In connection with the investment strategy changes, BlackRock also announced changes to each fund’s portfolio management team.
The funds have previously utilized a quantitative, index-based investment style in selecting equity investments. Pursuant to the new investment strategy, effective February 16, 2010, the funds will now utilize an investment style based on a fundamental analysis of individual securities that is not index-based.
As a result, under the new investment strategy, the funds are particularly dependent on the analytical abilities of BlackRock. There have been no changes to the funds’ investment objectives, guidelines and/or policies apart from the method used to implement their investment strategies. Each fund will continue to emphasize dividend-paying and/or quality equities, as described in its prospectus, and will continue to utilize an option-writing strategy to enhance current gains.
In connection with the investment strategy changes, Robert Shearer and Kathleen Anderson from BlackRock’s equity dividend team assumed primary responsibility of the equity portfolio of each fund.
The team currently manages a portion of two registered closed-end funds, including BlackRock Real Asset Equity Trust and BlackRock EcoSolutions Investment Trust, and several registered open-end funds, including BlackRock Equity Dividend Fund. Kyle McClements will continue to oversee each fund’s option-writing strategy.
Robert Shearer, managing director and portfolio manager, will be the lead portfolio manager for the Equity Dividend Fund and the BlackRock Natural Resources Fund, both registered open-end funds.
Kathleen Anderson, managing director and portfolio manager, is an associate portfolio manager for the Equity Dividend Fund and is also the lead portfolio manager for the BlackRock Utilities and Telecommunications Fund, both registered open-end funds. Ms. Anderson’s service with the firm dates back to 1993, including her years with Merrill Lynch Investment Managers (MLIM), which merged with BlackRock in 2006.
Kyle McClements, CFA, managing director and equity trader, is a member of BlackRock’s US equity trading group. He is primarily responsible for the group’s hedging strategy. Mr. McClements’ service with the firm dates back to 2004, including his years with State Street Research & Management (SSRM), which merged with BlackRock in 2005. At SSRM, Mr McClements was a vice president and senior derivatives strategist responsible for equity derivative strategy and trading in the quantitative equity group at State Street Research.
