BTZ

BlackRock Credit Allocation Income Trust is a closed-end management investment company that seeks to provide high current income by investing primarily in a diversified portfolio of credit securities. Managed by BlackRock Advisors, LLC, the fund employs a flexible credit allocation strategy investing across various credit sectors including high-yield corporate bonds, bank loans, investment-grade corporate bonds, structured credit products, emerging markets debt, and other credit instruments. This multi-sector credit approach enables opportunistic allocation toward areas offering the most attractive risk-adjusted returns. The fund's investment team actively manages allocations across credit quality spectrum, sector exposures, duration, and geographic regions based on macroeconomic outlook, credit market conditions, relative value analysis, and risk-reward assessments. The flexibility to shift exposures among different credit sectors aims to optimize income generation while managing overall portfolio risk. The fund may invest across credit ratings from investment-grade to high-yield, and across geographies including U.S. and non-U.S. debt markets. The fund's approach combines fundamental credit analysis with top-down allocation decisions, leveraging BlackRock's global credit research and portfolio management capabilities. As a closed-end fund, BlackRock Credit Allocation Income Trust issues a fixed number of shares trading on exchanges, often at premiums or discounts to net asset value (NAV). The fund employs leverage through borrowings, reverse repurchase agreements, or other instruments to enhance returns and income generation, though leverage increases risk and volatility. The trust provides monthly distributions to shareholders, sourced primarily from interest income and capital gains. The fund serves income-focused investors seeking diversified credit exposure with tactical allocation flexibility and professional management. Performance depends on credit spreads, default rates, interest rate movements, relative performance across credit sectors, and overall fixed income market conditions. The fund's flexibility to allocate among credit sectors provides potential to capture opportunities and manage risks across credit cycles, though success depends on effective allocation decisions and credit selection by the management team. The leveraged closed-end structure amplifies both income potential and risk/volatility compared to unleveraged credit funds.