servicing fees paid under any Plan of any","page_number":147,"box":{"x":69,"y":906,"width":802,"height":12}},{"id":"b80155cd-e5a4-4b0d-beed-1679a969e287","block_type":"box","text":"II-109","page_number":147,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"06f8a204-b24b-4aa5-9b9c-a0cb0ca395c7","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":147,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d690e332-e14e-4039-a759-61d9c3ed55a9","block_type":"box","text":"Fund, any sales charges, commissions or other concessions described in the Prospectuses or this SAI, and any","page_number":148,"box":{"x":70,"y":45,"width":796,"height":11}},{"id":"2db9a8c7-ffdd-4c0a-a288-a9ad5346189b","block_type":"box","text":"administrative, networking, recordkeeping, sub-transfer agency or sub-accounting fees payable by a Fund. Pursuant to","page_number":148,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"7008252a-28ba-4652-b534-09e2e2c62ead","block_type":"box","text":"applicable FINRA regulations, the details of certain of these payments, including the Service Organizations receiving","page_number":148,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"a837befe-0774-463e-979b-9733f35eba94","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":148,"box":{"x":69,"y":90,"width":837,"height":11}},{"id":"c16bf980-a97c-4e08-b174-91f08c750e11","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":148,"box":{"x":69,"y":105,"width":818,"height":11}},{"id":"e1f633f8-7559-4301-a116-7f977b7d1737","block_type":"box","text":"BlackRock may pay out of its own assets.","page_number":148,"box":{"x":70,"y":120,"width":294,"height":11}},{"id":"5900d09e-85e7-492d-a8a6-4040bc7a610d","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":148,"box":{"x":101,"y":143,"width":803,"height":11}},{"id":"0a792a41-7884-405c-b724-6ce3f35aebac","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":148,"box":{"x":69,"y":158,"width":792,"height":11}},{"id":"f49b4552-eed9-4d28-b203-e1151e2d6441","block_type":"box","text":"Customers of the Service Organization involved, or may be calculated on another basis.","page_number":148,"box":{"x":69,"y":173,"width":623,"height":11}},{"id":"104f80be-f2e4-460a-be8a-60153fb96ee4","block_type":"box","text":"BlackRock negotiates Additional Payments with each Service Organization on an individual basis. Additional","page_number":148,"box":{"x":102,"y":196,"width":765,"height":11}},{"id":"1b68836d-ad5a-4d73-b4af-7d3721db8669","block_type":"box","text":"Payments may be different for different Service Organizations, and some Service Organizations may be paid pursuant","page_number":148,"box":{"x":69,"y":211,"width":841,"height":11}},{"id":"c0db970f-d4fd-4f0a-9d62-ce1576e83ec2","block_type":"box","text":"to more than one of the calculations described above. Not all Service Organizations receive Additional Payments.","page_number":148,"box":{"x":68,"y":226,"width":806,"height":11}},{"id":"fb731f14-43d9-4b6e-afb7-66d25c69fe79","block_type":"box","text":"Sales-based payments primarily create incentives to make new sales of shares of the Fund, and asset-based","page_number":148,"box":{"x":69,"y":241,"width":776,"height":11}},{"id":"25dcf98f-757a-451c-ba6a-391f15975561","block_type":"box","text":"payments primarily create incentives to retain previously sold shares of the Fund. The level of payments made to","page_number":148,"box":{"x":70,"y":256,"width":802,"height":11}},{"id":"4b83679f-bb13-4898-bd0d-6c7983e1ca24","block_type":"box","text":"these Service Organizations in any year will vary and may be limited to specific Funds or share classes. In certain","page_number":148,"box":{"x":68,"y":271,"width":811,"height":12}},{"id":"ea73683a-d03d-4da4-a6aa-3eeed815e4f4","block_type":"box","text":"cases, these payments may be subject to certain minimum payment levels.","page_number":148,"box":{"x":69,"y":287,"width":538,"height":11}},{"id":"feb45151-95b1-4ba1-92f6-5f60107b463e","block_type":"box","text":"The aggregate amount of Additional Payments made by BlackRock may be substantial and may be significant to","page_number":148,"box":{"x":101,"y":309,"width":795,"height":11}},{"id":"321ba2d3-7300-49d0-b157-51fd4bbf37af","block_type":"box","text":"certain Service Organizations. The categories of Additional Payments listed below are not mutually exclusive. The","page_number":148,"box":{"x":69,"y":324,"width":807,"height":12}},{"id":"bd72ef29-0370-4b0c-b238-0c7c6412c6ef","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":148,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"92276b8e-1392-4252-a1f7-2895e4055b8f","block_type":"box","text":"Additional Payments. Such payments may be different for different Service Organizations and for different types of","page_number":148,"box":{"x":68,"y":355,"width":819,"height":11}},{"id":"e064a07f-c026-4689-afea-ca2149812ab2","block_type":"box","text":"Funds.","page_number":148,"box":{"x":70,"y":370,"width":44,"height":9}},{"id":"8234f2f4-0971-4b03-bd84-2d625e5d186e","block_type":"box","text":"A. Distribution and Marketing Suppor t","page_number":148,"box":{"x":101,"y":392,"width":270,"height":12}},{"id":"4b058e57-b715-4981-b4c2-fb6a2a3a61f2","block_type":"box","text":"Additional Payments may be made by BlackRock for distribution and marketing support activities. These","page_number":148,"box":{"x":101,"y":415,"width":740,"height":11}},{"id":"5cb6ee21-9b6c-4d4f-ad71-0697575e2097","block_type":"box","text":"payments may take the form of, among other things, “due diligence” payments for a Service Organization’s","page_number":148,"box":{"x":70,"y":430,"width":764,"height":11}},{"id":"b951ffde-ddb5-4be4-a901-78cdd772ac6b","block_type":"box","text":"examination of a Fund; payments for providing extra employee training and information relating to a Fund; fees for","page_number":148,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"16dd276f-a414-46dc-9347-fdf6ff3c602a","block_type":"box","text":"access (in some cases on a preferential basis) to the Service Organization’s registered representatives,","page_number":148,"box":{"x":69,"y":460,"width":742,"height":12}},{"id":"131786ad-cd39-4bf6-9d3a-f6f0cf798947","block_type":"box","text":"salespersons or other personnel, including at sales meetings and conferences; “shelf space” payments for placing","page_number":148,"box":{"x":69,"y":475,"width":820,"height":12}},{"id":"8310ebd4-6a5d-4d95-a7d5-551387d6f230","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":148,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"0fb26291-2212-4b50-a511-6706c702b265","block_type":"box","text":"may be a preferred or recommended list) of mutual funds available for purchase by its Customers or in certain sales","page_number":148,"box":{"x":69,"y":506,"width":830,"height":11}},{"id":"7bb459eb-442c-4502-acb6-974421ffb749","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":148,"box":{"x":70,"y":521,"width":803,"height":11}},{"id":"95824214-1162-490b-971f-4fa771bac04d","block_type":"box","text":"include promotions in communications with the Service Organization’s Customers, registered representatives,","page_number":148,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"c990dc2b-3525-4b61-8355-e43e357de065","block_type":"box","text":"salespersons and/or other personnel); payments for the sale of shares and/or the maintenance of share balances;","page_number":148,"box":{"x":69,"y":551,"width":823,"height":11}},{"id":"2a28267e-1f7d-40eb-8f41-8abcd509e4b1","block_type":"box","text":"transaction fees (also referred to as “ticket charges”); and payments for infrastructure support. These payments","page_number":148,"box":{"x":68,"y":566,"width":805,"height":11}},{"id":"a6cb1bbc-78de-41b1-853b-4b32b51e0889","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":148,"box":{"x":69,"y":581,"width":828,"height":12}},{"id":"58919d39-b198-4895-a56b-7f16d98ae2e3","block_type":"box","text":"of the assets attributable to that Service Organization invested in a Fund.","page_number":148,"box":{"x":69,"y":596,"width":523,"height":12}},{"id":"ef9cad47-359b-4632-83bc-b8472a2eada3","block_type":"box","text":"B. Shareholder Services","page_number":148,"box":{"x":102,"y":619,"width":172,"height":9}},{"id":"26e920f2-7fe5-472e-9342-10488dbceaf3","block_type":"box","text":"Many Fund shares are owned or held by Service Organizations for the benefit of their Customers. In these","page_number":148,"box":{"x":102,"y":642,"width":754,"height":11}},{"id":"05d023a9-14f8-4f08-a011-2ce36e11bc0b","block_type":"box","text":"situations, a Fund may not maintain accounts in the name of the Customers and Service Organizations may perform","page_number":148,"box":{"x":69,"y":657,"width":830,"height":11}},{"id":"8529865c-001c-454e-b8b8-27f47ba49411","block_type":"box","text":"some of the functions for these Customers’ accounts that the Transfer Agent would have performed if the accounts","page_number":148,"box":{"x":69,"y":672,"width":823,"height":11}},{"id":"6ca1e37e-0afa-4524-a664-a358e9ada97f","block_type":"box","text":"had been in the Customers’ names on the Fund’s books. Such services include sub-accounting services, shareholder","page_number":148,"box":{"x":69,"y":687,"width":839,"height":11}},{"id":"c14fd8f0-d879-4134-81f3-9ce85cefc5a8","block_type":"box","text":"servicing and transaction processing services and are sometimes referred to as “recordkeeping,” “sub-transfer","page_number":148,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"624d0975-6b60-4495-88c7-e6668f3083a7","block_type":"box","text":"agency,” “sub-accounting,” “networking” and/or “administrative” services. Additional Payments may exceed amounts","page_number":148,"box":{"x":69,"y":718,"width":837,"height":11}},{"id":"1033ba56-a6b9-49dc-9153-739624d2e3cc","block_type":"box","text":"that would be earned on these assets by the Transfer Agent for the performance of these or similar services. These","page_number":148,"box":{"x":68,"y":732,"width":828,"height":12}},{"id":"1d68eeab-1a19-4829-874d-972315945d53","block_type":"box","text":"Additional Payments made by BlackRock are in addition to any transfer agent, shareholder servicing and transaction","page_number":148,"box":{"x":68,"y":748,"width":827,"height":11}},{"id":"11a179dc-f74a-4c0f-9199-d81f4a7fb806","block_type":"box","text":"processing fees paid by a Fund, as applicable.","page_number":148,"box":{"x":70,"y":763,"width":328,"height":11}},{"id":"6c7ca831-1f9e-4529-955b-651406851324","block_type":"box","text":"C. Data Provision and Technology Suppor t","page_number":148,"box":{"x":102,"y":786,"width":299,"height":11}},{"id":"5f7c4f3a-c7be-478a-a5c7-b506619b6d14","block_type":"box","text":"BlackRock may make Additional Payments to Service Organizations for the provision of certain analytical or other","page_number":148,"box":{"x":102,"y":808,"width":805,"height":11}},{"id":"6b59e71a-92bb-4467-b7d6-2227da9e4a16","block_type":"box","text":"data services relating to the Funds, such as statistical information regarding sales of the Funds, or technology","page_number":148,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"477dd306-d352-4444-99d8-6a6de4c1500a","block_type":"box","text":"support. Such Additional Payments are generally made as a fixed dollar amount, and not based on assets or sales.","page_number":148,"box":{"x":69,"y":838,"width":821,"height":12}},{"id":"fc50f081-152d-44a1-b769-7989920e8f16","block_type":"box","text":"D. Service Organizations Receiving Additional Payments","page_number":148,"box":{"x":102,"y":861,"width":397,"height":11}},{"id":"ae6810cb-305a-4386-a3fe-b830d9f289a5","block_type":"box","text":"As of the date of this SAI, the Service Organizations listed below, and, in some cases, certain of the Service","page_number":148,"box":{"x":101,"y":884,"width":774,"height":11}},{"id":"b24be351-9c2f-4cb9-9253-9888880fb0c9","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":148,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"a858a15b-a41e-443d-ba47-f3224afb2902","block_type":"box","text":"II-110","page_number":148,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"c9ab4b3a-e415-4eb1-8ce0-92d1603f8013","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":148,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3e54ff5f-62b7-4dc0-8adf-381680e10993","block_type":"box","text":"and BlackRock may pay Service Organizations or their affiliates additional types of Additional Payments in the future.","page_number":149,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"b48419ee-0e3f-42a6-a120-c8b1edf6b9a5","block_type":"box","text":"Please contact your Service Organization to determine whether it or its affiliate currently may be receiving such","page_number":149,"box":{"x":69,"y":60,"width":791,"height":11}},{"id":"6450021d-d308-45ff-bb4d-481f9e3ee4a8","block_type":"box","text":"payments and to obtain further information regarding any such payments.","page_number":149,"box":{"x":70,"y":75,"width":523,"height":11}},{"id":"23173264-4ee2-41c3-bffe-6b173d8681fb","block_type":"box","text":"&Partners","page_number":149,"box":{"x":69,"y":106,"width":71,"height":9}},{"id":"1cbde3b4-8c71-4966-8c91-b0fb74d18122","block_type":"box","text":"AccuTech Systems Corporation","page_number":149,"box":{"x":68,"y":127,"width":219,"height":11}},{"id":"49200e2a-482b-4fe2-9956-f9273da8d262","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":149,"box":{"x":68,"y":147,"width":164,"height":10}},{"id":"480615c5-1855-430c-a0e1-5636711138b5","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":149,"box":{"x":68,"y":167,"width":207,"height":11}},{"id":"7267d911-d45e-408c-a404-4870a3dae155","block_type":"box","text":"Advisor Group, Inc.","page_number":149,"box":{"x":68,"y":187,"width":133,"height":11}},{"id":"188f932b-5522-4e7d-af65-e18b0b36bffb","block_type":"box","text":"AE Wealth Management, LLC","page_number":149,"box":{"x":68,"y":207,"width":205,"height":11}},{"id":"7b6a8609-02f8-4d66-bcbe-5c754f34c328","block_type":"box","text":"Alight Solutions LLC","page_number":149,"box":{"x":68,"y":227,"width":142,"height":12}},{"id":"6614afc3-436b-4b67-ab91-f284ce7328b7","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":149,"box":{"x":68,"y":247,"width":246,"height":11}},{"id":"7bd7a62c-2f17-4a52-a125-840a952e5d98","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":149,"box":{"x":68,"y":268,"width":310,"height":11}},{"id":"0dd86863-bd44-49b6-ac90-37d1da2bfc12","block_type":"box","text":"Allianz Life Insurance Company of North America","page_number":149,"box":{"x":68,"y":288,"width":346,"height":11}},{"id":"493289a4-e84a-467b-8c8d-599e2e2199e9","block_type":"box","text":"Altruist Financial LLC","page_number":149,"box":{"x":68,"y":308,"width":149,"height":9}},{"id":"a2b3759a-f185-4636-9f67-9ef6abaa8ed1","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":149,"box":{"x":68,"y":328,"width":328,"height":11}},{"id":"b296ef74-007c-4057-a012-1ea5e8e9c791","block_type":"box","text":"American General Life Insurance Company","page_number":149,"box":{"x":68,"y":348,"width":302,"height":11}},{"id":"2f1a9101-3d53-4100-bbd8-3adbaac63ac5","block_type":"box","text":"American United Life Insurance Company","page_number":149,"box":{"x":68,"y":368,"width":293,"height":12}},{"id":"bd1589a2-e105-43ff-8c7e-962be07c134a","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":149,"box":{"x":68,"y":389,"width":298,"height":11}},{"id":"ba1c1f20-b8a4-4550-9b30-026cd1e799a1","block_type":"box","text":"Anthem Securities LLC","page_number":149,"box":{"x":68,"y":409,"width":161,"height":9}},{"id":"a7cfb4ee-2c8d-4b05-a8cf-5f75459b997e","block_type":"box","text":"Argent Institutional Trust Company","page_number":149,"box":{"x":68,"y":429,"width":246,"height":11}},{"id":"1716d76f-dc3c-4aac-a410-46413ea2b2e5","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":149,"box":{"x":68,"y":449,"width":272,"height":11}},{"id":"5d41930a-5ea8-4a05-bd7e-3988b778bddb","block_type":"box","text":"Ascensus, Inc.","page_number":149,"box":{"x":68,"y":469,"width":103,"height":11}},{"id":"d74b1296-8a9b-47e0-adbb-e254eca6a7a8","block_type":"box","text":"Atomic Brokerage LLC","page_number":149,"box":{"x":68,"y":489,"width":156,"height":12}},{"id":"ff13ed20-f636-49d3-8475-af3fb8869350","block_type":"box","text":"Avantax Investment Services, LLC","page_number":149,"box":{"x":68,"y":510,"width":241,"height":10}},{"id":"ee936896-44f7-4f38-baf9-753f6ae7a676","block_type":"box","text":"Bancroft Capital LLC","page_number":149,"box":{"x":70,"y":530,"width":143,"height":11}},{"id":"41886d2f-5b31-48e6-a28c-b8333669adec","block_type":"box","text":"Bank of America, N.A.","page_number":149,"box":{"x":70,"y":550,"width":153,"height":10}},{"id":"4f68651b-2bbe-4031-a6be-29805938a783","block_type":"box","text":"Bank of New York Mellon","page_number":149,"box":{"x":70,"y":570,"width":174,"height":9}},{"id":"e5a297e0-34ea-4764-bedc-35e253d70b52","block_type":"box","text":"Barclays Capital Inc.","page_number":149,"box":{"x":70,"y":590,"width":142,"height":11}},{"id":"3afcbfd4-4d32-442b-aaf5-d40f7362ff7c","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":149,"box":{"x":70,"y":610,"width":299,"height":11}},{"id":"6d81d24b-465c-4efa-804a-c98ba801c626","block_type":"box","text":"Benefit Trust Company","page_number":149,"box":{"x":70,"y":630,"width":160,"height":12}},{"id":"796ff7b6-ac8c-4e6e-8400-bb05a62c26fd","block_type":"box","text":"Beta Capital Securities LLC","page_number":149,"box":{"x":70,"y":651,"width":192,"height":11}},{"id":"47a9541a-49a8-449b-ae23-fdde49a1569f","block_type":"box","text":"bfinance US Ltd.","page_number":149,"box":{"x":69,"y":671,"width":116,"height":9}},{"id":"03cf59d2-cb67-47f8-8fcc-7a6092851b9e","block_type":"box","text":"BlackRock Advisors, LLC","page_number":149,"box":{"x":70,"y":691,"width":172,"height":10}},{"id":"f5da8cae-5313-4914-9a41-11d0008f318b","block_type":"box","text":"BMO Capital Markets Corp.","page_number":149,"box":{"x":70,"y":711,"width":191,"height":11}},{"id":"a9ee1bb8-bc9f-49f1-abab-91638aee5a73","block_type":"box","text":"BNP Paribas","page_number":149,"box":{"x":70,"y":731,"width":86,"height":9}},{"id":"9ba537d3-4a23-405d-81a1-69006291684f","block_type":"box","text":"BNP Paribas Investment Partners UK Limited","page_number":149,"box":{"x":70,"y":752,"width":318,"height":8}},{"id":"f858314e-80b8-414a-89ef-d97548d1ccbe","block_type":"box","text":"BNY Mellon, N.A.","page_number":149,"box":{"x":70,"y":772,"width":119,"height":10}},{"id":"8e7953ee-c1fe-466e-a44b-7d162c9407bd","block_type":"box","text":"BofA Securities, Inc.","page_number":149,"box":{"x":70,"y":792,"width":141,"height":10}},{"id":"e3a59adb-ac9c-424a-845b-763a3945f651","block_type":"box","text":"BOKF, N.A.","page_number":149,"box":{"x":70,"y":812,"width":74,"height":10}},{"id":"a0c9c750-0254-48fe-9a06-cd0eb6c5ca5b","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":149,"box":{"x":70,"y":832,"width":259,"height":11}},{"id":"da4777e9-0695-495b-91b7-db2acd02c73a","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":149,"box":{"x":70,"y":852,"width":302,"height":11}},{"id":"2f88eff8-a4fa-420c-9cb6-285289d530eb","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":149,"box":{"x":70,"y":872,"width":333,"height":12}},{"id":"57cbfaf4-007a-46cd-836b-3845b4c98805","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":149,"box":{"x":70,"y":893,"width":222,"height":9}},{"id":"caaedced-0fec-48c7-9453-219b120f2bca","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":149,"box":{"x":69,"y":913,"width":208,"height":11}},{"id":"eeaa2e58-9e60-488c-9cbd-b695bb2b6f94","block_type":"box","text":"Capital One, N.A.","page_number":149,"box":{"x":509,"y":106,"width":120,"height":11}},{"id":"96f5ba7a-a178-4d41-aa55-af372a58a54a","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":149,"box":{"x":509,"y":127,"width":204,"height":9}},{"id":"b745a0a4-5a74-4bdf-a834-4a0db78681bf","block_type":"box","text":"Cetera Advisors LLC","page_number":149,"box":{"x":509,"y":147,"width":142,"height":9}},{"id":"a8b395a7-592a-45e1-8bc5-cc6f0359c493","block_type":"box","text":"Cetera Financial Group","page_number":149,"box":{"x":509,"y":167,"width":161,"height":11}},{"id":"8d7964c1-4733-4618-8ca9-d4550d244675","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":149,"box":{"x":509,"y":187,"width":228,"height":11}},{"id":"8f07fbad-c108-48d7-ad46-0326c61c8789","block_type":"box","text":"Cetera Investment Services LLC","page_number":149,"box":{"x":509,"y":207,"width":227,"height":9}},{"id":"bfe338b0-0057-4921-8db1-7c0bd1981fa4","block_type":"box","text":"CF Secured, LLC","page_number":149,"box":{"x":509,"y":227,"width":116,"height":11}},{"id":"42f04f42-5075-457a-b760-d5d09a68cadc","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":149,"box":{"x":509,"y":248,"width":192,"height":10}},{"id":"faaaadd3-4723-400c-8617-b708232c27ed","block_type":"box","text":"Charles Schwab Trust Bank","page_number":149,"box":{"x":509,"y":268,"width":195,"height":9}},{"id":"8faf9ef8-94dc-4e6e-81a7-8db16b48c156","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":149,"box":{"x":509,"y":288,"width":237,"height":11}},{"id":"d841ada1-135e-440e-aeaa-c59966d10089","block_type":"box","text":"CIM Investment Management, Inc.","page_number":149,"box":{"x":509,"y":308,"width":243,"height":11}},{"id":"c7c51bed-ef53-437c-b496-0d1be27b759b","block_type":"box","text":"Citco Securities, LLC","page_number":149,"box":{"x":509,"y":328,"width":147,"height":11}},{"id":"81eab00d-97e8-4c3b-a4de-2af1e3fba857","block_type":"box","text":"CitiBank, National Association","page_number":149,"box":{"x":509,"y":348,"width":213,"height":11}},{"id":"25cf3ea4-3bb4-41b4-b8c0-e00cd5cff003","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":149,"box":{"x":509,"y":369,"width":210,"height":11}},{"id":"27562a7e-c836-47cd-b10e-abed86fa31d2","block_type":"box","text":"Citizens Bank","page_number":149,"box":{"x":509,"y":389,"width":96,"height":9}},{"id":"14d8aafb-a80f-4d01-b6e2-29d6acb1c758","block_type":"box","text":"Citizens Business Bank","page_number":149,"box":{"x":509,"y":409,"width":167,"height":9}},{"id":"a381be49-4d68-4136-a2a7-4af140758027","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":149,"box":{"x":509,"y":429,"width":224,"height":11}},{"id":"231f7ab7-7749-4639-9791-d129c55f30ac","block_type":"box","text":"CMFG Life Insurance Company","page_number":149,"box":{"x":509,"y":449,"width":217,"height":11}},{"id":"f7134a1c-b29e-4b61-be0f-a39c82f8a481","block_type":"box","text":"Comerica Bank","page_number":149,"box":{"x":509,"y":469,"width":107,"height":9}},{"id":"f61e9221-07d7-46ec-b7c5-7b4ba68a8f35","block_type":"box","text":"Commonwealth Financial Network","page_number":149,"box":{"x":509,"y":489,"width":239,"height":9}},{"id":"e3f3acbc-943d-4b7d-9330-e73526fe6b98","block_type":"box","text":"Computershare Trust Company","page_number":149,"box":{"x":509,"y":510,"width":220,"height":11}},{"id":"75607796-82dc-4ebb-8a3b-4390423a9524","block_type":"box","text":"Conduent HR Services, LLC","page_number":149,"box":{"x":509,"y":530,"width":196,"height":10}},{"id":"f0ad4682-cf56-4b4b-bdf9-31ec6baf6785","block_type":"box","text":"Delaware Life Insurance Company","page_number":149,"box":{"x":510,"y":550,"width":240,"height":11}},{"id":"30279d18-2624-462d-bf01-d90435aff10b","block_type":"box","text":"Delaware Trust Company","page_number":149,"box":{"x":510,"y":570,"width":176,"height":11}},{"id":"ee212dae-f6ac-40b5-bc52-64e4abc16a0a","block_type":"box","text":"Deutsche Bank AG","page_number":149,"box":{"x":510,"y":590,"width":131,"height":9}},{"id":"2fcf99f4-0ffb-4b07-a066-26e051407852","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":149,"box":{"x":510,"y":610,"width":288,"height":11}},{"id":"f66e190d-be61-4332-8a39-68777016ed49","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":149,"box":{"x":510,"y":631,"width":232,"height":11}},{"id":"8ec63543-d6d5-455c-8851-14b574e45156","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":149,"box":{"x":510,"y":651,"width":337,"height":10}},{"id":"8bdb473b-8d6c-4c5b-8ae4-95d152ddbff8","block_type":"box","text":"Dynasty Financial Partners LLC","page_number":149,"box":{"x":510,"y":671,"width":218,"height":11}},{"id":"52867a57-1d94-4efc-acd2-56cb352f09fb","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":149,"box":{"x":510,"y":691,"width":196,"height":10}},{"id":"c4012a50-a385-42af-b97d-f07bed2b4ae9","block_type":"box","text":"Empire Fidelity Investments Life Insurance Company","page_number":149,"box":{"x":510,"y":711,"width":370,"height":11}},{"id":"72daee20-9876-4616-9465-914587c22012","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":149,"box":{"x":510,"y":731,"width":345,"height":11}},{"id":"17cc264e-200d-4024-a12a-ef229379b590","block_type":"box","text":"Empower Financial Services, Inc.","page_number":149,"box":{"x":510,"y":752,"width":232,"height":10}},{"id":"d036e1a3-23dc-4160-8e11-cfc1484cde10","block_type":"box","text":"Empower Life & Annuity Insurance Company of New","page_number":149,"box":{"x":510,"y":772,"width":365,"height":11}},{"id":"de825cdf-615b-4a3e-b4cf-37b4be42f256","block_type":"box","text":"York","page_number":149,"box":{"x":509,"y":787,"width":29,"height":9}},{"id":"8e293265-2403-47a1-b2d2-b6e7f55e38e9","block_type":"box","text":"Empower Plan Services, LLC","page_number":149,"box":{"x":510,"y":807,"width":201,"height":11}},{"id":"8d93eecf-7030-4628-b53d-99f2221c0cd1","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":149,"box":{"x":510,"y":827,"width":246,"height":11}},{"id":"84a30964-25e8-41b4-ba61-c666160221c3","block_type":"box","text":"Equitable Advisors, LLC","page_number":149,"box":{"x":510,"y":847,"width":165,"height":11}},{"id":"0f0bafd7-b4df-42da-b154-41ed741beb46","block_type":"box","text":"Equitable Life Insurance Company","page_number":149,"box":{"x":510,"y":867,"width":240,"height":11}},{"id":"d17420a5-284e-41f1-9039-6e2dbe434de3","block_type":"box","text":"E*trade Savings Bank","page_number":149,"box":{"x":510,"y":888,"width":155,"height":11}},{"id":"abc92ac0-cadf-4955-8e93-7f421fe52e96","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":149,"box":{"x":510,"y":908,"width":271,"height":11}},{"id":"95c736da-72ad-4267-84e2-35339fad6dd1","block_type":"box","text":"II-111","page_number":149,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"34ecc6cc-1f22-4cc3-8678-7554d45e7a9c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":149,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a1e33c69-771b-4c23-9d48-610169e00ece","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":150,"box":{"x":70,"y":45,"width":222,"height":11}},{"id":"3f525669-71fc-4187-8e2e-904b80661897","block_type":"box","text":"Fidelity Investments Institutional Operations Company,","page_number":150,"box":{"x":70,"y":65,"width":384,"height":11}},{"id":"37235c66-fb96-42db-8753-03a684b2af30","block_type":"box","text":"Inc.","page_number":150,"box":{"x":70,"y":80,"width":23,"height":9}},{"id":"bed5051f-4deb-49dc-99a8-12c4a7e13d9a","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":150,"box":{"x":70,"y":100,"width":316,"height":11}},{"id":"0f49f25d-8f1f-4ac7-9430-b0cdcf348221","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":150,"box":{"x":70,"y":120,"width":179,"height":11}},{"id":"ba8392a5-c33a-4b14-a4e8-000007aa60d1","block_type":"box","text":"First Allied Securities, Inc.","page_number":150,"box":{"x":70,"y":140,"width":182,"height":11}},{"id":"a5d72aac-043e-4918-ba5c-d58da1b311e0","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":150,"box":{"x":70,"y":161,"width":273,"height":11}},{"id":"a92c17ba-1d8d-412d-8d3d-a991f13af2aa","block_type":"box","text":"First Hawaiian Bank","page_number":150,"box":{"x":70,"y":181,"width":139,"height":9}},{"id":"641795e9-a0ef-4e53-9322-42a62b1d4ccf","block_type":"box","text":"First Republic Bank","page_number":150,"box":{"x":70,"y":201,"width":135,"height":11}},{"id":"fd323d10-0617-4c6e-949e-37d0cfe9f2ae","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":150,"box":{"x":70,"y":221,"width":339,"height":11}},{"id":"b4eb9463-49c9-4992-b5db-5f4e0d8ee998","block_type":"box","text":"Company of New York","page_number":150,"box":{"x":69,"y":236,"width":153,"height":11}},{"id":"e1519938-215d-475e-a9c5-6d6dea709c8e","block_type":"box","text":"First Symetra National Life Insurance Company of New","page_number":150,"box":{"x":70,"y":256,"width":385,"height":11}},{"id":"1332a77d-2484-45a1-a7e7-f43ee947db03","block_type":"box","text":"York","page_number":150,"box":{"x":68,"y":272,"width":30,"height":8}},{"id":"f64d9d70-ab0c-42b5-9a43-eb2c6bbcb668","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":150,"box":{"x":70,"y":292,"width":257,"height":11}},{"id":"ce8a1c2a-ff32-421b-9e5d-655b1fe41b43","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":150,"box":{"x":70,"y":312,"width":287,"height":11}},{"id":"2cb9db7a-626b-4046-ae20-dcca1506ab46","block_type":"box","text":"FNEX Capital, LLC","page_number":150,"box":{"x":70,"y":332,"width":125,"height":11}},{"id":"6488e5de-f800-4678-afe7-2ce6cd348f1f","block_type":"box","text":"Forethought Life Insurance Company","page_number":150,"box":{"x":70,"y":352,"width":259,"height":11}},{"id":"3a2d734f-0a7a-42ab-84ac-3071ce399f76","block_type":"box","text":"FSC Securities Corporation","page_number":150,"box":{"x":70,"y":372,"width":189,"height":11}},{"id":"8c66d8a4-2da8-461d-bf54-d2d5a48fdab5","block_type":"box","text":"Genworth Life and Annuity Insurance Company","page_number":150,"box":{"x":69,"y":392,"width":331,"height":12}},{"id":"1a06b653-1279-47d0-a4bd-68cd402fff5c","block_type":"box","text":"Genworth Life Insurance Company of New York","page_number":150,"box":{"x":69,"y":412,"width":332,"height":12}},{"id":"135c18ac-11d1-4c42-b6c5-aa5e26bda071","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":150,"box":{"x":69,"y":433,"width":225,"height":10}},{"id":"bef9c091-7cbd-494d-8767-505559b72b5c","block_type":"box","text":"Goldman Sachs & Co.","page_number":150,"box":{"x":69,"y":453,"width":155,"height":9}},{"id":"1e1ef21c-b277-426f-b01c-aaabdc93e6e9","block_type":"box","text":"Great Pacific Securities, LLC","page_number":150,"box":{"x":69,"y":473,"width":201,"height":10}},{"id":"00de198d-b6d8-4960-adca-72df0335f69c","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":150,"box":{"x":69,"y":493,"width":273,"height":11}},{"id":"fa9a36cb-30e9-46d7-86f1-28a6c6950560","block_type":"box","text":"Hancock Whitney Bank","page_number":150,"box":{"x":70,"y":514,"width":161,"height":10}},{"id":"48b82b27-df61-4dcd-99ca-30370c3f690c","block_type":"box","text":"Hartford Funds Management Company","page_number":150,"box":{"x":70,"y":533,"width":274,"height":12}},{"id":"fddf71d8-2d40-4a3f-a972-c3487a9f414a","block_type":"box","text":"Hartford Securities Distribution Company, Inc.","page_number":150,"box":{"x":70,"y":554,"width":324,"height":11}},{"id":"c4c6de90-419a-4fc3-979d-20823cdb5a10","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":150,"box":{"x":70,"y":574,"width":206,"height":10}},{"id":"ea771620-b02b-4979-9f84-3adb5464d73d","block_type":"box","text":"Hightower Securities, Inc.","page_number":150,"box":{"x":70,"y":594,"width":179,"height":11}},{"id":"bb644585-1c64-45a9-8705-eff0af28bfdd","block_type":"box","text":"Hilltop Securities Inc.","page_number":150,"box":{"x":70,"y":614,"width":149,"height":11}},{"id":"409d3433-5881-4024-8886-4a915cbd0403","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":150,"box":{"x":70,"y":634,"width":153,"height":11}},{"id":"46c42b7b-7d5a-4db5-84e9-bf563ebb7af0","block_type":"box","text":"Huntington Securities, Inc.","page_number":150,"box":{"x":70,"y":655,"width":186,"height":11}},{"id":"4aaaa336-7c49-4afb-8189-426ae8bbbc19","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":150,"box":{"x":70,"y":675,"width":247,"height":10}},{"id":"c1e5f5f5-8b9c-4d7d-952c-cbf1c445cfab","block_type":"box","text":"Integrity Life Insurance Company","page_number":150,"box":{"x":70,"y":695,"width":230,"height":11}},{"id":"cdfef9a1-a309-4257-988e-fb89a5c35a06","block_type":"box","text":"Interactive Brokers, LLC","page_number":150,"box":{"x":70,"y":715,"width":168,"height":10}},{"id":"a5154355-7fed-4f4b-8cda-4770dc75daf3","block_type":"box","text":"Investment Trust of California","page_number":150,"box":{"x":70,"y":735,"width":208,"height":9}},{"id":"0546d7a0-2b3e-4d05-9a88-69ba369a8b40","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":150,"box":{"x":69,"y":755,"width":292,"height":11}},{"id":"4fa996ee-542f-4f78-b90c-ef07357d6386","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":150,"box":{"x":69,"y":775,"width":188,"height":12}},{"id":"7ae30f5a-64d6-43f9-8a66-e25aabfa9ecc","block_type":"box","text":"Jefferies LLC","page_number":150,"box":{"x":69,"y":795,"width":91,"height":9}},{"id":"93e8351c-3e27-48fe-b6d0-7ffe6ee60ed8","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":150,"box":{"x":69,"y":816,"width":305,"height":11}},{"id":"22332f34-ef9f-41ec-a70e-6527e952cc90","block_type":"box","text":"Jefferson National Life Insurance Company of New York","page_number":150,"box":{"x":69,"y":836,"width":394,"height":11}},{"id":"23c052e0-b626-43e8-adaa-5f02863082c8","block_type":"box","text":"John Hancock Life Insurance Company (U.S.A.)","page_number":150,"box":{"x":69,"y":856,"width":332,"height":11}},{"id":"16e821ef-f8b5-4383-8c0a-00e60849a04f","block_type":"box","text":"John Hancock Life Insurance Company of New York","page_number":150,"box":{"x":69,"y":876,"width":362,"height":11}},{"id":"855465cd-4728-40ca-ad2f-9308149ad843","block_type":"box","text":"John Hancock Trust Company","page_number":150,"box":{"x":69,"y":896,"width":209,"height":11}},{"id":"b33db7d7-a091-406c-93bf-f7e9c684b4a1","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":150,"box":{"x":509,"y":45,"width":197,"height":11}},{"id":"4a763e4c-94e5-4530-a28e-fccfdac5fe42","block_type":"box","text":"Kestra Investment Services, LLC","page_number":150,"box":{"x":510,"y":65,"width":231,"height":10}},{"id":"6ba8c587-81b6-419f-b0b8-29c384dff545","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":150,"box":{"x":510,"y":85,"width":267,"height":11}},{"id":"72f05478-2337-4592-9e49-9147b91c2af6","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":150,"box":{"x":510,"y":105,"width":278,"height":11}},{"id":"c7357bae-e243-479f-950d-669b7dffa208","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":150,"box":{"x":510,"y":125,"width":310,"height":11}},{"id":"b9cdf68f-10bb-4cd3-87d0-f693a501ee9e","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":150,"box":{"x":510,"y":145,"width":288,"height":12}},{"id":"b19bab67-2e22-4421-934c-e17b1c8b661f","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":150,"box":{"x":510,"y":166,"width":229,"height":9}},{"id":"291768b6-bd94-48f3-891b-fe85633c9477","block_type":"box","text":"Lombard International Life Assurance Company","page_number":150,"box":{"x":510,"y":186,"width":336,"height":11}},{"id":"de8067c8-b6c2-4e1f-a8ce-5b1fcbc4e326","block_type":"box","text":"LPL Financial LLC","page_number":150,"box":{"x":510,"y":206,"width":122,"height":9}},{"id":"723065ee-8ebf-41a0-acd0-f889fa46619c","block_type":"box","text":"M&T Securities Inc.","page_number":150,"box":{"x":510,"y":226,"width":136,"height":9}},{"id":"d8ea8279-3336-4120-a2eb-61aaea60bdeb","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":150,"box":{"x":510,"y":246,"width":302,"height":11}},{"id":"75c655d8-8966-4c59-939d-78b41cfde7ce","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":150,"box":{"x":510,"y":266,"width":338,"height":12}},{"id":"e11f225f-4ef3-4cad-8e18-7136c4b367c1","block_type":"box","text":"Members Life Insurance Company","page_number":150,"box":{"x":510,"y":286,"width":241,"height":12}},{"id":"34a166f2-f3d1-45a7-a094-870f5044cf83","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":150,"box":{"x":510,"y":307,"width":356,"height":11}},{"id":"7a92a699-6c78-426e-a059-f8e514536b1b","block_type":"box","text":"Metavante Corporation","page_number":150,"box":{"x":510,"y":327,"width":160,"height":11}},{"id":"30207e55-6c95-4795-b264-943346b7803f","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":150,"box":{"x":510,"y":347,"width":264,"height":11}},{"id":"72b14d80-7e0f-4958-881d-76170de59624","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":150,"box":{"x":510,"y":367,"width":330,"height":11}},{"id":"dcf6774d-656e-4483-8d58-c8da1dc27fde","block_type":"box","text":"Midland Life Insurance Company","page_number":150,"box":{"x":510,"y":387,"width":231,"height":11}},{"id":"22ba7b4c-0537-4d72-ba9a-bd821c623c45","block_type":"box","text":"Minnesota Life Insurance Company","page_number":150,"box":{"x":510,"y":407,"width":249,"height":12}},{"id":"271bb942-41dc-4699-b11d-594bbf816b53","block_type":"box","text":"Mischler Financial Group","page_number":150,"box":{"x":510,"y":428,"width":173,"height":11}},{"id":"e0b8cb00-193e-4a71-b7fd-4ad992d1080f","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":150,"box":{"x":510,"y":448,"width":189,"height":9}},{"id":"2cce008b-44e4-4025-9a4c-ffdcea9c589d","block_type":"box","text":"MML Distributors, LLC","page_number":150,"box":{"x":510,"y":468,"width":157,"height":10}},{"id":"05eb21f4-0310-41bf-97e4-e71ea314f80b","block_type":"box","text":"MML Investors Services, LLC","page_number":150,"box":{"x":510,"y":488,"width":206,"height":11}},{"id":"326b4826-f02d-45c7-8603-5303eb48a357","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":150,"box":{"x":510,"y":508,"width":185,"height":12}},{"id":"de9c10e8-29f7-40f4-adfa-e3344023d9fc","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":150,"box":{"x":510,"y":529,"width":230,"height":11}},{"id":"3a229d95-2631-48ee-a767-08b2b118f9ec","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":150,"box":{"x":510,"y":549,"width":240,"height":11}},{"id":"210557d7-f442-415d-85c8-cad7b6ae2bf3","block_type":"box","text":"MUFG Union Bank, National Association","page_number":150,"box":{"x":510,"y":569,"width":282,"height":10}},{"id":"361c856f-b740-4b82-b66d-6662ddafbef5","block_type":"box","text":"Nassau Life Insurance Company","page_number":150,"box":{"x":510,"y":589,"width":228,"height":11}},{"id":"433f297e-d474-4b15-a60c-a7da34565d92","block_type":"box","text":"National Financial Services LLC","page_number":150,"box":{"x":510,"y":609,"width":222,"height":9}},{"id":"cd7dcd07-b0f3-4b52-8bff-d05930633fe0","block_type":"box","text":"National Integrity Life Insurance Company","page_number":150,"box":{"x":510,"y":629,"width":295,"height":11}},{"id":"534f4ff1-fb35-405a-b113-e3cfba5304ce","block_type":"box","text":"National Life Insurance Company","page_number":150,"box":{"x":510,"y":649,"width":233,"height":12}},{"id":"37a0c296-7c44-4041-b2ae-7d1122c34d60","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":150,"box":{"x":510,"y":670,"width":245,"height":10}},{"id":"4dc2c641-67df-44a0-bb30-295912f3fc99","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":150,"box":{"x":510,"y":690,"width":234,"height":9}},{"id":"e6261a81-9b68-437e-be4d-ceef480a6aa4","block_type":"box","text":"Nationwide Retirement Solutions","page_number":150,"box":{"x":510,"y":710,"width":231,"height":9}},{"id":"3df30b2d-1b96-4bc0-aaa4-0cb92c3306ef","block_type":"box","text":"NCB Federal Savings Bank","page_number":150,"box":{"x":510,"y":730,"width":187,"height":11}},{"id":"b8934c7d-e052-45ab-bded-5df5a5d7f9dd","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":150,"box":{"x":510,"y":750,"width":289,"height":11}},{"id":"6dc41134-ab4a-4ca6-9325-019f15070918","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":150,"box":{"x":510,"y":770,"width":343,"height":11}},{"id":"66f73869-c4b3-41d4-9c97-24b94e1c2c9d","block_type":"box","text":"Newport Retirement Services, Inc.","page_number":150,"box":{"x":510,"y":791,"width":242,"height":10}},{"id":"a67db5fd-53d8-4c05-ae9a-bdf41d7c5f6a","block_type":"box","text":"Northbrook Bank & Trust Company","page_number":150,"box":{"x":510,"y":811,"width":247,"height":11}},{"id":"54d2c6de-1ab0-4f44-b49e-c6e0b390381e","block_type":"box","text":"Northern Trust Company","page_number":150,"box":{"x":510,"y":831,"width":173,"height":11}},{"id":"f9659699-e4b9-43aa-bc25-9d7f3467455a","block_type":"box","text":"Northwestern Mutual Investment Services, LLC","page_number":150,"box":{"x":510,"y":851,"width":335,"height":10}},{"id":"5e214662-0124-4099-b850-5886f527c52d","block_type":"box","text":"Northwestern Mutual Life Insurance Company","page_number":150,"box":{"x":510,"y":871,"width":325,"height":11}},{"id":"6a008eb2-2f76-4589-8bc2-09096f6c9553","block_type":"box","text":"NYLife Distributors LLC","page_number":150,"box":{"x":510,"y":891,"width":162,"height":9}},{"id":"9b966adb-cde2-4eed-b13d-97962ce16571","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":150,"box":{"x":509,"y":912,"width":173,"height":10}},{"id":"5b6bf255-e930-41b1-bea7-26fa01bf2752","block_type":"box","text":"II-112","page_number":150,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"b4688f33-3c0f-47e7-82ec-666dcbbb9e70","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":150,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"347235e8-db0f-48d6-a08f-c4a2bb692f96","block_type":"box","text":"Orion Advisor Services, LLC","page_number":151,"box":{"x":69,"y":45,"width":195,"height":10}},{"id":"16c82c44-dc6a-44d2-b6fb-15ab02564a27","block_type":"box","text":"Osaic Wealth, Inc.","page_number":151,"box":{"x":69,"y":65,"width":127,"height":10}},{"id":"10b575f5-769a-40ad-bca9-8fd5c5c424ec","block_type":"box","text":"Pacific Life & Annuity Company","page_number":151,"box":{"x":69,"y":85,"width":219,"height":11}},{"id":"857a79f1-fcad-4604-ba9f-d82b19ef0838","block_type":"box","text":"Pacific Life Insurance Company","page_number":151,"box":{"x":69,"y":105,"width":221,"height":11}},{"id":"e2c35d9e-38b0-4251-9add-8a1d87920372","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":151,"box":{"x":69,"y":125,"width":218,"height":11}},{"id":"154ed6b5-681e-4f8c-935a-2d27ac65c143","block_type":"box","text":"Park Avenue Securities LLC","page_number":151,"box":{"x":69,"y":146,"width":193,"height":8}},{"id":"64dfa785-ac6f-4496-9cec-5b47eefc9a75","block_type":"box","text":"Penserra Securities LLC","page_number":151,"box":{"x":69,"y":166,"width":170,"height":9}},{"id":"0d702ba9-42e2-41b1-8a62-9c87bcdc3b00","block_type":"box","text":"Pershing LLC","page_number":151,"box":{"x":69,"y":186,"width":91,"height":11}},{"id":"48e2a1db-72a3-45f5-a9ab-b6c8ab12300e","block_type":"box","text":"PFPC Inc.","page_number":151,"box":{"x":69,"y":206,"width":65,"height":9}},{"id":"966b4048-3bc2-4fa1-b6f3-bae17fa5dd7e","block_type":"box","text":"Piper Jaffray & Co.","page_number":151,"box":{"x":69,"y":226,"width":130,"height":11}},{"id":"97836ba4-c5e9-41b3-ac78-300ddd19f0b3","block_type":"box","text":"PNC Bank, National Association","page_number":151,"box":{"x":69,"y":246,"width":225,"height":11}},{"id":"66558ca3-cf61-4de1-aaff-8c28175bf656","block_type":"box","text":"PNC Capital Markets LLC","page_number":151,"box":{"x":69,"y":266,"width":177,"height":11}},{"id":"bee577b1-279f-4e1a-816d-3040ccc324c8","block_type":"box","text":"PNC Investments LLC","page_number":151,"box":{"x":69,"y":287,"width":152,"height":9}},{"id":"9ff1bd54-f2b8-493c-ac18-659030646e00","block_type":"box","text":"Principal Bank","page_number":151,"box":{"x":69,"y":307,"width":100,"height":11}},{"id":"f76f8848-b2df-4c60-9501-8abb30ab3e9b","block_type":"box","text":"Principal Life Insurance Company","page_number":151,"box":{"x":69,"y":327,"width":235,"height":11}},{"id":"b5e265fb-de6c-4b8b-a493-22fc11f5961d","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":151,"box":{"x":69,"y":347,"width":333,"height":11}},{"id":"bbf32043-1a43-475f-a413-03e249251b4c","block_type":"box","text":"Protective Life Insurance Company","page_number":151,"box":{"x":69,"y":367,"width":245,"height":11}},{"id":"e2e3b434-a9fa-4a11-baa5-d4030d330acc","block_type":"box","text":"Pruco Life Insurance Company","page_number":151,"box":{"x":69,"y":387,"width":215,"height":11}},{"id":"586e4421-c55a-43b7-92f5-f48193707a2c","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":151,"box":{"x":69,"y":407,"width":319,"height":12}},{"id":"208b358b-df6a-4e8d-ad69-2712bf2fb228","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":151,"box":{"x":69,"y":428,"width":264,"height":10}},{"id":"23635294-7189-4d6e-b5a4-39b17a2f63fe","block_type":"box","text":"Prudential Insurance Company of America","page_number":151,"box":{"x":69,"y":448,"width":296,"height":11}},{"id":"43b935c2-feaa-44eb-bd65-d28d3a77cbba","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":151,"box":{"x":70,"y":468,"width":248,"height":11}},{"id":"a2d63c5a-5899-48f8-9637-d9a3a67d70b8","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":151,"box":{"x":70,"y":488,"width":283,"height":11}},{"id":"9480447c-7735-4751-a077-1367680d9c9f","block_type":"box","text":"RBC Capital Markets, LLC","page_number":151,"box":{"x":70,"y":508,"width":181,"height":11}},{"id":"e789adfd-3c64-4215-88d0-d6fcd079cbdf","block_type":"box","text":"Regions Bank","page_number":151,"box":{"x":70,"y":529,"width":96,"height":11}},{"id":"fde4620a-02f6-49aa-b3ed-53b4386f7660","block_type":"box","text":"Reliance Trust Company","page_number":151,"box":{"x":70,"y":549,"width":170,"height":11}},{"id":"1fb046cc-e695-4dbd-9455-88dd41b8fe2b","block_type":"box","text":"Reliastar Life Insurance Company","page_number":151,"box":{"x":70,"y":569,"width":237,"height":11}},{"id":"c1f6bc2e-e50f-4e5c-9f57-d21832531a1f","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":151,"box":{"x":70,"y":589,"width":325,"height":11}},{"id":"381fac29-4fee-416c-a26a-f1ef96cf68c4","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":151,"box":{"x":70,"y":609,"width":205,"height":11}},{"id":"811cf48f-eb34-4ed5-aef2-8f834b9f6eda","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":151,"box":{"x":70,"y":629,"width":306,"height":9}},{"id":"ad028bac-0249-4393-a196-fb6d1eb51eb0","block_type":"box","text":"RiverSource Life Insurance Company","page_number":151,"box":{"x":70,"y":649,"width":259,"height":12}},{"id":"2b222c03-31d0-4cad-a969-3f0585416465","block_type":"box","text":"SagePoint Financial, Inc.","page_number":151,"box":{"x":69,"y":670,"width":173,"height":11}},{"id":"861c705c-e471-464b-9c49-12b682de8d22","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":151,"box":{"x":69,"y":690,"width":260,"height":10}},{"id":"f7965a34-bb12-45bf-a070-1cf6e13b0b61","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":151,"box":{"x":69,"y":710,"width":208,"height":11}},{"id":"9f135bff-575c-4c7b-81c5-3b97a735d687","block_type":"box","text":"Santander Bank, N.A.","page_number":151,"box":{"x":69,"y":730,"width":151,"height":10}},{"id":"61345f58-3abc-4b38-80fb-d4025dea0778","block_type":"box","text":"Saturna Trust Company","page_number":151,"box":{"x":69,"y":750,"width":167,"height":11}},{"id":"61b93593-5efa-477f-a083-dba08be67ec9","block_type":"box","text":"Securities America, Inc.","page_number":151,"box":{"x":69,"y":770,"width":166,"height":11}},{"id":"3b92caa0-1847-4f0e-b5a9-3c02e436cee0","block_type":"box","text":"Securities Finance Trust Company","page_number":151,"box":{"x":69,"y":791,"width":241,"height":11}},{"id":"2e7b68ad-6e1f-40b8-8299-3f362d6da1c0","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":151,"box":{"x":69,"y":811,"width":287,"height":11}},{"id":"c7013a2f-02e0-4a34-aa7e-b42536b02ede","block_type":"box","text":"Security Financial Resources, Inc.","page_number":151,"box":{"x":69,"y":831,"width":238,"height":11}},{"id":"9c6250b5-a0a1-4e80-96f3-fd1754a80d6f","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":151,"box":{"x":69,"y":851,"width":305,"height":11}},{"id":"e074f88f-fdac-40ef-ad4a-24c3843c2cec","block_type":"box","text":"SEI Private Trust Company","page_number":151,"box":{"x":69,"y":871,"width":187,"height":11}},{"id":"bc07e300-3d6c-486f-be97-6d56b34ee4f2","block_type":"box","text":"SG Americas Securities, LLC","page_number":151,"box":{"x":69,"y":891,"width":202,"height":11}},{"id":"a38ef702-0ee1-4012-9203-4c5f45ac873a","block_type":"box","text":"Silicon Valley Bank","page_number":151,"box":{"x":69,"y":912,"width":132,"height":11}},{"id":"cfafc92c-8a53-4725-809e-e6224997827d","block_type":"box","text":"Standard Insurance Company","page_number":151,"box":{"x":509,"y":45,"width":209,"height":11}},{"id":"c5fd8d45-d000-4ba2-bbb1-6e85b8122322","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":151,"box":{"x":509,"y":65,"width":355,"height":11}},{"id":"cdcb8ce5-76f5-426c-aa92-f7d2c6a07528","block_type":"box","text":"State Farm Life Insurance Company","page_number":151,"box":{"x":509,"y":85,"width":254,"height":11}},{"id":"7277a63f-3492-4f3a-9173-b4405632052b","block_type":"box","text":"State Farm VP Management Corp.","page_number":151,"box":{"x":509,"y":105,"width":240,"height":11}},{"id":"f4b089ed-0138-4938-98a8-357e467fa09a","block_type":"box","text":"State Street Bank and Trust Company","page_number":151,"box":{"x":509,"y":125,"width":269,"height":11}},{"id":"3ed590fc-4a75-484c-a281-e3e13bdfbed3","block_type":"box","text":"State Street Global Markets, LLC","page_number":151,"box":{"x":509,"y":146,"width":234,"height":10}},{"id":"133d86c3-0f8e-4c5a-bf10-4026e42b6a5c","block_type":"box","text":"Stern Brothers & Co.","page_number":151,"box":{"x":509,"y":166,"width":147,"height":9}},{"id":"7a3b6f4f-5e30-45e3-8f48-c39f9c2a23cc","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":151,"box":{"x":509,"y":186,"width":291,"height":11}},{"id":"99cba2df-e473-4bcd-9bf3-181bb771d069","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":151,"box":{"x":509,"y":206,"width":232,"height":11}},{"id":"5b793bd9-6678-4407-885f-57fdd9dae125","block_type":"box","text":"SVB Asset Management","page_number":151,"box":{"x":509,"y":226,"width":171,"height":11}},{"id":"80c6618b-5bfa-4eb4-8a2d-0f75d0103354","block_type":"box","text":"Symetra Life Insurance Company","page_number":151,"box":{"x":509,"y":246,"width":234,"height":11}},{"id":"24000f03-0d7e-4993-9853-fb3cbb93cb16","block_type":"box","text":"Syntal Capital Partners, LLC","page_number":151,"box":{"x":509,"y":266,"width":199,"height":12}},{"id":"e050dadc-6d18-4297-999a-36db6a29fb9e","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":151,"box":{"x":509,"y":287,"width":314,"height":10}},{"id":"68857dac-6744-4998-b45e-9d3d092340cb","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance Company","page_number":151,"box":{"x":509,"y":307,"width":390,"height":11}},{"id":"d66eb798-2d20-4c91-999f-e8873ed7f259","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":151,"box":{"x":509,"y":327,"width":302,"height":11}},{"id":"94064e6d-761c-40d3-bfed-f6b788617b34","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":151,"box":{"x":509,"y":347,"width":197,"height":11}},{"id":"c5d8245b-3c17-403d-8a8a-7a3d91d93857","block_type":"box","text":"TD Ameritrade, Inc.","page_number":151,"box":{"x":509,"y":367,"width":135,"height":11}},{"id":"e9bb0e59-f892-4078-b927-2a4684bc8e5c","block_type":"box","text":"TD Prime Services (US) LLC","page_number":151,"box":{"x":509,"y":387,"width":196,"height":11}},{"id":"6a8cc01c-296d-4e9f-b425-813de9930f17","block_type":"box","text":"Teachers Insurance and Annuity Association of America","page_number":151,"box":{"x":509,"y":407,"width":392,"height":12}},{"id":"7eb1482d-0e5a-46e4-a2de-51cc2c5bf863","block_type":"box","text":"Tigress Financial Partners, LLC","page_number":151,"box":{"x":509,"y":428,"width":220,"height":11}},{"id":"ce484bd0-0131-4712-af78-66d4e48ff928","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":151,"box":{"x":509,"y":448,"width":338,"height":11}},{"id":"74bfa840-4e21-4f49-93c0-b2b8ac0df79e","block_type":"box","text":"Transamerica Life Insurance Company","page_number":151,"box":{"x":509,"y":468,"width":271,"height":11}},{"id":"cd75722d-e073-446d-b082-ec73c4f36dc5","block_type":"box","text":"Treasury Brokerage","page_number":151,"box":{"x":509,"y":488,"width":137,"height":11}},{"id":"1ec53386-59c2-4368-8934-02029467777b","block_type":"box","text":"Triad Advisors, LLC","page_number":151,"box":{"x":509,"y":508,"width":134,"height":11}},{"id":"80b80f00-4837-498a-8160-86b64bce4d38","block_type":"box","text":"Truist Bank","page_number":151,"box":{"x":509,"y":529,"width":80,"height":8}},{"id":"0338fa39-3c6d-49d6-8031-a97caee8d57f","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":151,"box":{"x":510,"y":549,"width":218,"height":11}},{"id":"e6405b1a-99b8-422d-8b12-0a334523c3a3","block_type":"box","text":"U.S. Bank, National Association","page_number":151,"box":{"x":510,"y":569,"width":224,"height":10}},{"id":"b4ce9aee-6b22-4063-934b-8577ea910a04","block_type":"box","text":"UBATCO & Co.","page_number":151,"box":{"x":510,"y":589,"width":99,"height":9}},{"id":"e62337b0-de98-48a0-be6a-17bece6e2221","block_type":"box","text":"UBS Financial Services, Inc.","page_number":151,"box":{"x":510,"y":609,"width":197,"height":11}},{"id":"554e3ae7-8c1a-4735-9d49-74181c7b4f31","block_type":"box","text":"UBS Securities LLC","page_number":151,"box":{"x":510,"y":629,"width":136,"height":9}},{"id":"61ef5206-75cd-4fd2-b8eb-59916cfd563b","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":151,"box":{"x":510,"y":649,"width":199,"height":11}},{"id":"0d797b9a-d8b9-45a7-990e-f081471e733a","block_type":"box","text":"UMB Bank, National Association","page_number":151,"box":{"x":510,"y":670,"width":228,"height":10}},{"id":"bbdf24b6-5261-4cc0-87bd-0ae8bd3835b5","block_type":"box","text":"United States Life Insurance Company in the City of","page_number":151,"box":{"x":510,"y":690,"width":367,"height":11}},{"id":"805bcacc-6ae5-4818-9832-5fc6b9397c1a","block_type":"box","text":"New York","page_number":151,"box":{"x":510,"y":705,"width":63,"height":9}},{"id":"2c6c5965-5768-45e3-b972-8b9905178387","block_type":"box","text":"VALIC Retirement Services Company","page_number":151,"box":{"x":509,"y":725,"width":260,"height":11}},{"id":"f3bdcc21-eba7-4383-9c31-8488b09830a6","block_type":"box","text":"Vanguard Group, Inc.","page_number":151,"box":{"x":509,"y":745,"width":147,"height":11}},{"id":"c23010c7-2343-48d1-bb68-e72b33e16e8d","block_type":"box","text":"Vanguard Marketing Corporation","page_number":151,"box":{"x":509,"y":765,"width":227,"height":12}},{"id":"a29daf2a-a192-4b55-a115-6798601a039b","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":151,"box":{"x":509,"y":786,"width":198,"height":11}},{"id":"0ee36aff-66a8-4014-9a13-dab4f9900f46","block_type":"box","text":"Voya Financial Partners, LLC","page_number":151,"box":{"x":509,"y":806,"width":201,"height":11}},{"id":"659b7ca2-adbd-42e2-82ec-e9afbdac4bd0","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":151,"box":{"x":509,"y":826,"width":259,"height":11}},{"id":"e2a8546b-0544-43ad-bdcd-5d7c246e02c0","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":151,"box":{"x":509,"y":846,"width":265,"height":11}},{"id":"ff381b57-9699-49f1-8f37-5b4fb843e4de","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":151,"box":{"x":509,"y":866,"width":238,"height":11}},{"id":"6a99f623-bd94-401c-be50-f2d3e295b18e","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":151,"box":{"x":509,"y":886,"width":348,"height":11}},{"id":"327c21cd-26ff-49ff-bd48-4492006fa361","block_type":"box","text":"Waddell & Reed, Inc.","page_number":151,"box":{"x":509,"y":906,"width":147,"height":11}},{"id":"1e0f9eb2-9aeb-447c-8c29-720adfa47b45","block_type":"box","text":"II-113","page_number":151,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"af1893cd-b014-4d2d-b599-e1e74f610ffd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":151,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4aceb5dd-15a9-419e-b540-d163c6a2dc88","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":152,"box":{"x":68,"y":45,"width":183,"height":11}},{"id":"1d449ff3-5988-4b32-a9f3-f330b79bf580","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":152,"box":{"x":68,"y":65,"width":313,"height":11}},{"id":"5cb584de-4ccf-463c-9bf2-4caaaacdbf4f","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":152,"box":{"x":68,"y":85,"width":161,"height":11}},{"id":"4e42b7e5-7079-4abc-8098-69739a0ac428","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":152,"box":{"x":68,"y":105,"width":247,"height":11}},{"id":"d8955e17-ba10-4567-a1fe-6361134380b3","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":152,"box":{"x":68,"y":125,"width":210,"height":12}},{"id":"fe66499f-f14b-4619-b3ae-08827cb3dcaa","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":152,"box":{"x":509,"y":45,"width":193,"height":11}},{"id":"77ca6938-43fd-4d97-80ce-631614e74d7e","block_type":"box","text":"Wilmington Trust, National Association","page_number":152,"box":{"x":509,"y":65,"width":273,"height":11}},{"id":"72655261-9770-4b0e-8f34-fe10f0d3f00a","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":152,"box":{"x":509,"y":85,"width":238,"height":11}},{"id":"a316c00f-acfa-49ff-b051-f6e32d86a462","block_type":"box","text":"ZB, National Association","page_number":152,"box":{"x":509,"y":105,"width":173,"height":11}},{"id":"a0c92e2d-7efd-4eeb-a6a2-c43107768a69","block_type":"box","text":"E. Sponsorship and Other Incentive Payments and Services","page_number":152,"box":{"x":102,"y":164,"width":423,"height":11}},{"id":"f746821b-0aab-46b9-b48a-9824e419bf80","block_type":"box","text":"In addition to the Additional Payments described above, BlackRock may contribute to various other incentive","page_number":152,"box":{"x":102,"y":187,"width":769,"height":11}},{"id":"69dde302-0fdf-4275-8242-a3d1c75a2a70","block_type":"box","text":"arrangements to promote the sale of shares, including hosting proprietary and financially sponsoring Service","page_number":152,"box":{"x":69,"y":202,"width":776,"height":11}},{"id":"c31ad33c-aea7-4d1e-b043-347e1ecd2d99","block_type":"box","text":"Organizations’ training and educational seminars, conferences, meetings or events. BlackRock may also pay for the","page_number":152,"box":{"x":69,"y":217,"width":824,"height":12}},{"id":"1741349d-ab24-4d3d-bb89-2fbfd77df902","block_type":"box","text":"travel, meal, lodging and other expenses of Service Organizations and their salespersons or other personnel in","page_number":152,"box":{"x":68,"y":232,"width":791,"height":12}},{"id":"7e9b9541-f63e-44e7-a34a-6b11e567abcb","block_type":"box","text":"connection with educational and sales promotional programs. This compensation is not included in, and is made in","page_number":152,"box":{"x":69,"y":248,"width":820,"height":11}},{"id":"182d04e1-4267-4c64-8fb6-ce15fd75e599","block_type":"box","text":"addition to, the Additional Payments described above. These payments may be made directly to the Service","page_number":152,"box":{"x":69,"y":263,"width":767,"height":11}},{"id":"436c9d6e-b498-4ecb-8a72-286980851444","block_type":"box","text":"Organizations or their affiliates, or to a third party vendor, and may vary depending upon the nature of the event or","page_number":152,"box":{"x":69,"y":278,"width":817,"height":11}},{"id":"e2e70a9e-4825-43a6-8453-af23cd724d13","block_type":"box","text":"the relationship and are subject to applicable laws and regulations, including the rules of applicable self-regulatory","page_number":152,"box":{"x":68,"y":293,"width":819,"height":11}},{"id":"30fe1db9-c890-4ae1-be26-17b9e6479a07","block_type":"box","text":"organizations, such as FINRA. BlackRock may pay Service Organizations additional types of incentive compensation","page_number":152,"box":{"x":69,"y":308,"width":823,"height":11}},{"id":"ce95924d-1f56-46ad-a7c2-16feb625975a","block_type":"box","text":"in the future to the extent not prohibited by applicable laws or regulations.","page_number":152,"box":{"x":70,"y":323,"width":526,"height":11}},{"id":"dd459eef-d0d7-4b5d-9f43-c7302c78ba67","block_type":"box","text":"Separately, BlackRock has developed proprietary tools, calculators and related interactive or digital content that","page_number":152,"box":{"x":102,"y":346,"width":797,"height":11}},{"id":"a6ff743e-9885-4b8c-907c-afd3eb2310e1","block_type":"box","text":"is made available through the www.BlackRock.com website at no additional cost to Service Organizations. BlackRock","page_number":152,"box":{"x":70,"y":361,"width":833,"height":11}},{"id":"6ec366f0-55de-4a85-b49c-ebe9d57444e3","block_type":"box","text":"configures these tools and calculators and localizes the content for Service Organizations as part of its customary","page_number":152,"box":{"x":69,"y":376,"width":817,"height":11}},{"id":"2fe48bc5-24ab-4327-b656-434260cc09d1","block_type":"box","text":"digital marketing support and promotion of the Funds or other BlackRock funds, iShares ETFs and other exchange","page_number":152,"box":{"x":69,"y":391,"width":815,"height":11}},{"id":"11fcbc36-3e9c-4d5d-89fd-db25861e60f1","block_type":"box","text":"traded products.","page_number":152,"box":{"x":68,"y":406,"width":116,"height":11}},{"id":"eef2aade-bab4-4288-9990-100f9f30728c","block_type":"box","text":"F. Conflicts","page_number":152,"box":{"x":102,"y":429,"width":78,"height":9}},{"id":"c31c9e1d-96dc-4f5b-8d86-f5459a293555","block_type":"box","text":"Additional Payments made by BlackRock to a Service Organization or its affiliates or other incentive","page_number":152,"box":{"x":101,"y":452,"width":710,"height":11}},{"id":"e06e7166-7218-4169-8ec3-3b86790b863a","block_type":"box","text":"arrangements may be an important factor in the Service Organization’s willingness to support the sale of a Fund","page_number":152,"box":{"x":69,"y":467,"width":803,"height":11}},{"id":"f2a97e09-b01b-4189-a422-b287e111e0a7","block_type":"box","text":"and/or particular share class through its distribution system or to perform services with respect to such Fund.","page_number":152,"box":{"x":69,"y":482,"width":788,"height":11}},{"id":"cbb9c720-aa23-4257-bcdc-a5c873743a2b","block_type":"box","text":"Additional Payments and other incentive arrangements may also be important factors in the Service Organization’s","page_number":152,"box":{"x":68,"y":497,"width":819,"height":11}},{"id":"60ba196a-fcb0-4bd1-ba42-46a2e9e4d55b","block_type":"box","text":"willingness to recommend the BlackRock Fund complex in general.","page_number":152,"box":{"x":68,"y":512,"width":473,"height":11}},{"id":"4aeb1b48-0e16-40f2-8240-419ba1b471be","block_type":"box","text":"BlackRock may be motivated to pay Additional Payments and other incentive compensation to promote the sale","page_number":152,"box":{"x":102,"y":535,"width":793,"height":11}},{"id":"0100af8c-0952-49d7-ae71-c676c8dd488a","block_type":"box","text":"of Fund shares to Customers of Service Organizations and the retention of those investments by such Customers. To","page_number":152,"box":{"x":69,"y":550,"width":835,"height":11}},{"id":"4a264b92-85a9-402e-8b04-176e8aa188bf","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":152,"box":{"x":68,"y":565,"width":833,"height":11}},{"id":"2469a2eb-bf45-43fe-9904-e8668ebb0ab7","block_type":"box","text":"BlackRock benefits from the incremental management and other fees paid by the Fund with respect to those assets.","page_number":152,"box":{"x":70,"y":580,"width":830,"height":11}},{"id":"e4d8e5ae-861f-4ba2-ada3-dc2cf95a12aa","block_type":"box","text":"Service Organizations may have financial incentives for recommending a particular Fund, share class or fund","page_number":152,"box":{"x":102,"y":603,"width":774,"height":11}},{"id":"bacd3765-cdc0-476a-badc-779d009a65a1","block_type":"box","text":"complex over another. Service Organizations may charge their Customers additional fees in connection with the","page_number":152,"box":{"x":69,"y":618,"width":794,"height":11}},{"id":"1329dd70-e0c0-4bbd-ac91-20fa34f55028","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":152,"box":{"x":70,"y":633,"width":818,"height":11}},{"id":"4394012a-4bf5-4264-a14a-55057d7e4796","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":152,"box":{"x":69,"y":648,"width":836,"height":11}},{"id":"47f51ec1-799e-4f48-b46e-dc549e09edb6","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":152,"box":{"x":69,"y":663,"width":723,"height":12}},{"id":"fd7f5a64-8079-4b4c-81da-aace0b52f78c","block_type":"box","text":"Shareholders should consider whether such incentives exist when evaluating any recommendations from a","page_number":152,"box":{"x":102,"y":686,"width":759,"height":11}},{"id":"d2b98a71-afe1-441f-8488-cc13c9d4e359","block_type":"box","text":"Service Organization to purchase or sell shares of a Fund and when considering which share class is most","page_number":152,"box":{"x":69,"y":701,"width":760,"height":11}},{"id":"0f1c6b1a-3f48-4292-beb2-03b17080f8d4","block_type":"box","text":"appropriate.","page_number":152,"box":{"x":69,"y":716,"width":84,"height":11}},{"id":"5748ea42-789d-4ea0-814d-c7a1beabaf10","block_type":"box","text":"You should consult with your Service Organization, and review carefully any disclosure by the Service","page_number":152,"box":{"x":160,"y":716,"width":738,"height":11}},{"id":"045122cb-06ef-45c5-a224-e043c2b94051","block_type":"box","text":"Organization, as to compensation received by it or its affiliates and for more information about the payments","page_number":152,"box":{"x":69,"y":731,"width":795,"height":11}},{"id":"4fb3350c-e0f1-4d5f-ab2b-2c8446b26d34","block_type":"box","text":"described above.","page_number":152,"box":{"x":69,"y":746,"width":122,"height":9}},{"id":"16d3d00e-4bc1-4e87-a568-6e050052e16f","block_type":"box","text":"REDEMPTION OF SHARES","page_number":152,"box":{"x":385,"y":776,"width":208,"height":10}},{"id":"cb0c7de6-d97e-4e4c-9385-4d22374e2fe2","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":152,"box":{"x":102,"y":799,"width":798,"height":11}},{"id":"bcd2fffa-b769-4473-ac53-1697b5b7d793","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":152,"box":{"x":68,"y":814,"width":836,"height":11}},{"id":"f7adb0fe-3928-48f2-a547-81305f08fb14","block_type":"box","text":"computing a Fund’s NAV), by delivery of securities and other assets selected from the Fund’s portfolio holdings at the","page_number":152,"box":{"x":69,"y":829,"width":840,"height":11}},{"id":"d125710f-522f-4d57-b42a-fad27de74129","block_type":"box","text":"Manager’s discretion. In kind payment means payment will be made in portfolio securities and other assets rather","page_number":152,"box":{"x":70,"y":844,"width":814,"height":11}},{"id":"ac7623d7-58d8-40bd-bcd4-11add5ac555c","block_type":"box","text":"than cash. Redemptions in kind may be used in applicable circumstances, generally if the relevant shareholder is","page_number":152,"box":{"x":68,"y":859,"width":809,"height":11}},{"id":"bed52960-2220-48ca-a630-3b92ef688452","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":152,"box":{"x":69,"y":874,"width":827,"height":12}},{"id":"d963f480-8104-45f0-895a-5e253e193366","block_type":"box","text":"shareholder might incur brokerage or other transaction costs to convert the securities and other assets to cash. Each","page_number":152,"box":{"x":69,"y":890,"width":839,"height":11}},{"id":"84ce7787-2f18-41bb-a037-edfd1b1aeecd","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":152,"box":{"x":70,"y":904,"width":797,"height":12}},{"id":"38ee0a95-f352-4da2-954f-ffdc82a4bd03","block_type":"box","text":"II-114","page_number":152,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e8b3c5f3-8e5b-4ffa-9531-a574175982d0","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":152,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"165deba3-8a83-4438-bf2f-5e5bb3e1d00d","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":153,"box":{"x":69,"y":44,"width":833,"height":12}},{"id":"629b95f0-961d-4cc1-82fc-c4a1b7104bde","block_type":"box","text":"for any shareholder of the Fund.","page_number":153,"box":{"x":68,"y":60,"width":227,"height":11}},{"id":"0327c721-f653-460b-8b8b-bb09b83e20de","block_type":"box","text":"The redemption price is the NAV per share next determined after the initial receipt of proper notice of","page_number":153,"box":{"x":101,"y":82,"width":722,"height":11}},{"id":"d075b697-ef5a-4170-9bf9-7eb3b26df36b","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":153,"box":{"x":69,"y":98,"width":818,"height":11}},{"id":"953e5d43-e914-4350-bd47-809298b6fb5c","block_type":"box","text":"time of purchase, depending in part on the market value of the securities held by the Fund at such time. Except for","page_number":153,"box":{"x":68,"y":113,"width":821,"height":11}},{"id":"272325ea-913c-4086-84af-932f222d8d6f","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":153,"box":{"x":69,"y":128,"width":815,"height":11}},{"id":"c587bce0-0f6b-45a1-bc48-3f08b075b172","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":153,"box":{"x":68,"y":143,"width":812,"height":11}},{"id":"ae1f5330-0394-4324-b756-892db8757ca9","block_type":"box","text":"redemption.","page_number":153,"box":{"x":69,"y":158,"width":83,"height":11}},{"id":"021733c0-da71-4af4-88ad-c737bc6c8208","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":153,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"6e3498c2-50ca-43fb-bf30-6cc34b9291a1","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":153,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"4d502c51-3e30-4c07-ad20-d0037df58e1d","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":153,"box":{"x":68,"y":211,"width":811,"height":11}},{"id":"68de1cfc-f5b8-4051-b964-c906cb73a8f6","block_type":"box","text":"emergency exists, as defined by the Commission, as a result of which disposal of portfolio securities or","page_number":153,"box":{"x":69,"y":226,"width":741,"height":11}},{"id":"0c4ae019-437f-495a-8c40-393b11851b33","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":153,"box":{"x":69,"y":241,"width":813,"height":11}},{"id":"ff4db364-6f0e-48c0-97dd-c6b7d76ec03d","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":153,"box":{"x":69,"y":256,"width":787,"height":11}},{"id":"3d993eee-0bba-4e46-b205-0fbb5b1a5a19","block_type":"box","text":"recordation of the transfer of its shares upon the occurrence of any of the foregoing conditions.)","page_number":153,"box":{"x":69,"y":271,"width":685,"height":12}},{"id":"c24cf802-b61a-4ce6-8ca1-5a0070b937ac","block_type":"box","text":"Each Fund, with other investment companies advised by the Manager, has entered into a joint committed line of","page_number":153,"box":{"x":102,"y":294,"width":798,"height":11}},{"id":"11a5c0de-9bb9-424c-b627-036c42c09082","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":153,"box":{"x":69,"y":309,"width":820,"height":11}},{"id":"f5bbd7ff-af6d-40b1-9d34-50ff51d934a4","block_type":"box","text":"meet redemption requests from shareholders in extraordinary or emergency circumstances.","page_number":153,"box":{"x":69,"y":324,"width":653,"height":12}},{"id":"9267251f-724f-4f37-b802-5d57ad4316b7","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":153,"box":{"x":102,"y":347,"width":803,"height":11}},{"id":"286e0af9-2e19-4d61-8541-6ece83ec26a8","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":153,"box":{"x":69,"y":362,"width":827,"height":11}},{"id":"e7189c69-0cc5-4f9b-9268-c51e574423cf","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":153,"box":{"x":68,"y":377,"width":824,"height":12}},{"id":"fafcd27c-f54a-431f-a34a-db10664612d6","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":153,"box":{"x":70,"y":392,"width":825,"height":12}},{"id":"9b4ea34c-af78-46a9-9a31-5ffaea19bec6","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":153,"box":{"x":69,"y":407,"width":825,"height":12}},{"id":"8cfd3726-498e-4fb9-890e-d5ffc8d18dab","block_type":"box","text":"so redeemed shall have no further right with respect thereto other than to receive payment of the redemption price.","page_number":153,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"3f2d68a9-ff69-40c1-9fe3-05d1c084dc64","block_type":"box","text":"Redemption","page_number":153,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"ce9f0dd0-3671-4920-a246-35ebb26beb93","block_type":"box","text":"Investor A, Investor A1, Investor C, Institutional and Class R Shares","page_number":153,"box":{"x":70,"y":476,"width":481,"height":10}},{"id":"38309202-a352-4d05-845d-3cb74d83257b","block_type":"box","text":"Redeem by Telephone:","page_number":153,"box":{"x":102,"y":498,"width":162,"height":11}},{"id":"40d695cb-59f2-4678-8f27-2e652309e930","block_type":"box","text":"You may sell Investor Shares, excluding Investor P Shares, held at BlackRock by","page_number":153,"box":{"x":270,"y":498,"width":571,"height":11}},{"id":"d8cb94d5-f2e4-4792-a366-6a0345b7bb8f","block_type":"box","text":"telephone request if certain conditions are met and if the amount being sold is less than (i) $100,000 for payments","page_number":153,"box":{"x":68,"y":513,"width":829,"height":12}},{"id":"ed0e3565-3400-4759-bf15-d4bdb81d550c","block_type":"box","text":"by check or (ii) $250,000 for payments through the Automated Clearing House Network (“ACH”) or wire transfer.","page_number":153,"box":{"x":69,"y":528,"width":798,"height":12}},{"id":"43028cf1-84f5-40bd-8664-5564807d872c","block_type":"box","text":"Certain redemption requests, such as those in excess of these amounts, and those where (i) the Fund does not have","page_number":153,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"1970d862-c009-4e48-885d-0abd432c3463","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":153,"box":{"x":68,"y":559,"width":831,"height":11}},{"id":"d289122a-c8df-4a45-a8ce-5776324af9e8","block_type":"box","text":"be in writing with a medallion signature guarantee provided by any “eligible guarantor institution” as defined in Rule","page_number":153,"box":{"x":69,"y":574,"width":822,"height":11}},{"id":"7365cab6-0283-42d6-92c0-659e95a07f35","block_type":"box","text":"17Ad-15 under the Securities Exchange Act of 1934 (the “Exchange Act”), whose existence and validity may be","page_number":153,"box":{"x":70,"y":589,"width":791,"height":11}},{"id":"18bdc129-8db9-4d12-9a40-973d55ade343","block_type":"box","text":"verified by the Transfer Agent through the use of industry publications. For Institutional Shares, certain redemption","page_number":153,"box":{"x":68,"y":604,"width":818,"height":11}},{"id":"63c9a91c-3323-4332-b033-211db6360fc0","block_type":"box","text":"requests may require written instructions with a medallion signature guarantee. Call (800) 441-7762 for details. You","page_number":153,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"89494f03-89e6-4cdc-a6c9-ab3711989fae","block_type":"box","text":"can obtain a medallion signature guarantee stamp from a bank, securities dealer, securities broker, credit union,","page_number":153,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"eec5f995-8fdc-4f14-9c3e-983fb5f0fbb5","block_type":"box","text":"savings and loan association, national securities exchange or registered securities association. The three recognized","page_number":153,"box":{"x":69,"y":650,"width":834,"height":11}},{"id":"80eee131-6074-44ce-8f0d-f3a5382b629c","block_type":"box","text":"medallion programs are Securities Transfer Agent Medallion Program, Stock Exchanges Medallion Program and New","page_number":153,"box":{"x":69,"y":664,"width":825,"height":12}},{"id":"44ec2c71-f9b1-4577-9ca2-23f125f80e3f","block_type":"box","text":"York Stock Exchange, Inc. Medallion Signature Program. Signature guarantees which are not a part of these programs","page_number":153,"box":{"x":68,"y":680,"width":840,"height":11}},{"id":"c9bc61c6-e256-45d1-b6dc-7855bd83d96d","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":153,"box":{"x":68,"y":695,"width":835,"height":11}},{"id":"39b939a7-a054-4343-9821-9be1f6c3c58a","block_type":"box","text":"required signature guarantee is all that is required for a redemption. In some cases, however, other documents may","page_number":153,"box":{"x":69,"y":710,"width":828,"height":11}},{"id":"3ccb1096-0a08-49fb-904d-01cdab4fa2b1","block_type":"box","text":"be necessary. Additional documentary evidence of authority is required by the Transfer Agent in the event redemption","page_number":153,"box":{"x":69,"y":725,"width":835,"height":11}},{"id":"abafa78f-c145-4f8f-86f6-b1ce84892102","block_type":"box","text":"is requested by a corporation, partnership, trust, fiduciary, executor or administrator.","page_number":153,"box":{"x":70,"y":740,"width":603,"height":11}},{"id":"c08a9271-72c0-4658-9d94-379e4d757dd4","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":153,"box":{"x":102,"y":763,"width":774,"height":11}},{"id":"46470817-4201-411b-998d-4cd8d08ce921","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":153,"box":{"x":69,"y":778,"width":795,"height":11}},{"id":"e9ad6b5d-d8a7-4212-842d-084d01626a29","block_type":"box","text":"Distributor will employ reasonable procedures to confirm that instructions communicated by telephone are genuine.","page_number":153,"box":{"x":70,"y":793,"width":821,"height":11}},{"id":"aed3233d-4d4f-452c-a112-e292c40e1f7e","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":153,"box":{"x":68,"y":808,"width":823,"height":11}},{"id":"838fec62-8d37-4b34-a221-84958ebf8720","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":153,"box":{"x":69,"y":823,"width":823,"height":11}},{"id":"0862438b-93f5-40b1-8b4b-fec245f6298d","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":153,"box":{"x":69,"y":838,"width":809,"height":11}},{"id":"6ad5aaea-a2dc-4f37-a98a-1f38c5a18342","block_type":"box","text":"divorced, (vi) the address on the account has changed within the last 30 days or share certificates have been issued","page_number":153,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"e358a95e-c7e1-445b-9f30-69ea86c9721c","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":153,"box":{"x":69,"y":869,"width":821,"height":11}},{"id":"b9d986a2-0186-4ea1-a054-9c8cef3f09ad","block_type":"box","text":"address registered on the account and the social security number registered on the account. The Fund and its","page_number":153,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"9d73d8cc-a5d5-4eac-9283-8fdbb736a2b5","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":153,"box":{"x":69,"y":899,"width":820,"height":11}},{"id":"65595824-1e52-41e3-811c-17f3bc954ae7","block_type":"box","text":"II-115","page_number":153,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9eed8f3a-6aa7-4c41-affa-a10f95929c2c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":153,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"304e00c8-cbe8-467d-9944-49dea2aedbf5","block_type":"box","text":"are reasonably believed to be genuine in accordance with such procedures. Before telephone requests will be","page_number":154,"box":{"x":69,"y":45,"width":782,"height":11}},{"id":"90d807c4-cd0e-404d-af10-83ff641317dd","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":154,"box":{"x":69,"y":60,"width":838,"height":11}},{"id":"626b88b5-8511-4b80-b7d0-4e9431304e72","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":154,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"4fa9ec31-2ffe-48f9-a7b6-2ea3b4507b9b","block_type":"box","text":"change, telephone redemptions may be difficult to complete. Please find below alternative redemption methods.","page_number":154,"box":{"x":69,"y":90,"width":800,"height":11}},{"id":"dbb1a4c9-0edf-428f-8d15-b444c4779b3d","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":154,"box":{"x":102,"y":113,"width":776,"height":11}},{"id":"f7d91a26-87c6-4e53-b8fd-8b5003c4ee56","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":154,"box":{"x":70,"y":128,"width":823,"height":11}},{"id":"b83228b7-640e-4d8e-865f-d6fbf28ee811","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":154,"box":{"x":69,"y":143,"width":820,"height":11}},{"id":"ac19d73e-8e3c-4173-862d-90e4742eac67","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":154,"box":{"x":68,"y":158,"width":826,"height":11}},{"id":"91d8fb9d-4f0a-4517-8d5b-d566628da5cd","block_type":"box","text":"the redemption order will be accepted and processed the next succeeding business day when the Federal Reserve","page_number":154,"box":{"x":68,"y":173,"width":817,"height":11}},{"id":"ae051f1a-1033-447e-9f1d-73fce1a58a1e","block_type":"box","text":"Bank of Philadelphia is open, provided that the Fund’s custodian is also open for business.","page_number":154,"box":{"x":70,"y":188,"width":648,"height":11}},{"id":"b2f1e152-4046-407d-96c9-ba9439c3ef84","block_type":"box","text":"Redeem by VRU:","page_number":154,"box":{"x":102,"y":211,"width":120,"height":11}},{"id":"56fcb1aa-3056-47f5-8f8b-a3e43c9bb0da","block_type":"box","text":"Investor class shares, excluding Investor P Shares, may also be redeemed by use of a Fund’s","page_number":154,"box":{"x":229,"y":211,"width":667,"height":11}},{"id":"db316747-ec60-45b5-96dd-5042f487b5e9","block_type":"box","text":"automated voice response unit service (“VRU”). Payment for Investor class shares redeemed by VRU may be made","page_number":154,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"34bcb456-3866-4db4-96ca-ea30ac417f87","block_type":"box","text":"for non-retirement accounts in amounts up to $25,000, either through check, ACH or wire.","page_number":154,"box":{"x":68,"y":241,"width":644,"height":11}},{"id":"c06c31e0-f735-44e7-9684-4f20229d340b","block_type":"box","text":"Redeem by Internet:","page_number":154,"box":{"x":102,"y":264,"width":147,"height":11}},{"id":"d9cdf79b-8094-4c50-9f81-f55593b48c4b","block_type":"box","text":"Certain Investor and Institutional class shares may also be redeemed by logging onto the","page_number":154,"box":{"x":255,"y":264,"width":637,"height":11}},{"id":"573de23c-696b-4533-ba7b-1528e3222516","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":154,"box":{"x":70,"y":279,"width":836,"height":11}},{"id":"e4f56fa1-b72a-454d-a31f-2be8f4b4eaf1","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":154,"box":{"x":68,"y":294,"width":823,"height":11}},{"id":"8e88c701-94da-4868-a9c8-32c392512b98","block_type":"box","text":"to $100,000 per account per day, either through check, ACH or wire. Different maximums may apply to certain","page_number":154,"box":{"x":68,"y":309,"width":789,"height":11}},{"id":"22394c65-a051-4199-9809-7bae0bc88c23","block_type":"box","text":"institutional investors.","page_number":154,"box":{"x":70,"y":325,"width":155,"height":8}},{"id":"cb17f334-cd16-4de7-9f9e-7c922b065e85","block_type":"box","text":"Redeem in Writing:","page_number":154,"box":{"x":102,"y":347,"width":137,"height":11}},{"id":"4be6e7d6-1682-4771-ac6c-f24944ae8240","block_type":"box","text":"If you hold shares with the Transfer Agent you may redeem such shares without charge by","page_number":154,"box":{"x":247,"y":347,"width":639,"height":11}},{"id":"327b6c23-bd07-40bf-85d2-7ac04e063b46","block_type":"box","text":"writing to BlackRock, P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Redemption requests delivered other","page_number":154,"box":{"x":68,"y":362,"width":831,"height":11}},{"id":"7490042f-5a78-4465-bf17-09680dcc6a88","block_type":"box","text":"than by mail should be sent to BlackRock, Attention: 534429, 1350 Penn Avenue Suite 102, Pittsburgh,","page_number":154,"box":{"x":68,"y":377,"width":745,"height":12}},{"id":"887d164e-fe70-4514-a3a1-86dff532d1e6","block_type":"box","text":"Pennsylvania 15222. If you hold share certificates issued by your Fund, the letter must be accompanied by","page_number":154,"box":{"x":69,"y":392,"width":764,"height":12}},{"id":"b8f0fc4a-4cf9-4f05-8bf0-e291f76f9aa3","block_type":"box","text":"certificates for the shares. All shareholders on the account must sign the letter. A medallion signature guarantee will","page_number":154,"box":{"x":69,"y":407,"width":831,"height":12}},{"id":"ae05305b-0635-47ed-9596-754756b6414d","block_type":"box","text":"generally be required but may be waived in certain limited circumstances. You can obtain a medallion signature","page_number":154,"box":{"x":68,"y":423,"width":794,"height":11}},{"id":"9495c113-4b8d-4b1c-bb5f-cf6a5085da71","block_type":"box","text":"guarantee stamp from a bank, securities dealer, securities broker, credit union, savings and loan association,","page_number":154,"box":{"x":68,"y":438,"width":782,"height":11}},{"id":"8cf17d0b-f6ca-433e-9f60-f678de9a4599","block_type":"box","text":"national securities exchange or registered securities association. A notary public seal will not be acceptable. If you","page_number":154,"box":{"x":69,"y":453,"width":817,"height":11}},{"id":"3be1c47e-a7fe-4593-bdc0-d7ce0758220d","block_type":"box","text":"hold stock certificates, return the certificates with the letter. Proceeds from redemptions may be sent via check, ACH","page_number":154,"box":{"x":69,"y":468,"width":836,"height":11}},{"id":"701a72a4-ad94-4a08-8f16-10a68909c366","block_type":"box","text":"or wire to the bank account of record.","page_number":154,"box":{"x":69,"y":483,"width":266,"height":9}},{"id":"6721d8a4-9af1-45f8-9e5c-16829f111229","block_type":"box","text":"Redemptions of Investor P Shares, Service Shares, Class G Shares, Class K Shares and BlackRock Shares may","page_number":154,"box":{"x":102,"y":506,"width":802,"height":11}},{"id":"6ce6d5f5-57a5-45ef-9e68-6652788e56cf","block_type":"box","text":"be made in the manner and amounts described in the Prospectuses.","page_number":154,"box":{"x":69,"y":521,"width":489,"height":11}},{"id":"7862c0d8-d35d-4ed1-8def-c3fae073c5c0","block_type":"box","text":"The Funds or the Transfer Agent may temporarily suspend telephone transactions at any time.","page_number":154,"box":{"x":101,"y":543,"width":668,"height":12}},{"id":"96220c8f-249d-4203-9718-4e45371565d7","block_type":"box","text":"If you redeem shares directly with the Transfer Agent, payments will generally be mailed within one business day","page_number":154,"box":{"x":102,"y":566,"width":800,"height":11}},{"id":"fcf08ad5-a70b-4c16-b8ef-812ad43a4fe9","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":154,"box":{"x":69,"y":581,"width":838,"height":12}},{"id":"0f40f7f1-49b1-4b43-9da7-785c2015f653","block_type":"box","text":"(that is, cash, Federal funds or certified check drawn on a U.S. bank) has been collected for the purchase of Fund","page_number":154,"box":{"x":69,"y":596,"width":811,"height":11}},{"id":"0444dff3-c232-4598-84db-9d28d16e80c3","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":154,"box":{"x":69,"y":612,"width":789,"height":11}},{"id":"cc942cce-a65c-4a97-a813-d6c27595f2ff","block_type":"box","text":"contains a fractional share balance following a redemption, the fractional share balance will be automatically","page_number":154,"box":{"x":69,"y":627,"width":775,"height":11}},{"id":"f27a17e7-fe39-451c-976c-44d101b86fff","block_type":"box","text":"redeemed by the Fund.","page_number":154,"box":{"x":69,"y":642,"width":162,"height":11}},{"id":"5328335a-83c6-4f81-a711-5620cdeaccea","block_type":"box","text":"Note on Low Balance Accounts.","page_number":154,"box":{"x":102,"y":665,"width":223,"height":8}},{"id":"be461705-bd64-4c46-9ebb-5c784633d11e","block_type":"box","text":"Because of the high cost of maintaining smaller shareholder accounts,","page_number":154,"box":{"x":332,"y":664,"width":503,"height":12}},{"id":"a1e3943f-a7d5-4cc7-8c71-8b08d97abdc9","block_type":"box","text":"BlackRock has set a minimum balance of $500 in each Fund position you hold within your account (“Fund","page_number":154,"box":{"x":70,"y":679,"width":752,"height":12}},{"id":"c1cb5d34-c515-4681-a4bb-de4c42dfe8d5","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":154,"box":{"x":70,"y":694,"width":829,"height":12}},{"id":"f4277716-c3d6-47ec-992f-7174d401c4fc","block_type":"box","text":"for any reason, including market fluctuation.","page_number":154,"box":{"x":68,"y":710,"width":313,"height":11}},{"id":"404ac2b1-141d-453e-b842-d402b9cc3df7","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":154,"box":{"x":101,"y":732,"width":775,"height":12}},{"id":"3eef4cf2-215b-4e5b-8cae-7adfd93a6dca","block_type":"box","text":"involuntary redemption. This notification will provide you with a 90 calendar day period to make an additional","page_number":154,"box":{"x":70,"y":748,"width":773,"height":11}},{"id":"f87b8ffd-c1e1-4e99-9e58-3a47f12d41bd","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":154,"box":{"x":70,"y":762,"width":776,"height":12}},{"id":"f08d69ad-c6bc-4ed6-8d31-73acf5a8afff","block_type":"box","text":"redemption. This involuntary redemption will not charge any deferred sales charge, and may not apply to accounts of","page_number":154,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"0c380383-7aa8-4b67-aea1-b5f7dc8c549a","block_type":"box","text":"certain employer-sponsored retirement plans (not including IRAs), qualified state tuition plan (529 Plan) accounts,","page_number":154,"box":{"x":69,"y":793,"width":811,"height":11}},{"id":"92027cfc-2f5e-45fa-ba59-5782e78466a7","block_type":"box","text":"and select fee-based programs at your financial intermediary.","page_number":154,"box":{"x":69,"y":808,"width":435,"height":11}},{"id":"f9f941b6-6498-4cb0-bae3-571b4a6ccc85","block_type":"box","text":"Redemptions in Kind:","page_number":154,"box":{"x":102,"y":831,"width":153,"height":11}},{"id":"c6d01532-86bb-4297-90e1-fc581de4572f","block_type":"box","text":"Each Fund reserves the right to honor any request for redemption by making payment in","page_number":154,"box":{"x":263,"y":831,"width":624,"height":11}},{"id":"3ee5f12e-d9c0-42b8-83d6-10582f01c39a","block_type":"box","text":"whole or in part by delivering securities valued in the same way as they would be valued for purposes of computing a","page_number":154,"box":{"x":68,"y":846,"width":833,"height":11}},{"id":"79670535-03ca-4746-8872-285f55e17f9c","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":154,"box":{"x":70,"y":860,"width":825,"height":12}},{"id":"02602787-65b3-4ea0-8658-c6dc9d1c3550","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":154,"box":{"x":69,"y":876,"width":811,"height":11}},{"id":"f4b9e4f9-e027-47ad-837c-322f0354c3cf","block_type":"box","text":"normally be paid in cash but may be paid wholly or partly by a distribution in kind of securities.","page_number":154,"box":{"x":69,"y":891,"width":672,"height":11}},{"id":"80512c55-e009-43d3-9ae2-0d2c54936f50","block_type":"box","text":"II-116","page_number":154,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"637a53d3-d580-4ce3-a392-a95e59e2235a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":154,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b7b8c10e-5c21-4761-a604-5cbb4ad29ea5","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":155,"box":{"x":101,"y":45,"width":787,"height":11}},{"id":"64c312f0-936e-43c0-a16f-db5b77b34ae6","block_type":"box","text":"rata representation of the Fund’s portfolio or a non-pro-rata representation of the Fund’s portfolio depending upon","page_number":155,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"ecac20bd-5e8e-4c8c-86a9-ee3bbad618c6","block_type":"box","text":"various circumstances and subject to the Funds’ policies and procedures and any applicable laws or regulations. In","page_number":155,"box":{"x":68,"y":75,"width":822,"height":11}},{"id":"e79d2313-7a87-4a63-875b-6fa953d4d992","block_type":"box","text":"effecting such redemption in kind, the Manager may select securities to distribute to the redeeming shareholder by","page_number":155,"box":{"x":69,"y":90,"width":822,"height":11}},{"id":"c5c18d2d-e034-447c-b884-876ea2dd19c1","block_type":"box","text":"considering certain factors, including, without limitation, the portfolio management team’s model or optimal portfolio,","page_number":155,"box":{"x":69,"y":105,"width":838,"height":11}},{"id":"bcfd2354-44cd-45e4-abfc-ffba2b8fdc41","block_type":"box","text":"risk management considerations, compliance considerations, the active positioning of a Fund post-redemption, the","page_number":155,"box":{"x":69,"y":120,"width":818,"height":12}},{"id":"43eafb6f-d669-4069-a140-4868d91f42f8","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":155,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"dc3798b8-9e7b-47b2-9c0f-eb481c28f05e","block_type":"box","text":"retain those securities that will perform the best. An Index Fund may deviate from pro rata redemptions but will seek","page_number":155,"box":{"x":69,"y":150,"width":832,"height":12}},{"id":"e8be8b9b-5d36-4f94-8aee-84e7e3810d92","block_type":"box","text":"for the securities and other assets to be distributed to be deemed to be a fair representation of portfolio holdings","page_number":155,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"fa1f6909-e098-4b2d-aab5-e4e50a5aa7b9","block_type":"box","text":"and the interests of the remaining shareholders in the Index Fund to not be diluted.","page_number":155,"box":{"x":69,"y":181,"width":594,"height":11}},{"id":"23120ce1-355e-4a7d-a598-7b8669864784","block_type":"box","text":"The Funds may effect redemptions in kind in an effort to, among other considerations: (a) manage the portfolio","page_number":155,"box":{"x":101,"y":203,"width":795,"height":12}},{"id":"917a0fc0-843f-48f9-9750-3258ba72e3fb","block_type":"box","text":"efficiently or for any other portfolio management purpose, and (b) externalize certain transaction costs that would","page_number":155,"box":{"x":69,"y":218,"width":810,"height":12}},{"id":"29cfe56f-6d7b-4fb1-b7c1-722d9b20d4e1","block_type":"box","text":"otherwise be borne by a Fund in connection with redemption activity or portfolio turnover. Redemptions in kind may","page_number":155,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"0a561945-0f02-4a6b-9cbd-a9dd6a31beb4","block_type":"box","text":"reduce the need for the Fund to maintain short-term cash reserves, reduce Fund transaction costs, reduce the need","page_number":155,"box":{"x":69,"y":249,"width":828,"height":10}},{"id":"beec50c4-e016-4d7b-a1bc-c7ee1894bad3","block_type":"box","text":"for the Fund to sell its investments at inopportune times, and lower Fund capital gain recognition, all of which may be","page_number":155,"box":{"x":68,"y":264,"width":838,"height":11}},{"id":"6eef8e51-6967-496e-9d00-7995549c387d","block_type":"box","text":"considerations when determining whether to effect a redemption in kind. However, there can be no assurance that","page_number":155,"box":{"x":69,"y":279,"width":817,"height":11}},{"id":"d878843e-d675-49ed-a988-ad8e0931e869","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":155,"box":{"x":69,"y":294,"width":802,"height":11}},{"id":"d4d47b8f-a047-410f-bb6c-1fb20eff44ea","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":155,"box":{"x":70,"y":309,"width":837,"height":11}},{"id":"fae8c2b5-fbd3-4061-a08b-e39785115b40","block_type":"box","text":"other things, how they hold their Fund shares or the small value of the redemptions.","page_number":155,"box":{"x":69,"y":324,"width":598,"height":12}},{"id":"f4ac7791-4f01-41c0-a181-e80f4a50b2b8","block_type":"box","text":"In some circumstances, in order to meet Fund liquidity needs, for optimization of the Fund’s portfolio, or a","page_number":155,"box":{"x":102,"y":347,"width":756,"height":11}},{"id":"7d1c335c-7ea1-4114-ad98-44171ff4b4f3","block_type":"box","text":"combination thereof, a Fund, in its discretion, may accept large purchase orders from one or more financial","page_number":155,"box":{"x":69,"y":362,"width":764,"height":11}},{"id":"ac42c09e-a0a0-4081-8310-63dd5ecba8ec","block_type":"box","text":"institutions that are willing, upon redemption of their investment in the Fund, to receive their redemption proceeds in","page_number":155,"box":{"x":70,"y":377,"width":830,"height":12}},{"id":"35f9bf33-fd17-4a67-8d3e-8303b34bfe9d","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":155,"box":{"x":69,"y":392,"width":821,"height":12}},{"id":"e9385e99-139f-4ba0-8c2f-d9b21adb04d9","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":155,"box":{"x":68,"y":408,"width":837,"height":11}},{"id":"2683835c-7b74-41bf-9d1d-654ea32d61f3","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":155,"box":{"x":68,"y":423,"width":784,"height":11}},{"id":"e27f95c5-3f09-49bb-bdea-d0bbeb381d79","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":155,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"0c04ef71-7c85-4a70-8b82-fdec4ea688a8","block_type":"box","text":"things, limitations on frequency of redemptions in kind under the Fund’s policies and availability of shareholders able","page_number":155,"box":{"x":68,"y":453,"width":835,"height":11}},{"id":"25574519-ac3f-4dea-abe1-1806cde494cd","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":155,"box":{"x":68,"y":468,"width":796,"height":11}},{"id":"bb56792b-5609-479d-a2fd-90b35c1d8dd7","block_type":"box","text":"institutions that participate in the transactions described in this sub-section do not receive a fee from the Fund for","page_number":155,"box":{"x":70,"y":483,"width":816,"height":11}},{"id":"b0c92729-34e6-497a-9cfa-e8ce8dd291c4","block_type":"box","text":"doing so. The Funds’ short-term trading policy shall not apply to the transactions described in this sub-section.","page_number":155,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"8772f88a-0383-4272-9549-62c7f2167a27","block_type":"box","text":"If you receive securities through a redemption in kind, and desire to convert them to cash, you may pay taxes","page_number":155,"box":{"x":102,"y":521,"width":779,"height":11}},{"id":"1199086b-81ef-401f-a71c-148238f13982","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":155,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"9970779e-d6d4-4d79-bed7-5a1f02e199cb","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":155,"box":{"x":68,"y":551,"width":800,"height":11}},{"id":"5ad80852-d5a9-431e-ab02-07245e20cbe6","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":155,"box":{"x":69,"y":566,"width":826,"height":11}},{"id":"2835a5d3-3969-4551-9876-2f6217e99929","block_type":"box","text":"the NAV of the corresponding Fund.","page_number":155,"box":{"x":68,"y":581,"width":251,"height":12}},{"id":"dbc9ebde-735b-4e3f-b8d4-4782eaa096b9","block_type":"box","text":"Repurchase","page_number":155,"box":{"x":69,"y":612,"width":85,"height":11}},{"id":"8ce8f591-ba19-485c-a7a2-a6a26d0ae5eb","block_type":"box","text":"A Fund normally will accept orders to repurchase shares from Selling Dealers for their customers. Shares will be","page_number":155,"box":{"x":101,"y":634,"width":800,"height":12}},{"id":"36f8a27d-9e72-4d17-9500-c08aa3529251","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":155,"box":{"x":70,"y":649,"width":833,"height":12}},{"id":"1882ee31-3959-4fb9-8d45-0b20734ab0e1","block_type":"box","text":"authorized by the Distributor by contract to accept such orders. As to repurchase orders received by Selling Dealers","page_number":155,"box":{"x":69,"y":665,"width":822,"height":11}},{"id":"d5f8d235-d886-4013-82fa-20d5f5e56a01","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":155,"box":{"x":70,"y":680,"width":809,"height":11}},{"id":"6eaa9713-c20f-45e6-b819-bba300d88b6d","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":155,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"b2a88cbb-5e4a-4cd9-a250-a59cd58bc5fc","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":155,"box":{"x":70,"y":710,"width":796,"height":11}},{"id":"180ebbaa-b423-48a8-8bdd-c54893c8b0e7","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":155,"box":{"x":69,"y":725,"width":812,"height":11}},{"id":"c604e52d-00da-41bf-94e2-ceca40a308f2","block_type":"box","text":"next business day.","page_number":155,"box":{"x":69,"y":740,"width":130,"height":11}},{"id":"0f1949fa-b62c-433c-85f5-6ee35eb2444c","block_type":"box","text":"These repurchase arrangements are for your convenience and do not involve a charge by the Fund (other than","page_number":155,"box":{"x":101,"y":763,"width":783,"height":11}},{"id":"84aece35-ba15-453a-bf05-bdc59f197290","block_type":"box","text":"any applicable CDSC or redemption fee). However, Selling Dealers may charge a processing fee in connection with","page_number":155,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"f961a6cd-b24e-4841-b41c-0b648ce9a30e","block_type":"box","text":"such transactions. In addition, securities firms that do not have selected dealer agreements with the Distributor may","page_number":155,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"0328a289-6b7b-4a25-bf91-1e3c4fa00077","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":155,"box":{"x":70,"y":808,"width":814,"height":11}},{"id":"d9b3f045-9a12-4e4f-b63e-6e31e73abb46","block_type":"box","text":"reject any order for repurchase. A shareholder whose order for repurchase is rejected by a Fund, however, may","page_number":155,"box":{"x":69,"y":823,"width":788,"height":11}},{"id":"a5cb49bc-3e2b-4913-8dd0-7987fae93d0e","block_type":"box","text":"redeem shares as set out above.","page_number":155,"box":{"x":69,"y":839,"width":235,"height":8}},{"id":"5ec7c4cc-92db-41eb-a221-e8123196af15","block_type":"box","text":"II-117","page_number":155,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"1ac5e2f2-5a02-4b60-84d2-fb2bf8cd3a62","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":155,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9e1493cf-96ca-4ad8-86f7-aabd92f1c24b","block_type":"box","text":"Reinstatement Privilege — Investor A and Investor P Shares","page_number":156,"box":{"x":69,"y":45,"width":440,"height":11}},{"id":"1d69b66e-81ad-4cfd-880c-0cdd14721cca","block_type":"box","text":"Upon redemption of Investor A, Investor A1, Investor P or Institutional Shares, as applicable, shareholders may","page_number":156,"box":{"x":102,"y":67,"width":791,"height":11}},{"id":"debe5dce-0436-4b47-8074-500342a00aa4","block_type":"box","text":"reinvest all or a portion of their redemption proceeds (after paying any applicable CDSC) in Investor A or Investor P","page_number":156,"box":{"x":69,"y":82,"width":815,"height":12}},{"id":"c2dd526c-9ecf-4561-91ca-fccfb48e816b","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":156,"box":{"x":69,"y":98,"width":822,"height":11}},{"id":"22247dc2-cd88-44ab-8930-d5059fd07aa7","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":156,"box":{"x":68,"y":113,"width":806,"height":11}},{"id":"db4b7d46-3a59-46dd-a746-86c89fc529f5","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":156,"box":{"x":69,"y":128,"width":768,"height":11}},{"id":"f8d50fca-3476-40cf-b7f7-9e25c558bd90","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":156,"box":{"x":70,"y":143,"width":827,"height":11}},{"id":"0ce7fe81-89ed-4231-a5c7-b055379a7e3d","block_type":"box","text":"this privilege, the Transfer Agent must receive written notification from the shareholder of record or the registered","page_number":156,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"7f6c33a8-8a41-44ac-bb53-da9e9919e11b","block_type":"box","text":"representative of record, at the time of purchase. Investors should consult a tax advisor concerning the tax","page_number":156,"box":{"x":69,"y":173,"width":764,"height":11}},{"id":"97fcb915-7949-4ff1-aeb0-798c859ff781","block_type":"box","text":"consequences of exercising this reinstatement privilege.","page_number":156,"box":{"x":69,"y":188,"width":400,"height":12}},{"id":"a421d6cd-cd2f-49bf-88b2-1d71169b8fac","block_type":"box","text":"SHAREHOLDER SERVICES","page_number":156,"box":{"x":384,"y":218,"width":210,"height":9}},{"id":"58336fb6-90d9-46d8-876a-667e2408be0b","block_type":"box","text":"Each Fund offers one or more of the shareholder services described below that are designed to facilitate","page_number":156,"box":{"x":102,"y":241,"width":747,"height":11}},{"id":"c78b9757-49ba-4b4f-a3b0-e38b17c19420","block_type":"box","text":"investment in its shares. You can obtain more information about these services from each Fund by calling the","page_number":156,"box":{"x":70,"y":256,"width":781,"height":11}},{"id":"b30d4613-3c50-49fb-98a1-cb094d473c32","block_type":"box","text":"telephone number on the cover page, or from the Distributor, your financial adviser, your selected securities dealer or","page_number":156,"box":{"x":68,"y":271,"width":836,"height":11}},{"id":"dc72eff6-c718-4633-8fc1-c2176ada2418","block_type":"box","text":"other financial intermediary. Certain of these services are available only to U.S. investors.","page_number":156,"box":{"x":69,"y":286,"width":641,"height":11}},{"id":"50cf1999-7082-4bc2-b216-1551851a6b58","block_type":"box","text":"Investment Account","page_number":156,"box":{"x":69,"y":316,"width":146,"height":9}},{"id":"49fdee64-b928-4e64-9e9d-bb528c67f13c","block_type":"box","text":"If your account is maintained at the Transfer Agent (an “Investment Account”) you will receive statements, at","page_number":156,"box":{"x":102,"y":339,"width":774,"height":11}},{"id":"350b4a73-e009-43c6-ae24-d3b89b3d8da6","block_type":"box","text":"least quarterly, from the Transfer Agent. These statements will serve as confirmations for automatic investment","page_number":156,"box":{"x":70,"y":354,"width":796,"height":11}},{"id":"04382d00-d28c-4c2d-9342-4b89a776a643","block_type":"box","text":"purchases and the reinvestment of dividends. The statements also will show any other activity in your Investment","page_number":156,"box":{"x":70,"y":369,"width":807,"height":11}},{"id":"d9645614-3ee2-4f6b-b495-2a708fd90c17","block_type":"box","text":"Account since the last statement. You also will receive separate confirmations for each purchase or sale transaction","page_number":156,"box":{"x":68,"y":384,"width":830,"height":11}},{"id":"1df58feb-76d1-4deb-9c12-7aaa65edca28","block_type":"box","text":"other than automatic investment purchases and the reinvestment of dividends. If your Investment Account is held at","page_number":156,"box":{"x":69,"y":399,"width":829,"height":11}},{"id":"96c618e4-daa3-40b7-8116-a5d7c03b811d","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":156,"box":{"x":68,"y":414,"width":815,"height":12}},{"id":"14faa7a8-81df-4420-9988-2970453cbc0a","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":156,"box":{"x":70,"y":429,"width":781,"height":12}},{"id":"1d9453fb-053d-4b01-80c8-21b300be4c64","block_type":"box","text":"selected securities dealer or other financial intermediary. If you transfer shares out of an account maintained with a","page_number":156,"box":{"x":69,"y":445,"width":825,"height":11}},{"id":"7e35ec96-0d72-4286-b93f-567313888e30","block_type":"box","text":"selected securities dealer or other financial intermediary, an Investment Account in your name may be opened","page_number":156,"box":{"x":69,"y":460,"width":785,"height":11}},{"id":"b76202fe-d6cf-43b0-878e-fdac98923815","block_type":"box","text":"automatically at the Transfer Agent.","page_number":156,"box":{"x":69,"y":475,"width":251,"height":11}},{"id":"96775edb-4102-452a-9b61-60af834026ac","block_type":"box","text":"You may transfer Fund shares from a selected securities dealer or other financial intermediary to another","page_number":156,"box":{"x":101,"y":498,"width":750,"height":11}},{"id":"f751e35f-bc34-49f4-8f8a-24646220f194","block_type":"box","text":"securities dealer or other financial intermediary that has entered into an agreement with the Distributor. Certain","page_number":156,"box":{"x":69,"y":513,"width":797,"height":11}},{"id":"8d8feb57-fb7e-4acf-b757-1f958a0be661","block_type":"box","text":"shareholder services may not be available for the transferred shares. All future trading of these assets must be","page_number":156,"box":{"x":69,"y":528,"width":797,"height":11}},{"id":"f5997aa3-5d42-4a4c-941d-be2f914d9cce","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":156,"box":{"x":69,"y":543,"width":826,"height":11}},{"id":"665adba4-ee63-4f55-a3c3-47170e4c9dad","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":156,"box":{"x":68,"y":558,"width":792,"height":11}},{"id":"df288142-3066-4ee7-9b43-08a64a1e66e2","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":156,"box":{"x":69,"y":573,"width":824,"height":11}},{"id":"e677bf7b-903a-476b-96d1-5732bf8f9de2","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":156,"box":{"x":69,"y":588,"width":820,"height":11}},{"id":"9137f36d-7805-4d39-9ea5-08ba7f06d43a","block_type":"box","text":"Transfer Agent registered in the name of the securities dealer or other financial intermediary for your benefit whether","page_number":156,"box":{"x":68,"y":603,"width":833,"height":12}},{"id":"7bf0fbea-86bc-4405-9cdc-c004ff3e155c","block_type":"box","text":"the securities dealer or other financial intermediary has entered into a selected dealer agreement or not. In the","page_number":156,"box":{"x":68,"y":618,"width":795,"height":12}},{"id":"1309618a-559e-4621-8472-ef4fe12315a2","block_type":"box","text":"interest of economy and convenience and because of the operating procedures of each Fund, share certificates will","page_number":156,"box":{"x":70,"y":634,"width":822,"height":11}},{"id":"05ad79bd-f911-4334-a233-382b97a859be","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":156,"box":{"x":69,"y":649,"width":814,"height":11}},{"id":"de1f689c-eafa-4582-b72d-c17ddffa3c35","block_type":"box","text":"the holders thereof will have the same rights and ownership with respect to such shares as if certificates had been","page_number":156,"box":{"x":68,"y":664,"width":822,"height":11}},{"id":"fa330649-8f19-417d-880b-9e33e0b9e236","block_type":"box","text":"issued.","page_number":156,"box":{"x":70,"y":679,"width":49,"height":9}},{"id":"cde33625-f3a4-4a40-8b16-d54e571c2ae9","block_type":"box","text":"If you are considering transferring a tax-deferred retirement account, such as an individual retirement account,","page_number":156,"box":{"x":102,"y":702,"width":785,"height":11}},{"id":"12d0a7cd-a3ff-4654-8a4d-7d37410254f7","block_type":"box","text":"from one selected securities dealer to another securities dealer or other financial intermediary, you should be aware","page_number":156,"box":{"x":68,"y":717,"width":830,"height":11}},{"id":"4a9d08ab-86ef-42f6-8090-b727c32dd3a1","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":156,"box":{"x":68,"y":732,"width":790,"height":11}},{"id":"eb30de23-9064-446e-908a-f06f8449b615","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":156,"box":{"x":69,"y":747,"width":831,"height":11}},{"id":"229beeea-bd85-4db6-b8dc-38f4b41c5b10","block_type":"box","text":"to maintain a retirement account at the original selected securities dealer for those shares.","page_number":156,"box":{"x":68,"y":762,"width":652,"height":11}},{"id":"713a11fc-e226-447b-972c-d46f996bfaf5","block_type":"box","text":"Exchange Privilege","page_number":156,"box":{"x":69,"y":792,"width":138,"height":11}},{"id":"ac7e1659-d21c-4d52-baa7-2a4c1c51b6cb","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":156,"box":{"x":102,"y":815,"width":797,"height":11}},{"id":"66cd9eb5-57a5-4433-91e4-7a00a55703e0","block_type":"box","text":"each Fund have an exchange privilege with certain other Funds. However, Investor A1 Shares may only exchange out.","page_number":156,"box":{"x":69,"y":830,"width":832,"height":11}},{"id":"bbecdff9-c3e1-4ecd-8a58-af59768ce7b7","block_type":"box","text":"The minimum amount for exchanges of Investor class shares is $1,000, although you may exchange less than","page_number":156,"box":{"x":68,"y":845,"width":788,"height":12}},{"id":"9c8d8a68-f58d-457a-812e-fd4bf6f69db9","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":156,"box":{"x":69,"y":860,"width":796,"height":12}},{"id":"4cbc5670-a03e-46e9-8aa4-d28d7af41c32","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":156,"box":{"x":69,"y":875,"width":824,"height":12}},{"id":"aab80f14-ecf1-46a1-8968-c30a1c648384","block_type":"box","text":"closed to new investors. Before effecting an exchange, you should obtain a currently effective prospectus of the fund","page_number":156,"box":{"x":69,"y":891,"width":835,"height":11}},{"id":"b6a085d3-06e2-478e-931e-3acef85b5551","block_type":"box","text":"II-118","page_number":156,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"afee5510-4279-421a-9e44-6cd11bf60d88","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":156,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9b4264ea-8aea-49b3-9fe0-5fb461cf9ba9","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":157,"box":{"x":70,"y":45,"width":820,"height":11}},{"id":"30abdfeb-5331-4249-9690-2e6887f5b5da","block_type":"box","text":"shares and a purchase of the acquired shares for U.S. federal income tax purposes.","page_number":157,"box":{"x":69,"y":60,"width":600,"height":11}},{"id":"83dc90cf-21db-498b-800f-6c4323660f37","block_type":"box","text":"Exchanges of Investor A, Investor A1, Investor P, Class K, Institutional and Class G Shares.","page_number":157,"box":{"x":102,"y":82,"width":648,"height":12}},{"id":"f1e863ef-57ed-404a-a258-1a15650d4d0d","block_type":"box","text":"Institutional Shares","page_number":157,"box":{"x":757,"y":83,"width":137,"height":8}},{"id":"87bc08f1-61d3-483a-b2d4-d3620e675abf","block_type":"box","text":"are exchangeable with Institutional Shares of other Funds. Investor A and Investor A1 Shares are exchangeable for","page_number":157,"box":{"x":69,"y":98,"width":817,"height":11}},{"id":"1cac24fe-aba5-4b96-9f8c-2f323b98c89a","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":157,"box":{"x":70,"y":113,"width":798,"height":11}},{"id":"ea440ca9-a4f2-4498-bc0e-727034286b0f","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":157,"box":{"x":69,"y":128,"width":838,"height":11}},{"id":"63ea4e4c-58fe-4c3d-b115-6b15ef2ccedd","block_type":"box","text":"intermediary. Class K Shares are exchangeable for Class K Shares of other Funds. Class G Shares are exchangeable","page_number":157,"box":{"x":70,"y":143,"width":834,"height":11}},{"id":"a42e0e85-9705-4ff8-b7cc-046811aae017","block_type":"box","text":"for Class G Shares of other Funds.","page_number":157,"box":{"x":68,"y":158,"width":246,"height":9}},{"id":"6872d82c-6e44-430b-90b0-a0031d39ee06","block_type":"box","text":"Exchanges of Institutional Shares outstanding for Institutional Shares of a second fund or for shares of a money","page_number":157,"box":{"x":102,"y":181,"width":800,"height":11}},{"id":"7d920d55-5e20-4888-8f22-6fe1e9cfd0f7","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":157,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"9f906355-28a6-46fe-b169-61f41b59d20a","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":157,"box":{"x":69,"y":211,"width":795,"height":11}},{"id":"5dfe8a87-553c-4fe1-95d1-6e9a2136682b","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":157,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"cf1115b7-5634-44b9-985f-36f858986ad2","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":157,"box":{"x":70,"y":241,"width":814,"height":11}},{"id":"1b7409ad-5956-4592-8bd1-1ac6ddde6b50","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":157,"box":{"x":69,"y":256,"width":796,"height":12}},{"id":"76839f4a-0134-4dab-8007-c92d6ce3454e","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":157,"box":{"x":69,"y":271,"width":828,"height":12}},{"id":"869ea8f1-16bd-4312-a4e9-a456a4c7ff6c","block_type":"box","text":"G Shares of a second fund are effected on the basis of relative NAV per share.","page_number":157,"box":{"x":69,"y":286,"width":561,"height":11}},{"id":"80603ab1-aee4-442d-b056-dc77b78715d5","block_type":"box","text":"Exchanges of Investor C Shares.","page_number":157,"box":{"x":102,"y":309,"width":229,"height":11}},{"id":"ee735ced-a4c5-44fb-b54d-7d2f14590cee","block_type":"box","text":"Shareholders of certain Funds with Investor C Shares outstanding (“outstanding","page_number":157,"box":{"x":338,"y":309,"width":570,"height":11}},{"id":"293ea420-c83d-4da2-8462-10682e4857e6","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":157,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"22fea4bc-a83b-4359-8937-ccc438cd9209","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":157,"box":{"x":68,"y":339,"width":839,"height":12}},{"id":"271f9f51-6429-4634-9d35-b746a51d8bcc","block_type":"box","text":"the payment of any CDSC. Certain Funds impose different CDSC schedules. For purposes of computing the CDSC","page_number":157,"box":{"x":68,"y":355,"width":811,"height":11}},{"id":"c5a7d7d7-bd28-42ed-b4af-2079d69e325f","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":157,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"05bd7e52-c9ba-4fff-8d7b-be5088718200","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":157,"box":{"x":68,"y":385,"width":781,"height":11}},{"id":"657374fa-8922-42c0-8e75-f6836bb70f74","block_type":"box","text":"towards the holding period of the new Investor C Shares or new money market fund Shares.","page_number":157,"box":{"x":68,"y":400,"width":654,"height":11}},{"id":"1f60284f-c211-4371-ba17-197f6965254d","block_type":"box","text":"Exchanges of Service Shares.","page_number":157,"box":{"x":102,"y":423,"width":211,"height":11}},{"id":"89b66ded-fe19-4f93-bbe2-1b99fdbd6082","block_type":"box","text":"Service Shares can be exchanged for Service Shares of Funds that are covered by","page_number":157,"box":{"x":319,"y":423,"width":588,"height":11}},{"id":"1b5a7ea7-f08a-4b23-b616-b7bfcbc8e830","block_type":"box","text":"selected dealer agreements with the Distributor.","page_number":157,"box":{"x":69,"y":438,"width":342,"height":11}},{"id":"ae6135af-26ff-41da-b768-c7e52c2ad036","block_type":"box","text":"Exchanges for Shares of a Money Market Fund.","page_number":157,"box":{"x":102,"y":460,"width":335,"height":12}},{"id":"d54abe77-5a82-4dba-9631-3ea28c64325c","block_type":"box","text":"You may exchange any class of Investor class shares, excluding","page_number":157,"box":{"x":443,"y":460,"width":455,"height":12}},{"id":"44c5fb43-0a9e-4a0b-98a1-338be904c83f","block_type":"box","text":"Investor P Shares, for shares of an affiliated money market fund. If you exchange into BlackRock Summit Cash","page_number":157,"box":{"x":70,"y":475,"width":788,"height":12}},{"id":"05949c75-e537-4d2e-9a4b-33c61f95ed2a","block_type":"box","text":"Reserves Fund (“Summit”), a series of BlackRock Financial Institutions Series Trust, you will receive one of two","page_number":157,"box":{"x":70,"y":491,"width":793,"height":11}},{"id":"b57d606b-7964-4605-b547-116311e99f4a","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":157,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"098a73a2-4875-44db-8d44-2677c768cfd8","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":157,"box":{"x":69,"y":521,"width":824,"height":11}},{"id":"a75e6104-a7c3-49b8-8997-0e7ecbcc37b4","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":157,"box":{"x":69,"y":536,"width":805,"height":11}},{"id":"56921220-78c0-40ed-858f-96721a89a677","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":157,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"c1a969f2-0544-4e6e-9661-d4258ffdd2a3","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":157,"box":{"x":69,"y":566,"width":758,"height":11}},{"id":"99ed992e-937e-4e36-8526-43496835a555","block_type":"box","text":"satisfaction of the holding period requirement for purposes of reducing any CDSC. Investor C Shares of Summit are","page_number":157,"box":{"x":69,"y":581,"width":822,"height":12}},{"id":"688fd45a-b0fa-45e9-8e56-628efc230c2f","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":157,"box":{"x":69,"y":596,"width":782,"height":12}},{"id":"1cc89d34-fe7d-4e27-98ff-7dd87788fe96","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":157,"box":{"x":70,"y":612,"width":814,"height":11}},{"id":"72ea7fad-6543-4c22-8c87-612dd37c7b4b","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":157,"box":{"x":69,"y":627,"width":830,"height":11}},{"id":"4de13a14-fef4-4acf-a79d-cf58832303d8","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":157,"box":{"x":69,"y":642,"width":821,"height":11}},{"id":"eeffb0eb-2412-4494-b639-7e30b6d8f4ea","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":157,"box":{"x":69,"y":657,"width":823,"height":11}},{"id":"f67eb9a4-299c-47fd-9c91-048f6dfda9e7","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":157,"box":{"x":70,"y":672,"width":781,"height":11}},{"id":"39297d9c-4969-422d-a8b5-443f5573a3f9","block_type":"box","text":"exchange.","page_number":157,"box":{"x":69,"y":687,"width":70,"height":11}},{"id":"fbb25b3c-0b58-4b94-a7be-db287303d290","block_type":"box","text":"Exchanges by Par ticipants in Cer tain Programs.","page_number":157,"box":{"x":102,"y":710,"width":337,"height":11}},{"id":"ba76d2ab-53a9-458c-81a8-d6e7114f4f5a","block_type":"box","text":"The exchange privilege may be modified with respect to certain","page_number":157,"box":{"x":445,"y":710,"width":448,"height":11}},{"id":"26065be5-f3af-4e14-bd0a-19c513890276","block_type":"box","text":"participants in mutual fund advisory programs and other fee-based programs sponsored by the Manager, an affiliate","page_number":157,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"796732bb-5b2f-46e7-8253-e6b62c5abefe","block_type":"box","text":"of the Manager, or selected securities dealers or other financial intermediaries that have an agreement with the","page_number":157,"box":{"x":69,"y":740,"width":796,"height":11}},{"id":"1b9a2cad-cc2b-4704-8e6b-210bc7b08a01","block_type":"box","text":"Distributor. See “Fee-Based Programs” below.","page_number":157,"box":{"x":70,"y":755,"width":324,"height":11}},{"id":"121ae808-dda9-4773-a16f-1625f4af85d2","block_type":"box","text":"Exercise of the Exchange Privilege.","page_number":157,"box":{"x":102,"y":778,"width":245,"height":11}},{"id":"76900c2a-224d-43b9-912b-32db078f100d","block_type":"box","text":"To exercise the exchange privilege, you should contact your financial adviser","page_number":157,"box":{"x":353,"y":778,"width":543,"height":11}},{"id":"2986f1b6-697d-4e5f-ae3e-1191e3939609","block_type":"box","text":"or the Transfer Agent, who will advise each Fund of the exchange. If you do not hold share certificates, you may","page_number":157,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"bd4afbd8-9758-488a-8cd6-5e4b78d1c8b5","block_type":"box","text":"exercise the exchange privilege by wire through your securities dealer or other financial intermediary. Each Fund","page_number":157,"box":{"x":69,"y":808,"width":795,"height":11}},{"id":"063e6d80-b983-494a-94f2-f08171b9d8d7","block_type":"box","text":"reserves the right to require a properly completed exchange application.","page_number":157,"box":{"x":69,"y":823,"width":512,"height":12}},{"id":"42bf8212-908b-496a-9142-fddf5d86ddd0","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":157,"box":{"x":101,"y":846,"width":772,"height":11}},{"id":"a884da08-5e47-468f-986d-0e6114971b0e","block_type":"box","text":"Transfer Agent at the following address: P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Shareholders are","page_number":157,"box":{"x":68,"y":861,"width":824,"height":11}},{"id":"6888535a-3c6b-4bf8-aa4e-bfaefe294a9b","block_type":"box","text":"automatically provided with telephone exchange privileges when opening an account, unless they indicate on the","page_number":157,"box":{"x":69,"y":876,"width":801,"height":11}},{"id":"7224f3af-1eb6-4ae0-a7aa-67a2ad86affa","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":157,"box":{"x":68,"y":891,"width":817,"height":12}},{"id":"dbeeadb8-f6c9-4625-95e0-1d7eaedc441e","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":157,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"c8ce7fb7-d875-45a1-a202-87f37c833fbf","block_type":"box","text":"II-119","page_number":157,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"77db4063-2b86-4447-8a95-dcd9df6415b0","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":157,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7874ef12-9efe-4cb9-b185-1d795c52bf1f","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":158,"box":{"x":69,"y":45,"width":840,"height":11}},{"id":"2e654d39-ce73-4b0b-a6aa-a90e5a7c75a9","block_type":"box","text":"telephone at (800) 441-7762 to request the exchange. During periods of substantial economic or market change,","page_number":158,"box":{"x":68,"y":60,"width":811,"height":11}},{"id":"223a3c0a-2d52-46d5-8c23-62454b028243","block_type":"box","text":"telephone exchanges may be difficult to complete and shareholders may have to submit exchange requests to the","page_number":158,"box":{"x":68,"y":75,"width":815,"height":11}},{"id":"d48a9978-31c6-4e7d-b16a-41ca44a6b100","block_type":"box","text":"Transfer Agent in writing.","page_number":158,"box":{"x":68,"y":90,"width":175,"height":11}},{"id":"69d5da29-5705-4f0e-b799-a1f06fcc2460","block_type":"box","text":"If the exchanging shareholder does not currently own shares of the investment portfolio whose shares are being","page_number":158,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"75b97c17-0254-49d1-93e4-bb366d35a81c","block_type":"box","text":"acquired, a new account will be established with the same registration, dividend and capital gain options and broker","page_number":158,"box":{"x":69,"y":128,"width":828,"height":11}},{"id":"0d37b45f-9767-4df7-b4ba-ac46b61fcbd7","block_type":"box","text":"of record as the account from which shares are exchanged, unless otherwise specified in writing by the shareholder","page_number":158,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"a2b02f00-1389-437d-8b9d-6427b0bc4d64","block_type":"box","text":"with all signatures guaranteed by an eligible guarantor institution as defined below. In order to participate in the","page_number":158,"box":{"x":68,"y":158,"width":797,"height":11}},{"id":"92a9baec-3ae4-46d9-b99a-6a73d9c3b0a1","block_type":"box","text":"Automatic Investment Program or establish a Systematic Withdrawal Plan for the new account, however, an","page_number":158,"box":{"x":68,"y":173,"width":763,"height":11}},{"id":"99489a6e-f550-4f2d-9356-13daf525fb6a","block_type":"box","text":"exchanging shareholder must file a specific written request.","page_number":158,"box":{"x":69,"y":188,"width":424,"height":12}},{"id":"61d186dd-f58c-4699-bfcc-d57f177ac2f0","block_type":"box","text":"Any share exchange must satisfy the requirements relating to the minimum initial investment requirement, and","page_number":158,"box":{"x":101,"y":211,"width":790,"height":11}},{"id":"c29895b3-9829-48ec-9c2d-7d12f9a71ceb","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":158,"box":{"x":69,"y":226,"width":808,"height":11}},{"id":"69829307-63de-49b1-8cda-52bc60335e4d","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":158,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"b89bd525-29fa-4c18-8296-56705fb0e695","block_type":"box","text":"exchange request, shareholders should consult a tax or other financial adviser and should consider the investment","page_number":158,"box":{"x":69,"y":256,"width":819,"height":12}},{"id":"5b3d79ce-35c9-4125-a856-e00f2c18c4e3","block_type":"box","text":"objective, policies and restrictions of the investment portfolio into which the shareholder is making an exchange.","page_number":158,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"8004efe8-dbb5-4f70-baa5-bc833b6f4402","block_type":"box","text":"Brokers may charge a fee for handling exchanges.","page_number":158,"box":{"x":70,"y":286,"width":354,"height":12}},{"id":"a3324b76-35b5-40bb-b79b-7b47d2a3aee9","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":158,"box":{"x":101,"y":309,"width":782,"height":11}},{"id":"e147e975-834e-4cec-b3bb-27a07e5d4836","block_type":"box","text":"given to shareholders of any material modification or termination except where notice is not required. The Funds","page_number":158,"box":{"x":68,"y":324,"width":800,"height":12}},{"id":"5ab5477f-3cf9-4fbe-9612-9507e84a09e5","block_type":"box","text":"reserve the right to reject any telephone exchange request. Telephone exchanges may be subject to limitations as to","page_number":158,"box":{"x":69,"y":340,"width":831,"height":11}},{"id":"7945169d-8c72-49ff-a88a-c07b420b4c7c","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":158,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"3899ba28-bb40-4eef-a454-9a5c77059032","block_type":"box","text":"do not operate to the disadvantage of any portfolio or its shareholders.","page_number":158,"box":{"x":69,"y":370,"width":506,"height":11}},{"id":"21752bd2-e4a5-4787-9410-4fafa85ca9ef","block_type":"box","text":"The Funds, the Administrators and BRIL will employ reasonable procedures to confirm that instructions","page_number":158,"box":{"x":101,"y":392,"width":733,"height":12}},{"id":"32aff386-8aee-40b4-a1be-b07ac6b1ac0e","block_type":"box","text":"communicated by telephone are genuine. The Funds, the Administrators and BRIL will not be liable for any loss,","page_number":158,"box":{"x":69,"y":407,"width":793,"height":12}},{"id":"90a1d0d1-197a-40cb-a4ef-1856729680b6","block_type":"box","text":"liability, cost or expense for acting upon telephone instructions reasonably believed to be genuine in accordance with","page_number":158,"box":{"x":70,"y":423,"width":832,"height":11}},{"id":"0b2d6d90-fe2c-4480-b91e-9c454e2b6930","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":158,"box":{"x":69,"y":438,"width":785,"height":11}},{"id":"49775a34-e77f-4f62-8044-d343f1f043f3","block_type":"box","text":"telephonic or written exchange instructions from any person representing himself to be the investor and believed by","page_number":158,"box":{"x":68,"y":453,"width":825,"height":11}},{"id":"b0eb48ad-4495-49c7-a8eb-4292e632a503","block_type":"box","text":"the Fund’s Transfer Agent to be genuine. The records of the Fund’s Transfer Agent pertaining to such instructions are","page_number":158,"box":{"x":68,"y":468,"width":837,"height":11}},{"id":"aa8198e2-70e2-42fc-bd5b-4e9b3b857a07","block_type":"box","text":"binding. The exchange privilege may be modified or terminated at any time upon 60 days’ notice to affected","page_number":158,"box":{"x":69,"y":483,"width":767,"height":11}},{"id":"bca7f354-d5c7-4ec9-a5b1-0351c2a7bfa2","block_type":"box","text":"shareholders. The exchange privilege is only available in states where the exchange may legally be made.","page_number":158,"box":{"x":69,"y":498,"width":750,"height":11}},{"id":"17867af1-bd66-4b12-85f8-dc8412d385af","block_type":"box","text":"Each Fund reserves the right to limit the number of times an investor may exercise the exchange privilege.","page_number":158,"box":{"x":102,"y":521,"width":757,"height":11}},{"id":"060c7694-2304-4496-8fac-c283d6fdeb14","block_type":"box","text":"Certain Funds may suspend the continuous offering of their shares to the general public at any time and may resume","page_number":158,"box":{"x":69,"y":536,"width":837,"height":11}},{"id":"d6867b29-8669-4cfc-9e0d-5e91dfa013e1","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":158,"box":{"x":69,"y":551,"width":805,"height":11}},{"id":"fb711fb9-4b0f-4a10-8aec-19caa5f5552a","block_type":"box","text":"exchange legally may be made. The exchange privilege may be applicable to other new mutual funds whose shares","page_number":158,"box":{"x":69,"y":566,"width":817,"height":11}},{"id":"bdbfd153-2d17-47f5-967a-6df1ea59194e","block_type":"box","text":"may be distributed by the Distributor.","page_number":158,"box":{"x":69,"y":582,"width":262,"height":10}},{"id":"004e3275-c396-451d-96ce-c94ab3f752c5","block_type":"box","text":"Participation in Fee-Based Programs","page_number":158,"box":{"x":69,"y":612,"width":266,"height":11}},{"id":"e41f1804-64b0-492e-ad31-f612ad05edcf","block_type":"box","text":"If you participate in certain fee-based programs offered by BlackRock or an affiliate of BlackRock, or selected","page_number":158,"box":{"x":102,"y":634,"width":780,"height":12}},{"id":"3fa80330-14b5-484c-b57e-bef7c39c42c7","block_type":"box","text":"securities dealers or other financial intermediaries that have agreements with the Distributor or in certain fee-based","page_number":158,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"f56fecee-7e45-4e15-a7a4-f8fabbedd12b","block_type":"box","text":"programs in which BlackRock participates, you may be able to buy Institutional Shares, including by exchanges from","page_number":158,"box":{"x":70,"y":664,"width":825,"height":12}},{"id":"c48b148e-2f9d-4f73-af0d-c650a69b8d35","block_type":"box","text":"other share classes. Sales charges on the shares being exchanged may be reduced or waived under certain","page_number":158,"box":{"x":69,"y":680,"width":770,"height":11}},{"id":"b9e98193-6e2c-4ff5-b3ec-bfa5e74c0a76","block_type":"box","text":"circumstances. You generally cannot transfer shares held through a fee-based program into another account. Instead,","page_number":158,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"b8c6fb2c-e15d-4692-b5b4-4fe85dc73ad7","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":158,"box":{"x":70,"y":710,"width":808,"height":11}},{"id":"fa66a4e6-d15a-4692-9cba-3426fccde1f2","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":158,"box":{"x":70,"y":725,"width":838,"height":11}},{"id":"bc23696d-ae13-4186-994f-ad35f9f75aa1","block_type":"box","text":"and you may pay any applicable sales charges or redemption fee. Please speak to your financial intermediary for","page_number":158,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"9e69b7df-df29-4efe-971f-208bdbdb3e11","block_type":"box","text":"information about specific policies and procedures applicable to your account.","page_number":158,"box":{"x":70,"y":755,"width":555,"height":11}},{"id":"bc2e0eb7-3b0e-4841-87fb-b44562ce3e88","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":158,"box":{"x":102,"y":778,"width":788,"height":11}},{"id":"a4116a97-762f-45aa-ad2f-50b7f8a11d7e","block_type":"box","text":"an account. In certain circumstances, when a shareholder chooses to continue to hold the shares, whatever share","page_number":158,"box":{"x":69,"y":793,"width":817,"height":10}},{"id":"24ff686f-3bde-44c5-b62b-649c32aafaf8","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":158,"box":{"x":69,"y":808,"width":796,"height":11}},{"id":"4d2b9b9d-2f74-48b2-a06d-7124ae2a396e","block_type":"box","text":"periods within the program may be subject to a fee upon redemption. Shareholders that held Investor A or","page_number":158,"box":{"x":70,"y":823,"width":754,"height":12}},{"id":"5963ce28-6d1d-4dd2-b864-113210b8dfef","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":158,"box":{"x":70,"y":838,"width":820,"height":12}},{"id":"b010b982-352b-4f92-9ea1-1c43acebf274","block_type":"box","text":"Fund, but may be subject to upfront sales charges with respect to Investor A Shares. Additional purchases of","page_number":158,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"796d91c1-bcba-4446-9e90-fc36b168adbe","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":158,"box":{"x":70,"y":869,"width":791,"height":11}},{"id":"96b5196b-b3af-4dd1-a8ce-7c3fb1d4d554","block_type":"box","text":"eligible to purchase Institutional Shares. Please speak to your financial intermediary for more information.","page_number":158,"box":{"x":69,"y":884,"width":756,"height":11}},{"id":"b3564c39-88cd-4489-b2f8-dd0ebe3f4c5e","block_type":"box","text":"II-120","page_number":158,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e71ca8dd-65a4-4681-a5ee-393949bbc4c0","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":158,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6259d11c-01dd-49b5-b992-2a153e03686f","block_type":"box","text":"Certain financial intermediaries may, in connection with a change in account type (for example, due to leaving a","page_number":159,"box":{"x":102,"y":45,"width":793,"height":11}},{"id":"618050b1-442d-49d4-bb04-8c0619b054cd","block_type":"box","text":"fee-based program or upon termination of the fee-based program) or otherwise in accordance with the financial","page_number":159,"box":{"x":68,"y":60,"width":791,"height":11}},{"id":"2e1f502f-e8f7-4bc7-b056-e1951b452cba","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":159,"box":{"x":70,"y":75,"width":830,"height":11}},{"id":"8dedb1c3-d17d-4428-9485-d4ec23d0cc36","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":159,"box":{"x":69,"y":90,"width":807,"height":11}},{"id":"998fa754-1a0f-479d-beaf-5c422ce84fbb","block_type":"box","text":"eligibility requirements of the new share class. Please speak to your financial intermediary for information about","page_number":159,"box":{"x":69,"y":105,"width":801,"height":11}},{"id":"7d093981-f4c4-4d39-b4c3-a359aac58e9d","block_type":"box","text":"specific policies and procedures applicable to your account.","page_number":159,"box":{"x":69,"y":120,"width":424,"height":11}},{"id":"edda14e1-aedc-41a1-a88c-b74b8b7d4e6a","block_type":"box","text":"Details about the features of each fee-based program and the relevant charges, terms and conditions are","page_number":159,"box":{"x":102,"y":143,"width":752,"height":11}},{"id":"7b69d5f0-c421-4c27-a15a-96a72e009626","block_type":"box","text":"included in the client agreement for each fee-based program and are available from your financial professional,","page_number":159,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"0796c8bf-4fa1-4d2f-8462-ecb2600749ab","block_type":"box","text":"selected securities dealer or other financial intermediary. Please speak to your financial intermediary for more","page_number":159,"box":{"x":69,"y":173,"width":785,"height":11}},{"id":"063f738d-c2a5-419e-b227-73bd8d4aed7d","block_type":"box","text":"information.","page_number":159,"box":{"x":70,"y":188,"width":83,"height":9}},{"id":"cc19a638-15af-40c1-9d27-c9f1402575a8","block_type":"box","text":"Retirement and Education Savings Plans","page_number":159,"box":{"x":69,"y":219,"width":296,"height":11}},{"id":"dc658189-d84b-46b2-a3c6-7196e56a6b7e","block_type":"box","text":"Individual retirement accounts and other retirement and education savings plans are available from your financial","page_number":159,"box":{"x":102,"y":241,"width":805,"height":11}},{"id":"40211e94-0044-4ec9-b15c-6933121923fa","block_type":"box","text":"intermediary. Under these plans, investments may be made in a Fund (other than a Municipal Fund) and certain of","page_number":159,"box":{"x":70,"y":256,"width":815,"height":11}},{"id":"415d83e7-dcde-44b7-b817-0a8b74117655","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":159,"box":{"x":68,"y":271,"width":819,"height":12}},{"id":"ceec5145-5ed6-4cfd-a346-3d91c790ff92","block_type":"box","text":"associated with investing through these plans. Information with respect to these plans is available on request from","page_number":159,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"d6fdd28d-c729-4000-9c3c-4220d739b10a","block_type":"box","text":"your financial intermediary.","page_number":159,"box":{"x":68,"y":302,"width":191,"height":11}},{"id":"71028760-75d8-4c03-a032-0a25875f844f","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":159,"box":{"x":102,"y":324,"width":796,"height":11}},{"id":"a9adb458-edcf-4578-9d12-59d13879def5","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":159,"box":{"x":68,"y":339,"width":784,"height":12}},{"id":"d2d1a169-a1db-4445-80fe-6de427d95a01","block_type":"box","text":"distributed as well. Investors considering participation in any retirement or education savings plan should review","page_number":159,"box":{"x":69,"y":355,"width":801,"height":11}},{"id":"e4313112-e82a-4212-913f-8b40ea8b0974","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":159,"box":{"x":69,"y":370,"width":753,"height":11}},{"id":"81d498d6-686a-48c0-89cd-15add473fb84","block_type":"box","text":"establishment and maintenance of any such plan.","page_number":159,"box":{"x":69,"y":385,"width":354,"height":11}},{"id":"76b6bd04-406c-4d32-b098-bf3bfb4d96e7","block_type":"box","text":"Automatic Investment Plans","page_number":159,"box":{"x":68,"y":415,"width":207,"height":9}},{"id":"22afa4e0-1edc-40fe-b064-277780458d0d","block_type":"box","text":"Investor class shareholders and certain Service Share shareholders who were shareholders of the Compass","page_number":159,"box":{"x":102,"y":438,"width":773,"height":11}},{"id":"815d69dd-2086-441a-b2f5-b35f129ba5f6","block_type":"box","text":"Capital Group of Funds at the time of its combination with The PNC","page_number":159,"box":{"x":69,"y":453,"width":477,"height":11}},{"id":"b73cc008-f19a-4569-b10d-4f6f0ee6baae","block_type":"box","text":"®","page_number":159,"box":{"x":547,"y":453,"width":6,"height":5}},{"id":"1bf48613-5528-4e55-92e7-79cee645da0c","block_type":"box","text":"Fund in 1996 may arrange for periodic","page_number":159,"box":{"x":559,"y":453,"width":272,"height":11}},{"id":"bf59c07b-a1ac-4e43-8076-006d867e5d86","block_type":"box","text":"investments in that Fund through automatic deductions from a checking or savings account. The minimum pre","page_number":159,"box":{"x":70,"y":468,"width":787,"height":11}},{"id":"a2c07a3e-ee16-401d-a07f-7d2d93ec20e0","block_type":"box","text":"authorized investment amount is $50. If you buy shares of a Fund through certain accounts, no minimum charge to","page_number":159,"box":{"x":69,"y":482,"width":822,"height":12}},{"id":"f40da80e-ef17-46ba-b81e-1aebc76d82b2","block_type":"box","text":"your bank account is required. Contact your financial adviser or other financial intermediary for more information.","page_number":159,"box":{"x":68,"y":498,"width":805,"height":11}},{"id":"0351994f-3d49-4157-be89-ba5976714ce9","block_type":"box","text":"Automatic Dividend Reinvestment Plan","page_number":159,"box":{"x":68,"y":529,"width":285,"height":8}},{"id":"0914e27d-df30-4608-871f-07fc51030e01","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":159,"box":{"x":102,"y":551,"width":782,"height":11}},{"id":"a246ca57-6647-4506-adbc-fc15c9d889d1","block_type":"box","text":"shareholders. All distributions are automatically reinvested at NAV in the form of additional full and fractional shares","page_number":159,"box":{"x":69,"y":566,"width":828,"height":11}},{"id":"3762ae6d-c1a4-4f16-9936-987bc7ad0bd5","block_type":"box","text":"of the same class of shares of the relevant Fund unless a shareholder elects otherwise or as otherwise set forth in a","page_number":159,"box":{"x":69,"y":581,"width":839,"height":9}},{"id":"13996119-8925-4da9-b986-2919d9b9c06d","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":159,"box":{"x":70,"y":596,"width":822,"height":12}},{"id":"0b50a6f5-dd1f-4605-8fec-418fcdecc982","block_type":"box","text":"become effective with respect to dividends paid after its receipt by the Transfer Agent.","page_number":159,"box":{"x":69,"y":612,"width":614,"height":11}},{"id":"2bdf5d1f-a220-475b-9a2d-209e82442071","block_type":"box","text":"Systematic Withdrawal Plans","page_number":159,"box":{"x":68,"y":642,"width":214,"height":11}},{"id":"9344f4ab-b858-430e-bee3-c0d668f4543b","block_type":"box","text":"Shareholders may receive regular distributions from their accounts via a Systematic Withdrawal Plan (“SWP”).","page_number":159,"box":{"x":102,"y":664,"width":780,"height":12}},{"id":"27ada9f9-39e5-4782-a014-2f177f8b858b","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":159,"box":{"x":70,"y":679,"width":742,"height":12}},{"id":"01beb274-4b2b-45a7-88c8-77293275fc0d","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":159,"box":{"x":69,"y":694,"width":834,"height":12}},{"id":"3def9c3c-94f9-491b-929a-aecccf3f3d68","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":159,"box":{"x":68,"y":710,"width":823,"height":11}},{"id":"2489f68b-8398-4cc5-a3c8-963c72b35f4d","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":159,"box":{"x":69,"y":725,"width":840,"height":11}},{"id":"12bb675d-6b7b-4750-9afa-dace61cfd8c5","block_type":"box","text":"by completing the Systematic Withdrawal Plan Application Form which may be obtained by visiting our website at","page_number":159,"box":{"x":69,"y":740,"width":800,"height":11}},{"id":"6209ef13-a34e-423c-a258-c3e8808a829b","block_type":"box","text":"www.blackrock.com.","page_number":159,"box":{"x":68,"y":755,"width":142,"height":9}},{"id":"939d5dcb-80e9-4c63-a82a-6174faa868a9","block_type":"box","text":"Shareholders should realize that if withdrawals exceed income dividends their invested principal in the account","page_number":159,"box":{"x":102,"y":778,"width":789,"height":11}},{"id":"d450fbb0-b7f5-47de-afd8-0a02bb550bfc","block_type":"box","text":"will be depleted. To participate in the SWP, shareholders must have their dividends automatically reinvested.","page_number":159,"box":{"x":68,"y":793,"width":774,"height":11}},{"id":"267bf45e-98df-4469-9631-786abf4b4a11","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":159,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"88fe8854-3731-406f-a007-ef51813c0518","block_type":"box","text":"(800) 441-7762. Purchases of additional Investor A or Investor P Shares of the Fund concurrently with withdrawals","page_number":159,"box":{"x":69,"y":823,"width":817,"height":11}},{"id":"b5c64d57-b75c-4531-bdf2-9c9112b68bfb","block_type":"box","text":"may be disadvantageous to investors because of the sales charges involved and, therefore, are discouraged. No","page_number":159,"box":{"x":69,"y":838,"width":803,"height":12}},{"id":"984aec4b-d08b-4f72-b0cc-0815f32eb8a0","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":159,"box":{"x":69,"y":853,"width":820,"height":12}},{"id":"a728ad41-df9b-42de-98a6-45f05de34362","block_type":"box","text":"original investment on an annualized basis. For example, monthly, quarterly and semi-annual SWP redemptions of","page_number":159,"box":{"x":69,"y":869,"width":810,"height":11}},{"id":"a2001edf-f608-4097-8300-39eaeab90f3f","block_type":"box","text":"II-121","page_number":159,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"db8b843c-261a-4599-b631-eed8fe81ed65","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":159,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6aaecdb6-ea6c-48c8-99ce-23899c9f2596","block_type":"box","text":"Investor C Shares will not be subject to the CDSC if they do not exceed 1% (monthly), 3% (quarterly) and 6% (semi","page_number":160,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"3437794b-e417-4ab1-9593-868dbfcff87e","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":160,"box":{"x":69,"y":60,"width":840,"height":11}},{"id":"bca3bc89-478e-40e8-8347-313fdbb76111","block_type":"box","text":"of this limit are still subject to the applicable CDSC.","page_number":160,"box":{"x":69,"y":75,"width":367,"height":11}},{"id":"af1b8c7c-cbe0-4b7f-81d6-b0e975916ac0","block_type":"box","text":"For this reason, a shareholder may not participate in the Automatic Investment Plan described above (see “How","page_number":160,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"0b894661-29f6-4604-bafe-6e206d4b614b","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":160,"box":{"x":68,"y":113,"width":834,"height":11}},{"id":"7df85ba6-868b-49b9-8a98-0fdc6f88ac35","block_type":"box","text":"Prospectus) and the SWP at the same time.","page_number":160,"box":{"x":69,"y":128,"width":311,"height":11}},{"id":"fe76e4a1-abae-438e-bdd6-701170311bc5","block_type":"box","text":"Dividend Allocation Plan","page_number":160,"box":{"x":69,"y":158,"width":176,"height":9}},{"id":"9a3edbc7-828d-4d1b-8d8c-5c2e26799f5d","block_type":"box","text":"The Dividend Allocation Plan, as applicable, allows shareholders to elect to have all their dividends and any other","page_number":160,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"e57e3c68-a9a5-4c7b-ae5c-70f2c8a22b89","block_type":"box","text":"distributions from any Eligible Fund (which means funds so designated by the Distributor from time to time)","page_number":160,"box":{"x":69,"y":196,"width":763,"height":11}},{"id":"90bf7970-1b67-46d5-b897-6f585d3dfd7d","block_type":"box","text":"automatically invested at NAV in one other such Eligible Fund designated by the shareholder, provided the account","page_number":160,"box":{"x":69,"y":211,"width":814,"height":11}},{"id":"01311671-1341-4e6d-9a24-82ce0202465e","block_type":"box","text":"into which the dividends and distributions are directed is initially funded with the requisite minimum amount.","page_number":160,"box":{"x":70,"y":226,"width":771,"height":11}},{"id":"ed578780-f4b0-4cea-94dd-a5ae071dbe45","block_type":"box","text":"PRICING OF SHARES","page_number":160,"box":{"x":406,"y":256,"width":167,"height":9}},{"id":"4d8e653d-2082-41a1-a107-45b9986e09fc","block_type":"box","text":"Determination of Net Asset Value","page_number":160,"box":{"x":69,"y":286,"width":243,"height":9}},{"id":"46f16443-3f4d-4ca2-a356-bf904cfd6a11","block_type":"box","text":"Valuation of Shares.","page_number":160,"box":{"x":101,"y":309,"width":145,"height":9}},{"id":"54af314f-d4d8-4b6a-8f2a-0b47b6159dc7","block_type":"box","text":"The NAV for each class of shares of each Fund is generally calculated as of the close of","page_number":160,"box":{"x":252,"y":309,"width":626,"height":11}},{"id":"2f87bd28-6fa0-4411-b55b-ae8ce6ae175e","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":160,"box":{"x":69,"y":324,"width":785,"height":11}},{"id":"3345cb58-7a0e-4007-b30d-8391e27bd48b","block_type":"box","text":"Valuation of assets held by a Fund is as follows:","page_number":160,"box":{"x":68,"y":339,"width":343,"height":11}},{"id":"39f3659e-fedd-4ecc-9378-f4b26c1c778b","block_type":"box","text":"Equity Investments.","page_number":160,"box":{"x":102,"y":362,"width":143,"height":11}},{"id":"86111819-5b35-4d58-b84f-3809b1331863","block_type":"box","text":"Equity securities traded on a recognized securities exchange (","page_number":160,"box":{"x":252,"y":362,"width":439,"height":11}},{"id":"2787104b-0a57-409e-b1fd-7c7877e1b343","block_type":"box","text":"e.g.","page_number":160,"box":{"x":693,"y":363,"width":25,"height":10}},{"id":"2796db10-f66f-42a5-a2be-ec6694140461","block_type":"box","text":", NYSE), on separate","page_number":160,"box":{"x":720,"y":362,"width":147,"height":11}},{"id":"c02603b2-44be-4f73-a732-9e766e827d19","block_type":"box","text":"trading boards of a securities exchange or through a market system that provides contemporaneous transaction","page_number":160,"box":{"x":68,"y":377,"width":799,"height":11}},{"id":"8b938479-d452-4066-976f-56fe2c8a0d1e","block_type":"box","text":"pricing information (each, an “Exchange”) are valued using information obtained via independent pricing services,","page_number":160,"box":{"x":70,"y":392,"width":808,"height":11}},{"id":"ce2fc932-9b1f-4f75-ae60-4cdfde1485e6","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":160,"box":{"x":68,"y":407,"width":820,"height":11}},{"id":"6925fd57-fd5a-4f70-9ed3-86f366bbfed2","block_type":"box","text":"Exchange prior to the time as of which the assets or liabilities are valued. However, under certain circumstances,","page_number":160,"box":{"x":70,"y":422,"width":805,"height":11}},{"id":"d51b786f-00c4-4112-9b3a-e8d62e94d829","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":160,"box":{"x":69,"y":437,"width":793,"height":11}},{"id":"e1ea3b56-f00a-4cca-af4f-18699e41f1c7","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":160,"box":{"x":70,"y":452,"width":836,"height":11}},{"id":"c75e5219-cc3c-415a-b8ca-fa6739a76df5","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":160,"box":{"x":68,"y":468,"width":815,"height":11}},{"id":"13f8ed9e-a8e2-4e10-9a6e-01be29f360be","block_type":"box","text":"last bid (long positions) or ask (short positions) price, if available, will be used as the value of such security. If a Fund","page_number":160,"box":{"x":70,"y":482,"width":837,"height":12}},{"id":"856e1ca4-641b-4b72-8edb-a077d7993023","block_type":"box","text":"holds both long and short positions in the same security, the last bid price will be applied to securities held long and","page_number":160,"box":{"x":69,"y":498,"width":832,"height":11}},{"id":"cada9d5b-de95-42ae-a1b4-6768e45be1b1","block_type":"box","text":"the last ask price will be applied to securities sold short. If no bid or ask price is available on a day on which a Fund","page_number":160,"box":{"x":68,"y":513,"width":828,"height":11}},{"id":"15ae1225-aaf3-4f10-a5ef-449f2ab4d0a7","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":160,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"16ad305a-a8d5-4bbf-ba6f-c6976c81262e","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":160,"box":{"x":70,"y":543,"width":798,"height":11}},{"id":"990bcdcf-609c-4e66-8c04-bc411309988a","block_type":"box","text":"defined below).","page_number":160,"box":{"x":69,"y":558,"width":106,"height":11}},{"id":"2824e92a-0f09-4b59-8476-d92fe51e4789","block_type":"box","text":"Fixed-Income Investments.","page_number":160,"box":{"x":102,"y":581,"width":194,"height":9}},{"id":"96039410-183d-4fcc-a958-979da9d98259","block_type":"box","text":"Fixed-income securities are generally valued using prices provided by dealers or","page_number":160,"box":{"x":304,"y":581,"width":565,"height":11}},{"id":"1baf2b63-45f2-4fea-8f74-e0563053c411","block_type":"box","text":"prices (including evaluated prices) supplied by the Fund’s approved independent third-party pricing services, each in","page_number":160,"box":{"x":70,"y":596,"width":825,"height":11}},{"id":"654d8596-8f8a-4276-8893-f5b714333ec2","block_type":"box","text":"accordance with the Valuation Procedures. The pricing services may use valuation models that utilize certain inputs","page_number":160,"box":{"x":69,"y":611,"width":823,"height":11}},{"id":"a46847da-f3a6-4813-b34d-ceb98497a78a","block_type":"box","text":"and assumptions to derive values, including transaction data (","page_number":160,"box":{"x":69,"y":626,"width":443,"height":11}},{"id":"bd4ba56d-0ed7-4d65-844f-19885f1deec8","block_type":"box","text":"e.g.","page_number":160,"box":{"x":514,"y":628,"width":24,"height":9}},{"id":"67141191-954a-4c91-a6e1-b170f739e1ce","block_type":"box","text":", recent representative bids and offers), credit","page_number":160,"box":{"x":541,"y":626,"width":328,"height":11}},{"id":"c5d5e48a-43ee-4698-b03e-d295253316cf","block_type":"box","text":"quality information, perceived market movements, news, and other relevant information and by other methods, which","page_number":160,"box":{"x":69,"y":641,"width":834,"height":11}},{"id":"990026ea-c754-4eb8-944d-f82708d47712","block_type":"box","text":"may include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type;","page_number":160,"box":{"x":69,"y":656,"width":769,"height":11}},{"id":"1cf05c71-e201-4d1a-b31c-7da62c3b139a","block_type":"box","text":"indications as to values from dealers; general market conditions; and/or other factors and assumptions. Pricing","page_number":160,"box":{"x":70,"y":671,"width":797,"height":12}},{"id":"c69cebb1-c736-4d74-81d3-fb2c1257f1ad","block_type":"box","text":"services generally value fixed-income securities assuming orderly transactions of an institutional round lot size, but","page_number":160,"box":{"x":69,"y":686,"width":821,"height":12}},{"id":"9e9eb8e8-215e-4318-9410-4f2da418377e","block_type":"box","text":"the Fund may hold or transact in such securities in smaller, odd lot sizes. Odd lots of securities in certain asset","page_number":160,"box":{"x":68,"y":702,"width":798,"height":11}},{"id":"6565b814-17ad-46fc-9f74-6483ec8117ad","block_type":"box","text":"classes may trade at lower prices than institutional round lots, and the value ultimately realized when the securities","page_number":160,"box":{"x":69,"y":717,"width":825,"height":11}},{"id":"2bdd3dc5-3525-49b9-a0c1-15ebf5432064","block_type":"box","text":"are sold could differ from the prices used by a Fund. The amortized cost method of valuation may be used with","page_number":160,"box":{"x":69,"y":732,"width":791,"height":11}},{"id":"27c14439-464e-4e26-8eea-c99c67dea844","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":160,"box":{"x":69,"y":747,"width":814,"height":11}},{"id":"37722d5d-d13a-4698-bae3-f19c65033730","block_type":"box","text":"value. Certain fixed-income investments, including asset-backed and mortgage related securities, may be valued","page_number":160,"box":{"x":68,"y":762,"width":802,"height":11}},{"id":"20fdcffb-9b92-458e-b422-e74ac4963767","block_type":"box","text":"based on valuation models that consider the estimated cash flows of each tranche of the issuer, establish a","page_number":160,"box":{"x":69,"y":777,"width":773,"height":11}},{"id":"2ee404ca-6289-49ef-bc68-f1793f9974ad","block_type":"box","text":"benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique","page_number":160,"box":{"x":69,"y":792,"width":795,"height":12}},{"id":"929e29eb-c28a-49ca-a086-aec23fb454eb","block_type":"box","text":"attributes of the tranche.","page_number":160,"box":{"x":69,"y":807,"width":176,"height":9}},{"id":"e0656dcc-43f2-4120-8a84-d711579b02b6","block_type":"box","text":"Options, Futures, Swaps and Other Derivatives.","page_number":160,"box":{"x":101,"y":830,"width":344,"height":11}},{"id":"17e8493b-dfe5-440e-b89f-74ef73a2272f","block_type":"box","text":"Exchange-traded equity options (except ETF options, equity","page_number":160,"box":{"x":453,"y":830,"width":416,"height":11}},{"id":"8327a937-7d41-4fa2-9dc3-2ba2c82cc6b8","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":160,"box":{"x":70,"y":845,"width":829,"height":11}},{"id":"09219489-7a90-49c7-9f31-24b32aa9af5f","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":160,"box":{"x":69,"y":860,"width":824,"height":12}},{"id":"81742d7f-cf54-41a5-8353-6bc023d4a1ed","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":160,"box":{"x":68,"y":875,"width":838,"height":12}},{"id":"f92f4a45-9b0b-4b26-a6dd-cc649649cb40","block_type":"box","text":"the Fund values such option, the last bid (long positions) or ask (short positions) price, if available, will be used as","page_number":160,"box":{"x":68,"y":891,"width":820,"height":11}},{"id":"9425c2f8-bc22-4a42-9502-9b746ad86745","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":160,"box":{"x":68,"y":906,"width":808,"height":11}},{"id":"027b3b2f-9f0d-4e48-932f-38b0844a0dfd","block_type":"box","text":"II-122","page_number":160,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"d3d1a01e-0894-47ea-abfc-39a71f8d3ff9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":160,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0f03f754-6006-4d65-b707-d3b2300c3b2a","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":161,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"b64da778-b75d-4073-9871-61b5a92aef24","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":161,"box":{"x":68,"y":60,"width":789,"height":11}},{"id":"604a9f7d-f6ee-46df-817e-152b34bcb06d","block_type":"box","text":"options, ETF options, equity index options and OTC derivatives, may be valued using a mathematical model which","page_number":161,"box":{"x":69,"y":75,"width":807,"height":11}},{"id":"be9a31a8-d324-44b4-bae9-49b4523e0296","block_type":"box","text":"may incorporate a number of market data factors. Financial futures contracts and options thereon, which are traded","page_number":161,"box":{"x":69,"y":90,"width":824,"height":11}},{"id":"add39f5f-5108-4651-a29a-86e7b610a576","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":161,"box":{"x":69,"y":105,"width":833,"height":11}},{"id":"90f31bc4-1db9-4797-ac8e-363ac1c909c9","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":161,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"2e836cb0-f9f9-4cdd-baa5-4dbd64d39a39","block_type":"box","text":"accordance with the Valuation Procedures.","page_number":161,"box":{"x":69,"y":136,"width":301,"height":8}},{"id":"75e80b65-f03c-4876-bf2c-2b613522180b","block_type":"box","text":"Underlying Funds.","page_number":161,"box":{"x":102,"y":158,"width":128,"height":11}},{"id":"42c253bd-03a0-4b3d-84b8-ab54b4d8acc6","block_type":"box","text":"Shares of underlying open-end funds that are not traded on an exchange (including money","page_number":161,"box":{"x":237,"y":158,"width":640,"height":11}},{"id":"654df533-08e5-4ce2-b7a5-41a830330ba9","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":161,"box":{"x":69,"y":173,"width":830,"height":11}},{"id":"ed7f0ce5-0be6-4f4d-b9e7-579d9b7e1215","block_type":"box","text":"at their most recent closing price.","page_number":161,"box":{"x":69,"y":188,"width":238,"height":12}},{"id":"4b4ea4ae-727d-425e-aaa2-17ab3c5c7e93","block_type":"box","text":"General Valuation Information.","page_number":161,"box":{"x":101,"y":211,"width":220,"height":9}},{"id":"ee4b11cb-e451-45d2-912d-243fc57a20aa","block_type":"box","text":"Prices obtained from independent third-party pricing services, broker-dealers or","page_number":161,"box":{"x":328,"y":211,"width":564,"height":11}},{"id":"d274ba10-10cf-4d39-a67f-51b19ae4c25e","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":161,"box":{"x":69,"y":226,"width":831,"height":9}},{"id":"9acdf330-4c9e-4d83-8665-62bea98442a0","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":161,"box":{"x":68,"y":241,"width":828,"height":11}},{"id":"d31073f8-d9a1-43d2-9621-96f9bc438432","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":161,"box":{"x":69,"y":257,"width":829,"height":11}},{"id":"94641cf4-436a-4499-8698-85c3856ffedb","block_type":"box","text":"applied prospectively. Such determination will be made considering pertinent facts and circumstances surrounding","page_number":161,"box":{"x":69,"y":271,"width":817,"height":12}},{"id":"8e9a5940-0271-4473-aa07-0b5c95d79c50","block_type":"box","text":"the revision.","page_number":161,"box":{"x":68,"y":287,"width":87,"height":9}},{"id":"056f530b-e0bd-43b4-86e2-6e3fac04e31f","block_type":"box","text":"In determining the market value of portfolio investments, the Fund may employ independent third-party pricing","page_number":161,"box":{"x":102,"y":309,"width":784,"height":11}},{"id":"5d127f5c-59c2-4019-b3d8-9ecb587757c8","block_type":"box","text":"services, which may use, without limitation, evaluated pricing methods that take into consideration market indexes,","page_number":161,"box":{"x":69,"y":325,"width":823,"height":11}},{"id":"bc013229-b271-407f-8f77-d63550c52e5e","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":161,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"861778d4-f39f-4d98-a2cb-34ec88847c5f","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":161,"box":{"x":70,"y":355,"width":832,"height":11}},{"id":"e6452c4b-1a3b-4be7-806a-8da4dc498818","block_type":"box","text":"price the Fund could receive upon the sale of any particular portfolio investment may differ from the Fund’s valuation","page_number":161,"box":{"x":70,"y":370,"width":832,"height":11}},{"id":"7b3bf30b-bd29-4529-86ee-cdf2de9beeef","block_type":"box","text":"of the investment, particularly for assets that trade in thin or volatile markets or that are valued using a fair valuation","page_number":161,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"d78c4bde-6e56-4cce-bf31-87a4f2218e7e","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":161,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"025dcca4-9a10-4ef0-8ded-fa1fb7d3cdd4","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":161,"box":{"x":70,"y":415,"width":833,"height":11}},{"id":"c807377b-c112-401c-a2cf-9fd6c8a0eed6","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":161,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"9856ee1a-d1bb-4dc6-ae1b-f510a5219eea","block_type":"box","text":"impacted by technological issues and/or errors by pricing services or other third-party service providers.","page_number":161,"box":{"x":70,"y":446,"width":741,"height":11}},{"id":"4faec164-63b9-4538-b95a-9ca36f94c818","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":161,"box":{"x":102,"y":468,"width":800,"height":11}},{"id":"5e558f1e-ee91-44b8-8428-9d5f15974ffb","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":161,"box":{"x":69,"y":483,"width":811,"height":11}},{"id":"804044b7-6d8d-4d99-b237-508886389358","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":161,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"906a5b34-0b29-4072-85bf-2267b7cd014c","block_type":"box","text":"value. All other assets and liabilities (including securities for which market quotations are not readily available) held","page_number":161,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"78e6e290-84e1-454f-b4bb-9fc2c65eef69","block_type":"box","text":"by a Fund (including restricted securities and private market investments, as applicable) are valued at fair value as","page_number":161,"box":{"x":69,"y":528,"width":817,"height":12}},{"id":"a1850b45-23f6-4c7a-af46-4088314d7fb5","block_type":"box","text":"determined in good faith by BlackRock pursuant to the Valuation Procedures. Any assets and liabilities which are","page_number":161,"box":{"x":69,"y":543,"width":802,"height":12}},{"id":"02f5ffac-ced0-4e6f-8146-9aa472b0c52a","block_type":"box","text":"denominated in a foreign currency are translated into U.S. dollars at the prevailing market rates.","page_number":161,"box":{"x":69,"y":559,"width":685,"height":11}},{"id":"b71bf477-e8f4-42ec-8d36-b4785eba3600","block_type":"box","text":"Certain of the securities acquired by the Funds may be traded on foreign exchanges or OTC markets on days on","page_number":161,"box":{"x":102,"y":581,"width":795,"height":12}},{"id":"d362c887-94d6-456e-a16d-91c19917a282","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":161,"box":{"x":68,"y":596,"width":805,"height":12}},{"id":"7bd999fe-1472-42ec-b483-1af488c6196f","block_type":"box","text":"days when investors can neither purchase nor redeem shares of the Fund.","page_number":161,"box":{"x":69,"y":612,"width":529,"height":11}},{"id":"92137fdb-e940-46ab-b13a-be8a17a402c0","block_type":"box","text":"Fair Value.","page_number":161,"box":{"x":102,"y":634,"width":74,"height":9}},{"id":"4eb4c532-7abc-4305-9ad7-2339dc8e4a72","block_type":"box","text":"When market quotations are not readily available or are believed by BlackRock to be unreliable, a","page_number":161,"box":{"x":183,"y":634,"width":693,"height":11}},{"id":"af734ad7-e2bd-46f4-9d03-181e7ec9b719","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":161,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"abf26b16-3cc1-40d8-8f33-3cbfdeed4bd0","block_type":"box","text":"accordance with the Valuation Procedures. Pursuant to Rule 2a-5 under the Investment Company Act, the Board of","page_number":161,"box":{"x":69,"y":664,"width":816,"height":12}},{"id":"fc10954b-2a15-43a2-91b6-8aafd688306e","block_type":"box","text":"Directors has designated BlackRock as the valuation designee for the respective Funds for which it serves as","page_number":161,"box":{"x":70,"y":680,"width":779,"height":11}},{"id":"d5d3c80a-0c6b-49f5-8b34-898df9f9dd4a","block_type":"box","text":"investment adviser. BlackRock may reasonably conclude that a market quotation is not readily available or is","page_number":161,"box":{"x":70,"y":695,"width":773,"height":11}},{"id":"e86e1d82-81e9-4cd7-b0bd-8a4ca06a472f","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":161,"box":{"x":69,"y":710,"width":772,"height":11}},{"id":"61a82b6e-dc8b-4596-9c2c-8eb661f82098","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":161,"box":{"x":69,"y":725,"width":826,"height":11}},{"id":"e43d5281-1263-4653-94ca-699d1b3867fa","block_type":"box","text":"(","page_number":161,"box":{"x":69,"y":740,"width":3,"height":11}},{"id":"7bbaa714-3dff-44c5-b540-4640c9ca9e49","block_type":"box","text":"e.g.","page_number":161,"box":{"x":74,"y":742,"width":25,"height":9}},{"id":"13e92e5d-80d3-4ec2-b89f-f1e64a502859","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":161,"box":{"x":101,"y":740,"width":806,"height":11}},{"id":"205d0ac8-264e-400f-85f0-adf4771b8a3c","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":161,"box":{"x":69,"y":755,"width":813,"height":11}},{"id":"bdef0db5-9f87-471f-9f58-05c44ce56521","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":161,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"1b0a689e-0aaf-4f79-8d44-aed51a6ff379","block_type":"box","text":"purpose, a “significant event” is deemed to occur if BlackRock determines, in its reasonable business judgment, that","page_number":161,"box":{"x":70,"y":785,"width":838,"height":12}},{"id":"c0dd3444-bccd-44c9-971d-b552ee5a8840","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":161,"box":{"x":69,"y":801,"width":824,"height":11}},{"id":"206a0312-d10c-49ed-8891-fa7d5b57ac58","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":161,"box":{"x":69,"y":816,"width":828,"height":11}},{"id":"c180a381-c65f-4852-a5fb-20c11b5bc409","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":161,"box":{"x":69,"y":831,"width":793,"height":11}},{"id":"ca32e6e5-0c7f-4779-a776-64af02e3e2d1","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":161,"box":{"x":70,"y":846,"width":819,"height":11}},{"id":"6269d71c-de89-4dc6-b2d6-37f9ab759e11","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":161,"box":{"x":68,"y":861,"width":810,"height":11}},{"id":"aa4e26cc-497b-4aa7-b804-26981dfe90e4","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":161,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"01d08d81-ca9f-4740-bb61-bad1d2abfeb7","block_type":"box","text":"be treated as a Fair Value Asset. For certain foreign assets, a third-party vendor supplies evaluated, systematic fair","page_number":161,"box":{"x":69,"y":891,"width":822,"height":12}},{"id":"d1d6856b-66e5-401b-bea6-7c8a08aa70f4","block_type":"box","text":"value pricing based upon the movement of a proprietary multi-factor model after the relevant foreign markets have","page_number":161,"box":{"x":68,"y":906,"width":814,"height":12}},{"id":"fc9d1af0-8111-4b20-8500-ef0b5baf07b9","block_type":"box","text":"II-123","page_number":161,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"66788b5e-46f7-4ab3-b655-754eefbd613a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":161,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1b734910-7c7a-48f3-a471-a791266b0e9c","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":162,"box":{"x":69,"y":45,"width":827,"height":11}},{"id":"3bc3d2e8-0917-451f-a1fd-c9021bed57db","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":162,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"bd07c450-665c-4c05-a824-60d5c66dc0f7","block_type":"box","text":"pricing time.","page_number":162,"box":{"x":70,"y":75,"width":85,"height":11}},{"id":"b4a0d540-4f3d-4a0a-83e6-bda0ed6a77db","block_type":"box","text":"BlackRock’s Rule 2a-5 Committee is responsible for reviewing and approving methodologies by investment type","page_number":162,"box":{"x":102,"y":98,"width":794,"height":11}},{"id":"bcdae3c8-4dd3-441f-a630-7ef9f61dade4","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":162,"box":{"x":69,"y":113,"width":829,"height":11}},{"id":"f45842b7-2887-4e7b-97a9-a9cc27cdc341","block_type":"box","text":"assists BlackRock by periodically endeavoring to confirm the prices it receives from all third-party pricing services,","page_number":162,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"6723ad32-b69e-4f4f-84c1-7415edd40f83","block_type":"box","text":"index providers and broker-dealers. BlackRock regularly evaluates the values assigned to the securities and other","page_number":162,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"4ee6844a-6771-4240-9954-7e8a8ec48339","block_type":"box","text":"assets and liabilities of the Funds.","page_number":162,"box":{"x":69,"y":158,"width":245,"height":9}},{"id":"565ee1f7-1054-40ef-b1b3-6c4956ff93ee","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":162,"box":{"x":101,"y":181,"width":795,"height":11}},{"id":"a1cf20b7-de0f-492d-ab58-adcd3da5f866","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":162,"box":{"x":69,"y":196,"width":832,"height":11}},{"id":"998e235f-f6c6-4d05-b268-bfe1be43c762","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":162,"box":{"x":69,"y":211,"width":805,"height":11}},{"id":"06aad11f-214a-4c44-98b0-f65b6e3c7e38","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":162,"box":{"x":69,"y":226,"width":834,"height":11}},{"id":"5f4a949a-38fd-4031-b566-a26fd25736d4","block_type":"box","text":"determinations will be based upon all available factors that BlackRock deems relevant at the time of the","page_number":162,"box":{"x":69,"y":241,"width":744,"height":11}},{"id":"84f63905-6219-43c8-92f9-a94a6ade443b","block_type":"box","text":"determination, and may be based on analytical values determined by BlackRock using proprietary or third-party","page_number":162,"box":{"x":69,"y":257,"width":791,"height":11}},{"id":"d6938e54-869a-4f27-af64-a58040026136","block_type":"box","text":"valuation models.","page_number":162,"box":{"x":68,"y":272,"width":125,"height":8}},{"id":"d7e1b2b4-f774-4a37-bc20-1192cca9cba3","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":162,"box":{"x":102,"y":294,"width":785,"height":11}},{"id":"9bbc51e3-fc84-4af4-87a2-52071690f32c","block_type":"box","text":"value of an investment, one or more fair value methodologies may be used (depending on certain factors, including","page_number":162,"box":{"x":68,"y":309,"width":822,"height":11}},{"id":"8db0834c-77e1-489f-a6f2-ae0b8652bbc1","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":162,"box":{"x":68,"y":324,"width":820,"height":12}},{"id":"e2c15d7f-ed61-4c17-a02b-9e3d9cf748ab","block_type":"box","text":"alternatively, using proprietary or third-party models that may rely upon one or more unobservable inputs. Prices of","page_number":162,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"8e0d9d71-2e4a-4c90-9bce-280632a80755","block_type":"box","text":"actual, executed or historical transactions in the relevant investment (or comparable instruments) or, where","page_number":162,"box":{"x":69,"y":355,"width":766,"height":11}},{"id":"ee7025fd-2fd7-4779-9aee-94780667520c","block_type":"box","text":"appropriate, an appraisal by a third-party experienced in the valuation of similar instruments, may also be used as a","page_number":162,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"a303694b-e705-423c-b094-886ac04c8744","block_type":"box","text":"basis for establishing the fair value of an investment.","page_number":162,"box":{"x":69,"y":385,"width":378,"height":11}},{"id":"07733a3b-60d2-4382-aaae-ab434df1ad83","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":162,"box":{"x":101,"y":407,"width":784,"height":12}},{"id":"ec1e3802-f5ec-4b2d-9bc3-86a92253b07e","block_type":"box","text":"liabilities could have been sold during the period in which the particular fair values were used in determining a Fund’s","page_number":162,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"10ddfe74-3e24-47f2-b0af-ee3a9794cdb0","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":162,"box":{"x":70,"y":438,"width":834,"height":11}},{"id":"8e8708df-7d30-4753-a669-865b1a48af86","block_type":"box","text":"fair value, may have the effect of diluting or increasing the economic interest of existing shareholders.","page_number":162,"box":{"x":68,"y":453,"width":728,"height":11}},{"id":"9e80fefa-915d-4812-b6c4-79579f2bd2ea","block_type":"box","text":"Each Fund’s annual audited financial statements, which are prepared in accordance with accounting principles","page_number":162,"box":{"x":102,"y":475,"width":786,"height":12}},{"id":"eb49a9c3-bc96-4154-a6ca-312de85b859f","block_type":"box","text":"generally accepted in the United States of America (“US GAAP”), follow the requirements for valuation set forth in","page_number":162,"box":{"x":68,"y":491,"width":809,"height":11}},{"id":"b3f7e6bd-d70f-4ff6-8412-25d0280621d5","block_type":"box","text":"Financial Accounting Standards Board Accounting Standards Codification Topic 820, “Fair Value Measurements and","page_number":162,"box":{"x":70,"y":506,"width":821,"height":11}},{"id":"41b70b1c-d582-41c3-bcc6-518f44810b82","block_type":"box","text":"Disclosures” (“ASC 820”), which defines and establishes a framework for measuring fair value under US GAAP and","page_number":162,"box":{"x":70,"y":521,"width":818,"height":11}},{"id":"ebed7de0-4e86-40c7-abc0-98e9e9036fa5","block_type":"box","text":"expands financial statement disclosure requirements relating to fair value measurements.","page_number":162,"box":{"x":69,"y":536,"width":641,"height":11}},{"id":"16fa43c1-eea8-4007-a30d-128dd856001e","block_type":"box","text":"Generally, ASC 820 and other accounting rules applicable to funds and various assets in which they invest are","page_number":162,"box":{"x":102,"y":559,"width":786,"height":11}},{"id":"a7ed2471-6461-436b-9da2-5b495d357a96","block_type":"box","text":"evolving. Such changes may adversely affect a Fund. For example, the evolution of rules governing the determination","page_number":162,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"b349ad3c-f7d3-4161-b982-4ea0a45aebbc","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":162,"box":{"x":69,"y":589,"width":780,"height":11}},{"id":"f0b71bba-b318-4f2e-a26d-3e7dda3b0613","block_type":"box","text":"increase the cost and/or reduce the availability of third-party determinations of fair market value. This may in turn","page_number":162,"box":{"x":70,"y":604,"width":810,"height":11}},{"id":"61c08a9f-4c81-47b6-ba81-4828bdd95c6f","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":162,"box":{"x":70,"y":619,"width":810,"height":11}},{"id":"dd4bdcb5-d624-4b4b-b9dd-9298b40d26a8","block_type":"box","text":"party determination of fair market value.","page_number":162,"box":{"x":70,"y":634,"width":285,"height":11}},{"id":"a5dae142-37cb-45c1-bac4-84ba6527c33f","block_type":"box","text":"Computation of Offering Price Per Share","page_number":162,"box":{"x":69,"y":665,"width":292,"height":11}},{"id":"cb9eb417-94e4-449e-b931-efd62b3a3046","block_type":"box","text":"See “Computation of Offering Price Per Share” in Part I of a Fund’s SAI for an illustration of the computation of","page_number":162,"box":{"x":102,"y":687,"width":791,"height":11}},{"id":"954cf1ec-ce17-4e5d-be26-a65b66f96e80","block_type":"box","text":"the offering price for shares of your Fund.","page_number":162,"box":{"x":68,"y":702,"width":295,"height":12}},{"id":"9931a65c-e090-418e-87ea-650985704ce7","block_type":"box","text":"PORTFOLIO TRANSACTIONS AND BROKERAGE","page_number":162,"box":{"x":303,"y":732,"width":373,"height":10}},{"id":"a6272f84-ba07-4a97-b69e-bcc8f0d3d9c2","block_type":"box","text":"Transactions in Portfolio Securities","page_number":162,"box":{"x":68,"y":762,"width":257,"height":9}},{"id":"df0ec835-7441-4ee1-979d-4035738fbf2c","block_type":"box","text":"Subject to policies established by the Board of Directors, BlackRock is primarily responsible for the execution of","page_number":162,"box":{"x":102,"y":785,"width":798,"height":11}},{"id":"debbdf5f-167d-4194-82ff-2a450cf8d6f2","block_type":"box","text":"a Fund’s portfolio transactions and the allocation of brokerage. BlackRock does not execute transactions through any","page_number":162,"box":{"x":69,"y":800,"width":839,"height":11}},{"id":"eb6e542b-8841-4bbe-9443-fd8afb0d0cd6","block_type":"box","text":"particular broker or dealer, but seeks to obtain the best net results for the Fund, taking into account certain factors","page_number":162,"box":{"x":70,"y":815,"width":822,"height":11}},{"id":"28d07f83-fb14-4641-8c61-c279885dc97f","block_type":"box","text":"set out below. While BlackRock generally seeks reasonable trade execution costs, a Fund does not necessarily pay","page_number":162,"box":{"x":69,"y":830,"width":820,"height":11}},{"id":"48177693-3c61-4813-a7c0-75fb058b881f","block_type":"box","text":"the lowest spread or commission available, and payment of the lowest commission or spread is not necessarily","page_number":162,"box":{"x":68,"y":845,"width":798,"height":11}},{"id":"99f83fa7-ac7d-4755-8d1f-6f75b79d8288","block_type":"box","text":"consistent with obtaining the best price and execution in particular transactions. Subject to applicable legal","page_number":162,"box":{"x":69,"y":860,"width":765,"height":12}},{"id":"6a254dd1-9599-4f60-9d06-d2739619fc73","block_type":"box","text":"requirements, BlackRock may select a broker based partly upon brokerage or research services provided to","page_number":162,"box":{"x":69,"y":876,"width":768,"height":11}},{"id":"e534dbf7-bd57-49ee-a947-f1200155d46f","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":162,"box":{"x":70,"y":891,"width":830,"height":11}},{"id":"8fb66292-89f0-43ee-9917-30215050eacc","block_type":"box","text":"II-124","page_number":162,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"2fb02fa9-6de9-46ac-8a5c-09cb0f9e325b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":162,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f3334ce2-0222-4c0e-8ca8-17a6e01a59df","block_type":"box","text":"commission than other brokers would charge if BlackRock determines in good faith that the commission is","page_number":163,"box":{"x":69,"y":45,"width":760,"height":11}},{"id":"4ad4c994-b3db-445b-bc30-09608ddacd09","block_type":"box","text":"reasonable in relation to the services provided.","page_number":163,"box":{"x":69,"y":60,"width":336,"height":11}},{"id":"26644315-5851-4b6d-8c30-6ca37d680c7a","block_type":"box","text":"In the case of Feeder Funds, because each Feeder Fund generally invests exclusively in beneficial interests of a","page_number":163,"box":{"x":102,"y":82,"width":794,"height":12}},{"id":"add941fa-0e35-4c89-b663-f631353d5f21","block_type":"box","text":"Master Portfolio, it is expected that all transactions in portfolio securities will be entered into by the Master Portfolio.","page_number":163,"box":{"x":70,"y":98,"width":835,"height":11}},{"id":"eac0235d-a897-472c-a90d-e9f177fbe67a","block_type":"box","text":"In selecting brokers or dealers to execute portfolio transactions, the Manager and sub-advisers seek to obtain","page_number":163,"box":{"x":102,"y":120,"width":784,"height":12}},{"id":"011a1235-8d04-478e-9399-b726405071ec","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":163,"box":{"x":68,"y":135,"width":829,"height":12}},{"id":"27c4637b-8b15-4369-a4a4-cf0e9eb336b2","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":163,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"69b0ecd5-ad1e-452e-be1f-81b502468671","block_type":"box","text":"(ii) the desired timing of the transaction; (iii) BlackRock’s knowledge of the expected commission rates and spreads","page_number":163,"box":{"x":69,"y":166,"width":826,"height":11}},{"id":"5db83164-7627-46ce-b806-89033b523e31","block_type":"box","text":"currently available; (iv) the activity existing and expected in the market for the particular security or instrument,","page_number":163,"box":{"x":69,"y":181,"width":789,"height":11}},{"id":"b6260719-c0aa-4646-bbeb-a93fd26fe5a0","block_type":"box","text":"including any anticipated execution difficulties; (v) the full range of brokerage services provided; (vi) the broker’s or","page_number":163,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"4ee8b1f4-e205-42ce-9a7b-92f2dcf51810","block_type":"box","text":"dealer’s capital; (vii) the quality of research and research services provided; (viii) the reasonableness of the","page_number":163,"box":{"x":69,"y":211,"width":769,"height":11}},{"id":"c2a43c13-57a4-453f-aee0-b35b7c2d4582","block_type":"box","text":"commission, dealer spread or its equivalent for the specific transaction; and (ix) BlackRock’s knowledge of any actual","page_number":163,"box":{"x":69,"y":226,"width":837,"height":11}},{"id":"a279ba98-94da-4200-b0f2-49d55cf63267","block_type":"box","text":"or apparent operational problems of a broker or dealer.","page_number":163,"box":{"x":69,"y":241,"width":391,"height":11}},{"id":"09fc681f-933f-4ab0-8cd5-87cecf1365b4","block_type":"box","text":"Section 28(e) of the Exchange Act (“Section 28(e)”) permits an investment adviser, under certain circumstances","page_number":163,"box":{"x":102,"y":264,"width":801,"height":11}},{"id":"5ef921f9-c6c3-48e7-bee1-fd0387afb488","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":163,"box":{"x":68,"y":279,"width":802,"height":11}},{"id":"13a7f46e-78a4-49fb-a776-c8d1f1fb3936","block_type":"box","text":"another broker or dealer would have charged for effecting the same transaction in recognition of the value of","page_number":163,"box":{"x":69,"y":294,"width":775,"height":11}},{"id":"dff65ef1-eb64-4ac2-849c-f3d836aa4348","block_type":"box","text":"brokerage and research services provided by that broker or dealer. This includes commissions paid on riskless","page_number":163,"box":{"x":69,"y":309,"width":790,"height":11}},{"id":"143604fb-7cf2-4dc8-8a09-cb39d3de72fe","block_type":"box","text":"principal transactions under certain conditions. Brokerage and research services include: (1) furnishing advice as to","page_number":163,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"8c974985-5987-49b3-8b7a-ac4b0a09c7dc","block_type":"box","text":"the value of securities, including pricing and appraisal advice, credit analysis, risk measurement analysis,","page_number":163,"box":{"x":68,"y":339,"width":753,"height":12}},{"id":"06561db7-119a-4395-9a06-d3bded409d5a","block_type":"box","text":"performance and other analysis, as well as the advisability of investing in, purchasing or selling securities, and the","page_number":163,"box":{"x":70,"y":355,"width":818,"height":11}},{"id":"c5ee4918-4447-4f13-8568-61f4af3d290a","block_type":"box","text":"availability of securities or purchasers or sellers of securities; (2) furnishing analyses and reports concerning issuers,","page_number":163,"box":{"x":69,"y":370,"width":837,"height":11}},{"id":"253c6ffd-e423-465f-b487-d4db5af944f2","block_type":"box","text":"industries, securities, economic factors and trends, portfolio strategy, and the performance of accounts; and","page_number":163,"box":{"x":70,"y":385,"width":775,"height":11}},{"id":"44a96b03-04b1-434f-b6b9-5e0124f34ccd","block_type":"box","text":"(3) effecting securities transactions and performing functions incidental to securities transactions (such as","page_number":163,"box":{"x":69,"y":400,"width":764,"height":11}},{"id":"4bf57beb-b544-46cd-8f85-fe4cc413002a","block_type":"box","text":"clearance, settlement, and custody). BlackRock believes that access to independent investment research is","page_number":163,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"44498fd5-1b5d-40e3-9daf-cc812551f66c","block_type":"box","text":"beneficial to its investment decision-making processes and, therefore, to the Funds.","page_number":163,"box":{"x":69,"y":430,"width":599,"height":11}},{"id":"16a2b710-b88e-4595-921b-b2188c1f8666","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may participate in client commission arrangements under which","page_number":163,"box":{"x":102,"y":453,"width":796,"height":11}},{"id":"c7e7bfe4-1055-4cea-a4ec-822fe2cc9ed1","block_type":"box","text":"BlackRock may execute transactions through a broker-dealer and request that the broker-dealer allocate a portion of","page_number":163,"box":{"x":70,"y":468,"width":829,"height":11}},{"id":"f4cfbfcb-6bdd-4d6e-ab60-b3c8bdb4410f","block_type":"box","text":"the commissions or commission credits to another firm that provides research to BlackRock. BlackRock believes that","page_number":163,"box":{"x":68,"y":483,"width":839,"height":11}},{"id":"750b3fba-3a8b-4a10-a979-c7b01b73a12b","block_type":"box","text":"research services obtained through soft dollar or commission sharing arrangements enhance its investment decision","page_number":163,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"ef6c81c0-294f-4d54-86a1-682e339d9d20","block_type":"box","text":"making capabilities, thereby increasing the prospects for higher investment returns. BlackRock will engage only in","page_number":163,"box":{"x":69,"y":513,"width":809,"height":12}},{"id":"c8cfa62a-8b67-46ff-a1e0-af8791fac67b","block_type":"box","text":"soft dollar or commission sharing transactions that comply with the requirements of Section 28(e). Certain Funds","page_number":163,"box":{"x":69,"y":528,"width":808,"height":12}},{"id":"079788c9-6c87-454a-a6c1-85cf29805ada","block_type":"box","text":"may be subject to additional regulations, including MiFID II. Under MiFID II, EU investment managers, including BIL,","page_number":163,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"c58d80e9-22c0-47ad-9732-7bd2249a4bcc","block_type":"box","text":"pay for any research out of their own resources and not through soft dollars or commission sharing arrangements.","page_number":163,"box":{"x":70,"y":559,"width":813,"height":11}},{"id":"6b93f0d5-bc04-4a80-964f-793382fe6b80","block_type":"box","text":"BlackRock regularly evaluates the soft dollar products and services utilized, as well as the overall soft dollar and","page_number":163,"box":{"x":70,"y":574,"width":801,"height":11}},{"id":"f8e8c78f-383b-4ea3-aed5-899becda1c4f","block_type":"box","text":"commission sharing arrangements to ensure that trades are executed by firms that are regarded as best able to","page_number":163,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"f0915f4f-229d-4f6b-b4ae-d252c721ab0e","block_type":"box","text":"execute trades for client accounts, while at the same time providing access to the research and other services","page_number":163,"box":{"x":69,"y":604,"width":790,"height":11}},{"id":"8aa97fc3-8dbf-4f61-982f-ea6ec970d32e","block_type":"box","text":"BlackRock views as impactful to its trading results.","page_number":163,"box":{"x":70,"y":619,"width":361,"height":11}},{"id":"3f34b8bd-24fd-4e3e-a6ce-bd49b740d517","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may utilize soft dollars and related services, including research","page_number":163,"box":{"x":102,"y":642,"width":791,"height":11}},{"id":"0a1ea3b2-c2e5-4c7e-b38c-e5b6e34d97e5","block_type":"box","text":"(whether prepared by the broker-dealer or prepared by a third-party and provided to BlackRock by the broker-dealer)","page_number":163,"box":{"x":69,"y":657,"width":819,"height":11}},{"id":"2befdf01-b447-4583-88a3-95b139e6e9fa","block_type":"box","text":"and execution or brokerage services within applicable rules and BlackRock’s policies to the extent that such","page_number":163,"box":{"x":69,"y":672,"width":772,"height":11}},{"id":"50339a1e-72b2-422c-bcb1-4e7dd1119e00","block_type":"box","text":"permitted services do not compromise BlackRock’s ability to seek to obtain best execution. In this regard, the","page_number":163,"box":{"x":70,"y":687,"width":785,"height":11}},{"id":"52177875-72a5-4e6c-a9a0-965372627c96","block_type":"box","text":"portfolio management investment and/or trading teams may consider a variety of factors, including the degree to","page_number":163,"box":{"x":70,"y":702,"width":806,"height":12}},{"id":"1dfa9f17-57b7-40af-ab4d-2ddf0b946551","block_type":"box","text":"which the broker-dealer: (a) provides access to company management; (b) provides access to their analysts;","page_number":163,"box":{"x":68,"y":718,"width":772,"height":11}},{"id":"b68ef957-5023-4c26-b646-cbe5b512d8db","block_type":"box","text":"(c) provides meaningful/insightful research notes on companies or other potential investments; (d) facilitates calls on","page_number":163,"box":{"x":69,"y":732,"width":838,"height":12}},{"id":"c7c0ca1c-2f1c-48f7-8b15-2a452fd92c8b","block_type":"box","text":"which meaningful or insightful ideas about companies or potential investments are discussed; (e) facilitates","page_number":163,"box":{"x":68,"y":748,"width":769,"height":11}},{"id":"22caea75-e731-4f9d-a498-b89fcf101c89","block_type":"box","text":"conferences at which meaningful or insightful ideas about companies or potential investments are discussed; or","page_number":163,"box":{"x":69,"y":763,"width":801,"height":11}},{"id":"c0c5c7c7-7b4a-4ed1-89da-e32506c73d9f","block_type":"box","text":"(f) provides research tools such as market data, financial analysis, and other third-party related research and","page_number":163,"box":{"x":69,"y":778,"width":778,"height":11}},{"id":"5adfd703-c860-4d66-bc18-06fc4e3fbdfd","block_type":"box","text":"brokerage tools that aid in the investment process.","page_number":163,"box":{"x":69,"y":793,"width":363,"height":11}},{"id":"40bfc4cc-34b4-4df0-8179-c470edeb1cec","block_type":"box","text":"Research-oriented services for which BlackRock, unless prohibited by applicable law, might pay with Fund","page_number":163,"box":{"x":102,"y":816,"width":749,"height":11}},{"id":"b630fe36-7dbc-415f-9797-a010e59ba800","block_type":"box","text":"commissions may be in written form or through direct contact with individuals and may include information as to","page_number":163,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"b270fd4a-c471-4ea0-8dcc-e6bbd327c0ef","block_type":"box","text":"particular companies or industries and securities or groups of securities, as well as market, economic, or","page_number":163,"box":{"x":70,"y":846,"width":752,"height":11}},{"id":"adc00816-9396-4f7c-b9c7-6dc6d0e361ed","block_type":"box","text":"institutional advice and statistical information, political developments and technical market information that assists","page_number":163,"box":{"x":70,"y":861,"width":823,"height":11}},{"id":"e23b9813-f149-4874-9263-39ff36567a56","block_type":"box","text":"in the valuation of investments. Except as noted immediately below, research services furnished by brokers may be","page_number":163,"box":{"x":70,"y":876,"width":822,"height":11}},{"id":"d0ae71d1-2bfd-44e8-9c96-a1e128c39669","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":163,"box":{"x":69,"y":891,"width":840,"height":12}},{"id":"e4f5a925-5926-455d-8ece-f8fc2b299523","block_type":"box","text":"that paid commissions to the broker providing such services. In some cases, research information received from","page_number":163,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"44faee9a-3dd6-49d2-abd1-8cba5bd926eb","block_type":"box","text":"II-125","page_number":163,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"3380239d-48c8-474d-b17b-54343747ee31","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":163,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e4581036-4991-48be-8942-73088d6b1431","block_type":"box","text":"brokers by mutual fund management personnel, or personnel principally responsible for BlackRock’s individually","page_number":164,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"1c5d374e-6746-4580-bfb9-a303538b2e5e","block_type":"box","text":"managed portfolios, is not necessarily shared by and between such personnel. Any investment advisory or other fees","page_number":164,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"cdb54ad3-ce52-4b33-8cf7-0d9522b4bc4c","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":164,"box":{"x":70,"y":75,"width":832,"height":11}},{"id":"d46d51ae-b102-499a-8d29-cdf955cc4386","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":164,"box":{"x":70,"y":90,"width":798,"height":11}},{"id":"60563cfc-fc92-4f68-889e-d21a353165ba","block_type":"box","text":"occurs BlackRock makes a good faith allocation, under all the circumstances, between the research and non","page_number":164,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"b2bff381-5d14-4dd1-b178-8d76d0e4bde8","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":164,"box":{"x":69,"y":120,"width":827,"height":12}},{"id":"8bc712c0-3dc0-49fc-a00c-64accb20b60e","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":164,"box":{"x":69,"y":135,"width":821,"height":12}},{"id":"723a0951-d36a-4766-9fd1-bed42b71587f","block_type":"box","text":"non-research purposes. In making this good faith allocation, BlackRock faces a potential conflict of interest, but","page_number":164,"box":{"x":69,"y":150,"width":797,"height":12}},{"id":"269b6008-b2c6-4c7c-a636-c3d6262c7702","block_type":"box","text":"BlackRock believes that its allocation procedures are reasonably designed to ensure that it appropriately allocates","page_number":164,"box":{"x":70,"y":166,"width":815,"height":11}},{"id":"e2825619-8059-4d04-9f47-c874feee4317","block_type":"box","text":"the anticipated use of such services to their research and non-research uses.","page_number":164,"box":{"x":68,"y":181,"width":555,"height":11}},{"id":"48bc42fe-8789-429c-aca7-1eeec4986765","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":164,"box":{"x":102,"y":203,"width":802,"height":12}},{"id":"82d575aa-cda4-4bd9-bcd3-e753e975ebd2","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":164,"box":{"x":68,"y":218,"width":825,"height":12}},{"id":"21b9c835-b111-4516-ba2f-b3ba234e796d","block_type":"box","text":"or agree with clients to have research costs paid by clients through research payment accounts that are directly","page_number":164,"box":{"x":69,"y":234,"width":798,"height":11}},{"id":"79b8a56f-85c7-452b-b26f-7dda99f0160a","block_type":"box","text":"funded or funded by a specific client research charge collected alongside execution commissions, provided that the","page_number":164,"box":{"x":68,"y":249,"width":824,"height":11}},{"id":"d774e9a6-46c6-48e5-84c2-a02028425c12","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":164,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"8a549451-ebd1-48e1-b102-9c942f1d50dd","block_type":"box","text":"resources and not through soft dollars or commission sharing arrangements.","page_number":164,"box":{"x":69,"y":279,"width":547,"height":11}},{"id":"0a9a9596-467c-4837-8e9c-f6b7b2ac3828","block_type":"box","text":"Payments of commissions to brokers who are affiliated persons of the Fund, or the Master Portfolio with respect","page_number":164,"box":{"x":102,"y":302,"width":804,"height":11}},{"id":"9df5f061-26d6-4e4b-b1dc-5240d65bf255","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":164,"box":{"x":68,"y":317,"width":806,"height":11}},{"id":"4d567a9d-2509-486b-8067-ddfabbbb0f36","block_type":"box","text":"Investment Company Act. Subject to policies established by the Board of Directors of the Master Portfolio, BlackRock","page_number":164,"box":{"x":70,"y":332,"width":836,"height":11}},{"id":"5fe4ead6-94ea-4f34-9ec5-6e5b84651de0","block_type":"box","text":"is primarily responsible for the execution of the Master Portfolio’s portfolio transactions and the allocation of","page_number":164,"box":{"x":70,"y":347,"width":777,"height":11}},{"id":"50c42736-d556-4bb1-b3fb-99f0f3e1f211","block_type":"box","text":"brokerage.","page_number":164,"box":{"x":69,"y":362,"width":74,"height":11}},{"id":"bd5fd08b-f6f4-4877-b1c0-62109945486e","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":164,"box":{"x":102,"y":385,"width":781,"height":11}},{"id":"16946571-84c9-464e-aa5c-45cbb4a0ed93","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":164,"box":{"x":68,"y":400,"width":810,"height":11}},{"id":"88c21e7d-854f-416f-8b12-9b7771d7c8a6","block_type":"box","text":"research services. FINRA has adopted rules expressly permitting these types of arrangements under certain","page_number":164,"box":{"x":69,"y":415,"width":771,"height":11}},{"id":"80bd8bee-c6db-4672-9706-26cf2f2dbdf1","block_type":"box","text":"circumstances. Generally, the broker will provide research “credits” in these situations at a rate that is higher than","page_number":164,"box":{"x":69,"y":430,"width":818,"height":11}},{"id":"59c82094-b665-4653-805c-63ffd3097816","block_type":"box","text":"that available for typical secondary market transactions. These arrangements may not fall within the safe harbor of","page_number":164,"box":{"x":68,"y":445,"width":821,"height":12}},{"id":"df734120-4b0f-4da8-b8fe-b4e99cda66d5","block_type":"box","text":"Section 28(e).","page_number":164,"box":{"x":69,"y":460,"width":99,"height":11}},{"id":"f967882f-515c-4894-8340-e3854d4e37ee","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":164,"box":{"x":102,"y":483,"width":755,"height":9}},{"id":"d10c677c-b565-4b66-9cc7-cb8623eea26c","block_type":"box","text":"brokers or dealers to execute portfolio transactions for a Fund; however, whether or not a particular broker or dealer","page_number":164,"box":{"x":69,"y":498,"width":828,"height":11}},{"id":"133eb6e4-ae09-4ee3-a967-a18388b9762b","block_type":"box","text":"sells shares of the mutual funds advised by BlackRock neither qualifies nor disqualifies such broker or dealer to","page_number":164,"box":{"x":69,"y":513,"width":799,"height":11}},{"id":"878bb995-c496-4c03-aed6-28abdca8102d","block_type":"box","text":"execute transactions for those mutual funds.","page_number":164,"box":{"x":69,"y":528,"width":319,"height":9}},{"id":"ef16aad0-b135-4908-a4ac-0660996d7ea0","block_type":"box","text":"Each Fund anticipates that its brokerage transactions involving foreign securities generally will be conducted","page_number":164,"box":{"x":102,"y":551,"width":770,"height":11}},{"id":"51cde6e2-54e9-4dea-8aae-5024dbe78aca","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":164,"box":{"x":70,"y":566,"width":825,"height":11}},{"id":"b9fe48b9-61ab-41d8-aea3-1b62c3a18c92","block_type":"box","text":"in the form of depositary receipts, or other securities convertible into foreign equity securities. Depositary receipts","page_number":164,"box":{"x":70,"y":581,"width":816,"height":12}},{"id":"70f4b772-1246-4e95-bbe0-e6790e284d30","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":164,"box":{"x":69,"y":597,"width":805,"height":11}},{"id":"efd2e591-f600-4271-86f0-59aacb599736","block_type":"box","text":"American Depositary Receipts, like other securities traded in the United States, will be subject to negotiated","page_number":164,"box":{"x":68,"y":612,"width":773,"height":11}},{"id":"367ef104-9ec1-419b-b272-4fd44592064b","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":164,"box":{"x":69,"y":627,"width":798,"height":11}},{"id":"ad89cb20-66b9-429a-b246-43ebb53b5446","block_type":"box","text":"intends to manage its portfolio so as to give reasonable assurance that it will be able to obtain U.S. dollars to the","page_number":164,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"bd605949-569f-465e-8570-61c5321002fd","block_type":"box","text":"extent necessary to meet anticipated redemptions. Under present conditions, it is not believed that these","page_number":164,"box":{"x":69,"y":657,"width":754,"height":11}},{"id":"84543f3b-8a97-4687-ab7a-bec87e8ede5c","block_type":"box","text":"considerations will have a significant effect on a Fund’s portfolio strategies.","page_number":164,"box":{"x":69,"y":672,"width":540,"height":11}},{"id":"47659647-6455-4290-9c3e-b7901e66b0ad","block_type":"box","text":"See “Portfolio Transactions and Brokerage” in the SAI for information about the brokerage commissions paid by","page_number":164,"box":{"x":102,"y":695,"width":798,"height":11}},{"id":"962c2052-9787-4594-8043-03c50c4aadfb","block_type":"box","text":"your Fund, including commissions paid to affiliates, if any, for the periods indicated.","page_number":164,"box":{"x":68,"y":710,"width":597,"height":11}},{"id":"e0c6b7ed-f62c-4335-9bd9-bcab726a61c2","block_type":"box","text":"Each Fund may invest in certain securities traded in the OTC market and intends to deal directly with the dealers","page_number":164,"box":{"x":102,"y":733,"width":802,"height":11}},{"id":"a4734f78-fc04-4a10-8960-549e3c2f6aeb","block_type":"box","text":"who make a market in the particular securities, except in those circumstances in which better prices and execution","page_number":164,"box":{"x":68,"y":748,"width":822,"height":11}},{"id":"3c3b0963-7a0b-4c4f-90b1-5d2b040aa2f8","block_type":"box","text":"are available elsewhere. Under the Investment Company Act, persons affiliated with a Fund and persons who are","page_number":164,"box":{"x":69,"y":763,"width":804,"height":11}},{"id":"561e04e7-aa29-4668-bf41-ae570eb9ec10","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":164,"box":{"x":69,"y":778,"width":832,"height":11}},{"id":"52a4961f-8228-4dc8-9db5-639545cae7b0","block_type":"box","text":"of securities unless a permissive order allowing such transactions is obtained from the Commission. Since","page_number":164,"box":{"x":69,"y":793,"width":762,"height":11}},{"id":"6cc7ac2a-272d-49d1-9679-a201a8d51a6a","block_type":"box","text":"transactions in the OTC market usually involve transactions with the dealers acting as principal for their own","page_number":164,"box":{"x":68,"y":808,"width":770,"height":11}},{"id":"ede3dce5-cc4f-4031-9878-c95079ab61f3","block_type":"box","text":"accounts, the Funds will not deal with affiliated persons in connection with such transactions. However, an affiliated","page_number":164,"box":{"x":69,"y":823,"width":828,"height":11}},{"id":"a8c004a0-50fb-4ae3-95c0-03f29cf0db3b","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":164,"box":{"x":70,"y":838,"width":814,"height":12}},{"id":"df2ddad7-9f59-4470-96d5-0597c470f563","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":164,"box":{"x":69,"y":853,"width":825,"height":12}},{"id":"9f1e2c91-e67c-44d3-9123-626420a19129","block_type":"box","text":"commission received by non-affiliated brokers in connection with comparable transactions.","page_number":164,"box":{"x":69,"y":869,"width":645,"height":11}},{"id":"64fba4af-387d-495a-9289-3a3bb8fbb315","block_type":"box","text":"OTC issues, including most fixed-income securities such as corporate debt and U.S. Government Securities, are","page_number":164,"box":{"x":102,"y":891,"width":797,"height":12}},{"id":"3ef16f83-9f2f-494f-961b-5a362f52342f","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":164,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"6cea34d4-e202-4134-8a42-736bd3aed371","block_type":"box","text":"II-126","page_number":164,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"22409c14-72c4-4878-9d69-111a37752460","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":164,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5899677f-4306-4067-adff-e634188a2b16","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":165,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"4e8e6c0b-f99c-44f0-84e8-771aa81a438b","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":165,"box":{"x":69,"y":60,"width":833,"height":11}},{"id":"bf9e858b-e7fa-44b7-ae07-6dae5b0a6172","block_type":"box","text":"domestic securities will generally include a “spread,” which is the difference between the prices at which the dealer","page_number":165,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"b4edf8c2-79e6-4caa-8c10-dc828a84d6a3","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":165,"box":{"x":70,"y":90,"width":730,"height":11}},{"id":"0e3c7ed1-0051-447a-8f64-2d2f5617fa26","block_type":"box","text":"Purchases of money market instruments by a Fund are made from dealers, underwriters and issuers. The Funds","page_number":165,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"3742f306-44b6-4a2a-8ec8-1516bfdcfee8","block_type":"box","text":"do not currently expect to incur any brokerage commission expense on such transactions because money market","page_number":165,"box":{"x":69,"y":128,"width":807,"height":11}},{"id":"7b5ca992-f95a-48a3-adb0-b8d056694029","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":165,"box":{"x":70,"y":143,"width":812,"height":11}},{"id":"c428c5b5-8d52-4381-8ebc-5a0894dc0d14","block_type":"box","text":"stated commission. The price of the security, however, usually includes a profit to the dealer. Each money market","page_number":165,"box":{"x":69,"y":158,"width":807,"height":11}},{"id":"6dd60502-5204-4555-9d31-375037296fb1","block_type":"box","text":"fund intends to purchase only securities with remaining maturities of 397 days or less as determined in accordance","page_number":165,"box":{"x":68,"y":173,"width":827,"height":11}},{"id":"7ee7f42a-f307-47d8-9164-fe3898bfd676","block_type":"box","text":"with the rules of the Commission. As a result, the portfolio turnover rates of a money market fund will be relatively","page_number":165,"box":{"x":68,"y":188,"width":817,"height":11}},{"id":"bc6497f9-15ba-44bf-9754-6d33e710001b","block_type":"box","text":"high. However, because brokerage commissions will not normally be paid with respect to investments made by a","page_number":165,"box":{"x":69,"y":204,"width":802,"height":11}},{"id":"cfe46c04-8a0c-48aa-9781-f98b9272eebd","block_type":"box","text":"money market fund, the turnover rates should not adversely affect the Fund’s NAVs or net income.","page_number":165,"box":{"x":69,"y":218,"width":700,"height":12}},{"id":"2a2e43f9-eb58-40b5-9cdc-efc2a1b5a7c1","block_type":"box","text":"Securities purchased in underwritten offerings include a fixed amount of compensation to the underwriter,","page_number":165,"box":{"x":102,"y":241,"width":756,"height":11}},{"id":"d8bc66a6-bc79-46de-853d-ff67ce6e9056","block_type":"box","text":"generally referred to as the underwriter’s concession or discount. When offered securities are purchased or sold","page_number":165,"box":{"x":68,"y":256,"width":804,"height":12}},{"id":"8c44263f-5208-4cb8-9ab4-8acef9fa0a0d","block_type":"box","text":"directly from or to an issuer, no commissions or discounts are paid except where required by local markets.","page_number":165,"box":{"x":69,"y":271,"width":766,"height":12}},{"id":"76cc9cc9-ad91-4643-9af7-c337f8b1bfd3","block_type":"box","text":"The Manager or sub-advisers may seek to obtain an undertaking from issuers of commercial paper or dealers","page_number":165,"box":{"x":101,"y":294,"width":780,"height":11}},{"id":"651d6302-4fd0-4127-a7eb-1c00cff50293","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":165,"box":{"x":69,"y":309,"width":826,"height":11}},{"id":"ad34331e-b40a-4275-8108-a4618e3d95d5","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":165,"box":{"x":69,"y":324,"width":806,"height":11}},{"id":"4e9d0d3c-09a5-4929-bdc6-b13206c143f5","block_type":"box","text":"anticipated need for liquidity makes such action desirable. Any such repurchase prior to maturity reduces the","page_number":165,"box":{"x":69,"y":339,"width":776,"height":12}},{"id":"a2ba1fb8-36a0-4f93-8f37-79634b031dda","block_type":"box","text":"possibility that a Fund would incur a capital loss in liquidating commercial paper, especially if interest rates have","page_number":165,"box":{"x":70,"y":355,"width":800,"height":11}},{"id":"30503a96-19e6-46fc-9558-f3f0ca63ac18","block_type":"box","text":"risen since acquisition of such commercial paper.","page_number":165,"box":{"x":69,"y":370,"width":352,"height":11}},{"id":"8ee52a50-3466-4bce-8418-27ffa862487c","block_type":"box","text":"Investment decisions for each Fund and for other investment accounts managed by the Manager or sub-advisers","page_number":165,"box":{"x":102,"y":392,"width":800,"height":12}},{"id":"6e327729-c44a-4775-a08d-e9e04f4bf6b8","block_type":"box","text":"are made independently of each other in light of differing conditions. BlackRock allocates investments among client","page_number":165,"box":{"x":69,"y":407,"width":824,"height":12}},{"id":"671968f4-9117-4c93-bf0e-5179f75ed9b3","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":165,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"64a5d3e4-9c61-415d-912d-ffb35ccfaa4c","block_type":"box","text":"These factors include: (i) investment objectives or strategies for particular accounts, including sector, industry,","page_number":165,"box":{"x":68,"y":438,"width":788,"height":11}},{"id":"d2f7ed7b-4fbe-4fe7-8af7-2efe245cc6ef","block_type":"box","text":"country or region and capitalization weightings, (ii) tax considerations of an account, (iii) risk or investment","page_number":165,"box":{"x":69,"y":453,"width":759,"height":11}},{"id":"abeeab59-cf3d-4f39-91ce-d61da7904210","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":165,"box":{"x":69,"y":468,"width":780,"height":11}},{"id":"2bf479aa-33dd-491f-b020-03ceb2d48cc7","block_type":"box","text":"available investment, (vi) cash availability and liquidity requirements for accounts, (vii) regulatory restrictions,","page_number":165,"box":{"x":69,"y":483,"width":777,"height":11}},{"id":"ea285720-f8cf-42b4-a677-2c726e5c669a","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":165,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"7a090a1d-d939-4366-a41c-ad24366b7248","block_type":"box","text":"approved by BlackRock’s general counsel. Moreover, investments may not be allocated to one client account over","page_number":165,"box":{"x":69,"y":514,"width":811,"height":11}},{"id":"013178ea-e5cd-488d-a2c7-63569e2041e8","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":165,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"2ee8a5c9-04a2-490e-8e9e-51e5178150d7","block_type":"box","text":"generate higher fees paid by one client account over another or to produce greater performance compensation to","page_number":165,"box":{"x":68,"y":543,"width":808,"height":12}},{"id":"be0afdc0-b109-4c85-b721-ba6ec0fd1a63","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":165,"box":{"x":70,"y":559,"width":832,"height":11}},{"id":"066b52ff-faa8-4766-8d56-abd9d2a55c5e","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":165,"box":{"x":70,"y":574,"width":836,"height":11}},{"id":"e7c1a7f4-f96c-4dd6-b9fc-e83830cd569e","block_type":"box","text":"or (v) to manage or equalize investment performance among different client accounts.","page_number":165,"box":{"x":69,"y":589,"width":613,"height":11}},{"id":"d4badf07-8d5f-4b72-a1be-279952fe4590","block_type":"box","text":"Equity securities will generally be allocated among client accounts within the same investment mandate on a pro","page_number":165,"box":{"x":102,"y":612,"width":802,"height":11}},{"id":"1fc39d96-528c-435f-8530-c167caba4e8a","block_type":"box","text":"rata basis. All allocations of equity securities will be subject, where relevant, to share minimums established for","page_number":165,"box":{"x":69,"y":627,"width":800,"height":11}},{"id":"bf5c6ee1-e0d5-4f83-8eca-b1efe090dc6a","block_type":"box","text":"accounts and compliance constraints.","page_number":165,"box":{"x":69,"y":642,"width":269,"height":11}},{"id":"69ab4d17-1eda-4022-a48d-da919ca16951","block_type":"box","text":"Initial public offerings of securities may be over-subscribed and subsequently trade at a premium in the","page_number":165,"box":{"x":102,"y":664,"width":736,"height":12}},{"id":"f391b619-63ee-467e-8998-34dfa394f036","block_type":"box","text":"secondary market. In these situations, the supply of securities available for client accounts is often less than the","page_number":165,"box":{"x":69,"y":680,"width":808,"height":11}},{"id":"033c2006-c49e-46d9-8b2c-9e9ae29e7b04","block_type":"box","text":"amount of securities the accounts would otherwise take. In order to allocate these investments fairly and equitably","page_number":165,"box":{"x":69,"y":695,"width":821,"height":11}},{"id":"ec045dd3-b3f8-4bf1-8eb5-c62839e3179d","block_type":"box","text":"among client accounts over time, each portfolio manager or a member of his or her respective investment team will","page_number":165,"box":{"x":69,"y":710,"width":823,"height":11}},{"id":"36b08a58-c3fe-4a4e-8136-2df06e09e6c8","block_type":"box","text":"indicate to BlackRock’s trading desk their level of interest in a particular offering with respect to eligible client","page_number":165,"box":{"x":70,"y":725,"width":783,"height":11}},{"id":"181aadf5-64b7-423a-8351-6d7b9c22b4ec","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":165,"box":{"x":69,"y":740,"width":793,"height":11}},{"id":"ec481afd-a4d1-40c3-83be-d169dac6c633","block_type":"box","text":"eligible for particular client accounts that are managed by portfolio teams who have indicated interest in the offering","page_number":165,"box":{"x":69,"y":755,"width":831,"height":11}},{"id":"5e42bc2c-3b91-4a0e-9983-95bbd1549590","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":165,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"19747b61-fc38-4b81-824e-33ce49773304","block_type":"box","text":"the case of international equity securities, the country where the offering is taking place and the investment mandate","page_number":165,"box":{"x":68,"y":785,"width":839,"height":12}},{"id":"315c8ac3-2deb-4da1-bd5d-64fc8c31eaf0","block_type":"box","text":"of the client account. Generally, shares received during the initial public offering will be allocated among participating","page_number":165,"box":{"x":69,"y":801,"width":835,"height":11}},{"id":"b76fd025-ca58-4b8e-b914-5da04bb5541a","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":165,"box":{"x":69,"y":816,"width":819,"height":11}},{"id":"a6f4a7ad-ee88-4a11-9d0b-6c48f1f1ba28","block_type":"box","text":"allocated among all accounts for which the investment is eligible, portfolio managers may rotate such investment","page_number":165,"box":{"x":69,"y":831,"width":808,"height":11}},{"id":"b6e4e0f9-1ab3-4021-848b-7536145e7be9","block_type":"box","text":"opportunities among one or more accounts so long as the rotation system provides for fair access for all client","page_number":165,"box":{"x":69,"y":846,"width":791,"height":11}},{"id":"e4252d50-f546-46ba-b4c4-7495c525a63f","block_type":"box","text":"accounts over time. Other allocation methodologies that are considered by BlackRock to be fair and equitable to","page_number":165,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"bfd7ebb7-6c8b-4b36-ad1b-c967fd9eb46a","block_type":"box","text":"clients may be used as well.","page_number":165,"box":{"x":69,"y":876,"width":200,"height":11}},{"id":"29671da3-1567-4215-93fa-73060f0329f1","block_type":"box","text":"II-127","page_number":165,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"4d15a8a9-7c8e-4d68-b4b1-d052dd875406","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":165,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f9570ea3-3f0e-4145-8465-2501d103ca27","block_type":"box","text":"Because different accounts may have differing investment objectives and policies, BlackRock may buy and sell","page_number":166,"box":{"x":102,"y":45,"width":789,"height":11}},{"id":"ca8fc951-bdd5-4d4b-b589-062bed453219","block_type":"box","text":"the same securities at the same time for different clients based on the particular investment objective, guidelines","page_number":166,"box":{"x":68,"y":60,"width":815,"height":11}},{"id":"c4f61eb4-1ba8-4b6a-afa6-4d542037adf7","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":166,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"adc58af4-6a81-44d4-b6bf-42b07c25b067","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":166,"box":{"x":68,"y":90,"width":833,"height":11}},{"id":"0a4aba85-59f6-4553-ac69-85292a8dd115","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":166,"box":{"x":69,"y":105,"width":829,"height":11}},{"id":"59638ea7-4e4b-4918-8d73-d62396afcc14","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":166,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"4a37ee0b-d878-4847-8942-4e5f89e97951","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":166,"box":{"x":69,"y":135,"width":806,"height":11}},{"id":"2cd162ab-e71e-40bd-94fc-cd7eea5388ec","block_type":"box","text":"adversely impacting other BlackRock clients that still hold the security. If purchases or sales of securities arise for","page_number":166,"box":{"x":69,"y":150,"width":814,"height":12}},{"id":"4d732e57-acfe-4756-adbd-71b0acdfecb0","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":166,"box":{"x":69,"y":166,"width":836,"height":9}},{"id":"ce41390d-ebc8-462c-bfd0-b71d2e868bf1","block_type":"box","text":"affiliate act as investment manager, transactions in such securities will be made, insofar as feasible, for the","page_number":166,"box":{"x":69,"y":181,"width":773,"height":11}},{"id":"64477481-eb1c-4950-8dbd-93bd4c42a5fb","block_type":"box","text":"respective funds and clients in a manner deemed equitable to all.","page_number":166,"box":{"x":69,"y":196,"width":467,"height":11}},{"id":"a1027f30-f678-4a1b-ba2e-74a2950eaaeb","block_type":"box","text":"In certain instances, BlackRock may find it efficient for purposes of seeking to obtain best execution, to","page_number":166,"box":{"x":102,"y":218,"width":741,"height":12}},{"id":"fb391fea-2c8b-4748-8455-22d867a22576","block_type":"box","text":"aggregate certain contemporaneous purchases or sale orders of its advisory accounts. In general, all","page_number":166,"box":{"x":69,"y":234,"width":721,"height":11}},{"id":"785a7ce3-80a8-431d-a433-2260b1616087","block_type":"box","text":"contemporaneous trades for client accounts under management by the same portfolio manager or investment team","page_number":166,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"578d699d-899d-4d9e-8cf2-ca5b34fccc2c","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":166,"box":{"x":68,"y":264,"width":795,"height":11}},{"id":"bffb1329-748f-461c-bb2c-2f6243685c5c","block_type":"box","text":"opportunity to achieve a more favorable execution at a potentially lower execution cost. The costs associated with an","page_number":166,"box":{"x":69,"y":279,"width":834,"height":11}},{"id":"b8125032-f567-4f30-80b0-b0a5e34aaae1","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":166,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"44d85a60-11a7-4908-8f5c-75ad54dd0b31","block_type":"box","text":"particular portfolio manager or management team is filled at several different prices through multiple trades, all","page_number":166,"box":{"x":70,"y":309,"width":796,"height":11}},{"id":"be37e3f4-923f-4a9b-86b6-c525e43c774a","block_type":"box","text":"accounts participating in the order will receive the average price except in the case of certain international markets","page_number":166,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"8627a720-68ec-4ecc-9e0a-088e41eca90d","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":166,"box":{"x":68,"y":339,"width":819,"height":12}},{"id":"50574058-eaf0-4b57-8b0d-a1a13c885588","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":166,"box":{"x":70,"y":355,"width":771,"height":11}},{"id":"0d370bb0-c82f-4040-a5d5-edb26ee65f7e","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":166,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"80b356fe-af2f-4793-a10d-c2a7a47a7b41","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":166,"box":{"x":68,"y":385,"width":835,"height":11}},{"id":"40335e69-9551-4eef-8c19-b803f74a1f4d","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":166,"box":{"x":68,"y":400,"width":817,"height":11}},{"id":"fed3d489-b833-431d-8eac-fe698c456ec3","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":166,"box":{"x":68,"y":415,"width":823,"height":11}},{"id":"2db34a72-cef4-4373-a7f6-fa99553be9f5","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":166,"box":{"x":69,"y":430,"width":803,"height":11}},{"id":"c1644473-5c96-4693-b3e0-7b6ce725ea42","block_type":"box","text":"A Fund will not purchase securities during the existence of any underwriting or selling group relating to such","page_number":166,"box":{"x":101,"y":453,"width":767,"height":11}},{"id":"2db5952f-4e09-4c9d-908e-3a2884ed73bb","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":166,"box":{"x":69,"y":468,"width":826,"height":11}},{"id":"b14099b0-6b0c-4c9f-bbbc-f7a638187411","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":166,"box":{"x":69,"y":483,"width":816,"height":11}},{"id":"2124fb6e-6ffd-4ca3-bf9c-7f35c6a213c2","block_type":"box","text":"Investment Company Act. In no instance will portfolio securities be purchased from or sold to BlackRock, BRIL or any","page_number":166,"box":{"x":70,"y":498,"width":833,"height":11}},{"id":"8cf48d67-846e-450c-8c0d-c98e1da61bd7","block_type":"box","text":"affiliated person of the foregoing entities except as permitted by Commission exemptive order or by applicable law.","page_number":166,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"d09cf677-ec0a-4e8f-babf-3e67b5681ff2","block_type":"box","text":"A Fund’s purchase and sale orders for securities may be combined with those of other investment companies,","page_number":166,"box":{"x":101,"y":536,"width":786,"height":11}},{"id":"96c45d59-9e14-40ed-b21a-ff284952af15","block_type":"box","text":"clients or accounts that BlackRock manages or advises. If purchases or sales of portfolio securities of a Fund and","page_number":166,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"4efaf9e8-2e64-49ad-b813-1c34431eb0a8","block_type":"box","text":"one or more other accounts managed or advised by BlackRock are considered at or about the same time,","page_number":166,"box":{"x":69,"y":566,"width":751,"height":11}},{"id":"f513b835-8829-41ae-9d80-62fc3d227b7e","block_type":"box","text":"transactions in such securities are allocated among the Fund and the other accounts in a manner deemed equitable","page_number":166,"box":{"x":68,"y":582,"width":829,"height":11}},{"id":"e963b454-8370-48b2-80f6-d1ec200a461e","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":166,"box":{"x":68,"y":596,"width":799,"height":12}},{"id":"1f0633b9-a65b-45f9-a464-f6a12896ea0b","block_type":"box","text":"security as far as a Fund is concerned. However, in other cases, it is possible that the ability to participate in volume","page_number":166,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"3740b236-feb0-4438-847c-5e80d474d6b4","block_type":"box","text":"transactions and to negotiate lower transaction costs will be beneficial to the Fund. BlackRock may deal, trade and","page_number":166,"box":{"x":68,"y":627,"width":820,"height":11}},{"id":"cc013a5e-831d-4394-b198-2f71bb719f62","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":166,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"837bf57d-cc43-4d7a-8134-7241b2e73937","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":166,"box":{"x":69,"y":657,"width":781,"height":10}},{"id":"791d81b8-d4b0-49f9-8f20-16de1806c0c4","block_type":"box","text":"conformity with the Investment Company Act and Commission rules and regulations. Under these provisions, any","page_number":166,"box":{"x":69,"y":672,"width":805,"height":11}},{"id":"4ac0f7d9-34ba-45f3-b98a-cf35cd294132","block_type":"box","text":"commissions paid to affiliated brokers or dealers must be reasonable and fair compared to the commissions charged","page_number":166,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"651a147f-d242-454f-9899-367d30cd4dca","block_type":"box","text":"by other brokers or dealers in comparable transactions. A Fund will not deal with affiliates in principal transactions","page_number":166,"box":{"x":69,"y":702,"width":815,"height":11}},{"id":"49fc1a69-2859-4dbd-b224-7d9e3696924c","block_type":"box","text":"unless permitted by applicable Commission rules or regulations, or by Commission exemptive order.","page_number":166,"box":{"x":69,"y":718,"width":713,"height":11}},{"id":"de343e8d-4420-4572-a252-9d4c9a22f6a9","block_type":"box","text":"Portfolio Turnover","page_number":166,"box":{"x":69,"y":748,"width":129,"height":9}},{"id":"891e08d9-0ace-44af-bbb8-0691ec9aa827","block_type":"box","text":"The portfolio turnover rate is calculated by dividing the lesser of a Fund’s annual sales or purchases of portfolio","page_number":166,"box":{"x":101,"y":770,"width":798,"height":12}},{"id":"a05db196-ad53-4aa8-895d-946452bd9f35","block_type":"box","text":"securities (exclusive of purchases or sales of U.S. Government Securities and all other securities whose maturities at","page_number":166,"box":{"x":69,"y":785,"width":839,"height":11}},{"id":"258de769-9d1d-4e22-ad9c-cca28db78ef3","block_type":"box","text":"the time of acquisition were one year or less) by the monthly average value of the securities in the portfolio during","page_number":166,"box":{"x":68,"y":801,"width":814,"height":11}},{"id":"87417372-09a0-4795-af72-b297c7dc1519","block_type":"box","text":"the year. A high rate of portfolio turnover results in certain tax consequences, such as increased capital gain","page_number":166,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"74a77d40-4581-4705-81b2-4d399952c6a9","block_type":"box","text":"dividends and/or ordinary income dividends, and in correspondingly greater transaction costs in the form of dealer","page_number":166,"box":{"x":69,"y":831,"width":818,"height":11}},{"id":"149d3ba2-16a3-42ff-a36d-11da4b4c5598","block_type":"box","text":"spreads and brokerage commissions, which are borne directly by a Fund.","page_number":166,"box":{"x":69,"y":846,"width":519,"height":11}},{"id":"f9ec5963-2137-4407-b6cb-43bc51970d00","block_type":"box","text":"II-128","page_number":166,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"713ea00c-3fc8-4a98-81e0-26cc47548ddb","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":166,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"96b9bc28-4136-4f7e-8be2-2e879fa64766","block_type":"box","text":"DIVIDENDS AND TAXES","page_number":167,"box":{"x":396,"y":45,"width":186,"height":10}},{"id":"43e5b4ca-e93b-49cf-b18a-3557ebb9f36a","block_type":"box","text":"Dividends","page_number":167,"box":{"x":69,"y":76,"width":69,"height":8}},{"id":"767e7c6d-4f21-4a9e-b23e-c56dd1e0ca70","block_type":"box","text":"Each Fund intends to distribute substantially all of its net investment income, if any. Dividends from such net","page_number":167,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"3a2388e1-55aa-4ff6-b477-9644f55b3ce4","block_type":"box","text":"investment income are paid as set forth in each Fund’s Prospectus. Each Fund also intends to distribute all net","page_number":167,"box":{"x":70,"y":113,"width":795,"height":11}},{"id":"3fbc2bb3-8385-4b75-a350-62d5cc502417","block_type":"box","text":"realized capital gains, if any, as set forth in such Fund’s Prospectus. From time to time, a Fund may declare a special","page_number":167,"box":{"x":69,"y":128,"width":837,"height":12}},{"id":"70bca89c-022b-4476-8ce6-074dd39131c8","block_type":"box","text":"distribution at or about the end of the calendar year in order to comply with U.S. federal tax requirements that certain","page_number":167,"box":{"x":69,"y":143,"width":836,"height":12}},{"id":"6ff0ad42-86ad-4197-8385-82929151dd4a","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":167,"box":{"x":70,"y":159,"width":822,"height":11}},{"id":"5c99160a-410a-48b7-a744-01d5a8c1e042","block_type":"box","text":"net income from certain foreign currency transactions, such income will be distributed at least annually.","page_number":167,"box":{"x":69,"y":174,"width":739,"height":11}},{"id":"f9f6f68d-f598-44cf-8d7c-946f90539a47","block_type":"box","text":"For information concerning the manner in which dividends may be reinvested automatically in shares of each","page_number":167,"box":{"x":102,"y":196,"width":773,"height":12}},{"id":"4d6f8af9-a70c-49cb-a47c-26e28dc7bddb","block_type":"box","text":"Fund, as applicable, see “Shareholder Services — Automatic Dividend Reinvestment Plan.” Shareholders may also","page_number":167,"box":{"x":70,"y":212,"width":819,"height":11}},{"id":"03875cc5-0b40-4367-983b-1925d394b2e7","block_type":"box","text":"elect in writing to receive any such dividends in cash. Dividends are taxable to shareholders, as discussed below,","page_number":167,"box":{"x":69,"y":227,"width":807,"height":11}},{"id":"1952dc29-6ac2-4362-93c7-3a97b8b32c1a","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":167,"box":{"x":68,"y":242,"width":800,"height":11}},{"id":"aba2e0f6-e753-40e5-b838-bf24743e37e7","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":167,"box":{"x":69,"y":257,"width":801,"height":11}},{"id":"b048bcb4-f22b-4b9e-9ba4-a543d5815c74","block_type":"box","text":"result of the service, distribution and higher transfer agency fees applicable to CDSC shares, the service fees","page_number":167,"box":{"x":69,"y":272,"width":783,"height":11}},{"id":"0c68e568-c863-4541-b0a3-763c6713b6f1","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":167,"box":{"x":69,"y":287,"width":820,"height":11}},{"id":"d277e30f-ef9c-4708-bbac-7eb22b08f0eb","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":167,"box":{"x":69,"y":302,"width":794,"height":11}},{"id":"cbf9bf93-c9a9-497b-a866-4028d0a4b1e0","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":167,"box":{"x":69,"y":317,"width":834,"height":12}},{"id":"46261cd9-4058-4ec2-9eb0-5c0f37c36d07","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":167,"box":{"x":68,"y":332,"width":826,"height":11}},{"id":"f6c043f7-64c9-428a-99e5-3600269d9a35","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":167,"box":{"x":69,"y":348,"width":816,"height":11}},{"id":"57e59776-245b-4683-b905-3f23260446ec","block_type":"box","text":"fees and higher transfer agency fees applicable to CDSC shares.","page_number":167,"box":{"x":68,"y":363,"width":461,"height":11}},{"id":"128b0b5b-0722-49c4-b77e-45f1bbf50529","block_type":"box","text":"Taxes","page_number":167,"box":{"x":68,"y":393,"width":42,"height":9}},{"id":"48e92b4f-5fdb-4a92-919b-b61006f17e6e","block_type":"box","text":"Each Fund intends to continue to qualify for the special tax treatment afforded to regulated investment","page_number":167,"box":{"x":102,"y":416,"width":732,"height":11}},{"id":"ed663ebe-9bcd-4d10-ace0-87caa9ea54d3","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":167,"box":{"x":69,"y":431,"width":825,"height":11}},{"id":"533bcc82-ad0f-48eb-963a-f54f2f99c497","block_type":"box","text":"U.S. federal income tax on the part of its investment company taxable income and net realized capital gains that it","page_number":167,"box":{"x":70,"y":446,"width":817,"height":11}},{"id":"d689ac6a-f03f-4e51-acaf-22cb7f79f8c0","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":167,"box":{"x":69,"y":461,"width":832,"height":11}},{"id":"b2a17f21-306b-4151-84eb-8ea4102a91a4","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":167,"box":{"x":69,"y":476,"width":791,"height":11}},{"id":"8bdd8d55-8366-4e64-8f7f-bf76e83f5354","block_type":"box","text":"company, a Fund must meet certain requirements regarding the source of its income and the composition and","page_number":167,"box":{"x":69,"y":491,"width":786,"height":12}},{"id":"32422fe4-1328-44c8-8930-aa39ba2d4d80","block_type":"box","text":"diversification of its assets. See Part II, “Investment Risks and Considerations—Investment Restrictions (All Funds)”","page_number":167,"box":{"x":69,"y":506,"width":831,"height":11}},{"id":"3acf63d3-bad8-4291-b54a-8d2230038eae","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":167,"box":{"x":68,"y":521,"width":819,"height":12}},{"id":"e483f299-ab42-4c76-b3a6-746b124610a0","block_type":"box","text":"underlying assets of the Master Portfolio in which it has invested for purposes of satisfying the asset diversification","page_number":167,"box":{"x":69,"y":537,"width":824,"height":11}},{"id":"83e05cf8-aa28-4f0c-81b4-27ecbae3a9c1","block_type":"box","text":"requirement and various other requirements of the Code applicable to regulated investment companies.","page_number":167,"box":{"x":69,"y":552,"width":739,"height":11}},{"id":"6dbfed33-a7bd-437a-913c-e166cbe64d50","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":167,"box":{"x":101,"y":574,"width":792,"height":12}},{"id":"4d30053e-298f-423e-ba0c-14174354476b","block_type":"box","text":"failure to diversify its holdings in the manner described above by paying a tax, by disposing of certain assets, or by","page_number":167,"box":{"x":68,"y":589,"width":819,"height":12}},{"id":"18314a19-6641-4af0-a9b9-b7e8cf091695","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":167,"box":{"x":70,"y":605,"width":830,"height":11}},{"id":"aadd57e8-a062-4216-8374-ba19310de274","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":167,"box":{"x":68,"y":620,"width":744,"height":11}},{"id":"1f6c60d0-2369-4296-89bf-1ff827187e04","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":167,"box":{"x":69,"y":635,"width":835,"height":11}},{"id":"babd261e-47ef-4f3e-963c-1c13ff4f4a20","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":167,"box":{"x":69,"y":650,"width":808,"height":11}},{"id":"0b7bebbb-79eb-4471-a481-f3371754c2c8","block_type":"box","text":"company with respect to items attributable to an interest in a qualified publicly-traded partnership. A Fund’s","page_number":167,"box":{"x":69,"y":665,"width":767,"height":11}},{"id":"06bba825-6ac9-4638-9840-cba8890a48db","block_type":"box","text":"investments in partnerships, including in qualified publicly-traded partnerships, may result in the Fund being subject","page_number":167,"box":{"x":70,"y":680,"width":826,"height":12}},{"id":"06565016-314d-4bab-9c08-181e11a7cbc9","block_type":"box","text":"to state, local, or non-U.S. income, franchise or withholding tax liabilities.","page_number":167,"box":{"x":68,"y":695,"width":521,"height":12}},{"id":"06723d60-2918-4eaf-be3e-27b41e48f13e","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":167,"box":{"x":102,"y":718,"width":798,"height":11}},{"id":"29791f51-180b-456f-a4d3-53b8928dc43a","block_type":"box","text":"qualify as a regulated investment company under the Code, notwithstanding the availability of certain relief","page_number":167,"box":{"x":69,"y":733,"width":762,"height":11}},{"id":"e64e9f4e-e304-45ac-817e-2a2de08b0f24","block_type":"box","text":"provisions, such Fund would be taxed in the same manner as an ordinary corporation and all distributions from","page_number":167,"box":{"x":70,"y":748,"width":789,"height":11}},{"id":"bdde7d57-9d61-4673-9787-0c68c0b69e08","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":167,"box":{"x":69,"y":763,"width":837,"height":12}},{"id":"914a30df-df9c-43b9-a40e-ce00d9cea483","block_type":"box","text":"ordinary dividend income eligible for taxation at a reduced tax rate for non-corporate shareholders and the dividends","page_number":167,"box":{"x":69,"y":778,"width":831,"height":12}},{"id":"063abfad-ad36-4812-806e-bfaaeebabd24","block_type":"box","text":"received deduction for corporate shareholders. However, a Municipal Fund’s distributions derived from income on tax","page_number":167,"box":{"x":69,"y":794,"width":837,"height":11}},{"id":"814d9f67-42bc-477d-8c51-3fe6ad6e50f0","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":167,"box":{"x":69,"y":809,"width":825,"height":11}},{"id":"624021fe-c15a-484a-ba09-367f91300f30","block_type":"box","text":"series of a regulated investment company that consists of multiple series is treated as a separate corporation for","page_number":167,"box":{"x":69,"y":824,"width":811,"height":11}},{"id":"cee0bee0-eab8-4f63-b44a-5e67efa7e2c5","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":167,"box":{"x":70,"y":839,"width":813,"height":11}},{"id":"423881be-3c94-4260-960e-ba83a14b0482","block_type":"box","text":"under the rules for regulated investment companies. Losses in one series of a regulated investment company do not","page_number":167,"box":{"x":69,"y":854,"width":834,"height":11}},{"id":"2dfa924e-3e1d-4cec-bdd7-30726dfafd3e","block_type":"box","text":"offset gains in another, and the requirements (other than certain organizational requirements) for qualifying for","page_number":167,"box":{"x":69,"y":869,"width":790,"height":11}},{"id":"180a9482-734f-4e4f-92da-b88675e570c4","block_type":"box","text":"regulated investment company status will be determined at the level of the individual series. In the following","page_number":167,"box":{"x":69,"y":884,"width":771,"height":12}},{"id":"b4528f61-8b9c-42cb-99a7-3bce3581fe73","block_type":"box","text":"discussion, the term “Fund” means each individual series, if applicable.","page_number":167,"box":{"x":69,"y":899,"width":512,"height":11}},{"id":"d21fc802-c8d1-4e9f-ba45-949406f64401","block_type":"box","text":"II-129","page_number":167,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"6ed73429-11bf-4e43-82a1-bd8f88842c39","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":167,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8bbd1a09-09c8-4852-abfd-833d623038cd","block_type":"box","text":"The Code requires a regulated investment company to pay a nondeductible 4% excise tax to the extent the","page_number":168,"box":{"x":101,"y":45,"width":759,"height":11}},{"id":"87c26e03-b9eb-4d0e-b5ba-ec2f149e798b","block_type":"box","text":"regulated investment company does not distribute, during each calendar year, at least 98% of its ordinary income,","page_number":168,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"600dd190-c9e7-4c19-9aa5-d70b72292417","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":168,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"9e9f2cb7-c499-4ce9-8a7a-b2e7fa725b46","block_type":"box","text":"the regulated investment company’s taxable year ended on October 31, plus certain undistributed amounts from the","page_number":168,"box":{"x":68,"y":90,"width":832,"height":11}},{"id":"fd4c53c7-4fcb-4ad7-b051-5d35e8d9e674","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":168,"box":{"x":70,"y":105,"width":825,"height":11}},{"id":"35640419-0bd4-4d98-b90d-e32d68cef31b","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":168,"box":{"x":70,"y":120,"width":810,"height":11}},{"id":"fb475757-5ed7-4f9f-8fd8-5b045ea305da","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":168,"box":{"x":69,"y":135,"width":828,"height":12}},{"id":"621b348a-181b-4aba-98de-6e0cab6c466c","block_type":"box","text":"the tax only on the amount by which it does not meet the foregoing distribution requirements.","page_number":168,"box":{"x":68,"y":150,"width":666,"height":12}},{"id":"eaee1e35-d18c-41da-b3f0-1889dfe3c6c3","block_type":"box","text":"Net capital loss carryforwards may be applied against realized capital gains in each succeeding year, until they","page_number":168,"box":{"x":102,"y":173,"width":790,"height":11}},{"id":"397c84cb-1205-4a57-9a8a-7b31d5879be0","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":168,"box":{"x":69,"y":188,"width":830,"height":12}},{"id":"63aa2807-2f4f-4945-b95e-3173f5fb2c45","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":168,"box":{"x":69,"y":203,"width":770,"height":12}},{"id":"4e09fbde-a0a1-485b-b796-8325c6b796bb","block_type":"box","text":"limitation.","page_number":168,"box":{"x":70,"y":219,"width":68,"height":8}},{"id":"1df5641f-03b3-4ca3-89d4-e4b5e3fc38ae","block_type":"box","text":"Dividends paid by a Fund from its ordinary income or from an excess of net short-term capital gain over net long","page_number":168,"box":{"x":102,"y":241,"width":803,"height":11}},{"id":"f05f7002-7100-4482-ae47-b927bdffb94b","block_type":"box","text":"term capital loss (together referred to as “ordinary income dividends”) are taxable to shareholders as ordinary","page_number":168,"box":{"x":68,"y":256,"width":790,"height":12}},{"id":"6dcc03bc-0e1b-4f83-bf68-05cf9b89c5f5","block_type":"box","text":"income. Distributions made from an excess of net long-term capital gain over net short-term capital loss (including","page_number":168,"box":{"x":70,"y":271,"width":815,"height":12}},{"id":"456c660c-d03c-4367-abc3-9cfa171168ca","block_type":"box","text":"gains or losses from certain transactions in futures and options) (“capital gain dividends”) are taxable to","page_number":168,"box":{"x":68,"y":286,"width":748,"height":12}},{"id":"805ad7d5-4cc3-413d-98ed-e2c6178f246e","block_type":"box","text":"shareholders as long-term capital gains, regardless of the length of time the shareholder has owned Fund shares.","page_number":168,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"2b7bcddc-1be0-43f4-9788-4303d873df78","block_type":"box","text":"Distributions paid by a Fund that are reported as exempt-interest dividends will not be subject to regular U.S. federal","page_number":168,"box":{"x":70,"y":317,"width":829,"height":11}},{"id":"f603ab09-0bcb-4bee-a825-230d93edec13","block_type":"box","text":"income tax. Certain dividend income and long-term capital gains are eligible for taxation at a reduced rate that","page_number":168,"box":{"x":70,"y":332,"width":785,"height":11}},{"id":"dc07d6fe-768d-4bf7-9101-4f8109e45210","block_type":"box","text":"applies to non-corporate shareholders. Under these rules, the portion of ordinary income dividends constituting","page_number":168,"box":{"x":69,"y":347,"width":795,"height":11}},{"id":"f6dd617d-79be-43ab-a7c8-8a9ec9539592","block_type":"box","text":"“qualified dividend income” when paid by a regulated investment company to a non-corporate shareholder may be","page_number":168,"box":{"x":70,"y":362,"width":809,"height":11}},{"id":"7e844d4b-d3cc-4ca4-856a-8e175f14933e","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":168,"box":{"x":68,"y":377,"width":814,"height":12}},{"id":"b4d6fefc-539c-4490-a7e5-fc7922b755e9","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":168,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"582e88b5-5fa4-4e3f-9501-241a5a6da937","block_type":"box","text":"the date on which the shares become ex-dividend with respect to such dividend (or, in the case of certain","page_number":168,"box":{"x":68,"y":407,"width":751,"height":11}},{"id":"665abb0f-3f2e-4ad3-b668-5d310ecd099e","block_type":"box","text":"accumulated dividends with respect to preferred stocks, the shareholder has held the shares on which the dividend","page_number":168,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"0733ac5e-efc4-4fdb-86d1-d0f26a987d62","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":168,"box":{"x":68,"y":438,"width":817,"height":11}},{"id":"e39968f9-e552-4e62-a58f-485c3b8460bb","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":168,"box":{"x":68,"y":453,"width":813,"height":11}},{"id":"31942830-5b8e-4cf3-a546-1193d341f8e8","block_type":"box","text":"are derived from income on debt securities, certain types of preferred stock treated as debt for U.S. federal income","page_number":168,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"e5f4b70e-dc2b-450b-95a9-116428543e19","block_type":"box","text":"tax purposes and short-term capital gains, such distributions will not constitute “qualified dividend income.” In","page_number":168,"box":{"x":68,"y":483,"width":789,"height":11}},{"id":"74668255-fe3c-44b0-bf4d-12a78aa91ee2","block_type":"box","text":"addition, distributions that are derived from securities lending income, such as substitute dividend payments, will not","page_number":168,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"73d4078a-d3f2-48e9-a033-a0591bde75c9","block_type":"box","text":"constitute “qualified dividend income.”","page_number":168,"box":{"x":69,"y":513,"width":275,"height":11}},{"id":"ce21f0db-b4e5-4df5-aadb-ec3cf8d8b09a","block_type":"box","text":"A 3.8% Medicare tax is imposed on the net investment income (which includes taxable dividends and redemption","page_number":168,"box":{"x":101,"y":536,"width":806,"height":11}},{"id":"06077e18-3f15-4597-853c-be19a5736f62","block_type":"box","text":"proceeds) of certain individuals, trusts and estates.","page_number":168,"box":{"x":70,"y":551,"width":368,"height":11}},{"id":"662aa6de-b556-408e-9f18-fda5dcc14996","block_type":"box","text":"A Fund’s net capital gain (the excess of net long-term capital gains over net short-term capital losses) is not","page_number":168,"box":{"x":101,"y":574,"width":772,"height":11}},{"id":"495ec12f-8929-45d2-909e-0354fc0f8a67","block_type":"box","text":"subject to the 90% distribution requirement for taxation as a regulated investment company, described above. If a","page_number":168,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"76ba99bc-85ff-4e76-8bc9-d4b58dc4c284","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":168,"box":{"x":70,"y":604,"width":745,"height":11}},{"id":"c10507e5-b6c4-4508-abcc-419cacf8b1fe","block_type":"box","text":"undistributed capital gain in a written statement furnished to its shareholders, who will be required to include in","page_number":168,"box":{"x":69,"y":619,"width":795,"height":11}},{"id":"45944388-6830-418d-b957-7b4ed0cfcb73","block_type":"box","text":"income, as long-term capital gain, their proportionate shares of such undistributed net capital gain, will be deemed to","page_number":168,"box":{"x":70,"y":634,"width":838,"height":12}},{"id":"7627df7f-b60e-4997-9cc8-f717c6687470","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":168,"box":{"x":69,"y":649,"width":809,"height":12}},{"id":"85d0f28e-e88e-49b6-8451-5e3e3456b148","block_type":"box","text":"exceeds that liability) their proportionate shares of the tax paid by the Fund on that gain, and shall increase the tax","page_number":168,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"856cf801-491f-43b6-9f35-c146549fbdc7","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":168,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"60f2853c-da71-44ef-bbd7-bef43ab5b50a","block_type":"box","text":"against their taxes.","page_number":168,"box":{"x":69,"y":695,"width":135,"height":11}},{"id":"bcf0b396-f7d8-45f6-a686-19008f96a07b","block_type":"box","text":"Distributions in excess of a Fund’s current and accumulated earnings and profits will first reduce the adjusted","page_number":168,"box":{"x":102,"y":717,"width":783,"height":12}},{"id":"d9558428-6261-49eb-a2a7-7ad3a3f4e7d1","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":168,"box":{"x":68,"y":732,"width":812,"height":12}},{"id":"c61ecf07-c7e4-4af7-95cf-dc91bb2238e4","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":168,"box":{"x":69,"y":748,"width":769,"height":11}},{"id":"dce38c20-c163-4e9b-868a-188409f1d0d0","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":168,"box":{"x":69,"y":763,"width":805,"height":11}},{"id":"22a8b55b-ddb9-4911-b1a1-b4e2263a1080","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":168,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"60ec08bc-b9a3-438a-a1bd-c6a78fdc60b8","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":168,"box":{"x":68,"y":793,"width":831,"height":11}},{"id":"8860c3ae-261a-4167-8ef4-e3d9144ee2a0","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":168,"box":{"x":68,"y":808,"width":817,"height":11}},{"id":"a86a746f-a339-40ff-a3ec-2a026df77292","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":168,"box":{"x":70,"y":823,"width":797,"height":12}},{"id":"90d9a49e-4871-4246-9d66-d73d6f959a11","block_type":"box","text":"dividends received by the shareholder.","page_number":168,"box":{"x":69,"y":839,"width":272,"height":10}},{"id":"6a6dc11c-fcd5-4cf0-83d3-a80b4edeb845","block_type":"box","text":"Ordinary income and capital gain dividends are taxable to shareholders even if they are reinvested in additional","page_number":168,"box":{"x":102,"y":861,"width":792,"height":11}},{"id":"72040354-9bb4-4055-89e0-7c2d09796e83","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":168,"box":{"x":69,"y":876,"width":835,"height":11}},{"id":"89fb0597-ee8b-4b0f-839b-6456a1a2f140","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":168,"box":{"x":68,"y":891,"width":809,"height":11}},{"id":"938e62a3-db83-4bbf-bc2f-2b0505a8484a","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":168,"box":{"x":68,"y":906,"width":819,"height":11}},{"id":"721fee57-1a75-476c-a786-ce67db8e449b","block_type":"box","text":"II-130","page_number":168,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"06ddf1e0-3256-4df9-94e5-be4ba045950d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":168,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"802e1614-d907-4eaa-a546-c6facddb53a7","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":169,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"dee1a897-b1f4-4fea-b42e-68747e53ee83","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":169,"box":{"x":69,"y":60,"width":794,"height":11}},{"id":"97f3e02d-00fa-40b9-8ebb-422b0efc08ea","block_type":"box","text":"calendar taxable year, if the Fund reports more capital gain dividends than it earns in such taxable year, then the","page_number":169,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"f104e0cc-85ea-47fc-b78d-dda8c18fb4b6","block_type":"box","text":"Fund will reduce the amounts reported as capital gains. Where possible, such reduction will first be allocated to","page_number":169,"box":{"x":70,"y":90,"width":797,"height":11}},{"id":"9b082f04-8143-47a6-95ab-f6959708296f","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":169,"box":{"x":69,"y":105,"width":810,"height":11}},{"id":"55dbcdcd-42ca-402c-baa3-aa8d3aec7e7b","block_type":"box","text":"taxable year, certain net capital losses arising after October 31 of the current taxable year, and certain net ordinary","page_number":169,"box":{"x":68,"y":120,"width":826,"height":12}},{"id":"b5820fb0-8061-4afb-8efa-1b44d8a21a9d","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":169,"box":{"x":70,"y":135,"width":772,"height":12}},{"id":"21258a89-b023-4f18-9652-662f4f992758","block_type":"box","text":"increasing the amount of dividends otherwise includible in the shareholder’s income with respect to the current","page_number":169,"box":{"x":70,"y":150,"width":795,"height":12}},{"id":"05eef81e-5bcb-4a70-94d5-580d56e56da4","block_type":"box","text":"taxable year.","page_number":169,"box":{"x":68,"y":166,"width":89,"height":11}},{"id":"65537170-e534-47df-a204-4394fb5b0df7","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":169,"box":{"x":102,"y":188,"width":733,"height":12}},{"id":"f7a4f9e8-0299-45f6-850a-436d56051db7","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":169,"box":{"x":69,"y":203,"width":832,"height":11}},{"id":"321b06fd-64ef-4474-ab80-7f6f1815e42a","block_type":"box","text":"basis in the converted Investor C Shares and the holding period of the acquired Investor A Shares will include the","page_number":169,"box":{"x":69,"y":218,"width":809,"height":12}},{"id":"c4895dc2-a50d-4abf-9c3c-9ab1cb41af6f","block_type":"box","text":"holding period for the converted Investor C Shares.","page_number":169,"box":{"x":69,"y":234,"width":362,"height":11}},{"id":"bb6fd1b5-db97-4a91-bd24-965c1c29eff3","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":169,"box":{"x":102,"y":256,"width":795,"height":12}},{"id":"7beaee7b-0369-4031-9e6c-4e2cdfc4f7c6","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":169,"box":{"x":69,"y":271,"width":824,"height":12}},{"id":"335b1ac9-e635-4475-8b5c-3fd172d4f126","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":169,"box":{"x":69,"y":287,"width":797,"height":11}},{"id":"965a73be-bb9c-4b2e-b63e-f22f6adee053","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":169,"box":{"x":69,"y":302,"width":791,"height":11}},{"id":"66b782d6-3b2f-47cc-bda0-e25b58ab88ee","block_type":"box","text":"privilege. Instead, such sales charge will be treated as an amount paid for the new shares.","page_number":169,"box":{"x":70,"y":317,"width":646,"height":11}},{"id":"845ab3cc-dba3-4cb0-8319-368b738d8423","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":169,"box":{"x":101,"y":339,"width":762,"height":12}},{"id":"3e434029-5f37-4467-bee3-9f0c78d76820","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":169,"box":{"x":69,"y":355,"width":836,"height":11}},{"id":"857c248c-95e7-4605-a451-694b8b96d1a6","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":169,"box":{"x":69,"y":370,"width":822,"height":11}},{"id":"831e5292-8521-4c75-8b0c-e38497311831","block_type":"box","text":"generally be treated as short-term capital gain or loss. Any loss realized upon a taxable disposition of shares held for","page_number":169,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"63394203-3f0b-4a7d-90cc-62e491de478d","block_type":"box","text":"six months or less will be treated as long-term capital loss, rather than short-term capital loss, to the extent of any","page_number":169,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"8471cf8f-1aba-4b3d-90d2-94cf0b5a2eee","block_type":"box","text":"amounts treated as distributions to the shareholder of long-term capital gain (including any amounts credited to the","page_number":169,"box":{"x":69,"y":415,"width":823,"height":11}},{"id":"f73f8cf2-adb0-427f-bd59-93177d3f7134","block_type":"box","text":"shareholder as undistributed capital gains). Shareholders that hold shares of a Fund through a qualified tax-exempt","page_number":169,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"767222ab-9b64-4fd7-93e5-4603c2b5bff2","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":169,"box":{"x":70,"y":445,"width":829,"height":11}},{"id":"bf0433ad-d01a-4e70-86c7-9a7d2607832a","block_type":"box","text":"special tax rules that apply to their investments.","page_number":169,"box":{"x":69,"y":461,"width":343,"height":11}},{"id":"fd2eebaf-360a-421b-8476-2eed9d7a64c2","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":169,"box":{"x":101,"y":483,"width":807,"height":11}},{"id":"17db7bc2-54c5-4cba-882c-ebe7ad4dd9fa","block_type":"box","text":"are acquired (whether through the automatic reinvestment of dividends or otherwise) within a 61-day period beginning","page_number":169,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"55463d26-498f-435d-91f5-797275df99b1","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":169,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"929464a0-7ff3-4ed5-945a-8835b62f6bed","block_type":"box","text":"basis of the shares acquired will be adjusted to reflect the disallowed loss.","page_number":169,"box":{"x":69,"y":528,"width":534,"height":12}},{"id":"7f5f09bb-6062-42e5-871b-cb20b584f124","block_type":"box","text":"A Fund is also generally required by law to report to each shareholder and to the IRS cost basis information for","page_number":169,"box":{"x":101,"y":551,"width":792,"height":11}},{"id":"89e91acc-c833-4eb1-8154-af46e5ba3a14","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":169,"box":{"x":69,"y":566,"width":800,"height":11}},{"id":"db09d281-8d31-41c8-95d9-c218777e66ba","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":169,"box":{"x":70,"y":581,"width":828,"height":12}},{"id":"c1a1fdea-a8e4-4f08-a3bb-aa7ba69c2f9e","block_type":"box","text":"long-term or short-term. The adjusted cost basis of shares will be based on the default cost basis reporting method","page_number":169,"box":{"x":70,"y":596,"width":824,"height":12}},{"id":"9dec517a-d1f1-4a10-a5c4-ab50838e4e20","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":169,"box":{"x":69,"y":612,"width":816,"height":11}},{"id":"ef93ade0-a5ef-44c6-9ed0-f9ac6246e460","block_type":"box","text":"different IRS-accepted method offered by the Fund. These requirements, however, will not apply for investments","page_number":169,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"42e23633-ec3c-4d4f-a81a-4094f076902f","block_type":"box","text":"through an IRA or other tax-advantaged account. Shareholders should consult their tax advisors to determine the best","page_number":169,"box":{"x":68,"y":642,"width":840,"height":11}},{"id":"3e8ce62b-485a-4500-a30f-bd8f8beeb5b3","block_type":"box","text":"cost basis method for their tax situation, and to obtain more information about how these cost basis reporting","page_number":169,"box":{"x":69,"y":657,"width":788,"height":11}},{"id":"34955348-9f70-4829-9d60-ab03bbdd20f8","block_type":"box","text":"requirements apply to them. For shares of a Fund acquired before January 1, 2012, these requirements will not","page_number":169,"box":{"x":69,"y":672,"width":797,"height":11}},{"id":"ff6c232e-87f4-42cc-8f8a-539e50fdd0e5","block_type":"box","text":"apply, but the Fund will continue to report to the IRS the gross proceeds received by a shareholder from the sale or","page_number":169,"box":{"x":69,"y":687,"width":821,"height":11}},{"id":"c27a2707-8e53-4d44-9ad6-8d311051f9cc","block_type":"box","text":"redemption of such shares.","page_number":169,"box":{"x":69,"y":702,"width":195,"height":11}},{"id":"47d7aaff-bd55-498f-a416-4fe8c773ecc5","block_type":"box","text":"The Manager may determine it is in the best interest of a Fund to distribute portfolio securities in kind for the","page_number":169,"box":{"x":101,"y":725,"width":780,"height":11}},{"id":"02488e98-1547-42e8-82b2-895e49a05780","block_type":"box","text":"purposes of portfolio management when meeting redemption requests. When the Manager determines to do so, a","page_number":169,"box":{"x":70,"y":740,"width":814,"height":11}},{"id":"93f8d0b6-6546-44f2-9701-c6841bfae6f7","block_type":"box","text":"Fund generally will not recognize taxable gains in respect of the portfolio securities it distributes to the redeeming","page_number":169,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"c45b18ae-3445-448e-a9a2-6bcd921401a9","block_type":"box","text":"shareholder, which may reduce the amount of taxable gains the Fund would otherwise be required to distribute.","page_number":169,"box":{"x":69,"y":770,"width":793,"height":12}},{"id":"a13fab69-a1a9-42bf-a03b-8091a5bffd62","block_type":"box","text":"While a Fund may engage in redemptions in kind that have the effect of reducing or eliminating distributable","page_number":169,"box":{"x":101,"y":793,"width":770,"height":11}},{"id":"5eafc68f-9bb6-47b7-9e89-4c6272fd79d2","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":169,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"b7599d3d-5af0-4ad2-8065-c1df07ab75c8","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":169,"box":{"x":69,"y":823,"width":833,"height":12}},{"id":"471ff157-edd4-42b5-ba68-8f7253017d65","block_type":"box","text":"that each Fund will distribute capital gains.","page_number":169,"box":{"x":68,"y":839,"width":305,"height":11}},{"id":"2f0c66e0-cf37-4087-929b-81556a2a0139","block_type":"box","text":"Certain Funds may invest in derivative contracts such as options, futures contracts, forward contracts and swap","page_number":169,"box":{"x":102,"y":861,"width":799,"height":11}},{"id":"a9e0652c-a5a1-4414-bca6-349046e5df4a","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":169,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"11888e36-f71e-4e13-8157-0349fce660c0","block_type":"box","text":"investment in the underlying security and may adversely affect the timing, character and amount of income the Fund","page_number":169,"box":{"x":70,"y":891,"width":826,"height":12}},{"id":"0a96c7f9-1098-42a3-933a-203bcc58ea34","block_type":"box","text":"realizes from its investments. As a result, a larger portion of the Fund’s distributions may be treated as ordinary","page_number":169,"box":{"x":69,"y":906,"width":803,"height":12}},{"id":"35a3b244-3a06-4110-a9f8-03c8c7de9dfe","block_type":"box","text":"II-131","page_number":169,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"10cf8cef-563d-4b97-b18c-4457bf86f8d0","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":169,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1291a848-1df7-4c69-a033-2c42b1ab1e49","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":170,"box":{"x":70,"y":45,"width":825,"height":11}},{"id":"3c2d4cab-2788-4e81-983d-b77f1007905d","block_type":"box","text":"(and, for purposes of the 4% excise tax, certain other dates as prescribed under the Code) are generally “marked-to","page_number":170,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"5ca33844-6012-400b-8ebe-b2b6d7e5f273","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":170,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"fc3e4c11-17b7-4797-b68e-23d3dbf150cc","block_type":"box","text":"considered 60% long-term and 40% short-term capital gain or loss), which may increase the amount that must be","page_number":170,"box":{"x":69,"y":90,"width":808,"height":11}},{"id":"c1be7fb3-c339-43c7-82b5-373a2c89c8f6","block_type":"box","text":"distributed to meet distribution requirements and avoid the excise tax. In addition, the tax treatment of certain","page_number":170,"box":{"x":69,"y":105,"width":787,"height":11}},{"id":"f299d55a-b9e6-4e2d-b53e-c1f16d0e69a1","block_type":"box","text":"derivative contracts, such as swap agreements, is unsettled and may be subject to future legislation, regulation or","page_number":170,"box":{"x":69,"y":120,"width":816,"height":12}},{"id":"05b8d55b-fddd-43f3-8938-05c52091bd8a","block_type":"box","text":"administrative pronouncements issued by the IRS. If such future guidance limits the Fund’s ability to use derivatives,","page_number":170,"box":{"x":69,"y":135,"width":832,"height":12}},{"id":"e08a99ea-2594-41aa-bb5e-9f4153440060","block_type":"box","text":"the Fund may have to find other ways of achieving its investment objectives.","page_number":170,"box":{"x":68,"y":150,"width":542,"height":12}},{"id":"698edbab-93d8-4e0c-ab0f-7ac4f509449c","block_type":"box","text":"Certain swap agreements, including exchange-traded swap agreements, are treated as notional principal","page_number":170,"box":{"x":102,"y":173,"width":744,"height":11}},{"id":"1c0a4395-fab4-4d67-abbb-f9f07d295ca1","block_type":"box","text":"contracts rather than as section 1256 contracts. This can affect the type of income earned by such swap","page_number":170,"box":{"x":69,"y":188,"width":751,"height":11}},{"id":"52a8492d-efb3-4361-9683-1c73c0d08379","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":170,"box":{"x":69,"y":203,"width":819,"height":12}},{"id":"327cb551-6e18-4d29-8112-481a6b2d5940","block_type":"box","text":"on a section 1256 contract is treated as short-term capital gain taxed at ordinary rates and 60% is treated as long","page_number":170,"box":{"x":69,"y":219,"width":823,"height":11}},{"id":"365289c6-6919-4127-871c-9f4c7377e14a","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":170,"box":{"x":68,"y":234,"width":823,"height":11}},{"id":"7df168c5-10fc-4f13-ac45-4a8812471179","block_type":"box","text":"which may be taxable at more favorable rates than ordinary income. Proposed regulations interpret what types of","page_number":170,"box":{"x":68,"y":249,"width":807,"height":11}},{"id":"83ed12c0-9bca-4eba-8829-7961df46d7b5","block_type":"box","text":"swap agreements are to be treated as notional principal contracts rather than as section 1256 contracts. When","page_number":170,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"01faa1eb-5815-4acf-9076-6fc55be13dd5","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":170,"box":{"x":68,"y":279,"width":838,"height":11}},{"id":"281b0bfc-9f61-41ac-a43d-27be1563facb","block_type":"box","text":"of the distributions made to shareholders as ordinary income and less as long-term capital gains.","page_number":170,"box":{"x":69,"y":294,"width":695,"height":11}},{"id":"0b63d9ab-a206-4631-a655-91ec8aa7d5d6","block_type":"box","text":"Certain Funds may invest in zero coupon U.S. Treasury bonds and other debt securities that are issued at a","page_number":170,"box":{"x":102,"y":317,"width":768,"height":11}},{"id":"04347240-8bb6-4734-9634-6fc246482051","block_type":"box","text":"discount or provide for deferred interest. Even though a Fund receives no actual interest payments on these","page_number":170,"box":{"x":69,"y":332,"width":769,"height":11}},{"id":"1a8c5cca-8579-4797-a540-461c97ab25b5","block_type":"box","text":"securities, it will be deemed to receive income equal, generally, to a portion of the excess of the stated redemption","page_number":170,"box":{"x":69,"y":347,"width":822,"height":11}},{"id":"e3fc228a-e26c-430c-ac80-63eb5c981fb3","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":170,"box":{"x":70,"y":362,"width":819,"height":11}},{"id":"e19b990d-ac88-488a-9c46-423cbc2c8f64","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":170,"box":{"x":68,"y":377,"width":818,"height":12}},{"id":"4e9490f3-b378-45bb-9e51-c459281b7999","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":170,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"a913a24c-9f54-4d27-9c3d-9e4ecd1a8dfd","block_type":"box","text":"in order to satisfy its distribution requirements. In addition, a Fund’s investment in foreign currencies or foreign","page_number":170,"box":{"x":70,"y":407,"width":792,"height":12}},{"id":"1f8b7c87-fa18-4426-87bf-d1ff9880e5d9","block_type":"box","text":"currency denominated or referenced debt securities, certain asset-backed securities and contingent payment and","page_number":170,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"681297ac-f8e0-477b-a502-cf719e18ef5e","block_type":"box","text":"inflation-indexed debt instruments also may increase or accelerate the Fund’s recognition of income, including the","page_number":170,"box":{"x":70,"y":438,"width":812,"height":11}},{"id":"c5d5ce58-9b34-4065-ae5a-15840d7c7bd8","block_type":"box","text":"recognition of taxable income in excess of cash generated by such investments. Any transaction by the Fund in","page_number":170,"box":{"x":69,"y":453,"width":789,"height":11}},{"id":"0eececca-4a13-448f-b913-070cddc76211","block_type":"box","text":"foreign currencies, foreign currency-denominated debt obligations or certain foreign currency options, futures","page_number":170,"box":{"x":68,"y":468,"width":777,"height":11}},{"id":"e8f44acc-25d5-494c-b0db-a767874f8880","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":170,"box":{"x":69,"y":483,"width":810,"height":11}},{"id":"e5805e37-94cf-4188-8362-38916d818a64","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":170,"box":{"x":70,"y":498,"width":801,"height":11}},{"id":"6950bb40-8fd1-4222-8acb-2c87f6c25ad3","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":170,"box":{"x":69,"y":513,"width":762,"height":12}},{"id":"417bdb11-4631-4dca-8b24-7cfc444a2e40","block_type":"box","text":"potentially require the recharacterization of prior ordinary income distributions. Such ordinary income treatment may","page_number":170,"box":{"x":70,"y":528,"width":827,"height":12}},{"id":"8f41a0d8-6197-40ed-852b-77a46b9badec","block_type":"box","text":"accelerate Fund distributions to shareholders and increase the distributions taxed to shareholders as ordinary","page_number":170,"box":{"x":69,"y":544,"width":787,"height":11}},{"id":"d6ea0395-338f-4ae0-908d-c8db1dbb0aef","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":170,"box":{"x":70,"y":559,"width":822,"height":11}},{"id":"d997465d-21cf-4145-a59f-4a834ade66b5","block_type":"box","text":"in subsequent taxable years.","page_number":170,"box":{"x":70,"y":574,"width":203,"height":11}},{"id":"27fbddf1-0cfa-403d-9a0b-fdd429dd0ca7","block_type":"box","text":"Ordinary income dividends paid to shareholders who are nonresident aliens or foreign entities (other than pass","page_number":170,"box":{"x":102,"y":596,"width":795,"height":12}},{"id":"562f3951-5109-4a3a-b025-d4d58c61c2ab","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":170,"box":{"x":68,"y":612,"width":816,"height":11}},{"id":"91e21847-40b5-4e4a-a43a-c696b2631c12","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":170,"box":{"x":69,"y":627,"width":835,"height":11}},{"id":"2de16f9b-b09f-43b0-93a5-631dbe794316","block_type":"box","text":"withholding exemption is provided under applicable treaty law. Capital gain dividends paid to shareholders that are","page_number":170,"box":{"x":68,"y":642,"width":815,"height":11}},{"id":"acfb7aa4-0662-42a1-b311-422014a6cddd","block_type":"box","text":"nonresident aliens or foreign entities, if and to the extent properly reported as capital gain dividends, generally will","page_number":170,"box":{"x":69,"y":657,"width":816,"height":11}},{"id":"a162f16f-92b8-4f6e-9f41-2948c64190a9","block_type":"box","text":"not be subject to a 30% withholding tax, unless certain exceptions apply. Dividends derived by a regulated investment","page_number":170,"box":{"x":69,"y":672,"width":840,"height":11}},{"id":"a51d0f59-8f70-4d72-b240-d1184bef9038","block_type":"box","text":"company from short-term capital gains and qualified net interest income (including income from original issue","page_number":170,"box":{"x":69,"y":687,"width":781,"height":11}},{"id":"41b515be-c4b9-4653-ba90-1b3c9e902160","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":170,"box":{"x":69,"y":702,"width":824,"height":12}},{"id":"d07156d0-c9bf-4fb5-acb7-c7d41b6299c1","block_type":"box","text":"extent properly reported as “short-term capital gain dividends” or “interest-related dividends”, respectively, generally","page_number":170,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"4161456c-19bb-4e33-b221-07c44760f61e","block_type":"box","text":"will not be subject to U.S. withholding tax. Where possible, the Funds intend to report such dividends as interest","page_number":170,"box":{"x":68,"y":733,"width":808,"height":11}},{"id":"c0a1a70d-f5e2-45c6-b073-144513272067","block_type":"box","text":"related dividends or short-term capital gain dividends. However, depending on its circumstances, a Fund may report","page_number":170,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"614adc81-ba9a-4851-b1e6-7d64ab650dd7","block_type":"box","text":"all, some or none of its potentially eligible dividends as interest-related or as short-term capital gain dividends, and/","page_number":170,"box":{"x":69,"y":763,"width":830,"height":11}},{"id":"b386d307-08a4-4aa6-bc73-934f19cdda5c","block_type":"box","text":"or treat such dividends, in whole or in part, as ineligible for this exemption from withholding. In order to qualify for","page_number":170,"box":{"x":69,"y":778,"width":811,"height":11}},{"id":"0a75a33a-0cef-4b51-95d3-f6157fb01252","block_type":"box","text":"this exemption from withholding, a foreign shareholder must comply with applicable certification requirements","page_number":170,"box":{"x":68,"y":793,"width":784,"height":11}},{"id":"7ad35086-18da-4c96-b866-2b87a710c775","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":170,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"bda88ca1-de2c-4dd6-84ab-0e41f5c7c0b8","block_type":"box","text":"Form). In the case of shares held through an intermediary, the intermediary may withhold even if the Fund reports the","page_number":170,"box":{"x":70,"y":823,"width":839,"height":12}},{"id":"3524d1ca-0a1e-4405-baaa-e14a36cf9c0a","block_type":"box","text":"payment as an interest-related or short-term capital gain dividend. Foreign shareholders should contact their","page_number":170,"box":{"x":70,"y":839,"width":772,"height":11}},{"id":"356b83bb-cb77-4cc5-9a77-c128249de010","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":170,"box":{"x":70,"y":853,"width":791,"height":11}},{"id":"517f824f-de9c-4e39-9c01-6feb9c603ae6","block_type":"box","text":"portion, if any, of a Fund’s distributions will be reported as interest-related dividends or short-term capital gain","page_number":170,"box":{"x":70,"y":869,"width":787,"height":11}},{"id":"29170f28-71dc-4b31-9edf-2a16f50ff5b1","block_type":"box","text":"dividends under these rules.","page_number":170,"box":{"x":69,"y":884,"width":201,"height":9}},{"id":"33e7358e-f41b-4a9a-a5b7-0a4e558f619e","block_type":"box","text":"II-132","page_number":170,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"986bd04b-d5de-4eda-ada4-d3730f46314d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":170,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"261930b8-e13d-4c79-b740-56b487d576be","block_type":"box","text":"Distributions to certain foreign shareholders by a Fund at least 50% of the assets of which are “U.S. real","page_number":171,"box":{"x":102,"y":45,"width":747,"height":11}},{"id":"a3d17f62-e3b5-4cbb-a742-cb34b3349619","block_type":"box","text":"property interests” (as defined in the Code and Treasury regulations) at any time during the five-year period ending on","page_number":171,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"8631123c-582b-4a59-b6e3-3f1f7ff0ea6f","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":171,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"19fdbf0a-d380-429c-9f6b-db1c52c618e3","block_type":"box","text":"real property interests (including shares in certain “U.S. real property holding corporations” such as certain REITs,","page_number":171,"box":{"x":69,"y":90,"width":817,"height":11}},{"id":"47041b15-249d-447c-98de-19d3c1ed850f","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":171,"box":{"x":69,"y":105,"width":786,"height":11}},{"id":"e12d51ed-b1a2-4404-a8cb-423f555a01fb","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":171,"box":{"x":69,"y":120,"width":800,"height":12}},{"id":"3ae1ff2c-cfc8-42bf-8e97-9a79a5d0d23e","block_type":"box","text":"period ending on the date of the distributions), generally must be treated by such foreign shareholders as income","page_number":171,"box":{"x":70,"y":135,"width":807,"height":12}},{"id":"8e63a16b-675c-466d-9b82-e616bc0f0af0","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":171,"box":{"x":69,"y":150,"width":772,"height":12}},{"id":"b396b7f5-6c59-4bda-9fae-4174a90e4fbf","block_type":"box","text":"graduated rates applicable to U.S. shareholders, except for distributions to foreign shareholders that held no more","page_number":171,"box":{"x":68,"y":166,"width":818,"height":11}},{"id":"81d19cec-fb37-4acd-ace1-e06cbc2129fc","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":171,"box":{"x":68,"y":181,"width":820,"height":11}},{"id":"d0bc080f-b540-43e9-8291-f93d7ed62a46","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":171,"box":{"x":69,"y":196,"width":833,"height":11}},{"id":"db040938-a8d7-4f25-974c-98a13f23d440","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":171,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"d524f272-ab9a-4f7c-98b1-2c8edea4fb88","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":171,"box":{"x":69,"y":226,"width":774,"height":11}},{"id":"8b857e8a-01f8-4c44-841e-9109ff5b72a6","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":171,"box":{"x":69,"y":241,"width":839,"height":11}},{"id":"162f0348-09d8-4095-85ac-e0ac0cc66fdc","block_type":"box","text":"sales or redemptions of shares held by certain foreign shareholders in such a Fund generally will be subject to U.S.","page_number":171,"box":{"x":69,"y":256,"width":822,"height":12}},{"id":"8d88f62b-53d9-4176-8e84-f852d91cebfe","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":171,"box":{"x":70,"y":271,"width":827,"height":12}},{"id":"aa836de9-45fb-49ed-b4c3-d968ecc0ec7b","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":171,"box":{"x":69,"y":286,"width":823,"height":12}},{"id":"10cab7c3-1dd2-4733-9739-21c39f8f443c","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":171,"box":{"x":68,"y":302,"width":827,"height":11}},{"id":"9f2b355a-3b6d-4477-bfbd-fe61d098360f","block_type":"box","text":"at all times during the five-year period ending on the date of the sale or redemption.","page_number":171,"box":{"x":69,"y":317,"width":596,"height":11}},{"id":"171ba710-5190-4fb2-b665-4f1c5cab9c27","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":171,"box":{"x":102,"y":339,"width":802,"height":12}},{"id":"6e05f5c0-b4a1-4320-aea0-81c8beae2dbf","block_type":"box","text":"distributions made in the form of U.S. real property interests (including shares in certain “U.S. real property holding","page_number":171,"box":{"x":69,"y":355,"width":827,"height":11}},{"id":"d1ff23e9-62e2-4bc6-bb7b-f31755f1f0ea","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":171,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"d223d8fc-0c11-439e-95cb-556913fba3d4","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":171,"box":{"x":69,"y":385,"width":824,"height":11}},{"id":"f87a08f6-9fd9-4bf7-80cc-a678368bbd65","block_type":"box","text":"five-year period ending on the date of the distribution) generally will cause the Fund to recognize a portion of any","page_number":171,"box":{"x":68,"y":400,"width":801,"height":11}},{"id":"b107bad0-c505-4865-9bac-bf5ee313016a","block_type":"box","text":"unrecognized gain in the U.S. real property interests equal to the product of (i) the excess of fair market value of","page_number":171,"box":{"x":69,"y":415,"width":803,"height":11}},{"id":"e5c70528-7b27-43e2-91ed-ca2006d1876c","block_type":"box","text":"such U.S. real property interests over the Fund’s adjusted bases in such interests and (ii) the greatest foreign","page_number":171,"box":{"x":69,"y":430,"width":785,"height":11}},{"id":"6f4ae59a-19a3-4f70-91f2-66615ef29fe1","block_type":"box","text":"ownership percentage of the Fund during the five-year period ending on the date of distribution.","page_number":171,"box":{"x":69,"y":445,"width":676,"height":12}},{"id":"49cabd01-f855-49df-8984-71072c737585","block_type":"box","text":"A foreign shareholder may also be subject to certain “wash sale” rules to prevent the avoidance of the tax filing","page_number":171,"box":{"x":101,"y":468,"width":798,"height":11}},{"id":"61e5e2bc-dfca-40c1-9484-b128fabdfa05","block_type":"box","text":"and payment obligations discussed above through the sale and repurchase of Fund shares.","page_number":171,"box":{"x":69,"y":483,"width":651,"height":11}},{"id":"6e327ba5-8098-48f3-aea5-4acbf6ee5109","block_type":"box","text":"Shareholders that are nonresident aliens or foreign entities are urged to consult their own tax advisors","page_number":171,"box":{"x":102,"y":506,"width":731,"height":11}},{"id":"523bd70c-6f36-40fa-b967-81433e3dbf28","block_type":"box","text":"concerning the particular tax consequences to them of an investment in a Fund.","page_number":171,"box":{"x":69,"y":521,"width":570,"height":11}},{"id":"d62fa13a-6089-4fc0-9736-db95d3cbe41b","block_type":"box","text":"Separately, a 30% withholding tax is currently imposed on U.S.-source dividends, interest and other income","page_number":171,"box":{"x":102,"y":544,"width":763,"height":11}},{"id":"610c0201-8bca-4650-a026-82ac2888ef3d","block_type":"box","text":"items paid to (i) certain foreign financial institutions and investment funds, and (ii) certain other foreign entities. To","page_number":171,"box":{"x":70,"y":559,"width":820,"height":11}},{"id":"e51d87c1-0f05-464e-a4fa-35bc0d72d456","block_type":"box","text":"avoid withholding, foreign financial institutions and investment funds will generally either need to (a) collect and","page_number":171,"box":{"x":69,"y":574,"width":794,"height":11}},{"id":"5eef9de2-bac1-4e14-8949-ecb585af2626","block_type":"box","text":"report to the IRS detailed information identifying their U.S. accounts and U.S. account holders, comply with due","page_number":171,"box":{"x":69,"y":589,"width":794,"height":11}},{"id":"32c2ba4d-faf9-4c7b-8bcd-4fc605b9c680","block_type":"box","text":"diligence procedures for identifying U.S. accounts and withhold tax on certain payments made to noncomplying","page_number":171,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"4938721c-9e47-4a33-a518-a39ca1c2a0f0","block_type":"box","text":"foreign entities and account holders or (b) if an intergovernmental agreement is entered into and implementing","page_number":171,"box":{"x":68,"y":619,"width":791,"height":11}},{"id":"45efdc0f-bbdc-44ad-8d19-df18c2c01ffe","block_type":"box","text":"legislation is adopted, comply with the agreement and legislation. Other foreign entities will generally either need to","page_number":171,"box":{"x":70,"y":634,"width":822,"height":12}},{"id":"83d8c85a-efee-4db5-a429-8ae6396d1931","block_type":"box","text":"provide detailed information identifying each substantial U.S. owner or certify there are no such owners.","page_number":171,"box":{"x":70,"y":649,"width":739,"height":12}},{"id":"be33987c-7443-4e89-9dcc-1b942d5f45dc","block_type":"box","text":"Under certain provisions of the Code, some shareholders may be subject to a 24% withholding tax on ordinary","page_number":171,"box":{"x":102,"y":672,"width":786,"height":11}},{"id":"3b70a739-f153-4487-8497-42d953d61055","block_type":"box","text":"income dividends, capital gain dividends and redemption payments (“backup withholding”). Generally, shareholders","page_number":171,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"ffd7fa34-2642-4a26-900b-2b3ef7450efb","block_type":"box","text":"subject to backup withholding will be non-corporate shareholders for whom no certified taxpayer identification number","page_number":171,"box":{"x":69,"y":702,"width":837,"height":12}},{"id":"539e7bc4-6734-4258-9413-1bebfe4cb37d","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":171,"box":{"x":70,"y":717,"width":821,"height":12}},{"id":"35067347-2bc0-431c-9f1c-0a9c3961a9bd","block_type":"box","text":"account, an investor must certify under penalty of perjury that such number is correct and that such investor is not","page_number":171,"box":{"x":69,"y":732,"width":819,"height":12}},{"id":"76df8f4c-6f54-48c5-a933-4456ab741ba1","block_type":"box","text":"otherwise subject to backup withholding. Backup withholding is not an additional tax. Any amount withheld generally","page_number":171,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"b1210940-dea9-455c-9e90-a34b5de81b48","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":171,"box":{"x":69,"y":763,"width":802,"height":11}},{"id":"e32d9a73-6303-4e70-a037-eac1f79a8d46","block_type":"box","text":"required information is timely forwarded to the IRS.","page_number":171,"box":{"x":69,"y":778,"width":364,"height":11}},{"id":"608d1769-01fe-4bb6-8e9e-dfd6deb76722","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":171,"box":{"x":102,"y":800,"width":774,"height":12}},{"id":"3e3efcbc-fab2-42df-84c3-0eee7ac56e92","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":171,"box":{"x":68,"y":815,"width":787,"height":12}},{"id":"945c9c89-e271-4fea-b87e-d11b6e2a4d33","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":171,"box":{"x":68,"y":830,"width":835,"height":12}},{"id":"eb32b578-2a0d-4a31-a872-7e4e6a8024ba","block_type":"box","text":"the shareholder must file a disclosure statement on IRS Form 8886 with the IRS. Direct shareholders of portfolio","page_number":171,"box":{"x":68,"y":846,"width":809,"height":11}},{"id":"9a030cab-7ed2-4edf-ad20-fd883414bc9d","block_type":"box","text":"securities are in many cases exempted. That a loss is reportable under these regulations does not affect the legal","page_number":171,"box":{"x":69,"y":861,"width":817,"height":11}},{"id":"caf9a083-3689-4205-91e4-c864b96b63d0","block_type":"box","text":"determination of whether the taxpayer’s treatment of the loss is proper. Shareholders should consult their tax","page_number":171,"box":{"x":69,"y":876,"width":783,"height":11}},{"id":"44ac4b0f-b2a1-4b46-a343-41fe5ff4551b","block_type":"box","text":"advisors to determine the applicability of these regulations in light of their individual circumstances.","page_number":171,"box":{"x":69,"y":891,"width":710,"height":12}},{"id":"074a6f89-85f7-455b-ac9d-b8f2763664d7","block_type":"box","text":"II-133","page_number":171,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"ac8407c7-83b4-4112-a119-8a5d967e4ebe","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":171,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"03d8b785-1c5b-4e8b-8b76-416492566b14","block_type":"box","text":"Certain types of income received by a Fund from REITs, real estate mortgage investment conduits, taxable","page_number":172,"box":{"x":102,"y":45,"width":758,"height":11}},{"id":"bb5100c4-5c52-4f48-9a93-20c74da7da6b","block_type":"box","text":"mortgage pools or other investments may cause the Fund to report some or all of its distributions as “excess","page_number":172,"box":{"x":69,"y":60,"width":782,"height":11}},{"id":"d7c52e08-109c-414b-ba13-ea5dd9c2ec55","block_type":"box","text":"inclusion income.” To Fund shareholders, such excess inclusion income may: (i) constitute taxable income, as","page_number":172,"box":{"x":70,"y":75,"width":783,"height":11}},{"id":"7ac9a937-961d-4b66-91f4-113d32a77138","block_type":"box","text":"unrelated business taxable income (“UBTI”) for those shareholders who would otherwise be tax-exempt such as","page_number":172,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"66c8ed5d-087f-4726-96b4-21fbb5370ece","block_type":"box","text":"individual retirement accounts, 401(k) accounts, Keogh plans, pension plans and certain charitable entities; (ii) not","page_number":172,"box":{"x":70,"y":105,"width":822,"height":11}},{"id":"25dc3fd7-40cb-493b-95d3-9be4e5e8b1fd","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":172,"box":{"x":69,"y":120,"width":836,"height":12}},{"id":"9ee68d58-ae25-4966-b15c-46562f5d11a2","block_type":"box","text":"U.S. shareholders even from tax treaty countries; and (iv) cause the Fund to be subject to tax if certain “disqualified","page_number":172,"box":{"x":70,"y":135,"width":826,"height":11}},{"id":"e0f52c90-1614-475b-9cf4-99bc2ce4bfa9","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":172,"box":{"x":69,"y":150,"width":808,"height":12}},{"id":"5cec2d3a-63a7-454a-b541-b8b91000cbeb","block_type":"box","text":"expected to generate excess inclusion income, but the Fund may not always be successful in doing so. Because","page_number":172,"box":{"x":69,"y":166,"width":800,"height":11}},{"id":"ee37ed14-7bbc-4a9a-a8b3-259ec01fbc83","block_type":"box","text":"information about a REIT’s investments may be inadequate or inaccurate, or because a REIT may change its","page_number":172,"box":{"x":70,"y":181,"width":770,"height":11}},{"id":"527d64ce-283b-4491-a75d-cbc47b53f0c7","block_type":"box","text":"investment program, the Fund may not be successful in avoiding the consequences described above. Avoidance of","page_number":172,"box":{"x":70,"y":196,"width":816,"height":11}},{"id":"1855f7dc-856e-4060-8bd3-5844d3ea3d83","block_type":"box","text":"investments in REITs that generate excess inclusion income may require the Fund to forego otherwise attractive","page_number":172,"box":{"x":70,"y":211,"width":796,"height":11}},{"id":"72992dc1-007d-4806-9e77-7a6c4e9d5974","block_type":"box","text":"investment opportunities.","page_number":172,"box":{"x":70,"y":226,"width":180,"height":11}},{"id":"efa13214-1614-4e68-88cf-1f09e92b7d6f","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":172,"box":{"x":102,"y":249,"width":801,"height":11}},{"id":"178ad295-6385-4419-b666-3b390817cba5","block_type":"box","text":"imposed by foreign countries. Tax conventions between certain foreign countries and the United States may reduce or","page_number":172,"box":{"x":70,"y":264,"width":839,"height":11}},{"id":"60769708-7524-4ab7-8833-7e77b382b150","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":172,"box":{"x":69,"y":279,"width":840,"height":11}},{"id":"02486419-605d-45c0-9f56-8d550b03dbbc","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":172,"box":{"x":68,"y":294,"width":837,"height":11}},{"id":"2c719629-7e69-4cfe-bb23-c21b5ae6fd00","block_type":"box","text":"Fund, subject to certain requirements and limitations contained in the Code. For example, certain retirement","page_number":172,"box":{"x":70,"y":309,"width":774,"height":11}},{"id":"8070e4d8-ed1e-41e0-a005-7111e7e792ae","block_type":"box","text":"accounts and certain tax-exempt organizations cannot claim foreign tax credits on investments in foreign securities","page_number":172,"box":{"x":69,"y":324,"width":820,"height":12}},{"id":"4e576de9-85e5-4b3c-840f-060f697d0a31","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":172,"box":{"x":69,"y":339,"width":795,"height":12}},{"id":"3485fa2e-ada7-4347-a4b0-821308c8e931","block_type":"box","text":"respect to a security only if the holder of the security meets certain holding period requirements. Both the","page_number":172,"box":{"x":69,"y":355,"width":755,"height":11}},{"id":"2995a918-480a-4066-8ab6-b4e5c2acc444","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":172,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"905322c8-dadc-4851-90d5-b3db9cb58fc1","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":172,"box":{"x":69,"y":385,"width":839,"height":11}},{"id":"68af542c-0a4b-452a-af5a-898dfb6cb996","block_type":"box","text":"the Fund. Further, to the extent that a Fund engages in securities lending with respect to a security paying income","page_number":172,"box":{"x":68,"y":400,"width":812,"height":11}},{"id":"2dcc1ba5-bc93-4199-9e15-598d8295d97e","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":172,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"d1510090-833b-45cf-b147-c344f73bc0c9","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":172,"box":{"x":68,"y":430,"width":827,"height":11}},{"id":"9ade0085-9b22-4990-814e-df7104ba60c8","block_type":"box","text":"IRS pursuant to which shareholders of the Fund will be required to include their proportionate shares of such foreign","page_number":172,"box":{"x":70,"y":445,"width":829,"height":12}},{"id":"ce3348b8-8ba7-476d-8784-30cd0351664a","block_type":"box","text":"taxes in their U.S. income tax returns as gross income, treat such proportionate shares as taxes paid by them, and","page_number":172,"box":{"x":68,"y":460,"width":825,"height":12}},{"id":"cb180685-9179-4c7c-b70c-d858e5952540","block_type":"box","text":"deduct such proportionate shares in computing their taxable incomes or, alternatively, use them as foreign tax","page_number":172,"box":{"x":69,"y":475,"width":788,"height":12}},{"id":"b0292c89-bbf0-49a1-9983-7cfb42968a21","block_type":"box","text":"credits against their U.S. income taxes. No deductions for foreign taxes, however, may be claimed by noncorporate","page_number":172,"box":{"x":69,"y":491,"width":818,"height":11}},{"id":"05b50421-7d05-4b35-8234-4e1ebf3164db","block_type":"box","text":"shareholders who do not itemize deductions. A shareholder that is a nonresident alien individual or a foreign","page_number":172,"box":{"x":69,"y":506,"width":773,"height":11}},{"id":"363ab401-45d0-4391-97d1-bce1faf6b456","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":172,"box":{"x":69,"y":521,"width":817,"height":11}},{"id":"bc3035b4-a069-4ea0-b1b6-13e0dfbeb0b7","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":172,"box":{"x":70,"y":536,"width":814,"height":11}},{"id":"54f185d5-8029-4bbf-ab6e-46a6be7bf96b","block_type":"box","text":"having been paid by such shareholder. A Fund will report annually to its shareholders the amount per share of such","page_number":172,"box":{"x":69,"y":551,"width":821,"height":11}},{"id":"abbe0bcf-dcde-4afa-958b-ab9d6306994e","block_type":"box","text":"foreign taxes and other information needed to claim the foreign tax credit.","page_number":172,"box":{"x":68,"y":566,"width":527,"height":11}},{"id":"24551fe1-4216-4cc1-9d3e-1f160fbb53d0","block_type":"box","text":"Certain transactions entered into by the Funds are subject to special tax rules of the Code that may, among","page_number":172,"box":{"x":102,"y":589,"width":768,"height":11}},{"id":"78d672a0-0236-4e18-a26f-f57b94d6ec6a","block_type":"box","text":"other things, (a) affect the character of gains and losses realized, (b) disallow, suspend or otherwise limit the","page_number":172,"box":{"x":69,"y":604,"width":780,"height":11}},{"id":"574bca25-445a-4749-9851-741dfe94c21f","block_type":"box","text":"allowance of certain losses or deductions, and (c) accelerate the recognition of income without a corresponding","page_number":172,"box":{"x":69,"y":619,"width":797,"height":11}},{"id":"645a1918-ad58-4d24-bcad-63a95ea05ca1","block_type":"box","text":"receipt of cash (with which to make the necessary distributions to satisfy distribution requirements applicable to","page_number":172,"box":{"x":69,"y":634,"width":802,"height":11}},{"id":"415eef7f-8890-4cdb-a477-796d58d2a5e3","block_type":"box","text":"regulated investment companies). Operation of these rules could, therefore, affect the character, amount and timing","page_number":172,"box":{"x":69,"y":649,"width":831,"height":12}},{"id":"6380fed9-bf47-457c-a1c3-c4c997279c81","block_type":"box","text":"of distributions to shareholders. Special tax rules also may require a Fund to mark-to-market certain types of","page_number":172,"box":{"x":69,"y":664,"width":776,"height":12}},{"id":"69b0b1cb-16b7-4583-a3fb-953aea0d2c09","block_type":"box","text":"positions in its portfolio (","page_number":172,"box":{"x":70,"y":680,"width":177,"height":11}},{"id":"2fc44cd4-cdc6-460b-be8f-e1764e294f08","block_type":"box","text":"i.e.","page_number":172,"box":{"x":249,"y":680,"width":20,"height":9}},{"id":"a169deae-d05c-4851-87be-d56a0feb88d5","block_type":"box","text":", treat them as sold on the last day of the taxable year), and may result in the recognition","page_number":172,"box":{"x":272,"y":680,"width":636,"height":11}},{"id":"577a99d0-8446-4f0c-89d3-3277655739cc","block_type":"box","text":"of income without a corresponding receipt of cash. Funds engaging in transactions affected by these provisions","page_number":172,"box":{"x":69,"y":695,"width":795,"height":11}},{"id":"157e1619-4fb2-442d-b752-3bd97f5c626f","block_type":"box","text":"intend to monitor their transactions, make appropriate tax elections and make appropriate entries in their books and","page_number":172,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"11aabee5-538a-45bd-8178-6bb26fdb1376","block_type":"box","text":"records to lessen the effect of these tax rules and avoid any possible disqualification from the special treatment","page_number":172,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"6f72f90b-a739-4d3a-8f2f-d6af3aff13e7","block_type":"box","text":"afforded regulated investment companies under the Code.","page_number":172,"box":{"x":69,"y":740,"width":415,"height":11}},{"id":"b8a4a9f8-10e8-4e21-a2cd-c3949a474fa8","block_type":"box","text":"Certain of a Fund’s investments in derivative instruments and foreign currency-denominated instruments, and","page_number":172,"box":{"x":102,"y":763,"width":781,"height":11}},{"id":"94fa57f2-ef6a-4500-9273-db6f29887bc3","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":172,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"4ccf0dda-705e-4a2d-abba-c9a536fdad9e","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":172,"box":{"x":70,"y":793,"width":811,"height":11}},{"id":"c9a4b5fa-b5a2-49cd-954b-7cbfa9e179f0","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":172,"box":{"x":69,"y":808,"width":818,"height":11}},{"id":"deb38380-fb47-4008-9a00-d340e27c8109","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":172,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"ab46cefd-f65e-44e1-aed3-df10089d56fb","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":172,"box":{"x":69,"y":838,"width":834,"height":11}},{"id":"41614765-8a44-4e9d-899e-094a7e6fe328","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":172,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"697a73ab-0583-45d5-a93c-5691d54c8c47","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":172,"box":{"x":69,"y":869,"width":805,"height":11}},{"id":"1d9d95e4-2a5f-475c-a183-e3245d6933e6","block_type":"box","text":"II-134","page_number":172,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"dbf20cfc-0ad6-418f-b739-b44ccc449f20","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":172,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f360adbc-bd9c-4aec-8eea-f1385875b6a9","block_type":"box","text":"earnings and profits (including earnings and profits arising from tax-exempt income), (ii) thereafter, as a return of","page_number":173,"box":{"x":69,"y":45,"width":805,"height":11}},{"id":"3f99ebd4-a6bb-4462-9d7d-de83602df147","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":173,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"91a71f1a-e0c6-4a36-bb94-c2b47c4b34dc","block_type":"box","text":"capital asset.","page_number":173,"box":{"x":69,"y":75,"width":95,"height":11}},{"id":"b545b03a-0fb8-4f25-a7f2-48fb5e27d990","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":173,"box":{"x":102,"y":98,"width":787,"height":11}},{"id":"fcdc6f1a-b07d-48c9-8723-ea036ae28cab","block_type":"box","text":"indefinitely or permanently deferred as “wash sales.” Distributions of short-term capital gains by underlying funds will","page_number":173,"box":{"x":70,"y":113,"width":836,"height":11}},{"id":"41757c3f-512e-496f-8b3a-f484d8494d6b","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":173,"box":{"x":69,"y":128,"width":812,"height":11}},{"id":"aa1b0864-9a4e-426e-8355-bd4f095edffc","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":173,"box":{"x":69,"y":143,"width":805,"height":11}},{"id":"328da20e-1162-458b-813b-6e8bae121b86","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":173,"box":{"x":68,"y":158,"width":829,"height":11}},{"id":"4a4ab99b-effb-44ef-bbf1-d7486f88a19d","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":173,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"c18811ac-c44c-4953-8077-191ce2e27bf7","block_type":"box","text":"Fund were to invest otherwise.","page_number":173,"box":{"x":70,"y":188,"width":216,"height":9}},{"id":"3d412e44-4112-4511-9357-3f5a314562ec","block_type":"box","text":"A Fund may take certain positions through a wholly-owned (or majority-owned), foreign subsidiary (the","page_number":173,"box":{"x":101,"y":211,"width":721,"height":11}},{"id":"21bd2b0e-737d-4d65-9cbc-b58cb13dd62b","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":173,"box":{"x":70,"y":226,"width":787,"height":11}},{"id":"db4d6618-49f6-4d87-9d18-6445cfc6b236","block_type":"box","text":"income will be “subpart F income” for U.S. federal income tax purposes. If that is the case, the Fund will be required","page_number":173,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"a8427044-24b7-4ecc-ac9c-5d1b3dbb91e1","block_type":"box","text":"to report all of the Subsidiary’s net income as ordinary income regardless of whether that income would be treated","page_number":173,"box":{"x":68,"y":256,"width":823,"height":12}},{"id":"e14876cb-81cf-450c-9138-1b8d92ff2a39","block_type":"box","text":"differently (for example, as capital gain) at the Subsidiary level and regardless of whether that income is distributed","page_number":173,"box":{"x":69,"y":271,"width":825,"height":12}},{"id":"400c3fcd-6b01-49f4-a4e9-c492b101610b","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":173,"box":{"x":68,"y":286,"width":838,"height":12}},{"id":"22ab676e-7dee-4981-acd2-3631d35747f1","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":173,"box":{"x":68,"y":302,"width":830,"height":11}},{"id":"87f45112-3088-4464-b503-f5ade129dfc1","block_type":"box","text":"expected that the Subsidiary will be subject to an entity-level federal tax.","page_number":173,"box":{"x":69,"y":317,"width":515,"height":11}},{"id":"bf2d5082-fc00-4a9e-8811-2a2c97783606","block_type":"box","text":"If a Fund purchases shares of an investment company (or similar investment entity) organized under foreign law,","page_number":173,"box":{"x":102,"y":339,"width":798,"height":12}},{"id":"fc369e65-69b6-4d93-badb-7016b0e34579","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":173,"box":{"x":68,"y":355,"width":835,"height":11}},{"id":"9c470287-7eb7-419b-b93e-5001248da4a4","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":173,"box":{"x":70,"y":370,"width":827,"height":11}},{"id":"d1e94967-b3b7-4e00-8ca0-c370faa34e3d","block_type":"box","text":"to tax underpayments) on tax liability treated as having been deferred with respect to certain distributions from such","page_number":173,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"169aa493-9ade-490c-b376-3d26319eaa03","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":173,"box":{"x":69,"y":400,"width":802,"height":11}},{"id":"b6dfd362-a4c9-4c6c-8467-fae20e24401f","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":173,"box":{"x":69,"y":415,"width":821,"height":11}},{"id":"31ea551c-8106-46ba-8fb5-79f783f4e43f","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":173,"box":{"x":70,"y":430,"width":797,"height":11}},{"id":"ed9f8268-8853-4ce2-8f3f-53c254b1864c","block_type":"box","text":"made separately for each PFIC held and, once made, would be effective for all subsequent taxable years, unless","page_number":173,"box":{"x":69,"y":445,"width":801,"height":11}},{"id":"3ea843d0-9f39-4a79-93f4-cb925688c905","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":173,"box":{"x":69,"y":460,"width":818,"height":12}},{"id":"2c326352-a9b4-49a0-96db-2725dd598f54","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":173,"box":{"x":68,"y":475,"width":797,"height":12}},{"id":"85286eb4-5464-4a56-91b6-11fc9d931817","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":173,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"4f068592-f70f-4a7e-9b13-3aeda5a10476","block_type":"box","text":"to-market election, a Fund could avoid imposition of the interest charge with respect to excess distributions from","page_number":173,"box":{"x":68,"y":506,"width":804,"height":11}},{"id":"99967591-cf83-47e1-88a6-951837e0d2c6","block_type":"box","text":"PFICs, but in any particular year might be required to recognize income in excess of the distributions it received from","page_number":173,"box":{"x":69,"y":521,"width":831,"height":11}},{"id":"a7c4b24f-a5af-47a0-9e84-a0dc0dd33ba3","block_type":"box","text":"PFICs.","page_number":173,"box":{"x":69,"y":536,"width":42,"height":9}},{"id":"08abe587-2a32-43b0-8a27-e3a3d374641f","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":173,"box":{"x":102,"y":559,"width":804,"height":11}},{"id":"ceb0566b-e3b0-4630-815e-d4a30cd35f4b","block_type":"box","text":"of the foregoing requirements, the Fund would be required to include in income each year a portion of the ordinary","page_number":173,"box":{"x":69,"y":574,"width":816,"height":11}},{"id":"e39f1a55-61db-4b39-8db7-84cd7882dfc9","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":173,"box":{"x":69,"y":589,"width":816,"height":11}},{"id":"cf687b27-9142-4ff8-8dd9-d598fd6829fe","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":173,"box":{"x":68,"y":604,"width":840,"height":11}},{"id":"60228113-6dcd-403d-86d8-c4c1b83ea8f8","block_type":"box","text":"the Fund would be required to obtain certain annual information from the PFICs in which it invests, which may be","page_number":173,"box":{"x":68,"y":619,"width":804,"height":11}},{"id":"9b280ad5-2e6b-42c0-bd78-0d0372e3b6e4","block_type":"box","text":"difficult or impossible to obtain.","page_number":173,"box":{"x":69,"y":634,"width":225,"height":11}},{"id":"daea6cbb-8363-49e5-a217-d831455970c0","block_type":"box","text":"In certain situations, a Fund may, for a taxable year, defer all or a portion of its net capital loss (or if there is no","page_number":173,"box":{"x":102,"y":657,"width":796,"height":11}},{"id":"efae77a0-86d3-48b1-baca-1d1ff3ff9774","block_type":"box","text":"net capital loss, any net long-term or short-term capital loss) realized after October and its late-year ordinary loss","page_number":173,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"e5cb440c-5345-442e-aaa0-2a1f4fc3f170","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":173,"box":{"x":69,"y":687,"width":778,"height":11}},{"id":"db36d29f-1179-4206-9d94-3981fb6b77c7","block_type":"box","text":"currency and PFIC gains plus the excess of post-December ordinary losses over post-December ordinary income) until","page_number":173,"box":{"x":69,"y":702,"width":838,"height":12}},{"id":"ef940fe9-6045-4422-963f-1d3fe0948772","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":173,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"da07681e-65c7-4348-972b-e067b8d0d6b3","block_type":"box","text":"recognition of such realized losses. Such deferrals and other rules regarding gains and losses realized after October","page_number":173,"box":{"x":69,"y":732,"width":830,"height":12}},{"id":"0a3a9f6e-16cb-4100-8b19-8c048de6ec0c","block_type":"box","text":"(or December) may affect the tax character of shareholder distributions.","page_number":173,"box":{"x":69,"y":748,"width":511,"height":11}},{"id":"5baf7d36-4ed3-4353-bfc1-8f97e3780148","block_type":"box","text":"Municipal Funds","page_number":173,"box":{"x":102,"y":771,"width":115,"height":10}},{"id":"2c593b83-97dd-4c91-bc01-c2986683ae36","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":173,"box":{"x":102,"y":793,"width":798,"height":11}},{"id":"c7d262e5-e958-4435-9604-5c4cbc647df2","block_type":"box","text":"Code. Under such section if, at the close of each quarter of a Fund’s taxable year, at least 50% of the value of the","page_number":173,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"daa7e084-ebf6-4c88-bbd3-d8c145716582","block_type":"box","text":"Fund’s total assets consists of obligations exempt from U.S. federal income tax (“tax-exempt obligations”) under","page_number":173,"box":{"x":70,"y":823,"width":803,"height":12}},{"id":"5d73ff8d-057b-4b9d-a00c-64eb0c38d5f5","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":173,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"ea7c1abe-028b-4fdd-8063-6ba0ccd28e0d","block_type":"box","text":"qualified to pay exempt-interest dividends to holders of all outstanding classes of its shares (together the","page_number":173,"box":{"x":69,"y":853,"width":752,"height":12}},{"id":"406d51ff-7ef8-4788-bb1e-3e6579062e75","block_type":"box","text":"“shareholders”). Exempt-interest dividends are dividends or any part thereof paid by a Fund that are attributable to","page_number":173,"box":{"x":70,"y":869,"width":817,"height":11}},{"id":"6aef86b2-a5bb-4ee0-8e5e-b6dadfcd2da6","block_type":"box","text":"interest on tax-exempt obligations and reported by the Fund as exempt-interest dividends. A Fund will allocate","page_number":173,"box":{"x":70,"y":884,"width":780,"height":11}},{"id":"0130166b-620c-4925-bd27-56c59e806da3","block_type":"box","text":"interest from tax-exempt obligations (as well as ordinary income, capital gains and tax preference items discussed","page_number":173,"box":{"x":70,"y":899,"width":815,"height":11}},{"id":"f73182a8-4316-4ab6-afe8-b9a9ab0d9b2a","block_type":"box","text":"II-135","page_number":173,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9f43f4c3-085b-423d-a5a8-cdb3d456c49f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":173,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"33fc896b-31bc-42e9-9823-c39ca39ed117","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":174,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"34c3d807-4746-4f7e-a39d-0e041503f003","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":174,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"d6680460-ebf9-44b0-9252-cb8d1099b8ca","block_type":"box","text":"to each class of shareholders during the taxable year, or such other method as the IRS may prescribe.","page_number":174,"box":{"x":68,"y":75,"width":730,"height":11}},{"id":"8f8cc26a-90f4-43ab-bfdc-8f21c8545da6","block_type":"box","text":"Exempt-interest dividends will be excludable from a shareholder’s gross income for U.S. federal income tax","page_number":174,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"eacbc242-14e8-48bc-b11b-7b3ef1a133f9","block_type":"box","text":"purposes. Exempt-interest dividends are included, however, in determining the portion, if any, of a person’s social","page_number":174,"box":{"x":70,"y":113,"width":809,"height":11}},{"id":"f8ae1410-b57b-4c0b-9a6b-8475b18e54e2","block_type":"box","text":"security and railroad retirement benefits subject to U.S. federal income taxes. Interest on indebtedness incurred or","page_number":174,"box":{"x":69,"y":128,"width":821,"height":11}},{"id":"30078caa-34fa-48f7-8304-759904d3ee38","block_type":"box","text":"continued to purchase or carry shares of a regulated investment company paying exempt-interest dividends, such as","page_number":174,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"8a008b0d-1080-4665-8b84-d2cf5072fad3","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":174,"box":{"x":68,"y":158,"width":800,"height":11}},{"id":"e67c0e4d-30e1-4882-955a-d3c8c65732be","block_type":"box","text":"exempt-interest dividends. Shareholders are advised to consult their tax advisors with respect to whether exempt","page_number":174,"box":{"x":69,"y":173,"width":810,"height":11}},{"id":"68f814d3-6c45-40ef-bfdb-ce39851b7042","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":174,"box":{"x":70,"y":188,"width":836,"height":11}},{"id":"d63b69ed-9a68-4459-a66b-51450efd62df","block_type":"box","text":"user” or “related person” under Code Section 147(a) with respect to property financed with the proceeds of an issue","page_number":174,"box":{"x":69,"y":203,"width":835,"height":12}},{"id":"a025e4f1-a133-424a-87ea-63f8e4dd93b3","block_type":"box","text":"of PABs, if any, held by a Fund.","page_number":174,"box":{"x":69,"y":218,"width":217,"height":12}},{"id":"27057328-351d-4192-8d88-a60a500eb6a3","block_type":"box","text":"Substitute payments received by a Fund representing interest paid on tax-exempt obligations loaned out by the","page_number":174,"box":{"x":102,"y":241,"width":788,"height":11}},{"id":"5444d2bd-0e5b-4684-8e7d-09b8eaac9938","block_type":"box","text":"Fund will not be considered exempt interest, and distributions by the Fund of such substitute payments will not","page_number":174,"box":{"x":70,"y":256,"width":790,"height":11}},{"id":"2cf39f0b-4fce-4275-a4f7-597bce61663d","block_type":"box","text":"constitute exempt-interest dividends.","page_number":174,"box":{"x":69,"y":272,"width":261,"height":10}},{"id":"32f0b1ff-ebff-4986-97e3-f87e612fb86d","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":174,"box":{"x":102,"y":294,"width":765,"height":11}},{"id":"e196dcb8-88e8-47dc-8659-6fcaab801df3","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":174,"box":{"x":69,"y":309,"width":819,"height":11}},{"id":"ef5504a3-3800-4b80-acdf-2248839e4c03","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":174,"box":{"x":68,"y":324,"width":813,"height":12}},{"id":"2f04ab91-1bad-4818-a1f5-1ea74a242d3a","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":174,"box":{"x":70,"y":339,"width":809,"height":12}},{"id":"f619588d-42fd-416c-a05a-b004d1343222","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":174,"box":{"x":69,"y":355,"width":829,"height":11}},{"id":"bccbc2cc-feea-4fec-a67b-3b224f2eb4b1","block_type":"box","text":"any capital gain dividends received by the shareholder.","page_number":174,"box":{"x":69,"y":370,"width":388,"height":11}},{"id":"2157fa09-439e-4fc0-a10b-08b7587b1db3","block_type":"box","text":"All or a portion of a Fund’s gains from the sale or redemption of tax-exempt obligations purchased at a market","page_number":174,"box":{"x":101,"y":392,"width":787,"height":12}},{"id":"dae0fca4-2e9c-48f3-8e65-fe8e15fb7b98","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":174,"box":{"x":69,"y":407,"width":817,"height":12}},{"id":"67318365-c989-4ac8-970d-665e16dc23ae","block_type":"box","text":"income dividends received by shareholders.","page_number":174,"box":{"x":70,"y":423,"width":309,"height":11}},{"id":"5ef230ad-5471-4e08-8cfb-1089a5cbdeb4","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":174,"box":{"x":101,"y":446,"width":766,"height":11}},{"id":"a26f2b80-1396-45c6-834a-5368b8bfc2e7","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":174,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"136302e7-fd1c-4ad0-91e6-ff7f86edd10b","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":174,"box":{"x":70,"y":476,"width":815,"height":11}},{"id":"f3acaa3d-96a8-4565-b5d9-6a23565fc3fd","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":174,"box":{"x":70,"y":491,"width":815,"height":11}},{"id":"89c78448-923f-4533-905d-b59d3c245b3c","block_type":"box","text":"the accrued market discount.","page_number":174,"box":{"x":68,"y":506,"width":208,"height":9}},{"id":"d140bfe4-2d96-4af0-b16e-80bc1e471332","block_type":"box","text":"The Code subjects interest received on certain otherwise tax-exempt securities to a federal alternative minimum","page_number":174,"box":{"x":101,"y":528,"width":801,"height":12}},{"id":"60f21160-d6a3-4fcb-bdcd-ec5607fd8346","block_type":"box","text":"tax. The alternative minimum tax applies to interest received on certain “PABs” issued after August 7, 1986. PABs","page_number":174,"box":{"x":68,"y":543,"width":818,"height":12}},{"id":"fad66d0f-2455-4418-8feb-76fa010c2ae3","block_type":"box","text":"are bonds that, although tax-exempt, are used for purposes other than those generally performed by governmental","page_number":174,"box":{"x":69,"y":559,"width":816,"height":11}},{"id":"5e99290a-d46c-4117-a7a4-7c5891f6f074","block_type":"box","text":"units and that benefit non-governmental entities (","page_number":174,"box":{"x":69,"y":574,"width":351,"height":11}},{"id":"2a078819-85e3-4210-abaa-2e83c204be1d","block_type":"box","text":"e.g.","page_number":174,"box":{"x":422,"y":575,"width":24,"height":10}},{"id":"a27069e9-c4cb-41ca-aa2a-768abc1e5d10","block_type":"box","text":", bonds used for industrial development or housing purposes).","page_number":174,"box":{"x":449,"y":574,"width":441,"height":11}},{"id":"abfaa6d6-9c0c-4f1f-beff-038a1d9f1514","block_type":"box","text":"Income received on such bonds is classified as an item of “tax preference,” which could subject certain investors in","page_number":174,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"c677118f-79a1-48b2-9152-c20c348a0363","block_type":"box","text":"such bonds, including shareholders of a Fund, to a federal alternative minimum tax. A Fund will purchase such","page_number":174,"box":{"x":69,"y":604,"width":786,"height":11}},{"id":"a228d10e-2831-40ac-afd9-0756e7241832","block_type":"box","text":"“PABs” and will report to shareholders after the close of the calendar year the portion of the Fund’s dividends","page_number":174,"box":{"x":70,"y":619,"width":782,"height":11}},{"id":"60a22cb1-d24f-488e-976a-0a8b64623c76","block_type":"box","text":"declared during the year that constitute an item of tax preference for alternative minimum tax purposes.","page_number":174,"box":{"x":69,"y":634,"width":740,"height":12}},{"id":"cb60ad5e-d2f0-4133-b574-10812e56e0b0","block_type":"box","text":"Each Municipal Fund may engage in interest rate swap transactions. The U.S. federal income tax rules governing","page_number":174,"box":{"x":102,"y":657,"width":802,"height":11}},{"id":"52f1159d-ff7e-4e04-b52e-9d241386b30b","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":174,"box":{"x":68,"y":672,"width":812,"height":11}},{"id":"de98f95f-4a9d-4ef4-88de-e51dfec56ccc","block_type":"box","text":"such arrangements as ordinary income and to amortize payments made under certain circumstances. Because","page_number":174,"box":{"x":69,"y":687,"width":794,"height":11}},{"id":"b5cc30ef-3332-4b04-96e9-a4bff8b04d53","block_type":"box","text":"payments received by a Fund in connection with swap transactions will be taxable rather than tax-exempt and","page_number":174,"box":{"x":70,"y":703,"width":776,"height":10}},{"id":"a4adfd9b-eb96-4c01-b19f-f9be6662555e","block_type":"box","text":"because swap payments made by a Fund will offset both taxable and tax-exempt gross income proportionately, they","page_number":174,"box":{"x":69,"y":717,"width":826,"height":12}},{"id":"ef185cc8-b826-451b-860e-c888460d646f","block_type":"box","text":"may result in increased taxable distributions to shareholders.","page_number":174,"box":{"x":69,"y":733,"width":436,"height":11}},{"id":"66c8efb5-91c3-4fe5-b776-247fa4e1dac3","block_type":"box","text":"Please see Part I of your Fund’s SAI for certain state tax information relevant to an investment in BlackRock","page_number":174,"box":{"x":102,"y":755,"width":771,"height":11}},{"id":"c9af8933-9bad-43da-9337-a312c31ed68d","block_type":"box","text":"California Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund, BlackRock New York Municipal","page_number":174,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"fca5b72f-eced-4c52-83d2-49e77419c0ca","block_type":"box","text":"Opportunities Fund and BlackRock Pennsylvania Municipal Bond Fund, as well as information on economic conditions","page_number":174,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"fc989679-0900-42d8-a856-50330a341f45","block_type":"box","text":"within each applicable state.","page_number":174,"box":{"x":68,"y":801,"width":203,"height":11}},{"id":"27b1fb10-bbd6-4416-b3c1-cf6271044e82","block_type":"box","text":"In the case of a Feeder Fund, such Fund is entitled to look to the underlying assets of the Master Portfolio in","page_number":174,"box":{"x":102,"y":823,"width":774,"height":12}},{"id":"379d4938-b876-4616-a5b1-353f5cd80cf7","block_type":"box","text":"which it has invested for purposes of satisfying various qualification requirements of the Code applicable to regulated","page_number":174,"box":{"x":68,"y":838,"width":837,"height":12}},{"id":"c4d0ca78-6e3a-403f-8512-1e0999d8f392","block_type":"box","text":"investment companies. Each Master Portfolio is classified either as a partnership or a separate disregarded entity","page_number":174,"box":{"x":70,"y":853,"width":816,"height":12}},{"id":"e1d90934-517e-4c20-9a1e-4c467bfb1aab","block_type":"box","text":"(depending on the particular Master Portfolio) for U.S. federal income tax purposes. If applicable tax provisions were","page_number":174,"box":{"x":69,"y":869,"width":830,"height":11}},{"id":"5a57ff30-7d97-43e9-9f6a-3aec5a453612","block_type":"box","text":"to change the classification of a Master Portfolio, then the Board of Directors of a Feeder Fund would determine, in","page_number":174,"box":{"x":68,"y":884,"width":822,"height":11}},{"id":"61852cc7-5575-4503-ac50-8b6aad74b57d","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":174,"box":{"x":70,"y":899,"width":783,"height":11}},{"id":"d8961326-87fd-4bcf-a7a7-f6a4779309ba","block_type":"box","text":"II-136","page_number":174,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"df1b48fd-9a7c-4c2d-9655-685466cb876f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":174,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a4598ad8-9e96-4bec-a1aa-386810f25a88","block_type":"box","text":"withdraw the Feeder Fund’s investments from the Master Portfolio and to retain an investment manager to manage","page_number":175,"box":{"x":68,"y":45,"width":822,"height":11}},{"id":"abd29994-b8dd-44e8-b357-1591cbe407b7","block_type":"box","text":"the Feeder Fund’s assets in accordance with the investment policies applicable to the Feeder Fund.","page_number":175,"box":{"x":68,"y":60,"width":710,"height":11}},{"id":"f6ef7dff-f1a0-4366-8cc2-5114bbf00fe0","block_type":"box","text":"Ordinary income and capital gain dividends may also be subject to state and local taxes. Certain states exempt","page_number":175,"box":{"x":102,"y":83,"width":796,"height":11}},{"id":"521b3259-9c95-4ba7-9e96-1083793d5d36","block_type":"box","text":"from state income taxation dividends paid by regulated investment companies that are derived from interest on U.S.","page_number":175,"box":{"x":68,"y":98,"width":828,"height":11}},{"id":"1d4c1480-e901-4d25-92cb-44c795389255","block_type":"box","text":"government obligations. State law varies as to whether dividend income attributable to U.S. government obligations is","page_number":175,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"8f1809a3-6a75-41d8-ab6d-879f913b545d","block_type":"box","text":"exempt from state income tax.","page_number":175,"box":{"x":69,"y":128,"width":216,"height":11}},{"id":"1620f901-9ced-4f3a-a664-0a569e04be2a","block_type":"box","text":"Shareholders of each Fund are urged to consult their tax advisers regarding specific questions as to federal,","page_number":175,"box":{"x":102,"y":150,"width":771,"height":12}},{"id":"08cf7bfe-5492-4d5e-ac4e-d352519cc192","block_type":"box","text":"foreign, state or local taxes with respect to their Fund. Foreign investors should consider applicable foreign taxes in","page_number":175,"box":{"x":68,"y":166,"width":823,"height":11}},{"id":"718ed405-c336-47aa-967e-a8010a89aade","block_type":"box","text":"their evaluation of an investment in a Fund.","page_number":175,"box":{"x":68,"y":181,"width":309,"height":9}},{"id":"e2c17c12-9c68-4721-85eb-bc449a08b201","block_type":"box","text":"The foregoing general discussion of U.S. federal income tax consequences is based on the Code and the","page_number":175,"box":{"x":101,"y":203,"width":749,"height":12}},{"id":"69d4243b-d069-4c85-a63c-36e4c0b76f4d","block_type":"box","text":"regulations issued thereunder as in effect on the date of this SAI. Future legislative or administrative changes or","page_number":175,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"30c3dfbe-35e3-4090-a2b0-fa1da9253d7d","block_type":"box","text":"court decisions may significantly change the conclusions expressed in this discussion, and any such changes or","page_number":175,"box":{"x":69,"y":234,"width":801,"height":11}},{"id":"2a5f86f6-75f2-4541-b23d-298b2bfff80e","block_type":"box","text":"decisions may have a retroactive effect.","page_number":175,"box":{"x":69,"y":249,"width":283,"height":11}},{"id":"18453e3c-f223-4de8-bcd9-233ace9ad6da","block_type":"box","text":"PERFORMANCE DATA","page_number":175,"box":{"x":403,"y":278,"width":173,"height":10}},{"id":"77fa8815-4843-420c-9d83-7f6d4dac29ad","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":175,"box":{"x":102,"y":301,"width":738,"height":11}},{"id":"bd9c00d7-dd9d-49d9-870c-37d3e071d822","block_type":"box","text":"applicable, yield and tax-equivalent yield in advertisements or information furnished to present or prospective","page_number":175,"box":{"x":69,"y":316,"width":779,"height":11}},{"id":"b60dde83-fe84-4af8-9a9b-8f82decb60dd","block_type":"box","text":"shareholders. Total return, yield and tax-equivalent yield each is based on a Fund’s historical performance and is not","page_number":175,"box":{"x":69,"y":331,"width":833,"height":11}},{"id":"597e9810-da10-4c99-9787-a2b17136b7cd","block_type":"box","text":"intended to indicate future performance. Average annual total return is determined separately for each class of","page_number":175,"box":{"x":70,"y":346,"width":792,"height":12}},{"id":"24881894-8ca3-4511-b306-d7a5ec7376af","block_type":"box","text":"shares in accordance with a formula specified by the Commission.","page_number":175,"box":{"x":69,"y":361,"width":473,"height":12}},{"id":"582056ac-2d5e-4ff8-b90a-e6bc5de3e162","block_type":"box","text":"Quotations of average annual total return, before tax, for the specified periods are computed by finding the","page_number":175,"box":{"x":102,"y":384,"width":761,"height":11}},{"id":"2f02cfb4-57cc-4436-918f-2257e86d87c1","block_type":"box","text":"average annual compounded rates of return (based on net investment income and any realized and unrealized capital","page_number":175,"box":{"x":69,"y":399,"width":836,"height":12}},{"id":"ada140dd-9f92-4408-8b72-a1e931e470df","block_type":"box","text":"gains or losses on portfolio investments over such periods) that would equate the initial amount invested to the","page_number":175,"box":{"x":68,"y":414,"width":798,"height":12}},{"id":"fca8946f-a4e7-4561-93c2-8f1711a17ec3","block_type":"box","text":"redeemable value of such investment at the end of each period. Average annual total return before taxes is","page_number":175,"box":{"x":69,"y":429,"width":765,"height":12}},{"id":"827a5fe0-0348-4bd3-a3c1-4954f35097c9","block_type":"box","text":"computed assuming all dividends are reinvested and taking into account all applicable recurring and nonrecurring","page_number":175,"box":{"x":69,"y":445,"width":808,"height":11}},{"id":"b9afa2a7-b4b1-4afd-9b35-3862be531607","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":175,"box":{"x":69,"y":460,"width":813,"height":11}},{"id":"b1131c6b-f4b5-45a9-a5ab-0d2d912a0bc0","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":175,"box":{"x":69,"y":475,"width":839,"height":11}},{"id":"1b82a8ad-b8bc-4593-925b-f74529e56d5c","block_type":"box","text":"but does not take into account taxes payable on dividends or on redemption.","page_number":175,"box":{"x":69,"y":490,"width":546,"height":11}},{"id":"3ea3001c-1221-4456-b68b-6c8bc44e968e","block_type":"box","text":"Quotations of average annual total return, after taxes, on dividends for the specified periods are computed by","page_number":175,"box":{"x":102,"y":513,"width":781,"height":11}},{"id":"c31c44b6-348c-4ab1-ae86-4dfea436fb4b","block_type":"box","text":"finding the average annual compounded rates of return that would equate the initial amount invested to the ending","page_number":175,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"69544486-4538-4e5c-b173-207c3c573512","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":175,"box":{"x":68,"y":543,"width":810,"height":11}},{"id":"5bc53d79-f8a1-47cf-92e9-b58ed6c592c2","block_type":"box","text":"period. Average annual total return after taxes on dividends is computed assuming all dividends, less the taxes due","page_number":175,"box":{"x":70,"y":558,"width":823,"height":11}},{"id":"588358cf-b71f-46e9-b8b9-fd5f6078b4c4","block_type":"box","text":"on such dividends, are reinvested and taking into account all applicable recurring and nonrecurring expenses,","page_number":175,"box":{"x":69,"y":573,"width":780,"height":11}},{"id":"5f509949-d5a2-489f-aab7-a070abcbefe1","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":175,"box":{"x":70,"y":588,"width":825,"height":12}},{"id":"0e2afc96-11cf-4961-a312-ec576a7e45a2","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":175,"box":{"x":69,"y":603,"width":817,"height":11}},{"id":"c780006d-ce65-40fe-828c-1ec55df5fd77","block_type":"box","text":"due on dividends are calculated by applying to each dividend the highest applicable marginal U.S. federal individual","page_number":175,"box":{"x":69,"y":618,"width":820,"height":12}},{"id":"05b9fbe3-8424-4443-a80e-b086911901f5","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":175,"box":{"x":70,"y":634,"width":833,"height":11}},{"id":"840cb961-2ad4-4f28-aff4-6bd6d62355da","block_type":"box","text":"(including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each dividend. The","page_number":175,"box":{"x":69,"y":649,"width":797,"height":11}},{"id":"69a78908-0b73-4c5e-83be-48616a478881","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":175,"box":{"x":68,"y":664,"width":824,"height":11}},{"id":"2d16249a-d28b-4028-9a33-1805b63f7b5d","block_type":"box","text":"may be adjusted to reflect subsequent recharacterizations of distributions. The applicable tax rates may vary over the","page_number":175,"box":{"x":69,"y":679,"width":837,"height":11}},{"id":"d3cad23d-dd90-4344-aa8d-e9805fdc62a9","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":694,"width":814,"height":11}},{"id":"266c191b-dd9a-4f1c-b598-acee0f17408f","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":175,"box":{"x":69,"y":709,"width":830,"height":11}},{"id":"2742f5bf-07ad-44a6-bbb9-15065533dad5","block_type":"box","text":"redemption at the end of the applicable periods with no tax consequences associated with such redemption.","page_number":175,"box":{"x":69,"y":724,"width":774,"height":11}},{"id":"2c6e301c-cae1-4d12-945a-b3d35fadd377","block_type":"box","text":"Quotations of average annual total return, after taxes, on both dividends and redemption for the specified","page_number":175,"box":{"x":102,"y":747,"width":752,"height":11}},{"id":"a66f6426-2068-49c2-acd4-519c82651ed9","block_type":"box","text":"periods are computed by finding the average annual compounded rates of return that would equate the initial amount","page_number":175,"box":{"x":70,"y":762,"width":835,"height":11}},{"id":"82b29d67-eace-4777-bb7c-72592f3df9c1","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":175,"box":{"x":70,"y":777,"width":820,"height":12}},{"id":"926ade6b-3c3c-447b-959d-76c555f55513","block_type":"box","text":"received during such period as well as on complete redemption. Average annual total return after taxes on","page_number":175,"box":{"x":69,"y":792,"width":756,"height":12}},{"id":"c572dcf4-53ae-496a-bf33-d2b2ae3b4806","block_type":"box","text":"distributions and redemption is computed assuming all dividends, less the taxes due on such dividends, are","page_number":175,"box":{"x":69,"y":808,"width":772,"height":11}},{"id":"dc20bd1b-1168-49d1-81f6-e542a9277e56","block_type":"box","text":"reinvested and taking into account all applicable recurring and nonrecurring expenses, including the maximum sales","page_number":175,"box":{"x":69,"y":823,"width":827,"height":11}},{"id":"8d8086d7-4da9-4fcd-be14-13bf5eff6327","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":175,"box":{"x":69,"y":838,"width":825,"height":11}},{"id":"d5c30f89-f534-45b9-be4a-dc5272718bff","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":175,"box":{"x":70,"y":853,"width":812,"height":11}},{"id":"c4f88466-ede1-47f1-8e18-828475cfb109","block_type":"box","text":"complete redemption and payment of taxes due on such redemption. The ending value is determined assuming","page_number":175,"box":{"x":69,"y":868,"width":795,"height":11}},{"id":"5e39bb49-f9fb-4c2e-b1e6-37b8dc21f529","block_type":"box","text":"complete redemption at the end of the applicable periods, subtracting capital gains taxes resulting from the","page_number":175,"box":{"x":69,"y":883,"width":768,"height":11}},{"id":"a8383716-e3dc-417a-83bd-49b26b2c2e07","block_type":"box","text":"redemption and adding the presumed tax benefit from capital losses resulting from redemption. The taxes due on","page_number":175,"box":{"x":69,"y":898,"width":810,"height":11}},{"id":"9086f0e4-59c8-4e5a-bcf4-7366d8d40b87","block_type":"box","text":"II-137","page_number":175,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"efa59274-912d-42e0-919c-c5cf1940561a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":175,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"80852952-604f-471d-8490-4c56020e0672","block_type":"box","text":"dividends and on the deemed redemption are calculated by applying the highest applicable marginal U.S. federal","page_number":176,"box":{"x":69,"y":45,"width":802,"height":11}},{"id":"fe2a08ce-4375-40f4-8c77-4c0f2eb69500","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":176,"box":{"x":70,"y":60,"width":825,"height":11}},{"id":"e2492be2-60e7-43d6-9525-fe63b797799a","block_type":"box","text":"the tax character (including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each","page_number":176,"box":{"x":68,"y":75,"width":823,"height":11}},{"id":"b7ae3c98-c2e3-4e06-9199-9cc52e5ad694","block_type":"box","text":"component of each dividend and/or the redemption payment. The applicable tax rates may vary over the","page_number":176,"box":{"x":69,"y":90,"width":743,"height":11}},{"id":"5380713b-fa05-44e0-8125-1410baaae366","block_type":"box","text":"measurement period. The effects of state and local taxes are not reflected. Applicable tax credits, such as foreign","page_number":176,"box":{"x":69,"y":105,"width":814,"height":11}},{"id":"0f62d65f-e9c4-42ce-945f-206e515ca243","block_type":"box","text":"tax credits, are taken into account according to federal law.","page_number":176,"box":{"x":68,"y":120,"width":422,"height":12}},{"id":"ef9c3eb4-46a0-44aa-9f6f-f0f2e6c6fbfb","block_type":"box","text":"A Fund also may quote annual, average annual and annualized total return and aggregate total return","page_number":176,"box":{"x":101,"y":143,"width":720,"height":11}},{"id":"27941eb5-bb9f-4080-8850-f438e422d0b5","block_type":"box","text":"performance data, both as a percentage and as a dollar amount based on a hypothetical investment of $1,000 or","page_number":176,"box":{"x":70,"y":157,"width":813,"height":12}},{"id":"c88ce5ac-84e9-4ce4-a2a1-42944b2f8a29","block_type":"box","text":"some other amount, for various periods other than those noted in Part I of each Fund’s SAI. Such data will be","page_number":176,"box":{"x":69,"y":173,"width":781,"height":11}},{"id":"66970a91-2f58-45d7-a0e8-a02a4bb7b093","block_type":"box","text":"computed as described above, except that (1) as required by the periods of the quotations, actual annual, annualized","page_number":176,"box":{"x":69,"y":188,"width":837,"height":11}},{"id":"18bcfa5e-ee64-4820-aa37-22f26bb02d66","block_type":"box","text":"or aggregate data, rather than average annual data, may be quoted and (2) the maximum applicable sales charges","page_number":176,"box":{"x":69,"y":203,"width":817,"height":12}},{"id":"d0482d4a-3efc-4183-8163-669370b10d2b","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":176,"box":{"x":68,"y":218,"width":815,"height":11}},{"id":"94307850-2cbd-46b3-b782-410f47294ca5","block_type":"box","text":"performance data calculations of including or excluding the maximum applicable sales charges, actual annual or","page_number":176,"box":{"x":70,"y":234,"width":801,"height":11}},{"id":"2df1c1ae-db3e-4099-ab4c-af0d968914d8","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":176,"box":{"x":69,"y":249,"width":819,"height":11}},{"id":"7672b587-74bf-4231-9aef-875d34447116","block_type":"box","text":"return reflect compounding of return; aggregate total return data generally will be higher than average annual total","page_number":176,"box":{"x":69,"y":264,"width":811,"height":11}},{"id":"9b5c722f-9be6-4a12-bd30-da22e788a6f5","block_type":"box","text":"return data since the aggregate rates of return reflect compounding over a longer period of time.","page_number":176,"box":{"x":69,"y":279,"width":686,"height":11}},{"id":"f6edaf50-7a5f-4bf2-90b5-8c66ee09dbdf","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":176,"box":{"x":101,"y":302,"width":796,"height":11}},{"id":"0436627d-f26c-4137-9f19-a9340042a18e","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":176,"box":{"x":69,"y":317,"width":821,"height":11}},{"id":"4b77bf47-d091-4a73-bb51-d58fdbd3c253","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":176,"box":{"x":68,"y":332,"width":817,"height":11}},{"id":"61cfce5e-aec7-4b0b-b0ad-9be1d2bbf505","block_type":"box","text":"Tax equivalent yield quotations will be computed by dividing (a) the part of a Fund’s yield that is tax-exempt by (b) one","page_number":176,"box":{"x":68,"y":347,"width":837,"height":11}},{"id":"c81d2260-c5f4-4f39-9177-34fd696ad0d0","block_type":"box","text":"minus a stated tax rate and adding the result to that part, if any, of the Fund’s yield that is not tax-exempt.","page_number":176,"box":{"x":69,"y":362,"width":759,"height":11}},{"id":"1973df19-a512-4e89-9c64-3ef68e402108","block_type":"box","text":"A Fund’s total return will vary depending on market conditions, the securities comprising a Fund’s portfolio, a","page_number":176,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"7882668f-4174-4e29-8613-eb212b1eec2c","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":176,"box":{"x":70,"y":400,"width":819,"height":11}},{"id":"9e620835-06b8-4f4d-8a96-6c84465c912a","block_type":"box","text":"The value of an investment in a Fund will fluctuate and an investor’s shares, when redeemed, may be worth more or","page_number":176,"box":{"x":68,"y":415,"width":830,"height":11}},{"id":"0b279021-e903-4e17-9202-5097f11db20b","block_type":"box","text":"less than their original cost.","page_number":176,"box":{"x":70,"y":430,"width":196,"height":11}},{"id":"3dea3c2b-0fca-4d16-8d21-120d5accf60b","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":176,"box":{"x":102,"y":453,"width":782,"height":11}},{"id":"812b5e36-fb74-4e50-9270-29e40e6a4d93","block_type":"box","text":"the case of CDSC shares applicable to certain investors, as described under “Purchase of Shares” and “Redemption","page_number":176,"box":{"x":68,"y":468,"width":836,"height":11}},{"id":"d6b8a2fe-35b3-4f8e-8284-dd5350f11216","block_type":"box","text":"of Shares,” respectively, the total return data quoted by a Fund in advertisements directed to such investors may","page_number":176,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"10f20ba3-8836-4be6-8c61-89907c3e10f1","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":176,"box":{"x":68,"y":498,"width":820,"height":11}},{"id":"73728db1-2951-43bb-91f4-642ae3907fa6","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":176,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"13d2010c-6da7-493f-b7af-530902f6c519","block_type":"box","text":"lower amount of expenses is deducted.","page_number":176,"box":{"x":70,"y":528,"width":278,"height":11}},{"id":"0e0e6518-1a4c-4db1-9ec2-848eb5be06e7","block_type":"box","text":"On occasion, a Fund may compare its performance to, among other things, the Fund’s benchmark index","page_number":176,"box":{"x":102,"y":551,"width":741,"height":11}},{"id":"acf1b71d-b9b3-467a-aa68-453bd54505a8","block_type":"box","text":"indicated in the Prospectus, the Value Line Composite Index, the Dow Jones Industrial Average, or to other published","page_number":176,"box":{"x":70,"y":566,"width":830,"height":11}},{"id":"96e914d8-c8a0-4a84-86d3-1e3172ed0442","block_type":"box","text":"indices, or to performance data published by Lipper Inc., Morningstar, Inc. (“Morningstar”),","page_number":176,"box":{"x":70,"y":581,"width":646,"height":12}},{"id":"18cedaee-a088-4e2a-8e2f-799e0c60664e","block_type":"box","text":"Money Magazine, U.S.","page_number":176,"box":{"x":724,"y":581,"width":156,"height":12}},{"id":"68c28adf-9622-4a83-b7fb-38a2bb2f8fe4","block_type":"box","text":"News & World Repor t, BusinessWeek, Forbes Magazine, For tune Magazine","page_number":176,"box":{"x":70,"y":597,"width":533,"height":11}},{"id":"b9574fc3-1aa5-4761-b81f-8f07821d25c1","block_type":"box","text":"or other industry publications. When","page_number":176,"box":{"x":608,"y":597,"width":257,"height":11}},{"id":"5fee2785-13f3-487e-9531-c88e6da813c7","block_type":"box","text":"comparing its performance to a market index, a Fund may refer to various statistical measures derived from the","page_number":176,"box":{"x":69,"y":612,"width":797,"height":11}},{"id":"72ba19fa-fd91-4dbe-98c9-19b24a8472a6","block_type":"box","text":"historical performance of a Fund and the index, such as standard deviation and beta. As with other performance","page_number":176,"box":{"x":69,"y":627,"width":803,"height":11}},{"id":"b35d484e-4f61-4eab-b9b7-f3e53bce22d4","block_type":"box","text":"data, performance comparisons should not be considered indicative of a Fund’s relative performance for any future","page_number":176,"box":{"x":69,"y":642,"width":824,"height":11}},{"id":"277e8955-1a6a-485c-9ef1-b5f9424b64cc","block_type":"box","text":"period. In addition, from time to time a Fund may include the Fund’s Morningstar risk-adjusted performance ratings","page_number":176,"box":{"x":70,"y":657,"width":818,"height":11}},{"id":"66f3ea87-77c5-4a34-900d-7be600dc75a1","block_type":"box","text":"assigned by Morningstar in advertising or supplemental sales literature. From time to time a Fund may quote in","page_number":176,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"5cd39ff9-25cf-454c-9377-5ff7ee7c7ae3","block_type":"box","text":"advertisements or other materials other applicable measures of Fund performance and may also make reference to","page_number":176,"box":{"x":69,"y":687,"width":826,"height":11}},{"id":"7260ea89-4ef2-44af-964a-7567d1497e0b","block_type":"box","text":"awards that may be given to the Manager. Certain Funds may also compare their performance to composite indices","page_number":176,"box":{"x":69,"y":702,"width":825,"height":12}},{"id":"db3e95c0-791d-414b-a080-452b110b3549","block_type":"box","text":"developed by Fund management.","page_number":176,"box":{"x":69,"y":718,"width":233,"height":11}},{"id":"195def08-6086-4d47-be93-e4942ca65103","block_type":"box","text":"A Fund may provide information designed to help investors understand how the Fund is seeking to achieve its","page_number":176,"box":{"x":101,"y":740,"width":780,"height":11}},{"id":"c5d8cf0d-6087-435d-b247-13eb0f885f67","block_type":"box","text":"investment objectives. This may include information about past, current or possible economic, market, political or","page_number":176,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"51699fe1-1633-47b0-9fa2-78262cffca6f","block_type":"box","text":"other conditions, descriptive information or general principles of investing such as asset allocation, diversification","page_number":176,"box":{"x":69,"y":770,"width":810,"height":12}},{"id":"4a2fd425-7059-4ed0-a457-61383950c6fb","block_type":"box","text":"and risk tolerance, discussion of a Fund’s portfolio composition, investment philosophy, strategy or investment","page_number":176,"box":{"x":69,"y":785,"width":792,"height":12}},{"id":"3f5fa080-c1c5-4459-9660-9652f3a2a77f","block_type":"box","text":"techniques, comparisons of the Fund’s performance or portfolio composition to that of other funds or types of","page_number":176,"box":{"x":68,"y":801,"width":788,"height":11}},{"id":"1950df2f-f28a-4e46-8cf2-ecc4ea819248","block_type":"box","text":"investments, indices relevant to the comparison being made, or to a hypothetical or model portfolio. A Fund may also","page_number":176,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"5bf797ce-6877-4eb0-aaa5-643646afd99b","block_type":"box","text":"quote various measures of volatility and benchmark correlation in advertising and other materials, and may compare","page_number":176,"box":{"x":69,"y":831,"width":830,"height":11}},{"id":"fe906ff9-c872-42ce-a240-fa1ef1a70bba","block_type":"box","text":"these measures to those of other funds or types of investments.","page_number":176,"box":{"x":68,"y":846,"width":461,"height":11}},{"id":"7972b986-0b8e-4821-ba24-885f9789a56e","block_type":"box","text":"II-138","page_number":176,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"dab833f6-87c1-41b6-80bb-c1d64725f2dd","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":176,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a167ec14-4f2e-4b56-b9f6-ac49cb4b2dd3","block_type":"box","text":"PROXY VOTING POLICIES AND PROCEDURES","page_number":177,"box":{"x":308,"y":45,"width":362,"height":10}},{"id":"cdd5a838-bfe0-4bb0-a6a6-605529f1ab12","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":177,"box":{"x":101,"y":68,"width":802,"height":11}},{"id":"828f778b-5796-4bb3-815d-b0f19b5e3304","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":177,"box":{"x":70,"y":83,"width":809,"height":11}},{"id":"435f9d04-7b01-4f64-a4f2-c8f6b7d2e3c7","block_type":"box","text":"Policy”), with respect to certain Funds, and (ii) the Index Equity Fund Proxy Voting Policy, with respect to certain other","page_number":177,"box":{"x":69,"y":98,"width":833,"height":11}},{"id":"eb8a0dff-9666-44f2-8396-c379e9b05eaf","block_type":"box","text":"Funds, as applicable. Please refer to Part I of this SAI, which discloses the policy applicable to each Fund.","page_number":177,"box":{"x":70,"y":113,"width":755,"height":11}},{"id":"f53a7eb8-826d-43d0-98eb-c3036e0ccbe4","block_type":"box","text":"With respect to Funds covered by the Active Fund Proxy Voting Policy, the Manager has adopted the BlackRock","page_number":177,"box":{"x":101,"y":136,"width":785,"height":11}},{"id":"c9431445-a054-463b-b482-c1b29b590b72","block_type":"box","text":"Active Investment Stewardship—Global Engagement and Voting Guidelines (the “BAIS Guidelines”). Certain of such","page_number":177,"box":{"x":68,"y":151,"width":822,"height":11}},{"id":"660da086-4c60-416e-ae9c-a9e6336553b9","block_type":"box","text":"Funds, as listed within the Active Fund Proxy Voting Policy and as disclosed in Part I of this SAI, follow supplemental","page_number":177,"box":{"x":70,"y":166,"width":824,"height":11}},{"id":"d9e63ca6-a956-4fbe-9761-4938f3d20f3c","block_type":"box","text":"guidelines within the BAIS Guidelines that are applicable to certain climate and decarbonization issues (the “BAIS","page_number":177,"box":{"x":68,"y":181,"width":812,"height":12}},{"id":"42637db7-c94e-4ad0-96bf-d9ef8e666018","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":177,"box":{"x":69,"y":197,"width":392,"height":10}},{"id":"7528daea-ec1d-4f3c-91bc-bbc187521a42","block_type":"box","text":"With respect to Funds covered by the Index Equity Fund Proxy Voting Policy, the Manager has adopted the","page_number":177,"box":{"x":101,"y":219,"width":749,"height":11}},{"id":"d571a44a-3659-42f5-b9e4-547d5182c47d","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) Global Benchmark Policy, comprised of the Global Principles for","page_number":177,"box":{"x":70,"y":234,"width":759,"height":11}},{"id":"6c01fb2f-cbea-4b96-8b49-c552a2c58a2a","block_type":"box","text":"Benchmark Policies, regional voting guidelines, and engagement priorities, which are each available upon request. In","page_number":177,"box":{"x":70,"y":250,"width":830,"height":11}},{"id":"2c0cb7ab-2878-4932-8c5d-d38f30f0b038","block_type":"box","text":"addition, certain of such Funds, as listed within the Index Equity Fund Proxy Voting Policy and as disclosed in Part I of","page_number":177,"box":{"x":69,"y":264,"width":838,"height":12}},{"id":"9a31cfd8-20ad-41be-a99f-4091e5ea67c7","block_type":"box","text":"this SAI, follow supplemental guidelines that are applicable to certain climate and decarbonization issues (the “BIS","page_number":177,"box":{"x":68,"y":280,"width":822,"height":11}},{"id":"b64b01d4-4bfb-4773-bd07-7be816d573f2","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":177,"box":{"x":69,"y":295,"width":392,"height":11}},{"id":"82b63e2a-b2c1-42b6-adad-7c996722381b","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":177,"box":{"x":102,"y":317,"width":767,"height":12}},{"id":"51ea631e-89f5-41ac-aeb7-5c2689df6898","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":177,"box":{"x":68,"y":332,"width":827,"height":12}},{"id":"0b4fe82b-b709-4b4f-b850-5fd3fd10c286","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":177,"box":{"x":69,"y":348,"width":819,"height":11}},{"id":"a8e6f69d-5058-492f-add6-ccc8da51980a","block_type":"box","text":"underlying fund may use the Index Equity Fund Proxy Voting Policy, and the opposite is also true.","page_number":177,"box":{"x":69,"y":363,"width":684,"height":11}},{"id":"6956ba3c-0ef0-44c4-b44b-3acb35bef394","block_type":"box","text":"Copies of the Active Fund Proxy Voting Policy, Index Equity Fund Proxy Voting Policy, the BAIS Guidelines, the","page_number":177,"box":{"x":102,"y":385,"width":766,"height":12}},{"id":"ba35c22c-0dc1-4975-a5e6-1c23482f9db3","block_type":"box","text":"Global Principles for Benchmark Policies and the BIS Climate and Decarbonization Stewardship Guidelines are","page_number":177,"box":{"x":69,"y":401,"width":784,"height":11}},{"id":"499b9775-4d92-4c05-ae4e-c09e8234a36f","block_type":"box","text":"attached as Appendix B to this SAI. Only those guidelines that are applicable to a particular Fund pursuant to the","page_number":177,"box":{"x":69,"y":416,"width":805,"height":11}},{"id":"e3ee42db-9e3d-4112-afa4-12a84dffa237","block_type":"box","text":"Active Fund Proxy Voting Policy or the Index Equity Fund Proxy Voting Policy are considered to form a part of the","page_number":177,"box":{"x":68,"y":431,"width":790,"height":11}},{"id":"f864f9f8-06f5-4180-997e-95b313938ed5","block_type":"box","text":"Fund’s SAI. Information on how each Fund voted proxies relating to portfolio securities during the most recent 12-","page_number":177,"box":{"x":70,"y":446,"width":810,"height":11}},{"id":"1d1f2112-4273-4ea0-850b-11ae76a99517","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":177,"box":{"x":69,"y":461,"width":788,"height":11}},{"id":"0e55b60a-5afb-42f5-9ad5-3fdab656a565","block_type":"box","text":"Commission’s website at http://www.sec.gov.","page_number":177,"box":{"x":69,"y":476,"width":327,"height":11}},{"id":"0157778b-6f6c-45cc-8cf2-d80c93a73a9d","block_type":"box","text":"GENERAL INFORMATION","page_number":177,"box":{"x":391,"y":506,"width":195,"height":9}},{"id":"f7250dac-2872-4218-8d1c-074f74a6b6f6","block_type":"box","text":"Description of Shares","page_number":177,"box":{"x":69,"y":536,"width":156,"height":11}},{"id":"ec2cd518-3633-41f5-96a9-bf79f7acddf4","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":177,"box":{"x":102,"y":559,"width":800,"height":9}},{"id":"91f0ce89-5fc3-4354-ace7-2818fa43c9f1","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":177,"box":{"x":69,"y":574,"width":811,"height":11}},{"id":"245c666b-2b09-43c5-ade3-cb278d502f88","block_type":"box","text":"Shareholders of a class that bears distribution and/or service expenses have exclusive voting rights with respect to","page_number":177,"box":{"x":69,"y":589,"width":825,"height":11}},{"id":"7f10a735-1781-4468-88c3-de5edc1012cc","block_type":"box","text":"matters relating to such distribution and service expenditures. Voting rights are not cumulative, so that the holders of","page_number":177,"box":{"x":69,"y":604,"width":838,"height":11}},{"id":"799d60ee-90ac-4d62-a8da-89146c40fe3c","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":177,"box":{"x":69,"y":619,"width":835,"height":11}},{"id":"9a2eeb89-ed97-449e-b2cb-64070b7a902a","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":177,"box":{"x":69,"y":634,"width":781,"height":12}},{"id":"8db7b1bd-1cf6-42c7-881c-c412397c9063","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":177,"box":{"x":102,"y":657,"width":801,"height":11}},{"id":"56e5420b-2dec-40ec-9b1c-9570850fa8f4","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":177,"box":{"x":69,"y":672,"width":760,"height":11}},{"id":"b491362e-2b3e-4fa0-9f73-d136fb3f9a36","block_type":"box","text":"management agreement; (iii) approval of a distribution agreement; and (iv) ratification of selection of independent","page_number":177,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"b52d3f05-4696-4269-a29f-21d323563db7","block_type":"box","text":"accountants. Shares issued are fully paid and non-assessable and have no preemptive rights. Redemption and","page_number":177,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"0b88005a-c66a-4f36-8b4d-ea1e1ef383f0","block_type":"box","text":"conversion rights are discussed elsewhere herein and in each Fund’s Prospectus. Each share of each class of","page_number":177,"box":{"x":69,"y":717,"width":787,"height":12}},{"id":"5c66a220-aa24-4002-8885-36e24ae8440a","block_type":"box","text":"Common Stock is entitled to participate equally in dividends and distributions declared by a Fund and in the net","page_number":177,"box":{"x":69,"y":733,"width":797,"height":11}},{"id":"52b8fd74-cdd4-409a-a695-c59da3c8652e","block_type":"box","text":"assets of the Fund upon liquidation or dissolution after satisfaction of outstanding liabilities.","page_number":177,"box":{"x":69,"y":748,"width":658,"height":11}},{"id":"73712e77-f1eb-4f53-8c51-82cd60a0a4cc","block_type":"box","text":"For Funds organized as Maryland corporations, the by-laws of the Fund require that a special meeting of","page_number":177,"box":{"x":102,"y":770,"width":741,"height":12}},{"id":"db0371d2-8793-42e0-b9b8-fa788ad7244d","block_type":"box","text":"shareholders be held upon the written request of a minimum percentage of the outstanding shares of the Fund","page_number":177,"box":{"x":69,"y":785,"width":790,"height":12}},{"id":"0f658a1d-2840-4ebf-95ea-2982e868fb5a","block_type":"box","text":"entitled to vote at such meeting, if they comply with applicable Maryland law.","page_number":177,"box":{"x":69,"y":801,"width":546,"height":11}},{"id":"6a83bd1a-05a2-4836-a736-0137f250a137","block_type":"box","text":"Certain of the Funds are organized as “Massachusetts business trusts.” Under Massachusetts law,","page_number":177,"box":{"x":102,"y":823,"width":712,"height":12}},{"id":"0f1b7d24-2d55-4e0b-be3c-2aa0a5eee556","block_type":"box","text":"shareholders of such a trust may, under certain circumstances, be held personally liable as partners for its","page_number":177,"box":{"x":69,"y":838,"width":765,"height":11}},{"id":"0d0bddc4-e2d0-402a-9553-0a6d419c5f56","block_type":"box","text":"obligations. However, the Declaration of Trust establishing a trust, a copy of which for each applicable Fund, together","page_number":177,"box":{"x":69,"y":853,"width":834,"height":12}},{"id":"33c1e258-88b3-42f0-a70c-97e94e2e360b","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":177,"box":{"x":68,"y":869,"width":729,"height":11}},{"id":"164be24f-3f6a-4c6c-b980-032ab106e3c0","block_type":"box","text":"Commonwealth of Massachusetts, contains an express disclaimer of shareholder liability for acts or obligations of","page_number":177,"box":{"x":69,"y":884,"width":815,"height":11}},{"id":"f433c997-0a89-4020-8dbf-c29efa2b568c","block_type":"box","text":"the trust and provides for indemnification and reimbursement of expenses out of the trust property for any","page_number":177,"box":{"x":68,"y":899,"width":761,"height":11}},{"id":"ca39ad85-d07e-4471-b0f6-54493214ff76","block_type":"box","text":"II-139","page_number":177,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"71ea5457-0b72-4005-8ada-3762dc6a3c46","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":177,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ab23cd34-7337-4841-9b81-a5e3d2728d5d","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":178,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"d55b9421-9b14-4ab0-992a-291f1d4f6524","block_type":"box","text":"may maintain appropriate insurance (for example, fidelity bond and errors and omissions insurance) for the protection","page_number":178,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"4aba8564-2684-440e-9994-053119dbde88","block_type":"box","text":"of the trust, its shareholders, trustees, officers, employees and agents covering possible tort and other liabilities.","page_number":178,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"d6cc5800-4196-4feb-a169-9d1276718053","block_type":"box","text":"Thus, the risk of a shareholder incurring financial loss on account of shareholder liability is limited to circumstances","page_number":178,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"21ad9c51-5105-438f-b296-c79f78ae85e7","block_type":"box","text":"in which both inadequate insurance existed and the trust itself was unable to meet its obligations.","page_number":178,"box":{"x":70,"y":105,"width":699,"height":11}},{"id":"f2eee2ee-195a-437c-abea-f7de1b752f30","block_type":"box","text":"Certain Funds are organized as Delaware statutory trusts.","page_number":178,"box":{"x":102,"y":128,"width":413,"height":11}},{"id":"843be517-2e70-421f-86a8-40d082604c99","block_type":"box","text":"Additional Information","page_number":178,"box":{"x":68,"y":158,"width":161,"height":9}},{"id":"6ce48c4e-e544-4a0c-91cd-408f2be29d66","block_type":"box","text":"Under a separate agreement, BlackRock has granted certain Funds the right to use the “BlackRock” name and","page_number":178,"box":{"x":102,"y":181,"width":789,"height":11}},{"id":"ad85bf67-81bf-43e0-98b8-e0f935489277","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":178,"box":{"x":69,"y":196,"width":799,"height":11}},{"id":"57aa8196-d11c-4215-8035-b306ecd53296","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":178,"box":{"x":70,"y":211,"width":837,"height":11}},{"id":"b24e8ff4-4c7c-4ab7-9fdb-118c07cb99d4","block_type":"box","text":"such name to any other company.","page_number":178,"box":{"x":69,"y":226,"width":238,"height":11}},{"id":"1a9794e7-980b-4b66-b164-5a585da69c9f","block_type":"box","text":"II-140","page_number":178,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"6acd51f0-6cfe-4fd0-aaef-af84c1a1cfd4","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":178,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"47f42034-354e-4328-b079-e3dc1fb61414","block_type":"box","text":"APPENDIX A","page_number":179,"box":{"x":438,"y":45,"width":101,"height":10}},{"id":"3e1b69bd-e862-475a-83a8-eecbda2bdc35","block_type":"box","text":"Description of Bond Ratings","page_number":179,"box":{"x":377,"y":68,"width":224,"height":13}},{"id":"93684d69-42e7-4272-9f65-f18cab98a12c","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":179,"box":{"x":101,"y":91,"width":743,"height":12}},{"id":"2a48303f-6132-4670-a8c3-0961c884dff3","block_type":"box","text":"designated as a nationally recognized statistical rating organization (“NRSRO”) by the Securities and Exchange","page_number":179,"box":{"x":69,"y":106,"width":787,"height":12}},{"id":"52815d0e-d310-4f0d-b23c-928ffce1aa6a","block_type":"box","text":"Commission (“SEC”). While NRSROs may from time to time revise such ratings, they undertake no obligation to do","page_number":179,"box":{"x":69,"y":121,"width":817,"height":12}},{"id":"8964f057-5539-4de9-8736-628dedd9cfca","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":179,"box":{"x":69,"y":137,"width":837,"height":11}},{"id":"ece64ed7-42a3-4ce3-a3e6-fb3c82f9c456","block_type":"box","text":"securities on a particular subsequent date.","page_number":179,"box":{"x":69,"y":152,"width":306,"height":11}},{"id":"6ef1d890-9bb0-4177-911d-d0d7198ac5b1","block_type":"box","text":"NRSROs may rate specific investments (","page_number":179,"box":{"x":102,"y":174,"width":286,"height":12}},{"id":"8d0ab1a5-c836-41ae-817f-14f36939700b","block_type":"box","text":"e.g.","page_number":179,"box":{"x":390,"y":176,"width":25,"height":10}},{"id":"842b6b17-0f98-435e-8b2c-217e12f36c78","block_type":"box","text":", bonds), issuers (","page_number":179,"box":{"x":417,"y":175,"width":128,"height":10}},{"id":"67b39287-f5c0-45f9-977f-d59f451aeed1","block_type":"box","text":"e.g.","page_number":179,"box":{"x":547,"y":176,"width":25,"height":10}},{"id":"fdd70fcc-fcb6-4458-bf18-ccc9f959074f","block_type":"box","text":", corporations, governments and financial","page_number":179,"box":{"x":574,"y":174,"width":293,"height":12}},{"id":"3af99ff2-4444-42fd-8f6a-d52a8afc7534","block_type":"box","text":"institutions) and/or programs (","page_number":179,"box":{"x":70,"y":190,"width":217,"height":11}},{"id":"d6193314-1d78-4d08-947f-99cb541c0242","block_type":"box","text":"e.g.","page_number":179,"box":{"x":289,"y":191,"width":25,"height":10}},{"id":"5801e273-22df-41bf-a2e1-308f42309340","block_type":"box","text":", commercial paper programs). However, certain types of investments may not be","page_number":179,"box":{"x":317,"y":189,"width":578,"height":12}},{"id":"b639ed81-a0d2-406d-afe2-33881304d3d3","block_type":"box","text":"rated by NRSROs, such as certain government/sovereign obligations, US agency securities, commercial paper, time","page_number":179,"box":{"x":69,"y":205,"width":826,"height":11}},{"id":"6804ee89-d1ba-485f-98c8-32d49297a57b","block_type":"box","text":"deposits at financial institutions, and derivative instruments such as credit default swaps. For these types of","page_number":179,"box":{"x":69,"y":220,"width":777,"height":11}},{"id":"b6b165d3-1de1-408e-9742-9bf8c6ef42de","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":179,"box":{"x":70,"y":235,"width":807,"height":11}},{"id":"8981d10a-4813-414e-aa80-017055f30722","block_type":"box","text":"specific investment but has rated the investment’s issuer, program, financial institution or underlying reference","page_number":179,"box":{"x":69,"y":250,"width":791,"height":11}},{"id":"fb833378-72b0-4a8c-bc79-2bbac5338717","block_type":"box","text":"asset, BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates (“BlackRock”) may consider","page_number":179,"box":{"x":69,"y":265,"width":816,"height":11}},{"id":"cbcf74ae-a511-4830-b27e-efcd34e823ca","block_type":"box","text":"the investment to have the same NRSRO rating as its issuer, program, financial institution or underlying reference","page_number":179,"box":{"x":68,"y":280,"width":812,"height":12}},{"id":"53864dd2-bd68-40eb-9884-1be08f9b266d","block_type":"box","text":"asset, as applicable. In the case of municipal securities, where one NRSRO provides multiple ratings for the same","page_number":179,"box":{"x":69,"y":295,"width":815,"height":12}},{"id":"49aeaa4a-3639-4766-841a-3e5cec7eefc2","block_type":"box","text":"security (","page_number":179,"box":{"x":69,"y":311,"width":63,"height":11}},{"id":"a7358e33-1ed3-4675-9638-16ada0ea920b","block_type":"box","text":"e.g.","page_number":179,"box":{"x":134,"y":312,"width":25,"height":10}},{"id":"5052652c-539b-4e5b-b560-e12591380ee4","block_type":"box","text":", “underlying,” “insured” and/or “enhanced” ratings), BlackRock may consider the security to have the","page_number":179,"box":{"x":161,"y":311,"width":730,"height":11}},{"id":"eec50130-95ab-4736-bb69-95846c7c5215","block_type":"box","text":"highest of the multiple ratings.","page_number":179,"box":{"x":69,"y":326,"width":216,"height":11}},{"id":"ad2c8f88-39db-43f0-b678-71ae87ba8471","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":179,"box":{"x":102,"y":348,"width":760,"height":12}},{"id":"d3d563df-68cb-4d3e-8147-9f3d3fc5dac3","block_type":"box","text":"Preliminary prospectuses or term sheets for new issue securities may include an expected rating for the security (as","page_number":179,"box":{"x":69,"y":363,"width":830,"height":12}},{"id":"bad3b9e0-be89-4bd2-9365-954d102db962","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":179,"box":{"x":69,"y":378,"width":812,"height":12}},{"id":"1eba61ed-e9e6-471f-bedb-b6589198c537","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":179,"box":{"x":69,"y":394,"width":776,"height":11}},{"id":"9f507c44-61d4-40c7-8c90-4b75b9c5f14b","block_type":"box","text":"attribute an expected rating to the security based on: (i) the expected rating of the security set forth in the","page_number":179,"box":{"x":69,"y":409,"width":756,"height":11}},{"id":"b56beaf8-3f98-4be3-8b24-fab75c8d30d7","block_type":"box","text":"preliminary prospectus or term sheet for the security; (ii) the NRSRO’s rating for the issuer of the security set forth in","page_number":179,"box":{"x":70,"y":424,"width":835,"height":11}},{"id":"97252fe1-2bfe-42b5-b40e-944f3e4b4f4e","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":179,"box":{"x":68,"y":439,"width":836,"height":11}},{"id":"bfa493e6-bc0e-4151-a4b0-e139e1c4e8f8","block_type":"box","text":"a prior issuance having a similar structure or the same sponsor.","page_number":179,"box":{"x":69,"y":454,"width":456,"height":11}},{"id":"f1956d74-9eac-49f3-9d3c-e5e103f98aa8","block_type":"box","text":"Where the investment objective of a fund is to track the performance of an index that includes credit ratings","page_number":179,"box":{"x":101,"y":477,"width":771,"height":11}},{"id":"0eb39e27-b1d5-435d-897c-8b6fd1ed4f5f","block_type":"box","text":"eligibility criteria as part of its index methodology, the fund may purchase any security within the index, such security","page_number":179,"box":{"x":69,"y":492,"width":832,"height":11}},{"id":"8ae7765a-a56b-4370-a9ca-7e2585912b49","block_type":"box","text":"having been determined by the index provider as meeting its credit ratings eligibility criteria. The credit ratings","page_number":179,"box":{"x":69,"y":507,"width":782,"height":11}},{"id":"de60b035-8d47-41c8-ae73-de53a361774b","block_type":"box","text":"practices of an index provider may differ from BlackRock’s practices, as described above. Further, the fund may","page_number":179,"box":{"x":70,"y":522,"width":796,"height":11}},{"id":"a405e9b0-3ffc-4fee-91c7-55f45be3a57b","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":179,"box":{"x":70,"y":537,"width":811,"height":12}},{"id":"8a7c9cf6-4806-434e-8271-74c04287dd2b","block_type":"box","text":"differs from the credit rating specified in its index methodology in various circumstances, including where a security is","page_number":179,"box":{"x":69,"y":552,"width":840,"height":12}},{"id":"a204b2ef-ee05-4ede-a16d-58c3cdcb92f1","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":179,"box":{"x":69,"y":567,"width":824,"height":12}},{"id":"4ab59bed-494a-4c47-bd36-288cb588926c","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":179,"box":{"x":68,"y":583,"width":781,"height":11}},{"id":"cdb7b915-f5dd-4ad5-8335-174a13fb9586","block_type":"box","text":"Fixed-income securities which are unrated may expose the investor to risks with respect to capacity to pay","page_number":179,"box":{"x":102,"y":606,"width":756,"height":10}},{"id":"875b5fde-bb5d-4db1-b898-0d4fae1ee551","block_type":"box","text":"interest or repay principal which are similar to the risks of lower-rated speculative bonds (although BlackRock may","page_number":179,"box":{"x":70,"y":620,"width":811,"height":12}},{"id":"087fadf6-f3cf-4800-ab92-5ce141399590","block_type":"box","text":"deem such unrated securities to be of higher quality). Evaluation of these securities is dependent on BlackRock’s","page_number":179,"box":{"x":69,"y":635,"width":809,"height":12}},{"id":"d1af3421-9412-4a95-8fd7-bdb6c6c490e1","block_type":"box","text":"judgment, analysis and experience in the evaluation of such securities.","page_number":179,"box":{"x":67,"y":651,"width":506,"height":11}},{"id":"1b8ccfd2-4af8-4750-a9eb-d883d9e51463","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":179,"box":{"x":102,"y":673,"width":776,"height":12}},{"id":"437b557a-69d6-4f32-9e05-e3234851424f","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":179,"box":{"x":69,"y":688,"width":818,"height":12}},{"id":"90d04569-5e20-4d87-936e-4693965107d6","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":179,"box":{"x":102,"y":711,"width":799,"height":11}},{"id":"609ee105-0144-4abe-bfb8-5b6b83600b05","block_type":"box","text":"Fitch. Other terms used to describe such securities include “lower rated bonds,” “non-investment grade bonds,”","page_number":179,"box":{"x":70,"y":726,"width":798,"height":11}},{"id":"1a1e7a93-d5b0-438a-93c6-262c0d48d261","block_type":"box","text":"“below investment grade bonds,” and “junk bonds.”","page_number":179,"box":{"x":70,"y":742,"width":368,"height":11}},{"id":"b74d1d24-7495-499f-9e2e-a2122e31e263","block_type":"box","text":"The descriptions below relate to general long-term and short-term obligations of an issuer.","page_number":179,"box":{"x":101,"y":764,"width":643,"height":11}},{"id":"e40be62b-6bc2-48e4-b396-15754bc4850e","block_type":"box","text":"A Description of Moody’s Investors Service, Inc.’s (“Moody’s”) Global Rating Scales","page_number":179,"box":{"x":68,"y":794,"width":616,"height":11}},{"id":"3e8da28b-7cf2-4353-a5c3-031a0cad0767","block_type":"box","text":"Credit ratings are assigned on Moody’s global long-term and short-term rating scales and are forward-looking","page_number":179,"box":{"x":102,"y":817,"width":777,"height":11}},{"id":"74c361d8-4671-44a2-ab19-31cd78ec58fc","block_type":"box","text":"opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions,","page_number":179,"box":{"x":69,"y":832,"width":818,"height":11}},{"id":"b7369029-f382-4f9a-9cfb-52c2a7c4fa0d","block_type":"box","text":"structured finance vehicles, project finance vehicles, and public sector entities. Moody’s defines credit risk as the","page_number":179,"box":{"x":69,"y":847,"width":812,"height":11}},{"id":"3a20783d-618e-4f98-9fc6-4070dcc4c8dd","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":179,"box":{"x":69,"y":862,"width":812,"height":12}},{"id":"0f1b6afd-bf30-4ece-941d-9894060c2987","block_type":"box","text":"loss in the event of default or impairment. The contractual financial obligations addressed by Moody’s ratings are","page_number":179,"box":{"x":70,"y":877,"width":807,"height":12}},{"id":"2a4b587d-5a7b-4251-ad09-8dccb02e3099","block_type":"box","text":"those that call for, without regard to enforceability, the payment of an ascertainable amount, which may vary based","page_number":179,"box":{"x":68,"y":892,"width":821,"height":12}},{"id":"64db3bd6-75b3-4b45-af4c-05599212363c","block_type":"box","text":"upon standard sources of variation (","page_number":179,"box":{"x":69,"y":908,"width":257,"height":11}},{"id":"0cd831b0-5990-43ce-bdd0-3e8b7ee59538","block_type":"box","text":"e.g.","page_number":179,"box":{"x":328,"y":909,"width":25,"height":10}},{"id":"9f0e5e37-c269-412a-8af0-4c6fcaad9ba3","block_type":"box","text":", floating interest rates), by an ascertainable date. Moody’s rating addresses","page_number":179,"box":{"x":355,"y":908,"width":548,"height":11}},{"id":"cf5f0574-ec53-4e90-83bb-115ad5374ad0","block_type":"box","text":"A-1","page_number":179,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"cbe635fd-e60f-406e-8713-37dfb4c78e48","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":179,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6b23dcf9-45d6-4bc2-a583-0f648124fb82","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":180,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"b4609590-2a27-42d6-bb3f-f0749f445bb2","block_type":"box","text":"not address non-standard sources of variation in the amount of the principal obligation (","page_number":180,"box":{"x":69,"y":60,"width":627,"height":11}},{"id":"ef313718-4eb6-4509-8543-43a1c8386159","block_type":"box","text":"e.g.","page_number":180,"box":{"x":697,"y":61,"width":25,"height":10}},{"id":"27a9e8c2-8432-4042-aedd-89693fdaf2bb","block_type":"box","text":", equity indexed), absent","page_number":180,"box":{"x":725,"y":60,"width":174,"height":11}},{"id":"b2b97f47-6bba-4be4-84f3-45867c15cbdb","block_type":"box","text":"an express statement to the contrary in a press release accompanying an initial rating. Long-term ratings are","page_number":180,"box":{"x":69,"y":75,"width":777,"height":11}},{"id":"c8e68e5c-03e1-4140-b8ee-f19aecdc53c3","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":180,"box":{"x":69,"y":90,"width":771,"height":11}},{"id":"5bf3771a-4f0e-4884-9abf-aa5ed0a5e1cf","block_type":"box","text":"likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in","page_number":180,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"74b3a077-e114-4053-8062-4e4521dea37f","block_type":"box","text":"the event of default or impairment. Short-term ratings are assigned for obligations with an original maturity of thirteen","page_number":180,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"354a51cb-76cb-4a76-bd41-f87f4465332a","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":180,"box":{"x":69,"y":135,"width":822,"height":12}},{"id":"19067539-3354-4000-a6be-d057392a4ce1","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":180,"box":{"x":68,"y":150,"width":829,"height":12}},{"id":"d4733b97-2fda-4958-8393-05127bc97566","block_type":"box","text":"and instrument level on both the long-term scale and the short-term scale. Typically, ratings are made publicly","page_number":180,"box":{"x":69,"y":166,"width":784,"height":11}},{"id":"2d05857f-8755-4031-88c3-83a58aba21cf","block_type":"box","text":"available although private and unpublished ratings may also be assigned.","page_number":180,"box":{"x":69,"y":181,"width":521,"height":11}},{"id":"b155c0f8-8cef-4bd5-8805-c9f564a4ee14","block_type":"box","text":"Moody’s differentiates structured finance ratings from fundamental ratings (","page_number":180,"box":{"x":102,"y":203,"width":542,"height":12}},{"id":"f99d2727-e4cc-4cbe-83aa-47bf32715fe0","block_type":"box","text":"i.e.","page_number":180,"box":{"x":646,"y":204,"width":20,"height":8}},{"id":"197f82c4-910f-4f87-af80-55a70d9f3aad","block_type":"box","text":", ratings on nonfinancial","page_number":180,"box":{"x":669,"y":203,"width":169,"height":12}},{"id":"379bd1ed-808c-4162-ab94-53d80a71c572","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":180,"box":{"x":69,"y":218,"width":837,"height":12}},{"id":"f8aff8c1-1756-49da-86ac-859def8722c1","block_type":"box","text":"finance ratings. The addition of (sf) to structured finance ratings should eliminate any presumption that such ratings","page_number":180,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"a8435f31-d88c-42ad-8393-17f02620f83b","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":180,"box":{"x":69,"y":249,"width":832,"height":11}},{"id":"a5729cd5-dcd4-4871-8fbd-b19498e8d2bc","block_type":"box","text":"security ratings indicates that otherwise similarly rated structured finance and fundamental securities may have","page_number":180,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"752287e9-8593-4b79-a907-7754a3dfaa19","block_type":"box","text":"different risk characteristics. Through its current methodologies, however, Moody’s aspires to achieve broad","page_number":180,"box":{"x":69,"y":279,"width":771,"height":11}},{"id":"02b37dc6-bfdd-4bce-b46a-0df9c3abee6e","block_type":"box","text":"expected equivalence in structured finance and fundamental rating performance when measured over a long period","page_number":180,"box":{"x":69,"y":294,"width":821,"height":11}},{"id":"31c27366-bcc4-47e3-b6ce-1ec28da4a87c","block_type":"box","text":"of time.","page_number":180,"box":{"x":69,"y":309,"width":53,"height":9}},{"id":"a35978d6-6e6f-450e-a3d7-992decbce963","block_type":"box","text":"Description of Moody’s Global Long-Term Rating Scale","page_number":180,"box":{"x":69,"y":339,"width":395,"height":12}},{"id":"10980cff-0c0c-47d3-857c-27097cd592ed","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":180,"box":{"x":68,"y":367,"width":815,"height":11}},{"id":"0811e620-67b7-4abe-9544-f0482cbe7c0a","block_type":"box","text":"risk.","page_number":180,"box":{"x":197,"y":383,"width":28,"height":8}},{"id":"f1366d93-16c1-4aa6-97af-d9b4b71bb29c","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":180,"box":{"x":68,"y":402,"width":773,"height":12}},{"id":"45cea0ab-30bd-4f45-bb29-fffb1e5c04b6","block_type":"box","text":"A Obligations rated A are judged to be upper-medium grade and are subject to low credit risk.","page_number":180,"box":{"x":68,"y":423,"width":776,"height":11}},{"id":"3cc4af15-2828-43ef-a3e7-b75051f2b854","block_type":"box","text":"Baa Obligations rated Baa are judged to be medium-grade and subject to moderate credit risk and as","page_number":180,"box":{"x":70,"y":443,"width":813,"height":11}},{"id":"681e4817-0a6a-4611-989a-5c6b77848aea","block_type":"box","text":"such may possess certain speculative characteristics.","page_number":180,"box":{"x":196,"y":458,"width":385,"height":11}},{"id":"17f44535-86f0-47df-a374-91108c4411e6","block_type":"box","text":"Ba Obligations rated Ba are judged to be speculative and are subject to substantial credit risk.","page_number":180,"box":{"x":70,"y":478,"width":775,"height":11}},{"id":"da76c14f-80b7-4d47-aca0-8e4b69a7070c","block_type":"box","text":"B Obligations rated B are considered speculative and are subject to high credit risk.","page_number":180,"box":{"x":70,"y":498,"width":707,"height":11}},{"id":"5ffc23e4-4cee-431b-b6e4-abb3fcf413f8","block_type":"box","text":"Caa Obligations rated Caa are judged to be speculative of poor standing and are subject to very high","page_number":180,"box":{"x":69,"y":518,"width":810,"height":12}},{"id":"9a27e568-1213-4c58-bdcc-d373fdf21a52","block_type":"box","text":"credit risk.","page_number":180,"box":{"x":196,"y":534,"width":74,"height":8}},{"id":"a8848393-b58b-492a-b618-5de50578f04f","block_type":"box","text":"Ca Obligations rated Ca are highly speculative and are likely in, or very near, default, with some","page_number":180,"box":{"x":69,"y":554,"width":783,"height":11}},{"id":"63a23a09-9412-4230-912e-ce2fe817d0bf","block_type":"box","text":"prospect of recovery of principal and interest.","page_number":180,"box":{"x":197,"y":569,"width":322,"height":11}},{"id":"53e05f10-ac89-44a9-b398-1c4dd55278b9","block_type":"box","text":"C Obligations rated C are the lowest rated and are typically in default, with little prospect for recovery","page_number":180,"box":{"x":69,"y":589,"width":834,"height":11}},{"id":"0ad581c8-9b84-4771-b153-a050a3ec0e15","block_type":"box","text":"of principal or interest.","page_number":180,"box":{"x":196,"y":604,"width":160,"height":11}},{"id":"40df00c6-d1a2-4b19-a6ed-c050642c529a","block_type":"box","text":"Note:","page_number":180,"box":{"x":102,"y":624,"width":37,"height":9}},{"id":"4a5fbccc-fa9c-4042-8fab-cb1ebadb26e3","block_type":"box","text":"Moody’s appends numerical modifiers 1, 2, and 3 to each generic rating classification from Aa through","page_number":180,"box":{"x":146,"y":624,"width":731,"height":11}},{"id":"d0418155-0be8-42d3-991d-ca21054dd3e1","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":180,"box":{"x":69,"y":639,"width":831,"height":12}},{"id":"24bdd7b1-3374-4ede-a477-039c04244183","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":180,"box":{"x":70,"y":654,"width":829,"height":12}},{"id":"48b8576e-7d55-4ceb-8d42-08b58bfb69a3","block_type":"box","text":"Additionally, a “(hyb)” indicator is appended to all ratings of hybrid securities issued by banks, insurers, finance","page_number":180,"box":{"x":68,"y":669,"width":795,"height":12}},{"id":"86e86939-ed34-4b71-8c3e-cadfa71f5f05","block_type":"box","text":"companies, and securities firms.","page_number":180,"box":{"x":69,"y":685,"width":232,"height":11}},{"id":"31ffb386-5a13-451b-96d4-2e4d50b20c1b","block_type":"box","text":"By their terms, hybrid securities allow for the omission of scheduled dividends, interest, or principal payments,","page_number":180,"box":{"x":102,"y":707,"width":787,"height":11}},{"id":"fcb347a6-8b73-45db-974a-ce9599858f7f","block_type":"box","text":"which can potentially result in impairment if such an omission occurs. Hybrid securities may also be subject to","page_number":180,"box":{"x":68,"y":722,"width":788,"height":12}},{"id":"4b4f6ddf-5f9a-479b-9240-d6299322090b","block_type":"box","text":"contractually allowable write-downs of principal that could result in impairment. Together with the hybrid indicator, the","page_number":180,"box":{"x":69,"y":738,"width":833,"height":11}},{"id":"7f896d5b-8738-4e42-a13d-ee5736c2fcbb","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":180,"box":{"x":70,"y":753,"width":809,"height":11}},{"id":"379f688f-acc4-42f8-b379-c0bc83f664ca","block_type":"box","text":"that security.","page_number":180,"box":{"x":68,"y":768,"width":91,"height":11}},{"id":"4f1fd8a4-6397-4237-8afc-b9af72eaadba","block_type":"box","text":"Description of Moody’s Global Short-Term Rating Scale","page_number":180,"box":{"x":69,"y":798,"width":400,"height":11}},{"id":"2952e275-b1a5-4ed2-a5e2-1f6efe100248","block_type":"box","text":"P-1 Ratings of Prime-1 reflect a superior ability to repay short-term obligations.","page_number":180,"box":{"x":69,"y":826,"width":658,"height":11}},{"id":"1b402cf6-983d-4101-b527-d74bf270bb79","block_type":"box","text":"P-2 Ratings of Prime-2 reflect a strong ability to repay short-term obligations.","page_number":180,"box":{"x":69,"y":846,"width":645,"height":11}},{"id":"7166e027-a05c-4e01-8771-4235dfa9b845","block_type":"box","text":"P-3 Ratings of Prime-3 reflect an acceptable ability to repay short-term obligations.","page_number":180,"box":{"x":69,"y":866,"width":686,"height":11}},{"id":"5fa91658-ef97-4366-b8d3-67c51bd9d3b3","block_type":"box","text":"NP Issuers (or supporting institutions) rated Not Prime do not fall within any of the Prime rating","page_number":180,"box":{"x":70,"y":886,"width":778,"height":12}},{"id":"cf9be5d4-fb3e-4e1c-a20d-30d844a19960","block_type":"box","text":"categories.","page_number":180,"box":{"x":196,"y":902,"width":77,"height":11}},{"id":"f81063a3-bfc2-459f-9615-6d05ef83dcc7","block_type":"box","text":"A-2","page_number":180,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"0ebea27d-29bb-419b-8b3f-46e79d718d1c","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":180,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"941a53e8-805d-465c-95ce-f5842cf1272f","block_type":"box","text":"Description of Moody’s U.S. Municipal Short-Term Debt and Demand Obligation Ratings","page_number":181,"box":{"x":69,"y":45,"width":637,"height":11}},{"id":"ffa08736-ae39-4c55-9238-fc08b31694ae","block_type":"box","text":"Moody’s uses the global short-term Prime rating scale for commercial paper issued by U.S. municipalities and","page_number":181,"box":{"x":102,"y":67,"width":784,"height":12}},{"id":"23d22543-b16c-47da-8161-229010ab4d75","block_type":"box","text":"nonprofits. These commercial paper programs may be backed by external letters of credit or liquidity facilities, or by","page_number":181,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"78fb91ef-93d9-411d-9cfa-43de82dd7885","block_type":"box","text":"an issuer’s self-liquidity.","page_number":181,"box":{"x":69,"y":98,"width":170,"height":11}},{"id":"2df9a089-d937-452d-8028-5117974b1782","block_type":"box","text":"For other short-term municipal obligations, Moody’s uses one of two other short-term rating scales, the","page_number":181,"box":{"x":102,"y":120,"width":736,"height":12}},{"id":"b15d766e-c780-476f-9ec0-0e19a9956832","block_type":"box","text":"Municipal Investment Grade (“MIG”) and Variable Municipal Investment Grade (“VMIG”) scales discussed below.","page_number":181,"box":{"x":70,"y":135,"width":796,"height":11}},{"id":"ea32690a-2b93-4053-aa78-04633ce0d777","block_type":"box","text":"MIG Ratings","page_number":181,"box":{"x":102,"y":158,"width":85,"height":11}},{"id":"177309ef-be9a-434d-876c-01865815deee","block_type":"box","text":"Moody’s uses the MIG scale for U.S. municipal cash flow notes, bond anticipation notes and certain other short","page_number":181,"box":{"x":102,"y":181,"width":803,"height":11}},{"id":"a7768073-5c90-4e3f-a533-f18ad17c4617","block_type":"box","text":"term obligations, which typically mature in three years or less. Under certain circumstances, Moody’s uses the MIG","page_number":181,"box":{"x":68,"y":196,"width":823,"height":11}},{"id":"34604a51-3d63-4c78-939f-8fe78b062cf1","block_type":"box","text":"scale for bond anticipation notes with maturities of up to five years.","page_number":181,"box":{"x":69,"y":211,"width":480,"height":11}},{"id":"cb4c1f09-4d77-4c19-b513-087aa4617f0c","block_type":"box","text":"MIG Scale","page_number":181,"box":{"x":102,"y":234,"width":71,"height":9}},{"id":"fab443b2-8047-46e4-8dc5-542ab566bc84","block_type":"box","text":"MIG 1 This designation denotes superior credit quality. Excellent protection is afforded by established","page_number":181,"box":{"x":70,"y":261,"width":802,"height":12}},{"id":"deb9add0-58a4-4ce5-8a05-fbec4d29baa0","block_type":"box","text":"cash flows, highly reliable liquidity support, or demonstrated broad-based access to the market for","page_number":181,"box":{"x":196,"y":276,"width":703,"height":12}},{"id":"0b49a6de-5210-4e1a-8625-7ca973723b3a","block_type":"box","text":"refinancing.","page_number":181,"box":{"x":197,"y":292,"width":80,"height":11}},{"id":"1fc7b838-fb7d-4f5a-8920-c120df977e87","block_type":"box","text":"MIG 2 This designation denotes strong credit quality. Margins of protection are ample, although not as","page_number":181,"box":{"x":70,"y":312,"width":809,"height":11}},{"id":"8e5d7277-7527-43cd-877b-dc90cf0fd38f","block_type":"box","text":"large as in the preceding group.","page_number":181,"box":{"x":197,"y":327,"width":224,"height":11}},{"id":"da0d8f03-5bc5-4975-abf4-b5bddb4cac47","block_type":"box","text":"MIG 3 This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be","page_number":181,"box":{"x":70,"y":347,"width":785,"height":11}},{"id":"bd0ff65c-8264-4996-8d2d-b775173d0d5a","block_type":"box","text":"narrow, and market access for refinancing is likely to be less well-established.","page_number":181,"box":{"x":197,"y":362,"width":554,"height":11}},{"id":"9e0cd386-7be6-4e3b-ab44-372a37a2698a","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Debt instruments in this category may","page_number":181,"box":{"x":69,"y":382,"width":813,"height":12}},{"id":"b7cdfe0a-43a5-41d7-8526-6eb748417ce1","block_type":"box","text":"lack sufficient margins of protection.","page_number":181,"box":{"x":197,"y":397,"width":259,"height":12}},{"id":"8492772f-3100-4ed8-86fd-98b1893ccd70","block_type":"box","text":"VMIG Ratings","page_number":181,"box":{"x":68,"y":425,"width":100,"height":11}},{"id":"0fb4be40-020d-4c9c-be2f-41f0dc0fece1","block_type":"box","text":"In the case of variable rate demand obligations (“VRDOs”), a two-component rating is assigned. The components","page_number":181,"box":{"x":102,"y":448,"width":804,"height":11}},{"id":"39eeb56e-bb4c-47ea-9950-b4c4fa233fed","block_type":"box","text":"are a long-term rating and a short-term payment obligation rating. The long-term rating addresses the issuer’s ability","page_number":181,"box":{"x":69,"y":463,"width":829,"height":11}},{"id":"382b45f9-1cbe-4fad-a8ac-73231f5a3b8c","block_type":"box","text":"to meet scheduled principal and interest payments. The short-term payment obligation rating addresses the ability of","page_number":181,"box":{"x":68,"y":478,"width":836,"height":11}},{"id":"3da2b8a3-6c0f-44aa-9780-04fb7b2d8e4e","block_type":"box","text":"the issuer or the liquidity provider meet any purchase-price payment obligation resulting from optional tenders (“on","page_number":181,"box":{"x":68,"y":493,"width":817,"height":11}},{"id":"e71fbd49-bb67-4a83-b739-27e7740e50c8","block_type":"box","text":"demand”) and/or mandatory tenders of the VRDO. The short-term demand obligation rating uses the VMIG scale.","page_number":181,"box":{"x":69,"y":508,"width":807,"height":12}},{"id":"2d648ffe-95be-4e65-8b31-90049cdcb930","block_type":"box","text":"VMIG ratings with liquidity support use as an input the short-term Counterparty Risk Assessment of the support","page_number":181,"box":{"x":68,"y":523,"width":800,"height":12}},{"id":"f5504302-bbb0-4ffd-a994-0ce411f6e8df","block_type":"box","text":"provider, or the long-term rating of the underlying obligor in the absence of third party liquidity support. Transitions of","page_number":181,"box":{"x":70,"y":538,"width":832,"height":12}},{"id":"e5c76a0d-e9a5-4f13-b00c-7ca8b1ae6f3c","block_type":"box","text":"VMIG ratings of demand obligations with conditional liquidity support differ from transitions on the Prime scale to","page_number":181,"box":{"x":68,"y":554,"width":807,"height":11}},{"id":"92eea86d-89df-4def-9c61-4566a19bcd79","block_type":"box","text":"reflect the risk that external liquidity support will terminate if the issuer’s long-term rating drops below investment","page_number":181,"box":{"x":69,"y":569,"width":812,"height":11}},{"id":"b3b3590f-1e0c-45be-acc1-d16f6d02f04f","block_type":"box","text":"grade.","page_number":181,"box":{"x":68,"y":584,"width":43,"height":11}},{"id":"a9fe9163-0feb-45f8-9217-6ab7fe8c447e","block_type":"box","text":"Moody’s typically assigns the VMIG short-term demand obligation rating if the frequency of the demand feature is","page_number":181,"box":{"x":102,"y":606,"width":807,"height":12}},{"id":"f45ba4b1-d7f3-4ae5-a5b2-edc2acb016b1","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":181,"box":{"x":70,"y":622,"width":833,"height":11}},{"id":"126a765c-30d9-4d12-a74d-3a29e35a7200","block_type":"box","text":"payable only with remarketing proceeds, the short-term demand obligation rating is “NR”.","page_number":181,"box":{"x":70,"y":637,"width":635,"height":11}},{"id":"3bbc828a-7051-41df-b9c1-59a1a66d3a1f","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":181,"box":{"x":102,"y":659,"width":778,"height":12}},{"id":"af428a32-8873-4647-859b-277c86bf8ab4","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":181,"box":{"x":70,"y":675,"width":795,"height":11}},{"id":"6eebe079-31ae-4248-a1ae-6640688041ae","block_type":"box","text":"liquidity of the corporate obligor.","page_number":181,"box":{"x":70,"y":690,"width":226,"height":11}},{"id":"81d147ee-02e0-4afb-8e8e-005f7a7c09df","block_type":"box","text":"VMIG Scale","page_number":181,"box":{"x":101,"y":712,"width":81,"height":9}},{"id":"40ea3b6c-3162-46ec-be62-cf8941ad6b7a","block_type":"box","text":"VMIG 1 This designation denotes superior credit quality. Excellent protection is afforded by the superior","page_number":181,"box":{"x":68,"y":740,"width":808,"height":11}},{"id":"8896ea5f-b6a7-4445-81b2-5f2f837c0929","block_type":"box","text":"short-term credit strength of the liquidity provider and structural and legal protections.","page_number":181,"box":{"x":196,"y":755,"width":613,"height":11}},{"id":"6125e7be-9e38-4a1e-9f28-bbe5d58e45b6","block_type":"box","text":"VMIG 2 This designation denotes strong credit quality. Good protection is afforded by the strong short-term","page_number":181,"box":{"x":68,"y":775,"width":834,"height":12}},{"id":"f4f06f8d-9381-4c32-a3b8-069b39f7f248","block_type":"box","text":"credit strength of the liquidity provider and structural and legal protections.","page_number":181,"box":{"x":196,"y":790,"width":533,"height":12}},{"id":"ecab649a-ae10-4738-9e85-cb4edd084a9f","block_type":"box","text":"VMIG 3 This designation denotes acceptable credit quality. Adequate protection is afforded by the","page_number":181,"box":{"x":68,"y":811,"width":768,"height":11}},{"id":"03e6cb8b-e686-45b3-b211-c5cc74ef7d41","block_type":"box","text":"satisfactory short-term credit strength of the liquidity provider and structural and legal protections.","page_number":181,"box":{"x":196,"y":826,"width":701,"height":11}},{"id":"d7176307-664c-42e9-9e57-5a6984820c36","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Demand features rated in this category","page_number":181,"box":{"x":69,"y":846,"width":820,"height":11}},{"id":"68dcd7ac-232a-42f2-a053-54bcc70d4823","block_type":"box","text":"may be supported by a liquidity provider that does not have a sufficiently strong short-term rating or","page_number":181,"box":{"x":197,"y":861,"width":711,"height":11}},{"id":"f675b672-f5ee-4e50-bf06-3373eaf6f5ac","block_type":"box","text":"may lack the structural or legal protections.","page_number":181,"box":{"x":197,"y":876,"width":308,"height":11}},{"id":"834254fd-2bef-4ab9-98d1-741451d81afd","block_type":"box","text":"A-3","page_number":181,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"26e3b507-495a-47e8-aaf6-8c2c1be3a7a8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":181,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a40bc12f-da60-48bf-bac0-f3c867759b0b","block_type":"box","text":"Description of S&P Global Ratings (“S&P”), a Division of S&P Global Inc., Issue Credit Ratings","page_number":182,"box":{"x":69,"y":45,"width":691,"height":11}},{"id":"3ec753d9-95e8-4db5-bc74-7163d28d25dd","block_type":"box","text":"An S&P issue credit rating is a forward-looking opinion about the creditworthiness of an obligor with respect to a","page_number":182,"box":{"x":101,"y":67,"width":801,"height":12}},{"id":"772bc351-d496-487c-8f0f-60c0f8f09bd5","block_type":"box","text":"specific financial obligation, a specific class of financial obligations, or a specific financial program (including ratings","page_number":182,"box":{"x":69,"y":82,"width":829,"height":12}},{"id":"fb9259e1-60de-4b44-a61e-6893aafa18f7","block_type":"box","text":"on medium-term note programs and commercial paper programs). It takes into consideration the creditworthiness of","page_number":182,"box":{"x":69,"y":98,"width":831,"height":11}},{"id":"41a39841-d19c-4559-ab4e-65e3557402fc","block_type":"box","text":"guarantors, insurers, or other forms of credit enhancement on the obligation and takes into account the currency in","page_number":182,"box":{"x":68,"y":113,"width":823,"height":11}},{"id":"2d4e24aa-4948-483c-ad5c-dd1755dbb78a","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":182,"box":{"x":68,"y":128,"width":841,"height":11}},{"id":"6d4d1250-fd8f-4176-9276-7fabcfe5e049","block_type":"box","text":"its financial commitments as they come due, and this opinion may assess terms, such as collateral security and","page_number":182,"box":{"x":70,"y":143,"width":801,"height":11}},{"id":"e2d7f342-1046-4437-98d1-90a9f8a32719","block_type":"box","text":"subordination, which could affect ultimate payment in the event of default.","page_number":182,"box":{"x":69,"y":158,"width":530,"height":11}},{"id":"86b10049-fde9-4074-b344-dffa90984590","block_type":"box","text":"Issue credit ratings can be either long-term or short-term. Short-term issue credit ratings are generally assigned","page_number":182,"box":{"x":102,"y":181,"width":796,"height":11}},{"id":"9e032c4f-487e-4c8a-84ef-85b522403f6d","block_type":"box","text":"to those obligations considered short-term in the relevant market, typically with an original maturity of no more than","page_number":182,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"0ebbbec6-eb2a-447b-9d20-d0be497e2401","block_type":"box","text":"365 days. Short-term issue credit ratings are also used to indicate the creditworthiness of an obligor with respect to","page_number":182,"box":{"x":69,"y":211,"width":832,"height":11}},{"id":"3c50a2b8-4adc-4f4d-91a4-c4300a8a0ead","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":182,"box":{"x":70,"y":226,"width":826,"height":11}},{"id":"72d673b7-935b-4e3e-b16e-eb3a017f65e4","block_type":"box","text":"an original maturity of greater than 365 days. However, the ratings S&P assigns to certain instruments may diverge","page_number":182,"box":{"x":69,"y":241,"width":823,"height":11}},{"id":"47c3788d-0ae6-470f-bef6-fae032bc4b2a","block_type":"box","text":"from these guidelines based on market practices.","page_number":182,"box":{"x":68,"y":256,"width":354,"height":12}},{"id":"8f0ad16b-855e-4f59-8d00-274d3c162289","block_type":"box","text":"Issue credit ratings are based, in varying degrees, on S&P’s analysis of the following considerations:","page_number":182,"box":{"x":102,"y":279,"width":718,"height":11}},{"id":"d94f4aa7-bcbc-4fa7-80a5-7efbb5b8c1b2","block_type":"box","text":"•","page_number":182,"box":{"x":69,"y":302,"width":6,"height":5}},{"id":"90fdb474-7cd1-4520-ae2e-0e3abb759f52","block_type":"box","text":"The likelihood of payment—the capacity and willingness of the obligor to meet its financial commitments on an","page_number":182,"box":{"x":101,"y":299,"width":790,"height":11}},{"id":"f81318b6-2c8a-4eea-9bf7-a783ad5bfd24","block_type":"box","text":"obligation in accordance with the terms of the obligation;","page_number":182,"box":{"x":102,"y":314,"width":404,"height":12}},{"id":"f9b04e9c-a4a0-4722-bd83-ad3a4160180e","block_type":"box","text":"•","page_number":182,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"402a510b-60df-4544-bc2f-d4e7968fab6d","block_type":"box","text":"The nature and provisions of the financial obligation, and the promise S&P imputes; and","page_number":182,"box":{"x":101,"y":334,"width":629,"height":12}},{"id":"81819e56-976c-4c16-a9cf-75314932bdac","block_type":"box","text":"•","page_number":182,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"194770e9-7997-4b1d-8b42-94f2876ebe11","block_type":"box","text":"The protection afforded by, and relative position of, the financial obligation in the event of a bankruptcy,","page_number":182,"box":{"x":101,"y":355,"width":738,"height":11}},{"id":"15e0a866-5d1a-437b-bbc0-c26b760f51ab","block_type":"box","text":"reorganization, or other arrangement under the laws of bankruptcy and other laws affecting creditors’ rights.","page_number":182,"box":{"x":102,"y":370,"width":770,"height":11}},{"id":"14bd3834-1928-4bb3-8542-a945bc6d4157","block_type":"box","text":"An issue rating is an assessment of default risk but may incorporate an assessment of relative seniority or","page_number":182,"box":{"x":101,"y":392,"width":763,"height":12}},{"id":"d08893ba-c7d6-404c-845b-21f0b7922706","block_type":"box","text":"ultimate recovery in the event of default. Junior obligations are typically rated lower than senior obligations, to reflect","page_number":182,"box":{"x":69,"y":407,"width":833,"height":12}},{"id":"5edc7301-9053-4a53-92f0-98e5698c26f0","block_type":"box","text":"lower priority in bankruptcy, as noted above. (Such differentiation may apply when an entity has both senior and","page_number":182,"box":{"x":70,"y":423,"width":794,"height":11}},{"id":"faa28d32-928a-4759-beac-bda6c4e4b6c7","block_type":"box","text":"subordinated obligations, secured and unsecured obligations, or operating company and holding company","page_number":182,"box":{"x":69,"y":438,"width":754,"height":11}},{"id":"d7c15777-5995-4aed-b2be-817ffab0bbd7","block_type":"box","text":"obligations.)","page_number":182,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"55caf59f-332c-46d8-9eb7-263949096221","block_type":"box","text":"Long-Term Issue Credit Ratings*","page_number":182,"box":{"x":69,"y":483,"width":236,"height":11}},{"id":"f1659669-7ec9-4bc2-b718-9aadff16e4b8","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":182,"box":{"x":68,"y":511,"width":833,"height":11}},{"id":"8fd59b2c-4d10-4ad5-aa67-4d31a38bfae6","block_type":"box","text":"financial commitments on the obligation is extremely strong.","page_number":182,"box":{"x":196,"y":526,"width":429,"height":11}},{"id":"86a5442c-9155-4300-a238-d63e7bf1f66f","block_type":"box","text":"AA An obligation rated ‘AA’ differs from the highest-rated obligations only to a small degree. The","page_number":182,"box":{"x":68,"y":546,"width":788,"height":11}},{"id":"6f3a49e8-0ec8-45bf-96ad-e8f8c7afb506","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is very strong.","page_number":182,"box":{"x":196,"y":561,"width":602,"height":11}},{"id":"8516d494-6738-490a-b20c-3cd57987e805","block_type":"box","text":"A An obligation rated ‘A’ is somewhat more susceptible to the adverse effects of changes in","page_number":182,"box":{"x":68,"y":581,"width":770,"height":12}},{"id":"ac586bae-d757-4480-a01a-0d5a769242df","block_type":"box","text":"circumstances and economic conditions than obligations in higher-rated categories. However, the","page_number":182,"box":{"x":196,"y":597,"width":692,"height":11}},{"id":"dda00446-1d55-4fde-b3f7-790f4dd4629f","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is still strong.","page_number":182,"box":{"x":196,"y":612,"width":598,"height":11}},{"id":"b2faf467-d7a6-4555-a33b-e75ace3eac53","block_type":"box","text":"BBB An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic","page_number":182,"box":{"x":70,"y":632,"width":806,"height":11}},{"id":"7ea9029c-fb36-4713-8d11-77a4fa6d4084","block_type":"box","text":"conditions or changing circumstances are more likely to weaken the obligor’s capacity to meet its","page_number":182,"box":{"x":196,"y":647,"width":694,"height":11}},{"id":"5bc61c01-1289-45a2-8413-3e941372dfb7","block_type":"box","text":"financial commitments on the obligation.","page_number":182,"box":{"x":196,"y":662,"width":289,"height":11}},{"id":"8793b754-5c22-4307-aec2-78eda1ff5e9e","block_type":"box","text":"BB,","page_number":182,"box":{"x":70,"y":682,"width":22,"height":11}},{"id":"6e7afc7e-c7bb-4fe0-9247-28c3b605805f","block_type":"box","text":"B,","page_number":182,"box":{"x":70,"y":697,"width":12,"height":11}},{"id":"ca9261b8-b8b6-4fe0-9b4c-edcf169eae00","block_type":"box","text":"CCC,","page_number":182,"box":{"x":69,"y":712,"width":33,"height":11}},{"id":"6e8f1b38-3290-4495-bbde-61521c1cf7eb","block_type":"box","text":"CC,","page_number":182,"box":{"x":69,"y":728,"width":23,"height":10}},{"id":"72e1deb9-60ab-4bed-85af-f9b15f4e3566","block_type":"box","text":"and C","page_number":182,"box":{"x":69,"y":743,"width":40,"height":9}},{"id":"34655a44-6be2-4eb7-b370-5bc2fcc8aa14","block_type":"box","text":"Obligations rated ‘BB’, ‘B’, ‘CCC’, ‘CC’, and ‘C’ are regarded as having significant speculative","page_number":182,"box":{"x":196,"y":682,"width":667,"height":11}},{"id":"ece7bf28-3bc8-468b-8e82-b87fcce66028","block_type":"box","text":"characteristics. ‘BB’ indicates the least degree of speculation and ‘C’ the highest. While such","page_number":182,"box":{"x":196,"y":697,"width":667,"height":12}},{"id":"27722640-76e9-4fe7-a16f-60ad43d96c37","block_type":"box","text":"obligations will likely have some quality and protective characteristics, these may be outweighed by","page_number":182,"box":{"x":196,"y":713,"width":707,"height":11}},{"id":"4d1b4a57-9ac3-4c8e-ad85-c841c984e845","block_type":"box","text":"large uncertainties or major exposure to adverse conditions.","page_number":182,"box":{"x":197,"y":728,"width":428,"height":11}},{"id":"50e9142d-949c-4cef-a35b-5efdc480ecb3","block_type":"box","text":"BB An obligation rated ‘BB’ is less vulnerable to nonpayment than other speculative issues. However, it","page_number":182,"box":{"x":70,"y":763,"width":838,"height":11}},{"id":"4f1cd441-9a97-4baa-9d9d-fe680d00b18a","block_type":"box","text":"faces major ongoing uncertainties or exposure to adverse business, financial, or economic","page_number":182,"box":{"x":196,"y":778,"width":646,"height":11}},{"id":"2478c0cf-170c-4723-b706-f3c0c30d2218","block_type":"box","text":"conditions that could lead to the obligor’s inadequate capacity to meet its financial commitments","page_number":182,"box":{"x":196,"y":793,"width":692,"height":11}},{"id":"395828c2-99ce-48e6-a2a6-3c5b184c9786","block_type":"box","text":"on the obligation.","page_number":182,"box":{"x":196,"y":808,"width":122,"height":11}},{"id":"81ac724c-533d-413f-9770-2e7db23478a5","block_type":"box","text":"B An obligation rated ‘B’ is more vulnerable to nonpayment than obligations rated ‘BB’, but the obligor","page_number":182,"box":{"x":70,"y":828,"width":840,"height":12}},{"id":"7c41f3e2-0377-4de7-8f8d-f29aacf3d24d","block_type":"box","text":"currently has the capacity to meet its financial commitments on the obligation. Adverse business,","page_number":182,"box":{"x":196,"y":843,"width":695,"height":12}},{"id":"6c53815a-3561-4499-8286-b3a8d3fd62b6","block_type":"box","text":"financial, or economic conditions will likely impair the obligor’s capacity or willingness to meet its","page_number":182,"box":{"x":196,"y":858,"width":691,"height":12}},{"id":"150e5ee0-7be0-4ce9-9267-b67e57c4c9ff","block_type":"box","text":"financial commitments on the obligation.","page_number":182,"box":{"x":196,"y":874,"width":289,"height":11}},{"id":"6ba19b91-8170-41b3-97e4-b7a78864d1f4","block_type":"box","text":"A-4","page_number":182,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"d262abc3-9799-453e-877d-a730a9df45b2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":182,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"43079931-8b60-478d-9814-52f49d7ace22","block_type":"box","text":"CCC An obligation rated ‘CCC’ is currently vulnerable to nonpayment and is dependent upon favorable","page_number":183,"box":{"x":69,"y":48,"width":816,"height":12}},{"id":"44fffdca-ce84-41fc-bb6e-87dec8689f8f","block_type":"box","text":"business, financial, and economic conditions for the obligor to meet its financial commitments on","page_number":183,"box":{"x":196,"y":63,"width":695,"height":12}},{"id":"ae4e4bc0-109e-4c1b-8a99-f78dd99cead5","block_type":"box","text":"the obligation. In the event of adverse business, financial, or economic conditions, the obligor is","page_number":183,"box":{"x":195,"y":79,"width":687,"height":11}},{"id":"8731264c-f198-41e4-a17e-7ebc1da10fc9","block_type":"box","text":"not likely to have the capacity to meet its financial commitments on the obligation.","page_number":183,"box":{"x":197,"y":94,"width":586,"height":11}},{"id":"cf0a0e37-17ca-4077-85fb-582c3f77c8ae","block_type":"box","text":"CC An obligation rated ‘CC’ is currently highly vulnerable to nonpayment. The ‘CC’ rating is used when","page_number":183,"box":{"x":69,"y":114,"width":826,"height":11}},{"id":"122451c9-c2c1-4416-b184-c646918d6510","block_type":"box","text":"a default has not yet occurred but S&P expects default to be a virtual certainty, regardless of the","page_number":183,"box":{"x":196,"y":129,"width":692,"height":11}},{"id":"42e7398d-b91a-4753-9939-0c32ca96d405","block_type":"box","text":"anticipated time to default.","page_number":183,"box":{"x":196,"y":144,"width":191,"height":11}},{"id":"808d0a0f-1db7-46e2-8568-594f54de3fdd","block_type":"box","text":"C An obligation rated ‘C’ is currently highly vulnerable to nonpayment, and the obligation is expected","page_number":183,"box":{"x":69,"y":164,"width":826,"height":12}},{"id":"54011a73-de47-4f73-90ea-39b11ed3d335","block_type":"box","text":"to have lower relative seniority or lower ultimate recovery compared with obligations that are rated","page_number":183,"box":{"x":195,"y":180,"width":700,"height":11}},{"id":"8e64b8ea-2e8b-4fe8-90cb-7ecf7a6aa6cb","block_type":"box","text":"higher.","page_number":183,"box":{"x":197,"y":195,"width":45,"height":11}},{"id":"bed151c1-61fc-49e8-9fbb-db6fa18d5203","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":183,"box":{"x":70,"y":215,"width":789,"height":11}},{"id":"72a6a710-7817-44b5-9182-12bdf2983292","block_type":"box","text":"instruments, the ‘D’ rating category is used when payments on an obligation are not made on the","page_number":183,"box":{"x":197,"y":230,"width":695,"height":11}},{"id":"f63c4c18-e90e-416e-b66e-8a6b53df53b8","block_type":"box","text":"date due, unless S&P believes that such payments will be made within five business days in the","page_number":183,"box":{"x":196,"y":245,"width":686,"height":11}},{"id":"36550857-deb3-4078-8fd7-6172c7ad6f77","block_type":"box","text":"absence of a stated grace period or within the earlier of the stated grace period or 30 calendar","page_number":183,"box":{"x":196,"y":260,"width":676,"height":11}},{"id":"b5679549-dc6f-4f70-b7e4-f3f97f8596d0","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":183,"box":{"x":196,"y":275,"width":708,"height":11}},{"id":"f4114327-b3fc-40c7-83ef-c55626af0a91","block_type":"box","text":"action and where default on an obligation is a virtual certainty, for example due to automatic stay","page_number":183,"box":{"x":196,"y":290,"width":694,"height":12}},{"id":"63def6eb-2a6d-48a5-b805-699c503bd915","block_type":"box","text":"provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed debt","page_number":183,"box":{"x":197,"y":305,"width":626,"height":12}},{"id":"b5abcacf-22d3-4dcc-a2e5-be0944815a70","block_type":"box","text":"restructuring.","page_number":183,"box":{"x":197,"y":321,"width":92,"height":11}},{"id":"1557575d-b455-400a-94ca-358db4e74c93","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":183,"box":{"x":103,"y":341,"width":756,"height":11}},{"id":"d83f01b8-8b5d-45c0-8fc6-3222590fb79c","block_type":"box","text":"standing within the rating categories.","page_number":183,"box":{"x":69,"y":356,"width":262,"height":11}},{"id":"ca698b9e-fe13-40e1-9611-da5525b4f89f","block_type":"box","text":"Short-Term Issue Credit Ratings","page_number":183,"box":{"x":68,"y":386,"width":233,"height":11}},{"id":"0358249d-bb5e-4c04-9a94-da052cbd2b7d","block_type":"box","text":"A-1 A short-term obligation rated ‘A-1’ is rated in the highest category by S&P. The obligor’s capacity to","page_number":183,"box":{"x":68,"y":414,"width":833,"height":11}},{"id":"334ccc25-0cde-4781-aee1-b3037039e678","block_type":"box","text":"meet its financial commitments on the obligation is strong. Within this category, certain obligations","page_number":183,"box":{"x":197,"y":429,"width":707,"height":11}},{"id":"da930d9d-84cf-4353-be46-db8848fcfb2d","block_type":"box","text":"are designated with a plus sign (+). This indicates that the obligor’s capacity to meet its financial","page_number":183,"box":{"x":196,"y":444,"width":691,"height":11}},{"id":"99f85457-df9f-4120-9354-ab3fc2ccc9ec","block_type":"box","text":"commitments on these obligations is extremely strong.","page_number":183,"box":{"x":196,"y":459,"width":390,"height":11}},{"id":"fb7c0d1e-fc34-4db7-a636-a6e68774270f","block_type":"box","text":"A-2 A short-term obligation rated ‘A-2’ is somewhat more susceptible to the adverse effects of changes","page_number":183,"box":{"x":68,"y":479,"width":837,"height":12}},{"id":"e46cd76e-705a-4996-91ca-91b76fcc5045","block_type":"box","text":"in circumstances and economic conditions than obligations in higher rating categories. However,","page_number":183,"box":{"x":197,"y":495,"width":684,"height":11}},{"id":"b1c83d52-cbb9-4cef-816c-972aa7d8a116","block_type":"box","text":"the obligor’s capacity to meet its financial commitments on the obligation is satisfactory.","page_number":183,"box":{"x":195,"y":509,"width":634,"height":12}},{"id":"b47fb7ea-2d29-4b23-b67e-ca16930234aa","block_type":"box","text":"A-3 A short-term obligation rated ‘A-3’ exhibits adequate protection parameters. However, adverse","page_number":183,"box":{"x":68,"y":530,"width":798,"height":11}},{"id":"4424a089-d918-4425-b062-6160ce0d0ce2","block_type":"box","text":"economic conditions or changing circumstances are more likely to weaken an obligor’s capacity to","page_number":183,"box":{"x":196,"y":545,"width":699,"height":11}},{"id":"07493c56-a8ac-421f-b1ad-2828b49ab08e","block_type":"box","text":"meet its financial commitments on the obligation.","page_number":183,"box":{"x":197,"y":560,"width":351,"height":11}},{"id":"8a6b3f3a-001c-46b4-beb2-d1a78941d0a7","block_type":"box","text":"B A short-term obligation rated ‘B’ is regarded as vulnerable and has significant speculative","page_number":183,"box":{"x":70,"y":580,"width":765,"height":11}},{"id":"152d95a9-cb05-4123-963e-8330f412867c","block_type":"box","text":"characteristics. The obligor currently has the capacity to meet its financial commitments; however,","page_number":183,"box":{"x":196,"y":595,"width":700,"height":11}},{"id":"3983e219-1441-4792-bdfb-be5f802a5e9c","block_type":"box","text":"it faces major ongoing uncertainties that could lead to the obligor’s inadequate capacity to meet its","page_number":183,"box":{"x":197,"y":610,"width":708,"height":12}},{"id":"9b303f85-8229-4bd8-8b49-d1c6b7675e1f","block_type":"box","text":"financial commitments.","page_number":183,"box":{"x":196,"y":625,"width":165,"height":9}},{"id":"6589bf7f-8d7e-476d-8eb7-6d544bdcd307","block_type":"box","text":"C A short-term obligation rated ‘C’ is currently vulnerable to nonpayment and is dependent upon","page_number":183,"box":{"x":69,"y":646,"width":796,"height":11}},{"id":"0addede6-6cd6-4d03-a08c-020da327d31d","block_type":"box","text":"favorable business, financial, and economic conditions for the obligor to meet its financial","page_number":183,"box":{"x":196,"y":661,"width":641,"height":11}},{"id":"08ef7ba7-d4c8-47af-9544-73be4eae69ee","block_type":"box","text":"commitments on the obligation.","page_number":183,"box":{"x":196,"y":676,"width":224,"height":11}},{"id":"a46b50d8-37d6-4b3e-be90-8449f7bf1923","block_type":"box","text":"D A short-term obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid","page_number":183,"box":{"x":70,"y":696,"width":808,"height":11}},{"id":"70a453a7-a68d-4776-8a21-a98efef357aa","block_type":"box","text":"capital instruments, the ‘D’ rating category is used when payments on an obligation are not made","page_number":183,"box":{"x":196,"y":711,"width":698,"height":11}},{"id":"3c3be60f-010f-4104-8a15-3236dcf71066","block_type":"box","text":"on the date due, unless S&P believes that such payments will be made within any stated grace","page_number":183,"box":{"x":196,"y":726,"width":678,"height":12}},{"id":"26dbd261-8f61-45a9-993c-1054ac5ad049","block_type":"box","text":"period. However, any stated grace period longer than five business days will be treated as five","page_number":183,"box":{"x":197,"y":741,"width":669,"height":12}},{"id":"7feb8b17-9d58-4abf-8eae-729cb46b2ec7","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":183,"box":{"x":196,"y":756,"width":707,"height":12}},{"id":"36884a80-2d3d-48a2-be73-c3d962b0311d","block_type":"box","text":"of a similar action and where default on an obligation is a virtual certainty, for example due to","page_number":183,"box":{"x":196,"y":772,"width":669,"height":11}},{"id":"d9a72515-e102-4f62-b1bd-ca0229519ed1","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":183,"box":{"x":196,"y":787,"width":700,"height":11}},{"id":"1863aad1-7757-4376-bab4-3df4be2d8462","block_type":"box","text":"debt restructuring.","page_number":183,"box":{"x":196,"y":802,"width":130,"height":11}},{"id":"8b6a8c28-8832-45c6-8675-f643aea37cb3","block_type":"box","text":"Description of S&P’s Municipal Short-Term Note Ratings","page_number":183,"box":{"x":69,"y":830,"width":411,"height":11}},{"id":"90873bff-42d0-4944-8a06-ad3c84d51418","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":183,"box":{"x":101,"y":852,"width":772,"height":11}},{"id":"af0a2e2d-6719-4882-bd54-91cc050ae2fa","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":183,"box":{"x":69,"y":868,"width":823,"height":11}},{"id":"ada14bc7-09d0-424d-b144-b0fcfc213429","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":183,"box":{"x":69,"y":882,"width":832,"height":12}},{"id":"b87948bf-44a1-4458-989c-b34f262a5007","block_type":"box","text":"assign, S&P’s analysis will review the following considerations:","page_number":183,"box":{"x":69,"y":898,"width":447,"height":11}},{"id":"106b1159-fe40-4dd7-9c38-2aaf14a4515e","block_type":"box","text":"A-5","page_number":183,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"f31ec81c-8af8-45be-8f84-caed369930d8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":183,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bfefc09d-63ff-4ad0-a05f-d9d1ba9276f2","block_type":"box","text":"•","page_number":184,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"3950361d-10fb-42a8-9244-d1a3572c4704","block_type":"box","text":"Amortization schedule—the larger the final maturity relative to other maturities, the more likely it will be treated","page_number":184,"box":{"x":101,"y":45,"width":796,"height":11}},{"id":"a82f6095-0022-4852-9fb4-da7f5cc53ea5","block_type":"box","text":"as a note; and","page_number":184,"box":{"x":102,"y":60,"width":101,"height":10}},{"id":"ebe7929d-e5f9-44ae-8703-82381c75747e","block_type":"box","text":"•","page_number":184,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"b021c30d-5ec4-4bb2-8538-c6a7a36972e4","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":184,"box":{"x":102,"y":80,"width":794,"height":11}},{"id":"b080ba8d-86e8-4fdb-834f-2154582d665e","block_type":"box","text":"treated as a note.","page_number":184,"box":{"x":101,"y":95,"width":127,"height":9}},{"id":"8bdb831a-d986-4c5b-a231-6a660c051574","block_type":"box","text":"S&P’s municipal short-term note rating symbols are as follows:","page_number":184,"box":{"x":102,"y":118,"width":448,"height":11}},{"id":"bba94bee-45ca-40d2-afba-a5d75914ed11","block_type":"box","text":"SP-1 Strong capacity to pay principal and interest. An issue determined to possess a very strong","page_number":184,"box":{"x":69,"y":146,"width":779,"height":11}},{"id":"4441c0c5-d58f-4e3a-a7b1-bd43f7a38a71","block_type":"box","text":"capacity to pay debt service is given a plus (+) designation.","page_number":184,"box":{"x":196,"y":161,"width":422,"height":11}},{"id":"86285bf8-3796-4e49-b19c-8455b1e46069","block_type":"box","text":"SP-2 Satisfactory capacity to pay principal and interest, with some vulnerability to adverse financial and","page_number":184,"box":{"x":69,"y":181,"width":825,"height":11}},{"id":"82b53008-f73c-4a66-bd93-a5e92691be80","block_type":"box","text":"economic changes over the term of the notes.","page_number":184,"box":{"x":196,"y":196,"width":327,"height":11}},{"id":"ca1563dd-3e75-4c0e-a039-ba069105afad","block_type":"box","text":"SP-3 Speculative capacity to pay principal and interest.","page_number":184,"box":{"x":69,"y":216,"width":479,"height":11}},{"id":"4b4fef3c-81b1-4d4d-854f-a549f9d54b6c","block_type":"box","text":"D ‘D’ is assigned upon failure to pay the note when due, completion of a distressed debt","page_number":184,"box":{"x":70,"y":236,"width":745,"height":11}},{"id":"77ae38e4-6194-4686-a02c-01c3be3161a8","block_type":"box","text":"restructuring, or the filing of a bankruptcy petition or the taking of similar action and where default","page_number":184,"box":{"x":197,"y":251,"width":699,"height":12}},{"id":"17a8f6a3-1325-4813-9fa0-0ce7a201919a","block_type":"box","text":"on an obligation is a virtual certainty, for example due to automatic stay provisions.","page_number":184,"box":{"x":196,"y":266,"width":594,"height":12}},{"id":"d26f8744-ad01-4c69-a483-fe531f65cb25","block_type":"box","text":"Description of Fitch Ratings’ (“Fitch”) Credit Ratings Scales","page_number":184,"box":{"x":69,"y":294,"width":442,"height":11}},{"id":"313171d9-c903-43df-806d-54d9091e6728","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":184,"box":{"x":102,"y":317,"width":793,"height":11}},{"id":"ca88830e-0b32-4607-ab0d-fc7f5ab254df","block_type":"box","text":"meet financial commitments. Issuer default ratings (IDRs) are assigned to corporations, sovereign entities, financial","page_number":184,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"9726b358-c911-4b9c-a89f-c45ee45db57b","block_type":"box","text":"institutions such as banks, leasing companies and insurers, and public finance entities (local and regional","page_number":184,"box":{"x":70,"y":347,"width":756,"height":11}},{"id":"1e74e68a-8a9d-4d0a-86a5-c3ea888492aa","block_type":"box","text":"governments). Issue level ratings are also assigned, often include an expectation of recovery and may be notched","page_number":184,"box":{"x":68,"y":362,"width":813,"height":11}},{"id":"d6a54383-3ae7-4e94-bcc1-2cef31b817b3","block_type":"box","text":"above or below the issuer level rating. Issue ratings are assigned to secured and unsecured debt securities, loans,","page_number":184,"box":{"x":69,"y":377,"width":819,"height":12}},{"id":"321af303-75b9-4167-a798-319f392025d2","block_type":"box","text":"preferred stock and other instruments, Structured finance ratings are issue ratings to securities backed by","page_number":184,"box":{"x":70,"y":392,"width":760,"height":12}},{"id":"53c6f921-390f-4fc9-acb5-ce22690c92f8","block_type":"box","text":"receivables or other financial assets that consider the obligations’ relative vulnerability to default.","page_number":184,"box":{"x":69,"y":407,"width":694,"height":12}},{"id":"60e0e556-366d-4b12-9c39-f7f11677fe51","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":184,"box":{"x":102,"y":430,"width":747,"height":11}},{"id":"782e97b1-ced6-4b9e-aa23-35f44726e6de","block_type":"box","text":"commitments, such as interest, preferred dividends, repayment of principal, insurance claims or counterparty","page_number":184,"box":{"x":69,"y":445,"width":782,"height":11}},{"id":"42e5aa1e-6a22-420a-9025-87a22ddfb0ce","block_type":"box","text":"obligations. Credit ratings relating to securities and obligations of an issuer can include a recovery expectation.","page_number":184,"box":{"x":69,"y":460,"width":793,"height":12}},{"id":"068b9fe1-03d2-4639-8df6-45c15674ac5c","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":184,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"e022e7e8-3d65-4de1-99ad-8c6473b2c388","block_type":"box","text":"accordance with the terms on which they invested. The agency’s credit ratings cover the global spectrum of","page_number":184,"box":{"x":69,"y":491,"width":766,"height":11}},{"id":"7726fd9c-1285-4857-89ab-0beddc3f4cf3","block_type":"box","text":"corporate, sovereign financial, bank, insurance, and public finance entities (including supranational and sub-national","page_number":184,"box":{"x":69,"y":506,"width":827,"height":11}},{"id":"52398004-7440-4a47-868d-080523c73db4","block_type":"box","text":"entities) and the securities or other obligations they issue, as well as structured finance securities backed by","page_number":184,"box":{"x":69,"y":521,"width":779,"height":11}},{"id":"5282bc6a-1ec5-4199-9b83-db8bda5e85b7","block_type":"box","text":"receivables or other financial assets.","page_number":184,"box":{"x":69,"y":536,"width":262,"height":9}},{"id":"74afa7da-8416-433f-90df-da52f8eece33","block_type":"box","text":"The terms “investment grade” and “speculative grade” have established themselves over time as shorthand to","page_number":184,"box":{"x":101,"y":559,"width":794,"height":11}},{"id":"9234f7bd-2529-41cc-a765-d175cc6698b8","block_type":"box","text":"describe the categories ‘AAA’ to ‘BBB’ (investment grade) and ‘BB’ to ‘D’ (speculative grade). The terms investment","page_number":184,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"fa8df84c-9d61-46d8-be1c-74778329b644","block_type":"box","text":"grade and speculative grade are market conventions and do not imply any recommendation or endorsement of a","page_number":184,"box":{"x":68,"y":589,"width":800,"height":11}},{"id":"5fa97eb5-819e-4abc-b81b-d5a075785d94","block_type":"box","text":"specific security for investment purposes. Investment grade categories indicate relatively low to moderate credit risk,","page_number":184,"box":{"x":69,"y":604,"width":832,"height":11}},{"id":"2c532186-e83f-40fb-8802-ed66c3d206bb","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":184,"box":{"x":68,"y":619,"width":793,"height":11}},{"id":"da0a1aff-9a2c-4de5-8dda-cce9050fcc9b","block_type":"box","text":"occurred.","page_number":184,"box":{"x":69,"y":634,"width":65,"height":9}},{"id":"a106f314-68b3-4fbe-bf4b-08c01dead520","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":184,"box":{"x":102,"y":657,"width":779,"height":11}},{"id":"b654e968-a2a6-4b5a-bb71-f4e260f3f129","block_type":"box","text":"Such issues are also denoted as ‘NR’.","page_number":184,"box":{"x":69,"y":672,"width":274,"height":9}},{"id":"20628b7a-f430-4ecd-84ad-75b16b383f8f","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":184,"box":{"x":102,"y":695,"width":797,"height":11}},{"id":"0ef85c73-3d0d-49f8-8f3a-4f597348dc61","block_type":"box","text":"not predictive of a specific frequency of default or loss.","page_number":184,"box":{"x":69,"y":710,"width":391,"height":11}},{"id":"b96a0ae7-ba6a-4b51-b45b-eb1c17f97b32","block_type":"box","text":"Fitch’s credit ratings do not directly address any risk other than credit risk. In particular, ratings do not deal with","page_number":184,"box":{"x":102,"y":733,"width":798,"height":11}},{"id":"82fa4a37-a051-4bb0-87b6-7863bec1d25d","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":184,"box":{"x":68,"y":748,"width":780,"height":11}},{"id":"e776b8c9-6f5a-4af2-a7bc-5c9b283d9cc5","block_type":"box","text":"considerations. However, in terms of payment obligation on the rated liability, market risk may be considered to the","page_number":184,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"b9494777-89a6-46d7-bf5e-479fd87d5181","block_type":"box","text":"extent that it influences the ability of an issuer to pay upon a commitment.","page_number":184,"box":{"x":69,"y":778,"width":531,"height":11}},{"id":"28bf8df3-26d6-43f7-852d-503f6f7acb14","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":184,"box":{"x":102,"y":801,"width":801,"height":11}},{"id":"7ca5790c-28f2-46a2-8e69-f6fad3bf50d1","block_type":"box","text":"the obligation to pay upon a commitment (for example, in the case of index-linked bonds).","page_number":184,"box":{"x":68,"y":816,"width":639,"height":11}},{"id":"406e8a93-9bbd-4959-b306-5bbb43e97a1d","block_type":"box","text":"In the default components of ratings assigned to individual obligations or instruments, the agency typically rates","page_number":184,"box":{"x":102,"y":838,"width":799,"height":12}},{"id":"3a7da9f8-736d-49fb-903f-cd80a3820691","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":184,"box":{"x":68,"y":853,"width":794,"height":12}},{"id":"768c3dff-57d4-496d-b36f-c65ff1452137","block_type":"box","text":"limited cases, Fitch may include additional considerations (","page_number":184,"box":{"x":70,"y":869,"width":420,"height":11}},{"id":"946b67e5-292d-4437-9e25-54479277f796","block_type":"box","text":"i.e.","page_number":184,"box":{"x":492,"y":869,"width":20,"height":9}},{"id":"8f5d7300-9748-4350-a2b4-f1f2f2e1dde5","block_type":"box","text":"rate to a higher or lower standard than that implied in","page_number":184,"box":{"x":519,"y":869,"width":380,"height":11}},{"id":"8e9d3adc-9f00-45f6-bf16-c3970b3a2574","block_type":"box","text":"the obligation’s documentation).","page_number":184,"box":{"x":68,"y":884,"width":230,"height":11}},{"id":"17b27348-0488-4354-8ea5-99c886a63dea","block_type":"box","text":"A-6","page_number":184,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"6084ab4a-f309-4f0e-8cc7-81b80f1cbffa","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":184,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"23ef5753-3e77-4192-834b-b84160ccf619","block_type":"box","text":"The primary credit rating scales can be used to provide a rating of privately issued obligations or certain note","page_number":185,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"8ecba9c1-a57e-4a13-8857-ec51bbf15044","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":185,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"5f4bd891-578b-4f44-be76-c2f2b2780f21","block_type":"box","text":"agents in the form of a rating letter.","page_number":185,"box":{"x":69,"y":75,"width":253,"height":11}},{"id":"04ccd256-7464-4170-8b36-3fd5b9930966","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":185,"box":{"x":101,"y":98,"width":797,"height":11}},{"id":"2609810b-be06-4dd9-9671-fc8b5d3582c1","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":185,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"04e115f4-d2c4-4b03-9a6f-14b375021906","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":185,"box":{"x":69,"y":128,"width":796,"height":11}},{"id":"32a8601a-226b-4087-b7a0-d1c18f7df7da","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":185,"box":{"x":69,"y":143,"width":811,"height":11}},{"id":"930198c6-f679-4c9d-a656-e4fa63934d4c","block_type":"box","text":"case letter symbol combined with either an ‘*’ (","page_number":185,"box":{"x":69,"y":158,"width":340,"height":11}},{"id":"c06ab85a-f1f4-4309-98d3-5ef6509f2070","block_type":"box","text":"e.g.","page_number":185,"box":{"x":410,"y":160,"width":25,"height":9}},{"id":"aaef7cc2-8778-4067-83ad-dec82a0a3c7a","block_type":"box","text":"‘bbb+*’) or (cat) suffix to denote the opinion status. Credit","page_number":185,"box":{"x":443,"y":158,"width":418,"height":11}},{"id":"fa3622b1-3d24-49a3-b630-71be4d35584b","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":185,"box":{"x":69,"y":173,"width":780,"height":11}},{"id":"8240225f-18f1-44c6-a36b-6fd541a30538","block_type":"box","text":"sufficiently available. Rating assessment services are a notch-specific view using the primary rating scale of how an","page_number":185,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"f27f7860-f783-46d5-8680-e68364cc4b7d","block_type":"box","text":"existing or potential rating may be changed by a given set of hypothetical circumstances. While credit opinions and","page_number":185,"box":{"x":69,"y":203,"width":816,"height":12}},{"id":"2adb7129-de13-4b75-9d41-0db07c4a624b","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":185,"box":{"x":69,"y":219,"width":808,"height":11}},{"id":"e2b4f577-3df5-437e-abd9-2baa6d9bdb61","block_type":"box","text":"assigned, which can signify the trajectory of the credit profile.","page_number":185,"box":{"x":69,"y":234,"width":437,"height":11}},{"id":"a335e47c-fb9a-49c1-8be9-9173c6d42548","block_type":"box","text":"Description of Fitch’s Long-Term Corporate Finance Obligations Rating Scales","page_number":185,"box":{"x":69,"y":264,"width":567,"height":11}},{"id":"b4b7b827-141a-4fd9-b264-8c3530c1d851","block_type":"box","text":"Ratings of individual securities or financial obligations of a corporate issuer address relative vulnerability to","page_number":185,"box":{"x":102,"y":286,"width":763,"height":12}},{"id":"e6afebca-7a0c-4601-b2d0-8476db38d66e","block_type":"box","text":"default on an ordinal scale. In addition, for financial obligations in corporate finance, a measure of recovery given","page_number":185,"box":{"x":69,"y":302,"width":807,"height":11}},{"id":"6bf8ee2b-445b-4cc6-b031-c8cbdace76af","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":185,"box":{"x":69,"y":317,"width":840,"height":11}},{"id":"14946511-277c-48eb-864c-aeab75a01535","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":185,"box":{"x":70,"y":332,"width":833,"height":11}},{"id":"745d1fda-4e5c-4bb3-8eff-8de6792ced65","block_type":"box","text":"On the contrary, Ratings of debtor-in-possession (“DIP”) obligations incorporate the expectation of full repayment.","page_number":185,"box":{"x":69,"y":347,"width":807,"height":11}},{"id":"ab01a462-fb70-45ef-81b5-543aab464ed5","block_type":"box","text":"The relationship between the issuer scale and obligation scale assumes a generic historical average recovery.","page_number":185,"box":{"x":101,"y":370,"width":784,"height":11}},{"id":"e474b2ea-6636-47c2-9aaa-bcac4789e105","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":185,"box":{"x":70,"y":385,"width":787,"height":11}},{"id":"1571167d-7ce8-4707-becd-fadcd5d06f73","block_type":"box","text":"default rating (“IDR”), based on their relative ranking, relative vulnerability to default or based on explicit Recovery","page_number":185,"box":{"x":69,"y":400,"width":813,"height":11}},{"id":"3c5b7c10-a753-442c-99d3-b44e3ea8d3ac","block_type":"box","text":"Ratings.","page_number":185,"box":{"x":70,"y":415,"width":55,"height":11}},{"id":"5a387e45-3be8-495f-9e0e-b734bbdbf878","block_type":"box","text":"As a result, individual obligations of entities, such as corporations, are assigned ratings higher, lower, or the","page_number":185,"box":{"x":101,"y":438,"width":772,"height":11}},{"id":"50fe0863-4f62-4957-bcda-854f551c2c5d","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":185,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"33743c1f-38d5-42da-be0c-3dc80b440b06","block_type":"box","text":"end of the ratings scale, Fitch publishes explicit Recovery Ratings in many cases to complement issuer and","page_number":185,"box":{"x":69,"y":468,"width":766,"height":11}},{"id":"5bc5fbf5-2a17-4726-b853-b459e8c07ac7","block_type":"box","text":"obligation ratings.","page_number":185,"box":{"x":69,"y":483,"width":125,"height":11}},{"id":"3e6afa9e-eac5-4945-a6e6-2818796b0ca0","block_type":"box","text":"Fitch long-term obligations rating scales are as follows:","page_number":185,"box":{"x":102,"y":506,"width":390,"height":11}},{"id":"6d0bfbc1-d3c6-4e24-bfc1-8dea447ab882","block_type":"box","text":"AAA Highest Credit Quality. ‘AAA’ ratings denote the lowest expectation of default risk. They are","page_number":185,"box":{"x":68,"y":533,"width":774,"height":12}},{"id":"e8f5f8ce-e4b3-4bec-bb53-7364d14cd46b","block_type":"box","text":"assigned only in cases of exceptionally strong capacity for payment of financial commitments. This","page_number":185,"box":{"x":196,"y":549,"width":703,"height":11}},{"id":"44b865f8-2118-4312-9c7d-4eda2260d0d9","block_type":"box","text":"capacity is highly unlikely to be adversely affected by foreseeable events.","page_number":185,"box":{"x":196,"y":564,"width":521,"height":11}},{"id":"76cfa85f-a1e1-488e-bafb-551bd9efe6c3","block_type":"box","text":"AA Very High Credit Quality. ‘AA’ ratings denote expectations of very low default risk. They indicate very","page_number":185,"box":{"x":68,"y":584,"width":838,"height":11}},{"id":"b2867837-ec9a-4973-bbac-c6864ca6beab","block_type":"box","text":"strong capacity for payment of financial commitments. This capacity is not significantly vulnerable","page_number":185,"box":{"x":196,"y":599,"width":694,"height":11}},{"id":"8c5714bf-f337-4592-9584-6b4bfabd505f","block_type":"box","text":"to foreseeable events.","page_number":185,"box":{"x":195,"y":614,"width":159,"height":9}},{"id":"837f1e14-1bbc-4d83-82be-b863d9dd0c4f","block_type":"box","text":"A High Credit Quality. ‘A’ ratings denote expectations of low default risk. The capacity for payment of","page_number":185,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"a2588420-c8bb-430e-8a48-d22b19487a1f","block_type":"box","text":"financial commitments is considered strong. This capacity may, nevertheless, be more vulnerable","page_number":185,"box":{"x":196,"y":649,"width":695,"height":12}},{"id":"4dc21c01-2421-4b46-8297-39ceb7f6b004","block_type":"box","text":"to adverse business or economic conditions than is the case for higher ratings.","page_number":185,"box":{"x":195,"y":664,"width":565,"height":12}},{"id":"8b8887e2-1c07-482a-9f6e-52941168ee5c","block_type":"box","text":"BBB Good Credit Quality. ‘BBB’ ratings indicate that expectations of default risk are currently low. The","page_number":185,"box":{"x":70,"y":685,"width":814,"height":11}},{"id":"1cf666ee-6feb-4bb3-9e00-5bfc221f0484","block_type":"box","text":"capacity for payment of financial commitments is considered adequate, but adverse business or","page_number":185,"box":{"x":196,"y":700,"width":686,"height":11}},{"id":"49a4277c-ba86-4283-ad2e-21dbcf18a75e","block_type":"box","text":"economic conditions are more likely to impair this capacity.","page_number":185,"box":{"x":196,"y":715,"width":420,"height":11}},{"id":"c0dac41f-512e-411e-9f07-c40713530f39","block_type":"box","text":"BB Speculative. ‘BB’ ratings indicate an elevated vulnerability to default risk, particularly in the event of","page_number":185,"box":{"x":70,"y":735,"width":839,"height":11}},{"id":"dce67a0a-2deb-4024-95e8-4cc82198a894","block_type":"box","text":"adverse changes in business or economic conditions over time; however, business or financial","page_number":185,"box":{"x":196,"y":750,"width":672,"height":11}},{"id":"bc269a7e-d701-4795-bb6a-55d6f9a8b9cf","block_type":"box","text":"flexibility exists that supports the servicing of financial commitments.","page_number":185,"box":{"x":196,"y":765,"width":495,"height":12}},{"id":"c776a67f-3b61-49b7-b07d-97eed37f6bc1","block_type":"box","text":"B Highly Speculative. ‘B’ ratings indicate that material default risk is present, but a limited margin of","page_number":185,"box":{"x":70,"y":785,"width":828,"height":12}},{"id":"2d3643b0-e89d-41d2-9733-77935e5eece3","block_type":"box","text":"safety remains. Financial commitments are currently being met; however, capacity for continued","page_number":185,"box":{"x":196,"y":801,"width":682,"height":11}},{"id":"d0c379df-0f7b-44a0-85de-099608a148d1","block_type":"box","text":"payment is vulnerable to deterioration in the business and economic environment.","page_number":185,"box":{"x":197,"y":816,"width":584,"height":11}},{"id":"223a2b2c-39dc-4861-a118-7dc84ab4410d","block_type":"box","text":"CCC Substantial Credit Risk. ‘CCC’ ratings indicate very low margin for safety. Default is a real","page_number":185,"box":{"x":69,"y":836,"width":764,"height":11}},{"id":"50c18aa3-8bd5-4d07-b307-4b1f613880a6","block_type":"box","text":"possibility.","page_number":185,"box":{"x":197,"y":851,"width":72,"height":11}},{"id":"697b91ea-59d6-4891-b8e9-4400df59fdc6","block_type":"box","text":"CC Very High Levels of Credit Risk. ‘CC’ ratings indicate default of some kind appears probable.","page_number":185,"box":{"x":69,"y":871,"width":784,"height":11}},{"id":"9b23898c-404c-425a-a285-e6bb170ee3cf","block_type":"box","text":"C Exceptionally High Levels of Credit Risk. ‘C’ ratings indicate default or default-like process has","page_number":185,"box":{"x":69,"y":891,"width":798,"height":12}},{"id":"824855d9-5130-4169-a41c-6011bd16de05","block_type":"box","text":"begun, or for a closed funding vehicle, payment capacity is irrevocably impaired.","page_number":185,"box":{"x":196,"y":906,"width":569,"height":12}},{"id":"6eb8a988-df71-47c1-aab9-8631a7a8b5db","block_type":"box","text":"A-7","page_number":185,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"7c83b834-9b42-4f10-ba73-a01000765fde","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":185,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e2b92ad0-3b17-467f-970e-6ff306cf3a10","block_type":"box","text":"RD Restricted Default. ‘RD’ ratings indicate an issuer that in Fitch’s opinion has experienced an","page_number":186,"box":{"x":70,"y":48,"width":782,"height":12}},{"id":"cc7247ab-9910-48bc-a1da-1246b230ed8c","block_type":"box","text":"uncured payment default or distressed debt exchange on a bond, loan or other material financial","page_number":186,"box":{"x":197,"y":63,"width":686,"height":12}},{"id":"97dbd5ec-70fe-42dd-b38d-ab9e3824ca7b","block_type":"box","text":"obligation, but has not entered into bankruptcy filings, administration, receivership, liquidation, or","page_number":186,"box":{"x":196,"y":79,"width":696,"height":11}},{"id":"89304d42-837a-4652-8eef-1028dac34ab7","block_type":"box","text":"other formal winding-up procedure, and has not otherwise ceased operating.","page_number":186,"box":{"x":196,"y":94,"width":544,"height":11}},{"id":"b4f59446-65f8-48a7-910f-df62190e18f5","block_type":"box","text":"D Default. ‘D’ ratings indicate an issuer that in Fitch’s opinion has entered into bankruptcy filings,","page_number":186,"box":{"x":70,"y":114,"width":807,"height":11}},{"id":"41ff8fe8-c90d-4a7e-8449-91a63d699cd1","block_type":"box","text":"administration, receivership, liquidation or other formal winding-up procedure or that has otherwise","page_number":186,"box":{"x":196,"y":129,"width":705,"height":11}},{"id":"09e1fccb-3aa6-4458-b8c2-15e041123153","block_type":"box","text":"ceased business and debt is still outstanding.","page_number":186,"box":{"x":196,"y":144,"width":328,"height":11}},{"id":"5a50a8c5-b9c2-4323-a46c-93d2c35dc23f","block_type":"box","text":"Within rating categories, Fitch may use modifiers. The modifiers “+” or “-” may be appended to a rating to denote","page_number":186,"box":{"x":101,"y":164,"width":808,"height":12}},{"id":"befeb4a5-c847-4a1a-8736-ffbf15c074d8","block_type":"box","text":"relative status within major rating categories.","page_number":186,"box":{"x":69,"y":180,"width":320,"height":11}},{"id":"1b4ed122-0155-4c79-a70e-d43b7b03f3bc","block_type":"box","text":"For example, the rating category ‘AA’ has three notch-specific rating levels (‘AA+’; ‘AA’; ‘AA–’; each a rating","page_number":186,"box":{"x":102,"y":202,"width":761,"height":11}},{"id":"4a43aed1-2c98-48fe-b337-8aaaf0f8d738","block_type":"box","text":"level). Such suffixes are not added to ‘AAA’ ratings and ratings below the ‘CCC’ category. For the short-term rating","page_number":186,"box":{"x":70,"y":217,"width":813,"height":12}},{"id":"b28e56fa-0fcf-4578-91a6-6ea69c820553","block_type":"box","text":"category of ‘F1’, a ‘+’ may be appended.","page_number":186,"box":{"x":69,"y":232,"width":289,"height":12}},{"id":"54bb9c09-3045-41b6-8278-4983a5065b3b","block_type":"box","text":"Description of Fitch’s Short-Term Ratings Assigned to Issuers and Obligations","page_number":186,"box":{"x":69,"y":263,"width":568,"height":11}},{"id":"fc078494-af84-497c-b9a3-b5b27be277da","block_type":"box","text":"A short-term issuer or obligation rating is based in all cases on the short-term vulnerability to default of the rated","page_number":186,"box":{"x":101,"y":285,"width":806,"height":12}},{"id":"29a048b7-3f28-4f45-ab17-026623937743","block_type":"box","text":"entity and relates to the capacity to meet financial obligations in accordance with the documentation governing the","page_number":186,"box":{"x":69,"y":300,"width":817,"height":12}},{"id":"2d014ed1-e768-4898-8e65-9e8375a1d32c","block_type":"box","text":"relevant obligation. Short-term deposit ratings may be adjusted for loss severity. Short-term ratings are assigned to","page_number":186,"box":{"x":69,"y":315,"width":822,"height":12}},{"id":"4de98cf8-0be9-4248-8063-f9aed20a8aa8","block_type":"box","text":"obligations whose initial maturity is viewed as “short term” based on market convention. Typically, this means up to","page_number":186,"box":{"x":69,"y":331,"width":827,"height":11}},{"id":"b7bc6ed3-620d-426b-94ba-ac10a64e2d2e","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":186,"box":{"x":70,"y":346,"width":808,"height":11}},{"id":"d2f1bf69-1a2b-4db6-9ed1-4ec3804c7ba0","block_type":"box","text":"finance markets.","page_number":186,"box":{"x":68,"y":361,"width":118,"height":9}},{"id":"1290bded-fe72-424c-b9b9-dbc927c2762a","block_type":"box","text":"Fitch short-term ratings are as follows:","page_number":186,"box":{"x":102,"y":383,"width":273,"height":12}},{"id":"aa8a94cf-9ef4-4bfb-a4cb-83e060ffab98","block_type":"box","text":"F1 Highest Short-Term Credit Quality. Indicates the strongest intrinsic capacity for timely payment of","page_number":186,"box":{"x":70,"y":411,"width":816,"height":12}},{"id":"035f21e9-54b6-40a8-8d37-7b946b7c589a","block_type":"box","text":"financial commitments; may have an added “+” to denote any exceptionally strong credit feature.","page_number":186,"box":{"x":196,"y":426,"width":692,"height":12}},{"id":"69fd87a5-9aff-4ffb-b7f7-5f055be6c7c3","block_type":"box","text":"F2 Good Short-Term Credit Quality. Good intrinsic capacity for timely payment of financial","page_number":186,"box":{"x":70,"y":446,"width":734,"height":12}},{"id":"cb069ed6-f5bb-40b1-a0d7-17f6d8381220","block_type":"box","text":"commitments.","page_number":186,"box":{"x":196,"y":462,"width":100,"height":9}},{"id":"df539e83-307b-4677-97c3-f4e15cca53c5","block_type":"box","text":"F3 Fair Short-Term Credit Quality. The intrinsic capacity for timely payment of financial commitments is","page_number":186,"box":{"x":70,"y":482,"width":831,"height":11}},{"id":"3d8c43e6-fece-4a50-b948-0a9a69410d2d","block_type":"box","text":"adequate.","page_number":186,"box":{"x":196,"y":497,"width":70,"height":11}},{"id":"a83a1747-d0e8-4b67-ac6e-d190b9cb10df","block_type":"box","text":"B Speculative Short-Term Credit Quality. Minimal capacity for timely payment of financial","page_number":186,"box":{"x":70,"y":517,"width":737,"height":11}},{"id":"98518585-ea00-4302-a3c1-073536252a6f","block_type":"box","text":"commitments, plus heightened vulnerability to near term adverse changes in financial and","page_number":186,"box":{"x":196,"y":532,"width":641,"height":11}},{"id":"79e5227b-b178-4ec6-adc1-8d016933a1be","block_type":"box","text":"economic conditions.","page_number":186,"box":{"x":196,"y":548,"width":149,"height":8}},{"id":"17686e7f-ca35-4c63-9b3d-050deb40d88d","block_type":"box","text":"C High Short-Term Default Risk. Default is a real possibility.","page_number":186,"box":{"x":69,"y":567,"width":535,"height":12}},{"id":"8f3b7f8f-97ff-4337-9381-0acef9a00e4b","block_type":"box","text":"RD Restricted Default. Indicates an entity that has defaulted on one or more of its financial","page_number":186,"box":{"x":70,"y":588,"width":749,"height":11}},{"id":"184c4d85-9f02-4275-8f8b-ed2d15a8d664","block_type":"box","text":"commitments, although it continues to meet other financial obligations. Typically applicable to entity","page_number":186,"box":{"x":196,"y":603,"width":714,"height":11}},{"id":"cd60e5cd-67ce-40c9-93ee-a92282ecdb9d","block_type":"box","text":"ratings only.","page_number":186,"box":{"x":197,"y":618,"width":83,"height":11}},{"id":"11d753d6-60e6-47e9-82a3-c67e8d65b895","block_type":"box","text":"D Default. Indicates a broad-based default event for an entity, or the default of a short-term","page_number":186,"box":{"x":70,"y":638,"width":761,"height":11}},{"id":"9612ce70-7e3f-4823-a3fe-b8bc0a820d3d","block_type":"box","text":"obligation.","page_number":186,"box":{"x":196,"y":653,"width":72,"height":11}},{"id":"83336316-68e8-47fd-88d7-7db1e191dae1","block_type":"box","text":"A-8","page_number":186,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"1f2601b2-3998-4866-9c2c-c2b0e126ac66","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":186,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1afaa180-8125-4242-b33b-8029b1a7e822","block_type":"box","text":"APPENDIX B","page_number":187,"box":{"x":438,"y":45,"width":101,"height":10}},{"id":"968ed03c-bbf3-46bd-8c01-8205ecd8b2cb","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":187,"box":{"x":247,"y":76,"width":484,"height":11}},{"id":"0a6c91f8-27ec-44b1-ad5d-de4dd38e10c3","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":187,"box":{"x":247,"y":91,"width":486,"height":11}},{"id":"b96f62a5-939a-45d3-92e0-a75bd530034d","block_type":"box","text":"Effective Date: January 1, 2025","page_number":187,"box":{"x":376,"y":106,"width":227,"height":11}},{"id":"bf4c75dc-0ee3-496d-854e-a0a9e32f8064","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":187,"box":{"x":231,"y":128,"width":515,"height":12}},{"id":"be142167-b108-4ced-aadd-dbc240b8e790","block_type":"box","text":"□","page_number":187,"box":{"x":284,"y":151,"width":15,"height":11}},{"id":"976bc72a-80bd-4b23-a6ed-3591576bdf51","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":187,"box":{"x":306,"y":151,"width":388,"height":11}},{"id":"0a7abdec-7add-4d96-8fc2-a7f0c339b0e8","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":187,"box":{"x":205,"y":174,"width":589,"height":11}},{"id":"7c683b6b-0a1d-4b3a-8499-9bb647dbe7ac","block_type":"box","text":"□","page_number":187,"box":{"x":405,"y":196,"width":14,"height":12}},{"id":"7569fb0a-f7ce-4e16-a9a2-a646acf04a65","block_type":"box","text":"Money Market Funds","page_number":187,"box":{"x":426,"y":197,"width":147,"height":11}},{"id":"f2fb7f48-5eb7-4817-93a4-8a743de08c0d","block_type":"box","text":"□","page_number":187,"box":{"x":416,"y":219,"width":14,"height":11}},{"id":"6a982833-ee78-4581-871e-1c296d207f46","block_type":"box","text":"Closed-End Funds","page_number":187,"box":{"x":437,"y":219,"width":125,"height":9}},{"id":"b69e1468-c79e-42ac-9dfb-5ee711527e1b","block_type":"box","text":"□","page_number":187,"box":{"x":460,"y":242,"width":14,"height":11}},{"id":"2133ec61-e7e6-4a86-a676-94827de2308a","block_type":"box","text":"Other","page_number":187,"box":{"x":481,"y":242,"width":38,"height":9}},{"id":"b931cef4-9c89-4ffe-a69c-b0cd7465b9df","block_type":"box","text":"Objective and Scope","page_number":187,"box":{"x":101,"y":265,"width":149,"height":11}},{"id":"554aa8c8-7bd7-4d0c-912c-33662368f195","block_type":"box","text":"Set forth below is the Open-End Active and Fixed Income Index Fund Proxy Voting Policy.","page_number":187,"box":{"x":134,"y":287,"width":622,"height":11}},{"id":"f896b2e0-c173-41e1-9158-2c42b75a2ff4","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":187,"box":{"x":102,"y":310,"width":354,"height":11}},{"id":"86d2f36a-29fe-4d3e-958e-9cf4e5c9bcb9","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of certain open-end funds (the “Funds”) advised by","page_number":187,"box":{"x":134,"y":332,"width":702,"height":12}},{"id":"9a14de51-a48a-42b9-bc84-8ebf9f8fa3f9","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":187,"box":{"x":102,"y":348,"width":789,"height":11}},{"id":"391903a8-de93-4dc3-a4c6-2831077a857c","block_type":"box","text":"voting proxies relating to portfolio securities of the Funds, and have determined that it is in the best interests of","page_number":187,"box":{"x":101,"y":363,"width":801,"height":11}},{"id":"10dc6bd5-9661-4d5c-90e8-5c303c4f5f60","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":187,"box":{"x":101,"y":378,"width":763,"height":11}},{"id":"37ca5e2e-079e-4668-bdd4-1afd9e881864","block_type":"box","text":"principles outlined in this Policy, as part of BlackRock’s authority to manage, acquire and dispose of account","page_number":187,"box":{"x":102,"y":393,"width":775,"height":11}},{"id":"ab743387-41e2-40d3-ad90-4b7d97f29a6d","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":187,"box":{"x":102,"y":408,"width":651,"height":11}},{"id":"91867f00-1e4f-4f24-ad39-7feb74e812a9","block_type":"box","text":"BlackRock has adopted the BlackRock Active Investment Stewardship Global Engagement and Voting","page_number":187,"box":{"x":135,"y":431,"width":718,"height":11}},{"id":"87270fe4-4518-4a7b-b68f-f04d11b80b51","block_type":"box","text":"Guidelines (as from time to time amended, the “Guidelines”) governing proxy voting by active and fixed income","page_number":187,"box":{"x":102,"y":446,"width":788,"height":11}},{"id":"e65f29e6-9e9d-4a3e-b689-4c716536c865","block_type":"box","text":"index Funds managed by BlackRock. The Guidelines include “climate and decarbonization” guidelines which","page_number":187,"box":{"x":102,"y":461,"width":766,"height":11}},{"id":"89781665-49e1-4712-81c7-607a20f709eb","block_type":"box","text":"apply to the Funds listed in Appendix A, if any.","page_number":187,"box":{"x":102,"y":476,"width":325,"height":11}},{"id":"fb2d974b-de4d-482d-89ac-33f15edcdebb","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":187,"box":{"x":135,"y":499,"width":751,"height":11}},{"id":"6dc1922c-e5dc-426f-b79d-67074cb691c4","block_type":"box","text":"respect of securities held by each such Fund (or may refrain from voting) in accordance with the Guidelines.","page_number":187,"box":{"x":102,"y":514,"width":765,"height":11}},{"id":"42a6def3-926e-4eef-bd2d-650f8c9c5e19","block_type":"box","text":"Conflicts Management","page_number":187,"box":{"x":101,"y":537,"width":165,"height":11}},{"id":"332e3f4f-6349-4ef7-b44e-5c0df712427a","block_type":"box","text":"BlackRock Active Investment Stewardship (“BAIS”) maintains policies and procedures that seek to prevent","page_number":187,"box":{"x":135,"y":559,"width":758,"height":11}},{"id":"264fe914-3837-473f-82d1-981ec4c3b77b","block_type":"box","text":"undue influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise","page_number":187,"box":{"x":102,"y":574,"width":797,"height":12}},{"id":"981b761e-dfa3-459f-999a-75ce3f46065e","block_type":"box","text":"of proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":187,"box":{"x":102,"y":589,"width":805,"height":12}},{"id":"60d39e7e-a10e-49b7-a0d6-cd315eef8020","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":187,"box":{"x":102,"y":605,"width":797,"height":11}},{"id":"c3353beb-bd93-4355-8b1c-239b0f573b02","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":187,"box":{"x":102,"y":620,"width":756,"height":11}},{"id":"fbc92c6c-c1bd-407e-90e4-1f9dfd38ad41","block_type":"box","text":"certain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":187,"box":{"x":101,"y":635,"width":800,"height":11}},{"id":"809e78bc-a964-45cc-be4d-478ccb88367d","block_type":"box","text":"BAIS will adhere to the Guidelines.","page_number":187,"box":{"x":102,"y":650,"width":244,"height":9}},{"id":"d561d477-4eed-4379-8774-ec66c9366ad3","block_type":"box","text":"In certain instances, BAIS will engage an independent third-party voting service provider to make proxy","page_number":187,"box":{"x":135,"y":673,"width":731,"height":11}},{"id":"f567b822-fb5f-4155-a9cf-253e989d62ab","block_type":"box","text":"voting recommendations as a further safeguard to avoid potential conflicts of interest, to satisfy regulatory","page_number":187,"box":{"x":101,"y":688,"width":763,"height":11}},{"id":"0c55a2cf-1789-45b6-94c3-11e0e184d5d5","block_type":"box","text":"compliance requirements, or as may be otherwise required by applicable law.","page_number":187,"box":{"x":101,"y":703,"width":550,"height":11}},{"id":"40abcdf9-40b5-455e-bf95-a98c5b1d3612","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":187,"box":{"x":134,"y":726,"width":774,"height":11}},{"id":"1e2b3ea8-bb1b-4254-ab5a-f04a53557bdb","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":187,"box":{"x":102,"y":741,"width":791,"height":11}},{"id":"15a20b27-a432-491b-94b4-a3b4a75f81ed","block_type":"box","text":"in clients’ financial interests. The Guidelines set forth BlackRock’s approach to recalling securities on loan in","page_number":187,"box":{"x":102,"y":756,"width":778,"height":11}},{"id":"f97c1a85-b7ba-4046-85c3-af4efe49e7bb","block_type":"box","text":"connection with proxy voting.","page_number":187,"box":{"x":101,"y":771,"width":203,"height":11}},{"id":"8c8c89df-77f0-45f3-91cf-f6fe90c73175","block_type":"box","text":"Reports to the Board","page_number":187,"box":{"x":102,"y":794,"width":153,"height":11}},{"id":"93809ea1-bb3b-47b1-99ee-58623e352b2a","block_type":"box","text":"BlackRock will report on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":187,"box":{"x":135,"y":816,"width":755,"height":12}},{"id":"adbd8c21-6e74-4942-aae5-f307e9f270f0","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":187,"box":{"x":102,"y":832,"width":794,"height":11}},{"id":"c0e664c7-a1de-4909-b592-2a07b4641356","block_type":"box","text":"were in accordance with the Guidelines and (2) any material changes to the Guidelines, including material","page_number":187,"box":{"x":101,"y":847,"width":753,"height":11}},{"id":"ff375fbf-a901-4ba2-b272-03808c333ff7","block_type":"box","text":"changes to conflicts management practices, that have not previously been reported.","page_number":187,"box":{"x":101,"y":862,"width":600,"height":11}},{"id":"79bba094-bf3c-459d-a086-bfcc22f31b31","block_type":"box","text":"BlackRock","page_number":187,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"82b7154c-ca15-433a-95b6-8d20f9785c3c","block_type":"box","text":"|1","page_number":187,"box":{"x":892,"y":942,"width":17,"height":13}},{"id":"aea119dd-c9de-46a7-9b6b-7c98b5ab0374","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":187,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9bc13827-daf5-421f-b8cb-9dfd13a6483b","block_type":"box","text":"Appendix A","page_number":188,"box":{"x":101,"y":45,"width":82,"height":11}},{"id":"7f67d725-244e-4729-abca-a94a0160ae98","block_type":"box","text":"BlackRock U.S. Carbon Transition Readiness ETF","page_number":188,"box":{"x":135,"y":67,"width":347,"height":9}},{"id":"674c0489-8378-4f4d-ac85-777fec75647f","block_type":"box","text":"BlackRock World ex U.S. Carbon Transition Readiness ETF","page_number":188,"box":{"x":135,"y":90,"width":413,"height":9}},{"id":"996d8ef8-34c2-4574-978c-36a1b83cad85","block_type":"box","text":"BlackRock","page_number":188,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"fac86ef7-be57-408e-aace-acd2a4b7f4dc","block_type":"box","text":"|2","page_number":188,"box":{"x":892,"y":942,"width":17,"height":13}},{"id":"af61e9b7-bc7d-4a17-861f-3913e18ff944","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":188,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9d8764ed-59e9-4326-997c-61b590a0cb53","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":189,"box":{"x":334,"y":45,"width":311,"height":11}},{"id":"c2fa02b7-3b44-4ecb-9bfd-68e645461192","block_type":"box","text":"Global Engagement and Voting Guidelines","page_number":189,"box":{"x":337,"y":67,"width":304,"height":11}},{"id":"7ef11053-1981-4c27-a433-32ef13320c57","block_type":"box","text":"Effective as of January 2026","page_number":189,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"5a2cad65-1bde-42e8-9f17-96abe3a75a4d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":189,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1f2f5c88-4d8b-42e1-89a9-836e43b3c0cd","block_type":"box","text":"TABLE OF CONTENTS","page_number":190,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"951921cd-e11c-49f3-840a-eca0564c3da8","block_type":"box","text":"Page","page_number":190,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"534051b2-f513-48af-9b96-bb6624f4031a","block_type":"box","text":"OVERVIEW","page_number":190,"box":{"x":74,"y":84,"width":79,"height":9}},{"id":"47fd27ea-c7c1-49a6-9c70-15514d7c80a3","block_type":"box","text":"....................................................................................... 4","page_number":190,"box":{"x":161,"y":85,"width":743,"height":8}},{"id":"029ce1e4-5940-4a4b-bf9d-273e3241d053","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":190,"box":{"x":74,"y":101,"width":235,"height":9}},{"id":"d9e6f15b-4820-47ba-afec-36fb71a8850b","block_type":"box","text":".................................................................... 5","page_number":190,"box":{"x":316,"y":101,"width":588,"height":9}},{"id":"ad00f31c-613c-4dab-9091-4a800a92b214","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":190,"box":{"x":73,"y":117,"width":424,"height":9}},{"id":"e50b7394-d861-46b5-a5df-aed182bea2b8","block_type":"box","text":"............................................. 5","page_number":190,"box":{"x":504,"y":117,"width":400,"height":9}},{"id":"0dc3f1e8-6d1d-4627-9459-9afccd25a16e","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":190,"box":{"x":74,"y":134,"width":451,"height":10}},{"id":"793dea36-605a-4b3b-8c07-08c4f9d8ec5b","block_type":"box","text":".......................................... 5","page_number":190,"box":{"x":528,"y":134,"width":376,"height":8}},{"id":"db53bb4c-83e2-4478-bc87-5276cacbf764","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":190,"box":{"x":74,"y":150,"width":433,"height":9}},{"id":"312f352b-95e6-4e60-949c-a53a7ad3db8c","block_type":"box","text":"............................................ 6","page_number":190,"box":{"x":512,"y":150,"width":392,"height":9}},{"id":"b2a85180-d2dc-4330-bc9f-665eb48c916a","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":190,"box":{"x":74,"y":166,"width":178,"height":9}},{"id":"89f56a2f-5251-4e24-a82a-01a15837a79c","block_type":"box","text":"........................................................................... 7","page_number":190,"box":{"x":259,"y":166,"width":645,"height":9}},{"id":"0d515407-b330-47b1-855e-1f2555d78b5a","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":190,"box":{"x":74,"y":183,"width":207,"height":9}},{"id":"4459b50f-09f2-490e-ad46-2ea1507bef83","block_type":"box","text":"....................................................................... 9","page_number":190,"box":{"x":292,"y":183,"width":612,"height":9}},{"id":"2290c02d-7860-40e8-8243-6dd7178078f3","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":190,"box":{"x":74,"y":199,"width":325,"height":9}},{"id":"2e4b0129-3bc5-4035-bf69-fa70bbc3e284","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":190,"box":{"x":406,"y":199,"width":498,"height":9}},{"id":"7a1c988b-263d-4b03-a6d4-3adf935197ee","block_type":"box","text":"CAPITAL STRUCTURE","page_number":190,"box":{"x":74,"y":215,"width":156,"height":9}},{"id":"072b89b0-f968-45df-9ddf-5d157e31b318","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":190,"box":{"x":234,"y":215,"width":670,"height":9}},{"id":"86975725-1a3c-481c-ada7-75bb13fbbff3","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":190,"box":{"x":73,"y":232,"width":315,"height":9}},{"id":"479b8757-537b-4316-8724-50715f08baa4","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11","page_number":190,"box":{"x":398,"y":232,"width":506,"height":9}},{"id":"12b0142d-5acd-4c09-8146-7c75745483af","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":190,"box":{"x":74,"y":248,"width":430,"height":11}},{"id":"b32d31ae-b89d-4895-a16d-ad1f7b06ab5e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11","page_number":190,"box":{"x":512,"y":248,"width":392,"height":9}},{"id":"e0204080-bbb6-4729-9f93-209b377fd19d","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":190,"box":{"x":73,"y":265,"width":319,"height":8}},{"id":"e248471b-69df-43fc-a3c9-da413679068c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":190,"box":{"x":398,"y":265,"width":506,"height":8}},{"id":"427ebd6f-6284-4442-932a-c0f4df7ff057","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":190,"box":{"x":73,"y":281,"width":207,"height":9}},{"id":"df1c5036-a21c-4aeb-8b63-b1930a8fd4b9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13","page_number":190,"box":{"x":283,"y":281,"width":621,"height":9}},{"id":"8c209c4a-ac5e-4882-b2d3-471235acfb6b","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":190,"box":{"x":74,"y":297,"width":259,"height":9}},{"id":"c3002941-4e1a-418c-839d-38902abc2b8d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13","page_number":190,"box":{"x":340,"y":297,"width":564,"height":9}},{"id":"9637a731-1517-45eb-a97d-eb607d315c64","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":190,"box":{"x":74,"y":314,"width":489,"height":9}},{"id":"07ffb309-0b0e-4283-b81e-e047579d5772","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15","page_number":190,"box":{"x":569,"y":314,"width":335,"height":9}},{"id":"c45764b7-07de-4520-8757-130e82c30088","block_type":"box","text":"KEY STAKEHOLDERS","page_number":190,"box":{"x":74,"y":330,"width":151,"height":9}},{"id":"4c3e21ec-30d3-44f3-a3d1-a10645f980ec","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15","page_number":190,"box":{"x":234,"y":330,"width":670,"height":9}},{"id":"3f4fb07c-4b6b-42d8-9fdf-5a937b0ecb8f","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":190,"box":{"x":74,"y":346,"width":448,"height":9}},{"id":"0f002c21-b5d1-4dc4-b750-ab5c6206b4d5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15","page_number":190,"box":{"x":528,"y":347,"width":376,"height":8}},{"id":"22f83700-0314-4a4c-bd2e-64dee43f83c6","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR","page_number":190,"box":{"x":73,"y":363,"width":771,"height":9}},{"id":"52541928-c9c5-4520-9e78-e2d64021b32d","block_type":"box","text":"NON-INDEX EQUITY INVESTMENT STRATEGIES","page_number":190,"box":{"x":74,"y":378,"width":339,"height":11}},{"id":"7e726274-502a-4a71-af0f-a79cadfea48e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17","page_number":190,"box":{"x":422,"y":378,"width":482,"height":9}},{"id":"bc44d847-db01-405b-a497-f2ecf0ffa0a9","block_type":"box","text":"BlackRock","page_number":190,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"3efa3746-984c-4bf3-beba-531cad346b99","block_type":"box","text":"Global Engagement and Voting Guidelines | 2","page_number":190,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"b7c53726-f9bc-422c-830c-fee46803ba67","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":190,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3008c373-2d33-43be-bc8e-88ccd676c6d2","block_type":"box","text":"OVERVIEW","page_number":191,"box":{"x":450,"y":45,"width":79,"height":9}},{"id":"c2a43ce1-d3da-4b2e-aecb-a1d5bb71a815","block_type":"box","text":"This document provides high level guidance on how BlackRock Active Investment Stewardship (BAIS) views","page_number":191,"box":{"x":101,"y":67,"width":760,"height":12}},{"id":"d4255c50-560f-4e24-9a4c-5d8f5fde5f20","block_type":"box","text":"corporate governance matters that are commonly put to a shareholder vote, or on which investors engage with","page_number":191,"box":{"x":69,"y":83,"width":785,"height":11}},{"id":"659313e8-8bb4-4b27-b7b3-045ad643acf6","block_type":"box","text":"issuers.","page_number":191,"box":{"x":70,"y":98,"width":54,"height":9}},{"id":"b6ed08e8-6614-4caa-9285-9ee849c323cd","block_type":"box","text":"1","page_number":191,"box":{"x":131,"y":94,"width":4,"height":4}},{"id":"93694da7-26b4-4858-bb72-1500764d2adc","block_type":"box","text":"BAIS works in partnership with BlackRock’s investment teams, excluding index equity","page_number":191,"box":{"x":141,"y":98,"width":606,"height":11}},{"id":"8281c009-bddf-400d-849f-4b30e1c18cea","block_type":"box","text":"2","page_number":191,"box":{"x":747,"y":98,"width":4,"height":4}},{"id":"dc3408e7-166d-4ce8-b11a-82f3eefc89fa","block_type":"box","text":", providing expertise","page_number":191,"box":{"x":753,"y":98,"width":143,"height":11}},{"id":"dbcb8b03-2f48-4558-a37f-1bad514a0789","block_type":"box","text":"on investment stewardship and engaging with companies alongside and on behalf of those teams when appropriate.","page_number":191,"box":{"x":69,"y":113,"width":828,"height":11}},{"id":"e30d7095-95dd-429b-a392-e479c1e43ca1","block_type":"box","text":"The team is responsible for establishing voting guidelines for the active equity platform, providing vote","page_number":191,"box":{"x":68,"y":128,"width":729,"height":11}},{"id":"f8f00f95-ce4c-42ff-81a1-d7047c2e50ca","block_type":"box","text":"recommendations and operationalizing voting decisions. The guidance informs the voting recommendations BAIS","page_number":191,"box":{"x":69,"y":143,"width":803,"height":11}},{"id":"d5b57c40-9e79-479b-b4a3-5ec93cebf6c0","block_type":"box","text":"makes to BlackRock’s active portfolio managers. It applies to active equity holdings in BlackRock’s fundamental","page_number":191,"box":{"x":69,"y":158,"width":800,"height":11}},{"id":"86d494cd-e13f-4590-9c6b-537176148d7c","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":191,"box":{"x":69,"y":173,"width":831,"height":11}},{"id":"8e7c6cb4-072c-49ed-acfd-9ad413ef0ff7","block_type":"box","text":"active fixed income strategies, to the extent those strategies hold voting securities or conduct issuer engagements.","page_number":191,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"35d210c7-e19e-414f-b14f-8e9464819759","block_type":"box","text":"The guidelines are not prescriptive as active portfolio managers have discretion as to how they integrate these","page_number":191,"box":{"x":68,"y":203,"width":789,"height":12}},{"id":"a31d21b8-b91b-4d78-b484-6911a17b3f0b","block_type":"box","text":"guidelines within their investment processes in light of their clients’ or funds’ investment objectives. There are","page_number":191,"box":{"x":68,"y":218,"width":788,"height":12}},{"id":"9dc066b8-85df-4fd1-a7f7-95d67273e252","block_type":"box","text":"separate, independently developed principles and voting policies that are applied to BlackRock’s index equity","page_number":191,"box":{"x":69,"y":234,"width":778,"height":11}},{"id":"2b194530-80d1-4c28-84cb-a3cf670c4cd0","block_type":"box","text":"investments by a distinct and independent function, BlackRock Investment Stewardship.","page_number":191,"box":{"x":70,"y":249,"width":627,"height":11}},{"id":"e7e3b44d-91ed-4eb9-ab2d-af763bd001d1","block_type":"box","text":"1","page_number":191,"box":{"x":69,"y":294,"width":4,"height":4}},{"id":"d2f94a32-abad-4bbb-91d3-11d9f7573d6d","block_type":"box","text":"This document includes BAIS’ benchmark policy, which covers nearly all active equity holdings in BlackRock’s","page_number":191,"box":{"x":78,"y":293,"width":777,"height":11}},{"id":"35fa9ebb-29cf-4c5f-a92a-a4042848dd9f","block_type":"box","text":"fundamental equity, systematic equity and multi-asset solutions strategies. The benchmark policy also may apply to","page_number":191,"box":{"x":68,"y":308,"width":823,"height":11}},{"id":"9950786c-950c-4796-a73f-f1532a24dbce","block_type":"box","text":"holdings in BlackRock’s index and active fixed income strategies, to the extent those strategies hold voting securities","page_number":191,"box":{"x":69,"y":323,"width":837,"height":12}},{"id":"84dd1900-51f1-4400-8649-d98a3d278f53","block_type":"box","text":"or conduct issuer engagements. This document also includes BAIS’ decarbonization policy, which covers holdings in","page_number":191,"box":{"x":69,"y":339,"width":824,"height":11}},{"id":"3a546884-d60d-4485-af5e-d83eb57435b8","block_type":"box","text":"BlackRock active funds that have climate and decarbonization objectives in addition to financial objectives.","page_number":191,"box":{"x":70,"y":354,"width":759,"height":11}},{"id":"e3231575-0c1c-4367-b9e3-e0178bbe221a","block_type":"box","text":"2","page_number":191,"box":{"x":69,"y":372,"width":4,"height":4}},{"id":"89bfeb48-2dac-42e7-8627-336f8055816c","block_type":"box","text":"BlackRock segmented active and index equity investment functions, including stewardship, in January 2025 as part","page_number":191,"box":{"x":79,"y":371,"width":825,"height":11}},{"id":"f81de011-0231-4016-9664-4b0cd84261e6","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":191,"box":{"x":69,"y":386,"width":830,"height":12}},{"id":"d3743a50-3e1b-496e-a70e-e32dc9797029","block_type":"box","text":"result, there are two stewardship teams, which operate independently of one another and have separate voting","page_number":191,"box":{"x":69,"y":401,"width":792,"height":12}},{"id":"c7198548-3a05-4c21-9f66-164622949508","block_type":"box","text":"policies.","page_number":191,"box":{"x":70,"y":417,"width":56,"height":11}},{"id":"69b62e85-9aab-471d-92d5-1c43847517ba","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":191,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"cb198599-3978-4f40-98c2-11911d7b5d64","block_type":"box","text":"Global Engagement and Voting Guidelines | 4","page_number":191,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"def86d30-82e8-4aee-90b7-c0dee6eea226","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":191,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8c087c86-8e3c-494a-9d4d-61feb25992f7","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":192,"box":{"x":372,"y":45,"width":235,"height":9}},{"id":"5f2d0011-0818-484b-ab57-13f96fb35dce","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":192,"box":{"x":102,"y":64,"width":777,"height":11}},{"id":"58784d15-d628-4569-863f-357adb04b30b","block_type":"box","text":"belongs to BlackRock’s clients, many of whom make their own asset allocation and portfolio construction decisions.","page_number":192,"box":{"x":69,"y":78,"width":828,"height":12}},{"id":"17c953fe-20be-4f88-9200-9ecefbb3d048","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":192,"box":{"x":68,"y":93,"width":835,"height":11}},{"id":"8325fce5-a14f-4703-bb40-0d2f7852b843","block_type":"box","text":"by understanding clients’ long-term investment objectives and offering choice on how and where they wish to invest","page_number":192,"box":{"x":69,"y":108,"width":823,"height":11}},{"id":"a4bacba0-588a-4645-893c-05d2284e7b2b","block_type":"box","text":"their money. BlackRock then helps clients seek the best risk-adjusted returns based on those choices, underpinning","page_number":192,"box":{"x":68,"y":123,"width":830,"height":11}},{"id":"be4e77a3-a5b4-4df1-a14b-d6e31053f232","block_type":"box","text":"this work with research, data and analytics.","page_number":192,"box":{"x":68,"y":138,"width":309,"height":11}},{"id":"f22b5fee-4e2d-483f-b673-f076b6e5bcea","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":192,"box":{"x":101,"y":156,"width":796,"height":12}},{"id":"865086d9-bea5-4a90-a4da-6b7723575c67","block_type":"box","text":"stewards of our clients’ assets, we engage with companies to discuss the corporate governance and business","page_number":192,"box":{"x":69,"y":171,"width":787,"height":12}},{"id":"30b23bb3-6956-4160-8c9f-46dec3481f79","block_type":"box","text":"practices that, in our experience, support companies in delivering durable, risk-adjusted financial returns over time.","page_number":192,"box":{"x":70,"y":186,"width":820,"height":12}},{"id":"3933610b-0d60-4f58-8539-b13000596671","block_type":"box","text":"We are committed to building strong relationships through constructive, ongoing dialogue with the boards and","page_number":192,"box":{"x":68,"y":201,"width":782,"height":11}},{"id":"52b9a6c1-aa61-438a-b95b-8a96e34a6319","block_type":"box","text":"executive management of the companies in which our clients are invested.","page_number":192,"box":{"x":69,"y":216,"width":531,"height":11}},{"id":"6e1c3f50-e9eb-4e85-9188-9d9d3f95482a","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":192,"box":{"x":277,"y":246,"width":424,"height":9}},{"id":"86dad22f-00bb-4aa5-a844-bb93f58d70ab","block_type":"box","text":"BlackRock Active Investment Stewardship (BAIS) is a specialist team within the Portfolio Management Group and","page_number":192,"box":{"x":102,"y":265,"width":804,"height":11}},{"id":"5de2285e-e75e-4659-8d6b-e17687ceb7c2","block_type":"box","text":"manages BlackRock’s stewardship engagement and voting on behalf of clients invested in active strategies globally.","page_number":192,"box":{"x":69,"y":280,"width":826,"height":11}},{"id":"67f27bd7-1c95-4102-90fb-5d6ddd548713","block_type":"box","text":"BAIS is also responsible for engagement with issuers in index fixed income strategies, where appropriate. Our","page_number":192,"box":{"x":70,"y":295,"width":783,"height":11}},{"id":"b0655b82-aeb1-4015-a90c-75f27e039430","block_type":"box","text":"activities are informed by these Global Engagement and Voting Guidelines (the “Guidelines”) and insights from active","page_number":192,"box":{"x":69,"y":309,"width":834,"height":12}},{"id":"919e7f2a-4945-471e-a3f5-86ca19309aa2","block_type":"box","text":"investment analysts and portfolio managers, with whom we work closely in engaging companies and voting at","page_number":192,"box":{"x":70,"y":324,"width":779,"height":12}},{"id":"6937f568-77db-4474-a365-21658ad641d7","block_type":"box","text":"shareholder meetings.","page_number":192,"box":{"x":69,"y":339,"width":158,"height":11}},{"id":"fd9dcdfe-c2c9-4709-82b1-ea1bb08dbade","block_type":"box","text":"Engagement with public companies is the foundation of our approach to stewardship within fundamental active","page_number":192,"box":{"x":102,"y":358,"width":789,"height":11}},{"id":"e4a16270-ddb9-43bc-bb09-e6fb9041b8a7","block_type":"box","text":"investing.","page_number":192,"box":{"x":70,"y":373,"width":65,"height":11}},{"id":"b64d2e02-a356-409e-8b35-11238b3893b4","block_type":"box","text":"3","page_number":192,"box":{"x":137,"y":373,"width":4,"height":5}},{"id":"f6461598-7730-4b94-8575-3412e43dca66","block_type":"box","text":"Through direct dialogue with company leadership, we seek to understand their businesses and how they","page_number":192,"box":{"x":146,"y":373,"width":744,"height":11}},{"id":"83ff67ea-e766-4050-bb7d-09606d0c712a","block_type":"box","text":"manage risks and opportunities to deliver durable, risk-adjusted financial returns. Portfolio managers and","page_number":192,"box":{"x":69,"y":387,"width":751,"height":12}},{"id":"63f8b33f-ac9d-4f67-ab50-a2d5d7749be0","block_type":"box","text":"stewardship specialists may engage jointly or independently on material corporate governance matters. Our","page_number":192,"box":{"x":69,"y":402,"width":765,"height":12}},{"id":"50db0253-f345-488d-8073-d33b9a50b73a","block_type":"box","text":"discussions focus on topics relevant to a company’s success over time, including governance and leadership,","page_number":192,"box":{"x":69,"y":417,"width":782,"height":12}},{"id":"e81931d0-2d2d-4263-81a8-219ec3a57d73","block_type":"box","text":"corporate strategy, capital structure and financial performance, operations and material sustainability-related risks,","page_number":192,"box":{"x":69,"y":432,"width":820,"height":11}},{"id":"dd0bfa70-eb9f-47bd-8bc2-5b95b6c6829a","block_type":"box","text":"as well as macro-economic, geopolitical and sector dynamics. We aim to be constructive investors and are generally","page_number":192,"box":{"x":69,"y":447,"width":828,"height":11}},{"id":"403eb0a7-5775-4142-b54a-d7a3ae1c98a4","block_type":"box","text":"supportive of management teams that have a track record of financial value creation. We aim to build and maintain","page_number":192,"box":{"x":69,"y":462,"width":821,"height":11}},{"id":"5abdd144-50e2-4552-b406-101030bea0d1","block_type":"box","text":"strong relationships with company leadership based on open dialogue and mutual respect.","page_number":192,"box":{"x":69,"y":477,"width":645,"height":11}},{"id":"fac37c71-aa94-4035-be85-0b54e3ac12f1","block_type":"box","text":"Different active equity strategies may implement these voting guidelines differently, as a result of the latitude","page_number":192,"box":{"x":102,"y":495,"width":780,"height":12}},{"id":"4b0d688c-5410-4c69-bda0-084b33ce2e2a","block_type":"box","text":"each portfolio manager has to make independent voting decisions on their holdings. For example, BAIS will generally","page_number":192,"box":{"x":69,"y":510,"width":831,"height":11}},{"id":"a836727b-2529-4f8a-b679-7ac34785109a","block_type":"box","text":"vote the holdings in Systematic Active Equity portfolios in accordance with these guidelines. We provide voting","page_number":192,"box":{"x":68,"y":525,"width":787,"height":11}},{"id":"20c562ba-463f-4171-a253-b71baae57c16","block_type":"box","text":"recommendations to fundamental equity portfolio managers, who may determine to vote differently based on each","page_number":192,"box":{"x":69,"y":540,"width":816,"height":11}},{"id":"1207819a-4021-4d13-9427-409f66e0dc5a","block_type":"box","text":"portfolio’s investment objectives and strategy.","page_number":192,"box":{"x":70,"y":555,"width":327,"height":11}},{"id":"1d64a731-4185-423d-ae43-d528b1e33338","block_type":"box","text":"These guidelines discuss BAIS’ views on corporate governance topics on which we may engage with","page_number":192,"box":{"x":101,"y":574,"width":711,"height":11}},{"id":"df66c15f-e98d-418a-94b9-8c9302e45866","block_type":"box","text":"management teams and board directors","page_number":192,"box":{"x":69,"y":589,"width":285,"height":11}},{"id":"be9d78b1-df06-4bb4-9afa-c8ea4c45ac8c","block_type":"box","text":"4","page_number":192,"box":{"x":355,"y":589,"width":5,"height":4}},{"id":"0e17b135-c2b8-4ba9-b27f-f7601a16f863","block_type":"box","text":"and on matters that routinely come to a shareholder vote. We recognize that","page_number":192,"box":{"x":366,"y":589,"width":544,"height":11}},{"id":"a52ef9dd-3ab2-44ed-a668-d8cd23901683","block_type":"box","text":"accepted corporate governance norms can differ across markets, and believe these guidelines represent globally","page_number":192,"box":{"x":69,"y":603,"width":807,"height":11}},{"id":"b61c51e3-2f30-492e-b71c-845115b54391","block_type":"box","text":"applicable elements of governance that support a company’s ability to manage material risks and opportunities and","page_number":192,"box":{"x":69,"y":618,"width":827,"height":11}},{"id":"6681ab76-3397-419b-bc67-ea822203ef80","block_type":"box","text":"deliver financial returns to investors. Generally, we believe companies should observe accepted corporate governance","page_number":192,"box":{"x":69,"y":633,"width":840,"height":11}},{"id":"5f1c7382-6d78-4ed1-83e8-fcb520c12c04","block_type":"box","text":"norms within their local markets or, particularly in markets without well-established norms, aspire to widely","page_number":192,"box":{"x":69,"y":648,"width":762,"height":11}},{"id":"95d8fd90-dbe7-41cc-9a14-d91eea69daa9","block_type":"box","text":"recognized international best practices. As one of many minority shareholders, BlackRock cannot – and does not try","page_number":192,"box":{"x":69,"y":663,"width":827,"height":11}},{"id":"014b8efc-3df0-4734-a784-51cfc12503e4","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":192,"box":{"x":68,"y":678,"width":837,"height":11}},{"id":"6fa08984-6643-43d3-a38b-0ef83e64a423","block_type":"box","text":"their approach to corporate governance best aligns with the financial interests of their investors.","page_number":192,"box":{"x":68,"y":692,"width":687,"height":12}},{"id":"d3765560-f5de-4ef2-9b4a-4df5ecbac30e","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":192,"box":{"x":263,"y":722,"width":451,"height":11}},{"id":"93bb4b53-d336-41cd-8b6e-8ef283ff83e5","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":192,"box":{"x":101,"y":741,"width":753,"height":12}},{"id":"339a8945-e3f0-4577-9ad3-53d2c79dcbb8","block_type":"box","text":"governance. The voting rights attached to clients’ holdings are an important mechanism for investors to express","page_number":192,"box":{"x":68,"y":756,"width":801,"height":11}},{"id":"97975d85-8613-4a6e-8882-0f1ef0297e25","block_type":"box","text":"support for, or concern about, a company’s performance. As a fiduciary, BlackRock is legally required to make proxy","page_number":192,"box":{"x":69,"y":771,"width":829,"height":11}},{"id":"c8848a86-79f7-49cf-b9c3-8f7690acc676","block_type":"box","text":"voting determinations, on behalf of clients who have delegated voting authority to us, in a manner consistent with","page_number":192,"box":{"x":68,"y":786,"width":809,"height":11}},{"id":"4fd049d9-329c-4ea3-a5de-e92e5b7a908f","block_type":"box","text":"BlackRock’s contractual arrangements with clients and funds.","page_number":192,"box":{"x":70,"y":801,"width":438,"height":11}},{"id":"59f9f04a-3d96-448a-97ea-47a1c4b8d690","block_type":"box","text":"3","page_number":192,"box":{"x":69,"y":830,"width":4,"height":5}},{"id":"c822d4cc-72e0-4db2-84ae-9b1f2236926d","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":192,"box":{"x":79,"y":830,"width":790,"height":11}},{"id":"73898650-5700-4367-8fd2-9acc766b587b","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":192,"box":{"x":69,"y":845,"width":836,"height":11}},{"id":"37971bd0-de70-437c-848d-3fe04af93f1f","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":192,"box":{"x":68,"y":860,"width":805,"height":11}},{"id":"4c1c9247-ce77-419b-90fa-5598ec5f89a0","block_type":"box","text":"effect, of changing or influencing control of the company.","page_number":192,"box":{"x":69,"y":875,"width":403,"height":12}},{"id":"db7187af-a6c5-404d-b553-fabc96aa678e","block_type":"box","text":"4","page_number":192,"box":{"x":69,"y":893,"width":4,"height":5}},{"id":"557c30fd-da65-4004-9a6e-7f99dca700b7","block_type":"box","text":"References to the board, board directors or non-executive directors should be understood to include supervisory","page_number":192,"box":{"x":79,"y":893,"width":801,"height":11}},{"id":"2bd59f27-55f5-4517-8a09-1b71040c32c0","block_type":"box","text":"boards and their members, where relevant.","page_number":192,"box":{"x":69,"y":908,"width":306,"height":11}},{"id":"954ec58a-0075-4cf4-bd95-7cd0d1d50d13","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":192,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"616a0039-2131-427d-9bd6-1154779459a4","block_type":"box","text":"Global Engagement and Voting Guidelines | 5","page_number":192,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"ac3e244d-6253-4a5e-ab5f-2a9c99a6e27e","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":192,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b143fe47-f498-4dd3-a664-ca32657e2dee","block_type":"box","text":"In general, we tend to support the recommendations of the board of directors and management. As indicated","page_number":193,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"c2d6e9e8-a5b6-4ca5-ba27-d6609c0ef535","block_type":"box","text":"below, we may vote against management recommendations when we have concerns about how companies are","page_number":193,"box":{"x":69,"y":60,"width":788,"height":11}},{"id":"642cbed2-3dd0-46f6-8793-050c48b5fa63","block_type":"box","text":"serving the financial interests of our clients as their shareholders. BAIS takes a globally consistent approach to","page_number":193,"box":{"x":69,"y":74,"width":795,"height":12}},{"id":"04833aa5-ace7-4fe0-9cb7-eb1111866490","block_type":"box","text":"voting but considers the different corporate governance regulations and norms across markets. Votes are determined","page_number":193,"box":{"x":68,"y":89,"width":839,"height":12}},{"id":"4702a9d1-beb8-405a-bab5-5b6aded9e1e5","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":193,"box":{"x":69,"y":104,"width":823,"height":11}},{"id":"0ca4233d-4adf-409c-8033-0b1938ac8463","block_type":"box","text":"Please see page 19 for more information about how we fulfill and oversee our investment stewardship","page_number":193,"box":{"x":69,"y":119,"width":729,"height":11}},{"id":"ddd3229d-e799-434d-b90b-337afa80651b","block_type":"box","text":"responsibilities for BlackRock’s non-index equity strategies.","page_number":193,"box":{"x":69,"y":134,"width":423,"height":11}},{"id":"9de60729-4f92-4c10-8803-96d19abb5fa4","block_type":"box","text":"5","page_number":193,"box":{"x":493,"y":134,"width":5,"height":5}},{"id":"6651a181-53e5-4a9b-8892-4c8a845d9338","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":193,"box":{"x":272,"y":164,"width":434,"height":9}},{"id":"5b897f29-3296-41c3-8164-c99c435a8df6","block_type":"box","text":"Although fixed income investors do not have the right to vote at shareholder meetings, issuer engagement is a","page_number":193,"box":{"x":101,"y":183,"width":788,"height":11}},{"id":"4957c5f4-c5ed-482d-a158-6b051e51a631","block_type":"box","text":"component of fixed income investment strategies at BlackRock, particularly for those with sustainability objectives in","page_number":193,"box":{"x":69,"y":198,"width":831,"height":11}},{"id":"5b9f5ef3-ef8b-4fc5-a986-ca157e364fe8","block_type":"box","text":"addition to financial objectives. Most corporate governance-related fixed income engagements are undertaken in","page_number":193,"box":{"x":69,"y":212,"width":801,"height":12}},{"id":"78229a0f-8f30-4668-88f8-cddef843a79a","block_type":"box","text":"conjunction with the active investment stewardship team, and often active equity investors. In addition to the topics","page_number":193,"box":{"x":69,"y":227,"width":824,"height":11}},{"id":"2e7b2a97-6518-4906-8c4f-c53d90e31a78","block_type":"box","text":"listed below, engagement with fixed income investment teams may help inform an issuer’s approach to structuring","page_number":193,"box":{"x":70,"y":242,"width":816,"height":11}},{"id":"d939e781-1bcb-4ecc-9386-5131af4dfef7","block_type":"box","text":"specialist issuances and the standard terms and information in bond documentation.","page_number":193,"box":{"x":69,"y":257,"width":608,"height":11}},{"id":"16cd2c93-0d08-4930-96b3-6aabae67e7d1","block_type":"box","text":"5","page_number":193,"box":{"x":69,"y":302,"width":4,"height":4}},{"id":"2a057294-3180-4a5e-a191-72fcbb05bd15","block_type":"box","text":"Non-index equity strategies include active equity holdings in BlackRock’s fundamental equity, systematic equity and","page_number":193,"box":{"x":79,"y":301,"width":820,"height":11}},{"id":"e784a99a-72d7-48a0-9dfe-274d85ace90e","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":193,"box":{"x":69,"y":316,"width":822,"height":12}},{"id":"529e0c12-a756-4f0e-bfb7-93ad19fb145a","block_type":"box","text":"extent those strategies hold voting securities or conduct issuer engagements.","page_number":193,"box":{"x":69,"y":332,"width":554,"height":11}},{"id":"0de0dae9-a3ec-40ed-8f2b-8bf3fb10bf2e","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":193,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"b828954a-b7a2-4c89-bd45-e14a81e2f396","block_type":"box","text":"Global Engagement and Voting Guidelines | 6","page_number":193,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"439aaeeb-8651-4499-995d-9e070ec67e0d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":193,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1fceb8eb-5ac9-49ba-98f1-ef5b6b0abaad","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":194,"box":{"x":400,"y":45,"width":178,"height":9}},{"id":"425edfe1-a0fa-4ed6-ac13-a7b51e317a3c","block_type":"box","text":"Roles and responsibilities","page_number":194,"box":{"x":69,"y":67,"width":186,"height":11}},{"id":"0188c9fa-6115-4539-9429-2952907d4b1f","block_type":"box","text":"There is widespread consensus that the foundation of good corporate governance is an effective board of","page_number":194,"box":{"x":101,"y":86,"width":754,"height":11}},{"id":"5d422645-c3e8-4016-951f-097930c6a6cc","block_type":"box","text":"directors that is able to advise and supervise management in an independent and objective manner.","page_number":194,"box":{"x":69,"y":101,"width":715,"height":11}},{"id":"8f58ba4b-f8e5-4e00-b5d0-fb54b94adf6d","block_type":"box","text":"6","page_number":194,"box":{"x":786,"y":101,"width":4,"height":5}},{"id":"750078b5-d885-4dba-8e09-5aa26e9fa326","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":194,"box":{"x":101,"y":119,"width":765,"height":12}},{"id":"0350ebd1-04e2-42f4-9c06-ba236d68bd60","block_type":"box","text":"realization of a company’s strategy, purpose and culture. These constructs are interdependent and, when aligned,","page_number":194,"box":{"x":69,"y":134,"width":811,"height":12}},{"id":"0cb99330-e533-4775-8c19-b9c3a004972b","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":194,"box":{"x":69,"y":149,"width":822,"height":11}},{"id":"75581170-e45c-4b19-a88c-aed41e8387b4","block_type":"box","text":"of corporate or employee misconduct, and attract and retain the caliber of workers necessary to deliver financial","page_number":194,"box":{"x":69,"y":164,"width":799,"height":11}},{"id":"0d986a7b-31ce-4070-bcfe-f58c60f00d6a","block_type":"box","text":"performance over time.","page_number":194,"box":{"x":70,"y":179,"width":164,"height":11}},{"id":"f23a32b6-6193-461d-8666-81e0d871152d","block_type":"box","text":"In overseeing the management of the company, the board ensures the necessary resources, policies and","page_number":194,"box":{"x":102,"y":198,"width":750,"height":11}},{"id":"ec32b6be-ecdf-48b5-a83d-fa0070cb836f","block_type":"box","text":"procedures are in place to help management meet its strategic objectives within an agreed risk tolerance.","page_number":194,"box":{"x":70,"y":213,"width":753,"height":11}},{"id":"a4d5f32f-9f70-4159-a5bd-9561959e4915","block_type":"box","text":"One of the most important responsibilities of the board is to appoint, and remove as necessary, the chief","page_number":194,"box":{"x":102,"y":231,"width":753,"height":11}},{"id":"20a0dc90-3db9-4ef8-ae78-d8baf57f909e","block_type":"box","text":"executive officer (“CEO”). In addition, the board plays a meaningful role in monitoring the performance of the CEO","page_number":194,"box":{"x":69,"y":246,"width":811,"height":11}},{"id":"ae20b17b-2ff2-4b24-b7da-787be365e5f8","block_type":"box","text":"and other key executives, determining executive compensation, ensuring a rigorous audit, overseeing strategy","page_number":194,"box":{"x":69,"y":261,"width":783,"height":11}},{"id":"5a6f97b3-1f4e-4d16-9ed1-04aa5dcc0ffb","block_type":"box","text":"execution and risk management and engaging with shareholders, and other stakeholders, as necessary.","page_number":194,"box":{"x":69,"y":276,"width":742,"height":11}},{"id":"c31cc463-dc15-4cdf-8bc0-da434c3f048a","block_type":"box","text":"Composition and effectiveness","page_number":194,"box":{"x":69,"y":298,"width":224,"height":11}},{"id":"c1b6c89c-3fb7-42d3-a16d-74be7a1311c7","block_type":"box","text":"Appointment process","page_number":194,"box":{"x":68,"y":317,"width":152,"height":11}},{"id":"474aa128-0828-4f25-a58d-27c1a684b14a","block_type":"box","text":"A formal and transparent process for identifying and appointing director candidates is critical to ensuring the","page_number":194,"box":{"x":101,"y":335,"width":773,"height":12}},{"id":"c8391df1-7758-4f57-8741-04b9b924ac89","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":194,"box":{"x":69,"y":350,"width":792,"height":11}},{"id":"ef8aa8a2-99c7-4c86-aa14-e2dda733cd6e","block_type":"box","text":"committee determines the general criteria given the company’s circumstances (","page_number":194,"box":{"x":69,"y":365,"width":568,"height":11}},{"id":"32601719-cfcb-4034-a864-42d0aea75cf4","block_type":"box","text":"e.g.","page_number":194,"box":{"x":638,"y":367,"width":25,"height":9}},{"id":"92c0b5e1-0cbb-4715-b12b-f22a9373aa6a","block_type":"box","text":", sector, maturity, geographic","page_number":194,"box":{"x":666,"y":365,"width":204,"height":11}},{"id":"dfffd86f-7287-4114-a406-59347f84f072","block_type":"box","text":"footprint) and any additional criteria for a specific role being filled (","page_number":194,"box":{"x":68,"y":380,"width":474,"height":11}},{"id":"c68ebd82-465d-4f15-895b-f1e7fca0ee19","block_type":"box","text":"e.g.","page_number":194,"box":{"x":544,"y":381,"width":25,"height":10}},{"id":"d447a8bc-4c80-4209-92f7-714b387ff08c","block_type":"box","text":", financial expertise, industry track record). To","page_number":194,"box":{"x":571,"y":380,"width":327,"height":11}},{"id":"fd686404-b456-4e4e-9a62-819f72a5b2bf","block_type":"box","text":"inform the process, we encourage companies to review the skills and experience of incumbent directors to identify","page_number":194,"box":{"x":70,"y":395,"width":815,"height":11}},{"id":"c388f1de-bf46-401c-ac7d-7745eccf6864","block_type":"box","text":"any gaps and whether the skills and experience of a director candidate would be additive. We welcome disclosures","page_number":194,"box":{"x":69,"y":410,"width":817,"height":11}},{"id":"d07036d7-a4f6-4253-adba-e7c0cd7b9360","block_type":"box","text":"that explain how the board considered different skills and experience to ensure that the directors collectively can be","page_number":194,"box":{"x":68,"y":425,"width":829,"height":11}},{"id":"66786893-ed96-4491-834b-bd1dc8b6c7b1","block_type":"box","text":"effective in fulfilling their responsibilities. We assess a company’s board composition against that of its peer group","page_number":194,"box":{"x":69,"y":439,"width":821,"height":12}},{"id":"7cf80c44-2db6-4cfb-a393-1fe86ffce3e8","block_type":"box","text":"and local market requirements.","page_number":194,"box":{"x":69,"y":455,"width":221,"height":10}},{"id":"7c8d632b-ca9c-4152-833f-21e51fa43621","block_type":"box","text":"Shareholders periodically vote to elect directors to serve on the board. We do not prescribe any particular board","page_number":194,"box":{"x":102,"y":473,"width":798,"height":11}},{"id":"7d4cef70-475e-4602-8025-a9bdb41dfad7","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":194,"box":{"x":69,"y":488,"width":800,"height":11}},{"id":"c9b11f3b-5ce3-4ba3-a299-1487a10305fe","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":194,"box":{"x":70,"y":503,"width":794,"height":11}},{"id":"dccaf03e-cab4-499f-84be-a99d7e0ea2da","block_type":"box","text":"committee, where a company has not demonstrated it has an appointment process that results in a high functioning","page_number":194,"box":{"x":69,"y":517,"width":830,"height":12}},{"id":"8a97716b-1d49-42ae-b2bc-2b19f190a29c","block_type":"box","text":"board with the appropriate complement of skills and experience amongst the directors to support strong financial","page_number":194,"box":{"x":69,"y":532,"width":808,"height":12}},{"id":"d3d6fbff-021e-44b3-ae78-f7c6f474de7d","block_type":"box","text":"performance over time. We may vote against newly nominated directors who do not seem to have the appropriate","page_number":194,"box":{"x":70,"y":547,"width":808,"height":12}},{"id":"e4602777-b58d-4050-b72c-6912d4a4174d","block_type":"box","text":"skills or experience to contribute to the board’s effectiveness.","page_number":194,"box":{"x":69,"y":562,"width":442,"height":11}},{"id":"8bb9dba5-9447-4e90-845d-f59719bf3c01","block_type":"box","text":"Independence","page_number":194,"box":{"x":70,"y":585,"width":99,"height":10}},{"id":"5db6d637-339e-411d-8270-b478b196d0fb","block_type":"box","text":"Director independence from management, significant shareholders or other stakeholders (","page_number":194,"box":{"x":102,"y":603,"width":642,"height":11}},{"id":"a99c3b0a-db3d-48cf-b304-cd5b593c447a","block_type":"box","text":"e.g.","page_number":194,"box":{"x":746,"y":605,"width":25,"height":9}},{"id":"f0acbf0f-aec9-41c8-9530-21aeb9be7671","block_type":"box","text":", government or","page_number":194,"box":{"x":773,"y":604,"width":111,"height":10}},{"id":"1c6effde-bccc-4089-b634-cacb5b3234b3","block_type":"box","text":"employees) is of paramount importance to the protection of the interests of minority shareholders such as","page_number":194,"box":{"x":69,"y":618,"width":759,"height":11}},{"id":"9dd09720-eabd-415b-8b9f-a623aa8d9d0d","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":194,"box":{"x":70,"y":633,"width":793,"height":11}},{"id":"a17ae5df-c125-4b97-a4e0-9cfb8b347aee","block_type":"box","text":"conflicts of interest or undue influence.","page_number":194,"box":{"x":69,"y":648,"width":278,"height":9}},{"id":"0962d39e-1777-4f07-b794-891061e4277c","block_type":"box","text":"7","page_number":194,"box":{"x":349,"y":648,"width":4,"height":5}},{"id":"e8670774-88da-4961-a9b0-8c7ce64e1f0e","block_type":"box","text":"This also helps to ensure that board committees are composed of a","page_number":194,"box":{"x":358,"y":648,"width":486,"height":11}},{"id":"3bd98df0-4f3c-4b98-9f06-3c8c706f0eee","block_type":"box","text":"sufficient number of independent directors. Companies domiciled in markets with a higher threshold for board","page_number":194,"box":{"x":69,"y":663,"width":783,"height":11}},{"id":"43fee6dc-f1a0-43a6-85dd-be0f2dd50ce8","block_type":"box","text":"independence should meet those local requirements.","page_number":194,"box":{"x":70,"y":678,"width":378,"height":10}},{"id":"6a6c9e6f-d887-4d17-adf6-269aab4ce028","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":194,"box":{"x":101,"y":696,"width":803,"height":11}},{"id":"d91429d0-d57f-4384-837c-8f5a263502bc","block_type":"box","text":"independence. We may also vote against the election of the chair of the committee responsible for board","page_number":194,"box":{"x":70,"y":711,"width":748,"height":11}},{"id":"4db3632c-ce0f-4d2c-901e-d8a6ab38fcfe","block_type":"box","text":"composition if this is a perennial issue.","page_number":194,"box":{"x":69,"y":726,"width":280,"height":11}},{"id":"a6660e61-c75a-40a2-8858-f26afdd0eeb6","block_type":"box","text":"6","page_number":194,"box":{"x":69,"y":756,"width":4,"height":4}},{"id":"e92e1837-a97c-43a8-a120-ded73a9f190e","block_type":"box","text":"See the Corporate Governance Codes of Germany, Japan, and the UK, as well as the corporate governance","page_number":194,"box":{"x":93,"y":755,"width":763,"height":11}},{"id":"946346aa-fee5-46bf-bdca-e3b41d69b5d1","block_type":"box","text":"principles of the US Business Roundtable as examples.","page_number":194,"box":{"x":94,"y":770,"width":394,"height":11}},{"id":"9f309c94-186a-4e11-bbbd-aeea238dc296","block_type":"box","text":"7","page_number":194,"box":{"x":69,"y":788,"width":4,"height":5}},{"id":"235fff66-8318-4342-8627-9ea878325419","block_type":"box","text":"Common impediments to independence may include but are not limited to: current or recent employment at the","page_number":194,"box":{"x":93,"y":788,"width":795,"height":11}},{"id":"a901c01c-5c4a-4d34-ae6b-72533984858d","block_type":"box","text":"company or a subsidiary; being, or representing, a shareholder with a substantial shareholding in the company;","page_number":194,"box":{"x":93,"y":803,"width":793,"height":11}},{"id":"15c2fab6-5a2c-440c-96be-df429d859e7a","block_type":"box","text":"interlocking directorships; lengthy tenure, and having any other interest, business, or other relationship which","page_number":194,"box":{"x":94,"y":818,"width":778,"height":11}},{"id":"edfdecf5-1e47-4198-9adb-ac88784416a3","block_type":"box","text":"could, or could reasonably be perceived to, materially interfere with a director’s ability to act in the best interests","page_number":194,"box":{"x":93,"y":833,"width":807,"height":11}},{"id":"824138b2-ca52-4dde-bf07-879a2a7d5322","block_type":"box","text":"of the company and shareholders.","page_number":194,"box":{"x":93,"y":848,"width":242,"height":11}},{"id":"fe48d21c-ef4d-4d7c-87fb-1a4ce07b9fc6","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":194,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"4c3a62e3-010f-4524-b112-fe9873572d6b","block_type":"box","text":"Global Engagement and Voting Guidelines | 7","page_number":194,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"0723d247-2da6-440e-a67d-3b71e485468d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":194,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2c2d44e5-76b1-4d42-9854-e773cfe2ff94","block_type":"box","text":"Independent board leadership","page_number":195,"box":{"x":70,"y":45,"width":212,"height":11}},{"id":"99eadc23-ec18-402e-b819-d8e353e36b31","block_type":"box","text":"Practices across markets differ, as do board structures, but we observe two main approaches to independent","page_number":195,"box":{"x":102,"y":63,"width":784,"height":11}},{"id":"9c62a902-1b96-45f0-bbc4-64ac057352f8","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":195,"box":{"x":69,"y":78,"width":827,"height":11}},{"id":"4c80257c-90d5-4982-8372-6b15e015f42b","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":195,"box":{"x":68,"y":93,"width":774,"height":11}},{"id":"f09e8640-c521-41dc-bd37-541b4486d38c","block_type":"box","text":"coordinating with the other non-executive directors and working closely with the executive chair on the board agenda","page_number":195,"box":{"x":69,"y":108,"width":826,"height":11}},{"id":"bb68e271-ca23-4a5b-bb5a-2de0e76256e0","block_type":"box","text":"and other board procedures. In this case, the executive chair and the lead independent director work together to","page_number":195,"box":{"x":69,"y":123,"width":801,"height":11}},{"id":"a79c06ef-6545-40d0-bff7-ef0a8f732bb0","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":195,"box":{"x":69,"y":138,"width":823,"height":11}},{"id":"eaaf9a7b-39b3-4113-9f9e-a7bc393178ef","block_type":"box","text":"the chair of a relevant committee, should be available to investors to discuss governance matters such as CEO","page_number":195,"box":{"x":68,"y":152,"width":793,"height":12}},{"id":"7d8d77b9-9c23-4136-8865-f26ec813e05c","block_type":"box","text":"succession, executive pay, and board performance. We look to boards to explain their board leadership model and","page_number":195,"box":{"x":69,"y":167,"width":816,"height":11}},{"id":"d34932f8-b4bf-4359-bb68-e27996908026","block_type":"box","text":"how it serves the interests of shareholders.","page_number":195,"box":{"x":69,"y":182,"width":311,"height":9}},{"id":"f3db06e1-e665-46a4-a59f-3e8d975689f6","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":195,"box":{"x":101,"y":201,"width":798,"height":11}},{"id":"3bc7fd4c-8035-488a-aa54-97c02577c05f","block_type":"box","text":"an identified independent leader of the board with clear responsibilities for board performance. We may vote against","page_number":195,"box":{"x":69,"y":216,"width":831,"height":11}},{"id":"97fbdab9-4a10-4c34-8772-21e2a971d6b4","block_type":"box","text":"the most senior independent director if the board has a policy of not engaging with shareholders.","page_number":195,"box":{"x":68,"y":231,"width":691,"height":11}},{"id":"fcd632ae-5244-4fd2-b929-285447fac127","block_type":"box","text":"Tenure and succession","page_number":195,"box":{"x":70,"y":253,"width":162,"height":9}},{"id":"59d1f3c0-32a1-4220-aed2-0dea76785508","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":195,"box":{"x":102,"y":272,"width":803,"height":11}},{"id":"24db9f1d-5460-4122-8993-639451a3e082","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":195,"box":{"x":69,"y":286,"width":805,"height":11}},{"id":"117c00b5-61a2-4e5f-9d1d-c76b896b2fe9","block_type":"box","text":"director tenure particularly around the contributions of directors who have served for longer periods than typically","page_number":195,"box":{"x":69,"y":301,"width":806,"height":12}},{"id":"9b720f62-b704-4320-b156-0041123e34be","block_type":"box","text":"provided for under local practice. In our experience, long-serving directors could become less independent given their","page_number":195,"box":{"x":70,"y":316,"width":833,"height":12}},{"id":"6799552a-430b-4fa6-8503-5e6738874053","block_type":"box","text":"long-term relationship with management and involvement in past board decisions.","page_number":195,"box":{"x":70,"y":331,"width":581,"height":11}},{"id":"9c1731ae-4ce6-47b0-8414-c04a5ae13764","block_type":"box","text":"Succession planning for board roles helps achieve the appropriate cadence of turnover that balances renewal","page_number":195,"box":{"x":102,"y":350,"width":779,"height":11}},{"id":"dae149a6-821e-486b-88f3-49a8c5c55dd0","block_type":"box","text":"through the regular introduction of directors with fresh perspectives and expertise with continuity through the","page_number":195,"box":{"x":68,"y":365,"width":777,"height":11}},{"id":"871737f5-0922-4d32-9ae5-8713995b4b00","block_type":"box","text":"retention of directors with long-term knowledge of the board and company.","page_number":195,"box":{"x":69,"y":379,"width":528,"height":12}},{"id":"3cc01963-40ac-4fce-9ba9-2422deecd063","block_type":"box","text":"In markets where there is not specific director tenure guidance from regulation or corporate governance best","page_number":195,"box":{"x":102,"y":398,"width":774,"height":11}},{"id":"9393f51e-5edb-4272-a4dc-cdb6a2dccbd9","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":195,"box":{"x":70,"y":413,"width":795,"height":11}},{"id":"7ed7503c-168d-485d-8600-a1ab89f0f91b","block_type":"box","text":"company does not clearly disclose its approach to director tenure and board renewal. We may vote against the","page_number":195,"box":{"x":69,"y":428,"width":788,"height":11}},{"id":"e390ed31-ec02-4e9f-a5bb-40738b257cee","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":195,"box":{"x":69,"y":443,"width":839,"height":11}},{"id":"198b20e9-62c1-4c3c-9bb2-ee32b0b51d7a","block_type":"box","text":"for their continued service is not evident.","page_number":195,"box":{"x":68,"y":458,"width":292,"height":9}},{"id":"789eb5ee-4345-4798-9a2f-501c17e4b282","block_type":"box","text":"Capacity","page_number":195,"box":{"x":70,"y":480,"width":60,"height":11}},{"id":"0c7a90ad-4665-408d-8ba2-75a69c9e20e1","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":195,"box":{"x":101,"y":499,"width":784,"height":11}},{"id":"e25a3554-6230-435a-9229-170719c57c14","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":195,"box":{"x":69,"y":513,"width":801,"height":12}},{"id":"0514a89f-76b1-40f7-9d6b-bd567e49554a","block_type":"box","text":"company taking into consideration competing responsibilities. We recognize that board leadership roles vary across","page_number":195,"box":{"x":69,"y":529,"width":823,"height":11}},{"id":"8e01e641-7e75-47e8-8538-4e7ba19150d5","block_type":"box","text":"markets in responsibilities and required time commitment but note that they are generally more intensive than a","page_number":195,"box":{"x":69,"y":543,"width":800,"height":11}},{"id":"f816d89e-8b80-4d19-959c-55690c82b6b2","block_type":"box","text":"standard directorship. We will take local norms and practices into consideration when making our voting","page_number":195,"box":{"x":69,"y":558,"width":741,"height":11}},{"id":"298bb7f4-ce18-4719-9e28-f6fe8627107c","block_type":"box","text":"determinations across markets.","page_number":195,"box":{"x":69,"y":573,"width":226,"height":9}},{"id":"7d859a6b-b031-4c28-8b3c-cc625af17828","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":195,"box":{"x":101,"y":592,"width":776,"height":11}},{"id":"18efe970-8cc2-4762-beb4-232081044ca6","block_type":"box","text":"their duties to the board and company.","page_number":195,"box":{"x":68,"y":607,"width":275,"height":11}},{"id":"392cd6c6-96da-4294-b072-5e264ed564e9","block_type":"box","text":"Director elections","page_number":195,"box":{"x":70,"y":629,"width":124,"height":9}},{"id":"23a724bd-8585-48a9-852f-dcd61e276788","block_type":"box","text":"Regular election of directors, ideally annually, supports director accountability to shareholders. A classified board","page_number":195,"box":{"x":102,"y":647,"width":805,"height":12}},{"id":"b6dcc707-c42f-400b-9668-65cacbab11c8","block_type":"box","text":"structure","page_number":195,"box":{"x":69,"y":663,"width":63,"height":8}},{"id":"32016502-abe1-4f5e-8e64-a5157581a52f","block_type":"box","text":"8","page_number":195,"box":{"x":133,"y":663,"width":4,"height":4}},{"id":"1e5b187d-3a04-4efa-adcf-5c8a01c1e603","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":195,"box":{"x":144,"y":662,"width":761,"height":12}},{"id":"3b6b3c2c-06e4-4be6-917a-fb9a8c0a32e3","block_type":"box","text":"basis of its business model (","page_number":195,"box":{"x":69,"y":677,"width":206,"height":11}},{"id":"1faa3e06-c5c2-468e-9a6b-a0a48b85670a","block_type":"box","text":"e.g.","page_number":195,"box":{"x":277,"y":679,"width":24,"height":10}},{"id":"9fcbacef-6c82-4d16-b23f-ceeddb70dd4b","block_type":"box","text":", a non-operating company such as closed-end funds).","page_number":195,"box":{"x":304,"y":677,"width":382,"height":12}},{"id":"3ae7f652-7357-49e5-96b4-7f5aab21b03f","block_type":"box","text":"Shareholders should have the opportunity to evaluate nominated directors individually rather than in bundled","page_number":195,"box":{"x":102,"y":696,"width":774,"height":11}},{"id":"b7b606a0-ed19-4d37-8db6-486d55a8329d","block_type":"box","text":"slates. We look to companies to provide sufficient information on each director standing for election so that","page_number":195,"box":{"x":69,"y":711,"width":770,"height":11}},{"id":"c25908f7-b333-4d31-859b-855d67e78029","block_type":"box","text":"shareholders can assess their capabilities and suitability. We will generally not support the election of directors","page_number":195,"box":{"x":69,"y":726,"width":794,"height":11}},{"id":"47a7d8f0-2dd6-44b3-8ed0-59a18c131c94","block_type":"box","text":"whose names and biographical details have not been disclosed sufficiently in advance of the shareholder meeting.","page_number":195,"box":{"x":68,"y":740,"width":818,"height":12}},{"id":"78de09d2-c118-4f24-b0f7-0c9415609075","block_type":"box","text":"Each director’s appointment should be dependent on receiving a simple majority of the votes cast at the","page_number":195,"box":{"x":102,"y":759,"width":743,"height":11}},{"id":"39520d8c-78e8-4b56-b687-a2fb2e57ac0e","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":195,"box":{"x":69,"y":774,"width":823,"height":11}},{"id":"e3b194e8-266f-49dd-ab1e-db35a6afb755","block_type":"box","text":"to how its approach best serves investors’ interests.","page_number":195,"box":{"x":68,"y":789,"width":377,"height":11}},{"id":"a070f36c-d2f8-4ef3-804d-0fd67581cd4d","block_type":"box","text":"We may vote for shareholder or management proposals seeking to establish annual election of directors and/or","page_number":195,"box":{"x":101,"y":807,"width":798,"height":12}},{"id":"70c53cd9-84fb-4c5c-97a0-c471b89a52d7","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":195,"box":{"x":69,"y":822,"width":822,"height":12}},{"id":"c99185ee-8175-4b85-8204-2993d99adf82","block_type":"box","text":"part of a single slate if we have concerns about the profile or performance of an individual director.","page_number":195,"box":{"x":70,"y":837,"width":706,"height":12}},{"id":"3d8503d1-5999-44c9-a553-c39b9202e179","block_type":"box","text":"8","page_number":195,"box":{"x":69,"y":867,"width":4,"height":4}},{"id":"23c93ff4-2af2-4046-83bf-015829e7fba8","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":195,"box":{"x":78,"y":866,"width":818,"height":12}},{"id":"d1e62ac1-f54a-4c56-a83d-ad8fd70e2ec7","block_type":"box","text":"directors stands for election in any one year.","page_number":195,"box":{"x":69,"y":882,"width":315,"height":11}},{"id":"7d20d079-5526-4255-add1-164358727092","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":195,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"6e0efadf-1db9-4566-b8e6-fcb5fc00c285","block_type":"box","text":"Global Engagement and Voting Guidelines | 8","page_number":195,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"6628beda-e99d-4978-84a2-c7cb7d80baf1","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":195,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"683f5d89-cf07-4e94-bc18-1aef372b9b55","block_type":"box","text":"Committees","page_number":196,"box":{"x":70,"y":45,"width":84,"height":9}},{"id":"f2ae8ee3-09c7-4cf2-bfc2-c2ca5ed883d3","block_type":"box","text":"Many boards establish committees to focus on specific responsibilities of the board such as audit and risk,","page_number":196,"box":{"x":102,"y":63,"width":766,"height":11}},{"id":"19aefdb4-b2ab-4327-8c8c-4dbcfa6be50c","block_type":"box","text":"governance and human capital, and executive compensation, amongst other matters. We do not prescribe to","page_number":196,"box":{"x":68,"y":78,"width":776,"height":11}},{"id":"dcf467f0-4946-4a6c-8231-d1fd29390e4b","block_type":"box","text":"companies what committees they should establish, but we seek to understand the board’s rationale for the","page_number":196,"box":{"x":69,"y":93,"width":766,"height":11}},{"id":"39f3510d-f883-4b55-b878-ef28fc260b67","block_type":"box","text":"committee structure it determines is appropriate. We note that, in some markets, regulation requires such","page_number":196,"box":{"x":69,"y":108,"width":759,"height":11}},{"id":"ec0c659b-e334-467d-9f10-cd0cdc4f6ab8","block_type":"box","text":"committees. The responsibilities of each committee should be clear, and the board should ensure that all critical","page_number":196,"box":{"x":69,"y":123,"width":804,"height":11}},{"id":"f5622ad6-7840-4514-af75-ab8a0b85fc1d","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":196,"box":{"x":69,"y":138,"width":837,"height":11}},{"id":"eef54010-571d-4e3d-ac17-4a7fb5f8f68a","block_type":"box","text":"the board discloses the structure, membership, proportion of independent directors, and responsibilities of each","page_number":196,"box":{"x":68,"y":152,"width":806,"height":11}},{"id":"54feaf88-d2b4-47c4-84cd-9d8baf98ab91","block_type":"box","text":"committee. The responsibilities we typically see assigned to the three most common committees include:","page_number":196,"box":{"x":69,"y":168,"width":752,"height":11}},{"id":"e2ce0189-b79a-4706-904f-2e3bef9da6c2","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":188,"width":6,"height":4}},{"id":"455d9df7-06f8-4bea-b422-95bd79a4ccbc","block_type":"box","text":"Audit and risk – oversight responsibilities for the integrity of financial reporting, risk management and","page_number":196,"box":{"x":101,"y":185,"width":722,"height":11}},{"id":"b761078b-196c-4f34-80ca-8406d8976f27","block_type":"box","text":"compliance with legal and regulatory requirements; may also play an oversight role in relation to the internal","page_number":196,"box":{"x":101,"y":200,"width":771,"height":11}},{"id":"8bcb5485-8458-41aa-b411-d2f2e184b02b","block_type":"box","text":"audit function and whistleblowing mechanisms.","page_number":196,"box":{"x":102,"y":214,"width":335,"height":12}},{"id":"dc6ba475-c987-49c2-97dd-32d50466a3cc","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":235,"width":6,"height":4}},{"id":"bd374a88-c4b7-485b-afa0-f5ecca5d0ebc","block_type":"box","text":"Nominating, governance and human capital – oversight responsibilities for corporate governance principles and","page_number":196,"box":{"x":102,"y":232,"width":790,"height":11}},{"id":"873636e3-3c7f-4fad-bb5a-53f6c4dedc95","block_type":"box","text":"practices of the company, including the periodic review of board performance; responsibility for succession","page_number":196,"box":{"x":102,"y":247,"width":761,"height":11}},{"id":"fb092538-7697-42c5-8d8c-6815020e1653","block_type":"box","text":"planning for CEO and key board roles, as well as the director appointment process; may also have oversight","page_number":196,"box":{"x":102,"y":262,"width":769,"height":11}},{"id":"af1174c7-50c5-43fd-af4f-494f1b62979b","block_type":"box","text":"responsibilities for human capital management strategies, including corporate culture and purpose.","page_number":196,"box":{"x":102,"y":276,"width":707,"height":12}},{"id":"293f398e-3bd7-46de-accd-3b7a03986e2b","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":297,"width":6,"height":4}},{"id":"a30accef-c1cd-4c43-a0e6-0275f548e4b4","block_type":"box","text":"Executive compensation – determines the compensation policies and programs for the CEO and other executive","page_number":196,"box":{"x":102,"y":294,"width":796,"height":11}},{"id":"4984cd06-973f-4dac-aea4-3e400660cb16","block_type":"box","text":"officers, approves annual awards and payments under the policies; may also have oversight responsibilities for","page_number":196,"box":{"x":102,"y":309,"width":793,"height":11}},{"id":"85a8690c-b5e9-481a-90c4-3db187411bee","block_type":"box","text":"firm-wide compensation policies.","page_number":196,"box":{"x":101,"y":323,"width":232,"height":11}},{"id":"1e13f53b-47f0-45aa-bf29-4a57b95d885a","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":196,"box":{"x":101,"y":342,"width":807,"height":11}},{"id":"b4761382-c7d5-40b1-8855-ce2bc43ed9d6","block_type":"box","text":"to convey concerns about how a committee has undertaken its responsibilities. We may vote against the election of","page_number":196,"box":{"x":68,"y":357,"width":828,"height":11}},{"id":"bbacc1d9-f7e2-4d99-8a71-cc4bf40155e1","block_type":"box","text":"the most senior non-executive director if there is not a clearly disclosed approach to board committees.","page_number":196,"box":{"x":68,"y":372,"width":738,"height":11}},{"id":"39f9836d-7b57-4c31-9be5-7a22f31bacee","block_type":"box","text":"Board and director evaluation","page_number":196,"box":{"x":70,"y":395,"width":209,"height":8}},{"id":"b5762d81-ac10-48fa-aae7-5a00f2bb58fb","block_type":"box","text":"We consider it best practice for companies to conduct an annual review of the performance of the board, the","page_number":196,"box":{"x":101,"y":413,"width":776,"height":11}},{"id":"2cb411da-65f7-4677-8581-adfde4ba26c8","block_type":"box","text":"committees, the chair and individual directors. Periodically, this review could be undertaken by an independent third","page_number":196,"box":{"x":69,"y":428,"width":825,"height":11}},{"id":"4da32c98-f1d6-4795-a774-c81084208248","block_type":"box","text":"party able to bring objective perspectives to the board on governance and performance. We encourage companies to","page_number":196,"box":{"x":70,"y":443,"width":831,"height":11}},{"id":"2bf7ed62-412f-426f-ab65-54190d7ca846","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":196,"box":{"x":69,"y":458,"width":835,"height":11}},{"id":"c0c3971a-43bd-44a8-b3d2-c6a361c7dabe","block_type":"box","text":"a result.","page_number":196,"box":{"x":69,"y":473,"width":57,"height":8}},{"id":"4d0ae956-4deb-4716-8a7f-050e7efb4298","block_type":"box","text":"Access to independent advice","page_number":196,"box":{"x":68,"y":495,"width":214,"height":11}},{"id":"5418786b-d42f-428e-8ba9-6e29a6e6c9ee","block_type":"box","text":"To support the directors in effectively fulfilling their duties to the company and shareholders, they should have","page_number":196,"box":{"x":101,"y":513,"width":786,"height":12}},{"id":"d5f1702c-e8f4-49c6-9989-358b1a6deaff","block_type":"box","text":"access to independent advice. In certain circumstances, it may be helpful to boards to retain independent third","page_number":196,"box":{"x":69,"y":528,"width":793,"height":11}},{"id":"0077890e-ffcc-491e-badb-d3991ea809b2","block_type":"box","text":"parties to advise on critical matters. These might include new industry developments such as emergent and","page_number":196,"box":{"x":70,"y":543,"width":770,"height":11}},{"id":"e268a856-1895-4ef4-970f-5cc58b2ff12e","block_type":"box","text":"disruptive technology, operating events with material consequences for the company’s reputation and/or","page_number":196,"box":{"x":69,"y":558,"width":746,"height":11}},{"id":"bd1da2fe-fd92-4994-a695-66333de6b25f","block_type":"box","text":"performance, or significant transactions. Board committees may similarly retain third parties to advise them on","page_number":196,"box":{"x":70,"y":573,"width":793,"height":11}},{"id":"df198a9e-76e2-4e5e-a6bf-dac6ba2fc31e","block_type":"box","text":"specialist matters such as audit, compensation and succession planning.","page_number":196,"box":{"x":69,"y":588,"width":524,"height":11}},{"id":"d57f6249-4174-4dd9-a2ce-cf6b114bc97d","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":196,"box":{"x":385,"y":618,"width":207,"height":9}},{"id":"448f7736-9fa2-4b8a-9e55-c336b33c24aa","block_type":"box","text":"Boards play an important role in establishing compensation arrangements that enable the company to recruit,","page_number":196,"box":{"x":102,"y":637,"width":784,"height":11}},{"id":"6b0d9c83-ab4d-43c5-9abb-7ab480a2610e","block_type":"box","text":"retain and reward the caliber of executive management necessary to lead and operate the company to deliver","page_number":196,"box":{"x":69,"y":652,"width":782,"height":11}},{"id":"5904b16e-56b1-4233-be3c-ebf30cc31a91","block_type":"box","text":"superior financial returns over time. We focus on alignment between variable pay and a company’s financial","page_number":196,"box":{"x":69,"y":666,"width":766,"height":12}},{"id":"9f5965ad-1d11-4ef6-8baa-394a6da42d26","block_type":"box","text":"performance.","page_number":196,"box":{"x":70,"y":681,"width":93,"height":11}},{"id":"e4de8201-3af0-48fd-89b4-dc99b16aefbc","block_type":"box","text":"Generally, executive compensation arrangements have four components: base salary, annual bonus that rewards","page_number":196,"box":{"x":102,"y":700,"width":805,"height":11}},{"id":"63cab1bd-9781-4142-ad8f-4741d546fe7f","block_type":"box","text":"performance against short-term metrics, incentives – most often share-based that reward performance against long","page_number":196,"box":{"x":70,"y":715,"width":831,"height":11}},{"id":"1557ccd5-0cab-4bd3-a6db-218e010af3f7","block_type":"box","text":"term metrics, and pensions and benefits. In our observation, base salary, pensions and benefits are largely set","page_number":196,"box":{"x":68,"y":730,"width":798,"height":11}},{"id":"ba834e45-cab0-41de-a585-c6fe8b1c0845","block_type":"box","text":"relative to market norms and benchmarks. The annual bonus and share-based incentive, or variable pay plans, tend","page_number":196,"box":{"x":69,"y":745,"width":824,"height":11}},{"id":"7b4920d2-25f0-4c7b-b1c1-67b32d5d53b7","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":196,"box":{"x":68,"y":760,"width":807,"height":11}},{"id":"c6f5bc09-3c4b-4b04-a73a-0590b8be2f40","block_type":"box","text":"recruit and motivate.","page_number":196,"box":{"x":69,"y":774,"width":146,"height":9}},{"id":"16a0e13e-f74c-4f77-b4bd-6eb6a0a03764","block_type":"box","text":"Recognizing the unique circumstances of each company, we determine whether to support a company’s","page_number":196,"box":{"x":102,"y":793,"width":739,"height":11}},{"id":"d8d010e3-082d-454a-97da-46d9ad16670f","block_type":"box","text":"approach to executive compensation on a case-by-case basis. We rely on companies providing sufficient quantitative","page_number":196,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"0d937f3e-1b12-4fb8-9607-9807d3019b8e","block_type":"box","text":"and qualitative information in their disclosures to enable shareholders to understand the compensation","page_number":196,"box":{"x":69,"y":823,"width":737,"height":11}},{"id":"a7a9d6c7-92ba-4f07-b3f2-ab325367affc","block_type":"box","text":"arrangements and assess the alignment with investors’ interests. Features we look for in compensation","page_number":196,"box":{"x":69,"y":837,"width":741,"height":12}},{"id":"a5a10dcc-1e99-4fa6-a681-38a3d9bc0c0d","block_type":"box","text":"arrangements include:","page_number":196,"box":{"x":69,"y":853,"width":157,"height":11}},{"id":"0a9364c8-0046-474e-af43-f81ed30b8158","block_type":"box","text":"•","page_number":196,"box":{"x":69,"y":873,"width":6,"height":4}},{"id":"e9ca770d-abcb-406d-9388-2e42cd3323b7","block_type":"box","text":"Fixed pay components, including base salary, benefits and prerequisites that are appropriate in the context of","page_number":196,"box":{"x":102,"y":870,"width":783,"height":11}},{"id":"d39febeb-e74e-4da9-86da-9a5205da074a","block_type":"box","text":"the company’s size, sector and market.","page_number":196,"box":{"x":101,"y":885,"width":280,"height":11}},{"id":"8c46b382-0525-44c3-aa4b-60ac326cfbc1","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":196,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"13d3d7bf-96b3-44f7-ae0b-cedf926fd874","block_type":"box","text":"Global Engagement and Voting Guidelines | 9","page_number":196,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"b98c387e-633d-4851-879d-ca42c3e957ad","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":196,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"46dd9441-f155-4f49-8096-168db2917fdc","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"c384e129-05d7-4555-a8f1-6654ece5a313","block_type":"box","text":"Variable pay subject to performance metrics that are closely linked to the company’s short- and long-term","page_number":197,"box":{"x":101,"y":45,"width":752,"height":11}},{"id":"6127f7b3-0622-4124-b2dd-152abe016b2e","block_type":"box","text":"strategic objectives.","page_number":197,"box":{"x":102,"y":60,"width":140,"height":11}},{"id":"1f189c0d-86e9-4759-8073-50aae2892f37","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":80,"width":6,"height":4}},{"id":"797e845f-77df-4dbe-9196-19ed6dfe5cba","block_type":"box","text":"Long-term incentives that motivate sustained performance across a multi-year period.","page_number":197,"box":{"x":102,"y":77,"width":609,"height":11}},{"id":"ec7f1515-8a12-402e-a5c0-fa91e63ccf0d","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":97,"width":6,"height":5}},{"id":"e223415a-f59e-4643-a1ec-41dd3c57cc87","block_type":"box","text":"A balance between fixed and variable pay, short- and long-term incentives, and specific instruments (cash and","page_number":197,"box":{"x":101,"y":94,"width":784,"height":12}},{"id":"56f78c62-c8fc-47fc-be75-d67893a931fd","block_type":"box","text":"equity awards) that promotes pay program durability and seldom necessitates one-off, discretionary payments.","page_number":197,"box":{"x":101,"y":109,"width":790,"height":11}},{"id":"72e7ad91-c1fe-42d6-8dc2-11b2d04136ac","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":129,"width":6,"height":5}},{"id":"10bfd6c4-f716-4908-bfbd-904ac7007f3d","block_type":"box","text":"Pay outcomes that are consistent with the returns to investors over the relevant time period.","page_number":197,"box":{"x":102,"y":127,"width":658,"height":11}},{"id":"bfc61492-a495-4d22-84a3-927caf916a88","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":147,"width":6,"height":4}},{"id":"4db4656f-7ff1-4839-b0bb-fc2a3b2f5851","block_type":"box","text":"Board discretion, if allowed within the variable pay arrangements, to be used sparingly, responsibly and","page_number":197,"box":{"x":102,"y":144,"width":735,"height":11}},{"id":"64216e09-fba7-480b-a6e1-73d76dfcd24b","block_type":"box","text":"transparently.","page_number":197,"box":{"x":101,"y":159,"width":95,"height":11}},{"id":"f37c2f2f-918e-4924-8f98-c612e7bb17ec","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":179,"width":6,"height":5}},{"id":"aa721827-c728-4339-a02e-85eb1a59a1c1","block_type":"box","text":"A requirement, that participants in long-term share-based incentive plans build a meaningful shareholding in the","page_number":197,"box":{"x":101,"y":176,"width":798,"height":11}},{"id":"66edeac7-6dea-4271-9e63-6ac971aefafa","block_type":"box","text":"company within a defined time period, as determined by the board or relevant board committee.","page_number":197,"box":{"x":101,"y":191,"width":683,"height":11}},{"id":"32039a48-c80b-43f3-8659-2b63e1c4c0d5","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":211,"width":6,"height":5}},{"id":"b343c842-c88e-4528-9e55-e6f56ef1f028","block_type":"box","text":"Change of control provisions that appropriately balance the interests of executives and shareholders.","page_number":197,"box":{"x":102,"y":208,"width":720,"height":12}},{"id":"fe03460c-8a22-4745-8862-e34267384684","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":229,"width":6,"height":4}},{"id":"f23cfd7d-df68-40f7-b06d-52e38eea4d30","block_type":"box","text":"Clawback or malus provisions that allow the company to recoup or hold back variable compensation from","page_number":197,"box":{"x":102,"y":226,"width":747,"height":11}},{"id":"c8fce7f0-bdb3-474c-bda4-a4288deae591","block_type":"box","text":"individuals whose awards were based on fraudulent activities, misstated financial reports, or executive","page_number":197,"box":{"x":102,"y":241,"width":733,"height":11}},{"id":"c9ca5e99-8811-4307-8f4d-3d5983f119ee","block_type":"box","text":"misconduct.","page_number":197,"box":{"x":102,"y":256,"width":84,"height":8}},{"id":"5e6dcddd-5c5b-4cfa-b529-0bb36177ce7f","block_type":"box","text":"•","page_number":197,"box":{"x":69,"y":276,"width":6,"height":4}},{"id":"f7017ff7-2f42-4522-b305-20861b3b164a","block_type":"box","text":"Severance arrangements that protect the company’s interests but do not cost more than is contractual.","page_number":197,"box":{"x":102,"y":273,"width":738,"height":11}},{"id":"1f7888ea-0509-4b2e-9c01-7b173c2fe36d","block_type":"box","text":"We may vote against proposals to introduce new share-based incentives, approve existing policies or plans, or","page_number":197,"box":{"x":101,"y":292,"width":787,"height":11}},{"id":"78654a8a-3c29-48f6-96f5-4cafc9672c6c","block_type":"box","text":"approve the compensation report where we do not see alignment between executive compensation arrangements","page_number":197,"box":{"x":69,"y":307,"width":810,"height":11}},{"id":"5f412c55-d0b6-403b-aa46-4ff77108dfda","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":197,"box":{"x":69,"y":321,"width":831,"height":11}},{"id":"89307793-30b4-4c99-9724-a1124b1b2d67","block_type":"box","text":"compensation misaligned with performance, we may vote against the election of the chair of the responsible","page_number":197,"box":{"x":69,"y":336,"width":775,"height":11}},{"id":"da35a278-e6be-4e04-b94c-aaa920299c6f","block_type":"box","text":"committee, or the most senior independent director.","page_number":197,"box":{"x":69,"y":351,"width":371,"height":11}},{"id":"ee9e1ae9-4a23-4ee8-ae13-f1a0c1f75d3b","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":197,"box":{"x":326,"y":381,"width":325,"height":9}},{"id":"40900b1f-7fda-4fc4-8bff-610efccaad54","block_type":"box","text":"Companies generally pay non-executive directors an annual retainer or fee in cash, shares or a combination of","page_number":197,"box":{"x":102,"y":400,"width":785,"height":11}},{"id":"51042fe1-a433-4c93-a43f-a2efb69adfd6","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":197,"box":{"x":68,"y":415,"width":831,"height":11}},{"id":"1dc613a0-1e2b-4f27-8521-6a0c0a4962af","block_type":"box","text":"do not support non-executive directors participating in performance-based incentive plans as doing so may create a","page_number":197,"box":{"x":69,"y":430,"width":825,"height":11}},{"id":"4adf270c-e3b4-4002-b390-d208ac02a6ce","block_type":"box","text":"conflict of interest and undermine their independence from management, whom they oversee.","page_number":197,"box":{"x":69,"y":444,"width":668,"height":12}},{"id":"fea81f34-a672-4b78-b97f-f0784f1acf52","block_type":"box","text":"CAPITAL STRUCTURE","page_number":197,"box":{"x":411,"y":475,"width":156,"height":8}},{"id":"24d2b7af-980c-4439-91e5-4051e2579c24","block_type":"box","text":"Boards are responsible for ensuring senior executive leadership has established a capital strategy that achieves","page_number":197,"box":{"x":102,"y":493,"width":800,"height":12}},{"id":"7c2f5faa-4f17-49e4-9ce3-85737c020b55","block_type":"box","text":"appropriate capital allocation in support of long-term financial resilience.","page_number":197,"box":{"x":69,"y":508,"width":516,"height":11}},{"id":"1d36e11d-9845-471a-a9ce-405dd3090186","block_type":"box","text":"Where company practices diverge from those set out below, we look for companies to disclose why they view","page_number":197,"box":{"x":101,"y":527,"width":776,"height":11}},{"id":"1faceac4-00b0-434f-88fd-fc60bf2b014d","block_type":"box","text":"these practices to be aligned with shareholders’ interests. We may vote against management proposals seeking","page_number":197,"box":{"x":68,"y":542,"width":803,"height":11}},{"id":"abccefb9-1b59-470e-8e16-100ad6f134f3","block_type":"box","text":"capital-related authorities, or the election of the most senior independent director, if we have concerns about a","page_number":197,"box":{"x":69,"y":557,"width":790,"height":11}},{"id":"53c9d337-a618-4cf7-ad83-d381a0876769","block_type":"box","text":"company’s approach. We may also support a shareholder proposal seeking conversion of shares with differentiated","page_number":197,"box":{"x":69,"y":571,"width":825,"height":12}},{"id":"37edf649-6e9e-40af-bfad-0b9bb759ac74","block_type":"box","text":"voting rights to a one-share, one-vote standard.","page_number":197,"box":{"x":68,"y":587,"width":336,"height":11}},{"id":"57f10fdd-9c5d-40f0-b14d-00b93ef37acb","block_type":"box","text":"Share issuance","page_number":197,"box":{"x":68,"y":609,"width":111,"height":9}},{"id":"5447e0ce-0bf6-4f4c-95ef-71da8dcdfc13","block_type":"box","text":"We assess requests for share issuance for particular transactions on a case-by-case basis. We will generally","page_number":197,"box":{"x":101,"y":627,"width":776,"height":12}},{"id":"307ce76d-5321-45a6-bca7-2c5420f0f3f4","block_type":"box","text":"support authorities to issue shares when subject to pre-emptive rights, and up to 20% absent pre-emptive rights. We","page_number":197,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"59c96af1-ba76-48f3-899e-39e9bc272799","block_type":"box","text":"consider it good practice for companies to seek regular approval of these authorities to allow shareholders to take","page_number":197,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"014f73ee-ea31-499c-8cf6-db103782e6b7","block_type":"box","text":"into consideration how prior authorities were used, as well as the current circumstances of the company and the","page_number":197,"box":{"x":70,"y":672,"width":802,"height":11}},{"id":"7273aeb2-27ea-4969-bc85-f30fb442a6f0","block_type":"box","text":"market environment.","page_number":197,"box":{"x":69,"y":687,"width":145,"height":9}},{"id":"17e283fe-154d-4a79-82ea-e8294e577b1a","block_type":"box","text":"Share buybacks","page_number":197,"box":{"x":68,"y":709,"width":116,"height":11}},{"id":"21ac2559-b0b6-4048-8fe2-373a7a91811c","block_type":"box","text":"We assess share buyback proposals in the context of the company’s disclosed capital management strategy and","page_number":197,"box":{"x":101,"y":728,"width":806,"height":11}},{"id":"00e0016a-842e-4260-ba37-f24561828380","block_type":"box","text":"management’s determination of the appropriate balance between investment that supports the long-term growth of","page_number":197,"box":{"x":69,"y":743,"width":823,"height":11}},{"id":"0b536eef-a1df-4b26-be6e-68d0e7d3891e","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":197,"box":{"x":68,"y":758,"width":836,"height":11}},{"id":"c3cac05a-4efe-47f0-b789-c2525a4c2882","block_type":"box","text":"company’s balance sheet and executive compensation arrangements and the price at which shares are repurchased","page_number":197,"box":{"x":69,"y":773,"width":830,"height":11}},{"id":"213dc943-cc49-4065-8484-11b3a2d96f50","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":197,"box":{"x":69,"y":787,"width":822,"height":12}},{"id":"c4b55abe-eac8-4834-8fc3-70f69b99c244","block_type":"box","text":"allow shareholders to take into consideration how prior authorities were used, as well as the current circumstances","page_number":197,"box":{"x":69,"y":802,"width":823,"height":11}},{"id":"aa782d4c-c747-484b-8b82-161edf918daf","block_type":"box","text":"of the company and the market environment.","page_number":197,"box":{"x":69,"y":817,"width":319,"height":11}},{"id":"879f39cc-49c8-4740-8126-32e26781afb3","block_type":"box","text":"Dividends","page_number":197,"box":{"x":69,"y":840,"width":69,"height":8}},{"id":"bfa1da91-56f4-4938-9e7a-b673b3df2a5d","block_type":"box","text":"We generally defer to management and the board on dividend policy but may engage to seek further clarification","page_number":197,"box":{"x":101,"y":858,"width":799,"height":11}},{"id":"ebc36472-9091-4a1e-9605-25d9bd25d935","block_type":"box","text":"where a proposed dividend appears out of line with the company’s financial position.","page_number":197,"box":{"x":68,"y":873,"width":604,"height":11}},{"id":"564c3d97-6095-4805-9619-dda5eeec9f00","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":197,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"41b229e6-83c5-4556-abee-9c6ccc013920","block_type":"box","text":"Global Engagement and Voting Guidelines | 10","page_number":197,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"b44404ca-6edf-4450-9277-57188084d1e5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":197,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2a1bddf6-2c0e-4bb7-969c-04632f4cec86","block_type":"box","text":"Differentiated voting rights","page_number":198,"box":{"x":69,"y":45,"width":196,"height":11}},{"id":"5c4d7a26-e4a5-411b-a977-dfa785c263ad","block_type":"box","text":"We prefer companies to adopt a one-share, one-vote structure for share classes with the same economic","page_number":198,"box":{"x":101,"y":63,"width":750,"height":11}},{"id":"1d51b6b9-2cbc-428b-8bd4-e85201f1e529","block_type":"box","text":"exposure. Certain companies, particularly those new to public markets, could make the case to adopt a","page_number":198,"box":{"x":69,"y":78,"width":740,"height":11}},{"id":"63c94555-c896-4f64-987d-70a78bc9cbc6","block_type":"box","text":"differentiated voting rights structure, or dual class stock. In those situations, we encourage companies to evaluate","page_number":198,"box":{"x":69,"y":93,"width":819,"height":11}},{"id":"ab289bca-a12c-4645-b50a-3dce8f31b566","block_type":"box","text":"and seek approval for their capital structure on a periodic basis.","page_number":198,"box":{"x":69,"y":108,"width":456,"height":11}},{"id":"447587bf-b350-47d6-baea-b166fa819298","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":198,"box":{"x":332,"y":138,"width":314,"height":9}},{"id":"59caf5f0-1719-46c1-ae51-4b6cc5f68f5e","block_type":"box","text":"We monitor developments in transactions and special situations closely and undertake our own detailed","page_number":198,"box":{"x":101,"y":157,"width":743,"height":11}},{"id":"4b9982f7-73b1-4106-9095-2254449eecc5","block_type":"box","text":"analyses of proposals.","page_number":198,"box":{"x":69,"y":172,"width":159,"height":11}},{"id":"f25c2799-ae9c-49a4-a3a4-fcb86ab46550","block_type":"box","text":"Mergers and acquisitions","page_number":198,"box":{"x":69,"y":194,"width":184,"height":11}},{"id":"e49b9617-24bd-4cc3-8c91-c49617701fa4","block_type":"box","text":"We evaluate proposed mergers or acquisitions by assessing the financial outcome for our clients as minority","page_number":198,"box":{"x":101,"y":213,"width":775,"height":11}},{"id":"f49a1341-c7cb-4b1a-b9ae-93ea4a9948f6","block_type":"box","text":"shareholders. Management should provide an assessment of the proposed transaction’s strategic and financial","page_number":198,"box":{"x":69,"y":228,"width":797,"height":11}},{"id":"e45da15b-2070-4dc9-96c2-172940ffff3f","block_type":"box","text":"rationale, along with its execution and operational risks. We review each transaction independently based on these","page_number":198,"box":{"x":69,"y":243,"width":819,"height":11}},{"id":"febbaa3c-debc-4ca7-9963-c31959cc644b","block_type":"box","text":"factors and the degree to which the transaction enhances shareholder value. The board might consider establishing","page_number":198,"box":{"x":68,"y":257,"width":827,"height":12}},{"id":"c19afa55-9c75-4db2-b328-93851c4b84c1","block_type":"box","text":"an ad hoc transaction committee to undertake an independent assessment of a significant merger or acquisition, in","page_number":198,"box":{"x":69,"y":272,"width":827,"height":11}},{"id":"f16b16b8-d733-467f-b310-00e2c47ff2d1","block_type":"box","text":"advance of making its recommendation to shareholders.","page_number":198,"box":{"x":69,"y":287,"width":400,"height":11}},{"id":"09e5e7d2-4b9f-4f95-b040-6d4489315bd8","block_type":"box","text":"We will vote against transactions that, in our assessment, do not advance our clients’ financial interests.","page_number":198,"box":{"x":101,"y":306,"width":749,"height":11}},{"id":"f0b2dc24-2510-4960-a05d-b6d07b32fbcd","block_type":"box","text":"Anti-takeover defenses","page_number":198,"box":{"x":68,"y":328,"width":167,"height":9}},{"id":"3c163210-eaa0-48c4-9780-16936ed1323b","block_type":"box","text":"In principle, we do not support companies using anti-takeover defenses, also known as poison pills or","page_number":198,"box":{"x":102,"y":347,"width":727,"height":11}},{"id":"8403c0de-4722-488f-ac98-ee5a8c928fee","block_type":"box","text":"shareholder rights plans, as they can entrench management and boards which have not delivered long-term","page_number":198,"box":{"x":69,"y":362,"width":766,"height":11}},{"id":"e635174b-24ea-4933-951d-478a96da7175","block_type":"box","text":"shareholder value. By exception, a poison pill may be supported if its purpose is to delay a takeover that is","page_number":198,"box":{"x":69,"y":376,"width":763,"height":12}},{"id":"2b036ac5-21f6-4f9b-a341-a43d4b2848bf","block_type":"box","text":"considered sub-optimal and enable management to seek an improved offer. Similarly, management could make the","page_number":198,"box":{"x":69,"y":391,"width":821,"height":12}},{"id":"5ab7d5db-876d-4c14-aea1-cb07357706e4","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":198,"box":{"x":69,"y":406,"width":799,"height":11}},{"id":"fd785506-6322-4636-85df-9a3f5136c8eb","block_type":"box","text":"investors. Defense mechanisms introduced in these circumstances should be limited in term and threshold, and also","page_number":198,"box":{"x":70,"y":421,"width":836,"height":11}},{"id":"98565ed2-19ed-4137-8f4e-945f41a9a625","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":198,"box":{"x":69,"y":436,"width":835,"height":11}},{"id":"12e4d58e-ccbf-4367-8e41-3f7172ed7dd9","block_type":"box","text":"a shareholder vote any mechanisms expected to be in place for more than 12 months.","page_number":198,"box":{"x":69,"y":451,"width":616,"height":11}},{"id":"0abc941d-f7c0-4c0b-a784-72a23367768d","block_type":"box","text":"Shareholder activism","page_number":198,"box":{"x":68,"y":473,"width":153,"height":9}},{"id":"5811e4bf-4e54-4824-aab8-9a326eb99550","block_type":"box","text":"When companies are the focus of an activism campaign, we may communicate with the activist to understand","page_number":198,"box":{"x":101,"y":492,"width":783,"height":11}},{"id":"a277863f-75e8-4de3-b2e3-f09b37f39da6","block_type":"box","text":"their analysis and objectives, once they have publicly disclosed their campaign. We may also engage with company","page_number":198,"box":{"x":68,"y":507,"width":819,"height":11}},{"id":"77793106-85d9-4d4f-8f76-5232aed4be24","block_type":"box","text":"management and possibly board members, especially those the activist may be seeking to replace. In our","page_number":198,"box":{"x":69,"y":522,"width":755,"height":11}},{"id":"047f9fbb-5f81-43ad-8cc6-44fe4d5bb3a2","block_type":"box","text":"assessment, we evaluate various factors, including the concerns raised by the activist and the case for change; the","page_number":198,"box":{"x":69,"y":536,"width":824,"height":12}},{"id":"5b914c58-8d06-4621-bcce-2688b3db6032","block_type":"box","text":"quality of both the activist’s and management’s plans; and the qualifications of each party’s candidates. We evaluate","page_number":198,"box":{"x":69,"y":551,"width":839,"height":12}},{"id":"f9ef05e2-e4ca-4b97-959c-94a34de77a83","block_type":"box","text":"each contested situation by assessing the potential financial outcome for our clients as minority shareholders.","page_number":198,"box":{"x":69,"y":566,"width":788,"height":11}},{"id":"5ffb24ab-489c-4230-95bb-e10c9d117c9d","block_type":"box","text":"We may support board candidates nominated by a shareholder activist if BAIS, in its independent judgment, or","page_number":198,"box":{"x":101,"y":585,"width":789,"height":11}},{"id":"ff76bf82-83c9-4806-9f0a-3689d1134d86","block_type":"box","text":"the relevant portfolio manager has determined that there is a case for change to enhance shareholder value, or if the","page_number":198,"box":{"x":68,"y":600,"width":839,"height":11}},{"id":"0a1b42ac-d38a-43be-a26a-4cc461f49546","block_type":"box","text":"incumbent board members do not demonstrate the relevant skills and expertise or have a poor track record of","page_number":198,"box":{"x":70,"y":614,"width":786,"height":11}},{"id":"9e1f6c44-0e2c-4aa4-938e-f344c1e5db07","block_type":"box","text":"protecting shareholders’ interests.","page_number":198,"box":{"x":70,"y":630,"width":244,"height":11}},{"id":"e0ade729-d947-4d00-bedf-613cf457511b","block_type":"box","text":"Significant shareholders and related party transactions","page_number":198,"box":{"x":68,"y":652,"width":403,"height":11}},{"id":"80e088e4-747e-455e-a80b-e225bdf5daf3","block_type":"box","text":"Boards of companies with affiliated shareholders or directors should give equitable consideration to the","page_number":198,"box":{"x":102,"y":670,"width":740,"height":12}},{"id":"a80f2c87-81fe-4a76-bab7-61234c25930e","block_type":"box","text":"interests of all shareholders when evaluating related party transactions.","page_number":198,"box":{"x":70,"y":685,"width":511,"height":12}},{"id":"3f117ff1-2e16-448e-ba19-8acbe6b9ba6e","block_type":"box","text":"We consider it good practice for transactions with related parties, such as significant shareholders or companies","page_number":198,"box":{"x":101,"y":704,"width":805,"height":11}},{"id":"7df89583-d6ad-4a46-a189-80108a267493","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":198,"box":{"x":69,"y":719,"width":832,"height":11}},{"id":"0a8eeb00-bdcd-4cb1-a329-fb498e921959","block_type":"box","text":"have been agreed with a non-related party. In our view, such transactions should be reviewed and approved by the","page_number":198,"box":{"x":69,"y":734,"width":812,"height":11}},{"id":"5caf76a8-069f-4f5a-b75f-d5ebd997c16c","block_type":"box","text":"independent members of the board, and if voted on, only disinterested shareholders should vote.","page_number":198,"box":{"x":70,"y":748,"width":692,"height":12}},{"id":"ea49da0f-45e4-4a73-9f6e-e5fa420c3a7c","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":198,"box":{"x":274,"y":779,"width":430,"height":10}},{"id":"52b0082a-ee08-4144-9ee2-cd72c10d0fdf","block_type":"box","text":"Investors depend on corporate reporting, both regulatory and voluntary, to understand a company’s strategy, its","page_number":198,"box":{"x":102,"y":798,"width":796,"height":11}},{"id":"e005a27c-f378-438e-9286-ee6fc64f8c1f","block_type":"box","text":"implementation and financial performance, as well as to assess the quality of management and operations and","page_number":198,"box":{"x":70,"y":812,"width":795,"height":12}},{"id":"98ee4cef-10d5-4315-ba82-893b0a943791","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":198,"box":{"x":70,"y":827,"width":779,"height":11}},{"id":"7e5a9b1c-9097-49e0-80d3-2395017683d9","block_type":"box","text":"oversee corporate reporting and the policies and procedures underpinning the internal audit function and external","page_number":198,"box":{"x":69,"y":842,"width":809,"height":11}},{"id":"07e8644d-16c2-41ca-b3e2-ff7e9fdfbcb8","block_type":"box","text":"audit.","page_number":198,"box":{"x":69,"y":857,"width":38,"height":9}},{"id":"8abdd8e7-e1ee-42a8-af0a-3854879da082","block_type":"box","text":"A company’s financial reporting should provide decision-useful information for investors, and other stakeholders,","page_number":198,"box":{"x":101,"y":875,"width":803,"height":12}},{"id":"f405a607-2529-4bcd-bf17-0c924176b54a","block_type":"box","text":"on its financial performance and position. It should provide an accurate and balanced assessment of the risks and","page_number":198,"box":{"x":69,"y":890,"width":819,"height":11}},{"id":"094c7833-5411-4c95-b8e8-516000fb2975","block_type":"box","text":"opportunities the company faces in realizing its long-term strategy. Accordingly, the assumptions made by","page_number":198,"box":{"x":69,"y":905,"width":752,"height":12}},{"id":"afd20669-b4fb-46df-b1c2-856fba92c29b","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":198,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"ec8808ec-4558-43bf-82e2-b4350fc6ff92","block_type":"box","text":"Global Engagement and Voting Guidelines | 11","page_number":198,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"9456abe4-df77-4b7e-b3ef-6ccb89528f5a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":198,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"62fae684-c283-4b8c-a083-6fc82f0e58d6","block_type":"box","text":"management and reviewed by the auditor in preparing the financial statements should be reasonable and justified.","page_number":199,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"708b87c0-7e77-46b4-8b00-9276369d3328","block_type":"box","text":"Financial statements should be prepared in accordance with globally developed reporting standards and any","page_number":199,"box":{"x":70,"y":60,"width":771,"height":11}},{"id":"89105eb8-781b-46da-bd77-d626294c19a5","block_type":"box","text":"divergence from generally accepted accounting principles should be explained in detail and justified. Accounting","page_number":199,"box":{"x":69,"y":74,"width":796,"height":12}},{"id":"0d926c25-600b-4347-ab4b-651c7506adff","block_type":"box","text":"restatements should be explained in detail and any remedial actions, and the implications of these, disclosed.","page_number":199,"box":{"x":69,"y":89,"width":788,"height":11}},{"id":"682539be-a0e7-4256-82a2-82f017d9a920","block_type":"box","text":"In this context, audit committees play a vital role in a company’s financial reporting system by providing","page_number":199,"box":{"x":102,"y":108,"width":739,"height":11}},{"id":"28b640fe-f9af-464a-ae0b-3825ec0a9253","block_type":"box","text":"independent oversight of the accounts, material financial and, where appropriate to the jurisdiction, non-financial","page_number":199,"box":{"x":70,"y":123,"width":801,"height":11}},{"id":"df244304-e9bd-43f2-8ce5-2303d6f03717","block_type":"box","text":"information, internal control frameworks and Enterprise Risk Management systems. In our view, effective audit","page_number":199,"box":{"x":70,"y":138,"width":787,"height":11}},{"id":"3e5a2704-d188-4c72-94aa-9eec7e2af65d","block_type":"box","text":"committee oversight strengthens the quality and reliability of a company’s financial statements and provides an","page_number":199,"box":{"x":69,"y":152,"width":795,"height":12}},{"id":"a1eca732-3d66-45ff-9ae7-ff093635431d","block_type":"box","text":"important level of reassurance to shareholders. Audit committees should have a procedure in place for assessing the","page_number":199,"box":{"x":70,"y":167,"width":838,"height":12}},{"id":"21552333-8865-4067-b015-059d83b910c0","block_type":"box","text":"independence of the auditor and the quality of the external audit process annually.","page_number":199,"box":{"x":70,"y":182,"width":585,"height":11}},{"id":"6a9e8c7e-1dc8-4ce2-a960-8211e32a89be","block_type":"box","text":"Similarly, we encourage companies to disclose material sustainability-related factors that are integral to how a","page_number":199,"box":{"x":102,"y":201,"width":784,"height":11}},{"id":"7b7ee709-090f-46fb-868b-ebb9ec2b79f5","block_type":"box","text":"company manages risks or generates revenue. BAIS finds it helpful to our understanding when companies provide","page_number":199,"box":{"x":69,"y":216,"width":812,"height":11}},{"id":"40e7fa7d-787c-42dd-8527-662373f13105","block_type":"box","text":"robust, standardized disclosures on their material sustainability-related risks and opportunities. The International","page_number":199,"box":{"x":69,"y":231,"width":806,"height":11}},{"id":"1c30b31b-3732-4394-9bb3-8de77e007fd6","block_type":"box","text":"Sustainability Standards Board (ISSB) is one entity working to meet these objectives through its reporting standards,","page_number":199,"box":{"x":69,"y":246,"width":832,"height":11}},{"id":"ac56fe6b-eb99-477f-835c-33f8246229f5","block_type":"box","text":"which may be helpful to companies in preparing such reports.","page_number":199,"box":{"x":68,"y":260,"width":440,"height":12}},{"id":"27a8aee1-53a2-4727-a585-5d34f88b8e0d","block_type":"box","text":"9","page_number":199,"box":{"x":509,"y":261,"width":5,"height":4}},{"id":"6994f384-09a6-4fd8-91bd-ba693bdba5af","block_type":"box","text":"However, we do not mandate any specific disclosure","page_number":199,"box":{"x":520,"y":260,"width":372,"height":11}},{"id":"e813fb1f-e5c1-40de-b758-8710dd7d07fc","block_type":"box","text":"framework, and note that companies in certain jurisdictions are subject to mandatory reporting requirements under","page_number":199,"box":{"x":68,"y":275,"width":824,"height":11}},{"id":"56e866f2-6447-4bb6-bb02-4d8fd4941699","block_type":"box","text":"standards specified by policy makers.","page_number":199,"box":{"x":69,"y":290,"width":267,"height":11}},{"id":"2f76212a-4d57-43f2-8ebf-8299568a2cac","block_type":"box","text":"10","page_number":199,"box":{"x":338,"y":290,"width":9,"height":5}},{"id":"7e525ea0-1658-4412-8b0f-b609450d80f0","block_type":"box","text":"Companies should establish robust risk management and internal control processes appropriate to the","page_number":199,"box":{"x":102,"y":309,"width":735,"height":11}},{"id":"7023410d-44fd-487f-befb-dd24ec99cafe","block_type":"box","text":"company’s business, risk tolerance, and regulatory environment. A credible whistleblowing system for employees,","page_number":199,"box":{"x":69,"y":323,"width":810,"height":12}},{"id":"a1c0edff-14ab-4fef-9fe5-184cffcbb4c6","block_type":"box","text":"and potentially other stakeholders, can be a useful mechanism for ensuring that senior management and the board","page_number":199,"box":{"x":69,"y":338,"width":822,"height":12}},{"id":"e3c1e368-fe83-48ab-baab-6c448603170a","block_type":"box","text":"are aware of potential misconduct or breaches in risk management and internal control processes.","page_number":199,"box":{"x":69,"y":353,"width":704,"height":12}},{"id":"6ddba664-260b-483a-8e9d-ac8a20bfcc6c","block_type":"box","text":"A comprehensive audit conducted by an independent audit firm contributes to investor confidence in the quality","page_number":199,"box":{"x":101,"y":372,"width":794,"height":11}},{"id":"2d47e227-ad14-42ac-9f06-8a2cf5944a24","block_type":"box","text":"of corporate reporting. It is helpful when the audit report gives some insight into the scope and focus of the audit, as","page_number":199,"box":{"x":69,"y":387,"width":836,"height":11}},{"id":"e0bb6749-974d-45b4-807c-b307823b42ae","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":199,"box":{"x":68,"y":402,"width":838,"height":11}},{"id":"dfe7165f-436f-4fea-a9de-4997631d60c4","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":199,"box":{"x":69,"y":416,"width":773,"height":11}},{"id":"82d805a6-d043-4e91-9a58-e6c503473a8b","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":199,"box":{"x":69,"y":431,"width":804,"height":12}},{"id":"8599a884-e691-4038-bd15-43fdc1eb9c1d","block_type":"box","text":"audit. The audit committee should explain its position on auditor tenure and how it confirmed that the auditor","page_number":199,"box":{"x":69,"y":446,"width":780,"height":11}},{"id":"f87099c4-71ed-4c16-bc94-9c289cf56ec2","block_type":"box","text":"remained independent.","page_number":199,"box":{"x":69,"y":461,"width":163,"height":11}},{"id":"7b98784b-5c31-462b-929a-799b0e4f31f9","block_type":"box","text":"We may vote against the election of the responsible directors if corporate reporting is insufficient or there are","page_number":199,"box":{"x":101,"y":480,"width":783,"height":11}},{"id":"68f91669-317d-4489-aecc-3e76c723975f","block_type":"box","text":"material misstatements in financial reports. In markets where relevant, we may vote against a proposal to approve","page_number":199,"box":{"x":69,"y":495,"width":819,"height":11}},{"id":"8ba590d8-19a3-4fbb-921e-eaaffb6ea3d4","block_type":"box","text":"the financial statements or the discharge of the board when we are concerned about the quality of corporate","page_number":199,"box":{"x":68,"y":509,"width":774,"height":12}},{"id":"cd739d9e-60fc-406b-8aca-cb2ba1e8a203","block_type":"box","text":"reporting or the audit. We may vote against proposals to appoint the auditor, ratify the audit report, or approve the","page_number":199,"box":{"x":69,"y":524,"width":816,"height":12}},{"id":"fa2605cf-913c-4893-964c-a72f82c36b08","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":199,"box":{"x":69,"y":539,"width":779,"height":11}},{"id":"b56d51f9-f870-4cdd-9be7-14a881530654","block_type":"box","text":"misstatements in financial reports and the board has not established reasonable remediation plans.","page_number":199,"box":{"x":69,"y":554,"width":718,"height":11}},{"id":"ed156c03-5a94-46b6-8959-5e36fdc6745e","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":199,"box":{"x":329,"y":584,"width":319,"height":9}},{"id":"49617518-d8a6-489e-a461-fc07f4773263","block_type":"box","text":"General shareholder meetings","page_number":199,"box":{"x":69,"y":607,"width":217,"height":11}},{"id":"4c5d401b-cf38-4505-96e2-40cd7bddaedf","block_type":"box","text":"Companies normally have an annual general meeting of shareholders at which routine and non-routine items of","page_number":199,"box":{"x":102,"y":625,"width":792,"height":12}},{"id":"64a37c0c-fdc5-4c6d-b9f0-7e4336dba11e","block_type":"box","text":"business are discussed and voted on by shareholders in attendance or submitting proxy votes. Companies should","page_number":199,"box":{"x":69,"y":640,"width":812,"height":11}},{"id":"71c7b31e-2b41-4b75-b84e-0db1a710dc0f","block_type":"box","text":"disclose materials relevant to the shareholder meeting sufficiently in advance so that shareholders can take them","page_number":199,"box":{"x":69,"y":655,"width":813,"height":11}},{"id":"5177fbec-0032-4c78-b136-20b268945c95","block_type":"box","text":"into consideration in their voting decisions. Many companies offer shareholders the option of participating in the","page_number":199,"box":{"x":70,"y":670,"width":801,"height":11}},{"id":"94805008-3e51-4f64-8143-adb89c2569e2","block_type":"box","text":"meeting virtually which, whilst welcome, should not limit the rights of shareholders to participate as they would during","page_number":199,"box":{"x":69,"y":685,"width":841,"height":11}},{"id":"2637142b-11af-4691-8695-35867a437193","block_type":"box","text":"an in-person meeting.","page_number":199,"box":{"x":69,"y":700,"width":152,"height":11}},{"id":"154a9462-1471-4e53-bf70-7b9dcebc0be6","block_type":"box","text":"We may vote against directors when materials related to the business of the shareholder meeting are not","page_number":199,"box":{"x":101,"y":718,"width":752,"height":12}},{"id":"663fbd6d-a9ce-4b2c-9b3e-1132c9be5167","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":199,"box":{"x":70,"y":733,"width":821,"height":11}},{"id":"541767b4-68fc-4927-8b37-1e8dbdd72dad","block_type":"box","text":"may vote against directors if the format of the shareholder meeting does not accommodate reasonable shareholder","page_number":199,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"10af6bfa-243f-40ca-a8ac-ae45255e19fb","block_type":"box","text":"participation.","page_number":199,"box":{"x":70,"y":763,"width":91,"height":11}},{"id":"33555549-ca3d-4460-97cb-07ae7b43b995","block_type":"box","text":"9","page_number":199,"box":{"x":69,"y":793,"width":4,"height":4}},{"id":"cb673b27-f47b-4138-b89e-53fde25d8448","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":199,"box":{"x":93,"y":792,"width":744,"height":11}},{"id":"afe8f0d1-f218-425b-84d7-bf72d4e0a6a8","block_type":"box","text":"(IFRS) Foundation. Please refer to the IFRS website to learn more about the framework and standards S1","page_number":199,"box":{"x":94,"y":807,"width":748,"height":11}},{"id":"d66bdb54-61eb-4dd2-b217-5b181a4e1321","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":199,"box":{"x":94,"y":822,"width":778,"height":12}},{"id":"59084561-8895-498a-bab1-adfa28f93c9b","block_type":"box","text":"Disclosures.”","page_number":199,"box":{"x":94,"y":838,"width":93,"height":8}},{"id":"30538d1d-430c-43e6-8257-f5ac7b0397bc","block_type":"box","text":"10","page_number":199,"box":{"x":69,"y":856,"width":9,"height":4}},{"id":"2e53dbee-f129-4600-8297-25f2997f6f9a","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":199,"box":{"x":93,"y":858,"width":810,"height":11}},{"id":"d672a9df-a3c0-4b23-9888-2f4a3adc393c","block_type":"box","text":"See, for examples, https://www.ifrs.org/newsandevents/news/2025/06/ifrsfoundationpublishesjurisdictional\r\nprofiles-issb-standards/ and https://finance.ec.europa.eu/capital-markets-union-and-financial-markets/companyreporting\r\nandaditing/companreporting/corporatesstainabilitreportingen","page_number":199,"box":{"x":94,"y":866,"width":804,"height":12}},{"id":"7a02f827-f884-4931-b48f-c5e26f6f8c1e","block_type":"box","text":"p/ p//p/p\r\nreporting-and-auditing/company-reporting/corporate-sustainability-reporting_en.","page_number":199,"box":{"x":94,"y":876,"width":564,"height":11}},{"id":"d4b26fb6-c8ce-4fb5-8718-bf92b590677c","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":199,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"ba4bbd6b-ec7a-4b8d-a5ce-defcf37ab24c","block_type":"box","text":"Global Engagement and Voting Guidelines | 12","page_number":199,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"cb8251e6-7593-478a-be0f-5f8616d34c03","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":199,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"454cddc4-5db3-4999-b1aa-f350b6512f15","block_type":"box","text":"Bylaw amendments","page_number":200,"box":{"x":69,"y":45,"width":141,"height":11}},{"id":"54dfdc7d-ae81-4232-aa87-a827caf26ef2","block_type":"box","text":"We review bylaw amendments proposed by management on a case-by-case basis and will generally support","page_number":200,"box":{"x":101,"y":64,"width":766,"height":11}},{"id":"dffd10a5-a2d9-4a70-9f93-2e763fe29c88","block_type":"box","text":"those that are aligned with the interests of minority shareholders. Any material changes to the bylaws should be","page_number":200,"box":{"x":68,"y":78,"width":800,"height":11}},{"id":"08fb82e0-8e2f-4ea6-a3d9-b91455a224aa","block_type":"box","text":"explained in detail and put to a shareholder vote.","page_number":200,"box":{"x":69,"y":93,"width":349,"height":11}},{"id":"1fa3c24b-0f46-4922-a085-be06f6d25374","block_type":"box","text":"We may vote against bylaw amendments that reduce shareholder rights and protections or introduce additional","page_number":200,"box":{"x":101,"y":112,"width":790,"height":11}},{"id":"3b3cd7f5-1702-4024-8d10-02162fa0964a","block_type":"box","text":"burdens. We may vote against directors if material changes are made to the bylaws without shareholder approval.","page_number":200,"box":{"x":69,"y":126,"width":810,"height":12}},{"id":"fb5dc7af-7ae5-4081-bdb4-6a77a093f8a0","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":200,"box":{"x":102,"y":145,"width":790,"height":11}},{"id":"022105a1-d210-44fe-9671-cbd08de5c67f","block_type":"box","text":"group, with a meaningful shareholding, the right to call a special meeting of shareholders. The shareholding required","page_number":200,"box":{"x":68,"y":160,"width":831,"height":11}},{"id":"d047adf4-52b1-42d1-ab9d-5c2c49ca02bf","block_type":"box","text":"to exercise this right should balance its utility with the cost to the company of holding special meetings.","page_number":200,"box":{"x":68,"y":175,"width":740,"height":11}},{"id":"564937f5-3d49-4efb-8253-1068e282418f","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":200,"box":{"x":102,"y":193,"width":790,"height":12}},{"id":"2a87cce9-92c7-4df9-af2d-7753ed2ff9b4","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":200,"box":{"x":68,"y":208,"width":834,"height":12}},{"id":"479d2274-d142-4aa7-ab40-8350045639a9","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":200,"box":{"x":69,"y":223,"width":758,"height":12}},{"id":"cb1f779c-9360-4c69-88f2-4d7a616bba8c","block_type":"box","text":"nomination process.","page_number":200,"box":{"x":69,"y":238,"width":143,"height":11}},{"id":"294e6f64-4b28-4279-b17e-5d1db9dde0eb","block_type":"box","text":"Whilst we would not use either of these rights ourselves, we see them as important accountability mechanisms.","page_number":200,"box":{"x":101,"y":257,"width":799,"height":11}},{"id":"269bb4b3-7686-432d-b7cb-98cc91280f8e","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":200,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"a71c7b71-2271-420d-868f-1c4752768c5b","block_type":"box","text":"Change of domicile","page_number":200,"box":{"x":69,"y":294,"width":139,"height":11}},{"id":"b1212857-a63d-4f18-8525-14167bd484b3","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":200,"box":{"x":101,"y":313,"width":778,"height":11}},{"id":"81cca8f6-4e91-43b8-a5a9-5af139d90a2f","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":200,"box":{"x":69,"y":328,"width":766,"height":11}},{"id":"8686ba91-3d0c-4a33-9ccb-f34fdac474b6","block_type":"box","text":"immaterial.","page_number":200,"box":{"x":70,"y":343,"width":77,"height":8}},{"id":"b5b7e192-0a5c-4132-94a4-8aeaa4cc6286","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":200,"box":{"x":101,"y":361,"width":777,"height":11}},{"id":"d0f4bb00-1426-4522-8845-91c012dfd338","block_type":"box","text":"with our clients’ financial interests.","page_number":200,"box":{"x":68,"y":376,"width":249,"height":9}},{"id":"e66e7905-7e50-4be9-9fc8-24bdafb9832d","block_type":"box","text":"Changes to a company’s purpose or the nature of its business","page_number":200,"box":{"x":69,"y":398,"width":452,"height":11}},{"id":"3709439e-855f-4f6a-96ee-ecfa5ac6633d","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":200,"box":{"x":102,"y":417,"width":803,"height":11}},{"id":"265cd9db-a87e-4689-bab2-32c3d822f969","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":200,"box":{"x":70,"y":432,"width":829,"height":11}},{"id":"30a8abee-ce5b-47f9-8fc0-c46d46a70e33","block_type":"box","text":"on the suitability of a company for their investment strategy or portfolio.","page_number":200,"box":{"x":69,"y":447,"width":511,"height":11}},{"id":"4bbe0baa-514e-48b1-b9a7-08bb647357c5","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":200,"box":{"x":101,"y":465,"width":792,"height":12}},{"id":"24428c7f-74b1-4bb3-8334-d5d2d9eeab22","block_type":"box","text":"the board has not provided a credible argument for change.","page_number":200,"box":{"x":68,"y":480,"width":424,"height":12}},{"id":"96ccc016-0474-4dc0-92f4-d6303c58d234","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":200,"box":{"x":385,"y":510,"width":207,"height":9}},{"id":"bf2aa3b7-05c3-4ad8-a2a7-2bf7b8548d2b","block_type":"box","text":"Shareholders in many markets, who meet certain eligibility criteria, have the right to submit proposals to the","page_number":200,"box":{"x":102,"y":529,"width":772,"height":11}},{"id":"ff8c16a8-0fe7-45f8-889c-18de2fc12ddc","block_type":"box","text":"general shareholder meeting asking a company to take a particular course of action subject to the proposal being","page_number":200,"box":{"x":68,"y":544,"width":811,"height":11}},{"id":"7bce0ff3-fe36-4e0e-9190-a2567fa4db35","block_type":"box","text":"supported by a majority of votes cast at the meeting. The topics raised can address a range of matters that may be","page_number":200,"box":{"x":69,"y":559,"width":824,"height":11}},{"id":"8593ded2-4484-4e8a-9430-1e01dc09e654","block_type":"box","text":"relevant to a company’s business.","page_number":200,"box":{"x":69,"y":574,"width":243,"height":11}},{"id":"d2cbb762-71a6-46a7-818e-7b615adcbbb2","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":200,"box":{"x":101,"y":592,"width":730,"height":11}},{"id":"0838216a-4b45-4ba3-93d4-e3b85ec7d1b7","block_type":"box","text":"company’s business and its current approach, whether the actions sought are consistent with shareholders’","page_number":200,"box":{"x":69,"y":607,"width":772,"height":11}},{"id":"b607a503-6ced-422d-af90-b0184c37c051","block_type":"box","text":"interests, and what impact the proposal being acted upon might have on financial performance.","page_number":200,"box":{"x":70,"y":622,"width":681,"height":11}},{"id":"6e056ae9-7576-4c23-b095-a9b5d5615046","block_type":"box","text":"Our general approach where we have concerns about a company’s governance, disclosures or performance is to","page_number":200,"box":{"x":102,"y":641,"width":801,"height":11}},{"id":"65e83093-fdc8-406e-8614-7b5292581c4b","block_type":"box","text":"engage to understand the apparent difference in perspective. If we are concerned a company is not acting in","page_number":200,"box":{"x":69,"y":656,"width":774,"height":11}},{"id":"87f79fb6-26e1-4187-878c-a1e8d9067154","block_type":"box","text":"shareholders’ financial interests, we may vote against the election of directors. We may support a relevant","page_number":200,"box":{"x":69,"y":670,"width":761,"height":12}},{"id":"33ab9281-b1ea-4dce-ab88-7fc68e132890","block_type":"box","text":"shareholder proposal if doing so is aligned with our clients’ financial interests. We generally do not support","page_number":200,"box":{"x":69,"y":685,"width":764,"height":12}},{"id":"191508f0-78f3-440b-9e22-b5a84e1deaa3","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":200,"box":{"x":69,"y":700,"width":785,"height":11}},{"id":"629c9c95-6f33-4db9-9374-9bc69cb179e1","block_type":"box","text":"operations, or are unrelated to how a company manages risk or generates financial returns.","page_number":200,"box":{"x":69,"y":715,"width":653,"height":11}},{"id":"73681e2e-2496-41fb-a308-df3329d2d6b4","block_type":"box","text":"BlackRock is subject to rules, regulations, agency guidance and contractual agreements that place restrictions","page_number":200,"box":{"x":102,"y":734,"width":788,"height":11}},{"id":"bc0f645c-e812-45bd-8978-febc15b39d5d","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":200,"box":{"x":69,"y":748,"width":822,"height":12}},{"id":"f4ba3f60-e504-4eb1-bacd-a90e41a0211a","block_type":"box","text":"ability to submit shareholder proposals. We do not submit shareholder proposals but can vote, on behalf of clients","page_number":200,"box":{"x":69,"y":763,"width":817,"height":12}},{"id":"8b51d04f-eb8e-4c96-952a-29b97ffcaa33","block_type":"box","text":"who authorize us to do so, on proposals put forth by others.","page_number":200,"box":{"x":68,"y":778,"width":428,"height":11}},{"id":"40d4d4dd-dbe4-4605-ab86-b68805e14d4e","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":200,"box":{"x":359,"y":808,"width":260,"height":9}},{"id":"88a1023b-242d-4c5e-a2f0-d4b29499c222","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":200,"box":{"x":101,"y":827,"width":795,"height":11}},{"id":"026504f5-0ea7-40aa-8ddb-b0c1648cff37","block_type":"box","text":"in which they engage. When a corporation reports material financial risk related to policy and or regulatory changes,","page_number":200,"box":{"x":70,"y":842,"width":824,"height":11}},{"id":"4f465dbd-0846-44ce-a8d1-9e225e4c8cc9","block_type":"box","text":"BAIS may seek to understand how it is addressing the material risk identified. We seek to understand how","page_number":200,"box":{"x":70,"y":857,"width":757,"height":11}},{"id":"d75297d5-df13-4014-b49e-db63a711f398","block_type":"box","text":"companies engage in corporate political activities and ensure that their participation is consistent with their public","page_number":200,"box":{"x":69,"y":872,"width":814,"height":11}},{"id":"287c02b0-6bba-41bb-b040-0674d22cf122","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":200,"box":{"x":69,"y":887,"width":780,"height":11}},{"id":"19f302f8-3115-4afd-a9e2-8a57958ae2ba","block_type":"box","text":"approach taken by management on corporate political activities as there can be reputational risks arising from","page_number":200,"box":{"x":69,"y":901,"width":786,"height":12}},{"id":"2728d2b8-66c7-4122-8e59-bd7a75bb2901","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":200,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"523dc104-c10e-46c2-b586-38d47a48112f","block_type":"box","text":"Global Engagement and Voting Guidelines | 13","page_number":200,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"7dc658c7-bef8-4c0c-abc8-ce51cd164052","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":200,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ba1b1ec1-8c2f-40a0-97bf-49ab176ee3ff","block_type":"box","text":"inconsistencies between a company’s policy engagement and stated policy positions. Companies should, as a","page_number":201,"box":{"x":70,"y":45,"width":786,"height":11}},{"id":"e1e06cd7-bd02-4cca-91ba-a3f1ec15d1ab","block_type":"box","text":"minimum, meet all regulatory disclosure requirements on political activities. We may engage a company where we","page_number":201,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"f25fa49b-b0fe-4347-9df4-713640ae27d5","block_type":"box","text":"would like to better understand its approach to policy engagement, where relevant.","page_number":201,"box":{"x":68,"y":75,"width":590,"height":11}},{"id":"f5af1443-db7d-49ad-ae1e-f1611f0ea63b","block_type":"box","text":"To mitigate the risk of inconsistencies, companies may wish to assess the alignment between their policy","page_number":201,"box":{"x":101,"y":93,"width":753,"height":11}},{"id":"5bb30113-210e-4296-8f8d-4024149434ba","block_type":"box","text":"priorities and the policy positions of the trade associations of which they are active members and any engagements","page_number":201,"box":{"x":70,"y":108,"width":823,"height":11}},{"id":"9f33e8c5-d114-447a-9289-d238ad67c530","block_type":"box","text":"undertaken by trade associations on behalf of members.","page_number":201,"box":{"x":69,"y":123,"width":404,"height":11}},{"id":"be850f07-aa58-4111-8078-ccd68bcf48f6","block_type":"box","text":"We may support a relevant shareholder proposal, or vote against directors, where a company’s disclosures are","page_number":201,"box":{"x":101,"y":142,"width":793,"height":11}},{"id":"11ec2617-f974-4373-a448-18f59e8ad506","block_type":"box","text":"insufficient to address the material risk it has identified.","page_number":201,"box":{"x":70,"y":156,"width":400,"height":9}},{"id":"9d0016ad-cb6f-49fa-9b29-ceab772e5775","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":201,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"bcd4660e-ec42-47ef-b19f-f68dc4c838bf","block_type":"box","text":"Global Engagement and Voting Guidelines | 14","page_number":201,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"f56be984-7766-4808-aeaf-fa61500e2932","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":201,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7e7d43f9-6c90-4127-a3be-1d9b4603c462","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":202,"box":{"x":245,"y":45,"width":489,"height":9}},{"id":"d3408e78-ad3a-4edd-a54c-9184370affdf","block_type":"box","text":"We seek to understand how companies manage the material risks and opportunities inherent in their business","page_number":202,"box":{"x":101,"y":64,"width":790,"height":11}},{"id":"103f9075-b743-4422-b75d-7efd7d0c572b","block_type":"box","text":"operations. In our experience, sustainability-related factors","page_number":202,"box":{"x":69,"y":78,"width":418,"height":12}},{"id":"31014581-34cb-4b45-b79b-f1825d165e7c","block_type":"box","text":"11","page_number":202,"box":{"x":488,"y":79,"width":9,"height":4}},{"id":"a6cc1510-9aa5-4c9d-aca1-403b98beb995","block_type":"box","text":"that are relevant to a company’s business or material to","page_number":202,"box":{"x":502,"y":79,"width":402,"height":11}},{"id":"25da3d95-33a1-4303-8d99-5a85bec9336f","block_type":"box","text":"its financial performance, are generally operational considerations embedded into day-to-day management systems.","page_number":202,"box":{"x":70,"y":93,"width":824,"height":12}},{"id":"3b6e6793-2164-45eb-9937-2160c08234ed","block_type":"box","text":"Certain sustainability issues may also inform long-term strategic planning, for example, investing in product","page_number":202,"box":{"x":69,"y":108,"width":766,"height":11}},{"id":"e445133c-09c2-41cf-a561-83e90a6e57aa","block_type":"box","text":"innovation in anticipation of changing consumer demand or adapting supply chains in response to changing","page_number":202,"box":{"x":70,"y":123,"width":764,"height":11}},{"id":"792975ef-db4e-4a30-a124-711dd532abd9","block_type":"box","text":"regulatory requirements.","page_number":202,"box":{"x":69,"y":138,"width":174,"height":11}},{"id":"b528fbf5-10b5-457f-949d-b59c57b4e267","block_type":"box","text":"We recognize that the specific sustainability-related factors that may be financially material or business relevant","page_number":202,"box":{"x":101,"y":156,"width":798,"height":12}},{"id":"22a05598-0bde-4554-b544-db2e6c2adc6e","block_type":"box","text":"will vary by company business model, sector, key markets, and time horizon, amongst other considerations. From","page_number":202,"box":{"x":68,"y":172,"width":809,"height":11}},{"id":"633e8ad9-06f3-401c-b578-8330a2ec8296","block_type":"box","text":"company disclosures and our engagement, we aim to understand how management is identifying, assessing and","page_number":202,"box":{"x":69,"y":186,"width":803,"height":12}},{"id":"72762c12-1977-4d34-b7ea-73725e43ae08","block_type":"box","text":"integrating material sustainability-related risks and opportunities into their business decision-making and practices.","page_number":202,"box":{"x":70,"y":201,"width":820,"height":11}},{"id":"227c3c7d-2998-4324-a094-9011defff1b4","block_type":"box","text":"Doing so helps us undertake a more holistic assessment of a company’s potential financial performance and the","page_number":202,"box":{"x":70,"y":216,"width":808,"height":11}},{"id":"f931b7e8-a304-4178-ade0-c753c89c7ed9","block_type":"box","text":"likely risk-adjusted returns of an investment.","page_number":202,"box":{"x":70,"y":231,"width":313,"height":11}},{"id":"818f3cd9-f213-45cf-b3e4-ef90a20d743c","block_type":"box","text":"We may vote against directors or support a relevant shareholder proposal if we have concerns about how a","page_number":202,"box":{"x":101,"y":249,"width":764,"height":12}},{"id":"f1f5c31c-e700-4b62-a15c-49ad1b4155ba","block_type":"box","text":"company is managing or disclosing its approach to material sustainability-related risks that may impact financial","page_number":202,"box":{"x":69,"y":264,"width":798,"height":12}},{"id":"8adbfc89-7371-4d3c-bcc9-e9727a884921","block_type":"box","text":"returns.","page_number":202,"box":{"x":69,"y":280,"width":54,"height":8}},{"id":"906b853a-0fe4-4241-a9de-f55fda7359db","block_type":"box","text":"KEY STAKEHOLDERS","page_number":202,"box":{"x":414,"y":309,"width":151,"height":9}},{"id":"e3fc544f-1baf-43ab-bf3e-63799564c0a6","block_type":"box","text":"In our view, companies should understand and take into consideration the interests of the various parties on","page_number":202,"box":{"x":102,"y":328,"width":774,"height":11}},{"id":"c3919bc6-72a6-4630-897e-3437b430b178","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":202,"box":{"x":68,"y":343,"width":826,"height":11}},{"id":"69fec54f-98b5-4cf8-a750-1a3cdfd80a3a","block_type":"box","text":"what is material to their business and long-term financial performance. For many companies, key stakeholders","page_number":202,"box":{"x":68,"y":358,"width":790,"height":11}},{"id":"981d6270-062f-4026-8dfc-c698550cf204","block_type":"box","text":"include employees, business partners (such as suppliers and distributors), clients and consumers, regulators, and","page_number":202,"box":{"x":70,"y":373,"width":817,"height":11}},{"id":"bb3b6421-4aa5-43ca-9dee-dc40da3a99b0","block_type":"box","text":"the communities in which they operate. Companies that appropriately balance the interests of investors and other","page_number":202,"box":{"x":68,"y":387,"width":813,"height":12}},{"id":"3d5d4e6e-da05-4553-ad65-b8f01fcc2777","block_type":"box","text":"stakeholders are, in our experience, more likely to be financially resilient over time.","page_number":202,"box":{"x":69,"y":402,"width":592,"height":12}},{"id":"61d6f70a-db25-4740-8b2c-0c5c871fd01e","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":202,"box":{"x":265,"y":432,"width":448,"height":9}},{"id":"a599157f-11cf-434f-a2f4-8e0a4230641c","block_type":"box","text":"Certain active BlackRock funds have climate and decarbonization objectives in addition to financial objectives.","page_number":202,"box":{"x":102,"y":451,"width":784,"height":11}},{"id":"83d54104-b25a-43df-803c-01921dd41f11","block_type":"box","text":"Consistent with the objectives of those investment strategies, our stewardship activity in relation to the holdings in","page_number":202,"box":{"x":69,"y":466,"width":818,"height":11}},{"id":"74faa7bf-d2fa-48b4-9783-024c700e8e96","block_type":"box","text":"those funds differs in some respects from BAIS’ benchmark guidelines, which are described above. Specifically, for","page_number":202,"box":{"x":68,"y":481,"width":823,"height":11}},{"id":"fe628cb1-446f-468f-b2da-120911a59a60","block_type":"box","text":"those funds’ holdings, we look to investee companies to demonstrate that they are aligned with a decarbonization","page_number":202,"box":{"x":68,"y":496,"width":814,"height":11}},{"id":"904baf82-1884-47f7-a611-b4268ab122c2","block_type":"box","text":"pathway that means their business model would be viable in a low-carbon economy,","page_number":202,"box":{"x":70,"y":511,"width":594,"height":11}},{"id":"157ac3a4-7c0d-4a95-9fa5-3e9cd0fd9a40","block_type":"box","text":"i.e.","page_number":202,"box":{"x":672,"y":511,"width":20,"height":9}},{"id":"af36d377-127b-4d1a-9d1c-661edc4c398a","block_type":"box","text":", one in which global","page_number":202,"box":{"x":694,"y":511,"width":144,"height":11}},{"id":"80b6ef67-eacc-469d-8383-91c6a6799b72","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":202,"box":{"x":68,"y":526,"width":821,"height":11}},{"id":"c299e240-7390-4d25-9a95-b76cfe8ca64c","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":202,"box":{"x":69,"y":540,"width":839,"height":12}},{"id":"98702719-6637-405a-b765-440954930266","block_type":"box","text":"accounts, these guidelines are only implemented upon explicit selection and approval by the applicable fund board or","page_number":202,"box":{"x":69,"y":555,"width":837,"height":12}},{"id":"bcbc127b-ea53-4960-9bad-1f1208d5764d","block_type":"box","text":"client.","page_number":202,"box":{"x":69,"y":570,"width":41,"height":9}},{"id":"d8fab7e3-d461-416d-8f0d-11673754de5a","block_type":"box","text":"These decarbonization stewardship guidelines focus on companies which produce goods and services that","page_number":202,"box":{"x":101,"y":589,"width":761,"height":11}},{"id":"fd194622-46b6-4fb5-8100-e06b35f9336b","block_type":"box","text":"contribute to real world decarbonization or have a carbon intensive business model and face outsized impacts from","page_number":202,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"2dd338f4-f4d4-46a6-85ff-54d556854a6e","block_type":"box","text":"the low carbon transition, based on reported and estimated scopes 1, 2, and 3 greenhouse gas emissions. These","page_number":202,"box":{"x":68,"y":619,"width":817,"height":11}},{"id":"0427a1d9-697e-435f-95b3-60ccbd0a85e1","block_type":"box","text":"companies should provide disclosures that set out their governance, strategy, risk management processes and","page_number":202,"box":{"x":69,"y":634,"width":792,"height":11}},{"id":"241ea25c-cfe7-4759-a444-87f726dd0371","block_type":"box","text":"metrics and targets relevant to decarbonization. It is helpful to investors’ understanding when these disclosures","page_number":202,"box":{"x":69,"y":648,"width":799,"height":12}},{"id":"0aee3309-6e2f-432d-ba65-f8b024860a3e","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":202,"box":{"x":70,"y":663,"width":812,"height":11}},{"id":"9bd0e755-2f48-488a-a6f2-8b40eadc3754","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":202,"box":{"x":68,"y":678,"width":831,"height":11}},{"id":"8be56881-4882-4ddc-9dba-02cc0fda4e3c","block_type":"box","text":"1 and 2 emissions.","page_number":202,"box":{"x":70,"y":693,"width":135,"height":9}},{"id":"b82c492c-6d93-49d8-a739-145810d40c1b","block_type":"box","text":"Under these climate- and decarbonization-specific guidelines, BAIS may recommend a vote against directors or","page_number":202,"box":{"x":102,"y":711,"width":788,"height":12}},{"id":"44583151-d0d5-4423-84cf-11b96d0307ce","block_type":"box","text":"support for a relevant shareholder proposal if a company does not appear to be adequately acting to address or","page_number":202,"box":{"x":69,"y":726,"width":800,"height":12}},{"id":"427aef74-2ee5-4117-9164-2259f96be5a3","block_type":"box","text":"disclosing material climate-related risks, consistent with the parameters set out in these climate-and decarbonization","page_number":202,"box":{"x":69,"y":741,"width":839,"height":12}},{"id":"3bb6ff8c-a724-4d03-b96c-68845fdc1b71","block_type":"box","text":"specific guidelines. We may recommend supporting shareholder proposals seeking information relevant to a","page_number":202,"box":{"x":69,"y":756,"width":771,"height":11}},{"id":"6bff73c8-436a-42bf-8661-b0464da321e3","block_type":"box","text":"11","page_number":202,"box":{"x":69,"y":786,"width":9,"height":4}},{"id":"61365f14-fd28-4c28-bc1a-721d1a4e610c","block_type":"box","text":"By material sustainability-related risks and opportunities, we mean the drivers of risk and financial value creation in","page_number":202,"box":{"x":84,"y":785,"width":822,"height":11}},{"id":"286e590f-3cff-429c-98ae-659bd9e18f57","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":202,"box":{"x":69,"y":800,"width":835,"height":12}},{"id":"7fafa0b2-0911-4c30-b60c-cebf44f62eb5","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":202,"box":{"x":70,"y":816,"width":827,"height":11}},{"id":"efc0efd3-3cc2-4dfe-8bd3-733753c5ac73","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":202,"box":{"x":70,"y":831,"width":826,"height":11}},{"id":"41184127-2fe7-47ff-a349-bbda5a624227","block_type":"box","text":"operates, customer loyalty, and relationships with regulators. It is our view that well-managed companies will","page_number":202,"box":{"x":69,"y":846,"width":773,"height":11}},{"id":"6dbefe9d-a72c-4178-9c29-9255a0a9c36f","block_type":"box","text":"effectively evaluate and manage material sustainability-related risks and opportunities relevant to their businesses.","page_number":202,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"b2119b9e-68d5-4822-941c-7fb79a235072","block_type":"box","text":"Governance is the core means by which boards can oversee the creation of durable financial value over time.","page_number":202,"box":{"x":69,"y":876,"width":777,"height":11}},{"id":"5f4b911f-a277-4e0f-8c81-62ed518eb7b1","block_type":"box","text":"Appropriate risk oversight of business-relevant and material sustainability-related considerations is a component of a","page_number":202,"box":{"x":68,"y":891,"width":833,"height":11}},{"id":"758c374a-9017-4d9b-993c-07266dc076d8","block_type":"box","text":"sound governance framework.","page_number":202,"box":{"x":69,"y":906,"width":212,"height":12}},{"id":"9df95888-77e6-49f9-a5e3-7b7950cf448e","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":202,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"749045e1-ee0d-4d8d-8dab-cf6a0646c828","block_type":"box","text":"Global Engagement and Voting Guidelines | 15","page_number":202,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"24387cb4-4141-4058-8369-340668a566bb","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":202,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6a220a48-33fe-4017-af3e-0a531b487eed","block_type":"box","text":"company’s stated low-carbon transition strategy or targets that the company does not currently provide and that","page_number":203,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"97bfeb34-3f8d-4449-a280-da5688541cd2","block_type":"box","text":"would be helpful to investment decision-making. We would not recommend support for shareholder proposals that","page_number":203,"box":{"x":68,"y":59,"width":814,"height":12}},{"id":"86dcc7d3-4d80-4ad2-aeb0-e4c59cadb7d6","block_type":"box","text":"seek to constrain board or management decision-making or direct specific business or strategic decisions. As under","page_number":203,"box":{"x":69,"y":74,"width":828,"height":12}},{"id":"a08dac9e-363b-4b68-9652-f72ad850884b","block_type":"box","text":"the BAIS benchmark approach, the active portfolio managers are ultimately responsible for voting consistent with","page_number":203,"box":{"x":68,"y":89,"width":807,"height":12}},{"id":"a3bb81e8-43b8-4b16-a555-42616dbfd9f1","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":203,"box":{"x":68,"y":104,"width":832,"height":11}},{"id":"36a16f18-7443-4252-ad4c-493e2333dfe7","block_type":"box","text":"climate risk and the energy transition is undertaken in line with BAIS’ benchmark guidelines.","page_number":203,"box":{"x":69,"y":119,"width":658,"height":11}},{"id":"bd8cb058-9bdb-4018-83e0-36a934df57fa","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":203,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"126f4e98-36ee-45eb-8475-9ee029d6d698","block_type":"box","text":"Global Engagement and Voting Guidelines | 16","page_number":203,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"8d2b621a-2390-4bf4-b826-9a089ef00ff3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":203,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"99019860-ad40-4d9f-85f5-316a8ac70103","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR NON","page_number":204,"box":{"x":83,"y":45,"width":812,"height":9}},{"id":"201473f5-5642-4161-beda-e8a46cb678dd","block_type":"box","text":"INDEX EQUITY INVESTMENT STRATEGIES","page_number":204,"box":{"x":338,"y":60,"width":302,"height":10}},{"id":"ac5e2595-f879-4404-8a0b-9347e684ef2d","block_type":"box","text":"Oversight","page_number":204,"box":{"x":69,"y":83,"width":68,"height":11}},{"id":"ea80be40-165f-4ccc-982a-d7ab645e746b","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":204,"box":{"x":101,"y":101,"width":793,"height":11}},{"id":"30d010eb-f10c-4a89-9f72-ada97bbee3a3","block_type":"box","text":"accordance with the BlackRock Active Investment Stewardship Global Engagement and Voting Guidelines (the","page_number":204,"box":{"x":69,"y":116,"width":778,"height":11}},{"id":"651c6193-3a75-479d-8afb-5e376dc61bd4","block_type":"box","text":"“Guidelines”), which require the application of professional judgment and consideration of each company’s unique","page_number":204,"box":{"x":70,"y":131,"width":814,"height":11}},{"id":"e4cf8690-e89f-4e92-9315-3e2b13998cb8","block_type":"box","text":"circumstances, as well as input from active investors. BAIS is independent from BlackRock Investment Stewardship","page_number":204,"box":{"x":69,"y":146,"width":825,"height":11}},{"id":"c6db06a2-ab11-41bf-9b51-e5de7bb60a90","block_type":"box","text":"in our engagement and voting activities, reporting lines, and oversight.","page_number":204,"box":{"x":70,"y":161,"width":500,"height":11}},{"id":"5b05c023-5d42-40ce-a397-ab33d25dede8","block_type":"box","text":"The Stewardship Leaders Group, comprised of senior active investors and other relevant stakeholders in","page_number":204,"box":{"x":101,"y":179,"width":744,"height":11}},{"id":"100aaeb0-7eee-4207-982c-1adcc69884e5","block_type":"box","text":"BlackRock’s legal, public policy, sustainability and communications teams, helps shape the firm’s approach to","page_number":204,"box":{"x":70,"y":194,"width":786,"height":11}},{"id":"a3fdaf5f-e252-4dae-b30b-9b22afb5261b","block_type":"box","text":"investment stewardship on non-index equity investment strategies. The Group may advise on and review amendments","page_number":204,"box":{"x":70,"y":209,"width":839,"height":11}},{"id":"7ea4357c-b140-49a6-84d1-a4c1e9219283","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":204,"box":{"x":68,"y":224,"width":822,"height":11}},{"id":"e8bc3364-3bb9-4708-a4b3-828dc2fb530c","block_type":"box","text":"relevant active equity investors.","page_number":204,"box":{"x":69,"y":239,"width":223,"height":11}},{"id":"fba5464c-7742-409b-b594-0729dee741cf","block_type":"box","text":"BAIS carries out engagement with companies in collaboration with active investment colleagues, executes proxy","page_number":204,"box":{"x":102,"y":257,"width":797,"height":12}},{"id":"129774b2-ae82-4697-b722-9deb63886fe0","block_type":"box","text":"votes, and conducts vote operations (including maintaining records of votes cast) in a manner consistent with the","page_number":204,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"cc341450-535c-4c4b-b5e2-828e1a555bfe","block_type":"box","text":"Guidelines. BAIS also conducts research on corporate governance issues and participates in industry discussions to","page_number":204,"box":{"x":69,"y":287,"width":832,"height":11}},{"id":"8a6a8e24-fb08-406b-996f-243a52c1e460","block_type":"box","text":"contribute to and keep abreast of important developments in the corporate governance field. BAIS may use third","page_number":204,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"2cea9813-fa40-4976-9070-5b04133740c0","block_type":"box","text":"parties for certain of the foregoing activities and performs oversight of those third parties (see “Use and oversight of","page_number":204,"box":{"x":70,"y":317,"width":836,"height":11}},{"id":"c2c2dc6e-7ff5-49f2-8610-fab48c6e4609","block_type":"box","text":"third-party vote services providers” below).","page_number":204,"box":{"x":68,"y":332,"width":305,"height":11}},{"id":"d4fa01ee-c7a4-43c1-9e48-b0fb3ddb1be2","block_type":"box","text":"Voting guidelines and vote execution","page_number":204,"box":{"x":68,"y":354,"width":269,"height":11}},{"id":"7b0d4481-9a12-470d-9acf-510afd967284","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":204,"box":{"x":102,"y":373,"width":790,"height":11}},{"id":"19bb9f63-d6bd-4234-b3a0-e2ed03c9add0","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":204,"box":{"x":69,"y":387,"width":838,"height":12}},{"id":"c3a39f9c-dfc1-4f64-9499-f53880a6428a","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":204,"box":{"x":69,"y":402,"width":831,"height":12}},{"id":"a7fd2150-0d8b-4de5-83a1-8c1383dab2e9","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":204,"box":{"x":68,"y":417,"width":809,"height":12}},{"id":"6852a403-0e3d-46a5-9afb-d5ef3d544a60","block_type":"box","text":"judgment, and without regard to the relationship of the issuer (or any shareholder proponent or dissident","page_number":204,"box":{"x":67,"y":432,"width":749,"height":11}},{"id":"a21d2872-bc2e-4786-923f-da2fff78544f","block_type":"box","text":"shareholder) to the Fund, the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees","page_number":204,"box":{"x":69,"y":447,"width":825,"height":11}},{"id":"1afaf210-9282-4428-814a-aa77241a3bdc","block_type":"box","text":"(see “Conflicts management policies and procedures,” below).","page_number":204,"box":{"x":69,"y":462,"width":445,"height":11}},{"id":"9b2f680e-1a4f-4143-b3ab-4f22fec1e00b","block_type":"box","text":"When exercising voting rights, BAIS will normally vote on specific proxy issues in accordance with the Guidelines,","page_number":204,"box":{"x":101,"y":480,"width":803,"height":12}},{"id":"6b2dcb4e-af20-420a-b047-f3a42334b1c3","block_type":"box","text":"although portfolio managers have the right to vote differently on their holdings if they determine doing so is more","page_number":204,"box":{"x":69,"y":495,"width":806,"height":12}},{"id":"354562fd-6c91-43fa-b991-c4cfa426e1a2","block_type":"box","text":"aligned with the investment objective and financial interests of clients invested in the funds they manage.","page_number":204,"box":{"x":69,"y":510,"width":752,"height":11}},{"id":"9baa7e19-6480-46ef-9c9f-f5c63fefe8fb","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":204,"box":{"x":101,"y":529,"width":782,"height":11}},{"id":"2be8a476-56c5-4214-90b8-17f4583d1cd3","block_type":"box","text":"context of the individual circumstances of each company and the specific issue under review. As such, the Guidelines","page_number":204,"box":{"x":69,"y":544,"width":837,"height":11}},{"id":"bfb6ad53-37d4-4906-a0a0-2264d47ce606","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":204,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"b592194f-4ca5-43bf-8467-de8444f61dd8","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":204,"box":{"x":68,"y":574,"width":838,"height":11}},{"id":"6cc6891d-e5fd-4862-8e09-da617df10812","block_type":"box","text":"Guidelines are reviewed annually and updated as necessary to reflect changes in market practices, developments in","page_number":204,"box":{"x":69,"y":588,"width":829,"height":12}},{"id":"e84426aa-bc52-4ff5-a16d-116e47b8c56b","block_type":"box","text":"corporate governance and feedback from companies and clients. In this way, BAIS aims to maintain policies that","page_number":204,"box":{"x":69,"y":603,"width":802,"height":11}},{"id":"ab0bef2d-b2f7-41cc-afdb-54b7203181ec","block_type":"box","text":"explain our approach to governance practices most aligned with clients’ long-term financial interests.","page_number":204,"box":{"x":69,"y":618,"width":718,"height":11}},{"id":"dd6a2538-976d-40f6-a17e-8f9fd720d278","block_type":"box","text":"In certain markets, proxy voting involves logistical issues which can affect BAIS’ ability to vote such proxies, as","page_number":204,"box":{"x":102,"y":637,"width":792,"height":11}},{"id":"5ff68d88-4102-48e1-985c-3af96c2447e7","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":204,"box":{"x":68,"y":652,"width":791,"height":11}},{"id":"f5bc62b3-3d7f-4027-95f1-631db62f7636","block_type":"box","text":"shareholder meetings; ii) restrictions on a foreigner’s ability to exercise votes; iii) requirements to vote proxies in","page_number":204,"box":{"x":69,"y":666,"width":805,"height":12}},{"id":"c23fe2a6-89c0-4f10-9b0a-fc56c86a7ac8","block_type":"box","text":"person; iv) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":204,"box":{"x":70,"y":682,"width":784,"height":11}},{"id":"20a66337-d59e-4286-a4f7-1f19e5a9dc6f","block_type":"box","text":"dispose of their holdings from the point at which votes are submitted until after the shareholder meeting has","page_number":204,"box":{"x":69,"y":696,"width":775,"height":11}},{"id":"c8053b73-214c-4227-8f72-11d8a6a799fc","block_type":"box","text":"occurred); v) potential difficulties in translating the proxy; vi) regulatory constraints; and vii) requirements to provide","page_number":204,"box":{"x":69,"y":711,"width":824,"height":11}},{"id":"434e7922-b62c-4ef4-a697-d8b6e08a5baf","block_type":"box","text":"local agents with powers of attorney to facilitate voting instructions. We are not supportive of impediments to the","page_number":204,"box":{"x":70,"y":726,"width":806,"height":11}},{"id":"c4d1fdd8-8fb8-4542-bba4-99ae591bea6c","block_type":"box","text":"exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":204,"box":{"x":69,"y":741,"width":704,"height":11}},{"id":"54a3e444-66d7-4917-9a70-4dfb7f6d9a3a","block_type":"box","text":"BlackRock votes proxies in these situations on a “best-efforts” basis. In addition, BAIS may determine that it is","page_number":204,"box":{"x":102,"y":759,"width":796,"height":12}},{"id":"7ec2a5de-d8fd-4d06-b457-858b22cad7b2","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":204,"box":{"x":68,"y":774,"width":799,"height":12}},{"id":"ecafcc6f-4110-4f3f-adfd-6555596d6a8b","block_type":"box","text":"(including but not limited to opportunity costs associated with share-blocking constraints) associated with exercising","page_number":204,"box":{"x":69,"y":789,"width":829,"height":11}},{"id":"4ec058a9-9d2e-47e7-9412-284b54024d4e","block_type":"box","text":"a vote are expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":204,"box":{"x":69,"y":804,"width":661,"height":11}},{"id":"5481bd6f-2c1c-4aa4-988e-da739a90ff34","block_type":"box","text":"Voting Choice","page_number":204,"box":{"x":68,"y":826,"width":101,"height":12}},{"id":"80704608-6fae-4f81-9d84-7f530286d98a","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more opportunities to participate in","page_number":204,"box":{"x":102,"y":845,"width":800,"height":11}},{"id":"0064a0cf-e694-47e1-9ae3-ceaaf95262f4","block_type":"box","text":"the proxy voting process where legally and operationally viable.","page_number":204,"box":{"x":68,"y":860,"width":447,"height":11}},{"id":"c01673bd-85e5-4459-a188-e6a1c6cdcd01","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":204,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"ca43a186-c02c-45b6-8368-7a56c33a7e9a","block_type":"box","text":"Global Engagement and Voting Guidelines | 17","page_number":204,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"802323f6-4e7a-4033-bbce-1173f2344c86","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":204,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"56810112-5e9a-42ed-b1e3-1a5b8aa24fe2","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in certain institutional pooled funds in the U.S.,","page_number":205,"box":{"x":101,"y":45,"width":786,"height":11}},{"id":"2be606c4-39b8-4715-91bc-96d7199728ef","block_type":"box","text":"UK, and Canada that use systematic active equity (SAE) and multi-asset strategies. In addition, institutional clients in","page_number":205,"box":{"x":70,"y":60,"width":834,"height":11}},{"id":"c174c074-7654-4a50-8178-8bf098043267","block_type":"box","text":"separately managed accounts (SMAs) are eligible for BlackRock Voting Choice regardless of their investment","page_number":205,"box":{"x":69,"y":74,"width":774,"height":12}},{"id":"38889b5f-1927-4f99-9cd1-1f32d83ea67f","block_type":"box","text":"strategies.","page_number":205,"box":{"x":69,"y":89,"width":74,"height":12}},{"id":"3e95bc47-f273-4b8f-9b94-4571ad72f2e1","block_type":"box","text":"12","page_number":205,"box":{"x":145,"y":90,"width":9,"height":4}},{"id":"5a728aec-51ea-404f-8308-30088844bd4c","block_type":"box","text":"As a result, the shares attributed to BlackRock in company share registers may be voted differently depending","page_number":205,"box":{"x":101,"y":108,"width":788,"height":11}},{"id":"a4f309b3-a636-4976-ab39-c8f7244d05b0","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":205,"box":{"x":69,"y":123,"width":834,"height":10}},{"id":"23766c34-ffb1-4d98-8dea-ebaaf25bdb08","block_type":"box","text":"with a third-party policy, or have elected to vote shares in accordance with their own policy. Our clients have greater","page_number":205,"box":{"x":68,"y":138,"width":823,"height":11}},{"id":"6a010fd8-1a71-4d8a-b721-19c49cfd0b7b","block_type":"box","text":"control over proxy voting because of Voting Choice.","page_number":205,"box":{"x":69,"y":152,"width":360,"height":12}},{"id":"156acfb5-cbdf-46f6-aaef-924104090516","block_type":"box","text":"13","page_number":205,"box":{"x":431,"y":153,"width":9,"height":4}},{"id":"0aef8dd8-2955-4810-9cb6-c041e9d33840","block_type":"box","text":"Use and oversight of third-party vote services providers","page_number":205,"box":{"x":69,"y":175,"width":403,"height":11}},{"id":"0c10905c-925c-4dd1-bdb3-d2a2b3b063aa","block_type":"box","text":"Third-party vote services providers – or proxy research firms – provide research and recommendations on proxy","page_number":205,"box":{"x":101,"y":193,"width":794,"height":12}},{"id":"852d2320-93f4-468e-8d47-c0b144e01e9e","block_type":"box","text":"votes, as well as voting infrastructure. BlackRock contracts primarily with the vote services provider ISS and","page_number":205,"box":{"x":68,"y":208,"width":770,"height":12}},{"id":"8811b953-0bd8-4436-ad8e-35cc3d63188b","block_type":"box","text":"leverages its online platform to supply research and support voting, record keeping, and reporting processes. We","page_number":205,"box":{"x":70,"y":223,"width":807,"height":12}},{"id":"a3124b1c-e12f-4069-ac90-480dd5b54575","block_type":"box","text":"also use Glass Lewis’ research and analysis as an input into our voting process. It is important to note that, although","page_number":205,"box":{"x":69,"y":238,"width":839,"height":11}},{"id":"ce5abd1d-705e-47fa-abf9-588e954c4a41","block_type":"box","text":"proxy research firms provide important data and analysis, BAIS does not rely solely on their information or follow their","page_number":205,"box":{"x":70,"y":253,"width":839,"height":11}},{"id":"30d9524d-dfbf-4d3d-8dfa-52b7fc0f1355","block_type":"box","text":"voting recommendations. A company’s disclosures, our engagements and voting, investment colleagues’ insights and","page_number":205,"box":{"x":68,"y":268,"width":840,"height":11}},{"id":"f5340da7-d5a2-4604-a29e-ead537884d7a","block_type":"box","text":"our Guidelines are important inputs into our voting decisions on behalf of clients.","page_number":205,"box":{"x":69,"y":283,"width":578,"height":11}},{"id":"24211f2d-5961-44fd-95cb-bfabd1f419b1","block_type":"box","text":"Given the large universe of actively held companies, BAIS employs the proxy services provider to streamline the","page_number":205,"box":{"x":102,"y":301,"width":795,"height":12}},{"id":"fc0b54ae-a7f2-4c30-8763-8510a3a60f8e","block_type":"box","text":"voting process by making voting recommendations based on BAIS’ Guidelines when the items on a shareholder","page_number":205,"box":{"x":68,"y":316,"width":795,"height":12}},{"id":"a8f882bf-0e55-49c8-bcef-70fd370aebce","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":205,"box":{"x":69,"y":331,"width":799,"height":11}},{"id":"0eb712fb-eb13-4ad1-bcf9-46fab4e0a6c2","block_type":"box","text":"necessary to the relevant portfolio managers and vote. BAIS reviews and can override the recommendations of the","page_number":205,"box":{"x":69,"y":346,"width":819,"height":11}},{"id":"c6911f97-9f67-4af0-ac74-03c523a8fcc9","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":205,"box":{"x":68,"y":361,"width":785,"height":11}},{"id":"486ab4a1-3bf3-401c-bdd1-7f3cbe1f0975","block_type":"box","text":"monitor securities filings, research reports, company announcements, and direct communications from companies to","page_number":205,"box":{"x":69,"y":376,"width":837,"height":11}},{"id":"513862ea-e9bb-405e-9fc8-ed556f141bbb","block_type":"box","text":"ensure awareness of supplemental disclosures and proxy materials that may require a modification of votes.","page_number":205,"box":{"x":69,"y":390,"width":775,"height":12}},{"id":"b4f49725-fdc3-4733-889e-26ae1c68a5ec","block_type":"box","text":"BAIS closely monitors the third-party vote services providers we contract with to ensure that they are meeting our","page_number":205,"box":{"x":102,"y":409,"width":807,"height":11}},{"id":"54a9d9b5-e1fe-4c54-9091-fe5bec661ffd","block_type":"box","text":"service level expectations and have effective policies and procedures in place to manage potential conflicts of","page_number":205,"box":{"x":69,"y":424,"width":788,"height":11}},{"id":"195e79e7-a5d9-4cf7-b9f8-87db619b8655","block_type":"box","text":"interest. Our oversight of service providers includes regular meetings with client service teams, systematic","page_number":205,"box":{"x":70,"y":439,"width":760,"height":11}},{"id":"0fa2c322-72b6-4240-beea-ca4b7c75bd16","block_type":"box","text":"monitoring of vendor operations, as well as annual due diligence meetings in accordance with BlackRock’s firmwide","page_number":205,"box":{"x":69,"y":454,"width":824,"height":11}},{"id":"231cf6d1-78dc-4d39-87f4-ba7204189750","block_type":"box","text":"policies.","page_number":205,"box":{"x":70,"y":469,"width":56,"height":11}},{"id":"2342a0a8-5a9a-43dd-b411-ff0936db2a6d","block_type":"box","text":"Conflicts management policies and procedures","page_number":205,"box":{"x":69,"y":491,"width":342,"height":11}},{"id":"e04b3c05-28ff-4a6d-ac6e-81fe08e368ca","block_type":"box","text":"BlackRock maintains policies and procedures that seek to prevent undue influence on BAIS’ proxy voting activity.","page_number":205,"box":{"x":102,"y":510,"width":801,"height":11}},{"id":"2e0b2ea9-2d7d-47aa-b1ba-8d50d933bde3","block_type":"box","text":"Such influence might stem from any relationship between the investee company (or any shareholder proponent or","page_number":205,"box":{"x":69,"y":525,"width":809,"height":11}},{"id":"ba32a990-34ed-4e99-9326-b5ef66a72da9","block_type":"box","text":"dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or BlackRock employees.","page_number":205,"box":{"x":69,"y":539,"width":831,"height":12}},{"id":"5fc6a4c6-bd41-4e5f-902c-ce956932cf69","block_type":"box","text":"The following are examples of sources of perceived or potential conflicts of interest:","page_number":205,"box":{"x":68,"y":554,"width":598,"height":12}},{"id":"ce4ddbf3-8e4a-420f-b70e-774926cea111","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":575,"width":6,"height":4}},{"id":"4a749248-f1bb-4094-9d98-71016f607176","block_type":"box","text":"BlackRock clients who may be issuers of securities or proponents of shareholder resolutions","page_number":205,"box":{"x":102,"y":572,"width":660,"height":11}},{"id":"5df4fdd1-4756-4520-bef0-52cdbc274e96","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":592,"width":6,"height":5}},{"id":"96303c8a-43b9-4cce-91e7-b09f9558f0a4","block_type":"box","text":"BlackRock business partners or third parties who may be issuers of securities or proponents of shareholder","page_number":205,"box":{"x":102,"y":589,"width":772,"height":11}},{"id":"7dfae829-3388-4527-8504-10dd4c0ea2c0","block_type":"box","text":"resolutions","page_number":205,"box":{"x":102,"y":604,"width":78,"height":9}},{"id":"b1d2d44b-63ed-4289-8167-21e5b5a3282c","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":624,"width":6,"height":5}},{"id":"01fafdf2-f3ae-400f-9d74-a20a6f8b3797","block_type":"box","text":"BlackRock employees who may sit on the boards of public companies held in Funds managed by BlackRock","page_number":205,"box":{"x":102,"y":621,"width":766,"height":12}},{"id":"befefbf3-204e-49ff-8799-92bc3e6a1f2f","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":642,"width":6,"height":4}},{"id":"2ff86f43-3507-404a-9f3d-7a7c3e3e67da","block_type":"box","text":"Significant BlackRock, Inc. investors who may be issuers of securities held in Funds managed by BlackRock","page_number":205,"box":{"x":102,"y":639,"width":767,"height":11}},{"id":"2b566a83-bde7-4ecb-bef4-fa649e024389","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":659,"width":6,"height":5}},{"id":"9a4e445d-ac47-4a92-82d7-77444fb5ddef","block_type":"box","text":"Securities of BlackRock, Inc. or BlackRock investment funds held in Funds managed by BlackRock","page_number":205,"box":{"x":102,"y":656,"width":698,"height":11}},{"id":"19447275-cfbe-4b21-b5a6-840be1f402dd","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":676,"width":6,"height":5}},{"id":"2f10d54b-3a2c-4f0b-b8c4-277179e849d5","block_type":"box","text":"BlackRock, Inc. board members who serve as senior executives or directors of public companies held in Funds","page_number":205,"box":{"x":102,"y":673,"width":789,"height":11}},{"id":"c847cece-7977-43ec-8e96-914d90a6be0f","block_type":"box","text":"managed by BlackRock","page_number":205,"box":{"x":102,"y":689,"width":163,"height":11}},{"id":"87489e22-1da3-41c0-97ce-aacf12c92705","block_type":"box","text":"BlackRock has taken certain steps to mitigate perceived or potential conflicts including, but not limited to, the","page_number":205,"box":{"x":102,"y":707,"width":785,"height":11}},{"id":"44f8e33c-f82b-4392-995c-01c041aa6993","block_type":"box","text":"following:","page_number":205,"box":{"x":68,"y":722,"width":66,"height":11}},{"id":"05ed7340-9e9a-4eb4-9873-37544d534bd2","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":742,"width":6,"height":5}},{"id":"e66946a5-af7f-4cbc-932c-4b0df9a1e90f","block_type":"box","text":"Adopted these Guidelines which are designed to advance our clients’ long-term financial interests in the","page_number":205,"box":{"x":101,"y":739,"width":741,"height":11}},{"id":"580b92d8-e460-4da2-9d4c-a24298355fc2","block_type":"box","text":"companies in which BlackRock invests on their behalf","page_number":205,"box":{"x":101,"y":754,"width":383,"height":11}},{"id":"329f052f-8fb1-467a-abba-5650c867d4e1","block_type":"box","text":"•","page_number":205,"box":{"x":69,"y":774,"width":6,"height":5}},{"id":"e1ed2f18-b103-4a96-b821-5934b1bc8859","block_type":"box","text":"Established a reporting structure that separates BAIS from employees with sales, vendor management, or","page_number":205,"box":{"x":102,"y":771,"width":757,"height":12}},{"id":"2c4453cf-e7c3-41d0-8e76-65c0535f3c21","block_type":"box","text":"business partnership roles. In addition, BlackRock seeks to ensure that all engagements with corporate issuers,","page_number":205,"box":{"x":102,"y":787,"width":802,"height":11}},{"id":"8cffe30b-d9da-4205-a333-8a940d7c69fb","block_type":"box","text":"dissident shareholders or shareholder proponents are managed consistently and without regard to BlackRock’s","page_number":205,"box":{"x":101,"y":801,"width":794,"height":11}},{"id":"297d4db0-2ef1-4b2b-b2e5-58462389a336","block_type":"box","text":"relationship with such parties. Clients or business partners are not given preferential treatment or differentiated","page_number":205,"box":{"x":102,"y":816,"width":801,"height":11}},{"id":"7482a8cc-a414-41d7-8845-391474af3815","block_type":"box","text":"access. BAIS prioritizes engagements based on factors including, but not limited to, our need for additional","page_number":205,"box":{"x":102,"y":831,"width":762,"height":11}},{"id":"1fecb8ca-2381-4ffe-8957-46e71863083f","block_type":"box","text":"12","page_number":205,"box":{"x":69,"y":861,"width":9,"height":4}},{"id":"96639d12-ed75-4257-9397-28e9c67081ef","block_type":"box","text":"With Voting Choice, SMAs have the ability to select from a set of voting policies from third-party proxy advisers the","page_number":205,"box":{"x":83,"y":860,"width":814,"height":11}},{"id":"f56f96a8-ab39-433f-b250-ee0dab734256","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":205,"box":{"x":70,"y":875,"width":838,"height":12}},{"id":"da73e415-a1b6-4f47-95e9-3887b8a6d19a","block_type":"box","text":"votes based on the client’s selected voting policy.","page_number":205,"box":{"x":68,"y":891,"width":354,"height":11}},{"id":"fc2c186b-2c0b-44d2-9b92-984885c06647","block_type":"box","text":"13","page_number":205,"box":{"x":69,"y":908,"width":9,"height":5}},{"id":"b8ed6b67-14ab-4716-aa6f-46d85db313d4","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":205,"box":{"x":84,"y":908,"width":820,"height":11}},{"id":"fbd09f5b-61dc-4157-b0fd-1fd1ff6dd1c8","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":205,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"bc204e2b-94d2-4234-8a99-ae03edd21ef9","block_type":"box","text":"Global Engagement and Voting Guidelines | 18","page_number":205,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"460c6a37-da3d-48d5-b9a6-6f39f7081fe9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":205,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"eaab8936-dcfa-473f-8d89-3c6e20e25aab","block_type":"box","text":"information to make a more informed voting decision or to better understand a company’s perspectives on","page_number":206,"box":{"x":102,"y":45,"width":759,"height":11}},{"id":"d5cce61e-e475-4f3c-b2d2-eddc02df2373","block_type":"box","text":"financially material risks and opportunities. Within the normal course of business, BAIS may engage directly with","page_number":206,"box":{"x":101,"y":59,"width":802,"height":12}},{"id":"6d7cd7ef-6f95-490e-9e57-7202dc37e347","block_type":"box","text":"BlackRock clients, business partners and/or third parties, and/or with employees with sales, vendor","page_number":206,"box":{"x":102,"y":75,"width":719,"height":11}},{"id":"d83b2794-cd37-467b-8a69-40e50ac5b941","block_type":"box","text":"management, or business partnership roles, in discussions regarding our approach to stewardship, general","page_number":206,"box":{"x":102,"y":89,"width":766,"height":12}},{"id":"0c7fa653-107e-4336-b370-e5d3854c4e05","block_type":"box","text":"corporate governance matters, client reporting needs, and/or to otherwise ensure that proxy-related client","page_number":206,"box":{"x":101,"y":104,"width":758,"height":11}},{"id":"277729e4-5dd9-48f6-b31f-14ff4c768332","block_type":"box","text":"service levels are met","page_number":206,"box":{"x":102,"y":119,"width":157,"height":9}},{"id":"c728c0c9-9ae2-44b6-b9c5-e44efbb4d70c","block_type":"box","text":"•","page_number":206,"box":{"x":69,"y":139,"width":6,"height":5}},{"id":"59ad78f6-2083-4e41-a2ac-8ee4b45e2dc3","block_type":"box","text":"Determined to engage, in certain instances, an independent third-party voting service provider to make proxy","page_number":206,"box":{"x":102,"y":137,"width":777,"height":11}},{"id":"fc81e3fc-1cc7-4acf-9767-e86260c922f5","block_type":"box","text":"voting recommendations as a further safeguard to avoid perceived or potential conflicts of interest, to satisfy","page_number":206,"box":{"x":101,"y":151,"width":779,"height":11}},{"id":"5a180a00-f99e-4332-9cfd-af082af76031","block_type":"box","text":"regulatory requirements, or as may be otherwise required by applicable law. In such circumstances, the","page_number":206,"box":{"x":102,"y":166,"width":738,"height":11}},{"id":"b69e826d-9c43-480d-a504-5fb61109bb7b","block_type":"box","text":"independent third-party voting service provider provides BlackRock with recommendations, in accordance with","page_number":206,"box":{"x":102,"y":181,"width":782,"height":11}},{"id":"0f13ea4d-a5dd-49d1-8a9f-477bf2e60e28","block_type":"box","text":"the Guidelines, as to how to vote such proxies. BlackRock uses an independent third-party voting service","page_number":206,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"04651319-8c6b-45ad-85a0-2b175cd9f1e7","block_type":"box","text":"provider to make proxy voting recommendations for shares of BlackRock, Inc. and companies affiliated with","page_number":206,"box":{"x":102,"y":211,"width":765,"height":11}},{"id":"26f3d74f-821d-43d0-baa9-2bc763e13333","block_type":"box","text":"BlackRock, Inc. BlackRock may also use an independent third-party voting service provider to make proxy voting","page_number":206,"box":{"x":102,"y":226,"width":797,"height":11}},{"id":"5cf0fad1-67c0-4774-a919-58b006034ffd","block_type":"box","text":"recommendations for certain perceived or potential conflicts of interest, including:","page_number":206,"box":{"x":102,"y":240,"width":584,"height":12}},{"id":"a7a45449-2a4a-4cff-a35d-845ee444810b","block_type":"box","text":"•","page_number":206,"box":{"x":102,"y":261,"width":6,"height":4}},{"id":"bcff8d60-a232-421e-a18b-8bbb6089bc7b","block_type":"box","text":"public companies that include BlackRock employees on their boards of directors","page_number":206,"box":{"x":135,"y":258,"width":570,"height":11}},{"id":"c62af6ac-a1a6-4cec-b733-dd6d8feb3a3d","block_type":"box","text":"•","page_number":206,"box":{"x":102,"y":278,"width":6,"height":5}},{"id":"511262b9-df3f-458a-b6a9-82d6d4f47347","block_type":"box","text":"public companies of which a BlackRock, Inc. board member serves as a senior executive or a member of","page_number":206,"box":{"x":135,"y":275,"width":748,"height":11}},{"id":"dbcfb5a4-4932-432a-b05a-ea4c1ac51cae","block_type":"box","text":"the board of directors","page_number":206,"box":{"x":134,"y":290,"width":153,"height":9}},{"id":"65604ede-acaf-445b-84e5-6e20ddfc7d04","block_type":"box","text":"•","page_number":206,"box":{"x":102,"y":310,"width":6,"height":5}},{"id":"3531c981-69cd-4ef1-9caa-8da2f62c20de","block_type":"box","text":"public companies that are the subject of certain transactions involving BlackRock Funds","page_number":206,"box":{"x":135,"y":307,"width":626,"height":12}},{"id":"e620c69c-3e52-4e03-b42b-1201a94a09c7","block_type":"box","text":"•","page_number":206,"box":{"x":102,"y":328,"width":6,"height":4}},{"id":"1fc2a6e9-9074-4e32-a8fe-5d4ec2293fc8","block_type":"box","text":"public companies that are joint venture partners with BlackRock, and","page_number":206,"box":{"x":135,"y":325,"width":490,"height":11}},{"id":"cb478946-1d02-420c-b826-ab5df47385ae","block_type":"box","text":"•","page_number":206,"box":{"x":102,"y":345,"width":6,"height":5}},{"id":"34317e7f-3e07-403e-a960-700b1f26d9de","block_type":"box","text":"public companies when legal or regulatory requirements compel BlackRock to use an independent third","page_number":206,"box":{"x":135,"y":342,"width":740,"height":11}},{"id":"cc511d6a-0ee9-4443-8807-64deabfa987d","block_type":"box","text":"party voting service provider","page_number":206,"box":{"x":135,"y":357,"width":200,"height":11}},{"id":"131b1889-27d7-470c-821f-22ea909f18a1","block_type":"box","text":"In selecting an independent third-party voting service provider, we assess several characteristics, including but","page_number":206,"box":{"x":102,"y":376,"width":790,"height":11}},{"id":"5d96890c-1ae4-45e4-9333-4d6432bbdb83","block_type":"box","text":"not limited to: independence, an ability to analyze proxy issues and make recommendations in the economic interest","page_number":206,"box":{"x":69,"y":391,"width":834,"height":11}},{"id":"e42e2715-d1d2-4b4d-8b47-8ffd9159d30d","block_type":"box","text":"of our clients in accordance with the Guidelines, reputation for reliability and integrity, and operational capacity to","page_number":206,"box":{"x":69,"y":405,"width":806,"height":12}},{"id":"e2875a8c-5f9b-4ee5-be3d-d2900c43d483","block_type":"box","text":"accurately deliver the assigned recommendations in a timely manner. We may engage more than one independent","page_number":206,"box":{"x":69,"y":420,"width":813,"height":12}},{"id":"b8ba8f5f-4182-49fd-af81-9d2d6ec5f285","block_type":"box","text":"third-party voting service provider, in part to mitigate potential or perceived conflicts of interest at a single voting","page_number":206,"box":{"x":68,"y":435,"width":804,"height":11}},{"id":"1b59e4f9-3a55-4ac3-8fc8-139ee4096473","block_type":"box","text":"service provider.","page_number":206,"box":{"x":69,"y":450,"width":115,"height":11}},{"id":"65371be7-ff19-48b1-8d88-a545c5a648d3","block_type":"box","text":"Securities lending","page_number":206,"box":{"x":68,"y":473,"width":131,"height":11}},{"id":"14b1f227-feb7-439a-b1f5-a21586ac5610","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":206,"box":{"x":102,"y":491,"width":785,"height":11}},{"id":"47a30b94-f28b-45ef-89d5-edbc34576552","block_type":"box","text":"regulated practice that contributes to capital market efficiency. It also enables funds to generate additional returns","page_number":206,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"d71deeb6-0061-4b14-8e8a-6425da96fa2e","block_type":"box","text":"which in turn may allow fund providers to offset fund expenses.","page_number":206,"box":{"x":68,"y":521,"width":452,"height":11}},{"id":"2b044bc2-adf3-45f3-8b15-2e8244ce2731","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":206,"box":{"x":101,"y":540,"width":779,"height":11}},{"id":"7c71bed2-111b-48f6-b1a1-e841c7106882","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":206,"box":{"x":70,"y":554,"width":816,"height":12}},{"id":"69ce8791-1078-4f01-9fe3-15b125806286","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":206,"box":{"x":69,"y":569,"width":836,"height":11}},{"id":"b7363bda-d263-4243-938a-fc07b9019431","block_type":"box","text":"cases, the decision to recall securities on loan as part of BlackRock’s securities lending program in order to vote is","page_number":206,"box":{"x":69,"y":584,"width":824,"height":11}},{"id":"2c061108-0fec-4651-937b-0f2119fed3d9","block_type":"box","text":"based on an evaluation of various factors that include, but are not limited to, assessing potential securities lending","page_number":206,"box":{"x":69,"y":599,"width":823,"height":11}},{"id":"4744b304-f60b-4f27-930e-ebe9e6c1eb38","block_type":"box","text":"revenue alongside the potential long-term financial value to clients of voting those securities (based on the","page_number":206,"box":{"x":69,"y":614,"width":761,"height":11}},{"id":"22180967-bf65-4584-8adb-d8073e0fde09","block_type":"box","text":"information available at the time of recall consideration). BAIS works with active portfolio managers, as well as","page_number":206,"box":{"x":70,"y":629,"width":789,"height":11}},{"id":"a87a776e-b9b6-41fc-b23a-13fefd9cdfe2","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":206,"box":{"x":69,"y":643,"width":821,"height":12}},{"id":"30d64160-dc71-48f5-9ce9-4bc0390c31f0","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":206,"box":{"x":102,"y":662,"width":770,"height":11}},{"id":"bd5cea39-bf30-4c9d-b2c5-718f30eb5af5","block_type":"box","text":"shares would not warrant recalling securities on loan. However, in certain instances, BlackRock may determine, in","page_number":206,"box":{"x":69,"y":677,"width":813,"height":11}},{"id":"941a7bd7-6139-4745-9a65-b3e7f4e5b27b","block_type":"box","text":"our independent business judgment as a fiduciary, that the value of voting outweighs the securities lending revenue","page_number":206,"box":{"x":69,"y":692,"width":825,"height":11}},{"id":"1ecc42fe-fa26-4e84-afb6-a819473bd76f","block_type":"box","text":"loss to clients and would therefore recall shares to be voted in those instances.","page_number":206,"box":{"x":70,"y":707,"width":568,"height":9}},{"id":"6a34d54d-a9cd-44bb-b983-a12d1c543f12","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":206,"box":{"x":102,"y":725,"width":790,"height":12}},{"id":"84c6c272-0b79-427e-b5db-2759c95321fc","block_type":"box","text":"and may modify it as necessary.","page_number":206,"box":{"x":69,"y":740,"width":228,"height":11}},{"id":"d43f1bed-ef79-42af-a412-d765dba461ed","block_type":"box","text":"Reporting and vote transparency","page_number":206,"box":{"x":69,"y":763,"width":239,"height":11}},{"id":"b40242e0-ec08-428a-b706-85534b3b8c56","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":206,"box":{"x":102,"y":781,"width":788,"height":11}},{"id":"2f0fbdcf-0018-4118-aa82-dcc7937e6790","block_type":"box","text":"our engagement and voting policies and activities through direct communication and disclosure on our website.","page_number":206,"box":{"x":69,"y":796,"width":791,"height":11}},{"id":"402a8674-d7f3-4faa-a3a6-78277a002890","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":206,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"c746aaec-b5a4-4060-b722-a85ae4dbb5c6","block_type":"box","text":"Global Engagement and Voting Guidelines | 19","page_number":206,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"4b565439-2fba-4201-bedb-fc7f45a5c19a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":206,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"746e5c4d-464c-4da3-8dea-f065bc67972a","block_type":"box","text":"Want to know more?","page_number":207,"box":{"x":68,"y":762,"width":152,"height":8}},{"id":"34004b5a-5d3c-4828-a058-0715d1186944","block_type":"box","text":"blackrock.com/stewardship | ContactActiveStewardship@blackrock.com","page_number":207,"box":{"x":69,"y":791,"width":510,"height":13}},{"id":"ed020a00-271a-450e-ad2f-2ef204d2f314","block_type":"box","text":"The document is provided for information purposes only and is subject to change. Reliance upon this information is","page_number":207,"box":{"x":68,"y":822,"width":823,"height":11}},{"id":"b638715b-b730-4e60-aa35-874a200dc4cf","block_type":"box","text":"at the sole discretion of the reader.","page_number":207,"box":{"x":69,"y":837,"width":250,"height":9}},{"id":"6ab12a35-a08b-49e4-a806-9a79a7d59130","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":207,"box":{"x":69,"y":868,"width":196,"height":10}},{"id":"1cfaadec-e6f0-412c-84d8-a876a776163c","block_type":"box","text":"©","page_number":207,"box":{"x":68,"y":898,"width":6,"height":4}},{"id":"ec2b3dce-c797-4c3b-97f4-adfb51730f9a","block_type":"box","text":"2025 BlackRock, Inc. All rights reserved. BLACKROCK is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":207,"box":{"x":75,"y":898,"width":809,"height":11}},{"id":"964d1b24-65db-4c4f-b605-82641b4b845a","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":207,"box":{"x":70,"y":913,"width":624,"height":11}},{"id":"d320bc1f-abfa-4dc3-9156-ced3ad7b803f","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":207,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"f907b8e1-caf9-4988-b9ea-aa1e35e065b1","block_type":"box","text":"Global Engagement and Voting Guidelines | 20","page_number":207,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"4fa0a512-be16-4c64-aec5-de9b169b95d2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":207,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7fb0ab91-f165-477d-8e18-448fc885d6a2","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":208,"box":{"x":352,"y":75,"width":275,"height":11}},{"id":"8d7377ca-3423-43c8-b096-905647c71422","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":208,"box":{"x":247,"y":90,"width":486,"height":11}},{"id":"c3c51808-03fd-4422-b080-0901db5de154","block_type":"box","text":"Effective Date: January 1, 2025","page_number":208,"box":{"x":376,"y":105,"width":227,"height":11}},{"id":"48577241-f561-403c-8868-1ba4b9362ea9","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":208,"box":{"x":231,"y":128,"width":515,"height":11}},{"id":"2d58e506-4bc2-48d0-b7be-8b26aec37e9c","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":208,"box":{"x":306,"y":151,"width":388,"height":11}},{"id":"499c73d0-c01b-4178-b9f2-b923cf9191fe","block_type":"box","text":"□","page_number":208,"box":{"x":184,"y":173,"width":14,"height":11}},{"id":"6cb6e618-f627-4cc6-ab45-ffaad6167054","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":208,"box":{"x":205,"y":173,"width":589,"height":11}},{"id":"55c1c0e3-eb62-4fc5-a316-10ed642df85f","block_type":"box","text":"□","page_number":208,"box":{"x":405,"y":196,"width":14,"height":11}},{"id":"70f1fc64-d41e-48af-b0d2-50c5528eddc3","block_type":"box","text":"Money Market Funds","page_number":208,"box":{"x":426,"y":196,"width":147,"height":11}},{"id":"6a7560f8-818c-4663-b054-565f2b57f503","block_type":"box","text":"□","page_number":208,"box":{"x":416,"y":218,"width":14,"height":12}},{"id":"59582aa8-32a9-433e-bb4e-f8e762c93a5a","block_type":"box","text":"Closed-End Funds","page_number":208,"box":{"x":437,"y":219,"width":125,"height":8}},{"id":"74c736a2-6abb-4fa5-b797-de0dbfe87b62","block_type":"box","text":"□","page_number":208,"box":{"x":460,"y":241,"width":14,"height":11}},{"id":"97d05200-34bc-4f1a-885b-8f81183af6e0","block_type":"box","text":"Other","page_number":208,"box":{"x":481,"y":241,"width":38,"height":9}},{"id":"c62294d9-b3a8-4e5c-8ac3-98956ee9bf3a","block_type":"box","text":"Objective and Scope","page_number":208,"box":{"x":101,"y":260,"width":149,"height":11}},{"id":"608cf5cc-4be7-4831-9b00-e5690ba7e012","block_type":"box","text":"Set forth below is the Index Equity Fund Proxy Voting Policy.","page_number":208,"box":{"x":134,"y":279,"width":421,"height":11}},{"id":"d4af697e-bf39-4bce-801d-beae02b5a200","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":208,"box":{"x":102,"y":297,"width":354,"height":11}},{"id":"f04ffec9-f141-46a0-af0f-89b32c8359de","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of certain open-end funds (the “Funds”) advised by","page_number":208,"box":{"x":134,"y":316,"width":702,"height":11}},{"id":"7a8c16a3-1953-4708-b519-51e8a17307cd","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":208,"box":{"x":102,"y":331,"width":789,"height":11}},{"id":"145574d3-7e95-4ae8-b143-877a6d0e6d07","block_type":"box","text":"voting proxies relating to portfolio securities of the Funds, and have determined that it is in the best interests of","page_number":208,"box":{"x":101,"y":346,"width":801,"height":11}},{"id":"841c2c7c-22da-4caf-81a8-ab8cc5eb9a72","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":208,"box":{"x":101,"y":361,"width":763,"height":11}},{"id":"0dd0ceee-7f3e-45bf-b2fe-92620398d710","block_type":"box","text":"principles outlined in this Policy, as part of BlackRock’s authority to manage, acquire and dispose of account","page_number":208,"box":{"x":102,"y":375,"width":775,"height":12}},{"id":"3ce60ec8-ee8d-41d6-94ec-814d71b5664e","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":208,"box":{"x":102,"y":391,"width":651,"height":11}},{"id":"9d5fbd9a-bb6e-4030-80c5-4d7041295681","block_type":"box","text":"BlackRock has adopted the BlackRock Investment Stewardship Global Benchmark Policy (as from time to","page_number":208,"box":{"x":135,"y":409,"width":748,"height":11}},{"id":"88a8e0d6-c535-48c9-81e3-6c12a140fa54","block_type":"box","text":"time amended, the “Guidelines”) governing proxy voting by index equity Funds managed by BlackRock, except for","page_number":208,"box":{"x":101,"y":424,"width":804,"height":11}},{"id":"c3a353d5-d804-476f-8f37-dd60554b6759","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":208,"box":{"x":101,"y":439,"width":793,"height":11}},{"id":"b64f8f01-07a4-4099-902a-a2ccce7b5beb","block_type":"box","text":"time amended, the “BlackRock Climate and Decarbonization Stewardship Guidelines”) governing proxy voting for","page_number":208,"box":{"x":101,"y":454,"width":801,"height":11}},{"id":"f821ee2b-98fc-401e-81d1-08ee745961a6","block_type":"box","text":"matters covered in the BlackRock Climate and Decarbonization Stewardship Guidelines by the Funds listed in","page_number":208,"box":{"x":102,"y":469,"width":777,"height":11}},{"id":"844f4b18-6182-41fd-b6e9-497ea17d16c2","block_type":"box","text":"Appendix A.","page_number":208,"box":{"x":101,"y":484,"width":82,"height":10}},{"id":"84b88457-022f-4951-b7ff-7a0e9fa54369","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":208,"box":{"x":135,"y":502,"width":751,"height":11}},{"id":"00c4fcf0-c05a-46ab-b2d3-f028e4c6e02e","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":208,"box":{"x":102,"y":517,"width":791,"height":11}},{"id":"32850632-5262-4a34-a87d-429a36da0a90","block_type":"box","text":"the BlackRock Climate and Decarbonization Stewardship Guidelines, as applicable.","page_number":208,"box":{"x":101,"y":532,"width":591,"height":11}},{"id":"b0e8ab77-1c45-4fac-af66-d0e1efa5de26","block_type":"box","text":"Conflicts Management","page_number":208,"box":{"x":101,"y":550,"width":165,"height":11}},{"id":"dc47e1f5-a0f1-4f8f-b09d-6e72fd90172c","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) maintains policies and procedures that seek to prevent undue","page_number":208,"box":{"x":135,"y":569,"width":751,"height":11}},{"id":"f158b713-17cc-4c65-aab8-9f6462acc8f4","block_type":"box","text":"influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise of","page_number":208,"box":{"x":102,"y":584,"width":767,"height":11}},{"id":"062433ea-d4ef-4a38-be10-fba54d212249","block_type":"box","text":"proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":208,"box":{"x":102,"y":599,"width":787,"height":11}},{"id":"1c76918f-919f-4d65-bc28-6b9d5482734a","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":208,"box":{"x":102,"y":614,"width":797,"height":11}},{"id":"c90820ff-54ae-4a9b-b9a5-80ed00bb09a2","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":208,"box":{"x":102,"y":628,"width":756,"height":12}},{"id":"ab026807-3d33-4adb-b831-707405e5c586","block_type":"box","text":"certain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":208,"box":{"x":101,"y":643,"width":800,"height":12}},{"id":"c7894252-f9a3-472c-be12-ac17c8592a24","block_type":"box","text":"BIS will adhere to the Guidelines.","page_number":208,"box":{"x":102,"y":658,"width":235,"height":9}},{"id":"a0eae46c-988b-4582-abab-0cf1ce1aa84c","block_type":"box","text":"In certain instances, BIS will engage an independent third-party voting service provider to make proxy voting","page_number":208,"box":{"x":135,"y":677,"width":769,"height":11}},{"id":"a42b2585-2f4d-4dae-8b7a-2dd0a2870435","block_type":"box","text":"recommendations as a further safeguard to avoid potential conflicts of interest, to satisfy regulatory compliance","page_number":208,"box":{"x":102,"y":692,"width":800,"height":11}},{"id":"84a00c1d-5617-4408-8415-b54401fdd7ca","block_type":"box","text":"requirements, or as may be otherwise required by applicable law.","page_number":208,"box":{"x":102,"y":707,"width":463,"height":11}},{"id":"85f4711d-5896-4135-ad7e-60723be78011","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":208,"box":{"x":134,"y":725,"width":774,"height":11}},{"id":"68ed4cd4-575f-4e08-a184-175e262cfe48","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":208,"box":{"x":102,"y":740,"width":791,"height":11}},{"id":"1eed2475-c18c-47dd-b7c1-469870ddc1af","block_type":"box","text":"in clients’ financial interests. The Guidelines set forth BlackRock’s approach to recalling securities on loan in","page_number":208,"box":{"x":102,"y":755,"width":778,"height":11}},{"id":"38fc7089-5f21-4cab-a593-81c5b16d02d8","block_type":"box","text":"connection with proxy voting.","page_number":208,"box":{"x":101,"y":770,"width":203,"height":11}},{"id":"5099df56-1b8c-47d8-a4c6-39db6eb429b2","block_type":"box","text":"Reports to the Board","page_number":208,"box":{"x":102,"y":789,"width":153,"height":10}},{"id":"f96bb51b-874b-498b-8f21-3ad6fd1a21e3","block_type":"box","text":"BlackRock will report on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":208,"box":{"x":135,"y":807,"width":755,"height":11}},{"id":"6f009326-2500-472f-910f-cadeabceba65","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":208,"box":{"x":102,"y":822,"width":794,"height":11}},{"id":"470a5a0c-880b-4f70-aca4-21084787869b","block_type":"box","text":"were in accordance with the Guidelines and the BlackRock Climate and Decarbonization Stewardship Guidelines,","page_number":208,"box":{"x":101,"y":837,"width":802,"height":11}},{"id":"47531450-a47a-41fd-96c9-f01dc97ab818","block_type":"box","text":"as applicable (2) any material changes to the Guidelines and the BlackRock Climate and Decarbonization","page_number":208,"box":{"x":102,"y":852,"width":747,"height":11}},{"id":"46dea22c-ed0a-434a-b183-5f528654fdb5","block_type":"box","text":"Stewardship Guidelines, including material changes to conflicts management practices, that have not previously","page_number":208,"box":{"x":102,"y":866,"width":798,"height":12}},{"id":"041a08a1-fb33-40d8-a199-2c9abe8fbbe4","block_type":"box","text":"been reported.","page_number":208,"box":{"x":102,"y":882,"width":104,"height":10}},{"id":"c979e13c-3102-4054-ac2e-f7163f3baea2","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":208,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"43d6b6ed-8a82-4611-bbda-3d757aca9959","block_type":"box","text":"BlackRock","page_number":208,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"f0e44107-ddc3-46ca-b67c-4af93a3843a1","block_type":"box","text":"Public Page 1 of 2","page_number":208,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"6f40acd4-a509-4891-842f-458d9f0b5935","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":208,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"90f2fad9-db16-4492-82db-6602f27a738c","block_type":"box","text":"Appendix A","page_number":209,"box":{"x":101,"y":75,"width":82,"height":11}},{"id":"a0806c20-860a-4dd5-8560-89e54e4178db","block_type":"box","text":"iShares Climate Conscious & Transition MSCI USA ETF","page_number":209,"box":{"x":135,"y":98,"width":389,"height":9}},{"id":"124222c8-040d-4a92-b714-0182e10819a7","block_type":"box","text":"iShares ESG Advanced MSCI EAFE ETF","page_number":209,"box":{"x":135,"y":120,"width":274,"height":9}},{"id":"582beeb6-0632-4fc3-81aa-cd53f8214de7","block_type":"box","text":"iShares ESG Advanced MSCI EM ETF","page_number":209,"box":{"x":135,"y":143,"width":261,"height":9}},{"id":"1b31ccee-0a5a-4ebf-9038-86bfabf7fe9e","block_type":"box","text":"iShares ESG Advanced MSCI USA ETF","page_number":209,"box":{"x":135,"y":166,"width":268,"height":9}},{"id":"8105ff99-2452-4d10-923a-4b95844e9f94","block_type":"box","text":"iShares ESG MSCI EM Leaders ETF","page_number":209,"box":{"x":135,"y":188,"width":250,"height":9}},{"id":"43fb444d-a676-4751-9c45-7742781b06be","block_type":"box","text":"iShares ESG MSCI USA Leaders ETF","page_number":209,"box":{"x":135,"y":211,"width":257,"height":9}},{"id":"4309307e-6399-4ccb-8d32-7a71d2e66f83","block_type":"box","text":"iShares MSCI ACWI Low Carbon Target ETF","page_number":209,"box":{"x":135,"y":234,"width":304,"height":11}},{"id":"42985bcd-c18b-4450-91a4-0cba75a22547","block_type":"box","text":"iShares MSCI KLD 400 Social ETF","page_number":209,"box":{"x":135,"y":256,"width":242,"height":9}},{"id":"a449f8ce-c957-4a47-803f-643214f3cb2a","block_type":"box","text":"iShares MSCI USA ESG Select ETF","page_number":209,"box":{"x":135,"y":279,"width":245,"height":9}},{"id":"302bbea1-9684-4aba-96de-a39a14d69dc7","block_type":"box","text":"iShares Paris-Aligned Climate MSCI USA ETF","page_number":209,"box":{"x":135,"y":302,"width":315,"height":11}},{"id":"f3e71cea-ed0e-4e55-a1d9-4919c7adfcca","block_type":"box","text":"iShares Paris-Aligned Climate MSCI World ex USA ETF","page_number":209,"box":{"x":135,"y":324,"width":380,"height":12}},{"id":"ebeed97c-17a2-4e05-bbfd-5b9b52dcb7d1","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":209,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"e64ffef0-b101-4a3c-bbdd-dd67476950d3","block_type":"box","text":"BlackRock","page_number":209,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"c102d3ef-7cbb-4311-9db0-00e1c78648d5","block_type":"box","text":"Public Page 2 of 2","page_number":209,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"61bbeae8-b990-4586-adbd-7aec762a0fa8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":209,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"46ea9927-83cb-4a2e-972c-edc389b24921","block_type":"box","text":"BlackRock Investment Stewardship","page_number":210,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"6923f5e8-276d-49ae-995c-328573d7956e","block_type":"box","text":"Global Principles for Benchmark Policies","page_number":210,"box":{"x":341,"y":67,"width":296,"height":11}},{"id":"777bf669-9e3a-44a4-b84d-efb8519c90ba","block_type":"box","text":"Effective as of January 2026","page_number":210,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"3a246b70-2189-4905-a8bf-e7cf9ac094ef","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":210,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"38a3e35b-77fa-40c4-8c15-7c60dc1854fe","block_type":"box","text":"TABLE OF CONTENTS","page_number":211,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"78a10e75-2318-4d5a-8cc7-7b2c701b380d","block_type":"box","text":"Page","page_number":211,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"daa3bc5e-e8c0-46ee-8f27-81a9ef05c75a","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":211,"box":{"x":74,"y":84,"width":451,"height":9}},{"id":"9770072f-afdf-4076-864c-cd065171e9fb","block_type":"box","text":".......................................... 3","page_number":211,"box":{"x":528,"y":84,"width":376,"height":9}},{"id":"a3233276-e337-49b9-b8da-7f956fb99e95","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":211,"box":{"x":74,"y":101,"width":337,"height":9}},{"id":"12e192bb-1332-436a-be4b-659f4770ad6b","block_type":"box","text":"........................................................ 3","page_number":211,"box":{"x":414,"y":101,"width":490,"height":9}},{"id":"43af3310-fb05-4321-a14c-89e5cc6bdcc7","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":211,"box":{"x":74,"y":117,"width":197,"height":9}},{"id":"e34dbdf1-60b3-4bc2-b20b-bdb4499252f1","block_type":"box","text":"......................................................................... 4","page_number":211,"box":{"x":275,"y":117,"width":629,"height":9}},{"id":"bee5cb67-a8a5-4670-8db2-5f9645f25358","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":211,"box":{"x":74,"y":134,"width":190,"height":8}},{"id":"0e37a140-f445-433b-a678-18cadfe46457","block_type":"box","text":".......................................................................... 5","page_number":211,"box":{"x":267,"y":134,"width":637,"height":8}},{"id":"2f99b21e-976a-4a40-ad8b-c10a3df0a948","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":211,"box":{"x":73,"y":150,"width":294,"height":9}},{"id":"8e1df3c1-7674-4f91-9ba4-31e509ecf224","block_type":"box","text":"............................................................. 7","page_number":211,"box":{"x":373,"y":150,"width":531,"height":9}},{"id":"3b1fb3ba-ea0b-4957-8d92-719ed52ab6b9","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":211,"box":{"x":74,"y":166,"width":728,"height":11}},{"id":"f56be6da-5c89-49e4-9d01-c140a2036667","block_type":"box","text":"........ 7","page_number":211,"box":{"x":805,"y":166,"width":99,"height":9}},{"id":"73812c84-e292-463e-9e5b-39694b1e4ce9","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":211,"box":{"x":74,"y":183,"width":322,"height":9}},{"id":"2122b0dd-5fab-4568-ba6c-a678f09ec28c","block_type":"box","text":"......................................................... 8","page_number":211,"box":{"x":406,"y":183,"width":498,"height":9}},{"id":"e7adc4a6-c310-4cff-8c41-3f0c612dd180","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":211,"box":{"x":73,"y":199,"width":595,"height":9}},{"id":"99daadee-1120-45ce-9652-403bf5b6cc4e","block_type":"box","text":"........................ 9","page_number":211,"box":{"x":675,"y":199,"width":229,"height":9}},{"id":"19ee6226-900f-4144-9060-16b26523939b","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":211,"box":{"x":73,"y":215,"width":207,"height":9}},{"id":"85c5fdf9-9cf3-48fe-8a02-88d2da41e342","block_type":"box","text":"........................................................................ 9","page_number":211,"box":{"x":283,"y":215,"width":621,"height":9}},{"id":"4aaee919-e19f-4cf7-b429-41f7c7a9cd3c","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":211,"box":{"x":74,"y":232,"width":484,"height":9}},{"id":"32f855e6-ab56-42a8-9300-0c41b5a47baf","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":211,"box":{"x":561,"y":232,"width":343,"height":9}},{"id":"c8ac7cb6-afb1-49a9-be07-47ea8adb8b6b","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":211,"box":{"x":74,"y":248,"width":553,"height":9}},{"id":"15a8c77b-60d0-4cc4-8f2d-d8294bf4da68","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":211,"box":{"x":634,"y":248,"width":270,"height":9}},{"id":"090f8a23-8e0f-4e41-8c2e-f2847f4fa0f2","block_type":"box","text":"VOTING CHOICE","page_number":211,"box":{"x":73,"y":265,"width":118,"height":8}},{"id":"ecd70d26-3784-4580-8bbf-c587f55ba83e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13","page_number":211,"box":{"x":194,"y":265,"width":710,"height":8}},{"id":"91c606c6-0a94-4b00-b164-5a07fd198375","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":211,"box":{"x":74,"y":295,"width":293,"height":9}},{"id":"76628fd5-b56c-45fc-b1b6-b9b0016d544a","block_type":"box","text":".............................................................","page_number":211,"box":{"x":373,"y":302,"width":491,"height":2}},{"id":"13ac50cc-d8fa-4d38-bce5-3dcd8ff91d25","block_type":"box","text":"14","page_number":211,"box":{"x":886,"y":281,"width":18,"height":9}},{"id":"c3745527-22f2-4e4a-83da-9e9986bf801e","block_type":"box","text":"The purpose of this document is to provide an overarching explanation of BlackRock’s global approach to our","page_number":211,"box":{"x":75,"y":341,"width":778,"height":12}},{"id":"ceb9ac75-1858-4d10-a484-67d7fe85a46b","block_type":"box","text":"responsibilities as a shareholder on behalf of our clients, the principles that guide our dialogue with","page_number":211,"box":{"x":74,"y":355,"width":711,"height":11}},{"id":"335a6007-19b6-497e-aa9e-b36566348060","block_type":"box","text":"companies, and our commitments to clients in terms of our own governance and transparency.","page_number":211,"box":{"x":74,"y":369,"width":674,"height":11}},{"id":"9cbba774-dd1c-482f-85d0-05cde868d58d","block_type":"box","text":"BlackRock Investment Stewardship","page_number":211,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"afacaf4b-313c-4d06-b831-9140e27e7255","block_type":"box","text":"Global Principles | 2","page_number":211,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"f4254c4f-c8dd-4643-af01-6223eb22db46","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":211,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ab325209-6215-447f-a6f8-5bb6eca6f792","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":212,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"fcf4ad9b-80b3-4b54-b0b0-155bd0dadd72","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":212,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"e7a6229e-997d-419f-a642-1d5d71c0db0f","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":212,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"704c7e45-31e3-4880-83e1-ffd466eeb018","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":212,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"aa032d03-adc7-45c9-ab70-18e3a6c0c107","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":212,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"72fd8f53-a2f1-457c-a9f4-c5b006de8368","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship efforts, reflecting the","page_number":212,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"55b932f5-3a8a-45c7-b0e6-3cf7ca93a237","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":212,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"1fdae2da-a8e9-49d7-b858-37e1d83e3721","block_type":"box","text":"1. Engaging with the boards and management of companies","page_number":212,"box":{"x":69,"y":171,"width":451,"height":11}},{"id":"82229d21-07b6-45ea-beac-5e809a6a59ff","block_type":"box","text":"in which clients are invested to deepen our","page_number":212,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"0bd906ec-564b-4463-b78d-7e78293c011d","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":212,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"4c26dcc5-4edb-4921-b048-c7353cc81d0c","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients.","page_number":212,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"993c544f-c631-4e5a-801b-e16c8c17c253","block_type":"box","text":"1","page_number":212,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"0e3c3859-494e-40f2-9fc5-86a6c34fba92","block_type":"box","text":"2. Voting at shareholder meetings","page_number":212,"box":{"x":69,"y":221,"width":260,"height":11}},{"id":"3b8c2555-bcae-4858-8f57-a484d0fda940","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":212,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"835dcdc9-9207-4994-98d6-cdc00b7cc2a0","block_type":"box","text":"to vote on their behalf.","page_number":212,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"facdcba9-720d-4f57-a2b0-a14e796a2157","block_type":"box","text":"3. Contributing to industry dialogue on stewardship","page_number":212,"box":{"x":69,"y":256,"width":388,"height":11}},{"id":"fe1feab4-098e-4800-8f08-4f346478b32e","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":212,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"70189f14-9748-4337-9423-1fcdb491709b","block_type":"box","text":"clients’ investments.","page_number":212,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"e19468f8-96ee-4215-b2bb-455e6244464e","block_type":"box","text":"4. Reporting on our activities to inform clients","page_number":212,"box":{"x":69,"y":292,"width":351,"height":11}},{"id":"7e17b49c-6332-4d48-8b63-a7800728079e","block_type":"box","text":"about our stewardship efforts on their behalf through a range of","page_number":212,"box":{"x":426,"y":292,"width":457,"height":11}},{"id":"ea71b70d-4e22-4573-8b33-cb70d52f3dd5","block_type":"box","text":"publications on our website and direct client communications.","page_number":212,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"cd939800-84fe-46cc-9adc-d9105ad75d65","block_type":"box","text":"This document provides an overarching explanation of the principles that guide our approach to engaging and","page_number":212,"box":{"x":101,"y":329,"width":778,"height":12}},{"id":"532febbf-34db-4353-9b5c-2350b90f1f2a","block_type":"box","text":"voting on corporate governance matters and other material risks and opportunities under BIS’ Benchmark Policies.","page_number":212,"box":{"x":68,"y":345,"width":817,"height":11}},{"id":"ca1538d8-6453-447c-b82a-1057c6cab6eb","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":212,"box":{"x":68,"y":360,"width":790,"height":11}},{"id":"91608495-9639-4922-9cc8-9777211b5634","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":212,"box":{"x":70,"y":375,"width":829,"height":11}},{"id":"f78d4457-bbfb-4292-9619-a698aa0a4846","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":212,"box":{"x":69,"y":390,"width":648,"height":11}},{"id":"c1af5f89-f0cd-4095-9371-64c801efcea9","block_type":"box","text":"2","page_number":212,"box":{"x":718,"y":390,"width":4,"height":5}},{"id":"b854bfec-837b-48a0-bb4f-adfe0d1929b0","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":212,"box":{"x":321,"y":420,"width":337,"height":9}},{"id":"6463113d-8636-4c68-a12e-8fadd34d18f1","block_type":"box","text":"Sound governance is critical to a company’s ability to create long-term financial value. We maintain global","page_number":212,"box":{"x":102,"y":443,"width":751,"height":11}},{"id":"efc6ffc1-fdea-429c-8528-7d86301ae1cb","block_type":"box","text":"principles on corporate governance, which guide our approach to stewardship across jurisdictions, while recognizing","page_number":212,"box":{"x":70,"y":458,"width":824,"height":11}},{"id":"83528558-deef-4b1c-a1ba-7990a1ea0276","block_type":"box","text":"the unique characteristics of the different markets where companies operate.","page_number":212,"box":{"x":68,"y":473,"width":553,"height":11}},{"id":"10ed0a88-37cc-4338-b533-82f2dee26fcf","block_type":"box","text":"Setting, executing, and overseeing strategy are the responsibility of management and the board. As one of many","page_number":212,"box":{"x":102,"y":496,"width":802,"height":11}},{"id":"db58bc23-f0c6-4d64-b922-fa40bda0b504","block_type":"box","text":"minority shareholders in public companies, BlackRock does not direct a company’s strategy or its implementation,","page_number":212,"box":{"x":69,"y":511,"width":813,"height":11}},{"id":"cbbd7de2-6c57-45b9-aa91-bed4ea2dcf6c","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":212,"box":{"x":69,"y":526,"width":840,"height":11}},{"id":"1daf8528-d1a6-4e0f-b8e9-247a80610420","block_type":"box","text":"understand how corporate leadership is managing material risks and capitalizing on opportunities to help protect and","page_number":212,"box":{"x":69,"y":541,"width":835,"height":11}},{"id":"7691f9e2-6aaf-42aa-847d-3465513db632","block_type":"box","text":"enhance the company’s ability to deliver long-term financial returns.","page_number":212,"box":{"x":69,"y":556,"width":481,"height":11}},{"id":"3488b2e4-bd64-4155-a2d6-257454d11d69","block_type":"box","text":"STEWARDSHIP IN PRACTICE","page_number":212,"box":{"x":384,"y":586,"width":210,"height":9}},{"id":"34b17a74-0b21-43be-9581-bf5d30deeb3f","block_type":"box","text":"The assets BlackRock manages belong to our clients, which include public and private pension plans, insurers,","page_number":212,"box":{"x":101,"y":609,"width":791,"height":11}},{"id":"537eb7f7-f6d6-4937-9ef3-f55c24b249d1","block_type":"box","text":"official institutions, endowments, universities, charities, family offices, wealth managers, and ultimately, the","page_number":212,"box":{"x":69,"y":624,"width":772,"height":11}},{"id":"6ce6b1fc-f3c7-4bcc-9d4f-a107f5448673","block_type":"box","text":"individual investors that they serve. Through stewardship, we assess how companies are creating long-term financial","page_number":212,"box":{"x":70,"y":639,"width":831,"height":12}},{"id":"ac6d49c1-4e6e-4f80-8422-377c4cb2bf01","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":212,"box":{"x":68,"y":654,"width":780,"height":12}},{"id":"d6670b13-911e-4385-9fd7-a880fbe84f18","block_type":"box","text":"program - including when engaging with companies and voting at shareholder meetings on behalf of clients - is","page_number":212,"box":{"x":70,"y":669,"width":784,"height":12}},{"id":"64df646d-4f59-4363-9534-24ef83755d75","block_type":"box","text":"conducted from a long-term investor perspective and takes a financial materiality-based approach, focused solely on","page_number":212,"box":{"x":69,"y":685,"width":828,"height":11}},{"id":"9716aa78-e9fc-4aae-bc51-82bd86bdd914","block_type":"box","text":"advancing clients’ long-term financial interests.","page_number":212,"box":{"x":69,"y":700,"width":334,"height":11}},{"id":"d8efc12a-3833-460b-b8ba-e24f256f7dbd","block_type":"box","text":"BIS engages with the boards and management of companies in which clients are invested to deepen our","page_number":212,"box":{"x":102,"y":722,"width":745,"height":12}},{"id":"fc2b25f4-4098-4b82-8439-fc7b15c01124","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":212,"box":{"x":69,"y":738,"width":785,"height":11}},{"id":"205d7110-bef6-4893-a8ce-51d95736afb4","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients. Engagements provide companies with the","page_number":212,"box":{"x":69,"y":753,"width":829,"height":11}},{"id":"a722f303-122b-4206-bdfa-d5fd7cd2b27e","block_type":"box","text":"opportunity to share their perspectives on topics that, in BIS’ experience, impact the long-term financial returns","page_number":212,"box":{"x":69,"y":768,"width":795,"height":11}},{"id":"7f1da6ef-74d5-4f91-8af8-25566d25282d","block_type":"box","text":"BlackRock’s clients depend on to meet their financial goals.","page_number":212,"box":{"x":70,"y":783,"width":425,"height":11}},{"id":"1c93887e-8305-4e74-9a4d-391068b8ed2b","block_type":"box","text":"1","page_number":212,"box":{"x":69,"y":813,"width":4,"height":4}},{"id":"69c05a66-4811-4705-94be-3cd3c808b744","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":212,"box":{"x":79,"y":812,"width":790,"height":11}},{"id":"73d1e29a-50b8-4fa9-83f7-46db2ceb277e","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":212,"box":{"x":69,"y":827,"width":836,"height":12}},{"id":"03224b65-3036-4732-8296-802afc3e5a60","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":212,"box":{"x":68,"y":842,"width":805,"height":12}},{"id":"48549a3b-0aee-473c-8b02-b05887612288","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":212,"box":{"x":69,"y":857,"width":405,"height":12}},{"id":"4a5bafdc-3431-4f7d-86d1-7c1219f5f223","block_type":"box","text":"2","page_number":212,"box":{"x":69,"y":876,"width":4,"height":4}},{"id":"9392a002-2433-4fb1-9b36-bfe7c369aaa9","block_type":"box","text":"Alongside the Global Principles and regional voting guidelines, BIS publishes Engagement Priorities which reflect the","page_number":212,"box":{"x":78,"y":875,"width":827,"height":11}},{"id":"c4e07356-d257-42c8-892d-84fcf40d5c65","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":212,"box":{"x":68,"y":890,"width":818,"height":12}},{"id":"4e71cb49-5efe-4f36-a90a-3e88be7aeceb","block_type":"box","text":"material business risk or opportunity.","page_number":212,"box":{"x":69,"y":906,"width":264,"height":11}},{"id":"0a92f934-5f73-4ac7-9dce-de060b7f374d","block_type":"box","text":"BlackRock Investment Stewardship","page_number":212,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"98a44e31-c425-4886-b496-74bc73a8cb14","block_type":"box","text":"Global Principles | 3","page_number":212,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"41775b21-ac7f-4631-b086-ce07af8e78ec","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":212,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"185db47a-c776-4ae2-b519-1c5242e6e01b","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":213,"box":{"x":101,"y":45,"width":753,"height":11}},{"id":"c3d8edc8-cb51-4abd-a90f-f1813016141d","block_type":"box","text":"governance. As a fiduciary, BlackRock is legally required to make proxy voting determinations in a manner that is","page_number":213,"box":{"x":68,"y":60,"width":805,"height":11}},{"id":"2b4a990f-072a-4945-ae08-aba0c5b6fefe","block_type":"box","text":"consistent with the investment objectives of clients who have delegated voting authority to us. BIS’ Benchmark","page_number":213,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"846da967-1f25-4c81-8d68-71703fb8d2e5","block_type":"box","text":"Policies, and the vote decisions made consistent with those policies, reflect our reasonable and independent","page_number":213,"box":{"x":69,"y":90,"width":779,"height":11}},{"id":"1f59a7ef-b40a-4038-bf09-06ba96a3718d","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":213,"box":{"x":67,"y":105,"width":816,"height":11}},{"id":"5e4eb20d-8989-43ab-8aa6-3a1b637f8368","block_type":"box","text":"factors, including in-depth analysis of company disclosures, comparisons against industry peers, third-party research,","page_number":213,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"1e1cf10a-9df1-4857-92dc-aa0386309243","block_type":"box","text":"and, where appropriate, engagement with companies.","page_number":213,"box":{"x":69,"y":136,"width":381,"height":11}},{"id":"d3ec0c47-6372-45eb-b2ef-a5c1a8c54937","block_type":"box","text":"Generally, BIS supports the vote recommendations of the board of directors and management at companies","page_number":213,"box":{"x":102,"y":158,"width":770,"height":11}},{"id":"447f1f7e-c667-44f9-810c-c274abe89240","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":213,"box":{"x":68,"y":173,"width":838,"height":11}},{"id":"c4015423-3cd9-4c53-95d8-27607da67d76","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":213,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"cded1b8e-1eb0-4037-84d6-c8d46403d32e","block_type":"box","text":"support the election of directors or other management proposals, or we might not support management’s voting","page_number":213,"box":{"x":69,"y":203,"width":802,"height":12}},{"id":"fd656031-3a7d-43ff-b792-4c672f51f357","block_type":"box","text":"recommendation on a shareholder proposal.","page_number":213,"box":{"x":69,"y":219,"width":315,"height":10}},{"id":"ac792a6d-05cc-4e4f-9929-2c41cf0c3731","block_type":"box","text":"SHAREHOLDER RIGHTS","page_number":213,"box":{"x":403,"y":249,"width":172,"height":9}},{"id":"ca8e93a2-2781-4255-b168-944316f5789e","block_type":"box","text":"BlackRock’s global approach as a shareholder on behalf of our clients is underpinned by certain rights attached","page_number":213,"box":{"x":102,"y":271,"width":796,"height":12}},{"id":"781f8f61-78e0-4151-a1bc-b49942027b68","block_type":"box","text":"to shareholding in most markets, as established by corporate laws, regulations, and listing rules.","page_number":213,"box":{"x":68,"y":287,"width":693,"height":11}},{"id":"5fecc16d-1879-4b80-82c6-dd1fe4275f50","block_type":"box","text":"3","page_number":213,"box":{"x":763,"y":287,"width":4,"height":4}},{"id":"387ebdbf-a04b-419e-87a8-492d4f1b6c24","block_type":"box","text":"For example, in","page_number":213,"box":{"x":774,"y":287,"width":106,"height":10}},{"id":"d68d11cb-fc31-4aaa-bdfb-0f7f047e34bd","block_type":"box","text":"most markets, shareholders have the right to:","page_number":213,"box":{"x":69,"y":302,"width":326,"height":11}},{"id":"75c04be5-1a58-4903-9b50-671df1217e8a","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":325,"width":6,"height":4}},{"id":"fafe5199-ed03-4abc-86a5-46663094eeb6","block_type":"box","text":"Vote to elect, remove, and nominate directors, approve the appointment of the auditor, and amend the corporate","page_number":213,"box":{"x":101,"y":322,"width":804,"height":11}},{"id":"592e9e96-3f2e-4386-9997-a0a226d55797","block_type":"box","text":"charter or bylaws.","page_number":213,"box":{"x":101,"y":337,"width":126,"height":11}},{"id":"f80b9db1-8fc6-4fdb-a66c-15fda9d2312f","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"c73714b7-361d-4965-8b35-b63bbcf59c58","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":213,"box":{"x":101,"y":357,"width":789,"height":11}},{"id":"a0edae17-8131-4a2c-8bbf-ac4b220f4451","block_type":"box","text":"changes to the purpose of the business, dilution levels, and pre-emptive rights.","page_number":213,"box":{"x":101,"y":372,"width":564,"height":11}},{"id":"eb9d48ba-7101-4951-b616-c76e50775760","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":395,"width":6,"height":5}},{"id":"04babc97-0a73-4ccb-9566-c322a81fc5bf","block_type":"box","text":"Access sufficient and timely information on governance, strategic, and business matters — where such matters","page_number":213,"box":{"x":101,"y":392,"width":799,"height":12}},{"id":"a4aa0764-c166-4040-a05a-d4e6aa42deb9","block_type":"box","text":"are material — to make informed decisions.","page_number":213,"box":{"x":102,"y":407,"width":313,"height":9}},{"id":"4e95a508-aba8-49f1-95b1-065c22e06407","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":213,"box":{"x":391,"y":438,"width":196,"height":9}},{"id":"b79671af-1932-4bad-a741-4e1af0d2b387","block_type":"box","text":"In our experience, there are certain globally applicable elements of corporate governance that contribute to a","page_number":213,"box":{"x":102,"y":460,"width":776,"height":12}},{"id":"4c88b400-48ab-4f28-8bc5-84ee4f92eded","block_type":"box","text":"company’s ability to create long-term financial value for shareholders. These are topics that shareholders may have","page_number":213,"box":{"x":69,"y":475,"width":822,"height":12}},{"id":"22b17921-172b-4489-9e01-9d7a87e1a491","block_type":"box","text":"the ability to vote on at shareholder meetings. These areas include:","page_number":213,"box":{"x":68,"y":491,"width":482,"height":11}},{"id":"837de21a-7f9c-4932-955f-2051259013c8","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":514,"width":6,"height":4}},{"id":"44cbd812-993d-4a82-981a-8955ed1db295","block_type":"box","text":"Boards and directors","page_number":213,"box":{"x":102,"y":511,"width":147,"height":9}},{"id":"971b9431-ab6b-40f2-91d8-3c8407fdff53","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":534,"width":6,"height":4}},{"id":"785acd98-3ec5-4850-a2d2-5ffa4a68c8e5","block_type":"box","text":"Auditors and audit-related issues","page_number":213,"box":{"x":101,"y":531,"width":234,"height":9}},{"id":"a6fcf303-6835-437b-87fd-ae94497b66f7","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":554,"width":6,"height":5}},{"id":"2d15d247-293d-451f-bcc3-957fd38d0ec6","block_type":"box","text":"Capital structure, mergers, acquisitions, asset sales, and other special situations","page_number":213,"box":{"x":102,"y":551,"width":583,"height":11}},{"id":"36b979b5-edd6-42f4-adad-43d4b56f7075","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":574,"width":6,"height":5}},{"id":"33e411c7-0057-458c-af6f-9089682dd0a6","block_type":"box","text":"Executive compensation","page_number":213,"box":{"x":102,"y":571,"width":170,"height":11}},{"id":"14f6d5cd-9844-48b1-9c09-36cbb6944734","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":594,"width":6,"height":5}},{"id":"d586acb0-3a33-4819-86bd-fb133c9550d0","block_type":"box","text":"Shareholder protections and other significant corporate governance matters","page_number":213,"box":{"x":102,"y":591,"width":539,"height":12}},{"id":"d970f991-a60d-4f70-afa8-dd36b505377c","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":614,"width":6,"height":5}},{"id":"ad9049d4-8805-4e62-8f50-26fa1ef59b2a","block_type":"box","text":"Shareholder proposals","page_number":213,"box":{"x":102,"y":612,"width":160,"height":11}},{"id":"336c6480-3225-40a5-a752-b1d334f9af87","block_type":"box","text":"The BIS Benchmark Policies are not prescriptive but rather are applied on a pragmatic basis, taking into","page_number":213,"box":{"x":101,"y":634,"width":740,"height":12}},{"id":"78f360a8-9d84-459e-86cd-74e5812c3c15","block_type":"box","text":"consideration a number of company-specific factors, including the sector, market, and business environment within","page_number":213,"box":{"x":69,"y":649,"width":819,"height":12}},{"id":"5f006ec2-9ac5-42e0-a4e0-1e7a5f6a8bda","block_type":"box","text":"which companies operate.","page_number":213,"box":{"x":68,"y":665,"width":186,"height":10}},{"id":"a3d5a2e7-0151-4ab8-a476-598f8d33e447","block_type":"box","text":"At the regional level, it is our view that companies should observe the accepted corporate governance standards","page_number":213,"box":{"x":101,"y":687,"width":803,"height":11}},{"id":"7b362f65-223a-4964-845e-5c70e8915fa0","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":213,"box":{"x":70,"y":702,"width":785,"height":11}},{"id":"8b86b8d3-0fa7-4d6e-baf0-816f26b21f9d","block_type":"box","text":"supports durable, long-term financial value creation. Our regional voting guidelines explain how the BIS Global","page_number":213,"box":{"x":69,"y":717,"width":781,"height":12}},{"id":"72b5e1ef-87c6-4c25-b297-c5a80ac44155","block_type":"box","text":"Principles inform our voting decisions in relation to common ballot items for shareholder meetings in those markets.","page_number":213,"box":{"x":69,"y":732,"width":829,"height":12}},{"id":"1678cd91-3720-409c-a325-79aef751f216","block_type":"box","text":"4","page_number":213,"box":{"x":899,"y":733,"width":5,"height":4}},{"id":"9288fbca-6372-471e-ac2e-3175ba2c3386","block_type":"box","text":"3","page_number":213,"box":{"x":69,"y":762,"width":4,"height":5}},{"id":"844efece-6127-4472-b1c0-54dd5745e02a","block_type":"box","text":"Examples include: Government of Canada, “Canada Business Corporations Act,” amended 2024; European Union,","page_number":213,"box":{"x":79,"y":762,"width":816,"height":11}},{"id":"902bd391-26f2-49f4-b232-d2d3acc1aa14","block_type":"box","text":"“Shareholder Rights Directive II,” 2017; and the China Securities Regulatory Commission, “Code of Corporate","page_number":213,"box":{"x":70,"y":777,"width":784,"height":11}},{"id":"173cfa94-f2f2-4b92-85b3-a914e70e073b","block_type":"box","text":"Governance for Listed Companies in China,” 2001. Websites accessed in December 2025.","page_number":213,"box":{"x":69,"y":792,"width":650,"height":11}},{"id":"41b07c0e-dbe0-4da5-9169-c5edbd71541d","block_type":"box","text":"4","page_number":213,"box":{"x":69,"y":810,"width":4,"height":4}},{"id":"4d9685df-c83d-4b3a-ab7c-9e5017918ee7","block_type":"box","text":"Our regional voting guidelines reflect these different market standards and norms. Depending on the market,","page_number":213,"box":{"x":79,"y":810,"width":776,"height":11}},{"id":"47004852-1807-4f62-89aa-dcf7c772e3e1","block_type":"box","text":"generally accepted practice is informed by corporate law, market regulation, best practices, and industry initiatives,","page_number":213,"box":{"x":68,"y":825,"width":821,"height":11}},{"id":"5d1ec525-3eb1-410f-b851-a44453f6be59","block_type":"box","text":"amongst other factors. BIS carries out engagement with companies, executes proxy votes, and conducts vote","page_number":213,"box":{"x":69,"y":840,"width":780,"height":11}},{"id":"8b2895c5-918e-4948-a914-414582596610","block_type":"box","text":"operations (including maintaining records of votes cast) in a manner consistent with the relevant regional voting","page_number":213,"box":{"x":69,"y":855,"width":796,"height":11}},{"id":"97035165-c796-4203-aa4b-0aca7539d2f6","block_type":"box","text":"guidelines.","page_number":213,"box":{"x":68,"y":870,"width":76,"height":11}},{"id":"c81f8d70-6cea-4c63-ae84-6d4c64bd229c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":213,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"d3f4a8f2-4b26-4595-a864-e0a1ac1e3159","block_type":"box","text":"Global Principles | 4","page_number":213,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"0b8dde42-f48f-4c73-90f5-2fb9667adf96","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":213,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bb9d9328-c486-47e9-b8eb-72f118d47689","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":214,"box":{"x":394,"y":45,"width":190,"height":9}},{"id":"a62a12ea-0917-40af-9e98-d4353011ba6b","block_type":"box","text":"Oversight role of the board","page_number":214,"box":{"x":69,"y":75,"width":194,"height":11}},{"id":"b8ad295d-5dc6-4084-b522-cfbf2ace5fe1","block_type":"box","text":"Companies whose boards are comprised of appropriately qualified, engaged directors with professional","page_number":214,"box":{"x":102,"y":98,"width":734,"height":11}},{"id":"88a6f993-4707-4774-8053-6f03d583137e","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":214,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"376c70b7-705b-4fb3-9bc3-9a6607197370","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":214,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"a473ed14-184f-4e7f-b0f4-34b5fbbf7643","block_type":"box","text":"advantage, providing valuable oversight and contributing to the most important management decisions that support","page_number":214,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"9a1bf844-6e7e-4e23-940a-bd09d1896702","block_type":"box","text":"long-term financial performance.","page_number":214,"box":{"x":70,"y":158,"width":229,"height":11}},{"id":"ae7fcdca-003e-409d-a859-507b5cb2b150","block_type":"box","text":"For this reason, our investment stewardship efforts focus on the effectiveness of the board of directors. We","page_number":214,"box":{"x":102,"y":181,"width":771,"height":11}},{"id":"7a88c23d-01c9-4461-a21c-6bd7363eae78","block_type":"box","text":"engage, as necessary, with members of the board’s nominating and/or governance committee to assess whether","page_number":214,"box":{"x":69,"y":196,"width":811,"height":11}},{"id":"753edda1-b257-4f5b-8aa4-0c7e857d2ae6","block_type":"box","text":"governance practices and board composition are effective given a company’s business model, sector, market, and","page_number":214,"box":{"x":68,"y":211,"width":817,"height":11}},{"id":"39ed788b-a2ac-4076-b8e4-511ea3d3ff80","block_type":"box","text":"the business environment in which a company is operating.","page_number":214,"box":{"x":68,"y":226,"width":422,"height":11}},{"id":"4850193a-42c2-4fe7-803e-9dc4f6960bc6","block_type":"box","text":"We consider it good practice when the board establishes and maintains a framework of robust and effective","page_number":214,"box":{"x":101,"y":249,"width":770,"height":11}},{"id":"1ac6b3bf-dae1-4c6d-8a55-fb29f5c665fa","block_type":"box","text":"governance mechanisms that supports its oversight of the company’s strategy and operations, consistent with the","page_number":214,"box":{"x":68,"y":264,"width":817,"height":11}},{"id":"dc9a87ee-dfa2-4cb5-a8da-3a0725bf9ae7","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":214,"box":{"x":70,"y":279,"width":799,"height":11}},{"id":"5a2bc465-8a31-4084-9804-2accf319e906","block_type":"box","text":"committees of the board and how directors engage with and oversee management, as well as disclosure of material","page_number":214,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"f68ba699-b045-4f30-9520-ff0a4abd87d6","block_type":"box","text":"risks that may affect a company’s long-term strategy and how management is effectively identifying, managing, and","page_number":214,"box":{"x":69,"y":309,"width":822,"height":11}},{"id":"c474891b-f379-4180-b3e3-4473aca471a3","block_type":"box","text":"mitigating such risks.","page_number":214,"box":{"x":69,"y":325,"width":150,"height":11}},{"id":"eeb9244b-8150-4a52-bb9f-0168ead24345","block_type":"box","text":"Understanding management’s long-term strategy and the milestones against which investors should assess its","page_number":214,"box":{"x":102,"y":347,"width":791,"height":11}},{"id":"f688caf3-0919-4fdf-83e1-d5837d273cf6","block_type":"box","text":"implementation is central to our approach. If any strategic targets are significantly missed or materially restated, we","page_number":214,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"077f3eb3-23aa-4148-ae04-86c1e9d2a7d0","block_type":"box","text":"find it helpful when company disclosures provide a detailed explanation of the changes and an indication of the","page_number":214,"box":{"x":68,"y":377,"width":793,"height":12}},{"id":"212df008-1830-4360-baff-cf1fade788e1","block_type":"box","text":"board’s role in reviewing the revised targets. We look to the board to articulate the effectiveness of these","page_number":214,"box":{"x":69,"y":392,"width":755,"height":12}},{"id":"d73f566d-8ab1-4e96-98c4-d50963e0208b","block_type":"box","text":"mechanisms in overseeing the management of business risks and opportunities and the fulfillment of the company’s","page_number":214,"box":{"x":69,"y":407,"width":835,"height":12}},{"id":"79e1c90a-e110-4cf1-87c7-0b5064bfa5fe","block_type":"box","text":"strategy.","page_number":214,"box":{"x":69,"y":423,"width":58,"height":11}},{"id":"3608e7ec-d953-4399-bf35-cb969e0f582e","block_type":"box","text":"Where a company has not adequately disclosed or demonstrated that its board has fulfilled these corporate","page_number":214,"box":{"x":101,"y":445,"width":769,"height":11}},{"id":"89615dd5-6f5b-492d-a15b-db6c725275e6","block_type":"box","text":"governance and risk oversight responsibilities, we may consider not supporting the election of directors who, in our","page_number":214,"box":{"x":68,"y":460,"width":823,"height":12}},{"id":"c037a6ec-184b-463c-8a93-2dff1f2b05c9","block_type":"box","text":"assessment, have particular responsibility for the issues.","page_number":214,"box":{"x":69,"y":475,"width":409,"height":12}},{"id":"aec4572f-0356-4b3b-892b-263b66f5eff9","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":214,"box":{"x":101,"y":498,"width":791,"height":11}},{"id":"f32b348e-c90a-47c3-9d5a-9fb8c7813524","block_type":"box","text":"the board’s effectiveness as a group include the relevance of individual directors’ qualifications and skillsets, as well","page_number":214,"box":{"x":68,"y":513,"width":836,"height":12}},{"id":"7bbd1051-ae2d-4f4b-9e07-b257558a1418","block_type":"box","text":"as directors’ capacity and other time commitments, and how these factors may contribute to the company’s financial","page_number":214,"box":{"x":69,"y":528,"width":833,"height":12}},{"id":"9aedc989-1707-446a-a281-27711d41c818","block_type":"box","text":"performance. We look to boards to establish formal and transparent processes for nominating directors that reflect","page_number":214,"box":{"x":70,"y":543,"width":823,"height":12}},{"id":"28762ae0-aa55-4143-842d-e0bb8b58a970","block_type":"box","text":"the company’s long-term strategy and business model.","page_number":214,"box":{"x":68,"y":559,"width":390,"height":11}},{"id":"da8ca6f5-6276-4018-89bf-d32dda9e29d9","block_type":"box","text":"In the section titled “Board quality and effectiveness” below, we provide more detail about our approach to board","page_number":214,"box":{"x":102,"y":581,"width":807,"height":11}},{"id":"9115d84d-5365-470e-a332-0c166d6bcb58","block_type":"box","text":"composition and how it underpins board effectiveness and long-term financial value creation.","page_number":214,"box":{"x":69,"y":596,"width":662,"height":12}},{"id":"826126a8-40b7-4088-a4a4-75c4576a1b1c","block_type":"box","text":"Regular accountability through director elections","page_number":214,"box":{"x":69,"y":627,"width":358,"height":11}},{"id":"38b9da7a-08cb-4e96-87b6-601982612010","block_type":"box","text":"The election of directors to the board is a right of shareholders and an important signal of support for, or","page_number":214,"box":{"x":101,"y":649,"width":750,"height":12}},{"id":"7a706a44-9b0b-4e27-82ef-444894c9022f","block_type":"box","text":"concern about, the performance of the board in overseeing and advising management. To ensure accountability for","page_number":214,"box":{"x":69,"y":664,"width":819,"height":12}},{"id":"da7e1fd9-e79e-44ac-b808-f09103fadec7","block_type":"box","text":"their decisions on behalf of shareholders, directors should stand for election on a regular basis, ideally annually.","page_number":214,"box":{"x":68,"y":680,"width":802,"height":11}},{"id":"18efe73c-9b1b-476a-8a65-3d960cc77a37","block_type":"box","text":"5","page_number":214,"box":{"x":872,"y":680,"width":4,"height":4}},{"id":"51c8dfd9-b334-4b5b-991a-37e982e1d63a","block_type":"box","text":"Annual director elections allow shareholders to reaffirm their support for, or concerns about, board members’","page_number":214,"box":{"x":68,"y":695,"width":782,"height":11}},{"id":"438cae35-ac51-4c86-bcfd-87942cab3413","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":214,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"cad7c7c5-ebb0-405b-af68-4baaffb75da0","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":214,"box":{"x":68,"y":725,"width":832,"height":11}},{"id":"2a87d184-6736-47fe-a9a0-5edfa1ad2b12","block_type":"box","text":"with a proportion of directors being put forward for election at each shareholder meeting.","page_number":214,"box":{"x":68,"y":740,"width":636,"height":11}},{"id":"e3a34136-1f81-4f8e-aa07-1799794ee94c","block_type":"box","text":"BOARD QUALITY AND EFFECTIVENESS","page_number":214,"box":{"x":348,"y":770,"width":282,"height":11}},{"id":"55a2289b-c348-43fc-8263-1be35de203ee","block_type":"box","text":"Regular director elections also give boards the opportunity to adjust their composition in an orderly way to reflect","page_number":214,"box":{"x":102,"y":793,"width":805,"height":11}},{"id":"ba16249e-b103-4ad7-b42d-31f42bc90d5b","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":214,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"32e66772-ba69-44c3-bc1c-141febe397ea","block_type":"box","text":"be brought onto the board periodically to refresh the group’s thinking, while supporting both continuity and","page_number":214,"box":{"x":69,"y":823,"width":758,"height":12}},{"id":"63aa5d19-2a6f-4ca6-b449-d27b974c5a81","block_type":"box","text":"5","page_number":214,"box":{"x":69,"y":853,"width":4,"height":4}},{"id":"b7305b7e-1bbf-4d4b-b8ac-f2c950014798","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":214,"box":{"x":79,"y":852,"width":795,"height":12}},{"id":"63930089-73af-44a0-9b30-e1ad23908057","block_type":"box","text":"market regulation or voluntary best practice.","page_number":214,"box":{"x":69,"y":868,"width":314,"height":11}},{"id":"7b0244fc-5cb0-4756-8e4f-1fab752d4cc3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":214,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"a8e30f95-f793-4599-9215-85fa1b5ad914","block_type":"box","text":"Global Principles | 5","page_number":214,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"22036a1c-7d03-4e7c-9a97-42856f94b45a","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":214,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"74842994-26dd-4279-a1dc-867833456655","block_type":"box","text":"appropriate succession planning. We consider the average overall tenure of the board and seek a balance between","page_number":215,"box":{"x":69,"y":45,"width":819,"height":11}},{"id":"4fb139c6-8987-4a64-96fa-a1b58f556acc","block_type":"box","text":"the knowledge and experience of longer-serving directors and the fresh perspectives of directors who joined more","page_number":215,"box":{"x":68,"y":60,"width":809,"height":11}},{"id":"e8555ae6-53df-4f7b-b123-53e99470ece0","block_type":"box","text":"recently.","page_number":215,"box":{"x":69,"y":75,"width":57,"height":11}},{"id":"7453af7d-80d2-468c-bc98-f1068bf8d51e","block_type":"box","text":"We appreciate when companies regularly review and assess how directors nominated for election contribute to","page_number":215,"box":{"x":101,"y":98,"width":789,"height":11}},{"id":"3e5b12ab-2d65-469d-aa0f-5c3f20e60a7c","block_type":"box","text":"the effectiveness of the board. In our view, the company’s assessment should consider a number of factors,","page_number":215,"box":{"x":68,"y":113,"width":774,"height":11}},{"id":"ce0aa657-bf1f-49c4-b316-958a385dcc78","block_type":"box","text":"including each director’s independence and time commitments, as well as the breadth and relevance of director","page_number":215,"box":{"x":70,"y":128,"width":798,"height":11}},{"id":"561f57f2-5526-4f9d-8b3b-468c1b0d6f24","block_type":"box","text":"experiences and skillsets, and how these collectively contribute to the board’s effectiveness in advising and","page_number":215,"box":{"x":69,"y":143,"width":770,"height":11}},{"id":"2c885ce8-5569-4d66-bbc9-8ede39370601","block_type":"box","text":"overseeing management in delivering long-term financial returns.","page_number":215,"box":{"x":69,"y":158,"width":459,"height":11}},{"id":"cf0f0b4c-9c38-461b-a7b4-b0fcc04e5540","block_type":"box","text":"Director independence","page_number":215,"box":{"x":69,"y":188,"width":164,"height":11}},{"id":"fc0290f3-f766-4dd7-88e0-3266109c039f","block_type":"box","text":"Director independence — from management, significant shareholders, or other related parties — is a central","page_number":215,"box":{"x":102,"y":211,"width":777,"height":11}},{"id":"183b037f-5ef3-429d-af4d-09df41cc88c1","block_type":"box","text":"tenet of sound corporate governance across markets.","page_number":215,"box":{"x":68,"y":226,"width":382,"height":11}},{"id":"96fe560c-dd37-4596-8b51-3ba58a30622d","block_type":"box","text":"6","page_number":215,"box":{"x":452,"y":226,"width":4,"height":5}},{"id":"98933acc-3f2f-477b-8f43-746381e1e5e8","block_type":"box","text":"We look to boards to have a sufficient number of independent","page_number":215,"box":{"x":462,"y":226,"width":442,"height":11}},{"id":"f42d39c7-1f71-46bb-8555-6737488c1691","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":215,"box":{"x":69,"y":241,"width":825,"height":11}},{"id":"4d2b1d4d-c917-4295-a15c-24d9f526b223","block_type":"box","text":"and its ability to oversee management. We generally consider it good practice for independent directors to make a","page_number":215,"box":{"x":69,"y":256,"width":813,"height":12}},{"id":"cda9f157-470a-49e2-90a9-eba6082b9111","block_type":"box","text":"majority of the board, or in the case of controlled companies, at least one-third.","page_number":215,"box":{"x":69,"y":271,"width":566,"height":12}},{"id":"2817d42e-9e6f-47d4-8b25-3196e13b4b4d","block_type":"box","text":"Common impediments to independence may include but are not limited to:","page_number":215,"box":{"x":102,"y":294,"width":531,"height":11}},{"id":"cae1db89-9a88-4aa8-89fd-09e90da62c8e","block_type":"box","text":"•","page_number":215,"box":{"x":69,"y":317,"width":6,"height":5}},{"id":"f84074df-c073-4240-a84e-092bbe42e62b","block_type":"box","text":"Current or recent employment at the company or a subsidiary","page_number":215,"box":{"x":102,"y":314,"width":438,"height":11}},{"id":"a6f98512-779a-40e5-9189-edd50f93f138","block_type":"box","text":"•","page_number":215,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"f60df728-6ca3-4225-8dfd-139f3a739f83","block_type":"box","text":"Being, or representing, a shareholder with a substantial shareholding in the company","page_number":215,"box":{"x":102,"y":335,"width":606,"height":11}},{"id":"41682276-3fbf-447b-830b-a07e36304620","block_type":"box","text":"•","page_number":215,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"3affe5e8-aac1-4052-a28b-a6a5ced9ea6b","block_type":"box","text":"Interlocking directorates","page_number":215,"box":{"x":102,"y":355,"width":170,"height":11}},{"id":"c38c7281-70fa-4f3e-9ef4-d4d89f34e2d1","block_type":"box","text":"•","page_number":215,"box":{"x":69,"y":378,"width":6,"height":4}},{"id":"11567f68-6461-4955-b829-76a94da30819","block_type":"box","text":"Having any other interest, business, or other relationship which could, or could reasonably be perceived to,","page_number":215,"box":{"x":102,"y":375,"width":761,"height":11}},{"id":"357ea5a2-499a-447f-9f6f-dfe912d44e0d","block_type":"box","text":"materially interfere with a director’s ability to act in the best interests of the company and shareholders","page_number":215,"box":{"x":102,"y":390,"width":738,"height":11}},{"id":"c102920e-435e-4b16-aa6b-da0382aa218b","block_type":"box","text":"In our experience, boards are most effective at overseeing and advising management when there is a senior,","page_number":215,"box":{"x":102,"y":412,"width":775,"height":12}},{"id":"1990deaf-dcec-47a4-8f9c-5c3f7e6882ed","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":215,"box":{"x":70,"y":428,"width":827,"height":11}},{"id":"d62024eb-7ebe-41b8-a39a-2a27219c5934","block_type":"box","text":"independent), be designated as a lead independent director. The role of this director is to support independent board","page_number":215,"box":{"x":70,"y":443,"width":835,"height":11}},{"id":"ed4f492a-4834-448a-a061-53cab1b56d65","block_type":"box","text":"members in fulfilling their oversight responsibilities effectively by shaping the agenda, ensuring adequate information","page_number":215,"box":{"x":69,"y":458,"width":834,"height":11}},{"id":"8697651a-d4ae-4c89-9387-db596cca902f","block_type":"box","text":"is provided to the board, and encouraging independent director participation in board deliberations. We appreciate","page_number":215,"box":{"x":70,"y":473,"width":813,"height":11}},{"id":"99eab990-8f6d-4f7f-9e83-b5d53fce1ada","block_type":"box","text":"when the lead independent director or another appropriate director is available to meet with shareholders to explain","page_number":215,"box":{"x":68,"y":488,"width":826,"height":11}},{"id":"79e311a3-06a1-40d1-bd4a-1f5e688616ce","block_type":"box","text":"and contextualize a company’s approach as a situation warrants.","page_number":215,"box":{"x":69,"y":503,"width":463,"height":11}},{"id":"d59f6f80-bc75-43f8-aa5c-630297ffce55","block_type":"box","text":"Boards may face matters that could involve conflicts of interest for executives or affiliated directors, or that","page_number":215,"box":{"x":102,"y":526,"width":765,"height":11}},{"id":"85ea1eec-fec9-4b83-a4b4-cdd346476956","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":215,"box":{"x":69,"y":541,"width":837,"height":11}},{"id":"f0d30213-f37e-4961-9663-17ae03a431de","block_type":"box","text":"committees with a majority of independent directors, depending on market norms and a company’s ownership","page_number":215,"box":{"x":69,"y":556,"width":784,"height":11}},{"id":"964cdb10-a3a6-4009-9fbc-800fde49ca66","block_type":"box","text":"structure. In many markets, these committees of the board specialize in audit, director nominations, and","page_number":215,"box":{"x":69,"y":571,"width":747,"height":11}},{"id":"50fdf162-d8e3-4c32-bf73-24c2410e2869","block_type":"box","text":"compensation matters, among others. An ad hoc committee might also be formed to decide on a special transaction,","page_number":215,"box":{"x":69,"y":586,"width":836,"height":12}},{"id":"ed8bd039-8f2f-4a9c-9286-25671e574547","block_type":"box","text":"particularly one involving a related party, or to investigate a significant adverse event.","page_number":215,"box":{"x":70,"y":601,"width":607,"height":12}},{"id":"be6cd186-38e1-429d-9949-1028e08bfb35","block_type":"box","text":"Sufficient capacity","page_number":215,"box":{"x":68,"y":632,"width":137,"height":11}},{"id":"49b7278a-4610-402b-b0d2-b63d650263c3","block_type":"box","text":"As the role and expectations of a director are increasingly demanding, directors must be able to commit an","page_number":215,"box":{"x":101,"y":654,"width":763,"height":12}},{"id":"6852fc77-d9fd-455a-a6eb-0d147bd54ec8","block_type":"box","text":"appropriate amount of time to board and committee matters. It is important that directors have the capacity to meet","page_number":215,"box":{"x":69,"y":669,"width":830,"height":12}},{"id":"9e1d88da-51d9-4386-977e-be49f79eb055","block_type":"box","text":"all of their responsibilities — including when there are unforeseen events — and therefore, we consider it best","page_number":215,"box":{"x":69,"y":685,"width":791,"height":11}},{"id":"3bfc53f0-69dc-49a2-851d-a46cb47253cf","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":215,"box":{"x":70,"y":700,"width":804,"height":11}},{"id":"22636d89-4f91-4778-87bb-d54acc042bb4","block_type":"box","text":"Board composition","page_number":215,"box":{"x":69,"y":730,"width":135,"height":11}},{"id":"1b0f714e-f5be-4f73-9f2a-fc7839a1ec8c","block_type":"box","text":"In assessing board composition, we take into account a company’s board size, business model, strategy, market","page_number":215,"box":{"x":102,"y":753,"width":806,"height":11}},{"id":"4a4f9748-7b82-442e-aed8-4eea84b6cb73","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":215,"box":{"x":69,"y":768,"width":836,"height":11}},{"id":"3feef0a2-bb6c-486c-ac39-24b1fe1f4ef6","block_type":"box","text":"companies explain how their approach to board composition supports the company’s governance practices.","page_number":215,"box":{"x":69,"y":783,"width":767,"height":11}},{"id":"3e949c89-dc23-4302-b12c-214e19f18d2d","block_type":"box","text":"When nominating directors to the board, we look to companies to provide sufficient information on the individual","page_number":215,"box":{"x":101,"y":806,"width":802,"height":11}},{"id":"7c0aa852-2d0d-422d-b848-00091eb7644f","block_type":"box","text":"candidates so that shareholders can assess the capabilities and suitability of each individual nominee and their fit","page_number":215,"box":{"x":69,"y":821,"width":818,"height":11}},{"id":"4d299ed6-1a3b-48e9-8a5e-33557c5fa7b6","block_type":"box","text":"within overall board composition. These disclosures should explain how the collective experience and expertise of the","page_number":215,"box":{"x":68,"y":836,"width":840,"height":11}},{"id":"df5283ae-4628-418c-92a5-3344176742d0","block_type":"box","text":"board, as well as the particular skillsets of individual directors, aligns with the company’s long-term strategy. Highly","page_number":215,"box":{"x":69,"y":851,"width":823,"height":11}},{"id":"75599c7f-3a45-499c-8dec-5404fe7a47a7","block_type":"box","text":"6","page_number":215,"box":{"x":69,"y":881,"width":4,"height":4}},{"id":"20bc5c44-dac7-47cf-af2d-3e5d6cb51d48","block_type":"box","text":"For example, please see: Tokyo Stock Exchange, “Japan’s Corporate Governance Code,” June 11, 2021; Financial","page_number":215,"box":{"x":79,"y":880,"width":813,"height":11}},{"id":"4d2c0135-e802-475b-b504-ce6ec573ec0f","block_type":"box","text":"Reporting Council, “UK Corporate Governance Code,” January 2024, accessed in December 2025.","page_number":215,"box":{"x":70,"y":895,"width":704,"height":12}},{"id":"a7ed7b23-bb57-4430-9709-78d16ff4599e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":215,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"7f8b7d29-0027-4860-9fa8-32023a2ecd07","block_type":"box","text":"Global Principles | 6","page_number":215,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"1646b789-b62f-469d-a7cb-e1787c2eb7ac","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":215,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"985b2ec9-9e1b-457e-8136-e2432f9bdd11","block_type":"box","text":"qualified, engaged directors with professional characteristics relevant to a company’s business and strategy enhance","page_number":216,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"e7dc497b-ed27-4256-90c7-a0e2698115c0","block_type":"box","text":"the ability of the board to add value and be the voice of shareholders in board discussions.","page_number":216,"box":{"x":68,"y":60,"width":650,"height":11}},{"id":"5da1a6de-bdf0-4f92-b026-aa0b017b2988","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":216,"box":{"x":102,"y":82,"width":775,"height":12}},{"id":"ba9b73f0-76dc-4cd9-b3b4-efebea3a9bd8","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":216,"box":{"x":69,"y":98,"width":806,"height":11}},{"id":"5a84d478-5f0f-4347-ae37-d3924001c1f1","block_type":"box","text":"oversee management. We note that in many markets, policymakers have set board gender diversity goals which we","page_number":216,"box":{"x":69,"y":113,"width":820,"height":11}},{"id":"bb85a845-6ee8-4f62-87c5-76d9410c384b","block_type":"box","text":"may discuss with companies, particularly if there is a risk their board composition may be misaligned.","page_number":216,"box":{"x":69,"y":128,"width":726,"height":11}},{"id":"29b683b7-abd7-47a8-beb8-6e72d0f6692c","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":216,"box":{"x":342,"y":158,"width":293,"height":9}},{"id":"4bdd8952-9b9e-4863-9810-0c845f04af9b","block_type":"box","text":"BIS recognizes the critical importance of financial statements to provide a complete and accurate portrayal of a","page_number":216,"box":{"x":102,"y":181,"width":795,"height":11}},{"id":"5375ae72-e4d8-4b69-be5a-d8f4a1533669","block_type":"box","text":"company’s financial condition. Accordingly, we look for the assumptions made by management, and reviewed by the","page_number":216,"box":{"x":69,"y":196,"width":825,"height":11}},{"id":"48317cef-d251-41a1-ad9b-7dd8984a9db4","block_type":"box","text":"auditor in preparing the financial statements, to be reasonable and justified.","page_number":216,"box":{"x":69,"y":211,"width":543,"height":11}},{"id":"1fbeb1ee-62db-43ce-b6b0-35fd38804853","block_type":"box","text":"We view the audit committee, or its equivalent, as responsible for overseeing the management of the","page_number":216,"box":{"x":101,"y":234,"width":722,"height":11}},{"id":"e8bbbdd4-464d-4c7d-82f5-ea569478f277","block_type":"box","text":"independent auditor and the internal audit function at a company. The committee plays an important role in a","page_number":216,"box":{"x":70,"y":249,"width":778,"height":11}},{"id":"26a7cad6-4e07-47bf-85f6-163b5e6c906c","block_type":"box","text":"company’s financial reporting system by providing independent oversight of the accounts, material financial, and,","page_number":216,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"66ff522e-84bb-4c21-b711-450d48633dcb","block_type":"box","text":"where appropriate to the jurisdiction, non-financial information and internal control frameworks. Moreover, in the","page_number":216,"box":{"x":68,"y":279,"width":799,"height":11}},{"id":"2c47d22f-1a75-47c4-8bb8-e0230b1de41e","block_type":"box","text":"absence of a dedicated risk committee, these committees can provide oversight of Enterprise Risk Management","page_number":216,"box":{"x":69,"y":294,"width":801,"height":11}},{"id":"56cdd5d9-f9f4-47a9-a4e0-7b7622efd1d0","block_type":"box","text":"systems.","page_number":216,"box":{"x":69,"y":310,"width":62,"height":10}},{"id":"6c4b6496-7073-4e69-810d-590096741121","block_type":"box","text":"7","page_number":216,"box":{"x":133,"y":310,"width":4,"height":4}},{"id":"761863d4-1d24-4b39-8d35-a63cbc6e362d","block_type":"box","text":"In our view, effective audit committee oversight strengthens the quality and reliability of a company’s","page_number":216,"box":{"x":144,"y":309,"width":717,"height":11}},{"id":"e02483f3-0462-4ca9-b7f6-6b2e81353a40","block_type":"box","text":"financial statements and provides an important level of reassurance to shareholders.","page_number":216,"box":{"x":68,"y":324,"width":609,"height":11}},{"id":"1909d0f7-cbcb-43ef-b7cb-d42e56d0d013","block_type":"box","text":"We look to audit committees, or their equivalent, to have clearly articulated charters that set out their","page_number":216,"box":{"x":101,"y":347,"width":727,"height":11}},{"id":"b15ad36e-85e1-40a9-a07c-504ef6fb3973","block_type":"box","text":"responsibilities. Additionally, having a rotation plan can periodically refresh the committee membership and introduce","page_number":216,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"6559e91f-a357-4d81-8391-3ee90be3ca32","block_type":"box","text":"new perspectives. We recognize that audit committees will rely on management, internal audit, and the independent","page_number":216,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"b3efe654-5bef-47c3-955e-e5045ff17204","block_type":"box","text":"auditor to fulfill their responsibilities. However, we look to committee members to demonstrate they have relevant","page_number":216,"box":{"x":69,"y":392,"width":810,"height":12}},{"id":"2463e75f-03d9-4828-8185-36276c797ef0","block_type":"box","text":"expertise to monitor and oversee the audit process and related activities.","page_number":216,"box":{"x":69,"y":408,"width":523,"height":10}},{"id":"832650cd-9cf7-4d01-9edc-bd28ed6220be","block_type":"box","text":"We take particular note of unexplained changes in reporting methodology, cases involving significant financial","page_number":216,"box":{"x":101,"y":430,"width":780,"height":11}},{"id":"f6641611-748f-4841-a5d4-418cc542d109","block_type":"box","text":"restatements, or ad hoc notifications of material financial weakness. In this respect, we look to audit committees to","page_number":216,"box":{"x":69,"y":445,"width":828,"height":11}},{"id":"29b7dc8b-29b4-4fee-a487-f1c1d712d349","block_type":"box","text":"provide timely disclosure on the remediation of key and critical audit matters identified either by the external auditor","page_number":216,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"89d275d2-558b-48f9-a200-b35d2cae7a9a","block_type":"box","text":"or internal audit function.","page_number":216,"box":{"x":69,"y":475,"width":178,"height":9}},{"id":"2c17089c-4755-43bb-bfd0-82c730db3dae","block_type":"box","text":"The integrity of financial statements depends on the auditor being free of any impediments that could","page_number":216,"box":{"x":101,"y":498,"width":723,"height":11}},{"id":"9032b95a-0e25-40e8-a2e4-c8dab17146a6","block_type":"box","text":"compromise its ability to serve as an effective check on management. To that end, it is important that auditors are,","page_number":216,"box":{"x":69,"y":513,"width":825,"height":12}},{"id":"27174b5f-34c4-4f3a-8831-974bec10ba23","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":216,"box":{"x":69,"y":528,"width":824,"height":12}},{"id":"10637c6f-9bbf-45ed-bc0e-5a3b2bc5a059","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":216,"box":{"x":70,"y":543,"width":839,"height":11}},{"id":"485efcf5-bec3-4f77-86bc-20bad29c25f6","block_type":"box","text":"assessing the independence of the auditor and the quality of the external audit process on an annual basis.","page_number":216,"box":{"x":69,"y":559,"width":770,"height":11}},{"id":"444aab57-00ee-45b1-be78-63fcef848be8","block_type":"box","text":"Comprehensive disclosure provides investors with an understanding of the company’s long-term operational risk","page_number":216,"box":{"x":102,"y":581,"width":799,"height":12}},{"id":"cb2f38ce-2df9-4c32-8a97-d5d0b214d0cb","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":216,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"5c0696fc-54c6-4654-99ba-875f9ba27ab7","block_type":"box","text":"to periodically review the company’s risk assessment and risk management policies and the significant risks and","page_number":216,"box":{"x":68,"y":612,"width":806,"height":11}},{"id":"5d470c19-82bd-4046-b04f-52e494f29014","block_type":"box","text":"exposures identified by management, the internal auditors or the independent auditors, and management’s steps to","page_number":216,"box":{"x":69,"y":627,"width":829,"height":11}},{"id":"40c6cb34-2059-400d-a651-2dc067f8f882","block_type":"box","text":"address them. In the absence of detailed disclosures, we may conclude that companies are not adequately managing","page_number":216,"box":{"x":69,"y":642,"width":840,"height":11}},{"id":"b1956024-dc52-46d4-a475-2cbf9bc31fb1","block_type":"box","text":"risk.","page_number":216,"box":{"x":69,"y":657,"width":28,"height":9}},{"id":"3b40bc8b-87d5-420c-8f93-124887e327a5","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":216,"box":{"x":125,"y":687,"width":728,"height":11}},{"id":"b97107b5-1f30-4cc0-96b3-a3696efb30f8","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":216,"box":{"x":101,"y":710,"width":798,"height":11}},{"id":"439bfdc2-56b7-44f9-8b60-7b8df11649d3","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":216,"box":{"x":70,"y":725,"width":824,"height":11}},{"id":"a5337e42-d14f-4f9e-bd4f-ac6cd502b420","block_type":"box","text":"protection for shareholders against the dilution of their interests.","page_number":216,"box":{"x":70,"y":740,"width":460,"height":11}},{"id":"e8095111-0a03-49c7-b2d6-d8ba548204e9","block_type":"box","text":"In principle, we have concerns with the creation of a share class with equivalent economic exposure and","page_number":216,"box":{"x":102,"y":763,"width":743,"height":11}},{"id":"7bdcc38f-e3f6-4b4e-b889-9cac74912c8b","block_type":"box","text":"differentiated voting rights. As a result, BIS generally supports bylaw amendments that introduce the adoption of","page_number":216,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"e944c995-e8e4-4278-babe-613f5e85b5bb","block_type":"box","text":"“one share, one vote” for registered shareholders.","page_number":216,"box":{"x":70,"y":793,"width":358,"height":11}},{"id":"399143e8-13dd-4fe1-b244-ce40c3731583","block_type":"box","text":"7","page_number":216,"box":{"x":69,"y":823,"width":4,"height":4}},{"id":"69d25368-217f-48cd-88a2-de87ea2a107a","block_type":"box","text":"Enterprise Risk Management is a process, effected by the entity’s board of directors, management, and other","page_number":216,"box":{"x":79,"y":822,"width":784,"height":12}},{"id":"5574ad2b-df85-4793-bfe0-b2132cfe728f","block_type":"box","text":"personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect","page_number":216,"box":{"x":70,"y":837,"width":834,"height":12}},{"id":"4c4f0564-7f73-436f-b773-115d3452f161","block_type":"box","text":"the entity, and manage risk to be within the risk appetite, to provide reasonable assurance regarding the achievement","page_number":216,"box":{"x":68,"y":853,"width":841,"height":11}},{"id":"d9fefae3-f16b-4c25-96f4-6942117e6926","block_type":"box","text":"of objectives. Please see: The Committee of Sponsoring Organizations of the Treadway Commission (COSO),","page_number":216,"box":{"x":69,"y":868,"width":771,"height":11}},{"id":"eb47322d-3dde-4d6c-b2e5-924f4b05e00d","block_type":"box","text":"“Enterprise Risk Management,” 2023, accessed in December 2025.","page_number":216,"box":{"x":70,"y":883,"width":488,"height":11}},{"id":"55dbce71-3ccb-4fe7-8fdc-fd1ca4b4d60f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":216,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"a7caff25-5eb1-4a24-8ddc-fe51789e556d","block_type":"box","text":"Global Principles | 7","page_number":216,"box":{"x":768,"y":942,"width":140,"height":13}},{"id":"13074cce-7974-4cbe-84e4-46e0654f92fc","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":216,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c3747d53-ce2d-4492-a4dc-f48ae9924009","block_type":"box","text":"However, we recognize that in certain markets, at least for a period of time, companies may have a valid reason","page_number":217,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"2c7b75c0-5e3c-47c8-a7a9-a0bbfbd85911","block_type":"box","text":"for listing dual classes of shares with differentiated voting rights. In our view, such companies should review these","page_number":217,"box":{"x":68,"y":60,"width":818,"height":11}},{"id":"ac3f2f9a-094b-4f52-9d0f-a55124b74293","block_type":"box","text":"share class structures on a regular basis or as company circumstances change. Additionally, they should seek","page_number":217,"box":{"x":69,"y":75,"width":788,"height":11}},{"id":"94cdb999-10c8-459c-bbb5-ae14b4a7bc1b","block_type":"box","text":"shareholder approval of their capital structure on a periodic basis via a management proposal at the company’s","page_number":217,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"cab6ad9f-9036-4f08-a786-ab4288c403b8","block_type":"box","text":"shareholder meeting. The proposal should give unaffiliated shareholders the opportunity to affirm the current","page_number":217,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"e544782f-6e21-45e1-aacf-3b89885fe63d","block_type":"box","text":"structure or establish mechanisms to end or phase out controlling structures at the appropriate time, while","page_number":217,"box":{"x":69,"y":120,"width":764,"height":12}},{"id":"e65955ec-8f94-46ab-bd57-b36bacf3a647","block_type":"box","text":"minimizing costs to shareholders.","page_number":217,"box":{"x":69,"y":136,"width":238,"height":11}},{"id":"44f09426-ab22-444c-8a85-4a78e3ff47ca","block_type":"box","text":"In assessing mergers, asset sales, or other special situations, BIS’ primary consideration is the long-term","page_number":217,"box":{"x":102,"y":158,"width":756,"height":11}},{"id":"6b296653-7847-4a35-a8b9-5df295a07a17","block_type":"box","text":"financial interests of our clients as shareholders, and so we will review any proposed transaction with that objective","page_number":217,"box":{"x":68,"y":173,"width":826,"height":11}},{"id":"20f1318c-c80c-4f1a-bef8-d9d688bccf31","block_type":"box","text":"in mind. Typically, we review factors such as whether the proposed transaction has the unanimous support of the","page_number":217,"box":{"x":70,"y":188,"width":806,"height":11}},{"id":"d58b4036-b1fb-4eaa-b1fd-1078a3b4a28b","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":217,"box":{"x":69,"y":204,"width":799,"height":11}},{"id":"76d4a0fc-f589-489b-8395-0c8a4f2de752","block_type":"box","text":"economic and strategic rationale. We may also seek reassurance from the board that the financial interests of","page_number":217,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"6ba77a15-3852-4d5d-801c-1a3e945b682f","block_type":"box","text":"executives and/or board members in a given transaction have not adversely affected their ability to place","page_number":217,"box":{"x":69,"y":234,"width":750,"height":11}},{"id":"eec30123-2520-4b5c-9b03-a9dc5c985e28","block_type":"box","text":"shareholders’ interests before their own. Where the transaction involves related parties, the recommendation to","page_number":217,"box":{"x":69,"y":249,"width":801,"height":11}},{"id":"69d338a3-7234-450e-8adb-1f6352c3739c","block_type":"box","text":"support should come from the independent directors, a best practice in most markets, and ideally, the terms should","page_number":217,"box":{"x":69,"y":264,"width":830,"height":11}},{"id":"b96b0759-4bac-4fa5-9774-8729f4fccdb3","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":217,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"21edef0e-b00e-4d5e-af42-60ac2d1538c0","block_type":"box","text":"a separate vote of the non-conflicted parties.","page_number":217,"box":{"x":69,"y":294,"width":320,"height":11}},{"id":"06b4f718-5818-4aef-af3f-0dec6733e710","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":217,"box":{"x":101,"y":317,"width":806,"height":11}},{"id":"4c1fc83f-e535-4c4c-aee4-29ab14305e49","block_type":"box","text":"open market without unnecessary restriction. In our view, corporate mechanisms designed to limit shareholders’","page_number":217,"box":{"x":69,"y":332,"width":801,"height":11}},{"id":"649c3af6-4155-4304-87bd-ecf371d214a9","block_type":"box","text":"ability to sell their shares are contrary to basic property rights. Such mechanisms can serve to protect and entrench","page_number":217,"box":{"x":69,"y":347,"width":829,"height":11}},{"id":"ee953220-514c-4306-aea8-50061e0a3843","block_type":"box","text":"interests other than those of the shareholders. In our view, shareholders are broadly capable of making decisions in","page_number":217,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"5ae2b982-4125-4018-a823-12af4811c108","block_type":"box","text":"their own best interests. We encourage any shareholder rights plans proposed by a board to be subject to","page_number":217,"box":{"x":68,"y":377,"width":755,"height":12}},{"id":"3ec9eb93-d5f2-4726-833c-0777010eeb53","block_type":"box","text":"shareholder approval upon introduction and periodically thereafter.","page_number":217,"box":{"x":69,"y":392,"width":472,"height":12}},{"id":"955370eb-1fbc-4829-ba61-e0da7ec3d8bd","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":217,"box":{"x":328,"y":423,"width":322,"height":9}},{"id":"375e7e42-e252-4ea3-a0b8-fa419d77572a","block_type":"box","text":"Executive compensation is an important tool used by companies to support long-term financial value creation. A","page_number":217,"box":{"x":102,"y":445,"width":799,"height":12}},{"id":"f3f95b6f-e59b-4263-a6ba-9229c1df5918","block_type":"box","text":"well-structured compensation policy rewards the successful delivery of strategic, operational, and/or financial goals;","page_number":217,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"7a8c81c6-be08-4340-9340-a009dd0b96ee","block_type":"box","text":"encourages an appropriate risk appetite; and aligns the interests of shareholders and executives through equity","page_number":217,"box":{"x":69,"y":475,"width":797,"height":12}},{"id":"c8038e28-bc05-4dec-a32a-3ba211d0d5dc","block_type":"box","text":"ownership.","page_number":217,"box":{"x":69,"y":491,"width":75,"height":11}},{"id":"af21ba8c-a35c-4bb7-afd6-22406d84e9bc","block_type":"box","text":"8","page_number":217,"box":{"x":146,"y":491,"width":4,"height":4}},{"id":"36b50b30-b589-41ce-a17b-f6a07d58c14f","block_type":"box","text":"We look for a clear link between variable pay and operational and financial performance that support sustained","page_number":217,"box":{"x":101,"y":513,"width":793,"height":11}},{"id":"69462afe-78fd-465c-b5ec-e6717aff02a4","block_type":"box","text":"financial value creation for our clients as shareholders. We appreciate when performance targets incorporate","page_number":217,"box":{"x":68,"y":528,"width":778,"height":12}},{"id":"5388aebb-caec-427c-9f03-880b201580fe","block_type":"box","text":"ambitious objectives, and the corresponding metrics are aligned with the company’s strategy and business model.","page_number":217,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"11770c61-3967-4c8b-8fa3-f5ab0964de95","block_type":"box","text":"BIS does not have a position on whether companies choose to use sustainability-related criteria in compensation","page_number":217,"box":{"x":70,"y":559,"width":804,"height":11}},{"id":"70fb9f4c-4ff8-4398-b6e6-54d912fdad17","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":217,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"e3496261-81c4-4e62-a09d-87c931c0335b","block_type":"box","text":"financial or operational targets. We appreciate when long-term incentive plans encompass timeframes that: 1) are","page_number":217,"box":{"x":68,"y":589,"width":813,"height":11}},{"id":"0ee7bab2-091a-4621-b00c-0f811d5986d4","block_type":"box","text":"distinct from annual executive compensation structures and metrics, and 2) encourage the delivery of strong financial","page_number":217,"box":{"x":69,"y":604,"width":839,"height":11}},{"id":"760b1fa8-61ed-484f-950c-b254274fc236","block_type":"box","text":"results over a period of years.","page_number":217,"box":{"x":69,"y":619,"width":211,"height":11}},{"id":"91f1e103-79c7-40b0-b4d5-eb32145c48aa","block_type":"box","text":"We consider it best practice when board members responsible for designing and approving executive","page_number":217,"box":{"x":101,"y":642,"width":718,"height":11}},{"id":"46b4a682-9ac5-4950-baf9-17e9f0832be3","block_type":"box","text":"compensation carefully consider the company’s specific circumstances. Factors to consider may include the","page_number":217,"box":{"x":69,"y":657,"width":770,"height":11}},{"id":"1f4e9308-6c05-469c-8126-43fc0fbe7d72","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":217,"box":{"x":69,"y":672,"width":838,"height":11}},{"id":"f8dfb0b1-abb2-481c-9848-3d71a355980b","block_type":"box","text":"look to the compensation committees to guard against contractual arrangements that would entitle executives to","page_number":217,"box":{"x":70,"y":687,"width":804,"height":11}},{"id":"6a81fa19-e2cf-45cd-85cd-2ad7257e0faa","block_type":"box","text":"material compensation for early termination of their employment. Finally, we look for pension contributions and other","page_number":217,"box":{"x":69,"y":702,"width":831,"height":11}},{"id":"3e927452-1538-41c0-ace7-b4aa3167eda8","block_type":"box","text":"deferred compensation arrangements to be reasonable in light of market practices or the company’s business and","page_number":217,"box":{"x":69,"y":717,"width":817,"height":12}},{"id":"51adba1c-2b7b-469d-a9e3-8b1c5b156672","block_type":"box","text":"executive compensation strategies.","page_number":217,"box":{"x":69,"y":733,"width":250,"height":11}},{"id":"ae3b8f61-098b-494a-87ec-6a491899820b","block_type":"box","text":"We are not supportive of one-off or special bonuses unrelated to company or individual performance. Where","page_number":217,"box":{"x":101,"y":755,"width":772,"height":11}},{"id":"a6e35d9c-ad5e-4204-8dd8-cfc939edafd2","block_type":"box","text":"discretion has been used by the compensation committee, or its equivalent, we appreciate disclosure relating to how","page_number":217,"box":{"x":69,"y":771,"width":836,"height":11}},{"id":"dabf24df-e552-4925-9c3f-1da62bd13994","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":217,"box":{"x":69,"y":785,"width":803,"height":12}},{"id":"dfb11a1c-2114-4e14-bbfc-c249184a2d89","block_type":"box","text":"addition, we acknowledge that the use of peer group evaluation by compensation committees can help ensure","page_number":217,"box":{"x":69,"y":801,"width":785,"height":11}},{"id":"cf030824-72f3-4348-9d4c-bd7ea20bec79","block_type":"box","text":"competitive pay. However, we encourage companies to clearly explain how compensation outcomes have rewarded","page_number":217,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"ac6ae719-a2c6-4cd2-a4f5-d8d4848b0776","block_type":"box","text":"performance rather than solely base increases in total compensation on peer benchmarking.","page_number":217,"box":{"x":70,"y":831,"width":659,"height":11}},{"id":"e921b156-515c-4ee1-90df-a8dae095779d","block_type":"box","text":"8","page_number":217,"box":{"x":69,"y":860,"width":4,"height":5}},{"id":"0cc72c1b-e051-4443-bfc5-6235aa2b697a","block_type":"box","text":"The terms “compensation,” “remuneration,” and “pay” are used interchangeably to describe the same concept in","page_number":217,"box":{"x":78,"y":860,"width":811,"height":11}},{"id":"fd051b4f-e07b-4978-ba9e-fbef44a8d4ec","block_type":"box","text":"different markets.","page_number":217,"box":{"x":69,"y":875,"width":126,"height":9}},{"id":"215b4a8a-a7af-46d3-969e-b86917414f35","block_type":"box","text":"BlackRock Investment Stewardship","page_number":217,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"040f9daa-c81b-4eb4-9452-f70e0e3349da","block_type":"box","text":"Global Principles | 8","page_number":217,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"d6c9d184-ea65-4c92-8043-cde26bd3c8c5","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":217,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f7afb19b-1fc6-43fb-b302-49b833552cdd","block_type":"box","text":"We consider the inclusion of building clawback provisions into incentive plans as good practice. Such provisions","page_number":218,"box":{"x":101,"y":45,"width":797,"height":11}},{"id":"b87088a2-34e1-4415-a1d2-e5b55f2a658f","block_type":"box","text":"could require executives to forgo awards when compensation was based on faulty financial statements or deceptive","page_number":218,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"eddf4e61-396a-4b18-83e1-c366ccb20079","block_type":"box","text":"business practices, or when their behavior caused material financial harm to shareholders, material reputational risk","page_number":218,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"32b16f1d-1d78-4119-8312-2c9337799529","block_type":"box","text":"to the company, or resulted in a criminal investigation.","page_number":218,"box":{"x":68,"y":90,"width":386,"height":11}},{"id":"f92647fb-cde1-4ff4-9fa9-387b4c2cd29f","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":218,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"fed91821-8a88-4b25-8cbe-3362d38ef7c9","block_type":"box","text":"effort expended in fulfilling their professional responsibilities. Additionally, these compensation arrangements should","page_number":218,"box":{"x":69,"y":128,"width":834,"height":11}},{"id":"184a4468-9085-47d3-9aa3-b941dc40037e","block_type":"box","text":"not risk compromising directors’ independence or aligning their interests too closely with those of the management,","page_number":218,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"e55bf6e3-0b35-42e8-b595-bd5715b3e75f","block_type":"box","text":"whom they are charged with overseeing.","page_number":218,"box":{"x":68,"y":158,"width":285,"height":11}},{"id":"ba828ac2-c2d1-4c00-a1b6-768e04c8782a","block_type":"box","text":"When assessing compensation proposals, BIS reviews companies’ disclosures to determine whether the board’s","page_number":218,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"85262ecb-c885-4b22-ac5b-92c85f52cded","block_type":"box","text":"approach to executive compensation is rigorous in light of the company’s stated long-term corporate strategy and","page_number":218,"box":{"x":69,"y":196,"width":807,"height":11}},{"id":"8c7f82bb-a70d-4de9-8cbc-f061a32d63d9","block_type":"box","text":"specific circumstances, as well as local market and policy developments.","page_number":218,"box":{"x":69,"y":211,"width":521,"height":11}},{"id":"394734d9-3b67-438a-bfbc-2548be917db7","block_type":"box","text":"When our analysis indicates that executive compensation is misaligned with company performance, BIS may not","page_number":218,"box":{"x":101,"y":234,"width":802,"height":11}},{"id":"c1f812db-40f3-4ed6-bea3-c0ba1b50b9b3","block_type":"box","text":"support management’s proposals to approve compensation, where they are on the agenda. We may also not support","page_number":218,"box":{"x":69,"y":249,"width":838,"height":11}},{"id":"2acff1a1-6c13-4d4a-8607-ff01e2c9d8c7","block_type":"box","text":"members of the compensation committee or equivalent board members for poor compensation practices or","page_number":218,"box":{"x":69,"y":264,"width":766,"height":11}},{"id":"8b12b78d-5f0c-435c-8c79-625dcbe1b859","block_type":"box","text":"structures.","page_number":218,"box":{"x":69,"y":280,"width":76,"height":8}},{"id":"66385046-a9d3-4c7a-b4eb-008443d70bed","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":218,"box":{"x":191,"y":309,"width":595,"height":9}},{"id":"08737e0d-4813-4c2b-b25e-7f7eaf0c69ac","block_type":"box","text":"Corporate form","page_number":218,"box":{"x":69,"y":339,"width":108,"height":11}},{"id":"bfa6d049-46e2-465e-8ed1-91e1f3d105a9","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":218,"box":{"x":102,"y":362,"width":781,"height":11}},{"id":"45f0b957-e0df-42f1-918c-7bd85ff38c3e","block_type":"box","text":"the company’s purpose and business model.","page_number":218,"box":{"x":68,"y":377,"width":320,"height":11}},{"id":"8d105915-a32c-40ae-8e1e-c1ac8c2738bb","block_type":"box","text":"9","page_number":218,"box":{"x":390,"y":378,"width":4,"height":4}},{"id":"ba0ac525-ff9c-4061-9725-c90de2cf4423","block_type":"box","text":"We look to companies proposing to change their corporate form to a","page_number":218,"box":{"x":399,"y":377,"width":487,"height":12}},{"id":"3371d698-682c-4423-8704-2f878b6d93e8","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":218,"box":{"x":70,"y":392,"width":791,"height":12}},{"id":"46b1b501-9183-4627-8db8-62bcf007b8ca","block_type":"box","text":"applicable law. We appreciate when supporting documentation from companies or shareholders proposing to alter the","page_number":218,"box":{"x":69,"y":407,"width":839,"height":12}},{"id":"8582b12e-1586-46b7-aca2-99f715d3b950","block_type":"box","text":"corporate form clearly explains how the interests of shareholders and different stakeholders would be impacted as","page_number":218,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"824129e6-5e0b-4b73-89fb-7d54bceea513","block_type":"box","text":"well as the accountability and voting mechanisms that would be available to shareholders. We generally support","page_number":218,"box":{"x":68,"y":438,"width":800,"height":11}},{"id":"a595a02a-477d-4213-8c02-5e637bce7b8e","block_type":"box","text":"management proposals if our analysis indicates that shareholders’ financial interests are adequately protected.","page_number":218,"box":{"x":69,"y":453,"width":796,"height":11}},{"id":"1ebbc53b-bd6c-4818-8005-f4eb4d168f6f","block_type":"box","text":"Corporate form shareholder proposals are evaluated on a case-by-case basis.","page_number":218,"box":{"x":69,"y":468,"width":552,"height":11}},{"id":"cdc45411-ec94-4585-ae2b-5536a7ea91da","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":218,"box":{"x":385,"y":498,"width":207,"height":9}},{"id":"194835b6-dcf1-48dd-a85a-a8eccd7d7c68","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":218,"box":{"x":102,"y":521,"width":777,"height":11}},{"id":"ffe4141b-9ab8-4548-9ad0-4c8841d0962a","block_type":"box","text":"long as certain requirements are met. Shareholder proposals span a wide range of topics, including governance","page_number":218,"box":{"x":70,"y":536,"width":796,"height":11}},{"id":"00636021-51d8-418a-b2f6-d77153928538","block_type":"box","text":"reforms, capital management, and changes in the management or disclosure of sustainability-related risks. These","page_number":218,"box":{"x":69,"y":551,"width":813,"height":11}},{"id":"a8e914c4-d1e2-473a-a975-dd0568fe38ed","block_type":"box","text":"proposals have a varying degree of relevance for companies across sectors, locations, and business models.","page_number":218,"box":{"x":70,"y":566,"width":779,"height":11}},{"id":"3ac31a35-b490-47f2-9fed-7d232ea80223","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":218,"box":{"x":102,"y":589,"width":775,"height":11}},{"id":"4c1e934b-742e-4f17-baa9-2739dcc8ee69","block_type":"box","text":"proposal’s implications for long-term financial value creation for shareholders. Our analysis considers whether a","page_number":218,"box":{"x":70,"y":604,"width":796,"height":11}},{"id":"3f670c16-d4d5-40a5-bf88-c44c5d415f93","block_type":"box","text":"shareholder proposal addresses a material risk that may impact a company’s long-term financial performance. BIS","page_number":218,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"e6270c0d-a235-4ec0-a322-c7330f8a7be9","block_type":"box","text":"may support shareholder proposals that request disclosures that help us, as long-term investors on behalf of our","page_number":218,"box":{"x":69,"y":634,"width":809,"height":12}},{"id":"143dc8a2-a9ba-4b1d-8a3b-dbb9ae0a1e16","block_type":"box","text":"clients, better understand the material risks and opportunities companies face and how they are managing them,","page_number":218,"box":{"x":69,"y":649,"width":807,"height":12}},{"id":"85eaacc7-a6de-4ac3-87dd-20c687007822","block_type":"box","text":"especially where this information is additive given the company’s existing disclosures. We look for consistency","page_number":218,"box":{"x":69,"y":664,"width":787,"height":12}},{"id":"158305d5-6d25-48ef-9136-7ebcda710451","block_type":"box","text":"between the specific request formally made in the proposal, the supporting documentation, and the proponents’","page_number":218,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"bff1b710-2c47-4695-a357-8dea5bf1da4d","block_type":"box","text":"other communications on the issues. We also assess the company’s practices and disclosures and the costs and","page_number":218,"box":{"x":69,"y":695,"width":813,"height":11}},{"id":"d47963c3-795f-4e5e-9599-c9133c358e80","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":218,"box":{"x":69,"y":710,"width":791,"height":11}},{"id":"2f9d238e-d8d1-407b-9ddc-fb74d2cafb4e","block_type":"box","text":"governance practices and disclosures against those of their peers.","page_number":218,"box":{"x":68,"y":725,"width":475,"height":11}},{"id":"f481a552-c11d-488d-afd4-3ece2cf2675b","block_type":"box","text":"BIS does not support shareholder proposals that we view as inconsistent with long-term financial value or that","page_number":218,"box":{"x":102,"y":748,"width":787,"height":11}},{"id":"638e562b-4475-4e62-97a7-08a38dde1842","block_type":"box","text":"seek to micromanage companies. We take into consideration the legal effect of the proposal, as shareholder","page_number":218,"box":{"x":69,"y":763,"width":778,"height":11}},{"id":"f2f82e60-3cb5-4ff3-889f-b40d5296cac7","block_type":"box","text":"proposals may be advisory or legally binding depending on the jurisdiction, while others may make requests that","page_number":218,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"b9c866e7-66d7-4858-9d2d-7a7fa2354a7f","block_type":"box","text":"would be deemed illegal in a given jurisdiction.","page_number":218,"box":{"x":68,"y":793,"width":331,"height":11}},{"id":"fb2fe557-5a15-428f-ad31-4847188ec4bb","block_type":"box","text":"In our experience, it is helpful when companies disclose the names of the proponent or organization that has","page_number":218,"box":{"x":102,"y":816,"width":777,"height":11}},{"id":"ea9e43c7-08c3-451d-b4cf-813e1b8f4da3","block_type":"box","text":"submitted or advised on the proposal. We recognize that some shareholder proposals bundle topics and/or specific","page_number":218,"box":{"x":69,"y":831,"width":825,"height":11}},{"id":"03348e9e-58d6-4309-a310-d6f04c64bf86","block_type":"box","text":"requests. Further, the proponent’s supporting statement may refer to topics that are not directly related to the","page_number":218,"box":{"x":69,"y":846,"width":788,"height":11}},{"id":"8ee2a2de-dcd0-49e5-a742-218b854be55a","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":218,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"3f322563-7154-4355-aa80-6b5f615847bb","block_type":"box","text":"the proponent. Therefore, when we vote in support of a proposal, we are not necessarily endorsing every element of","page_number":218,"box":{"x":68,"y":876,"width":831,"height":11}},{"id":"991698dd-8ffb-4748-a076-96141e8a4da8","block_type":"box","text":"9","page_number":218,"box":{"x":69,"y":906,"width":4,"height":4}},{"id":"954d383a-2692-4138-867b-3f8fe00be5f7","block_type":"box","text":"Corporate form refers to the legal structure by which a business is organized.","page_number":218,"box":{"x":79,"y":905,"width":550,"height":12}},{"id":"340d7e38-1d7f-4f39-aba1-46e2a3b25da1","block_type":"box","text":"BlackRock Investment Stewardship","page_number":218,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"a94807be-ba60-4cd2-901b-3e4c7d7ab86c","block_type":"box","text":"Global Principles | 9","page_number":218,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"ee5936c3-3ec2-4cc6-95c4-86b8a1c0f3d9","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":218,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"55ffcb1a-3ca4-4c0c-9617-4c4962784a0e","block_type":"box","text":"the proposal or the reasoning, objectives, or supporting statement of the proponent. We may support a proposal for","page_number":219,"box":{"x":68,"y":45,"width":829,"height":11}},{"id":"fe98ee95-7950-4aab-906c-c05a1eec7ebe","block_type":"box","text":"different reasons than those put forth by the proponent, when we believe that overall it may advance our clients’","page_number":219,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"ea0a03de-344f-463f-b1ca-f94e0b05fb52","block_type":"box","text":"long-term financial interests.","page_number":219,"box":{"x":70,"y":75,"width":201,"height":11}},{"id":"0b30b707-0be6-4697-9827-f99761bc04b7","block_type":"box","text":"BlackRock is subject to certain rules, regulations, agency guidance, and contractual agreements that place","page_number":219,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"6026908a-7719-4c1a-807c-950c6baa5cfb","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":219,"box":{"x":69,"y":113,"width":809,"height":11}},{"id":"7a9b9f79-4315-47f8-a33c-87f3bd937291","block_type":"box","text":"clients. BlackRock does not nominate directors for board elections or submit shareholder proposals to companies.","page_number":219,"box":{"x":69,"y":128,"width":817,"height":11}},{"id":"a7cca873-413a-4e13-a90f-91ff090827dd","block_type":"box","text":"Non-compliance with these requirements could adversely affect BlackRock’s ability to serve its clients’ interests.","page_number":219,"box":{"x":70,"y":143,"width":803,"height":11}},{"id":"1c3d2bb7-3cdd-417d-a544-5c0519a1ae88","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":219,"box":{"x":247,"y":173,"width":484,"height":9}},{"id":"942aeaa0-c18d-4971-bb17-bd3e6e48d2c4","block_type":"box","text":"Appropriate oversight of material risks and opportunities, including material sustainability-related risks and","page_number":219,"box":{"x":101,"y":196,"width":760,"height":11}},{"id":"fa7cc4ae-1022-4f47-8bcb-a3f8035bdb12","block_type":"box","text":"opportunities, is an important component of having an effective governance framework that supports durable, long","page_number":219,"box":{"x":69,"y":211,"width":824,"height":11}},{"id":"fdd69648-07b4-4a97-b35a-2227f2af486b","block_type":"box","text":"term financial value creation.","page_number":219,"box":{"x":68,"y":226,"width":206,"height":9}},{"id":"1ebccb49-1253-4d17-b5a4-6e44f469e31a","block_type":"box","text":"10","page_number":219,"box":{"x":276,"y":226,"width":9,"height":5}},{"id":"f849a040-68c9-4756-8099-032df4faea4f","block_type":"box","text":"We look to companies to provide robust disclosure that allows investors to effectively evaluate companies’","page_number":219,"box":{"x":101,"y":249,"width":761,"height":11}},{"id":"fabf0225-e501-4711-98b4-a85e315ca675","block_type":"box","text":"strategy and business practices related to material sustainability-related risks and opportunities. We find it helpful","page_number":219,"box":{"x":69,"y":264,"width":814,"height":11}},{"id":"5f14c8a4-3527-4f44-b1ad-26fcf0cfa29a","block_type":"box","text":"when companies’ disclosures demonstrate that they have a resilient business model that integrates material","page_number":219,"box":{"x":68,"y":279,"width":777,"height":11}},{"id":"e3adaea1-82aa-46a9-a018-aafa2397dc55","block_type":"box","text":"sustainability-related risks and opportunities into their strategy, risk management, and metrics and targets, including","page_number":219,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"9b3b3d02-2a45-491a-a705-0748e0600c0a","block_type":"box","text":"industry-specific metrics.","page_number":219,"box":{"x":70,"y":309,"width":175,"height":11}},{"id":"5f912e2d-3dfe-404f-896e-9ebfbbaadaf7","block_type":"box","text":"Standardized disclosure of sustainability-related data supports investors in making informed decisions. The","page_number":219,"box":{"x":102,"y":332,"width":765,"height":11}},{"id":"35572f15-e3da-4a51-8147-2965b893c6e2","block_type":"box","text":"International Sustainability Standards Board (ISSB) standards, IFRS S1 and S2, represent one such approach to","page_number":219,"box":{"x":70,"y":347,"width":800,"height":11}},{"id":"73f9da57-2670-4114-8974-67799fa25d41","block_type":"box","text":"standardization that we find useful in our analysis.","page_number":219,"box":{"x":69,"y":362,"width":358,"height":11}},{"id":"cadfebc2-bcca-499e-94ff-a4e2519cb4ee","block_type":"box","text":"11","page_number":219,"box":{"x":429,"y":363,"width":9,"height":4}},{"id":"67d9a805-fdb6-4d2f-b520-f8886973d739","block_type":"box","text":"However, we do not mandate any specific disclosure framework","page_number":219,"box":{"x":444,"y":362,"width":451,"height":11}},{"id":"bc670c7c-8dcd-409b-9828-dae65a289d57","block_type":"box","text":"companies should use, and recognize that companies may report using different standards, some of which may be","page_number":219,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"7d47fe43-c3ac-4027-98a2-dc8f2a26fe00","block_type":"box","text":"required by regulation. In such cases, we ask that companies highlight the metrics that are industry- or company","page_number":219,"box":{"x":69,"y":393,"width":806,"height":11}},{"id":"05db4652-33e0-4562-bc0d-690efc357abb","block_type":"box","text":"specific.","page_number":219,"box":{"x":69,"y":407,"width":57,"height":11}},{"id":"b8581d5f-b0cf-4eb2-9f03-96906fb67f51","block_type":"box","text":"We also recognize that companies may be phasing in reporting over several years. We do not prescribe timelines","page_number":219,"box":{"x":101,"y":430,"width":805,"height":11}},{"id":"2c3ac1ce-b4cf-4ca4-ac62-4087f7eb734c","block_type":"box","text":"regarding when companies should make sustainability-related disclosures but appreciate it when companies produce","page_number":219,"box":{"x":69,"y":446,"width":833,"height":11}},{"id":"939ac616-daec-426e-87e9-55dc362790e5","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":219,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"3f35252b-7732-47f3-8ca4-4adbfd7ad6bf","block_type":"box","text":"to assess the data and make informed voting decisions.","page_number":219,"box":{"x":68,"y":475,"width":401,"height":12}},{"id":"cde50b32-4f63-4958-9a9f-7f78b0992e2c","block_type":"box","text":"Industry initiatives on managing specific operational risks may also provide useful guidance to companies on","page_number":219,"box":{"x":102,"y":498,"width":775,"height":11}},{"id":"19bb5881-4229-4811-922f-ccd58121d385","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":219,"box":{"x":69,"y":513,"width":804,"height":12}},{"id":"cbc17499-ed62-4343-b84b-ff0171c32d1a","block_type":"box","text":"when companies disclose any relevant global sustainability-related standards adopted, the industry initiatives in","page_number":219,"box":{"x":68,"y":529,"width":799,"height":11}},{"id":"10276b71-bad3-444c-b8b9-54974fd924a0","block_type":"box","text":"which they participate, any peer group benchmarking undertaken, and any assurance processes to help investors","page_number":219,"box":{"x":68,"y":544,"width":810,"height":11}},{"id":"1edc76d5-f344-4ee6-b99e-65515e16ddd9","block_type":"box","text":"understand their approach to sustainable and responsible business practices.","page_number":219,"box":{"x":69,"y":559,"width":556,"height":11}},{"id":"36eacaa2-55fc-4011-b735-d7495d0f4476","block_type":"box","text":"10","page_number":219,"box":{"x":69,"y":603,"width":9,"height":5}},{"id":"41fd2fa7-d466-4660-9965-6693b759eb59","block_type":"box","text":"By material sustainability-related risks and opportunities, we mean the drivers of risk and financial value creation in","page_number":219,"box":{"x":84,"y":603,"width":822,"height":11}},{"id":"e79c7cee-2042-4d0d-9b70-3582702a8b55","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":219,"box":{"x":69,"y":618,"width":835,"height":11}},{"id":"02f42749-fc4a-44b8-9a5e-74534efc1982","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":219,"box":{"x":70,"y":633,"width":827,"height":12}},{"id":"716d9736-0168-4625-a5d9-01a8fd1acbf9","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":219,"box":{"x":70,"y":649,"width":826,"height":11}},{"id":"03c56117-2a0d-43b3-b4c4-0177e8c6011f","block_type":"box","text":"operates, customer loyalty, and relationships with regulators.","page_number":219,"box":{"x":69,"y":664,"width":433,"height":11}},{"id":"e82c7c69-67cb-4c7b-bbbc-3536fd3698f7","block_type":"box","text":"11","page_number":219,"box":{"x":69,"y":682,"width":9,"height":4}},{"id":"ec26124a-a6a8-419b-9b3f-2cbd67aebda0","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":219,"box":{"x":83,"y":681,"width":744,"height":11}},{"id":"0b2dbb5a-e198-4bbe-ac19-c1268e3a7886","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":219,"box":{"x":69,"y":696,"width":828,"height":11}},{"id":"6c5371c1-151c-43aa-aa6e-c46151b4da47","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":219,"box":{"x":69,"y":711,"width":830,"height":12}},{"id":"fc181af0-b8cd-4c07-b468-4c563a09238a","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":219,"box":{"x":69,"y":726,"width":809,"height":12}},{"id":"f2225fec-2f60-46c8-a5e2-632c98df63e9","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":219,"box":{"x":70,"y":742,"width":778,"height":11}},{"id":"284988e5-0589-40e7-9e36-d6aaa81ebff8","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":219,"box":{"x":70,"y":757,"width":380,"height":9}},{"id":"58e35ada-acca-4f9d-8a96-49c44dfc3c66","block_type":"box","text":"BlackRock Investment Stewardship","page_number":219,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"e49d3517-e559-44ed-be39-8658e9c062d3","block_type":"box","text":"Global Principles | 10","page_number":219,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"b29b5b48-6eb6-436a-bd5e-bda38078ee5d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":219,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ac040a72-5508-49a0-b362-1346a6b231ed","block_type":"box","text":"CLIMATE AND NATURE-RELATED RISK","page_number":220,"box":{"x":351,"y":45,"width":277,"height":9}},{"id":"d1adee70-7913-4a20-8311-7212c5ee36ef","block_type":"box","text":"Many companies are assessing how to navigate the low-carbon transition while delivering long-term financial","page_number":220,"box":{"x":102,"y":67,"width":769,"height":12}},{"id":"120d7287-772e-4ea8-9c7e-6ba481bba23e","block_type":"box","text":"value to investors. For companies facing material climate-related risks, we find it helpful when they publicly disclose,","page_number":220,"box":{"x":68,"y":82,"width":829,"height":12}},{"id":"04f71805-c646-408a-8620-ec36ce4da649","block_type":"box","text":"consistent with their business model and sector, how they intend to deliver long-term financial performance through","page_number":220,"box":{"x":69,"y":98,"width":824,"height":11}},{"id":"8ff4203a-6279-465d-b28e-9898efe4e876","block_type":"box","text":"the low-carbon transition, including where available, their transition plan.","page_number":220,"box":{"x":68,"y":113,"width":514,"height":11}},{"id":"928bc7a4-c3d0-484e-af4a-9c99fbdceba0","block_type":"box","text":"12, 13","page_number":220,"box":{"x":584,"y":113,"width":26,"height":5}},{"id":"7ffae123-d2ec-4078-8265-0a374ff801b0","block_type":"box","text":"From company disclosures and","page_number":220,"box":{"x":617,"y":113,"width":218,"height":11}},{"id":"c89cb2a2-58b5-49c2-a64c-b10f9cf9fa2e","block_type":"box","text":"engagement, we seek to understand the strategies companies have in place to manage material risks to, and","page_number":220,"box":{"x":69,"y":128,"width":782,"height":11}},{"id":"7683b0f1-999b-40b3-939b-9f5165ceebb4","block_type":"box","text":"opportunities for, their long-term business model associated with a range of climate-related scenarios.","page_number":220,"box":{"x":69,"y":143,"width":729,"height":11}},{"id":"1f32b05e-9381-46e3-8736-d15845f67168","block_type":"box","text":"Recognizing the value of these disclosures, certain markets such as the European Union mandate large","page_number":220,"box":{"x":102,"y":166,"width":740,"height":11}},{"id":"6c244210-8e1f-4e21-9b43-1cdd5475df25","block_type":"box","text":"companies to disclose such climate-related financial information, while in other jurisdictions these disclosures are","page_number":220,"box":{"x":69,"y":181,"width":814,"height":11}},{"id":"3da4acb4-dcfc-48a4-9d67-5cf03aedac13","block_type":"box","text":"viewed as best practice in the market.","page_number":220,"box":{"x":68,"y":196,"width":271,"height":11}},{"id":"1ec4db2f-8386-46ea-950d-fb05a6051dfe","block_type":"box","text":"The ISSB standards provide one such framework that can assist investors in assessing company-specific","page_number":220,"box":{"x":101,"y":218,"width":749,"height":12}},{"id":"aea813e2-aa02-41dd-a118-474589f6a1f6","block_type":"box","text":"climate-related risks and opportunities, and informing investment decisions. Such disclosures also provide investors","page_number":220,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"f6cb595c-28ba-47e0-bb67-b58a70ead1f9","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":220,"box":{"x":68,"y":249,"width":809,"height":11}},{"id":"ca611cea-4d72-4435-a102-c178f97d0cbf","block_type":"box","text":"managing their own carbon emissions or emissions intensities to the extent financially practicable.","page_number":220,"box":{"x":69,"y":264,"width":702,"height":11}},{"id":"14becf06-802d-4629-bcb6-6577c29e817f","block_type":"box","text":"The ISSB standards, for example, contemplate disclosures on how companies are setting short-, medium- and","page_number":220,"box":{"x":101,"y":286,"width":786,"height":12}},{"id":"67cdb633-b56c-45ea-b5f9-ba959b07001a","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":220,"box":{"x":70,"y":302,"width":834,"height":11}},{"id":"c7feadaf-0e36-4306-a0c7-27677cc8d1b2","block_type":"box","text":"emissions (GHG) reductions and to demonstrate how their targets are consistent with the long-term financial","page_number":220,"box":{"x":69,"y":317,"width":773,"height":11}},{"id":"92137ac5-d697-48ea-b508-d0d50c5ea9a7","block_type":"box","text":"interests of their investors.","page_number":220,"box":{"x":70,"y":332,"width":190,"height":9}},{"id":"681b33f3-790f-42fc-8b4f-1bfd4d1e26b6","block_type":"box","text":"While we recognize that regulators in some markets are moving to mandate certain disclosures, at this stage,","page_number":220,"box":{"x":101,"y":355,"width":784,"height":11}},{"id":"06a077ec-a41d-443b-8245-5b23a004f685","block_type":"box","text":"we view scope 3 emissions differently from scopes 1 and 2, given methodological complexity, regulatory uncertainty,","page_number":220,"box":{"x":68,"y":370,"width":832,"height":11}},{"id":"b06c8e68-3509-4015-82a8-2b1c2fbaed02","block_type":"box","text":"concerns about double-counting, and lack of direct control by companies. We welcome disclosures and commitments","page_number":220,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"03c58934-a119-4312-9c2b-ba5785d8fd73","block_type":"box","text":"that companies choose to make regarding material scope 3 emissions and recognize that these are provided on a","page_number":220,"box":{"x":68,"y":400,"width":815,"height":11}},{"id":"3b1bb651-5f4f-4328-8046-c8931d48565a","block_type":"box","text":"good-faith basis as methodology develops.","page_number":220,"box":{"x":68,"y":415,"width":303,"height":11}},{"id":"1ebaca8e-e495-4a26-ad0e-2deea3bc0e3c","block_type":"box","text":"In addition to climate-related risks and opportunities, for companies whose strategies, operations or supply","page_number":220,"box":{"x":102,"y":438,"width":766,"height":11}},{"id":"c2f92d5c-a54e-412f-b6a1-49a17a4f0608","block_type":"box","text":"chains are materially reliant on natural capital, nature-related risks and opportunities may affect their ability to","page_number":220,"box":{"x":69,"y":453,"width":788,"height":11}},{"id":"dfc7299a-16d9-4aa3-b28d-e38ad1fe0d45","block_type":"box","text":"generate long-term financial returns.","page_number":220,"box":{"x":68,"y":468,"width":258,"height":11}},{"id":"2ef8ff1b-e2c3-444f-8e3f-cf990d0c9bf5","block_type":"box","text":"14","page_number":220,"box":{"x":328,"y":468,"width":9,"height":5}},{"id":"937961c3-b403-4d03-8c07-8898dc15fd0f","block_type":"box","text":"For these companies, we rely on disclosures to understand how their","page_number":220,"box":{"x":344,"y":468,"width":490,"height":11}},{"id":"0816544c-6bf7-4672-b72a-50524607903f","block_type":"box","text":"strategies consider nature-related impacts and dependencies and to assess how the board oversees these risks.","page_number":220,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"e8be3566-c1c2-4994-be4f-fee584a80b51","block_type":"box","text":"15","page_number":220,"box":{"x":878,"y":484,"width":9,"height":4}},{"id":"8d1f644a-2cae-4db4-9f34-9c3defd1b373","block_type":"box","text":"COMPANIES’ IMPACT ON THEIR WORKFORCE, SUPPLY CHAINS, AND COMMUNITIES","page_number":220,"box":{"x":179,"y":513,"width":620,"height":11}},{"id":"cd452eea-9209-4e6f-9536-11069b06851b","block_type":"box","text":"Companies determine their key stakeholders based on what is material to their business and long-term financial","page_number":220,"box":{"x":102,"y":536,"width":799,"height":11}},{"id":"bfec631f-9de7-45fa-9c9e-81eab3e76895","block_type":"box","text":"performance. For many companies, key stakeholders include employees, business supply chains, clients and","page_number":220,"box":{"x":70,"y":551,"width":778,"height":11}},{"id":"0383c01a-e927-47c0-a63d-275568ddf4ad","block_type":"box","text":"consumers, regulators, and the communities in which they operate.","page_number":220,"box":{"x":69,"y":566,"width":479,"height":11}},{"id":"f761d746-8005-4f2a-b4ec-9c53a4f39a6e","block_type":"box","text":"In our experience, companies that invest in the relationships that are critical to their strategic objectives are","page_number":220,"box":{"x":102,"y":589,"width":770,"height":11}},{"id":"29d0e57e-f339-48de-ba95-33648b414556","block_type":"box","text":"more likely to deliver durable, long-term financial performance. By contrast, we have found that poor relationships","page_number":220,"box":{"x":69,"y":604,"width":810,"height":11}},{"id":"2050d032-2a46-4a88-943b-0e6bb1e9fdf3","block_type":"box","text":"12","page_number":220,"box":{"x":69,"y":634,"width":9,"height":4}},{"id":"a15e7cc6-bae8-40e0-a74a-88e811daf9f6","block_type":"box","text":"We have observed that more companies are developing such plans, and public policymakers in certain markets are","page_number":220,"box":{"x":83,"y":633,"width":823,"height":12}},{"id":"109ace57-5764-4411-aada-804134e30c7b","block_type":"box","text":"signaling their intentions to require them or already have requirements in place, such as Australia, Brazil, and the","page_number":220,"box":{"x":69,"y":649,"width":808,"height":11}},{"id":"3c2c61a4-cc1c-413b-a7a9-7fcff09c44d4","block_type":"box","text":"European Union (please see the International Transition Plan Network for information). We view transition plans as a","page_number":220,"box":{"x":70,"y":663,"width":827,"height":11}},{"id":"b3f2bf27-43e3-42cf-861a-beb95743b45a","block_type":"box","text":"method for a company to both internally assess and externally communicate its long-term strategy, ambition,","page_number":220,"box":{"x":69,"y":679,"width":774,"height":11}},{"id":"685684b3-70c6-4af9-807f-cbee52a4851d","block_type":"box","text":"objectives, and actions to create financial value through the global transition towards a low-carbon economy. Across","page_number":220,"box":{"x":69,"y":694,"width":825,"height":11}},{"id":"b9f09b1e-cc44-47be-8437-a51e87a47714","block_type":"box","text":"the landscape there remains divergence on the objectives of such plans and the details they should contain. While","page_number":220,"box":{"x":68,"y":709,"width":819,"height":11}},{"id":"6b678b09-0141-47e7-a1e3-63a6f1ee9c2c","block_type":"box","text":"transition plans can be helpful disclosure, BIS does not make the preparation and production of transition plans a","page_number":220,"box":{"x":68,"y":724,"width":813,"height":11}},{"id":"c9476ce8-13c6-4c64-a9de-28e414334a34","block_type":"box","text":"voting issue. BIS may engage companies that have chosen to publish a transition plan to understand their planned","page_number":220,"box":{"x":68,"y":739,"width":819,"height":11}},{"id":"ddb729bb-6110-4f02-babc-8469efd97342","block_type":"box","text":"actions and resource implications. Website accessed in December 2025.","page_number":220,"box":{"x":69,"y":754,"width":522,"height":11}},{"id":"8637173b-8c28-44e3-a943-3289efa00520","block_type":"box","text":"13","page_number":220,"box":{"x":69,"y":772,"width":9,"height":5}},{"id":"3da286a5-d121-4429-8949-51c6a475a40d","block_type":"box","text":"For more information, please see our commentary “Climate-related risks and a low-carbon transition,” December","page_number":220,"box":{"x":84,"y":772,"width":804,"height":11}},{"id":"e25a6db8-1d93-4336-981f-a4a5dc899a3f","block_type":"box","text":"2025.","page_number":220,"box":{"x":69,"y":787,"width":42,"height":9}},{"id":"aec2b0f4-11ef-474c-b6f5-3d0dc1bc187a","block_type":"box","text":"14","page_number":220,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"62085861-9ff9-434e-b15b-6532d90cda08","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on natural capital,” December","page_number":220,"box":{"x":84,"y":805,"width":796,"height":11}},{"id":"869cc027-83dc-4baf-83ae-9fd48a000a51","block_type":"box","text":"2025.","page_number":220,"box":{"x":69,"y":820,"width":42,"height":9}},{"id":"ce14904e-0b16-470d-9b50-8bb3958bbbff","block_type":"box","text":"15","page_number":220,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"e19cf224-2d2e-4044-ad0e-0e392e72f381","block_type":"box","text":"Given the growing awareness of the materiality of these issues for certain businesses, enhanced reporting on a","page_number":220,"box":{"x":84,"y":837,"width":797,"height":12}},{"id":"20ce6cde-eb01-4b1c-abcb-cb3d7b6c2d8f","block_type":"box","text":"company’s natural capital dependencies and impacts would aid investors’ understanding. The recommendations of","page_number":220,"box":{"x":69,"y":852,"width":820,"height":12}},{"id":"057095df-5661-4c8c-bb99-e68c3da15970","block_type":"box","text":"the Taskforce on Nature-related Financial Disclosures (TNFD) may prove useful to some companies. We recognize that","page_number":220,"box":{"x":68,"y":868,"width":842,"height":11}},{"id":"c1c43050-c4fa-49b6-8b71-87e0cd709b07","block_type":"box","text":"some companies may report using different standards, which may be required by regulation, or one of a number of","page_number":220,"box":{"x":69,"y":883,"width":820,"height":11}},{"id":"f1034eda-fdc7-4b8a-b4d9-c986d3977594","block_type":"box","text":"other private sector standards. TNFD-aligned reporting is not a voting issue. Website accessed in December 2025.","page_number":220,"box":{"x":69,"y":898,"width":817,"height":11}},{"id":"bb27cfd9-86f3-41c9-a554-2ab8afb21ac2","block_type":"box","text":"BlackRock Investment Stewardship","page_number":220,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"ac2559ab-7741-413b-ac10-38d7ed44eaae","block_type":"box","text":"Global Principles | 11","page_number":220,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"f97f1a7d-71d3-4361-9428-f24bcccbb59d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":220,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2f296033-779a-4738-ae93-fdb8c9d9b7fe","block_type":"box","text":"may create adverse impacts that could expose companies to legal, regulatory, operational, and reputational risks.","page_number":221,"box":{"x":69,"y":45,"width":811,"height":11}},{"id":"804c7f31-f653-48db-986b-d388642182c2","block_type":"box","text":"This is particularly relevant to a company’s workforce, which is central to long-term financial value creation.","page_number":221,"box":{"x":68,"y":60,"width":764,"height":11}},{"id":"12fc923c-e8c0-458d-854f-45691ad803ff","block_type":"box","text":"16","page_number":221,"box":{"x":834,"y":60,"width":9,"height":5}},{"id":"bd8c16e7-f51b-4edf-88c6-afe27d2de783","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":221,"box":{"x":101,"y":82,"width":783,"height":12}},{"id":"77b839c9-0fc2-46b2-9539-64f3ee1108f0","block_type":"box","text":"identified their key stakeholders and considered their interests in business decision-making. In addition to","page_number":221,"box":{"x":70,"y":98,"width":755,"height":11}},{"id":"1ef07ba8-b3a8-4353-8672-ee9eba6c5ed3","block_type":"box","text":"understanding broader stakeholder relationships, BIS finds it helpful when companies discuss how they consider the","page_number":221,"box":{"x":69,"y":113,"width":831,"height":11}},{"id":"6ca0df8d-8005-4359-bb15-93f4f3972e26","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":221,"box":{"x":69,"y":128,"width":809,"height":11}},{"id":"2672b96f-3fc4-4a88-8495-b6981bdffef5","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":221,"box":{"x":69,"y":143,"width":821,"height":11}},{"id":"c639895b-7a2f-4409-84d3-b0453363337b","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":221,"box":{"x":69,"y":158,"width":775,"height":11}},{"id":"e772ef8f-234b-4d14-b942-5f40c8a318ec","block_type":"box","text":"company’s policies or practices, which are the responsibility of management and the board.","page_number":221,"box":{"x":69,"y":173,"width":653,"height":11}},{"id":"74ad5d0b-bf9a-4552-b78d-b37de886c98a","block_type":"box","text":"In addition, we find it helpful when companies disclose their approach to addressing material adverse impacts","page_number":221,"box":{"x":102,"y":196,"width":784,"height":11}},{"id":"8346da5d-125f-42a5-b7e0-a6ca425dd498","block_type":"box","text":"that could arise from their business practices and affect critical relationships with their stakeholders. We encourage","page_number":221,"box":{"x":68,"y":211,"width":829,"height":11}},{"id":"f614ce8f-793b-4aaa-a4c7-11ba9241085c","block_type":"box","text":"companies to implement, to the extent appropriate, monitoring processes (often referred to as due diligence) to","page_number":221,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"dcf7f10c-c035-496b-b8b0-e3d7d1e8040b","block_type":"box","text":"identify and mitigate potential adverse impacts and grievance mechanisms to remediate any actual adverse material","page_number":221,"box":{"x":70,"y":241,"width":828,"height":11}},{"id":"4d649e74-63a8-45a9-8487-01fff8e68c93","block_type":"box","text":"impacts.","page_number":221,"box":{"x":70,"y":257,"width":58,"height":10}},{"id":"3316c992-72d3-4eb2-a362-cf46c6d7b640","block_type":"box","text":"We look to boards to oversee management’s approach to addressing material risks related to key stakeholders","page_number":221,"box":{"x":101,"y":279,"width":794,"height":11}},{"id":"e4ec567d-8845-435b-a58b-adae42ce090a","block_type":"box","text":"and may convey concerns about board oversight in our voting on director elections or supporting a business relevant","page_number":221,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"fdca8691-3d13-4bed-ae55-f85738de7de8","block_type":"box","text":"shareholder proposal when, in our assessment, the board is not acting in shareholders’ long-term financial interests.","page_number":221,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"ea80c6cd-2462-47da-ae1d-da8defe20716","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":221,"box":{"x":213,"y":340,"width":553,"height":8}},{"id":"547067b4-0be1-4d34-bf57-310f80a7784e","block_type":"box","text":"BIS’ governance structure supports oversight and accountability of stewardship-related activities on behalf of","page_number":221,"box":{"x":102,"y":362,"width":778,"height":11}},{"id":"383a137f-d368-422e-af5b-07b8df1ecf70","block_type":"box","text":"clients at the global and regional level.","page_number":221,"box":{"x":69,"y":377,"width":274,"height":12}},{"id":"b7bad375-59bd-4e21-a3b7-7a4967c99fcd","block_type":"box","text":"At the top of this governance structure, the risk-focused BIS Global Oversight Committee (the Committee)","page_number":221,"box":{"x":101,"y":400,"width":751,"height":11}},{"id":"875e2b78-eb09-4b0d-8ab6-e124141d97e7","block_type":"box","text":"supports BIS’ regulatory responsibilities in relation to proxy voting, including adherence to policies and procedures as","page_number":221,"box":{"x":69,"y":415,"width":840,"height":11}},{"id":"c7ac7d73-b808-4946-a26f-7c1f9791f70d","block_type":"box","text":"well as market-level stewardship requirements. The Committee reviews and approves amendments to the Global","page_number":221,"box":{"x":68,"y":430,"width":802,"height":11}},{"id":"97155d2d-dc30-4e72-a1ae-bb88c6f401b9","block_type":"box","text":"Principles and regional voting guidelines. The Committee also reviews periodic reports regarding the votes cast by","page_number":221,"box":{"x":69,"y":445,"width":813,"height":12}},{"id":"ec267834-dc3b-4d7e-a2ea-7a69dd91ce02","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":221,"box":{"x":70,"y":460,"width":835,"height":12}},{"id":"c280119a-d0d8-478e-b42b-a37d219ec149","block_type":"box","text":"considerations. The Committee is chaired by the Global Heads of the Investment Stewardship function and its","page_number":221,"box":{"x":69,"y":475,"width":783,"height":12}},{"id":"c3899303-fd60-4f51-9e00-00d259755617","block_type":"box","text":"members include senior BlackRock executives with legal, risk, and other experience relevant to team oversight who","page_number":221,"box":{"x":69,"y":491,"width":820,"height":11}},{"id":"3ce1852f-9d23-4142-8a86-b272b6e5a35d","block_type":"box","text":"are independent from the investment stewardship function.","page_number":221,"box":{"x":69,"y":506,"width":421,"height":11}},{"id":"f7e35087-17fa-467e-bc2b-612bf1ad091f","block_type":"box","text":"The Global Heads have primary oversight of BIS’ activities globally, including voting in accordance with the Global","page_number":221,"box":{"x":101,"y":528,"width":804,"height":12}},{"id":"86df8d8b-2ecd-4081-bfb7-6e8b86dba41c","block_type":"box","text":"Principles and regional voting guidelines. At the regional level, three regional Heads for the Americas, APAC, and","page_number":221,"box":{"x":69,"y":543,"width":798,"height":12}},{"id":"f9ccfa7a-92ab-43d5-b089-ad860fff8511","block_type":"box","text":"EMEA oversee BIS’ activities for their specific markets.","page_number":221,"box":{"x":70,"y":559,"width":389,"height":11}},{"id":"972e8ad4-f55a-49cf-8f6e-a494e67c7eaa","block_type":"box","text":"VOTE EXECUTION","page_number":221,"box":{"x":424,"y":589,"width":129,"height":9}},{"id":"e5a8be11-b801-4a27-9a13-133c17cd1a54","block_type":"box","text":"BIS votes proxies on behalf of index equity funds and accounts when authorized by our clients. We have","page_number":221,"box":{"x":102,"y":612,"width":739,"height":11}},{"id":"0755f055-80d7-414b-b273-0cde936ec411","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":221,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"3e91a85c-b7e9-470b-9925-f2d9eb33692e","block_type":"box","text":"from voting when logistical issues arise (see below). The BIS Benchmark Policies – and the vote decisions made","page_number":221,"box":{"x":68,"y":642,"width":801,"height":11}},{"id":"f917e91d-f337-49fe-a1c2-0bff8a2c1be1","block_type":"box","text":"consistent with those policies – reflect our reasonable and independent judgment and are made without regard to the","page_number":221,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"c92ca36f-a411-428f-af09-04e5641ee7cd","block_type":"box","text":"relationship between the issuer of the proxy (or any shareholder proponent or dissident shareholder) and the Fund,","page_number":221,"box":{"x":69,"y":672,"width":817,"height":11}},{"id":"05d459c7-ef0b-4361-9702-15aece183bf2","block_type":"box","text":"the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees (see “Conflicts","page_number":221,"box":{"x":68,"y":687,"width":751,"height":11}},{"id":"4145b446-eeff-49ed-937f-fdecd248c847","block_type":"box","text":"management policies and procedures,” below).","page_number":221,"box":{"x":69,"y":703,"width":334,"height":11}},{"id":"823bc71d-a6ae-4470-bf89-8dd3d6bad179","block_type":"box","text":"In certain markets, proxy voting involves logistical issues which can affect BIS’ ability to vote, as well as the cost","page_number":221,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"319d7c18-3bd1-486b-bd7f-e1509a0be9f4","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":221,"box":{"x":69,"y":740,"width":801,"height":11}},{"id":"0940e865-a0e3-4406-8563-360fb6147e1e","block_type":"box","text":"shareholder meetings; 2) restrictions on a foreigner’s ability to exercise votes; 3) requirements to vote proxies in","page_number":221,"box":{"x":69,"y":755,"width":805,"height":11}},{"id":"280ca956-fef5-4a6d-a614-ad9074cc2ff3","block_type":"box","text":"person; 4) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":221,"box":{"x":70,"y":771,"width":783,"height":11}},{"id":"1d6a4451-e4c8-4057-930a-5e4c996f6a57","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":221,"box":{"x":69,"y":785,"width":811,"height":12}},{"id":"e17d7cb3-364f-41ba-980a-c9e1f64395c1","block_type":"box","text":"has occurred); 5) potential difficulties in translating the proxy; 6) regulatory constraints; and 7) requirements to","page_number":221,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"1e9be919-5bdc-4cb5-872e-a724e0d3b41a","block_type":"box","text":"provide local agents with powers of attorney to facilitate voting instructions. We are not supportive of impediments to","page_number":221,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"b39db8b8-d019-43f5-ad25-41ed603200b3","block_type":"box","text":"the exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":221,"box":{"x":68,"y":831,"width":732,"height":11}},{"id":"41038ca1-9e0f-474c-b20a-660594642465","block_type":"box","text":"16","page_number":221,"box":{"x":69,"y":860,"width":9,"height":5}},{"id":"3a20c7a0-6541-4d91-889d-3d7b49fb6512","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on human capital management,”","page_number":221,"box":{"x":84,"y":860,"width":814,"height":11}},{"id":"b6a37fa8-9088-4f15-aed3-67e30564b377","block_type":"box","text":"December 2025.","page_number":221,"box":{"x":70,"y":875,"width":118,"height":9}},{"id":"43c5d9d7-1b55-4676-a994-f0547f4223d5","block_type":"box","text":"BlackRock Investment Stewardship","page_number":221,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"3536e738-2d61-4ebd-bef0-c04e2246fc56","block_type":"box","text":"Global Principles | 12","page_number":221,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"10ede4c4-3457-4407-8932-82a4cf1f09b3","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":221,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"02265ee4-4bcb-40c2-b9fe-fbaf4c52cbc8","block_type":"box","text":"BIS votes proxies in these situations on a “best-efforts” basis. In addition, BIS may determine that it is generally","page_number":222,"box":{"x":102,"y":45,"width":807,"height":11}},{"id":"8c0ffc5e-30ca-4770-b379-d1dad7efc57c","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":222,"box":{"x":70,"y":60,"width":830,"height":11}},{"id":"40dd0714-3bee-42b4-bb19-13b350366f2b","block_type":"box","text":"not limited to opportunity costs associated with share-blocking constraints) associated with exercising a vote are","page_number":222,"box":{"x":69,"y":75,"width":805,"height":11}},{"id":"4d229a0a-728a-472d-bc22-4484c068074c","block_type":"box","text":"expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":222,"box":{"x":69,"y":90,"width":585,"height":11}},{"id":"e87447bf-6890-447a-b68f-b26999367789","block_type":"box","text":"CONFLICTS MANAGEMENT POLICIES AND PROCEDURES","page_number":222,"box":{"x":281,"y":120,"width":416,"height":9}},{"id":"ba9edd81-beed-46d1-9974-76cfbacb6cd5","block_type":"box","text":"BIS is a dedicated function whose responsibilities are separate from BlackRock’s sales, business partnership or","page_number":222,"box":{"x":102,"y":143,"width":804,"height":11}},{"id":"a249c336-b61b-435d-8c66-70caad4d3d22","block_type":"box","text":"enterprise-level vendor management activities.","page_number":222,"box":{"x":69,"y":158,"width":329,"height":11}},{"id":"dd0e6c9a-4c30-4a6f-877e-b3f78e5f9e51","block_type":"box","text":"BlackRock maintains policies and procedures that are designed to prevent undue influence on BIS’ proxy voting","page_number":222,"box":{"x":102,"y":181,"width":794,"height":11}},{"id":"c6926f9e-4b7b-4ff0-a7fc-4b11d255e9cb","block_type":"box","text":"activity. Such influence might stem from any relationship between the investee company (or any shareholder","page_number":222,"box":{"x":69,"y":196,"width":771,"height":11}},{"id":"0d1dfbed-1f48-453f-9940-3dee1220ee13","block_type":"box","text":"proponent or dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or","page_number":222,"box":{"x":70,"y":211,"width":763,"height":11}},{"id":"8442f200-4bde-46ef-82e1-eec617a27d17","block_type":"box","text":"BlackRock employees.","page_number":222,"box":{"x":70,"y":226,"width":157,"height":11}},{"id":"38512406-74ed-433d-a82a-2c5819f610ff","block_type":"box","text":"For information on how BIS manages conflicts of interest, please see our disclosure.","page_number":222,"box":{"x":102,"y":249,"width":602,"height":11}},{"id":"dd7b5ee4-592a-4758-b5c4-4467bf200a5f","block_type":"box","text":"SECURITIES LENDING","page_number":222,"box":{"x":409,"y":279,"width":159,"height":9}},{"id":"da559d8c-6e9b-45eb-96ae-3c6868096eb5","block_type":"box","text":"When authorized, BlackRock acts as a securities lending agent on behalf of its clients. Lending securities","page_number":222,"box":{"x":101,"y":302,"width":751,"height":11}},{"id":"4ca4726f-4369-4a0a-8770-a03e03ebf233","block_type":"box","text":"enables BlackRock to increase the returns in clients’ portfolios, and BlackRock’s lending agreements allow it to","page_number":222,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"a0943914-6137-447c-8cdf-092b6acc84c3","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":222,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"9906f4c9-aee9-4d22-9e96-247a8cae8277","block_type":"box","text":"out on loan. Entitlements associated with the lent securities (dividends, coupons, etc.), while on loan are paid back","page_number":222,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"50e495c4-53c2-4959-a5aa-ba09a8970a10","block_type":"box","text":"to the lender of the security as stipulated in industry standard legal agreements.","page_number":222,"box":{"x":68,"y":362,"width":575,"height":11}},{"id":"4d09730d-5878-4d04-a911-fece70f2f00a","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":222,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"8c294803-75fc-409c-8587-3ba70c42d59c","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":222,"box":{"x":70,"y":400,"width":827,"height":11}},{"id":"daf18534-c66d-4d67-95e3-b57f6deb9f52","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":222,"box":{"x":70,"y":415,"width":832,"height":11}},{"id":"6dc23e2a-8e7d-4a1f-8303-058a1c32121a","block_type":"box","text":"recall securities on loan as part of BlackRock’s securities lending program in order to vote is based on an evaluation","page_number":222,"box":{"x":69,"y":430,"width":832,"height":11}},{"id":"7fdea461-968a-4ae3-b647-f2831fba66f8","block_type":"box","text":"of various factors that include, but are not limited to, assessing potential securities lending revenue alongside the","page_number":222,"box":{"x":69,"y":445,"width":814,"height":12}},{"id":"c21e56ad-7422-42ed-bc66-6f599667f735","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":222,"box":{"x":70,"y":460,"width":834,"height":12}},{"id":"d6247a4d-c422-4598-a5bc-19b050de56f5","block_type":"box","text":"of recall consideration).","page_number":222,"box":{"x":69,"y":475,"width":166,"height":12}},{"id":"b6236b02-045e-43bb-b807-2794aa4c5562","block_type":"box","text":"17","page_number":222,"box":{"x":237,"y":476,"width":9,"height":4}},{"id":"5413137d-55d3-4f69-bd45-e7ab7368063e","block_type":"box","text":"BIS works with colleagues in the Securities Lending and Risk and Quantitative Analysis","page_number":222,"box":{"x":252,"y":476,"width":617,"height":11}},{"id":"52b1865a-3c69-4b27-bb12-d2bbdee0db83","block_type":"box","text":"teams to evaluate the costs and benefits to clients of recalling shares on loan.","page_number":222,"box":{"x":68,"y":491,"width":563,"height":11}},{"id":"102d99c5-6bb2-4a17-85c7-efd41091cd98","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":222,"box":{"x":102,"y":513,"width":770,"height":12}},{"id":"056c39af-7588-40de-9a8d-38d5f91cda1d","block_type":"box","text":"shares would be less than the potential revenue the loan may provide clients. However, in certain instances,","page_number":222,"box":{"x":69,"y":529,"width":774,"height":11}},{"id":"5e29437d-8684-424e-9071-6f8f682ffcf6","block_type":"box","text":"BlackRock may determine, in our independent business judgment as a fiduciary, that the value of voting outweighs","page_number":222,"box":{"x":70,"y":543,"width":816,"height":12}},{"id":"1edbf71c-7c67-4c39-81b6-f26d4f797f29","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":222,"box":{"x":68,"y":559,"width":822,"height":11}},{"id":"a45b9ece-e5e2-4ce9-b042-d9d15ccba8c4","block_type":"box","text":"important to note that the majority of lendable assets in the market at any given time are not out on loan.","page_number":222,"box":{"x":70,"y":574,"width":752,"height":11}},{"id":"5e78130f-1593-4e58-88dd-f67b067a1952","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":222,"box":{"x":102,"y":596,"width":790,"height":12}},{"id":"ecb1a7f5-2639-435d-9687-375a8270fe66","block_type":"box","text":"and may modify it as necessary.","page_number":222,"box":{"x":69,"y":612,"width":228,"height":11}},{"id":"0854bbbd-c265-4749-958e-8d766db2be41","block_type":"box","text":"VOTING CHOICE","page_number":222,"box":{"x":430,"y":642,"width":117,"height":9}},{"id":"91b49050-ccb7-4fe5-afca-69abd6cbef26","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more opportunities to participate in","page_number":222,"box":{"x":102,"y":664,"width":800,"height":12}},{"id":"de33d31f-bcf3-45ca-bfd0-c5dcfc85387e","block_type":"box","text":"the proxy voting process, where legally and operationally viable.","page_number":222,"box":{"x":68,"y":680,"width":452,"height":11}},{"id":"9031540e-3b2c-42ec-a4f0-4a84ea2131db","block_type":"box","text":"18","page_number":222,"box":{"x":522,"y":680,"width":9,"height":4}},{"id":"db06e682-85d4-4854-bff7-da6a5038f819","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in certain institutional pooled funds in the U.S.,","page_number":222,"box":{"x":101,"y":702,"width":786,"height":12}},{"id":"81f9619a-b52f-4169-87e3-c007772def77","block_type":"box","text":"UK, Ireland, Canada, and Switzerland that utilize index equity investment strategies, as well as eligible clients in","page_number":222,"box":{"x":70,"y":718,"width":797,"height":11}},{"id":"7f1d316d-ef37-4ff0-a52c-af0e21e4fb06","block_type":"box","text":"17","page_number":222,"box":{"x":69,"y":747,"width":8,"height":4}},{"id":"2c615490-5f64-41a5-b878-4ff08e7c68c4","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":222,"box":{"x":84,"y":747,"width":789,"height":11}},{"id":"f6526351-c169-4d88-b770-4eaa11b885ac","block_type":"box","text":"date of a shareholder meeting typically falls before the proxy statements are released. Accordingly, it is not","page_number":222,"box":{"x":69,"y":762,"width":763,"height":11}},{"id":"445f9bb0-c43c-47a4-845a-e9a0318015e3","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":222,"box":{"x":70,"y":777,"width":794,"height":11}},{"id":"fb042368-327c-4b65-8f2d-17d4c1b01a50","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":222,"box":{"x":69,"y":792,"width":833,"height":11}},{"id":"c6517971-5979-441a-8131-b16e4933d3bf","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":222,"box":{"x":69,"y":807,"width":821,"height":11}},{"id":"9f382586-5337-465e-bab5-995b02603e74","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":222,"box":{"x":69,"y":822,"width":823,"height":12}},{"id":"42ba567a-ea87-4a37-bb69-fd4b934b835a","block_type":"box","text":"fund (thereby forgoing potential securities lending revenue for the fund’s shareholders) or leaving shares on loan to","page_number":222,"box":{"x":68,"y":837,"width":822,"height":12}},{"id":"117fc3c9-3fb9-4698-94a2-854d23c15f8e","block_type":"box","text":"potentially earn revenue for the fund (thereby forgoing the opportunity to vote).","page_number":222,"box":{"x":70,"y":852,"width":558,"height":12}},{"id":"2ddf6e67-5f16-43cb-9e5c-417625744ca5","block_type":"box","text":"18","page_number":222,"box":{"x":69,"y":870,"width":9,"height":5}},{"id":"88f5d7e9-e6f0-458f-9b2b-036553988631","block_type":"box","text":"BlackRock will determine eligibility criteria under this program based upon, among other things, local market","page_number":222,"box":{"x":84,"y":870,"width":771,"height":11}},{"id":"92ac8277-60e9-48e1-8607-1d04cbde958b","block_type":"box","text":"regulation and practice, cost considerations, operational risk and/or complexity, and financial considerations,","page_number":222,"box":{"x":69,"y":885,"width":779,"height":11}},{"id":"87b16488-9d32-4dae-b4df-7c06ff32f810","block_type":"box","text":"including the decision to lend securities.","page_number":222,"box":{"x":70,"y":901,"width":285,"height":11}},{"id":"2b849c1b-c218-4ad4-9c4b-f82616c75067","block_type":"box","text":"BlackRock Investment Stewardship","page_number":222,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"4f190973-4b02-45c8-9439-775926201b16","block_type":"box","text":"Global Principles | 13","page_number":222,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"8cd3dfd8-f32d-485b-83aa-f82d30c1469f","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":222,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ad10b94b-3f21-4866-b84b-985c8672468c","block_type":"box","text":"certain institutional pooled funds in the U.S., UK, Canada, and Switzerland that use systematic active equity","page_number":223,"box":{"x":69,"y":45,"width":772,"height":11}},{"id":"3dbec0f3-8c52-45a0-af21-bbe496d60667","block_type":"box","text":"(SAE) strategies. In addition, institutional clients in separately managed accounts (SMAs) continue to be eligible for","page_number":223,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"b0f1fe3f-0d99-47b8-a06d-bc1a4ac21cb1","block_type":"box","text":"BlackRock Voting Choice regardless of their investment strategies.","page_number":223,"box":{"x":70,"y":75,"width":471,"height":11}},{"id":"80b2db68-c8fd-4c52-85b2-ecc7c3c04b2f","block_type":"box","text":"19","page_number":223,"box":{"x":543,"y":75,"width":9,"height":5}},{"id":"038f0e09-1bd6-40d5-88ed-35419a7179fa","block_type":"box","text":"Voting Choice is also available for eligible U.S.","page_number":223,"box":{"x":558,"y":75,"width":328,"height":11}},{"id":"b187d7bd-d90b-4692-bb01-d93907c08bf8","block_type":"box","text":"retail shareholder accounts invested in BlackRock’s largest U.S. exchange-traded fund.","page_number":223,"box":{"x":69,"y":90,"width":619,"height":11}},{"id":"e55a3de7-4621-444e-9cf8-0bef00f614e1","block_type":"box","text":"20","page_number":223,"box":{"x":690,"y":90,"width":9,"height":5}},{"id":"d126b00c-397f-48b5-acf0-dda0ed3134b8","block_type":"box","text":"As a result, the shares attributed to BlackRock portfolios in company share registers may be voted differently","page_number":223,"box":{"x":101,"y":113,"width":782,"height":11}},{"id":"f1729d89-43de-465e-b98d-f30d6cbcb300","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":223,"box":{"x":69,"y":128,"width":767,"height":11}},{"id":"b3ff38ac-f3f9-47f8-add8-f1659c1f1f43","block_type":"box","text":"accordance with a third-party policy, or have elected to vote shares in accordance with their own policy. Our clients","page_number":223,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"ce47c953-a4da-4938-9fa6-65e64a644607","block_type":"box","text":"have greater control over proxy voting because of Voting Choice.","page_number":223,"box":{"x":69,"y":158,"width":454,"height":11}},{"id":"69606b54-13b5-4b07-ad82-ee95787c4924","block_type":"box","text":"21","page_number":223,"box":{"x":525,"y":158,"width":9,"height":5}},{"id":"7066760a-06de-4950-8ba9-ccc9dd5434b5","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":223,"box":{"x":343,"y":188,"width":293,"height":9}},{"id":"f198221a-1b6f-4a3a-a3f0-eaa27f565093","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":223,"box":{"x":101,"y":211,"width":789,"height":11}},{"id":"b4aca5e9-6244-4393-aabb-b378f26d669c","block_type":"box","text":"our engagement and voting policies and activities through direct communication and through disclosure on our","page_number":223,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"1f4b5f3b-5de2-4b62-a2ca-e73b77850e1f","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":223,"box":{"x":68,"y":241,"width":795,"height":11}},{"id":"02ce870d-d361-4365-87e1-6b89fe8dc32f","block_type":"box","text":"invest on their behalf. We also publish commentaries to share our approach to engagement on our five engagement","page_number":223,"box":{"x":70,"y":256,"width":825,"height":12}},{"id":"b2855cae-a9cb-4fe3-b2e5-c6215122cfc2","block_type":"box","text":"priorities, as well as quarterly reports detailing our proxy voting and engagement activities.","page_number":223,"box":{"x":70,"y":272,"width":644,"height":11}},{"id":"a52326b6-9fab-4d45-a9d7-dab9ac996e74","block_type":"box","text":"19","page_number":223,"box":{"x":69,"y":324,"width":9,"height":4}},{"id":"7881ad93-9310-4850-8eb8-797a9e85df34","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":223,"box":{"x":83,"y":323,"width":739,"height":12}},{"id":"c4f55c15-1848-4db4-94ba-b79e4ebfa146","block_type":"box","text":"preferences from a set of voting policies from third-party proxy advisers. BlackRock can then use its proxy voting","page_number":223,"box":{"x":70,"y":338,"width":800,"height":12}},{"id":"8be0cb15-9af1-45eb-8f50-63c3e2a1ff25","block_type":"box","text":"infrastructure to cast votes for the SMA based on the client’s selected voting policy.","page_number":223,"box":{"x":70,"y":354,"width":596,"height":11}},{"id":"d206330c-c8cd-45ca-9d98-cff50582b07e","block_type":"box","text":"20","page_number":223,"box":{"x":69,"y":372,"width":9,"height":4}},{"id":"2c4b565d-7fd5-48c6-bf8c-0a0d65e353f6","block_type":"box","text":"Read more about BlackRock Voting Choice on our website.","page_number":223,"box":{"x":84,"y":371,"width":415,"height":11}},{"id":"e747251b-9208-4980-906e-a24b5545c99b","block_type":"box","text":"21","page_number":223,"box":{"x":69,"y":389,"width":9,"height":5}},{"id":"696a456f-d017-4e4f-ba4c-1a681e35671a","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":223,"box":{"x":84,"y":389,"width":820,"height":11}},{"id":"fd82afbe-b3e3-4f59-af68-311cc4112f3d","block_type":"box","text":"BlackRock Investment Stewardship","page_number":223,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"6bacefb2-1b02-4de2-a2fa-a1140683845a","block_type":"box","text":"Global Principles | 14","page_number":223,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"2ca9b597-0653-44ee-b244-85a2224ba9f8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":223,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"080be326-5f41-4f80-91ad-ead0e348163c","block_type":"box","text":"Want to know more?","page_number":224,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"37fca215-2abb-4251-b483-6060b9103270","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":224,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"21cb8762-0b66-40c5-afea-4b88b5c62d54","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":224,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"6f82f209-3074-4d18-ac1e-3ba97bfcf384","block_type":"box","text":"principal.","page_number":224,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"b7fd5667-513c-4860-b7d5-55232a2c6b7d","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":224,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"db9b300a-0c91-4116-977b-75338ea0ca3d","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":224,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"86ad24c0-d2c9-4079-9dcd-4ac5aa705b19","block_type":"box","text":"BLACKROCK","page_number":224,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"273ec6d5-14f9-4bb9-be50-a73e7f2b75d2","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":224,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"5c060202-10e1-4c06-b2f9-eb52dc764468","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":224,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"995e8c9a-5aa1-4e64-acbb-cf114cccd70f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":224,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"6d63f790-6f6d-480d-91e7-67ba3ae8e562","block_type":"box","text":"Global Principles | 15","page_number":224,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"d25b8cbf-c116-4e61-8510-c401f8bb6e95","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":224,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"db102a69-cce6-42eb-8f55-4548d518817e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":225,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"3d0603c7-dbc9-4696-a6ed-ad39d708cd1e","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines","page_number":225,"box":{"x":297,"y":67,"width":384,"height":11}},{"id":"4b212f08-0316-4081-b9c0-913c6ac8cb85","block_type":"box","text":"Effective as of January 2026","page_number":225,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"36149d2f-a976-4257-99ec-3217ff13e954","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":225,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fc0ec378-9068-4aaf-88b3-a4ba191db584","block_type":"box","text":"Contents","page_number":226,"box":{"x":456,"y":45,"width":66,"height":9}},{"id":"12e7f886-bff9-4e58-aab3-ed14a5c2da55","block_type":"box","text":"Introduction to BlackRock Investment Stewardship 3","page_number":226,"box":{"x":69,"y":80,"width":840,"height":11}},{"id":"6a27dbf6-a059-4a18-b99b-329ea4532ecf","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition 3","page_number":226,"box":{"x":68,"y":96,"width":841,"height":11}},{"id":"945b1793-045c-443c-9b7c-7221c4d87ea1","block_type":"box","text":"The Climate and Decarbonization Stewardship Guidelines 3","page_number":226,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"7997ead4-e7ad-497e-ba51-66a9f2d69a00","block_type":"box","text":"Understanding the investment implications of the transition to a low-carbon economy 4","page_number":226,"box":{"x":69,"y":129,"width":840,"height":11}},{"id":"ecbdd00e-801d-48f0-ac14-6031cda0f70f","block_type":"box","text":"The Guidelines’ design principles","page_number":226,"box":{"x":68,"y":146,"width":240,"height":11}},{"id":"3f584d90-6a03-4804-8fda-e1468d6fa511","block_type":"box","text":"4","page_number":226,"box":{"x":900,"y":146,"width":9,"height":8}},{"id":"3c8be39e-eb24-4147-a8a3-6cdd653bd908","block_type":"box","text":"Voting approach under the Guidelines","page_number":226,"box":{"x":68,"y":162,"width":273,"height":11}},{"id":"043d77a4-c5eb-4c4b-bb18-842bfda68107","block_type":"box","text":"5","page_number":226,"box":{"x":901,"y":162,"width":8,"height":9}},{"id":"d11cc36c-434d-4999-ba00-4e61fb241db4","block_type":"box","text":"Related matters","page_number":226,"box":{"x":69,"y":178,"width":117,"height":9}},{"id":"482cf35a-0e17-47e0-bd36-b289a22e0a2c","block_type":"box","text":"8","page_number":226,"box":{"x":900,"y":178,"width":9,"height":9}},{"id":"47d8adb6-50b7-47eb-b273-b2a338e5947f","block_type":"box","text":"Appendix 1","page_number":226,"box":{"x":68,"y":195,"width":82,"height":11}},{"id":"d70816d3-ce45-4530-9f41-16c2f6b32190","block_type":"box","text":"10","page_number":226,"box":{"x":891,"y":195,"width":18,"height":9}},{"id":"aaaefa3b-b713-4c48-8068-85c0e9d27f6e","block_type":"box","text":"Appendix 2","page_number":226,"box":{"x":68,"y":211,"width":82,"height":11}},{"id":"a5cb3e2c-218c-42db-a068-0162984a297f","block_type":"box","text":"11","page_number":226,"box":{"x":891,"y":211,"width":18,"height":9}},{"id":"cd4f4cbe-5742-4730-8c9e-c9f0b3f471ae","block_type":"box","text":"BlackRock Investment Stewardship","page_number":226,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"1a4fc9cf-ec83-460e-887d-e2986d914af0","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 2","page_number":226,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"20c3e15e-605d-49f8-961a-15546d216542","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":226,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d7fbd43e-e053-43e9-b917-3b0058f9bff4","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":227,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"8fc9088e-ce78-437e-ab64-e6605bb8dcd9","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":227,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"4e8dae09-1376-49e8-8639-489c1a248c99","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":227,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"543a2e32-78ea-40a0-9639-354d7b99c7b2","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":227,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"b90b3a9c-ba6f-4124-873c-64fada5bc22c","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":227,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"4fbab0da-cb14-4dac-bc01-3ec860263197","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship efforts, reflecting the","page_number":227,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"16c4b052-2516-4c58-acaf-17c4ae144e6d","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":227,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"b41e62f9-0aff-46b5-925b-ee9bee3f8f74","block_type":"box","text":"1.","page_number":227,"box":{"x":70,"y":171,"width":11,"height":9}},{"id":"03bf6bd8-e191-4eae-b0af-cd234c9188b0","block_type":"box","text":"Engaging with the boards and management of companies","page_number":227,"box":{"x":102,"y":171,"width":418,"height":11}},{"id":"5bb27628-8193-4f8a-8f06-8df8bd55a2d7","block_type":"box","text":"in which clients are invested to deepen our","page_number":227,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"20975b3f-19ad-48f7-868a-10b67e793439","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":227,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"d9d1110a-5886-4f00-9940-82bd9b861b09","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients.","page_number":227,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"cb9ca8d1-4674-4afc-9a74-951ee81cca23","block_type":"box","text":"1","page_number":227,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"5a5410a8-fee2-452b-baa1-7b5b469d46f2","block_type":"box","text":"2.","page_number":227,"box":{"x":69,"y":221,"width":12,"height":9}},{"id":"e14f8b2a-f37b-4b29-bc88-d53157907df8","block_type":"box","text":"Voting at shareholder meetings","page_number":227,"box":{"x":101,"y":221,"width":228,"height":11}},{"id":"b97f4851-7a80-4714-9d3b-752f5bed9382","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":227,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"9c6f556f-c70b-42f5-9562-7fc578ea3ba8","block_type":"box","text":"to vote on their behalf.","page_number":227,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"63cbae5f-e094-49d0-b6f2-65684064f7a3","block_type":"box","text":"3.","page_number":227,"box":{"x":69,"y":256,"width":12,"height":9}},{"id":"20059242-3f7f-4b0e-84c5-e2f5b9c0fb16","block_type":"box","text":"Contributing to industry dialogue on stewardship","page_number":227,"box":{"x":101,"y":256,"width":356,"height":11}},{"id":"d260963f-9105-4e26-8d20-877318b91910","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":227,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"db1295a0-aaea-420a-9097-feeea00f67dd","block_type":"box","text":"clients’ investments.","page_number":227,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"a4354059-1848-45e2-84ad-58a4d99f5749","block_type":"box","text":"4.","page_number":227,"box":{"x":69,"y":292,"width":12,"height":8}},{"id":"2c7de131-d423-4b6c-9a79-68ea0a684e50","block_type":"box","text":"Reporting on our activities","page_number":227,"box":{"x":102,"y":292,"width":193,"height":11}},{"id":"c80629fd-9ccd-41b5-943c-3cce1816f791","block_type":"box","text":"to inform clients about our stewardship efforts on their behalf through a range of","page_number":227,"box":{"x":301,"y":292,"width":579,"height":11}},{"id":"6d47caa0-02c8-42c8-a473-14e0a2d46837","block_type":"box","text":"publications on our website and direct client communications.","page_number":227,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"747d6991-b0ca-4e40-a1e8-efb8ec7d9b06","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition","page_number":227,"box":{"x":68,"y":337,"width":635,"height":11}},{"id":"d2d440fd-2acd-40cc-a6f8-ecd2f22a73a5","block_type":"box","text":"2, 3","page_number":227,"box":{"x":704,"y":337,"width":17,"height":6}},{"id":"28dac296-ec40-4b94-95ce-b5bd9916a597","block_type":"box","text":"Some of our clients are pursuing decarbonization as an investment objective, including many of our largest","page_number":227,"box":{"x":102,"y":360,"width":761,"height":11}},{"id":"38863b43-a4ec-4aae-a11e-517342b2ac97","block_type":"box","text":"European clients, who have made net zero commitments.","page_number":227,"box":{"x":70,"y":375,"width":407,"height":11}},{"id":"5064a296-1b77-4575-810b-c4d89173872f","block_type":"box","text":"4","page_number":227,"box":{"x":479,"y":375,"width":4,"height":4}},{"id":"e4e67b7c-5fbc-4cb2-9a82-7c1f82642325","block_type":"box","text":"To support our clients’ unique and varied investment","page_number":227,"box":{"x":488,"y":375,"width":376,"height":11}},{"id":"792e6824-20c9-4df9-94ae-88777b194b6e","block_type":"box","text":"objectives, in July 2024, BlackRock launched the Climate and Decarbonization Stewardship program.","page_number":227,"box":{"x":69,"y":390,"width":718,"height":11}},{"id":"dc64b954-d242-4636-8738-b2858a8f6027","block_type":"box","text":"The Climate and Decarbonization Stewardship team (the dedicated team) applies these proxy voting guidelines","page_number":227,"box":{"x":101,"y":413,"width":789,"height":11}},{"id":"1340b862-5ff0-4da1-8b3c-6e9b2bc3efeb","block_type":"box","text":"(the Guidelines) to those funds that BlackRock offers to clients that have climate and decarbonization objectives and","page_number":227,"box":{"x":69,"y":428,"width":833,"height":11}},{"id":"d98f6eea-a1f0-4637-9507-be3fcac959ae","block_type":"box","text":"where the funds’ respective governing body has explicitly approved the application of the Guidelines (referred to in","page_number":227,"box":{"x":68,"y":443,"width":814,"height":11}},{"id":"46a9387f-cba1-4833-884f-5b5914fe2737","block_type":"box","text":"this document as “in-scope funds”).","page_number":227,"box":{"x":68,"y":458,"width":256,"height":11}},{"id":"780cabc2-fccd-494d-8f58-20ab78a15b20","block_type":"box","text":"5","page_number":227,"box":{"x":326,"y":458,"width":4,"height":5}},{"id":"92652c83-ff60-4ca2-83c5-15d37584c349","block_type":"box","text":"Separately managed account (SMA) clients have a range of options, including","page_number":227,"box":{"x":336,"y":458,"width":551,"height":11}},{"id":"e8034808-a318-4d9d-949f-43a7cb465d58","block_type":"box","text":"instructing BlackRock to apply these Guidelines to their SMA holdings.","page_number":227,"box":{"x":70,"y":473,"width":499,"height":11}},{"id":"b0f7319c-72d6-4d3c-b92b-055f27434f70","block_type":"box","text":"THE CLIMATE AND DECARBONIZATION STEWARDSHIP GUIDELINES","page_number":227,"box":{"x":242,"y":503,"width":493,"height":9}},{"id":"9f9c07ff-dcb1-443e-a9da-e03edbc53c8a","block_type":"box","text":"These Guidelines set out the dedicated team’s approach to engaging and voting on matters related to climate","page_number":227,"box":{"x":101,"y":526,"width":784,"height":11}},{"id":"b5673c0e-c93d-4fb6-959a-f70754870163","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":227,"box":{"x":69,"y":541,"width":806,"height":11}},{"id":"5cf2b418-6bbb-4f35-bd11-ea86293de6c1","block_type":"box","text":"apply these Guidelines.","page_number":227,"box":{"x":69,"y":556,"width":165,"height":11}},{"id":"3d08cb22-1f8d-4674-9830-7dcf1d18a805","block_type":"box","text":"The Guidelines differ from the Benchmark Policies in that they consider, in addition to financial objectives,","page_number":227,"box":{"x":101,"y":579,"width":755,"height":11}},{"id":"1118899a-38c0-4bee-be83-bc5352e1e018","block_type":"box","text":"companies’ strategies to align with the transition to a low-carbon economy. They also incorporate the more ambitious","page_number":227,"box":{"x":69,"y":594,"width":834,"height":11}},{"id":"85b7a907-9be1-4cc4-844a-90a8eb980421","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":227,"box":{"x":68,"y":609,"width":806,"height":11}},{"id":"e95b56b4-8e75-48e5-ba3b-b8f93a8025c7","block_type":"box","text":"6","page_number":227,"box":{"x":876,"y":609,"width":4,"height":5}},{"id":"d1caf675-2ede-4897-8f65-e49eb7ac62a6","block_type":"box","text":"The Guidelines apply primarily to companies in sectors that play an important role in the transition to a low","page_number":227,"box":{"x":101,"y":632,"width":766,"height":11}},{"id":"235f0efa-3701-4580-8bd1-b0c68c74dbb4","block_type":"box","text":"carbon economy. This includes companies which produce goods and services that contribute to real world","page_number":227,"box":{"x":69,"y":647,"width":753,"height":11}},{"id":"829c177d-db18-4de4-827e-572d25a47bce","block_type":"box","text":"decarbonization or have a carbon intensive business model and face outsized impacts from the low-carbon transition,","page_number":227,"box":{"x":69,"y":662,"width":836,"height":11}},{"id":"46fc4b53-0a24-4eab-80f7-e330583eeb62","block_type":"box","text":"1","page_number":227,"box":{"x":69,"y":692,"width":4,"height":4}},{"id":"0c285d25-06a1-424f-8b34-1f0205a278e7","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":227,"box":{"x":79,"y":691,"width":790,"height":11}},{"id":"d2b2aecc-039b-49ba-85a3-e9536f2b239c","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":227,"box":{"x":69,"y":706,"width":836,"height":12}},{"id":"8f4fc513-227e-4761-8ad6-05839dee391a","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":227,"box":{"x":68,"y":721,"width":805,"height":12}},{"id":"f434a2d3-0926-4373-bb59-1b7f15d1818f","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":227,"box":{"x":69,"y":737,"width":405,"height":11}},{"id":"bc5179d4-1846-4c84-b145-d53c35e57110","block_type":"box","text":"2","page_number":227,"box":{"x":69,"y":755,"width":4,"height":4}},{"id":"687b920e-2e30-4235-ab59-087433a22343","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":227,"box":{"x":79,"y":754,"width":780,"height":11}},{"id":"d4d6d027-686b-457b-884c-cba815c44425","block_type":"box","text":"commitments to align their investment strategies with the transition to a low-carbon economy. This stewardship","page_number":227,"box":{"x":69,"y":770,"width":793,"height":11}},{"id":"e9662a49-d4a9-466e-9332-e5ece9a5da6d","block_type":"box","text":"option helps those clients meet their climate and decarbonization investment objectives and is part of BlackRock’s","page_number":227,"box":{"x":69,"y":784,"width":820,"height":12}},{"id":"43337fbf-fb44-4da6-bbed-871439f28fea","block_type":"box","text":"commitment to offer clients choice.","page_number":227,"box":{"x":69,"y":799,"width":252,"height":10}},{"id":"6e815339-b602-4e12-b180-2c9676899148","block_type":"box","text":"3","page_number":227,"box":{"x":69,"y":818,"width":4,"height":4}},{"id":"9640d166-e703-4b76-bd15-c8f56f795815","block_type":"box","text":"Key climate, decarbonization and low-carbon transition related terms used in these Guidelines are explained in","page_number":227,"box":{"x":79,"y":817,"width":788,"height":11}},{"id":"94866387-51b6-4a8f-b107-751a5e9856fd","block_type":"box","text":"appendix 1.","page_number":227,"box":{"x":69,"y":833,"width":81,"height":10}},{"id":"1beba74e-6250-4cc9-9714-2c153288fe19","block_type":"box","text":"4","page_number":227,"box":{"x":69,"y":850,"width":4,"height":5}},{"id":"d7930e5a-8e74-4c39-8899-b93407b23502","block_type":"box","text":"Includes a select group of our largest client relationships. Net zero commitments are sourced from respective","page_number":227,"box":{"x":79,"y":850,"width":782,"height":11}},{"id":"1c3b8eb2-51de-45bd-95d1-4d98f8f4d4ad","block_type":"box","text":"company websites, as of January 2025.","page_number":227,"box":{"x":69,"y":865,"width":284,"height":11}},{"id":"9459aebf-c180-4e7f-867e-8549ccfae49c","block_type":"box","text":"5","page_number":227,"box":{"x":69,"y":883,"width":4,"height":5}},{"id":"af89c51d-7a22-41a5-a6fb-9a614b1f9e23","block_type":"box","text":"A list of approved funds is on BlackRock’s website here.","page_number":227,"box":{"x":78,"y":883,"width":401,"height":11}},{"id":"e52e545e-b2c6-40df-9211-fdd90a7c4594","block_type":"box","text":"6","page_number":227,"box":{"x":69,"y":901,"width":4,"height":4}},{"id":"15c18e3e-7572-4f00-8b85-9e15ba7d8174","block_type":"box","text":"United Nations Climate Change, “The Paris Agreement,” accessed in December 2025.","page_number":227,"box":{"x":79,"y":900,"width":614,"height":12}},{"id":"b156d952-a1cd-4151-8e4f-ecc5fa139e70","block_type":"box","text":"BlackRock Investment Stewardship","page_number":227,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"19d06e1c-7460-49b0-ab54-236c2d15f554","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 3","page_number":227,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"4b63f96e-b54a-4884-9eb6-3edea2b809f8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":227,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9ebf3f9f-0693-4f91-81c9-7630c6c89d17","block_type":"box","text":"particularly those representing the major sources of scopes 1, 2, and 3 greenhouse gas (GHG) emissions across","page_number":228,"box":{"x":70,"y":45,"width":806,"height":11}},{"id":"2af3b90f-e8d4-47ab-95a4-8a6ba9cfcf57","block_type":"box","text":"companies held by in-scope funds and accounts that have selected the Guidelines.","page_number":228,"box":{"x":69,"y":60,"width":590,"height":11}},{"id":"9c8021de-f5e7-4dfa-9a72-04196c1240a4","block_type":"box","text":"7","page_number":228,"box":{"x":661,"y":60,"width":4,"height":5}},{"id":"9eb1ed6f-3439-4edb-ad86-1148702c3c64","block_type":"box","text":"For companies and matters not related to climate and transition risks, the dedicated team follows BIS’","page_number":228,"box":{"x":102,"y":82,"width":731,"height":11}},{"id":"f07f819b-10b1-4c8b-9509-ac482dea3ce1","block_type":"box","text":"Benchmark Policies.","page_number":228,"box":{"x":70,"y":98,"width":141,"height":9}},{"id":"731f3c86-4b4b-4e88-b43b-37a58d07d30f","block_type":"box","text":"8","page_number":228,"box":{"x":213,"y":98,"width":4,"height":4}},{"id":"df457121-a253-4611-b90d-e3e7f1f66e7b","block_type":"box","text":"In addition, for clients who do not direct BlackRock to prioritize climate risks and","page_number":228,"box":{"x":224,"y":98,"width":572,"height":11}},{"id":"78cc4fa1-03f9-4f5c-8277-427b96fcf9c8","block_type":"box","text":"decarbonization as an investment objective, BIS undertakes our stewardship responsibilities in line with our","page_number":228,"box":{"x":69,"y":113,"width":769,"height":11}},{"id":"ebb45790-d026-4d5e-b0cb-974dffa75449","block_type":"box","text":"Benchmark Policies, with a sole focus on advancing those clients’ long-term financial interests. This includes","page_number":228,"box":{"x":70,"y":128,"width":775,"height":11}},{"id":"28c9623b-593b-4cf0-9776-4876dbede02a","block_type":"box","text":"consideration of climate-related risks and opportunities in a company’s business model, where material to the","page_number":228,"box":{"x":69,"y":143,"width":787,"height":11}},{"id":"e2dc8ab8-d4c3-4170-ac9c-d5cbed9f69f3","block_type":"box","text":"company’s ability to deliver long-term financial returns.","page_number":228,"box":{"x":69,"y":158,"width":388,"height":11}},{"id":"ddd4c3a3-2c26-4dc3-be71-5eed6a50329c","block_type":"box","text":"Please see Appendix 2, which sets out the key differences between the BIS Benchmark Policies and these","page_number":228,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"48cb1abe-b976-47f6-8c05-cc9442252b81","block_type":"box","text":"Guidelines on items related to climate risk and the transition to a low-carbon economy.","page_number":228,"box":{"x":69,"y":196,"width":617,"height":11}},{"id":"e4b82d81-f407-4bec-89a3-bf299ad00add","block_type":"box","text":"UNDERSTANDING THE INVESTMENT IMPLICATIONS OF THE TRANSITION TO A LOW-CARBON ECONOMY","page_number":228,"box":{"x":111,"y":226,"width":757,"height":9}},{"id":"33abb795-da55-482a-b3fe-2e43e283faac","block_type":"box","text":"Research from the BlackRock Investment Institute (BII) highlights that changing government policy, technology,","page_number":228,"box":{"x":102,"y":249,"width":785,"height":11}},{"id":"a28546e0-d3b8-4571-8cb0-1076206f55f9","block_type":"box","text":"and consumer and investor preferences are driving the transition to a low-carbon economy, but sectors and markets","page_number":228,"box":{"x":69,"y":264,"width":825,"height":11}},{"id":"bf8634da-f8a9-4d6e-b50f-194dc1348795","block_type":"box","text":"can decarbonize at varying speeds given the dynamic and uncertain nature of technological feasibility, consumer","page_number":228,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"1a1433bc-613a-4f1d-8698-872142975c4c","block_type":"box","text":"demand, and government policies, among other factors.","page_number":228,"box":{"x":69,"y":294,"width":395,"height":11}},{"id":"3009c2d6-2234-4de7-8067-51dbb48e7ba3","block_type":"box","text":"9, 10","page_number":228,"box":{"x":466,"y":294,"width":21,"height":6}},{"id":"9144f5c2-a519-484a-a224-2737c6b09f0e","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":228,"box":{"x":101,"y":317,"width":808,"height":11}},{"id":"81252c8c-3baa-4c4a-90b8-a6292103c844","block_type":"box","text":"BlackRock Investment Institute Transition Scenario (BIITS), powered by Aladdin","page_number":228,"box":{"x":70,"y":332,"width":559,"height":11}},{"id":"100b12d5-38f1-4f8a-be2f-64d31c72e649","block_type":"box","text":"®","page_number":228,"box":{"x":630,"y":332,"width":6,"height":5}},{"id":"0863a9b9-f726-424b-bbd2-2ed29d7be2f7","block_type":"box","text":"technology. BIITS is a research","page_number":228,"box":{"x":641,"y":332,"width":223,"height":11}},{"id":"52832d61-3c5c-458f-b98e-b291a90fd984","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":228,"box":{"x":69,"y":347,"width":799,"height":11}},{"id":"2d908c5e-6d15-4ad0-9f9d-8dda50bf1b11","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":228,"box":{"x":69,"y":362,"width":828,"height":11}},{"id":"2207c433-6d2e-4f91-90f8-6111d4f63473","block_type":"box","text":"based its key assumptions on rigorous research, and the input of BlackRock’s portfolio managers and other experts.","page_number":228,"box":{"x":69,"y":377,"width":834,"height":12}},{"id":"9098279d-ea3d-4391-9c93-4ef3270e194a","block_type":"box","text":"These Guidelines draw from the proprietary insights generated by BIITS and Aladdin Climate","page_number":228,"box":{"x":101,"y":400,"width":655,"height":11}},{"id":"f62f51ea-ca60-42b0-a284-744e368ae1cd","block_type":"box","text":"®","page_number":228,"box":{"x":756,"y":400,"width":6,"height":5}},{"id":"6b0ae8ff-ee22-4b47-bc5b-fff724206e00","block_type":"box","text":", BlackRock’s Risk","page_number":228,"box":{"x":764,"y":400,"width":131,"height":10}},{"id":"c8558571-e087-40b5-aed8-d987d1ea1050","block_type":"box","text":"and Quantitative Analysis Group, and the broader BIS team to help inform and guide engagement and voting activities","page_number":228,"box":{"x":69,"y":415,"width":838,"height":11}},{"id":"087dbacb-d1c8-43db-b70e-bd32759e74bf","block_type":"box","text":"on behalf of clients invested in in-scope funds and SMAs.","page_number":228,"box":{"x":69,"y":430,"width":408,"height":11}},{"id":"7f07e2e5-fae7-4333-bbc3-6cf71ffe234d","block_type":"box","text":"11","page_number":228,"box":{"x":479,"y":431,"width":9,"height":4}},{"id":"e46b5465-a04b-421b-950a-e591833b8ea3","block_type":"box","text":"In doing so, the dedicated team takes into consideration","page_number":228,"box":{"x":495,"y":430,"width":401,"height":11}},{"id":"f073cf38-e40f-4f25-8501-0eeabfbdf053","block_type":"box","text":"the fact that the necessary data to assess individual companies currently has limitations, but is improving.","page_number":228,"box":{"x":68,"y":445,"width":763,"height":12}},{"id":"82020b60-0152-4e9b-ad65-991b9925b8ea","block_type":"box","text":"THE GUIDELINES’ DESIGN PRINCIPLES","page_number":228,"box":{"x":347,"y":476,"width":284,"height":8}},{"id":"319fcee7-57c8-412b-beb5-39dd30ab4de9","block_type":"box","text":"The framework of these Guidelines is designed to:","page_number":228,"box":{"x":101,"y":498,"width":357,"height":11}},{"id":"4f4a59b3-2c8b-40db-835f-b35a08bf500d","block_type":"box","text":"•","page_number":228,"box":{"x":69,"y":521,"width":6,"height":5}},{"id":"cd8f8953-9b13-464e-9477-49a57bb367c6","block_type":"box","text":"Prioritize sectors and companies that play an important role in the transition to a low-carbon economy:","page_number":228,"box":{"x":102,"y":518,"width":751,"height":11}},{"id":"70c3160a-cd8a-4ac6-9f46-d98f545d61c1","block_type":"box","text":"This","page_number":228,"box":{"x":859,"y":519,"width":28,"height":8}},{"id":"6a95f3cb-6110-4bc1-8a48-0710e1c7a9d5","block_type":"box","text":"includes companies which produce goods and services that contribute to real world decarbonization or have a","page_number":228,"box":{"x":102,"y":534,"width":782,"height":11}},{"id":"0a138309-e609-4db2-90d0-fa0bbfac1224","block_type":"box","text":"carbon intensive business model and face outsized impacts from the low-carbon transition.","page_number":228,"box":{"x":101,"y":549,"width":648,"height":11}},{"id":"9b24374b-dfb8-48e0-8091-cff5f66f08b9","block_type":"box","text":"•","page_number":228,"box":{"x":69,"y":572,"width":6,"height":4}},{"id":"0d2c5cd2-38d7-4ac8-852e-543950c96826","block_type":"box","text":"Apply a nuanced approach to our analysis that acknowledges the unevenness of the low-carbon transition","page_number":228,"box":{"x":101,"y":569,"width":772,"height":11}},{"id":"68b27988-25a4-44a4-9a44-da89e676c942","block_type":"box","text":"across sectors and markets:","page_number":228,"box":{"x":101,"y":584,"width":208,"height":9}},{"id":"013ecb9a-1a80-4124-8175-7fd13be5c7dd","block_type":"box","text":"The Guidelines take into consideration the varying speeds at which sectors and","page_number":228,"box":{"x":315,"y":584,"width":566,"height":11}},{"id":"00cfc8d6-d846-4735-943a-49d16cf6f5db","block_type":"box","text":"markets are decarbonizing based on technological feasibility, consumer demand, government policy, regulatory","page_number":228,"box":{"x":102,"y":599,"width":789,"height":11}},{"id":"91b93633-b575-4d98-a3f9-5f0de92ecebe","block_type":"box","text":"frameworks and other factors. Further, the Guidelines recognize that these factors are uncertain and dynamic.","page_number":228,"box":{"x":101,"y":614,"width":785,"height":11}},{"id":"ead20c18-26ce-455e-b1af-202fbc779291","block_type":"box","text":"•","page_number":228,"box":{"x":69,"y":637,"width":6,"height":5}},{"id":"c1f2bda5-1d17-498a-bbaf-98ff74836191","block_type":"box","text":"Take a long-term, pragmatic approach to the low-carbon transition that minimizes disruption to portfolio","page_number":228,"box":{"x":101,"y":634,"width":759,"height":11}},{"id":"6f39dca3-7359-4b22-b781-35496c037acf","block_type":"box","text":"companies and their key stakeholders:","page_number":228,"box":{"x":101,"y":649,"width":282,"height":11}},{"id":"512f720b-8ff2-4b70-b6c4-c2dd685c2937","block_type":"box","text":"The Guidelines recognize the challenges that many companies face in","page_number":228,"box":{"x":389,"y":649,"width":496,"height":12}},{"id":"3539e9b5-845f-46b7-b163-af2451314712","block_type":"box","text":"adapting their business models to the low-carbon transition. It reflects a view that a smooth transition — where","page_number":228,"box":{"x":102,"y":664,"width":794,"height":12}},{"id":"1012190d-d630-4aad-8896-c0df33d24981","block_type":"box","text":"companies adapt while continuing to deliver financial returns — is a better long-term investment outcome and","page_number":228,"box":{"x":101,"y":680,"width":783,"height":11}},{"id":"32b8ae08-ecec-4ada-a599-c7774485a101","block_type":"box","text":"7","page_number":228,"box":{"x":69,"y":709,"width":4,"height":5}},{"id":"de8df572-e185-4479-ad7d-3cee669c8119","block_type":"box","text":"These companies may already be low-carbon operators or be demonstrating momentum in reducing emissions in","page_number":228,"box":{"x":78,"y":709,"width":803,"height":11}},{"id":"c83814a8-f9a6-4275-b3bd-fdfb077e961c","block_type":"box","text":"their operations, providing key inputs or goods and services that support real world decarbonization, or pivoting their","page_number":228,"box":{"x":68,"y":724,"width":832,"height":11}},{"id":"4396ef4a-414c-46d5-b11d-2c1e72a7cb05","block_type":"box","text":"current business model to contribute to the transition to a low-carbon economy.","page_number":228,"box":{"x":69,"y":739,"width":565,"height":11}},{"id":"c63e345e-b4d9-4f26-a297-2bb997f7138e","block_type":"box","text":"8","page_number":228,"box":{"x":69,"y":757,"width":4,"height":5}},{"id":"6282e391-f010-4894-8319-fe950245ab2c","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":228,"box":{"x":78,"y":757,"width":789,"height":11}},{"id":"0bfbf9e6-feb4-46e3-b717-51d36b5a05bd","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":228,"box":{"x":70,"y":772,"width":829,"height":11}},{"id":"25a1d12a-013e-425a-b958-500837dbd7b0","block_type":"box","text":"based approach, and are focused solely on advancing clients’ financial interests.","page_number":228,"box":{"x":69,"y":787,"width":576,"height":11}},{"id":"c80b877b-3c08-4431-b0da-fe089c705791","block_type":"box","text":"9","page_number":228,"box":{"x":69,"y":805,"width":4,"height":4}},{"id":"e03463f3-4d0f-4e1e-9f1e-94eb82316122","block_type":"box","text":"BII’s latest research shows that while decarbonization continues, its pace is increasingly uneven across sectors and","page_number":228,"box":{"x":79,"y":805,"width":828,"height":11}},{"id":"18b8aedd-cd79-4939-abc2-b4c65e9cac12","block_type":"box","text":"regions, and overall slower than previously expected.","page_number":228,"box":{"x":69,"y":820,"width":375,"height":11}},{"id":"42151733-d051-4cab-b6a5-a76a5c963004","block_type":"box","text":"10","page_number":228,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"65388ad3-79ac-4be8-9854-c72427eed7d9","block_type":"box","text":"BlackRock, “Evolving energy transition, evolving opportunities,” February 2025.","page_number":228,"box":{"x":84,"y":837,"width":565,"height":12}},{"id":"b60c2ae3-9246-4d6d-943e-b0cfa8f34cb8","block_type":"box","text":"11","page_number":228,"box":{"x":69,"y":855,"width":9,"height":5}},{"id":"29ef0fbb-05f9-446b-a9dd-33e931faeba3","block_type":"box","text":"Aladdin","page_number":228,"box":{"x":83,"y":855,"width":51,"height":9}},{"id":"72aeac85-16ba-4d5e-9013-f1b1cb1427ca","block_type":"box","text":"®","page_number":228,"box":{"x":135,"y":855,"width":6,"height":5}},{"id":"864f0266-3e6d-442e-b176-50262b0ea86c","block_type":"box","text":"Climate is a suite of climate analytics including forward-looking scenario analysis and net zero alignment","page_number":228,"box":{"x":147,"y":855,"width":745,"height":11}},{"id":"c2f1d101-325e-483b-ad2c-b9dd125d353b","block_type":"box","text":"analytics. Aladdin","page_number":228,"box":{"x":69,"y":870,"width":123,"height":11}},{"id":"d1b35dab-51a2-43d3-9049-cd6f7d01ca95","block_type":"box","text":"®","page_number":228,"box":{"x":193,"y":870,"width":6,"height":5}},{"id":"54c58869-88c4-4907-afb7-e2f11f4110ec","block_type":"box","text":"is a proprietary investment and risk management platform.","page_number":228,"box":{"x":205,"y":870,"width":418,"height":11}},{"id":"7ca7dc88-c8f5-470a-8ba7-7162a6806267","block_type":"box","text":"BlackRock Investment Stewardship","page_number":228,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"58822243-52db-4499-a77f-e2e598bb75e2","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 4","page_number":228,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"4d6a05bd-1ac6-4fb9-a042-bb7e4bef9334","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":228,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ce74daef-3b76-4444-8d4e-0aa06c85028b","block_type":"box","text":"less disruptive to other key stakeholders than a disorderly transition. Further, the Guidelines consider the","page_number":229,"box":{"x":102,"y":45,"width":751,"height":11}},{"id":"f7db3dfa-014e-4b7d-aa46-494835831520","block_type":"box","text":"differences between the actions and outcomes over which company management has influence, and those it","page_number":229,"box":{"x":101,"y":60,"width":778,"height":11}},{"id":"e6c9d49d-90de-4300-9426-0aaf617e2be0","block_type":"box","text":"does not.","page_number":229,"box":{"x":101,"y":75,"width":66,"height":9}},{"id":"463c2f82-f801-4607-8882-a9c8fc55079d","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":98,"width":6,"height":4}},{"id":"9f120851-3dae-43ba-9ad4-223eba9050de","block_type":"box","text":"Focus on useful, contextualized disclosures that help inform investors views, while recognizing data","page_number":229,"box":{"x":102,"y":95,"width":729,"height":11}},{"id":"052bd630-0c29-4a0f-a218-c8bd7dfabee5","block_type":"box","text":"limitations:","page_number":229,"box":{"x":102,"y":110,"width":80,"height":9}},{"id":"64d4eaba-bfbb-48f3-a962-7e6eaf62954b","block_type":"box","text":"Under the Guidelines, the dedicated team looks for disclosures that outline key milestones and","page_number":229,"box":{"x":189,"y":110,"width":679,"height":11}},{"id":"94af040b-f2bc-4510-9217-fbb70fcfcc0a","block_type":"box","text":"dependencies underpinning the company’s low-carbon transition strategy, explain the trade-offs required to adapt","page_number":229,"box":{"x":101,"y":125,"width":807,"height":12}},{"id":"ffb8ea34-07d4-4e11-bfce-2f9aea50efda","block_type":"box","text":"the business model, and include relevant data and narrative.","page_number":229,"box":{"x":101,"y":141,"width":433,"height":10}},{"id":"cca00cb6-3958-4473-b076-98e800cdd5f0","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"adcdb66e-832b-44d3-b87a-52541021fa14","block_type":"box","text":"Consistency with the participating clients’ position as a minority investor:","page_number":229,"box":{"x":101,"y":161,"width":541,"height":11}},{"id":"841f3712-7073-4b6a-8196-9dad01b71347","block_type":"box","text":"The boards and executive leadership","page_number":229,"box":{"x":648,"y":161,"width":261,"height":11}},{"id":"7ef6abd8-23ac-41a1-bcbc-6b8d6269e33b","block_type":"box","text":"of companies determine a company’s strategy and its implementation. Under the Guidelines, the dedicated team","page_number":229,"box":{"x":102,"y":176,"width":805,"height":11}},{"id":"79e91f42-c587-4ce3-b8f1-868348dee0f3","block_type":"box","text":"makes decisions on how to engage companies and vote proxies independently, based on its professional","page_number":229,"box":{"x":102,"y":191,"width":748,"height":11}},{"id":"ce0ad0d3-fdfc-4e9e-af41-2fb47cc52972","block_type":"box","text":"judgment of the priorities and outcomes most aligned with participating clients’ investment objectives.","page_number":229,"box":{"x":100,"y":206,"width":730,"height":11}},{"id":"a2c4d49d-f403-4c50-aa37-fe6c00665bb9","block_type":"box","text":"Voting approach under the Guidelines","page_number":229,"box":{"x":68,"y":236,"width":273,"height":11}},{"id":"5393cd99-f339-4723-95ab-7588605c749e","block_type":"box","text":"12","page_number":229,"box":{"x":342,"y":237,"width":9,"height":4}},{"id":"4c306fb9-7ff0-4882-8a99-81d9ec116858","block_type":"box","text":"When evaluating each voting item across management or shareholder proposals, the dedicated team applies a","page_number":229,"box":{"x":101,"y":259,"width":791,"height":11}},{"id":"d5af19ef-20a3-42af-9d05-ff008f74fb6a","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":229,"box":{"x":69,"y":274,"width":813,"height":11}},{"id":"48c664d5-5853-4210-958f-6bd1d383a90a","block_type":"box","text":"acknowledges the distinction between what company management can influence and what lies beyond its control. As","page_number":229,"box":{"x":69,"y":289,"width":833,"height":11}},{"id":"6ccccd17-5a35-4072-89ae-e8fa61d0441f","block_type":"box","text":"a result, voting decisions — on behalf of in-scope funds and SMAs — on similar proposals included on different","page_number":229,"box":{"x":69,"y":304,"width":799,"height":11}},{"id":"11cf3a0b-6059-4b71-8587-14dcaedbd6fc","block_type":"box","text":"companies’ shareholder meeting agendas may vary depending on company, sector, or market-specific circumstances.","page_number":229,"box":{"x":69,"y":319,"width":837,"height":12}},{"id":"bdec2000-f3d4-4bc2-b6d5-31b973ab9772","block_type":"box","text":"Consistent with the investment objective of each fund or account that has selected these Guidelines, the","page_number":229,"box":{"x":102,"y":342,"width":748,"height":11}},{"id":"15dc6586-260a-4842-83c0-107b36ca3d75","block_type":"box","text":"dedicated team will look to the companies to demonstrate the following:","page_number":229,"box":{"x":69,"y":357,"width":513,"height":11}},{"id":"0b5a5e57-ee9c-4c6e-abf1-861c7351fec6","block_type":"box","text":"Corporate Disclosures","page_number":229,"box":{"x":69,"y":387,"width":160,"height":11}},{"id":"1d8cbabb-58be-4e59-b06c-e01f3a96162f","block_type":"box","text":"13","page_number":229,"box":{"x":230,"y":388,"width":9,"height":4}},{"id":"d842bfb1-8a44-4516-a27d-b6249a7ef629","block_type":"box","text":"In the context of these Guidelines, the dedicated team looks for companies to provide sufficient disclosure to","page_number":229,"box":{"x":102,"y":410,"width":781,"height":11}},{"id":"95470156-389a-45a9-a0d9-addc3b69c828","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":229,"box":{"x":69,"y":425,"width":825,"height":11}},{"id":"0b2fa924-036b-41aa-a5a0-42a7af2fe931","block_type":"box","text":"to companies that are important to the transition to a low-carbon economy to explain the strategy and governance","page_number":229,"box":{"x":68,"y":440,"width":812,"height":12}},{"id":"61b58a38-345b-4266-9f4c-09c89ef4cabc","block_type":"box","text":"frameworks that they have determined most appropriate, which may include:","page_number":229,"box":{"x":68,"y":455,"width":545,"height":11}},{"id":"b4b6c373-2313-4868-8123-7fd6cb2f81f7","block_type":"box","text":"(1) a low-carbon transition strategy to demonstrate their alignment with the ambition to limit average global","page_number":229,"box":{"x":69,"y":476,"width":769,"height":11}},{"id":"5a8f7f4a-ea05-4c9b-b00d-0b7b790791fa","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":229,"box":{"x":101,"y":491,"width":800,"height":11}},{"id":"7d52f1ff-9512-4f46-bbc4-61d17de2cb72","block_type":"box","text":"net-zero GHG emissions by 2050, with appropriate near- and medium-term milestones to assess their progress.","page_number":229,"box":{"x":102,"y":506,"width":796,"height":11}},{"id":"7dbaa4ad-5ced-470a-9c1e-f1647ff07d6c","block_type":"box","text":"(2) low-carbon transition-related reporting. Standardized disclosure of sustainability-related data supports investors","page_number":229,"box":{"x":69,"y":526,"width":828,"height":11}},{"id":"051d8301-3b26-44f9-8ea8-60b0735c21a4","block_type":"box","text":"in making informed decisions. The International Sustainability Standards Board (ISSB) standards, IFRS S1 and","page_number":229,"box":{"x":102,"y":541,"width":787,"height":11}},{"id":"a00e288f-0af7-4174-bf60-0f354d9dbee5","block_type":"box","text":"S2, represent one such approach to standardization that the dedicated team finds useful in its analysis.","page_number":229,"box":{"x":102,"y":556,"width":741,"height":11}},{"id":"0cecac10-1a06-49af-baef-60aec7061a54","block_type":"box","text":"14, 15","page_number":229,"box":{"x":845,"y":557,"width":25,"height":5}},{"id":"dc148859-18b4-44e6-bb03-94cd282e917d","block_type":"box","text":"IFRS","page_number":229,"box":{"x":877,"y":556,"width":30,"height":9}},{"id":"eb4a8fff-8f4d-4303-9d93-a59212c5c0e3","block_type":"box","text":"S1 addresses the general requirements of sustainability reporting and IFRS S2 sets out the disclosures that","page_number":229,"box":{"x":102,"y":571,"width":774,"height":12}},{"id":"d7968c6a-cba7-43cb-bad7-c5679f20be2b","block_type":"box","text":"provide investors with decision-useful information about a company’s most significant climate- and low-carbon","page_number":229,"box":{"x":102,"y":586,"width":781,"height":12}},{"id":"b7f96312-3f9b-40ca-a994-ea8983840399","block_type":"box","text":"transition-related risks and opportunities. This includes receiving independent, third-party assurances, as audit","page_number":229,"box":{"x":101,"y":602,"width":792,"height":11}},{"id":"1ef2dcfd-a6a4-4509-a0f6-f8d12a1db6e7","block_type":"box","text":"and assurance standards are developed.","page_number":229,"box":{"x":102,"y":617,"width":290,"height":11}},{"id":"6b5e0855-e5ce-4f9a-9549-a7fa55c9e247","block_type":"box","text":"12","page_number":229,"box":{"x":69,"y":646,"width":9,"height":5}},{"id":"ac48c017-7cf4-4d54-9595-0aa176fdc745","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":229,"box":{"x":83,"y":646,"width":825,"height":11}},{"id":"fef96151-0869-4b15-8b3c-7487b8a283e7","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":229,"box":{"x":69,"y":661,"width":833,"height":11}},{"id":"2367a0b0-e698-47f1-9628-36539fb91e98","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":229,"box":{"x":68,"y":676,"width":830,"height":11}},{"id":"43fe329b-7f59-438e-bd20-f6b24f12fb02","block_type":"box","text":"company, as well as individual ballot items at shareholder meetings.","page_number":229,"box":{"x":69,"y":691,"width":486,"height":11}},{"id":"a78fd18c-4c9e-4373-bb9c-eae16de249cb","block_type":"box","text":"13","page_number":229,"box":{"x":69,"y":709,"width":9,"height":5}},{"id":"c30eb626-76e6-416a-882e-d320b1b5eef1","block_type":"box","text":"Given data and measurement limitations, companies may need to provide estimated GHG emissions where","page_number":229,"box":{"x":84,"y":709,"width":764,"height":11}},{"id":"a22151f3-d0e7-4ec4-adc4-3e6aefd313c7","block_type":"box","text":"reporting methodologies are nascent. In addition, certain disclosures related to a company’s plans for adapting their","page_number":229,"box":{"x":69,"y":724,"width":834,"height":11}},{"id":"84798f6a-43cb-4033-9ab5-9cdc1c921a3c","block_type":"box","text":"business models through the low-carbon transition may require forward-looking statements.","page_number":229,"box":{"x":69,"y":739,"width":651,"height":11}},{"id":"0e7c6fe0-f2fd-4fb5-a492-221d606548ec","block_type":"box","text":"14","page_number":229,"box":{"x":69,"y":757,"width":9,"height":4}},{"id":"cc47628c-0c49-48c1-91a3-d0cd6841aa6a","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":229,"box":{"x":83,"y":757,"width":744,"height":11}},{"id":"5ee64296-58ba-403a-86c4-4f4ded7ffdbf","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":229,"box":{"x":69,"y":772,"width":828,"height":11}},{"id":"14dd6067-69c6-4ada-8df6-7c57b830bf55","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":229,"box":{"x":69,"y":787,"width":830,"height":11}},{"id":"db50f371-e67d-4950-8708-a7e0a1a4f049","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":229,"box":{"x":69,"y":802,"width":809,"height":11}},{"id":"04f2dac8-0a55-4c77-838a-664f2725b37b","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":229,"box":{"x":70,"y":817,"width":778,"height":11}},{"id":"21d3f508-33ab-4464-b1c8-d38e1fe56e45","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":229,"box":{"x":70,"y":832,"width":380,"height":9}},{"id":"b00072b9-5e09-418e-8f58-10f304cf9964","block_type":"box","text":"15","page_number":229,"box":{"x":69,"y":850,"width":9,"height":5}},{"id":"872e5ea2-2f5e-4df1-b2d9-e3f60bfec432","block_type":"box","text":"A number of jurisdictions are consulting on adopting the standards issued to date or have already committed to","page_number":229,"box":{"x":83,"y":850,"width":795,"height":11}},{"id":"5029933b-98e6-4498-9a26-c716e451e1cd","block_type":"box","text":"doing so. BIS does not mandate any specific disclosure framework companies should use, and recognize that some","page_number":229,"box":{"x":69,"y":865,"width":826,"height":11}},{"id":"02c2c8f1-8ecf-4454-9fbd-ebde930d548f","block_type":"box","text":"companies may report using different standards, some of which may be required by regulation. In such cases, we","page_number":229,"box":{"x":69,"y":880,"width":811,"height":11}},{"id":"f3f576b9-0a9e-412b-bb36-13e297536298","block_type":"box","text":"ask that companies highlight the metrics that are industry- or company-specific. We also recognize that companies","page_number":229,"box":{"x":69,"y":895,"width":816,"height":12}},{"id":"52b332da-dc40-4cb1-bba5-64e05509cd1d","block_type":"box","text":"may be phasing in reporting over several years. We do not prescribe timelines regarding when companies should","page_number":229,"box":{"x":69,"y":911,"width":803,"height":11}},{"id":"a78de68f-404f-4f54-87ab-99b2dce5538e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":229,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"594838c2-edb2-430b-8ec2-457b0d9ff82d","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 5","page_number":229,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"ef0521b5-f69d-48d1-9874-bc7e9f41a146","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":229,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e48a51a5-03d5-42f2-a3f1-aff6e8862998","block_type":"box","text":"(3) scope 1 and scope 2, and most significant scope 3 GHG emissions","page_number":230,"box":{"x":69,"y":45,"width":513,"height":11}},{"id":"a3a7db00-9d26-4e00-96f1-1970dd98068d","block_type":"box","text":"16, 17","page_number":230,"box":{"x":583,"y":45,"width":26,"height":5}},{"id":"ed3ccd79-aa59-45fa-b50c-0237a233fbce","block_type":"box","text":"In addition, the dedicated team looks to","page_number":230,"box":{"x":615,"y":45,"width":283,"height":10}},{"id":"813026a3-3129-489b-b468-9b184776866f","block_type":"box","text":"companies to disclose their emissions reduction targets for scope 1 and 2 emissions, science-based where","page_number":230,"box":{"x":101,"y":60,"width":770,"height":11}},{"id":"e34518f2-4cb3-4cc1-a4c1-57f3135afcd6","block_type":"box","text":"possible. The team welcomes disclosure of targets or indicative goals, where companies have set them, for","page_number":230,"box":{"x":102,"y":75,"width":768,"height":11}},{"id":"f4f30a80-039a-4493-8019-bd4f43a9ec7f","block_type":"box","text":"scope 3 emissions reductions. Scope 3 information, including how a company is working with its value chain to","page_number":230,"box":{"x":102,"y":90,"width":792,"height":11}},{"id":"34ffdca3-bc2f-4b27-a9d6-b685f518d164","block_type":"box","text":"accelerate reductions in GHG intensity, provides useful insight to investors focused on investing in the low","page_number":230,"box":{"x":102,"y":105,"width":760,"height":11}},{"id":"e2ff8b6b-696d-4bb4-9ed8-8537f3c48e99","block_type":"box","text":"carbon transition and understanding the impact of their investments on their decarbonization goals.","page_number":230,"box":{"x":101,"y":120,"width":709,"height":12}},{"id":"ad15950c-53fd-414b-a50d-06090cc3b188","block_type":"box","text":"18","page_number":230,"box":{"x":812,"y":121,"width":9,"height":4}},{"id":"f8281e08-6dd2-4f23-bfd9-0c85ca8857ea","block_type":"box","text":"However,","page_number":230,"box":{"x":827,"y":120,"width":62,"height":11}},{"id":"74bf96b3-133a-464f-b3ee-84649ace7bca","block_type":"box","text":"the team recognizes that companies have varying ability to influence the emissions across the different parts of","page_number":230,"box":{"x":101,"y":135,"width":802,"height":12}},{"id":"c7dc0d1f-a8d6-4b12-ab85-eaf8c2a07d4e","block_type":"box","text":"their value chain and, therefore, it is helpful when disclosures explain the implications for the achievement of","page_number":230,"box":{"x":101,"y":150,"width":780,"height":11}},{"id":"f4080743-60d2-40d0-bc7a-262728e195e4","block_type":"box","text":"their decarbonization targets. For some companies that play an important role in the low-carbon transition, scope","page_number":230,"box":{"x":101,"y":166,"width":807,"height":11}},{"id":"530180cb-55b0-4b28-9304-246a7fa227e7","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":230,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"004f0a49-d0d1-4de6-acbe-87ba097b3a63","block_type":"box","text":"companies should be required to enforce emissions reduction targets outside of their control, where relevant, we","page_number":230,"box":{"x":101,"y":196,"width":808,"height":11}},{"id":"51f2ed42-2082-4dd5-8289-afbfc2ce9d50","block_type":"box","text":"look for disclosures on how the company approaches the low-carbon transition in these cases. This may include","page_number":230,"box":{"x":102,"y":211,"width":797,"height":11}},{"id":"3735ab98-4e91-4436-b506-286f6476c8dc","block_type":"box","text":"plans and targets to grow businesses that contribute to real world decarbonization, forward-looking capital or","page_number":230,"box":{"x":102,"y":226,"width":777,"height":11}},{"id":"caae415e-bc65-437d-baf1-465c1c4bccb3","block_type":"box","text":"procurement allocation plans to net-zero aligned activities or suppliers, and strategies to mitigate material","page_number":230,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"45c4f3c9-2a59-4bbe-940e-a7aaa214c3c9","block_type":"box","text":"transition risks.","page_number":230,"box":{"x":101,"y":257,"width":110,"height":8}},{"id":"787ceb25-596a-4289-99e0-9c0d7ca57f33","block_type":"box","text":"(4) where relevant, disclosures that describe the company’s exposure to climate-related physical risks—such as","page_number":230,"box":{"x":69,"y":277,"width":808,"height":11}},{"id":"17463d48-0e77-4e89-b908-c4760e3a5d2d","block_type":"box","text":"acute risks from extreme weather events or chronic risks from long-term shifts in climate patterns—and how","page_number":230,"box":{"x":102,"y":292,"width":773,"height":11}},{"id":"d62c72e5-51fe-41f2-a8bb-4e304770b892","block_type":"box","text":"these risks could reasonably be expected to affect the company’s operations, assets, or supply chains.","page_number":230,"box":{"x":101,"y":307,"width":739,"height":11}},{"id":"b757f9e5-9378-45ab-ae96-f91b95869d74","block_type":"box","text":"Transition plans","page_number":230,"box":{"x":68,"y":337,"width":115,"height":11}},{"id":"30a1e3f8-60f2-4bf5-9a25-b71c85b1b8eb","block_type":"box","text":"Some companies have published transition plans outlining how they intend to implement their low-carbon","page_number":230,"box":{"x":102,"y":360,"width":748,"height":11}},{"id":"0975b6d2-4122-4e4a-8b66-de95e8cd8313","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":230,"box":{"x":68,"y":375,"width":831,"height":11}},{"id":"13c89df2-34dd-432c-a24b-13c57f85484e","block_type":"box","text":"its transition towards a lower-carbon economy, including actions such as reducing its greenhouse gas emissions”","page_number":230,"box":{"x":70,"y":390,"width":805,"height":11}},{"id":"c3dc1ed3-4cc4-4a23-a2c7-5c2bf12bcf91","block_type":"box","text":"(see Appendix 1).","page_number":230,"box":{"x":69,"y":405,"width":122,"height":11}},{"id":"79d14b45-24ff-4a11-8e85-0cb23061e7ef","block_type":"box","text":"19","page_number":230,"box":{"x":193,"y":405,"width":9,"height":5}},{"id":"e6569017-2003-49bf-8f20-71ed79fc1332","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":230,"box":{"x":101,"y":428,"width":800,"height":11}},{"id":"987fc9ff-da12-4118-ad79-cce91efb0d10","block_type":"box","text":"transition plans.","page_number":230,"box":{"x":68,"y":443,"width":115,"height":11}},{"id":"6b156998-5b35-44dc-9031-f68fe77865f6","block_type":"box","text":"20","page_number":230,"box":{"x":184,"y":443,"width":9,"height":5}},{"id":"81926e8f-ae93-40f9-a1bc-a93b2c9a36d8","block_type":"box","text":"Recent guidance from the ISSB on disclosures about transition plans highlights the convergence of","page_number":230,"box":{"x":200,"y":443,"width":706,"height":11}},{"id":"ffd723b3-ff49-4f77-be4c-2194c13bfc1d","block_type":"box","text":"reporting approaches.","page_number":230,"box":{"x":69,"y":458,"width":156,"height":11}},{"id":"7abbe643-ec9c-4038-94c2-d31af4541691","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":230,"box":{"x":101,"y":481,"width":762,"height":11}},{"id":"2f64594b-3a99-445c-bcc2-fbb8620763d8","block_type":"box","text":"typically provide valuable insights that inform the dedicated team’s approach to engaging and voting on matters","page_number":230,"box":{"x":68,"y":496,"width":796,"height":11}},{"id":"1fd73ff2-bc69-4c19-a19d-cf9ff761297e","block_type":"box","text":"related to climate and transition risks on behalf of in-scope funds and accounts.","page_number":230,"box":{"x":69,"y":511,"width":570,"height":11}},{"id":"efbf26d3-116d-4e2b-a65e-f98e0ccf949f","block_type":"box","text":"make sustainability-related disclosures but appreciate it when companies produce them sufficiently in advance of","page_number":230,"box":{"x":69,"y":537,"width":810,"height":12}},{"id":"984de7a6-404e-4273-a132-8a92117e56b8","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":230,"box":{"x":68,"y":553,"width":822,"height":11}},{"id":"201bd59a-ffc3-40c2-a2ba-53cf8b8a796b","block_type":"box","text":"informed voting decisions.","page_number":230,"box":{"x":70,"y":568,"width":184,"height":11}},{"id":"881d65c3-acaa-4ebd-80ed-f4654fe5d3d9","block_type":"box","text":"16","page_number":230,"box":{"x":69,"y":586,"width":9,"height":4}},{"id":"f8498eaa-7204-446c-9904-e584e2d46174","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":585,"width":825,"height":12}},{"id":"2ed2c16f-ec61-4b30-a987-ad024325536b","block_type":"box","text":"paper: FTSE Russel, “Scope for improvement: Solving the Scope 3 conundrum,” January 2024, accessed in","page_number":230,"box":{"x":70,"y":600,"width":768,"height":12}},{"id":"2d5cd933-a057-4449-bf33-197f2fd367c7","block_type":"box","text":"December 2025.","page_number":230,"box":{"x":70,"y":616,"width":118,"height":9}},{"id":"6d14af0f-ebd2-4368-be50-f1f27869f2c4","block_type":"box","text":"17","page_number":230,"box":{"x":69,"y":634,"width":8,"height":4}},{"id":"e97f25e1-33aa-4448-be45-c119dc14d14a","block_type":"box","text":"Under this policy, the dedicated team looks for GHG emissions disclosures to be aligned with the Greenhouse Gas","page_number":230,"box":{"x":84,"y":633,"width":815,"height":12}},{"id":"dd025c27-106c-4749-b8a8-368ed1287617","block_type":"box","text":"Protocol (GHG Protocol). The Protocol Standards and Guidance are currently being updated to ensure they continue to","page_number":230,"box":{"x":69,"y":648,"width":838,"height":12}},{"id":"0d9d8e23-8b5a-403c-b3ac-1d56d1605a4f","block_type":"box","text":"provide “a rigorous and credible accounting foundation for businesses to measure, plan and track progress toward","page_number":230,"box":{"x":70,"y":663,"width":816,"height":12}},{"id":"3e45033a-b0c4-439a-8c8f-a5cb32b93344","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":230,"box":{"x":69,"y":679,"width":784,"height":11}},{"id":"541ffb45-840c-464a-b81f-bb2ea22fef42","block_type":"box","text":"18","page_number":230,"box":{"x":69,"y":697,"width":9,"height":4}},{"id":"bf16a04c-7e16-4d4a-8c14-b1695a3abbe7","block_type":"box","text":"The dedicated team does not believe the purpose of scope 3 disclosure requirements should be to push publicly","page_number":230,"box":{"x":83,"y":696,"width":804,"height":11}},{"id":"77cf047b-be6c-4e1c-b53f-d56eb9020a13","block_type":"box","text":"traded companies into the role of enforcing emission reduction targets outside of their control. Given methodological","page_number":230,"box":{"x":68,"y":711,"width":832,"height":12}},{"id":"bc43053a-6364-438b-bc6d-16b81bdbb57d","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":230,"box":{"x":69,"y":726,"width":832,"height":12}},{"id":"3a2ad59e-5402-480a-ae67-aa09ed050194","block_type":"box","text":"useful when companies focus their disclosures on those of the fifteen scope 3 GHG Protocol categories that are","page_number":230,"box":{"x":69,"y":742,"width":800,"height":11}},{"id":"e3c3913b-38a2-4960-a4ad-5ffcaee9b296","block_type":"box","text":"material to their business models.","page_number":230,"box":{"x":69,"y":757,"width":243,"height":9}},{"id":"1024107a-b6fd-4926-ba8e-dc8976c8ca86","block_type":"box","text":"19","page_number":230,"box":{"x":69,"y":775,"width":9,"height":4}},{"id":"5b4b88fe-9369-4627-889b-b036caad93c6","block_type":"box","text":"International Financial Reporting Standards, “IFRS S2: Climate-related Disclosures,” June 2023, accessed in","page_number":230,"box":{"x":84,"y":774,"width":777,"height":12}},{"id":"f2b7e975-bf72-42f2-b991-b59de7051a88","block_type":"box","text":"December 2025.","page_number":230,"box":{"x":70,"y":790,"width":118,"height":8}},{"id":"36913379-6ad9-41f5-8cfa-f97a4709a44c","block_type":"box","text":"20","page_number":230,"box":{"x":69,"y":807,"width":9,"height":5}},{"id":"c0644cc7-c136-401b-a1d5-15d66f3cff49","block_type":"box","text":"More companies are developing such plans, and public policymakers in certain markets are signaling their","page_number":230,"box":{"x":84,"y":807,"width":758,"height":11}},{"id":"dff95d39-1c13-4550-b48d-6c18d80566c2","block_type":"box","text":"intentions to require them or already have requirements in place, such as Australia, Brazil, and the European Union","page_number":230,"box":{"x":70,"y":822,"width":820,"height":11}},{"id":"6d5d7c74-b082-4350-b285-464b33f995b6","block_type":"box","text":"(please see the International Transition Plan Network for information). BlackRock views transition plans as a method","page_number":230,"box":{"x":69,"y":837,"width":829,"height":11}},{"id":"8b4145e1-1642-4cf8-8dc2-0408f3d84e3a","block_type":"box","text":"for a company to both internally assess and externally communicate its long-term strategy, ambition, objectives, and","page_number":230,"box":{"x":68,"y":852,"width":829,"height":12}},{"id":"5a2c6b06-c4b6-4816-ad01-50e5eb370bc3","block_type":"box","text":"actions to create financial value through the global transition towards a low-carbon economy. Across the landscape","page_number":230,"box":{"x":69,"y":868,"width":818,"height":11}},{"id":"925b5a3e-5050-4de1-96e5-03f6c17f704c","block_type":"box","text":"there remains divergence on the objectives of such plans and the details they should contain. Website accessed in","page_number":230,"box":{"x":68,"y":883,"width":821,"height":11}},{"id":"e2e59dc2-8e04-4ba1-be45-5cbffaf45cb4","block_type":"box","text":"December 2025.","page_number":230,"box":{"x":70,"y":898,"width":118,"height":9}},{"id":"905ab3dd-807f-4b25-9cdc-66489c3ce6f2","block_type":"box","text":"BlackRock Investment Stewardship","page_number":230,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"b07cd442-d2f8-4798-a9e2-c319e20ddb88","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 6","page_number":230,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"668c7b3a-82d3-4c12-bedf-eb18e9bd7031","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":230,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"19d66388-cb9a-4563-b18c-3da119d08945","block_type":"box","text":"Boards and directors","page_number":231,"box":{"x":69,"y":45,"width":151,"height":9}},{"id":"8c4f46db-1688-477c-bff4-caeeb6d3133e","block_type":"box","text":"An effective and well-functioning board that has appropriate governance structures to facilitate oversight of a","page_number":231,"box":{"x":101,"y":67,"width":775,"height":12}},{"id":"369aed88-7170-4351-9a7e-7f5deb6af198","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":231,"box":{"x":69,"y":83,"width":782,"height":11}},{"id":"81dfb03d-42ff-4ca3-a155-62b63d1b43f1","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":231,"box":{"x":68,"y":98,"width":825,"height":11}},{"id":"43d83184-75f6-471e-a0b6-41eb6195e8a6","block_type":"box","text":"understand whether:","page_number":231,"box":{"x":69,"y":113,"width":145,"height":9}},{"id":"663089df-f196-49f3-9b6a-419d44ed6b8a","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":136,"width":6,"height":4}},{"id":"e181c964-b6d1-4ef8-b5fe-b9455b1e9516","block_type":"box","text":"The board has clear oversight responsibilities for climate and low-carbon transition-related risks and","page_number":231,"box":{"x":101,"y":133,"width":711,"height":11}},{"id":"0121c909-b2cd-4c1b-a9b5-f5177a3804e6","block_type":"box","text":"opportunities in the company’s business model. The Guidelines consider the whole board to have responsibility","page_number":231,"box":{"x":102,"y":148,"width":796,"height":11}},{"id":"d4a4854f-58c2-4ec7-9b36-9b79080123cb","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":231,"box":{"x":101,"y":163,"width":765,"height":11}},{"id":"f1162f4d-f0b3-4e01-a788-d41248698ea8","block_type":"box","text":"carbon economy.","page_number":231,"box":{"x":101,"y":178,"width":119,"height":11}},{"id":"2b821e1d-3acf-4c71-a0f7-3cd1b38b34ab","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":201,"width":6,"height":5}},{"id":"6e493c4a-dfe4-4ee1-85be-46a757077b90","block_type":"box","text":"Management has established a robust low-carbon transition framework and long-term strategy, with clear","page_number":231,"box":{"x":102,"y":198,"width":747,"height":12}},{"id":"7977b55f-989a-4956-bd9d-ca149b5d69b5","block_type":"box","text":"accountability for delivery by senior executives.","page_number":231,"box":{"x":102,"y":213,"width":333,"height":12}},{"id":"71bd9b65-3955-4bd0-80aa-beecb5c7cf39","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":237,"width":6,"height":4}},{"id":"d45ce4ae-e788-448e-9fd7-8dd4c88f59ba","block_type":"box","text":"The capital management strategy explains how the company allocates investments to (traditional and next","page_number":231,"box":{"x":101,"y":234,"width":758,"height":11}},{"id":"7fcf45a9-cd83-49e7-9b8f-6f6fea82f444","block_type":"box","text":"generation) business lines and innovation, and returns cash to shareholders, consistent with the company’s","page_number":231,"box":{"x":101,"y":249,"width":772,"height":11}},{"id":"e22e5835-9f8c-466a-bbcf-a61aa8cfa626","block_type":"box","text":"stated low-carbon transition strategy.","page_number":231,"box":{"x":102,"y":264,"width":260,"height":11}},{"id":"bf474907-0327-4fe3-ace7-144566494c6d","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":287,"width":6,"height":4}},{"id":"adb38cc8-bd76-4ee9-9794-bc4619cbfe95","block_type":"box","text":"The climate and low-carbon transition risks most likely to significantly impact the business are integrated into the","page_number":231,"box":{"x":101,"y":284,"width":807,"height":11}},{"id":"aaee2b86-6190-4a9a-bb8a-41eeef8e9ec2","block_type":"box","text":"company’s enterprise risk management processes and reporting.","page_number":231,"box":{"x":101,"y":299,"width":465,"height":11}},{"id":"70bbdaf8-de04-4b71-8741-4977a2036c5d","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":322,"width":6,"height":5}},{"id":"2c44ad64-76df-446f-ab4a-c4bc5435d2d9","block_type":"box","text":"The company has set scope 1 and 2 GHG emissions reduction targets, science-based and independently verified","page_number":231,"box":{"x":101,"y":319,"width":804,"height":12}},{"id":"66e437fd-45a8-4950-9676-62d1d658beaf","block_type":"box","text":"where possible, against a baseline, that are consistent with the ambition to limit average global temperature rise","page_number":231,"box":{"x":101,"y":335,"width":806,"height":11}},{"id":"11fad68c-bbce-430f-98d6-99a3d27dc889","block_type":"box","text":"to no more than 1.5°C above pre-industrial levels.","page_number":231,"box":{"x":101,"y":350,"width":354,"height":10}},{"id":"29547461-af94-47c3-b71f-6ccaace73ad6","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":373,"width":6,"height":4}},{"id":"63145f7e-7908-456d-8a9b-063e5ead37c3","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":231,"box":{"x":101,"y":370,"width":788,"height":11}},{"id":"f9eb5dc3-bbd6-48b4-92cb-3267092ced5b","block_type":"box","text":"long-term low-carbon transition strategy.","page_number":231,"box":{"x":102,"y":385,"width":282,"height":11}},{"id":"0b1e812f-2213-48b8-a812-e35d9e932384","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":408,"width":6,"height":4}},{"id":"7cbddf32-884a-462c-add4-1c85a64b62eb","block_type":"box","text":"The company is monitoring its most significant scope 3 emissions and disclosing these where it is confident in","page_number":231,"box":{"x":101,"y":405,"width":790,"height":11}},{"id":"4603bd5e-e4ab-46f8-95b4-49d808358efb","block_type":"box","text":"the data. Given forthcoming regulatory requirements in certain jurisdictions, some companies are voluntarily","page_number":231,"box":{"x":101,"y":420,"width":774,"height":11}},{"id":"9c3a076a-8c19-42b4-a18c-d9c4dd5e20f7","block_type":"box","text":"disclosing scope 3 emissions reductions targets and plans, setting out how they are working on decarbonization","page_number":231,"box":{"x":101,"y":435,"width":800,"height":11}},{"id":"2d12bc59-72f2-467a-950c-40e62af0dc9a","block_type":"box","text":"with the different constituents in their value chain.","page_number":231,"box":{"x":101,"y":450,"width":358,"height":9}},{"id":"f82b7b31-5051-4f25-9608-bca93b5dfd0a","block_type":"box","text":"21","page_number":231,"box":{"x":461,"y":451,"width":9,"height":4}},{"id":"a1ecd447-be2c-4c51-a77d-c13806eeabe5","block_type":"box","text":"•","page_number":231,"box":{"x":69,"y":473,"width":6,"height":5}},{"id":"fbb086a4-0c70-4e3e-a6cc-28c65ee5d4cf","block_type":"box","text":"The company’s governance and oversight processes for managing material risks associated with corporate","page_number":231,"box":{"x":101,"y":470,"width":761,"height":12}},{"id":"4daea743-7b93-4d31-959a-52c4e6fd3234","block_type":"box","text":"political activities including applicable policies and procedures where relevant.","page_number":231,"box":{"x":102,"y":486,"width":556,"height":11}},{"id":"13b6af59-839b-4b99-a5f6-74cb2173f6c3","block_type":"box","text":"22","page_number":231,"box":{"x":660,"y":486,"width":8,"height":4}},{"id":"f276db08-49f0-455c-b5d2-e225dfbd9a57","block_type":"box","text":"The dedicated team looks for","page_number":231,"box":{"x":674,"y":486,"width":208,"height":9}},{"id":"51122b48-0687-4713-b190-44d14d43b42a","block_type":"box","text":"public policy engagement to be consistent with a company’s stated strategic policy objectives, including those","page_number":231,"box":{"x":102,"y":501,"width":783,"height":11}},{"id":"be927357-b9fa-49bd-b64f-337fef8759ca","block_type":"box","text":"related to the low-carbon transition.","page_number":231,"box":{"x":102,"y":516,"width":251,"height":9}},{"id":"9e696e78-ead6-4f46-a2d6-28b934ca4f28","block_type":"box","text":"Voting against directors over concerns about climate risk","page_number":231,"box":{"x":68,"y":546,"width":420,"height":11}},{"id":"43dfed12-9d7b-4fa3-a2fb-1ab19088c86e","block_type":"box","text":"In implementing these Guidelines, the dedicated team generally supports non-executive directors standing for","page_number":231,"box":{"x":102,"y":569,"width":781,"height":11}},{"id":"00981518-ea55-4133-aba1-24c1ca99bc5a","block_type":"box","text":"election where, in its assessment based on company disclosures and engagement, a company is executing on its","page_number":231,"box":{"x":69,"y":584,"width":811,"height":11}},{"id":"eb704da6-a784-4538-b104-9493783e1116","block_type":"box","text":"commitment to align with the transition to a low-carbon economy, as defined above. Where the dedicated team","page_number":231,"box":{"x":69,"y":599,"width":788,"height":11}},{"id":"ca35f291-56f4-49a7-a101-6f03c4f1129a","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":231,"box":{"x":69,"y":614,"width":828,"height":11}},{"id":"a7489350-b6f5-4029-b67f-608b4c068011","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":231,"box":{"x":69,"y":629,"width":780,"height":11}},{"id":"2d580c11-edd9-4f4c-bd2a-3d5d265d825c","block_type":"box","text":"committee with low-carbon transition, climate or sustainability risk oversight responsibilities, other members of the","page_number":231,"box":{"x":69,"y":644,"width":817,"height":12}},{"id":"7772190e-4973-4797-98c0-f2c04314b94f","block_type":"box","text":"relevant committee, the lead independent director or the non-executive chair of the board. In certain markets, the","page_number":231,"box":{"x":69,"y":659,"width":808,"height":11}},{"id":"9f4498d2-6c00-4df8-9264-2fb77f4c7331","block_type":"box","text":"team may withhold support for the discharge of the supervisory board or equivalent and/or board reports.","page_number":231,"box":{"x":68,"y":675,"width":758,"height":11}},{"id":"5bb7c98c-6fd2-463f-b328-d74358a80352","block_type":"box","text":"23","page_number":231,"box":{"x":828,"y":675,"width":9,"height":4}},{"id":"1112c6e3-b55a-41b2-abc7-0f0b114d0b46","block_type":"box","text":"21","page_number":231,"box":{"x":69,"y":704,"width":9,"height":5}},{"id":"613b6f17-46cb-4f87-b51a-56753355a5de","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":231,"box":{"x":84,"y":704,"width":825,"height":11}},{"id":"e5129610-86d4-4526-9f4a-ba4dc78144f7","block_type":"box","text":"paper “Scope for improvement: Solving the Scope 3 conundrum.” Their research indicates that there are 2-3 material","page_number":231,"box":{"x":70,"y":719,"width":835,"height":11}},{"id":"1e5ca845-3911-4352-a30c-d9dc66905195","block_type":"box","text":"scope 3 GHG emissions categories by sector. The research uses a definition of materiality from the GHG Protocol,","page_number":231,"box":{"x":69,"y":734,"width":813,"height":11}},{"id":"0a64abef-2876-46f3-a1d1-175629e405b2","block_type":"box","text":"which “encourages companies to maintain a representative inventory of the “most significant GHG emissions, [that]","page_number":231,"box":{"x":68,"y":749,"width":828,"height":11}},{"id":"b7f25092-6c12-47b3-84de-6ee5aa17beee","block_type":"box","text":"offer the most significant GHG reduction opportunities and are most relevant to the company’s business goals.”","page_number":231,"box":{"x":69,"y":764,"width":801,"height":12}},{"id":"c77f4c07-3a5c-4309-9030-ce3545f26085","block_type":"box","text":"Website accessed in December 2025.","page_number":231,"box":{"x":68,"y":779,"width":272,"height":9}},{"id":"1bf21e3a-8f5f-4fdb-a2d6-514bf4f33f02","block_type":"box","text":"22","page_number":231,"box":{"x":69,"y":797,"width":9,"height":5}},{"id":"fe0e7889-2edd-48f9-8c0f-2138a4f207ed","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":797,"width":787,"height":11}},{"id":"a52eeecf-3fa4-403b-93e0-85f15e5fc92d","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":231,"box":{"x":68,"y":812,"width":500,"height":11}},{"id":"2c64646e-71b6-47e2-bd9d-35c888f792e9","block_type":"box","text":"23","page_number":231,"box":{"x":69,"y":830,"width":9,"height":5}},{"id":"5baa3616-26b2-4745-b61c-801c4b90e7ad","block_type":"box","text":"Board report votes are generally advisory and relate to reports issued by the board of directors that may contain","page_number":231,"box":{"x":84,"y":830,"width":801,"height":11}},{"id":"bec7b712-be1b-4991-b825-4644dac5c92c","block_type":"box","text":"information on a company’s sustainability efforts, operational resilience, or financial condition, among others.","page_number":231,"box":{"x":70,"y":845,"width":782,"height":11}},{"id":"acfd4205-f1c6-46fb-94a4-97c1a8695242","block_type":"box","text":"BlackRock Investment Stewardship","page_number":231,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"05e27b38-e3bf-40e4-b926-45c72495c063","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 7","page_number":231,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"85ab70e8-239b-44fe-a0b7-b4df1842bae7","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":231,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2efacafd-6c16-459d-bbc6-6e210452fb57","block_type":"box","text":"Where the dedicated team has not supported director elections over climate concerns in a prior year, and the","page_number":232,"box":{"x":101,"y":45,"width":780,"height":11}},{"id":"45f65c1c-5329-412c-adcf-ea5c661d45b9","block_type":"box","text":"company has not subsequently made progress towards aligning with the transition to a low-carbon economy, the team","page_number":232,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"0fd37027-5742-4d7c-8b8e-5be1f3bc4352","block_type":"box","text":"may escalate by not supporting the re-election of additional responsible directors.","page_number":232,"box":{"x":69,"y":75,"width":582,"height":11}},{"id":"c96b6a2b-9efd-43c6-9a7f-b6b471180d32","block_type":"box","text":"24","page_number":232,"box":{"x":653,"y":75,"width":9,"height":5}},{"id":"dd73dc4a-84ec-4282-b640-9469e77a234f","block_type":"box","text":"Management proposals to approve a climate strategy or progress report","page_number":232,"box":{"x":69,"y":105,"width":528,"height":11}},{"id":"a0d79b87-ee3f-4d17-a2fb-f5a714ba9a65","block_type":"box","text":"In certain markets, company management may submit proposals— commonly referred to as “Say on Climate” —","page_number":232,"box":{"x":102,"y":128,"width":807,"height":11}},{"id":"a222e1e7-deb1-4bcd-946b-37ab1deb44ca","block_type":"box","text":"seeking shareholder approval of their climate action plans or progress reports. The Guidelines consider these","page_number":232,"box":{"x":69,"y":143,"width":782,"height":11}},{"id":"e1c366ca-04f1-44ed-99b3-2ff5c37b9cb5","block_type":"box","text":"proposals as a valuable governance mechanism that can enhance transparency, accountability, and investors’","page_number":232,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"70bba814-accb-482b-8d5c-e03e6aad1534","block_type":"box","text":"understanding of a company’s climate strategy. The dedicated team generally supports management’s climate","page_number":232,"box":{"x":69,"y":173,"width":787,"height":11}},{"id":"6a81080d-32ba-4347-9229-9c4bb816989d","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":232,"box":{"x":69,"y":188,"width":838,"height":12}},{"id":"bd78765d-afd9-4373-a7ac-3ad2dd83c872","block_type":"box","text":"transition. Similarly, the dedicated team generally supports management’s proposal on a progress report if the","page_number":232,"box":{"x":68,"y":203,"width":792,"height":12}},{"id":"d375e9da-862e-4ff7-9182-01a7c780dc21","block_type":"box","text":"company has clearly explained its progress against, and any deviations from or changes to, its stated low-carbon","page_number":232,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"5dbb43b1-57f5-474f-87f3-41af4fb1ab90","block_type":"box","text":"transition plan and targets.","page_number":232,"box":{"x":68,"y":234,"width":193,"height":11}},{"id":"52f8ba7c-8aa1-41bb-b861-1daa65299334","block_type":"box","text":"Shareholder proposals on climate and low-carbon transition matters","page_number":232,"box":{"x":68,"y":264,"width":495,"height":11}},{"id":"a212c5ad-7866-420e-b619-68d403ac96a2","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":232,"box":{"x":102,"y":287,"width":777,"height":11}},{"id":"dac7025e-ac40-4dc8-8e8d-920585c4060a","block_type":"box","text":"long as certain requirements are met. Shareholder proposals span a wide range of topics and have varying degrees","page_number":232,"box":{"x":70,"y":302,"width":824,"height":11}},{"id":"908313c7-4e4a-4b62-9eaa-7a310944e064","block_type":"box","text":"of relevance for companies across sectors, locations, and business models.","page_number":232,"box":{"x":69,"y":317,"width":543,"height":11}},{"id":"fa2ccd17-6379-44a7-bf3e-ba0fb3ea67e6","block_type":"box","text":"Each shareholder proposal is evaluated on a case-by-case basis, focusing on its merit while considering the","page_number":232,"box":{"x":102,"y":339,"width":767,"height":12}},{"id":"485d7bc5-7cf9-4d53-8d4a-ee50ac48c237","block_type":"box","text":"company’s individual circumstances. When the dedicated team votes in support of a proposal, it is not necessarily","page_number":232,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"7649827b-cfd2-4f0b-bb2b-c11c844c72d9","block_type":"box","text":"endorsing every element of the proposal or the reasoning, objectives, or supporting statement of the proponent.","page_number":232,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"06030a9d-db6c-428d-a9b9-b942bf9fd2cc","block_type":"box","text":"In addition to financial materiality, the Guidelines consider the proposal’s relevance to the company’s low-carbon","page_number":232,"box":{"x":102,"y":392,"width":802,"height":12}},{"id":"1595d69a-98e5-418a-b91a-a0fd3d45ad2e","block_type":"box","text":"transition strategy and targets. The dedicated team assesses the implications for, and the relevance to, the","page_number":232,"box":{"x":68,"y":407,"width":770,"height":12}},{"id":"b10527dc-168b-4cfb-82af-255f755860f5","block_type":"box","text":"company’s stated low-carbon transition strategy and targets. Under the Guidelines, the team may support","page_number":232,"box":{"x":69,"y":423,"width":754,"height":11}},{"id":"9e9de8f3-5fdb-42f5-809d-8ca08905c6c0","block_type":"box","text":"shareholder proposals that, for example, ask a company to:","page_number":232,"box":{"x":69,"y":438,"width":425,"height":11}},{"id":"39f18f31-3e27-445e-a78a-2fef17b6010d","block_type":"box","text":"•","page_number":232,"box":{"x":69,"y":461,"width":6,"height":4}},{"id":"e543334c-0372-4f00-8bba-ab1cbdc97ee9","block_type":"box","text":"Publish a business plan, and related disclosures, consistent with the ambition to limit average global","page_number":232,"box":{"x":102,"y":458,"width":719,"height":11}},{"id":"b534fd02-adc2-4182-a034-dc59f268051f","block_type":"box","text":"temperature rise to no more than 1.5°C above pre-industrial levels","page_number":232,"box":{"x":101,"y":473,"width":474,"height":11}},{"id":"04382f47-4c07-41e9-b7e4-6f7055fb024e","block_type":"box","text":"•","page_number":232,"box":{"x":69,"y":496,"width":6,"height":5}},{"id":"f17577cc-dc7c-4796-9fea-bf11661567e9","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":232,"box":{"x":101,"y":493,"width":807,"height":11}},{"id":"b5e2f4ee-bed2-4f07-89c6-0cc5d337528a","block_type":"box","text":"goal of the company achieving net zero GHG emissions by 2050","page_number":232,"box":{"x":101,"y":508,"width":457,"height":12}},{"id":"4dc4cccf-ef22-48e9-a773-ecd2ebdd4cdd","block_type":"box","text":"•","page_number":232,"box":{"x":69,"y":531,"width":6,"height":5}},{"id":"65bc5da8-dc93-46ed-bf2b-81f7d84dd921","block_type":"box","text":"Disclose the categories of scope 3 GHG emissions most significant to a company’s business model","page_number":232,"box":{"x":102,"y":528,"width":712,"height":12}},{"id":"5e213cc0-2236-4445-a474-f87ab36e5966","block_type":"box","text":"•","page_number":232,"box":{"x":69,"y":551,"width":6,"height":5}},{"id":"d7bed05b-65ef-4ee4-8a99-4d5633ed0052","block_type":"box","text":"Improve voluntary disclosures on the alignment of a company’s climate-related corporate political activities with","page_number":232,"box":{"x":102,"y":549,"width":794,"height":11}},{"id":"b44b79e6-9c34-41de-9825-6f9af4290530","block_type":"box","text":"its strategic policy positions, where existing disclosure is insufficient","page_number":232,"box":{"x":102,"y":564,"width":489,"height":11}},{"id":"c8a8c825-9704-4cad-8e17-7e5eda028ed2","block_type":"box","text":"25","page_number":232,"box":{"x":592,"y":564,"width":9,"height":5}},{"id":"9c68e2d2-1ae8-4c1c-b2b1-f78f1b60c8fb","block_type":"box","text":"The dedicated team does not support shareholder proposals that seek to constrain board or management","page_number":232,"box":{"x":101,"y":587,"width":758,"height":11}},{"id":"844da2bd-8222-4365-9d7d-b0f2aac5f90f","block_type":"box","text":"decision-making or direct specific business or strategic decisions.","page_number":232,"box":{"x":69,"y":601,"width":468,"height":12}},{"id":"27532ac5-426d-40ad-8d8d-f7c2268a4131","block_type":"box","text":"RELATED MATTERS","page_number":232,"box":{"x":419,"y":632,"width":140,"height":9}},{"id":"ced13063-f5e0-4723-9849-26d79aecd3da","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":232,"box":{"x":101,"y":655,"width":771,"height":11}},{"id":"43faf2ee-a331-4926-be27-a6fa2a107785","block_type":"box","text":"matters relevant to the transition to a low-carbon economy. Under these Guidelines, the dedicated team engages,","page_number":232,"box":{"x":69,"y":670,"width":808,"height":11}},{"id":"dcd44d1e-9f50-4222-904d-dfb086ecc1ec","block_type":"box","text":"where appropriate, to enhance its understanding of a company’s approach. Generally, voting on these matters would","page_number":232,"box":{"x":68,"y":685,"width":831,"height":11}},{"id":"263ed1b5-a2cb-4ba4-a4e4-3cb4169ee677","block_type":"box","text":"be covered by BIS’ Benchmark Policies.","page_number":232,"box":{"x":69,"y":700,"width":280,"height":11}},{"id":"c92320b5-9d66-4b76-860b-f3b00c43d2ad","block_type":"box","text":"Executive compensation","page_number":232,"box":{"x":69,"y":730,"width":177,"height":11}},{"id":"9c57289a-791e-4cea-9414-7ba429a1a138","block_type":"box","text":"The dedicated team looks to company boards to put in place a compensation structure that incentivizes and","page_number":232,"box":{"x":101,"y":753,"width":772,"height":11}},{"id":"a9200b7f-7301-4707-bbe8-8f40edc19983","block_type":"box","text":"rewards executives appropriately. Some companies, in light of their long-term strategy, may decide to include relevant","page_number":232,"box":{"x":69,"y":768,"width":837,"height":11}},{"id":"d2c4310a-d978-4f66-9886-2381593cb93e","block_type":"box","text":"GHG emissions reduction targets or low-carbon transition-related metrics in their incentive plans. In such cases, the","page_number":232,"box":{"x":69,"y":783,"width":826,"height":11}},{"id":"ff799d6e-fe1b-4a89-a64f-60b1cc607940","block_type":"box","text":"dedicated team would engage to understand the alignment between those metrics and the company’s stated climate","page_number":232,"box":{"x":69,"y":798,"width":834,"height":11}},{"id":"cff778c3-78f9-4118-83db-f8728f0aa4ba","block_type":"box","text":"24","page_number":232,"box":{"x":69,"y":828,"width":9,"height":4}},{"id":"8aff247b-dfa2-4e39-855c-68aff67d76f6","block_type":"box","text":"While the dedicated team may escalate voting by not supporting additional management proposals, principally","page_number":232,"box":{"x":83,"y":827,"width":787,"height":12}},{"id":"86740e0c-7880-42b7-9459-322ea0290cdd","block_type":"box","text":"director elections, the team does not consider filing shareholder proposals, preannouncing voting intentions or using","page_number":232,"box":{"x":69,"y":842,"width":832,"height":12}},{"id":"7deeae65-a1d2-43b7-b90c-42425f92b06c","block_type":"box","text":"the media to amplify concerns as appropriate courses of action. The dedicated team will continue to take a","page_number":232,"box":{"x":68,"y":857,"width":765,"height":12}},{"id":"5214b1a6-0d79-4b1a-8f7a-242a2e2e362b","block_type":"box","text":"constructive, long-term focused approach, to engagement and voting on behalf of clients under these Guidelines.","page_number":232,"box":{"x":69,"y":873,"width":805,"height":11}},{"id":"c64e92b3-5d83-4b23-a615-6f248319b868","block_type":"box","text":"25","page_number":232,"box":{"x":69,"y":891,"width":9,"height":4}},{"id":"a94326e7-671b-4cc5-bdab-080cc81c87d5","block_type":"box","text":"Corporate political activities may include lobbying as defined by local regulations, policy engagement (including","page_number":232,"box":{"x":84,"y":890,"width":787,"height":12}},{"id":"f508547d-0c1f-4309-ac4a-ca1f3de376fe","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":232,"box":{"x":68,"y":906,"width":500,"height":10}},{"id":"ddba5cad-39f9-46fb-886d-fb5ff6c28932","block_type":"box","text":"BlackRock Investment Stewardship","page_number":232,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"979c9297-3de7-4a9a-8075-0898edcb9916","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 8","page_number":232,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"a37d1796-39ad-463d-9c88-f2ca728c86d8","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":232,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"56d52556-2f49-4c05-ad9a-932d835ba63d","block_type":"box","text":"strategy. Clear disclosure also helps investors assess whether pay structures are consistent with long-term climate","page_number":233,"box":{"x":69,"y":45,"width":821,"height":11}},{"id":"a32b90e1-43ba-44c8-bbe7-8c0095861d65","block_type":"box","text":"strategy and risk management.","page_number":233,"box":{"x":69,"y":60,"width":219,"height":11}},{"id":"d6123ce4-c680-4ff6-a12d-e8ed15bdc8fc","block_type":"box","text":"Auditors and audit-related issues","page_number":233,"box":{"x":68,"y":90,"width":240,"height":9}},{"id":"11ea68d8-4c6d-4b47-b3de-765d0286ed02","block_type":"box","text":"For companies with material climate or transition risks or opportunities in their business models, the dedicated","page_number":233,"box":{"x":102,"y":113,"width":793,"height":11}},{"id":"266e3e82-51df-444a-a48d-ebbd0590fbca","block_type":"box","text":"team is interested in understanding whether the company considers and, if relevant, quantifies, and accounts for","page_number":233,"box":{"x":68,"y":128,"width":807,"height":11}},{"id":"07005915-48fc-40d9-a170-e1da87560281","block_type":"box","text":"material climate-related risks in its financial statements, including if the company explains such risks within the","page_number":233,"box":{"x":69,"y":143,"width":794,"height":11}},{"id":"d6181357-4bd7-4572-ab4e-e8c931bf9264","block_type":"box","text":"context of its audit report. The team notes that assurance of corporate disclosures related to climate risk and the","page_number":233,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"0cb099f0-2278-4162-bfb1-0a2b9ca06467","block_type":"box","text":"transition to a low-carbon economy is still nascent.","page_number":233,"box":{"x":68,"y":173,"width":361,"height":11}},{"id":"0f6bd5ca-5660-4f6f-8f77-6545c269f615","block_type":"box","text":"Mergers, acquisitions, asset sales, and other special situations","page_number":233,"box":{"x":69,"y":203,"width":463,"height":11}},{"id":"c07a04e3-7694-4eee-8a26-5ff8ef195bd5","block_type":"box","text":"Special situations will be considered on their financial merits, but the dedicated team may engage on climate","page_number":233,"box":{"x":102,"y":226,"width":783,"height":11}},{"id":"5da03274-5d70-407e-b1c3-e3286d769738","block_type":"box","text":"related factors under these Guidelines where a transaction may significantly alter a company’s climate strategy or a","page_number":233,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"1ca7237f-b945-4c92-a8e1-726c6b47c3ea","block_type":"box","text":"shareholder activist has proposed governance, strategic or operational changes that may impact its climate strategy.","page_number":233,"box":{"x":69,"y":257,"width":831,"height":11}},{"id":"345b3203-d327-4fc6-bf5e-c8d3a072c9f8","block_type":"box","text":"The dedicated team does not promote changes in corporate control or engage in shareholder activism.","page_number":233,"box":{"x":68,"y":272,"width":731,"height":11}},{"id":"d97a301f-c954-4fe1-a1ac-c6f3ef4fdc0d","block_type":"box","text":"Other business relevant sustainability-related risks and opportunities","page_number":233,"box":{"x":69,"y":302,"width":503,"height":11}},{"id":"2887bc12-2228-43fb-b838-83b94202b5f9","block_type":"box","text":"Climate risk and the transition to a low-carbon economy are interconnected with a number of other material","page_number":233,"box":{"x":102,"y":324,"width":762,"height":11}},{"id":"0dfb116a-2b4d-41f6-a106-ded95b542b8d","block_type":"box","text":"sustainability-related risks and opportunities that may be relevant to a company’s business model and long-term","page_number":233,"box":{"x":69,"y":340,"width":802,"height":11}},{"id":"e1bba927-9a0b-4497-8988-3f368560d9c3","block_type":"box","text":"financial performance. These include a company’s impacts or dependencies on natural capital and key","page_number":233,"box":{"x":68,"y":355,"width":734,"height":11}},{"id":"df4083cd-f81d-485e-a102-2543afa57637","block_type":"box","text":"stakeholders.","page_number":233,"box":{"x":69,"y":370,"width":95,"height":9}},{"id":"00bfa152-6127-4343-b623-e7915e12dc04","block_type":"box","text":"26","page_number":233,"box":{"x":166,"y":370,"width":9,"height":5}},{"id":"3b4f9815-a4a5-41cc-9c56-4fa37ef3d56e","block_type":"box","text":"In the context of these Guidelines, the dedicated team may engage companies to better understand","page_number":233,"box":{"x":182,"y":370,"width":710,"height":11}},{"id":"6bb54198-97e3-41e4-acd2-7e248c3a86c2","block_type":"box","text":"how they are managing the impact on people (e.g., employees, suppliers, customers and communities) of any","page_number":233,"box":{"x":69,"y":385,"width":783,"height":11}},{"id":"aa50e935-81cb-4065-b9b9-81645f729bb7","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":233,"box":{"x":69,"y":400,"width":832,"height":11}},{"id":"b517e748-a821-48bc-b89a-ead99be80b19","block_type":"box","text":"team may engage companies that face risks and opportunities related to land use and deforestation, access to fresh","page_number":233,"box":{"x":68,"y":415,"width":838,"height":11}},{"id":"d437ee29-c22a-40a1-9f80-208929a2d051","block_type":"box","text":"water, or the ability to secure scarce resources critical to the transition to a low-carbon economy.","page_number":233,"box":{"x":68,"y":430,"width":690,"height":11}},{"id":"c55c42f7-1fe4-4e99-b585-d3c1ebc203e4","block_type":"box","text":"26","page_number":233,"box":{"x":69,"y":475,"width":9,"height":4}},{"id":"f7a316f1-c514-4ad4-aed1-e13570e1aa81","block_type":"box","text":"Engagement with companies on these issues is informed by BIS’ commentaries on natural capital, human capital","page_number":233,"box":{"x":84,"y":474,"width":807,"height":12}},{"id":"2320b49c-616e-4fad-a189-82e612dd0411","block_type":"box","text":"management, and corporate human rights risks, December 2025.","page_number":233,"box":{"x":69,"y":490,"width":468,"height":11}},{"id":"f62c253e-b29b-41df-9f92-bfde08f8bb31","block_type":"box","text":"BlackRock Investment Stewardship","page_number":233,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"581d9aa8-566e-488d-b2c5-cc236cd7bf97","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 9","page_number":233,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"037e88f7-83a7-4101-990b-a9bee8bfdfad","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":233,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"06d7aaef-d114-4810-9bb7-4dbd43ec1564","block_type":"box","text":"Appendix 1","page_number":234,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"a5d9485b-5eed-48be-a8ed-8a273cf90a95","block_type":"box","text":"Terminology","page_number":234,"box":{"x":68,"y":75,"width":87,"height":11}},{"id":"64c893a2-1b92-41e9-ace3-91339ead4e9c","block_type":"box","text":"We understand the key concepts referred to within these Guidelines as follows:","page_number":234,"box":{"x":101,"y":98,"width":565,"height":11}},{"id":"f8a5f425-1fb0-4080-a494-e8d2762d39c2","block_type":"box","text":"Climate risk:","page_number":234,"box":{"x":101,"y":120,"width":92,"height":9}},{"id":"c098a15b-0708-47d6-9a47-475c27c4add8","block_type":"box","text":"Includes physical risk, the increased risk to companies’ assets and activities caused by the direct","page_number":234,"box":{"x":200,"y":120,"width":698,"height":11}},{"id":"7c1db40d-a9df-48c2-ac6f-c78a4d2de79d","block_type":"box","text":"impact of changing weather patterns and natural catastrophes, and transition risk, the impact of the transition to a","page_number":234,"box":{"x":70,"y":135,"width":818,"height":12}},{"id":"2eb7a420-55b9-4ac3-8b37-415298eba576","block_type":"box","text":"low-carbon economy on a company’s long-term profitability.","page_number":234,"box":{"x":70,"y":150,"width":416,"height":12}},{"id":"71a75591-79e9-444d-aa92-42c16c385456","block_type":"box","text":"Transition to a low-carbon economy (“low-carbon transition”):","page_number":234,"box":{"x":101,"y":173,"width":449,"height":11}},{"id":"10766bc4-04e6-40bc-b1f1-495b86b02e97","block_type":"box","text":"The global economic shift toward lower","page_number":234,"box":{"x":556,"y":173,"width":278,"height":11}},{"id":"ebe7aeef-be0a-49c1-8372-33828faf361d","block_type":"box","text":"emissions across many sectors and business models. The economic transformation is being driven by changes in","page_number":234,"box":{"x":69,"y":188,"width":811,"height":12}},{"id":"e386a869-b707-4c23-8569-89420a853afa","block_type":"box","text":"government policy, technology, and consumer and investor preferences, as well as the physical effects of climate","page_number":234,"box":{"x":68,"y":203,"width":807,"height":12}},{"id":"8cb55c5b-0c0a-4fb1-a4f0-1480d90fac58","block_type":"box","text":"change (e.g., extreme weather), and can potentially have a material impact on clients’ investments and portfolios.","page_number":234,"box":{"x":69,"y":218,"width":812,"height":12}},{"id":"a1b9572f-338b-4b7d-a3e9-a174ab796733","block_type":"box","text":"Decarbonization:","page_number":234,"box":{"x":102,"y":241,"width":120,"height":9}},{"id":"b9d3561f-0423-4410-ac1c-0790cfa37de9","block_type":"box","text":"the process of reducing or eliminating emissions of carbon dioxide (CO2) from human activity","page_number":234,"box":{"x":228,"y":241,"width":664,"height":11}},{"id":"99b35934-a618-440e-8eb5-e0c424e4a364","block_type":"box","text":"and removing carbon currently in the atmosphere. This can be carried out by countries, companies and even","page_number":234,"box":{"x":69,"y":257,"width":771,"height":11}},{"id":"745acf47-ea10-41cd-840f-5ae9e83570ca","block_type":"box","text":"individual consumers. Sometimes the concept is understood to include the reduction and elimination of other GHG,","page_number":234,"box":{"x":70,"y":271,"width":820,"height":11}},{"id":"b70fd66c-0e84-43cd-b573-f23331836a3a","block_type":"box","text":"e.g., methane.","page_number":234,"box":{"x":69,"y":287,"width":102,"height":11}},{"id":"e52862d0-944b-4936-8b6e-c4ffbea298c9","block_type":"box","text":"Climate-related risks and opportunities:","page_number":234,"box":{"x":101,"y":309,"width":289,"height":11}},{"id":"774804dd-18a9-401a-8b57-0e806c8f88fa","block_type":"box","text":"The investment opportunities and risks associated with the transition","page_number":234,"box":{"x":396,"y":309,"width":495,"height":11}},{"id":"5468548b-f47c-450e-8c2b-c4199187134a","block_type":"box","text":"to a low-carbon economy, including transition risks and opportunities and physical risks and opportunities in adapting","page_number":234,"box":{"x":68,"y":325,"width":838,"height":11}},{"id":"68ee3266-9395-4298-94a1-1be57aace46b","block_type":"box","text":"to physical climate change.","page_number":234,"box":{"x":68,"y":340,"width":193,"height":11}},{"id":"79b16214-bea7-4893-89cd-ed08714379ab","block_type":"box","text":"Climate-related transition plan:","page_number":234,"box":{"x":101,"y":362,"width":226,"height":11}},{"id":"c13cf403-cc4b-49be-b65c-083dd552aaf9","block_type":"box","text":"“An aspect of an entity’s overall strategy that lays out the entity’s targets,","page_number":234,"box":{"x":334,"y":362,"width":525,"height":11}},{"id":"0f88a891-afa1-4c67-a72d-1c8831de3ddf","block_type":"box","text":"actions or resources for its transition towards a lower-carbon economy, including actions such as reducing its","page_number":234,"box":{"x":69,"y":377,"width":778,"height":12}},{"id":"46e78eed-7073-4120-bd9d-f18c8929e49e","block_type":"box","text":"greenhouse gas emissions.”","page_number":234,"box":{"x":68,"y":393,"width":203,"height":11}},{"id":"d54ed075-8029-410f-ad47-534ec0cb15b0","block_type":"box","text":"27","page_number":234,"box":{"x":273,"y":393,"width":9,"height":4}},{"id":"c727a0e7-3e65-43ab-9e27-afc965141de8","block_type":"box","text":"Science-based GHG emissions reduction targets:","page_number":234,"box":{"x":101,"y":415,"width":356,"height":11}},{"id":"288f564f-2d61-484a-b15d-2bec66149963","block_type":"box","text":"Targets that “","page_number":234,"box":{"x":463,"y":415,"width":96,"height":11}},{"id":"3f3f9f68-cf10-4b82-9b8e-019441dba7ab","block_type":"box","text":"are in line with what the latest climate science","page_number":234,"box":{"x":569,"y":415,"width":331,"height":9}},{"id":"8036e813-bd8a-4806-a5fe-3813fd8c76e9","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":234,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"3ed2deee-f8aa-44c6-aea3-c8f7db80917a","block_type":"box","text":"levels. Science-based targets give companies a clearly defined path to reduce GHG emissions in line with limiting","page_number":234,"box":{"x":70,"y":445,"width":806,"height":12}},{"id":"94ca139a-6743-4316-91cc-1ae93350e19f","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":234,"box":{"x":68,"y":460,"width":824,"height":12}},{"id":"67079d1c-092b-410e-83eb-9e52488c6994","block_type":"box","text":"with the Paris Agreement goals.”","page_number":234,"box":{"x":68,"y":476,"width":232,"height":11}},{"id":"f1251db2-f332-4e7c-9be9-69561b47e276","block_type":"box","text":"28","page_number":234,"box":{"x":302,"y":476,"width":9,"height":4}},{"id":"370e65ce-db6c-42f4-9e44-8a6e41e5f7e2","block_type":"box","text":"Scope 1:","page_number":234,"box":{"x":101,"y":498,"width":63,"height":11}},{"id":"ced8071f-41f9-4d8a-b724-47d510e2d3f8","block_type":"box","text":"Direct GHG emissions. Direct GHG emissions occur from sources that are owned or controlled by the","page_number":234,"box":{"x":172,"y":498,"width":718,"height":11}},{"id":"5a1c82ae-c2f9-4cb3-9de6-c5a0ec97ebc1","block_type":"box","text":"company, for example, emissions from combustion in owned or controlled boilers, furnaces, vehicles, etc.; emissions","page_number":234,"box":{"x":69,"y":513,"width":836,"height":11}},{"id":"48841ea5-c6a8-4f3f-bb4f-333580218c06","block_type":"box","text":"from chemical production in owned or controlled process equipment.","page_number":234,"box":{"x":68,"y":528,"width":489,"height":11}},{"id":"42379b46-6246-4ab5-a846-5c1d101095b0","block_type":"box","text":"29","page_number":234,"box":{"x":559,"y":529,"width":9,"height":4}},{"id":"da7d4f3b-f4f6-42ad-9a81-64789811815e","block_type":"box","text":"Scope 2","page_number":234,"box":{"x":101,"y":551,"width":59,"height":11}},{"id":"79d71470-4794-4a2e-9123-e5bd9613d544","block_type":"box","text":": Electricity indirect GHG emissions Scope 2 accounts for GHG emissions from the generation of","page_number":234,"box":{"x":162,"y":551,"width":685,"height":11}},{"id":"10879565-edff-4a03-ab8e-7c9bebe25397","block_type":"box","text":"purchased electricity [steam, and heating/cooling] consumed by the company. [It] is defined as electricity [steam,","page_number":234,"box":{"x":70,"y":566,"width":807,"height":11}},{"id":"daf2219d-8356-41a2-94d5-d9f279af8be4","block_type":"box","text":"and heating/cooling] that is purchased or otherwise brought into the organizational boundary of the company.","page_number":234,"box":{"x":69,"y":581,"width":781,"height":12}},{"id":"576eb068-39b5-496f-b2f3-8f583dcf91c1","block_type":"box","text":"30","page_number":234,"box":{"x":852,"y":582,"width":9,"height":4}},{"id":"dfbc902e-2b70-4a7f-b267-270bb2334cc4","block_type":"box","text":"Scope 3:","page_number":234,"box":{"x":101,"y":604,"width":63,"height":11}},{"id":"7d5b1e9b-f297-4980-a8a4-7c4a70372b81","block_type":"box","text":"Other indirect GHG emissions. Scope 3 is an optional reporting category that allows for the treatment","page_number":234,"box":{"x":171,"y":604,"width":725,"height":11}},{"id":"b5e02aa3-6925-42a9-8460-39598229467b","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":234,"box":{"x":69,"y":619,"width":803,"height":11}},{"id":"f64d3249-0ef6-4bee-8a3e-add98c4c777c","block_type":"box","text":"from sources not owned or controlled by the company.","page_number":234,"box":{"x":68,"y":634,"width":386,"height":11}},{"id":"786d574b-47e5-4e0e-aba0-a5f24b1e31d3","block_type":"box","text":"31","page_number":234,"box":{"x":456,"y":635,"width":9,"height":4}},{"id":"00193ca5-794f-40df-8e75-073b600aeba4","block_type":"box","text":"27","page_number":234,"box":{"x":69,"y":679,"width":8,"height":4}},{"id":"53f2abca-0ced-4567-b87c-af49b4a56ea2","block_type":"box","text":"As defined by the International Financial Reporting Standards, “IFRS S2: Climate-related Disclosures,” June 2023..","page_number":234,"box":{"x":83,"y":679,"width":821,"height":11}},{"id":"a0f102e3-974d-46df-9196-59fa9d7ffa06","block_type":"box","text":"Several jurisdictions are basing their own transition plan disclosure frameworks on the IFRS S2 definition. We","page_number":234,"box":{"x":69,"y":694,"width":779,"height":11}},{"id":"5d114b10-7d57-4110-bfca-b8984d9cb5be","block_type":"box","text":"anticipate transition plan disclosure becoming mandatory in an increasing number of jurisdictions over the near term.","page_number":234,"box":{"x":69,"y":709,"width":836,"height":11}},{"id":"94d53ac0-5454-4630-b49c-233ce02b9398","block_type":"box","text":"28","page_number":234,"box":{"x":69,"y":727,"width":9,"height":4}},{"id":"e5e13559-cc08-418a-867c-a7ac38749f86","block_type":"box","text":"As defined by the Science Based Targets initiative (SBTi). SBTi “is a corporate climate action organization that","page_number":234,"box":{"x":83,"y":726,"width":785,"height":12}},{"id":"5f1e4231-4831-4b11-ae9a-abebb84dfd23","block_type":"box","text":"enables companies and financial institutions worldwide to play their part in combating the climate crisis. We develop","page_number":234,"box":{"x":69,"y":742,"width":831,"height":11}},{"id":"ae5ea751-e56e-4329-8ff5-7cdea76ba17e","block_type":"box","text":"standards, tools and guidance which allow companies to set greenhouse gas (GHG) emissions reductions targets in","page_number":234,"box":{"x":69,"y":757,"width":826,"height":11}},{"id":"46a0d478-8db6-4486-981d-72fdaa07bd84","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":234,"box":{"x":70,"y":772,"width":795,"height":11}},{"id":"a5c39f25-0b13-42ea-b50f-4cc305423787","block_type":"box","text":"Source: Science Based Targets initiative, “About Us.” Websites accessed in December 2025.","page_number":234,"box":{"x":69,"y":787,"width":666,"height":11}},{"id":"c767bff7-75d8-4e4f-b3dd-f551c53dedf2","block_type":"box","text":"29","page_number":234,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"7549eb8c-915b-497e-b61f-8e435510c16c","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":234,"box":{"x":84,"y":805,"width":670,"height":11}},{"id":"121f76be-6e36-4bdd-bdd7-31bfe37aed6c","block_type":"box","text":"30","page_number":234,"box":{"x":69,"y":823,"width":9,"height":4}},{"id":"66d1facd-c676-4fa4-8fd4-cfef02115792","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":234,"box":{"x":84,"y":822,"width":670,"height":12}},{"id":"b31ce845-b3b5-4827-b961-346e78f83108","block_type":"box","text":"31","page_number":234,"box":{"x":69,"y":840,"width":9,"height":5}},{"id":"6a5f1465-53aa-4354-8477-02e0a37237e2","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":234,"box":{"x":84,"y":840,"width":670,"height":11}},{"id":"0134d3f6-d8d9-44b2-9405-e3d81291ae13","block_type":"box","text":"BlackRock Investment Stewardship","page_number":234,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"13109452-87f6-4d5d-863a-e190c6dc7ff4","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 10","page_number":234,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"0f24c3c9-ef58-41a3-befb-b4e2632bc7fb","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":234,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c938f77f-57c1-4e3c-a463-8a5db0ec9f8e","block_type":"box","text":"Appendix 2","page_number":235,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"52b4a421-58e4-4e77-a746-6bbd9f151809","block_type":"box","text":"Comparison of key differences between how the BIS’ Benchmark Policies considers climate-related risks,","page_number":235,"box":{"x":101,"y":67,"width":771,"height":11}},{"id":"60df2f52-00dc-4ada-b0c8-967a65a12475","block_type":"box","text":"where appropriate, and these Guidelines:","page_number":235,"box":{"x":68,"y":83,"width":299,"height":10}},{"id":"74002622-50d9-4f5e-93f1-e2ad7584a30f","block_type":"box","text":"32","page_number":235,"box":{"x":368,"y":83,"width":10,"height":4}},{"id":"382f4997-e3c9-4967-ae73-bf82b15f0e26","block_type":"box","text":"BIS Benchmark Policies","page_number":235,"box":{"x":302,"y":106,"width":174,"height":9}},{"id":"9c57b2cd-11f5-4983-b0be-6f8c0f98682e","block_type":"box","text":"33","page_number":235,"box":{"x":477,"y":107,"width":9,"height":4}},{"id":"1ad825c9-8394-481d-b1f7-b5d44f9080b6","block_type":"box","text":"Decarbonization Guidelines","page_number":235,"box":{"x":643,"y":106,"width":196,"height":9}},{"id":"e74466f6-9074-4a6f-84f8-cb8bfbad1a67","block_type":"box","text":"Key concepts","page_number":235,"box":{"x":75,"y":122,"width":98,"height":11}},{"id":"d3123c04-4f5f-4ceb-a557-09300914df6f","block_type":"box","text":"Focuses on financial performance","page_number":235,"box":{"x":232,"y":121,"width":240,"height":11}},{"id":"ec566d15-4949-4544-90db-512c4aa94fb1","block_type":"box","text":"and engages companies on","page_number":235,"box":{"x":231,"y":137,"width":195,"height":11}},{"id":"65f7340b-1602-4341-81c5-346a222ca469","block_type":"box","text":"climate and transition topics when","page_number":235,"box":{"x":231,"y":152,"width":244,"height":11}},{"id":"5dee79e5-406c-4a67-b9e9-ee5bf1f25bc4","block_type":"box","text":"material to their business","page_number":235,"box":{"x":232,"y":167,"width":181,"height":9}},{"id":"7f2280d3-8c52-4b11-9754-e344e160a1d7","block_type":"box","text":"Prioritizes the disclosure of how a","page_number":235,"box":{"x":232,"y":186,"width":239,"height":9}},{"id":"9a7dda90-025d-4fd0-8832-871513b3688b","block_type":"box","text":"company is managing material","page_number":235,"box":{"x":231,"y":201,"width":215,"height":11}},{"id":"7807d645-248c-43fb-af9e-b2cb45587bfb","block_type":"box","text":"climate and transition-related risks","page_number":235,"box":{"x":231,"y":216,"width":246,"height":9}},{"id":"679db315-bc6e-4310-abe2-0f2b6601b449","block_type":"box","text":"and opportunities","page_number":235,"box":{"x":231,"y":231,"width":125,"height":11}},{"id":"e673b5a0-dcee-471e-80e7-79ca259a7817","block_type":"box","text":"Considers both financial performance","page_number":235,"box":{"x":578,"y":121,"width":267,"height":11}},{"id":"097922f7-f130-4661-8899-138c274059d0","block_type":"box","text":"and decarbonization objectives","page_number":235,"box":{"x":578,"y":137,"width":218,"height":11}},{"id":"863d9417-8cd1-41a2-bd27-1a17f1c2669c","block_type":"box","text":"consistent with funds’ and clients’","page_number":235,"box":{"x":577,"y":152,"width":244,"height":9}},{"id":"c740bfdf-043a-4b81-b5b0-f37cf30abf69","block_type":"box","text":"investment objectives","page_number":235,"box":{"x":578,"y":167,"width":153,"height":11}},{"id":"4a10b581-6ac2-4958-84cc-bb85e988353e","block_type":"box","text":"Assesses the alignment of a","page_number":235,"box":{"x":577,"y":186,"width":203,"height":11}},{"id":"b29b41dc-10d3-4097-8df8-5c548a364607","block_type":"box","text":"company’s business model","page_number":235,"box":{"x":577,"y":201,"width":193,"height":11}},{"id":"b91c4307-334d-466d-a676-8f858afb2441","block_type":"box","text":"with the ambition to limit global","page_number":235,"box":{"x":577,"y":216,"width":223,"height":11}},{"id":"98ff7746-fdc8-429b-92ac-16ea30f40b1c","block_type":"box","text":"average temperature rise to","page_number":235,"box":{"x":578,"y":231,"width":196,"height":11}},{"id":"d1a5333e-dbf7-4271-9192-ee8ee9f69806","block_type":"box","text":"1.5°C above pre-industrial levels","page_number":235,"box":{"x":578,"y":246,"width":230,"height":11}},{"id":"d9c05787-e7ad-4be9-9d80-5b073520482e","block_type":"box","text":"Prioritized","page_number":235,"box":{"x":75,"y":269,"width":72,"height":9}},{"id":"1ca79a07-f051-41ad-a8c9-a2f53af5e623","block_type":"box","text":"companies for","page_number":235,"box":{"x":74,"y":284,"width":103,"height":11}},{"id":"b3b0bf55-8c60-4406-8f8f-323414ffa085","block_type":"box","text":"climate-related","page_number":235,"box":{"x":74,"y":299,"width":109,"height":9}},{"id":"d7e8cf72-a6f7-4490-bc17-fd527eca35b1","block_type":"box","text":"engagement","page_number":235,"box":{"x":74,"y":315,"width":90,"height":10}},{"id":"cfa93ba6-37c3-4ab9-b3ca-e03204b48d97","block_type":"box","text":"Largest Scope 1 and 2 GHG emitters Largest total value chain GHG","page_number":235,"box":{"x":232,"y":269,"width":557,"height":11}},{"id":"b6e54f68-b781-4596-ab74-db7cad05faf8","block_type":"box","text":"emitters (Scope 1, 2, and 3)","page_number":235,"box":{"x":578,"y":284,"width":201,"height":11}},{"id":"96ddc946-0a5e-40d0-8483-89670427b39b","block_type":"box","text":"Emissions","page_number":235,"box":{"x":75,"y":337,"width":72,"height":9}},{"id":"c81033c2-797b-4076-80e0-e7de6494003c","block_type":"box","text":"reporting","page_number":235,"box":{"x":75,"y":352,"width":66,"height":11}},{"id":"aa32f41a-9333-43a2-b179-9611c98cea23","block_type":"box","text":"Seeks reporting of Scope 1 and 2 Seeks reporting of Scope 1, 2 and","page_number":235,"box":{"x":231,"y":337,"width":592,"height":11}},{"id":"a5c3cf5a-0e18-4a08-8717-4af156a4985e","block_type":"box","text":"significant 3","page_number":235,"box":{"x":578,"y":352,"width":86,"height":11}},{"id":"b63dff96-5a11-4fd1-b5c5-cf7e7210d2d2","block_type":"box","text":"Emissions targets","page_number":235,"box":{"x":75,"y":375,"width":130,"height":11}},{"id":"a5f00a4e-23c4-4f64-8a8c-52ced1a0ae45","block_type":"box","text":"& decarbonization","page_number":235,"box":{"x":74,"y":390,"width":131,"height":9}},{"id":"12f4196c-2c82-40d1-997e-f9a8674c0244","block_type":"box","text":"efforts","page_number":235,"box":{"x":74,"y":405,"width":48,"height":9}},{"id":"353705a5-b64b-4595-b574-2740f8209356","block_type":"box","text":"Seeks the disclosure of Scope 1 and","page_number":235,"box":{"x":231,"y":375,"width":262,"height":11}},{"id":"39a23bb5-a191-493f-8ca3-78c71419b3cb","block_type":"box","text":"2 targets","page_number":235,"box":{"x":231,"y":390,"width":64,"height":11}},{"id":"62218b0d-6985-4bea-96e4-9f9b0e3dab37","block_type":"box","text":"Seeks Scope 1 and 2 targets and","page_number":235,"box":{"x":578,"y":375,"width":239,"height":11}},{"id":"d6ddb88b-1f5a-45ef-bf75-923227e587e6","block_type":"box","text":"assesses decarbonization efforts","page_number":235,"box":{"x":578,"y":390,"width":238,"height":9}},{"id":"01a5fddb-c605-412f-9e38-181176d3e948","block_type":"box","text":"Temperature &","page_number":235,"box":{"x":74,"y":428,"width":108,"height":11}},{"id":"26ac2ecf-fb19-4740-b389-f2a71a26aeef","block_type":"box","text":"scenario","page_number":235,"box":{"x":74,"y":443,"width":61,"height":9}},{"id":"573a7e45-75fd-4041-a4b8-b6d06edd27bb","block_type":"box","text":"alignment/","page_number":235,"box":{"x":74,"y":458,"width":82,"height":11}},{"id":"5307341a-d3c8-4e53-9e65-ac420e1377d7","block_type":"box","text":"pathways","page_number":235,"box":{"x":75,"y":473,"width":68,"height":11}},{"id":"f60c161e-8ad2-4c77-84fd-73d9db471e6e","block_type":"box","text":"Seeks disclosure from companies","page_number":235,"box":{"x":231,"y":428,"width":241,"height":11}},{"id":"dde81f51-c336-42a4-98c2-388ed09b6c80","block_type":"box","text":"that identifies and discusses the","page_number":235,"box":{"x":231,"y":443,"width":233,"height":9}},{"id":"9fb1b03e-8601-4043-ade1-326104f8f986","block_type":"box","text":"most plausible decarbonization","page_number":235,"box":{"x":232,"y":458,"width":219,"height":11}},{"id":"7d70edb1-6404-4f24-9eb3-3a41de84c7b8","block_type":"box","text":"pathway","page_number":235,"box":{"x":232,"y":473,"width":57,"height":11}},{"id":"2835e1bd-db1b-46e3-a8f7-fc6d13097dd4","block_type":"box","text":"Assesses temperature and","page_number":235,"box":{"x":577,"y":428,"width":191,"height":11}},{"id":"79f1c89c-22b5-474f-945c-54a0487ca92e","block_type":"box","text":"scenario alignment/pathways","page_number":235,"box":{"x":578,"y":443,"width":209,"height":11}},{"id":"e83c3533-549c-4bc7-98b3-543f9b88e587","block_type":"box","text":"to 1.5°C degrees","page_number":235,"box":{"x":577,"y":458,"width":121,"height":11}},{"id":"c7bd5f04-a95b-4864-b1dc-cf5661694b6a","block_type":"box","text":"Science-based","page_number":235,"box":{"x":74,"y":496,"width":104,"height":9}},{"id":"9f714aa5-a72e-4c6f-af5a-929efaf9078d","block_type":"box","text":"targets","page_number":235,"box":{"x":74,"y":511,"width":53,"height":11}},{"id":"a34674ea-8bbf-4c3b-9b29-91775e50eeb8","block_type":"box","text":"commitments &","page_number":235,"box":{"x":74,"y":526,"width":116,"height":9}},{"id":"77c96348-51b6-4c26-860d-6b7c83ade7aa","block_type":"box","text":"verifications","page_number":235,"box":{"x":74,"y":541,"width":89,"height":9}},{"id":"789a5c79-7389-4004-9976-5f3d2d0153d8","block_type":"box","text":"Disclosure topic but not vote","page_number":235,"box":{"x":232,"y":496,"width":203,"height":11}},{"id":"a80a02b1-d086-41bb-9df6-56279f02bd39","block_type":"box","text":"escalation criteria","page_number":235,"box":{"x":231,"y":511,"width":126,"height":9}},{"id":"dd1f0175-0e25-47e0-8a98-c5aab1d14480","block_type":"box","text":"Seeks science-based targets and","page_number":235,"box":{"x":578,"y":496,"width":235,"height":11}},{"id":"55c2e1bf-13b6-4384-94b9-2c683d03fedf","block_type":"box","text":"verifications where possible; may","page_number":235,"box":{"x":577,"y":511,"width":237,"height":11}},{"id":"f746a000-d776-4a48-88b3-56200870e07f","block_type":"box","text":"take voting action where absent","page_number":235,"box":{"x":577,"y":526,"width":227,"height":11}},{"id":"88c990f5-5a7a-4979-ae91-b81649fcc0ef","block_type":"box","text":"Company’s role in","page_number":235,"box":{"x":74,"y":564,"width":130,"height":11}},{"id":"6549c088-0815-4eb4-83f0-cf582626a4e9","block_type":"box","text":"the transition","page_number":235,"box":{"x":74,"y":579,"width":98,"height":9}},{"id":"6023c0a5-b2ae-4fb5-b4af-3446c9a2cec9","block_type":"box","text":"Disclosure topic but not vote","page_number":235,"box":{"x":232,"y":564,"width":203,"height":11}},{"id":"db627b75-96f8-4f11-9bfe-36bdb836e7da","block_type":"box","text":"escalation criteria","page_number":235,"box":{"x":231,"y":579,"width":126,"height":9}},{"id":"e237c578-3255-4273-9bc0-1def32aa04d6","block_type":"box","text":"Assesses activities benefitting from","page_number":235,"box":{"x":577,"y":564,"width":254,"height":11}},{"id":"2194d8d2-79c3-4ef4-bc95-d70f308805cb","block_type":"box","text":"and/or contributing to the transition","page_number":235,"box":{"x":578,"y":579,"width":254,"height":11}},{"id":"86018eb0-7be8-47cd-9132-f76298f671b9","block_type":"box","text":"to a low-carbon economy","page_number":235,"box":{"x":577,"y":594,"width":176,"height":11}},{"id":"448fd615-8e4b-4d63-b72c-54b8fd899436","block_type":"box","text":"Shareholder","page_number":235,"box":{"x":74,"y":617,"width":87,"height":9}},{"id":"45164693-7267-425d-80fa-ba6063d42f57","block_type":"box","text":"proposals","page_number":235,"box":{"x":75,"y":632,"width":69,"height":11}},{"id":"e868159c-9b2d-4a53-9412-762d91c4f9c0","block_type":"box","text":"Case-by-case approach with focus","page_number":235,"box":{"x":231,"y":617,"width":240,"height":11}},{"id":"d5d3e5ff-e32c-4c26-8fde-d251cdfc9fa3","block_type":"box","text":"on implications for long-term","page_number":235,"box":{"x":231,"y":632,"width":202,"height":11}},{"id":"3862c023-0cac-4cac-bbe1-f62289f16b2b","block_type":"box","text":"financial value creation","page_number":235,"box":{"x":231,"y":647,"width":163,"height":9}},{"id":"6787a47b-286f-4351-ab52-1edb0893b553","block_type":"box","text":"No support for shareholder","page_number":235,"box":{"x":232,"y":666,"width":192,"height":11}},{"id":"302bce5c-3475-43c3-925c-49971d9f6a21","block_type":"box","text":"proposals that seek to direct","page_number":235,"box":{"x":232,"y":681,"width":205,"height":11}},{"id":"2eb7b028-8bc0-4702-8e0a-94db56e859f5","block_type":"box","text":"management strategy","page_number":235,"box":{"x":232,"y":697,"width":153,"height":10}},{"id":"4be39059-a664-436d-91e5-7f966f1115ab","block_type":"box","text":"Case-by-case approach with","page_number":235,"box":{"x":578,"y":617,"width":195,"height":11}},{"id":"0cd119cf-504d-4efe-a13b-bf0d7f46df5f","block_type":"box","text":"further consideration given to","page_number":235,"box":{"x":577,"y":632,"width":209,"height":11}},{"id":"779e9ee9-a458-4bcf-a709-c5ab1168ca83","block_type":"box","text":"decarbonization objectives in","page_number":235,"box":{"x":578,"y":647,"width":204,"height":11}},{"id":"fabb1c9c-4109-417a-9db7-450ba43c2e8c","block_type":"box","text":"addition to financial performance","page_number":235,"box":{"x":578,"y":662,"width":235,"height":11}},{"id":"9a523add-8276-40b9-aa61-b931e184d7b8","block_type":"box","text":"No support for shareholder","page_number":235,"box":{"x":578,"y":681,"width":192,"height":11}},{"id":"0936a98a-0829-40c6-9a36-5f81250dc120","block_type":"box","text":"proposals that seek to direct","page_number":235,"box":{"x":578,"y":696,"width":205,"height":11}},{"id":"c795d6eb-e5f9-4bba-b345-941e8c5ad2b5","block_type":"box","text":"management strategy","page_number":235,"box":{"x":578,"y":712,"width":154,"height":10}},{"id":"191c9608-a13f-450c-87ca-6ec4b58249fb","block_type":"box","text":"32","page_number":235,"box":{"x":69,"y":750,"width":9,"height":5}},{"id":"9dd74d71-d6e9-4998-8396-8dda610ce89c","block_type":"box","text":"There may be some regional variations in voting under these Guidelines in light of company circumstances, policy","page_number":235,"box":{"x":83,"y":750,"width":809,"height":11}},{"id":"8e82ed7a-1436-419c-97df-c0c48006ca9a","block_type":"box","text":"requirements in a particular market or a country’s Nationally Defined Contributions, amongst other things.","page_number":235,"box":{"x":69,"y":765,"width":755,"height":11}},{"id":"90bddc41-28e7-41b9-afd2-bf83e57e4770","block_type":"box","text":"33","page_number":235,"box":{"x":69,"y":783,"width":9,"height":4}},{"id":"2c3e8d91-80c3-440c-8703-a82061184705","block_type":"box","text":"The BIS Global Principles, regional voting guidelines, and Engagement Priorities (collectively, the BIS Benchmark","page_number":235,"box":{"x":83,"y":783,"width":798,"height":11}},{"id":"bca2805a-3070-4648-b328-8f7310f95875","block_type":"box","text":"Policies) set out the core elements of corporate governance that guide our investment stewardship program. The","page_number":235,"box":{"x":69,"y":798,"width":803,"height":11}},{"id":"32f70e1c-eed0-4c36-a3e5-33753616189d","block_type":"box","text":"Benchmark Policies apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":235,"box":{"x":70,"y":813,"width":800,"height":11}},{"id":"5ba3a0e2-87de-4336-bd4e-5bb218818ea9","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":235,"box":{"x":69,"y":828,"width":648,"height":11}},{"id":"9c951d2e-4602-4e04-bd19-8ef8eb316c1e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":235,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"e7259384-b1bf-44af-8847-92651640c8a8","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 11","page_number":235,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"42304213-4517-4f14-afec-e82ac3348cf2","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":235,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1f79fb7e-d5cb-46cf-8292-d936707d9b56","block_type":"box","text":"Want to know more?","page_number":236,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"6cf144e3-4e02-41fa-b05e-528a0617e6c2","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":236,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"d1f5fcd7-5334-4e93-a19f-831974333e7c","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":236,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"6519d76c-2dec-4f39-ad71-f363e47ae915","block_type":"box","text":"principal.","page_number":236,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"720c6f2c-8ea0-48a4-b9d4-e6acba265427","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":236,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"830395c8-261e-4089-81f2-72f1a01c819d","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":236,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"f1047fc5-0637-47d3-99b4-eca023af00c7","block_type":"box","text":"BLACKROCK","page_number":236,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"aa627260-bf6e-4eb0-b97f-68bbf9fcfd09","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":236,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"e5445ba0-00a8-481c-9d1e-36079e4ad434","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":236,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"e1684c39-b068-4993-a354-7e1b619afd8d","block_type":"box","text":"BlackRock Investment Stewardship","page_number":236,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"217feb8e-38e6-4b25-9578-e0b9c793832a","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 12","page_number":236,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"674d6535-af05-43dd-bb1e-152ac3015f0b","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":236,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7f2dbc67-c576-4c6e-a3c8-dfc6dac8a35b","block_type":"box","text":"[This page intentionally left blank]","page_number":237,"box":{"x":370,"y":489,"width":238,"height":12}},{"id":"4aa82b9b-14f2-4e13-a093-26c35994b12d","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":237,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"642e2267-a9fc-443d-bb63-4302eca13c8d","block_type":"box","text":"[This page intentionally left blank]","page_number":238,"box":{"x":370,"y":489,"width":238,"height":12}},{"id":"6f555636-e3b0-4494-b67c-043eda637740","block_type":"box","text":"BNM1026U-6032633-19203503","page_number":238,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"60c5662e-36a3-4323-a78f-988059f7f369","block_type":"box","text":"SAI-CS-0926","page_number":239,"box":{"x":69,"y":943,"width":89,"height":9}},{"id":"5ab7907e-0eb2-43b1-829b-1f30422b8155","block_type":"box","text":"BNM1026U-6032633-19203503","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":"7828c157-509d-465f-a15a-02d8f7a3a080"},"user_id":1000002,"date_created":"2026-10-19T23:24:01.487000Z","date_modified":"2026-10-19T23:24:01.487000Z","private":false}