Company: MYI
Filing Date: 2025-07-16
Form Type: N-14 8C
Source: 0001193125-25-159991
Chunk: 442

Company: BLACKROCK MUNIYIELD QUALITY FUND III, INC.
Filing Date: 2025-07-16
Form: N-14 8C
Chunk 442
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 their disclosures to enable shareholders to understand the compensation arrangements and assess the alignment with investors’ interests. Features we look for in compensation arrangements include: B-11

| • |     | Fixed pay components, including base salary, benefits and prerequisites that are appropriate in the context of 
 the company’s size, sector and market.                                                                         |

| • |     | Variable pay subject to performance metrics that are closely linked to the company’s short- and long-term 
 strategic objectives.                                                                                     |

| • |     | A balance between fixed and variable pay, short- and long-term incentives, and specific instruments (cash and 
 equity awards) that promotes pay program durability and seldom necessitates one-off, discretionary payments.  |

| • |     | Outcomes that are consistent with the returns to investors over the relevant time period. |

| • |     | Board discretion, if allowed within the variable pay arrangements, to be used sparingly, responsibly and 
 transparently.                                                                                           |

| • |     | A requirement, that participants in long-term share-based incentive plans build a meaningful shareholding in the 
 company within a defined time period, as determined by the board.                                                |

| • |     | Change of control provisions that appropriately balance the interests of executives and shareholders. |

| • |     | Clawback or malus provisions that allow the company to recoup or hold back variable compensation from individuals 
 whose awards were based on fraudulent activities, misstated financial reports, or executive misconduct.           |

| • |     | Severance arrangements that protect the company’s interests but do not cost more than is contractual. |

We may vote against proposals to introduce new share-based incentives, approve existing policies or plans, or approve the compensation report where we do not see alignment between executive compensation arrangements and our clients’ financial interests. When there is not an alternative, or where there have been multi-year issues with compensation misaligned with performance, we may vote against the election of the chair of the responsible committee, or the most senior independent director. Non-executivedirector compensation Companies generally pay non-executivedirectors an annual retainer or fee in cash, shares or a combination of the two. Some companies also pay additional fees for service on board committees or in board leadership roles. We do not support non-executivedirectors participating in performance-based incentive plans as doing so may create a conflict of interest and undermine their independence from management, whom they oversee. Capital structure Boards are responsible for ensuring senior executive leadership has established a capital strategy that