BlackRock iShares US Equity ESG Screened and Optimised Index Fund (UK)

The Fund aims to provide a return (gross of charges) on your investment (generated through an increase in the value of the assets held by the Fund) by tracking closely the performance of the Morningstar US Markets ESG Enhanced Index, (the “Benchmark Index”). The Fund invests in equity securities (e.g. shares) of companies that make up the Benchmark Index. The Benchmark Index aims to reflect the performance of a sub-set of equity securities within the Morningstar US Target Market Exposure Index (the “Parent Index”) which remain after the index provider has excluded securities using pre-defined ESG screens and criteria, as determined by the index provider. The pre-defined ESG screens set by the index provider seek to limit and/or exclude from the Benchmark Index corporate issuers within the Parent Index which are determined by the index provider (often by reference to specific revenue thresholds or to any connection to an activity regardless of any revenue received) as having exposure to, or other ties with, certain activities including but not limited to controversial weapons, tobacco, nuclear weapons, civilian firearms, thermal coal, oil sands, adult entertainment, alcohol, gaming and UN global compact violators. The Fund is passively managed and the investment manager has limited discretion to select the Fund’s investments and in doing so will take into consideration the benchmark index. The Fund intends to replicate the benchmark index by holding the equity securities, which make up the benchmark index, in similar proportions to the benchmark index. Derivatives (i.e. investments the prices of which are based on one or more underlying assets) may be used to seek to reduce risk (relevant to the investment objective) within the Fund, reduce investment costs and generate additional income for the Fund (often referred to as “efficient portfolio management” or “EPM”). The Fund may also engage in short term secured lending of its investments to certain eligible third parties. This is used as a means of generating additional income and to off-set the costs of the Fund. Recommendation: This Fund may not be appropriate for short-term investment.