BlackRock Enhanced Equity Dividend Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number: 811-21784

Name of Fund: BlackRock Enhanced Equity Dividend Trust (BDJ)

Fund Address:  100 Bellevue Parkway, Wilmington, DE 19809

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

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

Date of fiscal year end: 12/31/2018

Date of reporting period: 09/30/2018

Item 1 – Schedule of Investments

Schedule of Investments  (unaudited) 

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks — 100.7%

 

Aerospace & Defense — 1.3%  

Lockheed Martin Corp.(a)

     26,710     $ 9,240,592  

Northrop Grumman Corp.(a)

     46,090       14,627,583  
   

 

 

  
    23,868,175  
Banks — 16.3%  

Bank of America Corp.(a)(b)

     2,083,265       61,372,987  

Citigroup, Inc.(a)(b)

     956,689       68,632,869  

JPMorgan Chase & Co.(a)(b)

     659,612       74,430,618  

SunTrust Banks, Inc.(a)

     240,397       16,056,115  

U.S. Bancorp(a)

     479,743       25,335,228  

Wells Fargo & Co.(a)

     1,147,321       60,303,192  
   

 

 

  
    306,131,009  
Beverages — 1.8%  

Diageo PLC

     455,749       16,146,311  

PepsiCo, Inc.(a)

     159,930       17,880,174  
   

 

 

  
    34,026,485  
Building Products — 0.7%  

Johnson Controls International PLC(a)

     372,080       13,022,800  
   

 

 

  
Capital Markets — 3.4%  

Charles Schwab Corp.(a)

     170,420       8,376,143  

Goldman Sachs Group, Inc.(a)

     106,920       23,975,741  

Morgan Stanley(a)

     586,310       27,304,456  

State Street Corp.

     54,500       4,566,010  
   

 

 

  
    64,222,350  
Chemicals — 1.1%  

DowDuPont, Inc.(a)

     315,265       20,274,692  
   

 

 

  
Communications Equipment — 1.8%  

Cisco Systems, Inc.(a)

     236,610       11,511,076  

Motorola Solutions, Inc.(a)

     171,600       22,332,024  
   

 

 

  
    33,843,100  
Construction Materials — 0.7%  

CRH PLC

     387,800       12,691,090  
   

 

 

  
Containers & Packaging — 0.3%  

International Paper Co.(a)

     135,700       6,669,655  
   

 

 

  
Diversified Financial Services — 0.3%  

AXA Equitable Holdings, Inc.(a)

     273,200       5,860,140  
   

 

 

  
Diversified Telecommunication Services — 3.8%  

BCE, Inc.(a)

     122,500       4,963,700  

Verizon Communications, Inc.(a)

     1,234,190       65,893,404  
   

 

 

  
    70,857,104  
Electric Utilities — 4.0%  

Edison International(a)

     116,333       7,873,418  

FirstEnergy Corp.(a)

     673,530       25,035,110  

NextEra Energy, Inc.(a)

     115,512       19,359,811  

PG&E Corp.(a)(c)

     481,290       22,144,153  
   

 

 

  
    74,412,492  
Security   Shares     Value  
Electrical Equipment — 0.1%  

nVent Electric PLC(a)

     55,480     $ 1,506,837  
   

 

 

  
Electronic Equipment, Instruments & Components — 0.8%  

CDW Corp.(a)

     161,890       14,395,259  
   

 

 

  
 
Food Products — 1.6%  

Danone SA

     58,500       4,546,339  

Kellogg Co.(a)

     190,830       13,361,917  

Mondelez International, Inc., Class A(a)

     152,370       6,545,815  

Nestle SA, Registered Shares

     68,180       5,675,068  
   

 

 

  
    30,129,139  
Health Care Equipment & Supplies — 3.3%  

Koninklijke Philips NV

     716,440       32,656,385  

Medtronic PLC(a)

     301,650       29,673,311  
   

 

 

  
    62,329,696  
Health Care Providers & Services — 8.9%  

Aetna, Inc.(a)

     167,846       34,047,561  

Anthem, Inc.(a)

     205,890       56,424,154  

Cardinal Health, Inc.(a)

     133,650       7,217,100  

CVS Health Corp.(a)

     206,260       16,236,787  

Humana, Inc.(a)

     27,590       9,339,767  

McKesson Corp.(a)

     120,390       15,969,734  

Quest Diagnostics, Inc.(a)

     49,650       5,357,732  

UnitedHealth Group, Inc.(a)

     83,360       22,177,094  
   

 

 

  
    166,769,929  
Household Durables — 0.4%  

Newell Brands, Inc.(a)

     340,270       6,907,481  
   

 

 

  
Household Products — 0.9%  

Procter & Gamble Co.(a)

     209,320       17,421,704  
   

 

 

  
Industrial Conglomerates — 3.1%  

3M Co.(a)

     58,800       12,389,748  

General Electric Co.(a)

     1,785,670       20,160,214  

Honeywell International, Inc.(a)

     152,390       25,357,696  
   

 

 

  
    57,907,658  
Insurance — 6.7%  

American International Group, Inc.(a)

     681,330       36,274,009  

Arthur J Gallagher & Co.

     131,968       9,823,698  

Brighthouse Financial, Inc.(a)(c)

     44,511       1,969,167  

Marsh & McLennan Cos., Inc.(a)

     183,800       15,203,936  

MetLife, Inc.(a)

     884,963       41,345,471  

Travelers Cos., Inc.(a)

     165,150       21,421,607  
   

 

 

  
    126,037,888  
 

 

 

     1  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
IT Services — 0.6%  

Cognizant Technology Solutions Corp., Class A(a)

     141,920     $ 10,949,128  
   

 

 

  
Leisure Products — 0.4%  

Mattel, Inc.(a)(c)

     480,106       7,537,664  
   

 

 

  
Machinery — 0.2%  

Pentair PLC(a)

     109,190       4,733,387  
   

 

 

  
Media — 2.0%  

Comcast Corp., Class A(a)

     894,910       31,688,763  

Interpublic Group of Cos., Inc.(a)

     231,410       5,292,347  
   

 

 

  
    36,981,110  
Multi-Utilities — 1.2%  

Public Service Enterprise Group, Inc.(a)

     437,430       23,091,930  
   

 

 

  
Multiline Retail — 0.3%  

Dollar General Corp.(a)

     54,587       5,966,359  
   

 

 

  
Oil, Gas & Consumable Fuels — 12.1%  

Anadarko Petroleum Corp.(a)

     80,020       5,394,148  

BP PLC

     5,057,210       38,762,190  

Devon Energy Corp.(a)

     452,780       18,084,033  

Enterprise Products Partners LP(a)(d)

     758,400       21,788,832  

Hess Corp.(a)

     340,450       24,369,411  

Marathon Oil Corp.(a)

     355,070       8,266,030  

Marathon Petroleum Corp.(a)

     270,209       21,608,614  

ONEOK, Inc.(a)

     181,350       12,293,717  

Suncor Energy, Inc.(a)

     1,141,580       44,167,730  

TOTAL SA — ADR(a)

     211,897       13,644,048  

Williams Cos., Inc.(a)

     685,650       18,642,823  
   

 

 

  
    227,021,576  
Personal Products — 0.7%  

Unilever NV — NY Shares(a)

     222,480       12,358,764  
   

 

 

  
Pharmaceuticals — 9.2%  

AstraZeneca PLC

     480,846       37,479,081  

Bayer AG, Registered Shares

     140,705       12,480,629  

Merck & Co., Inc.(a)

     413,570       29,338,656  

Novo Nordisk A/S — ADR(a)

     298,910       14,090,617  

Pfizer, Inc.(a)(b)

     1,776,010       78,268,761  
   

 

 

  
    171,657,744  
Professional Services — 1.1%  

Experian PLC

     454,950       11,674,042  

Nielsen Holdings PLC(a)

     343,020       9,487,933  
   

 

 

  
    21,161,975  
Security   Shares     Value  
Road & Rail — 0.6%  

Union Pacific Corp.(a)

     65,640     $ 10,688,161  
   

 

 

  
Semiconductors & Semiconductor Equipment — 2.2%  

QUALCOMM, Inc.(a)

     418,140       30,118,624  

Taiwan Semiconductor Manufacturing Co. Ltd. — ADR(a)

     237,560       10,490,650  
   

 

 

  
    40,609,274  
Software — 5.7%  

Constellation Software, Inc.

     13,090       9,626,291  

Microsoft Corp.(a)

     413,620       47,305,719  

Oracle Corp.(a)

     985,090       50,791,240  
   

 

 

  
    107,723,250  
Specialty Retail — 1.0%  

Lowe’s Cos., Inc.(a)

     156,210       17,936,032  
   

 

 

  
Technology Hardware, Storage & Peripherals — 0.9%  

Lenovo Group Ltd.

     13,220,000       9,632,008  

Samsung Electronics Co. Ltd. — GDR

     7,819       8,192,420  
   

 

 

  
    17,824,428  
Tobacco — 1.2%  

Altria Group, Inc.(a)

     374,820       22,605,394  
   

 

 

  

Total Long-Term Investments — 100.7%
(Cost — $1,407,191,843)

 

     1,888,130,859  
   

 

 

  
Short-Term Securities — 0.3%  

BlackRock Liquidity Funds, T-Fund, Institutional Class, 1.97%(e)(g)

     4,496,892       4,496,892  

SL Liquidity Series, LLC, Money Market
Series, 2.26%(e)(f)(g)

     2,419       2,419  
   

 

 

  

Total Short-Term Securities — 0.3%
(Cost — $4,499,311)

 

     4,499,311  
   

 

 

  

Total Investments Before Options Written — 101.0%
(Cost — $1,411,691,154)

 

     1,892,630,170  
   

 

 

  

Options Written — (1.0)%
(Premiums Received — $17,712,703)

 

     (18,335,179 ) 
   

 

 

  

Total Investments, Net of Options Written — 100.0%
(Cost — $1,393,978,451)

 

     1,874,294,991  

Other Assets Less Liabilities — 0.0%

 

     481,666  
   

 

 

  

Net Assets — 100.0%

 

   $ 1,874,776,657  
   

 

 

  
 
(a) 

All or a portion of the security has been pledged and/or segregated as collateral in connection with outstanding exchange-traded options written.

(b) 

All or a portion of the security has been pledged as collateral in connection with outstanding OTC derivatives.

(c) 

Non-income producing security.

(d) 

Security, or a portion of the security, is on loan.

 

 

2   

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

(e) 

Annualized 7-day yield as of period end.

(f) 

All or a portion of security was purchased with the cash collateral from loaned securities.

(g) 

During the period ended September 30, 2018, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, and/or related parties of the Trust were as follows:

 

Affiliate    Shares
Held at
12/31/17		      Net
Activity		      Shares
Held at
09/30/18		      Value at
09/30/18		      Income      Net
Realized
Gain (Loss) (a)		      Change in
Unrealized
Appreciation
(Depreciation)		  

BlackRock Liquidity Funds, T-Fund, Institutional Class

      4,967,189        (470,297 )       4,496,892      $ 4,496,892      $ 118,270      $ —      $ —  

SL Liquidity Series, LLC, Money Market Series

      —        2,419        2,419        2,419        819 (b)        (51 )       —  
   $ 4,499,311      $ 119,089      $ (51 )     $ —  
           

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Includes net capital gain distributions, if applicable.

 
  (b) 

Represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

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

Currency Abbreviations

CAD — Canadian Dollar

CHF — Swiss Franc

EUR — Euro

GBP — British Pound

HKD — Hong Kong Dollar

USD — United States Dollar

Portfolio Abbreviations

ADR — American Depositary Receipts

GDR — Global Depositary Receipt

Derivative Financial Instruments Outstanding as of Period End

Exchange-Traded Options Written

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Bank of America Corp.

      622          10/01/18        USD     31.50        USD     1,832        $ (2 ) 

FirstEnergy Corp.

      368          10/03/18        USD     37.08        USD     1,368          (13,499 ) 

NextEra Energy, Inc.

      247          10/03/18        USD     168.90        USD     4,140          (13,369 ) 

Bank of America Corp.

      622          10/04/18        USD     31.75        USD     1,832          (57 ) 

Aetna, Inc.

      632          10/05/18        USD     200.00        USD     12,820          (218,356 ) 

Anadarko Petroleum Corp.

      64          10/05/18        USD     66.50        USD     431          (9,312 ) 

Anthem, Inc.

      262          10/05/18        USD     267.50        USD     7,180          (187,330 ) 

Bank of America Corp.

      823          10/05/18        USD     31.50        USD     2,425          (1,234 ) 

Bank of America Corp.

      906          10/05/18        USD     31.00        USD     2,669          (1,359 ) 

CVS Health Corp.

      349          10/05/18        USD     76.50        USD     2,747          (87,076 ) 

Charles Schwab Corp.

      205          10/05/18        USD     51.00        USD     1,008          (2,050 ) 

Cisco Systems, Inc.

      108          10/05/18        USD     47.00        USD     525          (18,360 ) 

Cisco Systems, Inc.

      143          10/05/18        USD     48.00        USD     696          (11,225 ) 

Citigroup, Inc.

      753          10/05/18        USD     72.50        USD     5,402          (34,638 ) 

Citigroup, Inc.

      339          10/05/18        USD     75.00        USD     2,432          (1,864 ) 

Cognizant Technology Solutions Corp., Class A

      379          10/05/18        USD     78.50        USD     2,924          (5,685 ) 

 

 

     3  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Comcast Corp., Class A

      568          10/05/18        USD     38.50        USD     2,011        $ (7,384 ) 

Devon Energy Corp.

      8          10/05/18        USD     44.50        USD     32          (16 ) 

Dollar General Corp.

      177          10/05/18        USD     108.00        USD     1,935          (32,745 ) 

DowDuPont, Inc.

      371          10/05/18        USD     71.00        USD     2,386          (742 ) 

Enterprise Products Partners LP

      1,264          10/05/18        USD     29.00        USD     3,631          (15,800 ) 

General Electric Co.

      626          10/05/18        USD     13.00        USD     707          (1,252 ) 

General Electric Co.

      236          10/05/18        USD     13.35        USD     266          (1 ) 

Goldman Sachs Group, Inc.

      140          10/05/18        USD     245.00        USD     3,139          (560 ) 

Hess Corp.

      485          10/05/18        USD     68.50        USD     3,472          (162,475 ) 

Honeywell International, Inc.

      75          10/05/18        USD     162.50        USD     1,248          (31,313 ) 

International Paper Co.

      88          10/05/18        USD     53.00        USD     433          (132 ) 

International Paper Co.

      74          10/05/18        USD     52.00        USD     364          (296 ) 

JPMorgan Chase & Co.

      247          10/05/18        USD     115.00        USD     2,787          (5,804 ) 

JPMorgan Chase & Co.

      714          10/05/18        USD     116.00        USD     8,057          (7,497 ) 

Lowe’s Cos., Inc.

      113          10/05/18        USD     109.00        USD     1,297          (67,800 ) 

Marathon Oil Corp.

      398          10/05/18        USD     21.50        USD     927          (72,635 ) 

Marathon Oil Corp.

      183          10/05/18        USD     22.50        USD     426          (17,019 ) 

Mattel, Inc.

      286          10/05/18        USD     16.50        USD     449          (2,860 ) 

Medtronic PLC

      284          10/05/18        USD     95.01        USD     2,794          (99,144 ) 

Merck & Co., Inc.

      121          10/05/18        USD     69.00        USD     858          (25,229 ) 

MetLife, Inc.

      248          10/05/18        USD     47.00        USD     1,159          (8,680 ) 

Microsoft Corp.

      39          10/05/18        USD     109.00        USD     446          (21,742 ) 

Morgan Stanley

      241          10/05/18        USD     49.00        USD     1,122          (843 ) 

Morgan Stanley

      361          10/05/18        USD     50.00        USD     1,681          (1,083 ) 

Newell Brands, Inc.

      282          10/05/18        USD     23.40        USD     572          (27 ) 

ONEOK, Inc.

      138          10/05/18        USD     69.00        USD     936          (2,760 ) 

Oracle Corp.

      1,184          10/05/18        USD     50.00        USD     6,105          (194,768 ) 

PG&E Corp.

      1,334          10/05/18        USD     45.02        USD     6,138          (168,203 ) 

Pentair PLC

      545          10/05/18        USD     43.08        USD     2,363          (36,568 ) 

PepsiCo, Inc.

      112          10/05/18        USD     115.00        USD     1,252          (2,968 ) 

Pfizer, Inc.

      1,786          10/05/18        USD     40.05        USD     7,871          (721,087 ) 

Procter & Gamble Co.

      226          10/05/18        USD     83.50        USD     1,881          (10,170 ) 

QUALCOMM, Inc.

      605          10/05/18        USD     71.00        USD     4,358          (112,530 ) 

Suncor Energy, Inc.

      800          10/05/18        USD     42.00        USD     3,095          (7,200 ) 

Travelers Cos., Inc.

      274          10/05/18        USD     130.60        USD     3,554          (27,336 ) 

U.S. Bancorp

      283          10/05/18        USD     53.51        USD     1,495          (7,027 ) 

Union Pacific Corp.

      120          10/05/18        USD     152.50        USD     1,954          (131,100 ) 

UnitedHealth Group, Inc.

      173          10/05/18        USD     272.50        USD     4,602          (2,854 ) 

Verizon Communications, Inc.

      905          10/05/18        USD     55.00        USD     4,832          (3,167 ) 

Wells Fargo & Co.

      113          10/05/18        USD     54.50        USD     594          (621 ) 

Williams Cos., Inc.

      625          10/05/18        USD     30.50        USD     1,699          (1,250 ) 

AXA Equitable Holdings, Inc.

      165          10/09/18        USD     22.71        USD     354          (689 ) 

American International Group, Inc.

      289          10/12/18        USD     54.00        USD     1,539          (9,970 ) 

Anthem, Inc.

      203          10/12/18        USD     270.00        USD     5,563          (119,770 ) 

Bank of America Corp.

      905          10/12/18        USD     31.00        USD     2,666          (5,430 ) 

Bank of America Corp.

      906          10/12/18        USD     31.50        USD     2,669          (3,171 ) 

Bank of America Corp.

      387          10/12/18        USD     30.50        USD     1,140          (4,837 ) 

Bank of America Corp.

      1,555          10/12/18        USD     31.10        USD     4,581          (10,625 ) 

Charles Schwab Corp.

      196          10/12/18        USD     52.00        USD     963          (2,940 ) 

Cisco Systems, Inc.

      143          10/12/18        USD     47.94        USD     696          (12,131 ) 

Citigroup, Inc.

      338          10/12/18        USD     72.50        USD     2,425          (35,659 ) 

Comcast Corp., Class A

      495          10/12/18        USD     37.00        USD     1,753          (2,722 ) 

Devon Energy Corp.

      9          10/12/18        USD     45.00        USD     36          (54 ) 

 

 

4   

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Devon Energy Corp.

      301          10/12/18        USD     42.00        USD     1,202        $ (7,675 ) 

DowDuPont, Inc.

      130          10/12/18        USD     70.00        USD     836          (390 ) 

General Electric Co.

      822          10/12/18        USD     13.00        USD     928          (1,233 ) 

General Electric Co.

      142          10/12/18        USD     12.50        USD     160          (426 ) 

Goldman Sachs Group, Inc.

      95          10/12/18        USD     235.00        USD     2,130          (4,797 ) 

Hess Corp.

      346          10/12/18        USD     67.00        USD     2,477          (173,000 ) 

International Paper Co.

      88          10/12/18        USD     53.50        USD     433          (968 ) 

International Paper Co.

      75          10/12/18        USD     52.00        USD     369          (525 ) 

JPMorgan Chase & Co.

      156          10/12/18        USD     116.00        USD     1,760          (8,112 ) 

Lowe’s Cos., Inc.

      51          10/12/18        USD     111.00        USD     586          (22,567 ) 

Marathon Oil Corp.

      533          10/12/18        USD     22.50        USD     1,241          (58,364 ) 

Mattel, Inc.

      625          10/12/18        USD     16.00        USD     981          (15,625 ) 

Merck & Co., Inc.

      269          10/12/18        USD     70.00        USD     1,908          (39,543 ) 

MetLife, Inc.

      1,274          10/12/18        USD     47.00        USD     5,952          (73,255 ) 

Microsoft Corp.

      339          10/12/18        USD     113.00        USD     3,877          (82,208 ) 

Morgan Stanley

      611          10/12/18        USD     50.00        USD     2,845          (3,971 ) 

ONEOK, Inc.

      138          10/12/18        USD     67.00        USD     936          (21,045 ) 

Oracle Corp.

      298          10/12/18        USD     50.00        USD     1,536          (52,597 ) 

Oracle Corp.

      298          10/12/18        USD     51.00        USD     1,536          (28,757 ) 

PG&E Corp.

      175          10/12/18        USD     49.00        USD     805          (2,625 ) 

PepsiCo, Inc.

      215          10/12/18        USD     116.00        USD     2,404          (5,590 ) 

Pfizer, Inc.

      1,786          10/12/18        USD     40.15        USD     7,871          (706,329 ) 

Procter & Gamble Co.

      190          10/12/18        USD     84.00        USD     1,581          (9,120 ) 

Suncor Energy, Inc.

      483          10/12/18        USD     40.00        USD     1,869          (7,969 ) 

U.S. Bancorp

      241          10/12/18        USD     55.00        USD     1,273          (1,205 ) 

U.S. Bancorp

      189          10/12/18        USD     54.66        USD     998          (2,575 ) 

UnitedHealth Group, Inc.

      104          10/12/18        USD     267.50        USD     2,767          (20,800 ) 

Verizon Communications, Inc.

      927          10/12/18        USD     55.00        USD     4,949          (6,952 ) 

Wells Fargo & Co.

      277          10/12/18        USD     58.50        USD     1,456          (554 ) 

Williams Cos., Inc.

      633          10/12/18        USD     29.00        USD     1,721          (2,532 ) 

BCE, Inc.

      251          10/17/18        USD     40.60        USD     1,017          (11,316 ) 

3M Co.

      53          10/19/18        USD     210.00        USD     1,117          (19,477 ) 

AXA Equitable Holdings, Inc.

      465          10/19/18        USD     22.55        USD     997          (7,023 ) 

Altria Group, Inc.

      432          10/19/18        USD     62.50        USD     2,605          (12,096 ) 

Altria Group, Inc.

      562          10/19/18        USD     65.00        USD     3,389          (3,372 ) 

American International Group, Inc.

      359          10/19/18        USD     55.00        USD     1,911          (7,000 ) 

American International Group, Inc.

      255          10/19/18        USD     53.00        USD     1,358          (25,373 ) 

Anthem, Inc.

      203          10/19/18        USD     270.00        USD     5,563          (144,130 ) 

Bank of America Corp.

      1,142          10/19/18        USD     32.00        USD     3,364          (5,139 ) 

CDW Corp.

      809          10/19/18        USD     90.00        USD     7,194          (80,900 ) 

Cardinal Health, Inc.

      303          10/19/18        USD     52.50        USD     1,636          (62,873 ) 

Charles Schwab Corp.

      251          10/19/18        USD     51.00        USD     1,234          (13,177 ) 

Cisco Systems, Inc.

      143          10/19/18        USD     48.00        USD     696          (14,157 ) 

Citigroup, Inc.

      916          10/19/18        USD     72.50        USD     6,571          (119,538 ) 

Comcast Corp., Class A

      224          10/19/18        USD     35.55        USD     793          (12,682 ) 

Comcast Corp., Class A

      194          10/19/18        USD     36.25        USD     687          (5,658 ) 

D.R. Horton, Inc.

      371          10/19/18        USD     72.50        USD     2,386          (556 ) 

Devon Energy Corp.

      392          10/19/18        USD     44.00        USD     1,566          (5,880 ) 

Devon Energy Corp.

      171          10/19/18        USD     42.00        USD     683          (7,353 ) 

Dollar General Corp.

      177          10/19/18        USD     110.00        USD     1,935          (27,435 ) 

DowDuPont, Inc.

      178          10/19/18        USD     70.00        USD     1,145          (1,157 ) 

Edison International

      281          10/19/18        USD     67.60        USD     1,902          (34,211 ) 

FirstEnergy Corp.

      973          10/19/18        USD     37.00        USD     3,617          (72,975 ) 

 

 

     5  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

FirstEnergy Corp.

      244          10/19/18        USD     38.00        USD     907        $ (7,320 ) 

General Electric Co.

      626          10/19/18        USD     12.00        USD     707          (4,695 ) 

General Electric Co.

      361          10/19/18        USD     13.00        USD     408          (902 ) 

Goldman Sachs Group, Inc.

      159          10/19/18        USD     235.00        USD     3,565          (20,590 ) 

Hess Corp.

      346          10/19/18        USD     67.50        USD     2,477          (166,945 ) 

Honeywell International, Inc.

      460          10/19/18        USD     160.00        USD     7,654          (338,100 ) 

International Paper Co.

      177          10/19/18        USD     52.50        USD     870          (2,212 ) 

Interpublic Group of Cos., Inc.

      450          10/19/18        USD     23.40        USD     1,029          (17,149 ) 

JPMorgan Chase & Co.

      622          10/19/18        USD     115.00        USD     7,019          (64,377 ) 

Johnson Controls International PLC

      178          10/19/18        USD     38.00        USD     623          (623 ) 

Kellogg Co.

      465          10/19/18        USD     73.40        USD     3,256          (9,901 ) 

Lowe’s Cos., Inc.

      53          10/19/18        USD     110.00        USD     609          (29,150 ) 

Marathon Oil Corp.

      156          10/19/18        USD     21.00        USD     363          (37,986 ) 

Marathon Oil Corp.

      183          10/19/18        USD     23.00        USD     426          (16,836 ) 

Marathon Petroleum Corp.

      469          10/19/18        USD     87.50        USD     3,751          (14,773 ) 

Marsh & McLennan Cos., Inc.

      598          10/19/18        USD     85.00        USD     4,947          (11,960 ) 

McKesson Corp.

      232          10/19/18        USD     130.00        USD     3,077          (105,560 ) 

Medtronic PLC

      170          10/19/18        USD     100.00        USD     1,672          (11,050 ) 

Merck & Co., Inc.

      537          10/19/18        USD     67.50        USD     3,809          (200,033 ) 

MetLife, Inc.

      1,448          10/19/18        USD     45.40        USD     6,765          (260,256 ) 

Microsoft Corp.

      276          10/19/18        USD     115.00        USD     3,157          (47,334 ) 

Microsoft Corp.

      583          10/19/18        USD     110.00        USD     6,668          (298,788 ) 

Mondelez International, Inc.

      271          10/19/18        USD     44.00        USD     1,164          (5,962 ) 

Morgan Stanley

      303          10/19/18        USD     49.00        USD     1,411          (10,605 ) 

Motorola Solutions, Inc.

      643          10/19/18        USD     125.00        USD     8,368          (377,763 ) 

NextEra Energy, Inc.

      247          10/19/18        USD     177.00        USD     4,140          (2,761 ) 

Nielsen Holdings PLC

      857          10/19/18        USD     27.00        USD     2,370          (102,840 ) 

Northrop Grumman Corp.

      73          10/19/18        USD     305.00        USD     2,317          (104,390 ) 

Novo Nordisk A/S — ADR

      176          10/19/18        USD     49.00        USD     830          (3,520 ) 

ONEOK, Inc.

      138          10/19/18        USD     70.00        USD     936          (5,175 ) 

Oracle Corp.

      955          10/19/18        USD     49.00        USD     4,924          (257,850 ) 

PepsiCo, Inc.

      248          10/19/18        USD     115.00        USD     2,773          (15,500 ) 

Pfizer, Inc.

      1,786          10/19/18        USD     40.25        USD     7,871          (691,711 ) 

QUALCOMM, Inc.

      412          10/19/18        USD     67.50        USD     2,968          (202,910 ) 

SunTrust Banks, Inc.

      118          10/19/18        USD     75.00        USD     788          (531 ) 

Suncor Energy, Inc.

      312          10/19/18        USD     40.00        USD     1,207          (9,516 ) 

Suncor Energy, Inc.

      933          10/19/18        USD     40.50        USD     3,610          (18,660 ) 

TOTAL SA — ADR

      530          10/19/18        USD     60.10        USD     3,413          (244,347 ) 

Taiwan Semiconductor Manufacturing Co. Ltd. — ADR

      158          10/19/18        USD     41.00        USD     698          (56,880 ) 

Travelers Cos., Inc.

      277          10/19/18        USD     135.00        USD     3,593          (16,620 ) 

U.S. Bancorp

      375          10/19/18        USD     54.50        USD     1,980          (10,312 ) 

U.S. Bancorp

      496          10/19/18        USD     53.95        USD     2,619          (21,118 ) 

Unilever NV — NY Shares

      638          10/19/18        USD     57.48        USD     3,544          (16,185 ) 

Union Pacific Corp.

      126          10/19/18        USD     155.00        USD     2,052          (106,785 ) 

Verizon Communications, Inc.

      1,660          10/19/18        USD     55.00        USD     8,863          (21,580 ) 

Wells Fargo & Co.

      245          10/19/18        USD     55.00        USD     1,288          (7,595 ) 

Wells Fargo & Co.

      281          10/19/18        USD     56.00        USD     1,477          (4,496 ) 

Williams Cos., Inc.

      402          10/19/18        USD     29.00        USD     1,093          (1,608 ) 

FirstEnergy Corp.

      367          10/23/18        USD     38.02        USD     1,364          (12,686 ) 

Public Service Enterprise Group, Inc.

      514          10/23/18        USD     52.90        USD     2,713          (52,213 ) 

nVent Electric PLC

      324          10/23/18        USD     29.19        USD     880          (4,395 ) 

Aetna, Inc.

      150          10/26/18        USD     207.50        USD     3,043          (25,875 ) 

Aetna, Inc.

      308          10/26/18        USD     205.00        USD     6,248          (69,300 ) 

 

 

6   

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Altria Group, Inc.

      563          10/26/18        USD     65.00        USD     3,395        $ (12,386 ) 

American International Group, Inc.

      401          10/26/18        USD     54.00        USD     2,135          (24,862 ) 

Anthem, Inc.

      361          10/26/18        USD     272.50        USD     9,893          (218,405 ) 

Bank of America Corp.

      918          10/26/18        USD     31.50        USD     2,704          (11,934 ) 

CVS Health Corp.

      279          10/26/18        USD     77.50        USD     2,196          (71,006 ) 

Cardinal Health, Inc.

      164          10/26/18        USD     55.50        USD     886          (10,660 ) 

Charles Schwab Corp.

      205          10/26/18        USD     52.00        USD     1,008          (8,200 ) 

Cisco Systems, Inc.

      108          10/26/18        USD     47.50        USD     525          (15,552 ) 

Citigroup, Inc.

      251          10/26/18        USD     73.50        USD     1,801          (28,363 ) 

Cognizant Technology Solutions Corp., Class A

      124          10/26/18        USD     79.00        USD     957          (7,440 ) 

Comcast Corp., Class A

      502          10/26/18        USD     36.00        USD     1,778          (32,630 ) 

Devon Energy Corp.

      270          10/26/18        USD     43.50        USD     1,078          (7,695 ) 

Devon Energy Corp.

      539          10/26/18        USD     40.50        USD     2,153          (58,482 ) 

DowDuPont, Inc.

      130          10/26/18        USD     70.50        USD     836          (1,300 ) 

Enterprise Products Partners LP

      632          10/26/18        USD     29.00        USD     1,816          (26,860 ) 

FirstEnergy Corp.

      122          10/26/18        USD     37.95        USD     453          (4,913 ) 

FirstEnergy Corp.

      505          10/26/18        USD     37.71        USD     1,877          (26,373 ) 

General Electric Co.

      417          10/26/18        USD     13.00        USD     471          (1,876 ) 

Goldman Sachs Group, Inc.

      140          10/26/18        USD     230.00        USD     3,139          (42,560 ) 

Honeywell International, Inc.

      113          10/26/18        USD     165.00        USD     1,880          (44,070 ) 

Humana, Inc.

      110          10/26/18        USD     340.00        USD     3,724          (55,000 ) 

International Paper Co.

      380          10/26/18        USD     56.00        USD     1,868          (2,660 ) 

JPMorgan Chase & Co.

      522          10/26/18        USD     117.00        USD     5,890          (39,150 ) 

Kellogg Co.

      489          10/26/18        USD     73.50        USD     3,424          (26,085 ) 

Lockheed Martin Corp.

      81          10/26/18        USD     347.50        USD     2,802          (54,270 ) 

Lowe’s Cos., Inc.

      179          10/26/18        USD     115.00        USD     2,055          (39,649 ) 

Marathon Petroleum Corp.

      469          10/26/18        USD     87.50        USD     3,751          (38,693 ) 

Medtronic PLC

      507          10/26/18        USD     97.00        USD     4,987          (129,032 ) 

Merck & Co., Inc.

      553          10/26/18        USD     70.50        USD     3,923          (97,052 ) 

MetLife, Inc.

      570          10/26/18        USD     49.50        USD     2,663          (9,405 ) 

Microsoft Corp.

      180          10/26/18        USD     115.00        USD     2,059          (48,150 ) 

Mondelez International, Inc.

      271          10/26/18        USD     44.00        USD     1,164          (10,704 ) 

ONEOK, Inc.

      97          10/26/18        USD     67.50        USD     658          (15,035 ) 

ONEOK, Inc.

      395          10/26/18        USD     70.00        USD     2,678          (18,762 ) 

Oracle Corp.

      757          10/26/18        USD     49.00        USD     3,903          (207,418 ) 

PepsiCo, Inc.

      248          10/26/18        USD     117.00        USD     2,773          (9,300 ) 

Pfizer, Inc.

      1,103          10/26/18        USD     42.00        USD     4,861          (247,624 ) 

Pfizer, Inc.

      427          10/26/18        USD     41.69        USD     1,882          (112,466 ) 

Procter & Gamble Co.

      220          10/26/18        USD     84.50        USD     1,831          (16,830 ) 

QUALCOMM, Inc.

      441          10/26/18        USD     72.00        USD     3,177          (123,701 ) 

QUALCOMM, Inc.

      5          10/26/18        USD     77.00        USD     36          (590 ) 

Suncor Energy, Inc.

      429          10/26/18        USD     40.00        USD     1,660          (14,586 ) 

Suncor Energy, Inc.

      281          10/26/18        USD     40.50        USD     1,087          (8,430 ) 

U.S. Bancorp

      407          10/26/18        USD     54.50        USD     2,149          (14,652 ) 

Union Pacific Corp.

      32          10/26/18        USD     160.00        USD     521          (17,600 ) 

Verizon Communications, Inc.

      927          10/26/18        USD     56.00        USD     4,949          (14,832 ) 

Wells Fargo & Co.

      306          10/26/18        USD     56.50        USD     1,608          (5,202 ) 

Williams Cos., Inc.

      161          10/26/18        USD     29.50        USD     438          (644 ) 

DowDuPont, Inc.

      243          10/29/18        USD     71.60        USD     1,563          (1,588 ) 

AXA Equitable Holdings, Inc.

      980          10/30/18        USD     22.75        USD     2,102          (19,699 ) 

Cisco Systems, Inc.

      143          10/30/18        USD     48.75        USD     696          (10,841 ) 

General Electric Co.

      170          10/31/18        USD     12.00        USD     192          (3,193 ) 

Novo Nordisk A/S — ADR    

      707          10/31/18        USD     47.74        USD     3,333          (57,287 ) 

 

 

     7  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Wells Fargo & Co.

      281          10/31/18        USD     57.00        USD     1,477        $ (5,120 ) 

3M Co.

      188          11/02/18        USD     212.50        USD     3,961          (82,250 ) 

American International Group, Inc.

      255          11/02/18        USD     54.00        USD     1,358          (26,520 ) 

Anadarko Petroleum Corp.

      129          11/02/18        USD     67.00        USD     870          (35,475 ) 

Bank of America Corp.

      1,860          11/02/18        USD     31.50        USD     5,480          (30,690 ) 

CVS Health Corp.

      283          11/02/18        USD     77.00        USD     2,228          (84,900 ) 

Cisco Systems, Inc.

      169          11/02/18        USD     47.50        USD     822          (26,280 ) 

Citigroup, Inc.

      757          11/02/18        USD     72.00        USD     5,431          (149,886 ) 

Cognizant Technology Solutions Corp., Class A

      206          11/02/18        USD     79.00        USD     1,589          (27,810 ) 

Comcast Corp., Class A

      393          11/02/18        USD     37.50        USD     1,392          (12,379 ) 

Devon Energy Corp.

      288          11/02/18        USD     41.00        USD     1,150          (30,240 ) 

General Electric Co.

      255          11/02/18        USD     13.50        USD     288          (1,275 ) 

Honeywell International, Inc.

      113          11/02/18        USD     167.50        USD     1,880          (31,471 ) 

Humana, Inc.

      27          11/02/18        USD     340.00        USD     914          (17,955 ) 

JPMorgan Chase & Co.

      245          11/02/18        USD     115.00        USD     2,765          (38,098 ) 

JPMorgan Chase & Co.

      386          11/02/18        USD     118.00        USD     4,356          (28,371 ) 

Lowe’s Cos., Inc.

      150          11/02/18        USD     116.00        USD     1,722          (30,450 ) 

Marathon Oil Corp.

      322          11/02/18        USD     23.00        USD     750          (37,996 ) 

Marathon Petroleum Corp.

      207          11/02/18        USD     83.00        USD     1,655          (39,744 ) 

Mattel, Inc.

      625          11/02/18        USD     17.00        USD     981          (23,438 ) 

Medtronic PLC

      186          11/02/18        USD     99.50        USD     1,830          (23,901 ) 

Merck & Co., Inc.

      587          11/02/18        USD     71.00        USD     4,164          (95,094 ) 

Microsoft Corp.

      277          11/02/18        USD     116.00        USD     3,168          (68,973 ) 

Mondelez International, Inc.

      219          11/02/18        USD     43.50        USD     941          (17,082 ) 

Morgan Stanley

      765          11/02/18        USD     50.00        USD     3,563          (24,480 ) 

Northrop Grumman Corp.

      73          11/02/18        USD     307.50        USD     2,317          (107,310 ) 

Oracle Corp.

      107          11/02/18        USD     51.00        USD     552          (13,428 ) 

Oracle Corp.

      551          11/02/18        USD     52.00        USD     2,841          (38,846 ) 

PG&E Corp.

      175          11/02/18        USD     48.00        USD     805          (15,750 ) 

PepsiCo, Inc.

      216          11/02/18        USD     117.00        USD     2,415          (10,800 ) 

Pfizer, Inc.

      886          11/02/18        USD     43.00        USD     3,905          (139,102 ) 

Procter & Gamble Co.

      410          11/02/18        USD     83.50        USD     3,412          (52,275 ) 

QUALCOMM, Inc.

      627          11/02/18        USD     77.00        USD     4,516          (86,526 ) 

Suncor Energy, Inc.

      346          11/02/18        USD     40.50        USD     1,339          (15,743 ) 

U.S. Bancorp

      751          11/02/18        USD     56.00        USD     3,966          (11,640 ) 

UnitedHealth Group, Inc.

      139          11/02/18        USD     267.50        USD     3,698          (72,280 ) 

Verizon Communications, Inc.

      1,131          11/02/18        USD     55.00        USD     6,038          (42,978 ) 

Wells Fargo & Co.

      248          11/02/18        USD     57.00        USD     1,303          (4,464 ) 

Williams Cos., Inc.

      97          11/02/18        USD     29.00        USD     264          (1,115 ) 

Novo Nordisk A/S — ADR

      707          11/06/18        USD     47.74        USD     3,333          (64,199 ) 

Johnson Controls International PLC

      379          11/07/18        USD     37.77        USD     1,327          (5,213 ) 

SunTrust Banks, Inc.

      528          11/07/18        USD     71.71        USD     3,527          (22,286 ) 

3M Co.

      53          11/09/18        USD     212.50        USD     1,117          (24,778 ) 

American International Group, Inc.

      256          11/09/18        USD     54.00        USD     1,363          (30,976 ) 

Bank of America Corp.

      1,977          11/09/18        USD     30.50        USD     5,824          (90,942 ) 

Cisco Systems, Inc.

      304          11/09/18        USD     48.80        USD     1,479          (29,094 ) 

Comcast Corp., Class A

      502          11/09/18        USD     36.00        USD     1,778          (45,180 ) 

DowDuPont, Inc.

      153          11/09/18        USD     67.00        USD     984          (14,994 ) 

Enterprise Products Partners LP

      632          11/09/18        USD     29.00        USD     1,816          (30,020 ) 

General Electric Co.

      394          11/09/18        USD     12.00        USD     445          (8,471 ) 

Johnson Controls International PLC

      379          11/09/18        USD     37.77        USD     1,327          (5,632 ) 

Lockheed Martin Corp.

      52          11/09/18        USD     347.50        USD     1,799          (43,940 ) 

MetLife, Inc.

      884          11/09/18        USD     47.50        USD     4,130          (87,958 ) 

 

 

8   

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Morgan Stanley

      24          11/09/18        USD     49.00        USD     112        $ (1,476 ) 

Suncor Energy, Inc.

      414          11/09/18        USD     41.00        USD     1,602          (17,388 ) 

Union Pacific Corp.

      50          11/09/18        USD     165.00        USD     814          (17,625 ) 

Wells Fargo & Co.

      396          11/09/18        USD     54.00        USD     2,081          (33,066 ) 

FirstEnergy Corp.

      239          11/12/18        USD     38.00        USD     888          (10,811 ) 

FirstEnergy Corp.

      238          11/12/18        USD     37.85        USD     885          (11,830 ) 

Newell Brands, Inc.

      585          11/12/18        USD     22.60        USD     1,188          (17,807 ) 

Taiwan Semiconductor Manufacturing Co. Ltd. — ADR

      1,029          11/12/18        USD     44.40        USD     4,544          (140,500 ) 

AXA Equitable Holdings, Inc.

      165          11/16/18        USD     22.50        USD     354          (6,600 ) 

Altria Group, Inc.

      317          11/16/18        USD     65.00        USD     1,912          (12,838 ) 

American International Group, Inc.

      1,591          11/16/18        USD     57.50        USD     8,470          (42,162 ) 

Anadarko Petroleum Corp.

      65          11/16/18        USD     65.00        USD     438          (30,550 ) 

Bank of America Corp.

      918          11/16/18        USD     32.00        USD     2,704          (17,901 ) 

Brighthouse Financial, Inc.

      155          11/16/18        USD     50.00        USD     686          (9,300 ) 

CDW Corp.

      243          11/16/18        USD     90.00        USD     2,161          (60,143 ) 

Cisco Systems, Inc.

      276          11/16/18        USD     48.00        USD     1,343          (49,680 ) 

Comcast Corp., Class A

      254          11/16/18        USD     37.50        USD     899          (10,668 ) 

Devon Energy Corp.

      288          11/16/18        USD     41.00        USD     1,150          (47,232 ) 

FirstEnergy Corp.

      311          11/16/18        USD     37.00        USD     1,156          (34,210 ) 

General Electric Co.

      163          11/16/18        USD     14.00        USD     184          (570 ) 

General Electric Co.

      176          11/16/18        USD     13.00        USD     199          (1,584 ) 

HESS Corp.

      589          11/16/18        USD     72.50        USD     4,216          (194,370 ) 

Interpublic Group of Cos., Inc.

      703          11/16/18        USD     22.95        USD     1,608          (68,250 ) 

Johnson Controls International PLC

      226          11/16/18        USD     38.00        USD     791          (6,893 ) 

Johnson Controls International PLC

      140          11/16/18        USD     36.00        USD     490          (12,040 ) 

Lowe’s Cos., Inc.

      235          11/16/18        USD     116.10        USD     2,698          (63,794 ) 

Marathon Petroleum Corp.

      206          11/16/18        USD     87.50        USD     1,647          (22,145 ) 

Marsh & McLennan Cos., Inc.

      596          11/16/18        USD     84.57        USD     4,930          (43,991 ) 

Mattel, Inc.

      144          11/16/18        USD     17.00        USD     226          (6,840 ) 

McKesson Corp.

      189          11/16/18        USD     135.00        USD     2,507          (78,435 ) 

Medtronic PLC

      361          11/16/18        USD     97.50        USD     3,551          (102,344 ) 

Microsoft Corp.

      374          11/16/18        USD     115.00        USD     4,277          (127,160 ) 

Morgan Stanley

      626          11/16/18        USD     49.00        USD     2,915          (44,446 ) 

Motorola Solutions, Inc.

      215          11/16/18        USD     127.90        USD     2,798          (129,086 ) 

Nielsen Holdings PLC

      343          11/16/18        USD     28.00        USD     949          (47,163 ) 

Northrop Grumman Corp.

      84          11/16/18        USD     320.00        USD     2,666          (73,080 ) 

Oracle Corp.

      775          11/16/18        USD     50.00        USD     3,996          (167,788 ) 

Pfizer, Inc.

      1,106          11/16/18        USD     42.98        USD     4,874          (167,965 ) 

Quest Diagnostics, Inc.

      248          11/16/18        USD     110.00        USD     2,676          (42,160 ) 

Suncor Energy, Inc.

      468          11/16/18        USD     42.00        USD     1,811          (14,040 ) 

TOTAL SA — ADR

      530          11/16/18        USD     64.25        USD     3,413          (110,834 ) 

Travelers Cos., Inc.

      274          11/16/18        USD     134.25        USD     3,554          (43,128 ) 

U.S. Bancorp

      376          11/16/18        USD     55.00        USD     1,986          (18,800 ) 

Unilever NV — NY Shares

      334          11/16/18        USD     57.50        USD     1,855          (15,030 ) 

 

 

     9  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

Exchange-Traded Options Written (continued)

 

Description    Number of
Contracts		        Expiration
Date		        Exercise
Price		       

Notional

Amount (000)

        Value  

Call

                           

Unilever NV — NY Shares

      474          11/16/18        USD     56.60        USD     2,633        $ (33,081 ) 

Wells Fargo & Co.

      281          11/16/18        USD     57.50        USD     1,477          (5,620 ) 

Williams Cos., Inc.

      633          11/16/18        USD     30.00        USD     1,721          (6,963 ) 

Public Service Enterprise Group, Inc.

      420          11/19/18        USD     53.30        USD     2,217          (42,533 ) 

General Electric Co.

      285          12/21/18        USD     13.00        USD     322          (4,845 ) 
                          

 

 

  
                           $ (15,527,398 ) 
                          

 

 

  

OTC Options Written

 

Description    Counterparty    Number of
Contracts		      Expiration
Date		      Exercise
Price		      Notional
Amount (000)		      Value  

Call

                      

Novo Nordisk A/S — ADR

    Barclays Bank PLC      35,300        10/01/18        USD       51.00        USD       1,664      $ —  

BP PLC

    Goldman Sachs International      88,400        10/03/18        GBP       5.67        GBP       520        (25,641 ) 

Diageo PLC

    Morgan Stanley & Co. International PLC      2,500        10/03/18        GBP       27.60        GBP       68        (207 ) 

Nestle SA, Registered Shares

    Citibank N.A.      22,800        10/03/18        CHF       81.95        CHF       1,863        (10,350 ) 

TOTAL SA — ADR

    Citibank N.A.      31,700        10/04/18        USD       65.75        USD       2,041        (7,275 ) 

Bayer AG, Registered Shares

    Goldman Sachs International      4,700        10/09/18        EUR       84.53        EUR       359        (63 ) 

CRH PLC

    Morgan Stanley & Co. International PLC      72,500        10/09/18        GBP       25.67        GBP       1,820        (9,976 ) 

Public Service Enterprise Group, Inc.

    Citibank N.A.      125,300        10/18/18        USD       53.06        USD       6,615        (104,209 ) 

AstraZeneca PLC

    UBS AG      33,000        10/23/18        GBP       56.91        GBP       1,973        (139,589 ) 

AstraZeneca PLC

    Barclays Bank PLC      99,800        10/23/18        GBP       59.96        GBP       5,968        (162,659 ) 

Experian PLC

    Goldman Sachs International      181,000        10/23/18        GBP       19.08        GBP       3,564        (161,812 ) 

Experian PLC

    UBS AG      46,500        10/23/18        GBP       19.15        GBP       916        (38,134 ) 

Koninklijke Philips NV

    Credit Suisse International      135,300        10/24/18        EUR       38.89        EUR       5,312        (139,460 ) 

Constellation Software, Inc.

    Morgan Stanley & Co. International PLC      6,500        10/25/18        CAD       968.01        CAD       128,517        (119,207 ) 

CRH PLC

    Morgan Stanley & Co. International PLC      25,500        10/26/18        GBP       26.03        GBP       640        (4,847 ) 

Danone SA

    Credit Suisse International      29,300        10/26/18        EUR       66.04        EUR       1,961        (64,101 ) 

Diageo PLC

    Deutsche Bank AG      56,350        10/26/18        GBP       27.28        GBP       1,532        (30,569 ) 

Edison International

    Morgan Stanley & Co. International PLC      12,600        10/26/18        USD       68.21        USD       853        (14,292 ) 

SunTrust Banks, Inc.

    Citibank N.A.      58,600        10/30/18        USD       74.25        USD       3,914        (11,045 ) 

BCE, Inc.

    Goldman Sachs International      36,100        10/31/18        USD       40.94        USD       1,463        (16,815 ) 

BP PLC

    Barclays Bank PLC      1,175,000        10/31/18        GBP       5.56        GBP       6,909        (572,830 ) 

CRH PLC

    Morgan Stanley & Co. International PLC      36,000        10/31/18        GBP       24.81        GBP       904        (31,951 ) 

Diageo PLC

    Credit Suisse International      44,600        10/31/18        GBP       27.07        GBP       1,212        (33,169 ) 

Enterprise Products Partners LP

    Citibank N.A.      126,400        10/31/18        USD       29.27        USD       3,631        (27,607 ) 

AstraZeneca PLC

    Barclays Bank PLC      35,500        11/01/18        GBP       57.00        GBP       2,123        (158,549 ) 

BP PLC

    Credit Suisse International      89,200        11/01/18        GBP       5.67        GBP       524        (32,655 ) 

Nestle SA, Registered Shares

    Credit Suisse International      11,200        11/01/18        CHF       82.21        CHF       915        (11,071 ) 

Diageo PLC

    Credit Suisse International      96,400        11/07/18        GBP       27.25        GBP       2,620        (63,634 ) 

NextEra Energy, Inc.

    Barclays Bank PLC      8,300        11/12/18        USD       171.77        USD       1,391        (15,297 ) 

BP PLC

    UBS AG      1,176,000        11/14/18        GBP       5.98        GBP       6,915        (136,373 ) 

Bayer AG, Registered Shares

    Credit Suisse International      49,200        11/14/18        EUR       78.43        EUR       3,759        (110,136 ) 

CRH PLC

    UBS AG      59,900        11/14/18        GBP       25.68        GBP       1,504        (35,456 ) 

 

 

10   

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

OTC Options Written (continued)

 

Description    Counterparty    Number of
Contracts		      Expiration
Date		      Exercise
Price		      Notional
Amount (000)		      Value  

Call

                      

Diageo PLC

    Credit Suisse International      96,400        11/20/18        GBP       27.25        GBP       2,620      $ (75,771 ) 

Koninklijke Philips NV

    Deutsche Bank AG      223,000        11/20/18        EUR       40.12        EUR       8,755        (208,716 ) 

Lenovo Group Ltd.

    UBS AG      173,332        11/20/18        HKD       5.68        HKD       988        (5,380 ) 

Lenovo Group Ltd.

    UBS AG      6,436,668        11/20/18        HKD       5.68        HKD       36,689        (199,784 ) 

International Paper Co.

    Goldman Sachs International      35,100        11/26/18        USD       22.82        USD       803        (29,151 ) 
                     

 

 

  
                      $ (2,807,781 ) 
                     

 

 

  

Fair Value Hierarchy as of Period End

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

 

  •  

Level 1 — Unadjusted quoted prices in active markets/exchanges for identical assets or liabilities that Trust has the ability to access

 

  •  

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

 

  •  

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

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

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

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

 

      Level 1        Level 2        Level 3        Total  

Assets:

 

Investments:

 

Common Stocks:

 

Aerospace & Defense

   $ 23,868,175        $ —        $             —        $ 23,868,175  

Banks

     306,131,009          —          —          306,131,009  

Beverages

     17,880,174          16,146,311          —          34,026,485  

Building Products

     13,022,800          —          —          13,022,800  

Capital Markets

     64,222,350          —          —          64,222,350  

Chemicals

     20,274,692          —          —          20,274,692  

 

 

     11  

Schedule of Investments  (unaudited) (continued)

September 30, 2018

   

BlackRock Enhanced Equity Dividend Trust (BDJ)

 

      Level 1        Level 2        Level 3        Total  

Assets:

 

Investments:

 

Common Stocks:

 

Communications Equipment

   $ 33,843,100        $ —        $ —        $ 33,843,100  

Construction Materials

     —          12,691,090          —          12,691,090  

Containers & Packaging

     6,669,655          —          —          6,669,655  

Diversified Financial Services

     5,860,140          —          —          5,860,140  

Diversified Telecommunication Services

     70,857,104          —          —          70,857,104  

Electric Utilities

     74,412,492          —          —          74,412,492  

Electrical Equipment

     1,506,837          —          —          1,506,837  

Electronic Equipment, Instruments & Components

     14,395,259          —          —          14,395,259  

Food Products

     19,907,732          10,221,407          —          30,129,139  

Health Care Equipment & Supplies

     29,673,311          32,656,385          —          62,329,696  

Health Care Providers & Services

     166,769,929          —          —          166,769,929  

Household Durables

     6,907,481          —          —          6,907,481  

Household Products

     17,421,704          —          —          17,421,704  

IT Services

     10,949,128          —          —          10,949,128  

Industrial Conglomerates

     57,907,658          —          —          57,907,658  

Insurance

     126,037,888          —          —          126,037,888  

Leisure Products

     7,537,664          —          —          7,537,664  

Machinery

     4,733,387          —          —          4,733,387  

Media

     36,981,110          —          —          36,981,110  

Multi-Utilities

     23,091,930          —          —          23,091,930  

Multiline Retail

     5,966,359          —          —          5,966,359  

Oil, Gas & Consumable Fuels

     188,259,386          38,762,190          —          227,021,576  

Personal Products

     12,358,764          —          —          12,358,764  

Pharmaceuticals

     121,698,034          49,959,710          —          171,657,744  

Professional Services

     9,487,933          11,674,042          —          21,161,975  

Road & Rail

     10,688,161          —          —          10,688,161  

Semiconductors & Semiconductor Equipment

     40,609,274          —          —          40,609,274  

Software

     107,723,250          —          —          107,723,250  

Specialty Retail

     17,936,032          —          —          17,936,032  

Technology Hardware, Storage & Peripherals

     —          17,824,428          —          17,824,428  

Tobacco

     22,605,394          —          —          22,605,394  

Short-Term Investment Fund

     4,496,892          —          —          4,496,892  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 1,702,692,188        $ 189,935,563        $ —        $ 1,892,627,751  
  

 

 

       

 

 

       

 

 

       

 

 

  

Investments Valued at NAV(a)

 

        2,419  
     $ 1,892,630,170  
                 

 

 

  

Derivative Financial Instruments(b)

 

Liabilities:

 

Equity contracts

   $ (11,027,521 )       $ (7,307,658 )       $             —        $ (18,335,179 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

As of September 30, 2018, certain of the Trust’s Investments were fair valued using net asset value (“NAV”) per share and have been excluded from the fair value hierarchy.

 
  (b) 

Derivative financial instruments are options written, which are shown at value.

 

During the period ended September 30, 2018, there were no transfers between levels.

 

 

12   

Item 2 – Controls and Procedures

 

2(a) –

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

 

2(b) –

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

Item 3 – Exhibits

Certifications – Attached hereto

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

 

BlackRock Enhanced Equity Dividend Trust
By:      /s/ John M. Perlowski                        
     John M. Perlowski
     Chief Executive Officer (principal executive officer) of
     BlackRock Enhanced Equity Dividend Trust
Date: November 19, 2018

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

 

By:      /s/ John M. Perlowski                        
     John M. Perlowski
     Chief Executive Officer (principal executive officer) of
     BlackRock Enhanced Equity Dividend Trust
Date: November 19, 2018
By:      /s/ Neal J. Andrews                          
     Neal J. Andrews
     Chief Financial Officer (principal financial officer) of
     BlackRock Enhanced Equity Dividend Trust
Date: November 19, 2018