Company: BCAT
Filing Date: 2025-03-07
Form Type: N-CSR
Source: 0001193125-25-049576
Chunk: 10

Company: BlackRock Capital Allocation Term Trust
Filing Date: 2025-03-07
Form: N-CSR
Chunk 10
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 include options, futures, swaps, and forward contracts, in an effort to enhance returns and manage the risk of adverse market movements. The Trust also used an options overlay strategy in which calls were written on a portion of the portfolio’s holdings. Private investments comprised approximately 13.2% of the Trust’s total assets at the close of the period. The Trust’s holdings in this area made a small contribution, driven by private credit. The Trust’s practice of maintaining a specified level of monthly distributions to shareholders did not have a material impact on the Trust’s investment strategy. The distribution policy resulted in return of capital for the period. Refer to the financial highlights and income tax information sections in this report for further information about the distributions. Describe recent portfolio activity. The Trust’s allocation to equities decreased by 4.7 percentage points, with the largest reductions in healthcare, industrials, and consumer staples. Its weightings in financials and communication services increased. The allocation to fixed-income fell by 5.0 percentage points, with the largest reductions in securitized assets, most notably collateralized loan obligations, as well as investment-grade corporates and developed-market sovereign bonds. The Trust’s weighting in high yield corporates increased. As a result of these changes, the Trust’s allocation to cash rose. Describe portfolio positioning at period end. The Trust had a 52% allocation to equities at the close of the period. It had holdings across all sectors, with the largest absolute weightings in information technology, financials, and consumer discretionary. The Trust used options as an additional source of income. As of December 31, 2024, the Trust had sold options on approximately 9.6% of its equity positions. The Trust finished the period with a weighting of 44% in fixed-income, comprised predominately of high yield bonds, securitized assets, and to a lesser extent, agency MBS, investment-grade corporates and government bonds. The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions.
These views are not intended to be a forecast of future events and are no guarantee of future results.

Trust Summary 7

Trust Summary as of December 31, 2024 (continued) BlackRock Capital Allocation Term Trust (BCAT) Overview of the Trust’s Total Investments

| TEN LARGEST HOLDINGS                                |                                   |
| Security                                            | Percent of TotalInvestments(a)(b) |
| Uniform