Form N-CSRS BlackRock Funds V For: Feb 29

May 4, 2020 1:09 PM EDT

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington,D.C.20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT

INVESTMENT COMPANIES

Investment Company Act file number: 811-23339

Name of Fund: BlackRock Funds V

BlackRock Floating Rate Income Portfolio

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

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

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

Date of fiscal year end: 08/31/2020

Date of reporting period: 02/29/2020

Item 1 – Report to Stockholders

 

  FEBRUARY 29, 2020

 

  2020 Semi-Annual Report
(Unaudited)

 

BlackRock Funds V

 

BlackRock Floating Rate Income Portfolio

 

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of the Fund’s shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports from BlackRock or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on a website, and you will be notified by mail each time a report is posted and provided with a website link to access the report.

 

You may elect to receive all future reports in paper free of charge. If you hold accounts directly with BlackRock, you can call (800) 441-7762 to inform BlackRock that you wish to continue receiving paper copies of your shareholder reports. If you hold accounts through a financial intermediary, you can follow the instructions included with this disclosure, if applicable, or contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports. Please note that not all financial intermediaries may offer this service. Your election to receive reports in paper will apply to all funds advised by BlackRock Advisors, LLC, BlackRock Fund Advisors or their affiliates, or all funds held with your financial intermediary, as applicable.

 

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive electronic delivery of shareholder reports and other communications by: (i) accessing the BlackRock website at blackrock.com/edelivery and logging into your accounts, if you hold accounts directly with BlackRock, or (ii) contacting your financial intermediary, if you hold accounts through a financial intermediary. Please note that not all financial intermediaries may offer this service.

 

Not FDIC Insured - May Lose Value - No Bank Guarantee

 

 

 

 

 

 

The Markets in Review

 

 

Dear Shareholder,

 

The last 12 months have been a time of sudden change in global financial markets, as a long period of growth and positive returns was interrupted in early 2020 by the emergence and spread of the coronavirus. For much of the reporting period, U.S. equities and bonds both delivered impressive returns, despite fears and doubts about the economy that were ultimately laid to rest with unprecedented monetary stimulus and a sluggish yet resolute performance from the U.S. economy. But as threat from the coronavirus became more apparent throughout February 2020, which led China to take economically disruptive countermeasures, equity prices fell sharply. Now that the virus has spread around the globe and an economic downturn appears to be inevitable, investors are faced with the question of how long and how deep it will be.

 

Returns for most securities were robust for the first eleven months of the reporting period, as investors began to realize that the U.S. economy was maintaining the modest yet steady growth that had characterized this economic cycle. While the coronavirus-related downturn negatively impacted all equity types, U.S. large cap-stocks still achieved positive returns for the reporting period due to the strength of their prior gains. However, U.S. small-cap, international, and emerging market equities all ended the reporting period with negative performance.

 

Fixed-income securities played an important role in diversified portfolios by delivering strong returns amid economic uncertainty, as interest rates declined (and bond prices rose). Returns were further bolstered late in the reporting period as investors moved towards relatively lower-risk bonds, which drove the yield on the 10- year Treasury, a bond market bellwether, to a 10-year low.

 

Continuing the shift toward looser monetary policy that began in early 2019, the U.S. Federal Reserve (the “Fed”) increased efforts to stimulate economic activity. The Fed reduced interest rates three times during the reporting period, from July 2019 to October 2019, while the European Central Bank also increased monetary stimulus, and the Bank of Japan continued to provide extensive monetary stimulus. Following the market downturn, investors were hopeful that central banks would intervene to further support the financial system.

 

Looking ahead, while coronavirus-related disruption is certain to hurt worldwide economic growth, the global expansion is likely to continue once the impact of the outbreak subsides. For the near term, however, the disruption is likely to act as a further drag on corporate earnings, following flat earnings growth in 2019. A coordinated monetary and fiscal response will be necessary to help businesses and individuals through the crisis, and hopeful signs have emerged on this front in the United States and abroad. If measures are taken to contain the virus and provide support to impacted businesses and individuals, we anticipate a sharp increase in economic activity as life returns to normal.

 

Overall, we favor a neutral stance toward risk, given the uncertainty surrounding the economic impact of coronavirus countermeasures. Among equities, we see an advantage in U.S. stocks compared to other developed markets, given the diversity of the U.S. economy and the ability to quickly provide monetary and fiscal stimulus. In bonds, we favor U.S. Treasuries over other government bonds, but maintain a neutral stance overall, and see risks that Treasuries offer a diminishing buffer from equity market selloffs.

 

In this environment, investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit blackrock.com for further insight about investing in today’s markets.

 

Sincerely,

 

 

 

Rob Kapito

President, BlackRock Advisors, LLC

 

 

Rob Kapito

President, BlackRock Advisors, LLC

 

 

Total Returns as of February 29, 2020

 

  6-Month 12-Month
U.S. large cap equities (S&P 500® Index) 1.92% 8.19%
U.S. small cap equities (Russell 2000® Index) (0.52) (4.92)
International equities (MSCI Europe, Australasia, Far East Index) (0.91) (0.57)
Emerging market equities (MSCI Emerging Markets Index) 2.93 (1.88)

3-month Treasury bills (ICE BofAML 3-Month U.S. Treasury Bill Index) 

0.92 2.18
U.S. Treasury securities (ICE BofAML 10-Year U.S. Treasury Index) 4.07 16.75
U.S. investment grade bonds (Bloomberg Barclays U.S. Aggregate Bond Index) 3.39 11.68
Tax-exempt municipal bonds (S&P Municipal Bond Index) 2.85 8.94
U.S. high yield bonds (Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index) 1.56 6.10

 

Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index. 

 

 

 

 

 



 

2

This Page Is Not Part Of Your Fund Report

 

 

 

 

 

Fund Summary as of February 29, 2020 BlackRock Floating Rate Income Portfolio

 

Investment Objective

 

BlackRock Floating Rate Income Portfolio’s (the “Fund”) investment objective is to seek to provide high current income, with a secondary objective of long-term capital appreciation.

  

Portfolio Management Commentary

 

How did the Fund perform?

For the six-month period ending February 29, 2020, the Fund underperformed the benchmark S&P®/LSTA Leveraged Loan Index.

  

What factors influenced performance?

Security selection detracted for the period, most notably within the technology, financials, health care and wireless sectors. An out-of-benchmark allocation to high yield bonds also detracted from the Fund’s results. Finally, an underweight allocation to floating rate loan interests (“bank loans”) in the BB quality range and security selection within B and CCC rated credits weighed on relative performance.

 

Positive contributions to performance were led by underweight allocations to the oil field services and midstream segments within energy. Security selection within the consumer cyclical services and leisure sectors also aided relative performance.

 

Describe recent portfolio activity.

The Fund increased its exposure to the technology, wirelines and cable & satellite sectors while reducing its risk within the packaging, electric and wireless sectors. In addition, indexed exposure to bank loans was increased while the cash position was slightly decreased.

 

The Fund’s cash position was at times elevated throughout the period. While the Fund generally seeks to be fully invested, cash levels will fluctuate based on market conditions, liquidity considerations and investor flows. The Fund’s cash balance did not have a material impact on Fund performance.

 

Describe Fund positioning at period end.

The Fund remained positioned to earn attractive floating rate coupon income while seeking to protect capital. At period end, approximately 91% of the Fund was held in core bank loan exposure, whether in single name format (the vast majority) or index products. Positioning was balanced from a credit rating perspective, while reflecting an overweight to more liquid B rated paper and underweights to BB and higher beta (more market sensitive) CCC rated loans. The Fund’s sector overweight positions included consumer cyclical services, pharmaceuticals and aerospace/defense, while the Fund was underweight to retailers, financial other and leisure.

 

The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

 

Performance Summary for the Period Ended February 29, 2020

 

         Average Annual Total Returns (a)(b)
         1 Year  5 Years  10 Years
   Standardized 30-Day Yields   Unsubsidized 30-Day Yields   6-Month Total Returns   w/o sales charge   w/sales charge   w/o sales charge   w/sales charge   w/o sales charge   w/sales charge 
Institutional   4.45%  4.44%  0.91%  3.00%  N/A   3.49%  N/A   4.47%  N/A 
Investor A  4.07   4.06   0.77   2.72   0.15%  3.18   2.66%  4.18   3.92%
Investor C  3.41   3.40   0.39   1.95   0.97   2.44   2.44   3.42   3.42 
Class K  4.50   4.49   0.83   2.95   N/A   3.44   N/A   4.31   N/A 
S&P®/LSTA Leveraged Loan Index(c)        1.42   3.48   N/A   3.92   N/A   4.68   N/A 

 

(a)Assuming maximum sales charges, if any. Average annual total returns with and without sales charges reflect reductions for distribution and service fees. See “About Fund Performance” on page 6 for a detailed description of share classes, including any related sales charges and fees, and how performance was calculated for certain share classes.

(b)The Fund normally invests at least 80% of its assets in floating rate investments and investments that are the economic equivalent of floating rate investments, which effectively enables the Fund to achieve a floating rate of income. On September 17, 2018, the Fund acquired all of the assets, subject to the liabilities, of BlackRock Floating Rate Income Portfolio (the “Predecessor Fund”), a series of BlackRock Funds II, through a tax-free reorganization (the “Reorganization”). The Predecessor Fund is the performance and accounting survivor of the Reorganization. The Predecessor Fund acquired the assets and liabilities of BlackRock Senior Floating Rate Fund, Inc. in a reorganization on March 21, 2011.

(c)An unmanaged market value-weighted index designed to measure the performance of the U.S. leveraged loan market based upon market weightings, spreads and interest payments.

N/A — Not applicable as share class and index do not have a sales charge.

Past performance is not indicative of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

 

4

2020 Black Rock Semi - Annual Report To Shareholders 

 

 

 

Fund Summary as of February 29, 2020 (continued) BlackRock Floating Rate Income Portfolio

 

Portfolio Information

 

PORTFOLIO COMPOSITION
Asset Type  Percent of Total Investments (a)
Floating Rate Loan Interests  94%
Investment Companies  5 
Asset-Backed Securities  1 
Corporate Bonds  (b)
Common Stocks  (b)
Other Interests  (b)
Warrants  (b)

 

(a)Total Investments exclude short-term securities and options purchased.
(b)Represents less than 1% of the Fund's total investments.
CREDIT QUALITY ALLOCATION
   Percent of 
Credit Rating (a)  Total Investments(b)
AAA/Aaa  %(c)
AA/Aa  (c)
A   (c)
BBB/Baa  6 
BB/Ba  22 
B  65 
CCC/Caa  2 
D  (c)
NR  5 
     

(a)For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P Global Ratings or Moody’s Investors Service if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/ Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated NR are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.
(b)Total Investments exclude short-term securities and options purchased.

(c)Represents less than 1% of the Fund's total investments.


 

Fund Summary 5

 

 

 

 

About Fund Performance

 

Institutional and Class K Shares are not subject to any sales charge. These shares bear no ongoing distribution or service fees and are available only to certain eligible investors. Prior to March 21, 2011, Institutional Shares’ performance results are those of Investor A Shares. Class K Shares’ performance results shown prior to the Class K Shares’ inception date of March 28, 2016 is that of Investor A Shares. The performance of both the Fund’s Institutional Shares and Class K Shares would be substantially similar to Investor A Shares because Institutional Shares, Class K Shares and Investor A Shares invest in the same portfolio of securities and performance would only differ to the extent that both Institutional Shares and Class K Shares have different expenses than Investor A Shares. The actual returns of both Institutional Shares and Class K Shares would have been higher than those of the Investor A Shares because Institutional Shares and Class K Shares have lower expenses than the Investor A Shares.

 

Investor A Shares are subject to a maximum initial sales charge (front-end load) of 2.50% and a service fee of 0.25% per year (but no distribution fee). Prior to March 21, 2011, Investor A Shares’ performance results are those of the BlackRock Senior Floating Rate Fund, Inc. restated to reflect Investor A Shares’ fees. Certain redemptions of these shares may be subject to a contingent deferred sales charge (“CDSC”) where no initial sales charge was paid at the time of purchase. These shares are generally available through financial intermediaries.

 

Investor C Shares are subject to a 1.00% CDSC if redeemed within one year of purchase. In addition, these shares are subject to a distribution fee of 0.75% per year and a service fee of 0.25% per year. These shares are generally available through financial intermediaries. Prior to March 21, 2011, Investor C Shares’ performance results are those of the BlackRock Senior Floating Rate Fund, Inc. restated to reflect Investor C Shares’ fees. These shares automatically convert to Investor A Shares after approximately ten years.

 

Performance information reflects past performance and does not guarantee future results. Current performance may be lower or higher than the performance data quoted. Refer to blackrock.com to obtain performance data current to the most recent month-end. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Figures shown in the performance table on the previous pages assume reinvestment of all distributions, if any, at net asset value (“NAV”) on the ex-dividend date or payable date, as applicable. Investment return and principal value of shares will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Distributions paid to each class of shares will vary because of different levels of service, distribution and transfer agency fees applicable to each class, which are deducted from the income available to be paid to shareholders.

 

BlackRock Advisors, LLC (the “Manager”), the Fund’s investment adviser, has contractually agreed to waive and/or reimburse a portion of the Fund’s expenses. Without such waiver and/or reimbursement, the Fund’s performance would have been lower. With respect to the Fund's contractual waivers, the Manager is under no obligation to continue waiving and/or reimbursing its fees after the applicable termination date of such agreement. See Note 6 of the Notes to Financial Statements for additional information on waivers and/or reimbursements.

 

The standardized 30-day yield includes the effects of any waivers and/or reimbursements. The unsubsidized 30-day yield excludes the effects of any waivers and/or reimbursements.

 

6

2020 Black Rock Semi - Annual Report To Shareholders 

 

 

 

 

Disclosure of Expenses

 

Shareholders of the Fund may incur the following charges: (a) transactional expenses, such as sales charges; and (b) operating expenses, including investment advisory fees, administration fees, service and distribution fees, including 12b-1 fees, acquired fund fees and expenses and other fund expenses. The expense example shown below (which is based on a hypothetical investment of $1,000 invested on September 1, 2019 and held through February 29, 2020) is intended to assist shareholders both in calculating expenses based on an investment in the Fund and in comparing these expenses with similar costs of investing in other mutual funds.

 

The expense example provides information about actual account values and actual expenses. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number corresponding to their share class under the heading entitled “Expenses Paid During the Period.”

 

The expense example also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in the Fund and other funds, compare the 5% hypothetical example with the 5% hypothetical examples that appear in shareholder reports of other funds.

 

The expenses shown in the expense example are intended to highlight shareholders’ ongoing costs only and do not reflect transactional expenses, such as sales charges, if any. Therefore, the hypothetical example is useful in comparing ongoing expenses only, and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

 

   Actual  Hypothetical (a)   
  

Beginning

Account Value (09/01/19)

 

Ending

Account Value (02/29/20)

 

Expenses

Paid During

the Period (b)

 

Beginning

Account Value (09/01/19)

 

Ending

Account Value (02/29/20)

 

Expenses

Paid During

the Period (b)

 

Annualized Expense 

Ratio 

                      
Institutional  $1,000.00  $1,009.10  $3.35  $1,000.00  $1,021.53  $3.37   0.67%
Investor A   1,000.00   1,007.70   4.74   1,000.00   1,020.14   4.77   0.95
Investor C   1,000.00   1,003.90   8.52   1,000.00   1,016.36   8.57   1.71
Class K   1,000.00   1,008.30   3.15   1,000.00   1,021.73   3.17   0.63

 

(a)Hypothetical 5% annual return before expenses is calculated by prorating the number of days in the most recent fiscal half year divided by 366.

(b)For each class of the Fund, expenses are equal to the annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 182/366 (to reflect the one-half year period shown)

 

Derivative Financial Instruments

 

The Fund may invest in various derivative financial instruments. These instruments are used to obtain exposure to a security, commodity, index, market, and/or other assets without owning or taking physical custody of securities, commodities and/or other referenced assets or to manage market, equity, credit, interest rate, foreign currency exchange rate, commodity and/or other risks. Derivative financial instruments may give rise to a form of economic leverage and involve risks, including the imperfect correlation between the value of a derivative financial instrument and the underlying asset, possible default of the counterparty to the transaction or illiquidity of the instrument. The Fund’s successful use of a derivative financial instrument depends on the investment adviser’s ability to predict pertinent market movements accurately, which cannot be assured. The use of these instruments may result in losses greater than if they had not been used, may limit the amount of appreciation the Fund can realize on an investment and/or may result in lower distributions paid to shareholders. The Fund’s investments in these instruments, if any, are discussed in detail in the Notes to Financial Statements.

 

Disclosure Of Expenses / Derivative Financial Instruments 7

 

 

 

 

Schedule of Investments (unaudited) BlackRock Floating Rate Income Portfolio
   
February 29, 2020 (Percentages shown are based on Net Assets)

 

Security  Par
(000)
   Value 
           
Asset-Backed Securities — 0.5%(a)          
ALM 2020 Ltd., Series 2020-1A, Class A2,          
(LIBOR USD 3 Month + 1.85%), 0.00%,          
10/15/29(b) USD   2,750   $2,750,000 
Gulf Stream Meridian 1 Ltd.(b):          
Series 2020-IA, Class A1, (LIBOR USD 3          
Month + 1.37%), 3.01%, 04/15/33   3,000    3,000,000 
Series 2020-IA, Class B, (LIBOR USD 3          
Month + 2.00%), 3.64%, 04/15/33   2,750    2,750,000 
OCP CLO Ltd., Series 2013-4A, Class CRR,          
(LIBOR USD 3 Month + 3.00%), 0.00%,          
04/24/29(b)   1,500    1,500,000 
TCW CLO Ltd.(b):          
Series 2017-1A, Class CR, (LIBOR USD 3          
Month + 2.05%), 0.00%, 07/29/29   3,250    3,250,000 
Series 2017-1A, Class DR, (LIBOR USD 3          
Month + 3.15%), 0.00%, 07/29/29   1,500    1,500,000 
           
Total Asset-Backed Securities — 0.5%          
(Cost: $14,722,165).        14,750,000 

 

   Shares     
Common Stocks — 0.1%          
           
Commercial Services & Supplies — 0.0%          
Preston Holdings LLC(c)(d)   42,521    340,168 
           
Electric Utilities — 0.1%          
TexGen Power LLC(c)(d)   46,825    1,697,406 
           
Energy Equipment & Services — 0.0%          
McDermott International, Inc.(c)   46,981    1,783 
           
Health Care Providers & Services — 0.0%          
New Millennium Holdco, Inc.(c)   71,823    3,950 
           
Machinery — 0.0%          
Ameriforge Group, Inc.(c)   5,385    269,250 
           
Marine — 0.0%          
Projector SA(c)(d)   42,521     
           
Media — 0.0%          
Clear Channel Outdoor Holdings, Inc.(c)   480,539    994,716 
           
Software — 0.0%          
Avaya Holdings Corp.(c)   262    3,396 
           
Total Common Stocks — 0.1%          
(Cost: $4,316,401)        3,310,669 

 

   Par
(000)
     
Corporate Bonds — 0.5%          
           
Communications Equipment — 0.0%          
Avaya, Inc., 7.00%, 04/01/19(a)(d)   5,545     
           
Distributors — 0.2%          
Wolverine Escrow LLC, 9.00%, 11/15/26(a)   6,095    6,079,764 
           
Diversified Telecommunication Services — 0.1%          
Front Range BidCo, Inc., 6.13%, 03/01/28(a)   1,114    1,100,298 
           
Electric Utilities — 0.0%          
Texas Competitive Electric Holdings Co. LLC(d):          
(LIBOR USD 3 Month + 4.50%), 5.10%,          
10/10/19(b)(c)(e)   8,430     
11.50%,10/01/20   5,909     
          

 

       Par     
Security        (000)    Value 
                
IT Services — 0.0%               
Presidio Holdings, Inc., 8.25%, 02/01/28(a)   USD    389   $401,158 
                
Machinery — 0.1%               
Husky III Holding Ltd., 13.00%, (13.00% Cash               
or 13.75% PIK), 02/15/25(a)(f)        3,700    3,589,000 
                
Software — 0.1%               
Castle US Holding Corp., 9.50%, 02/15/28(a)        2,796    2,799,495 
                
Total Corporate Bonds — 0.5%               
(Cost: $14,129,747).             13,969,715 
                
Floating Rate Loan Interests — 92.2%(g)               
Aerospace & Defense — 2.7%               
Arconic Rolled Products Corp., Term Loan B,               
02/04/27(d)(h)        2,756    2,721,550 
Atlantic Aviation FBO, Inc., Term Loan B,               
12/06/25(h)        2,028    2,020,554 
Bleriot US Bidco, Inc., Term Loan B, 10/30/26(h)        6,658    6,628,560 
Dynasty Acquisition Co., Inc., Term Loan:               
(LIBOR USD 3 Month + 3.50%),               
5.21%,04/06/26        29,727    29,095,421 
Sequa Mezzanine Holdings LLC, 1st Lien Term               
Loan, (LIBOR USD 3 Month + 5.00%),               
6.71% - 6.74%, 11/28/21.        6,881    6,854,811 
Transdigm, Inc., Term Loan:               
(LIBOR USD 1 Month + 2.25%),               
3.85%,08/22/24        2,621    2,568,162 
(LIBOR USD 1 Month + 2.25%),               
3.85%,12/09/25        29,998    29,285,620 
              79,174,678 
                
Air Freight & Logistics — 0.0%               
Avolon Borrower 1 LLC, 1st Lien Term Loan B3,               
01/15/25(h)        50    49,305 
                
Airlines — 0.9%               
American Airlines, Inc., 1st Lien Term               
Loan, (LIBOR USD 1 Month + 1.75%),               
3.35%,01/29/27        1,014    959,121 
American Airlines, Inc., Term Loan B:               
(LIBOR USD 1 Month + 2.00%),               
3.60%,04/28/23        4,642    4,493,215 
(LIBOR USD 1 Month + 2.00%),               
3.66%,12/15/23        7,745    7,496,903 
Kestrel Bidco, Inc., Term Loan, (LIBOR USD 1               
Month + 3.00%), 4.65%, 12/11/26        13,106    12,601,419 
              25,550,658 
                
Auto Components — 0.9%               
Panther BF Aggregator 2 LP, Term Loan B:               
(EURIBOR 1 Month + 3.75%),               
3.75%,04/30/26   EUR    2,000    2,177,541 
04/30/26(d)(h)   USD    22,009    21,431,198 
Wand Newco 3, Inc., Term Loan, 02/05/26(h)        3,137    3,071,446 
              26,680,185 
                
Automobiles — 0.4%               
Dealer Tire LLC, Term Loan B1, (LIBOR USD 1               
Month + 4.25%), 5.85%, 12/12/25(d)        10,785    10,650,187 
                
Building Products — 0.6%               
CPG Merger Sub LLC, Term Loan, (LIBOR               
USD 3 Month + 3.75%), 5.93%, 05/05/24        6,727    6,668,394 
LSF10 XL Bidco SCA, Term Loan, (EURIBOR 3               
Month + 4.00%), 4.00%, 10/12/26   EUR    2,000    2,168,710 
Wilsonart LLC, 1st Lien Term Loan B,               
12/19/23(h)   USD    10,489    10,161,058 
              18,998,162 


8

2020 Black Rock Semi - Annual Report To Shareholders 

 

 

 

Schedule of Investments (unaudited) (continued) BlackRock Floating Rate Income Portfolio
   
February 29, 2020 (Percentages shown are based on Net Assets)

 

       Par     
Security        (000)   Value 
                
Capital Markets — 3.4%               
Deerfield Holdings Corp., Term Loan, (LIBOR               
USD 1 Month + 3.25%), 4.85%, 02/13/25   USD    14,126   $14,059,714 
Fortress Investment Group LLC, Term Loan               
B, (LIBOR USD 1 Month + 2.00%),               
3.60%,12/27/22        5,694    5,633,947 
Greenhill & Co., Inc., Term Loan, (LIBOR USD               
1 Month + 3.25%), 4.91%, 04/12/24        6,167    6,139,053 
Jefferies Finance LLC, Term Loan, (LIBOR USD               
6 Month + 3.25%), 4.94%, 06/03/26(d)        9,246    9,084,387 
Travelport Finance (Luxembourg) SA, 1st Lien               
Term Loan, 05/29/26(h)        11,083    8,409,267 
Travelport Finance (Luxembourg) SA, 2nd Lien               
Term Loan, (LIBOR USD 3 Month + 9.00%),               
10.94%, 03/18/27(d)        5,005    3,503,500 
Zayo Group LLC, Term Loan, 02/05/27(h)        56,566    55,172,213 
              102,002,081 
                
Chemicals — 3.0%               
Allnex (Luxembourg) & Cy SCA, Term               
Loan B1, (EURIBOR 1 Month + 3.25%),               
3.25%,09/13/23   EUR    1,959    2,076,644 
Alpha 3 BV, Term Loan, 01/31/24(h)   USD    17,011    16,287,860 
Ascend Performance Materials LLC, Term               
Loan B, (LIBOR USD 1 Month + 5.25%),               
7.20%, 08/14/26(d)        10,681    10,641,003 
Axalta Dupont PC, Term Loan, (LIBOR USD 3               
Month + 1.75%), 3.69%, 06/01/24        11,695    11,441,774 
Chemours Co. (The), 1st Lien Term               
Loan, (LIBOR USD 1 Month + 1.75%),               
3.36%,04/03/25        3,894    3,701,917 
Ennis-Flint Road Infrastructure Investment,               
Term Loan, 06/13/23(h)        5,712    5,246,609 
Greenrock Finance, Inc., Term Loan, 06/28/24(h)        3,638    3,610,191 
Invictus Co., Term Loan B, (LIBOR USD 3               
Month + 3.00%), 4.78%, 03/28/25        3,734    3,519,282 
Invictus Co., Term Loan B26, (LIBOR USD 3               
Month + 6.75%), 8.53%, 03/30/26        1,945    1,756,977 
IPS Acquisition LLC, Term Loan B2, 11/07/24(h)        5,727    5,669,278 
LTI Holdings, Inc., Term Loan, (LIBOR USD 1               
Month + 3.50%), 5.10%, 09/06/25        2,858    2,364,922 
Messer Industries GmbH, Term Loan, (LIBOR               
USD 3 Month + 2.50%), 4.44%, 03/02/26        8,901    8,734,173 
Momentive Performance Materials, Inc., Term               
Loan, (LIBOR USD 1 Month + 3.25%),               
4.86%,05/15/24        3,284    3,140,798 
Oxea Holding GmbH, Term Loan, 10/14/24(h)        11,210    11,103,065 
              89,294,493 
                
Commercial Services & Supplies — 4.5%               
Advanced Disposal Services, Inc., Term               
Loan, (LIBOR USD 3 Month + 2.25%),               
3.83%,11/10/23        12,678    12,641,201 
Allied Universal Holdco LLC, Term Loan               
B, (LIBOR USD 1 Month + 4.25%),               
5.85%,07/10/26        22,816    22,549,795 
Brand Energy & Infrastructure Services, Inc.,               
Term Loan, (LIBOR USD 3 Month + 4.25%),               
6.06% - 6.12%, 06/21/24.        11,980    11,704,380 
Capri Acquisitions Bidco Ltd., Term Loan,               
11/01/24(h)        17,172    16,769,282 
Cast & Crew Payroll LLC, Term Loan B,               
02/09/26(d)(h)        1,264    1,243,460 
Cast & Crewpayroll, 1st Lien Term Loan,               
01/16/26(h)        9,625    9,492,277 
Diamond (BC) BV, Term Loan, 09/06/24(h)        5,246    5,016,913 
EnergySolutions LLC, Term Loan, (LIBOR USD               
3 Month + 3.75%), 5.69%, 05/30/25(d)        2,280    2,131,761 

 

       Par     
Security        (000)   Value 
                
Commercial Services & Supplies (continued)               
GFL Environmental, Inc., Term Loan B,               
(LIBOR USD 3 Month + 2.00%), 4.60% -               
6.75%,05/30/25   USD    4,151   $4,066,904 
Harland Clarke Holdings Corp., Term Loan               
B, (LIBOR USD 3 Month + 4.75%),               
6.46%,11/03/23        1,978    1,556,257 
KAR Auction Services, Inc., Term Loan               
B, (LIBOR USD 1 Month + 2.25%),               
3.94%, 09/19/26(d)        3,545    3,509,601 
Prime Security Services Borrower LLC, 1st Lien               
Term Loan, (LIBOR USD 1 Month + 3.25%),               
4.91%,09/23/26        8,894    8,638,527 
Tempo Acquisition LLC, Term Loan, (LIBOR               
USD 1 Month + 2.75%), 4.35%, 05/01/24        21,595    21,284,815 
US Ecology Holdings, Inc., Term Loan, (LIBOR               
USD 1 Month + 2.50%), 4.10%, 11/02/26(d)        1,804    1,813,020 
West Corp., Term Loan:               
(LIBOR USD 1 Month + 3.50%),               
5.10%,10/10/24        1,615    1,268,089 
(LIBOR USD 1 Month + 4.00%),               
5.60%,10/10/24        12,418    9,841,039 
              133,527,321 
                
Construction & Engineering — 0.3%               
Ply Gem, Inc., Term Loan B, (LIBOR USD 1               
Month + 3.75%), 5.41%, 04/01/25(d)        1,960    1,901,322 
SRS Distribution, Inc., Term Loan B, (LIBOR               
USD 1 Month + 3.00%), 4.60%, 05/23/25        7,317    7,091,039 
              8,992,361 
                
Construction Materials — 1.3%               
American Builders And Contractors Supply,               
Term Loan, 01/15/27(h)        8,954    8,845,205 
Core & Main LP, Term Loan, (LIBOR USD 3               
Month + 2.75%), 4.41% - 4.66%, 08/01/24(d)        18,471    18,147,888 
Forterra Finance LLC, 1st Lien Term Loan,               
10/25/23(h)        4,809    4,634,665 
Foundation Building Materials, Inc., 1st Lien               
Term Loan B, (LIBOR USD 1 Month +               
3.00%), 4.60%, 08/13/25.        3,994    3,967,478 
TAMKO Building Products LLC, 1st Lien Term               
Loan B, (LIBOR USD 1 Month + 3.25%),               
4.85%, 05/29/26(d)        3,054    3,039,069 
              38,634,305 
                
Containers & Packaging — 2.5%               
Berry Global, Inc, Term Loan W, (LIBOR USD 1               
Month + 2.00%), 3.67%, 10/01/22        8,927    8,804,305 
BWAY Holding Co., Term Loan, 04/03/24(h)        10,689    10,189,758 
Charter NEX US, Inc., 1st Lien Term Loan(d):               
05/16/24(h)        14,168    13,743,063 
(LIBOR USD 1 Month + 3.50%),               
5.10%,05/16/24        3,163    3,123,566 
Flex Acquisition Co., Inc., Term Loan,               
(LIBOR USD 3 Month + 3.00%), 4.66% -               
4.91%,12/29/23        11,393    10,870,668 
Pregis TopCo LLC, Term Loan, (LIBOR USD 1               
Month + 4.00%), 5.60%, 07/31/26(d)        3,443    3,391,355 
Reynolds Group Holdings, Inc., 1st Lien Term               
Loan, 02/05/23(h)        24,895    24,619,743 
              74,742,458 
                
Diversified Consumer Services — 3.0%               
AlixPartners LLP, 1st Lien Term Loan, (LIBOR               
USD 1 Month + 2.75%), 4.40%, 04/04/24        15,935    15,536,311 
APX Group, Inc., Term Loan, (LIBOR USD 3               
Month + 5.00%), 6.70%, 12/31/25        1,973    1,935,818 



Schedule of Investments 9

 

 

 

Schedule of Investments (unaudited) BlackRock Floating Rate Income Portfolio
   
February 29, 2020 (Percentages shown are based on Net Assets)

 

       Par     
Security        (000)   Value 
                
Diversified Consumer Services (continued)               
Bright Horizons Family Solutions, Inc., 1st               
Lien Term Loan B, (LIBOR USD 1 Month +               
1.75%), 3.35%, 11/07/23   USD    7,329   $7,304,948 
Maverick Purchaser Sub LLC, Term               
Loan, (LIBOR USD 3 Month + 4.00%),               
5.76%,01/29/27        2,120    2,112,050 
Research Now, Inc., Term Loan, (LIBOR USD 3               
Month + 5.50%), 7.26%, 12/07/24(d)        5,669    5,570,087 
SIRVA Worldwide, Inc., 1st Lien Term Loan,               
(LIBOR USD 3 Month + 5.50%), 7.10% -               
7.45%, 08/04/25(d)        5,487    5,308,963 
Sotheby's, Inc., Term Loan B, (LIBOR USD 1               
Month + 5.50%), 7.16%, 01/15/27        11,690    11,701,247 
Spin Holdco, Inc., 1st Lien Term Loan               
B, (LIBOR USD 3 Month + 3.25%),               
5.09%,11/14/22        24,588    24,137,047 
TierPoint LLC, Term Loan, (LIBOR USD 1               
Month + 3.75%), 5.35%, 05/06/24        5,009    4,800,934 
Trugreen Ltd. Partnership, 1st Lien Term               
Loan, (LIBOR USD 1 Month + 3.75%),               
5.35%,03/19/26        9,101    9,090,088 
Verisure Holding AB, Term Loan B1, (EURIBOR               
3 Month + 3.50%), 3.50%, 10/21/22(d)   EUR    2,000    2,152,702 
              89,650,195 
                
Diversified Financial Services — 4.6%               
Advisor Group Holdings, Inc., Term Loan,               
07/31/26(h)   USD    12,524    12,242,210 
Belron Finance US LLC, Term Loan B, (LIBOR               
USD 3 Month + 2.50%), 4.27%, 10/30/26        5,229    5,199,613 
BW Gas Convenience Holdings LLC, Term               
Loan, (LIBOR USD 1 Month + 6.25%),               
7.89%, 11/13/26(d)        4,794    4,781,774 
Genuine Financial Holdings LLC, Term Loan,               
07/11/25(d)(h)        12,645    12,297,698 
Iron Mountain, Inc., 1st Lien Term Loan               
B, (LIBOR USD 1 Month + 1.75%),               
3.35%,01/02/26        3,925    3,822,163 
Knowlton Development Corp., Inc., Term Loan               
B, 12/22/25(h)        8,184    8,117,288 
SMG US Midco 2, Inc., Term Loan, (LIBOR               
USD 1 Month + 2.50%), 4.13%, 01/23/25        6,986    6,916,242 
Spring Education Group, Inc., Term               
Loan, (LIBOR USD 1 Month + 4.25%),               
6.20%, 07/30/25(d)        5,503    5,420,846 
Starwood Property Mortgage LLC, Term               
Loan, (LIBOR USD 1 Month + 2.50%),               
4.10%, 07/26/26(d)        2,498    2,479,007 
Triton Bidco, Term Loan B, 09/23/26(h)        44,893    44,387,794 
VICI Properties 1 LLC, Term Loan B, 12/20/24(h)        16,636    16,303,277 
VS Buyer LLC, Term Loan B, 02/28/27(d)(h)        8,387    8,282,162 
Ziggo Finance Partnership BV, Term               
Loan, (LIBOR USD 1 Month + 2.50%),               
4.16%,04/30/28        6,239    6,041,411 
              136,291,485 
                
Diversified Telecommunication Services — 2.0%               
Altice Financing SA, Term Loan, (LIBOR USD 1               
Month + 2.75%), 4.39%, 01/31/26        5,473    5,264,512 
Altice Financing SA, Term Loan B, (LIBOR USD               
3 Month + 2.75%), 4.41%, 07/15/25        2,565    2,473,954 
Altice France SA, Term Loan, (LIBOR USD 1               
Month + 4.00%), 5.66%, 08/14/26        12,015    11,745,054 
eircom Finco SARL, Term Loan, (EURIBOR 1               
Month + 3.25%), 3.25%, 05/15/26   EUR    1,222    1,336,630 
Iridium Satellite LLC, Term Loan, (LIBOR USD               
1 Month + 3.75%), 5.35%, 11/04/26   USD    4,614    4,608,233 

 

       Par     
Security        (000)   Value 
                
Diversified Telecommunication Services (continued)               
Level 3 Financing, Inc., Term Loan, (LIBOR               
USD 1 Month + 1.75%), 3.35%, 03/01/27   USD    7,500   $7,322,081 
MTN Infrastructure TopCo, Inc., Term               
Loan, (LIBOR USD 1 Month + 3.00%),               
4.60%, 11/15/24(d)        10,271    9,963,184 
New LightSquared LLC, 1st Lien Term Loan,               
12/07/20(d)(h)        2,709    1,343,453 
TDC A/S, Term Loan, (EURIBOR 1 Month +               
3.00%), 3.00%, 06/04/25.   EUR    2,458    2,684,026 
Zayo Group LLC, Term Loan:               
(LIBOR USD 1 Month + 2.00%),               
3.60%,01/19/21   USD    11,331    11,325,249 
(LIBOR USD 1 Month + 2.25%),               
3.85%,01/19/24        1,530    1,528,684 
              59,595,060 
                
Electric Utilities — 0.2%               
Calpine Corp., Term Loan B, (LIBOR USD 1               
Month + 2.00%), 3.60%, 01/15/25        2,254    2,217,095 
Edgewater Generation LLC, Term Loan,               
12/13/25(h)        1,604    1,537,761 
Vistra Operations Co. LLC, Term Loan B3,               
(LIBOR USD 1 Month + 1.75%), 3.35% -               
3.41%,12/31/25        3,024    2,986,060 
              6,740,916 
                
Electrical Equipment — 0.7%               
Dell International LLC, Term Loan B, (LIBOR               
USD 1 Month + 2.00%), 3.61%, 09/19/25        10,954    10,813,346 
Graftech International Ltd., 1st Lien Term               
Loan B, (LIBOR USD 1 Month + 3.50%),               
5.10%, 02/12/25(d)        6,260    5,962,884 
MH Sub I LLC, 1st Lien Term Loan, 09/13/24(h)        4,702    4,574,342 
              21,350,572 
                
Energy Equipment & Services — 0.4%               
McDermott International, Inc., Term Loan:               
10/21/20(h)        2,996    3,031,429 
10/21/21(h)        107    116,606 
(LIBOR USD 3 Month + 5.00%),               
6.95%,05/09/25        7,503    4,347,230 
Pioneer Energy Services Corp., Term               
Loan, (LIBOR USD 1 Month + 7.75%),               
9.35%, 11/08/22(d)        3,790    3,638,400 
              11,133,665 
                
Entertainment — 1.4%               
Creative Artists Agency LLC, Term Loan,               
(LIBOR USD 1 Month + 3.75%),               
5.35%,11/27/26        14,118    14,018,045 
Kingpin Intermediate Holdings LLC, 1st Lien               
Term Loan B, (LIBOR USD 1 Month +               
3.50%), 5.10%, 07/03/24(d)        7,284    7,102,209 
PCI Gaming Authority, Inc., 1st Lien Term               
Loan, (LIBOR USD 1 Month + 2.50%),               
4.10%,05/29/26        5,209    5,163,276 
Renaissance Learning, Inc., Term Loan,               
05/24/25(h)        546    535,394 
William Morris Endeavor Entertainment LLC,               
Term Loan B, 05/18/25(h)        15,790    15,257,394 
              42,076,318 
                
Equity Real Estate Investment Trusts (REITs) — 0.8%               
Claros Mortgage Trust, Inc., Term Loan               
B, (LIBOR USD 1 Month + 3.25%),               
4.92%, 08/09/26(d)        6,590    6,524,578 
DTZ US BORROWER LLC, Term Loan,               
08/21/25(h)        10,514    10,312,385 



10

2020 Black Rock Semi - Annual Report To Shareholders 

 

 

 

 

Schedule of Investments (unaudited) (continued) BlackRock Floating Rate Income Portfolio
February 29, 2020 (Percentages shown are based on Net Assets)

 

       Par     
Security        (000)   Value 
                
Equity Real Estate Investment Trusts (REITs) (continued)               
GEO Group Refinancing, Term Loan,               
3.61%, 03/22/24(h)   USD    3,351   $3,097,289 
RHP Hotel Properties LP, 1st Lien Term               
Loan B, (LIBOR USD 1 Month + 2.00%),               
3.61%,05/11/24        4,519    4,519,125 
              24,453,377 
                
Food & Staples Retailing — 1.1%               
BCPE Empire Holdings, Inc., Term Loan,               
(LIBOR USD 1 Month + 4.00%), 0.00% -               
5.60%,06/11/26        681    673,961 
BCPE Empire Holdings, Inc., Term Loan               
B, (LIBOR USD 1 Month + 4.00%),               
5.60%,06/11/26        4,332    4,288,686 
H-Food Holdings LLC, Term Loan, (LIBOR USD               
1 Month + 3.69%), 5.29%, 05/23/25        3,996    3,915,629 
H-Food Incremental, Term Loan, (LIBOR USD 1               
Month + 4.00%), 5.60%, 05/23/25        5,855    5,712,390 
US Foods, Inc., Term Loan B:               
(LIBOR USD 1 Month + 1.75%),               
3.35%,06/27/23        13,495    13,314,786 
(LIBOR USD 1 Month + 2.00%),               
3.60%,08/14/26        5,951    5,872,056 
              33,777,508 
Food Products — 2.7%               
1011778 B.C. Unlimited Liability Com, Term               
Loan B4, (LIBOR USD 1 Month + 1.75%),               
3.35%,11/19/26        10,447    10,264,526 
8th Avenue Food & Provisions, Inc., Term Loan,               
10/01/25(h)        3,098    3,081,566 
Aramark Services, Inc., 1st Lien Term               
Loan, (LIBOR USD 1 Month + 1.75%),               
3.35%,03/11/25        6,881    6,820,851 
Aramark Services, Inc., Term Loan, (LIBOR               
USD 1 Month + 1.75%), 3.35%, 01/15/27        3,752    3,726,224 
Chobani LLC, Term Loan, (LIBOR USD 1 Month               
+ 3.50%), 5.10%, 10/10/23        18,883    18,552,531 
Froneri International Ltd., 2nd Lien Term               
Loan, (LIBOR USD 1 Month + 5.75%),               
7.35%,01/31/28        897    894,757 
Froneri International Ltd., Term Loan,               
01/29/27(h)        20,414    20,056,755 
Hostess Brands, Inc., Term Loan, (LIBOR USD               
3 Month + 2.25%), 3.85% - 4.03%, 08/03/25        675    662,769 
JBS USA LUX SA, Term Loan, (LIBOR USD 1               
Month + 2.00%), 3.60%, 05/01/26        1,190    1,168,912 
Nomad Foods Ltd., Term Loan, (LIBOR USD 1               
Month + 2.25%), 3.91%, 05/15/24        5,091    5,021,085 
TMK Hawk Parent Corp., Term Loan,               
(LIBOR USD 3 Month + 3.50%), 4.82% -               
5.11%,08/28/24        13,794    11,490,766 
              81,740,742 
                
Health Care Equipment & Supplies — 1.9%               
Immucor, Inc., 1st Lien Term Loan, (LIBOR               
USD 3 Month + 5.00%), 6.95%, 06/15/21(d)        18,169    17,896,306 
Ortho-Clinical Diagnostics, Inc., Term               
Loan, (EURIBOR 3 Month + 3.50%),               
3.50%, 06/30/25(d)   EUR    3,000    3,220,774 
Sotera Health Holdings LLC, Term Loan,               
11/20/26(h)   USD    35,866    35,597,072 
              56,714,152 

 

       Par     
Security        (000)   Value 
Health Care Providers & Services — 4.1%               
AHP Health Partners, Inc., Term Loan, (LIBOR               
USD 1 Month + 4.50%), 6.10%, 06/30/25   USD    3,806   $3,817,953 
Azalea TopCo, Inc., Term Loan, (LIBOR USD 1               
Month + 3.50%), 5.10%, 07/24/26        10,818    10,786,299 
CHG Healthcare Services, Inc., Term Loan B,               
06/07/23(h)        7,700    7,637,681 
Da Vinci Purchaser Corp., Term Loan, (LIBOR               
USD 3 Month + 4.00%), 5.87%, 01/08/27        3,762    3,733,785 
Dentalcorp Perfect Smile ULC, 1st Lien Term               
Loan, 05/31/25(h)        1,656    1,627,124 
Envision Healthcare Corp., Term Loan,               
10/10/25(h)        11,123    8,920,855 
Eyecare Partners LLC, Term Loan(h):               
02/18/27        1,269    1,247,200 
02/18/27        5,440    5,345,143 
Gentiva Health Services, Inc., Term Loan               
B, (LIBOR USD 1 Month + 3.25%),               
4.88%, 07/02/25(d)        10,101    9,999,757 
HCA, Inc., Term Loan, (LIBOR USD 1 Month +               
1.75%), 3.35%, 03/18/26.        2,614    2,604,648 
HomeVi, Term Loan B1, (EURIBOR 3 Month +               
3.00%), 3.00%, 10/31/26.   EUR    2,000    2,199,907 
MPH Acquisition Holdings LLC, Term               
Loan, (LIBOR USD 3 Month + 2.75%),               
4.69%,06/07/23   USD    4,618    4,390,883 
nThrive, Inc., 1st Lien Term Loan, 10/20/22(h)        6,671    5,937,379 
Option Care Health, Inc., 1st Lien Term Loan B,               
08/06/26(h)        8,992    8,954,284 
Ortho-Clinical Diagnostics, Inc., Term Loan B,               
06/30/25(d)(h)        24,252    23,039,774 
Team Health Holdings, Inc., Term Loan, (LIBOR               
USD 1 Month + 2.75%), 4.35%, 02/06/24        6,683    5,039,822 
Wink Holdco, Inc., Term Loan, (LIBOR USD 1               
Month + 3.00%), 4.60%, 12/02/24        8,680    8,506,263 
WP CityMD Bidco LLC, Term Loan, 08/13/26(h)        9,669    9,596,906 
              123,385,663 
                
Health Care Technology — 1.1%               
Athenahealth, Inc., Term Loan B, (LIBOR USD               
1 Month + 4.50%), 6.16%, 02/05/26(d)        15,627    15,431,363 
Change Healthcare Holdings LLC, Term               
Loan B, (LIBOR USD 1 Month + 2.50%),               
4.10%,03/01/24        17,839    17,460,176 
              32,891,539 
Hotels, Restaurants & Leisure — 4.6%               
Aimbridge Acquisition, Inc., Term Loan               
B, (LIBOR USD 1 Month + 3.75%),               
5.36%, 02/02/26(d)        1,709    1,666,101 
Aristocrat Leisure Ltd., Term Loan B, (LIBOR               
USD 3 Month + 1.75%), 3.58%, 10/19/24        2,667    2,607,325 
Boyd Gaming Corp., Term Loan B, (LIBOR USD               
3 Month + 2.25%), 3.83%, 09/15/23        3,295    3,246,757 
Caesars Resort Collection LLC, Term Loan,               
12/23/24(h)        15,455    14,887,954 
CityCenter Holdings LLC, Term Loan B, (LIBOR               
USD 1 Month + 2.25%), 3.85%, 04/18/24        14,853    14,655,216 
Dorna Sports SL, 1st Lien Term Loan,               
(EURIBOR 6 Month + 2.75%),               
2.75%,05/03/24   EUR    1,913    2,098,078 
Four Seasons Holdings, Inc., Term Loan               
F, (LIBOR USD 1 Month + 2.00%),               
3.60%,11/30/23   USD    12,522    12,292,712 
Gateway Casinos & Entertainment Ltd., Term               
Loan B, (LIBOR USD 3 Month + 3.00%),               
4.94%, 12/01/23(d)        660    643,451 



Schedule of Investments 11

 

 

 

 

 

Schedule of Investments (unaudited) (continued) BlackRock Floating Rate Income Portfolio
February 29, 2020 (Percentages shown are based on Net Assets)

 

       Par     
Security        (000)   Value 
                
Hotels, Restaurants & Leisure (continued)               
Golden Nugget, Inc., 1st Lien Term Loan,               
(LIBOR USD 1 Month + 2.50%), 4.10% -               
4.14%,10/04/23   USD    6,952   $6,806,106 
Hilton Worldwide Finance LLC, Term Loan               
B2, (LIBOR USD 1 Month + 1.75%),               
3.38%,06/22/26        7,418    7,329,069 
IRB Holding COV-LITE, Term Loan B,               
02/05/25(h)        11,938    11,609,372 
KFC Holding Co., Term Loan B, (LIBOR USD 1               
Month + 1.75%), 3.41%, 04/03/25        4,521    4,471,843 
MotorCity Casino aka CCM Merger, Inc., 1st               
Lien Term Loan B, (LIBOR USD 1 Month +               
2.25%), 3.85%, 08/06/21.        6,542    6,529,243 
Playa Resorts Holding BV, 1st Lien Term Loan               
B, 04/29/24(d)(h)        3,997    3,697,061 
Playtika Holding Corp., Term Loan B, (LIBOR               
USD 1 Month + 6.00%), 7.60%, 12/10/24        6,253    6,252,647 
Scientific Games International, Inc., Term Loan               
B, 08/14/24(h)        6,235    6,036,672 
Silk Bidco AS, 1st Lien Term Loan               
B, (EURIBOR 6 Month + 3.50%),               
3.50%, 02/24/25(d)   EUR    2,000    2,125,104 
Stars Group Holdings BV, Term Loan,               
07/10/25(h)   USD    9,999    9,964,827 
Station Casinos LLC, Term Loan B, 02/08/27(h)        5,622    5,486,204 
Tackle SARL, Term Loan, (EURIBOR 3 Month +               
3.75%), 3.75%, 08/08/22.   EUR    2,000    2,195,492 
Whatabrands LLC, Term Loan B, 08/02/26(h)   USD    9,972    9,772,344 
Wyndham Hotels & Resorts, Inc., Term               
Loan B, (LIBOR USD 1 Month + 1.75%),               
3.35%,05/30/25        1,901    1,881,082 
              136,254,660 
                
Household Durables — 0.1%               
Serta Simmons Bedding LLC, Term Loan:               
(LIBOR USD 1 Month + 3.50%), 5.13% -               
5.16%,11/08/23        4,161    2,419,737 
(LIBOR USD 1 Month + 8.00%),               
9.63%,11/08/24        562    152,511 
              2,572,248 
                
Household Products — 0.1%               
Reynolds Consumer Products LLC, Term Loan,               
02/04/27(h)        3,636    3,590,550 
                
Independent Power and Renewable Electricity Producers — 0.3%               
Calpine Corp., Term Loan:               
(LIBOR USD 3 Month + 2.25%),               
4.20%,04/05/26        5,647    5,547,809 
(LIBOR USD 1 Month + 2.00%),               
3.60%,08/12/26        4,155    4,078,418 
              9,626,227 
                
Industrial Conglomerates — 2.5%               
Filtration Group Corp., Term Loan B, (LIBOR               
USD 1 Month + 3.00%), 4.60%, 03/31/25        11,254    11,160,827 
PSAV Holdings LLC, 1st Lien Term Loan,               
(LIBOR USD 3 Month + 3.25%), 4.91% -               
5.21%, 03/03/25(d)        19,184    17,457,001 
Sundyne US Purchaser, Inc., 1st Lien Term               
Loan B, (LIBOR USD 1 Month + 4.00%),               
5.60%,04/23/26..................        7,259    7,273,598 
Vertiv Co., Term Loan B, (LIBOR USD 3 Month               
+ 3.00%), 7.75%, 11/30/23        8,828    8,773,122 
Vertiv Group Corp., Term Loan, 02/07/27(d)(h)        31,319    31,005,810 
              75,670,358 

 

       Par     
Security        (000)   Value 
                
Insurance — 4.2%               
Alliant Holdings Intermediate LLC, 1st Lien               
Term Loan, (LIBOR USD 1 Month + 3.25%),               
4.91%,05/09/25   USD    3,099   $3,049,610 
Alliant Holdings Intermediate LLC, Term Loan,               
05/09/25(h)        19,505    19,081,965 
AmWINS Group, Inc., Term Loan, 01/25/24(h)        9,280    9,233,878 
AssuredPartners, Inc., Term Loan, 02/12/27(h)        9,487    9,296,780 
Asurion LLC, 1st Lien Term Loan B6, (LIBOR               
USD 1 Month + 3.00%), 4.60%, 11/03/23        10,067    9,957,785 
Asurion LLC, 2nd Lien Term Loan B2, (LIBOR               
USD 1 Month + 6.50%), 8.10%, 08/04/25        7,769    7,778,711 
Asurion LLC, Term Loan B4, 08/04/22(h)        3,286    3,252,016 
Hub International Ltd., Term Loan B, 04/25/25(h)        16,260    15,782,118 
Hub International, Inc., Term Loan B, 04/25/25(h)        3,020    3,009,219 
Sedgwick Claims Management Services, Inc.,               
1st Lien Term Loan, 12/31/25(h)        19,896    19,398,540 
Sedgwick Claims Management Services, Inc.,               
1st Lien Term Loan B, 09/03/26(h)        1,793    1,772,609 
USI, Inc., 1st Lien Term Loan B, 05/16/24(h)        22,119    21,565,628 
USI, Inc., Term Loan B, (LIBOR USD 3 Month +               
4.00%), 5.94%, 12/02/26.        911    904,924 
              124,083,783 
                
IT Services — 9.6%               
Altran Technologies SA, Term Loan, (LIBOR               
USD 1 Month + 2.50%), 4.15%, 03/20/25        3,021    3,023,091 
Ancestry.com Operations Inc., Term Loan               
B, (LIBOR USD 1 Month + 3.75%),               
5.36%, 10/19/23(d)        9,879    9,088,535 
Ancestry.com Operations, Inc., Term Loan               
B, (LIBOR USD 1 Month + 4.25%),               
5.86%, 08/22/26(d)        3,045    2,725,275 
Applied Systems, Inc., Term Loan:               
09/19/24(h)        12,042    11,888,608 
(LIBOR USD 3 Month + 7.00%),               
8.94%,09/19/25        3,085    3,134,211 
Boxer Parent Co., Inc., Term Loan B, 10/02/25(h)        7,997    7,669,041 
Camelot US Acquisition 1 Co., Term Loan B,               
10/30/26(h)        15,788    15,683,969 
CCC Information Services, Inc., Term Loan,               
04/29/24(h)        15,168    15,022,907 
Epicor Software Corp., 1st Lien Term               
Loan, (LIBOR USD 1 Month + 3.25%),               
4.86%,06/01/22        9,427    9,346,172 
Evertec, Inc., Term Loan, (LIBOR USD 1 Month               
+ 3.50%), 5.10%, 11/27/24(d)        4,389    4,333,812 
Gartner, Inc., Term Loan A, (LIBOR USD 1               
Month + 1.50%), 3.10%, 03/21/22(d)        1,332    1,318,915 
Greeneden US Holdings I LLC, Term Loan B,               
12/01/23(h)        15,684    15,474,581 
IG Investments Holdings LLC, Term Loan,               
05/23/25(h)        17,189    16,995,189 
Mitchell International, Inc., 1st Lien Term Loan,               
11/29/24(h)        13,357    13,073,638 
Mitchell International, Inc., 2nd Lien Term               
Loan, (LIBOR USD 1 Month + 7.25%),               
8.85%, 12/01/25(d)        3,383    3,248,000 
Peak 10 Holding Corp., 2nd Lien Term               
Loan, (LIBOR USD 3 Month + 7.25%),               
9.16%,08/01/25..................        3,080    1,724,871 
Presidio Holdings, Inc., Term Loan B, (LIBOR               
USD 3 Month + 3.50%), 5.28%, 01/22/27(d)        3,325    3,275,125 
Pug LLC, Term Loan, (LIBOR USD 6 Month +               
3.50%), 5.17%, 02/12/27(d)        23,677    22,137,977 


 

12 2020 Black Rock Semi - Annual Report To Shareholders

 

 

 

 

Schedule of Investments (unaudited) (continued) BlackRock Floating Rate Income Portfolio
February 29, 2020 (Percentages shown are based on Net Assets)

 

       Par     
Security        (000)   Value 
                
IT Services (continued)               
Rackspace Hosting, Inc., Term Loan,               
(LIBOR USD 3 Month + 3.00%), 4.74% -               
4.76%,11/03/23   USD    2,047   $1,950,596 
Sabre GLBL, Inc., Term Loan, 02/22/24(h)        11,033    10,527,706 
Solera LLC, Term Loan B1, 03/03/23(h)        13,078    12,838,101 
Sophia LP, 1st Lien Term Loan B, 09/30/22(h)        17,968    17,828,269 
SS&C Technologies Holdings, Inc., Term               
Loan B, (LIBOR USD 1 Month + 1.75%),               
3.40%,04/16/25        8,954    8,826,905 
Trans Union LLC, Term Loan B, (LIBOR USD 1               
Month + 1.75%), 3.35%, 11/16/26        14,867    14,722,580 
Verscend Holding Corp., Term Loan B, (LIBOR               
USD 1 Month + 4.50%), 6.10%, 08/27/25        23,378    23,261,545 
Vertafore, Inc., Term Loan B, 07/02/25(h)        19,050    18,576,652 
WEX, Inc., Term Loan, (LIBOR USD 1 Month +               
2.25%), 3.85%, 05/15/26.        17,355    17,123,932 
Zephyr Bidco Ltd., Term Loan, (LIBOR GBP 1               
Month + 4.50%), 5.21%, 07/23/25   GBP    2,000    2,537,580 
              287,357,783 
                
Life Sciences Tools & Services — 0.6%               
Albany Molecular Research, Inc., Term Loan:               
(LIBOR USD 1 Month + 3.25%),               
4.85%,08/30/24   USD    2,805    2,750,432 
(LIBOR USD 1 Month + 7.00%),               
8.60%, 08/30/25(d)        1,855    1,855,000 
Avantor Funding, Inc., Term Loan, 11/21/24(h)        2,560    2,539,004 
eResearchTechnology, Inc., Term Loan, (LIBOR               
USD 1 Month + 4.50%), 6.23%, 02/04/27        10,904    10,804,011 
              17,948,447 
                
Machinery — 1.8%               
Clark Equipment Co., Term Loan, (LIBOR USD               
3 Month + 1.75%), 3.69%, 05/18/24        2,734    2,701,795 
Columbus Mckinnon Corp., 1st Lien Term               
Loan B, (LIBOR USD 3 Month + 2.50%),               
4.44%,01/31/24        630    630,182 
Gates Global LLC, Term Loan B, (LIBOR USD 1               
Month + 2.75%), 4.35%, 04/01/24        15,754    15,435,762 
Ingersoll-Rand Co. Ltd., Term Loan, 03/01/27(d) (h)        9,096    8,948,190 
Terex Corp., Term Loan, (LIBOR USD 1 Month               
+ 2.75%), 4.35%, 01/31/24        1,399    1,398,110 
Titan Acquisition Ltd., Term Loan, (LIBOR USD               
1 Month + 3.00%), 4.60%, 03/28/25        27,593    25,684,691 
              54,798,730 
                
Media — 4.2%               
Ascend Learning LLC, Term Loan B, 07/12/24(h)        7,716    7,658,195 
Cable One, Inc., Term Loan, 05/01/24(h)        1,833    1,835,859 
Charter Communications Operating LLC, Term               
Loan B1, (LIBOR USD 1 Month + 1.75%),               
3.36%,04/30/25        9,385    9,274,339 
Clear Channel Outdoor Holdings, Inc., Term               
Loan, (LIBOR USD 1 Month + 3.50%),               
5.10%,08/21/26        25,207    24,860,231 
CSC Holdings LLC, Term Loan, (LIBOR USD 1               
Month + 2.25%), 3.91%, 07/17/25        5,654    5,581,222 
CSC Holdings LLC, Term Loan B, (LIBOR USD               
1 Month + 2.50%), 4.16%, 04/15/27        4,300    4,246,732 
Diamond Sports Group LLC, Term Loan,               
(LIBOR USD 1 Month + 3.25%),               
4.88%,08/24/26        3,620    3,294,626 
Gray Television, Inc., Term Loan B, (LIBOR               
USD 1 Month + 2.25%), 3.91%, 02/07/24        4,021    3,982,294 

 

       Par     
Security        (000)   Value 
                
Media (continued)               
Intelsat Jackson Holdings SA, Term