Effective August 3, 2022, the iShares MSCI Russia ETF (ERUS) has suspended the right of redemption of fund shares pursuant to an exemptive order issued by the Securities and Exchange Commission on August 3, 2022, in order to permit the fund to liquidate its portfolio. On August 17, 2022, BlackRock will begin liquidating ERUS by distributing its current liquid assets to shareholders, less the amount of a reserve estimated to meet the fund's expected transaction costs associated with the liquidation.
Russia's invasion of Ukraine has prompted a range of sanctions and other capital controls that prevent BlackRock and other non-Russian investors from buying and selling Russian securities. As a result, ERUS' current holdings of Russian equity securities cannot immediately be liquidated. BlackRock cautions investors that it is expected that the liquidation of the fund will take an extended period of time if circumstances involving Russian securities markets do not improve.
BlackRock expects that ERUS will remain in existence until at least December 31, 2023, to allow the fund to sell the securities and depositary receipts, if conditions permit; ERUS may be terminated sooner if all of the Russian securities and depositary receipts have been sold before that date (or they cease to represent valid interests in their issuers). After December 31, 2023, the Fund may be terminated at any time, in the discretion of the Fund's Board of Directors, even if the Russian securities and depositary receipts have not been sold. Due to the uncertainty involved, there can be no assurance that shareholders would receive any liquidating distribution relating to the Russian securities and depositary receipts after the initial distribution described above.
Future updates regarding the status of the fund and its liquidation will be published on the product's webpage.
BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate.
iShares unlocks opportunity across markets to meet the evolving needs of investors. With more than twenty years of experience, a global line-up of 900+ exchange traded funds (ETFs) and $2.78 trillion in assets under management as of June 30, 2022, iShares continues to drive progress for the financial industry. iShares funds are powered by the expert portfolio and risk management of BlackRock.
Carefully consider the Funds' investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Funds' prospectuses or, if available, the summary prospectuses which may be obtained by visiting www.iShares.com or www.blackrock.com. Read the prospectus carefully before investing.
Investing involves risk, including possible loss of principal.
International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments. These risks often are heightened for investments in emerging/developing markets or in concentrations of single countries.
Buying and selling shares of ETFs may result in brokerage commissions.
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the Funds. BlackRock is not affiliated with MSCI Inc.
Prepared by BlackRock Investments, LLC, member FINRA.
(C)2022 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are trademarks of BlackRock, Inc., or its subsidiaries in the United States and elsewhere. All other marks are the property of their respective owners.
View source version on businesswire.com: https://www.businesswire.com/news/home/20220803005961/en/
SOURCE: BlackRock, Inc.
Soogyung Jordan Soogyung.Jordan@blackrock.com 646.276.5403