Edgar Filing: BlackRock Multi-Sector Income Trust

BlackRock Multi-Sector Income Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-22774

Name of Fund: BlackRock Multi-Sector Income Trust (BIT)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Multi-Sector Income

Trust, 55 East 52^nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 10/31/2018

Date of reporting period: 04/30/2018

Item 1 –

Report to Stockholders

APRIL 30, 2018


SEMI-ANNUAL REPORT (UNAUDITED)

BlackRock Credit Allocation Income Trust (BTZ)

BlackRock Floating Rate Income Trust (BGT)

BlackRock Multi-Sector Income Trust (BIT)

Not FDIC Insured • May Lose Value • No Bank Guarantee

The Markets in Review

Dear Shareholder,

In the 12 months ended April 30, 2018, the strongest corporate profits in seven years drove the equity market higher, while rising interest rates constrained bond returns. While the market’s appetite for risk remained healthy, risk taking varied by asset class, as bond investors cautiously shifted to higher-quality securities, and stock investors continued to embrace risk by investing abroad.

The largest global economies experienced sustained, synchronized growth for the first time since the financial crisis, leading to strong equity performance worldwide. Emerging markets stocks posted the highest return, as accelerating growth in China, the second-largest economy in the world, improved the outlook for corporate profits in most developing nations.

Short-term U.S. Treasury interest rates rose the fastest, while longer-term rates slightly increased, leading to a substantial flattening of the yield curve. The annual return for the three-month Treasury bill surpassed 1.0%, but remained well below the annual headline inflation rate of 2.5%. In contrast, the ten-year U.S. Treasury — a bellwether of the bond market — posted a negative return, as rising inflation expectations drove yields higher. In credit markets, the investment-grade and high-yield bond markets posted modest returns in a relatively benign credit environment.

Even though it faced rising pressure to boost interest rates in 2017, the U.S. Federal Reserve (the “Fed”) increased short-term interest rates just three times during the reporting period. The Fed also announced plans to reduce its $4.4 trillion balance sheet by $420 billion in 2018, which began the process of gradually reversing its unprecedented stimulus measures after the financial crisis. The economy continued to gain momentum despite the Fed’s modest reduction of economic stimulus, as unemployment dipped below 4.0%, wages increased, and job openings reached a record high. Strong economic performance may justify a more rapid pace of rate hikes in 2018, as the headline inflation rate and investors’ expectations for inflation surpassed the Fed’s target of 2.0%.

By contrast, the European Central Bank (“ECB”) and the Bank of Japan (“BoJ”) continued to expand their balance sheets despite nascent signs of sustained economic growth. Rising global growth, as well as limited bond supply, pressured other central banks to follow in the Fed’s footsteps. In October 2017, the ECB pledged to cut its bond purchases in half for 2018, while the BoJ reiterated its commitment to economic stimulus, even though the size of its balance sheet almost matched the total output of the Japanese economy.

The Fed’s measured pace of stimulus reduction could lead to moderately higher inflation, steadily rising interest rates, and improving real growth in 2018. We continue to believe the primary risks to economic expansion are trade protectionism, rapidly rising interest rates, and geopolitical tension. In particular, we are closely monitoring trade protectionism and the rise of populism in Western nations.

In December 2017, Congress passed a sweeping tax reform bill. The U.S. tax overhaul is likely to accentuate the existing reflationary themes, including corporate spending on stock buybacks, mergers & acquisitions and capital investment, which could extend the economic cycle if inflation and interest rates rise at a relatively modest pace.

In this environment, investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit blackrock.com for further insight about investing in today’s markets.

Sincerely,

LOGO

Rob Kapito

President, BlackRock Advisors, LLC

LOGO

Rob Kapito

President, BlackRock Advisors, LLC


Total Returns as of April 30, 2018
	6-month	12-month
U.S. large cap equities (S&P 500^® Index)	3.82%	13.27%
U.S. small cap equities (Russell 2000^® Index)	3.27	11.54
International equities (MSCI Europe, Australasia, Far East Index)	3.41	14.51
Emerging market equities (MSCI Emerging Markets Index)	4.80	21.71
3-month Treasury bills (ICE BofAML 3-Month U.S. Treasury Bill Index)	0.68	1.17
U.S. Treasury securities (ICE BofAML 10-Year U.S. Treasury Index)	(3.79)	(3.64)
U.S. investment grade bonds (Bloomberg Barclays U.S. Aggregate Bond Index)	(1.87)	(0.32)
Tax-exempt municipal bonds (S&P Municipal Bond Index)	(0.76)	1.44
U.S. high yield bonds (Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index)	(0.17)	3.27
Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.


2		THIS PAGE IS NOT PART OF YOUR FUND REPORT

Table of Contents


	Page
The Markets in Review		2
Semi-Annual Report:
Trust Summaries		4
The Benefits and Risks of Leveraging		13
Derivative Financial Instruments		13
Financial Statements:
Schedules of Investments		14
Statements of Assets and Liabilities		85
Statements of Operations		86
Statements of Changes in Net Assets		87
Statements of Cash Flows		89
Financial Highlights		90
Notes to Financial Statements		93
Officers and Trustees		106
Additional Information		107
Glossary of Terms Used in this Report		109


			3


Trust Summary as of April 30, 2018		BlackRock Credit Allocation Income Trust

Investment Objective

BlackRock Credit Allocation Income Trust’s (BTZ) (the “Trust”) investment objective is to provide current income, current gains and capital appreciation. The Trust seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in credit-related securities, including, but not limited to, investment grade corporate bonds, high yield bonds (commonly referred to as “junk” bonds), bank loans, preferred securities or convertible bonds or derivatives with economic characteristics similar to these credit-related securities. The Trust may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Trust’s investment objective will be achieved.

Trust Information


Symbol on New York Stock Exchange (“NYSE”)		BTZ
Initial Offering Date		December 27, 2006
Current Distribution Rate on Closing Market Price as of April 30, 2018 ($12.54)^(a)		6.41%
Current Monthly Distribution per Common Share^(b)		$0.0670
Current Annualized Distribution per Common Share^(b)		$0.8040
Economic Leverage as of April 30, 2018^(c)		32%

^(a)

Current distribution rate on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. The current distribution rate consists of income, net realized gains and/or a return of capital. Past performance does not guarantee future results.

^(b)

The distribution rate is not constant and is subject to change. A portion of the distribution may be deemed a return of capital or net realized gain.

^(c)

Represents reverse repurchase agreements as a percentage of total managed assets, which is the total assets of the Trust (including any assets attributable to any borrowings) minus the sum of its liabilities (other than borrowings representing financial leverage). For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 13.

Market Price and Net Asset Value Per Share Summary


	04/30/18		10/31/17		Change			High		Low
Market Price	$	12.54	$	13.36		(6.14)	%	$	13.51	$	12.46
Net Asset Value		14.20		14.88		(4.57)			14.92		14.15

Market Price and Net Asset Value History For the Past Five Years

LOGO


4		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of April 30, 2018 (continued)		BlackRock Credit Allocation Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended April 30, 2018 were as follows:


				Average Annual Total Returns
	6 Months			1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		(1.57	)%		3.12	%		4.66	%		5.11	%
Trust at Market Price^(a)(b)		(3.18	)		(0.51	)		4.38			4.29
Reference Benchmark^(c)		(1.81	)		1.62			3.20			3.41
Bloomberg Barclays U.S. Credit Index^(d)		(2.34	)		0.65			2.05			2.27
Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index^(e)		(0.17	)		3.27			4.99			4.76
Bloomberg Barclays USD Capital Securities Index^(f)		(2.96	)		1.60			3.36			4.19

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. Performance results reflect the Trust’s use of leverage.

^(b)

The Trust’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

The Reference Benchmark is comprised of the Bloomberg Barclays U.S. Credit Index (50.36%), the Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index (29.93%), and the Bloomberg Barclays USD Capital Securities Index (19.71%).

^(d)

This unmanaged index measures the investment grade, U.S. dollar-denominated, fixed-rate, taxable corporate and government-related bond markets.

^(e)

An unmanaged index comprised of issues that meet the following criteria: at least $150 million par value outstanding; maximum credit rating of Ba1; at least one year to maturity; and no issuer represents more than 2% of the index.

^(f)

This unmanaged index tracks fixed-rate, investment grade capital securities denominated in USD.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

Past performance is not indicative of future results.

BTZ is presenting the Reference Benchmark to accompany trust performance. The Reference Benchmark is presented for informational purposes only, as the Trust is actively managed and does not seek to track or replicate the performance of the Reference Benchmark or any other index. The portfolio investments of the Trust may differ substantially from the securities that comprise the indices within the Reference Benchmark, which may cause the Trust’s performance to differ materially from that of the Reference Benchmark. The Trust employs leverage as part of its investment strategy, which may change over time at the discretion of BlackRock Advisors, LLC (the “Manager”) as market and other conditions warrant. In contrast, the Reference Benchmark is not adjusted for leverage. Therefore, leverage generally may result in the Trust outperforming the Reference Benchmark in rising markets and underperforming in declining markets. The Board considers additional factors to evaluate the Trust’s performance, such as the performance of the Trust relative to a peer group of funds, a leverage-adjusted benchmark and/or other information provided by the Manager.

More information about the Trust’s historical performance can be found in the “Closed End Funds” section of http://www.blackrock.com.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influenced performance?

The Trust’s allocations to bank issues within investment grade corporate bonds and capital securities (dividend-paying securities that combine some features of both corporate bonds and preferred stocks, while generally providing higher yields to compensate for being less senior in the issuer’s capital structure) were the largest detractors from performance. Both segments are generally higher beta (more responsive to market moves in either direction) and performed poorly as credit sold off in the first quarter of 2018.

The Trust’s out-of-benchmark allocation to collateralized loan obligations (“CLOs”) was the largest positive contributor to performance on an absolute basis, as demand for floating rate products remained strong in a rising rate environment.

Describe recent portfolio activity.

The largest shift in the Trust’s positioning was an increase in out-of-benchmark exposure to CLOs as demand for floating rate products in a rising rate environment supported the asset class. Exposure to the energy sector was increased as well as the environment has become more constructive for oil prices. In addition, the Trust’s underweight stance with respect to duration (and sensitivity to interest rate movement) was increased on the view that rates should continue to rise.

During the period, the Trust utilized derivatives through the use of financial futures in order to manage interest rate risk in the portfolio. The use of derivatives had a positive impact on performance.

Describe portfolio positioning at period end.

The Trust was positioned with a constructive view on credit as growth remained strong and corporate fundamentals remained healthy through the first quarter earnings season. The Trust favors high yield over investment grade corporates as the investment grade market faced increased event risk surrounding merger & acquisition activity together with waning overseas demand. From a sector perspective, the Trust continued to favor financials over industrials given that bank balance sheets remain strong and banks are relatively immune from a rise in idiosyncratic risk. The Trust maintained a short duration stance on the view that interest rates should marginally move higher.

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			5


Trust Summary as of April 30, 2018 (continued)		BlackRock Credit Allocation Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	04/30/18			10/31/17
Corporate Bonds		69	%		73	%
Preferred Securities		18			19
Asset-Backed Securities		6			3
U.S. Treasury Obligations		4			1
Foreign Agency Obligations		2			2
Municipal Bonds		1			1
Other		—	^(a)		1	^(b)

^(a)

Includes a less than 1% holding in each of the following investment types: U.S. Government Sponsored Agency Securities and Options Purchased.

^(b)

Includes a less than 1% holding in each of the following investment types: Short-Term Securities, U.S. Government Sponsored Agency Securities and Options Purchased.

CREDIT QUALITY ALLOCATION^(c)(d)


	04/30/18			10/31/17
AAA/Aaa^(e)		1	%		2	%
AA/Aa		7			3
A		16			16
BBB/Baa		47			51
BB/Ba		18			19
B		10			8
CCC/Caa		1			1
CC/Ca		—			—	^(f)

^(c)

For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either Standard & Poor’s (“S&P”) or Moody’s Investors Service (“Moody’s”) if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated N/R are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

^(d)

Excludes Short-Term Securities, Options Purchased and Options Written.

^(e)

The investment adviser evaluates the credit quality of not-rated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors, individual investments and/or issuer. Using this approach, the investment adviser has deemed U.S. Government Sponsored Agency Securities and U.S. Treasury Obligations as AAA/Aaa.

^(f)

Represents less than 1% of total investments.


6		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of April 30, 2018		BlackRock Floating Rate Income Trust

Investment Objective

BlackRock Floating Rate Income Trust’s (BGT) (the “Trust”) primary investment objective is to provide a high level of current income. The Trust’s secondary investment objective is to seek the preservation of capital to the extent consistent with its primary objective of high current income. The Trust seeks to achieve its investment objectives by investing primarily, under normal conditions, at least 80% of its assets in floating and variable rate instruments of U.S. and non-U.S. issuers, including a substantial portion of its assets in global floating and variable rate securities including senior secured floating rate loans made to corporate and other business entities. Under normal market conditions, the Trust expects that the average effective duration of its portfolio will be no more than 1.5 years. The Trust may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Trust’s investment objectives will be achieved.

Trust Information


Symbol on NYSE		BGT
Initial Offering Date		August 30, 2004
Current Distribution Rate on Closing Market Price as of April 30, 2018 ($13.79)^(a)		5.07%
Current Monthly Distribution per Common Share^(b)		$0.0583
Current Annualized Distribution per Common Share^(b)		$0.6996
Economic Leverage as of April 30, 2018^(c)		30%

^(a)

^(b)

The distribution rate is not constant and is subject to change. A portion of the distribution may be deemed a return of capital or net realized gain.

^(c)

Represents bank borrowings outstanding as a percentage of total managed assets, which is the total assets of the Trust (including any assets attributable to any borrowings) minus the sum of its liabilities (other than borrowings representing financial leverage). For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 13.

Market Price and Net Asset Value Per Share Summary


	04/30/18		10/31/17		Change			High		Low
Market Price	$	13.79	$	14.31		(3.63)	%	$	14.32	$	13.52
Net Asset Value		14.44		14.49		(0.35)			14.54		14.35

Market Price and Net Asset Value History For the Past Five Years

LOGO


TRUST SUMMARY			7


Trust Summary as of April 30, 2018 (continued)		BlackRock Floating Rate Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended April 30, 2018 were as follows:


				Average Annual Total Returns
	6 Months			1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		2.19	%		4.69	%		5.02	%		5.28	%
Trust at Market Price^(a)(b)		(1.18	)		(1.25	)		6.33			2.78
S&P/LSTA Leveraged Loan Index^(c)		2.39			4.41			4.03			3.86

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. Performance results reflect the Trust’s use of leverage.

^(b)

The Trust’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

This unmanaged market value-weighted index (the “Reference Benchmark”) is designed to measure the performance of the U.S. leveraged loan market based upon market weightings, spreads and interest payments.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

Past performance is not indicative of future results.

BGT is presenting the Reference Benchmark to accompany trust performance. The Reference Benchmark is presented for informational purposes only, as the Trust is actively managed and does not seek to track or replicate the performance of the Reference Benchmark or any other index. The portfolio investments of the Trust may differ substantially from the securities that comprise the indices within the Reference Benchmark, which may cause the Trust’s performance to differ materially from that of the Reference Benchmark. The Trust employs leverage as part of its investment strategy, which may change over time at the discretion of BlackRock Advisors, LLC (the “Manager”) as market and other conditions warrant. In contrast, the Reference Benchmark is not adjusted for leverage. Therefore, leverage generally may result in the Trust outperforming the Reference Benchmark in rising markets and underperforming in declining markets. The Board considers additional factors to evaluate the Trust’s performance, such as the performance of the Trust relative to a peer group of funds, a leverage-adjusted benchmark and/or other information provided by the Manager.

More information about the Trust’s historical performance can be found in the “Closed End Funds” section of http://www.blackrock.com.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influenced performance?

Over the six-month period, the Trust’s tactical out-of-benchmark allocation to high yield bonds positively contributed to performance, as the high yield market outperformed floating rate loan interests (“bank loans”). With respect to the Trust’s core allocation to floating rate bank loans, holdings within the technology, health care, and media & entertainment segments were the largest absolute contributors to performance. By credit rating, B-rated, BB-rated, and CCC-rated positions were the largest contributors.

From a sector perspective, consumer products and wireless were the only two detractors on an absolute basis. There were no absolute detractors by credit rating.

Describe recent portfolio activity.

In terms of credit rating positioning, the majority of the Trust was invested in B-rated bank loans, followed by BB-rated names. Over the course of the period, the Trust increased its B-rated allocation, while reducing positions in higher-rated names. At the sector level, the Trust reduced its exposure to consumer cyclical loans, and in particular gaming and retailer credits. By contrast, the Trust increased its technology allocation over the six-month period. Finally, with the bank loan market increasingly trading above par value, the Trust added to its high yield bond position based on relative valuation.

Describe portfolio positioning at period end.

At period end, the Trust held the majority of its portfolio in floating rate bank loans, with a meaningful position in high yield corporate bonds. The Trust maintained its highest concentration in B-rated loans of select issuers, while limiting exposure to both higher quality loans with less compelling risk/reward profiles and lower-rated loans with more equity-like profiles and greater downside risk, should credit sentiment weaken.

From a sector perspective, the largest overweight positions were within technology, independent energy and health care. By contrast, the Trust was underweight in retail and leisure, where fundamentals have continued to deteriorate. Within energy, holdings were focused on higher-quality issuers within the independent energy segment. More broadly, the Trust remained focused on industries and companies with stable business profiles and consistent cash flows, avoiding areas of the market with secular concerns and/or deteriorating fundamental trends. Top issuer positions included HD Supply (building materials), Level 3 (wirelines), and Centurylink (wirelines).


8		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of April 30, 2018 (continued)		BlackRock Floating Rate Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	04/30/18			10/31/17
Floating Rate Loan Interests		91	%		93	%
Corporate Bonds		6			5
Asset-Backed Securities		2			1
Investment Companies		1			—	^(a)
Other		—	^(b)		1	^(b)

^(a)

Represents less than 1% of total investments.

^(b)

Includes a less than 1% holding in each of the following investment types: Common Stocks, Other Interests, Rights, Warrants, Short-Term Securities and Options Purchased.

CREDIT QUALITY ALLOCATION^(c)(d)


	04/30/18			10/31/17
AA/Aa		1	%		—	%
A		—			1
BBB/Baa		9			8
BB/Ba		43			42
B		40			42
CCC/Caa		3			3
N/R		4			4

^(c)

For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P’s or Moody’s if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated N/R are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

^(d)

Excludes Short-Term Securities and Options Purchased.


TRUST SUMMARY			9


Trust Summary as of April 30, 2018		BlackRock Multi-Sector Income Trust

Investment Objective

BlackRock Multi-Sector Income Trust’s (BIT) (the “Trust”) primary investment objective is to seek high current income, with a secondary objective of capital appreciation. The Trust seeks to achieve its investment objectives by investing, under normal market conditions, at least 80% of its assets in loan and debt instruments and other investments with similar economic characteristics. The Trust may invest directly in such securities or synthetically through the use of derivatives. Additionally, as part of the Trust’s investments in loans, the Trust may make loans directly to borrowers either as a sole lender or by acting as a member of a syndicate of original lenders.

No assurance can be given that the Trust’s investment objectives will be achieved.

Trust Information


Symbol on NYSE		BIT
Initial Offering Date		February 27, 2013
Current Distribution Rate on Closing Market Price as of April 30, 2018 ($16.95)^(a)		8.26%
Current Monthly Distribution per Common Share^(b)		$0.1167
Current Annualized Distribution per Common Share^(b)		$1.4004
Economic Leverage as of April 30, 2018^(c)		41%

^(a)

^(b)

The distribution rate is not constant and is subject to change. A portion of the distribution may be deemed a return of capital or net realized gain.

^(c)

Market Price and Net Asset Value Per Share Summary


	04/30/18		10/31/17		Change			High		Low
Market Price	$	16.95	$	18.55		(8.63)	%	$	18.59	$	16.57
Net Asset Value		18.96		20.07		(5.53)			20.09		18.88

Market Price and Net Asset Value History For the Past Five Years

LOGO


10		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of April 30, 2018 (continued)		BlackRock Multi-Sector Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended April 30, 2018 were as follows:


				Average Annual Total Returns
	6 Months			1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		(1.01	)%		7.59	%		8.72	%		8.85	%
Trust at Market Price^(a)(b)		(4.26	)		2.61			8.78			6.86
Lipper General Bond Funds at NAV^(c)		1.85			5.74			6.28			5.63
Lipper General Bond Funds at Market Price^(c)		0.87			5.51			7.97			5.34

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. Performance results reflect the Trust’s use of leverage.

^(b)

The Trust’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend date as calculated by Lipper. Historical performance shown is calculated based on the composition of the Lipper General Bond Fund category at the time of preparation of this report to shareholders.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

Past performance is not indicative of future results.

More information about the Trust’s historical performance can be found in the “Closed End Funds” section of http://www.blackrock.com.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influenced performance?

The Trust’s position within senior loans represented the largest detractor from returns. Allocations to capital securities, sovereign plus securities, investment grade corporate issues and emerging market bonds also detracted from returns.

The Trust’s positions in non-agency mortgage-backed securities (“MBS”) and commercial mortgage-backed securities (“CMBS”) were the largest contributors to returns during the six-month period. Allocations to high yield corporate issues and asset-backed securities (“ABS”) also supported performance.

During the period, the Trust held derivatives as part of its investment strategy. Interest rate swaps were utilized to manage duration (sensitivity to interest rates) and to express the investment adviser’s views on swap spreads. The use of interest rate swaps had a positive impact on performance during the period.

Describe recent portfolio activity.

In light of the fact that credit spreads for most sectors were trading at their narrowest levels since the 2008 financial crisis, and given the investment adviser’s belief that we are entering the late stages of the credit cycle, the Trust’s allocation was rotated toward more liquid fixed-income sectors. In particular, the Trust’s allocations to emerging market debt and foreign sovereign issuers were reduced in order to fund a position in pass-through agency MBS. Agency MBS have lagged the rally seen in other spread sectors, making them relatively attractively valued in the investment adviser’s opinion. In addition, following a bout of market volatility in February, the investment adviser believed that volatility would subside going forward, which would benefit agency MBS performance. With respect to interest rate exposure, the Trust’s duration was reduced on the view that a combination of heavy Treasury issuance and monetary policy tightening by the Fed would push rates higher.

Describe portfolio positioning at period end.

At period end, the Trust maintained diversified exposure across non-government spread sectors. The largest sector allocations were in high yield corporate issues, non-agency MBS, investment grade corporates and ABS. The Trust also held allocations in foreign sovereign issues, emerging market debt and agency MBS.


TRUST SUMMARY			11


Trust Summary as of April 30, 2018 (continued)		BlackRock Multi-Sector Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	04/30/18			10/31/17
Corporate Bonds		41	%		42	%
Asset-Backed Securities		17			17
Non-Agency Mortgage-Backed Securities		12			13
Preferred Securities		10			11
Foreign Agency Obligations		9			6
Floating Rate Loan Interests		5			9
U.S. Government Sponsored Agency Securities		5			2
Short-Term Securities		1			—	^(a)
Other		—	^(b)		—	^(b)

^(a)

Represents less than 1% of total investments.

^(b)

Includes a less than 1% holding in each of the following investment types: Common Stocks, Options Purchased, Options Written, and Short-Term Securities.

CREDIT QUALITY ALLOCATION^(c)(d)


	04/30/18			10/31/17
AAA/Aaa^(e)		—			—	^(a)
AA/Aa		6	%		1	%
A		6			5
BBB/Baa		18			16
BB/Ba		21			29
B		17			18
CCC/Caa		15			16
CC/Ca		4			—	^(a)
C		1			4
N/R		12			11

^(c)

^(d)

Excludes Short-Term Securities, Options Purchased and Options Written.

^(e)


12		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

The Benefits and Risks of Leveraging

The Trusts may utilize leverage to seek to enhance the distribution rate on, and net asset value (“NAV”) of, their common shares (“Common Shares”). However, there is no guarantee that these objectives can be achieved in all interest rate environments.

In general, the concept of leveraging is based on the premise that the financing cost of leverage, which is based on short-term interest rates, is normally lower than the income earned by a Trust on its longer-term portfolio investments purchased with the proceeds from leverage. To the extent that the total assets of the Trusts (including the assets obtained from leverage) are invested in higher-yielding portfolio investments, the Trusts’ shareholders benefit from the incremental net income. The interest earned on securities purchased with the proceeds from leverage is paid to shareholders in the form of dividends, and the value of these portfolio holdings is reflected in the per share NAV.

To illustrate these concepts, assume a Trust’s capitalization is $100 million and it utilizes leverage for an additional $30 million, creating a total value of $130 million available for investment in longer-term income securities. If prevailing short-term interest rates are 3% and longer-term interest rates are 6%, the yield curve has a strongly positive slope. In this case, a Trust’s financing costs on the $30 million of proceeds obtained from leverage are based on the lower short-term interest rates. At the same time, the securities purchased by a Trust with the proceeds from leverage earn income based on longer-term interest rates. In this case, a Trust’s financing cost of leverage is significantly lower than the income earned on a Trust’s longer-term investments acquired from such leverage proceeds, and therefore the holders of Common Shares (“Common Shareholders”) are the beneficiaries of the incremental net income.

However, in order to benefit shareholders, the return on assets purchased with leverage proceeds must exceed the ongoing costs associated with the leverage. If interest and other costs of leverage exceed the Trusts’ return on assets purchased with leverage proceeds, income to shareholders is lower than if the Trusts had not used leverage. Furthermore, the value of the Trusts’ portfolio investments generally varies inversely with the direction of long-term interest rates, although other factors can influence the value of portfolio investments. In contrast, the value of the Trusts’ obligations under their respective leverage arrangements generally does not fluctuate in relation to interest rates. As a result, changes in interest rates can influence the Trusts’ NAVs positively or negatively. Changes in the future direction of interest rates are very difficult to predict accurately, and there is no assurance that the Trusts’ intended leveraging strategy will be successful.

The use of leverage also generally causes greater changes in each Trust’s NAV, market price and dividend rates than comparable portfolios without leverage. In a declining market, leverage is likely to cause a greater decline in the NAV and market price of a Trust’s shares than if the Trust were not leveraged. In addition, each Trust may be required to sell portfolio securities at inopportune times or at distressed values in order to comply with regulatory requirements applicable to the use of leverage or as required by the terms of leverage instruments, which may cause the Trusts to incur losses. The use of leverage may limit a Trust’s ability to invest in certain types of securities or use certain types of hedging strategies. Each Trust incurs expenses in connection with the use of leverage, all of which are borne by shareholders and may reduce income to the shareholders. Moreover, to the extent the calculation of the Trusts’ investment advisory fees includes assets purchased with the proceeds of leverage, the investment advisory fees payable to the Trusts’ investment adviser will be higher than if the Trusts did not use leverage.

Each Trust may utilize leverage through a credit facility or reverse repurchase agreements as described in the Notes to Financial Statements.

Under the Investment Company Act of 1940, as amended (the “1940 Act”), each Trust is permitted to issue debt up to 33¹⁄₃% of its total managed assets. BIT is permitted to use economic leverage (which includes leverage attributable to reverse repurchase agreements) of up to 50% of its total managed assets. A Trust may voluntarily elect to limit its leverage to less than the maximum amount permitted under the 1940 Act. In addition, a Trust may also be subject to certain asset coverage, leverage or portfolio composition requirements imposed by its credit facility, which may be more stringent than those imposed by the 1940 Act.

If a Trust segregates or designates on its books and records cash or liquid assets having a value not less than the value of a Trust’s obligations under the reverse repurchase agreement (including accrued interest), then such transaction is not considered a senior security and is not subject to the foregoing limitations and requirements imposed by the 1940 Act.

Derivative Financial Instruments

The Trusts may invest in various derivative financial instruments. These instruments are used to obtain exposure to a security, commodity, index, market and/or other assets without owning or taking physical custody of securities, commodities and/or other referenced assets or to manage market, equity, credit, interest rate, foreign currency exchange rate, commodity and/or other risks. Derivative financial instruments may give rise to a form of economic leverage and involve risks, including the imperfect correlation between the value of a derivative financial instrument and the underlying asset, possible default of the counterparty to the transaction or illiquidity of the instrument. BIT may use economic leverage up to 100% of its net assets (50% of its total managed assets). The Trusts’ successful use of a derivative financial instrument depends on the investment adviser’s ability to predict pertinent market movements accurately, which cannot be assured. The use of these instruments may result in losses greater than if they had not been used, may limit the amount of appreciation a Trust can realize on an investment and/or may result in lower distributions paid to shareholders. The Trusts’ investments in these instruments, if any, are discussed in detail in the Notes to Financial Statements.


THE BENEFITS AND RISKS OF LEVERAGING / DERIVATIVE FINANCIAL INSTRUMENTS			13

Schedule of Investments (unaudited)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Asset-Backed Securities — 8.0%
Allegro CLO VI Ltd., Series 2017-2A^(a)(b):
Class B, 3.23%, 01/17/31		USD	360	$	361,285
Class C, 3.53%, 01/17/31			2,400		2,382,624
Class D, 4.48%, 01/17/31			1,300		1,301,055
ALM XVII Ltd., Series 2015-17A, Class B1, (3 mo. LIBOR US + 3.40%), 5.75%, 01/15/28^(a)(c)			1,400		1,403,548
AMMC CLO 22, Ltd., Series 2018-22A, Class D, 5.04%, 04/25/31^(a)(b)			1,000		990,579
AMMC CLO XII Ltd., Series 2013-12A, Class CR, 3.71%, 11/10/30^(a)(b)			1,500		1,501,975
Anchorage Capital CLO Ltd.^(a)(b):
Series 2013-1A, Class BR, 4.49%, 10/13/30			1,000		1,001,027
Series 2014-3RA, Class C, 4.21%, 01/28/31			1,000		993,060
Series 2014-3RA, Class D, 4.96%, 01/28/31			1,000		996,385
Series 2015-7A, Class CR, 4.05%, 10/15/27			1,750		1,752,257
Series 2015-7A, Class DR, 5.05%, 10/15/27			1,000		993,610
Apidos CLO XV, Series 2013-15A^(a)(b):
Class CRR, 4.21%, 04/20/31			1,000		1,000,000
Class DRR, 5.06%, 04/20/31			1,000		1,000,000
Apidos CLO XVIII, Series 2014-18A, Class CR, (3 mo. LIBOR US + 3.25%), 5.61%, 07/22/26^(a)(c)			1,300		1,302,889
Ares CLO Ltd.^(a)(b):
3.85%, 10/15/30			1,000		998,398
4.15%, 10/15/30			1,750		1,747,275
ARES XLVII CLO, Ltd., Series 2018-47A, Class D, 5.05%, 04/15/30^(a)(b)(d)			1,500		1,497,750
Atlas Senior Loan Fund X Ltd., Series 2018-10A^(a)(b):
Class B, 3.85%, 01/15/31			500		501,350
Class C, 4.20%, 01/15/31			1,000		995,960
Class D, 5.10%, 01/15/31			1,700		1,680,018
Atrium X, Series 10A, Class DR, (3 mo. LIBOR US + 3.00%), 5.35%, 07/16/25^(a)(c)			1,500		1,501,148
Benefit Street Partners CLO XII Ltd., Series 2017-12A^(a)(b):
Class B, 4.35%, 10/15/30			1,000		995,439
Class C, 5.40%, 10/15/30			2,000		1,995,324
BlueMountain CLO Ltd., Series 2012-2A, Class AR, (3 mo. LIBOR US + 1.42%), 3.30%, 11/20/28^(a)(c)			2,000		2,004,817
Bowman Park CLO Ltd., Series 2014-1A, Class D2R, (3 mo. LIBOR US + 3.35%), 5.27%, 11/23/25^(a)(c)			1,000		1,000,874
Carlyle Global Market Strategies CLO Ltd.:
Series 2013-4A, Class DRR, 5.00%, 01/15/31^(a)(b)			1,000		993,932
Series 2016-1A, Class C, (3 mo. LIBOR US + 4.90%), 7.26%, 04/20/27^(a)(c)			1,000		1,002,461
Series 2016-3A, Class C, (3 mo. LIBOR US + 4.00%), 6.36%, 10/20/29^(a)(c)			1,000		1,007,523
Carlyle US CLO 2017-2, Ltd., Series 2017-2A, Class C, (3 mo. LIBOR US + 3.70%), 6.06%, 07/20/31^(a)(c)			500		502,984
Cent CLO 17, Ltd., Series C17A^(a)(b)(d)(e):
Class BR, 4.20%, 04/30/31			1,000		999,500
Class CR, 5.15%, 04/30/31			1,000		999,500
CIFC Funding Ltd.^(a)(b):
4.82%, 04/18/31			1,200		1,187,960
Series 2013-2A, Class A3LR, 4.31%, 10/18/30			1,000		1,000,555
Series 2013-2A, Class B1LR, 5.41%, 10/18/30			1,000		1,001,679
Series 2014-2A, Class A3LRSeries 2018-1A, Class C, 3.93%, 04/18/31			1,000		992,536
Elevation CLO Ltd., Series 2017-7A, Class C, 3.50%, 07/15/30^(a)(b)			1,500		1,499,934
Galaxy XX CLO, Ltd., Series 2015-20A, Class D1R, 4.96%, 04/20/31^(a)(b)			1,000		991,836


Security	Par (000)			Value
Asset-Backed Securities (continued)
Galaxy XXVII CLO, Ltd., Series 2018-27A, Class C, 4.20%, 05/16/31^(a)(b)(d)		USD	1,500	$	1,498,500
GoldenTree Loan Opportunities IX Ltd., Series 2014-9A, Class D, 5.86%, 10/29/26^(b)			1,000		1,002,452
Greenwood Park CLO Ltd., Series 2018-1A, Class D, 4.53%, 04/15/31^(a)(b)(d)			1,000		992,500
Highbridge Loan Management Ltd.^(a):
Series 4A-2014, Class A2R, 3.86%, 01/28/30^(b)			650		652,480
Series 4A-2014, Class BR, 4.21%, 01/28/30^(b)			750		747,837
Series 6A-2015, Class BR, 4.11%, 02/05/31^(b)			1,500		1,488,000
Series 6A-2015, Class CR, 4.86%, 02/05/31^(b)			1,000		980,795
Series 7A-2015, Class CR, 4.00%, 03/15/27^(b)			2,000		1,992,430
Series 7A-2015, Class DR, 4.70%, 03/15/27^(b)			1,000		1,000,086
Series 8A-2016, Class D, (3 mo. LIBOR US + 4.85%), 7.21%, 04/20/27^(c)			500		501,224
LCM XVIII LP, Series 18A, Class C1, (3 mo. LIBOR US + 3.15%), 5.51%, 04/20/27^(a)(c)			1,000		1,000,984
Limerock CLO III LLC, Series 2014-3A, Class C, (3 mo. LIBOR US + 3.60%), 5.96%, 10/20/26^(a)(c)			1,000		1,002,745
Long Point Park CLO Ltd., Series 2017-1A, Class B, 3.39%, 01/17/30^(a)(b)			1,000		989,506
Madison Park Funding Ltd., Series 2018-27A, Class B, 3.85%, 04/20/30^(a)(b)(d)			1,000		1,000,800
Madison Park Funding XIII Ltd., Series 2014-13A, Class CR2, 4.26%, 04/19/30^(a)(b)(d)			1,000		1,000,000
Madison Park Funding XIV Ltd., Series 2014-14A, Class DR, (3 mo. LIBOR US + 3.25%), 5.61%, 07/20/26^(a)(c)			2,000		2,003,391
Madison Park Funding XV Ltd., Series 2014-15A, Class B1R, (3 mo. LIBOR US + 2.20%), 4.57%, 01/27/26^(a)(c)			2,000		2,004,600
Madison Park Funding XXVII Ltd., Series 2018-27A, Class C, 4.65%, 04/20/30^(a)(b)(d)			1,000		989,300
Madison Park Funding XXX Ltd., Series 2018-30A, Class D, 4.84%, 04/15/29^(a)(b)(d)			1,000		1,000,000
Marble Point CLO XI Ltd., Series 2017-2A^(a)(b):
Class A, 3.54%, 12/18/30			1,500		1,502,099
Class B, 3.86%, 12/18/30			1,000		1,003,798
Mill Creek II CLO Ltd., Series 2016-1A, Class D, (3 mo. LIBOR US + 4.85%), 7.21%, 04/20/28^(a)(c)			1,000		1,002,432
MP CLO III Ltd., Series 2013-1A, Class CR, 4.36%, 10/20/30^(a)(b)			1,000		1,005,012
Neuberger Berman CLO XV Ltd., Series 2013-15A, Class CR, 4.40%, 10/15/29^(a)(b)			1,000		1,006,207
Neuberger Berman CLO XXI Ltd., Series 2016-21A^(a)(b):
Class CR, 3.96%, 04/20/27			1,000		1,000,000
Class DR, 4.76%, 04/20/27			1,000		1,000,000
Neuberger Berman Loan Advisers CLO 26 Ltd., Series 2017-26A^(a)(b):
Class A, 3.53%, 10/18/30			2,000		2,009,607
Class B, 3.86%, 10/18/30			1,000		999,802
Class C, 4.11%, 10/18/30			1,500		1,499,493
Neuberger Berman Loan Advisers CLO 27 Ltd., Series 2018-27A, Class D, 4.62%, 01/15/30^(a)(b)			1,000		989,994
Oak Hill Credit Partners XII Ltd., Series 2015-12A, Class C2, (3 mo. LIBOR US + 3.25%), 5.61%, 01/23/27^(a)(c)			1,600		1,603,001
OCP CLO Ltd.^(a)(b):
Series 2015-8A, Class CR, 5.15%, 04/17/27			1,000		994,988
Series 2017-14A, Class B, 3.67%, 11/20/30			1,000		993,329
Octagon Investment Partners Ltd.^(a):
Series 2013-1A, Class BR2, 3.38%, 01/25/31^(b)			1,000		998,012
Series 2013-1A, Class CR2, 3.68%, 01/25/31^(b)			1,000		999,391


14		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Asset-Backed Securities (continued)
Series 2016-1A, Class D, (3 mo. LIBOR US + 4.95%), 7.30%, 04/15/27^(c)		USD	500	$	500,998
Series 2017-1A, Class B1, 3.76%, 01/20/30^(b)			1,000		1,002,000
Series 2017-1A, Class C, 5.11%, 01/20/31^(b)			1,000		995,576
Octagon Investment Partners XXII Ltd., Series 2014-1A, Class CRR, 4.26%, 01/22/30^(a)(b)			900		902,683
OHA Credit Partners XIV Ltd., Series 2017-14A, Class C, 4.16%, 01/21/30^(a)(b)			1,250		1,241,430
OZLM Funding IV Ltd., 4.56%, 10/22/30^(a)(b)			1,000		1,003,977
OZLM VI Ltd., Series 2014-6A, Class CS, 5.48%, 04/17/31^(a)(b)			500		497,995
OZLM XIX Ltd., Series 2017-19A, Class C, 5.45%, 11/22/30^(a)(b)			1,000		1,001,559
OZLM XXI, Series 2017-21A, Class B, 3.65%, 01/20/31^(a)(b)			1,800		1,806,015
Palmer Square CLO Ltd., Series 2018-1A, Class A2, 3.63%, 04/18/31^(a)(b)(d)			1,500		1,500,000
Recette CLO Ltd., Series 2015-1A^(a)(b):
Class CR, 4.06%, 10/20/27			1,500		1,502,437
Class DR, 5.11%, 10/20/27			1,000		1,000,814
Regatta IV Funding Ltd., Series 2014-1A, Class CR, (3 mo. LIBOR US + 2.00%), 4.36%, 07/25/26^(a)(c)			1,500		1,503,213
Regatta V Funding Ltd., Series 2014-1A^(a)(c):
Class BR, (3 mo. LIBOR US + 2.30%), 4.66%, 10/25/26			1,000		1,002,254
Class C, (3 mo. LIBOR US + 3.45%), 5.81%, 10/25/26			1,000		1,002,249
Rockford Tower CLO Ltd., Series 2017-3A^(a)(b):
Class A, 2.86%, 10/20/30			2,000		2,000,096
Class D, 4.32%, 10/20/30			1,000		999,191
Stewart Park CLO Ltd., Series 2015-1A^(a)(b):
Class CR, 4.15%, 01/15/30			1,500		1,493,427
Class DR, 4.95%, 01/15/30			1,500		1,487,544
Symphony CLO XV Ltd., Series 2014-15A^(a)(c):
Class CR, (3 mo. LIBOR US + 2.20%), 4.55%, 10/17/26			2,500		2,498,453
Class DR, (3 mo. LIBOR US + 3.35%), 5.70%, 10/17/26			1,000		1,001,356
Tiaa Clo III Ltd., Series 2017-2A, Class A, 3.50%, 01/16/31^(a)(b)			2,500		2,510,328
Voya CLO 2018-1, Ltd., Series 2018-1A, Class C, 4.94%, 04/19/31^(a)(b)(d)			1,000		1,000,000
Webster Park CLO Ltd., Series 2015-1A, Class B1, (3 mo. LIBOR US + 3.10%), 5.46%, 01/20/27^(a)(c)			4,000		4,006,363
York CLO-2 Ltd., Series 2015-1A^(a)(b):
Class CR, 4.21%, 01/22/31			1,500		1,495,335
Class DR, 4.96%, 01/22/31			1,800		1,802,190

Total Asset-Backed Securities — 8.0% (Cost — $121,101,139)					121,291,325


Corporate Bonds — 99.9%

Aerospace & Defense — 1.6%
Arconic, Inc.:
5.13%, 10/01/24			3,551		3,600,945
5.90%, 02/01/27			2,000		2,066,250
6.75%, 01/15/28			178		193,352
BBA US Holdings, Inc., 5.38%, 05/01/26^(a)			672		675,750
Bombardier, Inc.^(a):
7.75%, 03/15/20			354		377,895
8.75%, 12/01/21			2,320		2,581,766
6.00%, 10/15/22			14		13,930
6.13%, 01/15/23			759		763,744


Security	Par (000)			Value
Aerospace & Defense (continued)
7.50%, 12/01/24		USD	1,355	$	1,426,137
7.50%, 03/15/25			2,803		2,915,120
KLX, Inc., 5.88%, 12/01/22^(a)			2,165		2,259,719
Mexico City Airport Trust, 4.25%, 10/31/26^(a)			1,350		1,265,029
TransDigm, Inc.:
6.00%, 07/15/22			4,360		4,414,500
6.50%, 07/15/24			1,560		1,586,325

					24,140,462
Air Freight & Logistics — 0.1%
XPO Logistics, Inc., 6.50%, 06/15/22^(a)			1,565		1,615,863

Airlines — 0.6%
American Airlines Group, Inc., 4.63%, 03/01/20^(a)			692		697,190
Delta Air Lines Pass-Through Trust, Series 2002-1, Class G-1, 6.72%, 07/02/24			2,728		2,938,257
Turkish Airlines Pass-Through Trust, Series 2015-1 Class A, 4.20%, 09/15/28^(a)			2,482		2,339,828
United Airlines Pass-Through Trust, Series 2014-1, Class B, 4.75%, 10/11/23			3,044		3,074,212
Virgin Australia Trust, Series 2013-1, Class B, 6.00%, 04/23/22^(a)			493		500,037

					9,549,524
Auto Components — 0.3%
Allison Transmission, Inc., 5.00%, 10/01/24^(a)			68		66,790
Goodyear Tire & Rubber Co., 5.00%, 05/31/26			535		509,588
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
6.00%, 08/01/20			3,108		3,174,045
6.38%, 12/15/25			388		388,970
Tesla, Inc., 5.30%, 08/15/25^(a)			1,116		987,660

					5,127,053
Automobiles — 0.5%
Ford Motor Co., 7.45%, 07/16/31			3,660		4,332,795
General Motors Co.:
4.88%, 10/02/23			1,875		1,931,954
6.25%, 10/02/43			940		1,003,963

					7,268,712
Banks — 4.3%
Barclays PLC, 4.84%, 05/09/28^(f)			7,975		7,749,591
CIT Group, Inc.:
5.00%, 08/01/23			370		376,475
5.25%, 03/07/25			925		944,656
City National Corp., 5.25%, 09/15/20			2,900		3,025,693
Cooperatieve Rabobank UA, 3.95%, 11/09/22^(f)			3,775		3,767,227
Credit Suisse Group AG, 6.50%, 08/08/23^(a)			6,000		6,495,000
Discover Bank/Greenwood, 8.70%, 11/18/19			748		803,334
Fifth Third Bancorp(3 mo. LIBOR US + 3.03%), 5.10%^(g)(h)			5,000		4,918,750
HSBC Finance Corp., 6.68%, 01/15/21^(f)			5,150		5,537,842
Intesa Sanpaolo SpA, 5.71%, 01/15/26^(a)			5,840		5,860,426
Royal Bank of Scotland Group PLC, 6.00%, 12/19/23^(f)			10,080		10,705,981
Santander Holdings USA, Inc., 4.40%, 07/13/27			830		813,142
SunTrust Banks, Inc.(3 mo. LIBOR US + 3.10%), 5.05%^(g)(h)			5,270		5,197,801
Wells Fargo & Co.^(f):
4.13%, 08/15/23			4,000		4,010,938
5.61%, 01/15/44			4,119		4,560,068

					64,766,924
Beverages — 0.8%
Anheuser-Busch InBev Finance, Inc., 4.90%, 02/01/46			6,170		6,401,099


SCHEDULES OF INVESTMENTS			15

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Beverages (continued)
Anheuser-Busch InBev Worldwide, Inc., 4.75%, 04/15/58		USD	4,000	$	3,973,780
Molson Coors Brewing Co., 4.20%, 07/15/46			1,665		1,513,854

					11,888,733
Biotechnology — 0.4%
Amgen, Inc., 4.66%, 06/15/51^(f)			6,709		6,703,000

Building Products — 0.4%
American Builders & Contractors Supply Co., Inc., 5.75%, 12/15/23^(a)			424		437,123
Beacon Escrow Corp., 4.88%, 11/01/25^(a)			1,481		1,399,545
Building Materials Corp. of America, 6.00%, 10/15/25^(a)			1,832		1,900,700
Masonite International Corp., 5.63%, 03/15/23^(a)			610		628,300
Standard Industries, Inc.^(a):
5.50%, 02/15/23			663		684,548
5.38%, 11/15/24			82		83,076
USG Corp., 4.88%, 06/01/27^(a)			445		445,000

					5,578,292
Capital Markets — 2.5%
Goldman Sachs Group, Inc.:
7.50%, 02/15/19^(f)			5,165		5,359,210
5.25%, 07/27/21			1,175		1,242,945
5.75%, 01/24/22^(f)			5,500		5,918,873
6.25%, 02/01/41^(f)			15,000		18,100,045
Morgan Stanley, 5.63%, 09/23/19^(f)			6,770		7,008,927
NFP Corp., 6.88%, 07/15/25^(a)			222		217,560

					37,847,560
Chemicals — 1.4%
Axalta Coating Systems LLC, 4.88%, 08/15/24^(a)			715		720,363
Basell Finance Co. BV, 8.10%, 03/15/27^(a)(f)			6,000		7,554,841
Chemours Co., 5.38%, 05/15/27			207		204,930
Huntsman International LLC:
4.88%, 11/15/20			72		73,350
5.13%, 11/15/22			2,495		2,588,063
NOVA Chemicals Corp., 4.88%, 06/01/24^(a)			956		924,930
Olin Corp.:
5.13%, 09/15/27			270		264,600
5.00%, 02/01/30			297		282,893
Platform Specialty Products Corp.^(a):
6.50%, 02/01/22			3,006		3,081,150
5.88%, 12/01/25			2,241		2,184,975
PQ Corp., 6.75%, 11/15/22^(a)			935		988,762
WR Grace & Co-Conn, 5.63%, 10/01/24^(a)			1,660		1,713,950

					20,582,807
Commercial Services & Supplies — 3.0%
ADT Corp.:
4.13%, 06/15/23			960		898,205
4.88%, 07/15/32^(a)			1,020		844,050
Aviation Capital Group Corp.^(a):
7.13%, 10/15/20			31,000		33,638,052
6.75%, 04/06/21			7,850		8,548,083
CD&R Waterworks Merger Sub LLC, 6.13%, 08/15/25^(a)			1,061		1,039,780
KAR Auction Services, Inc., 5.13%, 06/01/25^(a)			595		577,150

					45,545,320
Communications Equipment — 0.2%
CommScope Technologies Finance LLC, 6.00%, 06/15/25^(a)			467		479,843
CommScope Technologies LLC, 5.00%, 03/15/27^(a)			659		630,992
CommScope, Inc., 5.50%, 06/15/24^(a)			254		258,445


Security	Par (000)			Value
Communications Equipment (continued)
Zayo Group LLC/Zayo Capital, Inc.:
6.38%, 05/15/25		USD	750	$	776,400
5.75%, 01/15/27^(a)			1,360		1,350,317

					3,495,997
Construction & Engineering — 0.3%
BlueLine Rental Finance Corp., 9.25%, 03/15/24^(a)			2,578		2,741,574
Brand Energy & Infrastructure Services, Inc., 8.50%, 07/15/25^(a)			1,406		1,451,695
Engility Corp., 8.88%, 09/01/24			727		756,080

					4,949,349
Construction Materials — 0.4%
HD Supply, Inc., 5.75%, 04/15/24^(a)			4,965		5,213,250
PulteGroup, Inc., 5.50%, 03/01/26			926		941,001

					6,154,251
Consumer Discretionary — 0.1%
Nielsen Co. Luxembourg SARL, 5.00%, 02/01/25^(a)			72		70,920
Viking Cruises Ltd., 5.88%, 09/15/27^(a)			1,899		1,832,535

					1,903,455
Consumer Finance — 1.0%
Ally Financial, Inc.:
5.13%, 09/30/24			590		603,275
8.00%, 11/01/31^(f)			3,832		4,656,646
Capital One Bank USA NA, 3.38%, 02/15/23^(f)			2,000		1,940,969
Discover Financial Services, 3.85%, 11/21/22			3,252		3,220,013
IHS Markit Ltd.^(a):
4.75%, 02/15/25			452		454,305
4.00%, 03/01/26			318		304,590
Navient Corp.:
6.63%, 07/26/21			461		478,933
6.50%, 06/15/22			434		445,935
7.25%, 09/25/23			996		1,040,820
Total System Services, Inc., 3.80%, 04/01/21			1,630		1,637,595

					14,783,081
Containers & Packaging — 0.7%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc.^(a):
4.63%, 05/15/23			760		761,900
7.25%, 05/15/24			200		211,000
6.00%, 02/15/25			2,291		2,316,774
Ball Corp., 4.38%, 12/15/20			681		692,066
Berry Global, Inc., 4.50%, 02/15/26^(a)			126		120,330
BWAY Holding Co., 7.25%, 04/15/25^(a)			675		692,854
Crown Americas LLC/Crown Americas Capital Corp., 4.75%, 02/01/26^(a)			269		259,585
Crown Americas LLC/Crown Americas Capital Corp. V, 4.25%, 09/30/26			282		261,202
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Lu:
5.75%, 10/15/20			2,778		2,798,294
6.88%, 02/15/21			36		36,887
5.13%, 07/15/23^(a)			900		905,625
7.00%, 07/15/24^(a)			921		958,991
Sealed Air Corp., 6.88%, 07/15/33^(a)			182		202,930

					10,218,438
Diversified Consumer Services — 0.7%
Prime Security Services Borrower LLC/Prime Finance, Inc., 9.25%, 05/15/23^(a)			6,034		6,471,465
Service Corp. International, 4.50%, 11/15/20			4,382		4,392,955

					10,864,420


16		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Diversified Financial Services — 7.0%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust:
4.63%, 10/30/20		USD	961	$	985,728
3.50%, 05/26/22			5,000		4,910,996
4.63%, 07/01/22			518		530,287
Air Lease Corp., 3.75%, 02/01/22			5,000		5,006,649
Aircastle Ltd., 6.25%, 12/01/19			3,937		4,089,559
Banco Santander SA, 3.13%, 02/23/23			2,200		2,113,035
Bank of America Corp.:
5.00%, 05/13/21^(f)			17,100		17,992,142
4.45%, 03/03/26			1,765		1,774,070
BNP Paribas SA, 4.38%, 03/01/33^(a)(b)			4,000		3,855,600
Citigroup, Inc., 6.68%, 09/13/43^(f)			4,125		5,161,926
Ford Motor Credit Co. LLC, 5.88%, 08/02/21^(f)			9,420		10,023,654
General Motors Financial Co., Inc.:
6.75%, 06/01/18			1,700		1,705,875
4.38%, 09/25/21			2,260		2,310,617
4.25%, 05/15/23			1,681		1,691,197
4.35%, 01/17/27			4,710		4,581,507
ING Bank NV, 5.00%, 06/09/21^(a)(f)			8,000		8,367,563
Intesa Sanpaolo SpA, 5.02%, 06/26/24^(a)			4,000		3,915,299
Jefferies Finance LLC/JFIN Co-Issuer Corp., 7.38%, 04/01/20^(a)			1,705		1,719,919
Leucadia National Corp., 5.50%, 10/18/23			4,000		4,162,321
Lloyds Banking Group PLC, 4.34%, 01/09/48			3,925		3,567,509
Macquarie Group, Ltd., 4.15%, 03/27/24^(a)(b)			4,000		3,982,633
Resparcs Funding LP I, 8.00%^(h)			4,000		1,482,000
Royal Bank of Scotland Group PLC:
6.10%, 06/10/23			2,500		2,657,470
5.13%, 05/28/24^(f)			5,250		5,331,773
UniCredit SpA(5 year USD ICE Swap + 3.70%), 5.86%, 06/19/32^(a)(g)			4,000		4,000,200
Vantiv LLC/Vanity Issuer Corp., 4.38%, 11/15/25^(a)			464		443,120

					106,362,649
Diversified Telecommunication Services — 6.3%
AT&T, Inc.:
5.00%, 03/01/21^(f)			8,575		8,963,849
6.30%, 01/15/38^(f)			12,000		13,773,888
5.15%, 03/15/42			250		248,521
4.35%, 06/15/45			367		323,010
5.15%, 02/14/50			3,000		3,039,530
CenturyLink, Inc.:
5.63%, 04/01/25			2,110		1,941,200
Series S, 6.45%, 06/15/21			1,176		1,201,725
Series Y, 7.50%, 04/01/24			524		534,480
Frontier Communications Corp.:
10.50%, 09/15/22			430		378,271
7.13%, 01/15/23			242		173,030
6.88%, 01/15/25			1,527		935,288
11.00%, 09/15/25			2,599		1,994,732
Level 3 Financing, Inc.:
5.38%, 08/15/22			2,095		2,105,475
5.13%, 05/01/23			1,183		1,171,170
5.38%, 01/15/24			754		746,460
5.38%, 05/01/25			2,003		1,972,354
5.25%, 03/15/26			320		309,504
Telecom Italia Capital SA, 6.00%, 09/30/34			960		993,600
Telecom Italia SpA, 5.30%, 05/30/24^(a)			720		733,320
Telefonica Emisiones SAU, 5.21%, 03/08/47			6,000		6,253,287
Verizon Communications, Inc.^(f):
5.15%, 09/15/23			8,775		9,435,792
6.40%, 09/15/33			9,475		11,069,097
6.55%, 09/15/43			13,225		15,877,188


Security	Par (000)			Value
Diversified Telecommunication Services (continued)
5.01%, 04/15/49		USD	10,578	$	10,536,587

					94,711,358
Electric Utilities — 5.1%
AES Corp.:
4.50%, 03/15/23			400		402,000
5.50%, 04/15/25			304		310,840
4.88%, 05/15/23			32		32,200
6.00%, 05/15/26			843		880,935
5.13%, 09/01/27			1,095		1,111,425
CMS Energy Corp., 5.05%, 03/15/22^(f)			9,900		10,408,772
DPL, Inc., 7.25%, 10/15/21			94		102,234
Duke Energy Corp., 3.55%, 09/15/21			3,650		3,673,256
Emera, Inc., Series 16-A, (3 mo. LIBOR US + 5.44%), 6.75%, 06/15/76^(g)			7,500		8,115,000
Great Plains Energy, Inc., 5.29%, 06/15/22⁽ⁱ⁾			5,550		5,830,202
Midland Cogeneration Venture LP, 5.25%, 03/15/25^(a)			3,566		3,493,473
NextEra Energy Capital Holdings, Inc., 4.80%, 12/01/77^(b)			5,000		4,762,750
NextEra Energy Operating Partners LP, 4.25%, 09/15/24^(a)			568		548,120
NiSource Finance Corp., 6.80%, 01/15/19			472		484,940
Oncor Electric Delivery Co. LLC^(f):
4.10%, 06/01/22			4,150		4,254,259
5.30%, 06/01/42			2,750		3,270,155
Progress Energy, Inc., 7.00%, 10/30/31^(f)			12,000		15,269,269
Puget Energy, Inc.:
6.00%, 09/01/21			275		295,098
5.63%, 07/15/22			5,550		5,921,109
Southern Co., 4.40%, 07/01/46^(f)			7,500		7,395,233

					76,561,270
Electronic Equipment, Instruments & Components — 0.3%
CDW LLC/CDW Finance Corp.:
5.00%, 09/01/23			306		312,150
5.50%, 12/01/24			2,517		2,606,706
Sanmina Corp., 4.38%, 06/01/19^(a)			1,415		1,429,150

					4,348,006
Energy Equipment & Services — 0.7%
Ensco PLC, 7.75%, 02/01/26			668		629,590
Halliburton Co., 5.00%, 11/15/45^(f)			6,615		7,022,714
Precision Drilling Corp., 7.13%, 01/15/26^(a)			135		136,350
Transocean, Inc., 9.00%, 07/15/23^(a)			670		722,796
USA Compression Partners LP/USA Compression Finance Corp., 6.88%, 04/01/26^(a)			855		872,100
Weatherford International Ltd.:
7.75%, 06/15/21			347		341,795
8.25%, 06/15/23			150		141,000
9.88%, 02/15/24			280		269,500
6.50%, 08/01/36			521		395,960

					10,531,805
Environmental, Maintenance, & Security Service — 0.0%
Waste Pro USA, Inc., 5.50%, 02/15/26^(a)			622		615,593

Food & Staples Retailing — 1.2%
Albertsons Cos. LLC/Safeway, Inc./New Albertson’s, Inc./Albertson’s LLC:
6.63%, 06/15/24			775		721,719
5.75%, 03/15/25			1,120		975,800
Dollar Tree, Inc., 5.75%, 03/01/23^(f)			3,938		4,108,121
General Mills, Inc., 4.20%, 04/17/28			620		611,064
H.J. Heinz Finance Co., 7.13%, 08/01/39^(a)			4,415		5,547,816
Wal-Mart Stores, Inc., 5.25%, 09/01/35^(f)			5,150		6,082,449

					18,046,969


SCHEDULES OF INVESTMENTS			17

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Food Products — 0.5%
Aramark Services, Inc.:
5.13%, 01/15/24		USD	1,470	$	1,495,725
5.00%, 02/01/28^(a)			228		222,015
JBS USA LLC/JBS USA Finance, Inc., 5.75%, 06/15/25^(a)			1,590		1,494,123
JBS USA LUX SA/JBS USA Finance, Inc., 6.75%, 02/15/28^(a)			737		707,520
Kraft Heinz Foods Co., 4.38%, 06/01/46			2,475		2,226,813
Pilgrim’s Pride Corp.^(a):
5.75%, 03/15/25			759		741,922
5.88%, 09/30/27			409		390,595
Post Holdings, Inc., 5.63%, 01/15/28^(a)			428		408,740

					7,687,453
Health Care Equipment & Supplies — 1.1%
Avantor, Inc.^(a):
6.00%, 10/01/24^(f)			6,794		6,827,970
9.00%, 10/01/25			960		972,000
DJO Finco, Inc./DJO Finance LLC/DJO Finance Corp., 8.13%, 06/15/21^(a)			2,065		2,067,581
Mallinckrodt International Finance SA/Mallinckrodt CB LLC^(a):
4.88%, 04/15/20			517		493,735
5.75%, 08/01/22			2,165		1,802,363
5.63%, 10/15/23			216		169,020
5.50%, 04/15/25			125		93,984
Medtronic, Inc., 4.63%, 03/15/45^(f)			4,565		4,824,663

					17,251,316
Health Care Providers & Services — 3.8%
Acadia Healthcare Co., Inc., 5.13%, 07/01/22			191		191,000
Amsurg Corp., 5.63%, 07/15/22			1,313		1,316,282
Centene Corp.:
5.63%, 02/15/21			875		897,969
6.13%, 02/15/24			1,370		1,435,075
CHS/Community Health Systems, Inc., 6.25%, 03/31/23			60		54,750
DaVita, Inc., 5.13%, 07/15/24			761		737,219
HCA, Inc.:
3.75%, 03/15/19			4,364		4,374,910
7.50%, 02/15/22			2,214		2,435,400
5.88%, 03/15/22			9,054		9,540,652
4.75%, 05/01/23			471		474,490
5.88%, 05/01/23			69		71,933
5.00%, 03/15/24			2,767		2,798,129
5.25%, 04/15/25			738		747,225
5.88%, 02/15/26			1,297		1,313,212
5.50%, 06/15/47			2,570		2,428,650
HealthSouth Corp., 5.75%, 11/01/24			637		648,148
MEDNAX, Inc., 5.25%, 12/01/23^(a)			144		142,920
MPH Acquisition Holdings LLC, 7.13%, 06/01/24^(a)			829		845,580
NVA Holdings, Inc., 6.88%, 04/01/26^(a)			835		841,263
Polaris Intermediate Corp., (8.50% Cash), 8.50%, 12/01/22^(a)(j)			2,066		2,096,990
RegionalCare Hospital Partners Holdings, Inc., 8.25%, 05/01/23^(a)			147		154,306
Tenet Healthcare Corp.:
6.00%, 10/01/20			4,102		4,233,469
7.50%, 01/01/22^(a)			394		415,178
8.13%, 04/01/22			2,645		2,754,106
6.75%, 06/15/23			1,561		1,534,658
4.63%, 07/15/24^(a)			903		871,485
THC Escrow Corp. III, 5.13%, 05/01/25^(a)			242		235,345
UnitedHealth Group, Inc., 6.88%, 02/15/38^(f)			10,000		13,459,048

					57,049,392


Security	Par (000)			Value
Health Care Technology — 0.0%
Change Healthcare Holdings LLC/Change Healthcare Finance, Inc., 5.75%, 03/01/25^(a)		USD	624	$	609,960

Hotels, Restaurants & Leisure — 1.2%
Churchill Downs, Inc., 4.75%, 01/15/28^(a)			190		179,075
CRC Escrow Issuer LLC/CRC Finco, Inc., 5.25%, 10/15/25^(a)			1,114		1,063,870
ESH Hospitality, Inc., 5.25%, 05/01/25^(a)			1,278		1,249,245
IRB Holding Corp., 6.75%, 02/15/26^(a)			156		150,540
KFC Holding Co./Pizza Hut Holdings LLC/Taco Bell of America LLC^(a):
5.00%, 06/01/24			600		600,000
5.25%, 06/01/26			650		653,250
4.75%, 06/01/27			817		780,235
Melco Resorts Finance Ltd., 4.88%, 06/06/25^(a)			444		415,039
MGM Resorts International:
6.75%, 10/01/20			149		158,312
6.63%, 12/15/21			4,805		5,141,350
New Red Finance, Inc.^(a):
4.25%, 05/15/24			1,577		1,500,121
5.00%, 10/15/25			2,910		2,799,973
Sabre GLBL, Inc.,^(a)
5.38%, 04/15/23			594		599,762
5.25%, 11/15/23			294		296,573
Scientific Games International, Inc., 5.00%, 10/15/25^(a)			914		882,878
Station Casinos LLC, 5.00%, 10/01/25^(a)			1,200		1,149,000
Wyndham Hotels & Resorts, Inc., 5.38%, 04/15/26^(a)			453		456,398
Wyndham Worldwide Corp.:
4.15%, 04/01/24			732		727,020
5.10%, 10/01/25			108		111,754
4.50%, 04/01/27			43		42,556

					18,956,951
Household Durables — 1.0%
Brookfield Residential Properties, Inc./Brookfield Residential US Corp., 6.13%, 07/01/22^(a)			1,647		1,675,823
Lennar Corp.:
2.95%, 11/29/20^(a)			520		506,329
8.38%, 01/15/21^(a)			3,015		3,339,113
4.75%, 11/15/22			1,805		1,806,931
4.88%, 12/15/23			466		467,165
Newell Brands, Inc.:
3.85%, 04/01/23^(f)			5,085		5,044,797
4.20%, 04/01/26			955		937,738
TRI Pointe Group, Inc./TRI Pointe Homes, Inc.:
4.38%, 06/15/19			920		921,150
5.88%, 06/15/24			625		633,594

					15,332,640
Household Products — 0.2%
Spectrum Brands, Inc.:
6.63%, 11/15/22			1,110		1,148,850
6.13%, 12/15/24			231		234,465
5.75%, 07/15/25			1,002		1,001,048

					2,384,363
Independent Power and Renewable Electricity Producers — 0.9%
Calpine Corp.:
6.00%, 01/15/22^(a)			1,858		1,899,805
5.38%, 01/15/23			472		452,530
5.88%, 01/15/24^(a)			823		827,629
5.25%, 06/01/26^(a)			2,719		2,601,743
Dynegy, Inc.:
6.75%, 11/01/19			1,471		1,495,860
8.00%, 01/15/25^(a)			319		345,716


18		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Independent Power and Renewable Electricity Producers (continued)
NRG Energy, Inc.:
6.63%, 01/15/27		USD	2,746	$	2,824,948
5.75%, 01/15/28^(a)			650		643,500
QEP Resources, Inc., 5.38%, 10/01/22			1,927		1,927,000
TerraForm Power Operating LLC^(a):
4.25%, 01/31/23			470		448,850
5.00%, 01/31/28			470		437,100

					13,904,681
Industrial Conglomerates — 0.0%
Vertiv Group Corp., 9.25%, 10/15/24^(a)			623		629,230

Insurance — 3.5%
American International Group, Inc., 6.40%, 12/15/20^(f)			8,710		9,387,126
Aon Corp., 5.00%, 09/30/20^(f)			7,700		8,002,292
Aon PLC, 4.25%, 12/12/42^(f)			6,500		6,029,189
Forethought Financial Group, Inc., 8.63%, 04/15/21^(a)			3,400		3,829,110
HUB International Ltd., 7.00%, 05/01/26^(a)			1,373		1,374,716
Nationwide Building Society, 4.13%, 10/18/32^(a)^(b)			2,520		2,363,023
Northwestern Mutual Life Insurance Co., 6.06%, 03/30/40^(a)^(f)			12,000		15,067,177
Progressive Corp., Series B, 5.38%^(b)^(h)			5,000		5,018,750
Radian Group, Inc., 5.25%, 06/15/20			271		276,420
Wayne Merger Sub LLC, 8.25%, 08/01/23^(a)			1,040		1,078,355

					52,426,158
Internet Software & Services — 0.7%
Alibaba Group Holding Ltd., 4.20%, 12/06/47			1,470		1,383,338
Equinix, Inc., 5.88%, 01/15/26			1,061		1,098,135
Netflix, Inc.:
5.50%, 02/15/22			563		584,113
4.38%, 11/15/26			905		845,894
5.88%, 11/15/28^(a)			1,550		1,546,125
Priceline Group, Inc., 3.55%, 03/15/28			3,375		3,210,982
Rackspace Hosting, Inc., 8.63%, 11/15/24^(a)			1,078		1,092,822
Symantec Corp., 5.00%, 04/15/25^(a)			347		348,590

					10,109,999
IT Services — 1.1%
Ceridian HCM Holding, Inc., 11.00%, 03/15/21^(a)			1,755		1,807,650
Fidelity National Information Services, Inc., 5.00%, 10/15/25			538		568,061
First Data Corp.^(a):
5.38%, 08/15/23			1,509		1,538,878
7.00%, 12/01/23			4,908		5,135,633
5.75%, 01/15/24			5,700		5,771,250
Gartner, Inc., 5.13%, 04/01/25^(a)			399		399,878
WEX, Inc., 4.75%, 02/01/23^(a)			760		764,750

					15,986,100
Life Sciences Tools & Services — 0.8%
Life Technologies Corp., 6.00%, 03/01/20^(f)			12,000		12,575,456

Machinery — 0.1%
RBS Global, Inc./Rexnord LLC, 4.88%, 12/15/25^(a)			558		538,470
Titan Acquisition Ltd./Titan Co-Borrower LLC, 7.75%, 04/15/26^(a)			1,324		1,319,035

					1,857,505
Media — 8.9%
21st Century Fox America, Inc., 6.15%, 03/01/37^(f)			9,575		11,806,872
A&E Television Networks LLC, 3.11%, 08/22/19^(d)			5,000		4,966,500
Altice Financing SA^(a):
6.63%, 02/15/23			400		400,000
7.50%, 05/15/26			1,772		1,745,420
Altice France SA^(a) 6.00%, 05/15/22			4,544		4,478,657
7.38%, 05/01/26			4,546		4,403,937


Security	Par (000)			Value
Media (continued)
Altice Luxembourg SA, 7.75%, 05/15/22^(a)		USD	6,326	$	6,041,330
Altice US Finance I Corp.^(a):
5.38%, 07/15/23			2,919		2,922,649
5.50%, 05/15/26			1,211		1,183,753
AMC Networks, Inc.:
4.75%, 12/15/22			685		688,425
5.00%, 04/01/24			432		422,280
4.75%, 08/01/25			546		518,700
CCO Holdings LLC/CCO Holdings Capital Corp.^(a):
4.00%, 03/01/23			1,216		1,173,440
5.13%, 05/01/27			5,664		5,306,998
5.00%, 02/01/28			1,116		1,030,492
Cequel Communications Holdings I LLC/Cequel Capital Corp., 7.50%, 04/01/28^(a)			1,200		1,216,500
Charter Communications Operating LLC/Charter Communications Operating Capital:
6.38%, 10/23/35			479		522,590
6.48%, 10/23/45			9,584		10,272,907
5.38%, 05/01/47			1,500		1,411,999
6.83%, 10/23/55			3,540		3,949,413
Cinemark USA, Inc., 5.13%, 12/15/22			349		354,671
Clear Channel Worldwide Holdings, Inc.:
6.50%, 11/15/22			2,758		2,813,160
6.50%, 11/15/22^(f)			7,431		7,607,486
Cox Communications, Inc.^(a):
8.38%, 03/01/39^(f)			5,000		6,764,040
4.60%, 08/15/47			625		588,116
CSC Holdings LLC:
8.63%, 02/15/19			4,005		4,167,883
5.25%, 06/01/24			1,054		987,466
6.63%, 10/15/25^(a)			1,072		1,105,500
10.88%, 10/15/25^(a)			620		726,950
Discovery Communications LLC:
3.95%, 03/20/28^(f)			8,515		8,088,137
4.88%, 04/01/43			4,000		3,771,576
DISH DBS Corp.:
5.88%, 11/15/24			338		287,723
7.75%, 07/01/26			1,957		1,779,647
Grupo Televisa SAB, 5.00%, 05/13/45^(f)			3,345		3,013,293
Hughes Satellite Systems Corp., 5.25%, 08/01/26			1,017		994,118
Intelsat Jackson Holdings SA:
5.50%, 08/01/23			44		36,960
9.75%, 07/15/25^(a)			1,526		1,497,387
Interpublic Group of Cos., Inc., 3.75%, 02/15/23^(f)			6,025		5,967,889
MDC Partners, Inc., 6.50%, 05/01/24^(a)			1,036		1,019,165
Meredith Corp., 6.88%, 02/01/26^(a)			396		400,435
NAI Entertainment Holdings/NAI Entertainment Holdings Finance Corp., 5.00%, 08/01/18^(a)			1,471		1,471,294
Sirius XM Radio, Inc., 5.00%, 08/01/27^(a)			597		568,643
TEGNA, Inc., 5.50%, 09/15/24^(a)			351		357,143
Telenet Finance Luxembourg Notes Sarl, 5.50%, 03/01/28^(a)			800		764,000
Time Warner Cable, Inc., 6.55%, 05/01/37			3,519		3,885,573
Time Warner, Inc.:
4.65%, 06/01/44			28		26,818
4.85%, 07/15/45			97		94,951
Tribune Media Co., 5.88%, 07/15/22			1,308		1,324,350
Univision Communications, Inc.^(a):
5.13%, 05/15/23			5,293		5,028,350
5.13%, 02/15/25			375		346,875
UPCB Finance IV Ltd., 5.38%, 01/15/25^(a)			420		410,550
Viacom, Inc., 5.85%, 09/01/43			1,300		1,383,164
Videotron Ltd., 5.13%, 04/15/27^(a)			1,099		1,077,020


SCHEDULES OF INVESTMENTS			19

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Media (continued)
Virgin Media Secured Finance PLC, 5.50%, 08/15/26^(a)		USD	487	$	468,738
Ziggo Secured Finance BV, 5.50%, 01/15/27^(a)			150		141,375

					133,783,308
Metals & Mining — 2.6%
Alcoa Nederland Holding BV, 7.00%, 09/30/26^(a)			291		317,190
AngloGold Ashanti Holdings PLC, 5.13%, 08/01/22			5,000		5,119,667
Commercial Metals Co., 4.88%, 05/15/23			2,194		2,161,266
Constellium NV:
4.63%, 05/15/21		EUR	490		597,582
6.63%, 03/01/25^(a)		USD	356		360,895
5.88%, 02/15/26^(a)			1,451		1,429,235
First Quantum Minerals Ltd.^(a):
7.25%, 05/15/22			912		917,654
6.50%, 03/01/24			311		295,823
FMG Resources August 2006 Property Ltd., 9.75%, 03/01/22^(a)			77		85,296
Freeport-McMoRan, Inc.:
4.00%, 11/14/21			500		497,500
3.55%, 03/01/22			236		227,740
3.88%, 03/15/23			6,250		5,992,187
5.40%, 11/14/34			2,250		2,075,625
5.45%, 03/15/43			1,410		1,283,100
Grinding Media, Inc./Moly-Cop AltaSteel Ltd., 7.38%, 12/15/23^(a)			725		765,781
Novelis Corp.^(a):
6.25%, 08/15/24			2,862		2,915,663
5.88%, 09/30/26			3,411		3,385,417
Southern Copper Corp., 5.88%, 04/23/45			3,870		4,329,152
Steel Dynamics, Inc.:
5.13%, 10/01/21			1,105		1,124,669
5.25%, 04/15/23			309		313,635
5.50%, 10/01/24			240		246,600
4.13%, 09/15/25			1,808		1,725,519
5.00%, 12/15/26			35		34,650
Teck Resources Ltd.:
4.50%, 01/15/21			370		373,700
8.50%, 06/01/24^(a)			1,623		1,811,674
United States Steel Corp., 6.25%, 03/15/26			813		806,903

					39,194,123
Multi-Utilities — 0.0%
NGL Energy Partners LP/NGL Energy Finance Corp., 6.88%, 10/15/21			386		386,483

Oil, Gas & Consumable Fuels — 17.2%
Aker BP ASA, 5.88%, 03/31/25^(a)			570		591,375
Andeavor:
4.75%, 12/15/23			1,230		1,284,794
5.13%, 12/15/26			937		989,142
Andeavor Logistics LP, Series A, 6.88%^(b)(h)			5,000		5,082,500
California Resources Corp., 8.00%, 12/15/22^(a)			1,065		915,900
Calumet Specialty Products Partners LP/Calumet Finance Corp., 6.50%, 04/15/21			252		248,850
Carrizo Oil & Gas, Inc.:
6.25%, 04/15/23			279		285,975
8.25%, 07/15/25			364		390,394
Cheniere Corpus Christi Holdings LLC:
7.00%, 06/30/24			1,916		2,095,644
5.13%, 06/30/27			2,516		2,453,100
Cheniere Energy Partners LP, 5.25%, 10/01/25^(a)			1,157		1,130,967
Chesapeake Energy Corp., 8.00%, 12/15/22^(a)			1,670		1,770,200
CNX Resources Corp., 5.88%, 04/15/22^(f)			8,704		8,747,520
Concho Resources, Inc., 4.88%, 10/01/47			815		828,640


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
CONSOL Energy, Inc., 11.00%, 11/15/25^(a)		USD	328	$	344,400
Continental Resources, Inc.:
5.00%, 09/15/22^(f)			7,519		7,641,184
4.50%, 04/15/23			795		804,938
4.38%, 01/15/28^(a)			115		113,059
4.90%, 06/01/44			201		196,980
Covey Park Energy LLC/Covey Park Finance Corp., 7.50%, 05/15/25^(a)			365		366,825
CrownRock LP/CrownRock Finance, Inc., 5.63%, 10/15/25^(a)			2,880		2,844,000
DCP Midstream LLC, 6.75%, 09/15/37^(a)			1,527		1,654,886
Denbury Resources, Inc., 9.25%, 03/31/22^(a)			1,136		1,185,700
Devon Energy Corp., 5.85%, 12/15/25			4,000		4,453,357
El Paso LLC:
7.80%, 08/01/31			197		243,898
7.75%, 01/15/32			4,586		5,730,073
El Paso Natural Gas Co. LLC, 8.63%, 01/15/22			2,345		2,706,446
El Paso Pipeline Partners Operating Co. LLC, 6.50%, 04/01/20^(f)			5,075		5,361,442
Enbridge Energy Partners LP, 9.88%, 03/01/19^(f)			6,000		6,333,609
Enbridge, Inc., 6.25%, 03/01/78^(b)			5,000		4,878,605
Endeavor Energy Resources LP/EER Finance, Inc., 5.50%, 01/30/26^(a)			320		321,600
Energy Transfer Equity LP:
7.50%, 10/15/20			598		640,608
4.25%, 03/15/23			553		533,645
5.88%, 01/15/24			3,366		3,437,527
5.50%, 06/01/27			406		406,000
Energy Transfer LP:
5.20%, 02/01/22^(f)			10,200		10,599,217
6.13%, 12/15/45			3,579		3,663,904
Enterprise Products Operating LLC:
4.90%, 05/15/46^(f)			5,375		5,598,896
Series E, 5.25%, 08/16/77^(b)			4,800		4,627,152
Series N, 6.50%, 01/31/19^(f)			12,000		12,314,702
EP Energy LLC/Everest Acquisition Finance, Inc.^(a):
9.38%, 05/01/24			367		280,755
8.00%, 11/29/24^(f)			673		696,555
Extraction Oil & Gas, Inc., 5.63%, 02/01/26^(a)			611		594,381
Gulfport Energy Corp.:
6.00%, 10/15/24			210		199,500
6.38%, 05/15/25			487		467,369
Hess Corp., 5.80%, 04/01/47			3,000		3,107,808
Hess Infrastructure Partners LP/Hess Infrastructure Partners Finance Corp., 5.63%, 02/15/26^(a)			749		756,490
Indigo Natural Resources LLC, 6.88%, 02/15/26^(a)			300		288,000
Jagged Peak Energy LLC, 5.88%, 05/01/26^(a)(e)			388		389,455
Kinder Morgan Energy Partners LP:
6.85%, 02/15/20^(f)			12,000		12,721,919
4.25%, 09/01/24			2,170		2,165,682
5.40%, 09/01/44			3,615		3,565,728
Matador Resources Co., 6.88%, 04/15/23			71		74,195
MEG Energy Corp.^(a):
7.00%, 03/31/24			1,643		1,474,592
6.50%, 01/15/25			1,409		1,409,282
Midcontinent Express Pipeline LLC, 6.70%, 09/15/19^(a)			3,500		3,549,000
MPLX LP:
4.13%, 03/01/27			825		804,979
5.20%, 03/01/47			3,500		3,579,406
4.70%, 04/15/48			5,000		4,732,052
Murphy Oil Corp., 6.88%, 08/15/24			752		796,180
Nabors Industries, Inc., 5.75%, 02/01/25^(a)			395		374,263


20		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
Newfield Exploration Co.:
5.63%, 07/01/24		USD	78	$	82,680
5.38%, 01/01/26			830		860,087
Nexen Energy ULC, 6.40%, 05/15/37			2,000		2,432,164
NGPL PipeCo LLC^(a):
4.38%, 08/15/22			509		506,455
7.77%, 12/15/37			2,304		2,776,320
Noble Energy, Inc.:
5.63%, 05/01/21			1,784		1,813,970
5.05%, 11/15/44			3,500		3,626,526
Noble Holding International Ltd.:
7.75%, 01/15/24^(f)			1,093		1,024,687
7.95%, 04/01/25			232		207,640
7.88%, 02/01/26^(a)			1,427		1,437,702
Oasis Petroleum, Inc., 6.88%, 01/15/23			57		58,496
ONEOK Partners LP, 8.63%, 03/01/19^(f)			10,000		10,455,613
Parsley Energy LLC/Parsley Finance Corp.^(a):
5.25%, 08/15/25			780		778,050
5.63%, 10/15/27			649		657,113
Petroleos Mexicanos:
3.50%, 01/30/23^(f)			5,000		4,732,500
4.63%, 09/21/23			3,965		3,913,336
4.88%, 01/18/24^(f)			2,000		1,984,000
Pioneer Natural Resources Co., 6.88%, 05/01/18			1,665		1,665,000
Plains All American Pipeline LP, Series B, 6.13%^(b)(f)(h)			2,215		2,154,087
Plains All American Pipeline LP/PAA Finance Corp.:
4.70%, 06/15/44			1,498		1,338,983
4.90%, 02/15/45			2,102		1,943,496
QEP Resources, Inc., 5.63%, 03/01/26			160		153,200
Range Resources Corp.:
5.00%, 08/15/22			32		31,440
4.88%, 05/15/25			259		239,737
Rockies Express Pipeline LLC^(a):
5.63%, 04/15/20			295		305,416
6.88%, 04/15/40			580		669,900
RSP Permian, Inc., 6.63%, 10/01/22			789		822,532
Ruby Pipeline LLC, 6.00%, 04/01/22^(a)(f)			8,939		9,252,851
Sabine Pass Liquefaction LLC:
5.63%, 02/01/21			405		425,112
5.63%, 04/15/23^(f)			10,510		11,200,612
5.75%, 05/15/24			2,575		2,764,354
5.88%, 06/30/26			1,481		1,608,380
Sanchez Energy Corp.:
7.75%, 06/15/21			982		910,805
6.13%, 01/15/23			847		611,703
Seven Generations Energy Ltd., 5.38%, 09/30/25^(a)			1,110		1,079,475
SM Energy Co.:
6.50%, 01/01/23			177		177,443
5.00%, 01/15/24			297		282,893
5.63%, 06/01/25^(f)			350		337,750
6.75%, 09/15/26			46		46,805
Southwestern Energy Co.:
6.45%, 01/23/25			676		662,480
7.50%, 04/01/26			1,098		1,128,195
Sunoco LP/Sunoco Finance Corp.^(a):
4.88%, 01/15/23			1,071		1,054,367
5.88%, 03/15/28			317		307,886
Tallgrass Energy Partners LP/Tallgrass Energy Finance Corp., 5.50%, 01/15/28^(a)			1,298		1,294,755
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
5.25%, 05/01/23			37		36,908
6.75%, 03/15/24			184		192,280
5.88%, 04/15/26^(a)			848		841,810


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
5.00%, 01/15/28^(a)		USD	1,009	$	933,325
TransCanada PipeLines Ltd., 4.88%, 01/15/26^(f)			4,485		4,770,841
Western Gas Partners LP, 5.38%, 06/01/21^(f)			5,125		5,302,906
Whiting Petroleum Corp., 6.63%, 01/15/26^(a)			400		410,000
Williams Cos., Inc.:
3.70%, 01/15/23			2,245		2,171,364
4.55%, 06/24/24			527		525,024
8.75%, 03/15/32			2,478		3,264,765
5.75%, 06/24/44			685		714,113
Williams Partners LP, 5.10%, 09/15/45			5,075		4,995,141
WPX Energy, Inc.:
6.00%, 01/15/22			72		75,060
5.25%, 09/15/24			22		22,165

					259,917,943
Paper & Forest Products — 1.8%
International Paper Co.^(f):
7.50%, 08/15/21			7,209		8,098,928
8.70%, 06/15/38			4,000		5,690,951
7.30%, 11/15/39			10,000		13,033,401

					26,823,280
Pharmaceuticals — 3.5%
AbbVie, Inc.:
2.90%, 11/06/22^(f)			5,675		5,524,665
4.70%, 05/14/45			3,255		3,232,564
Actavis Funding SCS:
3.85%, 06/15/24			6,000		5,845,239
4.75%, 03/15/45			485		458,332
Charles River Laboratories International, Inc., 5.50%, 04/01/26^(a)			317		322,452
CVS Health Corp.:
4.75%, 12/01/22			289		300,947
5.00%, 12/01/24			183		192,029
5.13%, 07/20/45			3,879		4,028,992
5.05%, 03/25/48			5,705		5,795,690
Endo Finance LLC/Endo Finco, Inc., 6.00%, 07/15/23^(a)			1,514		1,101,435
Forest Laboratories LLC, 5.00%, 12/15/21^(a)			1,631		1,691,055
inVentiv Group Holdings, Inc./inVentiv Health, Inc./inVentiv Health Clinical, Inc., 7.50%, 10/01/24^(a)			297		315,563
Merck & Co., Inc., 6.50%, 12/01/33^(f)			6,420		8,268,453
Mylan NV, 3.95%, 06/15/26^(f)			7,500		7,125,691
Valeant Pharmaceuticals International, Inc.^(a):
7.50%, 07/15/21			108		109,755
6.75%, 08/15/21			349		351,181
5.63%, 12/01/21			643		622,103
6.50%, 03/15/22			829		860,087
7.25%, 07/15/22			19		19,164
5.50%, 03/01/23			2,365		2,134,412
5.88%, 05/15/23			780		716,625
7.00%, 03/15/24			1,303		1,374,665
6.13%, 04/15/25			1,121		1,011,108
5.50%, 11/01/25			963		958,185

					52,360,392
Real Estate Investment Trusts (REITs) — 1.7%
American Tower Corp.:
5.05%, 09/01/20			500		518,426
5.90%, 11/01/21^(f)			3,770		4,057,277
AvalonBay Communities, Inc., 6.10%, 03/15/20^(f)			10,000		10,530,996
Hilton Domestic Operating Co., Inc.:
4.25%, 09/01/24			1,133		1,088,756
5.13%, 05/01/26^(a)			1,185		1,185,000
Host Hotels & Resorts LP, 3.75%, 10/15/23^(f)			3,600		3,516,854


SCHEDULES OF INVESTMENTS			21

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Real Estate Investment Trusts (REITs) (continued)
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer, Inc.:
5.63%, 05/01/24		USD	627	$	639,553
4.50%, 09/01/26			2,750		2,585,000
Starwood Property Trust, Inc.:
5.00%, 12/15/21			627		634,505
4.75%, 03/15/25^(a)			212		204,050

					24,960,417
Real Estate Management & Development — 0.4%
Greystar Real Estate Partners LLC, 5.75%, 12/01/25^(a)			460		455,400
Northwest Florida Timber Finance LLC, 4.75%, 03/04/29^(a)(f)			4,485		4,243,931
Realogy Group LLC/Realogy Co-Issuer Corp.^(a):
4.50%, 04/15/19			803		811,191
5.25%, 12/01/21			344		348,300
4.88%, 06/01/23			222		214,574

					6,073,396
Road & Rail — 1.2%
Norfolk Southern Corp., 6.00%, 03/15/2105			12,700		14,637,083
United Rentals North America, Inc.:
4.63%, 07/15/23			1,616		1,640,240
4.63%, 10/15/25			1,034		1,002,990
4.88%, 01/15/28			877		830,958
5.88%, 09/15/26			274		285,645

					18,396,916
Semiconductors & Semiconductor Equipment — 0.9%
Broadcom Corp./Broadcom Cayman Finance Ltd., 3.88%, 01/15/27^(f)			7,500		7,160,926
Micron Technology, Inc., 5.50%, 02/01/25			40		41,600
NXP BV/NXP Funding LLC^(a):
4.13%, 06/15/20			951		955,755
4.13%, 06/01/21			1,461		1,464,652
4.63%, 06/15/22			490		493,675
4.63%, 06/01/23			204		205,403
QUALCOMM, Inc., 3.25%, 05/20/27^(f)			2,500		2,300,788
Sensata Technologies BV^(a):
5.63%, 11/01/24			695		721,063
5.00%, 10/01/25			772		770,070

					14,113,932
Software — 1.0%
Genesys Telecommunications Laboratories Inc/Greeneden Lux 3 Sarl/Greeneden US Holdings LLC, 10.00%, 11/30/24^(a)			690		762,450
Infor US, Inc., 6.50%, 05/15/22			3,585		3,638,775
Informatica LLC, 7.13%, 07/15/23^(a)			1,599		1,599,000
Nuance Communications, Inc., 5.38%, 08/15/20^(a)			1,901		1,910,505
Oracle Corp., 2.65%, 07/15/26^(f)			4,890		4,521,582
PTC, Inc., 6.00%, 05/15/24			313		327,867
Solera LLC/Solera Finance, Inc., 10.50%, 03/01/24^(a)			2,040		2,269,500
Sophia LP/Sophia Finance, Inc., 9.00%, 09/30/23^(a)			740		778,850

					15,808,529
Specialty Retail — 0.4%
L Brands, Inc.:
7.00%, 05/01/20			3,050		3,233,000
6.88%, 11/01/35			1,119		1,051,860
Penske Automotive Group, Inc., 5.50%, 05/15/26			1,160		1,125,200

					5,410,060
Technology Hardware, Storage & Peripherals — 0.5%
Dell International LLC/EMC Corp.^(a):
5.88%, 06/15/21			615		632,733


Security	Par (000)			Value
Technology Hardware, Storage & Peripherals (continued)
7.13%, 06/15/24		USD	747	$	795,555
8.35%, 07/15/46			2,355		2,899,703
Western Digital Corp., 4.75%, 02/15/26			2,466		2,429,010

					6,757,001
Textiles, Apparel & Luxury Goods — 0.2%
Levi Strauss & Co., 5.00%, 05/01/25			699		702,495
Springs Industries, Inc., 6.25%, 06/01/21			304		308,180
William Carter Co., 5.25%, 08/15/21			1,406		1,428,848

					2,439,523
Thrifts & Mortgage Finance — 0.1%
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp.^(a):
5.25%, 03/15/22			639		639,000
5.25%, 10/01/25			268		255,270

					894,270
Tobacco — 2.0%
Altria Group, Inc., 10.20%, 02/06/39^(f)			13,392		22,327,942
BAT Capital Corp., 4.54%, 08/15/47^(a)			5,000		4,760,014
Reynolds American, Inc.:
4.85%, 09/15/23			1,120		1,172,392
5.85%, 08/15/45			2,335		2,627,146

					30,887,494
Trading Companies & Distributors — 0.2%
Doric Nimrod Air Alpha Ltd. Pass-Through Trust, Series 2013-1^(a):
Class A, 5.25%, 05/30/25			1,885		1,933,679
Class B, 6.13%, 11/30/21			1,477		1,504,328

					3,438,007
Transportation Infrastructure — 0.9%
CEVA Group PLC, (9.00% Cash or 3.00% PIK), 9.00%, 09/01/20^(a)(j)			1,876		1,942,038
Penske Truck Leasing Co. LP/PTL Finance Corp., 4.88%, 07/11/22^(a)(f)			10,500		10,965,940

					12,907,978
Wireless Telecommunication Services — 1.6%
Crown Castle International Corp., 5.25%, 01/15/23			6,380		6,730,516
CyrusOne LP/CyrusOne Finance Corp.:
5.00%, 03/15/24			277		277,693
5.38%, 03/15/27			129		129,000
Digicel Group Ltd., 8.25%, 09/30/20^(a)			200		178,750
Digicel Ltd., 6.00%, 04/15/21^(a)			1,285		1,222,356
Frontier Communications Corp., 8.50%, 04/01/26^(a)			995		967,638
SBA Communications Corp.:
4.00%, 10/01/22^(a)			1,045		995,362
4.88%, 09/01/24			1,658		1,593,752
Sprint Capital Corp., 8.75%, 03/15/32			1,994		2,284,376
Sprint Communications, Inc.^(a):
9.00%, 11/15/18			1,576		1,620,325
7.00%, 03/01/20			389		409,423
Sprint Corp.:
7.13%, 06/15/24			3,456		3,581,280
7.63%, 02/15/25			146		153,665
7.63%, 03/01/26			1,688		1,778,730
T-Mobile USA, Inc.:
4.50%, 02/01/26			815		784,438
4.75%, 02/01/28			1,341		1,290,444

					23,997,748

Total Corporate Bonds — 99.9% (Cost — $1,460,135,124)					1,509,472,895


22		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Foreign Agency Obligations — 2.3%
Argentine Republic Government International Bond, 5.63%, 01/26/22		USD	6,485	$	6,540,122
Brazilian Government International Bond, 5.00%, 01/27/45			6,525		5,644,125
Colombia Government International Bond, 5.63%, 02/26/44			4,000		4,288,000
Indonesia Government International Bond, 5.88%, 01/15/24^(a)			4,400		4,779,993
Mexico Government International Bond:
4.75%, 03/08/44			5,800		5,452,000
4.60%, 02/10/48			5,000		4,577,500
Uruguay Government International Bond, 5.10%, 06/18/50			3,500		3,438,750

Total Foreign Agency Obligations — 2.3% (Cost — $35,087,795)					34,720,490


Municipal Bonds — 1.2%
City of Chicago Illinois, Refunding ARB, O’Hare International Airport, General 3rd Lien, Build America Bonds, Series B, 6.85%, 01/01/38			5,000		5,313,000
Metropolitan Transportation Authority, RB, Build America Bonds, Series B-1, 6.55%, 11/15/31			10,000		12,387,400

Total Municipal Bonds — 1.2% (Cost — $14,849,709)					17,700,400


Preferred Securities — 26.4%

Capital Trusts — 21.9%
Auto Components — 0.2%
General Motors Financial Co., Inc., Series A, 5.75%^(b)(h)			3,000		2,958,000

Banks — 5.2%
BNP Paribas SA^(a)(g)(h):
7.20%			5,000		5,487,500
7.38%			4,535		4,943,150
Capital One Financial Corp., Series E, 5.55%^(g)(h)			5,000		5,150,000
CIT Group, Inc., Series A, 5.80%^(g)(h)			3,000		2,985,000
Citigroup, Inc.^(g)(h):
5.90%			2,210		2,258,344
Series P, 5.95%			7,000		7,087,500
Credit Suisse Group AG^(a)(g)(h):
6.25%			7,255		7,429,381
7.50%			3,250		3,522,252
HSBC Capital Funding LP, 10.18%^(a)(g)(h)			11,835		18,410,763
Macquarie Bank Ltd., 6.13%^(a)(g)(h)			1,885		1,814,312
Nordea Bank AB, 6.13%^(a)(g)(h)			5,540		5,685,425
U.S. Bancorp, Series J, 5.30%^(g)(h)			10,415		10,519,150
Wells Fargo & Co.^(g)(h):
Series K, 5.89%			809		818,101
Series S, 5.90%			281		285,918
Series U, 5.88%			2,655		2,747,925

					79,144,721
Capital Markets — 2.4%
Charles Schwab Corp., Series E, 4.63%^(g)(h)			6,805		6,811,805
Goldman Sachs Group, Inc., Series L, 5.70%^(g)(h)			2,950		3,016,375
Morgan Stanley, Series H, 5.45%^(g)(h)			8,675		8,815,969
State Street Corp.:
3.12%, 06/01/77^(c)(f)			17,845		16,176,492
Series F, 5.25%^(g)(h)			1,855		1,906,013

					36,726,654
Commercial Services & Supplies — 0.4%
AerCap Global Aviation Trust, 6.50%^(a)(g)			5,000		5,300,000


Security	Par (000)			Value
Consumer Finance — 0.3%
American Express Co., Series C, 4.90%^(g)(h)		USD	4,510	$	4,521,275

Diversified Financial Services — 5.3%
Bank of America Corp.^(g)(h):
Series AA, 6.10%			8,630		8,942,837
Series K, 5.99%			775		778,875
Series U, 5.20%			5,785		5,741,613
Barclays PLC, 6.63%^(g)(h)			7,385		7,542,300
BNP Paribas SA, 6.75%^(a)(g)(h)			5,000		5,243,750
Credit Agricole SA, 8.13%^(a)(g)(h)			5,000		5,681,250
HSBC Holdings PLC^(g)(h):
6.00%			1,550		1,530,935
6.50%			2,615		2,654,513
JPMorgan Chase & Co.^(g)(h):
Series 1, 5.83%			3,650		3,677,375
Series Q, 5.15%			4,000		3,960,000
Series R, 6.00%			14,130		14,372,753
Series S, 6.75%			9,775		10,593,656
Royal Bank of Scotland Group PLC^(g)(h):
8.00%			970		1,060,938
8.63%			5,135		5,622,825
Societe Generale SA, 7.38%^(a)(g)(h)			1,980		2,098,800

					79,502,420
Electric Utilities — 0.5%
PPL Capital Funding, Inc., Series A, 4.97%^(g)			8,300		8,280,080

Industrial Conglomerates — 0.5%
General Electric Co., Series D, 5.00%^(g)(h)			7,502		7,426,980

Insurance — 3.3%
ACE Capital Trust II, 9.70%, 04/01/30			7,000		10,010,000
Allstate Corp., 5.75%, 08/15/53^(g)			5,000		5,162,500
American International Group, Inc., 8.18%, 05/15/68^(g)			3,755		4,919,050
Bank One Capital III, 8.75%, 09/01/30			2,000		2,766,116
Equitable of Iowa Cos. Capital Trust II, Series B, 8.42%, 04/01/27			5,000		5,439,410
Farmers Exchange Capital II, 6.15%, 11/01/53^(a)(g)			4,890		5,330,100
Great-West Life & Annuity Insurance Capital LP II, 4.39%, 05/16/46^(a)(g)			500		500,000
Hartford Financial Services Group, Inc., 8.13%, 06/15/68^(g)			5,050		5,062,625
MetLife, Inc., 6.40%, 12/15/66			5,000		5,450,000
Principal Financial Group, Inc., 4.70%, 05/15/55^(g)			5,000		5,012,500

					49,652,301
Media — 0.5%
NBCUniversal Enterprise, Inc., 5.25%^(a)(h)			5,600		5,754,000
Viacom, Inc., 5.88%^(g)			2,111		2,132,110

					7,886,110
Oil, Gas & Consumable Fuels — 2.3%
Enbridge, Inc., Series 16-A, 6.00%, 01/15/77^(g)			5,880		5,710,950
Energy Transfer Partners LP, Series B, 6.63%^(b)(h)			5,000		4,728,500
Enterprise Products Operating LLC^(g):
4.78%, 06/01/67			2,500		2,472,295
Series A, 6.07%, 08/01/66			9,325		9,361,927
TransCanada PipeLines Ltd., 4.05%, 05/15/67^(g)			9,400		9,035,938
TransCanada Trust, 5.48%, 05/20/75^(g)			2,755		2,816,987

					34,126,597
Real Estate Investment Trusts (REITs) — 0.5%
Sovereign Real Estate Investment Trust, 12.00%^(a)(h)			7		8,225,000

Road & Rail — 0.5%
BNSF Funding Trust I, 6.61%, 12/15/55^(g)			6,125		6,951,875

Total Capital Trusts — 21.9% (Cost — $319,626,994)					330,702,013


SCHEDULES OF INVESTMENTS			23

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security		Shares		Value
Preferred Stocks — 4.0%
Banks — 1.8%
Citigroup, Inc., Series K, 6.88%^(g)(h)			488,324	$	13,438,566
Wells Fargo & Co., Series Q, 5.85%^(g)(h)			550,504		14,202,900

					27,641,466
Capital Markets — 0.7%
Goldman Sachs Group, Inc., Series J, 5.50%^(g)(h)			162,453		4,174,965
SCE Trust III, Series H, 5.75%^(g)(h)			31,652		837,143
State Street Corp., Series D, 5.90%^(g)(h)			220,498		5,818,863

					10,830,971
Electric Utilities — 0.2%
Entergy Louisiana LLC, 5.25%, 07/01/52			90,008		2,236,500

Real Estate Investment Trusts (REITs) — 0.2%
Ventas Realty LP/Ventas Capital Corp., 5.45%, 03/15/43			75,004		1,873,500
Vornado Realty Trust, Series K, 5.70%^(h)			50,004		1,195,000

					3,068,500
Wireless Telecommunication Services — 1.1%
Centaur Funding Corp., 9.08%, 04/21/20^(a)			15,151		16,922,302

Total Preferred Stocks — 4.0% (Cost — $59,247,356)					60,699,739


Trust Preferred — 0.5%

Diversified Financial Services — 0.5%
GMAC Capital Trust I, Series 2, 7.62%, 02/15/40^(d)(g)			300,181		7,980,749

Total Trust Preferred — 0.5% (Cost — $7,299,341)					7,980,749

Total Preferred Securities — 26.4% (Cost — $ 386,173,691)					399,382,501


		Par (000)
U.S. Government Sponsored Agency Securities — 0.2%

Agency Obligations — 0.2%
Fannie Mae, 0.00%, 10/09/19^(f)(k)	USD		3,945		3,801,508

U.S. Treasury Obligations — 6.1%
U.S. Treasury Notes^(f):
2.25%, 02/15/21			54,000		53,485,313
2.75%, 11/15/47			25,195		23,508,209


Security	Par (000)			Value
U.S. Treasury Obligations (continued)
US Treasury Bond, 3.00%, 02/15/48^(f)		USD	15,390	$	15,105,339

Total U.S. Treasury Obligations — 6.1% (Cost — $92,249,638)					92,098,861

Total Long-Term Investments — 144.1% (Cost — $2,113,311,586)					2,178,467,980

Options Purchased — 0.1% (Cost — $1,143,668)					872,326


Total Investments — 144.2% (Cost — $2,114,455,254)					2,179,340,306
Liabilities in Excess of Other Assets — (44.2)%					(667,714,150	)

Net Assets — 100.0%				$	1,511,626,156

^(a)	Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors.

^(b)	Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

^(c)	Variable rate security. Rate shown is the rate in effect as of period end.

^(d)	Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy.

^(e)	When-issued security.

^(f)	All or a portion of the security has been pledged as collateral in connection with outstanding reverse repurchase agreements.

^(g)	Variable rate security. Security may be issued at a fixed coupon rate, which converts to a variable rate at a specified date. Rate shown is the rate in effect as of period end.

^(h)	Perpetual security with no stated maturity date.

⁽ⁱ⁾	Step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate as of period end.

^(j)	Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates.

^(k)	Zero-coupon bond.


Affiliated	Shares Held at 10/31/17		Net Activity			Shares Held at 04/30/18		Value at 04/30/18		Income		Net Realized Gain (Loss)^(a)		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, T-Fund, Institutional Class		9,139,477		(9,139,477	)		—	$	—	$	57,332	$	32	$	—

^(a)

Includes net capital gain distributions, if applicable.

For Trust compliance purposes, the Trust’s industry classifications refer to one or more of the industry sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such industry sub-classifications for reporting ease.


24		2018 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (unaudited) (continued)

April 30, 2018

BlackRock Credit Allocation Income Trust (BTZ)

Reverse Repurchase Agreements

Counterparty

Interest
Rate

Trade
Date

Maturity
Date^(a)

Face Value

Face Value
Including
Accrued Interest

Type of Non-Cash
Underlying Collateral

Remaining Contractual
Maturity of the Agreements^(a)

Deutsche Bank Securities, Inc.

2.00

02/07/17

Open

3,757,000

3,811,225

U.S. Government Sponsored Agency Securities

Open/Demand

BNP Paribas S.A.

2.11

06/15/17

Open

4,720,000

4,791,817

Corporate Bonds

Open/Demand

BNP Paribas S.A.

2.11

06/15/17

Open

2,007,000

2,037,538

Corporate Bonds

Open/Demand

BNP Paribas S.A.

2.11

06/15/17

Open

3,130,000

3,177,625

Corporate Bonds

Open/Demand

RBC Capital Markets LLC

2.09

06/21/17

Open

7,710,000

7,824,937

Corporate Bonds

Open/Demand

RBC Capital Markets LLC

2.09

06/21/17

Open

3,727,813

3,783,385

Corporate Bonds

Open/Demand

RBC Capital Markets LLC