Periods of such market dislocation may occur again at any time. ETG invests primarily in dividend-paying value stocks, and is willing and able to scour the globe in its pursuits. Today, that discount is 2.5%. It also yields a very juicy 9.9%. Following the dot-com crash of 2000-2002, European stocks performed exceptionally well as investors fled the growth-centric U.S. market and rotated into the more value-centric European markets. Closed-end funds are different. Each of these funds trades at a reasonable discount to NAV and offers a yield that's at least competitive, if not downright extravagant. Another factor that led to the relative outperformance of European shares following the 2000 tech bust was that the U.S. dollar started a long decline relative to most major world currencies. * Includes 1.41% in management fees, 0.33% in additional expenses, 1.34% in interest expenses and 0.01% in income tax expenses. 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. Distributions are a key part of a CEFs total return - find out how much your CEF has paid in distributions over time. It's not uncommon to see CEFs trading at a premium to the value of the assets they own. They are designed to liquidate at NAV at a specific date in the future. Investing for Income The closing price and net asset value (NAV) of a funds shares will fluctuate with market conditions. Who wouldn't want to buy the whole for less than the sum of the parts? Some BlackRock funds make distributions of ordinary income and capital gains at calendar year end. The fund manages this risk by holding a first-lien position in 80% of the portfolio. Blackrock Closed-end Fund Share Repurchase Program Update Press Release Actions Download Email Add To Favorites Information Information Description : Dividend Press Release Publication date: Apr 11, 2023 Target Audience: For Individuals Product group: BlackRock Closed-End Funds Done The term feature ensures NAV liquidity upon maturity. * Includes 1.41% in management fees, 0.30% in additional expenses and 1.36% in interest expenses. 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. These can be something of a chore to own in that they tend to make your tax returns more complicated. But just as you'd never pay $1.10 for a dollar, you're generally better off avoiding CEFs trading a premium. This and other information can be found in the Funds' prospectuses. From 2006 to 2009, he was an investment research analyst at Citigroup responsible for global software. Business Involvement metrics are not indicative of a funds investment objective, and, unless otherwise stated in fund documentation and included within a funds investment objective, do not change a funds investment objective or constrain the funds investable universe. The closing price and net asset value (NAV) of a funds shares will fluctuate with market conditions. Closed-end funds may trade at a premium to NAV but often trade at a discount. The fund may not be able to readily dispose of such investments at prices that approximate those at which the fund could sell such investments if they were more widely traded and, as a result of such illiquidity, the fund may have to sell other investments or engage in borrowing transactions if necessary to raise cash to meet its obligations. Review the MSCI methodology behind the Sustainability Characteristics and Business Involvement metrics: 1ESG Ratings; 2Index Carbon Footprint Metrics; 3Business Involvement Screening Research; 4ESG Screened Index Methodology; 5ESG Controversies; 6MSCI Implied Temperature Rise. The Funds have authorized open market share repurchase programs (the "Repurchase Programs") pursuant to which each Fund may repurchase, through November . *Restricted and Illiquid Investments Risk. Leave the BlackRock site for Individuals to explore other content, Welcome to the BlackRock site for individuals. Listed CEFs can offer intra-day liquidity. As with their mutual fund cousins, CEFs are pooled investment vehicles that hold portfolios of stocks, bonds or other assets. Like CEM, EMO invests primarily in a portfolio of oil and gas pipeline stocks. Learn more about ETG at the Eaton Vance provider site. These are nine of the best REITs to buy and hold in the new year. At the time of sale, your shares may have a market price that is above or below net asset value, and may be worth more or less than your original investment. But you also get the opportunity to enjoy a 7.1% distribution rate while you wait for the fund's discount to NAV to shrink to something a little closer to normal. The interest from bonds issued by state or local governments is generally tax-free at the federal level. Read the prospectus carefully before investing. Gear advertisements and other marketing efforts towards your interests. Availability of Fund Updates. BlackRock will update performance and certain other data for the Funds on a monthly basis on its website in the "Closed-end Funds" section of www.blackrock.com as . Learn more about BTT at the BlackRock provider site. Carefully consider the Funds' investment objectives, risk factors, and charges and expenses before investing. Leave the BlackRock site for Individuals to explore other content, Welcome to the BlackRock site for individuals. In a "normal" year, that acts as a return booster. If the Fund invests in any underlying fund, certain portfolio information, including sustainability characteristics and business-involvement metrics, provided for the Fund may include information (on a look-through basis) of such underlying fund, to the extent available. Visit our corporate site. 2022 BlackRock, Inc. All rights reserved. The discount to net asset value is noteworthy to investors seeking out the best closed-end funds because as recently as October of last year, ETG actually traded at a slight premium to net asset value. The problem, of course, is that cheap CEFs can stay cheap forever in the absence of a catalyst to close the discount to NAV. All performance after inception of the share class is actual performance. The potential returns here look juicy, which is why JQC is one of the best closed-end funds to buy. Yet these are exactly the kinds of opportunities that arise in the market's best closed-end funds (CEFs). As a global investment manager and fiduciary to our clients, our purpose at BlackRock is to help everyone experience financial well-being. It simply holds a passive portfolio of gold bullion. Gold has been trending higher since November, and if the dollar is potentially starting a multi-year bear market, then gold's rise could be just starting. 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. 1-800-882-0052, View source version on businesswire.com: https://www.businesswire.com/news/home/20230411005761/en/. The $10,000 Hypothetical Over Time chart reflects a hypothetical $10,000 investment in the investor class of shares noted and does not assume the max sales charge. BlackRock will update performance and certain other data for the Funds on a monthly basis on its website in the "Closed-end Funds” section of www.blackrock.com as well as certain other material information as necessary from time to time. Or we might see several more quarters of high inflation. (opens in new tab). Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time. BlackRock Energy and Resources Trust. Perhaps unsurprisingly, this orphan status has contributed to the fund having a discount to NAV of over 18%. 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. 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. It doesn't really "do" anything. Published 20 January 22. March 31, 2023. . Carefully consider the Funds' investment objectives, risk factors, and charges and expenses before investing. These seven stocks could benefit the most (and least) from the Inflation Reduction Act, which has been signed into law. The chart uses NAV performance or market price performance and assumes reinvestment of dividends and capital gains. We also respect individual opinionsthey represent the unvarnished thinking of our people and exacting analysis of our research processes. EMO allows you to get access to some of the biggest and best names in the MLP space without all the irritating tax complications. Business Involvement metrics can help investors gain a more comprehensive view of specific activities in which a fund may be exposed through its investments. Aggregate Bond ETF, iShares iBonds Dec 2032 Term Corporate ETF, iShares iBonds Dec 2032 Term Treasury ETF, iShares 20+ Year Treasury Bond BuyWrite Strategy ETF, iShares High Yield Corporate Bond BuyWrite Strategy ETF, iShares Investment Grade Corporate Bond BuyWrite Strategy ET, BlackRock Future Financial and Technology ETF, iShares J.P. Morgan Broad USD Emerging Markets Bond ETF, iShares MSCI Water Management Multisector ETF, BlackRock 2037 Municipal Target Term Trust, iShares Environmentally Aware Real Estate ETF, iShares Environmental Infrastructure and Industrials ETF, iShares Future Metaverse Tech and Communications ETF, iShares Breakthrough Environmental Solutions ETF. The Fund manager conducts regular portfolio reviews between with the Risk and Quantitative Analysis group and the Chief Investment Officers, which may include discussion of material ESG risks, as well as exposure to sustainability-related business involvements, climate-related metrics, and other factors. And you know what else did? Learn why its important to consider total return when evaluating a closed-end funds performance. That's been a rough business to be in since the domestic energy glut became an issue in late 2014. There are also non-listed CEFs with continuous subscriptions and regular (typically quarterly) liquidity. Although the character of income will not be determined until the end of the funds fiscal year, please refer to the 'Closed-End Fund Resources' section of the BlackRock website for Section 19 notices that provide estimated amounts and sources of the fund's distributions, which should not be not be relied upon for tax reporting purposes. Published 30 November 22. stocks CEF shares are bought and sold at market price determined by competitive bidding on the stock exchange. Performance chart data not available for display. Net asset value (NAV) is the value of all fund assets, less liabilities divided by the number of shares outstanding. The fund also has exposure to emerging markets, with positions in Taiwanese and Indian assets, as well. Closed structure allows for greater flexibility in the types of investment strategies that can be used and helps portfolio managers stay invested for the longterm without forced selling. 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