Regulatory Filings • May 23, 2017
Preview not available for this file type.
Download Source FileN-Q 1 d369527dnq.htm BLACKROCK HEALTH SCIENCES TRUST BlackRock Health Sciences Trust
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number: 811-21702
Name of Fund: BlackRock Health Sciences Trust (BME)
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Health Sciences Trust,
55 East 52 nd Street, New York, NY 10055
Registrants telephone number, including area code: (800) 882-0052, Option 4
Date of fiscal year end: 12/31/2017
Date of reporting period: 03/31/2017
Item 1 Schedule of Investments
| Schedule of Investments March 31, 2017 (Unaudited) |
|---|
| (Percentages shown are based on Net Assets) |
| Common Stocks | Value | |
|---|---|---|
| Biotechnology 24.6% | ||
| AbbVie, Inc. (a) | 38,586 | $ 2,514,264 |
| Acceleron Pharma, Inc. (a)(b) | 44,300 | 1,172,621 |
| Acerta Pharma BV, Series B (Acquired 2/01/16, cost $986,402) (b)(c) | 17,146,440 | 1,455,733 |
| Agios Pharmaceuticals, Inc. (a)(b) | 9,600 | 560,640 |
| Alder Biopharmaceuticals, Inc. (b) | 5,829 | 121,243 |
| Alkermes PLC (a)(b) | 28,000 | 1,638,000 |
| Alnylam Pharmaceuticals, Inc. (a)(b) | 14,000 | 717,500 |
| Amgen, Inc. (a) | 71,322 | 11,701,801 |
| Aquinox Pharmaceuticals, Inc. (a)(b) | 22,383 | 373,572 |
| Audentes Therapeutics, Inc. (b) | 10,083 | 171,814 |
| Avexis, Inc. (a)(b) | 22,752 | 1,729,835 |
| Biogen, Inc. (a)(b) | 23,348 | 6,383,810 |
| BioMarin Pharmaceutical, Inc. (a)(b) | 16,000 | 1,404,480 |
| Bioverativ, Inc. (a)(b) | 11,674 | 635,766 |
| Celgene Corp. (a)(b) | 97,986 | 12,192,391 |
| Galapagos NV ADR (a)(b) | 4,200 | 361,998 |
| Genomic Health, Inc. (a)(b) | 16,500 | 519,585 |
| Gilead Sciences, Inc. (a) | 67,200 | 4,564,224 |
| Global Blood Therapeutics, Inc. (a)(b) | 16,088 | 592,843 |
| Halozyme Therapeutics, Inc. (a)(b) | 49,200 | 637,632 |
| Incyte Corp. (a)(b) | 20,500 | 2,740,235 |
| Karyopharm Therapeutics, Inc. (a)(b) | 6,500 | 83,460 |
| Lion Biotechnologies, Inc. (b) | 62,723 | 467,286 |
| Myovant Sciences Ltd. (b) | 29,453 | 345,778 |
| Neurocrine Biosciences, Inc. (a)(b) | 19,562 | 847,035 |
| Otonomy, Inc. (b) | 9,400 | 115,150 |
| Prothena Corp. PLC (b) | 2,244 | 125,193 |
| PTC Therapeutics, Inc. (a)(b) | 15,700 | 154,488 |
| Regeneron Pharmaceuticals, Inc. (a)(b) | 9,058 | 3,510,066 |
| REGENXBIO, Inc. (b) | 36,250 | 699,625 |
| Sage Therapeutics, Inc. (a)(b) | 15,752 | 1,119,495 |
| Sarepta Therapeutics, Inc. (a)(b) | 37,450 | 1,108,520 |
| Seattle Genetics, Inc. (a)(b) | 22,767 | 1,431,134 |
| Spark Therapeutics, Inc. (a)(b) | 4,600 | 245,364 |
| Syndax Pharmaceuticals, Inc. (b) | 52,584 | 721,452 |
| TESARO, Inc. (a)(b) | 18,431 | 2,835,978 |
| Ultragenyx Pharmaceutical, Inc. (a)(b) | 8,300 | 562,574 |
| Vertex Pharmaceuticals, Inc. (a)(b) | 60,905 | 6,659,962 |
| 73,222,547 | ||
| Diversified Consumer Services 0.4% | ||
| Service Corp. International | 42,000 | 1,296,960 |
| Health Care Equipment & Supplies 21.8% | ||
| Abbott Laboratories (a) | 117,900 | 5,235,939 |
| Baxter International, Inc. (a) | 140,900 | 7,307,074 |
| Becton Dickinson and Co. (a) | 21,533 | 3,950,014 |
| Boston Scientific Corp. (a)(b) | 346,700 | 8,622,429 |
| CR Bard, Inc. (a) | 25,453 | 6,326,089 |
| Edwards Lifesciences Corp. (a)(b) | 15,900 | 1,495,713 |
| Hologic, Inc. (a)(b) | 76,600 | 3,259,330 |
| Intuitive Surgical, Inc. (a)(b) | 5,700 | 4,368,879 |
| Common Stocks | Value | |
|---|---|---|
| Health Care Equipment & Supplies (continued) | ||
| iRhythm Technologies, Inc. (b) | 4,883 | $ 183,601 |
| Masimo Corp. (a)(b) | 22,200 | 2,070,372 |
| Medtronic PLC (a) | 169,800 | 13,679,088 |
| Stryker Corp. | 64,900 | 8,544,085 |
| 65,042,613 | ||
| Health Care Providers & Services 27.9% | ||
| Aetna, Inc. (a) | 44,311 | 5,651,868 |
| Amedisys, Inc. (b) | 56,860 | 2,904,977 |
| AmerisourceBergen Corp. (a) | 15,000 | 1,327,500 |
| Anthem, Inc. (a) | 50,300 | 8,318,614 |
| Cardinal Health, Inc. (a) | 36,830 | 3,003,488 |
| Centene Corp. (b) | 35,700 | 2,543,982 |
| Cigna Corp. (a) | 44,700 | 6,548,103 |
| DaVita, Inc. (a)(b) | 64,994 | 4,417,642 |
| Express Scripts Holding Co. (a)(b) | 18,500 | 1,219,335 |
| HCA Holdings, Inc. (a)(b) | 44,794 | 3,986,218 |
| HealthEquity, Inc. (a)(b) | 12,600 | 534,870 |
| Humana, Inc. (a) | 38,000 | 7,833,320 |
| McKesson Corp. (a) | 29,600 | 4,388,496 |
| Quest Diagnostics, Inc. (a) | 55,600 | 5,459,364 |
| Teladoc, Inc. (a)(b) | 21,200 | 530,000 |
| UnitedHealth Group, Inc. (a) | 130,802 | 21,452,836 |
| Universal Health Services, Inc., Class B (a) | 18,900 | 2,352,105 |
| WellCare Health Plans, Inc. (a)(b) | 6,300 | 883,323 |
| 83,356,041 | ||
| Life Sciences Tools & Services 2.0% | ||
| Agilent Technologies, Inc. (a) | 37,300 | 1,972,051 |
| Thermo Fisher Scientific, Inc. (a) | 25,100 | 3,855,360 |
| 5,827,411 | ||
| Pharmaceuticals 21.3% | ||
| Allergan PLC (a) | 36,085 | 8,621,428 |
| AstraZeneca PLC | 52,976 | 3,257,331 |
| Bristol-Myers Squibb Co. (a) | 94,162 | 5,120,530 |
| Chugai Pharmaceutical Co. Ltd. | 7,900 | 271,944 |
| Dermira, Inc. (a)(b) | 22,100 | 753,831 |
| Eli Lilly & Co. (a) | 75,800 | 6,375,538 |
| GlaxoSmithKline PLC | 66,800 | 1,388,965 |
| Intra-Cellular Therapies, Inc. (b) | 13,701 | 222,641 |
| Jazz Pharmaceuticals PLC (a)(b) | 11,100 | 1,610,943 |
| Johnson & Johnson (a) | 61,870 | 7,705,910 |
| Merck & Co., Inc. (a) | 108,000 | 6,862,320 |
| Merck KGaA | 26,200 | 2,985,584 |
| Mylan NV (a)(b) | 64,400 | 2,510,956 |
| Novartis AG ADR | 9,600 | 712,992 |
| Pacira Pharmaceuticals, Inc. (a)(b) | 5,100 | 232,560 |
| Pfizer, Inc. (a) | 359,398 | 12,295,006 |
| Portfolio Abbreviations — ADR | American Depositary Receipt | EUR | Euro |
|---|---|---|---|
| CVR | Contingent Value Rights | GBP | British Pound |
MARCH 31, 2017 1
Schedule of Investments (continued) BlackRock Health Sciences Trust (BME)
| Common Stocks | Value | |
|---|---|---|
| Pharmaceuticals (continued) | ||
| Zoetis, Inc. (a) | 46,500 | $ 2,481,705 |
| 63,410,184 | ||
| Total Common Stocks 98.0% | 292,155,756 | |
| Preferred Stocks | ||
| Biotechnology 0.2% | ||
| Ovid Therapeutics, Inc. (Acquired 8/7/15, Cost $503,166), 0.00% (b)(c) | 80,765 | 545,164 |
| Rights 0.0% | ||
| Biotechnology 0.0% | ||
| Dyax Corp. CVR (b) | 61,727 | 141,355 |
| Total Long-Term Investments (Cost $206,591,314) 98.2% | 292,842,275 |
| Short-Term Securities — BlackRock Liquidity Funds, T-Fund, Institutional Class, 0.60% (d)(e) | Value — $ 5,850,857 | |
|---|---|---|
| Total Short-Term Securities (Cost $5,850,857) 1.9% | 5,850,857 | |
| Total Investments Before Options | ||
| Written (Cost $212,442,171*) 100.1% | 298,693,132 | |
| Options Written | ||
| (Premiums Received $2,659,620) (0.7)% | (2,146,847 | ) |
| Total Investments Net of Options Written 99.4% | 296,546,285 | |
| Other Assets Less Liabilities 0.6% | 1,687,271 | |
| Net Assets 100.0% | $ 298,233,556 |
Notes to Schedule of Investments
| Tax cost | $ | |
|---|---|---|
| Gross unrealized appreciation | $ 86,973,569 | |
| Gross unrealized depreciation | (2,295,005 | ) |
| Net unrealized appreciation | $ 84,678,564 |
(a) All or a portion of security has been pledged and/or segregated as collateral in connection with outstanding exchange-traded options written.
(b) Non-income producing security.
(c) Restricted securities as to resale, excluding 144A securities. As of period end, the Trust held restricted securities with a current value of $2,000,897 and an original cost of $1,489,568 which was 0.7% of its net assets.
(d) Current yield as of period end.
(e) During the period ended March 31, 2017, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliates — BlackRock Liquidity Funds, T-Fund, Institutional Class | 8,611,967 | (2,761,110 | ) | 5,850,857 | Value at March 31, 2017 — $ 5,850,857 | Income — $ 8,475 | Realized Gain — | | |
|---|---|---|---|---|---|---|---|---|---|
| SL Liquidity Series, LLC, Money Market Series | 126,889 | (126,889 | ) | | | 1,580 | 1 | $ 18 | |
| Total | $ 5,850,857 | $ 10,055 | $ 18 | |
1 Represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.
2 MARCH 31, 2017
Schedule of Investments (continued) BlackRock Health Sciences Trust (BME)
For Trust compliance purposes, the Trusts industry classifications refer to one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine industry sub-classifications for reporting ease.
Derivative Financial Instruments Outstanding as of Period End
| Exchange-Traded Options Written — Description | Put/ Call | Expiration Date | Strike Price | Contracts | Value | ||
|---|---|---|---|---|---|---|---|
| Boston Scientific Corp. | Call | 4/03/17 | USD | 23.90 | 83 | $ (8,076 | ) |
| Abbott Laboratories | Call | 4/07/17 | USD | 45.50 | 109 | (436 | ) |
| AbbVie, Inc. | Call | 4/07/17 | USD | 63.50 | 74 | (13,283 | ) |
| AmerisourceBergen Corp. | Call | 4/07/17 | USD | 92.00 | 31 | (930 | ) |
| Baxter International, Inc. | Call | 4/07/17 | USD | 50.50 | 83 | (12,575 | ) |
| Biogen, Inc. | Call | 4/07/17 | USD | 300.00 | 57 | (3,135 | ) |
| Cigna Corp. | Call | 4/07/17 | USD | 152.50 | 47 | (8,554 | ) |
| Eli Lilly & Co. | Call | 4/07/17 | USD | 83.00 | 170 | (27,370 | ) |
| Gilead Sciences, Inc. | Call | 4/07/17 | USD | 70.00 | 58 | (406 | ) |
| HCA Holdings, Inc. | Call | 4/07/17 | USD | 86.00 | 48 | (16,080 | ) |
| Humana, Inc. | Call | 4/07/17 | USD | 207.50 | 15 | (2,550 | ) |
| McKesson Corp. | Call | 4/07/17 | USD | 155.00 | 99 | (1,485 | ) |
| Regeneron Pharmaceuticals, Inc. | Call | 4/07/17 | USD | 365.00 | 16 | (36,880 | ) |
| UnitedHealth Group, Inc. | Call | 4/07/17 | USD | 162.50 | 100 | (22,900 | ) |
| UnitedHealth Group, Inc. | Call | 4/07/17 | USD | 170.00 | 70 | (945 | ) |
| Vertex Pharmaceuticals, Inc. | Call | 4/07/17 | USD | 95.00 | 63 | (89,775 | ) |
| Celgene Corp. | Call | 4/13/17 | USD | 127.00 | 38 | (2,717 | ) |
| Humana, Inc. | Call | 4/13/17 | USD | 220.00 | 29 | (3,118 | ) |
| Masimo Corp. | Call | 4/13/17 | USD | 72.00 | 32 | (68,032 | ) |
| Medtronic PLC | Call | 4/13/17 | USD | 83.00 | 102 | (969 | ) |
| Merck & Co., Inc. | Call | 4/13/17 | USD | 66.00 | 114 | (1,368 | ) |
| Pfizer, Inc. | Call | 4/13/17 | USD | 34.00 | 30 | (1,305 | ) |
| Pfizer, Inc. | Call | 4/13/17 | USD | 34.50 | 24 | (432 | ) |
| UnitedHealth Group, Inc. | Call | 4/13/17 | USD | 170.00 | 101 | (2,020 | ) |
| Abbott Laboratories | Call | 4/21/17 | USD | 46.00 | 190 | (2,945 | ) |
| Acceleron Pharma, Inc. | Call | 4/21/17 | USD | 30.00 | 151 | (5,285 | ) |
| Agilent Technologies, Inc. | Call | 4/21/17 | USD | 55.00 | 65 | (1,463 | ) |
| Agios Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 60.00 | 33 | (5,940 | ) |
| Alkermes PLC | Call | 4/21/17 | USD | 65.00 | 49 | (3,308 | ) |
| Allergan PLC | Call | 4/21/17 | USD | 250.00 | 63 | (5,670 | ) |
| Alnylam Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 65.00 | 30 | (1,050 | ) |
| Amgen, Inc. | Call | 4/21/17 | USD | 167.47 | 127 | (14,559 | ) |
| Amgen, Inc. | Call | 4/21/17 | USD | 180.00 | 34 | (204 | ) |
| Anthem, Inc. | Call | 4/21/17 | USD | 166.00 | 52 | (15,850 | ) |
| Aquinox Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 20.00 | 78 | (3,120 | ) |
| Avexis, Inc. | Call | 4/21/17 | USD | 75.00 | 80 | (35,600 | ) |
| BioMarin Pharmaceutical, Inc. | Call | 4/21/17 | USD | 95.00 | 56 | (3,640 | ) |
| Bioverativ, Inc. | Call | 4/21/17 | USD | 55.00 | 40 | (6,300 | ) |
| Boston Scientific Corp. | Call | 4/21/17 | USD | 26.00 | 514 | (3,084 | ) |
| Bristol-Myers Squibb Co. | Call | 4/21/17 | USD | 57.00 | 330 | (9,570 | ) |
| Cardinal Health, Inc. | Call | 4/21/17 | USD | 82.00 | 70 | (8,400 | ) |
| Celgene Corp. | Call | 4/21/17 | USD | 125.00 | 78 | (15,483 | ) |
| Cigna Corp. | Call | 4/21/17 | USD | 155.00 | 55 | (6,325 | ) |
| CR Bard, Inc. | Call | 4/21/17 | USD | 250.00 | 89 | (20,470 | ) |
| DaVita, Inc. | Call | 4/21/17 | USD | 67.50 | 227 | (28,943 | ) |
| Galapagos NV ADR | Call | 4/21/17 | USD | 75.00 | 14 | (17,010 | ) |
| Genomic Health, Inc. | Call | 4/21/17 | USD | 30.00 | 57 | (11,828 | ) |
| Global Blood Therapeutics, Inc. | Call | 4/21/17 | USD | 40.00 | 50 | (10,750 | ) |
| Halozyme Therapeutics, Inc. | Call | 4/21/17 | USD | 15.00 | 150 | (3,750 | ) |
| HCA Holdings, Inc. | Call | 4/21/17 | USD | 90.00 | 80 | (11,000 | ) |
| Hologic, Inc. | Call | 4/21/17 | USD | 43.00 | 130 | (6,500 | ) |
| Humana, Inc. | Call | 4/21/17 | USD | 220.00 | 22 | (1,375 | ) |
| Incyte Corp. | Call | 4/21/17 | USD | 155.00 | 72 | (4,500 | ) |
| Intuitive Surgical, Inc. | Call | 4/21/17 | USD | 765.00 | 20 | (39,100 | ) |
| Johnson & Johnson | Call | 4/21/17 | USD | 121.05 | 108 | (44,999 | ) |
| Karyopharm Therapeutics, Inc. | Call | 4/21/17 | USD | 15.00 | 22 | (990 | ) |
| Masimo Corp. | Call | 4/21/17 | USD | 95.00 | 49 | (5,512 | ) |
MARCH 31, 2017 3
Schedule of Investments (continued) BlackRock Health Sciences Trust (BME)
| Description — Medtronic PLC | Call | Expiration Date — 4/21/17 | USD | 82.50 | 75 | Value — $ (1,950 | ) |
|---|---|---|---|---|---|---|---|
| Mylan NV | Call | 4/21/17 | USD | 45.00 | 105 | (420 | ) |
| Neurocrine Biosciences, Inc. | Call | 4/21/17 | USD | 45.00 | 18 | (4,410 | ) |
| Neurocrine Biosciences, Inc. | Call | 4/21/17 | USD | 48.00 | 52 | (10,530 | ) |
| Pacira Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 50.00 | 8 | (500 | ) |
| Pfizer, Inc. | Call | 4/21/17 | USD | 33.00 | 151 | (19,857 | ) |
| PTC Therapeutics, Inc. | Call | 4/21/17 | USD | 23.00 | 54 | (2,970 | ) |
| Regeneron Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 390.00 | 15 | (13,500 | ) |
| Sarepta Therapeutics, Inc. | Call | 4/21/17 | USD | 35.00 | 130 | (3,900 | ) |
| Seattle Genetics, Inc. | Call | 4/21/17 | USD | 70.00 | 80 | (4,600 | ) |
| Spark Therapeutics, Inc. | Call | 4/21/17 | USD | 60.00 | 16 | (1,120 | ) |
| Teladoc, Inc. | Call | 4/21/17 | USD | 22.50 | 74 | (21,090 | ) |
| TESARO, Inc. | Call | 4/21/17 | USD | 160.00 | 77 | (36,960 | ) |
| Thermo Fisher Scientific, Inc. | Call | 4/21/17 | USD | 158.30 | 45 | (2,917 | ) |
| UnitedHealth Group, Inc. | Call | 4/21/17 | USD | 170.00 | 70 | (5,845 | ) |
| Universal Health Services, Inc., Class B | Call | 4/21/17 | USD | 125.00 | 92 | (21,850 | ) |
| Vertex Pharmaceuticals, Inc. | Call | 4/21/17 | USD | 100.00 | 129 | (129,645 | ) |
| WellCare Health Plans, Inc. | Call | 4/21/17 | USD | 145.00 | 22 | (1,925 | ) |
| Zoetis, Inc. | Call | 4/21/17 | USD | 55.00 | 66 | (1,320 | ) |
| Abbott Laboratories | Call | 4/28/17 | USD | 44.50 | 113 | (8,419 | ) |
| AmerisourceBergen Corp. | Call | 4/28/17 | USD | 90.00 | 21 | (3,098 | ) |
| Amgen, Inc. | Call | 4/28/17 | USD | 182.50 | 79 | (2,331 | ) |
| Anthem, Inc. | Call | 4/28/17 | USD | 167.50 | 43 | (15,158 | ) |
| Cardinal Health, Inc. | Call | 4/28/17 | USD | 82.50 | 58 | (7,395 | ) |
| Celgene Corp. | Call | 4/28/17 | USD | 126.00 | 139 | (37,106 | ) |
| Celgene Corp. | Call | 4/28/17 | USD | 128.00 | 87 | (18,401 | ) |
| Cigna Corp. | Call | 4/28/17 | USD | 155.00 | 54 | (15,066 | ) |
| Edwards Lifesciences Corp. | Call | 4/28/17 | USD | 94.00 | 55 | (19,938 | ) |
| Express Scripts Holding Co. | Call | 4/28/17 | USD | 67.50 | 64 | (7,456 | ) |
| HCA Holdings, Inc. | Call | 4/28/17 | USD | 87.00 | 81 | (30,780 | ) |
| Humana, Inc. | Call | 4/28/17 | USD | 210.00 | 45 | (15,412 | ) |
| Humana, Inc. | Call | 4/28/17 | USD | 220.00 | 8 | (1,060 | ) |
| Jazz Pharmaceuticals PLC | Call | 4/28/17 | USD | 136.00 | 25 | (26,875 | ) |
| Medtronic PLC | Call | 4/28/17 | USD | 81.50 | 292 | (22,338 | ) |
| Merck & Co., Inc. | Call | 4/28/17 | USD | 66.50 | 114 | (9,462 | ) |
| Pfizer, Inc. | Call | 4/28/17 | USD | 34.50 | 324 | (12,636 | ) |
| UnitedHealth Group, Inc. | Call | 4/28/17 | USD | 165.00 | 114 | (35,055 | ) |
| Zoetis, Inc. | Call | 4/28/17 | USD | 55.50 | 100 | (2,750 | ) |
| Aetna, Inc. | Call | 5/01/17 | USD | 132.50 | 21 | (2,141 | ) |
| Becton Dickinson and Co. | Call | 5/01/17 | USD | 184.50 | 75 | (19,644 | ) |
| Aetna, Inc. | Call | 5/05/17 | USD | 129.00 | 30 | (6,945 | ) |
| Amgen, Inc. | Call | 5/05/17 | USD | 167.50 | 9 | (2,682 | ) |
| Baxter International, Inc. | Call | 5/05/17 | USD | 52.00 | 42 | (4,389 | ) |
| Jazz Pharmaceuticals PLC | Call | 5/05/17 | USD | 147.00 | 25 | (10,625 | ) |
| Pfizer, Inc. | Call | 5/05/17 | USD | 34.50 | 252 | (12,600 | ) |
| Anthem, Inc. | Call | 5/11/17 | USD | 166.00 | 52 | (22,833 | ) |
| AbbVie, Inc. | Call | 5/12/17 | USD | 66.00 | 61 | (6,771 | ) |
| Gilead Sciences, Inc. | Call | 5/12/17 | USD | 70.00 | 177 | (21,683 | ) |
| McKesson Corp. | Call | 5/12/17 | USD | 155.00 | 4 | (1,050 | ) |
| Merck & Co., Inc. | Call | 5/12/17 | USD | 63.50 | 59 | (9,410 | ) |
| Mylan NV | Call | 5/12/17 | USD | 41.00 | 120 | (9,960 | ) |
| Pfizer, Inc. | Call | 5/12/17 | USD | 34.50 | 329 | (17,602 | ) |
| Aetna, Inc. | Call | 5/19/17 | USD | 135.00 | 104 | (11,492 | ) |
| Agilent Technologies, Inc. | Call | 5/19/17 | USD | 52.50 | 65 | (12,838 | ) |
| Alkermes PLC | Call | 5/19/17 | USD | 65.00 | 49 | (6,248 | ) |
| Allergan PLC | Call | 5/19/17 | USD | 250.00 | 63 | (23,310 | ) |
| Alnylam Pharmaceuticals, Inc. | Call | 5/19/17 | USD | 60.00 | 19 | (2,612 | ) |
| Anthem, Inc. | Call | 5/19/17 | USD | 170.00 | 29 | (10,512 | ) |
| Biogen, Inc. | Call | 5/19/17 | USD | 275.00 | 24 | (26,040 | ) |
| Boston Scientific Corp. | Call | 5/19/17 | USD | 25.00 | 83 | (6,765 | ) |
| Dermira, Inc. | Call | 5/19/17 | USD | 35.00 | 77 | (20,020 | ) |
| Eli Lilly & Co. | Call | 5/19/17 | USD | 85.00 | 8 | (1,436 | ) |
| Hologic, Inc. | Call | 5/19/17 | USD | 43.00 | 140 | (17,850 | ) |
| Humana, Inc. | Call | 5/19/17 | USD | 210.00 | 14 | (8,120 | ) |
| Johnson & Johnson | Call | 5/19/17 | USD | 121.05 | 108 | (43,587 | ) |
4 MARCH 31, 2017
Schedule of Investments (continued) BlackRock Health Sciences Trust (BME)
| Description — Medtronic PLC | Call | 5/19/17 | USD | 82.50 | 125 | Value — $ (10,125 | ) |
|---|---|---|---|---|---|---|---|
| Merck & Co., Inc. | Call | 5/19/17 | USD | 67.50 | 91 | (3,049 | ) |
| Pacira Pharmaceuticals, Inc. | Call | 5/19/17 | USD | 50.00 | 9 | (1,868 | ) |
| Pfizer, Inc. | Call | 5/19/17 | USD | 35.00 | 147 | (4,851 | ) |
| Quest Diagnostics, Inc. | Call | 5/19/17 | USD | 100.00 | 97 | (13,095 | ) |
| Sage Therapeutics, Inc. | Call | 5/19/17 | USD | 70.00 | 55 | (76,450 | ) |
| Ultragenyx Pharmaceutical, Inc. | Call | 5/19/17 | USD | 75.00 | 29 | (8,990 | ) |
| UnitedHealth Group, Inc. | Call | 5/19/17 | USD | 170.00 | 3 | (543 | ) |
| Vertex Pharmaceuticals, Inc. | Call | 5/19/17 | USD | 110.00 | 21 | (12,180 | ) |
| Eli Lilly & Co. | Call | 6/02/17 | USD | 84.75 | 87 | (17,965 | ) |
| Quest Diagnostics, Inc. | Call | 6/06/17 | USD | 98.37 | 97 | (23,183 | ) |
| HealthEquity, Inc. | Call | 6/16/17 | USD | 50.00 | 43 | (3,010 | ) |
| Thermo Fisher Scientific, Inc. | Call | 6/16/17 | USD | 160.00 | 42 | (9,555 | ) |
| Total | $ (1,779,938 | ) |
| OTC Options Written — Description | Put/ Call | Counterparty | Expiration Date | Strike Price | Contracts | Value | ||
|---|---|---|---|---|---|---|---|---|
| AstraZeneca PLC | Call | Morgan Stanley & Co. International PLC | 4/07/17 | GBP | 46.50 | 13,600 | $ (44,716 | ) |
| Boston Scientific Corp. | Call | UBS AG | 4/20/17 | USD | 25.22 | 28,700 | (6,414 | ) |
| GlaxoSmithKline PLC | Call | Deutsche Bank AG | 4/25/17 | GBP | 17.05 | 22,500 | (2,154 | ) |
| Merck KGaA | Call | Deutsche Bank AG | 4/26/17 | EUR | 103.98 | 7,900 | (31,322 | ) |
| Centene Corp. | Call | Citibank N.A. | 4/27/17 | USD | 69.15 | 12,400 | (40,082 | ) |
| Baxter International, Inc. | Call | Royal Bank of Canada | 4/28/17 | USD | 51.25 | 18,400 | (23,016 | ) |
| REGENXBIO, Inc. | Call | Goldman Sachs International | 4/28/17 | USD | 20.50 | 12,600 | (12,618 | ) |
| Amedisys, Inc. | Call | Deutsche Bank AG | 5/01/17 | USD | 51.26 | 20,000 | (34,891 | ) |
| AstraZeneca PLC | Call | Morgan Stanley & Co. International PLC | 5/05/17 | GBP | 50.09 | 5,000 | (5,591 | ) |
| Boston Scientific Corp. | Call | Barclays Bank PLC | 5/10/17 | USD | 25.00 | 24,600 | (17,946 | ) |
| Baxter International, Inc. | Call | Royal Bank of Canada | 5/12/17 | USD | 51.25 | 18,400 | (25,149 | ) |
| Syndax Pharmaceuticals, Inc. | Call | UBS AG | 5/12/17 | USD | 13.78 | 18,400 | (23,758 | ) |
| Stryker Corp. | Call | Barclays Bank PLC | 5/22/17 | USD | 131.75 | 11,400 | (38,457 | ) |
| Service Corp. International | Call | Barclays Bank PLC | 5/24/17 | USD | 30.30 | 14,700 | (19,913 | ) |
| Stryker Corp. | Call | Barclays Bank PLC | 6/12/17 | USD | 132.80 | 11,400 | (40,882 | ) |
| Total | $ (366,909 | ) |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:
Level 1 unadjusted price quotations in active markets/exchanges for identical assets or liabilities that the Trust has the ability to access
Level 2 other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)
Level 3 unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Trusts own assumptions used in determining the fair value of investments and derivative financial instruments)
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the BlackRock Global Valuation Methodologies Committee (the Global Valuation Committee) in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds. There may not be a secondary market, and/or there are a limited number of investors. Level 3 investments may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the Global Valuation Committee in the absence of market information.
Changes in valuation techniques may result in transfers into or out of an assigned level within the hierarchy. In accordance with the Trusts policy, transfers between different levels of the fair value hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investments and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities. For information about the Trusts policy regarding valuation of investments and derivative financial instruments, refer to the Trusts most recent financial statements as contained in its annual report.
MARCH 31, 2017 5
Schedule of Investments (continued) BlackRock Health Sciences Trust (BME)
The following tables summarize the Trusts investments and derivative financial instruments categorized in the disclosure hierarchy:
| Level 1 | Level 2 | Total | |||||
|---|---|---|---|---|---|---|---|
| Assets: | |||||||
| Investments: | |||||||
| Long-Term Investments: | |||||||
| Common Stocks: | |||||||
| Biotechnology | $ 71,766,814 | | $ | 1,455,733 | $ 73,222,547 | ||
| Diversified Consumer Services | 1,296,960 | | | 1,296,960 | |||
| Health Care Equipment & Supplies | 65,042,613 | | | 65,042,613 | |||
| Health Care Providers & Services | 83,356,041 | | | 83,356,041 | |||
| Life Sciences Tools & Services | 5,827,411 | | | 5,827,411 | |||
| Pharmaceuticals | 55,506,360 | $ 7,903,824 | | 63,410,184 | |||
| Preferred Stocks | | | 545,164 | 545,164 | |||
| Rights | | | 141,355 | 141,355 | |||
| Short-Term Securities | 5,850,857 | | | 5,850,857 | |||
| Subtotal | $ 288,647,056 | $ 7,903,824 | $ | 2,142,252 | $ 298,693,132 | ||
| 1 See above Schedule of | |||||||
| Investments for values in each industry. | |||||||
| Derivative Financial Instruments 2 | |||||||
| Liabilities: | |||||||
| Equity contracts | $ (1,496,152 | ) | $ (650,695 | ) | | $ (2,146,847 | ) |
| 2 Derivative | |||||||
| financial instruments are options written, which are shown at value. | |||||||
| During the period ended March 31, 2017, there were no transfers between levels. | |||||||
| A reconciliation of Level 3 investments is presented | |||||||
| when the Trust had a significant amount of Level 3 investments at the beginning and/or end of the period in relation to net assets. The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used in | |||||||
| determining fair value: |
| Common Stocks | Preferred Stocks | Rights | Total | |
|---|---|---|---|---|
| Assets: | ||||
| Opening Balance, as of December 31, 2016 | $ 1,452,303 | $ 503,166 | $ 68,517 | $ 2,023,986 |
| Transfers into Level 3 | | | | |
| Transfers out of Level 3 | | | | |
| Accrued discounts/premiums | | | | |
| Net realized gain | | | | |
| Net change in unrealized | ||||
| appreciation/depreciation 1 | 3,430 | 41,998 | 72,838 | 118,266 |
| Purchases | | | | |
| Sales | | | | |
| Closing Balance, as of March 31, 2017 | $ 1,455,733 | $ 545,164 | $ 141,355 | $ 2,142,252 |
| Net change in unrealized appreciation/depreciation on investments still held at March 31, 2017 1 | $ 3,430 | $ 41,998 | $ 72,838 | $ 118,266 |
| 1 Any difference between net change in unrealized appreciation (depreciation) and net change in unrealized appreciation (depreciation) on investments still | ||||
| held at March 31, 2017 is generally due to investments no longer held or categorized as Level 3 at period end. |
6 MARCH 31, 2017
| Item 2 | Controls and Procedures |
|---|---|
| 2(a) | The registrants principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrants disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the 1940 Act)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and |
| procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended. | |
| 2(b) | There were no changes in the registrants internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrants last |
| fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrants internal control over financial reporting. | |
| Item 3 | Exhibits |
| Certifications Attached hereto |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BlackRock Health Sciences Trust | |
|---|---|
| By: | /s/ John M. Perlowski |
| John M. Perlowski | |
| Chief Executive Officer (principal executive officer) of | |
| BlackRock Health Sciences Trust | |
| Date: | May 23, 2017 |
| Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and | |
| on the dates indicated. | |
| By: | /s/ John M. Perlowski |
| John M. Perlowski | |
| Chief Executive Officer (principal executive officer) of | |
| BlackRock Health Sciences Trust | |
| Date: | May 23, 2017 |
| By: | /s/ Neal J. Andrews |
| Neal J. Andrews | |
| Chief Financial Officer (principal financial officer) of | |
| BlackRock Health Sciences Trust | |
| Date: | May 23, 2017 |
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.