Company: BSTZ
Filing Date: 2025-03-07
Form Type: N-CSR
Source: 0001193125-25-049659
Chunk: 29

Company: BlackRock Science & Technology Term Trust
Filing Date: 2025-03-07
Form: N-CSR
Chunk 29
---
 is actively managed and does not seek to track or replicate the performance of any index. The index performance shown is not intended to be indicative of the Trust’s investment strategies, portfolio components or past or future performance. More information about the Trust’s historical performance can be found in the “Closed End Funds” section of blackrock.com . The following discussion relates to the Trust’s absolute performance based on NAV: What factors influenced performance? The Trust’s out-of-benchmark positions in the packaging stocks Smurfit Westrock PLC and Packaging Corp. of America were top contributors to relative performance. The broader packaging sector performed well throughout the reporting period due to rising demand from e-commerce growth, the increased usage of eco-friendly packaging solutions, and significant technological advancements in the space. An overweight position in the mining company Wheaton Precious Metals Corp., which benefited from rising gold and silver prices, also contributed. The lack of a position in the U.S. agriculture equipment company Deere & Co. detracted from relative performance. The stock outpaced the broader natural resources sector due in part to better-than-expected earnings and investor optimism about the company’s technological innovations. A zero weighting in the Canadian gold producer Agnico Eagle Mines Ltd. also weighed on results. The company benefitted from the rally in gold prices, and it demonstrated strong production and cost controls relative to its peers. Among stocks the Trust held, Marathon Petroleum Corp. and Glencore PLC were notable detractors. The Trust used an options overlay strategy in which calls were written on a portion of the portfolio’s holdings. This strategy contributed to results during the period. 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 reduced its allocation to the energy sector from overweight to neutral, based on the view that the supply growth of oil was likely to match or exceed demand growth. The Trust moved to an overweight in the mining sector, partly on the view that sentiment toward China had likely bottomed. Describe portfolio positioning at period end. The portfolio had weightings of 37.5% in the mining sector, 33.5% in energy, and 25.1% in agriculture. The remaining 3.9% was held in cash. As of December 31, 2024