Closed-end fundsmay trade at a premium to NAV but often trade at a discount. So something has to go very wrong here for the fund to take serious losses. 2023 BlackRock, Inc. All rights reserved. Subsequent monthly distributions that do not include ordinary income or capital gains in the form of dividends will likely be lower. Business Involvement metrics are designed only to identify companies where MSCI has conducted research and identified as having involvement in the covered activity. * Includes 1.06% in management fees, 0.08% in other expenses and 0.44% in interest expenses. And here's where the fun starts. The CEF is also structured so that the underlying bonds it owns should be approaching maturity by 2030, further reducing the risk of price declines due to rising yields. Leave the BlackRock site for Individuals to explore other content, Welcome to the BlackRock site for individuals. BlackRock Advisors, LLC (BlackRock) released today share repurchase activity for certain BlackRock-advised closed-end funds (the Funds) during the quarter ended March 31, 2023. Learn more about MFM at the MFS provider site. Published 13 April 22. stocks But just as you'd never pay $1.10 for a dollar, you're generally better off avoiding CEFs trading a premium. Performance for other share classes will vary. The information for these funds is provided for informational purposes only and does not constitute a solicitation of an offer to buy or sell Fund shares. PHYS is not the only way to play gold, of course. 2022 was a tough year for real estate investment trusts (REITs). . Learn more about ETG at the Eaton Vance provider site. Oil and gas stocks might not repeat the past year's gains in 2023, but these energy ETFs can still harness a stiff tailwind. Aggregate Bond ETF, BlackRock U.S. Equity Factor Rotation ETF, BlackRock Multi-Sector Opportunities Trust II, iShares iBonds Dec 2026 Term Muni Bond ETF, iShares iBonds Dec 2027 Term Muni Bond ETF, iShares iBonds Dec 2028 Term Muni Bond ETF, iShares iBonds 2023 Term High Yield and Income ETF, iShares iBonds 2024 Term High Yield and Income ETF, iShares iBonds 2025 Term High Yield and Income ETF, iShares Genomics Immunology and Healthcare ETF, iShares iBonds Dec 2029 Term Corporate ETF, iShares Commodity Curve Carry Strategy ETF, iShares U.S. Tech Breakthrough Multisector ETF, iShares iBonds Dec 2023 Term Treasury ETF, iShares iBonds Dec 2024 Term Treasury ETF, iShares iBonds Dec 2025 Term Treasury ETF, iShares iBonds Dec 2026 Term Treasury ETF, iShares iBonds Dec 2027 Term Treasury ETF, iShares iBonds Dec 2028 Term Treasury ETF, iShares iBonds Dec 2029 Term Treasury ETF, iShares ESG Aware Moderate Allocation ETF, iShares ESG Aware Aggressive Allocation ETF, iShares ESG Aware Conservative Allocation ETF, iShares iBonds Dec 2030 Term Corporate ETF, iShares ESG Advanced Total USD Bond Market ETF, BlackRock Sustainable Advantage International Equity Fund, BlackRock Sustainable Advantage Emerging Markets Equity Fund, iShares iBonds Dec 2030 Term Treasury ETF, iShares 25+ Year Treasury STRIPS Bond ETF, iShares Virtual Work and Life Multisector ETF, BlackRock Defensive Advantage International Fund, BlackRock Defensive Advantage Emerging Markets Fund, iShares iBonds 2026 Term High Yield and Income ETF, iShares International Developed Small Cap Value Factor ETF, BlackRock Innovation and Growth Term Trust, BlackRock Intermediate Muni Income Bond ETF, BlackRock High Yield Muni Income Bond ETF, BlackRock Hedge Fund Guided Portfolio Solution, BlackRock U.S. (opens in new tab). But either way, it makes sense to own a little real estate, and JRS is a smart way to do so. Because REITs have always had a major emphasis on income, investors came to view them as a bond substitute over the past two decades. And adding insult to injury, you generally shouldn't hold them in traditional IRA accounts due to the fact that they often generate unrelated business taxable income. Annual and Semi-Annual Reports and other regulatory filings of the Funds with the Securities and Exchange Commission (SEC) are accessible on the SEC's website at www.sec.gov and on BlackRocks website at www.blackrock.com, and may discuss these or other factors that affect the Funds. Or we might see several more quarters of high inflation. Investing for Income Investors in traditional energy stocks tend to overlook anything with "sustainable" in the name, and renewable energy investors tend to be put off by the fund's holdings of pipelines. If you meet certain income requirements, you are required to file a federal tax return (or get an extension) by Tax Day. The financial markets have in recent years experienced periods of extreme secondary market supply and demand imbalance, resulting in a loss of liquidity during which market prices were suddenly and substantially below traditional measures of intrinsic value. Who wouldn't want to buy the whole for less than the sum of the parts? Carbon Transition Readiness ETF, BlackRock World ex U.S. How to Pick the Best Robo Advisor For You. Verify your identity, personalize the content you receive, or create and administer your account. The Funds have authorized open market share repurchase programs (the "Repurchase Programs") pursuant to which each Fund may repurchase, through November . . The iShares Funds are not sponsored, endorsed, issued, sold or promoted by Barclays, Bloomberg Finance L.P., Cohen & Steers Capital Management, Inc., European Public Real Estate Association (EPRA ), FTSE International Limited (FTSE), ICE Data Services, LLC, India Index Services & Products Limited, JPMorgan Chase & Co., Japan Exchange Group, MSCI Inc., Markit Indices Limited, Morningstar, Inc., The NASDAQ OMX Group, Inc., National Association of Real Estate Investment Trusts (NAREIT), New York Stock Exchange, Inc., Russell or S&P Dow Jones Indices LLC. Learn more about EMO at the Clearbridge provider site. Common shares for most of the closed-end funds identified above are only available for purchase and sale at current market price on a stock exchange. It simply holds a passive portfolio of gold bullion. The vast majority of the portfolio, at over 85%, is invested in common stocks. Data reflects different methodology from the BlackRock calculated returns in the Returns tab. So if you buy one at a discount and hold until liquidation, you should benefit handsomely as that discount narrows. The fund also has exposure to emerging markets, with positions in Taiwanese and Indian assets, as well. You're not going to get wealthy on that, of course. Muni-bond CEFs have the same problem that many equity CEFs have. The screening applied by the fund's index provider may include revenue thresholds set by the index provider. Let's cap this off this list of the best closed-end funds with another solid term fund: The BlackRock Municipal 2030 Target Term Trust (BTT (opens in new tab), $22.06). Some funds may be based on or linked to MSCI indexes, and MSCI may be compensated based on the funds assets under management or other measures. Prior to his experience in investment management, Tony worked for 4 years in Technology M&A at both SG Warburg (1994-1998), and Merrill Lynch (1999-1998). The Information has not been submitted to, nor received approval from, the US SEC or any other regulatory body. Learn how equity covered call CEFs may help manage portfolio risk and potentially produce a better risk-adjusted outcome. And the MFS Municipal Income Trust (MFM (opens in new tab), $5.37) is one of the best closed-end funds for municipal bond investors to consider. Source: Lipper. Distributions are a key part of a CEFs total return - find out how much your CEF has paid in distributions over time. This means that if anything goes sideways, JQC is first in line to get paid, and its claims are backed by real collateral. When you purchase through links on our site, we may earn an affiliate commission. That's been a rough business to be in since the domestic energy glut became an issue in late 2014. That same leverage also allows closed-end funds to sport some of the highest yields you're likely to find. Current performance may be lower or higher than the performance quoted. Published 15 April 23. mutual funds Any repurchases made under any Repurchase Program will be made on a national securities exchange at the prevailing market price, subject to exchange requirements and certain volume and timing limitations and other regulations under federal securities laws. I discussed the whole preferred closed-end fund space more in . 1-800-882-0052, View source version on businesswire.com: https://www.businesswire.com/news/home/20230411005761/en/. Develop and improve features of our offerings. BlackRock Investments, LLC is not affiliated with the companies listed above. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance. CEF prices are set by the market the same way a share of Apple (AAPL (opens in new tab)) or Amazon.com (AMZN (opens in new tab)) would be, but that price can vary wildly from the value of the assets the fund holds. So via PHYS, you can buy gold at a modest discount to market prices. The Nuveen Credit Strategies Income Fund trades at a 9.8% discount to NAV. But after years dealing with brutal competitive conditions, the energy infrastructure sector is the leanest and best capitalized it's been in living memory. Below is a summary of share repurchase activity over this past quarter and since the inception of each Funds Repurchase Program: Summary of share repurchase activity during the most recent calendar quarter ended March 31, 2023: BlackRock Enhanced International Dividend Trust, BlackRock Science and Technology Term Trust, BlackRock Innovation and Growth Term Trust, BlackRock Resources & Commodities Strategy Trust, BlackRock California Municipal Income Trust. Learn more about BTT at the BlackRock provider site. Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time. But here's the fun part and what makes TEAF one of the best closed-end funds to own: The CEF is designed to liquidate in 2031. Performance shown for certain share classes of certain funds is synthetic, pre-inception performance leveraging the performance of a different share class of the fund. As applicable, the final determination of the source and tax characteristics of all distributions in 2023 . None of these companies make any representation regarding the advisability of investing in the Funds. (opens in new tab), The 6 Safest Vanguard Funds to Own in a Bear Market. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. An update on fund exposure to recent market events, This information must be preceded or accompanied by a current prospectus. As market sentiment improves, that discount should shrink, adding additional returns to the fat 10.63% yield. Learn more about the drivers of closed-end fund premiums and discounts, and how issuers seek to address discounts. Prior to joining BlackRock in 2013, Tony spent over 6 years as the Senior Research Analyst at Artisan Partners (2006-2013) based in San Francisco covering the global technology sector on their International & Global Growth Team. The Growth of Hypothetical $10,000 chart reflects a hypothetical $10,000 investment in the fund. And you know what else did? From 2003 to 2006, Mr. Menge was a member of the Prudential Equity Group where he was responsible for enterprise software coverage. New York, April 5, 2023 - BlackRock Advisors, LLC ("BlackRock") will host a conference call on Thursday, April 6, 2023 at 2:00pm ET featuring Sean Carney, Head of Municipal Strategy, and Phil Soccio, Portfolio Manager for the Municipal Fixed Income business. As a global investment manager and fiduciary to our clients, our purpose at BlackRock is to help everyone experience financial well-being. Speaking of energy, good old fashioned oil stocks were some of the best performers in 2022 and the energy sector entered 2023 with strong momentum. So, apart from the potential gains due to the underlying bonds rising in value and from the tax-free dividend, we should enjoy a nice kicker as the fund's share price approaches NAV at liquidation. Leave the BlackRock site for Individuals to explore other content, Welcome to the BlackRock site for individuals. Not too shabby! Investors and others are advised to check the website for updated performance information and the . We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters. At current prices, JRS trades at a 7.3% discount to NAV, which is wide given this CEF's history. 04.12 Pershing Square Holdings, Ltd. The Information is provided as is and the user of the Information assumes the entire risk of any use it may make or permit to be made of the Information. Had sales charge been included, returns would have been lower. Closed-end funds are different. Investing involves risk, including possible loss of principal. ETG invests primarily in dividend-paying value stocks, and is willing and able to scour the globe in its pursuits. All other trademarks are those of their respective owners. Please replace the release dated April 11, 2023, with the following corrected version due to changes in the table, "Summary of share repurchase activity since Repurchase Program inception as of March 31, 2023". Closed-end funds; ASSET CLASS. Learn more about JQC at the Nuveen provider site. This was certainly the case during the last bear market in tech. In these cases, they're effectively worth more dead than alive! And this might seem normal given that most of the world's largest and most innovative growth and technology companies reside in the good, ol' U.S. of A. BlackRock Science and Technology Trust (BST), is a perpetual closed-end equity fund. There are also non-listed CEFs with continuous subscriptions and regular (typically quarterly) liquidity. Help clients achieve specific outcomes with an alternative investing strategy that seeks to diversify or amplify returns. The term feature ensures NAV liquidity upon maturity. One way to play this is via the Sprott Physical Gold Trust (PHYS (opens in new tab), $14.90). The covered activity to emerging markets, with positions in Taiwanese and Indian assets, as well our clients our. And 0.44 % in interest expenses form of dividends will likely be lower our! Of all distributions in 2023 that many equity CEFs have the same problem that many equity CEFs the. Update on fund exposure to emerging markets, with positions in Taiwanese and assets. View source version on businesswire.com: https: //www.businesswire.com/news/home/20230411005761/en/ forward-looking statements and future results could differ from! 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