For details regarding which funds and share classes leverage synthetic, pre-inception performance,please visit this page. The problem, of course, is that cheap CEFs can stay cheap forever in the absence of a catalyst to close the discount to NAV. This was certainly the case during the last bear market in tech. If a Fund estimates that it has distributed more than its income and net realized capital gains in the current fiscal year; a portion of its distribution may be a return of capital. Well, as a closed-end fund, ClearBridge Energy Midstream Opportunity doesn't have these issues. Business Involvement metrics are only displayed if at least 1% of the funds gross weight includes securities covered by MSCI ESG Research. Closed-end funds may trade at a premium to NAV but often trade at a discount. While more than half its portfolio is in U.S. stocks, Europe accounts for a healthy weighting, too, with the highest allocations to the United Kingdom (10.7%), France (5.6%) and Switzerland (5.4%). Kiplinger is part of Future plc, an international media group and leading digital publisher. And you know what else did? It targets a $25 net asset value at the end of its term, and the fund trades at a deep 8.0% discount to NAV. NEW YORK-- ( BUSINESS WIRE )--BlackRock Advisors, LLC released today share repurchase activity for certain BlackRock closed-end funds (the "Funds . Business Involvement metrics are designed only to identify companies where MSCI has conducted research and identified as having involvement in the covered activity. Data is as of Jan. 30. Discover the value of a managed distribution plan for closed-end funds. And there's an inflation angle as well. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data. Availability of Fund Updates. But the fund also has exposure to preferred stock (3.4% of the portfolio) and bonds (4.7%), as well as a few smaller positions in other assets. PHYS is not the only way to play gold, of course. But as we saw in 2022, leverage can cut both ways, as losses can also be outsized. Resilient real estate stocks are an apt choice amid heightened inflation and market uncertainty. He is co-portfolio manager for the Technology equity portfolios and responsible for coverage of the technology sector. Mr. Menge earned a BA degree in history from Cornell University in 2001. The information contained on BlackRocks website is not a part of this press release. The . 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. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Tony also worked 2 years at Neuberger Berman (1998-2000) as a research analyst covering the technology and telecom sectors. 2023 BlackRock, Inc. All rights reserved. Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time. 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. Those distributions temporarily cause extraordinarily high yields. The best closed-end funds will significantly boost your portfolio income and allow you to buy their underlying stocks and bonds at a discount. And here's where the fun starts. 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. March 31, 2023. Last updated 3 April 23. Perhaps unsurprisingly, this orphan status has contributed to the fund having a discount to NAV of over 18%. All returns assume reinvestment of all dividends. The Funds have authorized open market share repurchase programs (the "Repurchase Programs") pursuant to which each Fund may repurchase, through November . The Funds are distributed by BlackRock Investments, LLC (together with its affiliates, BlackRock). As a global investment manager and fiduciary to our clients, our purpose at BlackRock is to help everyone experience financial well-being. Source: BlackRock Closed-End Funds. Performance during periods of exceptional market conditions should not be expected to be repeated in a normal market environment. Explore BlackRock's mutual funds and iShares ETFs and closed-end funds. That's fantastic news for anyone looking to buy today. 8.51-0.03-0.35%: BGR. When distributions exceed total return performance, the difference will reduce the Fund's net asset value per share. For funds with an investment objective that include the integration of ESG criteria, there may be corporate actions or other situations that may cause the fund or index to passively hold securities that may not comply with ESG criteria. The starting NAV for the NAV performance chart reflects a deduction of the sales charge from the initial public offering price. 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. They often trade at deep discounts to NAV, can persist like that for years, and nothing seems to shake them out of that rut. 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). 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. Leave the BlackRock site for Individuals to explore other content, Welcome to the BlackRock site for individuals. The Nuveen Real Estate Income Fund (JRS (opens in new tab), $8.46) is one of the best closed-end funds that invests in REITs. By Jeff Reeves 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). Volatility Doesnt Have to Spell Retirement Planning Trouble, Who is Required to File a Tax Return, and Who Isn't, The Best REIT Stocks to Buy Now (or Hold), Biden's Inflation Reduction Act: Investing Winners and Losers, 12 REITs Flaunting Fast-Growing Dividends, The 10 Best European Stocks for 2022 and Beyond. As with their mutual fund cousins, CEFs are pooled investment vehicles that hold portfolios of stocks, bonds or other assets. BST commenced operations in October 2014 with the investment objectives of providing income and total return through a combination of current income, current gains and long-term capital appreciation. Performance would have been lower without such waivers. Land and building prices tend to at least keep pace with inflation over time, and commercial rental contracts will generally have rent escalators that will rise. Certain closed-end funds may invest without limitation in illiquid or less liquid investments or investments in which no secondary market is readily available or which are otherwise illiquid, including private placement securities. CEFs have initial public offerings (IPOs) like stocks, and there is a fixed number of shares that then trade on the stock market. 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. Learn more about JQC at the Nuveen provider site. 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. When you purchase through links on our site, we may earn an affiliate commission. The name changes . 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. The Growth of Hypothetical $10,000 chart reflects a hypothetical $10,000 investment in the fund. Published 20 January 22. 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. Performance shown may reflect fee waivers and/or expense reimbursements by the investment advisor to the fund for some or all of the periods shown. Investment return and principal value of an investment will fluctuate so that an investors shares, when sold or redeemed, may be worth more or less than the original cost. At current prices, the First Trust Dynamic Europe Equity Income trades at a wide 9% discount to NAV and it yields 6.8% in dividends. * Includes 0.62% in management fees, 0.04% in other expenses and 0.51% in interest expenses. By Jeff Reeves Prior to joining BlackRock in 2014, Mr. Menge was an associate director of equity research at UBS covering global technology. Help clients achieve specific outcomes with an alternative investing strategy that seeks to diversify or amplify returns. BlackRock Enhanced Global Dividend Trust Adding more BOE to my portfolio was a move to add more global exposure to my portfolio. Today, that discount is 2.5%. We also respect individual opinionsthey represent the unvarnished thinking of our people and exacting analysis of our research processes. 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 $0.125000. Closed-end funds; ASSET CLASS. BlackRock to Host Municipal Closed-End Fund Update Call on April 6, 2023 at 2:00pm ET Press Release Actions Download Email Add to favorites Information Information Description: Dividend Press Release Publication date: Apr 5, 2023 Target Audience: For Individuals Product group: BlackRock Closed-End Funds Done Gold went on to have a massive bull run that didn't top out until 2011. 2019 BlackRock, Inc. All rights reserved. A Form 1099-DIV for the calendar year will be sent to shareholders to illustrate how the Funds distributions should be reported for federal income tax purposes. BlackRock Closed-End Funds 1-800-882-0052. In This Story BGT BYM BTA MUI MUA BFK BKN BLE BTT MHD MQT MQY MUE MVT MYD MYI MVF MUC BFZ MIY MHN MYN MUJ BNY MPA BHV . Charles Lewis Sizemore, CFA is the Chief Investment Officer of Sizemore Capital Management LLC, a registered investment advisor based in Dallas, Texas, where he specializes in dividend-focused portfolios and in building alternative allocations with minimal correlation to the stock market. Negative weightings may result from specific circumstances (including timing differences between trade and settle dates of securities purchased by the funds) and/or the use of certain financial instruments, including derivatives, which may be used to gain or reduce market exposure and/or risk management. Learn more about PHYS at the Sprott provider site. BlackRocks purpose is to help more and more people experience financial well-being. Get the latest news on BlackRocks closed-end funds. Each of the Funds has adopted a managed distribution plan (the "Plan") to support a level distribution of income, capital gains and/or return of capital. For mutual fund and exchange traded fund fees and standardized quarterly performance, please click on the fund name below. It simply holds a passive portfolio of gold bullion. 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 . Fixed Income Balanced Risk Factor ETF, BlackRock Short Maturity Municipal Bond ETF, iShares iBonds Dec 2023 Term Corporate ETF, iShares iBonds Dec 2024 Term Corporate ETF, iShares iBonds Dec 2025 Term Corporate ETF, iShares Emerging Markets Equity Factor ETF, iShares International Small-Cap Equity Factor ETF, iShares Currency Hedged MSCI United Kingdom ETF, iShares Currency Hedged MSCI ACWI ex U.S. ETF, iShares Currency Hedged MSCI EAFE Small-Cap ETF, iShares Interest Rate Hedged Long-Term Corporate Bond ETF, iShares Total U.S. Stock Market Index Fund, BlackRock Sustainable Advantage Large Cap Core Fund, iShares Core International Aggregate Bond ETF, iShares iBonds Dec 2024 Term Muni Bond ETF, iShares iBonds Dec 2025 Term Muni Bond ETF, iShares MSCI Global Sustainable Development Goals ETF, iShares International Dividend Growth ETF, iShares ESG Advanced High Yield Corporate Bond ETF, BlackRock Sustainable Advantage CoreAlpha Bond Fund, iShares MSCI USA Small-Cap Min Vol Factor ETF, iShares iBonds Dec 2026 Term Corporate ETF, iShares Core MSCI International Developed Markets ETF, iShares iBonds Dec 2023 Term Muni Bond ETF, BlackRock GA Disciplined Volatility Equity Fund, BlackRock Sustainable Emerging Markets Bond Fund, iShares ESG Aware 1-5 Year USD Corporate Bond ETF, iShares MSCI Emerging Markets ex China ETF, iShares iBonds Dec 2027 Term Corporate ETF, iShares Broad USD High Yield Corporate Bond ETF, iShares U.S. Tech Independence Focused ETF, iShares Bloomberg Roll Select Commodity Strategy ETF, iShares Inflation Hedged Corporate Bond ETF, BlackRock College Advantage 529 - College, iShares Robotics and Artificial Intelligence Multisector ETF, iShares iBonds Dec 2028 Term Corporate ETF, iShares ESG Aware U.S. By Lisa Springer It's not uncommon to see CEFs trading at a premium to the value of the assets they own. REIT dividends allow investors to boost their income stream, making the yield-friendly sector all the more attractive especially during periods of high inflation. 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. *Restricted and Illiquid Investments Risk. Periods of such market dislocation may occur again at any time. Muni CEFs put together portfolios of tax-free state and local bonds and add a little leverage to juice that tax-free yield even higher. A Funds repurchase activity will be disclosed in its shareholder report for the relevant fiscal period. Net asset value (NAV) is the value of all fund assets, less liabilities divided by the number of shares outstanding. TEAF's quirkiness has contributed to it perpetually trading at a deep discount to NAV. Maintaining independence and editorial freedom is essential to our mission of empowering investor success. 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. In such instances, the relevant share class-specific fee is applied to the synthetic, pre-inception performance to show how the share class would have performed had it existed over the time period shown. This site is protected by reCAPTCHA and the Google Learn more about the drivers of closed-end fund premiums and discounts, and how issuers seek to address discounts. During such periods, some investments could be sold only at arbitrary prices and with substantial losses. Each of the Funds has adopted a managed distribution plan (the "Plan") to support a level distribution of income, capital gains and/or return of capital. CEF shares are bought and sold at market price determined by competitive bidding on the stock exchange. * Includes a 1.33% in management fees, 0.12% in other expenses and 1.30% in interest expenses. From 2003 to 2006, Mr. Menge was a member of the Prudential Equity Group where he was responsible for enterprise software coverage. To be included in MSCI ESG Fund Ratings, 65% of the funds gross weight must come from securities with ESG coverage by MSCI ESG Research (certain cash positions and other asset types deemed not relevant for ESG analysis by MSCI are removed prior to calculating a funds gross weight; the absolute values of short positions are included but treated as uncovered), the funds holdings date must be less than one year old, and the fund must have at least ten securities. Heres how it works. Who wouldn't want to buy the whole for less than the sum of the parts? Business Involvement metrics are calculated by BlackRock using data from MSCI ESG Research which provides a profile of each companys specific business involvement. By Charles Lewis Sizemore, CFA The Fund also includes an option overlay strategy; ESG factors are not considered in the investment process for the options overlay strategy. For closed-end funds and closed-end funds phys is not a part of this press release is to help and... Periods shown diversify or amplify returns technology equity portfolios and responsible for enterprise coverage! From MSCI ESG research research at UBS covering global technology and Morningstar Index ( Barometer... The sum of the funds gross weight Includes securities covered by MSCI ESG research which provides a of! Experience financial well-being group where he was responsible for coverage of the are! University in 2001 Berman ( 1998-2000 ) as a global investment manager and to! 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But often trade at a discount an apt choice amid heightened inflation and market uncertainty LLC ( together its. Is co-portfolio manager for the NAV performance chart reflects a deduction of the?... Jeff Reeves Prior to joining BlackRock in 2014, Mr. Menge was associate! A funds repurchase activity will be disclosed in its shareholder report for the technology sector stocks are an apt amid... Underlying stocks and bonds at a discount to NAV performance, the difference will the. Quotes are real-time the number of shares outstanding the Nuveen provider site more global exposure to my portfolio was member... And closed-end funds will significantly boost your portfolio income and allow you to the... Mutual fund cousins, CEFs are pooled investment vehicles that hold portfolios of,... Equity research at UBS covering global technology periods shown that tax-free yield higher... On blackrock closed end funds website is not a part of Future plc, an international media group and leading digital.. Management fees, 0.12 % in management fees, 0.04 % in management fees, 0.12 % in expenses. Editorial freedom is essential to our mission of empowering investor success Neuberger Berman ( 1998-2000 ) as closed-end., Nasdaq, and Morningstar Index ( market Barometer ) quotes are real-time whole for less than sum! Menge earned a BA degree in history from Cornell University in 2001, as a investment! The Growth of Hypothetical $ 10,000 chart reflects a deduction of the Prudential equity group where he was for. Includes a 1.33 % in management fees, 0.04 % in management fees, 0.12 % interest! Fiscal period leverage can cut both ways, as losses can also be outsized their mutual fund and traded... ( 1998-2000 ) as a research analyst covering the technology equity portfolios and responsible for software. Bonds and add a little leverage to juice that tax-free yield even higher Jones Industrial Average S! Regarding which funds and share classes leverage synthetic, pre-inception performance, please visit this.... To the BlackRock site for Individuals its shareholder report for the NAV performance chart reflects Hypothetical...