0001809541 2026-01-01 2026-06-30 0001809541 bcatt:CommonSharesMember 2026-01-01 2026-06-30 0001809541 bcatt:CounterpartyCreditRiskMember 2026-01-01 2026-06-30 0001809541 bcatt:GeographicAssetClassRiskMember 2026-01-01 2026-06-30 0001809541 bcatt:IlliquidityRiskMember 2026-01-01 2026-06-30 0001809541 bcatt:MarketRisksMember 2026-01-01 2026-06-30 0001809541 bcatt:ValuationRiskMember 2026-01-01 2026-06-30 0001809541 2025-12-31 0001809541 2026-06-30 iso4217:USD shares pure shares false 0001809541 N-CSRS BlackRock Capital Allocation Term Trust <div style="line-height:13.00pt;margin-top:0.00pt;text-align:left;"><span style="color:#000000;font-family:arial narrow;font-size:11pt;font-weight:bold">Investment Objective</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">BlackRock Capital Allocation Term</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">s</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold"> (</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">BCAT</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">) (the “</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">”)</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> investment objectives are to provide total return and income through a combination of current income, </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">current gains and long-term capital appreciation. The Trust invests in a portfolio of equity and debt securities. Generally, the Trust’s portfolio will include both equity and debt </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">securities. At any given time, however, the Trust may emphasize either debt securities or equity securities. The Trust utilizes an option writing (selling) strategy in an effort to </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">generate current gains from options premiums and to enhance the Trust’s risk-adjusted returns.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt">No assurance can be given that the Trust’s investment objective will be achieved.</span></div> <div style="margin-top:11.5pt;"><span style="color:#000000;font-family:arial narrow;font-size:11pt;font-weight:bold">Market Price and Net Asset Value Per Share Summary</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:0.1pt"> </span></div> <table cellpadding="0" cellspacing="0" style="border-bottom:0.5pt solid #000000;empty-cells:show;margin-left:12pt;width:535pt"> <tr style="height:16.5pt"> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:323.19pt;"> <div style="line-height:0.5pt;text-align:left;"> <div style="margin-right:6pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:9pt"> </span></div> </div> </td> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:41.53pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:4pt;margin-right:8pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">06/30/26</span></div> </div> </td> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:45.53pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:8pt;margin-right:8pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">12/31/25</span></div> </div> </td> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:42.97pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:8pt;margin-right:8pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">Change</span></div> </div> </td> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:41.89pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:8pt;margin-right:8pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">High</span></div> </div> </td> <td style="border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:39.89pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:8pt;margin-right:6pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">Low</span></div> </div> </td> </tr> <tr style="height:11.5pt"> <td style="background-color:azure;vertical-align:Bottom;width:323.19pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;margin-left:0.0pt">Closing Market Price</span></div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:41.53pt;"> <div style="line-height:10pt;margin-left:6pt;margin-right:10pt;text-align:right;width:25.53pt;"> <div style="display:flex;margin-left:auto;width:25.53pt;"> <div style="display:flex;white-space:nowrap;width:25.53pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">$ </span><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">15.93</span></div> </div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:45.53pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:25.53pt;"> <div style="display:flex;margin-left:auto;width:25.53pt;"> <div style="display:flex;white-space:nowrap;width:25.53pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">$ </span><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">14.16</span></div> </div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:42.97pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:22.97pt;"> <div style="display:flex;margin-left:auto;width:22.97pt;"> <div style="display:flex;white-space:nowrap;width:22.97pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:22.97pt">12.50</span></div> <div style="display:flex;width:22.97pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:auto">% </span></div> </div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:41.89pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:21.89pt;"> <div style="display:flex;margin-left:auto;width:21.89pt;"> <div style="display:flex;white-space:nowrap;width:21.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">$ </span><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">16.07</span></div> </div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:39.89pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:4pt;text-align:right;width:21.89pt;"> <div style="display:flex;margin-left:auto;width:21.89pt;"> <div style="display:flex;white-space:nowrap;width:21.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">$ </span><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">13.87</span></div> </div> </div> </td> </tr> <tr style="height:10.5pt"> <td style="vertical-align:Bottom;width:323.19pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;margin-left:0.0pt">Net Asset Value</span></div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:41.53pt;"> <div style="line-height:10pt;margin-left:6pt;margin-right:10pt;text-align:right;width:25.53pt;"> <div style="display:flex;margin-left:auto;width:25.53pt;"> <div style="display:flex;white-space:nowrap;width:25.53pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">14.90</span></div> </div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:45.53pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:25.53pt;"> <div style="display:flex;margin-left:auto;width:25.53pt;"> <div style="display:flex;white-space:nowrap;width:25.53pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:25.53pt">15.23</span></div> </div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:42.97pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:22.97pt;"> <div style="display:flex;margin-left:auto;width:22.97pt;"> <div style="display:flex;white-space:nowrap;width:22.97pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:22.97pt">(2.17</span></div> <div style="display:flex;width:22.97pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:auto">)</span></div> </div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:41.89pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:10pt;text-align:right;width:21.89pt;"> <div style="display:flex;margin-left:auto;width:21.89pt;"> <div style="display:flex;white-space:nowrap;width:21.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">15.60</span></div> </div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:39.89pt;"> <div style="line-height:10pt;margin-left:10pt;margin-right:4pt;text-align:right;width:21.89pt;"> <div style="display:flex;margin-left:auto;width:21.89pt;"> <div style="display:flex;white-space:nowrap;width:21.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:21.89pt">14.01</span></div> </div> </div> </td> </tr> </table> 15.93 14.16 0.1250 16.07 13.87 14.90 15.23 -0.0217 15.60 14.01 105845249 <div style="float:left;line-height:13.50pt;text-align:left;width:13.11pt;"><span style="color:#000000;font-family:arial narrow;font-size:11.5pt;font-style:italic;font-weight:bold">10.</span></div><div style="float:left;line-height:13.50pt;margin-left:2.89pt;text-align:left;width:538.00pt;"><span style="color:#000000;font-family:arial narrow;font-size:11.5pt;font-style:italic;font-weight:bold">PRINCIPAL RISKS</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:16.5pt"> </span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">In the normal course of business, each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">invests in securities or other instruments and may enter into certain transactions, and such activities subject each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust to various </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">risks, including among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">(iii) regulation, taxation, tariffs or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Local, regional or global events such as </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Trusts and their </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">investments.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">The</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">be subject to mandatory and discretionary liquidity fees under certain circumstances.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Illiquidity Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> Each Trust may invest without limitation in illiquid or less liquid investments or investments in which no secondary market is readily available or which are </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">otherwise illiquid, including private placement securities. A Trust may not be able to readily dispose of such investments at prices that approximate those at which a Trust could </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">sell such investments if they were more widely traded and, as a result of such illiquidity, a Trust may have to sell other investments or engage in borrowing transactions if </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">necessary to raise funds to meet its obligations. Limited liquidity can also affect the market price of investments, thereby adversely affecting a Trust’s NAV and ability to make </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">dividend distributions. Privately issued debt securities are often of below investment grade quality, frequently are unrated and present many of the same risks as investing in </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">below investment grade public debt securities.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Market Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> Each Trust may be exposed to prepayment risk, which is the risk that borrowers may exercise their option to prepay principal earlier than scheduled during </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">periods of declining interest rates, which would force each Trust to reinvest in lower yielding securities. Each Trust may also be exposed to reinvestment risk, which is the risk </span></div><div style="line-height:11.00pt;margin-top:0.00pt;text-align:justify;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">that income from each Trust’s portfolio will decline if each Trust invests the proceeds from matured, traded or called fixed-income securities at market interest rates that are </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">below each Trust portfolio’s current earnings rate.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions, credit rating downgrades, or the bankruptcy </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest or otherwise affect the value of such securities. Municipal </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">securities can be significantly affected by political or economic changes, including changes made in the law after issuance of the securities, as well as uncertainties in the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">municipal market related to, taxation, legislative changes or the rights of municipal security holders, including in connection with an issuer insolvency. Municipal securities </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">backed by current or anticipated revenues from a specific project or specific assets can be negatively affected by the discontinuance of the tax benefits supporting the project </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">or assets or the inability to collect revenues for the project or from the assets. Municipal securities may be less liquid than taxable bonds, and there may be less publicly </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">available information on the financial condition of municipal security issuers than for issuers of other securities.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Valuation Risk: </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may invest in illiquid investments. An illiquid investment is any investment that a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust reasonably expects cannot be sold or disposed of in current market conditions </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may  experience difficulty in selling illiquid </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust’s NAV to experience significant </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may lose value, regardless of the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">individual results of the securities and other instruments in which a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust invests. A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust’s ability to value its investments may also be impacted by technological issues and/or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">errors by pricing services or other third-party service providers.</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt">  </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The price a Trust could receive upon the sale of any particular portfolio investment may differ from a Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">valuation of the investment, particularly for securities that trade in thin or volatile markets or that are valued using a fair valuation technique or a price provided by an </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">independent pricing service. Changes to significant unobservable inputs and assumptions (i.e., publicly traded company multiples, growth rate, time to exit) due to the lack of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">observable inputs may significantly impact the resulting fair value and therefore a Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s results of operations. As a result, the price received upon the sale of an investment </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">may be less than the value ascribed by a Trust, and a Trust could realize a greater than expected loss or lesser than expected gain upon the sale of the investment.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Counterparty Credit Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The Trusts may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Trusts manage counterparty credit risk by </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">those counterparties. Financial assets, which potentially expose the Trusts to market, issuer and counterparty credit risks, consist principally of financial instruments and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">receivables due from counterparties. The extent of the Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">their value recorded in the Consolidated Statements of Assets and Liabilities, less any collateral held by the Trusts.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">instrument. Losses can also occur if the counterparty does not perform under the contract.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">For OTC options purchased, each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust bears the risk of loss in the amount of the premiums paid plus the positive change in market values net of any collateral held by the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Trusts should the counterparty fail to perform under the contracts. Options written by the Trusts do not typically give rise to counterparty credit risk, as options written generally </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">obligate the Trusts, and not the counterparty, to perform. The Trusts may be exposed to counterparty credit risk with respect to options written to the extent each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">deposits </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">collateral with its counterparty to a written option.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">With exchange-traded options purchased, exchange-traded futures and centrally cleared swaps, there is less counterparty credit risk to the Trusts since the exchange or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Trust does not have a contractual right of offset against a </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures and centrally </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">cleared swaps with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">in losses to the Trusts.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Geographic/Asset Class Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt">  </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">investment will have a material impact on the NAV of a fund. The investment concentrations within each Trust’s portfolio are disclosed in its Consolidated Schedule of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Investments.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">The Trusts invest a significant portion of their assets in fixed-income securities and/or use derivatives tied to the fixed-income markets. Changes in market interest rates or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">economic conditions may affect the value and/or liquidity of such investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will decrease </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">as interest rates rise and increase as interest rates fall. The Trusts may be subject to a greater risk of rising interest rates during a period of historically low interest </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">rates. Changing interest rates may have unpredictable effects on markets, may result in heightened market volatility, and could negatively impact the Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> performance.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Certain</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">invest a substantial amount of their assets in issuers located in a single country or a limited number of countries. When a fund concentrates its investments in </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">this manner, it assumes the risk that economic, regulatory, political and social conditions in those countries may have a significant impact on their investment performance and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">could affect the income from, or the value or liquidity of, the Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s portfolio. Unanticipated or sudden political or social developments may cause uncertainty in the markets and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">as a result adversely affect the Trust’s investments. Foreign issuers may not be subject to the same uniform accounting, auditing and financial reporting standards and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">practices as used in the United States. Foreign securities markets may also be  more volatile and less liquid than U.S. securities and may be less subject to governmental </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">supervision not typically associated with investing in U.S. securities. Investment percentages in specific countries are presented in the Consolidated Schedules of Investments.</span></div><div style="line-height:11.00pt;margin-top:0.00pt;text-align:justify;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">The</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trusts invest a significant portion of their assets in securities of issuers located in the United States.</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">A decrease in imports or exports, changes in trade regulations, </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">inflation and/or an economic recession in the United States may have a material adverse effect on the U.S. economy and the securities listed on U.S. exchanges. Proposed </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">and adopted policy and legislative changes in the United States may also have a significant effect on U.S. markets generally, as well as on the value of certain securities. </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Governmental agencies project that the United States will continue to maintain elevated public debt levels for the foreseeable future which may constrain future economic </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">growth. Circumstances could arise that could prevent the timely payment of interest or principal on U.S. government debt, such as reaching the legislative “debt ceiling.” Such </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">non-payment would result in substantial negative consequences for the U.S. economy and the global financial system. If U.S. relations with certain countries deteriorate, it </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">could adversely affect issuers that rely on the United States for trade. The United States has also experienced increased internal unrest and discord. If these trends were to </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">continue, they may have an adverse impact on the U.S. economy and the issuers in which the Trusts invest.</span></div> <div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Illiquidity Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> Each Trust may invest without limitation in illiquid or less liquid investments or investments in which no secondary market is readily available or which are </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">otherwise illiquid, including private placement securities. A Trust may not be able to readily dispose of such investments at prices that approximate those at which a Trust could </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">sell such investments if they were more widely traded and, as a result of such illiquidity, a Trust may have to sell other investments or engage in borrowing transactions if </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">necessary to raise funds to meet its obligations. Limited liquidity can also affect the market price of investments, thereby adversely affecting a Trust’s NAV and ability to make </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">dividend distributions. Privately issued debt securities are often of below investment grade quality, frequently are unrated and present many of the same risks as investing in </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">below investment grade public debt securities.</span></div> <div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Market Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> Each Trust may be exposed to prepayment risk, which is the risk that borrowers may exercise their option to prepay principal earlier than scheduled during </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">periods of declining interest rates, which would force each Trust to reinvest in lower yielding securities. Each Trust may also be exposed to reinvestment risk, which is the risk </span></div><div style="line-height:11.00pt;margin-top:0.00pt;text-align:justify;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">that income from each Trust’s portfolio will decline if each Trust invests the proceeds from matured, traded or called fixed-income securities at market interest rates that are </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">below each Trust portfolio’s current earnings rate.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions, credit rating downgrades, or the bankruptcy </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest or otherwise affect the value of such securities. Municipal </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">securities can be significantly affected by political or economic changes, including changes made in the law after issuance of the securities, as well as uncertainties in the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">municipal market related to, taxation, legislative changes or the rights of municipal security holders, including in connection with an issuer insolvency. Municipal securities </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">backed by current or anticipated revenues from a specific project or specific assets can be negatively affected by the discontinuance of the tax benefits supporting the project </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">or assets or the inability to collect revenues for the project or from the assets. Municipal securities may be less liquid than taxable bonds, and there may be less publicly </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">available information on the financial condition of municipal security issuers than for issuers of other securities.</span></div> <div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Valuation Risk: </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may invest in illiquid investments. An illiquid investment is any investment that a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust reasonably expects cannot be sold or disposed of in current market conditions </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may  experience difficulty in selling illiquid </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust’s NAV to experience significant </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust may lose value, regardless of the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">individual results of the securities and other instruments in which a</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust invests. A</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust’s ability to value its investments may also be impacted by technological issues and/or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">errors by pricing services or other third-party service providers.</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt">  </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The price a Trust could receive upon the sale of any particular portfolio investment may differ from a Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">valuation of the investment, particularly for securities that trade in thin or volatile markets or that are valued using a fair valuation technique or a price provided by an </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">independent pricing service. Changes to significant unobservable inputs and assumptions (i.e., publicly traded company multiples, growth rate, time to exit) due to the lack of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">observable inputs may significantly impact the resulting fair value and therefore a Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s results of operations. As a result, the price received upon the sale of an investment </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">may be less than the value ascribed by a Trust, and a Trust could realize a greater than expected loss or lesser than expected gain upon the sale of the investment.</span></div> <div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Counterparty Credit Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">The Trusts may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Trusts manage counterparty credit risk by </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">those counterparties. Financial assets, which potentially expose the Trusts to market, issuer and counterparty credit risks, consist principally of financial instruments and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">receivables due from counterparties. The extent of the Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">their value recorded in the Consolidated Statements of Assets and Liabilities, less any collateral held by the Trusts.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">instrument. Losses can also occur if the counterparty does not perform under the contract.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">For OTC options purchased, each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust bears the risk of loss in the amount of the premiums paid plus the positive change in market values net of any collateral held by the </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Trusts should the counterparty fail to perform under the contracts. Options written by the Trusts do not typically give rise to counterparty credit risk, as options written generally </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">obligate the Trusts, and not the counterparty, to perform. The Trusts may be exposed to counterparty credit risk with respect to options written to the extent each</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">deposits </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">collateral with its counterparty to a written option.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">With exchange-traded options purchased, exchange-traded futures and centrally cleared swaps, there is less counterparty credit risk to the Trusts since the exchange or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Trust does not have a contractual right of offset against a </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures and centrally </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">cleared swaps with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">in losses to the Trusts.</span></div> <div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold;margin-left:0%">Geographic/Asset Class Risk:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt">  </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">investment will have a material impact on the NAV of a fund. The investment concentrations within each Trust’s portfolio are disclosed in its Consolidated Schedule of </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Investments.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">The Trusts invest a significant portion of their assets in fixed-income securities and/or use derivatives tied to the fixed-income markets. Changes in market interest rates or </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">economic conditions may affect the value and/or liquidity of such investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will decrease </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">as interest rates rise and increase as interest rates fall. The Trusts may be subject to a greater risk of rising interest rates during a period of historically low interest </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">rates. Changing interest rates may have unpredictable effects on markets, may result in heightened market volatility, and could negatively impact the Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt"> performance.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Certain</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trusts</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">invest a substantial amount of their assets in issuers located in a single country or a limited number of countries. When a fund concentrates its investments in </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">this manner, it assumes the risk that economic, regulatory, political and social conditions in those countries may have a significant impact on their investment performance and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">could affect the income from, or the value or liquidity of, the Trust</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s portfolio. Unanticipated or sudden political or social developments may cause uncertainty in the markets and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">as a result adversely affect the Trust’s investments. Foreign issuers may not be subject to the same uniform accounting, auditing and financial reporting standards and </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">practices as used in the United States. Foreign securities markets may also be  more volatile and less liquid than U.S. securities and may be less subject to governmental </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">supervision not typically associated with investing in U.S. securities. Investment percentages in specific countries are presented in the Consolidated Schedules of Investments.</span></div><div style="line-height:11.00pt;margin-top:0.00pt;text-align:justify;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">The</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Trusts invest a significant portion of their assets in securities of issuers located in the United States.</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt"> </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">A decrease in imports or exports, changes in trade regulations, </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">inflation and/or an economic recession in the United States may have a material adverse effect on the U.S. economy and the securities listed on U.S. exchanges. Proposed </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">and adopted policy and legislative changes in the United States may also have a significant effect on U.S. markets generally, as well as on the value of certain securities. </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Governmental agencies project that the United States will continue to maintain elevated public debt levels for the foreseeable future which may constrain future economic </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">growth. Circumstances could arise that could prevent the timely payment of interest or principal on U.S. government debt, such as reaching the legislative “debt ceiling.” Such </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">non-payment would result in substantial negative consequences for the U.S. economy and the global financial system. If U.S. relations with certain countries deteriorate, it </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">could adversely affect issuers that rely on the United States for trade. The United States has also experienced increased internal unrest and discord. If these trends were to </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">continue, they may have an adverse impact on the U.S. economy and the issuers in which the Trusts invest.</span></div> <div style="float:left;line-height:13.50pt;text-align:left;width:12.48pt;"><span style="color:#000000;font-family:arial narrow;font-size:11.5pt;font-style:italic;font-weight:bold">11.</span></div><div style="float:left;line-height:13.50pt;margin-left:3.52pt;text-align:left;width:538.00pt;"><span style="color:#000000;font-family:arial narrow;font-size:11.5pt;font-style:italic;font-weight:bold">CAPITAL SHARE TRANSACTIONS </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:16.5pt"> </span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Each Trust is authorized to issue an unlimited number of shares, all of which were initially classified as Common Shares.</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:11.00pt">  </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">Each Board is authorized, however, to reclassify any </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">unissued Common Shares to Preferred Shares without the approval of Common Shareholders.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;font-weight:bold">Common Shares</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt">For the periods shown, shares issued and outstanding increased by the following amounts as a result of dividend reinvestment:</span><span style="color:#000000;font-family:arial narrow;font-size:9pt;line-height:0.1pt"> </span></div> <table cellpadding="0" cellspacing="0" style="border-bottom:0.5pt solid #000000;border-top:0.5pt solid #000000;empty-cells:show;margin-left:12pt;width:535pt"> <tr style="height:11.5pt"> <td style="vertical-align:Bottom;width:427.9pt;"> <div style="line-height:0.5pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0.0pt"> </span></div> </div> </td> <td style="vertical-align:Bottom;width:66.21pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-left:4pt;margin-right:5pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">Six Months Ended</span></div> </div> </td> <td style="vertical-align:Bottom;width:40.89pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-left:5pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">Year Ended</span></div> </div> </td> </tr> <tr style="height:11.63pt"> <td style="background-color:azure;border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:427.9pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic;margin-left:0.0pt">Trust Name</span></div> </div> </td> <td style="background-color:azure;border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:66.21pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:4pt;margin-right:5pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">06/30/26</span></div> </div> </td> <td style="background-color:azure;border-bottom:0.5pt solid #000000;vertical-align:Bottom;width:40.89pt;"> <div style="line-height:11.0pt;text-align:left;"> <div style="margin-left:5pt;text-align:right;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;font-style:italic">12/31/25</span></div> </div> </td> </tr> <tr style="height:11.63pt"> <td style="vertical-align:Bottom;width:427.9pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;margin-left:0.0pt">BCAT</span></div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:66.21pt;"> <div style="line-height:10pt;margin-left:6pt;margin-right:7pt;text-align:right;width:53.21pt;"> <div style="display:flex;margin-left:auto;width:53.21pt;"> <div style="display:flex;white-space:nowrap;width:53.21pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:53.21pt">1,069,978</span></div> </div> </div> </td> <td style="vertical-align:Bottom;white-space:nowrap;width:40.89pt;"> <div style="line-height:10pt;margin-left:7pt;text-align:right;width:33.89pt;"> <div style="display:flex;margin-left:auto;width:33.89pt;"> <div style="display:flex;white-space:nowrap;width:33.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:33.89pt">—</span></div> </div> </div> </td> </tr> <tr style="height:10.5pt"> <td style="background-color:azure;vertical-align:Bottom;width:427.9pt;"> <div style="line-height:10pt;text-align:left;"> <div style="margin-right:6pt;text-align:left;white-space:nowrap;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;margin-left:0.0pt">ECAT</span></div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:66.21pt;"> <div style="line-height:10pt;margin-left:6pt;margin-right:7pt;text-align:right;width:53.21pt;"> <div style="display:flex;margin-left:auto;width:53.21pt;"> <div style="display:flex;white-space:nowrap;width:53.21pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:53.21pt">—</span></div> </div> </div> </td> <td style="background-color:azure;vertical-align:Bottom;white-space:nowrap;width:40.89pt;"> <div style="line-height:10pt;margin-left:7pt;text-align:right;width:33.89pt;"> <div style="display:flex;margin-left:auto;width:33.89pt;"> <div style="display:flex;white-space:nowrap;width:33.89pt;"><span style="color:#000000;font-family:arial narrow;font-size:8pt;width:33.89pt">122,514</span></div> </div> </div> </td> </tr> </table><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Each Trust has adopted a discount management program (the “Program”), which consists of one measurement period beginning on January 1, 2026 and ending on </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">September 30, 2026. Under the Program, each Trust intends to offer to repurchase a portion of its common shares via tender offer if the Trust’s common shares trade at an </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">average daily discount to NAV of more than 10% during the 9-month measurement period. If the discount trigger is met and a tender offer is conducted, there is no guarantee </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">that shareholders will be able to sell all of the shares that they desire to sell in such tender offer and there can be no assurance as to the effect that the Program will have on </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">the market for a Trust’s shares or the discount at which a Trust’s shares may trade relative to its NAV.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">BCAT has filed a registration statement with the SEC seeking the ability to issue additional Common Shares through an equity shelf program (a “Shelf Offering”), which was </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">declared effective on June 12, 2026. BCAT may not sell any Common Shares in the Shelf Offering until a definitive prospectus relating to the Shelf Offering has been filed with </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">the SEC. Under the Shelf Offering, BCAT, subject to market conditions, may raise additional equity capital from time to time in varying amounts and utilizing various offering </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">methods at a net price at or above BCAT</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">’</span><span style="color:#000000;font-family:arial narrow;font-size:9pt">s NAV per Common Share (calculated within 48 hours of pricing). See Additional Information - Shelf Offering Program for additional </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">information.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">Initial costs incurred by BCAT in connection with its Shelf Offering are recorded as “Deferred offering costs” in the Statement of Assets and Liabilities. As shares are sold, a </span><span style="color:#000000;font-family:arial narrow;font-size:9pt;margin-left:0%">portion of the costs attributable to the shares sold will be charged against paid-in-capital. Any remaining deferred charges at the end of the Shelf Offering period will be charged </span><span style="color:#000000;font-family:arial narrow;font-size:9pt">to expense.</span></div><div style="margin-top:8pt;"><span style="color:#000000;font-family:arial narrow;font-size:9pt">As of June 30, 2026, BlackRock Financial Management, Inc., an affiliate of the Trust, owned 5,000  Shares of each BCAT and ECAT.</span></div> Each Trust is authorized to issue an unlimited number of shares, all of which were initially classified as Common Shares.