Edgar Filing: BLACKROCK FLOATING RATE INCOME TRUST

BLACKROCK FLOATING RATE 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: 811-21566

Name of Fund: BlackRock Floating Rate Income Trust (BGT)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Floating Rate 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: 10/31/2018

Item 1 – Report to Stockholders

OCTOBER 31, 2018


ANNUAL REPORT

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 October 31, 2018, ongoing strength in corporate profits drove the equity market higher, while rising interest rates constrained bond returns. Though the market’s appetite for risk remained healthy, risk-taking was tempered somewhat, as shorter-term, higher-quality securities led the bond market, and U.S. equities outperformed most international stock markets.

In international markets, the rising value of the U.S. dollar limited U.S. investors’ returns for the reporting period. When the U.S. dollar appreciates relative to foreign currencies, the value of international investments declines in U.S. dollar terms. Volatility rose in emerging market stocks, which are relatively sensitive to changes in the U.S. dollar. U.S.-China trade relations and debt concerns adversely affected the Chinese stock market, while Turkey and Argentina became embroiled in currency crises, largely due to hyperinflation in both countries. An economic slowdown in Europe led to negative performance for European equities.

In fixed income markets, short-term U.S. Treasury interest rates rose the fastest, while longer-term rates slightly increased. This led to a negative return for long-term U.S. Treasuries and a substantial flattening of the yield curve. Many investors are concerned with the flattening yield curve as a harbinger of recession. However, given the extraordinary monetary measures in the last decade, we believe a more accurate barometer for the economy is the returns along the risk spectrums in stock and bond markets. Although the fundamentals in credit markets remained relatively solid, investment-grade bonds declined slightly, and high-yield bonds posted modest returns.

In response to rising growth and inflation, the U.S. Federal Reserve (the “Fed”) increased short-term interest rates four times during the reporting period. The Fed also continued to reduce its balance sheet during the reporting period, gradually reversing the unprecedented stimulus measures it enacted after the financial crisis. We believe the Fed is likely to continue to raise interest rates in the coming year. By our estimation, the Fed’s neutral interest rate, or the theoretical rate that is neither stimulative nor restrictive to the economy, is approximately 3.0%. With that perspective, the Fed’s current policy is still mildly stimulative to the U.S. economy, which leaves room for further Fed rate hikes to arrive at monetary policy that is a neutral factor for economic growth.

The U.S. economy continued to gain momentum despite the Fed’s modest reduction of economic stimulus; unemployment declined to 3.7%, the lowest rate of unemployment in almost 50 years. The number of job openings reached a record high of more than 7 million, which exceeded the total number of unemployed workers. Strong economic performance has justified the Fed’s somewhat faster pace of rate hikes, as several inflation measures and investors’ expectations for inflation have already surpassed the Fed’s target of 2.0% per year.

While markets have recently focused on the risk of rising long-term interest rates, we continue to believe the primary risk to economic expansion is trade protectionism that could lead to slower global trade and unintended consequences for the globalized supply chain. So far, U.S. tariffs have only had a modest negative impact on economic growth, but the fear of an escalating trade war has stifled market optimism somewhat, leading to higher volatility in risk assets. The outcome of trade negotiations between the United States and China is likely to influence the global growth trajectory and set the tone for free trade in many other nations. Easing of tensions could lead to greater upside for markets, while additional tariffs could adversely affect investor sentiment.

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 October 31, 2018
	6-month	12-month
U.S. large cap equities (S&P 500^® Index)	3.40%	7.35%
U.S. small cap equities (Russell 2000^® Index)	(1.37)	1.85
International equities (MSCI Europe, Australasia, Far East Index)	(9.92)	(6.85)
Emerging market equities (MSCI Emerging Markets Index)	(16.53)	(12.52)
3-month Treasury bills (ICE BofAML 3-Month U.S. Treasury Bill Index)	0.99	1.68
U.S. Treasury securities (ICE BofAML 10-Year U.S. Treasury Index)	(0.60)	(4.37)
U.S. investment grade bonds (Bloomberg Barclays U.S. Aggregate Bond Index)	(0.19)	(2.05)
Tax-exempt municipal bonds (S&P Municipal Bond Index)	0.45	(0.31)
U.S. high yield bonds (Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index)	1.14	0.98
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
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		83
Statements of Operations		85
Statements of Changes in Net Assets		86
Statements of Cash Flows		88
Financial Highlights		90
Notes to Financial Statements		93
Report of Independent Registered Public Accounting Firm		107
Important Tax Information		107
Disclosure of Investment Advisory Agreements and Sub-Advisory Agreement		108
Automatic Dividend Reinvestment Plan		112
Trustee and Officer Information		113
Additional Information		116
Glossary of Terms Used in this Report		118


			3


Trust Summary as of October 31, 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 October 31, 2018 ($11.72)^(a)		6.86%
Current Monthly Distribution per Common Share^(b)		$0.0670
Current Annualized Distribution per Common Share^(b)		$0.8040
Economic Leverage as of October 31, 2018^(c)		33%

^(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


	10/31/18		10/31/17		Change			High		Low
Market Price	$	11.72	$	13.36		(12.28	)%	$	13.51	$	11.65
Net Asset Value		13.72		14.88		(7.80	)		14.92		13.71

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

LOGO


4		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of October 31, 2018 (continued)		BlackRock Credit Allocation Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended October 31, 2018 were as follows:


	Average Annual Total Returns
	1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		(1.72	)%		5.35	%		5.30	%
Trust at Market Price^(a)(b)		(6.49	)		4.53			5.01
Reference Benchmark^(c)		(1.78	)		3.82			3.69
Bloomberg Barclays U.S. Credit Index^(d)		(2.81	)		2.34			2.81
Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index^(e)		0.98			6.60			4.69
Bloomberg Barclays USD Capital Securities Index^(f)		(3.29	)		3.35			4.32

^(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 small allocation to emerging market-related debt had a negative impact on performance as rising interest rates, a strengthening U.S. dollar and idiosyncratic events weighed on the asset class. Additionally, the Trust’s allocations to European investment grade and high yield corporate debt detracted, with exposure to the banking sector weighing most heavily on return.

The Trust’s allocation to U.S. high yield corporate bonds helped performance as a positive technical backdrop supported the asset class amid volatility in other credit markets. An allocation to collateralized loan obligations (“CLOs”) also added to performance as the asset class benefited from rising short-term rates and investor appetite for floating rate debt. Positioning with respect to overall portfolio duration (and corresponding sensitivity to interest rate changes) was positive for performance as well, as the Trust had a relatively short duration in a period of rising rates.

Describe recent portfolio activity.

Over the period, the Trust’s out-of-benchmark exposure to CLOs was increased in order to benefit from demand for floating rate products in a rising rate environment. Additionally, the Trust increased its exposure to U.S. high yield corporate bonds over the period with an emphasis on the technology and energy sectors, as strong credit fundamentals and an improved technical backdrop have supported the asset class.

The Trust utilized derivatives including financial futures over the period 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, although increased downside risks led the investment adviser to adopt a slightly more cautious stance. The Trust maintained an underweight position with respect to duration (and interest rate sensitivity) on the view that rates could continue to rise, along with an allocation to CLOs, which benefit from rising short-term rates. The largest overweight positions were to banks within financials and to midstream energy and telecommunication services companies within industrials. The Trust was underweight in sectors viewed as facing structural challenges such as retailers and life insurance companies.

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 October 31, 2018 (continued)		BlackRock Credit Allocation Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	10/31/18			10/31/17
Corporate Bonds		74	%		73	%
Preferred Securities		17			19
Asset-Backed Securities		6			3
U.S. Treasury Obligations		—			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: Short-Term Securities, U.S. Government Sponsored Agency Securities, Options Purchased and Options Written.

^(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)


	10/31/18			10/31/17
AAA/Aaa^(e)		1	%		2	%
AA/Aa		2			3
A		18			16
BBB/Baa		50			51
BB/Ba		17			19
B		10			8
CCC/Caa		2			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 ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of October 31, 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 October 31, 2018 ($12.72)^(a)		5.83%
Current Monthly Distribution per Common Share^(b)		$0.0618
Current Annualized Distribution per Common Share^(b)		$0.7416
Economic Leverage as of October 31, 2018^(c)		30%

^(a)

^(b)

The distribution rate is not constant and is subject to change.

^(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


	10/31/18		10/31/17		Change			High		Low
Market Price	$	12.72	$	14.31		(11.11	)%	$	14.32	$	12.72
Net Asset Value		14.33		14.49		(1.10	)		14.54		14.29

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

LOGO


TRUST SUMMARY			7


Trust Summary as of October 31, 2018 (continued)		BlackRock Floating Rate Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended October 31, 2018 were as follows:


	Average Annual Total Returns
	1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		4.25	%		5.87	%		5.15	%
Trust at Market Price^(a)(b)		(6.30	)		5.37			3.63
S&P/LSTA Leveraged Loan Index^(c)		4.54			5.37			3.97

^(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?

From a sector perspective, the technology, health care and consumer cyclical services sectors were the largest contributors to the Trust’s performance. By credit rating, B-rated positions were the largest contributors to performance, followed by BB-rated and CCC-rated positions. In terms of asset allocation, contributions to performance were led by floating rate loan interests (“bank loans”), followed by high yield bonds and collateralized loan obligations (“CLOs”).

On the downside, at the sector level, wireless, banking and integrated energy holdings were the largest detractors from the Trust’s performance. There were no detractors from a credit rating perspective. Small positions in high yield credit default swaps and bank loan index products detracted slightly as well.

Describe recent portfolio activity.

The majority of the Trust was invested in B-rated bank loans over the 12-month period, with BB-rated names as the second largest allocation. Over the period, the Trust decreased its position in BB-rated loans in favor of B-rated positions. Additionally, the Trust trimmed its small CCC-rated allocation. On a sector basis, the Trust reduced its allocation to the communications space, particularly with respect to cable & satellite and wireless companies. The Trust also decreased its allocation to the gaming sector and continued to avoid cyclical sectors such as retailers and leisure. The Trust reduced its high yield bond exposure over the period and increased its allocation to CLOs.

Describe portfolio positioning at period end.

At period end, the Trust held the majority of its portfolio in floating rate bank loans, along with modest allocations to high yield bonds and CLOs. 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 Trust’s largest overweight positions were within health care, technology and pharmaceuticals issuers. By contrast, the Trust was underweight in the broad consumer cyclicals space, particularly to retailers, automotive and leisure issuers. Within energy, the Trust was focused on higher-quality issuers within the independent energy segment as opposed to the potentially more volatile oil field services space. The Trust remained focused on industries and companies with stable business profiles and consistent cash flows, while avoiding areas of the market with secular concerns and/or deteriorating fundamental trends.


8		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of October 31, 2018 (continued)		BlackRock Floating Rate Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	10/31/18			10/31/17
Floating Rate Loan Interests		92	%		93	%
Asset-Backed Securities		5			1
Corporate Bonds		2			5
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)


	10/31/18			10/31/17
AA/Aa		1	%		—	^(a)%
A		1			1
BBB/Baa		10			8
BB/Ba		39			42
B		43			42
CCC/Caa		3			3
N/R		3			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 October 31, 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 October 31, 2018 ($16.25)^(a)		8.62%
Current Monthly Distribution per Common Share^(b)		$0.1167
Current Annualized Distribution per Common Share^(b)		$1.4004
Economic Leverage as of October 31, 2018^(c)		35%

^(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


	10/31/18		10/31/17		Change			High		Low
Market Price	$	16.25	$	18.55		(12.40	)%	$	18.59	$	16.18
Net Asset Value		18.79		20.07		(6.38	)		20.09		18.68

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

LOGO


10		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS


Trust Summary as of October 31, 2018 (continued)		BlackRock Multi-Sector Income Trust

Performance and Portfolio Management Commentary

Returns for the period ended October 31, 2018 were as follows:


	Average Annual Total Returns
	1 Year			3 Years			5 Years
Trust at NAV^(a)(b)		2.18	%		9.95	%		9.31	%
Trust at Market Price^(a)(b)		(4.40	)		9.93			8.46
Lipper General Bond Funds at NAV^(c)		3.21			7.21			6.07
Lipper General Bond Funds at Market Price^(c)		(0.36	)		9.10			6.67

^(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 positions in asset-backed securities (“ABS”), senior loans, commercial mortgage-backed securities (“CMBS”), and non-agency mortgage-backed securities (“MBS”) were the largest contributors to Trust performance for the period. Allocations to collateralized loan obligations and high yield corporate issues also contributed.

The Trust’s allocation to sovereign plus securities represented the largest detractor from performance during the period. Holdings in investment grade corporate securities, capital securities and emerging market issues also detracted from returns.

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

Describe recent portfolio activity.

At the start of the 12-month period, the Trust was positioned to benefit from a generally supportive market environment for risk assets given synchronized global growth, low volatility and robust economic data, particularly in the United States. As market volatility began to pick up over the course of the period, the Trust’s positioning shifted to a more defensive posture, and the investment adviser began to focus on allocating to more liquid sectors within the fixed income market. In addition, the Trust’s allocation to emerging market debt was reduced as the segment came under pressure in the latter half of the period due to a stronger U.S. dollar, heightened political uncertainty and global trade tensions. Securitized sectors had been resilient despite broad market volatility, but given that spreads in many areas of the securitized market were at their narrowest levels since the 2008 financial crisis, the Trust reduced its allocations to ABS and CMBS. As valuations improved based on waning demand from banks and overseas investors, the Trust rotated into sectors such as agency MBS. The Trust also added some exposure to U.S. Treasuries. The Trust’s duration was reduced over the period, as the investment adviser believed that a combination of increased U.S. Treasury issuance and monetary policy tightening by global central banks would continue to push rates higher.

Describe portfolio positioning at period end.

At period end, the Trust maintained diversified exposure mainly across non-government spread sectors including securitized products, high yield and investment-grade corporate issues, and emerging market debt.


TRUST SUMMARY			11


Trust Summary as of October 31, 2018 (continued)		BlackRock Multi-Sector Income Trust

Overview of the Trust’s Total Investments

PORTFOLIO COMPOSITION


	10/31/18			10/31/17
Corporate Bonds		42	%		42	%
Asset-Backed Securities		15			17
Non-Agency Mortgage-Backed Securities		11			13
Preferred Securities		11			11
Foreign Agency Obligations		10			6
Floating Rate Loan Interests		6			9
U.S. Government Sponsored Agency Securities		3			2
Short-Term Securities		2			—	^(a)
Other		—	^(b)		—	^(c)

^(a)

Represents less than 1% of total investments.

^(b)

Includes a less than 1% holding in Common Stocks.

^(c)

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

CREDIT QUALITY ALLOCATION^(d)(e)


	10/31/18			10/31/17
AAA/Aaa^(f)		2	%		—	%^(a)
AA/Aa		7			1
A		5			5
BBB/Baa		18			16
BB/Ba		20			29
B		17			18
CCC/Caa		7			16
CC/Ca		8			—	^(a)
C		4			4
N/R		12			11

^(d)

^(e)

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

^(f)


12		2018 BLACKROCK 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 33 1/3% 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 of 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

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Asset-Backed Securities — 8.6%
Allegro CLO II-S Ltd., Series 2014-1RA, Class B, 4.30%, 10/21/28^(a)(b)		USD	500	$	499,729
Allegro CLO VI Ltd., Series 2017-2A^(a)(b):
Class B, 3.95%, 01/17/31			360		355,441
Class C, 4.25%, 01/17/31			2,400		2,381,761
Class D, 5.20%, 01/17/31			1,300		1,280,475
ALM VI Ltd., Series 2012-6A, Class BR3, 4.19%, 07/15/26^(a)(b)			1,500		1,483,899
ALM VII R Ltd., Series 2013-7R2A^(a)(b):
Class A2R2, 4.09%, 10/15/27			750		749,907
Class BR2, 4.64%, 10/15/27			400		399,759
ALM XVI Ltd./ALM XVI LLC, Series 2015-16A^(a)(b):
Class BR2, 4.34%, 07/15/27			1,000		996,541
Class CR2, 5.14%, 07/15/27			1,000		983,157
AMMC CLO 22 Ltd., Series 2018-22A, Class D, 5.19%, 04/25/31^(a)(b)			1,000		988,193
AMMC CLO XII Ltd., Series 2013-12A, Class CR, 4.24%, 11/10/30^(a)(b)			1,500		1,480,772
Anchorage Capital CLO Ltd.^(a)(b):
Series 2013-1A, Class BR, 4.59%, 10/13/30			1,000		1,000,414
Series 2014-3RA, Class C, 4.36%, 01/28/31			1,000		983,739
Series 2014-3RA, Class D, 5.11%, 01/28/31			1,000		985,622
Series 2015-7A, Class CR, 4.14%, 10/15/27			1,750		1,735,710
Series 2015-7A, Class DR, 5.14%, 10/15/27			1,000		998,669
Apidos CLO XV, Series 2013-15A^(a)(b):
Class CRR, 4.32%, 04/20/31			1,000		991,423
Class DRR, 5.17%, 04/20/31			1,000		977,885
Apidos CLO XX, Series 2015-20A, Class BRR, 4.39%, 07/16/31^(a)(b)			1,000		991,823
Ares CLO Ltd.^(a)(b):
3.94%, 10/15/30			1,000		992,891
4.24%, 10/15/30			1,750		1,737,657
Ares XLIX CLO Ltd., Series 2018-49A, Class D, 5.34%, 07/22/30^(a)(b)(c)			1,000		1,001,016
Ares XLVII CLO Ltd.^(a)(b):
Series 2018-47A, Class D, 5.14%, 04/15/30			1,500		1,482,088
Series 2018-48A, Class C, 4.14%, 07/20/30			500		495,800
Ares XXXVR CLO Ltd., Series 2015-35RA, Class D, 5.44%, 07/15/30^(a)(b)			1,000		1,005,001
Atlas Senior Loan Fund X Ltd., Series 2018-10A^(a)(b):
Class B, 3.94%, 01/15/31			500		493,506
Class C, 4.29%, 01/15/31			1,000		991,621
Class D, 5.19%, 01/15/31			1,700		1,674,423
Atlas Senior Loan Fund XII Ltd., Series 2018-12A, Class A1, 3.63%, 10/24/31^(a)(b)			400		399,210
Benefit Street Partners CLO XII Ltd., Series 2017-12A^(a)(b):
Class B, 4.44%, 10/15/30			1,000		992,427
Class C, 5.49%, 10/15/30			2,000		2,001,390
BlueMountain CLO Ltd., Series 2012-2A, Class AR, (3 mo. LIBOR US + 1.42%), 3.74%, 11/20/28^(a)(d)			2,000		2,001,103
Bowman Park CLO Ltd., Series 2014-1A, Class D2R, (3 mo. LIBOR US + 3.35%), 5.66%, 11/23/25^(a)(d)			1,000		1,000,837
Carlyle Global Market Strategies CLO Ltd.^(a):
Series 2013-4A, Class DRR, 5.09%, 01/15/31^(b)			1,000		981,615
Series 2014-5A, Class A1RR, 3.47%, 07/15/31^(b)			2,300		2,300,004
Series 2016-3A, Class C, (3 mo. LIBOR US + 4.00%), 6.47%, 10/20/29^(d)			1,000		1,001,531
Carlyle US CLO Ltd.^(a):
Series 2016-4A, Class BR, 4.57%, 10/20/27^(b)			250		249,860
Series 2017-2A, Class C, (3 mo. LIBOR US + 3.70%), 6.17%, 07/20/31^(d)			500		503,949


Security	Par (000)			Value
Asset-Backed Securities (continued)
Cedar Funding VI CLO Ltd., Series 2016-6A, Class BR, 4.07%, 10/20/28^(a)(b)		USD	250	$	249,981
Cent CLO 17 Ltd., Series C17A^(a)(b):
Class BR, 4.37%, 04/30/31			1,000		995,143
Class CR, 5.32%, 04/30/31			1,000		995,158
CIFC Funding Ltd.^(a)(b):
5.09%, 04/18/31			1,200		1,181,688
Series 2013-2A, Class A3LR, 4.39%, 10/18/30			1,000		992,444
Series 2013-2A, Class B1LR, 5.49%, 10/18/30			1,000		1,001,775
Series 2014-4RA, Class A2, 4.11%, 10/17/30^(e)			600		600,000
Series 2014-4RA, Class B, 4.66%, 10/17/30^(e)			400		400,000
Series 2014-4RA, Class C, 5.66%, 10/17/30^(e)			400		400,000
Series 2018-1A, Class C, 4.19%, 04/18/31			1,000		995,599
Elevation CLO Ltd., Series 2017-7A, Class C, 4.34%, 07/15/30^(a)(b)			1,500		1,472,171
Galaxy XX CLO Ltd., Series 2015-20A, Class D1R, 5.07%, 04/20/31^(a)(b)			1,000		983,282
Galaxy XXVII CLO Ltd., Series 2018-27A, Class C, 4.12%, 05/16/31^(a)(b)			1,500		1,486,988
Greenwood Park CLO Ltd., Series 2018-1A, Class D, 4.94%, 04/15/31^(a)(b)			1,000		977,810
Highbridge Loan Management Ltd.^(a)(b):
Series 12A-18, Class B, 4.22%, 07/18/31			1,250		1,237,964
Series 4A-2014, Class A2R, 4.01%, 01/28/30			650		641,843
Series 4A-2014, Class BR, 4.36%, 01/28/30			750		743,928
Series 6A-2015, Class BR, 4.09%, 02/05/31			1,500		1,477,746
Series 7A-2015, Class CR, 4.01%, 03/15/27			2,000		1,987,881
Series 7A-2015, Class DR, 4.71%, 03/15/27			1,000		978,666
Series 8A-2016, Class DR, 5.25%, 07/20/30			500		496,222
Limerock CLO III LLC, Series 2014-3A, Class C, (3 mo. LIBOR US + 3.60%), 6.07%, 10/20/26^(a)(d)			1,000		1,002,562
Long Point Park CLO Ltd., Series 2017-1A, Class B, 4.15%, 01/17/30^(a)(b)			1,000		988,705
Madison Park Funding Ltd., Series 2018-27A, Class B, 4.27%, 04/20/30^(a)(b)			1,000		991,377
Madison Park Funding XIII Ltd., Series 2014-13A, Class CR2, 4.35%, 04/19/30^(a)(b)			1,000		998,976
Madison Park Funding XV Ltd., Series 2014-15A, Class B1R, (3 mo. LIBOR US + 2.20%), 4.71%, 01/27/26^(a)(d)			2,000		2,003,451
Madison Park Funding XXVII Ltd., Series 2018-27A, Class C, 5.07%, 04/20/30^(a)(b)			1,000		984,997
Madison Park Funding XXX Ltd., Series 2018-30A, Class D, 4.94%, 04/15/29^(a)(b)			1,000		985,057
Marble Point CLO XI Ltd., Series 2017-2A^(a)(b):
Class A, 3.62%, 12/18/30			1,500		1,497,146
Class B, 3.94%, 12/18/30			1,000		989,678
Mill Creek II CLO Ltd., Series 2016-1A, Class D, (3 mo. LIBOR US + 4.85%), 7.32%, 04/20/28^(a)(d)			1,000		1,000,492
MP CLO III Ltd., Series 2013-1A, Class CR, 4.47%, 10/20/30^(a)(b)			1,000		993,951
Neuberger Berman CLO XV Ltd., Series 2013-15A, Class CR, 4.49%, 10/15/29^(a)(b)			1,000		995,544
Neuberger Berman CLO XXI Ltd., Series 2016-21A^(a)(b):
Class CR, 4.07%, 04/20/27			1,000		991,793
Class DR, 4.87%, 04/20/27			1,000		978,200
Neuberger Berman CLO XXII Ltd., Series 2016-22A^(a)(b):
Class BR, 4.10%, 10/17/30			400		399,923
Class CR, 4.65%, 10/17/30			1,000		999,169
Neuberger Berman Loan Advisers CLO 26 Ltd., Series 2017-26A^(a)(b):
Class A, 3.61%, 10/18/30			2,000		2,003,416


14		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Asset-Backed Securities (continued)
Class B, 3.94%, 10/18/30		USD	1,000	$	990,431
Class C, 5.12%, 10/18/30			1,500		1,475,714
Neuberger Berman Loan Advisers CLO 27 Ltd., Series 2018-27A, Class D, 5.04%, 01/15/30^(a)(b)			1,000		983,081
Oak Hill Credit Partners XII Ltd., Series 2015-12A, Class DR, 5.38%, 07/23/30^(a)(b)			600		596,999
OCP CLO Ltd.^(a)(b):
Series 2015-8A, Class CR, 5.25%, 04/17/27			1,000		1,001,050
Series 2017-14A, Class B, 4.27%, 11/20/30			1,000		982,177
Octagon Investment Partners Ltd.^(a)(b):
Series 2016-1A, Class DR, 5.29%, 07/15/30			500		500,093
Series 2017-1A, Class B1, 3.87%, 01/20/30			1,000		990,234
Series 2017-1A, Class C, 5.22%, 01/20/31			1,000		995,003
Octagon Investment Partners XIV Ltd., Series 2012-1A, Class A1AR, (3 mo. LIBOR US + 1.17%), 3.61%, 07/15/29^(a)(d)			1,000		1,000,765
Octagon Investment Partners XVII Ltd., Series 2013-1A^(a)(b):
Class BR2, 3.89%, 01/25/31			1,000		993,279
Class CR2, 4.19%, 01/25/31			1,000		985,888
Octagon Investment Partners XXII Ltd., Series 2014-1A, Class CRR, 4.37%, 01/22/30^(a)(b)			900		892,500
OHA Credit Partners XIV Ltd., Series 2017-14A, Class C, 4.27%, 01/21/30^(a)(b)			1,250		1,236,000
OZLM Funding IV Ltd., 4.67%, 10/22/30^(a)(b)			1,000		1,001,763
OZLM VI Ltd., Series 2014-6A, Class CS, 5.58%, 04/17/31^(a)(b)			500		503,445
OZLM XIX Ltd., Series 2017-19A, Class C, 5.54%, 11/22/30^(a)(b)			1,000		1,002,692
OZLM XXI Ltd., Series 2017-21A, Class B, 4.37%, 01/20/31^(a)(b)			1,800		1,796,747
Palmer Square CLO Ltd.^(a)(b):
Series 2013-2A, Class A2RR, 4.20%, 10/17/31^(e)			650		649,935
Series 2013-2A, Class BRR, 4.65%, 10/17/31^(e)			750		750,000
Series 2013-2A, Class CRR, 5.65%, 10/17/31^(e)			250		250,000
Series 2018-1A, Class A2, 3.89%, 04/18/31			1,500		1,480,058
Recette CLO Ltd., Series 2015-1A^(a)(b):
Class CR, 4.17%, 10/20/27			1,500		1,487,567
Class DR, 5.22%, 10/20/27			1,000		996,735
Rockford Tower CLO Ltd., Series 2017-3A^(a)(b):
Class A, 3.66%, 10/20/30			2,000		2,001,483
Class D, 5.12%, 10/20/30			1,000		977,748
Sound Point Clo XXI Ltd., Series 2018-3A, Class A1A, 3.59%, 10/26/31^(a)(b)			1,400		1,399,189
Stewart Park CLO Ltd., Series 2015-1A^(a)(b):
Class CR, 4.24%, 01/15/30			1,500		1,480,693
Class DR, 5.04%, 01/15/30			1,500		1,482,291
Symphony CLO XV Ltd., Series 2014-15A^(a)(d):
Class CR, (3 mo. LIBOR US + 2.20%), 4.65%, 10/17/26			2,500		2,497,007
Class DR, (3 mo. LIBOR US + 3.35%), 5.80%, 10/17/26			1,000		1,002,129
Tiaa CLO III Ltd., Series 2017-2A, Class A, 3.59%, 01/16/31^(a)(b)			2,500		2,494,401
Voya CLO Ltd., Series 2018-1A, Class C, 4.94%, 04/19/31^(a)(b)			1,000		980,100
York CLO 1 Ltd., Series 2014-1A, Class ARR, 3.29%, 10/22/29^(a)(b)			2,000		1,996,705
York CLO-2 Ltd., Series 2015-1A^(a)(b):
Class CR, 4.32%, 01/22/31			1,500		1,484,295
Class DR, 5.07%, 01/22/31			1,800		1,752,572

Total Asset-Backed Securities — 8.6% (Cost — $124,689,930)					123,762,343


Security	Par (000)			Value
Corporate Bonds — 109.0%

Aerospace & Defense — 2.1%
Arconic, Inc.:
5.13%, 10/01/24		USD	3,551	$	3,517,976
5.90%, 02/01/27			1,877		1,862,922
BBA US Holdings, Inc., 5.38%, 05/01/26^(a)			672		664,440
Bombardier, Inc.^(a):
7.75%, 03/15/20			354		367,275
8.75%, 12/01/21			2,034		2,186,550
5.75%, 03/15/22			286		282,783
6.00%, 10/15/22			14		13,738
6.13%, 01/15/23			629		621,138
7.50%, 12/01/24			992		1,008,120
7.50%, 03/15/25			3,592		3,590,922
KLX, Inc., 5.88%, 12/01/22^(a)			2,165		2,229,950
Northrop Grumman Corp., 4.03%, 10/15/47			6,425		5,729,935
TransDigm UK Holdings PLC, 6.88%, 05/15/26^(a)			500		498,750
TransDigm, Inc.:
6.00%, 07/15/22			3,765		3,783,825
6.50%, 07/15/24			1,260		1,273,658
6.38%, 06/15/26			395		387,100
United Technologies Corp., 4.63%, 11/16/48			2,805		2,698,381

					30,717,463
Air Freight & Logistics — 0.1%
XPO Logistics, Inc., 6.50%, 06/15/22^(a)			1,174		1,203,350

Airlines — 1.0%
American Airlines Group, Inc.:
4.63%, 03/01/20^(a)			692		692,000
5.18%, 08/15/23			2,945		2,952,363
5.18%, 10/15/23			2,830		2,829,881
Delta Air Lines Pass-Through Trust, Series 2002-1, Class G-1, 6.72%, 07/02/24			2,728		2,898,160
Turkish Airlines Pass-Through Trust, Series 2015-1 Class A, 4.20%, 09/15/28^(a)			2,398		2,169,815
United Airlines Pass-Through Trust, Series 2014-1, Class B, 4.75%, 10/11/23			2,854		2,875,932
Virgin Australia Trust, Series 2013-1, Class B, 6.00%, 04/23/22^(a)			300		303,074

					14,721,225
Auto Components — 0.6%
Allison Transmission, Inc., 5.00%, 10/01/24^(a)			68		66,002
General Motors Co., 5.95%, 04/01/49			3,455		3,207,681
Goodyear Tire & Rubber Co., 5.00%, 05/31/26			535		486,850
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
6.00%, 08/01/20			3,108		3,135,195
6.38%, 12/15/25			388		385,575
Tesla, Inc., 5.30%, 08/15/25^(a)			1,043		926,966

					8,208,269
Automobiles — 0.5%
Ford Motor Co., 7.45%, 07/16/31			3,660		3,851,910
General Motors Co.:
4.88%, 10/02/23			1,875		1,897,771
6.25%, 10/02/43			940		899,618

					6,649,299
Banks — 6.4%
Barclays PLC:
4.84%, 05/09/28			4,000		3,691,778
4.97%, 05/16/29^(b)			3,220		3,124,892
CIT Group, Inc.:
5.00%, 08/01/23			370		370,925
5.25%, 03/07/25			925		930,781


SCHEDULES OF INVESTMENTS			15

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Banks (continued)
City National Corp., 5.25%, 09/15/20		USD	2,900	$	2,987,197
Cooperatieve Rabobank UA, 3.95%, 11/09/22^(f)			3,775		3,739,522
Credit Suisse Group AG, 6.50%, 08/08/23^(a)			6,000		6,338,304
Discover Bank/Greenwood, 8.70%, 11/18/19			748		785,333
Fifth Third Bancorp (3 mo. LIBOR US + 3.03%), 5.10%^(g)(h)			5,000		4,762,500
HSBC Finance Corp., 6.68%, 01/15/21^(f)			5,150		5,444,737
Intesa Sanpaolo SpA, 5.71%, 01/15/26^(a)			9,840		8,735,856
Lloyds Banking Group PLC^(f):
4.45%, 05/08/25			3,665		3,645,499
4.65%, 03/24/26			8,650		8,371,230
Royal Bank of Scotland Group PLC, 6.00%, 12/19/23^(f)			10,080		10,357,586
Santander Holdings USA, Inc., 4.40%, 07/13/27			830		774,633
SunTrust Banks, Inc. (3 mo. LIBOR US + 3.10%), 5.05%^(g)(h)			5,270		5,093,982
Wells Fargo & Co.^(f):
4.13%, 08/15/23			4,000		4,009,584
4.10%, 06/03/26			15,000		14,610,560
5.61%, 01/15/44			4,119		4,385,128

					92,160,027
Beverages — 1.0%
Anheuser-Busch InBev Finance, Inc., 4.90%, 02/01/46			6,170		5,812,094
Anheuser-Busch InBev Worldwide, Inc., 4.75%, 04/15/58			4,000		3,568,593
Keurig Dr. Pepper, Inc., 4.60%, 05/25/28^(a)			3,215		3,168,419
Molson Coors Brewing Co., 4.20%, 07/15/46			1,665		1,405,859

					13,954,965
Biotechnology — 0.8%
Amgen, Inc., 4.66%, 06/15/51^(f)			6,709		6,211,790
Baxalta, Inc., 5.25%, 06/23/45			6,000		6,029,417

					12,241,207
Building Products — 0.3%
American Builders & Contractors Supply Co., Inc., 5.75%, 12/15/23^(a)			371		366,363
Building Materials Corp. of America, 6.00%, 10/15/25^(a)			1,832		1,802,230
Masonite International Corp.^(a):
5.63%, 03/15/23			488		484,950
5.75%, 09/15/26			382		362,900
Standard Industries, Inc.^(a):
5.50%, 02/15/23			335		328,300
5.38%, 11/15/24			410		393,600
USG Corp., 4.88%, 06/01/27^(a)			445		445,973

					4,184,316
Capital Markets — 3.6%
Goldman Sachs Group, Inc.:
7.50%, 02/15/19^(f)			5,165		5,231,017
5.25%, 07/27/21			1,175		1,222,021
5.75%, 01/24/22^(f)			5,500		5,811,740
6.25%, 02/01/41^(f)			15,000		17,412,649
Morgan Stanley^(f):
5.63%, 09/23/19			6,770		6,915,171
5.00%, 11/24/25			15,000		15,337,156
NFP Corp., 6.88%, 07/15/25^(a)			222		215,340

					52,145,094
Chemicals — 1.4%
Axalta Coating Systems LLC, 4.88%, 08/15/24^(a)			715		674,781
Basell Finance Co. BV, 8.10%, 03/15/27^(a)(f)			6,000		7,302,954
Chemours Co., 5.38%, 05/15/27			207		192,510


Security	Par (000)			Value
Chemicals (continued)
GCP Applied Technologies, Inc., 5.50%, 04/15/26^(a)		USD	448	$	433,440
Huntsman International LLC, 5.13%, 11/15/22			2,495		2,516,831
NOVA Chemicals Corp., 4.88%, 06/01/24^(a)			956		878,325
Olin Corp.:
5.13%, 09/15/27			270		251,438
5.00%, 02/01/30			297		266,656
Platform Specialty Products Corp.^(a):
6.50%, 02/01/22			3,006		3,047,332
5.88%, 12/01/25			2,718		2,582,100
PQ Corp., 6.75%, 11/15/22^(a)			935		963,050
WR Grace & Co-Conn, 5.63%, 10/01/24^(a)			1,660		1,689,050

					20,798,467
Commercial Services & Supplies — 3.2%
ADT Corp.:
3.50%, 07/15/22			53		49,158
4.13%, 06/15/23			810		751,275
4.88%, 07/15/32^(a)			884		696,150
Aviation Capital Group Corp.^(a):
7.13%, 10/15/20^(f)			31,000		32,966,435
6.75%, 04/06/21			7,850		8,360,707
Avolon Holdings Funding Ltd., 5.13%, 10/01/23^(a)			918		900,788
CD&R Waterworks Merger Sub LLC, 6.13%, 08/15/25^(a)			1,061		994,687
KAR Auction Services, Inc., 5.13%, 06/01/25^(a)			595		559,300
Park Aerospace Holdings Ltd., 5.50%, 02/15/24^(a)			356		352,529

					45,631,029
Communications Equipment — 0.2%
CommScope Technologies LLC^(a):
6.00%, 06/15/25			467		454,157
5.00%, 03/15/27			677		604,338
CommScope, Inc., 5.50%, 06/15/24^(a)			254		245,428
Zayo Group LLC/Zayo Capital, Inc.:
6.38%, 05/15/25			750		766,875
5.75%, 01/15/27^(a)			1,360		1,333,072

					3,403,870
Construction & Engineering — 0.3%
BlueLine Rental Finance Corp., 9.25%, 03/15/24^(a)			2,320		2,421,500
Brand Energy & Infrastructure Services, Inc., 8.50%, 07/15/25^(a)			714		703,290
Engility Corp., 8.88%, 09/01/24			727		786,069
Pisces Midco, Inc., 8.00%, 04/15/26^(a)			422		409,867

					4,320,726
Construction Materials — 0.3%
American Builders & Contractors Supply Co., Inc., 5.88%, 05/15/26^(a)			537		520,890
HD Supply, Inc., 5.38%, 10/15/26^(a)			4,222		4,037,287

					4,558,177
Consumer Discretionary — 0.1%
Viking Cruises Ltd., 5.88%, 09/15/27^(a)			2,159		2,045,652

Consumer Finance — 2.0%
Ally Financial, Inc.:
5.13%, 09/30/24			590		599,588
8.00%, 11/01/31^(f)			3,832		4,607,980
Capital One Bank USA NA, 3.38%, 02/15/23^(f)			2,000		1,933,174
Capital One Financial Corp., 3.75%, 03/09/27			6,500		6,015,973
Discover Financial Services, 3.85%, 11/21/22			3,252		3,188,779
Financial & Risk US Holdings, Inc.^(a):
6.25%, 05/15/26			4,037		4,016,815
8.25%, 11/15/26			1,294		1,258,415
Navient Corp.:
6.63%, 07/26/21			461		474,254


16		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Consumer Finance (continued)
6.50%, 06/15/22		USD	434	$	441,595
7.25%, 09/25/23			996		1,030,860
6.75%, 06/15/26			516		492,780
Springleaf Finance Corp., 7.13%, 03/15/26			1,039		984,452
Total System Services, Inc., 3.80%, 04/01/21			1,630		1,632,912
Verscend Escrow Corp., 9.75%, 08/15/26^(a)			1,634		1,638,085

					28,315,662
Containers & Packaging — 0.6%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc.^(a):
4.63%, 05/15/23			760		739,100
7.25%, 05/15/24			944		948,720
Crown Americas LLC/Crown Americas Capital Corp.:
4.75%, 02/01/26^(a)			947		893,731
4.25%, 09/30/26			724		657,030
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Lu:
5.75%, 10/15/20			2,777		2,777,463
6.88%, 02/15/21			37		36,659
5.13%, 07/15/23^(a)			222		217,005
7.00%, 07/15/24^(a)			1,593		1,593,996
Sealed Air Corp., 6.88%, 07/15/33^(a)			182		187,460

					8,051,164

Diversified Consumer Services — 0.7%
Prime Security Services Borrower LLC/Prime Finance, Inc., 9.25%, 05/15/23^(a)			6,034		6,376,128
Service Corp. International, 4.50%, 11/15/20			4,382		4,373,784

					10,749,912

Diversified Financial Services — 6.9%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, 3.95%, 02/01/22			1,500		1,484,381
Air Lease Corp., 3.75%, 02/01/22			5,000		4,971,515
Aircastle Ltd., 6.25%, 12/01/19			3,937		4,046,055
Bank of America Corp.^(f):
5.00%, 05/13/21			17,100		17,701,451
4.45%, 03/03/26			11,765		11,636,812
BNP Paribas SA, 4.38%, 03/01/33^(a)(b)			4,000		3,712,941
Citigroup, Inc.:
4.04%, 06/01/24^(b)			4,000		3,989,800
3.70%, 01/12/26^(f)			6,000		5,737,295
6.68%, 09/13/43^(f)			4,125		4,858,508
Ford Motor Credit Co. LLC, 5.88%, 08/02/21^(f)			9,420		9,750,436
General Motors Financial Co., Inc.:
4.38%, 09/25/21			2,260		2,280,075
4.25%, 05/15/23			1,681		1,659,538
4.35%, 01/17/27			4,710		4,374,924
Jefferies Finance LLC/JFIN Co-Issuer Corp., 7.38%, 04/01/20^(a)			1,705		1,722,050
Leucadia National Corp., 5.50%, 10/18/23			4,000		4,137,163
Macquarie Group Ltd., 4.15%, 03/27/24^(a)(b)			4,000		3,961,954
Resparcs Funding LP I, 8.00%^(h)(i)(j)			4,000		1,420,000
Royal Bank of Scotland Group PLC:
6.10%, 06/10/23			2,500		2,574,927
5.13%, 05/28/24^(f)			5,250		5,174,096
UniCredit SpA (5 year USD ICE Swap + 3.70%), 5.86%, 06/19/32^(a)(g)			4,000		3,422,192
Vantiv LLC/Vanity Issuer Corp., 4.38%, 11/15/25^(a)			464		437,900

					99,054,013
Diversified Telecommunication Services — 5.5%
AT&T, Inc.:
6.30%, 01/15/38^(f)			12,000		12,827,561


Security	Par (000)			Value
Diversified Telecommunication Services (continued)
5.15%, 03/15/42		USD	250	$	230,027
4.35%, 06/15/45			367		300,930
CenturyLink, Inc.:
5.63%, 04/01/25^(f)			1,318		1,265,280
Series S, 6.45%, 06/15/21			1,176		1,202,460
Series U, 7.65%, 03/15/42			121		104,060
Series Y, 7.50%, 04/01/24			824		865,200
Embarq Corp., 8.00%, 06/01/36			1,048		998,220
Frontier Communications Corp.:
10.50%, 09/15/22			551		458,708
11.00%, 09/15/25			3,846		2,817,195
Level 3 Financing, Inc.:
5.38%, 08/15/22			2,095		2,100,237
5.13%, 05/01/23			1,183		1,174,128
5.38%, 01/15/24			754		746,460
5.38%, 05/01/25			2,003		1,955,429
5.25%, 03/15/26			320		307,200
Telecom Italia Capital SA, 6.00%, 09/30/34			960		866,400
Telefonica Emisiones SAU, 5.21%, 03/08/47			6,000		5,596,464
Verizon Communications, Inc.^(f):
5.15%, 09/15/23			8,775		9,310,878
6.40%, 09/15/33			9,475		10,860,846
6.55%, 09/15/43			13,225		15,239,861
5.01%, 04/15/49			10,578		10,294,578

					79,522,122
Electric Utilities — 5.0%
AES Corp., 5.50%, 04/15/25			304		304,760
CMS Energy Corp., 5.05%, 03/15/22^(f)			9,900		10,289,898
DPL, Inc., 7.25%, 10/15/21			94		99,817
Duke Energy Corp., 3.55%, 09/15/21			3,650		3,647,627
Emera, Inc., Series 16-A, (3 mo. LIBOR US + 5.44%), 6.75%, 06/15/76^(g)			7,500		7,800,000
Evergy Inc., 5.29%, 06/15/22^(f)(k)			5,550		5,749,927
Midland Cogeneration Venture LP, 5.25%, 03/15/25^(a)(f)			3,307		3,188,157
NextEra Energy Capital Holdings, Inc., 4.80%, 12/01/77^(b)			5,000		4,500,000
NextEra Energy Operating Partners LP^(a):
4.25%, 09/15/24			290		275,500
4.50%, 09/15/27			31		28,598
Oncor Electric Delivery Co. LLC^(f):
4.10%, 06/01/22			4,150		4,229,396
5.30%, 06/01/42			2,750		3,066,035
Progress Energy, Inc., 7.00%, 10/30/31^(f)			12,000		14,846,720
Puget Energy, Inc.:
6.00%, 09/01/21			275		290,954
5.63%, 07/15/22^(f)			5,550		5,840,856
Southern Co., 4.40%, 07/01/46^(f)			7,500		6,891,040
TerraForm Power Operating LLC^(a):
4.25%, 01/31/23			470		445,325
5.00%, 01/31/28			470		420,063

					71,914,673
Electronic Equipment, Instruments & Components — 0.3%
CDW LLC/CDW Finance Corp.:
5.00%, 09/01/23			306		304,470
5.50%, 12/01/24			2,517		2,542,170
Energizer Gamma Acquisition, Inc., 6.38%, 07/15/26^(a)			222		222,000
Sanmina Corp., 4.38%, 06/01/19^(a)			1,415		1,413,231

					4,481,871
Energy Equipment & Services — 0.7%
Ensco PLC:
4.50%, 10/01/24			196		159,250


SCHEDULES OF INVESTMENTS			17

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Energy Equipment & Services (continued)
7.75%, 02/01/26		USD	956	$	891,470
Halliburton Co., 5.00%, 11/15/45^(f)			6,615		6,643,893
Noble Holding International Ltd., 5.25%, 03/15/42			118		82,010
Oceaneering International, Inc., 4.65%, 11/15/24			196		181,980
Precision Drilling Corp., 7.13%, 01/15/26^(a)			112		111,160
Transocean, Inc., 9.00%, 07/15/23^(a)			670		702,662
USA Compression Partners LP/USA Compression Finance Corp., 6.88%, 04/01/26^(a)			855		863,550
Weatherford International Ltd.:
7.75%, 06/15/21			775		643,250
8.25%, 06/15/23			150		114,375
6.50%, 08/01/36			521		346,465

					10,740,065
Environmental, Maintenance, & Security Service — 0.0%
Waste Pro USA, Inc., 5.50%, 02/15/26^(a)			622		589,345

Equity Real Estate Investment Trusts (REITs) — 2.3%
American Tower Corp.:
5.05%, 09/01/20			500		512,644
5.90%, 11/01/21^(f)			3,770		3,991,395
3.60%, 01/15/28			4,000		3,679,799
AvalonBay Communities, Inc., 6.10%, 03/15/20^(f)			10,000		10,371,068
Hilton Domestic Operating Co., Inc.:
4.25%, 09/01/24			1,133		1,088,020
5.13%, 05/01/26^(a)			1,185		1,158,338
Host Hotels & Resorts LP, 3.75%, 10/15/23^(f)			3,600		3,500,824
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer, Inc.:
5.63%, 05/01/24			4,627		4,632,784
4.50%, 09/01/26			2,750		2,488,750
4.50%, 01/15/28			464		412,380
MPT Operating Partnership LP/MPT Finance Corp., 5.00%, 10/15/27			459		431,322
Starwood Property Trust, Inc., 5.00%, 12/15/21			627		623,865

					32,891,189
Food & Staples Retailing — 0.9%
Albertsons Cos. LLC/Safeway, Inc./New Albertson’s, Inc./Albertson’s LLC:
6.63%, 06/15/24			775		732,375
5.75%, 03/15/25			1,120		985,600
General Mills, Inc., 4.20%, 04/17/28			620		598,488
H.J. Heinz Finance Co., 7.13%, 08/01/39^(a)			4,415		5,131,057
Wal-Mart Stores, Inc., 5.25%, 09/01/35^(f)			5,150		5,770,569

					13,218,089
Food Products — 0.5%
Aramark Services, Inc.:
5.13%, 01/15/24			1,470		1,462,650
5.00%, 02/01/28^(a)			228		216,315
JBS USA LUX SA/JBS USA Finance, Inc.^(a):
5.88%, 07/15/24			390		382,785
5.75%, 06/15/25			1,947		1,869,120
6.75%, 02/15/28			827		797,021
Kraft Heinz Foods Co., 4.38%, 06/01/46			2,475		2,059,206
Post Holdings, Inc., 5.63%, 01/15/28^(a)			428		402,449

					7,189,546
Health Care Equipment & Supplies — 1.3%
Avantor, Inc.^(a):
6.00%, 10/01/24^(f)			6,054		6,038,865
9.00%, 10/01/25			1,514		1,526,687
DJO Finance LLC/DJO Finance Corp., 8.13%, 06/15/21^(a)			3,343		3,365,398


Security	Par (000)			Value
Health Care Equipment & Supplies (continued)
Mallinckrodt International Finance SA/Mallinckrodt CB LLC^(a):
4.88%, 04/15/20		USD	517	$	510,538
5.75%, 08/01/22			2,312		2,063,460
5.63%, 10/15/23			108		92,610
5.50%, 04/15/25			33		26,565
Medtronic, Inc., 4.63%, 03/15/45^(f)			4,565		4,624,162

					18,248,285

Health Care Providers & Services — 4.5%
Acadia Healthcare Co., Inc., 5.13%, 07/01/22			191		190,523
Aetna, Inc., 3.88%, 08/15/47			3,500		2,953,009
Anthem, Inc., 4.55%, 03/01/48			5,000		4,637,180
Centene Corp.:
6.13%, 02/15/24			1,370		1,431,650
5.38%, 06/01/26^(a)			3,456		3,507,840
CHS/Community Health Systems, Inc., 8.63%, 01/15/24^(a)			980		991,025
DaVita, Inc., 5.13%, 07/15/24			761		726,755
HCA, Inc.:
7.50%, 02/15/22			2,214		2,402,190
4.75%, 05/01/23^(f)			5,628		5,684,280
5.00%, 03/15/24			3,451		3,491,981
5.25%, 04/15/25			3,966		4,050,277
5.38%, 09/01/26			861		854,542
5.63%, 09/01/28			911		901,890
5.50%, 06/15/47			3,970		3,906,480
HealthSouth Corp., 5.75%, 11/01/24			637		635,408
MEDNAX, Inc., 5.25%, 12/01/23^(a)			144		143,820
MPH Acquisition Holdings LLC, 7.13%, 06/01/24^(a)			829		842,115
NVA Holdings, Inc., 6.88%, 04/01/26^(a)			793		783,087
Polaris Intermediate Corp., (8.50% Cash), 8.50%, 12/01/22^(a)(l)			2,124		2,177,100
Regional Care Hospital Partners Holdings, Inc., 8.25%, 05/01/23^(a)			398		420,388
Tenet Healthcare Corp.:
6.00%, 10/01/20			4,102		4,200,653
7.50%, 01/01/22^(a)			394		410,745
8.13%, 04/01/22			2,645		2,754,106
6.75%, 06/15/23			1,561		1,551,244
4.63%, 07/15/24			1,145		1,103,608
6.88%, 11/15/31			320		281,600
UnitedHealth Group, Inc., 6.88%, 02/15/38^(f)			10,000		12,962,651
WellCare Health Plans, Inc., 5.38%, 08/15/26^(a)			757		755,108

					64,751,255
Health Care Technology — 0.0%
Change Healthcare Holdings LLC/Change Healthcare Finance, Inc., 5.75%, 03/01/25^(a)			466		455,515

Hotels, Restaurants & Leisure — 1.4%
Boyd Gaming Corp., 6.00%, 08/15/26			472		456,070
Churchill Downs, Inc., 4.75%, 01/15/28^(a)			190		172,900
CRC Escrow Issuer LLC/CRC Finco, Inc., 5.25%, 10/15/25^(a)			886		824,534
Delta Merger Sub, Inc., 6.00%, 09/15/26^(a)			277		271,294
ESH Hospitality, Inc., 5.25%, 05/01/25^(a)			1,278		1,209,307
International Game Technology PLC, 6.25%, 01/15/27^(a)			338		331,663
IRB Holding Corp., 6.75%, 02/15/26^(a)			156		149,370
KFC Holding Co./Pizza Hut Holdings LLC/Taco Bell of America LLC^(a):
5.00%, 06/01/24			600		591,750
5.25%, 06/01/26			650		638,625
4.75%, 06/01/27			817		767,980


18		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Hotels, Restaurants & Leisure (continued)
Melco Resorts Finance Ltd., 4.88%, 06/06/25^(a)		USD	444	$	407,011
MGM Resorts International:
6.63%, 12/15/21			4,805		5,031,748
7.75%, 03/15/22			104		111,670
New Red Finance, Inc.^(a):
4.25%, 05/15/24			1,577		1,482,380
5.00%, 10/15/25			2,910		2,728,125
Sabre GLBL, Inc.^(a):
5.38%, 04/15/23			594		594,000
5.25%, 11/15/23			294		290,290
Scientific Games International, Inc., 5.00%, 10/15/25^(a)			914		850,020
Station Casinos LLC, 5.00%, 10/01/25^(a)			1,137		1,056,000
Wyndham Destinations, Inc.:
5.40%, 04/01/24			883		849,887
5.75%, 04/01/27			308		285,285
Wyndham Hotels & Resorts, Inc., 5.38%, 04/15/26^(a)			453		439,410

					19,539,319
Household Durables — 0.9%
Brookfield Residential Properties, Inc./Brookfield Residential US Corp., 6.13%, 07/01/22^(a)			1,314		1,281,150
Lennar Corp.:
2.95%, 11/29/20			520		505,700
8.38%, 01/15/21			3,015		3,248,662
4.75%, 11/15/22			1,805		1,787,311
4.88%, 12/15/23			466		454,932
5.25%, 06/01/26			176		168,091
Newell Brands, Inc.:
4.00%, 12/01/24			3,000		2,851,861
4.20%, 04/01/26			955		877,360
PulteGroup, Inc., 5.50%, 03/01/26			734		719,320
TRI Pointe Group, Inc./TRI Pointe Homes, Inc.:
4.38%, 06/15/19			717		717,000
5.88%, 06/15/24			572		534,105

					13,145,492
Household Products — 0.2%
Spectrum Brands, Inc.:
6.63%, 11/15/22			1,110		1,133,587
6.13%, 12/15/24			231		229,845
5.75%, 07/15/25			1,002		974,445

					2,337,877
Independent Power and Renewable Electricity Producers — 0.8%
AES Corp.:
4.50%, 03/15/23			400		394,500
4.88%, 05/15/23			32		31,680
6.00%, 05/15/26			843		861,967
5.13%, 09/01/27			777		767,288
Calpine Corp.:
6.00%, 01/15/22^(a)			1,858		1,867,290
5.38%, 01/15/23			742		703,045
5.88%, 01/15/24^(a)			628		628,000
5.25%, 06/01/26^(a)			2,719		2,498,081
Clearway Energy Operating LLC, 5.75%, 10/15/25^(a)			1,044		1,028,340
NRG Energy, Inc.:
6.63%, 01/15/27			2,746		2,842,110
5.75%, 01/15/28			650		648,375

					12,270,676
Industrial Conglomerates — 0.1%
BWX Technologies, Inc., 5.38%, 07/15/26^(a)			746		747,865
Vertiv Group Corp., 9.25%, 10/15/24^(a)			1,193		1,187,035

					1,934,900


Security	Par (000)			Value
Insurance — 3.6%
American International Group, Inc., 6.40%, 12/15/20^(f)		USD	8,710	$	9,193,270
Aon Corp., 5.00%, 09/30/20^(f)			7,700		7,925,052
Aon PLC, 4.25%, 12/12/42^(f)			6,500		5,735,407
Forethought Financial Group, Inc., 8.63%, 04/15/21^(a)			3,400		3,738,138
HUB International Ltd., 7.00%, 05/01/26^(a)			1,373		1,340,048
Nationwide Building Society, 4.13%, 10/18/32^(a)(b)			2,520		2,244,288
Northwestern Mutual Life Insurance Co., 6.06%, 03/30/40^(a)(f)			12,000		14,389,893
Progressive Corp., Series B, 5.38%^(b)(h)			5,000		4,912,500
Wand Merger Corp.^(a):
8.13%, 07/15/23			871		886,243
9.13%, 07/15/26			447		453,705
Wayne Merger Sub LLC, 8.25%, 08/01/23^(a)			1,040		1,074,975

					51,893,519
Internet Software & Services — 0.7%
Alibaba Group Holding Ltd., 4.20%, 12/06/47			1,470		1,272,295
Booking Holdings, Inc., 3.55%, 03/15/28			3,375		3,156,531
Equinix, Inc., 5.88%, 01/15/26			1,061		1,079,567
Netflix, Inc.:
5.50%, 02/15/22			563		574,198
4.38%, 11/15/26			905		831,469
5.88%, 11/15/28^(a)			1,550		1,522,875
Rackspace Hosting, Inc., 8.63%, 11/15/24^(a)(f)			402		377,880
Symantec Corp., 5.00%, 04/15/25^(a)			347		326,403
Uber Technologies, Inc., 7.50%, 11/01/23^(a)(e)			290		288,823

					9,430,041
IT Services — 1.0%
Banff Merger Sub, Inc., 9.75%, 09/01/26^(a)			560		537,600
Fidelity National Information Services, Inc., 5.00%, 10/15/25			538		561,002
First Data Corp.^(a):
5.38%, 08/15/23			1,509		1,522,204
7.00%, 12/01/23			4,908		5,089,596
5.75%, 01/15/24^(f)			5,700		5,735,625
Gartner, Inc., 5.13%, 04/01/25^(a)			399		396,007
WEX, Inc., 4.75%, 02/01/23^(a)			760		756,200

					14,598,234
Life Sciences Tools & Services — 0.9%
Life Technologies Corp., 6.00%, 03/01/20^(f)			12,000		12,382,328

Machinery — 0.1%
RBS Global, Inc./Rexnord LLC, 4.88%, 12/15/25^(a)			558		523,125
Titan Acquisition Ltd./Titan Co-Borrower LLC, 7.75%, 04/15/26^(a)			1,209		1,006,492

					1,529,617
Media — 9.7%
21st Century Fox America, Inc., 6.15%, 03/01/37^(f)			9,575		11,476,577
A&E Television Networks LLC, 3.11%, 08/22/19^(e)			5,000		4,961,000
Altice Financing SA^(a):
6.63%, 02/15/23			400		395,920
7.50%, 05/15/26			1,772		1,665,680
Altice France SA^(a):
7.38%, 05/01/26			3,616		3,461,199
8.13%, 02/01/27			825		816,750
Altice Luxembourg SA, 7.75%, 05/15/22^(a)			5,426		5,052,962
Altice US Finance I Corp.^(a):
5.38%, 07/15/23			2,432		2,431,538
5.50%, 05/15/26			2,866		2,791,656
AMC Networks, Inc.:
4.75%, 12/15/22			685		674,725


SCHEDULES OF INVESTMENTS			19

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Media (continued)
4.75%, 08/01/25		USD	978	$	909,149
CCO Holdings LLC/CCO Holdings Capital Corp.^(a):
4.00%, 03/01/23			1,216		1,158,240
5.13%, 05/01/27^(f)			5,664		5,331,240
5.00%, 02/01/28			404		376,478
Cequel Communications Holdings I LLC / Cequel Capital Corp.^(a):
7.75%, 07/15/25			4,129		4,366,417
7.50%, 04/01/28			1,200		1,243,764
Charter Communications Operating LLC/Charter Communications Operating Capital:
6.38%, 10/23/35			479		494,674
6.48%, 10/23/45			9,584		9,729,275
5.38%, 05/01/47			1,500		1,350,067
6.83%, 10/23/55			3,540		3,688,480
Cinemark USA, Inc., 5.13%, 12/15/22			349		349,873
Clear Channel Worldwide Holdings, Inc.:
6.50%, 11/15/22			2,758		2,768,342
6.50%, 11/15/22^(f)			7,431		7,543,951
Comcast Corp., 4.95%, 10/15/58			3,795		3,716,156
Cox Communications, Inc.^(a):
8.38%, 03/01/39^(f)			5,000		6,276,436
4.60%, 08/15/47			625		556,434
CSC Holdings LLC:
8.63%, 02/15/19			4,005		4,045,050
5.25%, 06/01/24			1,054		1,015,792
6.63%, 10/15/25^(a)			1,072		1,122,920
10.88%, 10/15/25^(a)			620		715,325
Discovery Communications LLC:
3.95%, 03/20/28^(f)			8,515		7,927,262
4.88%, 04/01/43			4,000		3,534,544
DISH DBS Corp.:
5.88%, 07/15/22			1,732		1,636,740
5.88%, 11/15/24			338		287,300
7.75%, 07/01/26			818		732,110
Grupo Televisa SAB, 5.00%, 05/13/45^(f)			3,345		2,885,065
Hughes Satellite Systems Corp., 5.25%, 08/01/26			1,017		966,150
Inmarsat Finance PLC, 4.88%, 05/15/22^(a)			228		223,331
Intelsat Jackson Holdings SA:
5.50%, 08/01/23			268		239,860
8.50%, 10/15/24^(a)			1,336		1,312,620
9.75%, 07/15/25^(a)			3,003		3,145,642
Interpublic Group of Cos., Inc.:
3.75%, 02/15/23^(f)			6,025		5,939,059
5.40%, 10/01/48			2,215		2,086,052
MDC Partners, Inc., 6.50%, 05/01/24^(a)			1,036		849,520
Meredith Corp., 6.88%, 02/01/26^(a)			396		396,000
Nielsen Finance LLC/Nielsen Finance Co., 5.00%, 04/15/22^(a)			1,081		1,052,624
Sirius XM Radio, Inc., 5.00%, 08/01/27^(a)			597		560,995
TEGNA, Inc., 5.50%, 09/15/24^(a)			351		350,561
Telenet Finance Luxembourg Notes Sarl, 5.50%, 03/01/28^(a)			1,400		1,298,500
Time Warner Cable LLC, 6.55%, 05/01/37			3,519		3,645,866
Tribune Media Co., 5.88%, 07/15/22			1,308		1,324,350
Univision Communications, Inc.^(a):
5.13%, 05/15/23			5,293		4,986,006
5.13%, 02/15/25			375		342,750
UPCB Finance IV Ltd., 5.38%, 01/15/25^(a)			420		408,660
Viacom, Inc., 5.85%, 09/01/43			1,300		1,283,988
Videotron Ltd., 5.13%, 04/15/27^(a)			1,099		1,041,302
Virgin Media Secured Finance PLC, 5.50%, 08/15/26^(a)			487		458,998


Security	Par (000)			Value
Media (continued)
Warner Media LLC:
4.65%, 06/01/44		USD	28	$	24,120
4.85%, 07/15/45			97		86,789
Ziggo Secured Finance BV, 5.50%, 01/15/27^(a)			663		608,303

					140,121,137
Metals & Mining — 2.7%
Alcoa Nederland Holding BV^(a):
7.00%, 09/30/26			291		307,005
6.13%, 05/15/28			236		235,410
AngloGold Ashanti Holdings PLC, 5.13%, 08/01/22			5,000		5,037,500
Commercial Metals Co., 4.88%, 05/15/23			2,194		2,139,150
Constellium NV:
4.63%, 05/15/21		EUR	490		559,772
6.63%, 03/01/25^(a)		USD	609		596,820
5.88%, 02/15/26^(a)			1,451		1,353,057
First Quantum Minerals Ltd.^(a):
7.25%, 05/15/22			912		870,960
6.50%, 03/01/24			311		272,125
Freeport-McMoRan, Inc.:
4.00%, 11/14/21			500		486,875
3.55%, 03/01/22			236		223,315
3.88%, 03/15/23			6,250		5,781,250
5.40%, 11/14/34			2,250		1,968,750
5.45%, 03/15/43			4,056		3,437,460
Grinding Media, Inc./Moly-Cop AltaSteel Ltd., 7.38%, 12/15/23^(a)			725		744,937
Novelis Corp.^(a):
6.25%, 08/15/24			2,369		2,345,310
5.88%, 09/30/26			2,190		2,064,075
Southern Copper Corp., 5.88%, 04/23/45			3,870		4,033,421
Steel Dynamics, Inc.:
5.13%, 10/01/21			1,105		1,110,525
5.25%, 04/15/23			309		309,772
5.50%, 10/01/24			240		241,500
4.13%, 09/15/25			1,808		1,690,480
5.00%, 12/15/26			35		34,213
Teck Resources Ltd.:
4.50%, 01/15/21			89		89,223
8.50%, 06/01/24^(a)			1,623		1,760,955
United States Steel Corp., 6.25%, 03/15/26			813		766,252

					38,460,112
Oil, Gas & Consumable Fuels — 18.1%
Aker BP ASA, 5.88%, 03/31/25^(a)			570		574,988
Antero Resources Corp., 5.00%, 03/01/25			600		582,750
Ascent Resources Utica Holdings LLC/ARU Finance Corp., 7.00%, 11/01/26^(a)			948		919,560
Berry Petroleum Co. LLC, 7.00%, 02/15/26^(a)			131		129,847
California Resources Corp., 8.00%, 12/15/22^(a)			1,671		1,487,190
Calumet Specialty Products Partners LP/Calumet Finance Corp., 6.50%, 04/15/21			87		83,520
Carrizo Oil & Gas, Inc.:
6.25%, 04/15/23			279		274,118
8.25%, 07/15/25			1,047		1,086,262
Cheniere Corpus Christi Holdings LLC:
7.00%, 06/30/24			1,916		2,071,675
5.13%, 06/30/27			2,981		2,921,380
Cheniere Energy Partners LP, Series WI, 5.25%, 10/01/25			596		584,825
Chesapeake Energy Corp.:
6.63%, 08/15/20			704		725,120
4.88%, 04/15/22			2,682		2,547,900
8.00%, 12/15/22^(a)			830		866,935


20		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
7.00%, 10/01/24		USD	2,445	$	2,393,044
8.00%, 01/15/25			944		955,800
7.50%, 10/01/26			407		398,860
CNX Resources Corp., 5.88%, 04/15/22^(f)			8,704		8,546,284
Concho Resources, Inc., 4.88%, 10/01/47			3,815		3,605,943
CONSOL Energy, Inc., 11.00%, 11/15/25^(a)			328		368,180
Continental Resources, Inc., 4.90%, 06/01/44			3,500		3,258,186
Covey Park Energy LLC/Covey Park Finance Corp., 7.50%, 05/15/25^(a)			426		418,545
CrownRock LP/CrownRock Finance, Inc., 5.63%, 10/15/25^(a)			2,880		2,739,600
DCP Midstream LLC^(a):
6.45%, 11/03/36			247		255,028
6.75%, 09/15/37			1,527		1,588,080
DCP Midstream Operating LP, 5.38%, 07/15/25			246		249,456
Denbury Resources, Inc., 9.25%, 03/31/22^(a)			1,136		1,184,280
Devon Energy Corp., 5.85%, 12/15/25			4,000		4,252,443
Diamond Offshore Drilling, Inc., 5.70%, 10/15/39			695		524,725
Diamondback Energy, Inc., 4.75%, 11/01/24^(a)			1,380		1,342,050
El Paso LLC:
7.80%, 08/01/31			197		239,139
7.75%, 01/15/32			4,586		5,627,761
El Paso Natural Gas Co. LLC, 8.63%, 01/15/22			2,345		2,664,937
El Paso Pipeline Partners Operating Co. LLC, 6.50%, 04/01/20^(f)			5,075		5,287,539
Enbridge Energy Partners LP, 9.88%, 03/01/19^(f)			6,000		6,136,960
Enbridge, Inc., 6.25%, 03/01/78^(b)			5,000		4,678,578
Endeavor Energy Resources LP/EER Finance, Inc.^(a):
5.50%, 01/30/26			1,268		1,302,870
5.75%, 01/30/28			249		257,093
Energy Transfer Equity LP:
7.50%, 10/15/20			598		633,132
4.25%, 03/15/23			553		547,470
5.88%, 01/15/24			3,366		3,538,507
5.50%, 06/01/27			406		412,719
Energy Transfer Partners LP:
5.20%, 02/01/22^(f)			10,200		10,547,567
6.13%, 12/15/45			3,579		3,554,595
EnLink Midstream Partners LP:
4.40%, 04/01/24			613		590,707
4.15%, 06/01/25			66		61,349
4.85%, 07/15/26			92		87,015
5.05%, 04/01/45			203		160,611
5.45%, 06/01/47			239		201,373
Ensco PLC, 5.75%, 10/01/44			512		358,400
Enterprise Products Operating LLC:
4.90%, 05/15/46^(f)			5,375		5,218,993
Series E, 5.25%, 08/16/77^(b)			4,800		4,299,485
EP Energy LLC/Everest Acquisition Finance, Inc.^(a):
9.38%, 05/01/24			351		266,760
8.00%, 11/29/24			673		649,445
7.75%, 05/15/26			762		762,000
Extraction Oil & Gas, Inc.^(a):
7.38%, 05/15/24			72		67,500
5.63%, 02/01/26			1,392		1,176,240
Gulfport Energy Corp., 6.00%, 10/15/24			361		337,535
Hess Corp., 5.80%, 04/01/47			5,000		4,841,939
Hess Infrastructure Partners LP/Hess Infrastructure Partners Finance Corp., 5.63%, 02/15/26^(a)			611		612,528
Indigo Natural Resources LLC, 6.88%, 02/15/26^(a)			239		225,855
Jagged Peak Energy LLC, 5.88%, 05/01/26^(a)			176		171,600


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
Kinder Morgan Energy Partners LP:
6.85%, 02/15/20^(f)		USD	12,000	$	12,514,982
4.25%, 09/01/24			2,170		2,172,328
5.40%, 09/01/44			3,615		3,503,652
Marathon Petroleum Corp.^(a):
4.75%, 12/15/23			1,230		1,266,976
5.13%, 12/15/26			937		961,595
Matador Resources Co., 5.88%, 09/15/26^(a)			1,289		1,259,997
MEG Energy Corp.^(a):
6.38%, 01/30/23			309		298,185
6.50%, 01/15/25			1,968		2,036,880
Midcontinent Express Pipeline LLC, 6.70%, 09/15/19^(a)			3,500		3,569,038
MPLX LP:
4.13%, 03/01/27			825		787,091
5.20%, 03/01/47			3,500		3,310,273
4.70%, 04/15/48^(f)			5,000		4,391,072
Nabors Industries, Inc., 5.75%, 02/01/25			395		364,556
Newfield Exploration Co., 5.38%, 01/01/26			480		484,502
Nexen Energy ULC, 6.40%, 05/15/37			2,000		2,368,722
NGPL PipeCo LLC^(a):
4.38%, 08/15/22			509		502,638
4.88%, 08/15/27			931		896,087
7.77%, 12/15/37			1,370		1,602,900
Noble Energy, Inc., 5.05%, 11/15/44			3,500		3,219,203
Noble Holding International Ltd.:
7.75%, 01/15/24^(f)			1,259		1,175,591
7.88%, 02/01/26^(a)			1,545		1,533,412
Oasis Petroleum, Inc., 6.88%, 01/15/23			57		57,499
ONEOK Partners LP, 8.63%, 03/01/19^(f)			10,000		10,178,410
Pacific Drilling First Lien Escrow Issuer Ltd., 8.38%, 10/01/23^(a)			1,424		1,441,800
Parsley Energy LLC/Parsley Finance Corp.^(a):
5.25%, 08/15/25			780		753,675
5.63%, 10/15/27			1,289		1,270,658
Petroleos Mexicanos:
3.50%, 01/30/23^(f)			5,000		4,595,000
4.63%, 09/21/23			3,965		3,780,588
4.88%, 01/18/24^(f)			2,000		1,902,620
Plains All American Pipeline LP, Series B, 6.13%^(b)(f)(h)			2,215		2,076,562
Plains All American Pipeline LP/PAA Finance Corp.:
4.70%, 06/15/44			1,498		1,294,812
4.90%, 02/15/45			2,102		1,837,162
QEP Resources, Inc.:
5.38%, 10/01/22			1,927		1,898,095
5.63%, 03/01/26			1,040		978,900
Range Resources Corp.:
5.00%, 08/15/22			32		31,440
4.88%, 05/15/25			175		162,313
Rockies Express Pipeline LLC^(a):
5.63%, 04/15/20			295		301,402
6.88%, 04/15/40			580		630,750
Rowan Cos., Inc., 4.88%, 06/01/22			1,446		1,384,545
Ruby Pipeline LLC, 6.00%, 04/01/22^(a)(f)			8,409		8,715,579
Sabine Pass Liquefaction LLC:
5.63%, 02/01/21			405		419,065
5.63%, 04/15/23^(f)			10,510		11,064,192
5.75%, 05/15/24			2,575		2,727,020
5.88%, 06/30/26			1,481		1,572,264


SCHEDULES OF INVESTMENTS			21

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
Sanchez Energy Corp.:
7.75%, 06/15/21		USD	982	$	491,000
6.13%, 01/15/23			847		313,390
Seven Generations Energy Ltd., 5.38%, 09/30/25^(a)			1,110		1,035,075
SM Energy Co.:
5.00%, 01/15/24			297		282,893
5.63%, 06/01/25^(f)			350		336,875
6.75%, 09/15/26			682		683,705
6.63%, 01/15/27			463		465,315
Southwestern Energy Co.:
6.20%, 01/23/25			725		705,062
7.50%, 04/01/26			890		905,575
7.75%, 10/01/27			259		262,238
Sunoco LP/Sunoco Finance Corp.^(a):
4.88%, 01/15/23			1,071		1,032,176
5.88%, 03/15/28			317		295,603
Tallgrass Energy Partners LP/Tallgrass Energy Finance Corp.^(a):
5.50%, 09/15/24			145		145,906
5.50%, 01/15/28			1,388		1,372,121
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
5.25%, 05/01/23			37		36,908
6.75%, 03/15/24			184		192,740
5.88%, 04/15/26^(a)			848		852,240
5.00%, 01/15/28			1,009		956,027
TransCanada PipeLines Ltd.:
4.88%, 01/15/26^(f)			4,485		4,621,880
4.88%, 05/15/48			4,000		3,862,357
TransCanada Trust(3 mo. LIBOR US + 3.53%), 5.63%, 05/20/75^(g)			2,755		2,622,402
Transocean Guardian Ltd., 5.88%, 01/15/24^(a)			648		641,520
Transocean Pontus Ltd., 6.13%, 08/01/25^(a)			769		764,194
Transocean, Inc., 7.25%, 11/01/25^(a)			750		729,375
Western Gas Partners LP, 5.38%, 06/01/21^(f)			5,125		5,285,264
Whiting Petroleum Corp., 6.63%, 01/15/26			700		699,125
Williams Cos., Inc.:
3.70%, 01/15/23			2,245		2,203,178
4.55%, 06/24/24			527		530,737
8.75%, 03/15/32			2,478		3,244,071
5.10%, 09/15/45^(f)			5,075		4,795,754
WPX Energy, Inc.:
6.00%, 01/15/22			72		73,620
5.25%, 09/15/24			22		21,725

					260,208,858
Paper & Forest Products — 1.8%
International Paper Co.^(f):
7.50%, 08/15/21			7,209		7,940,746
8.70%, 06/15/38			4,000		5,351,738
7.30%, 11/15/39			10,000		12,021,285

					25,313,769
Pharmaceuticals — 4.0%
Abbott Laboratories, 4.90%, 11/30/46			5,500		5,667,151
AbbVie, Inc., 4.70%, 05/14/45			3,255		2,934,469
Allergan Funding SCS, 4.75%, 03/15/45			5,485		5,140,196
Allergan Sales LLC, 5.00%, 12/15/21^(a)			1,631		1,682,244
Allergan, Inc., 2.80%, 03/15/23			3,000		2,846,876
Bausch Health Cos., Inc.^(a):
6.13%, 04/15/25			815		749,555
5.50%, 11/01/25			869		851,620
8.50%, 01/31/27			1,186		1,206,755


Security	Par (000)			Value
Pharmaceuticals (continued)
Bayer US Finance II LLC, 4.88%, 06/25/48^(a)		USD	7,500	$	6,994,431
Charles River Laboratories International, Inc., 5.50%, 04/01/26^(a)			317		316,207
CVS Health Corp.:
4.75%, 12/01/22			289		298,028
5.00%, 12/01/24			183		189,499
5.13%, 07/20/45			3,879		3,804,833
5.05%, 03/25/48^(f)			8,205		8,000,377
Elanco Animal Health, Inc.^(a):
4.27%, 08/28/23			314		312,556
4.90%, 08/28/28			336		331,929
Endo Finance LLC/Endo Finco, Inc., 6.00%, 07/15/23^(a)			1,514		1,302,040
inVentiv Group Holdings, Inc./inVentiv Health, Inc./inVentiv Health Clinical, Inc., 7.50%, 10/01/24^(a)			297		312,593
Merck & Co., Inc., 6.50%, 12/01/33^(f)			6,420		8,071,862
Valeant Pharmaceuticals International, Inc.^(a):
7.50%, 07/15/21			41		41,615
5.63%, 12/01/21			643		632,551
6.50%, 03/15/22			829		858,015
5.50%, 03/01/23			2,365		2,240,837
5.88%, 05/15/23			622		593,232
7.00%, 03/15/24			1,303		1,364,489
9.00%, 12/15/25			316		329,430
9.25%, 04/01/26			176		184,580

					57,257,970
Real Estate Management & Development — 0.4%
Greystar Real Estate Partners LLC, 5.75%, 12/01/25^(a)			460		446,200
Northwest Florida Timber Finance LLC, 4.75%, 03/04/29^(a)^(f)			4,485		4,095,164
Realogy Group LLC/Realogy Co-Issuer Corp., 4.50%, 04/15/19^(a)			803		798,985

					5,340,349
Road & Rail — 1.2%
Norfolk Southern Corp., 6.00%, 03/15/05			12,700		13,431,827
United Rentals North America, Inc.:
4.63%, 07/15/23			1,616		1,601,860
4.63%, 10/15/25			1,034		957,743
5.88%, 09/15/26			274		268,520
4.88%, 01/15/28			877		790,133

					17,050,083
Semiconductors & Semiconductor Equipment — 1.0%
Broadcom Corp./Broadcom Cayman Finance Ltd., 3.88%, 01/15/27^(f)			7,500		6,886,795
NXP BV/NXP Funding LLC, 4.63%, 06/15/22^(a)			490		486,937
QUALCOMM, Inc.:
3.25%, 05/20/27^(f)			2,500		2,311,988
4.30%, 05/20/47			3,500		3,137,568
Sensata Technologies BV^(a):
5.63%, 11/01/24			695		691,525
5.00%, 10/01/25			772		744,980

					14,259,793
Software — 1.1%
CDK Global, Inc., 5.88%, 06/15/26			378		380,835
Genesys Telecommunications Laboratories, Inc./Greeneden Lux 3 Sarl/Greeneden US Holdings LLC, 10.00%, 11/30/24^(a)			988		1,071,980
Infor US, Inc., 6.50%, 05/15/22			8,585		8,563,537
Informatica LLC, 7.13%, 07/15/23^(a)			1,599		1,631,476
Nuance Communications, Inc., 5.38%, 08/15/20^(a)			1,267		1,267,792


22		2018 BLACKROCK ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Software (continued)
PTC, Inc., 6.00%, 05/15/24		USD	313	$	320,043
Solera LLC/Solera Finance, Inc., 10.50%, 03/01/24^(a)			2,040		2,213,461
Sophia LP/Sophia Finance, Inc., 9.00%, 09/30/23^(a)			740		765,900

					16,215,024
Specialty Retail — 0.4%
L Brands, Inc.:
7.00%, 05/01/20			3,050		3,172,000
6.88%, 11/01/35			1,119		951,150
Penske Automotive Group, Inc., 5.50%, 05/15/26			1,160		1,102,000

					5,225,150
Technology Hardware, Storage & Peripherals — 0.5%
Dell International LLC/EMC Corp.^(a):
5.88%, 06/15/21			615		623,469
7.13%, 06/15/24			747		790,561
8.35%, 07/15/46			2,355		2,736,681
Western Digital Corp., 4.75%, 02/15/26			2,900		2,678,875

					6,829,586
Textiles, Apparel & Luxury Goods — 0.1%
Levi Strauss & Co., 5.00%, 05/01/25			699		688,515
William Carter Co., 5.25%, 08/15/21			1,406		1,411,272

					2,099,787
Thrifts & Mortgage Finance — 0.1%
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp.^(a):
5.25%, 03/15/22			480		477,600
5.25%, 10/01/25			268		247,900

					725,500
Tobacco — 2.2%
Altria Group, Inc., 10.20%, 02/06/39^(f)			13,392		20,854,664
BAT Capital Corp., 4.54%, 08/15/47^(a)			8,000		6,965,763
Reynolds American, Inc.:
4.85%, 09/15/23			1,120		1,155,748
5.85%, 08/15/45			2,335		2,398,305

					31,374,480
Trading Companies & Distributors — 0.2%
Doric Nimrod Air Alpha Ltd. Pass-Through Trust, Series 2013-1^(a):
Class A, 5.25%, 05/30/25			1,732		1,770,571
Class B, 6.13%, 11/30/21			1,122		1,139,144

					2,909,715
Transportation Infrastructure — 0.7%
Penske Truck Leasing Co. LP/PTL Finance Corp., 4.88%, 07/11/22^(a)(f)			10,500		10,791,812

Utilities — 0.1%
Vistra Operations Co. LLC, 5.50%, 09/01/26^(a)			747		735,795

Wireless Telecommunication Services — 1.9%
Crown Castle International Corp.:
4.88%, 04/15/22			2,500		2,575,321
3.65%, 09/01/27^(f)			8,000		7,396,715
CyrusOne LP/CyrusOne Finance Corp., 5.38%, 03/15/27			129		128,033
Digicel Group Ltd., 8.25%, 09/30/20^(a)			200		143,002
Digicel Ltd., 6.00%, 04/15/21^(a)			1,285		1,166,137
Frontier Communications Corp., 8.50%, 04/01/26^(a)			711		660,341
SBA Communications Corp.:
4.00%, 10/01/22			1,045		1,000,588


Security	Par (000)			Value
Wireless Telecommunication Services (continued)
4.88%, 09/01/24		USD	1,708	$	1,648,220
Sprint Capital Corp.:
6.88%, 11/15/28			841		827,334
8.75%, 03/15/32			1,197		1,307,722
Sprint Communications, Inc.^(a):
9.00%, 11/15/18			1,576		1,579,152
7.00%, 03/01/20			389		403,101
Sprint Corp.:
7.88%, 09/15/23			884		943,670
7.13%, 06/15/24			3,442		3,519,445
7.63%, 02/15/25			36		37,395
7.63%, 03/01/26			1,929		2,006,160
T-Mobile USA, Inc.:
6.50%, 01/15/26			960		1,010,400
4.50%, 02/01/26			815		762,791
4.75%, 02/01/28			1,076		995,300

					28,110,827

Total Corporate Bonds — 109.0% (Cost — $1,561,359,738)					1,569,207,592


Foreign Agency Obligations — 2.3%
Argentine Republic Government International Bond, 5.63%, 01/26/22			6,485		5,820,287
Brazilian Government International Bond, 5.00%, 01/27/45			6,525		5,448,375
Colombia Government International Bond, 5.63%, 02/26/44			4,000		4,096,000
Indonesia Government International Bond, 5.88%, 01/15/24^(a)			4,400		4,628,378
Mexico Government International Bond:
4.75%, 03/08/44			5,800		5,141,758
4.60%, 02/10/48			5,000		4,337,600
Uruguay Government International Bond, 5.10%, 06/18/50			3,500		3,316,250

Total Foreign Agency Obligations — 2.3% (Cost — $35,090,454)					32,788,648


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		5,192,050
Metropolitan Transportation Authority, RB, Build America Bonds, Series B-1, 6.55%, 11/15/31			10,000		12,008,900

Total Municipal Bonds — 1.2% (Cost — $14,845,121)					17,200,950


Preferred Securities — 25.0%

Capital Trusts — 22.5%
Banks — 6.3%
BNP Paribas SA^(a)(g)(h):
7.20%			5,000		5,209,200
7.38%			4,535		4,659,712
Capital One Financial Corp., Series E, 5.55%^(g)(h)			5,000		5,050,000
CIT Group, Inc., Series A, 5.80%^(g)(h)			3,000		2,950,500
Citigroup, Inc., 5.90%^(g)(h)			2,210		2,210,000
Credit Suisse Group AG^(a)(g)(h):
6.25%			7,255		7,059,957
7.50%			3,250		3,383,770
HSBC Capital Funding LP, 10.18%^(a)(f)(g)(h)			11,835		17,397,450
Lloyds Banking Group PLC, 7.50%^(b)(h)			8,285		8,326,425
Macquarie Bank Ltd., 6.13%^(a)(g)(h)			1,885		1,691,787
Nordea Bank AB, 6.13%^(a)(g)(h)			5,540		5,318,400


SCHEDULES OF INVESTMENTS			23

Schedule of Investments (continued)

October 31, 2018

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)


Security	Par (000)			Value
Banks (continued)
U.S. Bancorp, Series J, 5.30%^(g)(h)		USD	10,415	$	10,180,662
Wells Fargo & Co.^(g)(h):
Series K, 6.10%			809		815,068
Series Q, 5.85%			551		14,092,800
Series S, 5.90%			281		283,108
Series U, 5.88%			2,655		2,734,650

					91,363,489
Capital Markets — 2.9%
Charles Schwab Corp., Series E, 4.63%^(f)(g)(h)			6,805		6,750,560
Goldman Sachs Group, Inc., Series L, 5.70%^(g)(h)			2,950		2,957,375
Morgan Stanley, Series H, 5.45%^(g)(h)			8,675		8,752,034
State Street Corp:
3.33%, 06/01/77^(d)(f)			17,845		15,670,765
Series D, 5.90%^(g)(h)			220		5,741,690
Series F, 5.25%^(g)(h)			1,855		1,875,869

					41,748,293
Commercial Services & Supplies — 0.4%
AerCap Global Aviation Trust, 6.50%, 06/15/45^(a)(g)			5,000		5,125,000

Consumer Finance — 0.3%
American Express Co., Series C, 4.90%^(g)(h)			4,510		4,493,088

Diversified Financial Services — 5.6%
Bank of America Corp.^(g)(h):
Series AA, 6.10%			8,630		8,856,537
Series U, 5.20%			5,785		5,640,375
Barclays PLC, 6.63%^(g)(h)			3,135		3,154,594
Barclays PLC, 7.75%^(b)(h)			4,135		4,125,490
BNP Paribas SA, 6.75%^(a)(g)(h)			5,000		5,056,250
Credit Agricole SA, 8.13%^(a)(g)(h)			5,000		5,362,830
Credit Suisse Group AG, 7.50%^(a)(b)(h)			1,865		1,897,638
HSBC Holdings PLC:
6.00%^(g)(h)			1,550		1,426,000
6.50%^(b)(h)			2,615		2,454,831
JPMorgan Chase & Co.:
8.75%, 09/01/30			2,000		2,710,355
Series 1, 5.99%^(g)(h)			2,618		2,632,032
Series Q, 5.15%^(g)(h)			4,000		3,926,400
Series R, 6.00%^(f)(g)(h)			14,130		14,200,650
Series S, 6.75%^(f)(g)(h)			9,775		10,425,037
Royal Bank of Scotland Group PLC^(g)(h):
8.00%			970		1,000,919
8.63%			5,135		5,398,169
Societe Generale SA, 7.38%^(a)(g)(h)			1,980		2,007,225

					80,275,332
Electric Utilities — 0.6%
PPL Capital Funding, Inc., Series A, 5.05%, 03/30/67^(g)			8,300		8,051,000

Equity Real Estate Investment Trusts (REITs) — 0.5%
Sovereign Real Estate Investment Trust, 12.00%^(a)(h)			7		7,787,500

Industrial Conglomerates — 0.5%
General Electric Co., Series D, 5.00%^(g)(h)			7,502		6,948,727

Insurance — 2.8%
ACE Capital Trust II, 9.70%, 04/01/30			7,000		9,741,410
Allstate Corp., Series B, 5.75%, 08/15/53^(g)			5,000		5,050,500
American International Group, Inc., 8.18%, 05/15/68^(g)			3,755		4,609,262
Equitable of Iowa Cos. Capital Trust II, Series B, 8.42%, 04/01/27			5,000		5,348,635
Farmers Exchange Capital II, 6.15%, 11/01/53^(a)(g)			4,890		5,207,842
MetLife, Inc., 6.40%, 12/15/36			5,000		5,185,000
Principal Financial Group, Inc., 4.70%, 05/15/55^(g)			5,000		4,950,000

					40,092,649


Security	Par (000)				Value
Media — 0.1%
Viacom, Inc., 5.88%, 02/28/57^(g)		USD		2,111	$	2,028,144

Oil, Gas & Consumable Fuels — 0.9%
Enbridge, Inc., Series 16-A, 6.00%, 01/15/77^(g)				5,880		5,497,542
Energy Transfer Partners LP, Series B, 6.63%^(b)(h)				5,000		4,600,000
Enterprise Products Operating LLC, 5.10%, 06/01/67^(g)				2,500		2,469,067

						12,566,609
Road & Rail — 0.5%
BNSF Funding Trust I, 6.61%, 12/15/55^(g)				6,125		6,691,563

Wireless Telecommunication Services — 1.1%
Centaur Funding Corp., 9.08%, 04/21/20^(a)				15		16,278,725

Total Capital Trusts — 22.5% (Cost — $320,332,083)						323,450,119


			Shares
Preferred Stocks — 2.0%

Banks — 0.9%
Citigroup, Inc., Series K, 6.88%^(g)(h)				488,320		13,345,786

Capital Markets — 0.3%
Goldman Sachs Group, Inc., Series J, 5.50%^(g)(h)				162,450		4,100,238