2017 SEMI-ANNUAL REPORT (UNAUDITED)

Transcription

1 AUGUST 31, SEMI-ANNUAL REPORT (UNAUDITED) ishares Trust ishares California Muni Bond ETF CMF NYSE Arca ishares National Muni Bond ETF MUB NYSE Arca ishares Short-Term National Muni Bond ETF SUB NYSE Arca ishares New York Muni Bond ETF NYF NYSE Arca

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3 Table of Contents Fund Performance Overviews... 5 About Fund Performance... 9 Shareholder Expenses... 9 Schedules of Investments ishares California Muni Bond ETF ishares National Muni Bond ETF ishares Short-Term National Muni Bond ETF ishares New York Muni Bond ETF Financial Statements Financial Highlights Notes to Financial Statements Board Review and Approval of Investment Advisory Contract Supplemental Information

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5 Fund Performance Overview ishares CALIFORNIA MUNI BOND ETF Performance as of The ishares California Muni Bond ETF (the Fund ) seeks to track the investment results of an index composed of investmentgrade municipal bonds issued in the State of California, as represented by the S&P California AMT-Free Municipal Bond Index TM (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended, the total return for the Fund was 3.60%, net of fees, while the total return for the Index was 3.72%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year 0.16% 0.10% 0.35% 0.16% 0.10% 0.35% 5 Years 3.37% 3.26% 3.57% 18.00% 17.37% 19.15% Since Inception 4.64% 4.66% 4.72% 56.78% 57.01% 57.94% The inception date of the Fund was 10/4/07. The first day of secondary market trading was 10/5/07. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 9 for more information. Beginning Account (3/1/17) Actual Ending Account (8/31/17) Expenses Paid During Period a Shareholder Expenses Beginning Account (3/1/17) Hypothetical 5% Return Ending Account (8/31/17) Expenses Paid During Period a Annualized Expense Ratio $ 1, $ 1, $ 1.28 $ 1, $ 1, $ % a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). See Shareholder Expenses on page 9 for more information. ALLOCATION BY CREDIT QUALITY As of 8/31/17 Percentage of S&P Credit Rating 1 Total Investments 2 A % A AAA 8.24 AA AA AA A A 0.57 A BBB BBB 0.90 BBB Not Rated 3.89 FIVE LARGEST FUND HOLDINGS As of 8/31/17 Percentage of Total Investments 2 State of California GO, 5.00%, 07/01/ % State of California GO, 5.00%, 07/01/ State of California Department of Water Resources Power Supply Revenue RB, 5.00%, 05/01/ State of California GO, 6.00%, 04/01/ State of California GO, 5.00%, 04/01/ TOTAL 3.85% TOTAL % 1 Credit quality ratings shown reflect the ratings assigned by Standard & Poor s Ratings Service ( S&P ), a widely used independent, nationally recognized statistical rating organization. S&P credit ratings are opinions of the credit quality of individual obligations or of an issuer s general creditworthiness. Investment grade ratings are credit ratings of BBB or higher. Below investment grade ratings are credit ratings of BB or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. 2 Excludes money market funds. F UND P ERFORMANCE O VERVIEWS 5

6 Fund Performance Overview ishares NATIONAL MUNI BOND ETF Performance as of The ishares National Muni Bond ETF (the Fund ) seeks to track the investment results of an index composed of investmentgrade U.S. municipal bonds, as represented by the S&P National AMT-Free Municipal Bond Index TM (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended, the total return for the Fund was 3.51%, net of fees, while the total return for the Index was 3.75%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year 0.38% 0.39% 0.73% 0.38% 0.39% 0.73% 5 Years 2.66% 2.59% 2.91% 14.04% 13.62% 15.44% Since Inception 4.16% 4.16% 4.33% 50.21% 50.23% 52.62% The inception date of the Fund was 9/7/07. The first day of secondary market trading was 9/10/07. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 9 for more information. Beginning Account (3/1/17) Actual Ending Account (8/31/17) Expenses Paid During Period a Shareholder Expenses Beginning Account (3/1/17) Hypothetical 5% Return Ending Account (8/31/17) Expenses Paid During Period a Annualized Expense Ratio $ 1, $ 1, $ 1.28 $ 1, $ 1, $ % a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). See Shareholder Expenses on page 9 for more information. ALLOCATION BY CREDIT QUALITY As of 8/31/17 S&P Credit Rating 1 Percentage of Total Investments 2 AAA 25.02% AA AA AA A A 4.30 A BBB BBB 0.26 BBB Not Rated 4.03 TOTAL % State TEN LARGEST STATES As of 8/31/17 Percentage of Total Investments 2 California 23.22% New York Texas 8.62 Massachusetts 5.35 New Jersey 4.29 Florida 3.40 Pennsylvania 3.03 Washington 2.95 Illinois 2.78 Maryland 2.66 TOTAL 78.55% 1 Credit quality ratings shown reflect the ratings assigned by Standard & Poor s Ratings Service ( S&P ), a widely used independent, nationally recognized statistical rating organization. S&P credit ratings are opinions of the credit quality of individual obligations or of an issuer s general creditworthiness. Investment grade ratings are credit ratings of BBB or higher. Below investment grade ratings are credit ratings of BB or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. 2 Excludes money market funds ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

7 Fund Performance Overview ishares SHORT-TERM NATIONAL MUNI BOND ETF Performance as of The ishares Short-Term National Muni Bond ETF (the Fund ) seeks to track the investment results of an index composed of investment-grade U.S. municipal bonds with remaining maturities between one month and five years, as represented by the S&P Short Term National AMT-Free Municipal Bond Index TM (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended, the total return for the Fund was 0.90%, net of fees, while the total return for the Index was 1.15%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year 0.67% 0.72% 1.02% 0.67% 0.72% 1.02% 5 Years 0.73% 0.70% 1.04% 3.69% 3.52% 5.32% Since Inception 1.65% 1.66% 1.97% 15.58% 15.68% 18.79% The inception date of the Fund was 11/5/08. The first day of secondary market trading was 11/7/08. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 9 for more information. Beginning Account (3/1/17) Actual Ending Account (8/31/17) Expenses Paid During Period a Shareholder Expenses Beginning Account (3/1/17) Hypothetical 5% Return Ending Account (8/31/17) Expenses Paid During Period a Annualized Expense Ratio $ 1, $ 1, $ 1.27 $ 1, $ 1, $ % a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). See Shareholder Expenses on page 9 for more information. ALLOCATION BY CREDIT QUALITY As of 8/31/17 S&P Credit Rating 1 Percentage of Total Investments 2 AAA 31.44% AA AA AA A A 2.57 A BBB BBB Not Rated 3.38 TOTAL % State TEN LARGEST STATES As of 8/31/17 Percentage of Total Investments 2 California 19.64% New York Texas 7.58 Massachusetts 6.38 Maryland 4.54 Pennsylvania 4.24 Georgia 4.22 North Carolina 3.76 Washington 3.40 New Jersey 3.24 TOTAL 73.81% 1 Credit quality ratings shown reflect the ratings assigned by Standard & Poor s Ratings Service ( S&P ), a widely used independent, nationally recognized statistical rating organization. S&P credit ratings are opinions of the credit quality of individual obligations or of an issuer s general creditworthiness. Investment grade ratings are credit ratings of BBB or higher. Below investment grade ratings are credit ratings of BB or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. 2 Excludes money market funds. F UND P ERFORMANCE O VERVIEWS 7

8 Fund Performance Overview ishares NEW YORK MUNI BOND ETF Performance as of The ishares New York Muni Bond ETF (the Fund ) seeks to track the investment results of an index composed of investmentgrade municipal bonds issued in the State of New York, as represented by the S&P New York AMT-Free Municipal Bond Index TM (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended, the total return for the Fund was 3.33%, net of fees, while the total return for the Index was 3.56%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year 0.45% 0.41% 0.67% 0.45% 0.41% 0.67% 5 Years 2.90% 2.81% 3.15% 15.34% 14.86% 16.75% Since Inception 4.22% 4.23% 4.46% 50.66% 50.73% 54.04% The inception date of the Fund was 10/4/07. The first day of secondary market trading was 10/5/07. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 9 for more information. a Beginning Account (3/1/17) Actual Ending Account (8/31/17) Expenses Paid During Period a Shareholder Expenses Beginning Account (3/1/17) Hypothetical 5% Return Ending Account (8/31/17) Expenses Paid During Period a Annualized Expense Ratio $ 1, $ 1, $ 1.28 $ 1, $ 1, $ % Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). See Shareholder Expenses on page 9 for more information. ALLOCATION BY CREDIT QUALITY As of 8/31/17 Percentage of S&P Credit Rating 1 Total Investments 2 A % A AAA AA AA AA A A 1.47 A BBB 0.35 BBB Not Rated 3.65 FIVE LARGEST FUND HOLDINGS As of 8/31/17 Percentage of Total Investments 2 New York State Thruway, 5.00%, 05/01/ % Triborough Bridge & Tunnel, 5.00%, 11/15/ Sales Tax Asset Receivable Corp. RB, 5.00%, 10/15/ Sales Tax Asset Receivable Corp. RB, 5.00%, 10/15/ Metropolitan Transportation, 5.00%, 11/15/ TOTAL 4.84% TOTAL % 1 Credit quality ratings shown reflect the ratings assigned by Standard & Poor s Ratings Service ( S&P ), a widely used independent, nationally recognized statistical rating organization. S&P credit ratings are opinions of the credit quality of individual obligations or of an issuer s general creditworthiness. Investment grade ratings are credit ratings of BBB or higher. Below investment grade ratings are credit ratings of BB or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. 2 Excludes money market funds ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

9 About Fund Performance Past performance is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower. Net asset value or NAV is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. The price used to calculate market return ( Market Price ) is determined by using the midpoint between the highest bid and the lowest offer on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund s NAV is calculated. Certain funds may have a NAV which is determined prior to the opening of regular trading on its listed exchange and their market returns are calculated using the midpoint of the bid/ask spread as of the opening of regular trading on the exchange. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively. An index is a statistical composite that tracks a specified financial market or sector. Unlike a fund, an index does not actually hold a portfolio of securities and therefore does not incur the expenses incurred by a fund. These expenses negatively impact fund performance. Also, market returns do not include brokerage commissions that may be payable on secondary market transactions. If brokerage commissions were included, market returns would be lower. Shareholder Expenses As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested on March 1, 2017 and held through, is intended to help you understand your ongoing costs (in dollars and cents) of investing in a Fund and to compare these costs with the ongoing costs of investing in other funds. Actual Expenses The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number corresponding to your Fund under the heading entitled Expenses Paid During Period. Hypothetical Example for Comparison Purposes The table also provides information about hypothetical account values and hypothetical expenses based on each Fund s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. A BOUT F UND P ERFORMANCE / S HAREHOLDER E XPENSES 9

10 Schedule of Investments (Unaudited) ishares CALIFORNIA MUNI BOND ETF MUNICIPAL BONDS & NOTES 99.57% CALIFORNIA 99.57% Acalanes Union High School 0.00%, 08/01/39 (Call 08/01/29) $ 200 $ 186, %, 08/01/46 (PR 08/01/21) ,052 Alameda Corridor Transportation 0.00%, 10/01/17 (ETM) (AMBAC) 55 54, %, 10/01/17 (AMBAC) 15 14, %, 10/01/35 (Call 10/01/26) 2,000 2,310, %, 10/01/36 (Call 10/01/26) ,060 Alameda County Joint Powers 5.00%, 12/01/34 (PR 12/01/17) (AGM) ,720 Alameda County Transportation Commission 4.00%, 03/01/ ,288 Anaheim Housing & Public Improvements 5.00%, 10/01/35 (Call 10/01/21) , %, 10/01/41 (Call 10/01/21) 1,000 1,136,520 Bay Area Toll 1.38%, 04/01/53 (Call 10/01/19) 1,300 1,305, %, 04/01/53 (Call 10/01/23) 1,500 1,517, %, 04/01/45 (Call 10/01/21) , %, 04/01/53 (Call 10/01/24) 1,200 1,211, %, 04/01/47 (Call 10/01/24) , %, 04/01/47 (Call 10/01/25) , %, 04/01/29 (Call 04/01/27) , %, 04/01/33 (Call 04/01/27) 1,200 1,309, %, 04/01/37 (Call 04/01/27) 2,000 2,146, %, 04/01/47 (Call 04/01/27) 2,000 2,110, %, 04/01/49 (Call 04/01/27) , %, 04/01/ , %, 04/01/47 (Call 10/01/17) 2,230 2,231, %, 04/01/47 (Call 10/01/18) $2,875 $ 2,904,296 Series E 2.00%, 04/01/34 (Call 10/01/20) 1,000 1,023,690 Series F %, 04/01/18 1,685 1,717, %, 04/01/ , %, 04/01/25 (PR 04/01/19) , %, 04/01/27 (Call 04/01/22) 1,000 1,171, %, 04/01/28 (PR 04/01/19) , %, 04/01/28 (Call 04/01/22) 1,200 1,404, %, 04/01/31 (Call 04/01/22) 1,350 1,562, %, 04/01/34 (PR 04/01/19) 1,695 1,807, %, 04/01/39 (PR 04/01/18) 2,150 2,203, %, 04/01/54 (Call 04/01/24) 3,150 3,612, %, 04/01/56 (Call 04/01/27) 1,405 1,626, %, 04/01/39 (PR 04/01/19) 1,000 1,068, %, 04/01/47 (PR 04/01/18) , %, 04/01/24 (PR 04/01/19) 1,140 1,220, %, 04/01/27 (PR 04/01/19) , %, 04/01/43 (PR 04/01/18) 1,620 1,665, %, 04/01/44 (PR 04/01/19) ,045 Series F %, 04/01/ ,890 Series S %, 10/01/42 (PR 10/01/20) ,362 Series S %, 04/01/32 (PR 04/01/23) , %, 04/01/38 (PR 04/01/23) , %, 04/01/43 (PR 04/01/23) 1,750 2,109, %, 04/01/48 (PR 04/01/23) , %, 04/01/53 (PR 04/01/23) 1,000 1,218,840 Series S %, 10/01/54 (Call 10/01/24) 2,835 3,263,113 Bay Area Water Supply & Conservation Agency RB 5.00%, 10/01/34 (Call 04/01/23) ,405 California Educational Facilities 5.00%, 04/01/45 (Call 04/01/25) 1,000 1,143, %, 10/01/49 (Call 04/01/26) , %, 04/01/ , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

11 ishares CALIFORNIA MUNI BOND ETF Series U %, 06/01/43 $1,140 $ 1,539,456 Series U %, 05/01/21 1,380 1,581,825 Series U %, 05/01/45 2,010 2,738,806 Series U %, 06/01/46 2,150 2,943,672 California Infrastructure & Economic Development Bank RB 5.00%, 10/01/ , %, 07/01/23 (ETM) (AGM) , %, 07/01/29 (PR 01/01/28) (FGIC) 810 1,051, %, 07/01/33 (PR 01/01/28) (AMBAC) 1,370 1,778, %, 07/01/36 (PR 01/01/28) (AMBAC) , %, 10/01/45 (Call 10/01/26) , %, 10/01/41 (Call 10/01/26) ,128 California Municipal Finance 5.00%, 06/01/42 (Call 06/01/27) ,740 VRDN 0.76%, 08/01/28 (Put 09/07/17) a ,000 California State Public Works Board RB 6.00%, 11/01/34 (PR 11/01/19) , %, 12/01/19 (AMBAC) , %, 04/01/ , %, 04/01/24 (Call 04/01/22) 1,000 1,168, %, 04/01/26 (Call 04/01/22) , %, 09/01/29 (Call 09/01/24) , %, 04/01/32 (Call 04/01/22) , %, 09/01/32 (Call 09/01/24) 1,000 1,168, %, 04/01/34 (Call 04/01/22) , %, 09/01/34 (Call 09/01/24) 1,000 1,159, %, 04/01/37 (Call 04/01/22) , %, 03/01/38 (Call 03/01/23) , %, 09/01/39 (Call 09/01/24) , %, 03/01/30 (PR 03/01/20) $ 375 $ 419, %, 10/01/39 (Call 10/01/24) 2,000 2,300, %, 10/01/ , %, 09/01/17 1,000 1,000, %, 06/01/27 (Call 06/01/23) , %, 12/01/27 (Call 12/01/21) 975 1,117, %, 12/01/31 (Call 12/01/21) 1,000 1,134,730 Series E 5.00%, 10/01/26 1,000 1,246, %, 06/01/28 (Call 06/01/23) 895 1,049, %, 04/01/34 (PR 04/01/19) ,583 Series F 5.00%, 05/01/ , %, 05/01/ , %, 09/01/ , %, 05/01/23 3,595 4,293, %, 05/01/28 (Call 05/01/25) ,606 Series G 5.00%, 01/01/21 1,250 1,408, %, 12/01/31 (PR 12/01/21) , %, 11/01/37 (Call 11/01/22) 1,000 1,139,160 Series G %, 10/01/21 (PR 10/01/19) , %, 10/01/22 (PR 10/01/19) , %, 10/01/23 (PR 10/01/19) ,622 Series I 5.00%, 11/01/38 (Call 11/01/23) 2,000 2,282,800 Series I %, 11/01/29 (PR 11/01/19) ,850 California State University RB 4.00%, 11/01/28 (Call 11/01/22) , %, 11/01/35 (Call 05/01/26) , %, 11/01/37 (Call 05/01/26) , %, 11/01/38 (Call 05/01/26) , %, 11/01/45 (Call 05/01/26) , %, 11/01/23 1,000 1,223, %, 11/01/24 (Call 11/01/21) , %, 11/01/27 (Call 11/01/24) , %, 11/01/27 (Call 11/01/22) 1,000 1,187,860 S CHEDULES OF I NVESTMENTS 11

12 ishares CALIFORNIA MUNI BOND ETF 5.00%, 11/01/29 (Call 05/01/26) $ 300 $ 368, %, 11/01/30 (Call 11/01/25) 1,000 1,216, %, 11/01/30 (Call 05/01/27) , %, 11/01/31 (Call 05/01/27) , %, 11/01/32 (Call 05/01/26) 2,490 3,000, %, 11/01/33 (Call 11/01/24) 1,000 1,200, %, 11/01/33 (Call 11/01/25) , %, 11/01/33 (PR 05/01/18) (AGM) , %, 11/01/33 (Call 05/01/18) (AGM) 25 25, %, 11/01/35 (Call 11/01/25) 1,325 1,579, %, 11/01/35 (Call 05/01/27) , %, 11/01/37 (Call 11/01/21) 2,410 2,744, %, 11/01/37 (Call 11/01/22) , %, 11/01/37 (Call 05/01/27) 1,555 1,864, %, 11/01/39 (Call 11/01/24) , %, 11/01/39 (PR 05/01/18) (AGM) , %, 11/01/39 (Call 05/01/18) (AGM) 10 10, %, 11/01/44 (Call 11/01/24) 1,290 1,519, %, 11/01/45 (Call 05/01/26) 1,260 1,471, %, 11/01/47 (Call 11/01/25) 1,200 1,403, %, 11/01/47 (Call 05/01/27) 900 1,064, %, 11/01/34 (PR 05/01/19) , %, 11/01/49 (Call 05/01/21) , %, 11/01/51 (Call 05/01/23) ,456 California Statewide Communities Development 5.00%, 05/15/40 (Call 05/15/26) ,398 Centinela Valley Union High School 4.00%, 08/01/50 (Call 08/01/26) ,445 Cerritos Community College 4.00%, 08/01/44 (Call 08/01/24) , %, 08/01/39 (Call 08/01/24) ,960 Chabot-Las Positas Community College 4.00%, 08/01/33 (Call 08/01/26) 1,000 1,090, %, 08/01/34 (Call 08/01/26) $1,000 $ 1,084, %, 08/01/31 (Call 08/01/23) ,389 Chaffey Joint Union High School 4.00%, 08/01/44 (Call 02/01/25) ,200 Chino Basin Regional Financing 5.00%, 11/01/33 (PR 11/01/17) (AMBAC) , %, 11/01/38 (PR 11/01/17) (AMBAC) ,800 City & County of San Francisco CA COP 5.00%, 04/01/29 (Call 04/01/19) ,904 City & County of San Francisco CA GO Series R1 5.00%, 06/15/ , %, 06/15/ , %, 06/15/ , %, 06/15/ , %, 06/15/26 (Call 06/15/23) ,375 City of Long Beach CA Harbor Revenue RB 4.00%, 11/15/ , %, 11/15/18 2,420 2,543, %, 05/15/47 (Call 05/15/27) 1,000 1,180,210 City of Los Angeles CA GO 5.00%, 09/01/ , %, 09/01/20 1,815 2,038,390 City of Los Angeles CA Wastewater System Revenue RB 4.00%, 06/01/42 (Call 06/01/27) , %, 06/01/ , %, 06/01/ , %, 06/01/35 (Call 06/01/23) 2,450 2,851, %, 06/01/43 (Call 06/01/23) , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

13 ishares CALIFORNIA MUNI BOND ETF 5.00%, 06/01/22 $ 250 $ 296, %, 06/01/ , %, 06/01/30 (Call 06/01/22) , %, 06/01/32 (Call 06/01/22) , %, 06/01/45 (Call 06/01/25) 1,915 2,234,173 City of Los Angeles Department of Airports RB 5.00%, 05/15/26 (Call 05/15/20) , %, 05/15/27 (Call 05/15/20) , %, 05/15/28 (Call 05/15/20) , %, 05/15/32 (Call 05/15/20) 1,490 1,644, %, 05/15/40 (Call 05/15/20) 2,490 2,739, %, 05/15/35 (Call 05/15/22) , %, 05/15/42 (Call 05/15/27) 1,500 1,768, %, 05/15/38 (Call 05/15/25) 1,750 2,042, %, 05/15/40 (Call 05/15/20) 1,450 1,591,462 City of Sacramento CA Water Revenue RB 5.00%, 09/01/42 (Call 09/01/23) ,345 City of San Francisco CA Public Utilities Commission Water Revenue RB 4.00%, 11/01/39 (Call 05/01/22) , %, 11/01/22 1,000 1,197, %, 11/01/25 (Call 05/01/25) , %, 11/01/27 (Call 11/01/26) , %, 11/01/29 (Call 11/01/26) 1,000 1,236, %, 11/01/32 (Call 05/01/25) 1,000 1,190, %, 11/01/32 (Call 05/01/22) 1,525 1,758, %, 11/01/34 (Call 11/01/26) 1,695 2,055, %, 11/01/36 (Call 05/01/25) , %, 11/01/39 (Call 11/01/26) 1,000 1,068, %, 11/01/41 (Call 05/01/22) , %, 11/01/30 (Call 11/01/21) , %, 11/01/33 (Call 05/01/22) 1,000 1,151, %, 11/01/37 (Call 11/01/21) 1,000 1,145, %, 11/01/41 (Call 11/01/21) , %, 11/01/43 (Call 05/01/22) 1,105 1,260,816 Series F 5.00%, 11/01/25 (PR 11/01/20) $1,175 $ 1,326,093 City of Vernon CA Electric System Revenue RB 5.13%, 08/01/21 (PR 08/01/19) , %, 08/01/21 (Call 08/01/19) ,643 Clovis Unified School 4.00%, 08/01/40 (Call 08/01/25) ,243 Coast Community College 0.00%, 08/01/34 (Call 08/01/25) , %, 08/01/29 (Call 08/01/25) , %, 08/01/31 (Call 08/01/25) , %, 08/01/38 (Call 08/01/23) , %, 08/01/38 (Call 08/01/23) 860 1,004, %, 08/01/42 (Call 08/01/27) ,065 Contra Costa Community College 5.00%, 08/01/38 (Call 08/01/23) 1,690 1,973, %, 08/01/39 (Call 08/01/24) ,950 County of Orange CA Airport Revenue RB 5.00%, 07/01/28 (Call 07/01/19) ,201 County of Sacramento CA Airport System Revenue RB 5.00%, 07/01/40 (Call 07/01/20) , %, 07/01/41 (Call 07/01/26) 1,000 1,173, %, 07/01/41 (PR 07/01/18) ,890 County of Santa Clara CA GO 4.00%, 08/01/39 (Call 08/01/22) , %, 08/01/34 (Call 08/01/19) 1,425 1,532,203 Cucamonga Valley Water District RB 5.38%, 09/01/35 (Call 09/01/21) (AGM) ,498 S CHEDULES OF I NVESTMENTS 13

14 ishares CALIFORNIA MUNI BOND ETF Desert Community College 4.00%, 08/01/39 (Call 08/01/27) $ 500 $ 532, %, 08/01/37 (Call 02/01/26) 1,000 1,179,530 East Bay Municipal Utility District Water System Revenue RB Series 2014-B 5.00%, 06/01/ , %, 06/01/45 (Call 06/01/27) , %, 06/01/28 (PR 06/01/20) , %, 06/01/29 (Call 06/01/25) , %, 06/01/32 (Call 06/01/25) 1,500 1,804, %, 06/01/35 (Call 06/01/25) , %, 06/01/42 (Call 06/01/27) , %, 06/01/ , %, 06/01/ , %, 06/01/ , %, 06/01/23 1,435 1,738, %, 06/01/33 (Call 06/01/27) 1,000 1,231,640 Eastern Municipal Water District COP Series H 5.00%, 07/01/24 (PR 07/01/18) , %, 07/01/33 (PR 07/01/18) , %, 07/01/35 (PR 07/01/18) 1,580 1,635,663 Eastern Municipal Water District Financing 5.00%, 07/01/47 (Call 07/01/27) 1,000 1,188,870 El Camino Community College Series 2012-A 4.00%, 08/01/45 (Call 08/01/26) , %, 08/01/ , %, 08/01/ , %, 08/01/34 2,050 1,176,433 El Dorado Irrigation District/El Dorado County Water Agency RB 5.00%, 03/01/34 (Call 03/01/24) (AGM) ,008 Escondido Union High School 0.00%, 08/01/37 (AGC) $ 190 $.93, %, 08/01/ , %, 08/01/51 1, ,498 Foothill-De Anza Community College 4.00%, 08/01/40 (Call 08/01/26) 1,960 2,112, %, 08/01/36 (PR 08/01/21) , %, 08/01/40 (PR 08/01/21) 1,190 1,375,592 Foothill-Eastern Transportation Corridor Agency RB 0.00%, 01/01/30 (ETM) (RADIAN-IBCC, AGM-CR) , %, 01/15/35 (AGM) , %, 01/01/19 (ETM) , %, 01/01/20 (ETM) 1,100 1,073, %, 01/01/23 (ETM) , %, 01/01/25 (ETM) , %, 01/01/26 (ETM) , %, 01/01/28 (ETM) , %, 01/01/29 (ETM) , %, 01/15/53 (Call 07/15/27) 1,200 1,207,728 Fremont Union High School 4.00%, 08/01/40 (Call 08/01/24) 1,950 2,081,001 Fresno Unified School Series G 0.00%, 08/01/41 (Call 08/01/21) ,945 Glendale Unified School District/CA GO 4.00%, 09/01/41 (Call 09/01/25) ,625 Grossmont Union High School 5.00%, 08/01/33 (PR 08/01/18) ,890 Hayward Area Recreation & Park ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

15 ishares CALIFORNIA MUNI BOND ETF 4.00%, 08/01/46 (Call 08/01/27) $1,000 $ 1,063,120 Imperial Irrigation District Electric System Revenue RB 5.00%, 11/01/33 (PR 11/01/18) , %, 11/01/46 (Call 11/01/26) ,155 Irvine Ranch Water District 5.25%, 02/01/46 (Call 08/01/26) 1,000 1,212,330 VRDN 0.72%, 10/01/41 (Put 09/01/17) a 3,500 3,500,000 VRDN 0.66%, 04/01/33 (Put 09/01/17) a 1,700 1,700,000 Long Beach Community College 0.00%, 08/01/49 (Call 08/01/42) , %, 08/01/39 (Call 08/01/22) ,915 Long Beach Unified School 5.00%, 08/01/ , %, 08/01/39 (Call 02/01/25) ,496 Los Angeles Community College District/CA GO 4.00%, 08/01/37 (Call 08/01/26) , %, 08/01/38 (Call 08/01/26) 1,325 1,572, %, 08/01/32 (Call 08/01/24) 1,100 1,196, %, 08/01/ , %, 08/01/29 (Call 08/01/24) 3,060 3,708, %, 08/01/30 (Call 08/01/24) 3,500 4,233, %, 08/01/31 (Call 08/01/24) 2,000 2,410, %, 08/01/33 (PR 08/01/19) , %, 08/01/ , %, 06/01/ , %, 08/01/39 (PR 08/01/20) 1,270 1,430,109 Series E %, 08/01/33 (PR 08/01/18) ,157 Series F %, 08/01/33 (PR 08/01/18) 1,000 1,039,370 Los Angeles Convention & Exhibit Center 5.00%, 08/15/20 (PR 08/15/18) $ 120 $ 124,922 Los Angeles County Metropolitan Transportation 5.00%, 07/01/ , %, 07/01/ , %, 07/01/20 2,670 2,978, %, 07/01/22 (Call 07/01/18) (AGM) , %, 06/01/32 (Call 06/01/26) 1,000 1,210, %, 07/01/32 (Call 07/01/23) , %, 07/01/42 (Call 07/01/27) , %, 07/01/ ,904 Los Angeles County Public Works Financing 4.00%, 08/01/37 (Call 08/01/22) , %, 08/01/42 (Call 08/01/22) , %, 12/01/39 (Call 12/01/24) , %, 12/01/40 (Call 12/01/25) 1,000 1,055, %, 12/01/45 (Call 12/01/25) ,315 Los Angeles County Sanitation Districts Financing 4.00%, 10/01/42 (Call 10/01/26) , %, 10/01/ ,755 Los Angeles Department of Water & Power Power System Revenue RB 5.00%, 07/01/47 (Call 07/01/27) 2,000 2,379,640 Los Angeles Department of Water & Power System Revenue RB 5.00%, 07/01/18 1,215 1,258, %, 07/01/ , %, 07/01/20 1,000 1,116, %, 07/01/22 (PR 07/01/21) 5 5, %, 07/01/22 (Call 07/01/21) , %, 07/01/27 (Call 01/01/23) 875 1,030,907 S CHEDULES OF I NVESTMENTS 15

16 ishares CALIFORNIA MUNI BOND ETF 5.00%, 07/01/28 (Call 01/01/25) $1,290 $ 1,555, %, 07/01/42 (Call 01/01/27) , %, 07/01/46 (Call 01/01/26) 2,000 2,329, %, 07/01/38 (Call 07/01/18) 2,750 2,848, %, 12/01/18 (Call 11/01/18) 1,300 1,363, %, 07/01/29 (Call 07/01/23) , %, 07/01/30 (Call 07/01/23) , %, 07/01/36 (Call 01/01/27) 1,000 1,200, %, 07/01/42 (Call 01/01/26) 2,230 2,606, %, 07/01/43 (Call 07/01/22) 2,945 3,352, %, 07/01/43 (Call 01/01/24) 940 1,083, %, 07/01/35 (Call 07/01/24) 1,550 1,823, %, 07/01/39 (Call 07/01/24) 3,700 4,328, %, 07/01/44 (Call 07/01/24) ,810 Series E 5.00%, 07/01/44 (Call 07/01/24) ,810 Los Angeles Department of Water RB 5.00%, 07/01/41 (Call 01/01/21) , %, 07/01/43 (Call 07/01/22) 1,250 1,415, %, 07/01/44 (Call 01/01/27) 2,000 2,368, %, 07/01/46 (Call 01/01/26) 2,700 3,158, %, 07/01/33 (Call 07/01/23) , %, 07/01/43 (Call 07/01/22) 1,060 1,200, %, 07/01/46 (Call 01/01/26) ,440 Los Angeles Unified School District/ CA GO 5.00%, 07/01/ , %, 07/01/20 1,000 1,115, %, 07/01/21 1,000 1,152, %, 07/01/22 2,300 2,728, %, 07/01/23 2,850 3,461, %, 07/01/24 1,620 2,004, %, 07/01/25 1,000 1,255, %, 07/01/ , %, 07/01/27 2,500 3,194, %, 07/01/28 (Call 07/01/21) 1,000 1,149, %, 07/01/29 (Call 07/01/25) 1,000 1,210, %, 07/01/30 (Call 07/01/21) , %, 07/01/31 (Call 07/01/21) $1,000 $ 1,143, %, 07/01/40 (Call 07/01/25) 1,000 1,170, %, 07/01/18 (FGIC) , %, 07/01/21 2,245 2,586, %, 07/01/ , %, 07/01/30 (Call 07/01/26) 1,000 1,223, %, 07/01/ , %, 07/01/23 1,000 1,214, %, 07/01/25 (Call 07/01/24) 1,000 1,230, %, 07/01/26 (Call 07/01/24) , %, 07/01/27 (Call 07/01/24) 1,000 1,211, %, 07/01/30 (Call 07/01/24) , %, 01/01/34 (Call 07/01/19) ,056 Series F 5.00%, 01/01/34 (Call 07/01/19) ,262 Series I 5.00%, 07/01/27 (Call 07/01/19) , %, 01/01/34 (Call 07/01/19) ,720 Series KRY 5.00%, 07/01/ ,935 Los Rios Community College 5.00%, 08/01/35 (Call 08/01/20) ,551 Mendocino-Lake Community College 0.00%, 08/01/46 (PR 08/01/21) (AGM) , %, 08/01/51 (AGM) ,720 Merced Union High School 0.00%, 08/01/46 (PR 08/01/21) 1, ,850 Metropolitan Water District of Southern California RB 5.75%, 08/10/ , %, 07/01/ , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

17 ishares CALIFORNIA MUNI BOND ETF 5.00%, 07/01/28 (Call 07/01/25) $ 500 $ 613, %, 10/01/29 (Call 04/01/22) , %, 01/01/34 (Call 01/01/19) , %, 01/01/39 (Call 01/01/19) , %, 07/01/40 (Call 07/01/25) ,375 VRDN 0.69%, 07/01/47 (Put 09/01/17) a 2,700 2,700, %, 08/01/20 (Call 07/01/20) 1,000 1,114, %, 07/01/21 (Call 07/01/18) , %, 08/01/21 (Call 07/01/21) , %, 08/01/22 (Call 07/01/22) ,360-1 VRDN 0.72%, 07/01/37 (Put 09/01/17) a 2,800 2,800,000-3-REMK VRDN 0.69%, 07/01/35 (Put 09/01/17) a 2,300 2,300, %, 07/01/18 1,000 1,035, %, 07/01/ , %, 10/01/ ,158, %, 07/01/35 (Call 07/01/19) ,486 Mount Diablo Unified School District/ CA GO 0.00%, 08/01/35 (Call 08/01/25) (AGM) ,832 Series E 5.00%, 06/01/37 (Call 08/01/22) 1,000 1,146,960 Mount San Antonio Community College 0.00%, 08/01/28 (Call 02/01/28) 1, , %, 08/01/43 (Call 08/01/35) 2,000 1,648,020 Mountain View-Whisman School 4.00%, 09/01/42 (Call 09/01/26) ,540 Municipal Improvement Corp. of Los Angeles RB 5.00%, 09/01/23 (PR 09/01/18) 30 31, %, 09/01/25 (PR 09/01/18) , %, 11/01/34 (Call 11/01/26) 1,200 1,294, %, 11/01/ , %, 11/01/29 (Call 11/01/26) , %, 11/01/30 (Call 11/01/26) $ 500 $ 603,560 Newport Mesa Unified School 0.00%, 08/01/ , %, 08/01/36 1, , %, 08/01/ , %, 08/01/44 (Call 08/01/27) 1, ,640 Norman Y Mineta San Jose International Airport SJC RB 5.00%, 03/01/47 (Call 03/01/27) 1,000 1,160,670 Ohlone Community College 4.00%, 08/01/45 (Call 08/01/26) 1,250 1,323,037 Orange County Sanitation District COP 5.00%, 02/01/39 (PR 02/01/19) ,810 Orange County Water District COP 5.00%, 08/15/39 (PR 08/15/19) ,667 VRDN 0.74%, 08/01/42 (Put 09/06/17) a ,000 Palomar Community College 4.00%, 08/01/40 (Call 08/01/25) , %, 08/01/46 (Call 08/01/27) ,255 Palomar Health GO 0.00%, 08/01/31 (AGM) ,900 Peralta Community College 5.00%, 08/01/39 (PR 08/01/19) ,516 Placentia-Yorba Linda Unified School 0.00%, 08/01/ , %, 08/01/ , %, 08/01/ ,263 Port of Los Angeles RB 5.00%, 08/01/44 (Call 08/01/24) 1,100 1,282,017 S CHEDULES OF I NVESTMENTS 17

18 ishares CALIFORNIA MUNI BOND ETF 4.00%, 08/01/39 (Call 08/01/26) $1,000 $ 1,070,430 Poway Unified School 0.00%, 08/01/ , %, 08/01/ , %, 08/01/ , %, 08/01/36 1, , %, 08/01/ , %, 08/01/46 3,450 1,138, %, 08/01/ ,165 Rio Hondo Community College District/CA GO 0.00%, 08/01/42 (Call 08/01/34) ,850 Series 2004-C 0.00%, 08/01/42 (Call 08/01/34) ,285 Riverside CA Sewer Revenue RB 5.00%, 08/01/40 (Call 08/01/25) ,025 Riverside County Public Financing 5.25%, 11/01/45 (Call 11/01/25) ,910 Riverside County Transportation Commission RB 5.25%, 06/01/39 (Call 06/01/23) , %, 06/01/48 (Call 06/01/23) 1,000 1,134,470 Sacramento Area Flood Control Agency 5.63%, 10/01/37 (PR 10/01/18) (BHAC) , %, 10/01/47 (Call 10/01/26) 1,000 1,168,160 Sacramento City Financing 5.25%, 12/01/30 (AMBAC) ,656 Sacramento County Sanitation Districts Financing 5.00%, 12/01/44 (Call 06/01/24) 1,000 1,167,200 Sacramento Municipal Utility District RB 5.00%, 08/15/37 (Call 08/15/23) , %, 08/15/41 (Call 08/15/23) 1,000 1,164,590 Series K 5.25%, 07/01/24 (AMBAC) $ 250 $ 298,595 Series U 5.00%, 08/15/22 (PR 08/15/18) (AGM) , %, 08/15/22 (Call 08/15/18) (AGM) , %, 08/15/24 (PR 08/15/18) (AGM) , %, 08/15/24 (Call 08/15/18) (AGM) ,731 Series X 5.00%, 08/15/ , %, 08/15/28 (PR 08/15/21) 60 69, %, 08/15/28 (Call 08/15/21) ,010 Sacramento Suburban Water District COP VRDN 0.76%, 11/01/34 (Put 09/06/17) a ,000 Sacramento Transportation Authority RB VRDN 0.75%, 10/01/38 (Put 09/07/17) a ,000 San Bernardino Community College 6.25%, 08/01/33 (PR 08/01/18) ,000 San Diego Community College 4.00%, 08/01/32 (Call 08/01/26) , %, 08/01/28 (Call 08/01/26) , %, 08/01/30 (Call 08/01/23) , %, 08/01/30 (Call 08/01/26) , %, 08/01/31 (Call 08/01/26) 2,000 2,451, %, 08/01/41 (PR 08/01/21) , %, 08/01/41 (Call 08/01/26) , %, 08/01/43 (Call 08/01/23) 1,350 1,579,014 San Diego County Regional Airport 5.00%, 07/01/34 (Call 07/01/20) , %, 07/01/40 (Call 07/01/20) , %, 07/01/42 (Call 07/01/27) 1,000 1,183, %, 07/01/43 (Call 07/01/23) , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

19 ishares CALIFORNIA MUNI BOND ETF San Diego County Regional Transportation Commission RB 5.00%, 04/01/48 (Call 04/01/24) $ 400 $ 464, %, 04/01/41 (Call 04/01/26) 2,000 2,375, %, 04/01/42 (Call 04/01/22) 1,500 1,712, %, 04/01/48 (Call 04/01/22) ,680 San Diego County Water Authority Financing Corp. COP Series %, 05/01/38 (PR 05/01/18) (AGM) 3,830 3,939, %, 05/01/33 (PR 05/01/18) (AGM) ,832 San Diego County Water Authority Financing Corp. RB 5.00%, 05/01/31 (Call 11/01/22) , %, 05/01/34 (Call 11/01/22) , %, 05/01/33 (Call 05/01/26) , %, 05/01/38 (Call 05/01/26) ,202 San Diego Public Facilities Financing 5.00%, 10/15/44 (Call 10/15/25) 1,000 1,165,120 San Diego Public Facilities Financing Authority Sewer Revenue RB 5.00%, 05/15/ , %, 05/15/ ,194, %, 05/15/ , %, 05/15/ , %, 05/15/29 (Call 05/15/26) , %, 05/15/24 (PR 05/15/20) , %, 05/15/25 (PR 05/15/20) , %, 05/15/34 (PR 05/15/19) 1,000 1,075, %, 05/15/39 (PR 05/15/19) , %, 05/15/18 1,100 1,133, %, 05/15/ ,034, %, 05/15/21 (PR 05/15/19) , %, 05/15/22 (PR 05/15/19) , %, 05/15/23 (PR 05/15/19) 2,045 2,207,312 San Diego Public Facilities Financing Authority Water Revenue RB 5.00%, 08/01/24 $1,000 $ 1,239, %, 08/01/27 (Call 08/01/26) 1,500 1,880, %, 08/01/39 (PR 08/01/19) 1,000 1,088,710 San Diego Regional Building 5.38%, 02/01/36 (PR 02/01/19) ,956 San Diego Unified School District/ CA GO 0.00%, 07/01/ , %, 07/01/ , %, 07/01/36 1, , %, 07/01/ , %, 07/01/39 1, , %, 07/01/ , %, 07/01/45 2, , %, 07/01/19 (NPFGC) , %, 07/01/ , %, 07/01/47 (Call 07/01/40) , %, 07/01/48 (Call 07/01/40) 1, , %, 07/01/35 (Call 07/01/23) 1,150 1,347,328 Series E 0.00%, 07/01/ , %, 07/01/42 1, , %, 07/01/47 (Call 07/01/42) 1,815 1,203, %, 07/01/49 3,300 1,024,815 Series G 0.00%, 07/01/38 (Call 01/01/24) 1, ,520 Series R %, 07/01/31 1,675 1,088,515 Series R %, 07/01/20 1,000 1,116, %, 07/01/ ,656 Series R %, 07/01/28 (Call 07/01/25) ,534 Series SENIOR %, 07/01/31 (Call 07/01/26) ,795 San Dieguito Union High School %, 08/01/38 (Call 08/01/23) ,070 S CHEDULES OF I NVESTMENTS 19

20 ishares CALIFORNIA MUNI BOND ETF %, 02/01/40 (Call 08/01/25) $ 200 $ 211,394 San Francisco Bay Area Rapid Transit 4.00%, 08/01/37 (Call 08/01/27) 1,500 1,639, %, 08/01/42 (Call 08/01/27) 1,000 1,077, %, 08/01/47 (Call 08/01/27) , %, 08/01/33 (Call 08/01/25) ,518 San Francisco Bay Area Rapid Transit District RB 5.00%, 07/01/36 (Call 07/01/22) ,765 San Francisco City & County Airport Commission San Francisco International Airport RB 5.00%, 05/01/19 1,000 1,068, %, 05/01/46 (Call 05/01/26) 1,165 1,362,933 Issue 32F, Second Series 5.25%, 05/01/19 (NPFGC-FGIC) 995 1,066,998 Second Series 5.00%, 05/01/26 (Call 05/01/22) 895 1,048, %, 05/01/18 (NPFGC) ,242 Second 5.00%, 05/01/ , %, 05/01/29 (Call 11/01/19) 1,205 1,307, %, 05/01/ , %, 05/01/ , %, 05/01/29 (Call 11/01/19) , %, 05/01/43 (Call 05/01/23) , %, 05/01/44 (Call 05/01/24) 995 1,131, %, 05/01/23 (PR 05/01/20) , %, 05/01/23 (Call 05/01/20) , %, 05/01/24 (PR 05/03/21) 30 34, %, 05/01/24 (Call 05/01/21) , %, 05/01/ ,633 Series F 5.00%, 05/01/35 (Call 05/01/20) ,184 San Francisco City & County Public Utilities Commission Wastewater Revenue RB 4.00%, 10/01/39 (Call 10/01/22) $ 950 $ 1,006,886 San Francisco Municipal Transportation Agency RB 4.00%, 03/01/46 (Call 03/01/27) ,673 San Joaquin County Transportation 4.00%, 03/01/41 (Call 03/01/27) , %, 03/01/41 (PR 03/01/21) , %, 03/01/36 (PR 03/01/21) ,810 San Joaquin Hills Transportation Corridor Agency RB 0.00%, 01/01/20 (ETM) , %, 01/01/22 (ETM) , %, 01/01/23 (ETM) , %, 01/01/26 (ETM) , %, 01/01/28 (ETM) , %, 01/15/34 (Call 01/15/25) , %, 01/15/50 (Call 01/15/25) 3,750 4,124, %, 01/15/26 (NPFGC) , %, 01/15/44 (Call 01/15/25) 2,000 2,217,500 San Jose Financing 5.00%, 06/01/39 (Call 06/01/23) ,315 San Jose Unified School 5.00%, 08/01/32 (PR 08/01/18) ,898 San Marcos Unified School 0.00%, 08/01/ , %, 08/01/ , %, 08/01/ , %, 08/01/51 1, ,335 San Mateo County Community College 5.00%, 09/01/45 (Call 09/01/25) , %, 09/01/ , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

21 ishares CALIFORNIA MUNI BOND ETF San Mateo Foster City School District/ CA GO 0.00%, 08/01/42 (Call 08/01/31) $ 250 $ 218,208 San Mateo Joint Powers Financing 5.00%, 07/15/36 (PR 07/15/18) ,638 San Mateo Union High School 0.00%, 09/01/ , %, 09/01/41 (Call 09/01/36) 1,500 1,292, %, 07/01/51 (Call 09/01/41) ,995 Santa Barbara Secondary High School 0.00%, 08/01/ ,794 Santa Clara Valley Transportation VRDN 0.74%, 06/01/26 (Put 09/07/17) a , %, 04/01/18 1,375 1,409, %, 04/01/ , %, 04/01/ ,946 Santa Clara Valley Water District RB 5.00%, 06/01/46 (Call 12/01/25) ,068 Santa Monica Community College 4.00%, 08/01/44 (Call 08/01/24) 1,000 1,050,530 South San Francisco Unified School 4.00%, 09/01/37 (Call 09/01/25) 1,000 1,074,340 Southern California Public Power Series %, 07/01/36 1,000 1,019,840 Southern California Public Power 5.00%, 07/01/25 (Call 07/01/20) , %, 07/01/26 (Call 01/01/25) ,854 Series %, 07/01/30 (Call 07/01/20) $ 700 $ 775, %, 07/01/ , %, 07/01/18 1,195 1,238, %, 07/01/27 (PR 01/01/20) , %, 07/01/27 (PR 07/01/18) ,588 Southern California Water Replenishment District RB 4.00%, 08/01/45 (Call 08/01/25) 1,000 1,066,350 Southwestern Community College 0.00%, 08/01/ , %, 08/01/46 1, , %, 08/01/44 (Call 08/01/25) ,015 State of California Department of Water Resources Power Supply Revenue RB Series F %, 05/01/22 (PR 05/01/18) ,587 Series H 5.00%, 05/01/21 (PR 05/01/18) (AGM) , %, 05/01/22 (PR 05/01/18) (AGM) 1,150 1,182,901 Series K 5.00%, 05/01/18 2,240 2,304,176 Series L 5.00%, 05/01/18 1,300 1,337, %, 05/01/19 2,765 2,958, %, 05/01/20 1,125 1,248, %, 05/01/21 (PR 05/01/20) 925 1,025, %, 05/01/22 (PR 05/01/20) , %, 05/01/22 (Call 05/01/20) ,373 Series N 5.00%, 05/01/ ,013, %, 05/01/20 2,110 2,341, %, 05/01/ ,723 Series O 5.00%, 05/01/21 3,600 4,128, %, 05/01/22 4,725 5,586,226 S CHEDULES OF I NVESTMENTS 21

22 ishares CALIFORNIA MUNI BOND ETF State of California Department of Water Resources RB 5.00%, 12/01/25 (PR 06/01/18) $ 490 $ 505, %, 12/01/25 (Call 06/01/18) 10 10, %, 12/01/26 (PR 06/01/18) , %, 12/01/26 (Call 06/01/18) 20 20, %, 12/01/27 (PR 06/01/18) 2,830 2,920,305 G 5.00%, 12/01/26 (PR 12/01/19) , %, 12/01/26 (Call 12/01/19) 20 21, %, 12/01/29 (PR 12/01/19) , %, 12/01/29 (Call 12/01/19) 65 71,007 S 5.00%, 12/01/20 (ETM) 5 5, %, 12/01/ , %, 12/01/22 (ETM) 10 11, %, 12/01/ , %, 12/01/25 (Call 12/01/24) , %, 12/01/26 (Call 12/01/24) 1,055 1,299, %, 12/01/27 (Call 12/01/24) , %, 12/01/29 (Call 12/01/24) ,021 W 5.00%, 12/01/28 (Call 12/01/26) 1,000 1,252, %, 12/01/33 (Call 12/01/26) ,710 State of California GO 2.00%, 11/01/18 1,750 1,776, %, 12/01/32 (Call 06/01/19) , %, 09/01/17 2,000 2,000, %, 12/01/18 (PR 12/01/17) , %, 05/01/23 1,000 1,142, %, 12/01/27 (Call 10/02/17) , %, 09/01/28 (Call 09/01/26) , %, 12/01/30 (Call 06/01/21) , %, 09/01/33 (Call 09/01/26) 1,000 1,089, %, 09/01/34 (Call 09/01/26) 2,300 2,491, %, 09/01/36 (Call 09/01/26) 2,000 2,153, %, 11/01/44 (Call 11/01/24) , %, 03/01/45 (Call 03/01/25) , %, 08/01/45 (Call 08/01/25) , %, 11/01/ , %, 03/01/21 (Call 03/01/20) , %, 08/01/26 (Call 10/02/17) 10 10, %, 08/01/30 (Call 10/02/17) 25 25, %, 09/01/17 $ 450 $ 450, %, 10/01/17 1,510 1,515, %, 02/01/18 2,750 2,799, %, 04/01/ , %, 08/01/18 1,500 1,558, %, 08/01/18 (Call 10/02/17) 5 5, %, 09/01/18 1,000 1,042, %, 10/01/ , %, 11/01/ , %, 08/01/19 (Call 10/02/17) 5 5, %, 08/01/19 3,000 3,235, %, 10/01/ , %, 12/01/ , %, 04/01/ , %, 08/01/ , %, 09/01/ , %, 10/01/20 2,000 2,242, %, 12/01/ , %, 02/01/ , %, 09/01/21 2,945 3,394, %, 11/01/21 (Call 11/01/17) , %, 11/01/21 3,175 3,675, %, 02/01/22 1,000 1,163, %, 08/01/22 (Call 10/02/17) 5 5, %, 09/01/22 1,720 2,031, %, 08/01/ , %, 09/01/23 3,465 4,176, %, 10/01/23 1,000 1,207, %, 11/01/23 (Call 11/01/20) , %, 12/01/ , %, 02/01/24 (Call 02/01/22) , %, 08/01/ , %, 08/01/24 (Call 10/02/17) 5 5, %, 10/01/24 (Call 04/01/18) 1,000 1,025, %, 11/01/24 (Call 11/01/20) , %, 12/01/24 (PR 12/01/17) , %, 12/01/24 (Call 12/01/23) , %, 02/01/25 (Call 02/01/23) 1,000 1,191, %, 03/01/25 (Call 03/01/20) , %, 08/01/25 1,000 1,239, %, 09/01/25 (Call 09/01/23) 3,450 4,176, %, 10/01/25 (Call 04/01/18) 1,650 1,690, %, 10/01/25 (Call 10/01/24) , ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS