BlackRock Taxable Municipal Bond Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-22426

Name of Fund: BlackRock Taxable Municipal Bond Trust (BBN)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Taxable             Municipal Bond Trust, 55 East 52nd Street, New York, NY 10055

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

Date of fiscal year end: 07/31/2017

Date of reporting period: 10/31/2016

Item 1 –  Schedule of Investments

Schedule of Investments October 31, 2016 (Unaudited)

  

BlackRock Taxable Municipal Bond Trust (BBN)

(Percentages shown are based on Net Assets)

 

Corporate Bonds   

Par  

(000)

     Value  

Commercial Services & Supplies — 1.6%

  

Massachusetts Institute of Technology, 3.89%, 7/01/16

    $ 8,460      $ 7,967,712   

Wesleyan University, 4.78%, 7/01/16

      11,000        11,308,924   

Worcester Polytechnic Institute, Series 2016, 4.34%, 9/01/56

      2,500        2,451,075   
    

 

 

  
        21,727,711   

Diversified Financial Services — 0.2%

  

Western Group Housing LP, 6.75%, 3/15/57 (a)

      2,500        3,279,450   

Health Care Providers & Services — 2.4%

  

New York and Presbyterian Hospital, 3.56%, 8/01/36

      2,500        2,542,333   

Northwell Healthcare, Inc., 3.98%, 11/01/46

      5,994        5,865,656   

Ochsner Clinic Foundation, 5.90%, 5/15/45

      5,000        6,256,575   

Providence St Joseph Health Obligated Group, Series I, 3.74%, 10/01/47

      4,820        4,732,252   

RWJ Barnabas Health, Inc., 3.95%, 7/01/46 (b)

      13,213        13,052,700   
    

 

 

  
        32,449,516   

Total Corporate Bonds — 4.2%

  

     57,456,677   
    
                  
Municipal Bonds  

Arizona — 2.3%

  

Salt River Project Agricultural Improvement & Power District, RB, Build America Bonds, Series A, 4.84%, 1/01/41 (c)

      25,000        30,881,750   

California — 34.1%

  

Bay Area Toll Authority, RB, Build America Bonds, San Francisco Toll Bridge:

     

Series S-1, 6.92%, 4/01/40

      13,700        19,605,111   

Series S-1, 7.04%, 4/01/50

      9,170        14,043,305   

Series S-3, 6.91%, 10/01/50 (c)

      14,000        21,377,300   

City of San Francisco Public Utilities Commission Water Revenue, RB, Build America Bonds, Sub-Series E, 6.00%, 11/01/40 (c)

      21,255        27,371,126   

City of San Jose California, Refunding ARB, Series B (AGM), 6.60%, 3/01/41 (c)

      10,000        11,581,700   
Municipal Bonds   

Par  

(000)

     Value  

California (continued)

  

County of Alameda California Joint Powers Authority, RB, Build America Bonds, Recovery Zone, Series A, 7.05%, 12/01/44 (c)

    $ 11,000      $ 15,876,850   

County of Orange California Local Transportation Authority, Refunding RB, Build America Bonds, Series A, 6.91%, 2/15/41

      5,000        7,064,500   

County of Sonoma California, Refunding RB, Pension Obligation, Series A, 6.00%, 12/01/29

      14,345        17,325,891   

Los Angeles Community College District California, GO, Build America Bonds, 6.60%, 8/01/42 (c)

      10,000        14,841,900   

Los Angeles Department of Water & Power, RB, Build America Bonds (c):

     

6.17%, 7/01/40

      37,500        42,795,750   

7.00%, 7/01/41

      17,225        19,834,243   

Metropolitan Water District of Southern California, RB, Build America Bonds, Series A, 6.95%, 7/01/40 (c)

      12,000        14,092,920   

Palomar Community College District, GO, Build America Bonds, Series B-1, 7.19%, 8/01/45

      7,500        8,822,250   

Rancho Water District Financing Authority, RB, Build America Bonds, Series A, 6.34%, 8/01/40 (c)

      20,000        22,845,400   

Riverside Community College District Foundation, GO, Build America Bonds, Series D-1, 7.02%, 8/01/40 (c)

      11,000        12,645,160   

San Diego County Regional Airport Authority, ARB, Series B, 5.59%, 7/01/43

      4,000        4,519,320   

San Diego County Regional Airport Authority, Refunding ARB, Build America Bonds, Sub-Series C, 6.63%, 7/01/40

      32,100        36,902,160   

State of California, GO, Build America Bonds, Various Purposes (c):

     

7.30%, 10/01/39

      9,220        13,611,117   

7.55%, 4/01/39

      9,035        13,987,626   

7.63%, 3/01/40

      8,950        13,764,474   

7.60%, 11/01/40

      15,000        23,631,150   
 

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016    1

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

     Value  

California (continued)

  

State of California Public Works Board, RB, Build America Bonds, Series G-2, 8.36%, 10/01/34 (c)

    $ 18,145      $ 27,307,136   

University of California, RB, Build America Bonds (c):

     

5.95%, 5/15/45

      24,000        31,124,160   

6.30%, 5/15/50

      27,010        32,088,960   
    

 

 

  
               467,059,509   

Colorado — 3.3%

     

City & County of Denver Colorado School District No. 1, COP, Refunding, Denver Colorado Public Schools, Series B, 7.02%, 12/15/37 (c)

      6,000        8,367,060   

Regional Transportation District, COP, Build America Bonds, Series B, 7.67%, 6/01/40 (c)

      23,000        31,589,810   

State of Colorado, COP, Build America Bonds, Building Excellent Schools, Series E, 7.02%, 3/15/31

      5,000        5,879,650   
    

 

 

  
               45,836,520   

Connecticut — 1.1%

     

Town of Stratford Connecticut, GO, Pension Funding, 6.00%, 8/15/38

      12,000        15,272,160   

District of Columbia — 3.5%

     

Metropolitan Washington Airports Authority Dulles Toll Road Revenue, ARB, Build America Bonds, Series D:

     

7.46%, 10/01/46

      11,500        17,226,425   

8.00%, 10/01/47

      10,750        14,315,667   

Washington Convention & Sports Authority, Refunding RB, Series C, 7.00%, 10/01/40

      15,000        17,111,700   
    

 

 

  
               48,653,792   

Florida — 5.0%

     

City of Sunrise Florida Utility System, Refunding RB, Build America Bonds, Series B, 5.91%, 10/01/35 (c)

      23,000        25,929,280   

County of Miami-Dade Florida Aviation Revenue, Refunding RB, Series B, 2.60%, 10/01/25

      9,670        9,489,364   

County of Miami-Dade Florida Educational Facilities Authority, Refunding RB, Series B, 5.07%, 4/01/50

      12,250        14,062,020   
Municipal Bonds   

Par  

(000)

     Value  

Florida (continued)

  

County of Pasco Florida Water & Sewer, RB, Build America Bonds, Series B, 6.76%, 10/01/39

    $ 1,500      $ 1,709,070   

Town of Davie Florida Water & Sewer, RB, Build America Bonds, Series B (AGM), 6.85%, 10/01/40

      2,500        2,919,475   

Village Center Community Development District, Refunding RB, 5.02%, 11/01/36 (a)

      13,500        14,730,795   
    

 

 

  
               68,840,004   

Georgia — 5.3%

  

Municipal Electric Authority of Georgia Plant Vogtle Units 3 & 4, Refunding RB, Build America Bonds, Series A:

     

6.64%, 4/01/57

      26,084        34,149,695   

6.66%, 4/01/57

      20,665        26,759,935   

7.06%, 4/01/57

      10,000        11,983,100   
    

 

 

  
               72,892,730   

Hawaii — 2.5%

  

University of Hawaii, RB, Build America Bonds, Series B-1, 6.03%, 10/01/40 (c)

      30,500        34,339,035   

Illinois — 18.4%

  

Chicago Transit Authority, RB:

     

Build America Bonds, Series B, 6.20%, 12/01/40

      16,015        19,536,538   

Pension Funding, Series A, 6.90%, 12/01/40 (c)

      4,075        5,257,850   

Pension Funding, Series B, 6.90%, 12/01/40

      4,900        6,322,323   

City of Chicago Illinois, GO, Build America Bonds:

     

Series B, 7.52%, 1/01/40

      10,000        10,822,100   

Recovery Zone, Series D, 6.26%, 1/01/40

      13,900        13,169,555   

City of Chicago Illinois, Refunding ARB, O’Hare International Airport, General 3rd Lien, Build America Bonds, Series B:

     

6.85%, 1/01/38 (c)

      30,110        33,629,257   

6.40%, 1/01/40

      1,500        2,078,040   

City of Chicago Illinois Wastewater Transmission, RB, Build America Bonds, Series B, 6.90%, 1/01/40 (c)

      36,000        46,255,320   
 

 

                
2    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016   

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

     Value  

Illinois (continued)

  

City of Chicago Illinois Waterworks Transmission, RB, Build America Bonds, 2nd Lien, Series B, 6.74%, 11/01/40

    $ 15,250      $ 19,972,925   

County of Cook Illinois, GO, Build America Bonds, Series D, 6.23%, 11/15/34

      10,000        12,328,700   

Illinois Finance Authority, RB, Carle Foundation, Series A, 5.75%, 8/15/34

      5,000        5,787,600   

Illinois Municipal Electric Agency, RB, Build America Bonds, Series A, 7.29%, 2/01/35 (c)

      15,000        19,281,900   

Northern Illinois Municipal Power Agency, RB, Build America Bonds, Prairie State Project, Series A, 7.82%, 1/01/40

      5,000        6,668,200   

State of Illinois, GO, Build America Bonds:

     

6.63%, 2/01/35

      4,000        4,269,640   

6.73%, 4/01/35

      6,320        6,802,785   

7.35%, 7/01/35

      35,855        40,485,315   
    

 

 

  
        252,668,048   

Indiana — 1.7%

  

Indiana Finance Authority, RB, Build America Bonds, Series B, 6.60%, 2/01/39

      7,900        10,771,334   

Indiana Municipal Power Agency, RB, Build America Bonds, Direct Payment, Series A, 5.59%, 1/01/42 (c)

      10,000        12,406,200   
    

 

 

  
        23,177,534   

Kentucky — 0.8%

  

City of Wickliffe Kentucky, RB, MeadWestvaco Corp., 7.67%, 1/15/27 (a)

      9,400        10,637,284   

Maryland — 0.4%

  

County of Baltimore Maryland, GO, Taxable, 3.30%, 7/01/46

      5,000        4,926,150   

Maryland Community Development Administration, RB, Residential Housing, Series I, 6.50%, 3/01/43

      605        611,722   
    

 

 

  
        5,537,872   

Massachusetts — 2.0%

  

Commonwealth of Massachusetts Transportation Fund Revenue, RB, Build America Bonds, Recovery Zone, Series B, 5.73%, 6/01/40

      5,000        6,705,300   
Municipal Bonds   

Par  

(000)

     Value  

Massachusetts (continued)

  

Massachusetts Development Finance Agency, RB, Emmanuel College Issue, Series B, 3.98%, 10/01/30

    $ 16,050      $ 15,969,750   

Massachusetts HFA, Refunding RB, Series D, 7.02%, 12/01/42 (c)

      4,040        4,414,912   
    

 

 

  
        27,089,962   

Michigan — 1.7%

  

Michigan State University, RB, Build America Bonds, General, Series A, 6.17%, 2/15/50

      5,500        6,835,950   

Michigan Tobacco Settlement Finance Authority, RB, Series A, 7.31%, 6/01/34

      16,830        16,184,570   
    

 

 

  
        23,020,520   

Minnesota — 1.2%

  

Southern Minnesota Municipal Power Agency, Refunding RB, Build America Bonds, Series A, 5.93%, 1/01/43

      8,000        9,880,480   

Western Minnesota Municipal Power Agency, RB, Build America Bonds, Series C, 6.77%, 1/01/46

      5,000        6,887,750   
    

 

 

  
        16,768,230   

Mississippi — 0.5%

  

Mississippi Development Bank, RB, Build America Bonds, Garvee, Series B, 6.41%, 1/01/40

      5,000        6,454,200   

Missouri — 1.8%

     

Missouri Joint Municipal Electric Utility Commission, RB, Build America Bonds, Plum Point Project, Series A, 7.73%, 1/01/39

      11,000        15,214,210   

University of Missouri, RB, Build America Bonds, Curators of the University, Series A, 5.79%, 11/01/41 (c)

      7,000        9,646,630   
    

 

 

  
        24,860,840   

Nevada — 1.2%

  

City of North Las Vegas Nevada, GO, Build America Bonds, 6.57%, 6/01/40

      2,500        2,596,575   
 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST   

OCTOBER 31, 2016

   3

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

     Value  

Nevada (continued)

  

County of Clark Nevada Department of Aviation, ARB, Build America Bonds:

     

Series B, 6.88%, 7/01/42 (c)

    $ 10,000      $ 11,266,600   

Series C, 6.82%, 7/01/45

      2,000        2,997,740   
    

 

 

  
        16,860,915   

New Jersey — 13.5%

  

County of Camden New Jersey Improvement Authority, LRB, Build America Bonds, Cooper Medical School of Rowan University Project, Series A, 7.75%, 7/01/34

      5,000        5,754,150   

New Jersey EDA, RB:

     

Build America Bonds, Series CC-1, 6.43%, 12/15/35

      12,000        13,036,080   

Series A (NPFGC), 7.43%, 2/15/29 (c)

      20,974        26,115,147   

New Jersey State Housing & Mortgage Finance Agency, RB, M/F Housing, Series C (AGM), 6.65%, 11/01/44

      14,360        15,125,675   

New Jersey State Turnpike Authority, RB, Build America Bonds:

     

Series A, 7.10%, 1/01/41

      34,000        50,067,720   

Series F, 7.41%, 1/01/40

      6,790        10,306,609   

New Jersey Transportation Trust Fund Authority, RB, Build America Bonds:

     

Series B, 6.88%, 12/15/39

      8,500        9,277,070   

Series C, 5.75%, 12/15/28

      4,500        4,991,490   

Series C, 6.10%, 12/15/28 (c)

      42,500        46,953,150   

South Jersey Port Corp., RB, Build America Bonds, Marine Terminal, Series P-3, 7.37%, 1/01/40

      3,215        3,605,976   
    

 

 

  
        185,233,067   

New York — 16.7%

  

City of New York New York, GO, Build America Bonds, Sub-Series C-1, 5.82%, 10/01/31 (c)

      15,000        17,071,950   

City of New York New York Municipal Water Finance Authority, RB, Build America Bonds, 2nd General Resolution, Series DD, 6.45%, 6/15/41

      6,300        7,194,915   
Municipal Bonds   

Par  

(000)

     Value  

New York (continued)

  

City of New York New York Municipal Water Finance Authority, Refunding RB, Build America Bonds, 2nd General Resolution:

     

Series AA, 5.79%, 6/15/41 (c)

    $ 25,000      $ 27,979,750   

Series CC, 6.28%, 6/15/42 (c)

      20,000        23,251,400   

Series EE, 6.49%, 6/15/42

      2,000        2,310,300   

Series GG, 6.12%, 6/15/42

      2,445        2,802,850   

City of New York New York Transitional Finance Authority, RB, Build America Bonds, Future Tax Secured:

     

Sub-Series B-1, 5.57%, 11/01/38 (c)

      19,000        24,244,950   

Sub-Series C-2, 6.27%, 8/01/39

      14,795        16,589,634   

County of Nassau New York Tobacco Settlement Corp., Refunding RB, Series A1, 6.83%, 6/01/21

      9,238        9,185,961   

Metropolitan Transportation Authority, RB, Build America Bonds:

     

Series A, 6.67%, 11/15/39

      2,220        3,081,271   

Series C, 7.34%, 11/15/39

      13,245        20,351,870   

Series C-1, 6.69%, 11/15/40

      13,000        18,032,690   

Port Authority of New York & New Jersey, ARB, Consolidated:

     

160th Series, 5.65%, 11/01/40

      2,750        3,518,818   

192nd Series, 4.81%, 10/15/65

      14,825        17,123,764   

Port Authority of New York & New Jersey, Refunding RB, Consolidated, 174th Series, 4.46%, 10/01/62

      6,140        6,706,476   

State of New York Dormitory Authority, RB, Build America Bonds, General Purpose, Series H, 5.39%, 3/15/40 (c)

      15,000        19,302,300   

State of New York Dormitory Authority, Refunding RB, Touro College & University, Series B, 5.75%, 1/01/29

      10,300        10,601,172   
    

 

 

  
        229,350,071   

Ohio — 6.2%

  

American Municipal Power, Inc., RB, Build America Bonds, Combined Hydroelectric Projects, Series B, 7.83%, 2/15/41

      10,000        14,844,300   
 

 

                
4    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016   

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

     Value  

Ohio (continued)

  

County of Franklin Ohio Convention Facilities Authority, RB, Build America Bonds, 6.64%, 12/01/42 (c)

    $ 30,575      $ 39,833,110   

County of Hamilton Ohio Sewer System Revenue, RB, Build America Bonds, Series B, 6.50%, 12/01/34

      7,000        7,998,200   

Mariemont City School District, GO, Refunding, Build America Bonds, Series B, 6.55%, 12/01/47 (c)

      10,055        11,400,862   

Ohio University, RB, General Receipts, Athens, 5.59%, 12/01/14

      10,100        11,509,455   
    

 

 

  
        85,585,927   

Oklahoma — 0.3%

  

Oklahoma Municipal Power Authority, RB, Build America Bonds, 6.44%, 1/01/45

      3,500        4,394,040   

Pennsylvania — 3.0%

  

Commonwealth Financing Authority, RB, Series A, 4.14%, 6/01/38

      12,400        12,472,540   

Pennsylvania Economic Development Financing Authority, RB, Build America Bonds, Series B, 6.53%, 6/15/39

      23,050        28,572,088   
    

 

 

  
        41,044,628   

South Carolina — 1.2%

  

South Carolina State Public Service Authority, RB, Build America Bonds, Series C, 6.45%, 1/01/50

      11,290        15,878,933   

Tennessee — 3.5%

  

Metropolitan Government of Nashville & Davidson County Convention Center Authority, RB, Build America Bonds, Series A2, 7.43%, 7/01/43

      35,105        48,490,888   

Texas — 9.9%

  

City of Austin Texas, RB, Travis, Williams and Hays Counties, Rental Car Specialty Facilities, 5.75%, 11/15/42

      10,000        11,026,200   

City of San Antonio Texas Customer Facility Charge Revenue, RB, 5.87%, 7/01/45

      7,500        7,899,000   
Municipal Bonds   

Par  

(000)

     Value  

Texas (continued)

  

City of San Antonio Texas Public Service Board, RB, Build America Bonds, Electric & Gas Revenue, Series A, 6.17%, 2/01/41

    $ 19,000      $ 21,222,430   

City of San Antonio Texas Public Service Board, Refunding RB, Build America Bonds, Electric & Gas Revenue, Series B, 6.31%, 2/01/37 (c)

      35,000        40,005,350   

County of Bexar Texas Hospital District, GO, Build America Bonds, 5.41%, 2/15/40 (c)

      18,000        19,694,520   

Cypress-Fairbanks ISD, GO, Build America Bonds, Schoolhouse, Series B, 6.63%, 2/15/38

      14,000        15,599,220   

Dallas Area Rapid Transit, RB, Build America Bonds, Senior Lien, Series B, 5.02%, 12/01/48

      2,500        3,155,025   

Katy Texas ISD, GO, Build America Bonds, School Building, Series D, 6.35%, 2/15/41 (c)

      5,000        5,664,700   

North Texas Municipal Water District, RB, Build America Bonds, Series A, 6.01%, 9/01/40

      10,000        11,298,500   
    

 

 

  
        135,564,945   

Utah — 3.4%

  

County of Utah Utah, RB, Build America Bonds, County Excise Tax Revenue, Recovery Zone, Series C, 7.13%, 12/01/39

      11,800        13,488,580   

Utah Transit Authority, RB, Build America Bonds, Subordinated, 5.71%, 6/15/40

      26,405        32,639,749   
    

 

 

  
        46,128,329   

Virginia — 1.9%

  

Tobacco Settlement Financing Corp., Refunding RB, Series A-1, 6.71%, 6/01/46

      30,165        25,364,240   

Washington — 2.0%

  

Port of Seattle Washington, RB, Series B1, 7.00%, 5/01/36

      5,000        5,655,150   

Washington State Convention Center Public Facilities District, RB, Build America Bonds, Series B, 6.79%, 7/01/40

      16,100        21,286,615   
    

 

 

  
        26,941,765   
 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016    5

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

     Value  

West Virginia — 2.3%

  

West Virginia Tobacco Settlement Finance Authority, RB, Series A, 7.47%, 6/01/47

    $ 33,550      $ 31,699,718   

Wisconsin — 0.4%

  

State of Wisconsin, Refunding RB, Series B, 3.29%, 5/01/37

      4,975        4,868,784   

Total Municipal Bonds — 151.1%

              2,071,396,240   
Total Long-Term Investments
(Cost — $1,800,932,801) — 155.3%		         2,128,852,917   
    
                  
Short-Term Securities    Shares         

BlackRock Liquidity Funds, T-Fund, Institutional Class, 0.22% (d)(e)

      3,648,186        3,648,186   
          

  

Value

  

Total Short-Term Securities

(Cost — $3,648,186) — 0.3%

   $ 3,648,186   

Total Investments

(Cost — $1,804,580,987*) — 155.6%

     2,132,501,103   

Liabilities in Excess of Other Assets — (55.6)%

     (761,659,462 ) 
    

 

 

  

Net Assets — 100.0%

   $ 1,370,841,641   
    

 

 

  

 

*   As of October 31, 2016, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

 

Tax cost

      $ 1,804,591,939   
    

 

 

  

Gross unrealized appreciation

      $ 332,557,500   

Gross unrealized depreciation

        (4,648,336 ) 
    

 

 

  

Net unrealized appreciation

      $ 327,909,164   
    

 

 

  
 
Notes to Schedule of Investments

 

(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)   When-issued security.

 

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

 

(d)   During the period ended October 31, 2016, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliate     

Shares Held
at July 31,

2016

        Net
Activity		       

Shares Held
at October 31,

2016

       

Value at
October 31,

2016

        Income  

BlackRock Liquidity Funds, T-Fund, Institutional Class

        —           3,648,186           3,648,186         $ 3,648,186         $ 6,312   

BlackRock Liquidity Funds, TempFund, Institutional Class

        10,067,354           (10,067,354 )         —           —           5,515   

Total

                     $ 3,648,186         $ 11,827   
                   

 

 

  

 

(e)   Current yield as of period end.

For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sector 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 sector sub-classifications for reporting ease.

 

 

                
6    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016   

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

 

Reverse Repurchase Agreements                      
Counterparty   Interest
Rate		     Trade
Date		     Maturity
Date1		     Face Value     Face Value
Including
Accrued
Interest		     Type of Non-Cash
Underlying  Collateral		   Remaining
Contractual Maturity
of the Agreements1

Barclays Capital, Inc.

     0.70 %      12/17/15        Open      $ 20,900,000      $ 21,029,638      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        5,212,500        5,244,832      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        8,006,250        8,055,911      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        12,887,500        12,967,438      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        23,431,250        23,576,589      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        16,340,625        16,441,982      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        9,925,000        9,987,886      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.70 %      12/17/15        Open        27,428,175        27,601,963      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.75 %      12/17/15        Open        26,875,000        27,053,607      Municipal Bonds   Open/Demand

Barclays Capital, Inc.

     0.80 %      12/17/15        Open        9,740,781        9,809,832      Municipal Bonds   Open/Demand

Deutsche Bank Securities, Inc.

     0.80 %      12/17/15        Open        4,222,000        4,251,929      Municipal Bonds   Open/Demand

Deutsche Bank Securities, Inc.

     0.80 %      12/17/15        Open        35,472,000        35,725,034      Municipal Bonds   Open/Demand

Deutsche Bank Securities, Inc.

     0.85 %      12/17/15        Open        29,386,000        29,595,620      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        16,537,500        16,662,059      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        15,037,500        15,150,762      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        11,687,500        11,775,529      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        38,812,500        39,104,834      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        20,175,000        20,326,957      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        23,380,500        23,556,601      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        26,400,000        26,598,843      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        22,015,000        22,180,816      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        12,960,000        13,059,180      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        7,110,000        7,163,552      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        12,900,000        12,997,162      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        12,039,138        12,129,816      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        36,225,000        36,497,845      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        11,948,250        12,038,456      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      12/17/15        Open        10,375,000        10,454,527      Municipal Bonds   Open/Demand

RBC Capital Markets LLC

     0.85 %      1/27/16        Open        29,445,000        29,638,969      Municipal Bonds   Open/Demand

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016    7

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

 

Reverse Repurchase Agreements  
Counterparty   Interest
Rate		     Trade
Date		     Maturity
Date1		     Face Value     Face Value
Including
Accrued
Interest		     Type of  Non-Cash
Underlying Collateral		     Remaining
Contractual Maturity
of the Agreements1		  

Barclays Capital, Inc.

     0.70 %      1/29/16        Open      $ 13,282,500      $ 13,354,041        Municipal Bonds        Open/Demand   

Deutsche Bank Securities, Inc.

     0.80 %      4/14/16        Open        15,883,000        15,953,591        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      5/23/16        Open        23,080,800        23,167,994        Municipal Bonds        Open/Demand   

RBC Capital Markets LLC

     0.85 %      5/31/16        Open        11,250,000        11,290,906        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/02/16        Open        26,534,121        26,626,843        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/02/16        Open        22,014,765        22,091,694        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/02/16        Open        10,949,975        10,988,239        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/02/16        Open        30,702,506        30,809,794        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/02/16        Open        29,540,992        29,644,222        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/16/16        Open        12,834,190        12,876,008        Municipal Bonds        Open/Demand   

MUFG Securities Americas, Inc.

     0.85 %      6/28/16        Open        22,815,879        22,883,756        Municipal Bonds        Open/Demand   

RBC Capital Markets LLC

     0.85 %      7/01/16        Open        3,959,200        3,970,698        Municipal Bonds        Open/Demand   

RBC Capital Markets LLC

     0.85 %      9/28/16        Open        20,475,000        20,494,167        Municipal Bonds        Open/Demand   

Total

  

   $ 780,197,897      $ 784,830,122     
       

 

 

      

1    Certain agreements have no stated maturity and can be terminated by either party at any time.

       

   

 

Derivative Financial Instruments Outstanding as of Period End

 

Futures Contracts        

Contracts

Short

        Issue   Expiration    

Notional

Value

     Unrealized
Appreciation		         
  (650 )       5-Year U.S. Treasury Note     December 2016      $ 78,517,969      $ 454,626     
  (601 )       10-Year U.S. Treasury Note     December 2016      $ 77,904,625        955,607     
  (809 )       Long U.S. Treasury Bond     December 2016      $ 131,639,469        4,299,618     
  (320 )       Ultra U.S. Treasury Bond     December 2016      $ 56,300,000        3,076,083           

 

Total

  

   $ 8,785,934     
              

 

 

  

 

                
8    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016   

Schedule of Investments (continued)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

Portfolio Abbreviations

 

AGM    Assured Guaranty Municipal Corp.
ARB    Airport Revenue Bonds
COP    Certificates of Participation
EDA    Economic Development Authority
GO    General Obligation Bonds
HFA    Housing Finance Agency
ISD    Independent School District
LRB    Lease Revenue Bonds
M/F    Multi-Family
NPFGC    National Public Finance Guarantee Corp.
RB    Revenue Bonds

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016    9

Schedule of Investments (continued)    BlackRock Taxable Municipal Bond Trust (BBN)

 

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation methodologies are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:

 

  •  

Level 1 – unadjusted price quotations in active markets/exchanges for identical assets or liabilities that the Trust has the ability to access

 

  •  

Level 2 – other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market–corroborated inputs)

 

  •  

Level 3 – unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Trust’s own assumptions used in determining the fair value of investments and derivative financial instruments)

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 Investments include equity or debt issued by privately-held companies. There may not be a secondary market, and/or there are a limited number of investors. Level 3 investments may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the Global Valuation Committee in the absence of market information.

Changes in valuation methodologies may result in transfers into or out of an assigned level within the hierarchy. In accordance with the Trust’s policy, transfers between different levels of the fair value hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investments and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Trust’s most recent financial statements as contained in its annual report.

The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:

 

     Level 1        Level 2        Level 3        Total  

Assets:

                 

Investments:

                 

Long-Term Investments1

   $ —         $ 2,128,852,917           —         $ 2,128,852,917   

Short-Term Securities

     3,648,186           —           —           3,648,186   
 

 

 

  

Total

   $ 3,648,186         $ 2,128,852,917           —         $ 2,132,501,103   
 

 

 

  

Derivative Financial Instruments2

                 

Assets:

                 

Interest rate contracts

   $ 8,785,934           —           —         $ 8,785,934   

 

1    See above Schedule of Investments for values in each state or political sub-division.

 

2    Derivative financial instruments are futures contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.

       

       

 

                
10    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016   

Schedule of Investments (concluded)

   

BlackRock Taxable Municipal Bond Trust (BBN)

 

The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount or face value, including accrued interest, for financial reporting purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:

 

     Level 1        Level 2        Level 3        Total  

Assets:

  

Cash pledged:

                 

Futures contracts

   $ 5,938,950           —           —         $ 5,938,950   

Reverse repurchase agreements

     301,000           —           —           301,000   

Liabilities:

                 

Cash received as collateral for reverse repurchase agreements

     —         $ (8,095,000 )         —           (8,095,000 ) 

Reverse repurchase agreements

     —           (784,830,122 )         —           (784,830,122 ) 
 

 

 

  

Total

   $ 6,239,950         $ (792,925,122 )         —         $ (786,685,172 ) 
 

 

 

  

During the period ended October 31, 2016, there were no transfers between levels.

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2016    11

Item 2 – Controls and Procedures

 

2(a) – The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

 

2(b) – There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3 – Exhibits

 

   Certifications – Attached hereto

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BlackRock Taxable Municipal Bond Trust

 

By:  

/s/ John M. Perlowski

   
  John M. Perlowski   
 

Chief Executive Officer (principal executive officer) of

BlackRock Taxable Municipal Bond Trust

Date:   December 20, 2016   

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:  

/s/ John M. Perlowski

   
  John M. Perlowski   
 

Chief Executive Officer (principal executive officer) of

BlackRock Taxable Municipal Bond Trust

Date:   December 20, 2016   
By:  

/s/ Neal J. Andrews

   
  Neal J. Andrews   
 

Chief Financial Officer (principal financial officer) of

BlackRock Taxable Municipal Bond Trust

Date:   December 20, 2016